UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-K
[X] ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 1996
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 or 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934 [NO FEE
REQUIRED]
For the transition period from to .
Commission File number 33-99346.02
AMRESCO Residential Securities Corporation Mortgage Loan Trust 1996-2
(Exact name of registrant as specified in its charter)
New York 33-0711440
(State of other jurisdiction
of (I.R.S. Employer
incorporation or organization) Identification No.)
c/o Bankers Trust Company of
California
3 Park Plaza, 16th Floor
Irvine, California 92714
(Address of principal (Zip Code)
executive offices)
Registrant's telephone number, including area code: (909) 605-7600
Securities registered pursuant to Section 12(b) of the Act:
None None
(Title of each class) (Name of each exchange on
which registered)
Securities registered pursuant to Section 12 (g) of the Act:
None
(Title of class)
Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes X No .
Indicate by check mark if disclosure of delinquent filers
pursuant to Item 405 of Regulation S-K is not contained herein,
and will not be contained, to the best of registrant's knowledge,
in definitive proxy or information statements incorporated by
reference in Part III of this Form 10-K or any amendment to this
Form 10-K. [ X ]
State the aggregate market value of the voting stock held by
non-affiliates of registrant. The aggregate market value shall
be computed by reference to the price at which the stock was
sold, or the average bid and asked prices of such stock, as of
specified date within 60 days prior to the date of filing: Not
Applicable
Documents Incorporated by Reference
Not Applicable
PART I
ITEM 1 - BUSINESS
Not Applicable.
ITEM 2 - PROPERTIES
Not Applicable.
ITEM 3 - LEGAL PROCEEDINGS
AMRESCO Residential Securities Corporation (the "Depositor")
is not aware of any material pending legal proceedings involving
either the AMRESCO Residential Securities Corporation Mortgage
Loan Trust 1996-2 (the "Trust") established pursuant to the
Pooling and Servicing Agreement dated April 1, 1996, among the
Depositor, AMRESCO Residential Mortgage Corporation in its
capacity as seller, Long Beach Mortgage Company and Option One
Mortgage Corporation as the servicers (the "Servicers"), and
Bankers Trust Company of California, N.A., a national banking
association in its capacity as trustee.
ITEM 4 - SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
No matter has been submitted to a vote of the holders of
beneficial interests in the Trust through the solicitation of
proxies or otherwise.
PART II
ITEM 5 - MARKET FOR REGISTRANT'S COMMON STOCK AND RELATED
STOCKHOLDER MATTERS
To the best knowledge of the Depositor, there is no
established public trading market for any beneficial interests in
the Trust.
All of the Class A-1 and A-2 Certificates issued by the
Trust are held by the Depository Trust Company ("DTC") which in
turn maintains records of holders of beneficial interests in such
Certificates. Based on information obtained from the DTC as of
March 17, 1997, there were 2 holders of the Class A-1
Certificates, and 7 holders of the Class A-2 Certificates.
ITEM 6 - SELECTED FINANCIAL DATA
Not applicable.
ITEM 7 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
Not applicable.
ITEM 8 - FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
In addition to the information included in the Annual
Complication of Monthly Trustee's Statements attached as Exhibit
99.3 hereto, the gross servicing compensation paid to the
Servicers for the year ended December 31, 1996 was $784,109.
ITEM 9 - CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
ACCOUNTING AND FINANCIAL DISCLOSURE
There were no changes of accountants or disagreements on
accounting or financial disclosures between the Issuer and its
accountants.
PART III
ITEM 10 - DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT
Not applicable.
ITEM 11 - EXECUTIVE COMPENSATION
Not applicable.
ITEM 12 - SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND
MANAGEMENT
The following table sets forth (i) the name and address of
each entity owning more than 5% of the outstanding principal
amount of each Class of Class A Certificates of the Trust; (ii)
the principal amount of the Class of Certificates owned by each
and (iii) the percent that the principal amount of the Class of
Certificates owned by such entity represents of the outstanding
principal amount of such Class of Certificates. The information
set forth in the table for the Class A Certificates is based upon
information obtained from the DTC and represents ownership of
beneficial interest in the Certificates held by the DTC. The
Depositor is not aware of any Schedules 13D or 13G's filed with
the Securities and Exchange Commission in respect of the
Certificates.
Amount Owned
(All Dollar Amounts Are
in Thousands)
Name and Address Class Principal Percent
Chase Manhattan Bank/Broker & A-1 30,442,000 93.8%
Dealer Clearance Department
4 New York Plaza, 21 st Floor
New York, NY 10015
First Union National Bank A-1 2,000,000 6.2%
401 South Tryon Street
TR OPSCMG NC 1151
Charlotte, NC 28288
Bankers Trust Company A-2 79,000,000 35.1%
c/o BT Services Tennessee, Inc.
Custody Services
648 Grassmere Park Road
Nashville, TN 37211
Chase Manhattan Bank A-2 40,000,000 17.8%
Two Chase Manhattan Plaza,
5th Floor
New York, NY 10081
Chase Manhattan Bank/Chemical A-2 65,500,000 29.1%
Auto Settle Department
4 New York Plaza, 4th Floor
New York, NY 10004
Republic National Bank of New York A-2 12,750,000 5.7%
- - Investment Account
One Hanson Place, Lower Level
Brooklyn, NY 11243
Smith Barney Harris Upham & Co., A-2 16,750,000 7.4%
Inc. (SB)
C/o ADP Proxy Services
51 Mercedes Way
Edgewood, NY 11717
ITEM 13 - CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS
[None]
PART IV
ITEM 14 - EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON
FORM 8-K
(a) The following documents are filed as part of this report:
1. Financial Statements:
Not applicable.
2. Financial Statement Schedules:
Not applicable.
3. Exhibits:
Exhibit No. Description
99.1(a) Statement of Compliance of the
Servicer. - Option One
99.1(b) Statement of Compliance of the
Servicer. - Long Beach
99.2(a) Annual Report of Independent Accountants with
respect to the Servicer's overall servicing
operations. - KPMG Peat Marwick LLP
99.2(b) Annual Report of Independent Accountants with
respect to the Servicer's overall servicing
operations. - Deloitte & Touche LLP
99.3 Annual compilation of Monthly Trustee's
Statement.
(b) Reports on Form 8-K.
Reports on Form 8-K have been filed by the Issuer
during the last quarter of the period covered by this report.
Items Reported/Financial
Date of Reports on Statements Filed
Form 8-K
October 25, 1996 Trustee's Monthly Report for the
October Monthly Period.
November 25, 1996 Trustee's Monthly Report for the
November Monthly Period.
December 26, 1996 Trustee's Monthly Report for the
December Monthly Period.
SIGNATURES
Pursuant to the requirements of Section 13 and 15(d) 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.
AMRESCO RESIDENTIAL SECURITIES CORPORATION
on behalf of AMRESCO Residential Securities Corporation
Mortgage Loan Trust 1996-2
By: /s/ Ronald B. Kirkland
Name: Ronald B. Kirkland
Title: Vice President and Chief Accounting
Officer
Date: March 26, 1997
INDEX TO EXHIBITS
Item 14(C)
Exhibit No. Description
99.1(a) Statement of Compliance of the
Servicer. - Option One
99.1(b) Statement of Compliance of the
Servicer. - Long Beach
99.2(a) Annual Report of Independent
Accountants with respect to
the Servicer's overall
servicing operations. - KPMG
Peat Marwick LLP
99.2(b) Annual Report of Independent
Accountants with respect to
the Servicer's overall
servicing operations. -
Deloitte & Touche LLP
99.3 Annual compilation of Monthly
Trustee's Statement.
Exhibit 99.1(a)
OPTION
ONE
MORTGAGE CORPORATION
As of and for the year ended December 31, 1996, Option One
Mortgage Corporation has complied in all material respects with
the minimum servicing standards set forth in the Mortgage Bankers
Association of America's Uniform Single Attestation Program for
Mortgage Bankers (USAP). As of and for this same period, Option
One Mortgage Corporation had in effect a fidelity bond and errors
and omissions policy in the amount of $50 Million.
\s\ Robert E. Dubrish 2/15/97 \s\ William L. O'Neill 2/15/97
Robert E. Dubrish William L. O'Neill
Chief Executive Officer Chief Financial Officer
\s\ Jill Bright 2/15/97
Jill Bright
Date
Controller
Long Beach Mortgage
Company
OFFICERS CERTIFICATE
ANNUAL STATEMENT OF COMPLIANCE
MORTGAGE PASS-THROUGH CERTIFICATES
RESIDENTIAL MORTGAGE LOANS SERIES
1996-1, 1996-2, 1996-3, AND 1996-4
IN ACCORDANCE WITH THE APPROPRIATE SECTION OF THE ABOVE CAPTIONED
POOLING AND SERVICING AGREEMENTS, I, PATRICIA L. WAYMAN, AND
SHAWNA R. OGILVIE OF LONG BEACH MORTGAGE COMPANY, (THE
"SERVICER") HEREBY CERTIFIY:
(i) A REVIEW OF THE ACTIVITIES OF THE SERVICER DURING THE
PRECEDING CALENDAR YEAR, AND OF PERFORMANCE UNDER THESE
AGREEMENTS HAVE BEEN MADE UNDER OUR SUPERVISION.
(ii) TO THE BEST OF OUR KNOWLEDGE, BASED ON SUCH REVIEW, THE
SERVICER HAS FULFILLED ALL ITS OBLIGATIONS UNDER THESE AGREEMENTS
THROUGHOUT SUCH YEAR.
CERTIFIED THIS 18TH DAY OF MARCH, 1997.
BY: \s\ PATRICIA L. WAYMAN
PATRICIA L. WAYMAN
PRESIDENT
BY: \s\ SHAWNA R. OGILVIE
SHAWNA R. OGILVIE
VICE PRESIDENT
Exhibit 99.2 (a)
KPMG Peat Marwick LLP
Center Tower
650 Town Center Drive
Costa Mesa, CA 92626
INDEPENDENT ACCOUNTANT'S REPORT
A. The Board of Directors
Option One Mortgage Corporation:
We have examined management's assertion about Option One Mortgage
Corporation's (the Company) compliance with the minimum servicing
standards identified in the Mortgage Bankers Association of
America's Uniform Single Attestation Program for Mortgage Bankers
(USAP) as of and for the year ended December 31, 1996.
Management is responsible for the Company's compliance with those
minimum servicing standards. Our responsibility is to express an
opinion on management's assertion about the Company's compliance
based on our examination.
Our examination was made in accordance with standards established
by the American Institute of Certified Public Accountants and,
accordingly, included examining, on a test basis, evidence about
the Company's compliance with the minimum servicing standards and
performing such other procedures, as we considered necessary in
the circumstances. We believe that our examination provides a
reasonable basis for our opinion. Our examination does not
provide a legal determination on the Company's compliance with
the minimum servicing standards.
In our opinion, management's assertion that Option One Mortgage
Corporation complied with the aforementioned minimum servicing
standards as of and for the year ended December 31, 1996 is
fairly stated, in all material respects.
\s\ KPMG Peat Marwick LLP
February 18, 1997
Exhibit 99.2 (b)
Deloitte &
Touche LLP
Suite 1200 Telephone: (714) 436-7100
695 Town Center Drive Facsimile:(714) 436-7200
Costa Mesa, California 92626-1924
INDEPENDENT ACCOUNTANT'S REPORT
To Long Beach Mortgage Company:
We have examined management's assertion about Long Beach Mortgage
Company's compliance with the minimum servicing standards
identified in the Mortgage Bankers Association of America's
Uniform Single Attestation Program for Mortgage Bankers (USAP) as
of and for the year ended December 31, 1995 included in the
accompanying management assertion. Management is responsible for
Long Beach Mortgage Company's compliance with those minimum
servicing standards. Our responsibility is to express an opinion
on management's assertion about the entity's compliance based on
our examination.
Our examination was made in accordance with standards established
by the American Institute of Certified Public Accountants and,
accordingly, included examining, on a test basis, evidence about
Long Beach Mortgage Company's compliance with the minimum
servicing standards and performing such other procedures as we
considered necessary in the circumstances. We believe that our
examination provides a reasonable basis for our opinion. Our
examination does not provide a legal determination on Long Beach
Mortgage Company's compliance with the minimum servicing
standards.
In our opinion, management's assertion that Long Beach Mortgage
Company's compliance with the aforementioned minimum servicing
standards as of and for the year ended December 31, 1995 is
fairly stated, in all material respects.
\s\ Deloitte & Touche LLP
March 29, 1996
Exhibit 99.3
AMRESCO Residential Securities Corp.
Series 1996-2
1996 - Annual Statement
DISTRIBUTION DOLLARS
ENDING
PERIOD CLASS CUST INTEREST PRINCIPAL BALANCE
199605 A1 03215PAG4 $200,734.88 $570,650.76 $31,871,349.24
199606 A1 03215PAG4 $197,203.97 $194,002.11 $31,677,347.13
199607 A1 03215PAG4 $196,003.59 $300,934.37 $31,376,412.77
199608 A1 03215PAG4 $194,141.55 $478,235.10 $30,898,177.67
199609 A1 03215PAG4 $191,182.47 $332,542.60 $30,565,635.07
199610 A1 03215PAG4 $189,124.87 $471,052.98 $30,094,582.09
199611 A1 03215PAG4 $186,210.23 $425,613.94 $29,668,968.15
199612 A1 03215PAG4 $183,576.74 $1,241,730.02 $28,427,238.13
Total by Class $1,538,178.30 $4,014,761.88
199605 A2 03215PAH2 $1,198,312.50 $3,514,632.87 $221,485,367.13
199606 A2 03215PAH2 $998,040.87 $3,946,020.77 $217,539,346.36
199607 A2 03215PAH2 $1,055,943.24 $4,438,185.22 $213,101,161.14
199608 A2 03215PAH2 $1,098,181.32 $6,148,153.61 $206,953,007.53
199609 A2 03215PAH2 $994,452.32 $7,697,354.18 $199,255,653.35
199610 A2 03215PAH2 $973,031.77 $7,975,379.97 $191,280,273.38
199611 A2 03215PAH2 $944,632.32 $8,100,431.15 $183,179,842.23
199612 A2 03215PAH2 $904,628.56 $9,224,377.61 $173,955,464.62
Total by Class $8,167,222.90 $51,044,535.38
199605 B-IO AO9620101 $0.00 $0.00 $0.00
199606 B-IO AO9620101 $0.00 $0.00 $0.00
199607 B-IO AO9620101 $0.00 $0.00 $0.00
199608 B-IO AO9620101 $0.00 $0.00 $0.00
199609 B-IO AO9620101 $0.00 $0.00 $0.00
199610 B-IO AO9620101 $0.00 $0.00 $0.00
199611 B-IO AO9620101 $0.00 $0.00 $0.00
199612 B-IO AO9620101 $541,359.93 $0.00 $0.00
Total by Class $541,359.93 $0.00 $0.00
199605 R AO9620102 $0.00 $0.00 $0.00
199606 R AO9620102 $0.00 $0.00 $0.00
199607 R AO9620102 $0.00 $0.00 $0.00
199608 R AO9620102 $0.00 $0.00 $0.00
199609 R AO9620102 $0.00 $0.00 $0.00
199610 R AO9620102 $0.00 $0.00 $0.00
199611 R AO9620102 $0.00 $0.00 $0.00
199612 R AO9620102 $0.00 $0.00 $0.00
Total by Class $0.00 $0.00 $0.00
