SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM IO-Q SB
(Mark One)
[ x ] Quarterly report pursuant to section 13 or 15(d) of the
Securities Exchange Act of 1934
For the quarterly period ended June 30, 1997 or
[ ] Transition report pursuant to section 13 or 15(d) of
the Securities Exchange Act of 1934
For the Transition period from_______to_______
Commission file number 33-5144-D
U.S. AUTOMOBILE ACCEPTANCE SNP-III, INC.
(Exact name of registrant as specified in its
charter)
Texas 75-2669147
(State or other jurisdiction of (IRS EmployerIdentification No.)
incorporation or organization)
1120 NW 63rd , Suite G-106, Oklahoma City, Oklahoma 73116
(Address of principal executive offices)
(405) 843-3135
(Registrant's telephone number, including area code)
Not Applicable
(Former name, former address and former fiscal year, if changed
since last report)
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 123 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
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS:
Indicate by check mark whether the registrant has filed all
documents and reports required to be filed by Sections 12, 13 or
15(d) of the Securities Exchange Act of 1934 subsequent to the
distribution of securities under a plan confirmed by a court.
Yes No Not Applicable.
APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the
issuer's classes of common stock, as of the latest practicable
date.
1,000 shares of Common Stock
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
See Attached
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations
U.S. Automobile Acceptance SNP-III, Inc. (the "Company") was
incorporated on June 7, 1996 as a Texas Corporation and a wholly
owned subsidiary of U.S. Automobile Acceptance Corporation,
formerly named Settlers Acceptance Corporation. The Company was
formed to purchase, collect and service retail installment sale
financing contracts created by the sale of used automobiles and
light trucks. The Company filed a Registration Statement in 1996
with the Securities and Exchange Commission and various state
security boards with respect to its offering of up to $24,000,000
of 11% Promissory Notes due December 31, 2001. The offering became
effective in late 1996. Subscriptions of $8,093,000 had been
received as of June 30, 1997.
The Company has incurred operating losses during the First and
Second Quarters of 1997 which resulted substantially from payment
of interest on investor notes prior to purchase of interest
yielding finance contracts from automobile dealers. This is
referred to as a negative interest spread. The Company's business
plan projects raising $1-2 million dollars of investor secured note
funds throughout the remainder of 1997 and projects purchasing $1-2
million per month of automobile finance contracts. The Company
expects to incur continued negative interest spread until the
initial purchase of the finance contract portfolio is substantially
completed in early to mid 1998. Accordingly, the Company expects
finance operations will become profitable in the second quarter of
1998.
Item 1. Legal Proceedings
None
Item 2. Changes in Securities
None
Item 3. Defaults Upon Senior Securities
None
Item 4. Submission of Matters to a Vote of Security Holders
None
Item 5. Other Information
None
Item 6. Exhibits and Reports on Form 8-K
None
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 thereunto duly authorized.
(Registrant) U. S. Automobile Acceptance
SNP-III, Inc.
Date: August 7, 1997 (Signature)
Michael R. Marshall, President
and Chief Financial Officer
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<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> JUN-30-1997
<CASH> 4,863,144
<SECURITIES> 0
<RECEIVABLES> 2,903,051
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 7,766,195
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 8,968,016
<CURRENT-LIABILITIES> 68,054
<BONDS> 0
0
0
<COMMON> 1,000
<OTHER-SE> (171,666)
<TOTAL-LIABILITY-AND-EQUITY> 8,968,016
<SALES> 2,526
<TOTAL-REVENUES> 82,899
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 40,795
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 169,197
<INCOME-PRETAX> (127,093)
<INCOME-TAX> (127,093)
<INCOME-CONTINUING> (127,093)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (127,093)
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