Production Falls From 2001 at Chase
Servicing portfolio nearing half trillion
January 28, 2003
By MortgageDaily.com staff
JPMorgan Chase & Co. announced an increase in fourth quarter mortgage loan production, but 2002 as a whole proved to be a challenging year for the lender.
The company produced $155.4 billion in mortgage loans during 2002, a step down from the $184.2 billion produced in 2001.
“2002 tested the strength and tenacity of JPMorgan Chase,” CEO William B. Harrison Jr. “Fourth quarter results are a step in the right direction. We enter 2003 with our product and client leadership positions intact, an adjusted expense baseline, and a focus on disciplined execution.”
Fourth quarter originations totaled $60.9 billion, almost double the $35.4 billion produced during the third quarter, according to spokeswoman Charlotte Gilbert-Biro. Fourth quarter 2001 mortgage originations totaled $50.4 billion.
Loans serviced totaled $426 billion by the end of 2002, compared with $430 billion at the end of 2001, Gilbert-Biro said.
The New York City-based company also reported a net loss of $387 million during the fourth quarter, because of charges taken in connection with the settlement of the Enron surety litigation. The charges also were taken for the establishment of a litigation reserve because of “certain material litigation, proceedings, and investigations,” the company said.
Shares of JPMorgan Chase were up $0.51 at $23.80 near midday trading, according to CBSMarketwatch.com.