Mercury Finance Stops Quarterly Dividend

Mercury Finance Co., facing a widening financial crisis, suspended its quarterly dividend as Missouri regulators moved to protect the assets of Mercury’s insurance unit. The company’s shares fell 37.5 cents to $2.25 on the New York Stock Exchange. After trading in a narrow range most of the day, they fell in the final minutes of trading on word of Jayhawk Acceptance Corp.’s intent to seek bankruptcy protection. Both Mercury and Jayhawk finance car loans for borrowers with poor credit. Mercury’s dividend, which would have been paid March 3, was authorized by the directors of the auto finance company three weeks ago. Its elimination will save the struggling Lake Forest, Ill.-based company about $13.3 million.