<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: February 20, 1997
(Date of earliest event reported)
FIRSTPLUS INVESTMENT CORPORATION
(Exact name of Registrant as specified in its charter)
Nevada 333-11855 75-2596063
(State of Incorporation) (Commission File No.) (I.R.S. Employer
Identification No.)
3773 Howard Hughes Parkway
Suite 300N
Las Vegas, Nevada 89109
(Address of Principal executive offices) (Zip Code)
Registrant's Telephone Number, Including Area Code: (702) 866-2202
<PAGE> 2
Item 5. Other Events.
Reference is hereby made to the Registrant's Registration Statement on
Form S-3 (File No. 333-11855) filed with the Securities and Exchange Commission
(the "Commission") on September 12, 1996 (the "Registration Statement"),
pursuant to which the Registrant registered $1,240,625,000 aggregate principal
amount of its asset backed notes and asset backed certificates, issuable in
various series, for sale in accordance with the provisions of the Securities
Act of 1933, as amended (the "Act"). Reference is also hereby made to the
Prospectus and the related Prospectus Supplement (collectively, the
"Prospectus"), which will be filed with the Commission pursuant to Rule
424(b)(5), with respect to the Registrant's Asset Backed Notes and Asset Backed
Certificates, Series 1996-4 (the "Offered Securities").
The Registrant is filing this Current Report on Form 8-K to provide
prospective investors with certain materials which constitute "Collateral Term
Sheets" as described in the no-action letter dated February 27, 1995 issued by
the Division of Corporation Finance of the Commission to the Public Securities
Association (the "PSA Letter"), the filing of which materials is a condition of
the relief granted in such letters (such materials being the "Collateral Term
Sheets"). The Collateral Term Sheets were prepared solely by Banc One Capital
Corporation in connection with the offering of the Offered Securities, and the
Registrant did not prepare or participate in the preparation of the Collateral
Term Sheets. The Collateral Term Sheets are set forth in Exhibit 28.1 hereto.
The assumptions used in preparing the Collateral Term Sheets were
based upon a preliminary compilation of the underlying collateral and the
estimated principal amount and other features of the Offered Securities. The
actual features of the Offered Securities and a detailed description of the
final constituency of the underlying collateral will be set forth in the
Prospectus.
Due to the preliminary nature of the information regarding the
collateral and the structure of the Offered Securities used in preparing the
Collateral Term Sheets, no assurance can be given as to either the Collateral
Term Sheets' or the underlying assumptions' accuracy, appropriateness or
completeness in any particular context; nor can assurance be given as to
whether the Collateral Term Sheets and/or the assumptions upon which they are
based reflect present market conditions or future market performance. These
Collateral Term Sheets should not be construed as either projections or
predictions or as legal, tax, financial or accounting advice.
Any yields or weighted average lives shown in the Collateral Term
Sheets are based on prepayment assumptions, and changes in such prepayment
assumptions may dramatically affect such yields or weighted average lives. In
addition, it is possible that prepayments on the collateral will occur at rates
slower or faster than the rates shown in the Collateral Term Sheets.
Furthermore, unless otherwise provided, the Collateral Term Sheets assume no
losses on the collateral and no interest shortfall. The specific
characteristics of the Offered Securities may differ from those shown in the
Collateral Term Sheets due to differences between the actual collateral and the
hypothetical collateral used in preparing the Collateral Term Sheets. As noted
above, the principal amount and designation of any security described in the
Collateral Term Sheets are subject to change prior to issuance.
-2-
<PAGE> 3
Please be advised that mortgage-backed securities may not be
appropriate for all investors. Potential investors must be willing to assume,
among other things, market price volatility, mortgage prepayments, yield curve
and interest rate risks. Investors should make every effort to consider the
risks of these securities.
Any statement or information contained in the Collateral Term Sheets
shall be deemed to be modified or superseded for purposes of the Prospectus and
the Registration Statement by statements or information contained in the
Prospectus.
Item 7. Financial Statements and Exhibits.
(c) Exhibits
Exhibit No. Description
28.1 Collateral Term Sheets provided by Banc One Capital
Corporation
-3-
<PAGE> 4
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this Report to be signed on its behalf by the
undersigned hereunto duly authorized.
FIRSTPLUS INVESTMENT CORPORATION
February 20, 1997 By: /s/ Christopher J. Gramlich
------------------------------------
Christopher J. Gramlich
Senior Vice President
-4-
<PAGE> 5
Exhibit Index
Exhibit Description
28.1 Collateral Term Sheets
<PAGE> 1
EXHIBIT 28.1
Collateral Term Sheets provided by Banc One Capital Corporation
[Begins on Next Page]
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<PAGE> 2
FIRSTPLUS Home Loan Trust 1997-1
Information Relating to the Collateral
Fixed Rate Mortgage Loans
Preliminary characteristics of the Initial Home Loans as of 1/31/97
<TABLE>
<S> <C>
Total Number of Loans: 13030
Total Outstanding Loan Balance: 400550748
Balloon (% of Total): none
Level Pay (% of Total): 100.00%
Average Loan Principal Balance: $30,741 ($4,745 to $80,000)
Weighted Average Coupon: 14.10% (10.50% to 19.99%)
Weighted Average Remaining Term to Maturity (months): 234.7 (36 to 300)
Weighted Average Seasoning (months): 1.7 (0 to 12)
Weighted Average Original Term (months): 236.4 (36 to 300)
Range of Original Terms: Level Pay
----------------------
1 - 120: 0.0774
121 - 180: 0.2819
181 - 240 0.2508
241 - 300: 0.3898
Loan Type: "Buster"" Plus (40% HI and up to 60% Debt Consolidation)" 27%
"Debt Buster"" (Up to 100% Debt Consolidation)" 73%
FICO Scores
Percent of Home Loan Pool with FICO scores: 100%
WA FICO Score (based on Mortgage Loans with FICO scores): 677
Percent of Home Loan Pool with FICO Score of more than 640: 86%
Lien Position: 1st Lien: 0.01%
Junior Lien: 99.99%
Geographic Distribution: 49 states
CA: 49.28%
FL: 6.58%
AZ: 4.46%
CO: 4.42%
GA: 3.82%
Other: 31.44%
</TABLE>
The information contained herein will be superseded
by the description of the collateral contained in the prospectus supplement.
C
<PAGE> 3
FIRSTPLUS HOME LOAN OWNER TRUST 1997-1
Information Relating to the Securities (page 1 of 4)
TRANSACTION SUMMARY (a), (b)
<TABLE>
<CAPTION>
ESTIMATED ESTIMATED ESTIMATED ESTIMATED
WAL MODIFIED PRINCIPAL PRINCIPAL EXPECTED
APPROXIMATE TO MATURITY DURATION LOCKOUT WINDOW RATINGS
CERTIFICATE SIZE COUPON (YEARS) (YEARS) (MONTHS) (MONTHS) (MOODY'S/S&P)
<S> <C> <C> <C> <C> <C> <C> <C>
CLASS A-1 $120,980,000 Fixed 0.80 0.75 none 19 Aaa/AAA (b)
CLASS A-2 $ 51,060,000 Fixed 2.00 1.82 18 12 Aaa/AAA (b)
CLASS A-3 $ 56,760,000 Fixed 3.00 2.64 29 14 Aaa/AAA (b)
CLASS A-4 $ 38,560,000 Fixed 4.00 3.40 42 12 Aaa/AAA (b)
CLASS A-5 $ 43,140,000 Fixed 5.00 4.11 53 15 Aaa/AAA (b)
CLASS A-6 $ 74,560,000 Fixed 7.00 5.34 67 36 Aaa/AAA (b)
CLASS A-7 $ 52,600,000 Fixed 10.00 6.88 102 39 Aaa/AAA (b)
CLASS A-8 $ 29,310,000 Fixed 13.00 8.09 140 33 Aaa/AAA (b)
CERTIFICATES $ 33,030,000 Fixed 17.18 9.19 172 87 Aaa/AAA (b)
</TABLE>
NOTES: (a) 100% Prepayment Assumption: 2.0% CPR in month 1, and an
additional 0.9091% per annum in each month thereafter until
month 12. On and after month 12, 12.0% CPR.
(b) MBIA surety bond.
CLASS A-1 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 2.991 1.135 0.923 0.800 0.720 0.665
MODIFIED DURATION (YEARS) 2.530 1.053 0.865 0.754 0.681 0.631
FIRST PRINCIPAL PAYMENT 3/10/97 3/10/97 3/10/97 3/10/97 3/10/97 3/10/97
LAST PRINCIPAL PAYMENT 3/10/04 9/10/99 2/10/99 9/10/98 7/10/98 5/10/98
PRINCIPAL LOCKOUT (MONTHS) none none none NONE none none
PRINCIPAL WINDOW (MONTHS) 85 31 24 19 17 15
ILLUSTRATIVE YIELD @ PAR (30/360) 6.037% 5.953% 5.922% 5.897% 5.875% 5.858%
</TABLE>
CLASS A-2 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 8.313 3.314 2.486 2.000 1.685 1.469
MODIFIED DURATION (YEARS) 6.280 2.898 2.230 1.821 1.550 1.360
FIRST PRINCIPAL PAYMENT 3/10/04 9/10/99 2/10/99 9/10/98 7/10/98 5/10/98
LAST PRINCIPAL PAYMENT 8/10/06 4/10/01 3/10/00 8/10/99 3/10/99 12/10/98
PRINCIPAL LOCKOUT (MONTHS) 84 30 23 18 16 14
PRINCIPAL WINDOW (MONTHS) 30 20 14 12 9 8
ILLUSTRATIVE YIELD @ PAR (30/360) 6.307% 6.278% 6.262% 6.246% 6.231% 6.217%
</TABLE>
C
This information should be considered only after reading the Statement
Regarding Assumptions as to Securities, Pricing Estimates and Other Information
(the "Statement"), which should be attached. Do not use or rely on this
information if you have not received and reviewed this Statement. You may
obtain a copy of the Statement from your sales representative.
<PAGE> 4
FIRSTPLUS HOME LOAN OWNER TRUST 1997-1
Information Relating to the Securities (page 2 of 4)
CLASS A-3 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 10.772 4.985 3.756 3.000 2.501 2.152
MODIFIED DURATION (YEARS) 7.521 4.125 3.228 2.640 2.236 1.945
FIRST PRINCIPAL PAYMENT 8/10/06 4/10/01 3/10/00 8/10/99 3/10/99 12/10/98
LAST PRINCIPAL PAYMENT 3/10/09 1/10/03 8/10/01 9/10/00 2/10/00 9/10/99
PRINCIPAL LOCKOUT (MONTHS) 113 49 36 29 24 21
PRINCIPAL WINDOW (MONTHS) 32 22 18 14 12 10
ILLUSTRATIVE YIELD @ PAR (30/360) 6.506% 6.488% 6.477% 6.466% 6.455% 6.444%
</TABLE>
CLASS A-4 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 12.697 6.547 4.998 4.000 3.324 2.844
MODIFIED DURATION (YEARS) 8.337 5.148 4.121 3.403 2.889 2.510
FIRST PRINCIPAL PAYMENT 3/10/09 1/10/03 8/10/01 9/10/00 2/10/00 9/10/99
LAST PRINCIPAL PAYMENT 7/10/10 5/10/04 9/10/02 8/10/01 11/10/00 4/10/00
PRINCIPAL LOCKOUT (MONTHS) 144 70 53 42 35 30
PRINCIPAL WINDOW (MONTHS) 17 17 14 12 10 8
ILLUSTRATIVE YIELD @ PAR (30/360) 6.651% 6.639% 6.631% 6.623% 6.614% 6.605%
</TABLE>
CLASS A-5 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 14.033 7.995 6.212 5.000 4.158 3.552
MODIFIED DURATION (YEARS) 8.830 5.996 4.920 4.113 3.513 3.059
FIRST PRINCIPAL PAYMENT 7/10/10 5/10/04 9/10/02 8/10/01 11/10/00 4/10/00
LAST PRINCIPAL PAYMENT 11/10/11 1/10/06 2/10/04 10/10/02 11/10/01 3/10/01
PRINCIPAL LOCKOUT (MONTHS) 160 86 66 53 44 37
PRINCIPAL WINDOW (MONTHS) 17 21 18 15 13 12
ILLUSTRATIVE YIELD @ PAR (30/360) 6.734% 6.725% 6.719% 6.713% 6.706% 6.699%
</TABLE>
C
This information should be considered only after reading the Statement
Regarding Assumptions as to Securities, Pricing Estimates and Other Information
(the "Statement"), which should be attached. Do not use or rely on this
information if you have not received and reviewed this Statement. You may
obtain a copy of the Statement from your sales representative.
<PAGE> 5
FIRSTPLUS HOME LOAN OWNER TRUST 1997-1
Information Relating to the Securities (page 3 of 4)
CLASS A-6 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 16.827 10.703 8.546 7.000 5.865 5.017
MODIFIED DURATION (YEARS) 9.584 7.281 6.213 5.344 4.644 4.084
FIRST PRINCIPAL PAYMENT 11/10/11 1/10/06 2/10/04 10/10/02 11/10/01 3/10/01
LAST PRINCIPAL PAYMENT 11/10/15 11/10/09 6/10/07 9/10/05 5/10/04 5/10/03
PRINCIPAL LOCKOUT (MONTHS) 176 106 83 67 56 48
PRINCIPAL WINDOW (MONTHS) 49 47 41 36 31 27
ILLUSTRATIVE YIELD @ PAR (30/360) 7.033% 7.028% 7.023% 7.019% 7.014% 7.009%
</TABLE>
CLASS A-7 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 19.972 14.191 11.943 10.000 8.488 7.320
MODIFIED DURATION (YEARS) 10.259 8.595 7.738 6.881 6.129 5.489
FIRST PRINCIPAL PAYMENT 11/10/15 11/10/09 6/10/07 9/10/05 5/10/04 5/10/03
LAST PRINCIPAL PAYMENT 10/10/18 4/10/13 11/10/10 11/10/08 3/10/07 11/10/05
PRINCIPAL LOCKOUT (MONTHS) 224 152 123 102 86 74
PRINCIPAL WINDOW (MONTHS) 36 42 42 39 35 31
ILLUSTRATIVE YIELD @ PAR (30/360) 7.261% 7.257% 7.255% 7.252% 7.249% 7.245%
</TABLE>
CLASS A-8 (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 22.518 17.620 14.996 13.000 11.251 9.775
MODIFIED DURATION (YEARS) 10.671 9.564 8.789 8.095 7.396 6.734
FIRST PRINCIPAL PAYMENT 10/10/18 4/10/13 11/10/10 11/10/08 3/10/07 11/10/05
LAST PRINCIPAL PAYMENT 7/10/20 4/10/16 12/10/13 7/10/11 11/10/09 4/10/08
PRINCIPAL LOCKOUT (MONTHS) 259 193 164 140 120 104
PRINCIPAL WINDOW (MONTHS) 22 37 38 33 33 30
ILLUSTRATIVE YIELD @ PAR (30/360) 7.405% 7.403% 7.401% 7.400% 7.398% 7.395%
</TABLE>
C
This information should be considered only after reading the Statement
Regarding Assumptions as to Securities, Pricing Estimates and Other Information
(the "Statement"), which should be attached. Do not use or rely on this
information if you have not received and reviewed this Statement. You may
obtain a copy of the Statement from your sales representative.
<PAGE> 6
FIRSTPLUS HOME LOAN OWNER TRUST 1997-1
Information Relating to the Securities (page 4 of 4)
** CERTIFICATES (TO MATURITY)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 24.063 21.395 19.368 17.181 15.234 13.536
MODIFIED DURATION (YEARS) 10.617 10.146 9.723 9.188 8.639 8.092
FIRST PRINCIPAL PAYMENT 7/10/20 4/10/16 12/10/13 7/10/11 11/10/09 4/10/08
LAST PRINCIPAL PAYMENT 11/10/21 3/10/21 5/10/20 9/10/18 9/10/16 12/10/14
PRINCIPAL LOCKOUT (MONTHS) 280 229 201 172 152 133
PRINCIPAL WINDOW (MONTHS) 17 60 78 87 83 81
ILLUSTRATIVE YIELD @ PAR (30/360) 7.753% 7.752% 7.751% 7.750% 7.749% 7.747%
</TABLE>
** CLASS A-8 (TO 10% CLEAN-UP CALL)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 22.446 17.481 14.792 12.850 11.098 9.640
MODIFIED DURATION (YEARS) 10.659 9.529 8.727 8.042 7.334 6.673
FIRST PRINCIPAL PAYMENT 10/10/18 4/10/13 11/10/10 11/10/08 3/10/07 11/10/05
LAST PRINCIPAL PAYMENT 1/10/20 5/10/15 8/10/12 8/10/10 11/10/08 5/10/07
PRINCIPAL LOCKOUT (MONTHS) 259 193 164 140 120 104
PRINCIPAL WINDOW (MONTHS) 16 26 22 22 21 19
ILLUSTRATIVE YIELD @ PAR (30/360) 7.405% 7.403% 7.401% 7.400% 7.397% 7.395%
</TABLE>
** CERTIFICATES (TO 10% CLEAN-UP CALL)
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
% OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150%
RAMP TO 0% 6% 9% 12% 15% 18%
AVERAGE LIFE (YEARS) 22.869 18.203 15.453 13.453 11.703 10.203
MODIFIED DURATION (YEARS) 10.425 9.479 8.743 8.101 7.455 6.827
FIRST PRINCIPAL PAYMENT 1/10/20 5/10/15 8/10/12 8/10/10 11/10/08 5/10/07
LAST PRINCIPAL PAYMENT 1/10/20 5/10/15 8/10/12 8/10/10 11/10/08 5/10/07
PRINCIPAL LOCKOUT (MONTHS) 274 218 185 161 140 122
PRINCIPAL WINDOW (MONTHS) 1 1 1 1 1 1
ILLUSTRATIVE YIELD @ PAR (30/360) 7.753% 7.751% 7.749% 7.747% 7.745% 7.743%
</TABLE>
C
This information should be considered only after reading the Statement
Regarding Assumptions as to Securities, Pricing Estimates and Other Information
(the "Statement"), which should be attached. Do not use or rely on this
information if you have not received and reviewed this Statement. You may
obtain a copy of the Statement from your sales representative.
<PAGE> 7
FIRSTPLUS HOME LOAN OWNER TRUST 1997-1
STATEMENT REGARDING ASSUMPTIONS AS TO SECURITIES, PRICING ESTIMATES AND OTHER
INFORMATION
The information contained in the attached or enclosed materials (the
"Information") is illustrative only and is not intended to predict actual
results. The Information is based on certain assumptions with respect to
significant factors that may prove to be incorrect. For example, the
performance of the collateral may assume constant prepayment rates for the life
of the securities, which are unlikely to occur. Returns based on actual
prepayments are likely to be different and could be substantially different.
The Information is based on aggregate collateral data not actual collateral.
Where actual collateral instead of aggregate collateral is used, different cash
flows, average lives, and yields may result. When collateral paydown numbers
are known only on a gross or aggregate basis, such as with aggregate
collateral, their allocation among the collateral components is assumed for
projection purposes. Accordingly, the resulting paydown speed may be over or
understated for a component included in such collateral.
The Information includes data on the possible future performance of certain
operating entities and the collateral owned or originated by those companies.
Other methods of projecting the performance of both may be used and are likely
to produce different evaluations of performance. You should consider whether
to employ such models to analyze and project the performance of the collateral
and the operating entities. Moreover, the Information may not reflect the
impact of all structural characteristics of the transactions being discussed.
You should consider whether the data should be tested with assumptions
different from those included in the attached or enclosed materials, which may
not be appropriate for you. The assumptions underlying the Information,
including structure and collateral, are preliminary and may be modified from
time to time to reflect changed circumstances or new information. You should
not consider the data in any but the most current Information in evaluating the
collateral and the operating entities.
Although the data underlying the Information has been obtained from sources
that we have no reason to believe are not reliable, Banc One Capital
Corporation does not make any representation, warranty, or guarantee as to the
accuracy or completeness of the underlying data or computations based thereon.
Information contained in the following computational materials supersedes any
prior computational materials for the referenced series of securities, but such
information will be superseded by a prospectus supplement for such series.
These computational materials shall not constitute an offer to sell or the
solicitation of an offer to buy any securities. Securities may not
be sold or may offers to buy be accepted before a Prospectus and Prospectus
Supplement is delivered in final form.
C
