Capmark Financial Group, one of the nation's largest financial lenders, filed for bankruptcy Sunday, claiming total debt of $21 billion and total assets of $20.1 billion. It seeks to continue doing business while it reorganizes.
Capmark has been hurt by rising losses from soured commercial loans, foreclosing on such landmark properties as the Equitable Building in Atlanta.
We view this reorganization process as an unfortunate but necessary response to recent unprecedented conditions in financial and commercial real estate markets, which presented a significant challenge for Capmark and similarly situated finance companies, Capmark President and CEO Jay Levine said in a statement.
Source: Associated Press, Betsy Vereckey (10/25/2009)