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 (date of earliest event reported): October 2, 1998
SOUTHERN PACIFIC FUNDING CORPORATION
(Exact name of registrant as specified in its charter)
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<S> <C> <C>
California 1-11785 33-0636924
(State or other jurisdiction (Commission File No.) (I.R.S. Employer
of incorporation) Identification No.)
4949 Meadows Road, Suite 600
Lake Oswego, OR 97035
(Address of principal executive offices) (Zip code)
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(503) 303-5400
(Registrant's telephone number, including area code)
Not applicable
(Former name, former address and former fiscal year,
if changed since last report)
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Item 5. Other Events.
On October 5, 1998, Southern Pacific Funding Corporation announced that
it is working to develop a plan for orderly liquidation of its assets through
its Chapter 11 bankruptcy case commenced on October 1, 1998. Separately, on
October 2, 1998, the New York Stock Exchange announced that trading had been
suspended in the registrant's listed securities and that application would be
made to delist the issues. See the press release dated October 5, 1998, filed as
Exhibit 99.1 hereto and incorporated herein by this reference.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
(c) Exhibits.
99.1 Registrant's press release dated October 5, 1998.
SIGNATURE
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 thereunto duly authorized.
SOUTHERN PACIFIC FUNDING CORPORATION
Dated: October 5, 1998 By: /s/ E. James Hedemark
Name: E. James Hedemark
Title: Chief Executive Officer
FOR MORE INFORMATION CONTACT:
Wendy Beth Oliver
General Counsel
Southern Pacific Funding Corporation
(503) 303-2282
SOUTHERN PACIFIC FUNDING CORPORATION
ANNOUNCES CESSATION OF OPERATIONS
LAKE OSWEGO, OR--October 5, 1998--Southern Pacific Funding Corporation announced
today that it is working to develop a plan for orderly liquidation of its assets
through its Chapter 11 bankruptcy case commenced on October 1, 1998. Following a
court hearing on Thursday, Greenwich Capital Markets, Inc., declined to advance
funds pursuant to the post-petition credit facility previously negotiated with
the Company because court approval was not received as to certain financing
terms. Accordingly, Southern Pacific Funding has notified its brokers that
funding of mortgage loans has been halted permanently and is taking steps to
maximize the value of its assets for the benefit of its creditors.
Separately, the New York Stock Exchange suspended trading in Southern Pacific
Funding's common stock and 6.75% convertible notes due October 15, 2006
(NYSE:SFC and SFC 06) prior to the market opening on Friday. The NYSE intends to
apply to the Securities and Exchange Commission to delist the issues.
E. James Hedemark, Chief Executive Officer, said "The Company recognizes its
responsibility to its creditors and will deal fairly and honestly with its
creditors. The Company recognizes the hard work and loyalty of its employees who
have given so much to the Company, especially in recent days. To its maximum
ability, the Company pledges to assist its employees during this transition. The
Company's employees are highly skilled and valuable people and are not
responsible for the Company's financial position."
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