Their goal from what I can tell based on the news circling the company that I have read is to return to profitability by the end of 2008. They have been frantically cutting costs, raising capital, and consolidating shops for the past couple of months.
I really like a couple of Assistant Underwriters here who were sent to the Charlotte branch from Jersey when they consolidated the two shops; this was only a couple of months ago. Now GMAC is shutting down the Charlotte branch and moving everyone to Texas.
When they first consolidated a couple of branches I noticed a huge gap in service and it gets worse every time they shut down and consolidate branches.
The reason that I am asking you all if you think that GMAC has done the right thing is because it seems to me that they are swapping lower overhead for service. I just kind of think that this way of thinking is short sighted. Their overhead may be lower but they are also going to originate a lot less and do a lot less business in general.
I'd bet that while they are reducing costs that their operating ratios are not improving all that much. Whats your take?
Christopher Ohlsen
37 Boynton Ave
(845) 243-5293 (Office)
(518) 565-0799 (Cell)
www.plattsburghmortgage.net
chris.ohlsen@guaranteedrate.com
