T R O U B L E D   C O M P A N Y   R E P O R T E R

            Saturday, February 23, 2008, Vol. 12, No. 46

                             Headlines



AEGIS MORTGAGE: Incurs $9,357,902 Net Loss in December 31
AMERICAN HOME: Reports $17,031,574 Net Loss in November 2007
AMERICAN HOME: AHMC Files November 2007 Operating Report
AMERICAN HOME: AHMA Files October 2007 Operating Report
AMERICAN HOME: AHMS Files October 2007 Operating Report

AMERICAN HOME: AHMH Files October 2007 Operating Report
AMERICAN HOME: Great Oak Files October 2007 Operating Report
AMERICAN HOME: Ventures Files October 2007 Operating Report
AMERICAN HOME: Homegate Files October 2007 Operating Report
ARMSTRONG WORLD: Desseaux Files Operating Report for December 2007

ARMSTRONG WORLD: Nitram Files Operating Report for December 2007
LEVITT & SONS: Lists $428.9 Mil. Liabilities in Amended Schedules
LEVITT & SONS: Debtor-Affiliates Amend Schedules of Assets & Debts
LIONEL LLC: Delivers Dec. 31, 2007 through Jan. 27, 2008 Report
MARCAL PAPER: Reports $7,009,000 Net Loss in December 2007

NATIONAL RV: December 2007 Report Shows Net Loss of $1,341,417
NEW YORK RACING: Posts $3,751,206 Net Loss in January 2008
OUR LADY OF MERCY: December 2007 Report Shows Net Loss of $118,000
VESTA INSURANCE: Florida Select Submits Report for January 2008



                             *********

AEGIS MORTGAGE: Incurs $9,357,902 Net Loss in December 31
---------------------------------------------------------

                Aegis Mortgage Corporation, et al.
                    Consolidated Balance Sheet
                      As of December 31, 2007

                              Assets

Unrestricted Cash & Equivalents                     $26,664,643
Restricted Cash and Equivalents                      19,717,723
                                                 --------------
  Total Cash and Cash Equivalents                    46,382,367


Prime loans                                           3,875,396
Nonconforming Loans                                   2,245,726
Loan Premium, net                                     2,169,645
Repurchased Loans                                     6,332,404
Loan Loss Reserve                                             -
                                                 --------------
  Mortgage Loans Held for Sale                       14,623,171


ABS Nonconforming                                 3,453,258,334
ABS Loan Premium, net                               (20,680,877)
ABS Loan Loss Reserve                              (209,371,728)
                                                 --------------
  Mortgage Loans Held for Investment              3,223,205,729

Accrued Interest - Loans Held for Sale                        -
Accrued Int. - Loans Held for Investment             24,276,209
                                                 --------------
Accrued Interest Receivable                          24,276,209

Mortgage Servicing Rights                                     -
Property and Equipment, net                           2,166,964
Deferred Income Taxes                               130,282,623
Goodwill                                                      -
Prepaid Rent and Deposits                               648,256
Derivative Assets                                     4,837,420
Receivable for Advances                              45,279,281
Servicer Related                                        338,300
Other Assets                                        640,891,283
Intercompany Receivable                                       -
                                                 --------------
TOTAL ASSETS                                     $4,132,931,602
                                                 ==============

                Liabilities & Shareholder's
Equity

N/P Warehouse - Prime                               540,186,233
N/p Warehouse - Nonconforming                        25,222,476
N/P Warehouse - Other                                19,550,612
N/P Warehouse - Repurchased                          11,933,754
                                                 --------------
Revolving Warehouse and                             596,893,074
  Repurchase Facilities

Bonds Payable                                     3,340,122,085
NAS IO Bonds Payable                                          -
NIM Bonds Payable                                    53,038,442
Bond Premium, net                                   (22,858,883)
                                                 --------------
  Bond Financing on Mortgage                      3,370,301,644
  Loans Held for Investment

  Subordinated Debt                                 177,156,872
  Accrued Interest Payable                            6,764,510
  Accounts Payable and                               83,676,330
   Accrued Expenses
  Notes Payable-Other                                         -
                                                 --------------
Total Liabilities                                 4,234,792,430

Common Stock                                             97,386
Preferred Stock                                         104,000
Other Comprehensive Income                                    -
Paid in Capital                                      50,959,490
Distributions                                                 -
Treasury Stock                                                -
Dividends                                               (39,000)
Retained Earnings                                    91,041,942
Current Net Income Prepetition                     (101,668,590)
Current Net Income                                 (142,356,056)
                                                 --------------
Total Equity                                       (101,860,828)
                                                 --------------
TOTAL LIABILITIES & EQUITY                       $4,132,931,602
                                                 ==============


                 Aegis Mortgage Corporation, et al.
                   Consolidated Income Statement
                      December 1 to 31, 2007

Loans Held for
Sale
  Interest Income                                       $74,639
  Interest Expense                                           (0)
  Servicing Expense                                           -
                                                 --------------
  Net Interest Income                                    74,639

Loans Held for Investment
  Interest Income                                    25,524,537
  Interest Expense                                  (15,206,097)
  Servicing Expense                                  (1,501,530)
                                                 --------------
  Net Interest Income                                 8,816,909

Gains on Sale                                        (8,723,640)
Premiums Paid                                           (34,191)
Loan Points                                             194,844
Loan Origination Fees                                    60,599
Broker Fees Received                                          -
                                                 --------------
  Production Income                                  (8,502,388)

Servicing and Prepayment Income                         119,427
Late Charges                                              1,122
                                                 --------------
  Total Servicing Fees                                  120,550

Other income                                            (76,021)
                                                 --------------
Total Revenue                                           433,689

Salaries                                                338,001
Bonuses                                                 117,246
Commissions                                                   -
Employee Benefits                                        18,917
Payroll Taxes                                            13,232
Meetings & Travel                                         9,956
Meals & Entertainment                                     2,116
                                                 --------------
  Total Personnel Expenses                              499,468

Rent                                                    106,874
Telephone                                                91,240
Office Supplies                                            (260)
Shipping & Postage                                        8,410
Equipment                                             1,066,070
                                                 --------------
  Total Office Expenses                               1,272,334

Professional expense                                  1,378,911
Marketing                                                     -
Loan Related Expenses                                    65,236
Banking                                                     500
Other Taxes/Licenses/Fees                                   (49)
Other Expenses                                          167,419
                                                 --------------
  Total Other Expenses                                1,612,017

  Direct Operating Expense                            3,383,819
  Direct Operating Income                            (2,950,130)

Loan Loss Provision                                   5,998,360
Deferred SFAS 91 Expenses                                93,900
Sub Debt Expense
  80900 Sub Debt Expense                                      -
  72910 Depreciation Expense                            206,976
Depreciation Expense                                    206,976
Amortization                                                  -
Direct Allocation to Subs                                     -
Allocation Between Subs                                       -
                                                 --------------
  Indirect Operating Expense                          6,299,237
                                                 --------------
Total Expenses                                        9,683,056

Income (Loss) Before Taxes                           (9,249,366)

Federal and State Income Taxes                          108,536
                                                 --------------
Net Income (Loss)                                   ($9,357,902)
                                                 ==============


                Aegis Mortgage Corporation, et al.
                    Receipts and Disbursements
                  Month Ended December 31, 2007

Balance at Beginning of Period                      $20,473,178

RECEIPTS:
Cash Sales                                                    0
Accounts Receivable                                     192,646
Loans and Advances                                      148,742
Sale of Assets                                        7,287,764
Other Insurance Premiums                                299,157
Transfers (from DIP Accounts)                                 0
Return of Investments
   Moulton Reinvestment                                       0
                                                 --------------
   Total Receipts                                     7,928,309

DISBURSEMENTS:
Net Payroll                                            (369,972)
Payroll Taxes                                          (118,840)
Sales, Use & Other Taxes                                   (271)
Inventory Purchases                                           0
Secured/Rental/Leases                                   (39,644)
Insurance--Health Benefits                              (39,777)
Administrative                                         (219,061)
Selling                                                       0
Other NSF's                                                   0

Owner Draw                                                    0
Transfers to DIP Accounts                                     0

Professional Fees                                      (950,778)
U.S. Trustee Professional Fees                                0
Court Costs                                                   0
                                                 --------------
Total Disbursements                                  (1,738,344)

Net Cash Flow                                         6,189,965

Cash-End of Month                                   $26,643,143
                                                 ==============

Headquartered in Houston, Texas, Aegis Mortgage Corporation --
http://www.aegismtg.com/-- offers a variety of mortgage loan
products to brokers through its subsidiaries.

The company together with 10 affiliates filed for chapter 11
protection on Aug. 13, 2007 (Bankr. D. Del. Case No. 07-11119)
Curtis A. Hehn, Esq., James E. O'Neill, Esq., Laura Davis Jones,
Esq., and Timothy P. Cairns, Esq., at Pachulski, Stang, Ziehl, &
Jones, L.L.P., serve as counsel to the Debtors.  The Official
Committee of Unsecured Creditors is represented by Landis Rath &
Cobb LLP.  In schedules filed with the Court, Aegis disclosed
total assets of $138,265,342 and total debts of $4,125,470.  The
Debtors' exclusive period to file a plan of reorganization expires
on April 9, 2008.

(Aegis Bankruptcy News, Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


AMERICAN HOME: Reports $17,031,574 Net Loss in November 2007
------------------------------------------------------------

             American Home Mortgage Investment Corp.
                Statement of Financial Condition
                     As of November 30, 2007

Assets:
   Cash and cash equivalents                            $972,430
   Restricted cash                                   150,799,967
   Accounts receivable                                 7,724,691
   Intercompany receivable                         1,321,750,136
   Securities                                      1,314,012,230
   Derivative assets                                           5
   Investment in subsidiaries                       (927,618,830)
   Other assets                                            9,896
                                                  --------------
      Total Assets                                $1,867,650,525
                                                  ==============

Liabilities and Stockholders' Equity

   Liabilities:
      Reverse repurchase agreements                 $817,033,016
      Junior subordinated note                       180,416,000
      Derivative liabilities                          72,175,135
      Accrued expenses & other liabilities           546,507,327
      Intercompany payable                           572,814,990
                                                  --------------
         Total Liabilities                         2,188,946,468

   Stockholders' Equity
      Preferred stock - Series A                      50,856,875
      Preferred stock - Series B                      83,183,125
      Common Stock                                       543,074
      Additional paid-in capital                   1,057,864,155
      Retained earnings                           (1,513,743,172)
                                                  --------------
         Total Stockholders' Equity                 (321,295,943)
                                                  --------------
Total Liabilities & Stockholders' Equity          $1,867,650,525
                                                  ==============

             American Home Mortgage Investment Corp.
                       Statement of Income
                  Month Ended November 30, 2007

Net Interest Income:
   Interest income                                   $10,588,343
   Interest expense                                      (24,842)
                                                   -------------
      Net interest income                             10,563,501

   Provision for loan losses                                   -
                                                   -------------
      Net interest income after provision             10,563,501
        for loan losses

Non-Interest Income:
   Gain (loss) on mortgage loans                               -
   Loss on securities and derivatives                (29,807,083)
   Gain (loss) from Subsidiaries                       2,212,008
   Other non-interest income                                   -
                                                   -------------
      Non-interest income                            (27,595,075)

Other
   Data processing and communications                          -
   Other expenses                                              -
                                                   -------------
      Total expenses                                           0

Loss before income taxes                             (17,031,574)
Income taxes                                                   -
                                                   -------------
Net loss                                            ($17,031,574)
                                                   =============

             American Home Mortgage Investment Corp.
           Schedule of Cash Receipts and Disbursements
                  Month Ended November 30, 2007

Cash - Beginning of Month, 11/01/2007               $150,829,101

Receipts:
   Cash sales                                                  -
   Accounts receivable                                         -
   Sale of assets                                      4,109,620
   Loans and advances                                          -
   Administrative                                          1,006
   Net payroll                                                 -
   Other                                                       -
   Transfers (from DIP accounts)                               -
                                                   -------------
      Total Receipts                                   4,110,626

Disbursements:
   Net payroll                                                 -
   Payroll taxes                                               -
   Sales, use & other taxes                                    -
   Loans and advances                                          -
   Inventory purchases                                         -
   Secured/rental/leases                                       -
   Insurance                                                   -
   Administrative                                              -
   Selling                                                     -
   Other                                                       -
   Transfers (from DIP accounts)                       3,167,329
   Professional fees                                           -
   U.S. Trustee quarterly fees                                 -
   Court costs                                                 -
                                                   -------------
      Total Disbursements                              3,167,329
                                                   -------------
      Net Cash Flow                                      943,297
                                                   -------------
Cash - End of Month - 11/30/07                      $151,772,397
                                                   =============

Based in Melville, New York, American Home Mortgage Investment
Corp. (NYSE: AHM) -- http://www.americanhm.com/-- is a mortgage
real estate investment trust engaged in the business of investing
in mortgage-backed securities and mortgage loans resulting from
the securitization of residential mortgage loans originated and
serviced by its subsidiaries.

American Home Mortgage and seven affiliates filed for chapter 11
protection on Aug. 6, 2007 (Bankr. D. Del. Case Nos. 07-11047
through 07-11054).  James L. Patton, Jr., Esq., Joel A. Waite,
Esq., and Pauline K. Morgan, Esq. at Young, Conaway, Stargatt &
Taylor LLP, represent the Debtors.  Epiq Bankruptcy Solutions LLC
acts as the Debtors' claims and noticing agent.  The Official
Committee of Unsecured Creditors selected Hahn & Hessen LLP as its
counsel.  As of March 31, 2007, American Home Mortgage's balance
sheet showed total assets of $20,553,935,000, total liabilities of
$19,330,191,000.  The Debtors' exclusive period to file a plan
expires on March 3, 2008.  (American Home Bankruptcy News, Issue
No. 26, Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


AMERICAN HOME: AHMC Files November 2007 Operating Report
--------------------------------------------------------

                  American Home Mortgage Corp.
                Statement of Financial Condition
                     As of November 30, 2007

Assets:
   Cash and cash equivalents                         $27,669,503
   Restricted cash                                    12,536,255
   Securities purchased under agreements                       -
   Accounts receivable                                38,662,572
   Intercompany receivable                           704,019,746
   Mortgage loans                                  1,851,489,993
   Derivative assets                                     743,601
   Mortgage servicing rights                         381,271,012
   Other real estate, net                             46,941,607
   Premises and equipment, net                        28,734,501
   Investment in subsidiaries                         75,280,131
   Other assets                                        4,390,486
                                                   -------------
      Total Assets                                $3,171,739,407
                                                   =============

Liabilities and Stockholders' Equity

   Liabilities:
      Warehouse lines of credit                   $1,962,910,552
      Derivative liabilities                          10,481,560
      Accrued expenses & other liabilities           473,573,760
      Intercompany payable                         1,441,356,450
      Notes payable                                      913,068
      Income taxes payable                               574,011
                                                   -------------
         Total Liabilities                         3,889,809,401

   Stockholders' Equity
      Additional paid-in capital                     153,195,272
      Retained earnings                             (871,265,266)
                                                   -------------
         Total Stockholders' Equity                 (718,069,994)
                                                   -------------
Total Liabilities & Stockholders' Equity          $3,171,739,407
                                                   =============

                  American Home Mortgage Corp.
                       Statement of Income
                  Month Ended November 30, 2007

Net Interest Income:
   Interest income                                   $11,846,186
   Interest expense                                      (15,031)
                                                   -------------
      Net interest income                             11,831,155

   Provision for loan losses                                   -
                                                   -------------
      Net interest income after provision             11,831,155
        for loan losses

Non-Interest Income:
   Gain (loss) on mortgage loans                       3,872,048
   Loan servicing fees                                12,560,769
   Changes in fair value of MSR                      (12,211,224)
   Income (loss) from subsidiaries                     3,646,739
   Other non-interest income                          (5,286,137)
                                                   -------------
      Non-interest income                              2,582,195

Expenses
   Salaries, commissions & benefits, net               3,150,472
   Occupancy and equipment                             2,191,387
   Data processing and communications                    122,551
   Office supplies and expenses                          173,258
   Marketing and promotion                                41,477
   Travel and entertainment                                2,000
   Professional fees                                     535,839
   Other real estate operating expense                 6,754,719
   Other                                                (381,986)
                                                   -------------
      Total expenses                                  12,589,717

Loss before income taxes                               1,823,633
Income taxes                                                   -
                                                   -------------
Net loss                                              $1,823,633
                                                   =============

                  American Home Mortgage Corp.
           Schedule of Cash Receipts and Disbursements
                  Month Ended November 30, 2007

Cash - Beginning of Month, 11/01/2007                $37,085,935

Receipts:
   Cash sales                                                  -
   Accounts receivable                                         -
   Sale of assets                                              -
   Loans and advances                                 (1,434,738)
   Administrative                                              -
   Net payroll                                                 -
   Other                                              23,251,782
   Transfers (from DIP accounts)                       3,167,329
                                                   -------------
      Total Receipts                                  24,984,374

Disbursements:
   Net payroll                                        $7,086,835
   Payroll taxes                                               -
   Sales, use & other taxes                                    -
   Loans and advances                                          -
   Inventory purchases                                         -
   Secured/rental/leases                                       -
   Insurance                                                   -
   Administrative                                     14,777,716
   Selling                                                     -
   Other                                                       -
   Transfers (from DIP accounts)                               -
   Professional fees                                           -
   U.S. Trustee quarterly fees                                 -
   Court costs                                                 -
                                                   -------------
      Total Disbursements                             21,864,551
                                                   -------------
      Net Cash Flow                                    3,119,822
                                                   -------------
Cash - End of Month - 11/30/07                       $40,205,757
                                                   =============

Based in Melville, New York, American Home Mortgage Investment
Corp. (NYSE: AHM) -- http://www.americanhm.com/-- is a mortgage
real estate investment trust engaged in the business of investing
in mortgage-backed securities and mortgage loans resulting from
the securitization of residential mortgage loans originated and
serviced by its subsidiaries.

American Home Mortgage and seven affiliates filed for chapter 11
protection on Aug. 6, 2007 (Bankr. D. Del. Case Nos. 07-11047
through 07-11054).  James L. Patton, Jr., Esq., Joel A. Waite,
Esq., and Pauline K. Morgan, Esq. at Young, Conaway, Stargatt &
Taylor LLP, represent the Debtors.  Epiq Bankruptcy Solutions LLC
acts as the Debtors' claims and noticing agent.  The Official
Committee of Unsecured Creditors selected Hahn & Hessen LLP as its
counsel.  As of March 31, 2007, American Home Mortgage's balance
sheet showed total assets of $20,553,935,000, total liabilities of
$19,330,191,000.  The Debtors' exclusive period to file a plan
expires on March 3, 2008.  (American Home Bankruptcy News, Issue
No. 26, Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


AMERICAN HOME: AHMA Files October 2007 Operating Report
-------------------------------------------------------

             American Home Mortgage Acceptance, Inc.
                Statement of Financial Condition
                     As of October 31, 2007

Assets:
   Cash and cash equivalents                            $260,049
   Restricted cash                                             -
   Accounts receivable                                 2,970,974
   Intercompany receivable                           517,059,825
   Mortgage loans                                    375,408,702
   Mortgage servicing rights                          16,041,196
   Other real estate, net                              4,611,870
   Investment in subsidiaries                        (25,673,270)
   Other assets                                          160,738
                                                    ------------
      Total Assets                                  $890,840,084
                                                    ============

Liabilities and Stockholders' Equity

   Liabilities:
      Warehouse lines of credit                     $397,312,428
      Accrued expenses & other liabilities             1,918,804
      Intercompany payable                           705,081,067
                                                    ------------
         Total Liabilities                         1,104,312,299

   Stockholders' Equity
      Additional paid-in capital                      40,298,920
      Retained earnings                             (253,771,135)
                                                    ------------
         Total Stockholders' Equity                 (213,472,215)
                                                    ------------
Total Liabilities & Stockholders' Equity            $890,840,084
                                                    ============


               American Home Mortgage Acceptance, Inc.
                       Statement of Income
                   Month Ended October 31, 2007

Net Interest Income:
   Interest income                                    $1,067,009
   Interest expense                                            0
                                                    ------------
      Net interest income                              1,067,009

   Provision for loan losses                                   0
                                                    ------------
      Net interest income after provision              1,067,009
        for loan losses

Non-Interest Income:
   Loss on mortgage loans                               (397,870)
   (Loss) gain on securities & derivatives                     0
   Loan servicing fees                                   (97,757)
   Changes in fair value of MSR                                0
   Loss from subsidiaries                                215,822
                                                    ------------
      Non-interest income                               (279,805)

Expenses
   Salaries, commissions & benefits, net                 295,291
   Marketing and promotion                                     -
   Office supplies and expenses                              678
   Other real estate operating (income)                   30,042
   Other                                                       0
                                                    ------------
      Total expenses                                     326,011

Loss before income taxes                                 461,193
Income taxes                                                   -
                                                    ------------
Net income                                              $461,193
                                                    ============


             American Home Mortgage Acceptance, Inc.
           Schedule of Cash Receipts and Disbursements
                  Month Ended October 31, 2007

Cash - Beginning of Month, 10/01/2007                   $254,836

Receipts:
   Cash sales                                                  -
   Accounts receivable                                         -
   Sale of assets                                              -
   Loans and advances                                      5,212
   Administrative                                              -
   Net payroll                                                 -
   Other                                                       -
   Transfers (from DIP accounts)                               -
                                                    ------------
      Total Receipts                                       5,212

Disbursements:
   Net payroll                                                 -
   Payroll taxes                                               -
   Sales, use & other taxes                                    -
   Loans and advances                                          -
   Inventory purchases                                         -
   Secured/rental/leases                                       -
   Insurance                                                   -
   Administrative                                              -
   Selling                                                     -
   Other                                                       -
   Transfers (from DIP accounts)                               -
   Professional fees                                           -
   U.S. Trustee quarterly fees                                 -
   Court costs                                                 -
                                                    ------------
      Total Disbursements                                      0
                                                    ------------
      Net Cash Flow                                        5,212
                                                    ------------
Cash - End of Month, 10/31/07                           $260,048
                                                    ============

Based in Melville, New York, American Home Mortgage Investment
Corp. (NYSE: AHM) -- http://www.americanhm.com/-- is a mortgage
real estate investment trust engaged in the business of investing
in mortgage-backed securities and mortgage loans resulting from
the securitization of residential mortgage loans originated and
serviced by its subsidiaries.

American Home Mortgage and seven affiliates filed for chapter 11
protection on Aug. 6, 2007 (Bankr. D. Del. Case Nos. 07-11047
through 07-11054).  James L. Patton, Jr., Esq., Joel A. Waite,
Esq., and Pauline K. Morgan, Esq. at Young, Conaway, Stargatt &
Taylor LLP, represent the Debtors.  Epiq Bankruptcy Solutions LLC
acts as the Debtors' claims and noticing agent.  The Official
Committee of Unsecured Creditors selected Hahn & Hessen LLP as its
counsel.  As of March 31, 2007, American Home Mortgage's balance
sheet showed total assets of $20,553,935,000, total liabilities of
$19,330,191,000.  The Debtors' exclusive period to file a plan
expires on March 3, 2008.  (American Home Bankruptcy News, Issue
No. 26, Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


AMERICAN HOME: AHMS Files October 2007 Operating Report
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             American Home Mortgage Servicing, Inc.
                Statement of Financial Condition
                     As of October 31, 2007

Assets:
   Cash and cash equivalents                         $82,491,385
   Restricted cash                                    39,471,256
   Accounts receivable & servicing advances          102,548,034
   Intercompany receivable                           106,978,936
   Premises and equipment, net                         2,583,097
   Investment in subsidiaries                          8,807,975
   Other assets                                          838,059
                                                    ------------
      Total Assets                                  $343,718,742
                                                    ============

Liabilities and Stockholders' Equity

   Liabilities:
      Warehouse lines of credit                      $50,000,000
      Accrued expenses & other liabilities            60,158,532
      Intercompany payable     &