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: January 13, 1998
(Date of earliest event reported)
Commission File No. 333-40467
PAINEWEBBER MORTGAGE ACCEPTANCE CORPORATION IV (as depositor under the Sale and
Servicing Agreement, dated as of October 1, 1997, relating to the Empire Funding
Home Loan Owner Trust 1997-4, Home Loan Asset Backed Notes, Series 1997-4)
PAINEWEBBER MORTGAGE ACCEPTANCE CORPORATION IV
Delaware 06-1204982
- --------------------------------------------------------------------------------
(State of Incorporation) (I.R.S. Employer Identification No.)
1285 Avenue of the Americas
New York, New York 10019
- --------------------------------------------------------------------------------
Address of principal executive offices (Zip Code)
(212) 713-2000
- --------------------------------------------------------------------------------
Registrant's Telephone Number, including area code
- --------------------------------------------------------------------------------
(Former name, former address and former fiscal year, if changed since last
report)
<PAGE>
ITEM 5. Other Events
On January 13, 1998 Empire Funding Home Loan Owner Trust 1997-4 (the
"Issuer") completed the purchase of the Subsequent Loans pursuant to Section
2.06 of the Sale and Servicing Agreement, dated as of October 1, 1997 (the "Sale
and Servicing Agreement") among the Issuer, PaineWebber Mortgage Acceptance
Corporation IV, a Delaware corporation (the "Registrant"), Empire Funding Corp.
(the "Transferor"), and U.S. Bank National Association (the "Indenture
Trustee"). The Subsequent Loans were transferred to the Issuer pursuant to the
Subsequent Transfer Agreement, dated as of January 13, 1998 (the "Subsequent
Transfer Agreement"), among the Transferor, the Issuer and the Indenture
Trustee. Attached as Exhibit 99 are certain characteristics of all the Loans as
of December 31, 1997 (the "Cut-Off Date").
Capitalized terms used herein and not defined herein have the same meanings
ascribed to such terms in the Sale and Servicing Agreement.
<PAGE>
ITEM 7. Financial Statements and Exhibits
(c) Exhibits
Item 601(a)
of Regulation S-K
Exhibit No. Description
- ----------- -----------
99 Description of the Loans
<PAGE>
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 hereunto duly authorized.
PAINEWEBBER MORTGAGE ACCEPTANCE
CORPORATION IV
January 13, 1998
By: /s/ Joseph Piscina
------------------
Joseph Piscina
Director
<PAGE>
INDEX TO EXHIBITS
-----------------
Paper (P) or
Exhibit No. Description Electronic(E)
- ---------- ----------- -------------
99 Description of the Loans E
The Loans included in the Pool have the characteristics set forth below and
in the tables beginnings on the following page. Unless otherwise indicated, all
percentages and weighted averages are percentages and weighted averages of the
Cut-Off Date Pool Principal Balance.
Loan Statistics
As of December 31, 1997 (the "Cut-Off Date"), the Loans consisted of 9,341
Loans with an aggregate Principal Balance totaling $297,396,761 (the "Cut-Off
Date Pool Principal Balance"). The Loans bear interest at fixed Loan Rates which
range from 9.95% per annum to 19.50% per annum and have a weighted average Loan
Rate of approximately 14.36% per annum. The Cut-Off Date Principal Balances of
the Loans range from $65 to $99,810 and average $31,838. As of the Cut-Off Date,
the weighted average remaining term to stated maturity of the Loans was
approximately 240 months and the weighted average number of months that have
elapsed since origination was 3 months. As of the Cut-Off Date, the weighted
average Combined Loan-to-Value Ratio of the Loans which were Mortgage Loans was
approximately 115.30%, with the highest Combined Loan-to-Value Ratio being 140%.
As of the Cut-Off Date, 8,182 of the Loans (representing approximately 92.44% of
the Cut-Off Date Pool Principal Balance) had a Combined Loan-to-Value Ratio in
excess of 100%. All of the Loans are fully amortizing loans having original
stated maturities of not more than 25 years. No Loan is scheduled to mature
later than January 2, 2023.
As of the Cut-Off Date, approximately 100% of the Loans (by Cut-Off Date
Pool Principal Balance) were Mortgage Loans secured by Mortgaged Properties
located in 48 states and the District of Columbia. As of the Cut-Off Date,
approximately 100% of the Loans (by Cut-Off Date Pool Principal Balance) which
were Mortgage Loans were secured by Mortgaged Properties represented by the
related Obligors to be owner-occupied.
As of the Cut-Off Date, 103 Loans, representing approximately 1.12% of the
Cut-Off Date Pool Principal Balance, were 30 days or more past due. The weighted
average Credit Score for the Loans was 671.
The sum of the dollar amounts and percentages in the following tables may
not equal the totals due to rounding.
<PAGE>
Geographic Distribution of Loans
--------------------------------
<TABLE>
<CAPTION>
Aggregate Cut-Off % of Cut-Off Date
Number Date Principal Pool Principal
State of Loans Balance Balance
- ----- -------- ------- -------
<S> <C> <C> <C>
Alabama.......................................15 $ 494,608 0.17%
Alaska........................................92 3,597,220 1.21
Arizona......................................564 16,799,336 5.65
Arkansas......................................20 590,362 0.20
California.................................2,642 96,191,660 32.34
Colorado.....................................226 7,330,357 2.46
Connecticut...................................38 1,303,591 0.44
Delaware......................................15 514,073 0.17
District of Columbia..........................31 1,163,666 0.39
Florida......................................476 13,291,741 4.47
Georgia......................................350 10,384,273 3.49
Hawaii........................................34 1,441,592 0.48
Idaho.........................................81 2,383,048 0.80
Illinois.....................................236 7,140,819 2.40
Indiana......................................199 5,445,285 1.83
Iowa..........................................96 2,874,493 0.97
Kansas.......................................138 4,091,037 1.38
Kentucky.....................................110 3,089,804 1.04
Louisiana.....................................95 2,521,719 0.85
Maine.........................................13 338,719 0.11
Maryland.....................................527 17,907,397 6.02
Massachusetts.................................14 462,607 0.16
Michigan.....................................294 9,741,842 3.28
Minnesota....................................213 7,430,983 2.50
Mississippi...................................31 607,327 0.20
Missouri.....................................431 12,545,788 4.22
Montana.......................................21 535,774 0.18
Nebraska......................................95 2,786,710 0.94
Nevada.......................................155 5,069,663 1.70
New Hampshire..................................2 57,752 0.02
New Jersey....................................29 1,021,480 0.34
New Mexico....................................46 1,423,513 0.48
New York......................................32 1,074,290 0.36
North Carolina...............................423 11,990,425 4.03
Ohio..........................................42 1,031,507 0.35
Oklahoma.....................................123 3,030,716 1.02
Oregon.......................................119 3,633,613 1.22
Pennsylvania.................................216 6,734,489 2.26
Rhode Island...................................3 114,468 0.04
South Carolina...............................201 5,839,352 1.96
Tennessee.....................................96 2,421,011 0.81
Texas........................................122 912,861 0.31
Utah.........................................156 5,150,371 1.73
Vermont........................................1 32,474 0.01
Virginia.....................................225 7,294,722 2.45
Washington...................................213 6,407,778 2.15
West Virginia..................................7 237,486 0.08
Wisconsin.....................................17 472,149 0.16
Wyoming.......................................16 440,811 0.15
-- ------------ -------
Total.................................9,341 $297,396,761 100.00%
===== ============ ======
</TABLE>
Cut-Off Date Principal Balances
-------------------------------
<TABLE>
<CAPTION>
Range of Aggregate Cut-Off % of Cut-Off Date
Cut-Off Number Date Principal Pool Principal
Date Principal Balances of Loans Balance Balance
- ----------------------- -------- ------- -------
<S> <C> <C> <C>
$10,000 or less..............................427. $ 2,564,891 0.86%
$10,000.01 - $20,000.......................1,355. 22,548,237 7.58
$20,000.01 - $30,000.......................2,717. 70,297,988 23.64
$30,000.01 - $40,000.......................3,042. 106,841,284 35.93
$40,000.01 - $50,000.......................1,018. 47,419,040 15.94
$50,000.01 - $60,000.........................498. 28,117,818 9.45
$60,000.01 - $70,000.........................200. 13,357,850 4.49
$70,000.01 - $80,000..........................83. 6,149,843 2.07
$80,000.01 or greater..........................1. 99,810 0.03
- ------------ -------
Total.................................9,341. $297,396,761 100.00%
===== ============ ======
</TABLE>
As of the Cut-Off Date, the average Cut-Off Date Principal Balance of the
Loans was $31,838.
Loan Rates
----------
<TABLE>
<CAPTION>
Aggregate Cut-Off % of Cut-Off Date
Range of Loan Number Date Principal Pool Principal
Rates of Loans Balance Balance
----- -------- ------- -------
<S> <C> <C> <C>
9.501% - 10.000%..........................10 $ 201,537 0.07%
10.001% - 10.500%...........................3 82,232 0.03
10.501% - 11.000%.........................109 3,921,855 1.32
11.001% - 11.500%..........................94 3,390,433 1.14
11.501% - 12.000%.........................320 10,946,466 3.68
12.001% - 12.500%.........................337 12,460,988 4.19
12.501% - 13.000%.......................1,251 38,391,750 12.91
13.001% - 13.500%.........................706 25,665,603 8.63
13.501% - 14.000%.......................1,404 46,063,888 15.49
14.001% - 14.500%.........................746 24,105,730 8.11
14.501% - 15.000%.......................1,566 50,245,454 16.90
15.001% - 15.500%.........................606 18,988,297 6.38
15.501% - 16.000%.......................1,111 32,245,212 10.84
16.001% - 16.500%.........................558 16,229,942 5.46
16.501% - 17.000%.........................404 11,294,956 3.80
17.001% - 17.500%..........................31 903,897 0.30
17.501% - 18.000%..........................59 1,490,268 0.50
18.001% - 18.500%..........................19 528,133 0.18
18.501% - 19.000%...........................5 165,165 0.06
19.001% - 19.500%...........................2 74,954 0.03
- ------------ -------
Total.................................9,341 $297,396,761 100.00%
===== ============ =======
</TABLE>
As of the Cut-Off Date, the weighted average Loan Rate of the Loans was
approximately 14.36% per annum.
Lien Priority
-------------
<TABLE>
<CAPTION>
% of Cut-Off Date
Aggregate Cut-Off Pool
Number Date Principal Principal
Lien Priority of Loans Balance Balance
- ------------- -------- ------- -------
<S> <C> <C> <C>
First Lien....................................20. $ 449,237 0.15%
Second Lien................................8,912. 293,843,578 98.81
Third Lien....................................23. 655,572 0.22
Unsecured....................................386. 2,448,374 0.82
--- ------------ -------
Total.................................9,341. $297,396,761 100.00%
===== ============ =======
</TABLE>
Combined Loan-to-Value Ratios
-----------------------------
<TABLE>
<CAPTION>
Range of
Combined Aggregate Cut-Off % of Cut-Off Date
Loan-to-Value Number Date Principal Pool Principal
Ratios of Loans Balance Balance
------ -------- ------- -------
<S> <C> <C> <C>
Unsecured....................................386 $ 2,448,374 0.82%
5.01% - 10.00%............................1 4,983 0.00
15.01% - 20.00%............................2 17,382 0.01
20.01% - 25.00%............................1 20,927 0.01
25.01% - 30.00%............................4 83,130 0.03
30.01% - 35.00%............................3 75,885 0.03
35.01% - 40.00%............................6 145,621 0.05
40.01% - 45.00%............................8 198,018 0.07
45.01% - 50.00%............................5 114,590 0.04
50.01% - 55.00%............................2 44,042 0.01
55.01% - 60.00%............................9 212,800 0.07
60.01% - 65.00%............................9 227,881 0.08
65.01% - 70.00%............................8 199,318 0.07
70.01% - 75.00%...........................22 558,972 0.19
75.01% - 80.00%...........................34 870,865 0.29
80.01% - 85.00%...........................55 1,343,712 0.45
85.01% - 90.00%..........................109 2,808,394 0.94
90.01% - 95.00%..........................177 4,725,625 1.59
95.01% - 100.00%..........................318 8,371,089 2.81
100.01% - 105.00%..........................712 21,125,503 7.10
105.01% - 110.00%........................1,057 32,323,301 10.87
110.01% - 115.00%........................1,439 45,849,786 15.42
115.01% - 120.00%........................1,863 62,900,260 21.15
120.01% - 125.00%........................3,103 112,391,455 37.79
125.01% or greater............................8 334,847 0.11
- ------------ -------
Total.................................9,341 $297,396,761 100.00%
===== ============ =======
</TABLE>
As of the Cut-Off Date, the weighted average Combined Loan-to-Value Ratio
of the Loans (excluding the Unsecured Loans) was approximately 115.30%.
Months Since Origination
------------------------
<TABLE>
<CAPTION>
% of Cut-Off
Aggregate Cut-Off Date Pool
Loan Age Number Date Principal Principal
(in months) of Loans Balance Balance
- ----------- -------- ------- -------
<S> <C> <C> <C>
Less than one...................................1,373 $ 45,787,907 15.40%
1-3.............................................3,565 113,625,380 38.21
4-6.............................................4,277 134,101,751 45.09
7-9.............................................. 123 3,807,515 1.28
10 or greater.................................... 3 74,209 0.03
---- ------------ -------
Total......................................9,341 $297,396,761 100.00%
===== ============ =======
</TABLE>
As of the Cut-Off Date, the weighted average number of months since
origination of the Loans was 3 months.
Remaining Terms to Maturity
---------------------------
<TABLE>
<CAPTION>
Range of
Remaining % of Cut-Off
Terms to Aggregate Cut-Off Date Pool
Maturity Number Date Principal Principal
(in months) of Loans Balance Balance
----------- -------- ------- -------
<S> <C> <C> <C>
0- 30......................................... 17 $ 41,868 0.01%
31- 60......................................... 181 1,411,095 0.47
61- 90......................................... 96 891,811 0.30
91- 120......................................... 592 11,851,482 3.99
121- 150......................................... 112 2,240,900 0.75
151- 180......................................... 2,193 64,929,282 21.83
181- 210......................................... 3 60,871 0.02
211- 240......................................... 3,054 101,865,431 34.25
241-270 1 40,000 0.01
271- 300......................................... 3,092 114,064,023 38.35
----- ------------ -------
Total....................................... 9,341 $297,396,761 100.00%
===== ============ =======
</TABLE>
As of the Cut-Off Date, the weighted average remaining term to maturity of
the Loans was approximately 240 months.
<PAGE>
Original Terms to Maturity
--------------------------
<TABLE>
<CAPTION>
Original % of Cut-Off
Term to Aggregate Cut-Off Date Pool
Maturity Number Date Principal Principal
(in months) of Loans Balance Balance
- ----------- -------- ------- -------
<S> <C> <C> <C>
0- 30......................................... 14 $ 34,938 0.01%
31- 60......................................... 184 1,418,025 0.48
61- 90......................................... 96 891,811 0.30
91- 120......................................... 591 11,835,591 3.98
121- 150......................................... 113 2,256,790 0.76
151- 180......................................... 2,193 64,929,282 21.83
181- 210......................................... 3 60,871 0.02
211- 240......................................... 3,055 101,905,431 34.27
271- 300......................................... 3,092 114,064,023 38.35
----- ------------ -------
Total....................................... 9,341 $297,396,761 100.00%
===== ============ =======
</TABLE>
As of the Cut-Off Date, the weighted average original term to maturity of
the Loans was approximately 243 months.
Credit Score
------------
<TABLE>
<CAPTION>
% of Cut-Off
Aggregate Cut-Off Date Pool
Range of Credit Number Date Principal Principal
Scores of Loans Balance Balance
------ -------- ------- -------
<S> <C> <C> <C>
560 to 580....................................... 1 $ 64,524 0.02%
580 to 600....................................... 5 164,500 0.06
600 to 620....................................... 149 4,228,335 1.42
620 to 640....................................... 1,653 47,548,870 15.99
640 to 660....................................... 2,293 71,591,788 24.07
660 to 680....................................... 1,988 67,489,219 22.69
680 to 700....................................... 1,430 50,253,021 16.90
700 to 720....................................... 937 32,182,206 10.82
720 to 740....................................... 483 14,802,027 4.98
740 to 760....................................... 221 6,003,190 2.02
760 to 780....................................... 108 2,085,865 0.70
780 to 800....................................... 57 825,074 0.28
800 to 820....................................... 11 45,334 0.02
820 or greater................................... 5 112,808 0.04
----- ------------ -------
Total....................................... 9,341 $297,396,761 100.00%
===== ============ =======
</TABLE>
As of the Cut-Off Date, the weighted average Credit Score of the Loans was
671.
<PAGE>
Debt-to-Income Ratio
--------------------
<TABLE>
<CAPTION>
% of Cut-Off
Range of Aggregate Cut-Off Date Pool
Debt-to-Income Number Date Principal Principal
Ratios of Loans Balance Balance
------ -------- ------- -------
<S> <C> <C> <C>
20.00 or less.................................... 295 $ 6,519,665 2.19%
20.02 to 25.00................................... 603 17,292,324 5.81
25.01 to 30.00...................................1,261 38,507,663 12.95
30.01 to 35.00...................................2,075 64,733,648 21.77
35.01 to 40.00...................................2,532 82,594,968 27.77
40.01 to 45.00...................................2,391 80,093,384 26.93
45.01 to 50.00................................... 180 7,485,788 2.52
Greater than 50.................................. 4 169,321 0.06
----- ------------ -------
Total.......................................9,341 $297,396,761 100.00%
===== ============ =======
</TABLE>
As of the Cut-Off Date, the weighted average debt-to-income ratio of the
Loans was approximately 35.96%.
