Items Tagged with 'H&R Block Inc.'

ARTICLES

  • Massachusetts AG Sues Option One, H&R Block

    Option One may be gone from H&R Block's books, but the ghost of the subprime lender continues to haunt the tax preparer's present operations. Massachusetts Attorney General Martha Coakley said Tuesday that she had sued Option One Mortgage Corp. as well as H&R Block, Inc. [stock HRB][/stock] over alleged deceptive and discriminatory lending practices.
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  • New Option: H&R Block Completes Sale of Subprime Servicer

    The freakish experiment of tax-preparer-as-subprime-servicer is finally over. H&R Block Inc. [stock HRB][/stock] said Thursday it successfully closed on its $1.3 billion deal to send Option One Mortgage Corp.'s servicing business to an affiliate of WL Ross & Co. LLC, the company run by billionaire investor Wilbur Ross. Ross also purchased the servicing platform of now-bankrupt American Home Mortgage late last year, creating American Home Mortgage Servicing, Inc.
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  • H&R Block: Losses Soar on Option One Debacle

    H&R Block, Inc., the nation's largest tax preparer, said this morning in a filing with the Securities and Exchange Commission that it will report surprisingly large losses for the quarter ended October 31, 2007 due to problems at its Option One Mortgage Company franchise -- once one of the largest subprime lenders in the United States.
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  • H&R Block CEO Departs Amid Subprime Criticism

    Less than three weeks after the departure of its CFO, H&R Block, Inc. said this morning that CEO Mark Ernst has resigned as the company looks to restructure amid mounting losses from its subprime lending unit Option One Mortgage Corporation. Here is the full press statement.
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  • Option One to Slash 575 Additional Jobs

    Per an SEC filing tonight, H&R Block, Inc. said it is expanding its restructuring efforts for its troubled subprime mortgage sub Option One Mortage Company and will eliminate an additional 575 jobs beyond originally-reported numbers. From the filing:
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  • H&R Block to Sell Option One to Cerberus; Expects Full-Year Loss in 2007

    H&R Block Inc. (NYSE:HRB) announced Friday that it will sell Option One to an affiliate of Cerberus Capital Management, L.P., a well-known private investment firm with numerous existing investments elsewhere in the mortgage industry, in a deal currently worth an estimated $970 million. The transaction excludes Option One subsidiary H&R Block Mortgage Corp., and H&R Block said that it will cease operations at its direct lending subsidiary as a result. The tax services provider also said that it expects to report an annual loss for its 2007 fiscal year as a result of roughly $350 million in charges associated with the sale of Option One and the exit of H&R Block Mortgage.
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  • H&R Block Having Trouble Selling Option One

    H&R Block Inc. (NYSE:HRB) today said that it remains in negotiations to sell its Option One Mortgage Corporation subsidiary, noting that it will be unable to unload the subprime lender by the end of March as it had earlier indicated. The tax services company has been looking to sell Option One since November, and faulted "recent events in the subprime mortgage industry" for delaying the sale of the lending unit it owns. Rumors that Option One had been sold were gaining momentum earlier in the week, with numerous sources suggesting the company might announce a sale as early as Tuesday of this week.
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