Franklin Credit Management Receives Notice of Delisting From NASDAQ

Franklin Credit Management Corporation (Nasdaq: FCMC) today announced that it received a notice from the NASDAQ Stock Market and that, unless the Company requests an appeal of NASDAQ’s determination, trading in the Company’s common stock on The NASDAQ Capital Market will be suspended at the opening of business on August 29, 2008.

On February 20, 2008, the Company received notice from NASDAQ of the failure of its common stock to maintain a minimum bid price of $1.00 per share for the preceding 30 business days, as required by NASDAQ rules. The Company was provided 180 calendar days, or until August 18, 2008, to regain compliance with the rule for at least ten consecutive trading days. The Company’s compliance was not restored during this period.

Accordingly, on August 22, 2008, the Company received notice from NASDAQ that, unless it requests an appeal of NASDAQ’s determination, trading in the Company’s common stock on The NASDAQ Capital Market will be suspended at the opening of business on August 29, 2008, and the Company’s securities will be removed from listing and registration on NASDAQ. The Company currently expects to appeal NASDAQ’s determination. If the Company’s appeal is rejected, it expects to seek to arrange for its common stock to be quoted on the OTC Bulletin Board ("OTCBB") or the "Pink Sheets", following its delisting from The NASDAQ Capital Market.

"We will make every reasonable effort to have our stock listed on the OTCBB to ensure that there is a market for Franklin’s stock should our appeal to remain on the NASDAQ Capital Market be denied," stated Paul Colasono, Chief Financial Officer at the Company.

About Franklin Credit Management Corporation
Franklin Credit Management Corporation is a specialty consumer finance company primarily engaged in the servicing and resolution of its performing, reperforming and nonperforming residential mortgage loans. Franklin’s portfolio consists of both first- and second-lien loans secured by 1-4 family residential real estate that generally fall outside the underwriting standards of Fannie Mae and Freddie Mac and involve elevated credit risk as a result of the nature or absence of income documentation, limited credit histories, higher levels of consumer debt or past credit difficulties. The Company typically purchased these loan portfolios at a discount to the unpaid principal balance and originated loans with loan-to-value ratios at origination of 75% or less and interest rates and fees calculated to provide a rate of return adjusted to reflect the elevated credit risk inherent in these types of loans. Franklin originated non-prime loans through its wholly-owned subsidiary, Tribeca Lending Corp. and has generally held for investment the loans acquired and a significant portion of the loans originated. The Company’s executive, administrative and operations offices are located in Jersey City, New Jersey. Additional information on the company is available on the Internet at http://www.franklincredit.com. Franklin’s common stock is listed on the NASDAQ Global Market under the symbol "FCMC".