ABFS Reports Loss in 1Q

American Business Financial Services, Philadelphia, has reported a loss of $33.2 million ($10.53 per share) for the fiscal third quarter ended March 31, compared with net income of $221,000 ($0.06 per share) a year earlier.Albert W. Mandia, executive vice president and chief financial officer of ABFS, attributed the quarterly loss to adjustments stemming from the adoption of a new business model focused more on whole loan sales and less on securitization. "Since January 2004, we have added approximately 129 professionals to our broker origination channel, bringing the total broker loan origination network to a team of 150 professionals nationwide," Mr. Mandia said. "These efforts are generating traction, and we are on pace to originate close to $500 million of new loans during our fourth quarter ending June 30, 2004, which would be a company record."