TROY, Mich., Feb. 16 /PRNewswire-FirstCall/ -- Flagstar Bancorp, Inc. , recently achieved Freddie Mac's prestigious 2005 Tier One performance ranking for excellence in investor reporting and default management for two or more quarters during the year. According to Freddie Mac, the nation's second largest investor in mortgages, Flagstar was one of only 84 servicing companies nationwide to meet this standard. Nationally, approximately 1,500 lenders service Freddie-Mac owned loans.
"I want to personally applaud Flagstar for consistently achieving remarkable results through hard work, persistence and a commitment to excellence," said Janet Eakes, senior vice president of single family sourcing operations for Freddie Mac. "Our Tier One rankings go only to those few mortgage servicers whose superior performance, efficiency, and dedication to customer service sets the benchmark for the rest of our industry."
Freddie Mac ranks its servicers each month on the basis of performance benchmarks that cover a wide range of activities, such as investor reporting and minimizing credit losses by helping delinquent borrowers to overcome short-term financial difficulties and avoid foreclosure. Based on their management of active and delinquent loans, servicers are ranked in four tiers ranging from Tier One (superior results) to Tier Four (unacceptable results).
Servicers who achieve the top Tier One rating for at least two quarters in a calendar year receive a number of benefits, such as enhanced workout incentives, fee waivers, financial rewards and national recognition.
Mark Hammond, Flagstar's President and Chief Executive Officer, said, "Freddie Mac's Tier One ranking for our servicing operations proves one more time our commitment to customer service and effectiveness in servicing. The financial rewards that will be provided from Freddie Mac will improve financial performance of our servicing operations."
Flagstar Bancorp, which has $15.1 billion in total assets, is the largest publicly held savings bank in the Midwest. Flagstar currently operates 139 banking centers with $8.0 billion in total deposits. Flagstar banking centers are located throughout southern Michigan, Indiana, and Georgia. Flagstar also operates 101 loan centers in 24 states. Flagstar Bank is one of the nation's top 20 originators of residential mortgage loans.
The information contained in this release is not intended as a solicitation to buy Flagstar Bancorp, Inc. stock and is provided for general information. This release contains certain statements that may constitute "forward-looking statements" within the meaning of federal securities laws. These forward-looking statements include statements about the Company's beliefs, plans, objectives, goals, expectations, anticipations, estimates, and intentions, including with regard to the financial performance of the Company's servicing operations. These forward-looking statements are subject to significant risks and uncertainties, and are subject to change based upon various factors (some of which may be beyond the Company's control). The words "may," "could," "should," "would," "believe," and similar expressions are intended to identify forward-looking statements. Additional information about Flagstar may be accessed via the Internet at http://www.flagstar.com/ .
Freddie Mac is a stockholder-owned corporation established by Congress in support of homeownership and rental housing. Freddie Mac purchases single- family and multifamily residential mortgages and mortgage-related securities, which it finances primarily by issuing mortgage pass-through securities and debt instruments in the capital markets. Over the years, Freddie Mac has opened doors for one in six homebuyers and more than two million renters in America. For more information, visit http://www.freddiemac.com/ .
First Call Analyst:
FCMN Contact: bulent.ozdemir@flagstar.com
