NEW YORK (Reuters) - Merrill Lynch & Co Inc (MER.N) plans to wind down most of its First Franklin subprime mortgage lending unit, responding to continued deterioration in U.S. mortgage markets, business news channel CNBC reported Thursday.
The move could result in the elimination of 400 to 500 jobs starting next week, CNBC reported. Merrill would keep First Franklin’s loan servicing business, which could perform well in the current mortgage and housing markets, CNBC said.
Merrill spokeswoman Jessica Oppenheim declined to comment.
Merrill, which ceased originating subprime mortgages on December 28, on Monday said it was “evaluating our continued …
