IndyMac Defends Business Model Against Schumer Critique; Works to Raise More Capital in Wake of Moody’s Downgrade
July 3, 2008
IndyMac Bank defended its business model this week, after coming under tremendous pressure from rating services and public questioning by Sen. Chuck Schumer, D-NY, of the company’s financial condition. Moody’s Investors Service cut IndyMac’s servicer-quality ratings due to concerns about its level of capital. Schumer’s cage-rattling appeared to play a role in the flight of some...