Countrywide CEO says bankruptcy not an option
NEW YORK (Reuters) - Countrywide Financial Corp CFC.N Chief Executive Angelo Mozilo said on Monday he doesn't expect the largest U.S. mortgage lender to file for bankruptcy protection, saying the "elements are certainly not there."
In an interview on CNBC television, Mozilo also said he is not in talks with Bank of America Corp (BAC.N) for a further cash infusion, following a $2 billion injection in August.
"Countrywide is a strong, viable financial company," Mozilo said. "Bankruptcy is an issue that nobody can ever eliminate, although I don't think it's possible or probable for Countrywide."
Bank of America's infusion could give it a one-sixth stake in Calabasas, California-based Countrywide. The investment has lost about $813 million on paper, based on Monday's closing price.
Countrywide lost $1.2 billion in the third quarter, but has said it expects a fourth-quarter profit. Results have suffered as the U.S. housing market deteriorated. Countrywide shares closed Monday down 14 cents, or 1.3 percent, to $10.68 on the New York Stock Exchange. They have fallen 75 percent this year.
In another portion of the CNBC interview, Mozilo declined to comment on whether Countrywide would maintain its 15 cents-per-share quarterly common stock dividend.
(Reporting by Jonathan Stempel; Editing by Tim Dobbyn)
