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): January 12, 1999
Block Mortgage Finance, Inc.
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction of incorporation)
333-65215 43-1758633
(Commission File Number) (IRS Employer Identification No.)
4435 Main Street, Suite 500, Kansas City, Missouri 64111
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (816) 932-4960
Not applicable
(Former name or former address, if changed since last report)
<PAGE>
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS
Exhibit 99 Computational Materials Relating to Block Mortgage Finance Asset
Backed Certificates, Series 1999-1.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
BLOCK MORTGAGE FINANCE, INC., as
Registrant
Date: January 14, 1999 By: /s/ Bret G. Wilson
_____________________________
Bret G. Wilson, President
<PAGE>
EXHIBIT INDEX
-------------
Exhibit No. Description
99 Computational Materials Relating to Block
Mortgage Finance Asset Backed Certificates,
Series 1999-1.
$400,000,000 (Approximate)
Block Mortgage Finance Asset Backed Certificates, Series 1999-1
Block Mortgage Finance, Inc.
Depositor
Block Financial Corporation
Master Servicer
Companion Mortgage Corporation
Seller
100% MBIA Guaranty
$[79,000,000] Class A-1 Certificates, [ ]% Fixed Rate
$[48,000,000] Class A-2 Certificates, [ ]% Fixed Rate
$[16,000,000] Class A-3 Certificates, [ ]% Fixed Rate
$[19,000,000] Class A-4 Certificates, [ ]% Fixed Rate
$[18,000,000] Class A-5 "NAS" Certificates, [ ]% Fixed Rate
$[165,000,000] Class A-6 Certificates, [ ]% Floating Rate
$[55,000,000] Class A-7 "NAS" Certificates, [ ]% Fixed Rate
Computational Materials
Neither the Depositor nor any of its affiliates make any representation as to
the accuracy or completeness of the information herein. The information herein
is preliminary, and will be superseded by the applicable Prospectus Supplement
and by any other information subsequently filed with the Securities and Exchange
Commission. The information addresses only certain aspects of the applicable
securities' characteristics and thus does not provide a complete assessment. As
such, the information may not reflect the impact of all structural
characteristics of the securities. The assumptions underlying the information,
including structure and collateral, may be modified from time to time to reflect
changed circumstances. The attached term sheet is not intended to be a
Prospectus and any investment decision with respect to the Certificates should
be made by you based solely upon all of the information contained in the final
Prospectus and Prospectus Supplement. Under no circumstances shall the
information presented constitute an offer to sell or the solicitation of an
offer to buy nor shall there be any sale of the securities in any jurisdiction
in which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of such jurisdiction.
The securities may not be sold nor may an offer to buy be accepted prior to the
delivery of a final Prospectus and Prospectus Supplement relating to the
securities. All information described herein is preliminary, limited in nature
and subject to completion or amendment. No representation is made that the above
referenced securities will actually perform as described in any scenario
presented. Neither the Seller, Depositor nor the Master Servicer has prepared,
reviewed or participated in the preparation hereof, is not responsible for the
accuracy hereof and has not authorized its dissemination. A final Prospectus and
Prospectus Supplement may be obtained by contacting Salomon Smith Barney's
Syndicate Desk at (212) 783-3727.
<PAGE>
25
$400,000,000 Block Mortgage Finance Asset Backed Certificates, Series 1999-1
- ------------------------------------------------------------------------------
Certificates $[79,000,000] Class A-1 Certificates, Fixed Rate
$[48,000,000] Class A-2 Certificates, Fixed Rate
$[16,000,000] Class A-3 Certificates, Fixed Rate
$[19,000,000] Class A-4 Certificates, Fixed Rate
$[18,000,000] Class A-5 "NAS" Certificates, Fixed Rate
$[165,000,000] Class A-6 Certificates, Floating Rate
$[55,000,000] Class A-7 "NAS" Certificates, Fixed Rate
- ------------------------------------------------------------------------------
Title of Securities: Block Mortgage Finance Asset Backed
Certificates, Series 1999-1 (collectively, the
"Certificates").
Description of This MBIA-wrapped transaction is supported by
Transaction: two groups of collateral, each containing
mortgage loans secured by one-to-four family residential
properties. The Fixed Rate Group consists of fixed-rate,
first or second lien, mortgage loans. The Adjustable Rate
Group consists of adjustable rate first lien, mortgage
loans. The aggregate Cut-off Date principal balance of
the mortgage loans is expected to be approximately
$180,000,000 for the Fixed Rate Group and $223,580,000
for the Adjustable Rate Group.
Prepayment Assumption: This transaction will be priced to call using
115% PPC and 28% CPR for the fixed and
adjustable rate collateral, respectively.
Pricing Date(1): January 14, 1999.
Cut-Off Date: December 31, 1998 for the Simple Interest Loans.
January 1, 1999 for the Actuarial Loans.
Settlement Date(1): January 21, 1999.
Clean-up Call: 10% clean-up call followed by a mandatory
auction call.
Form of Certificates: Book entry form, same day funds (through DTC,
Euroclear and CEDEL).
Seller: Companion Mortgage Corporation.
Master Servicer: Block Financial Corporation.
Servicing Fee: 50 basis points per annum.
Trustee: The First National Bank of Chicago.
Distribution Date: The 25th day of each month or, if such day is
not a business day, the next succeeding
business day, beginning in February 1999.
_____________________
(1) Subject to change.
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
1
<PAGE>
Interest Accrual Interest will accrue on the A-1 through A-5 and A-7 Cer-
Period: tificates during the calendar month preceding the pay-
ment date based on a 30/360 day count. The A-1 through
A-5 and A-7 Certificates will settle with accrued
interest from January 1, 1999. Interest will accrue
on the A-6 Certificates from Distribution Date to
Distribution Date based on a Actual/360 day count. The
A-6 Certificates will settle flat.
Interest/Coupon Interest will be paid at the applicable Pass-
Step-Up: Through Rate for each Certificate until the Distri-
bution Date immediately following the Optional Term-
ination Date. If the 10% clean-up call option is not
exercised, then, as an incentive to exercise the call,
(i) the Class A-4 and A-5 pass-through rates will
increase by 0.75%, and (ii) the Class A-6 Certificate
spread to LIBOR doubles.
Class A-5 and A-7 The Class A-5 and A-7 fixed rate NAS classes are
Fixed Rate NAS backed by the fixed rate and adjustable rate loans,
Certificates: respectively, and pay according to the following schedule
of each Certificates' pro rata share:
Class A-5 Class A-7
Months 0 - 36: 0.0% Months 0 - 19: 0.0%
Months 37 - 60: 45.0% Months 20 - 60: 500.0%
Months 61 - 72: 80.0% Months 61+: all principal
Months 73 - 84:100.0%
Months 85+: 300.0%
Class A-6 Available The Class A-6 Certificates pay LIBOR plus a spread
Funds Cap: capped at the weighted average coupon on the adjustable
rate loans in a given month, less approximately
0.75% per annum prior to the 7th payment date, and less
approximately 1.25% per annum thereafter.
Certificate Ratings: The Certificates will be rated AAA/Aaa by Standard
& Poor's and Moody's, respectively.
Certificate Insurer: MBIA Insurance Corporation ("MBIA"). MBIA's claims-
paying ability is rated AAA/Aaa by Standard and
Poor's and Moody's. Timely interest and ultimate
principal payments on the Certificates will be 100%
guaranteed by MBIA.
ERISA Considerations: All of the Certificates will be ERISA eligible. How-
ever, investors should consult with their counsel with
respect to the consequences under ERISA and the Internal
Revenue Code of the Plan's acquisition and ownership of
such Certificates.
Taxation: REMIC for federal income tax purposes. The Certificates
Legal Investment: will not be SMMEA eligible.
Credit Enhancement: 1) 100% wrap from MBIA guarantees timely payment
of interest and ultimate payment of principal;
2) Overcollateralization and Crosscollateralization
mechanisms.
Prospectus: The Certificates are being offered pursuant to a
Prospectus supplemented by a Prospectus Supplement
(together, the "Prospectus"). Complete information
with respect to the Certificates and the collateral
securing them is contained in the Prospectus. The
information herein is qualified in its entirety by the
information appearing in the Prospectus. To the extent
that the foregoing is inconsistent with the Prospectus,
the Prospectus shall govern in all respects. Sales of
the Certificates may not be consummated unless the
purchaser has received the Prospectus.
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
2
<PAGE>
Principal Distributions
Amounts distributable to holders of Group 1 Certificates as principal shall be
allocated on each Distribution Date in the following amounts and in the
following order of priority:
(i.) to holders of the Class A-5 Certificates, in an amount equal to the
Class A-5 Lockout Distribution Amount;
(ii.)to holders of the Class A-1 Certificates, until the Class Certificate
Balance of the Class A-1 Certificates is reduced to zero;
(iii.)to holders of the Class A-2 Certificates, until the Class
Certificate Balance of the Class A-2 Certificates is reduced to zero;
(iv.)to holders of the Class A-3 Certificates, until the Class Certificate
Balance of the Class A-3 Certificates is reduced to zero;
(v.) to holders of the Class A-4 Certificates, until the Class Certificate
Balance of the Class A-4 Certificates is reduced to zero;
(vi.)to holders of the Class A-5 Certificates, until the Class Certificate
Balance of the Class A-5 Certificates is reduced to zero;
The Class A-5 Lockout Distribution Amount, which may never be more than the
Class Certificate Balance of the Class A-5 Certificates, is zero until the
Distribution Date in February 2002. From and after that date, distributions made
on the Class A-5 Lockout Distribution Amount will result in the accelerated
reduction of the Class Certificate Balance of the Class A-5 Certificates.
Amounts distributable to holders of Group 2 Certificates as principal shall be
allocated on each Distribution Date in the following amounts and in the
following order of priority:
(i.) to holders of the Class A-7 Certificates, in an amount equal to the
Class A-7 Lockout Distribution Amount;
(ii.)to holders of the Class A-6 Certificates, until the Class Certificate
Balance of the Class A-6 Certificates is reduced to zero;
(iii.)to holders of the Class A-7 Certificates, until the Class
Certificate Balance of the Class A-7 Certificates is reduced to zero;
The Class A-7 Lockout Distribution Amount, which may never be more than the
Class Certificate Balance of the Class A-7 Certificates, is zero until the
Distribution Date in September 2000. From and after that date, distributions
made on the Class A-7 Lockout Distribution Amount will result in the accelerated
reduction of the Class Certificate Balance of the Class A-7 Certificates.
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
3
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Collateral Summary (Group I)
Principal Amount $168,901,323.41
Average Loan Balance $53,432.88
Max Loan Size $439,160.02
Lien Status 88.15% 1st / 11.85% 2nd
Loan Type Non-Balloon Contracts 58.88%
Balloon Contracts 41.12%
Weighted Avg. LTV 73.74%
Weighted Avg. CLTV 81.22%
Coupon Range 7.00% - 15.89%
Weighted Average Coupon 11.275%
Wtd. Ave. Rem. Mat. 236.57 months
Weighted Ave. Seasoning 3.73 months
Top State Concentrations 17.10% LA, 12.12% FL, 7.23% OH,
6.07% IL, 5.40% GA
----------------------- ------------------------
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
4
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Remaining Principal Balances (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
$9,725.31 - $24,999.99 567 $10,677,485.55 6.32 %
25,000.00 - 34,999.99 471 14,317,400.38 8.48
35,000.00 - 44,999.99 538 21,571,395.75 12.77
45,000.00 - 54,999.99 427 21,287,421.56 12.60
55,000.00 - 64,999.99 357 21,354,674.79 12.64
65,000.00 - 74,999.99 227 15,813,655.76 9.36
75,000.00 - 84,999.99 162 12,969,591.52 7.68
85,000.00 - 94,999.99 106 9,491,307.26 5.62
95,000.00 - 104,999.99 89 8,866,261.85 5.25
105,000.00 - 114,999.99 59 6,485,198.21 3.84
115,000.00 - 124,999.99 32 3,836,010.88 2.27
125,000.00 - 134,999.99 23 2,967,088.64 1.76
135,000.00 - 144,999.99 27 3,785,579.52 2.24
145,000.00 - 154,999.99 11 1,641,065.33 0.97
155,000.00 - 164,999.99 11 1,748,359.78 1.04
165,000.00 - 174,999.99 11 1,862,686.94 1.10
175,000.00 - 184,999.99 3 535,758.66 0.32
185,000.00 - 194,999.99 5 948,925.64 0.56
195,000.00 - 204,999.99 2 403,833.85 0.24
205,000.00 - 214,999.99 6 1,262,147.43 0.75
215,000.00 - 224,999.99 5 1,096,408.96 0.65
225,000.00 - 234,999.99 3 696,513.56 0.41
235,000.00 - 244,999.99 4 960,168.84 0.57
245,000.00 - 254,999.99 5 1,247,914.64 0.74
255,000.00 - 264,999.99 1 256,391.28 0.15
265,000.00 - 274,999.99 1 269,797.79 0.16
275,000.00 - 284,999.99 4 1,116,996.12 0.66
285,000.00 - 294,999.99 1 292,500.00 0.17
305,000.00 - 439,160.02 3 1,138,782.92 0.67
- --------------------------
===============================================
Total: 3,161 $168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
5
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Mortgage Rates (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
7.000% - 7.000% 1 $42,174.04 0.02 %
7.001 - 7.250 1 33,468.30 0.02
7.251 - 7.500 4 230,950.92 0.14
7.501 - 7.750 7 332,849.68 0.20
7.751 - 8.000 10 609,048.60 0.36
8.001 - 8.250 12 951,097.45 0.56
8.251 - 8.500 13 822,109.81 0.49
8.501 - 8.750 24 1,652,975.91 0.98
8.751 - 9.000 32 2,044,231.15 1.21
9.001 - 9.250 31 1,819,906.52 1.08
9.251 - 9.500 70 4,445,332.98 2.63
9.501 - 9.750 82 5,389,595.83 3.19
9.751 - 10.000 144 8,528,658.63 5.05
10.001 - 10.250 117 6,786,508.85 4.02
10.251 - 10.500 201 13,006,984.91 7.70
10.501 - 10.750 197 13,171,902.20 7.80
10.751 - 11.000 245 13,561,010.60 8.03
11.001 - 11.250 212 11,544,286.23 6.83
11.251 - 11.500 209 11,001,487.57 6.51
11.501 - 11.750 251 13,840,811.71 8.19
11.751 - 12.000 263 12,875,528.41 7.62
12.001 - 12.250 220 11,715,672.58 6.94
12.251 - 12.500 190 9,358,998.90 5.54
12.501 - 12.750 154 8,382,296.40 4.96
12.751 - 13.000 146 6,257,588.49 3.70
13.001 - 13.250 78 3,117,692.51 1.85
13.251 - 13.500 56 2,055,462.29 1.22
13.501 - 13.750 47 1,579,665.05 0.94
13.751 - 14.000 65 1,668,362.60 0.99
14.001 - 14.250 17 646,121.75 0.38
14.251 - 14.500 11 351,392.78 0.21
14.501 - 14.750 7 200,531.05 0.12
14.751 - 15.000 38 719,882.51 0.43
15.001 - 15.250 4 117,382.62 0.07
15.501 - 15.750 1 20,984.07 0.01
15.751 - 15.890 1 18,369.51 0.01
--------------------
===============================================
Total: 3,161 $ 168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
6
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Months Remaining to Scheduled Maturity (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Months Loans Principal Balance Pool
- -------------------------------------------------------------------------
47 - 59 2 $43,361.29 0.03 %
60 - 119 66 1,661,158.03 0.98
120 - 179 1,858 94,162,866.80 55.75
180 - 239 425 20,859,485.16 12.35
240 - 299 7 334,116.03 0.20
300 - 359 774 49,754,920.45 29.46
360 - 360 29 2,085,415.65 1.23
- --------------------------
===============================================
Total 3,161 $168,901,323.41 100 %
===============================================
Distribution of Loan Purpose (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Refinance 2,348 $120,963,540.38 71.62 %
Purchase 813 47,937,783.03 28.38
- --------------------------
===============================================
Total 3,161 $168,901,323.41 100 %
===============================================
Distribution of Occupancy Status (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Non-Owner 266 $11,767,074.12 6.97 %
Owner 2,895 157,134,249.29 93.03
- -------------------------------------------------------------------------
Total: 3,161 $ 168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
7
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Distribution of Property Type (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
2-4 Family 136 $7,760,233.40 4.59 %
Condo 33 1,163,677.53 0.69
Unknown 7 264,677.71 0.16
Second Home 3 117,920.89 0.07
Manufactured Home 114 6,240,168.90 3.69
PUD 27 1,690,984.92 1.00
Single Family 2,841 151,663,660.06 89.79
- -------------------------------------------------------------------------
Total: 3,161 $ 168,901,323.41 100 %
===============================================
Lien Position (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
1 2,466 $148,891,391.75 88.15 %
2 695 20,009,931.66 11.85
- --------------------------
===============================================
Total: 3,161 $ 168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
8
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Geographic Distribution (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Arizona 73 $4,043,287.74 2.39 %
Arkansas 29 1,695,702.64 1.00
California 37 2,202,745.29 1.30
Colorado 74 4,364,514.95 2.58
Connecticut 39 2,201,143.92 1.30
Delaware 1 51,982.06 0.03
District of Columbia 4 690,803.09 0.41
Florida 373 20,468,841.03 12.12
Georgia 167 9,123,837.83 5.40
Idaho 1 35,534.56 0.02
Illinois 165 10,247,790.47 6.07
Indiana 157 7,696,957.62 4.56
Iowa 17 861,203.83 0.51
Kansas 1 97,669.93 0.06
Kentucky 96 5,135,125.89 3.04
Louisiana 640 28,873,966.34 17.10
Maryland 24 1,113,537.96 0.66
Michigan 128 6,956,057.22 4.12
Mississippi 195 8,480,060.14 5.02
Missouri 51 2,917,349.77 1.73
Montana 1 14,988.09 0.01
Nevada 15 658,688.36 0.39
New Jersey 18 1,776,329.29 1.05
New Mexico 4 236,807.66 0.14
New York 1 50,161.66 0.03
North Carolina 127 7,386,193.25 4.37
Ohio 210 12,207,565.22 7.23
Oklahoma 7 228,237.16 0.14
Oregon 1 103,266.75 0.06
Pennsylvania 50 2,412,603.22 1.43
South Carolina 134 7,586,792.38 4.49
Tennessee 103 5,387,865.90 3.19
Texas 41 2,613,949.89 1.55
Utah 40 2,174,792.34 1.29
Virginia 105 6,992,475.16 4.14
Washington 13 905,780.97 0.54
West Virginia 2 114,135.99 0.07
Wisconsin 17 792,577.84 0.47
- --------------------------
===============================================
Total: 3,161 $ 168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
9
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Calendar Year of Origination (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
1997 20 $1,043,612.57 0.62 %
1998 3,141 167,857,710.84 99.38
- -------------------------------------------------------------------------
Total: 3,161 $ 168,901,323.41 100 %
===============================================
Combined Loan-to-Value Ratios (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
10% - 10% 1 $10,890.04 0.01 %
10 - 20 4 86,601.20 0.05
20 - 30 16 403,039.84 0.24
30 - 40 28 874,624.73 0.52
40 - 50 64 2,103,338.05 1.25
50 - 60 93 3,784,930.28 2.24
60 - 70 266 12,716,280.64 7.53
70 - 80 1,058 56,541,520.47 33.48
80 - 90 1,467 87,767,037.67 51.96
90 - 100 164 4,613,060.49 2.73
-----------------
===============================================
Total: 3,161 $ 168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
10
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Junior Lien Ratios (Group I)(1)
Number of Percentage of
Mortgage Aggregate Unpaid Mortgage Pool
Loans Principal Balance
- -------------------------------------------------------------------------
5.01% - 10.00% 10 $169,323.94 0.10 %
10.01 - 15.00 116 2,495,401.55 1.48
15.01 - 20.00 177 4,530,011.50 2.68
20.01 - 25.00 121 3,322,544.09 1.97
25.01 - 30.00 91 2,866,268.02 1.70
30.01 - 35.00 52 1,604,975.50 0.95
35.01 - 40.00 51 2,157,941.82 1.28
40.01 - 45.00 29 1,148,654.33 0.68
45.01 - 50.00 19 668,093.19 0.40
50.01 - 55.00 10 338,184.79 0.20
55.01 - 60.00 5 193,203.36 0.11
60.01 - 65.00 5 253,946.44 0.15
65.01 - 70.00 1 35,150.35 0.02
70.01 - 75.00 3 84,299.42 0.05
80.01 - 85.00 2 56,699.04 0.03
85.01 - 90.00 2 27,462.41 0.02
95.01 - 97.14 1 57,771.91 0.03
- --------------------------
===============================================
Total: 695 $20,009,931.66 11.85 %
===============================================
Product Type (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Fixed Balloon 1,023 $69,447,585.79 41.12 %
Fixed- 5 Year 1 0.01
11,739.68
Fixed- 10 Year 66 0.98
1,661,158.03
Fixed- 15 Year 924 17.89
30,208,175.65
Fixed- 20 Year 339 9.16
15,470,212.13
Fixed- 25 Year 5 0.16
262,116.03
Fixed- 30 Year 803 30.69
51,840,336.10
- --------------------------
===============================================
Total: 3,161 $ 168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
11
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Prepayment Penalty (Group I)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
1 Year 75 4,088,074.85 2.42 %
2 Year 361 21,739,653.53 12.87
3 Year 1,373 76,184,847.92 45.11
4 Year 1 31,860.57 0.02
5 Year 382 17,520,041.88 10.37
6 Months 1 97,669.93 0.06
No Prepayment Penalty 968 49,239,174.73 29.15
- -------------------------------------------------------------------------
Total: 3,161 $ 168,901,323.41 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
12
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Collateral Summary (Group II)
Principal Amount $210,691,175.36
Average Loan Balance $94,522.73
Max Loan Size $665,212.18
Lien Status 100% first liens
Loan Type Non-Balloon Contracts 94.75%
Balloon Contracts 5.25%
Weighted Avg. LTV 83.65%
Coupon Range 6.75% - 14.40%
Weighted Average Coupon 10.097%
Wtd. Ave. Rem. Mat. 345.89 months
Weighted Ave. Seasoning 4.18 months
Top State Concentrations 12.78% FL, 10.87% CO, 10.01%
GA, 9.08% OH, 7.03% IL
------------------------------- ---------------------------------
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
13
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Remaining Principal Balances (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
$14,264.16 - $24,999.99 8 $177,191.79 0.08 %
25,000.00 - 34,999.99 25 773,428.25 0.37
35,000.00 - 44,999.99 164 6,746,710.68 3.20
45,000.00 - 54,999.99 274 13,845,973.40 6.57
55,000.00 - 64,999.99 309 18,557,515.45 8.81
65,000.00 - 74,999.99 247 17,250,624.04 8.19
75,000.00 - 84,999.99 179 14,277,045.73 6.78
85,000.00 - 94,999.99 195 17,525,808.58 8.32
95,000.00 - 104,999.99 147 14,648,370.31 6.95
105,000.00 - 114,999.99 134 14,732,114.31 6.99
115,000.00 - 124,999.99 124 14,827,626.99 7.04
125,000.00 - 134,999.99 82 10,672,857.87 5.07
135,000.00 - 144,999.99 59 8,266,916.29 3.92
145,000.00 - 154,999.99 53 7,966,815.26 3.78
155,000.00 - 164,999.99 45 7,201,299.00 3.42
165,000.00 - 174,999.99 23 3,882,729.02 1.84
175,000.00 - 184,999.99 22 3,948,583.46 1.87
185,000.00 - 194,999.99 22 4,183,702.10 1.99
195,000.00 - 204,999.99 29 5,798,358.79 2.75
205,000.00 - 214,999.99 13 2,723,621.35 1.29
215,000.00 - 224,999.99 8 1,757,241.20 0.83
225,000.00 - 234,999.99 6 1,373,519.05 0.65
235,000.00 - 244,999.99 9 2,174,312.25 1.03
245,000.00 - 254,999.99 3 742,303.24 0.35
255,000.00 - 264,999.99 5 1,291,681.43 0.61
265,000.00 - 274,999.99 4 1,071,968.75 0.51
275,000.00 - 284,999.99 7 1,959,253.89 0.93
285,000.00 - 294,999.99 6 1,744,316.89 0.83
295,000.00 - 304,999.99 6 1,798,196.95 0.85
305,000.00 - 665,212.18 21 8,771,089.04 4.16
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
14
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Mortgage Rates (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
6.750% - 6.750% 1 $65,627.78 0.03 %
6.751 - 7.000 3 297,006.73 0.14
7.001 - 7.250 3 365,154.29 0.17
7.251 - 7.500 9 949,026.38 0.45
7.501 - 7.750 21 2,513,841.35 1.19
7.751 - 8.000 46 5,819,847.40 2.76
8.001 - 8.250 33 3,393,671.21 1.61
8.251 - 8.500 46 5,883,693.41 2.79
8.501 - 8.750 68 8,205,716.33 3.89
8.751 - 9.000 95 11,135,235.54 5.29
9.001 - 9.250 96 9,090,652.14 4.31
9.251 - 9.500 142 15,238,404.85 7.23
9.501 - 9.750 160 15,773,971.06 7.49
9.751 - 10.000 208 21,413,014.67 10.16
10.001 - 10.250 222 19,845,046.38 9.42
10.251 - 10.500 174 16,715,206.92 7.93
10.501 - 10.750 193 16,797,523.03 7.97
10.751 - 11.000 182 15,590,969.80 7.40
11.001 - 11.250 137 11,491,820.78 5.45
11.251 - 11.500 137 11,258,074.80 5.34
11.501 - 11.750 71 5,363,626.97 2.55
11.751 - 12.000 73 5,876,922.37 2.79
12.001 - 12.250 48 3,951,696.16 1.88
12.251 - 12.500 25 1,508,152.07 0.72
12.501 - 12.750 19 1,248,579.46 0.59
12.751 - 13.000 8 540,722.01 0.26
13.001 - 13.250 5 204,899.39 0.10
13.251 - 13.500 1 38,415.82 0.02
13.751 - 14.000 1 42,129.37 0.02
14.001 - 14.250 1 37,665.69 0.02
14.251 - 14.400 1 34,861.20 0.02
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
15
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Gross Margin (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
3.000% - 3.000% 3 $256,633.91 0.12 %
3.501 - 4.000 3 221,410.69 0.11
4.001 - 4.500 21 2,510,814.50 1.19
4.501 - 5.000 104 12,286,411.80 5.83
5.001 - 5.500 103 9,862,716.76 4.68
5.501 - 6.000 294 27,376,544.14 12.99
6.001 - 6.500 407 38,130,207.66 18.10
6.501 - 7.000 368 33,003,351.55 15.66
7.001 - 7.500 332 30,526,599.98 14.49
7.501 - 8.000 254 24,732,285.29 11.74
8.001 - 8.500 205 19,777,541.72 9.39
8.501 - 9.000 101 8,794,019.63 4.17
9.001 - 9.500 28 2,807,600.07 1.33
9.501 - 10.000 5 343,005.45 0.16
10.001 - 10.250 1 62,032.21 0.03
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
16
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Next Mortgage Rate Adjustment (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Jan-99 1 $82,298.11 0.04 %
Mar-99 7 690,317.13 0.33
Apr-99 10 1,364,654.63 0.65
May-99 15 1,958,605.28 0.93
Jun-99 26 3,186,196.14 1.51
Jul-99 29 3,336,437.05 1.58
Aug-99 27 3,201,638.36 1.52
Sep-99 32 3,361,469.98 1.60
Oct-99 24 2,231,463.69 1.06
Nov-99 14 1,625,948.80 0.77
Dec-99 9 572,978.18 0.27
Jan-00 5 353,593.07 0.17
Feb-00 6 621,892.05 0.30
Mar-00 33 4,119,250.06 1.96
Apr-00 76 6,863,732.89 3.26
May-00 174 15,741,769.31 7.47
Jun-00 260 24,501,743.53 11.63
Jul-00 163 15,507,393.48 7.36
Aug-00 220 19,835,454.91 9.41
Sep-00 262 23,894,028.83 11.34
Oct-00 204 16,965,485.49 8.05
Nov-00 135 10,919,019.13 5.18
Dec-00 37 2,577,796.88 1.22
Jan-01 2 306,225.33 0.15
Mar-01 4 552,337.50 0.26
Apr-01 8 415,030.63 0.20
May-01 20 3,152,952.55 1.50
Jun-01 33 3,675,490.13 1.74
Jul-01 69 7,066,936.82 3.35
Aug-01 142 14,468,652.20 6.87
Sep-01 101 10,008,027.09 4.75
Oct-01 23 2,848,739.60 1.35
Nov-01 10 930,000.34 0.44
Dec-01 3 185,618.42 0.09
Mar-03 1 238,903.27 0.11
Apr-03 3 223,848.82 0.11
May-03 2 154,839.92 0.07
Jun-03 5 389,538.19 0.18
Jul-03 11 798,607.89 0.38
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
17
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Next Mortgage Rate Adjustment (Group II) (continued)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Aug-03 7 660,832.29 0.31
Sep-03 9 642,682.37 0.31
Oct-03 7 458,745.02 0.22
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
Months Remaining to Scheduled Maturity (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Months Loans Principal Balance Pool
- -------------------------------------------------------------------------
166 - 179 116 $11,530,790.82 5.47 %
180 - 239 3 149,667.21 0.07
300 - 359 2,028 192,710,814.91 91.47
360 - 360 82 6,299,902.42 2.99
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
Distribution of Loan Purpose (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Refinance 1,135 $112,218,455.92 53.26 %
Purchase 1,094 98,472,719.44 46.74
- -------------------------------------------------------------------------
Total 2,229 $ 210,691,175.36 100 %
===============================================
Distribution of Occupancy Status (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Non-Owner 148 $10,289,416.38 4.88 %
Owner 2,081 200,401,758.98 95.12
- -------------------------------------------------------------------------
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
18
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Distribution of Property Type (Group II)
Number of Aggregate Unpaid Percentage
Mortgage Principal Balance of Mortgage
Loans Pool
- -------------------------------------------------------------------------
2-4 Family 82 7,095,163.57 3.37 %
Condo 16 1,015,013.66 0.48
Unknown 11 972,785.49 0.46
Manufactured Home 35 2,547,576.73 1.21
PUD 32 4,165,142.79 1.98
Second Home 2 182,624.60 0.09
Single Family 2,050 194,583,481.76 92.35
Townhome 1 129,386.76 0.06
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
Lien Priority (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
1 2,229 $210,691,175.36 100.00 %
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
19
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Geographical Distribution (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
Arizona 136 $13,611,956.74 6.46 %
Arkansas 3 297,395.05 0.14
California 19 3,641,231.87 1.73
Colorado 180 22,899,396.16 10.87
Connecticut 30 2,421,846.10 1.15
District of Columbia 2 160,494.66 0.08
Florida 335 26,919,169.71 12.78
Georgia 208 21,090,035.32 10.01
Idaho 9 1,173,418.73 0.56
Illinois 146 14,816,029.92 7.03
Indiana 94 7,463,108.78 3.54
Iowa 26 1,767,156.38 0.84
Kansas 3 407,767.30 0.19
Kentucky 77 6,475,943.47 3.07
Louisiana 50 4,183,336.68 1.99
Maryland 15 2,014,230.29 0.96
Michigan 107 10,025,516.11 4.76
Minnesotta 2 179,423.24 0.09
Mississippi 37 2,774,203.22 1.32
Missouri 37 3,270,353.69 1.55
Nebraska 1 89,685.54 0.04
Nevada 25 3,477,653.73 1.65
New Hampshire 1 517,939.56 0.25
New Jersey 24 3,604,565.08 1.71
North Carolina 45 4,121,658.08 1.96
Ohio 247 19,130,024.17 9.08
Oklahoma 1 24,977.10 0.01
Pennsylvania 12 823,799.78 0.39
South Carolina 45 4,469,932.01 2.12
Tennessee 67 5,970,725.54 2.83
Texas 18 1,326,994.76 0.63
Utah 60 7,619,340.49 3.62
Virginia 137 10,781,453.89 5.12
Washington 9 1,148,529.95 0.55
West Virginia 2 232,621.46 0.11
Wisconsin 19 1,759,260.80 0.83
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
20
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Calendar Year of Origination (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
1997 11 $1,046,438.98 0.50 %
1998 2,218 209,644,736.38 99.50
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
Combined Loan-to-Value Ratio (Group II)
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- -------------------------------------------------------------------------
28.8500% - 30.0000% 1 $44,161.85 0.02 %
30.0001 - 40.0000 5 248,389.55 0.12
40.0001 - 50.0000 10 694,358.75 0.33
50.0001 - 60.0000 17 1,314,427.04 0.62
60.0001 - 70.0000 104 9,468,456.45 4.49
70.0001 - 80.0000 713 64,782,558.21 30.75
80.0001 - 90.0000 1,357 132,325,476.42 62.81
90.0001 - 100.0000 22 1,813,347.09 0.86
- --------------------------
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
21
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Product Type (Group II)
<TABLE>
<CAPTION>
Number of Percentage
Mortgage Aggregate Unpaid of Mortgage
Loans Principal Balance Pool
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
1 Year Treasury 15 Year 1 $77,886.62 0.04 %
1 Year Treasury 15 Year Balloon, 30 Year Amort 6 $613,853.67 0.29
1 Year Treasury 2 Year Fixed, 28 Year Adj 7 $738,377.29 0.35
1 Year Treasury 3 Year Fixed, 27 Year Adj 61 $6,942,540.63 3.30
1 Year Treasury 30 Year 170 $19,062,299.20 9.05
1 Year Treasury 5 Year Fixed, 25 Year Adj 43 $3,442,596.23 1.63
3 Year Treasury 3 Year Fixed, 27 Year Adj 24 $3,103,351.30 1.47
6ML 1 Year Fixed, 29 Year Adj 12 $1,273,401.74 0.60
6ML 15 Year Balloon, 30 Year Amort 104 $10,456,971.29 4.96
6ML 2 Year Fixed, 13 Year Adj 4 $313,774.18 0.15
6ML 2 Year Fixed, 28 Year Adj 1,480 $132,528,434.44 62.90
6ML 3 Year Fixed, 12 Year Adj 1 $68,305.06 0.03
6ML 3 Year Fixed, 17 Year Adj 3 $149,667.21 0.07
6ML 3 Year Fixed, 27 Year Adj 311 $31,794,314.96 15.09
6ML 5 Year Fixed, 25 Year Adj 2 $125,401.54 0.06
- -------------------------------------------------
===============================================
Total: 2,229 $210,691,175.36 100 %
===============================================
</TABLE>
Balloon (Group II)
Number of Aggregate Unpaid Percentage
Mortgage Principal Balance of Mortgage
Loans Pool
- -------------------------------------------------------------------------
Non-Balloon 2,119 $199,620,350.40 94.75 %
Balloon 110 11,070,824.96 5.25
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
22
<PAGE>
Preliminary Mortgage Pools
The information herein regarding the collateral represents the Mortgage Pool as
of December 31, 1998. Certain additions and deletions have been made to the
Mortgage Pool, and further additions and deletions will be made prior to the
Settlement Date. Any additions or deletions are not anticipated to have a
material impact on the information provided below. The information herein will
be superseded by the information regarding the collateral set forth in the
Prospectus.
Prepayment Penalty (Group II)
Number of Aggregate Unpaid Percentage
Mortgage Principal Balance of Mortgage
Loans Pool
- -------------------------------------------------------------------------
1 Year 88 11,600,165.75 5.51 %
2 Year 873 81,046,512.31 38.47
3 Year 629 52,812,048.14 25.07
4 Year 5 401,815.65 0.19
5 Year 37 2,654,164.41 1.26
6 Months 3 407,767.30 0.19
No Prepayment Penalty 594 61,768,701.80 29.32
===============================================
Total: 2,229 $ 210,691,175.36 100 %
===============================================
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
23
<PAGE>
Weighted Average Life Sensitivity Tables
Call (at a Price of 100)
0% PPC 50% PPC 100% PPC 115% PPC 150% PPC 200% PPC
0% CPR 15% CPR 25% CRP 28% CPR 35% CPR 50% CRP
A-1
Yield 6.265 6.091 5.031 5.890 5.799 5.677
Average Life 9.05 1.92 1.11 1.00 0.83 0.67
Duration 6.23 1.72 1.04 0.94 0.78 0.64
First Print 09/25/99 02/25/99 02/25/99 02/25/99 02/25/99 02/25/99
Last Prin 09/25/13 05/25/03 04/25/01 01/25/01 08/25/00 04/25/00
Payment Window 176 52 27 24 19 15
A-2
Yield 6.411 6.379 6.314 6.295 6.248 6.182
Average Life 15.40 7.28 3.46 2.99 2.26 1.69
Duration 9.54 5.58 3.01 2.64 2.04 1.56
First Prin 09/25/13 05/25/03 04/25/01 01/25/01 08/25/00 04/25/00
Last Prin 06/25/18 08/25/10 03/25/04 06/25/03 04/25/02 04/25/01
Payment Window 58 88 36 30 21 13
A-3
Yield 6.572 6.559 6.523 6.509 6.477 6.422
Average Life 22.73 13.41 6.33 5.25 3.80 2.59
Duration 11.53 8.69 5.03 4.32 3.27 2.31
First Prin 06/25/18 08/25/10 03/25/04 06/25/03 04/25/02 04/25/01
Last Prin 07/25/24 09/25/13 05/25/07 05/25/05 06/25/03 01/25/02
Payment Window 74 38 39 24 15 10
A-4
Yield 7.033 7.020 6.999 6.990 6.967 6.924
Average Life 27.49 14.68 8.75 7.49 5.45 3.66
Duration 11.91 8.93 6.36 5.66 4.40 3.13
First Prin 07/25/24 09/25/13 05/25/07 05/25/05 06/25/03 01/25/02
Last Prin 05/25/27 09/25/13 10/25/07 09/25/06 11/25/04 12/25/02
Payment Window 35 1 6 17 18 12
A-5-NAS
Yield 6.514 6.497 6.485 6.482 6.468 6.438
Average Life 11.90 8.14 6.67 6.29 5.26 3.84
Duration 7.95 6.04 5.21 4.99 4.32 3.31
First Prin 02/25/02 02/25/02 02/25/02 02/25/02 02/25/02 02/25/02
Last Prin 09/25/13 09/25/13 10/25/07 09/25/06 11/25/04 12/25/02
Payment Window 140 140 69 56 34 11
A-6-ARM
Yield 5.693 5.691 5.688 5.688 5.688 5.676
Average Life 22.43 5.59 3.04 2.60 1.84 0.84
Duration 11.81 4.23 2.54 2.21 1.62 0.78
First Prin 02/25/99 02/25/99 02/25/99 02/25/99 02/25/99 02/25/99
Last Prin 05/25/27 09/25/13 10/25/07 09/25/06 11/25/04 12/25/02
Payment Window 340 176 105 92 70 47
A-7-NAS
Yield 6.453 6.337 6.314 6.310 6.305 6.316
Average Life 12.20 2.86 2.48 2.43 2.37 2.51
Duration 8.00 2.52 2.22 2.18 2.13 2.24
First Prin 09/25/00 09/25/00 09/25/00 09/25/00 09/25/00 09/25/00
Last Prin 05/25/16 04/25/04 02/25/04 02/25/04 02/25/04 02/25/02
Payment Window 189 44 42 42 42 28
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
24
<PAGE>
Weighted Average Life Sensitivity Tables
Call (at a Price of 100)
0% PPC 50% PPC 100% PPC 115% PPC 150% PPC 200% PPC
0% CPR 15% CPR 25% CRP 28% CPR 35% CPR 50% CRP
A-1
Yield 6.265 6.091 5.031 5.890 5.799 5.677
Average Life 9.05 1.92 1.11 1.00 0.83 0.67
Duration 6.23 1.72 1.04 0.94 0.78 0.64
First Print 09/25/99 02/25/99 02/25/99 02/25/99 02/25/99 02/25/99
Last Prin 09/25/13 05/25/03 04/25/01 01/25/01 08/25/00 04/25/00
Payment Window 176 52 27 24 19 15
A-2
Yield 6.411 6.379 6.314 6.295 6.248 6.182
Average Life 15.40 7.28 3.46 2.99 2.26 1.69
Duration 9.54 5.58 3.01 2.64 2.04 1.56
First Prin 09/25/13 05/25/03 04/25/01 01/25/01 08/25/00 04/25/00
Last Prin 06/25/18 08/25/10 03/25/04 06/25/03 04/25/02 04/25/01
Payment Window 58 88 36 30 21 13
A-3
Yield 6.572 6.559 6.523 6.509 6.477 6.422
Average Life 22.73 13.41 6.33 5.25 3.80 2.59
Duration 11.53 8.69 5.03 4.32 3.27 2.31
First Prin 06/25/18 08/25/10 03/25/04 06/25/03 04/25/02 04/25/01
Last Prin 07/25/24 09/25/13 05/25/07 05/25/05 06/25/03 01/25/02
Payment Window 74 38 39 24 15 10
A-4
Yield 7.035 7.072 7.144 7.145 7.099 6.983
Average Life 27.67 16.77 11.66 10.07 6.85 3.96
Duration 11.94 9.56 7.69 6.93 5.19 3.35
First Prin 07/25/24 09/25/13 05/25/07 05/25/05 06/25/03 01/25/02
Last Prin 06/25/28 11/25/23 06/25/14 09/25/13 05/25/11 01/25/05
Payment Window 48 123 86 101 96 37
A-5-NAS
Yield 6.514 6.497 6.499 6.509 6.564 6.674
Average Life 11.90 8.14 6.84 6.59 6.12 5.56
Duration 7.95 6.04 5.30 5.15 4.86 4.49
First Prin 02/25/02 02/25/02 02/25/02 02/25/02 02/25/02 02/25/02
Last Prin 09/25/13 09/25/13 09/25/13 09/25/13 03/25/11 12/25/07
Payment Window 140 140 140 140 110 71
A-6-ARM
Yield 5.694 5.705 5.713 5.714 5.718 5.707
Average Life 22.54 5.89 3.25 2.79 1.99 0.90
Duration 11.83 4.35 2.65 2.32 1.72 0.83
First Prin 02/25/99 02/25/99 02/25/99 02/25/99 02/25/99 02/25/99
Last Prin 09/25/28 12/25/22 04/25/14 09/25/12 07/25/09 09/25/05
Payment Window 356 287 183 164 126 80
A-7-NAS
Yield 6.453 6.337 6.314 6.310 6.305 6.318
Average Life 12.20 2.86 2.48 2.43 2.37 2.54
Duration 8.00 2.52 2.22 2.18 2.13 2.27
First Prin 09/25/00 09/25/00 09/25/00 09/25/00 09/25/00 09/25/00
Last Prin 05/25/16 04/25/04 02/25/04 02/25/04 02/25/04 02/25/04
Payment Window 189 44 42 42 42 42
This page must be accompanied by the disclaimer included on the cover of these
materials. If you did not receive such a disclaimer please contact your Salomon
Smith Barney Financial Advisor immediately.
25
