The chief operating officer of E-Loan resigned on Thursday, a day in which the company revealed that fourth-quarter earnings plunged 95% and its stock skidded by as much as 20%.E-Loan, based in Pleasanton, Calif., said it accepted the resignation of president and chief operating officer Joe Kennedy "effective immediately," noting that it has already hired a replacement for the COO position. In the fourth quarter, E-Loan posted net earnings of just $200,000, compared with $5 million a year earlier. For the year E-Loan earned $22.6 million, an increase of 113% from its earnings in 2002. At MortgageWire's deadline, E-Loan could not be reached for comment concerning Mr. Kennedy's resignation. In a statement, company chief executive officer Chris Larsen said: "Although we delivered record annual results for the full year 2003, the fourth quarter of 2003 was a challenging transition for us. The difficult conditions the industry experienced in the fourth quarter -- the rapid decline in refinance demand coupled with industry overcapacity leading to intense price competition -- were more severe than we anticipated."

Subscribe Now

Authoritative analysis and perspective for every segment of the mortgage industry

30-Day Free Trial

Authoritative analysis and perspective for every segment of the mortgage industry