DebtX Wins Patent for Loan-Trading System

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BOSTON,  May 16, 2006

DebtX has been awarded patent number 7,035,820 by the United States Patent and Trademark Office for its online loan-sale system.

The Boston company was formed in 2000 with a plan to add efficiency and liquidity to the secondary loan-sales market. It automated much of the due-diligence process and developed a system through which investors are given wide flexibility when competing for loans that are offered.

The patent is the first known to be awarded for a loan-sales and origination process and is seen as a way for Debtx to protect the investments it has made in developing its system. The company has a number of other patents pending.

The company's system "has ushered in a new era of active portfolio management for financial institutions," Kingsley Greenland, chief executive and a co-founder of Debtx, said. "The U.S. patent for DebtX is another milestone for the company and demonstrates our commitment to applying fresh thinking to create innovative solutions."