FBR Closes Mortgage Unit, First NLC

Friedman Billings Ramsey pulled the plug Friday on its subprime production division, First NLC Financial Services of Deerfield Beach, Fla., closing the company and letting most of its workers go. One executive there told MortgageWire that, "We were told today that that's it. Everyone is laid off." The executive, requesting anonymity, said First NLC was owned by FBR and Sun Capital Partners, a private investment firm that has offices in Boca Raton, Fla.; New York; London; and Tokyo. The company, he said, was only originating Fannie Mae loans of late. Asked why First NLC was closed, he said: "We couldn't sell our loans."