Redwood Reports Stock Sale

Redwood Trust Inc., Mill Valley, Calif., has announced the sale of approximately 4.1 million shares of common stock through a stock purchase and dividend reinvestment plan for net proceeds of $122.5 million."The recent dislocations in the residential mortgage market have strengthened our competitive position and brought about some welcome changes in asset pricing and the credit quality of newly issued mortgages," said Marty Hughes, Redwood's chief financial officer. "After several years of restrained growth, we are now finding attractive prime residential and other investment opportunities." He said the additional equity will allow the company to take advantage of such investment opportunities. Redwood can be found on the Web at http://www.redwoodtrust.com