United Companies Financial Corp. said it is close to a deal to sell most of its 126 retail branches to Aegis Mortgage Corp. of Houston.

United, which filed for bankruptcy in March, said its longtime chief operating officer, C.G. Hargon, will step down to "facilitate the sale," in which Aegis would pay $3 million plus 30 days of operating expenses after a June 1 proposed closing date. Aegis would buy all the loans originated by United Companies during the 30 days.

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