Market Overview

Newcastle Announces the Sale of CDO X Interests

Newcastle Investment Corp. (NYSE: NCT) today announced
that it has completed the sale of 100% of its interests in CDO X to the
sole owner of the senior notes and another third party, in connection
with the liquidation and termination of CDO X. The Company received $130
million for $89.75 million face amount of subordinated notes and all of
its equity in CDO X. The sale and resulting deconsolidation of CDO X
from the Company's balance sheet will eliminate the impact of CDO X's
negative net book value and generate an approximately $200 million gain
for the third quarter.

A condition to the sale of its interests was the right to purchase
certain collateral held by CDO X. This

See full press release

Posted-In: News Asset Sales

 

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