- "The business is not projected to meet our financial expectations due to ongoing challenges to our home loans operating model," says Carlos Minetti, president of consumer banking at Discover (NYSE:DFS).
- Discover acquired the business - known now as Discover Home Loans - in 2012. Operations at the unit will continue until August, when AmeriSave Mortgage will take over the processing of remaining applications. About 460 employees will be affected. Discover will continue to originate home equity loans through its bank.
- The company expects to take about a $0.04 per share charge related to the exit.
- Source: Press release