SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 10-K
(Mark One)
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
___ 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 33-31682
CAPITOL REVOLVING HOME EQUITY LOAN TRUST 1996-1
(Issuer in respect of the Capitol Revolving Home Equity Loan Asset Backed
Certificates, Series 1996-1)
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(Exact name of registrant as specified in its charter)
Maryland 52-0897004
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
8401 Connecticut Avenue
Chevy Chase, Maryland 20815
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (301) 986-7000
Securities registered pursuant to Section 12(b) of the Act:
None
Securities registered pursuant to Section 12(g) of the Act:
None
Indicate by check mark whether the registrant has (1) 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 ___
The registrant has no voting stock or class of common stock outstanding as
of the date of this report.
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INTRODUCTORY NOTE
Chevy Chase Bank, F.S.B. (the "Originator") is the originator, seller and
servicer under the Pooling and Servicing Agreement (the "Agreement"), dated
as of September 1, 1996, by and between the Originator and the Chase
Manhanttan Bank, as trustee, providing for the issuance of the Capitol
Revolving Home Equity Loan Asset Backed Certificates, Series 1996-1, (the
"Certificates"), and is the originator of the Capitol Revolving Home Equity
Loan Trust 1996-1 (the "Registrant"). The Certificates do not represent
obligations of, or any interest in, the Originator. The Originator has made
application for an exemption from certain reporting requirements. Pursuant
to a letter from the Commission's Office of Chief Counsel, Division of
Corporation Finance, dated February 6, 1991 granting the Originator's
application, the Originator is not required to respond to various items of
Form 10-K. Such items are designated herein as "Not Applicable."
PART I
Item 1. Business
Not Applicable.
Item 2. Properties
Not Applicable.
Item 3. Legal Proceedings
None.
Item 4. Submission of Matters to a Vote of Security Holders
None.
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PART II
Item 5. Market for Registrant's Common Equity and Related
Stockholder Matters
The Certificates representing investors' interests in the Trust are
represented by a single Certificate which is registered in the name of Cede &
Co., the nominee of the Depository Trust Company.
To the best knowledge of the Registrant, there is no established public
trading market for the 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
Not Applicable.
Item 9. Changes in and Disagreements with Accountants on
Accounting and Financial Disclosure
None.
PART III
Item 10.Directors and Executive Officers of the Registrant
Not Applicable.
Item 11.Executive Compensation
Not Applicable.
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Item 12.Security Ownership of Certain Beneficial Owners and Management
The Certificates representing investors' interests in the Trust are
represented by a single Certificate which is registered in the name of Cede &
Co., the nominee of the Depository Trust Company ("DTC"), and an investor
holding an interest in the Trust is not entitled to receive a Certificate
representing such interest except in certain limited circumstances.
Accordingly, Cede & Co., is the primary holder of record of the Certificates,
which it held on behalf of 4 brokers, dealers, banks and other direct
participants in the DTC system at December 31, 1996. Such direct participants
may hold Certificates for their own accounts or for the accounts of their
customers. At December 31, 1996, based on information furnished to the
Originator by DTC, the following direct DTC participants held positions in
Certificates representing interests in the Trust equal to or exceeding 5% of
the total face amount of the Certificate outstanding on that date:
Aggregate Amount of Percent of
Name Certificates Held Class
---- ----------------- -----
Bankers Trust Company $50,000,000 41.5%
Citicorp Services, Inc. $37,460,000 31.1%
Swiss American Securities, Inc. $30,000,000 24.9%
The address of each of the above participants is:
c/o The Depository Trust Company
55 Water Street
New York, NY 10041
Item 13. Certain Relationships and Related Transactions
None.
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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:
(i) Annual Report to Certificateholders for the year
ended December 31, 1996.
No proxy soliciting material has been or is expected to be distributed by the
Trust.
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<PAGE>
SIGNATURES
Pursuant to the requirements of Section 13 or 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.
CAPITOL REVOLVING HOME EQUITY LOAN TRUST 1996-1
By: Chevy Chase Bank, F.S.B.
Originator of the Trust and Servicer
Date: March 24, 1997 By: Stephen R. Halpin, Jr.
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Stephen R. Halpin, Jr.
Executive Vice President and
Chief Financial Officer
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<PAGE>
EXHIBIT 14(a)(i)
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YEARLY CERTIFICATEHOLDERS' STATEMENT (K)
CAPITOL REVOLVING HOME EQUITY LOAN TRUST 1996-1
Under subsection 5.3(b) of the Pooling and Servicing Agreement dated
as of September 1, 1996 by and between Chevy Chase Bank, F.S.B., a
federally chartered savings bank, as Transferor and Servicer, and The Chase
Manhattan Bank, as Trustee and Custodial Agent (hereinafter as such
agreement may have been, or may from time to time be, amended, supplemented
or otherwise modified, the "Pooling and Servicing Agreement"), Chevy Chase
Bank, F.S.B., as the Servicer, is required to prepare certain information
each month regarding current distributions on the Certificates and the
performance of the Capitol Revolving Home Loan Trust 1996-1 (the "Trust")
during the related Collection Period. The information that is required to
be prepared with respect to the distribution to Holders (the
"Certificateholders") of the Certificates for the calendar year ended
December 31, 1996 is set forth below. Certain of the information is
presented on the basis of an original principal amount of $1,000 per
Certificate, as the case may be. Capitalized terms used and not otherwise
defined herein have the meanings assigned them in the Pooling and Servicing
Agreement.
A. Information Regarding the Current Year
Distribution to Certificateholders
(Per $1,000 Original Principal Amount of a
Certificate).
1. The Investor Certificate distribution amount......$48.3736
2. The amount of Investor Certificate Interest
included in such distribution and the portion
thereof attributable to collections in
respect of the Mortgage Loans.....................$18.7121
..................................................$18.7121
3. The amount, if any, of any Unpaid Investor
Certificate Interest Shortfall included in
such distribution (and the amount of interest
theron)...........................................$0.00
..................................................$0.00
4. The amount, if any, of the remaining Unpaid
Investor Certificate Interest Shortfall
giving effect to such distribution................$0.00
5. The amount, if any, of principal included in
such distribution, Separately stating the
components thereof (including the portion
thereof attributable to collections in respect of
the Mortgage Loans)...............................$29.6615
6. The amount, if any, of the reimbursement of
previous Investor Loss Reduction Amount
included in such distribution......................$0.00
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7. The Accelerated Principal Distribution
Amount, if any.....................................$4.0328
8. The amount, if any, of the aggregate
unreimbursed Investor Loss Reduction
Amounts aftergiving effect to such distribution...$0.00
9. The Certificate Insurance Draw Amount, if
any...............................................$0.00
IN WITNESS WHEREOF, the undersigned has caused this Certificate to be
duly executed this 25th day of January, 1997.
CHEVY CHASE BANK, F.S.B.
as Servicer
By: John N. Sousane
_____________________________
John N. Sousane
Vice President
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