IndyMac Bancorp, Pasadena, Calif., has lowered its earnings guidance for the fourth quarter of 2006 by about 28%.IndyMac said it now expects to earn $0.97 per share for the fourth quarter, down from previous guidance of $1.30 to $1.40. In a letter to shareholders, IndyMac chairman and chief executive Michael Perry attributed the shortfall to higher-than-expected credit costs, a lower interest margin, and a lower return on servicing rights and interest-only securities. He said IndyMac still expects to report EPS for 2006 that is about 9% higher than that of the year before, however. In morning trading on Jan. 16 after the announcement, IndyMac's stock price declined by more than 7%. The company can be found online at http://www.indymacbank.com.

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