Impac Forms New Unit for Nonperforming Loans

Impac Mortgage Holdings, Irvine, Calif., has formed a new subsidiary to acquire, restructure, and remarket nonperforming mortgage loans and real estate property.Impac CEO Joseph Tomkinson said the unit is being created "in anticipation of deterioration in the mortgage market." The new unit, to be called Arch Bay Group, will be led by Shawn Miller, president, and Steven Davis, chief financial officer. Both were founders of 3 Arch Financial Services, which specialized in providing default services for banks and mortgage servicers. Mr. Tomkinson said the new unit is designed to take advantage of third party capital and Impac's infrastructure to purchase non-performing loans. "With the dramatic increase in the number of mortgage defaults and the pressure warehouse lenders are giving their clients to sell mortgage loans, we believe there is an attractive opportunity to be a buyer of these non-performing loans," Mr. Tomkinson said. Impac's website is located at http://www.impaccompanies.com/.