================================================================================
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) October 25, 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 October 25, 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 February 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 October, 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: October 25, 1999
<PAGE>
EXHIBITS TABLE
21.1 Monthly Remittance Report for the month of October, 1999.
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
OCTOBER 25, 1999, THE REMITTANCE DATE.
DUE PERIOD ENDED: OCTOBER 1, 1999
- --------------------------------------------------------------------------------
1 Total Actual Principal Collections 2,840,020.93
2 Total Permanent Buydown Companion Principal 44,001.03
3 Total Actual Interest Collections 3,143,283.46
4 Less Service Fees Service Fees Previously Remitted 189,498.54
5 Additional Proceeds
--------------------
6 Total Collections: 5,837,806.88
7 Pre-Funding Account Transfer 0.00
8 Interest Coverage Account Transfer 0.00
9 Deferred Interest Coverage Account Transfer 1,587.58
--------------------
10 Aggregate Amount Received: 5,839,394.46
Monthly Advances
11 Interest Advance 228,289.64
12 Compensating Interest 7,386.46
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: 6,075,070.56
17 Service Fees 0.00
18 Expense Account Deposit: 3,017.18
--------------------
19 Adjusted Remittance Amount: 6,072,053.38
Remaining Amount Available:
20 Adjusted Remittance Amount 6,072,053.38
21 Insured Payments 0.00
22 Monthly Premium @ 20 bp
due Certificate Insurer 60,343.54
23 Cross Collateral Withdrawal 0.00
24 Class Remittance Amounts 6,011,709.84
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>
<TABLE>
<CAPTION>
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
October 25, 1999, the Remittance date.
Due period ended: October 1, 1999
- ------------------------------------------------------------------------------------------------------------------------------------
Total Class 1A Class R
----- -------- --------
<S> <C> <C> <C> <C>
31 Loans Outstanding - BOM 6560
32 Original Loan Balance 376,069,959.76 376,069,959.76
33 Original Permanent Buydown Companion Loan Balance 2,269,594.96 2,269,594.96
34 Pre-Funding Account Balance 0.00 0.00
35 Additional Principal Reduction, LTD 13,394,300.99 13,394,300.99
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 364,945,253.73 364,945,253.73
41 Pool Factor per Loan Balance 100.2853226% 100.2853226%
42 Pool Factor per Class Balance 97.3187343% 97.3187343%
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 1,483,508.14 1,483,508.14
47 Interest Remittance @ Pass-Through Rates 1,644,179.74 1,644,179.74
PRINCIPAL ADDITIONS:
48 Number of loans 0 0
49 Transfers from Pre-Funding Account 0.00 0.00
PRINCIPAL REDUCTIONS:
50 Prepayments - Number 50 50
51 Prepayments - Dollar 2,506,063.72 2,506,063.72
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 4,133.64 4,133.64
56 Normal and Excess Payments 329,823.57 329,823.57
Permanent Buydown Companion Principal 44,001.03 44,001.03
57 Pre-Funding Account Transfer 0.00 0.00
-----------------------------------------------------------------------------
58 Total Principal Remittance 2,884,021.96 2,884,021.96
59 Additional Principal Reduction 1,483,508.14 1,483,508.14
=============================================================================
60 Total Remittance 6,011,709.84 6,011,709.84 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 6510
65 Closing Loan Balance 373,229,938.83 373,229,938.83
66 Closing Permanent Buydown Companion Loan Balance 2,225,593.93 2,225,593.93
67 Pre-Funding Account Balance 0.00 0.00
68 Additional Principal Reduction, LTD 14,877,809.13 14,877,809.13
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 360,577,723.63 360,577,723.63
74 Pool Factor per Loan Balance 99.5279837% 99.5279837%
75 Pool Factor per Class Balance 96.1540596% 96.1540596%
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Page 2 of 4
<PAGE>
<TABLE>
<CAPTION>
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
October 25, 1999, the Remittance date.
Due period ended: October 1, 1999
- ------------------------------------------------------------------------------------------------------------------------------------
Total Class A-1
----- ---------
<S><C> <C> <C> <C>
76 Weighted Note Rate - THIS Remittance 10.83228%
77 Weighted Note Rate - NEXT Remittance 10.82980%
78 Related Remittance Period for Libor Rate 27-SEP-99 thru 24-OCT-99
79 Days in Related Period 28
80 Pass-Through Rates 5.79250%
81 Weighted Average Remaining Term 251.23
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
- ------------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
CLASS A OVERCOLLATERALIZATION RECONCILIATION
Beg.of Month Current Month End of Month
--------------------------------------------------------
88 Additional Principal Reduction, LTD 13,394,300.99 1,483,508.14 14,877,809.13
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 13,394,300.99 1,483,508.14 14,877,809.13
========================================================
93 Base Overcollateralization Required * 26,362,710.14
94 Required Overcollateralization Amount 26,362,710.14
Current Month Subordinated Amount Beg.of Month Current Month End of Month
--------------------------------------------------------
95 Original Subordinated Amount * 46,612,328.07 N/A 46,612,328.07
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 46,612,328.07 46,612,328.07
========================================================
* Per Insurnace Agreement Supplement Dated 9/27/99
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
- ------------------------------------------------------------------------------------------------------------------------------------
Page 3 of 4
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
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
October 25, 1999, the Remittance date.
Due period ended: October 1, 1999
- ------------------------------------------------------------------------------------------------------------------------------------
Class
Total A1
---------------------------------------
<S> <C> <C> <C>
103 Total Class Principal - Original Pool $375,000,000.00 $375,000,000.00
104 Interest Remittance Amount 1,644,179.74 1,644,179.74
105 Interest Rate Factor / 1000 4.384479 4.384479
106 Total Principal Collections 2,884,021.96 2,884,021.96
107 Prefunding Account Transfer 0.00 0.00
108 Additional Principal Reduction 1,483,508.14 1,483,508.14
---------------------------------------
109 Principal Remittance Amount 4,367,530.10 4,367,530.10
110 Principal Payment Factor/1000 11.646747 11.646747
111 Principal Factor 961.540597 961.540597
112 Prior Month Principal Factor 973.187344 973.187344
- ------------------------------------------------------------------------------------------------------------------------------------
Page 4 of 4
</TABLE>
<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 OCTOBER 25, 1999, THE REMITTANCE DATE.
DUE PERIOD ENDED: OCTOBER 1, 1999
- --------------------------------------------------------------------------------
1 Total Actual Principal Collections 4,229,067.78
3 Total Actual Interest Collections 2,535,647.39
4 Less Service Fees Service Fees Previously Remitted 154,504.67
5 Additional Proceeds
--------------------
6 Total Collections: 6,610,210.50
7 Pre-Funding Account Transfer 0.00
8 Interest Coverage Account Transfer 0.00
9 Deferred Interest Coverage Account Transfer 1,728.48
--------------------
10 Aggregate Amount Received: 6,611,938.98
Monthly Advances
11 Interest Advance 337,299.22
12 Compensating Interest 14,628.40
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: 6,963,866.60
17 Service Fees 0.00
18 Expense Account Deposit: 2,585.41
--------------------
19 Adjusted Remittance Amount: 6,961,281.19
Remaining Amount Available:
20 Adjusted Remittance Amount 6,961,281.19
21 Insured Payments 0.00
22 Monthly Premium @ 20 bp
due Certificate Insurer 51,708.30
23 Cross Collateral Withdrawal 0.00
24 Class Remittance Amounts 6,909,572.89
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>
<TABLE>
<CAPTION>
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 October 25, 1999, the Remittance date.
Due period ended: October 1, 1999
- ------------------------------------------------------------------------------------------------------------------------------------
Total Class 1A Class R
----- -------- -------
<S><C> <C> <C> <C>
31 Loans Outstanding - BOM 3622
32 Original Loan Balance 324,976,147.92 324,976,147.92
34 Pre-Funding Account Balance 0.00 0.00
35 Initial Overcollateralization 10,497,306.94 10,497,306.94
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 314,478,840.98 314,478,840.98
41 Pool Factor per Loan Balance 99.9926609% 99.9926609%
42 Pool Factor per Class Balance 96.7627203% 96.7627203%
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 1,302,825.72 1,302,825.72
47 Interest Remittance @ Pass-Through Rates 1,377,679.39 1,377,679.39
PRINCIPAL ADDITIONS:
48 Number of loans 0 0
49 Transfers from Pre-Funding Account 0.00 0.00
PRINCIPAL REDUCTIONS:
50 Prepayments - Number 33 33
51 Prepayments - Dollar 4,007,649.69 4,007,649.69
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 102,395.31 102,395.31
56 Normal and Excess Payments 119,022.78 119,022.78
Permanent Buydown Companion Principal 0.00 0.00
57 Pre-Funding Account Transfer 0.00 0.00
---------------------------------------------------------------------------
58 Total Principal Remittance 4,229,067.78 4,229,067.78
59 Additional Principal Reduction 1,302,825.72 1,302,825.72
---------------------------------------------------------------------------
60 Total Remittance 6,909,572.89 6,909,572.89 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 3589
65 Closing Loan Balance 320,747,080.14 320,747,080.14
67 Pre-Funding Account Balance 0.00 0.00
68 Additional Principal Reduction, LTD 11,800,132.66 11,800,132.66
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 308,946,947.48 308,946,947.48
74 Pool Factor per Loan Balance 98.6914093% 98.6914093%
75 Pool Factor per Class Balance 95.0605992% 95.0605992%
- ------------------------------------------------------------------------------------------------------------------------------------
Page 2 of 4
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
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 October 25, 1999, the Remittance date.
Due period ended: October 1, 1999
- ------------------------------------------------------------------------------------------------------------------------------------
Total Class A-1
----- ---------
<S> <C> <C> <C> <C>
76 Weighted Note Rate - THIS Remittance 10.74802%
77 Weighted Note Rate - NEXT Remittance 10.75753%
78 Related Remittance Period for Libor Rate 27-Sep-99 thru 24-Oct-99
79 Days in Related Period 28
80 Pass-Through Rates 5.63250%
81 Weighted Average Remaining Term 354.23
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
- ------------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
CLASS A OVERCOLLATERALIZATION RECONCILIATION
Beg.of Month Current Month End of Month
--------------------------------------------------------
<S> <C> <C> <C> <C>
88 Additional Principal Reduction, LTD 10,497,306.94 1,302,825.72 11,800,132.67
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 10,497,306.94 1,302,825.72 11,800,132.67
========================================================
93 Base Overcollateralization Required * 21,246,169.56
94 Required Overcollateralization Amount 21,246,169.56
* PER INSURANCE AGREEMENT SUPPLEMENT DATED SEPTEMBER 27, 1999.
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
- ------------------------------------------------------------------------------------------------------------------------------------
Page 3 of 4
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
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 October 25, 1999, the Remittance date.
Due period ended: October 1, 1999
- ------------------------------------------------------------------------------------------------------------------------------------
Class
TOTAL A1
---------------------------------------
<S> <C> <C> <C>
103 Total Class Principal - Original Pool $325,000,000.00 $325,000,000.00
104 Interest Remittance Amount 1,377,679.39 1,377,679.39
105 Interest Rate Factor / 1000 4.239014 4.239014
106 Total Principal Collections 4,229,067.78 4,229,067.78
107 Prefunding Account Transfer 0.00 0.00
108 Additional Principal Reduction 1,302,825.72 1,302,825.72
---------------------------------------
109 Principal Remittance Amount 5,531,893.50 5,531,893.50
110 Principal Payment Factor/1000 17.021211 17.021211
111 Principal Factor 950.605992 950.605992
112 Prior Month Principal Factor 967.627203 967.627203
- ------------------------------------------------------------------------------------------------------------------------------------
Page 4 of 4
</TABLE>
