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: February 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 December 1, 1997, relating to the Empire
Funding Home Loan Owner Trust 1997-5, Home Loan Asset Backed Notes, Series
1997-5)
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 February 13, 1998 Empire Funding Home Loan Owner Trust 1997-5 (the
"Issuer") completed the purchase of the Subsequent Loans pursuant to Section
2.06 of the Sale and Servicing Agreement, dated as of December 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 February 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 January 31, 1998 (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
February 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 January 31, 1998 (the "Cut-Off Date"), the Loans consisted of 7,133
Loans with an aggregate Principal Balance totaling $238,933,678). The Loans bear
interest at fixed Loan Rates which range from 9.99% per annum to 18.50% per
annum and have a weighted average Loan Rate of approximately 14.21% per annum.
The Cut-Off Date Principal Balances of the Loans range from $64 to $99,906 and
average $33,497. As of the Cut-Off Date, the weighted average remaining term to
stated maturity of the Loans was approximately 242 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 117.06%, with the highest Combined
Loan-to-Value Ratio being 147%. As of the Cut-Off Date, 6,674 of the Loans
(representing approximately 98.16% 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 14, 2023.
As of the Cut-Off Date, all 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, all 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, 22 Loans, representing approximately 0.32% of the
Cut-Off Date Pool Principal Balance, were 30 days or more past due. The weighted
average Credit Score for the Loans was 673.
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
% of Cut-Off
Aggregate Cut-Off Date Pool
Number Date Principal Principal
State of Loans Balance Balance
----- -------- ------- ---------
Alabama........................ 10 $ 286,202 0.12%
Alaska......................... 26 1,001,340 0.42
Arizona........................ 383 12,320,602 5.16
Arkansas....................... 23 856,642 0.36
California..................... 1,754 67,168,132 28.11
Colorado....................... 221 6,930,706 2.90
Connecticut.................... 18 609,981 0.26
Delaware....................... 11 398,703 0.17
District of Columbia........... 15 603,396 0.25
Florida........................ 312 8,875,680 3.71
Georgia........................ 230 7,367,948 3.08
Hawaii......................... 22 972,590 0.41
Idaho.......................... 48 1,613,964 0.68
Illinois....................... 245 8,603,286 3.60
Indiana........................ 180 5,487,907 2.30
Iowa........................... 84 2,664,447 1.12
Kansas......................... 197 6,295,036 2.63
Kentucky....................... 76 2,242,877 0.94
Louisiana...................... 75 2,009,030 0.84
Maine.......................... 12 328,618 0.14
Maryland....................... 349 12,919,332 5.41
Massachusetts.................. 13 452,154 0.19
Michigan....................... 302 11,442,354 4.79
Minnesota...................... 240 9,390,130 3.93
Mississippi.................... 32 631,734 0.26
Missouri....................... 420 12,512,591 5.24
Montana........................ 8 290,047 0.12
Nebraska....................... 73 2,300,171 0.96
Nevada......................... 127 4,561,220 1.91
New Hampshire.................. 2 94,945 0.04
New Jersey..................... 39 1,649,102 0.69
New Mexico..................... 60 2,358,593 0.99
New York....................... 29 1,067,021 0.45
North Carolina................. 299 8,833,247 3.70
Ohio........................... 23 672,192 0.28
Oklahoma....................... 121 3,120,297 1.31
Oregon......................... 79 2,474,502 1.04
Pennsylvania................... 166 5,398,722 2.26
Rhode Island................... 5 150,353 0.06
South Carolina................. 133 3,996,456 1.67
South Dakota................... 2 69,821 0.03
Tennessee...................... 94 2,504,569 1.05
Texas.......................... 103 687,587 0.29
Utah........................... 97 3,366,038 1.41
Virginia....................... 181 6,248,866 2.62
Washington..................... 161 4,024,295 1.68
West Virginia.................. 4 119,060 0.05
Wisconsin...................... 20 702,619 0.29
Wyoming........................ 9 258,575 0.11
------ ------- ----
Total................ 7,133 $238,933,678 100.00%
===== ============ ======
<PAGE>
Cut-Off Date Principal Balances
% of Cut-Off
Range of Cut-Off Aggregate Cut-Off Date Pool
Date Principal Number Date Principal Principal
Balances of Loans Balance Balance
-------- -------- ------- -------
$10,000 or less................... 356 $ 1,966,848 0.82%
$10,000.01 - $20,000.............. 849 14,157,060 5.93
$20,000.01 - $30,000.............. 1,764 46,042,210 19.27
$30,000.01 - $40,000.............. 2,489 87,285,172 36.53
$40,000.01 - $50,000.............. 931 43,548,387 18.23
$50,000.01 - $60,000.............. 448 25,394,286 10.63
$60,000.01 - $70,000.............. 201 13,341,727 5.58
$70,000.01 - $80,000.............. 89 6,617,279 2.77
$80,000.01 or greater............. 6 580,710 0.24
Total........................ 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the average Cut-Off Date Principal Balance of the
Loans was $33,497.
Loan Rates
% of Cut-Off
Aggregate Cut-Off Date Pool
Range of Loan Number Date Principal Principal
Rates of Loans Balance Balance
9.501% - 10.000%............... 1 $ 2,112 0.00%
10.501% - 11.000%............... 49 1,855,857 0.78
11.001% - 11.500% .............. 62 2,604,275 1.09
11.501% - 12.000%............... 275 10,316,150 4.32
12.001% - 12.500%............... 342 13,562,241 5.68
12.501% - 13.000%............... 1,109 34,596,821 14.48
13.001% - 13.500%............... 606 22,473,790 9.41
13.501% - 14.000%............... 1,140 39,073,519 16.35
14.001% - 14.500%............... 603 21,216,552 8.88
14.501% - 15.000%............... 1,150 39,041,357 16.34
15.001% - 15.500%............... 411 13,179,352 5.52
15.501% - 16.000%............... 740 22,250,900 9.31
16.001% - 16.500%............... 273 8,002,866 3.35
16.501% - 17.000%............... 296 8,465,298 3.54
17.001% - 17.500%............... 22 668,684 0.28
17.501% - 18.000%............... 48 1,441,676 0.60
18.001% - 18.500%............... 6 182,230 0.08
------- ------- ----
Total....................... 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the weighted average Loan Rate of the Loans was
approximately 14.21% per annum.
<PAGE>
Lien Priority
% of Cut-Off
Aggregate Cut-Off Date Pool
Number Date Principal Principal
Lien Priority of Loans Balance Balance
- ------------- -------- ------- -------
First Lien..................... 16 $ 453,733 0.19%
Second Lien.................... 6,726 235,977,057 98.76
Unsecured...................... 391 2,502,888 1.05
------ --------- ----
Total..................... 7,133 $238,933,678 100.00%
===== ============ ======
Combined Loan-to-Value Ratios
% of Cut-Off
Aggregate Cut-Off Date Pool
Range of Combined Number Date Principal Principal
Loan-to-Value Ratios of Loans Balance Balance
-------------------- -------- ------- -------
Unsecured.................... 391 $ 2,502,888 1.05%
10.01%- 15.00%............ 3 61,398 0.03
15.01%- 20.00%............ 1 27,743 0.01
20.01%- 25.00%............ 4 88,487 0.04
25.01%- 30.00%............ 2 49,585 0.02
30.01%- 35.00%............ 2 65,998 0.03
35.01%- 40.00%............ 3 92,350 0.04
40.01%- 45.00%............ 5 115,124 0.05
45.01%- 50.00%............ 8 313,422 0.13
55.01%- 60.00%............ 1 3,441 0.00
60.01%- 65.00%............ 1 25,987 0.01
70.01%- 75.00%............ 1 4,961 0.00
75.01%- 80.00%............ 1 40,000 0.02
80.01%- 85.00%............ 2 26,400 0.01
85.01%- 90.00%............ 6 161,615 0.07
90.01%- 95.00%............ 9 294,497 0.12
95.01%- 100.00%............ 19 519,478 0.22
100.01%- 105.00%............ 555 17,457,256 7.31
105.01%- 110.00%............ 818 26,361,176 11.03
110.01%- 115.00%............ 1,080 35,640,060 14.92
115.01%- 120.00%............ 1,547 54,478,047 22.80
120.01%- 125.00%............ 2,660 100,066,828 41.88
125.01% or greater........... 14 536,935 0.22
------- ----------- ----
Total................... 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the weighted average Combined Loan-to-Value Ratio
of the Loans (excluding the Unsecured Loans) was approximately 117.06%.
<PAGE>
Months Since Origination
% of Cut-Off
Aggregate Cut-Off Date Pool
Loan Age Number Date Principal Principal
(in months) of Loans Balance Balance
----------- -------- ------- -------
Less than one.................. 722 $ 25,942,309 10.86
1-3............................ 5,453 181,148,427 75.82
4-6............................ 908 30,421,807 12.73
7-9............................ 45 1,291,596 0.54
10 or greater.................. 5 129,539 0.05
-- --- ------- ----
Total..................... 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the weighted average number of months since
origination of the Loans was 3 months.
Remaining Terms to Maturity
Range of
Remaining % of Cut-Off
Terms to Aggregate Cut-Off Date Pool
Maturity Number Date Principal Principal
(in months) of Loans Balance Balance
----------- -------- ------- -------
0- 30.................. 9 $ 31,548 0.01%
31- 60.................. 153 950,956 0.40
61- 90.................. 70 474,066 0.20
91-120.................. 440 8,881,224 3.72
121-150.................. 69 1,590,987 0.67
151-180.................. 1,656 51,894,121 21.72
211-240.................. 2,276 80,337,548 33.62
271-300.................. 2,460 94,773,228 39.67
Total................. 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the weighted average remaining term to maturity of
the Loans was approximately 242 months.
<PAGE>
Original Terms to Maturity
Original % of Cut-Off
Term to Aggregate Cut-Off Date Pool
Maturity Number Date Principal Principal
(in months) of Loans Balance Balance
----------- -------- ------- -------
0- 30.................. 7 $ 26,333 0.01%
31- 60.................. 155 956,171 0.40
61- 90.................. 69 471,305 0.20
91-120.................. 441 8,883,985 3.72
121-150.................. 69 1,590,987 0.67
151-180.................. 1,656 51,894,121 21.72
211-240.................. 2,276 80,337,548 33.62
271-300.................. 2,460 94,773,228 39.67
----- ---------- -----
Total................. 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the weighted average original term to maturity of
the Loans was approximately 245 months.
Credit Score
% of Cut-Off
Aggregate Cut-Off Cut-Off Date
Range of Credit Number Date Principal Pool Principal
Scores of Loans Balance Balance
------ -------- ------- -------
520 to 539.................. 2 $ 81,102 0.03%
560 to 579.................. 2 23,118 0.01
580 to 599.................. 2 44,237 0.02
600 to 619.................. 69 2,276,696 0.95
620 to 639.................. 1,046 31,541,956 13.20
640 to 659.................. 1,694 55,562,333 23.25
660 to 679.................. 1,544 55,004,936 23.02
680 to 699.................. 1,230 44,965,796 18.82
700 to 719.................. 799 27,870,219 11.66
720 to 739.................. 393 12,782,782 5.35
740 to 759.................. 201 5,776,374 2.42
760 to 779.................. 95 2,037,577 0.85
780 to 799.................. 41 866,180 0.36
800 to 819.................. 12 90,917 0.04
820 to 839.................. 3 9,454 0.00
------ ----- ----
Total................... 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the weighted average Credit Score of the Loans was
673.
<PAGE>
Debt-to-Income Ratio
% of Cut-Off
Range of Aggregate Cut-Off Date Pool
Debt-to-Income Number Date Principal Principal
Ratios of Loans Balance Balance
------ -------- ------- -------
20.00 or less.................... 224 $ 5,104,576 2.14%
20.01 to 25.00................... 489 15,001,690 6.28
25.01 to 30.00................... 1,043 32,884,108 13.76
30.01 to 35.00................... 1,509 50,160,057 20.99
35.01 to 40.00................... 1,897 64,196,074 26.87
40.01 to 45.00................... 1,830 65,311,621 27.33
45.01 to 50.00................... 137 6,082,506 2.55
Greater than 50.00............... 4 193,046 0.08
Total.................... 7,133 $238,933,678 100.00%
===== ============ ======
As of the Cut-Off Date, the weighted average debt-to-income ratio of the
Loans was approximately 35.89%.
