On 1/8/07, MEDecision Inc. shares plunged 38% to $6.05 after the the company said it expects fourth-quarter revenue of $10.3 million to $10.6 million. MEDecision said it signed five contracts during the quarter, resulting in lower-than expected term license revenue of between $1.1 million and $1.3 million.

The company also said that it intends to sell its subprime residential real-estate lending business. In a statement on 3/2/07, Fremont General said that the decision was "prompted by the company's receipt on Feb. 27 of a proposed cease-and-desist order" from the Federal Deposit Insurance Corp. The company added that the FDIC order contained requests for changes that would restrict Fremont General's level of subprime residential-mortgage lending but offered no further details.

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