The US’s subprime mortgage fallout had another victim as financially troubled Countrywide Financial Corp. under stiff criticism cancelled several upscale meetings including one in posh Bachelor Gulch, CO.
The planned meetings drew heavy criticism from the news media and political officials.
US Senator Charles Schumer was among others who characterized the planned trips as inappropriately extravagant.
“In light of recent events,†the Calabasas, Calif.-based company said, it had decided to cancel all gatherings with business partners and clients for the rest of the year.
Two other meetings at the Westin Diplomat Resort & Spa in Hollywood were also cancelled.
John Reed, chairman of the American Credit union Mortgage Association, told M&C:
“I don’t necessarily feel that all strategic, well-functioning conferences should fall under the budget knife, but certainly those conferences that don’t pack a real strategic punch could be eliminated when dollars are right.â€
Countrywide recently reduced its work force by 11,400 or 19%.
Report by David Wilkening
