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 19, 1994
Lomas Financial Corporation
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(Exact name of registrant as specified in its charter)
Delaware 1-6868 75-1043392
(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification No.)
1600 Viceroy Drive, Dallas, Texas 75235
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (214) 879-4000
None
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(Former name or former address, if changed since last report)
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Lomas Financial Corporation
Form 8-K
Item 5. Other Events.
Pursuant to General Instruction F to Form 8-K, the Registrant
hereby incorporates by reference the press release attached as
Exhibit 1 hereto.
Item 7. Financial Statements and Exhibits.
(a) None.
(b) None.
(c) Exhibits.
1. Press Release of Lomas Financial Corporation dated
December 19, 1994.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, as amended, the registrant has duly caused this report to be
signed on its behalf by the undersigned hereunto duly authorized.
LOMAS FINANCIAL CORPORATION
(Registrant)
By: /S/GARY WHITE
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Gary White
Senior Vice President and
Controller
Date: December 20, 1994
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INDEX TO EXHIBITS
Exhibit No. Description Page No.
- ----------- ----------- --------
1 Press Release of Lomas Financial 5
Corporation dated December 19, 1994
Exhibit 1
FOR IMMEDIATE RELEASE Contacts: Bert Byerley
- --------------------- 214/879-5588
Gary White
214/879-5540
LOMAS FINANCIAL CORPORATION COMPLETES SALE OF
THE ASSETS OF LOMAS INFORMATION SYSTEMS
DALLAS -- December 19, 1994 -- Lomas Financial Corporation
(NYSE: LFC) announced today that it has completed the sale of
substantially all of the assets of Lomas Information Systems, Inc.
("LIS") to Residential Information Services Limited Partnership
("RIS"), a newly formed affiliate of Residential Services Corporation
of America ("RSCA"). RSCA is a subsidiary of The Prudential Insurance
Company of America. As previously disclosed, as consideration for the
sale Lomas received $2.5 million in cash; an $8.0 million note due
five years after closing and accruing interest at a rate per annum of
8% payable at maturity, which note can be adjusted based on future
financial performance of the information systems unit; and a
contingent interest equal to 35 percent of the purchaser's adjusted
gross revenues in excess of $55 million per year generated during the
seven years ending December 31, 2001.
RSCA today confirmed that it intends to convert its current
$75 billion, 550,000 loan servicing portfolio to the EXCELIS Mortgage
Loan Servicing System acquired from LIS and that it will keep RIS in
the Dallas area.
-more-<PAGE>
Exhibit 1
(Continued)
Lomas Financial Corporation -2- December 19, 1994
Jess Hay, chairman of Lomas, in commenting on the transaction,
said, "Now that we have closed the transaction, I want to say again
how very pleased we are that our information services business in the
future will reside in the strong hands of the mortgage related
subsidiaries of The Prudential and we look forward to working with
them through an orderly transition to assure continuation of quality
service to all of Lomas Information Systems' customers. The sale is
a 'win-win' transaction. For Lomas, it means the elimination of
operating losses which in fiscal 1994 totaled $23.2 million and the
cessation of cash subsidy requirements which have been running at the
rate of about $15.0 million per year. From the purchaser's
perspective on the other hand, the LIS products include technology
which we believe to be the best currently available to the mortgage
industry and, in concert with the marketing and financial strength of
the purchaser, the quality of those products and the extraordinary
technical competence of the LIS staff should generate increased
revenues and attractive operating results in the future."
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