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): December 28, 1998
SALOMON BROTHERS MORTGAGE SECURITIES VII, INC.
(as depositor under the Pooling and Servicing
Agreement, dated as of September 1, 1998, providing
for the issuance of Asset-Backed Floating Rate Certificates, Series 1998-NC4)
SALOMON BROTHERS MORTGAGE SECURITIES VII, INC.
(Exact name of registrant as specified in its charter)
Delaware 333-50153 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 December 28, 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 December 28, 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 December 28, 1998.
SALOMON BROTHERS MORTGAGE SECURITIES VII, INC.
NEW CENTURY ASSET-BACKED FLOATING RATE CERTIFICATES
SERIES 1998-NC4
STATEMENT TO CERTIFICATEHOLDERS
Distribution Date: 12/28/98
Beginning Ending
Certificate Certificate
ClasCusip Balance(1) Principal Interest Losses Balance
A 79548KC55219635457.152185180.511053440.11 0.00 217450276.64
M-1 79548KC6323598000.00 0.00 117077.03 0.00 23598000.00
M-2 79548KC7127285000.00 0.00 142372.54 0.00 27285000.00
M-3 79548KC8914011000.00 0.00 81457.32 0.00 14011000.00
CE 7955109E8 5899600.00 0.00 815941.20 0.00 5899600.00
P 7955109F5 100.00 0.00 13200.48 0.00 100.00
R-II79548KD39 0.00 0.00 0.00 0.00 0.00
Total 290429157.152185180.512223488.68 0.00 288243976.64
AMOUNTS PER $1,000 UNIT PASS THROUGH RATES
Ending Current
Certificate Pass-Through
ClasPrincipalInterest Total Balance Losses Interest Rate
A 9.747394 4.699061 14.446455 969.9763880.00000 5.23234%
M-1 0.0000 4.961312 4.961312 1000.000000.00000 5.41234%
M-2 0.0000 5.217978 5.217978 1000.000000.00000 5.69234%
M-3 0.0000 5.813812 5.813812 1000.000000.00000 6.34234%
CE 0.0000 138.304495 138.3044951000.000000.00000 3.37132%
P 0.0000 132004.80000132004.8001000.000000.00000 NA
R-II 0.0000 0.000000 0.000000 0.00000 0.00000 5.23234%
Section 4.02 (iii.)
MASTER SERVICER COMPENSATION 121012.15
TRUSTEE FEES 2420.24
Section 4.02 (iv.)
P&I ADVANCES Total Advances 245306.64
*Note: P&I Advances are made on Mortgage Loans Delinquent
as of the Determination Date.
Section 4.02 (v.)
BALANCES AS OF: 28-Dec-98
Stated Principal Balance of Mortgage Loans 288243976.56
Stated Principal Balance of REO Properties 0.00
Section 4.02 (vi.)
MORTGAGE LOAN CHARACTERISTICS
Number of Loans (Beginning) 2,589
Aggregate Principal Balance as of the Due Date 290429157.37
Number of Loans (Ending) 2,574
Aggregate Principal Balance as of the Due Date 288243976.56
Weighted Average Remaining Term to Maturity 356
Beginning Weighted Average Mortgage Rate 9.64251%
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 5690296.77 54 5682846.81
60-89 days delinquent 1652847.62 19 1650212.87
90 or more days delinquent 0.00 0 0.00
Foreclosures 2498814.27 21 2493712.60
Bankruptcies 1022080.94 8 1021554.36
Section 4.02 (viii.)
REO INFORMATI Loans that became REO properties in the
preceding calendar month:
Unpaid Stated
Principal Principal
Loan NumberBalance Balance
Section 4.02 (ix.) Total Book Value of REO Properties:
REO BOOK VALUES 0.00
Section 4.02 (x.)
PRINCIPAL PREPAYMENTS
Aggregate Amount of Principal Prepayments
Curtailments 9443.68
Payments in Full 2028075.59
Prepayment Charges 13200.48
REO Principal Amortization 0.00
Section 4.02 (xi.) Realized Losses that were incurred
REALIZED LOSSES during 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 0.969976
Class M-1 1.000000
Class M-2 1.000000
Class M-3 1.000000
Class CE 0.977182
Section 4.02 (xv.)
INTEREST DISTRIBUTION AMOUNTS
Interest Reduction from the Allocation of:
Carry Prepayment Relief Act
Forward Interest Interest
Interest Amount ShortfallsLosses Shortfalls
A 1053440.11 0.00 0.00 0.00 0.00
M-1 117077.03 0.00 0.00 0.00 0.00
M-2 142372.54 0.00 0.00 0.00 0.00
M-3 81457.32 0.00 0.00 0.00 0.00
CE 815941.20 NA 0.00 0.00 0.00
TOTAL 2210288.20 0.00 0.00 0.00 0.00
Section 4.02 (xvi.)
PREPAYMENT INTEREST SHORTFALLS
Prepayment Interest Shortfalls not covered by Servicer: 0.00
Section 4.02 (xvii.)
Relief Act Interest Shortfall 0.00
Section 4.02 Fraud Loss Amount 8849250.00
Bankruptcy Amount 100000.00
Special Hazard Amount 3694760.00
Section 4.02 Required Overcollateralized Amount 5899600.00
Credit Enhancement Percentage 24.56031%
Section 4.02 Overcollateralization Increase Amount
0.00
Section 4.02 Overcollateralization Reduction Amount
0.00
Section 4.02 (xxii.)
PASS THROUGH RATE
A 5.23234% 5.81438%
M-1 5.41234% 5.99438%
M-2 5.69234% 6.27438%
M-3 6.34234% 6.92438%
CE 3.37132%
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 Account 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 815941.20
Delinquency Percentage 1.79205%
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
U.S. Bank National Association
Dated: December 31, 1998
