NY Mortgage Trust Pres/CEO Resigns

The president and chief investment officer of New York Mortgage Trust Inc., New York, has resigned.It also announced a company-wide cost cutting initiative that will reduce annual compensation costs by $3.7 million. Ray Redlingshafer, who also has resigned from the company's board of directors, will pursue other career opportunities and spend time with his family, according to a statement issued by NYMT. Because of the resignation, NYMT will take a one-time charge to its second quarter earnings of $2.9 million. Mr. Redlingshafer's severance benefits include a lump sum payment of $2.5 million and approximately $400,000 of equity incentive awards, which immediately vested and became exercisable. Steven Schnall, chairman and co-chief executive adds the president's title. David Akre, co-chief executive officer adds the role of vice chairman and Steven Mumma, chief operating officer, adds the job of chief investment officer. NYMT announced it has made work force reductions in operations and support functions in order to streamline former Guaranty Residential Lending branches with its current branches. The reductions affected 45 full-time employees, none of which were loan officers.