Having seen the mortgage markets contract in the past, I can tell you from experience that this is just the first round of layoffs. This lender is attempting to reconfigure for competing outside of it’s primary niche. It probably won’t be successful at that because they have no experience in operating in those markets and no momentum to carry them through the transition. As a company entity they may or may not survive, but if they do it won’t be in their current visage as a subprime lender.