Ally Financial Completes Sales of European Mortgage Assets and Operations

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Oct 01, 2010, 11:32 ET

MINNEAPOLIS, Oct. 1 /PRNewswire/ -- Ally Financial Inc. (Ally) today announced that its mortgage subsidiary, Residential Capital, LLC (ResCap), has completed the sales of its European mortgage assets and operations to affiliates of certain funds managed by affiliates of Fortress Investment Group LLC (NYSE: FIG).

"The completion of these sales is another milestone toward our objective of reducing exposure in the legacy mortgage operation," said Ally Chief Executive Officer Michael A. Carpenter. "In addition to these transactions, we continue to sell other legacy assets and remain focused on defining the best long-term strategy for our origination and servicing business."

The sales include a combination of approximately US$11 billion of securitized loans, other loan assets (including non-performing loans) and servicing rights, and the shares of the related operating entities in the United Kingdom, Germany and The Netherlands. With the completion of these transactions, Ally has effectively exited the European mortgage market.

About Ally Financial Inc.

Ally Financial Inc. (formerly GMAC Inc.) is one of the world's largest automotive financial services companies. The company offers a full suite of automotive financing products and services in key markets around the world. Ally's other business units include mortgage operations and commercial finance, and the company's subsidiary, Ally Bank, offers online retail banking products. With more than $176 billion in assets as of June 30, 2010, Ally operates as a bank holding company. For more information, visit the Ally media site at http://media.ally.com.

About Residential Capital, LLC

Residential Capital, LLC (ResCap) is a wholly owned subsidiary of Ally Financial Inc. specializing in residential mortgage finance. ResCap's subsidiary GMAC Mortgage LLC originates and services residential mortgages under the GMAC Mortgage and ditech(SM) brand names.