<PAGE> 1
Securities and Exchange Commission
Washington, D.C. 20549
Form 8-K
Current Report
PURSUANT TO SECTION 13 or 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Data of earliest event reported)
September 1, 1996
FIRST SIERRA RECEIVABLES II, INC.
(exact name of Registrant as specified in its charter)
Delaware 33-988288 76-0543174
- ------------------------------- ---------------- ------------------
(State or Other Jurisdiction of (Commission File (IRS Employer
Incorporation) Number) Identification No.
Suite 7050
600 Travis Street
Houston, TX 77002
(Address of Principal Executive) (Zip Code)
Registrant's telephone number, including area code: 713-221-8822
<PAGE> 2
Item 1. Business
The Registrant is a wholly-owned subsidiary of First Sierra Financial, Inc.
formed solely for the purpose of acquiring from First Sierra Financial, Inc.
certain leases (the "Leases") and interests in equipment underlying the leases
(together the "Receivables") and securitizing the Receivables through the
issuance of Certificates. As a bankruptcy remote entity, the Registrant's
operations are restricted so that (a) it does not engage in business with, or
incur liabilities to, any other entity which may bring bankruptcy proceedings
against the Registrant and 9b) the risk is diminished that it will be
consolidated into the bankruptcy proceedings of any other entity. The Registrant
has no other assets except the Receivables and proceeds thereof.
Item 2. Acquisition or Disposition of Assets
None
Item 7. Financial Statements, Pro Forma Financial Information
and Exhibits
(a) Not Applicable
(b) Not Applicable
(c) Exhibits
1.1 Servicing Reports for the collection periods ending in September 1,
1996.
<PAGE> 3
Item 1. Business
The Registrant is a wholly-owned subsidiary of First Sierra Financial, Inc.
formed solely for the purpose of acquiring from First Sierra Financial, Inc.
certain leases (the "Leases") and interests in equipment underlying the leases
(together the "Receivables") and securitizing the Receivables through the
issuance of Certificates. As a bankruptcy remote entity, the Registrant's
operations are restricted so that (a) it does not engage in business with, or
incur liabilities to, any other entity which may bring bankruptcy proceedings
against the Registrant and 9b) the risk is diminished that it will be
consolidated into the bankruptcy proceedings of any other entity. The Registrant
has no other assets except the Receivables and proceeds thereof.
Item 2. Acquisition or Disposition of Assets
None
Item 7. Financial Statements, Pro Forma Financial Information
and Exhibits
(a) Not Applicable
(b) Not Applicable
(c) Exhibits
1.1 Servicing Reports for the collection periods ending in September 1,
1996.
<PAGE> 4
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
First Sierra Receivables II, Inc.
By: /s/ E. R. Gebhart
---------------------------------
Name: E. R. Gebhart
Title: Vice President
2
<PAGE> 5
INDEX TO EXHIBITS
Exhibits
1.1 Servicing Reports for the collection periods ending in September 1,
1996.
<PAGE> 1
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- --------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
<TABLE>
<CAPTION>
ADCPB BALANCE
<S> <C>
Prior Month ADCPB 85,791,124.49
Initial ADCPB 85,790,915.00
Current Month ADCPB (Before addition of New Property) 84,123,762.26
Base Principal Amount (Prior - Current) 1,667,362.22
Add: ADCPB of New Transferred Property 1,670,586.92
Ending ADCPB (Current + ADCPB of New Property) 85,794,349.18
CLASS A INTEREST SCHEDULE
Prior Month Class A Principal Balance 73,780,187.00
Class A Certificate Rate 6.85%
One twelfth of Class A Certificate Rate 0.57%
Class A Certificate Interest 421,161.90
Prior Month Class A Overdue Interest 0.00
Class A Interest Due 421,161.90
Class A Interest Paid 421,161.90
Current Month Class A Overdue Interest 0.00
CLASS A PRINCIPAL SCHEDULE
Prior Month Class A Principal Balance 73,780,187.00
Class A Percentage 86.00%
Base Principal Amount 1,667,362.22
Class A Base Principal Distribution Amount 0.00
Prior Month Class A Overdue Principal 0.00
Total A Note Principal Due 0.00
Class A Principal Paid 0.00
Class A Overdue Principal 0.00
----
Current Month Class A Principal Balance 73,780,187.00
</TABLE>
Page 1
<PAGE> 2
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- --------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
<TABLE>
<CAPTION>
CLASS B-1 INTEREST SCHEDULE
<S> <C>
Prior Month Class B-1 Principal Balance 3,431,637.00
Class B-1 Certificate Rate 7.63%
One twelfth of Class B-1 Certificate Rate 0.64%
Class B-1 Certificate Interest 21,819.49
Prior Month Class B-1 Overdue Interest 0.00
Class B-1 Interest Due 21,819.49
Class B-1 Interest Paid 21,819.49
Current Month Class B-1 Overdue Interest 0.00
CLASS B-1 PRINCIPAL SCHEDULE
Prior Month Class B-1 Principal Balance 3,431,637.00
Class B-1 Percentage 4.00%
Base Principal Amount 1,667,362.22
Class B-1 Base Principal Distribution Amount 0.00
Prior Month B-1 Overdue Principal 0.00
Total B-1 Note Principal Due 0.00
----
Class B-1 Principal Paid 0.00
Class B-1 Overdue Principal 0.00
Current Month Class B-1 Principal Balance 3,431,637.00
</TABLE>
Page 2
<PAGE> 3
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- -------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
<TABLE>
<CAPTION>
CLASS B-2 INTEREST SCHEDULE
<S> <C>
Prior Month Class B-2 Principal Balance 3,431,637.00
Class B-2 Certificate Rate 8.17%
One twelfth of Class B-2 Certificate Rate 0.68%
Class B-2 Certificate Interest 23,363.73
Prior Month Class B-2 Overdue Interest 0.00
Class B-2 Interest Due 23,363.73
Class B-2 Interest Paid 23,363.73
Current Month Class B-2 Overdue Interest 0.00
CLASS B-2 PRINCIPAL SCHEDULE
Prior Month Class B-2 Principal Balance 3,431,637.00
Class B-2 Percentage 4.00%
Base Principal Amount 1,667,362.22
Class B-2 Base Principal Distribution Amount 0.00
Prior Month B-1 Overdue Principal 0.00
Total B-1 Note Principal Due 0.00
Class B-2 Principal Paid 0.00
Class B-2 Overdue Principal 0.00
Current Month Class B-2 Principal Balance 3,431,637.00
</TABLE>
Page 3
<PAGE> 4
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- --------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
<TABLE>
<CAPTION>
SERVICING FEE SCHEDULE
<S> <C>
Prior Month ADCPB 85,791,124
Servicer Fee Rate 0.5000%
One-twelfth 0.0417%
Servicer Fee 35,746.30
Prior Servicer Fee Arrearage 0.00
Servicer Fee Due 35,746.30
Servicer Fee Paid 35,746.30
Current Servicing Fee Arrearage 0.00
BACK-UP SERVICING FEE SCHEDULE
Prior Month ADCPB 85,791,124
Back-Up Servicer Fee Rate 0.0130%
One-twelfth 0.0011%
Back-up Servicer Fee 929.40
Prior Back-Up Servicer Fee Arrearage 0.00
Total Back-Up Servicer Fee Due 929.40
Back-Up Servicer Fee Paid 929.40
Current Back-Up Servicing Fee Arrearage 0.00
TRUSTEE FEE SCHEDULE
Trustee Fee 291.67
Trustee Fee Rate 0.0100%
Prior Trustee Fee Arrearage 0.00
Total Trustee Fee Due 291.67
Trustee Fee Paid 291.67
Current Trustee Fee Arrearage 0.00
CERTIFICATE PREMIUM SCHEDULE
Initial Class A Balance 73,780,187.00
Premium Rate 0.0208%
Prior Premium Arrearage 0.00
Premium Amount Due 15,371.00
Premium Amount Paid 15,371.00
Current Premium Arrearage 0.00
</TABLE>
Page 4
<PAGE> 5
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- --------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
Early Amortization Events
(a) Default in the payment to the Class A Certificate holders or the Class B
Certificate holders of any interest or principal due hereunder in
accordance with the provisions of Section 6.06 when such payment becomes
due and payable and continuance of such default for a period of five
business days; or [10.01 (a)]
(b) Default in the performance, or breach, of the any covenant or agreement of
the Depositor in this Agreement (other than a covenant or agreement a
default in whose performance or whose breach is elsewhere in this section
10.01 specifically dealt with), and continuance of such default or breach
for a period of 30 days after there has been given, by registered or
certified mail, to the Depositor by the Service, the Certificate Insurer or
the Trustee, or to the Depositor, the Certificate Insurer and the Trustee
by the Certificate holders of at least 50% in aggregate principal amount of
the outstanding Class A Certificates a written notice specifying such
default or breach and requiring it to be remedied and stating that such
notice is a "Notice of default" hereunder, or it, in any such case, the
Depositor have consented in writing that any such event shall be an Early
Amortization Event; or [10.01 (b)]
(c) Any proceeding shall be instituted against the Depositor (or, if the
Depositor is actively contesting the merits thereof, such proceeding is not
dismissed within 90 days) seeking to adjudicate it a bankrupt or insolvent,
or seeking liquidation, winding up, reorganization, arrangement,
adjustment, protection, relief or composition of it or any of its
Indebtedness under any law relating to bankruptcy, insolvency or
reorganization or relief of debtors, or seeking the entry of an order for
relief or the appointment of a receiver, trustee, custodian or other
similar official for it or for any substantial part of its property, or any
of the actions sought in such proceeding (including, without limitation,
the entry of an order for relief against, or the appointment of a receiver,
trustee, custodian or other similar official for, it or for any substantial
part of its property) shall occur; or [10.01 (c)]
(d) The commencement by the Depositor of a voluntary case or proceeding under
any applicable Federal or state bankruptcy, insolvency, reorganization or
other similar law or of any other case or proceeding to be adjudicated a
bankrupt or insolvent, or the consent by it to the entry of a decree or
order for relief in respect of the Depositor in an involuntary case or
proceeding under any applicable Federal or state bankruptcy, insolvency,
reorganization or other similar law or to the commencement of any
bankruptcy or insolvency case or proceeding against it, or the filing by it
of a petition or answer or consent seeking reorganization or relief under
any applicable Federal or State law, or to the consent by it to the filing
of such petition or to the appointment or taking possession by a custodian,
receiver, liquidator, assignee, trustee, sequestrator or similar official
of the Depositor or of any substantial part of its property, or the making
by it of an assignment for the benefit of creditors, or the making by it of
an admission by it in writing of its inability to pay its Debts generally
as they become due, or the taking of corporate action by the Depositor in
furtherance of any such action; or [10.01 (d)]
(e) Judgments or orders in respect of money ( other than such judgements or
orders in respect of which adequate insurance is maintained for the payment
thereof) against the Depositor shall remain unpaid, unstayed on appeal,
undischarged, unbonded or undismissed for a period of 30 days or more; or
[10.01 (e)]
(f) There is a material breach of any of the representations and warranties of
the Depositor set forth in Section 3.01 (a) and continuance of such default
or breach for a period of 30 days after there has been given, by registered
or certified mail, to the Depositor by the Servicer, the Certificate
Insurer or the Trustee, or to the Depositor, the Certificate Insurer and
the Trustee by the Certificate holders of at least 50% in aggregate
principal amount of the outstanding Class A Certificates a written notice
specifying such default or breach and requiring it to be remedied and
stating that such notice is a "Notice of Default" hereunder, our if, in any
such case, the Depositor have consented in writing that any such event
shall be an Early Amortization Event; or [10.01 (f)]
(g) The Trust Certificate Percentage Interest is less than the Subordinated
Amount; or [10,01 (g)]
(h) A Gross Charge-Off Event has occurred and is continuing; or [10.01 (h)]
(i) A Delinquency Trigger Event has occurred and is continuing; or
(j) An Event of Servicing Termination has been declared; or [10.01 (j)]
(k) The Certificate Insurer has made an insured Payment under the policy.
[10.01 (k)]
Page 5
<PAGE> 6
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
-----------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
Restricting Event Calculations
(a) Event of Servicer Termination (Yes/No) No
-------------
(b) Certificate Insurer makes an Insured Payment No
-------------
(a) Gross Charge-Off Event (Yes/No) No
-------------
(b) Delinquency Trigger Event No
-------------
Events of Servicer Termination
(i) Any failure by the Servicer to make any payment, deposit, transfer or
delivery required to be made hereunder (other than with respect to the
Monthly Servicer Report, As to which the remedy is set forth in section
11.01 (a) (ii) hereof) on the date of such payment, deposit, transfer
or delivery is required to be made; [11.01 (a)(i)]
(ii) Any failure by the Servicer to submit a Monthly Statement pursuant to
Section 6.07 hereof that continues unremedied for a period of three
business days after the earlier of the date upon which (A) the
Certificate Insurer or a Certificate holder provides written
notification to the Servicer of such failure or (B) the Depositor
becomes aware that the Certificate Insurer and the Certificate holders
have not received a copy of the Monthly Report in accordance with the
provisions hereof (provided that the Servicer shall be granted a two
business day grace period on not more than one occasion during
each Collection Period); [11.01 (a)(ii)]
(iii) Any failure on the part of the Servicer duly to observe or perform in
any material respect any other covenants or agreements of the Servicer
set forth in the Certificates or in this agreement, as in the case may
be, or any breach of representation or warranty of the Servicer set
forth in Section 3.02 of this Agreement, which failure or breach (A)
materially and adversely affects the rights of the Trustee,
Certificates holders, the Certificate Insurer or the Depositor and (B)
continues unremedied for a period of 30 days after the earlier to occur
of (x) the date on which written notice of such failure or breach,
requiring the situation giving rise to such failure or breach to be
remedied, shall have been given to a Servicing Officer of the Servicer
or a Responsible Officer of the Trustee by the Depositor or any Holder
of Certificates or (y) the date on which any Servicing Officer or
Responsible Officer of the Trustee first knows, or reasonably should
have known, of such failure or breach; [11.01 (a)(iii)]
(iv) The Servicer shall consent to the appointment on a custodian, receiver,
trustee or liquidator (or other similar official) of itself, or of a
substantial part of its property, or shall admit in writing its
inability to pay its debts generally as they come due, a court of
competent jurisdiction shall determine that the Servicer is generally
not paying its debts as they come due or the Servicer shall make a
general assignment for the benefit of creditors; [11.01 (a)(iv)]
(v) The Servicer shall file a voluntary petition in bankruptcy or a
voluntary petition or an answer seeking reorganization in a proceeding
under any bankruptcy laws (as now defined hereafter in effect) or an
answer admitting the material allegation of a petition filed against
the Servicer shall, by voluntary petition, answer or consent, seek
relief under the bankruptcy or other similar law providing for the
reorganization or winding up of debtors, or providing for an agreement,
composition, extension or adjustment with its creditors; [11.01 (a)(v)]
(vi) An order, judgment or decree in excess of [$500,000] shall be entered
in any proceeding by any court of competent jurisdiction appointing,
without the consent (express or legally implied) of the Servicer, a
custodian, receiver, trustee or liquidator (or other similar official)
of the Servicer, or any substantial part of its property, or
sequestering any substantial part of its property, and any such order,
judgement or decree or appointment or sequestration shall remain in
force undismissed, unstayed or unvacated for a period of [90] days
after the date of entry thereof; [11.01 (a)(vi)]
(vii) A petition against he Servicer in a proceeding under applicable
bankruptcy laws or the insolvency laws, as now or hereafter in effect,
shall be filed and shall not be stayed, withdrawn or dismissed within
60 days thereafter, or if, under the provisions of any of any law
providing for reorganization or winding up of debtors which may apply
to the Servicer, or any substantial part of its property, and such
jurisdiction, custody or control shall remain in force unrelinquished,
unstayed or unterminated for a period of 60 days; [11.01(a)(vii)]
(viii)Any assignment by the Servicer to a delegate of its duties or rights
hereunder, except as specifically permitted hereunder, or any attempt
to make such an assignment; or [11.01 (a)(viii)]
(ix) for so long as the Servicer is First Sierra, its Total Capital is less
than $9 million. [11.01 (a)(ix)]
Page 7
<PAGE> 7
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
-----------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
Monthly Servicer Certificate
For the Collection Period Ending 9/1/96
Gross Charge-Offs (>=160 and accounts bought back by source)
<TABLE>
<CAPTION>
Gross Gross Monthly
Defaults Recoveries Charge-Offs ADCPB Charge-Offs
-------- ---------- ----------- ---------- -----------
<S> <C> <C> <C> <C> <C>
2 months prior 0 0 0 84,145,443 0.00%
1 month prior 0 0 0 83,999,395 0.00%
Current 100,353 100,353 0 83,942,153 0.00%
Gross Charge-Off Ratio: 0.00%
Maximum Charge-Off Ratio: 2.50%
</TABLE>
30+ Delinquencies
<TABLE>
<CAPTION>
Monthly
Delinquencies ADCPB Delinquencies
------------- ----- -------------
<S> <C> <C> <C>
2 months prior 2,687,262 84,145,443 3.19%
1 month prior 3,881,760 83,999,395 4.62%
Current month 3,503,237 83,942,153 4.17%
Delinquency Ratio: 4.00%
Maximum Delinquency Ratio: 6.00%
</TABLE>
Page 7
<PAGE> 8
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
----------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
ISSUER RESTRICTING EVENT CALCULATIONS
(a) Gross Defaults (>=180) No
-------------
(b) Issuer Delinquency Ratio No
-------------
GROSS DEFAULTS (>=180)
<TABLE>
<CAPTION>
MONTHLY
GROSS DEFAULTS ADCPB CHARGE-OFFS
-------------- ---------- -----------
<S> <C> <C> <C>
Current 0 83,942,153 0.00%
i A Subordinated Percentage 10.00%
B WAL of Remaining Leases 2.20
ii Two
Trigger (i/ii) 2.27%
</TABLE>
ISSUER DELINQUENCY RATIO (90+ DAYS)
<TABLE>
<CAPTION>
MONTHLY
DELINQUENCIES ADCPB DELINQUENCIES
-------------- ---------- -------------
<S> <C> <C> <C>
2 months prior 214,664 84,145,443 0.26%
1 month prior 553,629 83,999,395 0.66%
Current month 446,572 83,942,153 0.53%
Delinquency Ratio: 0.48%
Maximum Delinquency Ratio: 2.50%
</TABLE>
EARLY AMORTIZATION EVENT
(1) Is Subordinate Interest less than 8.86% of ADCPB? No
------------
(2) Has a Gross Charge-Off Event Occurred? No
------------
(3) Has a Delinquency Event Occurred? No
------------
Page 8
<PAGE> 9
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- --------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
<TABLE>
<CAPTION>
Aging/Delinquency Statistics
----------------------------
% of
ADCPB Total
----- -----
<S> <C> <C>
Current 80,438,917 95.83%
31-60 Days Past Due 2,530,264 3.01%
61-90 Days Past Due 526,400 0.63%
91+ Days Past Due 446,572 0.53%
----------
Total 83,942,153 100.00%
Certificate Factors
-------------------
Class A Notes 1.0000000
Class B-1 Notes 1.0000000
Class B-2 Notes 1.0000000
Substitution Limits [Section 7]
-------------------------------
Initial ADCPB 85,790,915.00
Maximum Substitution (10% of Initial) 8,579,091.50
Maximum Substitution for Defaulted Contracts (5% of Initial) 4,289,545.75
Prior month ADCPB Substituted 182,319.51
Current month ADCPB Substituted 209,538.18
Cumulative ADCPB Substituted 1,119,572.02
Prior month ADCPB Substituted for Defaulted Contracts 0.00
Current month ADCPB Substituted Defaulted Contracts 0.00
Cumulative ADCPB Substituted for Defaulted Contracts 0.00
</TABLE>
Page 9
<PAGE> 10
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- --------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
<TABLE>
<CAPTION>
Lockbox Collection
Account Account
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Beginning Account Balances 293,282.03
- --------------------------
Lockbox Account
- ---------------
Transfer of prior period Payments not yet transferred to Collection Account (122,829.49)
Transfer of prior period Excluded Amounts not yet transferred (10,540.53)
Collections Received [5.02 (b)(d)] 2,280,536.26
Excluded Amounts [5.02 (d)][Definition] (833,163.87)
Collections on Deposit due Collection Account [5.02 (d)] (1,360,479.56)
Ending Balance @ 9/1/96 246,804.84
Collection Account
- ------------------
Beginning Balance @ 8/1/96 1,157,581.33
--------------------------
Activities related to Collection Period Ended 8/1/96
----------------------------------------------------
Add: Servicer Advance 751,058.64
Add: Payments due Collection Account from last 2 business days 217,619.98
Add: Add'l transfers 72,562.76
Add: Amounts to Collection Acct from Security deposit account 0.00
Less: Total distributions on 7/10/96 (2,198,822.71)
Activities related to Collection Period Ended 9/1/96
----------------------------------------------------
Aggregate Amount of Actual Payments [6.01 b (i)] 1,269,185.55
Add: Servicer Advances [5.03][6.01 b (ii)] 0.00
Add: Sch. Payments, Final Payments or Purchase Option from Sec. Deposit Account [6.01 b (iii)] 0.00
Add: Reconveyance Amounts by Servicer [6.01 b (iv)] 0.00
Add: Any Investment Earnings [6.01 b (v)] 3,520.63
Add: Deposits from New Transferred Property Funding Account [6.01 b (vi)] 0.00
Add: Amount Payable to Class A Certificate holders under 6.04 d [6.01 b(vii)] 0.00
Add: Advance Payments Due and Owing for Collection Period [6.01 c] 0.00
Add: Security Deposits Related to Prepayment 0.00
Add: Offset Amount as Provided by 5.12 [6.01 c] 0.00
Less: Amounts transferred to the New Transferred Property Funding Account [6.01 d] 0.00
Less: Amounts Servicer Advanced but deems uncollectible [6.01 d] 0.00
Less: Payments due Collection Acct. from last 2 business days in calendar mo. 0.00
Add: Overage in 8/7 Wire re: add'l. transfers (72,652.76 vs. 72,562.76) 90.00
Ending Balance @ 8/30/96 1,272,796.18
Ending Balance @ 9/1/96 1,272,796.18
Add: Servicer Advances to be deposited on Determination Date 813,682.65
Add: Payments due Collection Acct from last 2 business days 120,019.23
Add: Payments not yet transferred to the Collection Account 0.00
Add: Amounts to Collection Account from Security Deposit Account [6.02 c] 0.00
Less: Correction of overage in 8/7 Wire (90.00)
--------------
Adjusted Collection Account Balance 2,206,498.06
</TABLE>
<TABLE>
<CAPTION>
New Transf.
Security Property
Deposit Funding Intra-Month Payment Date
Account Account Distributions Distributions
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Beginning Account Balances
- --------------------------
Lockbox Account
- ---------------
Transfer of prior period Payments not yet transferred to Collection Account
Transfer of prior period Excluded Amounts not yet transferred
Collections Received [5.02 (b)(d)]
Excluded Amounts [5.02 (d)][Definition]
Collections on Deposit due Collection Account [5.02 (d)]
Ending Balance @ 9/1/96
Collection Account
- ------------------
Beginning Balance @ 8/1/96
--------------------------
Activities related to Collection Period Ended 8/1/96
----------------------------------------------------
Add: Servicer Advance
Add: Payments due Collection Account from last 2 business days
Add: Add'l transfers
Add: Amounts to Collection Acct from Security deposit account
Less: Total distributions on 7/10/96
Activities related to Collection Period Ended 9/1/96
----------------------------------------------------
Aggregate Amount of Actual Payments [6.01 b (i)]
Add: Servicer Advances [5.03][6.01 b (ii)]
Add: Sch. Payments, Final Payments or Purchase Option from Sec. Deposit
Account [6.01 b (iii)]
Add: Reconveyance Amounts by Servicer [6.01 b (iv)]
Add: Any Investment Earnings [6.01 b (v)]
Add: Deposits from New Transferred Property Funding Account [6.01 b (vi)]
Add: Amount Payable to Class A Certificate holders under 6.04 d
[6.01 b(vii)]
Add: Advance Payments Due and Owing for Collection Period [6.01 c]
Add: Security Deposits Related to Prepayment
Add: Offset Amount as Provided by 5.12 [6.01 c]
Less: Amounts transferred to the New Transferred Property Funding Account
[6.01 d]
Less: Amounts Servicer Advanced but deems uncollectible [6.01 d]
Less: Payments due Collection Acct. from last 2 business days in calendar mo.
Add: Overage in 8/7 Wire re: add'l. transfers (72,652.76 vs. 72,562.76)
Ending Balance @ 8/30/96
Ending Balance @ 9/1/96
Add: Servicer Advances to be deposited on Determination Date
Add: Payments due Collection Acct from last 2 business days
Add: Payments not yet transferred to the Collection Account
Add: Amounts to Collection Account from Security Deposit Account [6.02 c]
Less: Correction of overage in 8/7 Wire
Adjusted Collection Account Balance
</TABLE>
Page 10
<PAGE> 11
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- -------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 8/1/96
<TABLE>
<CAPTION>
Security Deposit Account
- ------------------------
<S> <C> <C>
Beginning Balance 127,833.32
Add: Balance deposited on closing date 0.00
Add: Security Deposits [6.02 b] 0.00
Less: Amounts to Collection Account [6.02 c] 0.00
Add: Investment Earnings 562.96
----------
Ending Balance @ 8/31/96 128,396.28
Less: Amounts to Collection Account [6.02 c] 0.00
Adjusted Security Deposit Account Balance 128,396.28
New Transferred Property Funding Account
- ----------------------------------------
Beginning Balance 0.00
-----------------
Add: Amount Transferred from Collection Account in consid. of New Trans. Property [6.05 i 1] 0.00
Add: Amount Transferred to New Transferred Property Funding Account [6.05 ii] 0.00
Less: Amount Transferred from Collection Account in consid. of New Trans. Property [6.05 iii] 0.00
-------------
Ending Balance @ 8/31/96 0.00
Add: Amount Transferred from Collection Account in consid. of New Trans. Property [6.05 i 1] 1,670,586.92
Less: Amount Transferred from Collection Account in consid. of New Trans. Property [6.05 iii] (1,670,586.92)
-------------
Adjusted New Transferred Property Funding Account Balance 0.00
</TABLE>
- -------------------------------------------------------------------------------
Page 11
<PAGE> 12
FIRST SIERRA EQUIPMENT LEASE TRUST 1996-1
- --------------------------------------------------------------------------------
FIRST SIERRA RECEIVABLES INC.
MONTHLY SERVICER CERTIFICATE
FOR THE COLLECTION PERIOD ENDING 9/1/96
<TABLE>
<S> <C>
Available Amount to Certificate Holders 2,206,498.06
Disbursements from Collection Account (Prior to Initial Amortization Date]
(i) Initial Unpaid Amts inadvertently dep. in Collection Account [6.06 b (i)] 0.00
(ii) Indemnity payments paid inadvertently dep in Collection Account [6.06 b (ii)] 0.00
(iii) Aggregate of: [6.06 b (iii)]
(A) Unreimbursed Servicer Advances from current collection period 0.00
(B) Unreimbursed Servicer Advances from prior collection period 0.00
(C) Servicing Charges inadvertently deposited in Collection Account 0.00
(iv) Current and unpaid Servicing Fees 35,746.30
(v) Current and unpaid Back-up Servicing Fees [6.06 b (iv)] 929.40
(vi) Premium Amount due on Payment Date and unpaid Premiums [6.06 b (v)] 15,371.00
(vii) Trustee Fee due on Payment Date and unpaid Trustee Fees [6.06 b (vi)] 291.67
(viii) Class A Certificate Interest and Overdue Class A Interest [6.06 b (vii)] 421,161.90
(ix) Class B-1 Certificate Interest and Overdue Class B-1 Interest [6.06 b (viii)] 21,819.49
(x) Class B-2 Certificate Interest and Overdue Class B-2 Interest [6.06 b (ix)] 23,363.73
(xi) Certificate Insurer Reimbursement Amount, if any, due on Payment Date [6.06 b (x)] 0.00
(xii) Any amounts due Servicer under 9.03 [6.06 b (xi)] 0.00
(xiii) To the Servicer Security Deposit Refund under 6.02C 0.00
(ix) To the depositor the lesser of Base Principal Amount or ADCPB new Contracts 1,667,362.22
transferred to the Trust, [6.06 b (xii)]
If less than the Base Principal Amount, the remainder to the New
Transferred Property 0.00 Funding Account [6.06 b (xii)]
(x) To the Holder of the Trust Certificate any remaining amounts [6.06 b (xiii)] 20,452.34
</TABLE>
Reviewed By:
----------------------------------------------------------------------
Sandy B. Ho
Senior Vice President and Chief Financial Officer
Page 12
