As announced last week, USDA has announced that funding for the Single Family Housing Guaranteed Loan Program will likely be exhausted by the end of April 2010. Once funding is exhausted, no USDA loan in your pipeline with Gateway Mortgage Group LLC will be allowed to proceed. All loans in the pipeline, at that point, will be placed on hold until additional funding for this program comes available.

Furthermore, effective immediately, we will not be underwriting any "manual" USDA loans, pending renewal of funding. Loans that do not receive an "Accept" in USDA's Guaranteed Underwriting System (GUS), will be denied. Once funding is renewed and comes available, we will again underwrite "manual" USDA loans.

Please contact your Account Executive with any questions.

J. Whitney Barth

VP Operations

Gateway Mortgage Group LLC

3/22/2010