================================================================================
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) September 26, 1999
SUPERIOR BANK FSB (as depositor under the Pooling and Servicing Agreement, dated
as of June 1, 1999, providing for the issuance of AFC Mortgage Loan Asset Backed
Certificates, Series 1999-2)
SUPERIOR BANK FSB
----------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
United States 333-61691 36-1414142
- ----------------------------- ------------ ----------------------
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification Number)
One Lincoln Centre
Oakbrook Terrace, Illinois 60181
- --------------------------- ----------------------
(Address of Principal (Zip Code)
Executive Offices)
Registrant's telephone number, including area code (630) 916-4000
================================================================================
<PAGE>
Item 5. Other Events
On September 26, 1999 (a "Remittance Date") a scheduled remittance was made
to the Certificateholders with respect to AFC Mortgage Loan Asset Backed
Certificates, Series 1999-2, issued pursuant to a Pooling and Servicing
Agreement, dated as of June 1, 1999, among Superior Bank FSB., as Depositor and
Servicer and LaSalle National Bank, as Trustee. The information contained in the
Servicer's Monthly Remittance Report to the Trustee, which shall be forwarded by
the Trustee to the Certificateholders, is attached hereto as Exhibit 21.1 and is
incorporated herein by reference.
Capitalized terms used herein and not defined shall have the same meanings
ascribed to them in the Pooling and Servicing Agreement.
Items 2 through 4 and Items 6 and 8 are not included because they are not
applicable.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(a) Not applicable
(b) Not applicable
(c) Exhibits
21.1 Monthly Remittance Report for the month of September, 1999.
<PAGE>
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.
SUPERIOR BANK F.S.B.
By: /s/ WILLIAM C. BRACKEN
--------------------------------
Name: William C. Bracken
Title: Senior Vice President
Dated: September 26, 1999
<PAGE>
EXHIBITS TABLE
21.1 Monthly Remittance Report for the month of September, 1999.
<PAGE>
EXHIBIT 21.1
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 1 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
<TABLE>
<CAPTION>
<C> <S> <C>
1 Total Actual Principal Collections 2,798,767.14
2 Total Permanent Buydown Companion Principal 36,109.88
3 Total Actual Interest Collections 2,926,760.71
4 Less Service Fees Service Fees Previously Remitted 176,739.84
------------
5 Additional Proceeds 0.00
6 Total Collections: 5,584,897.89
7 Pre-Funding Account Transfer 0.00
8 Interest Coverage Account Transfer 0.00
9 Deferred Interest Coverage Account Transfer 44,730.42
------------
10 Aggregate Amount Received: 5,629,628.31
Monthly Advances
11 Interest Advance 414,137.83
12 Compensating Interest 9,466.25
13 Amounts Held for Future Distributions 0.00
14 Cross Collateral Deposit 0.00
15 Reserve Withdrawal per Sec. 6.14c 0.00
------------
16 Available Remittance Amount: 6,053,232.39
17 Service Fees 2,706.13
18 Expense Account Deposit: 3,051.27
------------
19 Adjusted Remittance Amount: 6,047,474.99
Remaining Amount Available:
20 Adjusted Remittance Amount 6,047,474.99
21 Insured Payments 0.00
22 Monthly Premium @ 20 bp
due Certificate Insurer 61,025.40
23 Cross Collateral Withdrawal 0.00
24 Class Remittance Amounts 5,986,449.59
25 Non-Recoverable Advances not
Previously Reimbursed 0.00
------------
Total Remaining Amount Available: 0.00
============
Amount of Reimbursements Pursuant to Sec. 5.04
26 Servicing Fee 0.00
27 Monthly Advances and Servicer Advances 0.00
28 Other Mortgage Payments 0.00
29 Interest Earned on P&I Deposits 0.00
30 Additional Servicing Compensation 0.00
</TABLE>
Page 1 of 4
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 1 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
<TABLE>
<CAPTION>
Total Class 1A Class R
----- --------- -------
<C><S> <C> <C> <C>
31 Loans Outstanding - BOM 6601
32 Original Loan Balance 378,868,726.90 378,868,726.90
33 Original Permanent Buydown Companion Loan Balance 2,305,704.84 2,305,704.84
34 Pre-Funding Account Balance 0.00 0.00
35 Additional Principal Reduction, LTD 12,187,175.95 12,187,175.95
36 Realized Losses, LTD 0.00 0.00
37 Permanent Buydown Companion Loan Losses, LTD 0.00 0.00
38 Carryforward Amount 0.00 0.00
39 Aggregate Unpaid Principal Balance of Delinquent
Loans Repurchased per Sec. 5.11 0.00 0.00
----------------------------------------------------------------
40 Total Class Principal Balance 368,987,255.79 368,987,255.79
41 Pool Factor per Loan Balance 101.0316605% 101.0316605%
42 Pool Factor per Class Balance 98.3966015% 98.3966015%
43 Excess Spread 0.00 0.00
44 Cross Collateral Withdrawal 0.00 0.00
45 Cross Collateral Deposit 0.00 0.00
46 Additional Principal due Class A 1,207,125.04 1,207,125.04
47 Interest Remittance @ Pass-Through Rates 1,944,447.53 1,944,447.53
PRINCIPAL ADDITIONS:
48 Number of loans 0 0
49 Transfers from Pre-Funding Account 0.00 0.00
PRINCIPAL REDUCTIONS:
50 Prepayments - Number 41 41
51 Prepayments - Dollar 2,343,070.65 2,343,070.65
52 Delinquent Loans Repurchased - Number 0 0.00
53 Delinquent Loans Repurchased - Dollar 0.00 0.00
54 Net Liquidation Proceeds 0.00 0.00
55 Curtailments 67,457.83 67,457.83
56 Normal and Excess Payments 388,238.66 388,238.66
Permanent Buydown Companion Principal 36,109.88 36,109.88
57 Pre-Funding Account Transfer 0.00 0.00
---------------------------------------------------------------
58 Total Principal Remittance 2,834,877.02 2,834,877.02
59 Additional Principal Reduction 1,207,125.04 1,207,125.04
---------------------------------------------------------------
60 Total Remittance 5,986,449.59 5,986,449.59 0.00
===============================================================
61 Current Month Realized Loss - Number 0 0
62 Current Month Realized Loss - Dollar 0.00 0.00
63 Current Month Permanent Buydown Companion Loan
Realized Loss - Dollar 0.00 0.00
CLASS PRINCIPAL BALANCE - EOM
64 Loans Outstanding - EOM 6560
65 Closing Loan Balance 376,069,959.76 376,069,959.76
66 Closing Permanent Buydown Companion Loan Balance 2,269,594.96 2,269,594.96
67 Pre-Funding Account Balance 0.00 0.00
68 Additional Principal Reduction, LTD 13,394,300.99 13,394,300.99
69 Realized losses, LTD 0.00 0.00
70 Permanent Buydown Companion Loan Losses, LTD 0.00
71 Aggregate Unpaid Principal Balance of Delinquent
72 Loans Repurchased per Sec. 5.11 0.00 0.00
----------------------------------------------------------------
73 Total Class Principal Balance 364,945,253.73 364,945,253.73
74 Pool Factor per Loan Balance 100.2853226% 100.2853226%
75 Pool Factor per Class Balance 97.3187343% 97.3187343%
</TABLE>
Page 2 of 4
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 1 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
<TABLE>
<CAPTION>
Total Class A-1
----- ---------
<C><S> <C> <C> <C>
76 Weighted Note Rate - THIS Remittance 10.83607%
77 Weighted Note Rate - NEXT Remittance 10.83228%
78 Related Remittance Period for Libor Rate 25-Aug-99 thru 26-Sep-99
79 Days in Related Period 33
80 Pass-Through Rates 5.74875%
81 Weighted Average Remaining Term 252.06
82 Original Pool - Principal Balance 248,139,272.81 248,139,272.81
83 Original Pool - Permanent Buydown Companion Balance 2,377,695.39 2,377,695.39
84 Original Pool - Pre-Funding Account 133,928,990.05 133,928,990.05
85 Original Pool - Additional Principal Reduction 9,445,958.25 9,445,958.25
------------------------------------------------------------------
86 Original Pool Total 375,000,000.00 375,000,000.00
87 Original Pool - Number of Loans 4310
- ------------------------------------------------------------------------------------------------------------------------------------
CLASS A OVERCOLLATERALIZATION RECONCILIATION
--------------------------------------------
Beg.of Month Current Month End of Month
------------------------------------------------------------------
88 Additional Principal Reduction, LTD 12,187,175.95 1,207,125.04 13,394,300.99
89 Cross Collateral Deposits 0.00 0.00 0.00
90 Realized Losses, LTD 0.00 0.00 0.00
91 Permanent Buydown Companion Loan Losses, LTD 0.00 0.00 0.00
------------------------------------------------------------------
92 Overcollateralization of Principal 12,187,175.95 1,207,125.04 13,394,300.99
==================================================================
93 Base Overcollateralization Required 26,171,676.01
94 Required Overcollateralization Amount 26,171,676.01
CURRENT MONTH SUBORDINATED AMOUNT Beg.of Month Current Month End of Month
--------------------------------- ------------------------------------------------------------------
95 Original Subordinated Amount 45,848,191.54 N/A 45,848,191.54
96 Less: Cumulative Realized Losses (excluding
Permanent Buydown Companion Loans) 0.00 0.00 0.00
97 Plus: Cumulative Additional Proceeds 0.00 0.00 0.00
------------------------------------------------------------------
98 Current Subordinated Amount 45,848,191.54 45,848,191.54
==================================================================
NONRECOVERABLE ADVANCE RECONCILIATION
-------------------------------------
99 Beginning of Month 0.00
100 Current Month Unpaid Nonrecoverable Advance 0.00
101 Less: Current Month Reimbursement 0.00
---------------
102 End of Month 0.00
</TABLE>
Page 3 of 4
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 1
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 1 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
<TABLE>
<CAPTION>
Total Class A1
----- --------
<C> <S> <C> <C>
103 Total Class Principal - Original Pool $375,000,000.00 $375,000,000.00
104 Interest Remittance Amount 1,944,447.53 1,944,447.53
105 Interest Rate Factor / 1000 5.185193 5.185193
106 Total Principal Collections 2,834,877.02 2,834,877.02
107 Prefunding Account Transfer 0.00 0.00
108 Additional Principal Reduction 1,207,125.04 1,207,125.04
------------------------------------------
109 Principal Remittance Amount 4,042,002.06 4,042,002.06
110 Principal Payment Factor/1000 10.778672 10.778672
111 Principal Factor 973.187344 973.187344
112 Prior Month Principal Factor 983.966016 983.966016
</TABLE>
Page 4 of 4
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 2 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
1 Total Actual Principal Collections 2,953,879.54
3 Total Actual Interest Collections 2,355,018.62
4 Less Service Fees Service Fees Previously Remitted 142,261.83
5 Additional Proceeds
-------------
6 Total Collections: 5,166,636.33
7 Pre-Funding Account Transfer 0.00
8 Interest Coverage Account Transfer 0.00
9 Deferred Interest Coverage Account Transfer 37,173.94
-------------
10 Aggregate Amount Received: 5,203,810.27
Monthly Advances
11 Interest Advance 504,363.89
12 Compensating Interest 7,417.26
13 Amounts Held for Future Distributions 0.00
14 Cross Collateral Deposit 0.00
15 Reserve Withdrawal per Sec. 6.14c 0.00
-------------
16 Available Remittance Amount: 5,715,591.42
17 Service Fees 2,256.67
18 Expense Account Deposit: 2,629.59
-------------
19 Adjusted Remittance Amount: 5,710,705.16
Remaining Amount Available:
20 Adjusted Remittance Amount 5,710,705.16
21 Insured Payments 0.00
22 Monthly Premium @ 20 bp
due Certificate Insurer 52,591.89
23 Cross Collateral Withdrawal 0.00
24 Class Remittance Amounts 5,658,113.27
25 Non-Recoverable Advances not
Previously Reimbursed 0.00
------------
Total Remaining Amount Available: 0.00
=============
Amount of Reimbursements Pursuant to Sec. 5.04
26 Servicing Fee 0.00
27 Monthly Advances and Servicer Advances 0.00
28 Other Mortgage Payments 0.00
29 Interest Earned on P&I Deposits 0.00
30 Additional Servicing Compensation 0.00
Page 1 of 4
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 2 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
<TABLE>
<CAPTION>
Total Class 1A Class R
----- -------- -------
<C> <S> <C> <C> <C>
31 Loans Outstanding - BOM 3647
32 Original Loan Balance 327,930,027.46 327,930,027.46
34 Pre-Funding Account Balance 0.00 0.00
35 Initial Overcollateralization 9,424,782.22 9,424,782.22
36 Realized Losses, LTD 0.00 0.00
38 Carryforward Amount 0.00 0.00
39 Aggregate Unpaid Principal Balance of Delinquent
Loans Repurchased per Sec. 5.11 0.00 0.00
---------------------------------------------------
40 Total Class Principal Balance 318,505,245.24 318,505,245.24
41 Pool Factor per Loan Balance 100.9015469% 100.9015469%
42 Pool Factor per Class Balance 98.0016139% 98.0016139%
43 Excess Spread 0.00 0.00
44 Cross Collateral Withdrawal 0.00 0.00
45 Cross Collateral Deposit 0.00 0.00
46 Additional Principal due Class A 1,072,524.72 1,072,524.72
47 Interest Remittance @ Pass-Through Rates 1,631,709.01 1,631,709.01
PRINCIPAL ADDITIONS:
48 Number of loans 0 0
49 Transfers from Pre-Funding Account 0.00 0.00
PRINCIPAL REDUCTIONS:
50 Prepayments - Number 25 25
51 Prepayments - Dollar 2,407,687.91 2,407,687.91
52 Delinquent Loans Repurchased - Number 0 0.00
53 Delinquent Loans Repurchased - Dollar 0.00 0.00
54 Net Liquidation Proceeds 0.00 0.00
55 Curtailments 418,060.56 418,060.56
56 Normal and Excess Payments 128,131.07 128,131.07
Permanent Buydown Companion Principal 0.00 0.00
57 Pre-Funding Account Transfer 0.00 0.00
---------------------------------------------------
58 Total Principal Remittance 2,953,879.54 2,953,879.54
59 Additional Principal Reduction 1,072,524.72 1,072,524.72
---------------------------------------------------
60 Total Remittance 5,658,113.27 5,658,113.27 0.00
===================================================
61 Current Month Realized Loss - Number 0 0
62 Current Month Realized Loss - Dollar 0.00 0.00
CLASS PRINCIPAL BALANCE - EOM
64 Loans Outstanding - EOM 3622
65 Closing Loan Balance 324,976,147.92 324,976,147.92
67 Pre-Funding Account Balance 0.00 0.00
68 Additional Principal Reduction, LTD 10,497,306.94 10,497,306.94
69 Realized losses, LTD 0.00 0.00
70 Permanent Buydown Companion Loan Losses, LTD 0.00
71 Aggregate Unpaid Principal Balance of Delinquent
72 Loans Repurchased per Sec. 5.11 0.00 0.00
---------------------------------------------------
73 Total Class Principal Balance 314,478,840.98 314,478,840.98
74 Pool Factor per Loan Balance 99.9926609% 99.9926609%
75 Pool Factor per Class Balance 96.7627203% 96.7627203%
</TABLE>
Page 2 of 4
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 2 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
<TABLE>
<CAPTION>
Total Class A-1
----- ---------
<C> <S> <C> <C> <C>
76 Weighted Note Rate - THIS Remittance 10.74981 %
77 Weighted Note Rate - NEXT Remittance 10.74802%
78 Related Remittance Period for Libor Rate 25-Aug-99 thru 26-Sep-99
79 Days in Related Period 33
80 Pass-Through Rates 5.58875%
81 Weighted Average Remaining Term 355.24
82 Original Pool - Principal Balance 213,783,852.37 213,783,852.37
83 Original Pool - Permanent Buydown Companion Balance 0.00 0.00
84 Original Pool - Pre-Funding Account 118,187,547.02 118,187,547.02
85 Original Pool - Additional Principal Reduction 6,971,399.39 6,971,399.39
----------------------------------------------------
86 Original Pool Total 325,000,000.00 325,000,000.00
87 Original Pool - Number of Loans 2363
- ------------------------------------------------------------------------------------------------------------------
CLASS A OVERCOLLATERALIZATION RECONCILIATION
Beg.of Month Current Month End of Month
----------------------------------------------------
88 Additional Principal Reduction, LTD 9,424,782.22 1,072,524.72 10,497,306.94
89 Cross Collateral Deposits 0.00 0.00 0.00
90 Realized Losses, LTD 0.00 0.00 0.00
91 Permanent Buydown Companion Loan Losses, LTD 0.00 0.00 0.00
----------------------------------------------------
92 Overcollateralization of Principal 9,424,782.22 1,072,524.72 10,497,306.94
====================================================
93 Base Overcollateralization Required 19,586,312.56
94 Required Overcollateralization Amount 19,586,312.56
CURRENT MONTH SUBORDINATED AMOUNT Beg.of Month Current Month End of Month
----------------------------------------------------
95 Original Subordinated Amount 41,496,424.92 N/A 41,496,424.92
96 Less: Cumulative Realized Losses (excluding
Permanent Buydown Companion Loans) 0.00 0.00 0.00
97 Plus: Cumulative Additional Proceeds 0.00 0.00 0.00
----------------------------------------------------
98 Current Subordinated Amount 41,496,424.92 41,496,424.92
====================================================
NONRECOVERABLE ADVANCE RECONCILIATION
99 Beginning of Month 0.00
100 Current Month Unpaid Nonrecoverable Advance 0.00
101 Less: Current Month Reimbursement 0.00
--------------
102 End of Month 0.00
</TABLE>
Page 3 of 4
<PAGE>
ALLIANCE FUNDING COMPANY
by SUPERIOR BANK--FSB SERVICING DIVISION
Designated Servicer
SERVICER'S CERTIFICATE
1999-2 Group 2
In accordance with section 6.08 of the Pooling and Servicing Agreement
dated as of June 1, 1999
Superior Bank - FSB Servicing Division reports the following
information pertaining to Series 1999-2 Group 2 for September 27, 1999,
the Remittance date.
Due period ended: September 1, 1999
Class
Total A1
---------------------------------
103 Total Class Principal - Original Pool $325,000,000.00 $325,000,000.00
104 Interest Remittance Amount 1,631,709.01 1,631,709.01
105 Interest Rate Factor / 1000 5.020643 5.020643
106 Total Principal Collections 2,953,879.54 2,953,879.54
107 Prefunding Account Transfer 0.00 0.00
108 Additional Principal Reduction 1,072,524.72 1,072,524.72
---------------------------------
109 Principal Remittance Amount 4,026,404.26 4,026,404.26
110 Principal Payment Factor/1000 12.388936 12.388936
111 Principal Factor 967.627203 967.627203
112 Prior Month Principal Factor 980.016139 980.016139
Page 4 of 4
