ResCap Cuts Deal With Noteholders

In an attempt to restructure its debt, Residential Capital Corp. of Minneapolis says it has received "requisite consents" from a certain number of investors that hold $14 billion of its outstanding notes. In a statement released over the weekend, ResCap said the consents have the effect of lifting "restrictive covenants" that are tied to "events of default." At deadline time, a ResCap spokeswoman could not be reached for comment. The company is negotiating a new $3.5 billion two-year credit facility with its parent company. ResCap, the parent of GMAC Mortgage, lost $859 million in the first quarter, compared with a loss of $910 million a year earlier. ResCap is the nation's eighth-largest residential lender and seventh-largest servicer, according to the Quarterly Data Report.