Capstead Reports 3Q Loss

Capstead Mortgage Corp., Dallas, has reported a net loss of $3.15 million ($0.43 per share) for the third quarter, compared with a net loss of $1.49 million ($0.35 per share) a year earlier.After considering the payment of preferred share dividends, the numbers resulted in a net loss of $8.21 million ($0.43 per share) in the third quarter and a loss of $6.56 million ($0.35 per share) a year earlier, Capstead reported. The company attributed the recent loss to the credit crunch that led to falling asset values and distressed sales of nonagency residential mortgage securities. "These distressed sales placed downward pressure on market values of all residential mortgage securities, including agency-issued and -guaranteed securities such as those that comprise over 99% of Capstead's mortgage securities and similar investments portfolio," the company said. Capstead can be found on the Web at http://www.capstead.com.