Accredited Home Lenders' CEO Konrath Steps Down
Accredited Home Lenders Holding Co. said Tuesday that founding CEO James A. Konrath has retired from his post; no reasons for his departure were given, although sources suggest the exit was planned in accordance with the firm's acquisition by Lone Star Funds last October. Konrath founded Accredited Home Lenders and saw the company rise to prominence during the subprime lending boom; the company has since become a shell of its former self, as the subprime lending industry collapsed during 2007. In early February, Konrath made headlines by suggesting that the former subprime giant would look to "test the waters" by securitizating a deal sometime later this year. Succeeding Konrath as chairman and chief executive officer on an interim basis will be Jim Moran, managing director of Hudson Advisors. Hudson Advisors has managed and serviced investments acquired by Lone Star Funds since 1995, the company said in a press statement. Terms of Konrath's retirement package were not disclosed, and it was unclear what -- if any -- severance package was being offered to the CEO in retirement. Countrywide's Angelo Mozilo had undergone intense scrutiny in recent months over a severance package that would be awarded should he step down from his post upon a successful merger with Bank of America; he recently decided to forego the severance pay over legislative and consumer uproar.