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) June 14, 1999
ASSOCIATES FIRST CAPITAL CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE 06-0876639
(State or other jurisdiction (I.R.S. Employer
of incorporation) Identification Number)
2-44197
(Commission File Number)
250 E. Carpenter Freeway, Irving, Texas 75062-2729
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (972) 652-4000
<PAGE>
Item 5. Other Events.
On June 14, 1999, Associates First Capital Corporation (the
"Registrant") announced it has reached an agreement to sell Balboa Life and
Casualty Insurance group ("Balboa") to Countrywide Credit Industries, Inc.
The sale price was $425 million and the transaction is subject to regulatory
approval. The Associates acquired Balboa when it purchased Avco Financial
Services earlier this year.
A copy of the news release dated June 14, 1999 issued by the Registrant
is attached as Exhibit 20 and incorporated by reference herein.
Item 7. Financial Statements and Exhibits.
(c) Exhibits.
20 - News Release by Associates First Capital Corporation
dated June 14, 1999
SIGNATURE
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 hereunto duly authorized.
ASSOCIATES FIRST CAPITAL CORPORATION
By: /s/ Frederic C. Liskow
-------------------
Frederic C. Liskow
Assistant Secretary
Date: June 14, 1999
<PAGE>
ASSOCIATES FIRST CAPITAL CORPORATION
ANNOUNCES SALE OF
BALBOA INSURANCE UNIT TO COUNTRYWIDE
DALLAS, June 14, 1999 - Associates First Capital Corporation
(NYSE- AFS) today announced it has reached an agreement to sell
its Balboa Life and Casualty Insurance group to Countrywide Credit
Industries, Inc. The sale price was $425 million and the
transaction is subject to regulatory approval. The Associates
acquired Balboa when it purchased Avco Financial Services earlier
this year.
Balboa's businesses include collateral protection insurance
for home and auto loans as well as credit-related insurance
products. It serves more than 1500 financial institutions
nationwide. The Associates will retain the Balboa business
related to the Avco Financial Services offices acquired earlier
this year.
"This agreement allows us to focus on products that fit
strategically within our existing insurance business and make the
most sense for our consumer and commercial finance customers,"
said David Brooks, senior executive vice president of Insurance
and Business Development at Associates First Capital Corporation.
"The purchase of Balboa is another key step in our evolution
into a one-stop, home- centric, financial services marketplace.
We are delighted to welcome Balboa's management team and employees
to our team of more than 11,000 employees," said Angelo R. Mozilo,
chairman of Countrywide. "Our captive insurance agency, which is
among the largest personal insurance agencies in the nation, will
naturally integrate with Balboa and provide highly achievable
synergies."
Associates First Capital Corporation (NYSE:AFS), established
in 1918, is a leading diversified finance company providing
consumer and commercial finance, leasing, insurance and related
services worldwide. The Associates has operations in the United
States and 15 international markets. Headquartered in Dallas, it
is one of the nation's 100 largest companies, based on total
market capitalization. For more information visit The Associates
Web site at www.theassociates.com.
Founded in 1969, Countrywide Credit Industries, Inc.
originates, purchases, sells and services loans for single-family
homes through its primary subsidiary, Countrywide Home Loans, Inc.
The company is headquartered in Calabasas, Calif. and has more
than 11,000 employees with more than 550 offices across the
nation. For more information, visit Countrywide's website at
www.countrywide.com.
This news release may contain certain forward-looking
statements. The factors which may cause future results to differ
materially from expectations are discussed in the Form 10-K for
the year ended Dec. 31, 1998, filed with the Securities and
Exchange Commission.
# # #
Contacts:
The Associates:
Media: (972) 652-4522
www.theassociates.com
Securities Analysts: (972) 652-7294
[email protected]
Shareholders: 1-888-NYSE-AFS
Countrywide: Eric Sieracki
(818)225-3550
