rams home loans in free fall

RAMS Plummets 50% mmmmmmmmmm

Rams Home Loans Fails to Refinance Debt; Shares Slump (Update1)

By Laura Cochrane

Aug. 16 (Bloomberg) -- Rams Home Loans Group Ltd., an Australian lender that went public last month, failed to refinance short-term debt as buyers shun credit markets on concern that subprime losses will deepen.

Rams slumped as much as 41 percent on the Australian Stock Exchange. The shares fell to 83 cents at 11:19 a.m. in Sydney, compared with A$2.50 paid by investors before the stock listed on July 27.

The Sydney-based lender cited the ``tightening of the global credit markets'' for being unable to sell A$6.17 billion ($5 billion) of so-called extendable commercial paper, the company's largest source of funding for its loans, it said in a statement today.

Rams has 180 days to find buyers for the debt, who will get a rate that yields 25 basis points more than the London interbank offered rate, or libor, the company said. This debt yielded less than libor about two weeks ago.

The lender has been given temporary funding of A$1 billion by two of its providers, Rams said in the statement.

NOT GOOD AT ALL. No Wonder Rams where A little Sheepish In There Recent Media Reports