First American Financial to Slash 2,400 Jobs

First American Financial Corp., the nation’s largest title insurer, said a faster-than-expected decline in real estate activity is forcing the company to slash 12% of its work force, or about 2,400 jobs nationwide. The Santa Ana-based company also warned that it expects to report a loss during the fourth quarter of 1999 and the first quarter of 2000 as it attempts to cut costs. Refinance business at First American has dropped nearly 70% since March, said Tom Klemens, the company’s chief financial officer. He stressed that First American will still record a profit for the year and predicted it will return to profitability by mid-2000. The announcement came after U.S. markets closed. First American shares rose 38 cents to close at $13.50 on the NYSE.