<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 AND EXCHANGE ACT OF 1934
Date of Report: February 5, 1999
- ---------------------------------
(Date of earliest event reported)
NationsLink Funding Corporation
----------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 333-66805 56-1950039
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(State or Other (Commission (I.R.S. Employer
Jurisdiction of File Number) Identification No.)
Incorporation)
NationsBank Corporate Center, 100 North Tryon Street, Charlotte, NC 28255
- -------------------------------------------------------------------------------
(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 1999-1 (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. 333-66805) (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modified and superseded for purposes of the Prospectus and the Registration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/ James E. Naumann
--------------------------------------
Name: James E. Naumann
Title: Senior Vice President
Date: February 5, 1999
<PAGE> 4
Exhibit Index
<TABLE>
<CAPTION>
Item 601(a) of
Regulation S-K
Exhibit No. Description Page
- --------------- ------------ ----
<S> <C> <C>
99 Term Sheets
</TABLE>
4
<PAGE> 1
EXHIBIT 99
TERM SHEETS
<PAGE> 2
[NATIONSBANC MONTGOMERY SECURITIES LOGO]
- --------------------------------------------------------------------------------
CMBS NEW ISSUE TERM SHEET
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
FEBRUARY 1999
- --------------------------------------------------------------------------------
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> 3
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
STRUCTURE OVERVIEW
OFFERED CERTIFICATES
<TABLE>
<CAPTION>
EXPECTED RATINGS
---------------- APPROX. APPROX. APPROX. AVERAGE PRINCIPAL ASSUMED FINAL
CLASS (MOODY'S/DCR/S&P) SIZE % OF TOTAL CREDIT SUPPORT LIFE(1) WINDOW(1) DISTRIBUTION DATE(1) COUPON
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 Aaa/AAA/AAA $ 198,904,170 16.28% 29.75% 5.50 yrs. 1 - 105 Mos. November 20, 2007 Fixed Rate
A-2 Aaa/AAA/AAA 659,653,000 53.98 29.75% 9.46 105 - 117 November 20, 2008 Fixed Rate
X Aaa/AAA/AAAr 1,222,145,439(3) - - 9.04 - December 20, 2013 VAR(IO)
B Aa2/AA/AA 64,162,635 5.25 24.50% 9.73 117 - 117 November 20, 2008 Fixed Rate(2)
C A2/A/A 61,107,271 5.00 19.50% 9.78 117 - 118 December 20, 2008 Fixed Rate(2)
D Baa2/BBB/BBB 67,217,999 5.50 14.00% 9.85 118 - 119 January 20, 2009 Fixed Rate(2)
E Baa3/NR/NR 33,608,999 2.75 11.25% 9.90 119 - 119 January 20, 2009 Fixed Rate(2)
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
NON-OFFERED CERTIFICATES
<TABLE>
<CAPTION>
EXPECTED RATINGS
---------------- APPROX. APPROX. APPROX. AVERAGE PRINCIPAL ASSUMED FINAL
CLASS (MOODY'S/S&P) SIZE % OF TOTAL CREDIT SUPPORT LIFE(1) WINDOW(1) DISTRIBUTION DATE(1) COUPON
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
F Ba2/BB $51,941,181 4.25% 7.00% 9.90 yrs. 119 - 119 Mos. January 20, 2009 Fixed Rate(2)
G Ba3/BB- 9,166,090 0.75 6.25% 9.90 119 - 119 January 20, 2009 Fixed Rate(2)
H B2/B 30,553,635 2.50 3.75% 9.92 119 - 120 February 20, 2009 Fixed Rate(2)
J B3/NR 15,276,817 1.25 2.50% 10.43 120 - 141 November 20, 2010 Fixed Rate(2)
K NR 30,553,642 2.50 - 14.09 141 - 178 December 20, 2013 Fixed Rate(2)
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) As of the Cutoff Date the Average Life, Principal Window and Assumed
Final Distribution Date were calculated assuming 0% CPR, no defaults,
no extensions and no clean-up call (Class X was subject to a clean-up
call for the purpose of calculating the Average Life).
(2) Capped at the weighted average Net Mortgage Rate.
(3) The Class X Certificates will accrue interest on a Notional Amount
equal to 100% of the aggregate outstanding balance of the Classes of
Sequential Pay 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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
STRUCTURE SCHEMATIC
[GRAPHIC]
- --------------------------------------------------------------------------------
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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
Capitalized terms used but not otherwise defined herein shall have the meaning
ascribed to them in the Preliminary Prospectus Supplement dated February 2,
1999.
TRANSACTION TERMS
ISSUE TYPE Sequential pay REMIC, Class A-1, A-2, B, C, D, E and X
Certificates (the "Offered Certificates") offered publicly.
All other Certificates privately placed to qualified
institutional buyers or to accredited investors.
CUT-OFF DATE All mortgage loan characteristics are based on balances as
of the Cut-off Date, February 1, 1999.
MORTGAGE POOL The Mortgage Pool consists of 331 conventional, multifamily
and commercial mortgage loans (the "Mortgage Loans"), with an
aggregate Cut-off Date Balance of $1,222,145,439 (the "Initial
Pool Balance"), subject to a variance of plus or minus 5%. The
Mortgage Loans are secured by 368 properties (the "Mortgaged
Properties") located throughout 33 states and the District of
Columbia.
DEPOSITOR NationsLink Funding Corporation.
LOAN SELLER NationsBank, N.A
UNDERWRITER NationsBanc Montgomery Securities LLC.
TRUSTEE Norwest Bank Minnesota, National Association.
MASTER SERVICER BancOne Mortgage Capital Markets LLC.
SPECIAL SERVICER BancOne Mortgage Capital Markets LLC.
RATING AGENCIES Standard & Poor's, Moody's Investor Service, Inc., and Duff
& Phelps
DENOMINATIONS $10,000 minimum for Class A-1 and A-2 Certificates;
$1,000,000 (notional) minimum for Class X Certificates; and
$100,000 minimum for all other Offered Certificates.
DELIVERY DATE February 26, 1999.
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 March 22, 1999.
INTEREST
DISTRIBUTIONS Interest will be distributed on each Distribution Date in
sequential order of Class designations with Classes A-1, A-2,
and X 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 and A-2 Certificates will be made pro rata.
LOSSES To be applied first to Class K, then to the next most
subordinate class, etc.
- --------------------------------------------------------------------------------
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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
PREPAYMENT
PREMIUMS The manner in which any Prepayment Premium received during any
particular collection period will be allocated to one or more
of the classes of Offered Certificates is described in the
"Description of the Certificates Distributions - Distributions
of Prepayment Premiums" in the preliminary prospectus
supplement. See "Prepayment Premium Allocation" and the
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 generally 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 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, and X are ERISA eligible.
SMMEA The Class A-1, Class A-2, Class X and Class B Certificates
will be "mortgage-related securities" for the purposes of
SMMEA.
ELECTRONIC
REPORTING Information will be provided for modeling on Bloomberg, Trepp,
Conquest, and Intex. 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
Phone: (704) 388-1597
Fax: (704) 388-9677
- --------------------------------------------------------------------------------
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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
MORTGAGE POOL CHARACTERISTICS (1)
General Characteristics
<TABLE>
========================================================
<S> <C>
Initial Pool Balance $1,222,145,439
Number of Mortgage Loans 331
Number of Mortgaged Properties 368
Average Cut-off Date Balance 3,692,282
Weighted Average Mortgage Rate 7.268%
Weighted Average Remaining Term To Maturity 117 months
Weighted Average Underwriting DSCR 1.56x
Weighted Average Cut-off Date LTV Ratio 69.9%
Weighted Average Remaining Lock-out Period 101 months
- --------------------------------------------------------
- --------------------------------------------------------
</TABLE>
(1) Mortgage Pool as of Cut-Off Date
<TABLE>
<CAPTION>
PROPERTY TYPE WEIGHTED WEIGHTED MIN/MAX WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE MINI/MAX AVERAGE CUT-OFF AVERAGE
MORTGAGE MORTGAGE CUT-OFF DATE INITIAL POOL UNDERWRITING U/W CUT-OFF DATE DATE MORTGAGE
PROPERTIES PROPERTIES BALANCE BALANCE DSCR(1) DSCR(1) LTV RATIO(2) LTV RATIO(2) RATE
PROPERTY TYPE
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Multifamily 122 33.2% $382,858,142 31.3% 1.42x 1.27/ 2.20x 74.2% 36.4/83.2% 7.066%
Retail 87 23.6 316,173,043 25.9 1.52 1.23/ 3.59 71.7 32.5/80.7 7.310
Industrial 43 11.7 142,805,297 11.7 1.50 1.27/ 2.08 68.1 49.3/84.6 7.322
Hotel 18 4.9 140,109,856 11.5 1.90 1.57/ 2.74 63.1 44.2/68.6 7.672
Office 51 13.9 133,178,251 10.9 1.83 1.22/ 3.94 62.9 17.4/80.4 7.015
Health Care 10 2.7 36,573,334 3.0 1.49 1.35/ 1.61 70.0 51.0/74.8 7.673
Mobile Home 21 5.7 35,185,892 2.9 1.50 1.30/ 2.60 69.7 40.0/79.8 7.075
Mini Storage 10 2.7 17,663,162 1.4 1.59 1.37/ 2.12 61.2 32.1/75.0 7.432
Franchise Restaurant 5 1.4 15,109,710 1.2 1.31 1.21/ 1.37 75.5 70.3/78.9 8.600
Marina 1 0.3 2,488,753 0.2 1.53 1.53/ 1.53 63.0 63.0/63.0 8.170
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERA 368 100.0% $1,222,145,439 100.0% 1.56x 1.21/ 3.94x 69.9% 17.4/84.6% 7.268%
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Underwriting ("U/W") 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.
<TABLE>
<CAPTION>
WEIGHTED
AVERAGE MORTGAGE POOL BY PROPERTY TYPE
UNIT LOAN BALANCE ------------------------------
PROPERTY TYPE TYPE PER UNIT [PIE CHART]
==================================================
<S> <C> <C> <C> <C>
Multifamily Units $ 44,562.54 Multifamily.......... 31.3%
Retail Square Feet 91.51 Retail............... 25.9%
Industrial Square Feet 43.06 Industrial........... 11.7%
Hotel Rooms 61,758.70 Hotel................ 11.5%
Office Square Feet 100.19 Office............... 10.9%
Health Care Beds 42,494.79 Health Care.......... 3.0%
Mobile Home Pads 14,801.00 Mobile Home.......... 2.9%
Mini Storage Square Feet 50.22 Mini Storage......... 1.4%
Franchise Franchise
Restaurant Square Feet 624.52 Restaurant......... 1.2%
Marina Units 10,116.88 Marina............... 0.2%
- --------------------------------------------------
- --------------------------------------------------
</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> 8
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PROPERTY LOCATION
WEIGHTED WEIGHTED WEIGHTED
NUMBER OF % OF AGGREGATE % OF AVERAGE AVERAGE AVERAGE
MORTGAGE MORTGAGED CUT-OFF DATE INITIAL POOL UNDERWRITING CUT-OFF DATE MORTGAGE
LOCATION (STATE/COUNTY) PROPERTIES PROPERTIES BALANCE BALANCE DSCR(1) LTV RATIO(2) RATE
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
CA 124 33.7% $ 424,069,244 34.7% 1.62x 66.2% 7.240
Los Angeles 30 8.2 98,868,001 8.1 1.56 70.7 7.034
San Diego 15 4.1 78,771,325 6.4 1.37 69.1 7.354
Santa Clara 8 2.2 63,138,760 5.2 1.81 62.7 7.573
Orange 17 4.6 38,544,535 3.2 1.73 62.5 6.963
Alameda 7 1.9 28,112,366 2.3 1.76 64.4 7.658
Marin 2 0.5 10,327,589 0.8 1.44 74.9 6.982
Monterey 2 0.5 10,205,524 0.8 1.58 65.2 7.314
Sonoma 1 0.3 9,970,394 0.8 1.95 51.7 6.680
Riverside 4 1.1 9,322,212 0.8 1.48 73.3 7.082
Fresno 2 0.5 7,863,647 0.6 1.41 79.1 7.017
Other Counties 36 9.8 68,944,891 5.6 1.72 61.0 7.238
FL 25 6.8 96,907,585 7.9 1.46 75.3 7.121
NV 8 2.2 82,184,910 6.7 1.43 76.0 7.158
NY 13 3.5 56,997,593 4.7 2.07 55.7 7.087
UT 6 1.6 54,111,236 4.4 1.44 65.1 7.677
AL 1 0.3 52,538,304 4.3 1.26 80.7 8.273
IL 29 7.9 41,596,635 3.4 1.53 76.6 6.659
TX 14 3.8 40,987,515 3.4 1.53 74.7 7.115
SC 10 2.7 38,497,279 3.1 1.49 73.8 7.125
NC 5 1.4 33,310,768 2.7 1.43 76.8 7.319
Other States 133 36.1 300,944,370 24.6 1.56 70.5 7.288
- -----------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 368 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268
- -----------------------------------------------------------------------------------------------------------------------------
</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 MORTGAGED PROPERTIES ARE LOCATED THROUGHOUT 33 STATES AND THE DISTRICT
OF COLUMBIA.
[MAP]
<TABLE>
<CAPTION>
% OF
INITIAL
POOL
PROPERTY LOCATION BALANCE
----------------- -------
<S> <C>
CA................... 34.7%
FL................... 7.9%
NV................... 6.7%
NY................... 4.7%
UT................... 4.4%
AL................... 4.3%
IL................... 3.4%
TX................... 3.4%
SC................... 3.1%
NC................... 2.7%
GA................... 2.7%
MN................... 2.2%
NM................... 1.9%
MO................... 1.8%
IN................... 1.7%
MD................... 1.6%
WI................... 1.6%
CO................... 1.3%
AZ................... 1.3%
WA................... 1.2%
OK................... 1.2%
MA................... 0.9%
LA................... 0.8%
VA................... 0.8%
TN................... 0.7%
MI................... 0.6%
NJ................... 0.6%
CT................... 0.5%
OR................... 0.4%
MS................... 0.2%
KS................... 0.2%
DC................... 0.2%
ID................... 0.1%
OH................... 0.1%
</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> 9
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CUT-OFF DATE BALANCE
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>
$279,431 to $999,999 65 19.6% $ 44,919,031 3.7% 1.56x 67.9% 7.489%
$1,000,000 to $1,999,999 95 28.7 142,672,595 11.7 1.62 68.2 7.124
$2,000,000 to $2,999,999 60 18.1 147,624,475 12.1 1.54 69.7 7.122
$3,000,000 to $3,999,999 43 13.0 149,609,442 12.2 1.55 71.1 7.102
$4,000,000 to $4,999,999 21 6.3 94,768,128 7.8 1.52 72.2 6.958
$5,000,000 to $7,499,999 21 6.3 123,597,116 10.1 1.53 68.5 7.076
$7,500,000 to $9,999,999 10 3.0 90,585,836 7.4 1.55 68.3 7.146
$10,000,000 to $14,999,999 5 1.5 56,361,771 4.6 1.94 64.3 7.182
$15,000,000 to $19,999,999 3 0.9 51,266,014 4.2 1.47 75.9 7.105
$20,000,000 to $29,999,999 2 0.6 54,939,527 4.5 1.27 70.9 7.515
$30,000,000 to $34,999,999 1 0.3 32,909,986 2.7 1.52 74.8 6.990
$35,000,000 to $55,402,022 5 1.5 232,891,519 19.1 1.59 70.2 7.825
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268%
- ------------------------------------------------------------------------------------------------------------------------------------
</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 $3,692,282.
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>
1.20x to 1.29x 17 5.1% $ 147,815,801 12.1% 1.27x 74.8% 7.721%
1.30x to 1.34x 21 6.3 65,722,669 5.4 1.32 77.1 7.099
1.35x to 1.39x 47 14.2 236,036,803 19.3 1.37 74.5 7.364
1.40x to 1.49x 81 24.5 214,547,836 17.6 1.44 74.0 7.073
1.50x to 1.59x 59 17.8 196,213,985 16.1 1.54 72.0 7.149
1.60x to 1.69x 38 11.5 95,399,712 7.8 1.64 68.0 7.067
1.70x to 1.79x 25 7.6 55,246,249 4.5 1.73 62.5 6.975
1.80x to 1.89x 11 3.3 24,957,142 2.0 1.81 63.9 7.188
1.90X to 1.99X 13 3.9 136,546,156 11.2 1.95 59.6 7.568
2.00x to 2.99x 16 4.8 35,690,841 2.9 2.27 48.5 6.903
3.00x to 3.99x 3 0.9 13,968,246 1.1 3.85 20.8 7.010
- -------------------------------------------------------------------------------------------------------------------------------
TOTAL/WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268%
- -------------------------------------------------------------------------------------------------------------------------------
</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 1.56X.
- --------------------------------------------------------------------------------
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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CUT-OFF DATE LOAN-TO-VALUE RATIO
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>
17.4% to 29.9% 1 0.3% $ 10,977,077 0.9% 3.94x 17.4% 7.000%
30.0% to 49.9% 21 6.3 47,649,870 3.9 2.14 43.8 7.057
50.0% to 59.9% 39 11.8 101,762,366 8.3 1.77 56.0 6.995
60.0% to 64.9% 23 6.9 143,816,374 11.8 1.82 62.3 7.634
65.0% to 69.9% 54 16.3 199,760,744 16.3 1.51 67.1 7.315
70.0% to 74.9% 87 26.3 283,605,312 23.2 1.46 73.1 7.268
75.0% to 79.9% 96 29.0 306,180,521 25.1 1.41 78.4 7.061
80.0% to 84.6% 10 3.0 128,393,175 10.5 1.33 80.6 7.597
- ------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268%
- ------------------------------------------------------------------------------------------------------------------------------
</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 69.9%.
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>
0% to 24.9% 10 3.0% $ 28,935,429 2.4% 2.45x 5.8% 7.138%
25.0% to 49.9% 53 16.0 130,235,924 10.7 1.88 42.6 7.015
50.0% to 59.9% 80 24.2 358,796,806 29.4 1.64 54.8 7.485
60.0% to 64.9% 72 21.8 228,747,251 18.7 1.44 62.6 7.268
65.0% to 69.9% 94 28.4 339,001,804 27.7 1.45 67.7 7.010
70.0% to 74.9% 22 6.6 136,428,225 11.2 1.33 71.2 7.607
- -----------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 59.2% 7.268%
- -----------------------------------------------------------------------------------------------------------------------------------
</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 WEIGHTED AVERAGE MATURITY DATE LOAN-TO-VALUE RATIO IS 59.2%.
- --------------------------------------------------------------------------------
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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MORTGAGE RATE
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>
6.196% to 6.999% 87 26.3% $ 347,389,183 28.4% 1.58x 70.6% 6.791%
7.000% to 7.249% 114 34.4 317,635,860 26.0 1.62 68.8 7.070
7.250% to 7.499% 62 18.7 189,156,359 15.5 1.47 72.5 7.301
7.500% to 7.749% 29 8.8 100,821,307 8.2 1.41 68.8 7.534
7.750% to 7.999% 15 4.5 171,926,998 14.1 1.73 64.7 7.827
8.000% to 8.499% 19 5.7 74,910,718 6.1 1.33 77.4 8.228
8.500% to 8.749% 5 1.5 20,305,014 1.7 1.37 72.9 8.621
- ----------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56X 69.9% 7.268%
- ----------------------------------------------------------------------------------------------------------------------------------
</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 7.268%.
[ ] THE WEIGHTED AVERAGE ADMINISTRATIVE FEE RATE IS 0.163%.
[ ] THE WEIGHTED AVERAGE NET MORTGAGE RATE IS 7.105%.
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 1 0.3% $ 2,175,462 0.2% 1.22x 37.8% 7.250%
84 Months 2 0.6 4,954,471 0.4 1.59 61.7 8.650
113 Months 1 0.3 6,388,917 0.5 1.28 79.4 7.090
116 Months 1 0.3 3,955,964 0.3 1.38 69.4 6.930
120 Months 301 90.9 1,134,889,729 92.9 1.57 70.0 7.271
125 Months 1 0.3 15,941,598 1.3 1.39 80.1 6.900
132 Months 1 0.3 3,829,161 0.3 1.30 79.6 7.000
144 Months 1 0.3 997,280 0.1 2.19 55.4 7.000
180 Months 22 6.6 49,012,859 4.0 1.52 65.2 7.267
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268%
- ------------------------------------------------------------------------------------------------------------------------------------
</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 122 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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ORIGINAL AMORTIZATION TERM 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>
60 Months 1 0.3% $ 2,175,462 0.2% 1.22x 37.8% 7.250%
180 Months 8 2.4 15,782,890 1.3 1.58 54.5 7.218
240 Months 10 3.0 32,913,829 2.7 1.41 69.5 7.756
252 Months 1 0.3 3,829,161 0.3 1.30 79.6 7.000
282 Months 1 0.3 9,253,802 0.8 1.80 66.7 7.750
300 Months 77 23.3 280,235,183 22.9 1.74 65.5 7.475
306 Months 1 0.3 5,319,872 0.4 1.27 84.6 7.000
353 Months 1 0.3 6,388,917 0.5 1.28 79.4 7.090
360 Months 230 69.5 813,708,020 66.6 1.53 70.9 7.112
371 Months 1 0.3 52,538,304 4.3 1.26 80.7 8.273
- -----------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268%
- -----------------------------------------------------------------------------------------------------------------------------------
</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 339 MONTHS.
<TABLE>
<CAPTION>
REMAINING TERM TO MATURITY 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>
57 months to 83 months 3 0.9% $ 7,129,932 0.6% 1.47x 54.4% 8.223%
84 months to 119 months 303 91.5 1,145,234,609 93.7 1.57 70.0 7.268
120 months to 179 months 25 7.6 69,780,898 5.7 1.49 69.2 7.165
- ----------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,146,439 100.0% 1.56x 69.9% 7.268%
- ----------------------------------------------------------------------------------------------------------------------------------
</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 5 MONTHS.
[ ] THE WEIGHTED AVERAGE REMAINING TERM TO MATURITY IS 117 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> 13
- --------------------------------------------------------------------------------
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MORTGAGE LOAN ORIGINATOR 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>
Bank of America (3) 246 74.3% $ 848,563,376 69.4% 1.62x 68.9% 7.260%
L.J. Melody & Company 27 8.2 108,118,446 8.8 1.38 72.7 7.268
ARCS Commercial 19 5.7 73,741,124 6.0 1.43 70.5 7.024
Berkshire Mortgage Finance Corporation 13 3.9 58,091,848 4.8 1.51 72.3 7.173
South Trust Bank 1 0.3 52,538,304 4.3 1.26 80.7 8.273
Patrician Financial Company 9 2.7 41,440,581 3.4 1.58 71.7 6.911
First Security Bank, N.A 10 3.0 28,760,760 2.4 1.54 64.0 7.022
Bankers Mutual Mortgage, Inc. 4 1.2 6,091,087 0.5 1.54 66.8 7.210
Washington Mortgage Financial Group 2 0.6 4,799,914 0.4 1.81 58.2 7.153
- -----------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268%
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Underwriting DSCR is the ratio of Underwriting Net Operating Income to
annualized debt service.
(2) LTV Ratio is the ratio of Cut-off Date Balance to Appraisal Value.
(3) Bank of America includes loans originated by both NationsBank, N.A. and
Bank of America, NT&SA.
<TABLE>
<CAPTION>
MORTGAGE LOAN SUB-SERVICER
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>
Bank of America, NT&SA 246 74.3% $ 848,563,376 69.4% 1.62x 68.9% 7.260%
L.J. Melody & Company 27 8.2 108,118,446 8.8 1.38 72.7 7.268
ARCS Commercial 19 5.7 73,741,124 6.0 1.43 70.5 7.024
Berkshire Mortgage Finance Corporation 13 3.9 58,091,848 4.8 1.51 72.3 7.173
South Trust Bank 1 0.3 52,538,304 4.3 1.26 80.7 8.273
Patrician Financial Company 9 2.7 41,440,581 3.4 1.58 71.7 6.911
First Security Bank, N.A 10 3.0 28,760,760 2.4 1.54 64.0 7.022
Bankers Mutual Mortgage, Inc. 4 1.2 6,091,087 0.5 1.54 66.8 7.210
Washington Mortgage Financial Group 2 0.6 4,799,914 0.4 1.81 58.2 7.153
- -----------------------------------------------------------------------------------------------------------------------------------
TOTAL / WEIGHTED AVERAGE 331 100.0% $1,222,145,439 100.0% 1.56x 69.9% 7.268%
- -----------------------------------------------------------------------------------------------------------------------------------
</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.
[ ] EACH OF THE MORTGAGE LOANS WILL BE SUB-SERVICED BY ITS RESPECTIVE
ORIGINATOR.
- --------------------------------------------------------------------------------
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 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
- --------------------------------------------------------------------------------
PREPAYMENT PROVISIONS SUMMARY
<TABLE>
<CAPTION>
ORIGINAL NUMBER OF AGGREGATE % OF
TERM TO MORTGAGE CUT-OFF DATE INITIAL POOL
MATURITY LOANS BALANCE BALANCE PREPAYMENT PROVISION DESCRIPTION
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
60 months 1 $ 2,175,462 0.2% Lockout/Open (1)
84 months 1 3,914,704 0.3 Lockout/Open (1)
84 months 1 1,039,767 0.1 Lockout/Yield Maintenance/Open
113 months 1 6,388,917 0.5 Lockout/Yield Maintenance/Open
116 months 1 3,955,964 0.3 Lockout/Open (1)
120 months 1 52,538,304 4.3 Lockout/Declining Penalty/Open
120 months 278 938,221,725 76.8 Lockout/Open (1)
120 months 12 108,971,359 8.9 Lockout/Yield Maintenance/Open
120 months 10 35,158,341 2.9 Lockout/Yield Maintenance/Open (1)
125 months 1 15,941,598 1.3 Lockout/Yield Maintenance/Open (1)
132 months 1 3,829,161 0.3 Lockout/Open (1)
144 months 1 997,280 0.1 Lockout/Open (1)
180 months 19 39,361,358 3.2 Lockout/Open (1)
180 months 3 9,651,501 0.8 Lockout/Yield Maintenance/Open
- ------------------------------------------------------------------------------------------------
TOTAL 331 $1,222,145,439 100.0%
- ------------------------------------------------------------------------------------------------
</TABLE>
(1) These loans are subject to a Defeasance Option.
[ ] 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 101 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> 15
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
PREPAYMENT PROVISION/REMAINING BALANCE ANALYSIS
<TABLE>
<CAPTION>
Period
2/99 2/00 2/01 2/02 2/03 2/04 2/05
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Locked Out 100.0% 98.9% 97.6% 88.4% 77.8% 76.5% 74.9%
Yield Maintenance 0.0% 0.0% 0.1% 7.9% 13.0% 12.8% 12.5%
3% 0.0% 0.0% 0.0% 0.0% 4.1% 4.1% 0.0%
2% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
0.50% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 4.0%
No Penalty 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.3%
Paid Down 0.0% 1.1% 2.3% 3.6% 5.1% 6.6% 8.2%
- ---------------------------------------------------------------------------------------------------------------------------------
Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
=================================================================================================================================
- ---------------------------------------------------------------------------------------------------------------------------------
Aggregate Principal Balance of
the Mortgage Loans ($Millions): $ 1,222.15 $ 1,208.28 $ 1,193.62 $ 1,177.58 $ 1,160.32 $ 1,141.89 $ 1,121.73
Percentage of Cut-Off Date Balance
of the Mortgage Loans Outstanding: 100.00% 98.87% 97.67% 96.35% 94.94% 93.43% 91.78%
- ---------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
Period
2/06 2/07 2/08 2/09 2/10 2/11 2/12 2/13
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Locked Out 72.8% 71.3% 69.4% 2.4% 2.0% 1.8% 1.6% 1.4%
Yield Maintenance 13.0% 12.6% 2.8% 0.7% 0.7% 0.7% 0.6% 0.0%
3% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
2% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
0.50% 4.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
No Penalty 0.0% 4.0% 2.9% 0.0% 0.0% 0.0% 0.0% 0.0%
Paid Down 10.2% 12.0% 24.8% 96.9% 97.3% 97.6% 97.8% 98.6%
- ---------------------------------------------------------------------------------------------------------------------------------
Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
=================================================================================================================================
- ---------------------------------------------------------------------------------------------------------------------------------
Aggregate Principal Balance of
the Mortgage Loans ($Millions): $ 1,097.34 $ 1,074.96 $ 918.53 $ 37.87 $ 33.01 $ 29.85 $ 27.37 $ 17.08
Percentage of Cut-Off Date Balance
of the Mortgage Loans Outstanding: 89.79% 87.96% 75.16% 3.10% 2.70% 2.44% 2.24% 1.40%
- ---------------------------------------------------------------------------------------------------------------------------------
</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> 16
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
PREPAYMENT PREMIUM ALLOCATION
All Prepayment Premiums are distributed to Certificate holders on the
distribution Date following the one-month collection period in which the
prepayment occurred. All Prepayment Premiums will be allocated among the Class A
through E, in each case, up to the product of (i) the Prepayment Premium, (ii)
the "Discount Rate Fraction" and (iii) the percentage of total principal
distribution to Certificate holders to which such class is entitled. Any excess
amounts will be distributed to the Class X Certificates.
The Discount Rate Fraction for Classes A through E is defined as:
(Coupon on Class - Reinvestment Yield)/(Gross Mortgage Loan Rate
- Reinvestment Yield)
PREPAYMENT PREMIUM ALLOCATION EXAMPLE:
A yield maintenance prepayment premium will generally be equal to the present
value of the reduction in interest payments as a result of the prepayment
through the maturity of the Mortgage Loan, discounted at the yield of a Treasury
security of similar maturity in most cases (converted from semi-annual to
monthly pay). The following example reflects that method.
General Prepayment Premium Allocation Example:
Assuming the structure represented in this term sheet and the following
assumptions:
Only two Classes of Certificates: A-1 and X.
<TABLE>
<S> <C>
Mortgage loan characteristics of loan being prepaid:
Balance (at prepayment) $28,014,749.54
Gross Mortgage Rate 7.515%
Remaining Term (months) 71
Treasury Yield (MEY) 4.616%
Yield Maintenance Collected $4,054,242.81
Certificate Characteristics:
Class A-1 Coupon 5.782%
</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> 17
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
DISCOUNT FRACTION EXAMPLE:
NATIONSLINK SERIES 1999-1
<TABLE>
<CAPTION>
CLASS A-1 CLASS X
DISCOUNT RATE FRACTION CALCULATION: CERTIFICATES CERTIFICATES
---------------------------------------------
<S> <C> <C>
(Class A-1 Coupon - Reinvestment Yield)/ (5.782% - 4.616%)/ (100% - 40.230%)=
(Gross Mortgage Rate - Reinvestment (7.515%-4.616%) =
Yield) = 1.166%/2.899%
% of Premium allocated to Classes 40.230% 59.770%
(Discount Rate Fraction)
$ Premium allocated to Classes $1,631,018.30 $2,423,224.51
</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> 18
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (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 9 12/32) 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 February 1,
1999 to equal the assumed purchase prices, plus accrued interest at the
applicable pass-through rate from and including the Commencement Date to but
excluding the Delivery 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 2, 1999 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 Depositor, 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> 19
PRICE / YIELD TABLE - CLASS A-1
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
Security ID NATIONSLINK 1999-1
Settlement Date 2/26/99 Initial Prin. Bal 198,904,170.00
Interest Accrued From 2/1/99 Initial Coupon 5.7820%
Next Pmt Date 3/20/99 Accrued Int 798,655.49
<TABLE>
<CAPTION>
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------------
Price 0.0% 5.0% 10.0% 25.0% 50.0% 75.0% 100.0%
----- ----- ----- ----- ----- ----- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C>
100-02 5.769% 5,772% 5.775% 5.784% 5.795% 5.802% 5.805%
100-03 5.762% 5.765% 5.768% 5.776% 5.787% 5.794% 5.797%
100-04 5.755% 5.758% 5.761% 5.769% 5.779% 5.786% 5.788%
100-05 5.748% 5.751% 5.754% 5.761% 5.771% 5.778% 5.780%
100-06 5.742% 5.744% 5.746% 5.753% 5.763% 5.769% 5.771%
Mod Dur 4.45 4.36 4.28 4.10 3.90 3.79 3.66
100-07 5.735% 5.737% 5.739% 5.746% 5.755% 5.761% 5.763%
100-08 5.728% 5.730% 5.732% 5.738% 5.747% 5.753% 5.754%
100-09 5.721% 5.723% 5.725% 5.731% 5.739% 5.745% 5.746%
100-10 5.714% 5.715% 5.717% 5.723% 5.731% 5.737% 5.737%
100-11 5.707% 5.708% 5.710% 5.715% 5.723% 5.728% 5.729%
Mod Dur 4.45 4.36 4.28 4.10 3.91 3.79 3.66
100-12 5.700% 5.701% 5.703% 5.708% 5.716% 5.720% 5.720%
100-13 5.693% 5.694% 5.696% 5.700% 5.708% 5.712% 5.712%
100-14 5.686% 5.687% 5.688% 5.693% 5.700% 5.704% 5.703%
100-15 5.679% 5.680% 5.681% 5.685% 5.692% 5,696% 5.695%
100-16 5.672% 5.673% 5.674% 5.678% 5.684% 5.688% 5.686%
Mod Dur 4.45 4.36 4.28 4.10 3.91 3.80 3.66
100-17 5.665% 5.666% 5.667% 5.670% 5.676% 5.679% 5.678%
100-18 5.658% 5.659% 5.659% 5.663% 5.668% 5.671% 5.670%
100-19 5.651% 5.652% 5,652% 5.655% 5.660% 5.663% 5.661%
100-20 5.644% 5.644% 5.645% 5.647% 5.652% 5.655% 5.653%
100-21 5.637% 5.637% 5.638% 5.640% 5.644% 5.647% 5.644%
Mod Dur 4.46 4.37 4.29 4.10 3.91 3.80 3. 66
100-22 5.630% 5.630% 5.631% 5.632% 5.636% 5.639% 5.636%
100-23 5.623% 5.623% 5.623% 5.625% 5.628% 5.631% 5,627%
100-24 5.616% 5.616% 5.616% 5.617% 5.621% 5.622% 5.619%
100-25 5.609% 5.609% 5.609% 5.610% 5.613% 5.614% 5.610%
100-26 5.602% 5.602% 5.602% 5.602% 5.605% 5.606% 5.602%
Mod Dur 4.46 4.37 4.29 4.11 3.92 3.80 3.67
100-27 5.595% 5.595% 5.595% 5.595% 5.597% 5.598% 5.594%
100-28 5.589% 5.588% 5.587% 5.587% 5.589% 5.590% 5.585%
100-29 5.582% 5.581% 5.580% 5.580% 5.581% 5.582% 5.577%
100-30 5.575% 5.574% 5.573% 5.572% 5.573% 5.574% 5.568%
100-31 5.568% 5.567% 5.566% 5.565% 5.565% 5.566% 5.560%
Mod Dur 4.46 4.37 4.29 4.11 3.92 3.80 3.67
WA Life (Yrs) 5.50 5.36 5.24 4.97 4.69 4.53 4.35
First Prin Date 3/20/99 3/20/99 3/20/99 3/20/99 3/20/99 3/20/99 3/20/99
Final Prin Date 11/20/07 11/20/07 10/20/07 8/20/07 5/20/07 3/20/07 3/20/07
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
ASSUMPTIONS TSY CURVE AS OF 2/1/99
-----------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
---------- -----------
<S> <C> <C>
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF FEBRUARY 1, 1999 1/4 4.530%
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YTD MAINT PERIODS (IF ANY) 1/2 4.490%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 1 4.560%
PREPAYMENT PREMIUMS ARE ALLOCATED TO ONE OR MOM CLASSES OF THE OFFERED CERTIFICATES,
AS DESCRIBED IN THE PROSPECTUS USING THE 2 4.650%
DISCOUNT RATE FRACTION METHOD (SEE, PROSPECTUS S-69 OR EXAMPLE IN TERM SHEET) 5 4.640%
NO EXTENSIONS ON ANY MORTGAGE LOAN 10 4.750%
NO DEFAULTS ON ANY MORTGAGE LOAN 30 5.190%
</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> 20
PRICE / YIELD TABLE - CLASS A-2
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
Security ID NATIONSLINK 1999-1
Settlement Date 2/26/99 Initial Prin. Bal 659,653,000.00
Interest Accrued From 2/1/99 Initial Coupon 6.1180%
Next Pmt Date 3/20/99 Accrued Int 2,802,609.07
<TABLE>
<CAPTION>
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------------
Price 0.0% 5.0% 10.0% 25.0% 50.0% 75.0% 100.0%
----- ----- ----- ----- ----- ----- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C>
101-02 6.000% 6.000% 6.000% 6.000% 5.999% 5.999% 5.995%
101-03 5.996% 5.996% 5.995% 5.995% 5.995% 5.994% 5.991%
101-04 5.991% 5.991% 5.991% 5.991% 5.990% 5.990% 5.986%
101-05 5.987% 5.987% 5.987% 5.986% 5.986% 5.985% 5.982%
101-06 5.982% 5.982% 5.982% 5.982% 5.981% 5.981% 5.977%
Mod Dur 7.01 7.01 7.00 6.99 6.98 6.96 6.85
101-07 5.978% 5.978% 5.978% 5.978% 5.977% 5.976% 5.973%
101-08 5.974% 5.974% 5.973% 5.973% 5.973% 5.972% 5.968%
101-09 5.969% 5.969% 5.969% 5.969% 5.968% 5.968% 5.964%
101-10 5.965% 5.965% 5.965% 5.964% 5.964% 5.963% 5.959%
101-11 5.961% 5.960% 5.960% 5.960% 5.959% 5.959% 5.955%
Mod Dur 7.01 7.01 7.01 7.00 6.98 6.96 6.85
101-12 5.956% 5.956% 5.956% 5.956% 5.955% 5.954% 5.950%
101-13 5.952% 5.952% 5.952% 5.951% 5.951% 5.950% 5.946%
101-14 5.947% 5.947% 5.947% 5.947% 5.946% 5.946% 5.941%
101-15 5.943% 5.943% 5.943% 5.942% 5.942% 5.941% 5.937%
101-16 5.939% 5.939% 5.938% 5.938% 5.937% 5.937% 5.933%
Mod Dur 7.02 7.01 7.01 7.00 6.98 6.96 6.85
101-17 5.934% 5.934% 5.934% 5.934% 5.933% 5.932% 5.928%
101-18 5.930% 5.930% 5.930% 5.929% 5.929% 5.928% 5.924%
101-19 5.926% 5.925% 5.925% 5.925% 5.924% 5.924% 5.919%
101-20 5.921% 5.921% 5.921% 5.921% 5.920% 5.919% 5.915%
101-21 5.917% 5.917% 5.917% 5.916% 5.915% 5.915% 5.910%
Mod Dur 7.02 7.02 7.01 7.00 6.99 6.97 6.86
101-22 5.912% 5.912% 5.912% 5.912% 5.911% 5.910% 5.906%
101-23 5.908% 5.908% 5.908% 5.907% 5.907% 5.906% 5.901%
101-24 5.904% 5.904% 5.903% 5.903% 5.902% 5.902% 5.897%
101-25 5.899% 5.899% 5.899% 5.899% 5.898% 5.897% 5.892%
101-26 5.895% 5.895% 5.895% 5.894% 5.894% 5.893% 5.888%
Mod Dur 7.02 7.02 7.02 7.01 6.99 6.97 6.86
101-27 5.891% 5.891% 5.890% 5.890% 5.889% 5.888% 5.883%
101-28 5.886% 5.886% 5.886% 5.886% 5.885% 5.884% 5.879%
101-29 5.882% 5.882% 5.882% 5.881% 5.880% 5.880% 5.875%
101-30 5.878% 5.877% 5.877% 5.877% 5.876% 5.875% 5.870%
101-31 5.873% 5.873% 5.873% 5.873% 5.872% 5.871% 5.866%
Mod Dur 7.02 7.02 7.02 7.01 6.99 6.97 6.86
WA Life (Yrs) 9.46 9.46 9.45 9.44 9.41 9.37 9.17
First Prin Date 11/20/07 11/20/07 10/20/07 8/20/07 5/20/07 3/20/07 3/20/07
Final Prin Date 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 9/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
ASSUMPTIONS TSY CURVE AS OF 2/1/99
----------- -----------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- ---------- -----------
<S> <C> <C>
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF FEBRUARY 1, 1999 1/4 4.530%
- ---------------------------------------------------------------------------------------
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YTD MAINT PERIODS (IF ANY) 1/2 4.490%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 1 4.560%
PREPAYMENT PREMIUMS ARE ALLOCATED TO ONE OR MORE CLASSES OF THE OFFERED CERTIFICATES,
AS DESCRIBED IN THE PROSPECTUS USING THE DISCOUNT RATE FRACTION METHOD (SEE, 2 4.650%
PROSPECTUS S-69 OR EXAMPLE IN TERM SHEET) 5 4.640%
NO EXTENSIONS ON ANY MORTGAGE LOAN 10 4.750%
NO DEFAULTS ON ANY MORTGAGE LOAN 30 5.190%
</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 B
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
Security ID NATIONSLINK 1999-1
Settlement Date 2/26/99 Initial Prin. Bal 64,162,635.00
Interest Accrued From 2/1/99 Initial Coupon 6.2680%
Next Pmt Date 3/20/99 Accrued Int 279,285.69
<TABLE>
<CAPTION>
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------------
Price 0.0% 5.0% 10.0% 25.0% 50.0% 75.0% 100.0%
----- ----- ----- ----- ----- ----- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C>
101-02 6.155% 6.155% 6.155% 6.155% 6.155% 6.155% 6.153%
101-03 6.151% 6.151% 6.151% 6.151% 6.151% 6.151% 6.149%
101-04 6.147% 6.147% 6.147% 6.147% 6.147% 6.147% 6.144%
101-05 6.142% 6.142% 6.142% 6.142% 6.142% 6.142% 6.140%
101-06 6.138% 6.138% 6.138% 6.138% 6.138% 6.138% 6.135%
Mod Dur 7.11 7.11 7.11 7.11 7.11 7.11 7.02
101-07 6.134% 6.134% 6.134% 6.134% 6.134% 6.134% 6.131%
101-08 6.129% 6.129% 6.129% 6.129% 6.129% 6.129% 6.127%
101-09 6.125% 6.125% 6.125% 6.125% 6.125% 6.125% 6.122%
101-10 6.121% 6.121% 6.121% 6.121% 6.121% 6.121% 6.118%
101-11 6.117% 6.117% 6.117% 6.117% 6.117% 6.117% 6.114%
Mod Dur 7.11 7.11 7.11 7.11 7.11 7.11 7.02
101-12 6.112% 6.112% 6.112% 6.112% 6.112% 6.112% 6.109%
101-13 6.108% 6.108% 6.108% 6.108% 6.108% 6.108% 6.105%
101-14 6.104% 6.104% 6.104% 6.104% 6.104% 6.104% 6.100%
101-15 6.099% 6.099% 6.099% 6.099% 6.099% 6.099% 6.096%
101-16 6.095% 6.095% 6.095% 6.095% 6.095% 6.095% 6.092%
Mod Dur 7.11 7.11 7.11 7.11 7.11 7.11 7.02
101-17 6.091% 6.091% 6.091% 6.091% 6.091% 6.091% 6.087%
101-18 6.086% 6.086% 6.086% 6.086% 6.086% 6.086% 6.083%
101-19 6.082% 6.082% 6.082% 6.082% 6.082% 6.082% 6.079%
101-20 6.078% 6.078% 6.078% 6.078% 6.078% 6.078% 6.074%
101-21 6.073% 6.073% 6.073% 6.073% 6.073% 6.073% 6.070%
Mod Dur 7.12 7.12 7.12 7.12 7.12 7.12 7.03
101-22 6.069% 6.069% 6.069% 6.069% 6.069% 6.069% 6.066%
101-23 6.065% 6.065% 6.065% 6M5% 6.065% 6.065% 6.061%
101-24 6.061% 6.061% 6.061% 6.061% 6.061% 6.061% 6.057%
101-25 6.056% 6.056% 6.056% 6.056% 6.056% 6.056% 6.052%
101-26 6.052% 6.052% 6.052% 6.052% 6.052% 6.052% 6.048%
Mod Dur 7.12 7.12 7.12 7.12 7.12 7.12 7.03
101-27 6.048% 6.048% 6.048% 6.048% 6.048% 6.048% 6.044%
101-28 6.043% 6.043% 6.043% 6.043% 6.043% 6.043% 6.039%
101-29 6.039% 6.039% 6.039% 6-039% 6.039% 6.039% 6.035%
101-30 6.035% 6.035% 6.035% 6.035% 6.035% 6.035% 6.031%
101-31 6.030% 6.030% 6.030% 6.030% 6.030% 6.030% 6.026%
Mod Dur 7.12 7.12 7.12 7.12 7.12 7.12 7.03
WA Life (Yrs) 9.73 9.73 9.73 9.73 9.73 9.73 9.57
First Prin Date 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 9/20/08
Final Prin Date 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 9/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
ASSUMPTIONS TSY CURVE AS OF 2/1/99
----------- -----------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- ---------- -----------
<S> <C> <C>
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF FEBRUARY 1, 1999 1/4 4.530%
- ---------------------------------------------------------------------------------------
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YTD MAINT PERIODS (IF ANY) 1/2 4.490%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 1 4.560%
PREPAYMENT PREMIUMS ARE ALLOCATED TO ONE OR MORE CLASSES OF THE OFFERED CERTIFICATES,
AS DESCRIBED IN THE PROSPECTUS USING THE DISCOUNT RATE FRACTION METHOD 2 4.650%
(SEE, PROSPECTUS S-69 OR EXAMPLE IN TERM SHEET) 5 4.640%
NO EXTENSIONS ON ANY MORTGAGE LOAN 10 4.750%
NO DEFAULTS ON ANY MORTGAGE LOAN 30 5.190%
</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 C
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
Security ID NATIONSLINK 1999-1
Settlement Date 2/26/99 Initial Prin. Bal 61,107,271.00
Interest Accrued From 2/1/99 Initial Coupon 6.56600%
Next Pmt Date 3/20/99 Accrued Int 278,632.18
<TABLE>
<CAPTION>
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------------
Price 0.0% 5.0% 10.0% 25.0% 50.0% 75.0% 100.0%
----- ----- ----- ----- ----- ----- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C>
101-02 6.457% 6.457% 6.457% 6.457% 6.457% 6.457% 6.455%
101-03 6.453% 6.453% 6.453% 6.453% 6.452% 6.452% 6.450%
101-04 6.448% 6.448% 6.448% 6.448% 6.448% 6.448% 6.446%
101-05 6.444% 6.444% 6.444% 6.444% 6.444% 6.443% 6.442%
101-06 6.440% 6.440% 6.440% 6.439% 6.439% 6.439% 6.437%
Mod Dur 7.03 7.03 7.03 7.02 7.02 7.01 6.95
101-07 6.435% 6.435% 6,435% 6.435% 6.435% 6.435% 6.433%
101-08 6.431% 6.431% 6.431% 6.431% 6.430% 6.430% 6.428%
101-09 6.427% 6.426% 6.426% 6.426% 6.426% 6.426% 6.424%
101-10 6.422% 6.422% 6.422% 6.422% 6.422% 6.421% 6.420%
101-11 6.418% 6.418% 6.418% 6.418% 6.417% 6.417% 6.415%
Mod Dur 7.03 7.03 7.03 7.03 7.02 7.01 6.95
101-12 6.413% 6.413% 6.413% 6.413% 6.413% 6.413% 6.411%
101-13 6.409% 6.409% 6.409% 6.409% 6.409% 6.408% 6.406%
101-14 6.405% 6.405% 6.405% 6.405% 6.404% 6.404% 6.402%
101-15 6.400% 6.400% 6.400% 6.400% 6.400% 6.400% 6.397%
101-16 6.396% 6.396% 6.396% 6.396% 6.395% 6.395% 6.393%
Mod Dur 7.04 7.03 7.03 7.03 7.02 7.01 6.96
101-17 6.392% 6.392% 6.392% 6.391% 6.391% 6.391% 6.389%
101-18 6.387% 6.387% 6.387% 6.387% 6.387% 6,386% 6.384%
101-19 6.383% 6.383% 6.383% 6.383% 6.382% 6.382% 6.380%
101-20 6.379% 6.379% 6.378% 6.378% 6.378% 6.378% 6.375%
101-21 6.374% 6.374% 6.374% 6.374% 6.374% 6.373% 6.371%
Mod Dur 7.04 7.04 7.04 7.03 7.02 7.02 6.96
101-22 6.370% 6.370% 6.370% 6.370% 6.369% 6.369% 6,367%
101-23 6.366% 6.365% 6.365% 6.365% 6.365% 6.365% 6.362%
101-24 6.361% 6.361% 6.361% 6.361% 6.361% 6.360% 6.358%
101-25 6.357% 6.357% 6.357% 6.357% 6.356% 6.356% 6.353%
101-26 6.353% 6.352% 6.352% 6.352% 6.352% 6.352% 6.349%
Mod Dur 7.04 7.04 7.04 7.04 7.03 7.02 6.96
101-27 6.348% 6.348% 6.348% 6.348% 6.348% 6.347% 6.345%
101-28 6.344% 6.344% 6.344% 6.344% 6.343% 6.343% 6.340%
101-29 6.340% 6.339% 6.339% 6.339% 6.339% 6.338% 6.336%
101-30 6.335% 6.335% 6.335% 6.335% 6.335% 6.334% 6.332%
101-31 6.331% 6.331% 6.331% 6.331% 6.330% 6.330% 6.327%
Mod Dur 7.04 7.04 7.04 7.04 7.03 7.02 6.97
WA Life (Yrs) 9.78 9.78 9.77 9.77 9.75 9.73 9.63
First Prin Date 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 11/20/08 9/20/08
Final Prin Date 12/20/08 12/20/08 12/20/08 12/20/08 12/20/08 11/20/08 10/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
ASSUMPTIONS TSY CURVE AS OF 2/1/99
----------- -----------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- ---------- -----------
<S> <C> <C>
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF FEBRUARY 1, 1999 1/4 4.530%
- ---------------------------------------------------------------------------------------
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YTD MAINT PERIODS (IF ANY) 1/2 4.490%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 1 4.560%
PREPAYMENT PREMIUMS ARE ALLOCATED TO ONE OR MORE CLASSES OF THE OFFERED CERTIFICATES,
AS DESCRIBED IN THE PROSPECTUS USING THE DISCOUNT RATE FRACTION METHOD 2 4.650%
SEE, PROSPECTUS S-69 OR EXAMPLE IN TERM SHEET) 5 4.640%
NO EXTENSIONS ON ANY MORTGAGE LOAN 10 4.750%
NO DEFAULTS ON ANY MORTGAGE LOAN 30 5.190%
</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 D
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
Security ID NATIONSLINK 1999-1
Settlement Date 2/26/99 Initial Prin. Bal 67,217,999.00
Interest Accrued From 2/1/99 Initial Coupon 6.6365%
Next Pmt Date 3/20/99 Accrued Int 309,785.94
<TABLE>
<CAPTION>
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------------
Price 0.0% 5.0% 10.0% 25.0% 50.0% 75.0% 100.0%
----- ----- ----- ----- ----- ----- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C>
98-22 7.311% 7.310% 7.310% 7.310% 7.309% 7.308% 7.309%
98-23 7.306% 7.306% 7.306% 7.305% 7.304% 7.304% 7.304%
98-24 7.301% 7.301% 7.301% 7.300% 7.300% 7.299% 7.299%
98-25 7.297% 7.297% 7.296% 7.296% 7.295% 7.295% 7.295%
98-26 7.292% 7.292% 7.292% 7.291% 7.290% 7.290% 7.290%
Mod Dur 6.85 6.85 6.85 6.85 6.84 6.84 6.77
98-27 7.288% 7.287% 7.287% 7.287% 7.286% 7.285% 7.285%
98-28 7.283% 7.283% 7.283% 7.282% 7.281% 7.281% 7.281%
98-29 7.278% 7.278% 7.278% 7.277% 7.277% 7.276% 7.276%
98-30 7.274% 7.274% 7.273% 7.273% 7.272% 7.272% 7.271%
98-31 7.269% 7.269% 7.269% 7.268% 7.267% 7.267% 7.267%
Mod Dur 6. 85 6.85 6.85 6.85 6.84 6.84 6.78
99-00 7.265% 7.264% 7.264% 7.264% 7.263% 7.262% 7.262%
99-01 7.260% 7.260% 7.260% 7.259% 7.258% 7.258% 7.257%
99-02 7.256% 7.255% 7.255% 7.254% 7.254% 7.253% 7.253%
99-03 7.251% 7.251% 7.250% 7.250% 7.249% 7.249% 7.248%
99-04 7.246% 7.246% 7.246% 7.245% 7.244% 7.244% 7.244%
Mod Dur 6.86 6.86 6.86 6.85 6.85 6.84 6.78
99-05 7.242% 7.242% 7.241% 7.241% 7.240% 7.239% 7.239%
99-06 7.237% 7.237% 7.237% 7.236% 7.235% 7.235% 7.234%
99-07 7.233% 7.232% 7.232% 7.231% 7.231% 7.230% 7.230%
99-08 7.228% 7.228% 7.228% 7.227% 7.226% 7.226% 7.225%
99-09 7.224% 7.223% 7.223% 7.222% 7.222% 7.221% 7.220%
Mod Dur 6.86 6.86 6.86 6.86 6.85 6.84 6.78
99-10 7.219% 7.219% 7.218% 7.218% 7.217% 7.217% 7.216%
99-11 7.214% 7.214% 7.214% 7.213% 7.212% 7.212% 7.211%
99-12 7.210% 7.210% 7.209% 7.209% 7.208% 7.207% 7.207%
99-13 7.205% 7.205% 7.205% 7.204% 7.203% 7.203% 7.202%
99-14 7.201% 7.200% 7.200% 7.200% 7.199% 7.198% 7.197%
Mod Dur 6.86 6.86 6.86 6.86 6.85 6.85 6.79
99-15 7.196% 7.196% 7.196% 7.195% 7.194% 7.194% 7.193%
99-16 7.192% 7.191% 7.191% 7.190% 7.190% 7.189% 7.188%
99-17 7.187% 7.187% 7.187% 7.186% 7.185% 7.185% 7.184%
99-18 7.182% 7.182% 7.182% 7.181% 7.180% 7.180% 7.179%
99-19 7.178% 7.178% 7.177% 7.177% 7.176% 7.175% 7.174%
Mod Dur 6.87 6.87 6.86 6.86 6.86 6.85 6.79
WA Life (Yrs) 9.85 9.84 9.84 9.84 9.82 9.81 9.68
First Prin Date 12/20/08 12/20/08 12/20/08 12/20/08 12/20/08 11/20/08 10/20/08
Final Prin Date 1/20/09 1/20/09 1/20/09 1/20/09 1/20/09 12/20/08 11/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
ASSUMPTIONS TSY CURVE AS OF 2/1/99
----------- -----------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
- -------------------------------- ---------- -----------
<S> <C> <C>
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF FEBRUARY 1, 1999 1/4 4.530%
- ---------------------------------------------------------------------------------------
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YTD MAINT PERIODS (IF ANY) 1/2 4.490%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 1 4.560%
PREPAYMENT PREMIUMS ARE ALLOCATED TO ONE OR MORE CLASSES OF THE OFFERED CERTIFICATES,
AS DESCRIBED IN THE PROSPECTUS USING THE DISCOUNT RATE FRACTION METHOD 2 4.650%
(SEE, PROSPECTUS S-69 OR EXAMPLE IN TERM SHEET) 5 4.640%
NO EXTENSIONS ON ANY MORTGAGE LOAN 10 4.750%
NO DEFAULTS ON ANY MORTGAGE LOAN 30 5.190%
</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 E
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
Security ID NATIONSLINK 1999-1
Settlement Date 2/26/99 Initial Prin. Bal 33,608,999.00
Interest Accrued From 2/1/99 Initial Coupon 6.6365%
Next Pmt Date 3/20/99 Accrued Int 154,892.97
<TABLE>
<CAPTION>
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------------
Price 0.0% 5.0% 10.0% 25.0% 50.0% 75.0% 100.0%
----- ----- ----- ----- ----- ----- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C>
92-24 8.217% 8.217% 8.216% 8.216% 8.215% 8.217% 8.226%
92-25 8.212% 8.212% 8.211% 8.211% 8.210% 8.212% 8.221%
92-26 8.207% 8.207% 8.207% 8.206% 8.205% 8.207% 8.215%
92-27 8.202% 8.202% 8.202% 8.201% 8.200% 8.202% 8.210%
92-28 8.197% 8.197% 8.197% 8.196% 8.195% 8.197% 8.205%
Mod Dur 6.75 6.75 6.75 6.75 6.75 6.74 6.67
92-29 8.192% 8.192% 8.192% 8.191% 8.190% 8.192% 8.200%
92-30 8.187% 8.187% 8.187% 8.186% 8.185% 8.187% 8.195%
92-31 8.182% 8.182% 8.182% 8.181% 8.180% 8.182% 8.190%
93-00 8.177% 8.177% 8.177% 8.176% 8.175% 8.177% 8.185%
93-01 8.172% 8.172% 8.172% 8.171% 8.170% 8.172% 8.180%
Mod Dur 6.75 6.75 6.75 6.75 6.75 6.74 6.68
93-02 8.167% 8.167% 8.167% 8.166% 8.165% 8.167% 8.175%
93-03 8.162% 8.162% 8.162% 8.161% 8.160% 8.162% 8.170%
93-04 8.157% 8.157% 8.157% 8.156% 8.156% 8.157% 8.165%
93-05 8.153% 8.152% 8.152% 8.151% 8.151% 8.152% 8.160%
93-06 8.148% 8.147% 8.147% 8.146% 8.146% 8.147% 8.155%
Mod Dur 6.76 6.76 6.76 6.76 6.76 6.74 6.68
93-07 8.143% 8.142% 8.142% 8.141% 8.141% 8.142% 8.150%
93-08 8.138% 8.137% 8.137% 8.137% 8.136% 8.137% 8.145%
93-09 8.133% 8.133% 8.132% 8.132% 8.131% 8.132% 8.140%
93-10 8.128% 8.128% 8.127% 8.127% 8.126% 8.127% 8.135%
93-11 8.123% 8.123% 8.122% 8.122% 8.121% 8.122% 8.130%
Mod Dur 6.76 6.76 6.76 6.76 6.76 6.75 6.68
93-12 8.118% 8.118% 8.117% 8.117% 8.116% 8.117% 8.125%
93-13 8.113% 8.113% 8.113% 8.112% 8.111% 8.112% 8.120%
93-14 8.108% 8.108% 8.108% 8.107% 8.106% 8.108% 8.115%
93-15 8.103% 8.103% 8.103% 8.102% 8.101% 8.103% 8.110%
93-16 8.098% 8.098% 8.098% 8.097% 8.096% 8.098% 8.106%
Mod Dur 6.76 6.76 6.76 6.76 6.76 6.75 6.69
93-17 8.093% 8.093% 8.093% 8.092% 8.091% 8.093% 8.101%
93-18 8.088% 8.088% 8.088% 8.087% 8.087% 8.088% 8.096%
93-19 8.084% 8.083% 8.083% 8.082% 8.082% 8.083% 8.091%
93-20 8.079% 8.078% 8.078% 8.077% 8.077% 8.078% 8.086%
93-21 8.074% 8.073% 8.073% 8.073% 8.072% 8.073% 8.081%
Mod Dur 6.77 6.77 6.77 6.77 6.77 6.75 6.69
WA Life (Yrs) 9.90 9.90 9.90 9.90 9.90 9.87 9.73
First Prin Date 1/20/09 1/20/09 1/20/09 1/20/09 1/20/09 12/20/08 11/20/08
Final Prin Date 1/20/09 1/20/09 1/20/09 1/20/09 1/20/09 1/20/09 11/20/08
% of Prin Returned 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
</TABLE>
<TABLE>
<CAPTION>
ASSUMPTIONS TSY CURVE AS OF 2/1/99
-----------------------------
1% CLEANUP CALL IS NOT EXERCISED TERM (YRS) YIELD (BEY)
---------- -----------
<S> <C> <C>
INITIAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF FEBRUARY 1, 1999 1/4 4.530%
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YTD MAINT PERIODS (IF ANY) 1/2 4.490%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 1 4.560%
PREPAYMENT PREMIUMS ARE ALLOCATED TO ONE OR MORE CLASSES OF THE OFFERED CERTIFICATES,
AS DESCRIBED IN THE PROSPECTUS USING THE 2 4.650%
DISCOUNT RATE FRACTION METHOD (SEE, PROSPECTUS S-69 OR EXAMPLE IN TERM SHEET) 5 4.640%
NO EXTENSIONS ON ANY MORTGAGE LOAN 10 4.750%
NO DEFAULTS ON ANY MORTGAGE LOAN 30 5.190%
</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> 25
PRICE / YIELD TABLE - CLASS X
(ALL YIELDS EXPRESSED ON A BOND EQUIVALENT BASIS)
Security ID NATIONSLINK 1999-1
Settlement Date 2/26/99 Initial Ntl. Bal 1,222,145,439.42
Interest Accrued From 2/1/99 Initial Coupon 0.4864%
Next Pmt Date 3/20/99 Accrued Int 412,771.15
<TABLE>
<CAPTION>
(Column Heading)=Prepayment Rate in CPR (Table)=Nominal Yield
-----------------------------------------------------------------------------------------------------------
Price 0.0% 5.0% 10.0% 25.0% 50.0% 75.0% 100.0%
----- ----- ----- ----- ----- ----- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C>
5-15+ 11.020% 10.949% 10.886% 10.734% 10.566% 10.440% 10.030%
5-16 10.943% 10.873% 10.809% 10.657% 10.489% 10.363% 9.952%
5-16+ 10.866% 10.796% 10.732% 10.581% 10.412% 10.286% 9.874%
5-17 10.790% 10.720% 10.656% 10.504% 10.335% 10.209% 9.797%
5-17+ 10.715% 10.644% 10.580% 10.428% 10.259% 10.132% 9.720%
Mod Dur 3.71 3.70 3.70 3.69 3.68 3.67 3.64
5-18 10.639% 10.569% 10.504% 10.352% 10.183% 10.056% 9.643%
5-18+ 10.564% 10.494% 10.429% 10.277% 10.108% 9.981% 9.567%
5-19 10.490% 10.419% 10.354% 10.202% 10.033% 9.905% 9.491%
5-19+ 10.415% 10.344% 10.280% 10.127% 9.958% 9.830% 9.415%
5-20 10.341% 10.270% 10.206% 10.053% 9.883% 9.756% 9.340%
Mod Dur 3.74 3.73 3.73 3.72 3.71 3.71 3.67
5-20+ 10.267% 10.197% 10.132% 9.979% 9.809% 9.681% 9.265%
5-21 10.194% 10.123% 10.058% 9.905% 9.735% 9.607% 9.190%
5-21+ 10.121% 10.050% 9.985% 9.832% 9.662% 9.534% 9.116%
5-22 10.048% 9.977% 9.912% 9.759% 9.588% 9.460% 9.042%
5-22+ 9.976% 9.905% 9.840% 9.686% 9.515% 9.387% 8.968%
Mod Dur 3.77 3.76 3.76 3.75 3.74 3.74 3.70
5-23 9.904% 9.832% 9.767% 9.614% 9.443% 9.314% 8.895%
5-23+ 9.832% 9.761% 9.695% 9.542% 9.370% 9.242% 8.822%
5-24 9.761% 9.689% 9.624% 9.470% 9.299% 9.170% 8.749%
5-24+ 9.689% 9.618% 9.552% 9.398% 9.227% 9.098% 8.677%
5-25 9.618% 9.547% 9.481% 9.327% 9.156% 9.027% 8.605%
Mod Dur 3.80 3.80 3.79 3.78 3.77 3.77 3.73
5-25+ 9.548% 9.476% 9.411% 9.256% 9.084% 8.956% 8.533%
5-26 9.478% 9.406% 9.340% 9.186% 9.014% 8.885% 8.461%
5-26+ 9.408% 9.336% 9.270% 9.115% 8.943% 8.814% 8.390%
5-27 9.338% 9.266% 9.200% 9.045% 8.873% 8.744% 8.319%
5-27+ 9.269% 9.197% 9.131% 8.976% 8.803% 8.674% 8.249%
Mod Dur 3.83 3.83 3.82 3.81 3.80 3.80 3.76
5-28 9.200% 9.127% 9.062% 8.906% 8.734% 8.604% 8.178%
5-28+ 9.131% 9.059% 8.993% 8.837% 8.665% 8.535% 8.108%
5-29 9.062% 8.990% 8.924% 8.768% 8.596% 8.466% 8.039%
5-29+ 8.994% 8.922% 8.856% 8.700% 8.527% 8.397% 7,969%
5-30 8.926% 8.854% 8.788% 8.632% 8.459% 8.328% 7.900%
Mod Dur 3.86 3.86 3.85 3.84 3.83 3.83 3.79
WA Life (Yrs) 9.04 9.02 8.99 8.94 8.87 8.82 8.65
First Int Pay Date 3/20/99 3/20/99 3/20/99 3/20/99 3/20/99 3/20/99 3/20/99
Final Int Pay Date 10/20/13 10/20/13 9/20/13 9/20/13 9/20/13 8/20/13 6/20/13
</TABLE>
<TABLE>
<CAPTION>
ASSUMPTIONS TSY CURVE AS OF 2/1/99
----------- ----------------------
1% CLEANUP CALL IS EXERCISED TERM (YRS) YIELD (BEY)
- ---------------------------- ---------- -----------
<S> <C> <C>
INITIAL NOTIONAL BALANCE IS CALCULATED USING THE UNPAID PRINCIPAL BALANCE AS OF FEBRUARY 1, 1999 1/4 4.530%
- ------------------------------------------------------------------------------------------------
PREPAY RATES ARE A CONSTANT % OF CPR AFTER EXPIRATION OF LOCKOUT AND YTD MAINT PERIODS (IF ANY) 1/2 4.490%
100% OF ALL PREPAYMENT PREMIUMS ARE ASSUMED TO BE COLLECTED 1 4.560%
PREPAYMENT PREMIUMS ARE ALLOCATED TO ONE OR MORE CLASSES OF THE OFFERED CERTIFICATES
AS DESCRIBED IN THE PROSPECTUS USING THE DISCOUNT RATE FRACTION METHOD 2 4.650%
(SEE PROSPECTUS S-69 OR EXAMPLE IN TERM SHEET) 5 4.640%
NO EXTENSIONS ON ANY MORTGAGE LOAN 10 4.750%
NO DEFAULTS ON ANY MORTGAGE LOAN 30 5.190%
</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> 26
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
SIGNIFICANT MORTGAGE LOANS
RFS NOTE A AND RFS NOTE B
The Loan. The mortgage loans (the "RFS Loans"), which are comprised of
RFS Note A ("Note A") and RFS Note B ("Note B"), represent, in the aggregate,
7.8% of the Initial Pool Balance. The RFS Loans were originated by the Mortgage
Loan Seller on December 18, 1998. The RFS Loans, collateralized by Note A and
Note B, have a $ 95,717,353 combined aggregate principal balance as of the
Cut-off Date. Note A and Note B are cross-collateralized and cross-defaulted
with each other.
Both Note A and Note B have a remaining term of 119 months, and mature
on January 1, 2009. The RFS Loans may not be prepaid before and including
October 1, 2008. The RFS Loans are subject to defeasance with U.S. Treasury
obligations beginning the earlier of 25 months from the REMIC startup day or 49
months from the loan funding. During the final 3 months of the mortgage loans,
each may be prepaid without consideration.
Additional terms and escrows for Note A and Note B are set forth in
Annex A to the prospectus supplement.
The Properties. Ten established hotels collateralize Note A and Note B.
The hotels operate under five nationally-recognized flags in the United States
and are located within seven different states in the Midwest, Upper Midwest, and
California. The hotels have a total of 1,552 rooms which are being managed by an
experienced operating lessee under the various lease agreements (the "Lease
Agreements"). Note A and Note B are structured as follows:
<TABLE>
<CAPTION>
NUMBER OF OCCUPANCY YEAR BUILT
ROOMS
<S> <C> <C> <C>
Hampton Inn - Indianapolis, IN 131 75.3% 1988
Hampton Inn - Memphis, TN 120 78.8 1992
Comfort Inn - Farmington Hills, MI 135 65.2 1986
Sheraton - Sunnyvale, CA 173 78.8 1980
Sheraton - Bakersfield, CA 197 69.3 1983
----- ----
NOTE A TOTAL 756 73.4%
Sheraton - Milipitas, CA 229 73.8% 1988
Sheraton - Pleasanton, CA 214 72.3 1985
Hampton Inn - Bloomington, MN 135 80.7 1983
Holiday Inn Express - Wauwatosa, WI 122 76.9 1984
Residence Inn - Kansas City, MO 96 74.9 1988
----- ----
NOTE B TOTAL 796 75.2%
PORTFOLIO TOTAL/WEIGHTED AVERAGE 1,552 74.4%
</TABLE>
Debt Service Coverage Ratio. Underwritten debt service coverage is
1.75x for both RFS Note A and RFS note B. DSCR will be predicated on several
levels of cash flow and will be structured to address the cash flow of the
underlying property operations, seasonality of individual properties, and
contractual payments under the Lease Agreements and the operating leases
- --------------------------------------------------------------------------------
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> 27
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
relating to the Sheraton properties listed above. In the event the note specific
aggregate DSCR, based on operating cash flow by Note, is determined to be less
than 1.40x, a debt service reserve will be required in an amount sufficient to
pay three (3) months aggregate debt service.
Lock Box Account. During the terms of the Lease Agreements, the lender
shall only require payment of the amounts actually due the borrower to be
deposited directly to a lock box. At any time that the borrower has the right to
additional funds from the collateral properties, whether due to expiration,
cancellation, modification or default under the Lease Agreements or any other
reason, the borrower will cause all property receipts and funds to be deposited
into the lock box.
Loan To Value Ratio. Cut-off Date loan-to-values ratios are 61.5% for
Note A and 62.5% for Note B.
Substitution of Collateral. Substitution of collateral will be allowed
but total substitution over each loan term will be limited to no more than 20%
of the original principal amount of each loan. Further, after giving effect to
the substitution, the debt service coverage ratio for the applicable loan(s)
will be at least equal to the greater of (1) the debt service coverage ratio at
closing; or (2) the debt service coverage ratio immediately prior to such
substitution. Moreover, substitution of collateral is subject to (a) written
confirmation from each Rating Agency that such substitution will not result in
the withdrawal, downgrade or qualification of the rating of any Certificate; and
(b) documentation subject to review and approval of lender counsel.
Sponsorship. RFS is a self-administered and self-managed equity REIT
formed to continue and expand operations of RFS Hospitality, Inc. and affiliates
that have been involved in the hospitality business for over 20 years. RFS's 61
limited service, full service, and extended stay hotel properties, with 8,674
rooms, are diversified across 24 states. All of the company's hotels are leased
to third party managers, and substantially all of the company's hotels are
branded. RFS's strategy of diversifying by hotel type, franchise brand, and
geography helps to minimize vulnerability to downturns in any one region or
segment of the industry. The summarized operating history for Note A and Note B
follows:
<TABLE>
<CAPTION>
1995 1996 1997 ORIGINATOR'S
RFS NOTE A ACTUAL ACTUAL ACTUAL UNDERWRITER
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
EGI $15,308,697 $16,724,105 $17,773,720 $17,185,493
Expenses 9,578,332 9,647,790 8,765,952 9,934,635
----------- ----------- ----------- -----------
NOI $ 5,730,365 $ 7,076,315 $ 9,007,768 $ 7,250,858
Cash Flow $ 5,530,184 $ 6,438,758 $ 7,316,872 $ 6,457,836
=========== =========== =========== ===========
Occupancy 73.5% 74.4% 75.6% 68.7%
DSCR based on NOI 1.55x 1.92x 2.44x 1.97x
DSCR based on Cash Flow 1.50x 1.75x 1.98x 1.75x
RFS NOTE B
- -----------------------------
EGI $20,429,183 $20,698,417 $23,392,481 $22,799,640
Expenses 12,931,517 11,231,078 10,738,346 12,963,369
----------- ----------- ----------- -----------
NOI $ 7,497,666 $ 9,467,339 $12,654,135 $ 9,836,271
Cash Flow $ 7,445,060 $ 8,934,540 $11,320,857 $ 8,850,651
=========== =========== =========== ===========
Occupancy 73.8% 75.7% 75.7% 71.5%
DSCR based on NOI 1.48x 1.87x 2.50x 1.95x
DSCR based on Cash Flow 1.47x 1.77x 2.24x 1.75x
</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> 28
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
THE SUMMIT SHOPPING CENTER LOAN
The Loan. The Mortgage Loan (the "Summit Shopping Center Loan"), which
is secured by a first mortgage encumbering a retail center (the "Summit Shopping
Center") in Birmingham, Alabama, represents approximately 4.3% of the Initial
Pool Balance. Originated on December 23, 1997, and subsequently amended, the
Summit Shopping Center Loan has a principal balance as of the Cut-off Date of
$52,538,304. The Summit Shopping Center Loan was made to Bayer Retail Company,
LLC (the "Summit Borrower"), a single asset Alabama limited liability company
which is owned by the Bayer Family Partnership, Ltd. (45%), the Rotenstreich
Retail Partnership, Ltd. (40%) and the Silverstein Family Partnership, Ltd.
(15%).
The Summit Shopping Center Loan is a hyper-amortization loan (the
"Hyper-Amortization Loan") with an Anticipated Repayment Date of January 1, 2008
and with a final maturity date of January 1, 2028. The term to maturity for the
Anticipated Repayment Date is 107 months, and for the final maturity date is 347
months. The Summit Shopping Center Loan may not be prepaid prior to, and
including, January 1, 2003. Starting January 2, 2003, the Summit Shopping Center
Loan may be prepaid subject to a prepayment penalty based on a percentage of
principal balance of the loan. A partial prepayment of $1,025,000 was applied on
December 28, 1998. At the time of the principal pay-down, the subject loan was
re-amortized on a 360 month schedule. Future partial prepayments are subject to
prepayment penalties based on a percentage of principal amounts prepaid. The
Summit Shopping Center Loan may be prepaid without the payment of a prepayment
penalty during the twelve (12) months preceding the maturity date.
Additional terms and escrows for the Summit Shopping Center Loan are set forth
in Annex A to the prospectus supplement.
The Property. The Summit Shopping Center consists of a 462,481 net
rentable square foot regional shopping center located on 62 acres at the
intersection of Interstate 459 and Highway 280 in Birmingham, Alabama. The site
consists of nine buildings containing forty-three tenant spaces plus two
out-parcel pad sites. Construction on the center was completed in October of
1997, and as of July 1998 the center was 97.1% leased. The largest tenants
occupying space at the property and their lease expiration dates include:
Parisian (Oct. 31, 2017), Carmike Cinema (Oct. 31, 2017), Bruno's (Oct. 31,
2022), Bed, Bath & Beyond (Oct. 31, 2013), Barnes & Noble (Oct. 31, 2012) and
Old Navy (Oct. 31, 2007). Selected trailing twelve months sales/square foot
include: Carmike Cinema's $292,979/screen, Johnny Rockets $664/square foot, Old
Navy $792/square foot, The Gap $616/square foot, The Gap Kids $425/square foot,
Express $307/square foot, Bath and Body Works $284/square foot, Eddie Bauer
$274/square foot, Talbots $328/square foot, and Williams Sonoma $395/square
foot.
Cash Management Account. Beginning in the 11th year of the loan, a cash
management account will be established to capture all rents paid by the tenants
and disbursed as follows by the lender: (1) to interest computed at the initial
interest rate with the remainder applied to reduction of principal (see note
below), (2) to monthly reserve deposits, (3) to monthly cash expenses, (4) to
monthly net capital expenditures, (5) to extraordinary expenses, (6) to payment
of principal, until principal amount paid in full, (7) to accrued interest, (8)
to other amounts due under the related loan documents, and (9) any excess to the
Summit Borrower.
Note: At the beginning of the tenth year, the borrower will remit
payments based on a revised interest rate (the greater of 10.273% or the
interest rate applicable for certain non-callable U.S. treasury obligations of
comparable terms plus 2%. The difference between the initial and revised rate
will accrue separately at the revised rate in an account held by the Trustee.
Property Management. The Summit Shopping Center is managed by Bayer
Properties, Inc., an affiliate of the Summit Borrower, which reportedly has
2,800,000 square feet under management in the local market.
- --------------------------------------------------------------------------------
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> 29
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
Operating History:
<TABLE>
<CAPTION>
APPRAISER'S ORIGINATOR'S
ESTIMATE UNDERWRITTEN
---------- ------------
<S> <C> <C>
EGI $7,655,684 $7,706,152
Expenses 1,408,926 1,635,246
---------- ----------
NOI $6,246,758 $6,070,906
Cash Flow $6,174,815 $5,907,879
========== ==========
Occupancy 98.3% 92.9%
DSCR based on NOI 1.30x 1.26x
DSCR based on Cash Flow 1.28x 1.23x
</TABLE>
Notes:
- - Due to the Summit Shopping Center's recent construction, its financial history
is limited.
- - Appraiser's Year 2 DCF is stated above since this represents a stabilized cash
flow.
Lease Expiration Schedule:
<TABLE>
<CAPTION>
PERCENTAGE OF NET RENTABLE CUMULATIVE
YEAR OF LOAN SQUARE FEET SQUARE FEET EXPIRATION
TERM
- ------------ ----------- -------------------------- ----------
<S> <C> <C> <C>
Vacant 14,787 3.2% 3.2%
Year 1 0 0.0% 3.2%
Year 2 0 0.0% 3.2%
Year 3 0 0.0% 3.2%
Year 4 0 0.0% 3.2%
Year 5 0 0.0% 3.2%
Year 6 664 0.1% 3.3%
Year 7 25,140 5.4% 8.7%
Year 8 15,750 3.4% 12.1%
Year 9 0 0.0% 12.1%
Year 10 44,898 9.7% 21.8%
</TABLE>
EAGLE TRACE AND THE BREAKERS LOANS
The Loans: The Mortgage Loans (the "Eagle Trace Loan" and the "Breakers
Loan"), are each secured by a first deed of trust on apartment complexes in Las
Vegas, Nevada, and represent approximately 3.6% and 1.5% of the Initial Pool
Balance, respectively. Both mortgage loans were originated on December 14, 1998.
The Eagle Trace Loan and the Breakers Loan have principal balances as of the
Cut-off Date of $43,974,545 and $18,169,482 , respectively. The Eagle Trace Loan
was made to Eagle Trace, LLC (the "Eagle Trace Borrower") and the Breakers Loan
was made to the Breakers, LLC (the "Breakers Borrower"). Each is a single asset
Nevada Limited Liability Company which is owned 100% by Olen Residential Realty
Corp. The Eagle Trace Loan and the Breakers Loan are cross-collateralized and
cross-defaulted.
The Eagle Trace Loan and the Breakers Loan both have remaining terms of
119 months and each matures on January 1, 2009. The Eagle Trace Loan and the
Breakers Loan may not be prepaid prior to, and including, October 1, 2008.
However, the Eagle Trace Loan and the Breakers Loan are subject to defeasance
with United States Treasury obligations beginning two years from the Closing
Date. The Eagle Trace Loan and the Breakers Loan may be prepaid without the
payment of a prepayment penalty during the three (3) months preceding the
maturity date.
- --------------------------------------------------------------------------------
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> 30
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
Additional terms and escrows for Eagle Trace Loan and the Breakers Loan are set
forth in Annex A to the prospectus supplement.
The Properties: The property securing the Eagle Trace Loan is a 984
unit apartment complex on 48.39 acres. It is located across the street from
Nellis Air Force Base in the far northeast section of Las Vegas, Nevada. The
tenant base at the property is 40% military. The complex was built in three
phases from 1991 to 1995 and consists of 78 buildings containing 472 one
bedrooms, 332 two bedrooms and 180 three bedrooms. There is 916,008 net rentable
square feet with 948 covered parking spaces and 684 non-covered parking spaces.
Project amenities include 5 swimming pools, 3 fitness centers, 2 tennis courts,
2 racquetball courts, a full size basketball court, children's play area and
picnic facilities. The units are large and have a full amenity package including
full size washer / dryers, Roman size bathtubs, microwaves or security systems,
ceiling fans and patios or balconies. The complex is well managed and in
excellent condition.
The property securing the Breakers Loan is a 400 unit apartment complex
located in the west section of Las Vegas, Nevada. The complex was built in 1989.
It consists of 50 two-story, 8-plex buildings containing 200 one-bedroom, and
200 two-bedroom units. The complex contains 353,008 of net rentable square feet
on 19.9 acres with 400 covered and 260 non-covered parking spaces. Project
amenities include two swimming pools, clubhouse, fitness center, recreation
room, lighted tennis courts, indoor & outdoor spas, saunas, a sand volleyball
court, barbecue grills and picnic facilities. The units are spacious and have a
full amenity package including stacked washer/dryers, Roman size bathtubs,
microwaves, ceiling fans, security systems, walk-in closets, and patios or
balconies. The complex is well managed and in excellent condition.
Property Management: The properties are managed by the Olen Properties,
Corp. ("Olen Properties"), an entity that is affiliated to the borrowing entity
through common ownership. Founded by Igor Olenicoff, Olen Properties, owns Olen
Residential Realty Corp which owns the Eagle Trace Borrower and the Breakers
Borrower. Olen Properties manages a total of 8,247 units in 28 apartment
communities located in either Las Vegas, the Coral Springs vicinity of Florida
or San Bernardino, California. Within Las Vegas alone, Olen Properties manages
17 communities comprising a total of 5,749 units. Olen Properties also manages
11 communities comprising 2,498 units in the Coral Springs vicinity of east
Florida and one project in San Bernardino, California. Other managed properties
include 3 million square feet of office and industrial space in Orange County,
California. Olen Properties is not a third-party fee based management company
and only exists to exclusively manage company owned real estate.
- --------------------------------------------------------------------------------
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> 31
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
Operating History-Eagle Trace:
<TABLE>
<CAPTION>
1996 1997 ORIGINATOR'S
ACTUAL ACTUAL UNDERWRITTEN
---------- ---------- ------------
<S> <C> <C> <C>
EGI $6,720,209 $7,116,319 $7,401,793
Expenses 1,968,769 2,106,727 2,440,502
---------- ---------- ----------
NOI $4,751,440 $5,009,592 $4,961,291
Cash Flow $4,609,596 $4,801,732 $4,684,787
========== ========== ==========
Occupancy 85.7% 91.5% 92%
DSCR Based on NOI 1.32x 1.39x 1.38x
DSCR based on Cash Flow 1.28x 1.33x 1.30x
</TABLE>
Minimum lease term is either six or twelve months for both new and renewed
leases. The average turnover rate for the last 6 months was 62 units per month.
Operating History-The Breakers:
<TABLE>
<CAPTION>
1996 1997 ORIGINATOR'S
ACTUAL ACTUAL UNDERWRITTEN
---------- ---------- ------------
<S> <C> <C> <C>
EGI $2,774,820 $2,850,603 $3,086,730
Expenses 959,422 950,816 1,116,917
---------- ---------- ----------
NOI $1,815,398 $1,899,787 $1,969,813
Cash Flow $1,739,463 $1,834,536 $1,860,613
========== ========== ==========
Occupancy 86.6% 85.7% 93.3%
DSCR Based on NOI 1.22x 1.28x 1.32x
DSCR based on Cash Flow 1.17x 1.23x 1.25x
</TABLE>
Minimum lease term is either six or twelve months for both new and renewed
leases. The average turnover rate for the last 6 months was 24 units per month.
BAY BRIDGE INDUSTRIAL LOAN
The Loan. This Mortgage Loan (the "Bay Bridge Industrial Loan"), which
is secured by the first deed of trust on a multi-use, industrial, office and
warehouse facility (Bay Bridge Industrial) in Salt Lake City, Utah, represents
approximately 3.3% of the Initial Pool Balance. Originated on November 30, 1998,
the Bay Bridge Industrial Loan was made to Bay Bridge/Corporate, LLC, a special
purpose entity, which is owned by Mark S. Whiting and John R. Stockman.
The Bay Bridge Industrial Loan has a remaining term of 118 months and
matures on December 1, 2008. The Bay Bridge Industrial Loan is subject to
defeasance with United States Treasury obligations beginning two years from the
Closing Date. The Bay Bridge Industrial Loan may be prepaid without the payment
of a prepayment penalty during the three (3) months preceding the maturity date.
The Property. The Bay Bridge Industrial Loan provided acquisition
financing for the L-3/Unisys Facility, an eight building, 889,548 square foot
industrial research and development ("R&D")/flex property plus 9.87 acres of
land located in Salt Lake City. The subject was developed in various stages from
1957 through 1984. Most buildings have been remodeled and upgraded, are in good
condition, and have an estimated remaining useful life of 40 years per the
property condition report. All
- --------------------------------------------------------------------------------
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> 32
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
buildings have reinforced concrete perimeter foundations with spread footings
and a concrete slab floor over compacted base rock material. All buildings are
fully sprinklered, have HVAC and a specialized, card activated security system.
The buildings are a mix of office, R&D, manufacturing and warehouse
space. The offices have standard build-out including painted gypsum wallboard,
dropped ceilings, florescent lighting and carpeted and static resistant tile
floors. The testing and lab areas include static resistant floor tiling, painted
gypsum walls with some dropped acoustical ceilings. Warehouse and industrial
space typically has exposed ceilings with dropped fluorescent lighting.
The mortgaged property is located adjacent to the Salt Lake City
Airport, within 1 block of U.S. 215, the major north/south freeway, and 2.5
miles west of downtown.
The mortgaged property is currently leased to four tenants: L-3 (a
company consisting of the combined interest of Loral, Lockheed and Lehman
Brothers), Unisys Corp., Equifax Inc. and the United States Postal Service. All
are debt rated tenants with S&P bond ratings of B (L-3), BB- (Unisys),
A-(Equifax) and AAA (United States Postal Service).
L-3 is a leading merchant supplier of secure, high rate data
communication systems, primarily for military and federal government
applications. The U.S. Department of Defense is the largest end customer and
represents about 62% of the company's 1997 sales. L-3 also supplies microwave
components, avionics, ocean systems, telemetry, wireless and space products for
linking communication networks of various command and control platforms. L-3's
single largest program, which accounted for 13% of 1997 sales ($100 million) is
systems support work for the U-2 reconnaissance aircraft. The company has
several facilities across the country, however Salt Lake City is the
Communication Systems West campus.
Unisys Corporation has three distinct business units: information
services, computer systems and global customer service. Unisys Corporation uses
the subject facility for the development of software products with some hardware
engineering.
Equifax is a worldwide information provider that specializes in
consumer credit reporting and collection services. Equifax uses the subject site
for a call center. The Postal Service uses its space as a routing center for
letters without zip codes.
Other Information. At the completion of the transaction, all L-3 leases
commenced with 20 year terms. Lease rollover is therefore calculated for the
following tenants: Unisys, Equifax, the Postal Service and the unoccupied PCF
building. Unisys' B lease matures on December 31, 2001 and its C lease on
December 31, 2000, although it has a 1 year option in both buildings. A 50%
renewal probability was assigned to the Unisys rollover and a 60% probability to
all other rollover per the appraisal. Lease rollover is mitigated by adequate TI
and LC reserve being collected throughout the term ($650,000 per year with a cap
of $2,400,000). In addition, a debt service reserve will be collected to
maintain debt service coverage during 2001 and 2002, the year's following the
Unisys lease expirations. Funds will be released only upon meeting specific debt
coverage and gross rent minimums.
Property Management. The mortgaged property has been managed by two
experienced property managers who work for L-3 and Unisys with the assistance of
a full staff. These management/maintenance employees are expected to stay in
place. The Borrower has retained CB Richard Ellis to provide financial
reporting, leasing assistance and property management.
Operating History. Prior to purchase, the property was owned by Unisys
Corporation and by the Unisys Retirement Plan. As such, the buildings were never
operated as a separate real estate asset with segregated financial statements.
The underwritten amounts are based on actual, verified expenses (property taxes,
insurance, and management), as well as the appraiser's estimates. All leases are
triple net, with most tenants paying for all capital items as well.
- --------------------------------------------------------------------------------
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> 33
NATIONSLINK FUNDING CORPORATION
Commercial Mortgage Pass-Through Certificates
Series 1999-1
Class A, B, C, D, E, & X Certificates
$1,084,654,074 (approximate)
<TABLE>
<CAPTION>
APPRAISER'S ESTIMATE ORIGINATOR'S UNDERWRITTEN
-------------------- -------------------------
<S> <C> <C>
EGI $9,500,004 $8,564,776
Expenses 3,652,100 3,728,696
---------- ----------
NOI $5,847,904 $4,836,080
Cash Flow $5,759,204 $4,416,227
========== ==========
Occupancy 95.1% 91.2%
DSCR Based on NOI 1.66x 1.37x
DSCR based on Cash Flow 1.63x 1.25x
</TABLE>
Lease Expiration Schedule.
<TABLE>
<CAPTION>
PERCENTAGE OF NET CUMULATIVE
YEAR OF LOAN TERM SQUARE FEET RENTABLE SQUARE FEET EXPIRATION
- --------------------------------------------------------------------------------
<S> <C> <C> <C>
Vacant 82,400 9.3% 9.3%
Year 1 0 0.0% 9.3%
Year 2 0 0.0% 9.3%
Year 3 136,093 15.3% 24.6%
Year 4 155,000 17.4% 42.0%
Year 5 0 0.0% 42.0%
Year 6 28,750 3.2% 45.2%
Year 7 0 0.0% 45.2%
Year 8 0 0.0% 45.2%
Year 9 0 0.0% 45.2%
Year 10 0 0.0% 45.2%
</TABLE>
Certain Environmental Considerations. The subject is undergoing final
remediation for an environmental contamination of chlorinated solvents and
petroleum. Unisys, as owner and lessor, voluntarily contacted the appropriate
State agency to begin remediation. Remediation has been in place for 10 years.
Petroleum levels have reached acceptable standards and the chlorinated solvents
are expected to reach acceptable standards with the results of an October
12,1998 testing. A petition for closure is expected to be submitted February 15,
1999, with final closure anticipated within the second quarter of 1999. Unisys,
per their lease and indemnity included in the purchase contract, are responsible
for all liability and costs associated with the contamination and remediation.
Furthermore, a reserve of $105,000, equal to 125% of the estimated cost of
continued remediation and monitoring, was collected.
L-3 uses and maintains some hazardous materials on the site. The
originator of the Bay Bridge Industrial Loan, Bank of America NT&SA, reviewed
L-3's operations plan and, based solely on such review, the Depositor believes
that such materials are stored and disposed of properly.
- --------------------------------------------------------------------------------
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.
