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): November 25, 1998
SALOMON BROTHERS MORTGAGE SECURITIES VII, INC.
(as depositor under the Pooling and Servicing
Agreement, dated as of March 1, 1998, providing
for the issuance of Asset-Backed Floating Rate Certificates, Series 1998-NC1)
SALOMON BROTHERS MORTGAGE SECURITIES VII, INC.
(Exact name of registrant as specified in its charter)
Delaware 333-44593 13-3439681
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
Seven World Trade Center
New York, New York 10048
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (212) 783-5659
Item 5. Other Events
On November 25, 1998 a scheduled distribution was made from the Trust
to holders of the Class A Certificates. The Trustee has caused to be filed
with the Commission, the Monthly Report dated November 25, 1998.
The Monthly Report is filed pursuant to and in accordance with
(1) numerous no-action letters (2) current Commission policy in the area.
A. Monthly Report Information:
See Exhibit No.1
B. Have any deficiencies occurred? NO.
Date:
Amount:
C. Item 1: Legal Proceedings: NONE
D. Item 2: Changes in Securities: NONE
E. Item 4: Submission of Matters to a Vote of Certificateholders: NONE
F. Item 5: Other Information - Form 10-Q, Part II - Items 1,2,4,5 if
applicable: NOT APPLICABLE
Item 7. Monthly Statements and Exhibits
Exhibit No.
1. Monthly Distribution Report dated November 25, 1998.
SALOMON BROTHERS MORTGAGE SECURITIES VII, INC.
NEW CENTURY ASSET-BACKED FLOATING RATE CERTIFICATES
SERIES 1998-NC1
Distribution Date: 11/25/98
Beginning Ending
Certificate Certificate
ClassCusip Balance* Principal Interest Losses Balance
A 79548KYN2211644221.10 5396897.30 962871.86 0.00 206247323.80
M-1 79548KYP7 29250000.00 0.00 138191.14 0.00 29250000.00
M-2 79548KYQ5 37375000.00 0.00 182806.73 0.00 37375000.00
M-3 79548KYR3 12187000.00 0.00 65701.95 0.00 12187000.00
CE NA 6500700.00 0.00 957891.18 0.00 6500700.00
R-III79548KYU6 0.00 0.00 0.00 0.00 0.00
Total 296956921.10 5396897.30 2307462.86 0.00 291560023.80
AMOUNTS PER $1,000 UNIT PASS THROUGH RATES
Ending Current
Certificate Pass-Through
ClassPrincipalInterest Total Balance Losses Interest Rate
A 22.51644 4.0172052 26.533642 860.48607 0.0000 5.459380%
M-1 0.000000 4.7244834 4.724483 1000.00000 0.0000 5.669380%
M-2 0.000000 4.8911500 4.891150 1000.00000 0.0000 5.869380%
M-3 0.000000 5.3911504 5.391150 1000.00000 0.0000 6.469380%
CE 0.000000 147.352005 147.352005 1000.00000 0.0000 3.566119%
R-III0.000000 0.0000000 0.00000 0.00000 0.0000 5.459380%
Section 4.02 (iii.)
MASTER SERVICER COMPENSATION 123732.05
TRUSTEE FEES 2474.64
Section 4.02 (iv.)
P&I ADVANCES Total Advances 847707.37
*Note: P&I Advances are made on Mortgage Loans Delinquent
as of the Determination Date.
Section 4.02 (v.)
BALANCES AS OF 25-Nov-98
Stated Principal Balance of Mortgage Loans290304291.12
Stated Principal Balance of REO Properties 1255732.96
Section 4.02 (vi.)
MORTGAGE LOAN CHARACTERISTICS
Number of Loans (Beginning) 2555
Aggregate Principal Balance as of the Due Date 296956921.38
Number of Loans (Ending) 2514
Aggregate Principal Balance as of the Due Date 291560024.08
Weighted Average Remaining Term to Maturity 350
Beginning Weighted Average Mortgage Rate 9.5297248%
Number of Subsequent Loans 0
Balance of Subsequent Loans 0.00
Unpaid Stated
Section 4.02 (vii.) Principal Principal
DELINQUENCY INFORMATION Balance Number Balance
30-59 days delinquent 6422695.80 66 6413524.82
60-89 days delinquent 1325996.93 13 1323515.49
90 or more days delinquent 2197824.45 19 2190542.99
Foreclosure proceedings have commenced12669930.6 110 12634012.98
*Note: In accordance with the Master Servicer, the Delinquency
Information relates to the Prepayment Period.
Section 4.02 (viii.)
REO INFORMATIO Loans that became REO properties in the
preceding calendar month:
Unpaid Stated
Loan Principal Principal
Number Balance Balance
82307 188000.00 187313.45
73552 36176.07 35626.48
80204 22200.00 22157.25
75171 221500.00 220310.99
90985 439830.22 438782.51
85709 59973.45 59781.30
83942 248000.00 246924.11
Section 4.02 (ix.) Book Value of REO Properties: 1318054.32
REO BOOK VALUES
Section 4.02 (x.)
PRINCIPAL PREPAYMENTS
Aggregate Amount of Principal Prepayments
Curtailments 25160.10
Payments in Full 5203179.42
Prepayment Charges 0.00
REO Principal Amortization 645.21
Section 4.02 (xi.) Realized Losses that were incurred during
REALIZED LOSSES the related Prepayment Period:
Total Realized Losses 0.00
Which Include:
Extraordinary Losses 0.00
Fraud Losses 0.00
Special Hazard Losses 0.00
Bankruptcy Losses 0.00
Section 4.02 (xii.)
EXTRAORDINARY TRUST FUND EXPENSES
Extraordinary Trust Fund Expenses withdrawn from the Collection
Account or Distribution Account that caused a reduction of the
Available Distribution Amount: 0.00
Section 4.02 (xiv.)
CERTIFICATE FACTOR Certificate
Factor
Class A 0.860486
Class M-1 1.000000
Class M-2 1.000000
Class M-3 1.000000
Class CE 0.897108
Section 4.02 (xv.)
INTEREST DISTRIBUTION AMOUNTS
Interest Reduction from Allocation of:
Interest Carry Prepayment Relief Act
Distribution Forward Interest Interest
Amount Amount Shortfalls Losses Shortfalls
A 962871.86 0.00 0.00 0.00 0.00
M-1 138191.14 0.00 0.00 0.00 0.00
M-2 182806.73 0.00 0.00 0.00 0.00
M-3 65701.95 0.00 0.00 0.00 0.00
CE 957891.18 NA 0.00 0.00 0.00
TOTAL 2307462.86 0.00 0.00 0.00 0.00
Section 4.02 (xvi.)
PREPAYMENT INTEREST SHORTFALLS
Prepayment Interest Shortfalls not covered by the Servicer 0.00
Section 4.02 (xvii.)
Relief Act Interest Shortfall 0.00
Section 4.02 (xviii.) Fraud Loss Amount 9750000.00
Bankruptcy Amount 100000.00
Special Hazard Amount 4417585.68
Section 4.02 (xix.)
Required Overcollateralized Amount 6500700.00
Credit Enhancement Percentage 29.26077%
Section 4.02 (xx.)
Overcollateralization Increase Amount 0.00
Section 4.02 (xxi.)
Overcollateralization Reduction Amount 0.00
Section 4.02 (xxii.)
PASS THROUGH RATE
A 5.45938% 5.28234%
M-1 5.66938% 5.49234%
M-2 5.86938% 5.69234%
M-3 6.46938% 6.29234%
CE 3.56612%
Section 4.02 (xxiii.)
PRE-FUNDING AND INTEREST COVERAGE ACCOUNT
Amount on Deposit in the Pre-Funding Account 0.00
Amount on Deposit in the Interest Coverage Accoun 0.00
Section 4.02 (xxiv.)
PRE-FUNDING ACCOUNT DEPOSITS
Amount from the Pre-Funding Account
distributed to the Certificates 0.00
PERFORMANCE MEASURES
Net Monthly Excess Cash Flow 882486.40
Delinquency Percentage 5.96920%
Stepdown Date Occurrence NO
Trigger Event Occurrence NO
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
SALOMON BROTHERS MORTGAGE
SECURITIES VII, INC.
By: /s/ Eve Kaplan
Name: Eve Kaplan
Title: Vice President
First Trust National Association
Dated: November 30, 1998
