SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form l0-Q
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended May 26, 2000
or
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from _________ to __________
Commission file number 33-26824
Bear Stearns Secured Investors Inc.
(Exact name of registrant as specified in its charter)
Delaware 13-3402173
(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
1601 Elm Street, Dallas, Texas 75201
(2l4) 754-8300
(Address, Including Zip Code, and Telephone Number,
Including Area Code of Registrant's Executive Offices)
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding twelve months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes X No
THE REGISTRANT MEETS THE CONDITIONS SET FORTH IN GENERAL INSTRUCTION H(1)(a) AND
(b) OF FORM 10-Q AND THEREFORE IS FILING THIS FORM WITH THE REDUCED DISCLOSURE
FORMAT CONTEMPLATED THEREBY.
<PAGE>
BEAR STEARNS SECURED INVESTORS INC.
INDEX
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Statements of Financial Condition (Unaudited) at May 26, 2000
and November 26, 1999.
Statements of Operations (Unaudited) for the three-months
ended May 26, 2000 and May 28, 1999 and for the
six-months ended May 26, 2000 and May 28, 1999.
Statements of Cash Flows (Unaudited) for the six-months ended
May 26, 2000 and May 28, 1999.
Notes to Financial Statements (Unaudited)
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
Part II. OTHER INFORMATION
Item 1. Legal Proceedings
Item 6. Exhibits and Reports on Form 8-K
Signature
<PAGE>
<TABLE>
BEAR STEARNS SECURED INVESTORS INC.
STATEMENTS OF FINANCIAL CONDITION
(UNAUDITED)
<CAPTION>
May 26, November 26,
2000 1999
----------------- -----------------
<S> <C> <C>
Assets
Cash and cash equivalents $ 1,000 $ 1,000
Receivable from affiliates 128,150 128,254
Other assets 686 686
----------------- -----------------
Total Assets $ 129,836 $ 129,940
================= =================
Stockholder's Equity
Common Stock, $.01 par value;
1,000 shares authorized; 100 shares issued and outstanding 1 1
Paid-in capital 500,999 500,999
Accumulated deficit (371,164) (371,060)
----------------- -----------------
Total Stockholder's Equity 129,836 129,940
----------------- -----------------
Total Liabilities and Stockholder's Equity $ 129,836 $ 129,940
================= =================
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
BEAR STEARNS SECURED INVESTORS INC.
STATEMENTS OF OPERATIONS
(UNAUDITED)
<CAPTION>
Three-Months Ended Six-Months Ended
------------------------------------ ------------------------------------
May 26, May 28, May 26, May 28,
2000 1999 2000 1999
-------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
Expenses $ 98 $ 1,052 $ 182 $ 1,163
-------------- -------------- -------------- --------------
Loss before income tax benefit 98 1,052 182 1,163
Income tax benefit (42) (458) (78) (506)
-------------- -------------- -------------- --------------
Net loss $ 56 $ 594 $ 104 $ 657
============== ============== ============== ==============
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
BEAR STEARNS SECURED INVESTORS INC.
STATEMENTS OF CASH FLOWS
(UNAUDITED)
Six-Months Ended
----------------------------------------
<CAPTION>
May 26, May 28,
2000 1999
---------------- ----------------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss $ 104 $ 657
---------------- ----------------
Cash used in operating activities (104) (657)
CASH FLOWS FROM FINANCING ACTIVITIES
Decrease in receivable from affiliates 104 -
Increase in payable to Parent - 657
---------------- ----------------
Cash provided by financing activities 104 657
CASH AND CASH EQUIVALENTS,
BEGINNING OF YEAR 1,000 1,000
---------------- ----------------
CASH AND CASH EQUIVALENTS,
END OF YEAR $ 1,000 $ 1,000
================ ================
See Notes to Financial Statements.
</TABLE>
<PAGE>
BEAR STEARNS SECURED INVESTORS INC.
NOTES TO FINANCIAL STATEMENTS
(Unaudited)
Note 1. Organization and Basis of Presentation
Bear Stearns Secured Investors Inc. (the "Company"), a direct wholly-owned
limited purpose finance subsidiary of The Bear Stearns Companies Inc. (the
"Parent"), was organized on November 26, 1986 as a Delaware corporation. The
Company's sole purpose is to issue and sell one or more series of collateralized
mortgage obligations ("CMO's") directly or through one or more trusts
established by it. In connection therewith, the Company provides management and
administrative services.
The Company's activities are limited to issuing CMO's that will be
collateralized by mortgage-backed certificates, whole residential or commercial
mortgage loans or participations therein, and, in connection therewith,
acquiring, owning, holding and pledging mortgage-backed certificates, whole
loans or commercial mortgage loans.
The financial statements are prepared in conformity with generally accepted
accounting principles which require management to make estimates and assumptions
that affect the amounts reported in the consolidated financial statements and
accompanying notes. Actual results could differ from those estimates.
Note 2. Collateralized Mortgage Obligations
During the three-months ended May 26, 2000 and May 28, 1999 the Company did not
issue any CMO's.
The Company clears all of its securities transactions relating to the purchase
of the underlying collateral and issuance of CMO's through an affiliate. An
affiliate also acts as the principal underwriter for the Company's CMO
issuances.
Note 3. Related Party Transactions
The Company is included in the consolidated federal and combined state and local
income tax returns of the Parent. Income taxes are computed on a separate
company basis. The Company is not charged nor does it receive interest on
intercompany balances.
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and Results
of Operations
The Company's principal business activity is the issuing of collateralized
mortgage obligations ("CMO's") that are secured by mortgage-backed certificates,
whole residential or commercial mortgage loans or participations therein, and in
connection therewith, acquiring, owning, holding, and pledging mortgage-backed
certificates, whole residential or commercial mortgage loans.
The Company had a net loss of $56 and $594 for the three-months ended May 26,
2000 and May 28, 1999, respectively. The Company had a net loss for the
six-months ended May 26, 2000 and May 28, 1999 of $104 and $657, respectively.
Net losses are the result of the Company incurring operating expenses with no
earned revenue. The Company did not issue any CMO's in each of the three-months
ended May 26, 2000 and May 28, 1999.
<PAGE>
Part II. OTHER INFORMATION
Item 1. Legal Proceedings
No legal proceedings are pending.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
(27) Financial Data Schedule
(b) Reports on Form 8-K
No reports on Form 8-K have been filed during the
period covered by this report.
<PAGE>
SIGNATURE
Pursuant to the requirements of Section 13 or 15(d) 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, on
the 10th day of July, 2000.
Bear Stearns Secured Investors Inc.
(Registrant)
By: /s/ Samuel L. Molinaro Jr.
Samuel L. Molinaro Jr.
Chief Financial Officer
