Student loan securitizer First Marblehead Corp agreed to sell its variable interests in its student loan trusts for $13 million in cash and said it will book a non-cash gain of $1.2 billion through deconsolidation of its financial statements.The company said it sold its interests in its National Collegiate Student loan trust to VCG Special Opportunities Master Fund Ltd."The elimination of our variable interests will allow First Marblehead to deconsolidate the NCSLT trusts, significantly simplifying our consolidated financial statements," Chief Executive Daniel Meyers said.During the second quarter, assets of about $6.7 billion and liabilities of about $7.9 billion will be deconsolidated from the consolidated financial statements, resulting in a gain, the company said.
The First Marblehead Corporation (First Marblehead) is a savings and loan holding company. Shares of FMD traded higher by 8.79% or $0.08/share to $0.99. In the past year, the shares have traded as low as $0.94 and as high as $2.55. On average, 212484 shares of FMD exchange hands on a given day and today's volume is recorded at 508664.
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