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 14, 1999
(December 31, 1998)
FRANKLIN RECEIVABLES LLC
(FRANKLIN AUTO TRUST 1998-1)
(Exact name of registrant as specified in its charter)
.... DELAWARE ................. 333-56869....... 94-3301790
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
47 WEST 200 SOUTH, SUITE 500, SALT LAKE CITY, UTAH ........ 84101...
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code..(801) 238-6700
-------------------------------------------------
(Former name or former address, if changed since last report)
<PAGE>
Item 5. Other Events
The Monthly Servicing Report relating to the Franklin Auto Trust 1998-1 for
the Collection Period ended December 31, 1998 is attached hereto as Exhibit 19
and is incorporated herein by this reference.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(c)Exhibits
Exhibit 19 - Franklin Auto Trust 1998-1 Monthly Servicing Report for the
Collection Period ending December 31, 1998
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 on the date indicated.
FRANKLIN RECEIVABLES LLC
(Registrant)
By: Franklin Capital Corp.
Date: January 14, 1999 /s/ Jennifer J. Bolt
JENNIFER J. BOLT
President
Exhibits
Exhibit 19 - Franklin Auto Trust 1998-1 Monthly Servicing Report for the
Collection Period ending December 31, 1998.
Franklin Auto Trust 1998-1
Monthly Servicing Report
Collection Period: December 1998
Distribution Date: January 15,1999
Number of Days in Distribution Period: 30
<TABLE>
<CAPTION>
Franklin Auto Trust 1998-1
Monthly Servicing Report
Collection Period: December-98
Distribution Date: Jan 15, 1999
Number of Days in Distribution Period: 30
Section I. Original Deal Parameters
A. Original Portfolio Principal Weighted Average
Number of Principal Coupon Original Term Remaing Term Seasoning
Contracts Balance (WAC) (Month) (Month) (Month)
--------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
i. Prime 7,160 78,430,885.03 9.68% 62.45 45.10 17.36
ii. Non-Prime 5,194 45,967,290.63 13.83% 63.18 39.53 23.65
iii. Sub-Prime 924 6,996,314.98 18.77% 58.47 39.66 18.81
iv. Total Portfolio 13,278 131,394,490.64 11.62% 62.49 42.86 19.63
</TABLE>
B. Bonds Issued
Original
Principal Legal Final
Balance Coupon Maturity CUSIP
-----------------------------------------------------
ii. Class A-1 Notes 109,000,000.00 5.50% 1/15/02 35242RAA2
ii. Class A-2 Notes 22,394,000.00 5.65% 1/15/06 35242RAB0
C. Spread Account
i. Initial Cash Deposit 1,313,945.00
ii. Spread Account Floor Amount 2,627,890.00
iii. Specified Spread Account Amount 6% of Outstanding Pool Balance
iv. Maximum Spread Account Amount 12% of Outstanding Pool Balance
v. Initial Payment Provider Commitment 6,569,725.00
<TABLE>
<CAPTION>
Section II. Deal Status as of Previous
Distribution Date
A. Portfolio Principal Weighted Average
Number of Principal Coupon Original Term Remaing Term Seasoning
Contracts Balance (WAC) (Month) (Month) (Month)
------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
i. Prime Loans 6,779 69,528,304.90 9.69% 62.61 42.99 19.62
ii. Non-Prime Loans 4,906 40,295,749.39 13.94% 63.23 37.81 25.42
iii. Sub-Prime Loans 876 6,144,889.67 18.84% 58.61 37.95 20.66
iv. Total Loans 12,561 115,968,943.96 11.65% 62.61 40.92 21.69
</TABLE>
B. Bonds Outstanding
Principal Unpaid Interest
Balance Shortfall Amount
----------------------------------
i. Class A-1 Notes 93,574,943.96 0.00
ii. Class A-2 Notes 22,394,000.00 0.00
C. Spread Account
i. Spread Account Cash Balance 2,627,890.00
ii. Payment Provider Commitment 4,330,246.64
D. Shortfall Amounts
i. Base Servicing Fee Shortfall 0.00
ii. Surety Fee Shortfall 0.00
iii. Unreimbursed Surety Draws 0.00
iv. Unreimbursed Insurer Optional Deposit 0.00
v. Excess Servicing Fee Shortfall 0.00
<TABLE>
<CAPTION>
Section II. Deal Status as of Previous
Distribution Date
E. Delinquencies in Period
Principal Balance 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
i. Prime 179,134.97 88,711.54 17,586.65 0.00 97,140.65 21,852.36
ii. Non-Prime 653,303.74 223,929.49 67,064.06 0.00 156,967.13 43,257.68
iii. Sub-Prime 67,096.77 46,603.97 19,982.45 0.00 11,818.62 41,200.19
iv. Total Portfolio 899,535.48 359,245.00 104,633.16 0.00 265,926.40 106,310.23
Number of Contracts 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
i. Prime 20 7 2 0 6 3
ii. Non-Prime 87 23 7 0 16 5
iii. Sub-Prime 13 6 2 0 2 7
iv. Total Portfolio 120 36 11 0 24 15
Principal Balance as a % of Previous Balance 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
i. Prime 0.26% 0.13% 0.03% 0.00% 0.14% 0.03%
ii. Non-Prime 1.62% 0.56% 0.17% 0.00% 0.39% 0.11%
iii. Sub-Prime 1.09% 0.76% 0.33% 0.00% 0.19% 0.67%
iv. Total Portfolio 0.78% 0.31% 0.09% 0.00% 0.23% 0.09%
Number of Contracts as a % of Previous Balance 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
i. Prime 0.30% 0.10% 0.03% 0.00% 0.09% 0.04%
ii. Non-Prime 1.77% 0.47% 0.14% 0.00% 0.33% 0.10%
iii. Sub-Prime 1.48% 0.68% 0.23% 0.00% 0.23% 0.80%
iv. Total Portfolio 0.96% 0.29% 0.09% 0.00% 0.19% 0.12%
</TABLE>
<TABLE>
<CAPTION>
Section III. Collection Period Activity and
Current Status
A. Portfolio Principal Weighted Average
Number of Principal Coupon Original Term Remaing Term Seasoning
Contracts Balance (WAC) (Month) (Month) (Month)
--------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
i. Prime 6,661 66,913,738.97 9.70% 62.66 42.38 20.29
ii. Non-Prime 4,809 38,597,934.71 13.97% 63.26 37.35 25.91
iii. Sub-Prime 863 5,911,338.56 18.88% 58.64 37.58 21.07
iv. Total Portfolio 12,333 111,423,012.24 11.66% 62.66 40.38 22.28
</TABLE>
<TABLE>
<CAPTION>
B. Delinquencies in Period
Principal Balance 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
i. Prime 266,244.00 24,390.61 46,870.59 17,586.65 49,382.17 58,203.16
ii. Non-Prime 680,500.70 150,244.50 138,416.63 0.00 91,508.33 203,802.50
iii. Sub-Prime 99,816.71 34,393.76 44,132.03 0.00 68,162.44 19,982.45
iv. Total Portfolio 1,046,561.41 209,028.87 229,419.25 17,586.65 209,052.94 281,988.11
Number of Contracts 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
i. Prime 29 3 3 2 3 4
ii. Non-Prime 101 21 11 0 9 19
iii. Sub-Prime 19 5 5 0 8 2
iv. Total Portfolio 149 29 19 2 20 25
Principal Balance as a % of Current Balance 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
i. Prime 0.40% 0.04% 0.07% 0.03% 0.07% 0.09%
ii. Non-Prime 1.76% 0.39% 0.36% 0.00% 0.24% 0.53%
iii. Sub-Prime 1.69% 0.58% 0.75% 0.00% 1.15% 0.34%
iv. Total Portfolio 0.94% 0.19% 0.21% 0.02% 0.19% 0.25%
Number of Contracts as a % of Current 30-59 60-89 90-119 120+ Repo Charge Offs
Days Days Days Days in Inventory in Period
--------------------------------------------------------------------------------------
i. Prime 0.44% 0.05% 0.05% 0.03% 0.05% 0.06%
ii. Non-Prime 2.10% 0.44% 0.23% 0.00% 0.19% 0.40%
iii. Sub-Prime 2.20% 0.58% 0.58% 0.00% 0.93% 0.23%
iv. Total Portfolio 1.21% 0.24% 0.15% 0.02% 0.16% 0.20%
</TABLE>
Section III. Collection Period Activity and
Current Status
C. Collections
i. Simple Interest Contracts
a. Interest Collections 532,253.15
b. Principal Collections 2,326,808.57
ii. Rule of 78's Contracts
a. Interest Collections 437,427.92
b. Principal Collections 1,937,135.04
iii. Less Pay Off Differential 98,757.25
iv Net Liquidation Proceeds 0.00
v. Post Disposition Recoveries 0.00
vi. Rebates of Capitalized Insurance Premiums
vii. Repurchase Amounts
a. Interest 0.00
b. Principal 0.00
D. Payaheads
i Beginning Payahead Account Balance 303,359.30
ii. Deposit to Payahead Account
a. Principal & Interest Collections 130,430.92
iii. Withdrawal from Payahead Account
a. Principal & Interest Collections 66,864.29
iv. Net Change in Payahead Account
a. Principal & Interest Collections 63,566.63
v. Ending Payahead Account Balance 366,925.93
E. Total Available
i. Total Interest Collections 969,681.07
ii. Total Principal Collections 4,362,700.86
iii. Collected Funds 5,332,381.93
F. Month End Pool Balance
i. Beginning Pool Balance 115,968,943.96
ii. Principal Collections 4,362,700.86
iii. Realized and Cram-Down Losses 183,230.86
iv. Month End Pool Balance 111,423,012.24
Section IV. Distribution Calculations
A. Servicing Fee
i. Servicing Fee Rate
a. Prime Receivable @ 1.00% 57,940.25
b. Non-prime Receivables @ 1.50% 50,369.69
c. Sub-prime Receivables @ 2.00% 10,241.48
d. Total Servicing Fee 118,551.42
e. Total Receivables @ 1.25% 120,800.98
ii. Base Servicing Fee (less of id. and ie.) 118,551.42
iii. Previous Servicing Fee Shortfall 0.00
iv. Excess Servicing Fee 0.00
v. Previous Excess Servicing Fee Shortfall 0.00
vi. Total Excess Servicing Fee 0.00
vii. Supplemental Servicing Fee 96,252.91
viii.Supplemental Servicing Fee Shortfall 0.00
ix. Total Supplemental Servicing Fee 96,252.91
B. Surety Fee
i. Surety Fee Rate 0.15%
ii. Base Surety Fee 14,496.12
iii. Previous Surety Fee Shortfall 0.00
iv. Total Surety Fee Due 14,496.12
<TABLE>
<CAPTION>
C. Bond Interest
Bond Previous Accrued
Interest Number of Days Current Interest Interest on Total Bond
Rate in Period Interest Shortfall Interest Interest Due
Shortfall
--------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
i. Class A-1 Notes 5.50% 30 428,885.16 0.00 0.00 428,885.16
ii. Class A-2 Notes 5.65% 30 105,438.42 0.00 0.00 105,438.42
iii. Total 5.58% 30 534,323.58 0.00 0.00 534,323.58
</TABLE>
D. Bond Principal
i. Beginning Note Balance 115,968,943.96
ii. Current Pool Balance 111,423,012.24
iii. Principal Distributable Amount 4,545,931.72
E. Total Required Distributions 667,371.12
F. Total Available Funds 5,332,381.93
G. Required Distribution Shortfall 0.00
H. Cash Available in Spread Account 2,627,890.00
I. Reserve Account Draw 0.00
J. Payment Provider Commitment 4,330,246.64
K. Payment Provider Required Payment Amount 0.00
L. Surety Draw 0.00
M. Insurer Optional Deposit 0.00
N. Total Cash Available for Distributions 5,332,381.93
<TABLE>
<CAPTION>
Section V. Waterfall for Distributions
A. Total Available Funds 5,332,381.93
Remaining
Amount Amount Amount
Due Paid Shortfall Available for
Distribution
------------------------------------------------------------
<S> <C> <C> <C> <C>
B. Servicing Fee 118,551.42 118,551.42 0.00 5,213,830.51
C. Surety Fee 14,496.12 14,496.12 0.00 5,199,334.39
D. Note Interest 534,323.58 534,323.58 0.00 4,665,010.81
E. Principal Distributable Amount 4,545,931.72 4,545,931.72 0.00 119,079.09
F. Interest on Unreimbursed Surety Draws 0.00 0.00 0.00 119,079.09
G. Reimbursement of Previous Surety Draws
and Insurer Optional Deposits 0.00 0.00 0.00 119,079.09
H. Reserve Deposit 0.00 0.00 0.00 119,079.09
I. Excess Servicing Fee 0.00 0.00 0.00 119,079.09
J. Deposit to Certificate Distribution Account 119,079.09 119,079.09 0.00 0.00
</TABLE>
<TABLE>
<CAPTION>
Section VI. Bond Reconciliation
Beginning Ending
Balance Principal Paid Balance Interest Due Interest Paid Interest Shortfall
-----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
A. Class A-1 Notes 93,574,943.96 4,545,931.72 89,029,012.24 428,885.16 428,885.16 0.00
B. Class A-2 Notes 22,394,000.00 0.00 22,394,000.00 105,438.42 105,438.42 0.00
C. Total 115,968,943.96 4,545,931.72 111,423,012.24 534,323.58 534,323.58 0.00
</TABLE>
Section VII. Spread Account Reconciliation
A. Net Yield Calculations
i. Current Month 1.36%
ii. Previous Month 3.67%
iii. Second Previous Month 5.11%
iv. Three-Month Average 3.43%
v. Previous Three Month Average 4.39%
vi. Second Previous Three Month Average 0.00%
B. Has Net Yield Trigger Event Occurred and
Is It Continuing? NO
C. Has Spread Account Deposit Event Occurred
(clauses (i) through (iv) or (iv))? NO
D. Has Spread Account Deposit Event Occurred
(clause (v))? NO
E. Cash Required to be on Deposit in Spread Account 2,627,890.00
F. Combined Spread Account and PaymentProvider
Commitment Required 6,685,380.73
<TABLE>
<CAPTION>
D. Allocations, Deposits and Reductions of the Spread Cash on
Account and the Payment Provider Commitment Deposit in Payment
Amount Amount Spread Provider
Due Paid Account Commitment
------------------------------------------------------
<S> <C> <C> <C> <C>
i. Beginning Balance 0.00 0.00 2,627,890.00 4,330,246.64
ii. Deposit of Payment Provider Commitment into Spread Account upon Spread
Account Deposit Event (i-iv or vi) 0.00 0.00 2,627,890.00 4,330,246.64
iii. Deposit of Payment Provider Commitment into Spread Account upon
Spread Account Deposit Event (v) 0.00 0.00 2,627,890.00 4,330,246.64
iv. Deposit to Spread Account from Waterfall 0.00 0.00 2,627,890.00 4,330,246.64
v. Deposit to Spread Account from Supplemental Servicing Fee 0.00 0.00 2,627,890.00 4,330,246.64
vi. Deposit to Spread Account from Excess Servicing Fee 0.00 0.00 2,627,890.00 4,330,246.64
vii. Release from Spread Account when Net Yield Trigger Event Has Not
Occurred or Has Been Deemed Cured 0.00 0.00 2,627,890.00 4,330,246.64
viii.Release from Spread Account when Net Yield Trigger Event Has
Occurred and Has Not Been Deemed Cured 0.00 0.00 2,627,890.00 4,330,246.64
ix. Reduction of Payment Provider Commitment when Net Yield Trigger Event
Not Occurred or Deemed Cured 0.00 272,755.91 2,627,890.00 4,057,490.73
x. Withdrawal from Spread Account and/or Payment Provider Commitment for
Insurer Optional Deposit 0.00 0.00 2,627,890.00 4,057,490.73
xi. Reduction of Payment Provider Commitment when Net Yield Trigger Event
Has Occurred and Not Deemed Cured 0.00 0.00 2,627,890.00 4,057,490.73
</TABLE>
Section VIII. Surety Bond Reconciliation
A. Previously Unreimbursed Surety Bond Draws 0.00
B. Interest Rate on Outstanding Draws
(PRIME + 1%) 8.75%
C. Current Interest Accrued on Previously
Outstanding Draws 0.00
D. Interest Paid on Unreimbursed Surety Draws 0.00
E. New Surety Bond Draws 0.00
F. Reimbursement of Previous Surety Draws 0.00
G. Unreimbursed Surety Draws 0.00
H. Previous Unreimbursed Insurer Optional 0.00
Deposits
I. New Insurer Optional Deposit 0.00
J. Reimbursement of Previous Insurer 0.00
Optional Deposits
K. Unreimbursed Insurer Optional Deposits 0.00
<TABLE>
<CAPTION>
Section IX. Historical Portfolio Performance
Previous
Previous Period Current
Period Current Period Cumulative Current Period Period
Cumulative Charge-Offs Losses Losses Prepayment
Charge Offs Speed
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
i. Prime 35,839.67 58,203.16 17,386.83 24,499.79 1.3527%
ii. Non-Prime 43,257.68 203,802.50 20,169.23 138,748.62 1.3849%
iii. Sub-Prime 41,200.19 19,982.45 17,728.41 19,982.45 1.3592%
iv. Total Portfolio 120,297.54 281,988.11 55,284.47 183,230.86 1.4139%
</TABLE>
/s/ Harold E. Miller /s/ Ronald L. Burrows
- -------------------------- -----------------------
Harold E. Miller, Jr. Ronald L. Burrows
Executive V.P., C.O.O Vice President
