Skip to main content

Flagstar CEO Campanelli Projects Profitability for 2012 as FHA and HUD Issues Are Resolved

Feb 27, 2012

Flagstar Bancorp Inc., the holding company for Flagstar Bank FSB, announced that it has entered into an agreement with the U.S. Department of Justice (DOJ) relating to underwriting practices associated with loans insured by the Federal Housing Administration (FHA) of the U.S. Department of Housing & Urban Development (HUD). As a result of the agreement, Flagstar will be revising its Q4 and full year 2011 financial results. "Flagstar Bank is one of the leading originators and servicers of FHA insured loans, and we remain committed to continuing in that capacity," said Joseph P. Campanelli, chairman of the board, and president/chief executive officer of Flagstar. "This agreement with the Department of Justice allows us to move forward, and to continue to focus on core operations and on serving our customers." "As our recent results demonstrate, our mortgage origination, commercial and retail banking operations continue to perform well, positioning us to achieve profitability in 2012," said Campanelli. Importantly, the default rates on the FHA loans we have underwritten continue to perform favorably relative to the rest of the industry. We are pleased to have resolved this matter and look forward to continuing as a committed partner with FHA and HUD. We look forward to executing on our strategic plan to grow and diversify our business and create value for our shareholders."
About the author
Published
Feb 27, 2012
Co-Founder Mat Grella Terminated From NEXA

NEXA CEO Kortas states negotiations regarding the buyout will continue.

Mar 27, 2024
Comings And Goings At AmeriHome

Chief Operating Officer John Hedlund announced his retirement on Thursday in a LinkedIn post.

Mar 22, 2024
Rocket's Tim Birkmeier To Retire

Birkmeier is bidding farewell after a 28-year career at Rocket Companies.

Mar 21, 2024
How NAR’s Settlement Impacts Homebuying

While the settlement's silver lining is that homes are expected to become more affordable, many uncertainties loom over the housing market.

Mar 19, 2024
NAR Reaches $418 Million Settlement

The association agreed to give home sellers the option of compensating agents.

Mar 15, 2024
U.S. Non-Bank Mortgage Lenders Surge Amid Industry Consolidation, Fitch Ratings Reports

As smaller players exit the market, scaled originators like UWM and PennyMac Financial dominate, but challenges persist with low origination volume and pressured margins amidst rising interest rates.

Mar 14, 2024