<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: February 27, 1998
- --------------------------------------------------------------------------------
(Date of earliest event reported)
NationsLink Funding Corporation
- --------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 333-43609 56-1950039
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(State or Other (Commission (I.R.S. Employer
Jurisdiction File Number) Identification No.)
of Incorporation)
NationsBank Corporate Center, 100 North Tryon Street, Charlotte, NC 28255
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (704) 386-2400
<PAGE> 2
ITEM 5. OTHER EVENTS.
Attached are certain structural and collateral term sheets (the "Term
Sheets") furnished to the Registrant by NationsBanc Montgomery Securities LLC
(the "Underwriter"), the underwriter in respect of the Registrant's proposed
offering of Commercial Mortgage Pass-Through Certificates, Series 1998-1 (the
"Certificates"). The Certificates will be offered pursuant to a Prospectus and
related Prospectus Supplement (together, the "Prospectus"), which will be filed
with the Commission pursuant to Rule 424 under the Securities Act of 1933, as
amended (the "Act"). The Certificates will be registered pursuant to the Act
under the Registrant's Registration Statement on Form S-3 (No. 333-43609) (the
"Registration Statement"). The Registrant hereby incorporates the Term Sheets
by reference in the Registration Statement.
The Term Sheets were prepared solely by the Underwriter, and the
Registrant did not prepare or participate in the preparation of the Collateral
Term Sheets and Structural Term Sheets.
Any statement or information contained in the Term Sheets shall be
modified and superseded for purposes of the Prospectus and the Registration
Statement by statements or information contained in the Prospectus.
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS.
(c) Exhibits
Exhibit 99 Term Sheets.
2
<PAGE> 3
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on behalf of the Registrant
by the undersigned thereunto duly authorized.
NATIONSLINK FUNDING CORPORATION
By: /s/ John T. McCarthy
---------------------------------
Name: John T. McCarthy
---------------------------------
Title: Senior Vice President & Secretary
---------------------------------
Date: February 27, 1998
3
<PAGE> 4
Exhibit Index
Item 601(a) of
Regulation S-K
Exhibit No. Description Page
- -------------- ----------- ----
99 Term Sheets
4
<PAGE> 1
EXHIBIT 99
NATIONSBANC MONTGOMERY SECURITIES
NationsBanc Montgomery Securities LLC
[NATIONSBANK LOGO]
- --------------------------------------------------------------------------------
CMBS NEW ISSUE TERM SHEET
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
FEBRUARY 25, 1998
- --------------------------------------------------------------------------------
NATIONSBANC MONTGOMERY SECURITIES LLC
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 2
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
STRUCTURE OVERVIEW
OFFERED CERTIFICATES
<TABLE>
<CAPTION>
EXPECTED RATINGS
---------------- APPROX. ASSUMED FINAL ANTICIPATED
(MOODY'S/ APPROX. APPROX. CREDIT AVERAGE PRINCIPAL DISTRIBUTION DOLLAR PRICE
CLASS DCR/FITCH) SIZE % OF TOTAL SUPPORT LIFE(1) WINDOW(1) DATE(1) COUPON PRICE THOUGHTS
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 Aaa/AAA/NR $199,017,108 19.50% 30.00% 5.01 yrs. 1 - 82 Mos. January 20, 2005 Fixed Rate
A-2 Aaa/AAA/NR 81,648,044 8.00 30.00 7.29 82 - 105 December 20, 2006 Fixed Rate
A-3 Aaa/AAA/NR 433,755,237 42.50 30.00 9.46 105 - 117 December 20, 2007 Fixed Rate
X-1 Aaa/AAA/NR 714,348,947(2) - - 7.97(3) 1 - 117(3) December 20, 2007 Var. (IO)
X-2 Aaa/AAA/AAA 306,149,551(2) - - 9.83(3) 1 - 120(3) March 20, 2008 Var. (IO)
B Aa2/AA/AA 53,581,529 5.25 24.75 9.76 117 - 118 January 20, 2008 Fixed Rate
C A2/A/A 56,133,030 5.50 19.25 9.81 118 - 118 January 20, 2008 Fixed Rate
D Baa2/BBB/BBB 48,478,526 4.75 14.50 9.81 118 - 118 January 20, 2008 Fixed Rate
E Baa3/NR/NR 25,515,013 2.50 12.00 9.81 118 - 118 January 20, 2008 Fixed Rate
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
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NON-OFFERED CERTIFICATES
<TABLE>
<CAPTION>
EXPECTED RATINGS
---------------- APPROX. APPROX. APPROX. AVERAGE PRINCIPAL ASSUMED FINAL
CLASS (MOODY'S/DCR/[FITCH]) SIZE % OF TOTAL CREDIT SUPPORT LIFE(1) WINDOW(1) DISTRIBUTION DATE(1) COUPON
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
F NR/BB/NR $51,030,027 5.00% 7.00% 9.83 yrs. 118 - 119 February 20, 2008 Fixed Rate
G Not offered 10,206,005 1.00 6.00 9.89 119 - 119 February 20, 2008 Fixed Rate
H Not offered 25,515,013 2.50 3.50 9.89 119 - 119 February 20, 2008 Fixed Rate
J Not offered 12,247,206 1.20 2.30 9.91 119 - 120 March 20, 2008 Fixed Rate
K Not offered 23,473,819 2.30 - 9.97 120 - 120 March 20, 2008 Fixed Rate
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
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(1) Average Life, Principal Window and Assumed Final Distribution Date were
calculated assuming 0% CPR, no defaults, no extensions and no clean-up
call.
(2) The Class X-1 Certificates will accrue interest on a Notional Amount
equal to 99.99% of the aggregate outstanding balance of the Class A
Certificates. The Class X-2 Certificates will accrue interest on a
Notional Amount equal to 99.99% of the aggregate outstanding balance of
all of the Classes of Sequential Pay Certificates, other than the Class
A Certificates.
(3) Represents characteristics of related principal classes.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 3
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
STRUCTURE SCHEMATIC
[BAR GRAPH]
[ ] The Class X-1 Certificates will accrue interest on a Notional Amount equal
to approximately 99.99% of the aggregate outstanding balance of the Class A
Certificates. The Class X-2 Certificates will accrue interest on a Notional
Amount equal to approximately 99.99% of the aggregate outstanding balance
of all of the Classes of Sequential Pay Certificates, other than the Class A
Certificates.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 4
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
Capitalized terms used but not otherwise defined herein
shall have the meaning ascribed to them in the preliminary prospectus supplement
dated February 25, 1998.
TRANSACTION TERMS
ISSUE TYPE Sequential pay REMIC, Class A-1, A-2, A-3, B, C, D, E
and X-1 and X-2 Certificates (the "Offered
Certificates") offered publicly. All other
Certificates privately placed to qualified
institutional buyers or to accredited investors;
CUT-OFF DATE March 1, 1998;
MORTGAGE POOL The Mortgage Pool consists of 201 conventional,
multifamily and commercial mortgage loans (the
"Mortgage Loans"), with an aggregate Cut-off Date
Balance of $1,020,600,558 (the "Initial Pool
Balance"), subject to a variance of plus or minus 5%.
The Mortgage Loans are secured by 201 properties (the
"Mortgaged Properties") located throughout 30 states
and the District of Columbia;
DEPOSITOR NationsLink Funding Corporation;
MORTGAGE LOAN SELLER NationsBank, N.A., successor in interest to
NationsBanc Mortgage Capital Corporation;
UNDERWRITER NationsBanc Montgomery Securities LLC;
TRUSTEE Norwest Bank Minnesota, National Association;
MASTER SERVICER Midland Loan Services, L.P.;
SPECIAL SERVICER Lennar Partners, Inc.;
RATING AGENCIES Moody's Investor Service, Inc., Duff & Phelps Credit
Rating Co. and Fitch IBCA, Inc.;
DENOMINATIONS $10,000 minimum for Class A-1, A-2 and A-3
Certificates, $1,000,000 (notional) minimum for Class
X-1 and X-2 Certificates and $100,000 minimum for all
other Offered Certificates;
DELIVERY DATE March 30, 1998;
SETTLEMENT TERMS Book-entry through DTC for all Offered Certificates;
DISTRIBUTION DATE To be made monthly on the 20th or on the next
business day, commencing April 20, 1998;
INTEREST DISTRIBUTIONS Interest will be distributed on each Distribution
Date in sequential order of Class designations with
Classes A-1, A-2, A-3, X-1 and X-2 ranking pari passu
in entitlement to interest;
PRINCIPAL DISTRIBUTIONS Principal will be distributed on each Distribution
Date to the most senior Class (i.e. the Class with
the earliest alphabetical/numerical Class
designation) of Sequential Pay Certificates
outstanding, until such Class is retired. If, due to
losses, the Certificate Balances of the Class B
through K Certificates are reduced to zero, payments
of principal to the Class A-1, A-2 and A-3
Certificates will be made pro rata;
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 5
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
LOSSES To be applied first to Class K, then to the next most
subordinate class, etc.;
PREPAYMENT PREMIUMS To be distributed (i) first, to the holders of the
Class X-1 and X-2 Certificates and to the holders of
the Class A, B, C, D and E Certificates then entitled
to principal up to an amount equal to, and pro rata
in accordance with, the PV Yield Loss Amount for each
such Class and (ii) to the extent of any remaining
portion, to the holders of the Class X-1 and X-2
Certificates, pro rata based on respective notional
balances as of the preceding Distribution Date. See
example provided herein;
ADVANCES Subject to certain limitations, including, but not
limited to, a recoverability determination, the
Master Servicer will be required to advance certain
principal, interest and servicing expenses. In the
event that the Master Servicer fails to make such
advances, the Trustee will be required to do so;
APPRAISAL REDUCTIONS If a Mortgage Loan becomes more than 90 days
delinquent or a Mortgage Loan becomes REO or the
Special Servicer materially modifies a Mortgage Loan,
the Special Servicer will obtain an appraisal on the
property. Advances of delinquent interest to the most
subordinate class will be reduced to the extent of
the interest on the Appraisal Reduction Amount. The
Appraisal Reduction Amount will be equal to the
difference between (a) the scheduled balance of the
Mortgage Loan plus any unpaid advances outstanding
and other amounts payable with respect thereto and
(b) an amount equal to 90% of the appraisal value of
the property;
OPTIONAL CALL 1.0% clean-up call, at the option of the Master
Servicer or the majority holder of the Controlling
Class;
CONTROLLING CLASS The most subordinate Class of Sequential Pay
Certificates with an outstanding Certificate Balance
at least equal to the greater of (i) 1% of the
outstanding aggregate Certificate Balance as of the
Delivery Date or (ii) 25% of its initial Certificate
Balance (or, if no such Class satisfies such
criteria, the Class of Sequential Pay Certificates
with the largest outstanding Certificate Balance);
ERISA Classes A-1, A-2, A-3, X-1 and X-2 are ERISA
eligible;
SMMEA The Certificates are not "mortgage-related
securities" for the purposes of SMMEA;
ELECTRONIC REPORTING Information will be provided for modeling on
Bloomberg, Trepp and Conquest. Loan-level detail will
be available through the Trustee's website;
CONTACT NationsBanc Montgomery Securities LLC
Commercial Mortgage Sales & Trading
Ken Rivkin
Bill Hale
Geordie Walker
(704) 388-1597
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 6
- -------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- -------------------------------------------------------------------------------
MORTGAGE POOL CHARACTERISTICS
General Characteristics
<TABLE>
- ------------------------------------------------------------------
<S> <C>
Initial Pool Balance $1,020,600,558
Number of Mortgage Loans 201
Number of Mortgaged Properties 201
Average Cut-off Date Balance $ 5,077,615
Weighted Average Mortgage Rate 7.701%
Weighted Average Remaining Term to Maturity 109 months
Weighted Average Underwriting DSCR 1.47x
Weighted Average Cut-off Date LTV Ratio 72.2%
Weighted Average Remaining Lock-out Period 41 months
- ------------------------------------------------------------------
==================================================================
</TABLE>
Property Type
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE MIN/MAX AVERAGE MIN/MAX AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL U/W U/W COD LTV COD LTV MORTGAGE
PROPERTY TYPE LOANS LOANS BALANCE BALANCE DSCR(1) DSCR(1) RATIO(2) RATIO(2) RATE
===================================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Multifamily 100 49.8% $ 496,435,092 48.6% 1.41x 1.23/2.90x 74.5% 27.2/82.8% 7.497%
Retail 57 28.4 306,236,809 30.0 1.47 1.22/2.69 71.0 36.2/79.8 7.693
Hotel 7 3.5 49,939,192 4.9 1.67 1.57/1.94 66.7 51.8/71.2 8.790
Industrial 2 1.0 43,867,380 4.3 1.35 1.32/1.38 79.9 79.9/79.9 7.100
Office 13 6.5 42,886,497 4.2 1.55 1.42/1.78 69.7 50.7/79.8 7.909
Health Care 8 4.0 40,719,583 4.0 1.92 1.52/4.24 60.8 33.3/72.1 8.559
Franchise 12 6.0 33,219,904 3.3 1.56 1.31/1.77 63.9 58.3/67.6 8.450
Mini Storage 1 0.5 4,029,207 0.4 1.19 1.19/1.19 74.1 74.1/74.1 8.830
Golf Course 1 0.5 3,266,894 0.3 1.60 1.60/1.60 57.9 57.9/57.9 8.370
- -----------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 1.19/4.24x 72.2% 27.2/82.8% 7.701%
===================================================================================================================================
</TABLE>
(1) Underwriting ("U/W") DSCR is the ratio of Underwriting Net Operating Income
to annualized debt service.
(2) Cut-off Date ("COD") LTV Ratio is the ratio of Cut-off Date Balance to
Appraisal Value.
<TABLE>
<CAPTION>
WEIGHT
AVERAGE
UNIT LOAN BALANCE
PROPERTY TYPE TYPE PER UNIT
=========================================== [MORTGAGE POOL CHARACTERISTICS GRAPH]
<S> <C> <C> <C>
Multifamily Units $38,407.88
Retail Square Feet 82.09
Hotel Rooms 39,897.24
Industrial Square Feet 41.08
Office Square Feet 65.27
Health Care Beds 47,518.92
Franchise Square Feet 519.07
Mini Storage Square Feet 25.99
Golf Course Holes 181,494.13
- -------------------------------------------
===========================================
</TABLE>
- -------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 7
- -------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- -------------------------------------------------------------------------------
Property Location
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
LOCATION (STATE/COUNTY) LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
==========================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
FL 36 17.9% $ 228,146,632 22.4% 1.49X 70.1% 7.791%
Dade 4 2.0 59,057,888 5.8 1.39 76.3 7.398
Walton 1 0.5 36,501,176 3.6 1.71 54.5 6.915
Broward 10 5.0 31,608,451 3.1 1.45 69.5 8.377
Osceola 1 0.5 29,190,339 2.9 1.67 68.7 8.735
Orange 3 1.5 21,569,600 2.1 1.39 74.3 8.354
Other Counties 17 8.5 50,219,178 4.9 1.42 73.5 7.729
CA 21 10.4 158,196,661 15.5 1.39 73.3 7.430
Los Angeles 5 2.5 48,339,663 4.7 1.36 74.9 7.467
San Diego 2 1.0 29,961,657 2.9 1.28 72.2 7.545
San Francisco 1 0.5 18,714,507 1.8 1.47 74.9 6.815
San Joaquin 2 1.0 8,485,002 0.8 1.68 68.2 7.253
Santa Clara 1 0.5 8,314,023 0.8 1.30 70.2 8.470
Other Counties 10 5.0 44,381,809 4.3 1.42 73.3 7.411
NC 10 5.0 101,161,511 9.9 1.40 74.0 7.329
GA 11 5.5 50,898,740 5.0 1.44 72.8 7.551
IN 16 8.0 49,638,043 4.9 1.55 66.5 8.261
LA 8 4.0 45,470,693 4.5 1.43 78.3 7.320
TX 10 5.0 40,178,127 3.9 1.39 75.0 8.123
VA 9 4.5 36,658,337 3.6 1.51 72.5 7.751
NV 5 2.5 32,940,080 3.2 1.41 76.7 7.901
NY 9 4.5 30,774,197 3.0 1.67 68.7 8.494
Other States 66 32.8 246,573,537 24.2 1.52 71.7 7.729
- --------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
==========================================================================================================================
</TABLE>
(1) Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2) Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] The Mortgage Properties are located throughout 30 states and the District
of Columbia.
[Property Location Map]
- -------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 8
- ------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- ------------------------------------------------------------------------------
Cut-off Date Balance
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
CUT-OFF DATE BALANCE LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
============================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
$568,681 to $999,999 6 3.0% $ 4,721,758 0.5% 1.61x 55.1% 8.521%
$1,000,000 to $2,499,999 64 31.8 118,983,329 11.7 1.54 69.1 8.025
$2,500,000 to $4,999,999 82 40.8 299,286,986 29.3 1.52 70.3 7.903
$5,000,000 to $7,499,999 19 9.5 114,323,430 11.2 1.47 72.3 7.622
$7,500,000 to $9,999,999 9 4.5 75,592,611 7.4 1.39 75.5 7.640
$10,000,000 to $14,999,999 5 2.5 56,223,861 5.5 1.49 71.3 7.881
$15,000,000 to $19,999,999 9 4.5 157,529,446 15.4 1.38 77.3 7.548
$20,000,000 to $29,999,999 6 3.5 157,437,960 15.4 1.39 76.0 7.404
$30,000,000 to $36,501,176 1 0.5 36,501,176 3.6 1.71 54.5 6.915
- ----------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
============================================================================================================================
</TABLE>
(1) Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2) Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE AVERAGE CUT-OFF DATE BALANCE IS $5,077,615.
Underwriting Debt Service Coverage Ratio
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
Debt Service Coverage Ratio LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
================================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
1.19x to 1.29x 8 4.0% $ 54,065,904 5.3% 1.24x 74.7% 7.765%
1.30x to 1.34x 19 9.5 172,389,392 16.9 1.32 76.4 7.458
1.35x to 1.39x 43 21.4 262,801,414 25.7 1.38 77.3 7.608
1.40x to 1.49x 64 31.8 237,588,077 23.3 1.44 73.0 7.638
1.50x to 1.59x 26 12.9 99,105,940 9.7 1.55 68.9 8.092
1.60x to 1.69x 21 10.4 103,242,530 10.1 1.64 67.4 8.250
1.70x to 1.79x 8 4.0 56,426,156 5.5 1.72 58.4 7.414
1.80x to 1.89x 3 1.5 9,206,470 0.9 1.82 57.9 8.500
1.90x to 1.99x 2 1.0 5,029,825 0.5 1.92 58.7 7.980
2.00x to 2.99x 6 3.0 16,260,739 1.6 2.40 42.5 7.152
3.00x to 4.24x 1 0.5 4,484,109 0.4 4.24 39.3 7.330
- --------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
================================================================================================================================
</TABLE>
(1) Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2) Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE WEIGHTED AVERAGE UNDERWRITING DEBT SERVICE COVERAGE RATIO IS 1.47X.
- ------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 9
- ------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- ------------------------------------------------------------------------------
Cut-off Date Loan-to-Value Ratio
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
CUT-OFF DATE LTV RATIO LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
==========================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
27.2% to 49.9% 9 4.5% $ 23,337,482 2.3% 2.57x 37.1% 7.599%
50.0% to 59.9% 12 6.0 77,916,520 7.6 1.68 55.5 7.593
60.0% to 64.9% 18 9.0 43,545,717 4.3 1.57 62.7 8.166
65.0% to 69.9% 40 19.9 159,620,176 15.6 1.56 67.8 8.150
70.0% to 74.9% 48 23.9 273,273,752 26.8 1.40 73.4 7.846
75.0% to 79.9% 67 33.3 390,803,946 38.3 1.38 78.4 7.396
80.0% to 83.0% 7 3.5 52,102,966 5.1 1.38 80.9 7.663
- --------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
==========================================================================================================================
</TABLE>
(1) Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2) Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE WEIGHTED AVERAGE CUT-OFF DATE LTV RATIO IS 72.2%.
Maturity Date Loan-to-Value Ratio
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING MATURITY DATE MORTGAGE
MATURITY DATE LTV RATIO LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
==========================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
Fully amortizing 1 0.5% $ 889,628 0.1% 2.06x 0.0%
26.7% to 49.9% 31 15.4 122,630,037 12.0 1.82 42.2 7.620%
50.0% to 59.9% 46 22.9 159,741,180 15.7 1.53 56.1 7.686
60.0% to 64.9% 35 17.4 163,910,329 16.1 1.47 62.7 8.109
65.0% to 69.9% 50 24.6 350,326,685 34.3 1.39 67.4 7.461
70.0% to 75.8% 38 18.9 223,102,700 21.9 1.38 72.2 7.589
- -------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 62.9% 7.701%
=========================================================================================================================
</TABLE>
(1) Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2) Cut-off Date LTV Ratio is the ratio of Maturity Date Balance to Appraisal
Value.
[ ] THE WEIGHT AVERAGE MATURITY DATE LOAN-TO-VALUE RATIO IS 62.9%.
- ------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 10
- -------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- -------------------------------------------------------------------------------
Mortgage Rate
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
MORTGAGE RATE LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
6.720% to 6.999% 11 5.5% $ 131,980,785 12.9% 1.54x 66.9% 6.857%
7.000% to 7.249% 24 11.9 209,098,006 20.5 1.43 75.4 7.106
7.250% to 7.499% 32 15.9 124,188,933 12.2 1.52 75.0 7.365
7.500% to 7.749% 32 15.9 163,751,514 16.0 1.37 75.3 7.601
7.750% to 7.999% 28 13.9 98,318,595 9.6 1.48 72.1 7.887
8.000% to 8.499% 37 18.4 136,628,070 13.4 1.48 69.6 8.318
8.500% to 8.499% 22 10.9 105,569,470 10.3 1.51 69.7 8.736
9.000% to 9.499% 10 5.0 42,534,678 4.2 1.52 67.1 9.213
9.500% to 9.830% 5 2.5 8,530,508 0.8 1.54 68.5 9.736
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
====================================================================================================================================
</TABLE>
(1)Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2)Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE WEIGHTED AVERAGE MORTGAGE RATE IS 7.701%.
[ ] THE WEIGHTED AVERAGE ADMINISTRATIVE FEE RATE IS 0.157%
[ ] THE WEIGHTED AVERAGE NET MORTGAGE RATE IS 7.543%.
Original Term to Maturity
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
ORIGINAL TERM TO MATURITY LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
60 months 3 1.5% $28,963,707 2.8% 1.37x 76.8% 7.537%
84 months 12 6.0 141,545,500 13.9 1.46 74.2 7.600
108 months 1 0.5 3,091,388 0.3 1.42 74.2 7.870
120 months 185 92.0 846,999,963 83.0 1.48 71.6 7.722
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
====================================================================================================================================
</TABLE>
(1)Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2)Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE WEIGHTED AVERAGE ORIGINAL TERM TO MATURITY IS 113 MONTHS.
- -------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 11
- ------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- ------------------------------------------------------------------------------
Original Amortization Term
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
ORIGINAL AMORTIZATION TERM LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
120 months 1 0.5% $ 889,628 0.1% 2.06x 27.2% 7.620%
180 months 1 0.5 3,120,998 0.3 1.42 55.7 7.380
207 months 1 0.5 2,988,804 0.3 1.77 63.3 8.450
219 months 1 0.5 2,753,371 0.3 1.69 66.3 8.450
240 months 17 8.5 46,893,599 4.6 1.59 65.1 8.304
300 months 65 32.3 303,062,022 29.7 1.58 66.8 8.013
360 months 115 57.2 660,892,136 64.8 1.41 75.3 7.510
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
====================================================================================================================================
</TABLE>
(1)Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2)Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE WEIGHTED AVERAGE ORIGINAL AMORTIZATION TERM IS 335 MONTHS.
Remaining Term to Maturity
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
REMAINING TERM TO MATURITY LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
56 months to 59 months 3 1.5% $ 28,963,707 2.8% 1.37x 76.8% 7.537%
60 months to 83 months 11 5.5 135,145,500 13.2 1.46 74.4 7.638
84 months to 119 months 185 92.0 825,441,351 80.9 1.48 71.5 7.747
120 months 2 1.0 31,050,000 3.0 1.38 76.1 6.881
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
====================================================================================================================================
</TABLE>
(1)Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2)Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE WEIGHTED AVERAGE SEASONING IS 4 MONTHS.
[ ] THE WEIGHTED AVERAGE REMAINING TERM TO MATURITY IS 109 MONTHS.
- ------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 12
- ------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- ------------------------------------------------------------------------------
Mortgage Loan originator
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
MORTGAGE LOAN ORIGINATOR LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
NationsBank, N.A. 92 45.8% $ 432,121,973 42.3% 1.49x 71.7% 7.700%
Berkshire Mortgage Finance
Corporation 39 19.4 247,508,140 24.3 1.51 71.4 7.698
Washington Mortgage Financial
Group 22 10.9 104,747,810 10.3 1.41 73.7 7.857
Bankers Mutual Mortgage, Inc. 13 6.5 75,786,325 7.4 1.40 74.5 7.482
L.J. Melody & Company 12 6.0 64,709,984 6.3 1.36 73.7 7.557
Patrician Financial Company 12 6.0 64,204,366 6.3 1.49 73.3 7.819
First Security Bank, N.A. 11 5.5 31,521,960 3.1 1.54 67.6 7.784
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
====================================================================================================================================
</TABLE>
(1)Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2)Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] THE WEIGHTED AVERAGE ORIGINAL AMORTIZATION TERM IS 335 MONTHS.
Mortgage Loan Sub-Servicer
<TABLE>
<CAPTION>
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
MORTGAGE LOAN SUB-SERVICER LOANS LOANS BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Midland Loan Services, L.P. 92 45.8% $ 432,121,973 42.3% 1.49x 71.7% 7.700%
Berkshire Mortgage Finance
Corporation 39 19.4 247,508,140 24.3 1.51 71.4 7.698
Washington Mortgage Financial
Group 22 10.9 104,747,810 10.3 1.41 73.7 7.857
Bankers Mutual Mortgage, Inc. 13 6.5 75,786,325 7.4 1.40 74.5 7.482
L.J. Melody & Company 12 6.0 64,709,984 6.3 1.36 73.7 7.557
Patrician Financial Company 12 6.0 64,204,366 6.3 1.49 73.3 7.819
First Security Bank, N.A. 11 5.5 31,521,960 3.1 1.54 67.6 7.784
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 201 100.0% $1,020,600,558 100.0% 1.47x 72.2% 7.701%
====================================================================================================================================
</TABLE>
(1)Underwriting DSCR is the ration of Underwriting Net Operating Income to
annualized debt service.
(2)Cut-off Date LTV Ratio is the ratio of Cut-off Date Balance to Appraisal
Value.
[ ] EACH OF THE MORTGAGE LOANS WILL BE SUB-SERVICED BY ITS RESPECTIVE
ORIGINATOR, WITH THE EXCEPTION OF THE MORTGAGE LOANS THAT WERE ORIGINATED BY
NATIONSBANK, N.A., WHICH WILL BE SUB-SERVICED BY MIDLAND LOAN SERVICES, L.P.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 13
- -------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- -------------------------------------------------------------------------------
Prepayment Provisions Summary
<TABLE>
<CAPTION>
ORIGINAL ORIGINAL NUMBER OF AGGREGATE % OF
TERM TO AMORTIZATION MORTGAGE CUT-OFF DATE INITIAL POOL
MATURITY TERM LOANS BALANCE BALANCE PREPAYMENT PROVISION DESCRIPTION(1)
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
60 months 360 months 1 $18,145,866 1.8% LO(24)/3%(12)2%/(12)/FREE(12)
60 months 360 months 2 10,817,841 1.1 LO(24)/GRTR1%PPMTorYM(30)/FREE(6)
84 months 300 months 1 2,383,281 0.2 LO(24)/GRTR1%PPMTorYM(36)/2%(12)/1%(6)/FREE(6)
84 months 300 months 3 32,300,639 3.2 LO(36)/GRTR1%PPMTorYM(42)/FREE(6)
84 months 360 months 1 3,084,599 0.3 LO(25)/GRTR1%PPMTorYM(36)/2%(12)/1%(5)/FREE(6)
84 months 360 months 7 103,776,981 10.2 LO(36)/GRTR1%PPMTorYM(42)/FREE(6)
108 months 360 months 1 3,091,388 0.3 LO(48)/GRTR1%PPMTorYM(54)/FREE(6)
120 months 120 months 1 889,628 0.1 LO(48)/GRTR1%PPMTorYM(66)/FREE(6)
120 months 180 months 1 3,120,998 0.3 LO(48)/GRTR1%PPMTorYM(66)/FREE(6)
120 months 207 months 1 2,988,804 0.3 LO(48)/GRTR1%PPMTorYM(66)/FREE(6)
120 months 219 months 1 2,753,371 0.3 LO(48)/GRTR1%PPMTorYM(66)/FREE(6)
120 months 240 months 1 2,470,564 0.2 LO(36)/GRTR1%PPMTorYM(48)/3%(12)/2%(12)/1%(6)/FREE(6)
120 months 240 months 16 44,423,035 4.4 LO(48)/GRTR1%PPMTorYM(66)/FREE(6)
120 months 300 months 8 21,491,770 2.1 LO(36)/GRTR1%PPMTorYM(48)/3%(12)/2%(12)/1%(6)/FREE(6)
120 months 300 months 3 10,439,637 1.0 LO(37)/GRTR1%PPMTorYM(48)/3%(12)/2%(12)/1%(5)/FREE(6)
120 months 300 months 50 236,446,695 23.2 LO(48)/GRTR1%PPMTorYM(66)/FREE(6)
120 months 360 months 3 5,698,978 0.6 LO(36)/GRTR1%PPMTorYM(48)/3%(12)/2%(12)/1%(6)/FREE(6)
120 months 360 months 3 11,326,709 1.1 LO(36)/GRTR1%PPMTorYM(78)/FREE(6)
120 months 360 months 2 24,369,341 2.4 LO(37)/GRTR1%PPMTorYM(48)/3%(12)/2%(12)/1%(5)/FREE(6)
120 months 360 months 1 15,634,177 1.5 LO(37)/GRTR1%PPMTorYM(77)/FREE(6)
120 months 360 months 8 29,597,940 2.9 LO(48)/GRTR1%PPMTorYM(60)/FREE(12)
120 months 360 months 86 435,348,316 42.7 LO(48)/GRTR1%PPMTorYM(66)/FREE(6)
- -------------------------------------------------------------------------------------------------------------------------
TOTAL 201 $1,020,600,558 100.0%
=========================================================================================================================
</TABLE>
(1) LO - Lock-out period GRTR - Greater of PPMT - Prepayment amount
YM - Yield maintenance FREE - No penalty period
[ ] EACH OF THE MORTGAGE LOANS IS IN A LOCK-OUT PERIOD AS OF THE CUT-OFF DATE.
[ ] THE WEIGHTED AVERAGE REMAINING LOCK-OUT PERIOD IS 41 MONTHS.
[ ] SEE PREPAYMENT PREMIUM ALLOCATION HEREIN FOR A DESCRIPTION OF ALLOCATION OF
PREPAYMENT PREMIUMS.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED
IN THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND
OTHER MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION
REGARDING THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF
SUCH ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER
OF THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION
OF THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS
NOT AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 14
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
PREPAYMENT PROVISION/REMAINING BALANCE ANALYSIS
<TABLE>
<CAPTION>
PERIOD
-------------------------------------------------------------------------------------------------
PREPAYMENT PROVISION(1) 3/98 3/99 3/00 3/01 3/02 3/03 3/04 3/05 3/06 3/07 3/08
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
LO 100.0% 99.7% 93.0% 74.9% 3.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
GRTR1%PPMTorYM 0.0 0.3 5.2 23.4 94.8 99.4 97.6 92.3 92.3 84.6 0.0
3% 0.0 0.0 1.8 0.0 0.0 0.0 2.1 5.2 0.0 0.0 0.0
2% 0.0 0.0 0.0 1.8 0.3 0.2 0.0 2.5 5.2 0.0 0.0
1% 0.0 0.0 0.0 0.0 0.0 0.3 0.0 0.0 2.5 1.0 0.0
FREE 0.0 0.0 0.0 0.0 1.8 0.0 0.2 0.0 0.0 14.5 0.0
- ------------------------------------------------------------------------------------------------------------------------
TOTAL 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
- ------------------------------------------------------------------------------------------------------------------------
CERTIFICATES BALANCE $1020.6 $1010.0 $998.8 $986.5 $973.2 $931.2 $913.2 $770.0 $754.5 $686.7 $0.0
% INITIAL POOL
BALANCE 100.0% 99.0% 97.9% 96.7% 95.4% 91.2% 89.5% 75.4% 73.9% 67.3% 0.0%
- ------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) LO - Lock-out period
GRTR - Greater of
PPMT - Prepayment amount
YM - Yield maintenance
FREE - No penalty period
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 15
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
PREPAYMENT PREMIUM ALLOCATION
Any Prepayment Premiums (whether in the form of a yield maintenance amount or a
fixed prepayment premium) actually collected will be distributed as follows: (i)
first, to the holders of the Class X-1 and X-2 Certificates and the holders of
the respective Class or Classes of the Class A, B, C, D and E Certificates then
entitled to receive principal, up to an amount equal to the corresponding PV
Yield Loss Amount, pro rata in accordance with their respective entitlement; and
(ii) then, to the extent of any remaining portion of such Prepayment Premiums,
to the holders of the Class X-1 and X-2 Certificates, pro rata based on the
Notional Amount of each such Class as of the preceding Distribution Date.
- --------------------------------------------------------------------------------
CHARACTERISTICS OF PREPAID MORTGAGE LOAN
<TABLE>
<S> <C> <C> <C>
Original Balance $18,200,000 Date of Prepayment 11/1/99
Mortgage Rate 7.53% Balance at Prepayment $17,905,144
Original Term to Maturity 60 months Remaining Term at Prepayment 36 months
Original Amortization Term 360 months Prepayment Premium $537,154
Lock-out Period 24 months
</TABLE>
DISTRIBUTION TO CLASSES
<TABLE>
<CAPTION>
Class X Certificates
Class A-1 --------------------
Certificates Class X-1 Class X-2
----------------------------------------------------------
<S> <C> <C> <C>
Prepaid Principal/Aggregate Notional Amount Reduction $17,905,144 $17,903,353(1) $17,903,353(1)
Reinvestment Treasury Term(2) 5.17 years 8.08 years 8.33 years
Reinvestment Yield 5.47% 5.49% 5.50%
Annuity Factor(3) 4.3974 6.3887 6.5450
Pass-Through Rate 6.18% 1.55% 1.43%
Notional Balance at Prepayment - $697,452,999 $306,149,550
Lost Coupon Amount(4) $126,894 $192,447 $78,337
PV Yield Loss Amount(5) $558,008 $1,229,481 $512,718
Distributed Prepayment Premium (%) 24.3% 53.5% 22.3%
Distributed Prepayment Premium ($) $130,309 $287,114 $119,732
- ----------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
(1) Aggregate notional balance reduction for Class X Certificates (99.99%
of prepaid principal).
(2) Number of months from related Distribution Date to Assumed Final
Distribution Date for each such Class divided by 12.
(3) Annuity Factor is calculated using the following formula:
-n
1-(1+T)
---------
T
where "n" is the reinvestment treasury term referenced above in (2),
and "T" the Reinvestment Yield, as listed in the above chart.
(4) Lost Coupon Amount is calculated in the following manner: for the Class
A-1 Certificates (or other so entitled Class of Sequential Pay
Certificates),
(Pass-Through Rate - Reinvestment Yield) x Prepaid Principal
and, for the Class X Certificates,
Class Notional Amount
Pass-Through Rate x --------------------- x Aggregate Notional Amount Reduction
Aggregate Notional
Amount
(5) PV Yield Loss Amount is equal to the product of the Annuity Factor and
the Lost Coupon Amount for each such Class.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 16
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
SIGNIFICANT MORTGAGE LOANS
Certain of the larger Mortgage Loans or groups of Mortgage Loans (by
outstanding principal balance) are described below. Terms used below
relating to property characteristics have the meaning assigned to such
term in the preliminary prospectus supplement dated February 25, 1997.
RESEARCH TRI-CENTER MORTGAGE LOANS. Two of the Mortgage Loans (the
"Research South Mortgage Loan" and the "Research North Mortgage Loan,"
respectively, and collectively, the "Research Tri-Center Mortgage
Loans") are cross-defaulted and cross-collateralized with each other,
and are secured by fee mortgages on two certain industrial properties,
Research Tri-Center South A and Research Tri-Center North B,
respectively, each of which is located in Durham, North Carolina. The
Research Tri-Center Mortgage Loans were originated on January 30, 1998
and, with an aggregate Cut-off Date Balance of $43,867,379.57,
represent 4.3% of the Initial Pool Balance.
Research Tri-Center South A was completed in 1994. Glaxo and IBM are
the largest tenants, leasing 170,000 square feet and 120,000 square
feet, respectively, of an available 680,200 square feet of Net Rentable
Area (SF). As of December 1, 1997, Research Tri-Center South A was 93%
occupied.
The Underwriting NOI determined for Research Tri-Center South A is
$2,586,635. The Appraisal Value of Research Tri-Center South A as of
November 26, 1997 was $29,150,000.
Research Tri-Center North B was completed in 1990. IBM is the lone
tenant, leasing 100% of the available 421,500 square feet of Net
Rentable Area (SF).
The Underwriting NOI determined for Research Tri-Center North B is
$2,189,275. The Appraisal Value of Research Tri-Center North B as of
November 26, 1997 was $25,750,000.
The Underwriting Debt Service Coverage Ratios determined for the
Research South Mortgage Loan and the Research North Mortgage Loan are
1.38x and 1.32x, respectively.
SILVER SANDS MORTGAGE LOAN. One of the Mortgage Loans (the "Silver
Sands Mortgage Loan") is secured by a fee mortgage encumbering Silver
Sands Factory Stores, an unanchored retail property located on East
Highway 98 in Sandestin, Florida. The Silver Sands Mortgage Loan was
originated on December 29, 1997 and, with a Cut-off Date Balance of
$36,501,176.31, represents 3.6% of the Initial Pool Balance.
Silver Sands Factory Stores was completed in 1986 and renovated in
1996. Reebok/Rockport and The Gap are the largest tenants, leasing
13,157 square feet and 10,285 square feet, respectively, of an
available 373,737 square feet of Net Rentable Area (SF). As of November
14, 1997, Silver Sands Factory Stores was 96% occupied.
The Underwriting NOI determined for Silver Sands Factory Stores is
$5,254,599, which results in an Underwriting DSCR of 1.71x. The
Appraisal Value of Silver Sands Factory Stores as of November 1, 1997
was $67,000,000.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 17
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
FLAGLER PARK MORTGAGE LOAN. One of the Mortgage Loans (the "Flagler
Park Mortgage Loan") is secured by a fee mortgage encumbering Flagler
Park Plaza Shopping Center, a grocery-anchored retail property located
in Miami, Florida. The Flagler Park Mortgage Loan was originated on
January 30, 1998 and, with a Cut-off Date Balance of $29,963,774.40,
represents 2.9% of the Initial Pool Balance.
Flagler Park Plaza Shopping Center was completed in 1990. Publix and
Service Merchandise are the largest tenants, leasing 56,000 square feet
and 50,000 square feet, respectively, of an available 348,877 square
feet of Net Rentable Area (SF). As of November 30, 1997, Flagler Park
Plaza Shopping Center was 95% occupied.
The Underwriting NOI determined for Flagler Park Plaza Shopping Center
is $3,141,988, which results in an Underwriting DSCR of 1.31x. The
Appraisal Value of Flagler Park Plaza Shopping Center as of November
13, 1997 was $37,925,000.
DAYS SUITES MORTGAGE LOAN. One of the Mortgage Loans (the "Days Suites
Mortgage Loan") is secured by a fee mortgage encumbering Days Suites
Kissimmee Lodge, a limited-service hotel property operated under a
franchise license agreement with Days Inn of America, Inc. Days Suites
Kissimmee Lodge is located near Walt Disney World in Kissimmee,
Florida. The Days Suites Mortgage Loan was originated on August 29,
1997 and, with a Cut-off Date Balance of $29,190,339.31, represents
2.9% of the Initial Pool Balance.
Days Suites Kissimmee Lodge was built in 1974 and renovated in 1989.
Improvements consist of multiple buildings representing an aggregate
603 rooms and 363,400 square feet of Net Rentable Area (SF). As of
November 30, 1997, Days Suites Kissimmee Lodge was 85% occupied.
The borrower (the "Days Suites Borrower") under the Days Suites
Mortgage Loan is also the obligor of subordinated debt that is secured
by neither Days Suites Kissimmee Lodge nor any of the other collateral
for the Mortgage Loan. Such debt, in the amount of $1,290,000.00 was
obtained in connection with the origination of the Days Suites Mortgage
Loan. The Days Suites Borrower is not required to make, nor may the
related obligee demand, any payment in connection with such debt until
the Days Suites Mortgage Loan is paid in full. Affiliated borrowers
with respect to the Days Suites Mortgage Loan were debtors in
bankruptcy until 1995.
The Underwriting NOI determined for Days Suites Kissimmee Lodge is
$4,830,298, which results in an Underwriting DSCR of 1.67x. The
Appraisal Value of Days Suites Kissimmee Lodge as of July 1, 1997 was
$42,500,000.
LA TERRAZA MORTGAGE LOAN. One of the Mortgage Loans (the "La Terraza
Mortgage Loan") is secured by a fee mortgage on La Terraza Apartments,
a multifamily property located in San Diego, California. The La Terraza
Mortgage Loan was originated on October 9, 1997 and, with a Cut-off
Date Balance of $27,916,466.70, represents 2.7% of the Initial Pool
Balance.
La Terraza Apartments was completed in 1989 and renovated in 1997.
Improvements consist of a mix of one, two and three-bedroom units
representing an aggregate 402 units and 393,724 square feet of Net
Rentable Area (SF). As of November 30 ,1997, La Terraza Apartments was
98% occupied.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 18
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
The Underwriting NOI determined for La Terraza Apartments is
$2,893,797, which results in an Underwriting DSCR of 1.23x. The
Appraisal Value of La Terraza Apartments as of August 31, 1997 was
$37,900,000.
UNIVERSITY TOWERS MORTGAGE LOAN. One of the Mortgage Loans (the
"University Towers Mortgage Loan") is secured by a fee mortgage on
University Towers, a student dormitory located near the campus of North
Carolina State University in Raleigh, North Carolina. The University
Towers Mortgage Loan was originated on February 11, 1998 and, with a
Cut-off Date Balance of $26,500,000, represents 2.6% of the Initial
Pool Balance.
University Towers was completed in 1989. Improvements consist of a
single, nine-story building containing 936 one-room units which, in
aggregate, represent 213,767 square feet of Net Rentable Area (SF). As
of October 31, 1997, University Towers was 100% occupied.
The Underwriting NOI determined for University Towers is $2,853,847,
which results in an Underwriting DSCR of 1.38x. The Appraisal Value of
University Towers as of November 26, 1997 was $34,500,000.
THE APPLEBEE'S MORTGAGE LOANS. Two sets of Mortgage Loans contain, in
the aggregate, twelve Mortgage Loans (the "Applebee's Mortgage Loans")
that are secured by fee or leasehold mortgages on twelve Applebee's
franchise restaurant properties (the "Applebee's Restaurants") and are,
solely as among such Applebee's Mortgage Loans in such particular set,
cross-defaulted and cross-collateralized with each other, subject to
certain limitations. The Applebee's Mortgage Loans were originated on
October 10, 1997. One set of Applebee's Mortgage Loans contains eight
Applebee's Mortgage Loans and, with an aggregate Cut-off Date Balance
of $20,796,652.29, represents 2.0% of the Initial Pool Balance. The
other set of Applebee's Mortgage Loans contains four Applebee's
Mortgage Loans and, with an aggregate Cut-off Date Balance of
$12,423,251.35, represents 1.2% of the Initial Pool Balance.
Each of the Applebee's Restaurants is located in Indiana and is
operated under a franchise license agreement with Applebee's
International. The Applebee's Restaurants were completed between 1993
and 1997, and range in size from 5,000 square feet to 6,000 square
feet.
The Underwriting NOI determined for each Applebee's Restaurant is
between $343,741 and $587,342. The Underwriting DSCR determined for
each Applebee's Mortgage Loan ranges in value from 1.31x to 1.77x. The
Appraisal Value of each Applebee's Restaurant as of October 1, 1997 is
between $3,980,000 and $5,030,000.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 19
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1998-1
Class A, B, C, D, E & X Certificates
$898,128,487 (approximate)
- --------------------------------------------------------------------------------
PRICE/YIELD TABLES
The tables set forth hereafter show the corporate bond equivalent
yield, modified duration, weighted average life and the first
Distribution Date and final Distribution Date on which principal or
interest, as applicable, is to be paid with respect to the Classes of
Offered Certificates under various scenarios and for a variety of
purchase prices. Purchase prices are generally expressed in 32nds (i.e.
9-12 means 912/32) as a percentage of the related aggregate principal
balance (the "Certificate Balance") of the relevant Class.
The yields set forth in the following tables were calculated by
determining the monthly discount rates which, when applied to the
assumed stream of cash flows to be paid on each Class of Offered
Certificates, would cause the discounted present value of such assumed
stream of cash flows as of March 30, 1998 to equal the assumed purchase
prices, plus accrued interest at the applicable pass-through rate from
and including the Cut-Off Date to but excluding the Settlement Date,
and converting such monthly rates to semi-annual corporate bond
equivalent rates. Assumed cash flows were determined based on actual
loan terms, the coupons set forth in each table, and the assumptions as
to prepayments, extensions and receipts of prepayment premiums set
forth in each table, and to the extent not inconsistent herewith, based
on the Maturity Assumptions as defined in the preliminary prospectus
dated February 25, 1998 with respect to the Offered Certificates. Such
calculation does not take into account variations that may occur in the
interest rates at which investors may be able to reinvest funds
received by them as reductions of the Certificate Balances of the
respective Classes of Offered Certificates and consequently does not
purport to reflect the return on any investment in such Classes of
Certificates when such reinvestment rates are considered. For purposes
of these tables, "modified duration" has been calculated using Macaulay
Duration. The Macaulay Duration is calculated as the present value
weighted average time to receive future payments of principal and
interest. Modified duration is calculated by dividing the Macaulay
Duration by the appropriate semi-annual compounding factor. The
duration of a security may be calculated according to various
methodologies; accordingly, no representation is made by the Sponsor,
the Underwriters or any other person that the "modified duration"
approach used herein is appropriate. Duration, like yield, will be
affected by the prepayment rate of the Mortgage Loans and extensions in
respect of Balloon Payments that actually occur during the life of the
Offered Certificates and by the actual performance of the Mortgage
Loans, all of which may differ, and may differ significantly, from the
assumptions used in preparing the tables below. The modified duration
shown in the following tables, in each case, relates to the yield shown
immediately above such modified duration number.
- --------------------------------------------------------------------------------
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 20
PRICE / YIELD TABLE - CLASS B
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
<TABLE>
<CAPTION>
IO Strip = 0.0000%
Security ID NATIONSLINK 1998-1
Settlement Date 3/30/98 Initial Prin. Bal 53,581,529.00
Interest Accrued From 3/1/98 Initial Coupon 6.4200%
Next Pmt Date 4/20/98 Accrued Int 277,107.36
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Price 0.0% 4.0% 8.0% 12.0% 16.0%
----- ---- ---- ---- ----- -----
98-24 6.637% 6.637% 6.637% 6.637% 6.637%
98-28 6.619% 6.619% 6.619% 6.619% 6.619%
99-00 6.601% 6.601% 6.601% 6.601% 6.601%
99-04 6.583% 6.583% 6.583% 6.583% 6.583%
99-08 6.565% 6.565% 6.565% 6.565% 6.565%
Mod Dur 7.03 7.02 7.02 7.01 7.01
99-12 6.547% 6.547% 6.547% 6.547% 6.547%
99-16 6.529% 6.529% 6.529% 6.529% 6.529%
99-20 6.512% 6.512% 6.512% 6.512% 6.512%
99-24 6.494% 6.494% 6.494% 6.494% 6.494%
99-28 6.476% 6.476% 6.476% 6.476% 6.476%
Mod Dur 7.04 7.03 7.03 7.03 7.02
100-00 6.458% 6.458% 6.458% 6.458% 6.458%
100-04 6.441% 6.441% 6.441% 6.441% 6.441%
100-08 6.423% 6.423% 6.423% 6.423% 6.423%
100-12 6.406% 6.406% 6.406% 6.405% 6.405%
100-16 6.388% 6.388% 6.388% 6.388% 6.388%
Mod Dur 7.05 7.05 7.04 7.04 7.03
100-20 6.371% 6.370% 6.370% 6.370% 6.370%
100-24 6.353% 6.353% 6.353% 6.353% 6.353%
100-28 6.336% 6.335% 6.335% 6.335% 6.335%
101-00 6.318% 6.318% 6.318% 6.318% 6.318%
101-04 6.301% 6.301% 6.300% 6.300% 6.300%
Mod Dur 7.06 7.06 7.05 7.05 7.05
101-08 6.283% 6.283% 6.283% 6.283% 6.283%
101-12 6.266% 6.266% 6.266% 6.265% 6.265%
101-16 6.248% 6.248% 6.248% 6.248% 6.248%
101-20 6.231% 6.231% 6.231% 6.231% 6.231%
101-24 6.214% 6.214% 6.214% 6.213% 6.213%
Mod Dur 7.07 7.07 7.07 7.06 7.06
101-28 6.197% 6.196% 6.196% 6.196% 6.196%
102-00 6.179% 6.179% 6.179% 6.179% 6.179%
102-04 6.162% 6.162% 6.162% 6.162% 6.161%
102-08 6.145% 6.145% 6.145% 6.144% 6.144%
102-12 6.128% 6.128% 6.127% 6.127% 6.127%
Mod Dur 7.08 7.08 7.08 7.07 7.07
WA Life (Yrs) 9.76 9.75 9.74 9.73 9.73
First Prin Date 12/20/07 12/20/07 12/20/07 12/20/07 12/20/07
Final Prin Date 1/20/08 1/20/08 1/20/08 1/20/08 1/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
-------------------------
ASSUMPTIONS TSY CURVE AS OF 2/19/98
- ------------------------------------------------------------------------------------------------------------------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- -------------------------
<S> <C> <C>
1/4 5.200%
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF MARCH 1, 1998 1/2 5.290%
- ------------------------------------------------------------------------------------ 1 5.290%
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YLD MAINT PERIODS (IF ANY) 2 5.380%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 3 5.390%
PREPAYMENT PREMIUMS ARE ALLOCATED TO THE CLASSES A,B,C,D,E AND X CERTIFICATES UP TO AN AMOUNT 5 5.470%
EQUAL TO THE PV YIELD LOSS AMOUNT FOR EACH CLASS 10 5.510%
NO EXTENSIONS ON ANY MORTGAGE LOAN 30 5.850%
NO DEFAULTS ON ANY MORTGAGE LOAN
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
RATING AGENCIES DO NOT ADDRESS THE LIKELIHOOD OF RECEIPT OF PREPAYMENT PENALTIES
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 21
PRICE / YIELD TABLE - CLASS C
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
<TABLE>
<CAPTION>
IO Strip = 0.0000%
Security ID NATIONSLINK 1998-1
Settlement Date 3/30/98 Initial Prin. Bal 56,133,030.00
Interest Accrued From 3/1/98 Initial Coupon 6.5876%
Next Pmt Date 4/20/98 Accrued Int 297,880.54
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Price 0.0% 4.0% 8.0% 12.0% 16.0%
----- ---- ---- ---- ----- -----
98-24 6.808% 6.808% 6.808% 6.808% 6.808%
98-28 6.790% 6.790% 6.790% 6.790% 6.790%
99-00 6.772% 6.772% 6.772% 6.772% 6.772%
99-04 6.754% 6.754% 6.754% 6.754% 6.754%
99-08 6.736% 6.736% 6.736% 6.736% 6.736%
Mod Dur 6.99 6.99 6.99 6.99 6.99
99-12 6.718% 6.718% 6.718% 6.718% 6.718%
99-16 6.700% 6.700% 6.700% 6.700% 6.700%
99-20 6.683% 6.683% 6.683% 6.683% 6.683%
99-24 6.665% 6.665% 6.665% 6.665% 6.665%
99-28 6.647% 6.647% 6.647% 6.647% 6.647%
Mod Dur 7.01 7.01 7.01 7.01 7.01
100-00 6.629% 6.629% 6.629% 6.629% 6.629%
100-04 6.611% 6.611% 6.611% 6.611% 6.611%
100-08 6.594% 6.594% 6.594% 6.594% 6.594%
100-12 6.576% 6.576% 6.576% 6.576% 6.576%
100-16 6.558% 6.558% 6.558% 6.558% 6.558%
Mod Dur 7.02 7.02 7.02 7.02 7.02
100-20 6.541% 6.541% 6.541% 6.541% 6.541%
100-24 6.523% 6.523% 6.523% 6.523% 6.523%
100-28 6.506% 6.506% 6.506% 6.506% 6.506%
101-00 6.488% 6.488% 6.488% 6.488% 6.488%
101-04 6.471% 6.471% 6.471% 6.471% 6.471%
Mod Dur 7.03 7.03 7.03 7.03 7.03
101-08 6.453% 6.453% 6.453% 6.453% 6.453%
101-12 6.436% 6.436% 6.436% 6.436% 6.436%
101-16 6.418% 6.418% 6.418% 6.418% 6.418%
101-20 6.401% 6.401% 6.401% 6.401% 6.401%
101-24 6.384% 6.384% 6.384% 6.384% 6.384%
Mod Dur 7.04 7.04 7.04 7.04 7.04
101-28 6.366% 6.366% 6.366% 6.366% 6.366%
102-00 6.349% 6.349% 6.349% 6.349% 6.349%
102-04 6.332% 6.332% 6.332% 6.332% 6.332%
102-08 6.314% 6.314% 6.314% 6.314% 6.314%
102-12 6.297% 6.297% 6.297% 6.297% 6.297%
Mod Dur 7.05 7.05 7.05 7.05 7.05
WA Life (Yrs) 9.81 9.81 9.81 9.81 9.81
First Prin Date 1/20/08 1/20/08 1/20/08 1/20/08 1/20/08
Final Prin Date 1/20/08 1/20/08 1/20/08 1/20/08 1/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
-------------------------
ASSUMPTIONS TSY CURVE AS OF 2/19/98
- ------------------------------------------------------------------------------------------------------------------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- -------------------------
<S> <C> <C>
1/4 5.200%
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF MARCH 1, 1998 1/2 5.290%
- ------------------------------------------------------------------------------------ 1 5.290%
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YLD MAINT PERIODS (IF ANY) 2 5.380%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 3 5.390%
PREPAYMENT PREMIUMS ARE ALLOCATED TO THE CLASSES A,B,C,D,E AND X CERTIFICATES UP TO AN AMOUNT 5 5.470%
EQUAL TO THE PV YIELD LOSS AMOUNT FOR EACH CLASS 10 5.510%
NO EXTENSIONS ON ANY MORTGAGE LOAN 30 5.850%
NO DEFAULTS ON ANY MORTGAGE LOAN
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
RATING AGENCIES DO NOT ADDRESS THE LIKELIHOOD OF RECEIPT OF PREPAYMENT PENALTIES
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 22
PRICE / YIELD TABLE - CLASS D
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
<TABLE>
<CAPTION>
IO Strip = 0.0000%
Security ID NATIONSLINK 1998-1
Settlement Date 3/30/98 Initial Prin. Bal 48,478,526.00
Interest Accrued From 3/1/98 Initial Coupon 6.9324%
Next Pmt Date 4/20/98 Accrued Int 270,725.33
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
---------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Price 0.0% 4.0% 8.0% 12.0% 16.0%
----- ---- ---- ---- ----- -----
98-24 7.162% 7.162% 7.162% 7.162% 7.162%
98-28 7.144% 7.144% 7.144% 7.144% 7.144%
99-00 7.126% 7.126% 7.126% 7.126% 7.126%
99-04 7.107% 7.107% 7.107% 7.107% 7.107%
99-08 7.089% 7.089% 7.089% 7.089% 7.089%
Mod Dur 6.88 6.88 6.88 6.88 6.88
99-12 7.071% 7.071% 7.071% 7.071% 7.071%
99-16 7.053% 7.053% 7.053% 7.053% 7.053%
99-20 7.035% 7.035% 7.035% 7.035% 7.035%
99-24 7.016% 7.016% 7.016% 7.016% 7.016%
99-28 6.998% 6.998% 6.998% 6.998% 6.998%
Mod Dur 6.89 6.89 6.89 6.89 6.89
100-00 6.980% 6.980% 6.980% 6.980% 6.980%
100-04 6.962% 6.962% 6.962% 6.962% 6.962%
100-08 6.944% 6.944% 6.944% 6.944% 6.944%
100-12 6.926% 6.926% 6.926% 6.926% 6.926%
100-16 6.908% 6.908% 6.908% 6.908% 6.908%
Mod Dur 6.90 6.90 6.90 6.90 6.90
100-20 6.891% 6.891% 6.891% 6.891% 6.891%
100-24 6.873% 6.873% 6.873% 6.873% 6.873%
100-28 6.855% 6.855% 6.855% 6.855% 6.855%
101-00 6.837% 6.837% 6.837% 6.837% 6.837%
101-04 6.819% 6.819% 6.819% 6.819% 6.819%
Mod Dur 6.92 6.92 6.92 6.92 6.92
101-08 6.801% 6.801% 6.801% 6.801% 6.801%
101-12 6.784% 6.784% 6.784% 6.784% 6.784%
101-16 6.766% 6.766% 6.766% 6.766% 6.766%
101-20 6.748% 6.748% 6.748% 6.748% 6.748%
101-24 6.731% 6.731% 6.731% 6.731% 6.731%
Mod Dur 6.93 6.93 6.93 6.93 6.93
101-28 6.713% 6.713% 6.713% 6.713% 6.713%
102-00 6.695% 6.695% 6.695% 6.695% 6.695%
102-04 6.678% 6.678% 6.678% 6.678% 6.678%
102-08 6.660% 6.660% 6.660% 6.660% 6.660%
102-12 6.643% 6.643% 6.643% 6.643% 6.643%
Mod Dur 6.94 6.94 6.94 6.94 6.94
WA Life (Yrs) 9.81 9.81 9.81 9.81 9.81
First Prin Date 1/20/08 1/20/08 1/20/08 1/20/08 1/20/08
Final Prin Date 1/20/08 1/20/08 1/20/08 1/20/08 1/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
-------------------------
ASSUMPTIONS TSY CURVE AS OF 2/19/98
- ------------------------------------------------------------------------------------------------------------------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- -------------------------
<S> <C> <C>
1/4 5.200%
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF MARCH 1, 1998 1/2 5.290%
- ------------------------------------------------------------------------------------ 1 5.290%
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YLD MAINT PERIODS (IF ANY) 2 5.380%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 3 5.390%
PREPAYMENT PREMIUMS ARE ALLOCATED TO THE CLASSES A,B,C,D,E AND X CERTIFICATES UP TO AN AMOUNT 5 5.470%
EQUAL TO THE PV YIELD LOSS AMOUNT FOR EACH CLASS 10 5.510%
NO EXTENSIONS ON ANY MORTGAGE LOAN 30 5.850%
NO DEFAULTS ON ANY MORTGAGE LOAN
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
RATING AGENCIES DO NOT ADDRESS THE LIKELIHOOD OF RECEIPT OF PREPAYMENT PENALTIES
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 23
PRICE / YIELD TABLE - CLASS E
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
<TABLE>
<CAPTION>
IO Strip = 0.0000%
Security ID NATIONSLINK 1998-1
Settlement Date 3/30/98 Initial Prin. Bal 25,515,013.00
Interest Accrued From 3/1/98 Initial Coupon 7.2080%
Next Pmt Date 4/20/98 Accrued Int 148,150.60
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Price 0.0% 4.0% 8.0% 12.0% 16.0%
----- ---- ---- ---- ----- -----
98-24 7.445% 7.445% 7.445% 7.445% 7.445%
98-28 7.427% 7.427% 7.427% 7.427% 7.427%
99-00 7.408% 7.408% 7.408% 7.408% 7.408%
99-04 7.390% 7.390% 7.390% 7.390% 7.390%
99-08 7.371% 7.371% 7.371% 7.371% 7.371%
Mod Dur 6.79 6.79 6.79 6.79 6.79
99-12 7.353% 7.353% 7.353% 7.353% 7.353%
99-16 7.335% 7.335% 7.335% 7.335% 7.335%
99-20 7.316% 7.316% 7.316% 7.316% 7.316%
99-24 7.298% 7.298% 7.298% 7.298% 7.298%
99-28 7.280% 7.280% 7.280% 7.280% 7.280%
Mod Dur 6.80 6.80 6.80 6.80 6.80
100-00 7.261% 7.261% 7.261% 7.261% 7.261%
100-04 7.243% 7.243% 7.243% 7.243% 7.243%
100-08 7.225% 7.225% 7.225% 7.225% 7.225%
100-12 7.207% 7.207% 7.207% 7.207% 7.207%
100-16 7.188% 7.188% 7.188% 7.188% 7.188%
Mod Dur 6.81 6.81 6.81 6.81 6.81
100-20 7.170% 7.170% 7.170% 7.170% 7.170%
100-24 7.152% 7.152% 7.152% 7.152% 7.152%
100-28 7.134% 7.134% 7.134% 7.134% 7.134%
101-00 7.116% 7.116% 7.116% 7.116% 7.116%
101-04 7.098% 7.098% 7.098% 7.098% 7.098%
Mod Dur 6.83 6.83 6.83 6.83 6.83
101-08 7.080% 7.080% 7.080% 7.080% 7.080%
101-12 7.062% 7.062% 7.062% 7.062% 7.062%
101-16 7.044% 7.044% 7.044% 7.044% 7.044%
101-20 7.026% 7.026% 7.026% 7.026% 7.026%
101-24 7.008% 7.008% 7.008% 7.008% 7.008%
Mod Dur 6.84 6.84 6.84 6.84 6.84
101-28 6.991% 6.991% 6.991% 6.991% 6.991%
102-00 6.973% 6.973% 6.973% 6.973% 6.973%
102-04 6.955% 6.955% 6.955% 6.955% 6.955%
102-08 6.937% 6.937% 6.937% 6.937% 6.937%
102-12 6.919% 6.919% 6.919% 6.919% 6.919%
Mod Dur 6.85 6.85 6.85 6.85 6.85
WA Life (Yrs) 9.81 9.81 9.81 9.81 9.81
First Prin Date 1/20/08 1/20/08 1/20/08 1/20/08 1/20/08
Final Prin Date 1/20/08 1/20/08 1/20/08 1/20/08 1/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
-------------------------
ASSUMPTIONS TSY CURVE AS OF 2/19/98
- ------------------------------------------------------------------------------------------------------------------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- -------------------------
<S> <C> <C>
1/4 5.200%
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF MARCH 1, 1998 1/2 5.290%
- ------------------------------------------------------------------------------------ 1 5.290%
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YLD MAINT PERIODS (IF ANY) 2 5.380%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 3 5.390%
PREPAYMENT PREMIUMS ARE ALLOCATED TO THE CLASSES A,B,C,D,E AND X CERTIFICATES UP TO AN AMOUNT 5 5.470%
EQUAL TO THE PV YIELD LOSS AMOUNT FOR EACH CLASS 10 5.510%
NO EXTENSIONS ON ANY MORTGAGE LOAN 30 5.850%
NO DEFAULTS ON ANY MORTGAGE LOAN
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
RATING AGENCIES DO NOT ADDRESS THE LIKELIHOOD OF RECEIPT OF PREPAYMENT PENALTIES
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
<PAGE> 24
PRICE / YIELD TABLE - CLASS X2
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
<TABLE>
<CAPTION>
IO Strip = 0.0000%
Security ID NATIONSLINK 1998-1
Settlement Date 3/30/98 Initial Prin. Bal 306,149,550.76
Interest Accrued From 3/1/98 Initial Coupon 1.4343%
Next Pmt Date 4/20/98 Accrued Int 353,735.79
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Price 0.0% 4.0% 8.0% 12.0% 16.0%
----- ---- ---- ---- ----- -----
8-10 9.128% 9.132% 9.135% 9.137% 9.139%
8-10+ 9.081% 9.085% 9.088% 9.091% 9.093%
8-11 9.035% 9.039% 9.042% 9.045% 9.047%
8-11+ 8.989% 8.993% 8.996% 8.999% 9.000%
8-12 8.943% 8.947% 8.950% 8.953% 8.955%
Mod Dur 4.02 4.01 4.01 4.01 4.01
8-12+ 8.897% 8.901% 8.904% 8.907% 8.909%
8-13 8.852% 8.856% 8.859% 8.861% 8.863%
8-13+ 8.806% 8.810% 8.813% 8.816% 8.817%
8-14 8.761% 8.765% 8.768% 8.770% 8.772%
8-14+ 8.716% 8.719% 8.723% 8.725% 8.727%
Mod Dur 4.04 4.03 4.03 4.03 4.03
8-15 8.671% 8.674% 8.677% 8.680% 8.681%
8-15+ 8.626% 8.629% 8.632% 8.635% 8.636%
8-16 8.581% 8.584% 8.587% 8.590% 8.591%
8-16+ 8.536% 8.540% 8.543% 8.545% 8.546%
8-17 8.491% 8.495% 8.498% 8.500% 8.502%
Mod Dur 4.06 4.05 4.05 4.05 4.05
8-17+ 8.447% 8.451% 8.453% 8.456% 8.457%
8-18 8.402% 8.406% 8.409% 8.411% 8.413%
8-18+ 8.358% 8.362% 8.365% 8.367% 8.368%
8-19 8.314% 8.318% 8.321% 8.323% 8.324%
8-19+ 8.270% 8.274% 8.277% 8.279% 8.280%
Mod Dur 4.08 4.07 4.07 4.07 4.07
8-20 8.226% 8.230% 8.233% 8.235% 8.236%
8-20+ 8.183% 8.186% 8.189% 8.191% 8.192%
8-21 8.139% 8.142% 8.145% 8.147% 8.149%
8-21+ 8.095% 8.099% 8.102% 8.104% 8.105%
8-22 8.052% 8.055% 8.058% 8.060% 8.061%
Mod Dur 4.10 4.09 4.09 4.09 4.09
8-22+ 8.009% 8.012% 8.015% 8.017% 8.018%
8-23 7.966% 7.969% 7.972% 7.974% 7.975%
8-23+ 7.922% 7.926% 7.929% 7.930% 7.932%
8-24 7.880% 7.883% 7.886% 7.887% 7.889%
8-24+ 7.837% 7.840% 7.843% 7.845% 7.846%
Mod Dur 4.12 4.11 4.11 4.11 4.11
WA Life (Yrs) 9.83 9.83 9.82 9.82 9.82
First Int Pay Date 4/20/98 4/20/98 4/20/98 4/20/98 4/20/98
Final Int Pay Date 3/20/08 3/20/08 3/20/08 3/20/08 3/20/08
% of Prin Returned 0.00% 0.00% 0.00% 0.00% 0.00%
</TABLE>
<TABLE>
<CAPTION>
-------------------------
ASSUMPTIONS TSY CURVE AS OF 2/19/98
- ------------------------------------------------------------------------------------------------------------------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- -------------------------
<S> <C> <C>
1/4 5.200%
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF MARCH 1, 1998 1/2 5.290%
- ------------------------------------------------------------------------------------ 1 5.290%
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YLD MAINT PERIODS (IF ANY) 2 5.380%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 3 5.390%
PREPAYMENT PREMIUMS ARE ALLOCATED TO THE CLASSES A,B,C,D,E AND X CERTIFICATES UP TO AN AMOUNT 5 5.470%
EQUAL TO THE PV YIELD LOSS AMOUNT FOR EACH CLASS 10 5.510%
NO EXTENSIONS ON ANY MORTGAGE LOAN 30 5.850%
NO DEFAULTS ON ANY MORTGAGE LOAN
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
RATING AGENCIES DO NOT ADDRESS THE LIKELIHOOD OF RECEIPT OF PREPAYMENT PENALTIES
THIS MATERIAL IS FOR YOUR PRIVATE INFORMATION AND NATIONSBANC MONTGOMERY
SECURITIES LLC (THE "UNDERWRITER") IS NOT SOLICITING ANY ACTION BASED UPON IT.
THIS MATERIAL IS NOT TO BE CONSTRUED AS AN OFFER TO SELL OR THE SOLICITATION OF
ANY OFFER TO BUY ANY SECURITY IN ANY JURISDICTION WHERE SUCH AN OFFER OR
SOLICITATION WOULD BE ILLEGAL. THIS MATERIAL IS BASED ON INFORMATION THAT THE
UNDERWRITER CONSIDERS RELIABLE, BUT THE UNDERWRITER DOES NOT REPRESENT THAT IT
IS ACCURATE OR COMPLETE AND IT SHOULD NOT BE RELIED UPON AS SUCH. BY ACCEPTING
THIS MATERIAL THE RECIPIENT AGREES THAT IT WILL NOT DISTRIBUTE OR PROVIDE THE
MATERIAL TO ANY OTHER PERSON. THE INFORMATION CONTAINED IN THIS MATERIAL MAY
PERTAIN TO SECURITIES THAT ULTIMATELY ARE NOT SOLD. THE INFORMATION CONTAINED IN
THIS MATERIAL MAY BE BASED ON ASSUMPTIONS REGARDING MARKET CONDITIONS AND OTHER
MATTERS AS REFLECTED HEREIN. THE UNDERWRITER MAKES NO REPRESENTATION REGARDING
THE REASONABLENESS OF SUCH ASSUMPTIONS OR THE LIKELIHOOD THAT ANY OF SUCH
ASSUMPTIONS WILL COINCIDE WITH ACTUAL MARKET CONDITIONS OR EVENTS, AND THIS
MATERIAL SHOULD NOT BE RELIED UPON FOR SUCH PURPOSES. THE UNDERWRITER AND ITS
AFFILIATES, OFFICERS, DIRECTORS, PARTNERS AND EMPLOYEES, INCLUDING PERSONS
INVOLVED IN THE PREPARATION OR ISSUANCE OF THIS MATERIAL MAY, FROM TIME TO TIME,
HAVE LONG OR SHORT POSITIONS IN, AND BUY AND SELL, THE SECURITIES MENTIONED
THEREIN OR DERIVATIVES THEREOF (INCLUDING OPTIONS). THIS MATERIAL MAY BE FILED
WITH THE SECURITIES AND EXCHANGE COMMISSION (THE "SEC") AND INCORPORATED BY
REFERENCE INTO AN EFFECTIVE REGISTRATION STATEMENT PREVIOUSLY FILED WITH THE SEC
UNDER RULE 415 OF THE SECURITIES ACT OF 1933, INCLUDING ALL CASES WHERE THE
MATERIAL DOES NOT PERTAIN TO SECURITIES THAT ARE ULTIMATELY OFFERED FOR SALE
PURSUANT TO SUCH REGISTRATION STATEMENT. INFORMATION CONTAINED IN THIS MATERIAL
IS CURRENT AS OF THE DATE APPEARING ON THIS MATERIAL ONLY. INFORMATION IN THIS
MATERIAL REGARDING ANY ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN SUPERSEDES
ALL PRIOR INFORMATION REGARDING SUCH ASSETS. ANY INFORMATION IN THE MATERIAL,
WHETHER REGARDING THE ASSETS BACKING ANY SECURITIES DISCUSSED HEREIN OR
OTHERWISE, WILL BE SUPERSEDED BY THE INFORMATION CONTAINED IN ANY FINAL
PROSPECTUS FOR ANY SECURITIES ACTUALLY SOLD TO YOU. THIS MATERIAL IS FURNISHED
SOLELY BY THE UNDERWRITER AND NOT BY THE ISSUER OF THE SECURITIES. THE ISSUER OF
THE SECURITIES HAS NOT PREPARED, REVIEWED OR PARTICIPATED IN THE PREPARATION OF
THIS MATERIAL, IS NOT RESPONSIBLE FOR THE ACCURACY OF THIS MATERIAL AND HAS NOT
AUTHORIZED THE DISSEMINATION OF THIS MATERIAL. THE UNDERWRITER IS ACTING AS
UNDERWRITER AND NOT ACTING AS AGENT FOR THE ISSUER IN CONNECTION WITH THE
PROPOSED TRANSACTION.
