GMAC-RFC Announces Strategic Alliance With Mortgage Lenders Network USA; GMAC-RFC to Help Lender Become Top-Tier Subprime Mortgage Originator

GMAC-RFC Announces Strategic Alliance With Mortgage Lenders Network USA; GMAC-RFC to Help Lender Become Top-Tier Subprime Mortgage Originator

		GMAC-RFC LOGO GMAC-RFC (Residential Funding Corporation) logo. GMAC-RFC, a wholly owned subsidiary of General Motors Acceptance Corporation, is America's largest private-label issuer of mortgage-backed securities and a leading warehouse lender. The company leverages its strengths in securitization, lending and investment to offer a broad portfolio of innovative capital solutions. The company is headquartered in Minneapolis and operates in the United States, Europe, Latin America and Japan. Contact: http://www.rfc.com. (PRNewsFoto)[KI] MINNEAPOLIS, MN USA

MINNEAPOLIS, Aug. 28 /PRNewswire/ -- GMAC Residential Funding Corporation (GMAC-RFC) today announced a strategic alliance with Mortgage Lenders Network USA (MLN), a leading wholesale lender of subprime mortgages. GMAC-RFC will provide MLN with a committed warehouse lending facility and revolving line of credit, while MLN will deliver subprime mortgages to GMAC-RFC. (Photo: http://www.newscom.com/cgi-bin/prnh/20000324/MNF002 ) "This alliance is in keeping with our commitment to provide innovative capital solutions to our business partners," said Kevin Miller, managing director, strategic alliances and acquisitions (SAAG) for GMAC-RFC. "We look forward to providing MLN with the facilities and credit it needs to become a top-tier subprime mortgage originator." The alliance also serves GMAC-RFC's strategy to continually grow its specialty finance market position by teaming up with its business partners. Marty McCormack, director, SAAG, said, "By pairing GMAC-RFC's access to capital markets with MLN's quality products, we can leverage both companies' strengths into a strong financing relationship." The alliance will allow MLN to participate in GMAC-RFC's subprime mortgage securitization program while pursuing its business strategy to grow into a premiere subprime mortgage originator. In addition, convertible debt issued to GMAC-RFC will provide the company with the ability to participate in MLN's future success. "MLN has a solid, experienced management team and staff with a proven ability to grow subprime mortgage operations in a controlled manner," said Dan Schroer, director, SAAG. "We look forward to a mutually beneficial business relationship with MLN." Mitchell Heffernan, president of MLN, said, "GMAC-RFC is providing us with the capital resources we need to be effective subprime lenders. We are excited about the competitive advantage this financing provides MLN." Founded in 1996, Mortgage Lenders Network USA is a leading wholesale lender/servicer focused on the needs of subprime mortgage brokers and bankers throughout the United States. MLN has over 250 employees across the country, originated $1 billion of loans in 1999 and services a portfolio in excess of $2 billion. With headquarters in Middletown, Conn., MLN has regional offices in Chicago, Philadelphia, Atlanta and Phoenix. http://www.mlnusa.com GMAC-RFC, a wholly owned subsidiary of General Motors Acceptance Corporation, is America's largest non-agency issuer of mortgage-backed securities and number-one warehouse lender. The company leverages its strengths in securitization, lending and investment to offer a broad portfolio of innovative capital solutions. The company is headquartered in Minneapolis and operates in the United States, Europe, Latin America and Japan. http://www.gmacrfc.com