Countrywide Home Loans Becomes Nation's #1 Mortgage Lender in Emerging Markets

CALABASAS, CA – As a result of its ongoing effort to increase homeownership in low-income and minority communities, Countrywide Home Loans, Inc., a national leader in residential finance, today announced it has become the nation’s leading mortgage lender to emerging markets communities, which include African American, Hispanic, Asian/Pacific Islander and American Indian/Alaskan Native homeowners.

The announcement was based on annual Home Mortgage Disclosure Act (HMDA) data for 2003 released by the Federal Financial Institutions Examinations Council, which compiles the mortgage lending results reported by lenders nationwide to federal regulators. According to the data, Countrywide Home Loans originated or purchased 440,870 loans made to members of minority groups — the highest number reported by any mortgage lender and an increase in loan volume of 65.5 percent over the previous year. The HMDA report also showed that Countrywide maintained a leading role nationally as one of the largest providers of home loans in low-income communities and to low-income homeowners.

“We’re extremely proud of our accomplishments as they clearly demonstrate our long-standing commitment to provide all Americans with the opportunity to achieve the dream of homeownership,” said Countrywide Financial Corporation Chairman and CEO Angelo Mozilo. “These results underscore our ongoing efforts to discover new approaches to turn individuals and families into homeowners, to develop new loan products that reduce or eliminate the obstacles to homeownership and to make it easier for families to qualify for loans.”

According to the 2003 HMDA data, Countrywide Home Loans’ achievements include:

• Providing $74.7 billion in loans to African American, Asian, Hispanic and American Indian homebuyers nationwide
• Providing 193,497 loans to Hispanic borrowers, or 12.6 percent of all home loans to Hispanics
• Providing 108,480 loans to African American borrowers, or 9.6 percent of all home loans to African Americans
• Providing 120,858 loans to Asian borrowers, or 13.7 percent of all home loans to Asians
• Providing 18,035 loans to American Indian borrowers, or 27.3 percent of all home loans to American Indians

Countrywide assumed the leadership role in mortgage lending to emerging market groups by taking steps to better serve those communities. The company increased its hiring of bilingual and multicultural employees; expanded marketing and advertising in ethnic communities; strengthened its relationship with brokers and other intermediaries; joined in educational initiatives with various community and church groups in programs to foster homeownership; and developed innovative mortgage products specifically geared to help broaden the range of individuals and families who may qualify for loans.

Chief among the new products is Countrywide’s Optimum Loan(SM) program with features specifically designed to assist the many creditworthy individuals who have little or no funds for down payments and closing costs — one of the biggest obstacles to homeownership. The program requires a cash contribution of the lesser of one percent of the home’s sale price or $500. The program includes flexible underwriting guidelines that consider non-traditional credit, income and asset sources.

About Countrywide Home Loans, Inc.
Founded in 1969, Countrywide Financial Corporation (NYSE: CFC) is a member of the S&P 500 and Fortune 500. Countrywide, through its subsidiaries, 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. The company is headquartered in Calabasas, California and has more than 35,000 employees with over 600 offices. For more information about the company, visit Countrywide’s Web site at www.countrywide.com.