Countrywide Responds to Hurricane Devastation on Gulf Coast

CALABASAS, Calif., Sept. 2 /PRNewswire/ -- Countrywide Financial Corporation (NYSE: CFC - News), a diversified financial services provider and a member of the S&P 500, and its work force of nearly 50,000 employees extend our thoughts and prayers to the families and communities devastated by Hurricane Katrina and its aftermath.

"Our thoughts are with the residents of the Gulf Coast, including those in our own Countrywide family, whose losses are unimaginably profound," said Countrywide Chairman and CEO Angelo R. Mozilo.

Countrywide has implemented its emergency response and crisis management plans and is eager to do everything possible to help the Gulf Coast communities. The company offers the following information to assist homeowners impacted by the hurricane:

For Countrywide mortgage customers -- (800) 669-6607

A toll-free hotline has been established for hurricane victims with questions and requests related to their existing Countrywide mortgage. Countrywide will work with every borrower who has lost his or her home and encourages them to call the hotline as soon as possible.

For customers of Countrywide Insurance Services -- (888) 556-8336

Customers who purchased their insurance through Countrywide Insurance Services and have experienced property losses may receive information about how to file a claim or ask questions regarding their insurance policies.

"We are also, of course, very concerned for our nearly 500 employees who live and work in the Gulf Coast area," said Mozilo. "These dedicated people have served the home financing needs of tens of thousands of homeowners in the impacted communities and, despite their own losses, are still amazingly focused on continuing their important work."

With the humanitarian crisis continuing to unfold, the company does not yet have a full assessment of its 24 branches in the affected areas and is placing a priority on the safety and security of its employees. At this point in time, 15 branches are closed. Countrywide has established contact with most employees in the impacted areas, and both the company and its employees are offering shelter, financial assistance, and most importantly, compassion. Employees in these communities will continue to receive their salaries and benefits during this difficult time. Additionally, the Countrywide Foundation has a disaster relief fund in place to assist employees who have suffered losses.

Countrywide will provide updates and more detailed information as they become available.

About Countrywide Financial Corporation

Founded in 1969, Countrywide Financial Corporation is a member of the S&P 500 and Fortune 500. Through its family of companies, Countrywide provides mortgage banking and diversified financial services in domestic and international markets. Mortgage banking businesses include loan production and servicing principally through Countrywide Home Loans, Inc., which originates, purchases, securitizes, sells, and services primarily prime- quality loans. Also included in Countrywide's mortgage banking segment is the LandSafe group of companies that provide loan closing services. Diversified financial services encompass capital markets, banking, insurance, and global, largely through the activities of Countrywide Capital Markets, a mortgage- related investment banker; Countrywide Bank, a division of Treasury Bank, N.A., a banking entity offering customers CDs, money market accounts, and home loan products; Balboa Life & Casualty Group, whose companies are national providers of property, liability, and life insurance;

Balboa Reinsurance, a captive mortgage reinsurance company; and Global Home Loans, a European mortgage banking joint venture in which Countrywide holds a majority interest.

What are people saying about mortgages today:

Rates on 30-year mortgages edged down last week to a seven-month low. Mortgage-giant Freddie Mac reported Thursday that 30-year, fixed-rate mortgages fell to 6.3 percent, down slightly from 6.31 percent two weeks ago. It put rates at the lowest level since they were at 6.24 percent the first week of March.

Bank of Hawaii, Central Pacific Bank, Territorial Savings Bank and Wells Fargo Home Mortgages all cut their 30-year mortgage rates to 5.75 percent this week.

Most people think of a mortgage as a means to an end. After all, you buy a house, not a home loan. But a mortgage is much more than the path to homeownership. It is a financial instrument that must be managed, just like any other financial investment.