Countrywide Financial Corp. has borrowed $11.5 billion from 40 of the world's largest banks and is speeding up plans to move its mortgage loan production over to its banking division, Countrywide Bank FSB. The move -- announced a day after a Merrill Lynch analyst said the nation's largest lender could face bankruptcy if it's unable to obtain money to continue making loans -- was a response to liquidity shortages and a lack of demand for securities backed by non-agency mortgage loans, Countrywide officials said. Secondary market demand for mortgages that aren't eligible for repurchase by government-sponsored entities (GSEs) Fannie Mae or Freddie Mac has "been disrupted in recent weeks," Countrywide President and Chief Operating Officer David Sambol said in a statement. "Along with reduced ...
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