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: September 20, 1999
(Date of earliest event reported)
PaineWebber Mortgage Acceptance Corporation IV (as depositor under the Pooling
and Master Servicing Agreement, dated as of September 1, 1999, relating to the
Fremont Home Loan Trust 1999-3, Home Loan Asset Backed Certificates, Series
1999-3)
PaineWebber Mortgage Acceptance Corporation IV
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(Exact Name of Registrant as Specified in Charter)
Delaware 333-79283 06-1204982
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(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
1285 Avenue of the Americas
New York, New York 10019
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code (212) 713-2000
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(Former Name or Former Address, if Changed Since Last Report)
<PAGE>
ITEM 5. Other Events
Attached as an exhibit are certain Computational Materials (as
defined in the no-action letter dated May 20, 1994 issued by the Securities and
Exchange Commission to Kidder, Peabody Acceptance Corporation-I, Kidder, Peabody
& Co. Incorporated and Kidder Structured Asset Corporation (the "Kidder Letter")
as modified by a no-action letter (the "First PSA No-Action Letter") issued by
the staff of the Commission on May 27, 1994 to the Public Securities Association
(the "PSA") and as further modified by a no-action letter (the "Second PSA
No-Action Letter") issued by the staff of the Commission on March 9, 1995 to the
PSA) prepared by PaineWebber Incorporated which are hereby filed pursuant to
such letter.
<PAGE>
ITEM 7. Financial Statements and Exhibits
(c) Exhibits
Item 601(a)
of Regulation S-K
Exhibit No. Description
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(99.1) Computational Materials prepared by
PaineWebber Incorporated in connection
with Fremont Home Loan Trust 1999-3, Home
Loan Asset Backed Certificates, Series
1999-3
<PAGE>
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.
PAINEWEBBER MORTGAGE ACCEPTANCE
CORPORATION IV
September 21, 1999
By: /s/ Barbara Dawson
----------------------------
Name: Barbara Dawson
Title: Senior Vice President
<PAGE>
INDEX TO EXHIBITS
Paper (P) or
Exhibit No. Description Electronic (E)
- ----------- ----------- --------------
(99.1) Computational Materials prepared by E
PaineWebber Incorporated in connection
with Fremont Home Loan Trust 1999-3, Home
Loan Asset Backed Certificates,
Series 1999-3
--------------------------------------------
FREMONT HOME LOAN TRUST 1999-3
--------------------------------------------
PAINEWEBBER INCORPORATED
PRELIMINARY BACKGROUND INFORMATION
FREMONT HOME LOAN TRUST 1999-3
------------------------------
DISCLAIMER
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The information included herein is produced and provided exclusively by
PaineWebber Incorporated ("PW") as one of the underwriters for the Fremont Home
Loan Trust 1999-3, Home Loan Asset-Backed Certificates, Series 1999-3, and not
by or as agent for Fremont Investment & Loan or any of its affiliates
(collectively, the "Transferor" and "Master Servicer") or for PaineWebber
Mortgage Acceptance Corporation IV (the "Depositor"). Neither the Depositor nor
the Transferor has prepared, reviewed or participated in the preparation hereof,
nor are they responsible for the accuracy hereof and they have not authorized
the dissemination hereof. The analysis in this report is accurate to the best of
PW's knowledge and is based on information provided by the Transferor. PW makes
no representations as to the accuracy of such information provided by the
Transferor. THE INFORMATION HEREIN IS PRELIMINARY, AND WILL BE SUPERSEDED IN ITS
ENTIRETY BY THE APPLICABLE PROSPECTUS SUPPLEMENT AND PROSPECTUS AND BY ANY OTHER
INFORMATION SUBSEQUENTLY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.
All opinions and conclusions in this report reflect PW's judgment as of this
date and are subject to change. All analyses are based on certain assumptions
noted herein and different assumptions could yield substantially different
results. You are cautioned that there is no universally accepted method for
analyzing financial instruments. You should review the assumptions; there may be
differences between these assumptions and your actual business practices.
Further, PW does not guarantee any results and there is no guarantee as to the
liquidity of the instruments involved in this analysis. The decision to adopt
any strategy remains your responsibility. PW (or any of its affiliates) or their
officers, directors, analysts or employees may have positions in securities,
commodities or derivative instruments thereon referred to herein, and may, as
principal or agent, buy or sell such securities, commodities or derivative
instruments. In addition, PW may make a market in the securities referred to
herein. Neither the information nor the opinions expressed shall be construed to
be, or constitute, an offer to sell or buy or a solicitation of an offer to sell
or buy any securities, commodities or derivative instruments mentioned herein.
Finally, PW has not addressed the legal, accounting and tax implications of the
analysis with respect to you and PW strongly urges you to seek advice from your
counsel, accountant and tax advisor.
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THIS PAGE MUST BE ACCOMPANIED BY A DISCLAIMER. IF YOU DID NOT
RECEIVE SUCH A DISCLAIMER, PLEASE CONTACT YOUR PAINEWEBBER
INCORPORATED FINANCIAL ADVISOR IMMEDIATELY.
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PaineWebber
1
<PAGE>
--------------------------------------------
FREMONT HOME LOAN TRUST 1999-3
--------------------------------------------
CLASS B PRE-TAX YIELD TO MATURITY
(LIBOR + 0%)
Default Rates
----------- ------------------ ---------------- -------------
CPR % 0.00% CDR 1.00% CDR 2.00% CDR 4.00% CDR
- ------------ ----------- ------------------ ---------------- -------------
20% 9.76% 9.74% 9.70% 9.60%
27% 9.74% 9.72% 9.68% 9.62%
35% 9.72% 9.69% 9.66% 9.62%
CLASS B PRE-TAX YIELD TO MATURITY
(Libor + 2.00% over 18 months)
Default Rates
----------- ------------------ ---------------- -------------
CPR % 0.00% CDR 1.00% CDR 2.00% CDR 4.00% CDR
- ------------ ----------- ------------------ ---------------- -------------
20% 9.67% 9.63% 9.59% 9.53%
27% 9.65% 9.63% 9.60% 9.55%
35% 9.64% 9.62% 9.60% 9.58%
CLASS B PRE-TAX YIELD TO MATURITY
(Libor + 3.00% over 6 months)
Default Rates
----------- ------------------ ---------------- -------------
CPR % 0.00% CDR 1.00% CDR 2.00% CDR 4.00% CDR
- ------------ ----------- ------------------ ---------------- -------------
20% 9.58% 9.56% 9.54% 3.04%
27% 9.59% 9.57% 9.55% 1.92%
35% 9.60% 9.58% 9.56% 1.75%
CLASS B WEIGHTED AVERAGE LIFE (YEARS)
(Libor + 0%)
Default Rates
----------- ------------------ ---------------- -------------
CPR % 0.00% CDR 1.00% CDR 2.00% CDR 4.00% CDR
- ------------ ----------- ------------------ ---------------- -------------
20% 1.30 1.40 1.58 2.64
27% 1.38 1.50 1.72 2.40
35% 1.50 1.66 1.89 2.37
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THIS PAGE MUST BE ACCOMPANIED BY A DISCLAIMER. IF YOU DID NOT
RECEIVE SUCH A DISCLAIMER, PLEASE CONTACT YOUR PAINEWEBBER
INCORPORATED FINANCIAL ADVISOR IMMEDIATELY.
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PaineWebber
2
<PAGE>
--------------------------------------------
FREMONT HOME LOAN TRUST 1999-3
--------------------------------------------
CLASS B WEIGHTED AVERAGE LIFE (YEARS)
(Libor + 2.00% over 18 months)
Default Rates
----------- ------------------ ---------------- -------------
CPR % 0.00% CDR 1.00% CDR 2.00% CDR 4.00% CDR
- ------------ ----------- ------------------ ---------------- -------------
20% 1.84 2.24 2.89 5.04
27% 1.97 2.27 2.70 4.07
35% 2.12 2.36 2.61 3.20
CLASS B WEIGHTED AVERAGE LIFE (YEARS)
(Libor + 3.00% over 6 months)
Default Rates
----------- ------------------ ---------------- -------------
CPR % 0.00% CDR 1.00% CDR 2.00% CDR 4.00% CDR
- ------------ ----------- ------------------ ---------------- -------------
20% 3.13 3.68 4.53 7.77
27% 2.94 3.37 4.08 6.70
35% 2.75 3.01 3.55 5.95
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THIS PAGE MUST BE ACCOMPANIED BY A DISCLAIMER. IF YOU DID NOT
RECEIVE SUCH A DISCLAIMER, PLEASE CONTACT YOUR PAINEWEBBER
INCORPORATED FINANCIAL ADVISOR IMMEDIATELY.
- --------------------------------------------------------------------------------
PaineWebber
3
<PAGE>
--------------------------------------------
FREMONT HOME LOAN TRUST 1999-3
--------------------------------------------
ASSUMED LOAN CHARACTERISTICS - POOL 1
<TABLE>
<CAPTION>
REMAINING ORIGINAL
AMORTIZATION TERM TO
CUT-OFF DATE TERM MATURITY GROSS
TYPE PRINCIPAL BALANCE LOAN RATE (MONTHS) (MONTHS) MARGIN
- ---- ----------------- --------- -------- -------- ------
<S> <C> <C> <C> <C> <C>
arm $28,412,007.39 9.7496% 349 360 6.4543%
arm $28,216,233.04 9.6846% 352 358 6.2738%
arm $19,056,962.71 9.8880% 351 356 6.4042%
arm $41,897,651.89 10.0953% 358 360 6.1918%
arm $36,751,529.65 10.1385% 359 360 6.1848%
arm $25,322,977.03 9.9973% 358 360 6.2108%
arm $25,725,458.43 10.0361% 359 360 6.1345%
arm $27,294,847.25 9.8365% 358 360 6.0884%
fixed $20,734,379.19 10.0280% 341 342
arm $35,898,870.68 10.1385% 360 360 6.1848%
arm $23,300,702.53 10.0361% 360 360 6.1345%
arm $12,458,542.77 9.8365% 360 360 6.0884%
fixed $9,464,062.85 10.0280% 342 342
</TABLE>
Table continued
<TABLE>
<CAPTION>
GROSS
INITIAL SUBSEQUENT GROSS GROSS
RESET GROSS INITIAL PERIODIC LIFETIME LIFETIME
TYPE (MONTHS) PERIODIC CAP CAP CAP FLOOR
- ---- -------- ------------ --- --- -----
<S> <C> <C> <C> <C> <C>
arm 12 2.6750% 1.3944% 16.4988% 9.6346%
arm 18 2.9092% 1.3688% 16.4252% 9.6846%
arm 31 2.9530% 1.1756% 16.3727% 9.8880%
arm 21 2.9540% 1.4909% 17.0953% 10.0953%
arm 23 3.0000% 1.5000% 17.1359% 10.1359%
arm 34 3.0000% 1.5000% 16.9990% 9.9990%
arm 35 3.0000% 1.5000% 17.0361% 10.0361%
arm 58 3.0000% 1.5000% 16.8365% 9.8365%
fixed
arm 24 3.0000% 1.5000% 17.1359% 10.1359%
arm 36 3.0000% 1.5000% 17.0361% 10.0361%
arm 60 3.0000% 1.5000% 16.8365% 9.8365%
fixed
</TABLE>
ASSUMED LOAN CHARACTERISTICS - POOL 2
<TABLE>
<CAPTION>
CUT-OFF AMORTIZATION TERM TO
DATE LOAN TERM MATURITY GROSS
TYPE PRINCIPAL BALANCE RATE (MONTHS) (MONTHS) MARGIN
- ---- ----------------- ---- -------- -------- ------
<S> <C> <C> <C> <C> <C>
arm $15,215,229.74 9.4617% 349 360 6.3196%
arm $11,564,531.75 9.7759% 353 359 6.3063%
arm $8,922,747.17 9.4809% 354 360 6.4779%
arm $5,532,537.76 9.9357% 357 360 6.2051%
arm $18,989,401.72 9.8696% 358 360 6.1933%
arm $19,774,977.29 9.9194% 359 360 6.1113%
arm $14,518,061.70 9.9308% 358 360 6.1722%
arm $14,338,265.49 9.8792% 359 360 6.1974%
arm $8,723,156.97 9.8587% 359 360 6.1140%
fixed $8,070,006.17 10.1465% 349 351
arm $19,735,787.58 9.9194% 360 360 6.1113%
arm $12,856,478.18 9.8792% 360 360 6.1974%
arm $3,886,464.02 9.8587% 360 360 6.1140%
fixed $3,595,463.05 10.1465% 351 351
</TABLE>
Table continued
<TABLE>
<CAPTION>
GROSS
INITIAL SUBSEQUENT GROSS GROSS
RESET GROSS INITIAL PERIODIC LIFETIME LIFETIME
TYPE (MONTHS) PERIODIC CAP CAP CAP FLOOR
- ---- -------- ------------ --- --- -----
<S> <C> <C> <C> <C> <C>
arm 12 2.7017% 1.3930% 16.1852% 9.3180%
arm 18 2.9034% 1.3620% 16.4981% 9.7759%
arm 30 2.9303% 1.2546% 16.0377% 9.4809%
arm 17 2.5622% 1.4131% 16.9357% 9.9357%
arm 22 3.0000% 1.5000% 16.8696% 9.8696%
arm 23 3.0000% 1.5000% 16.9152% 9.9152%
arm 34 3.0000% 1.5000% 16.9308% 9.9308%
arm 35 3.0000% 1.5000% 16.8792% 9.8792%
arm 59 3.0000% 1.5000% 16.8587% 9.8587%
fixed
arm 24 3.0000% 1.5000% 16.9152% 9.9152%
arm 36 3.0000% 1.5000% 16.8792% 9.8792%
arm 60 3.0000% 1.5000% 16.8587% 9.8587%
fixed
</TABLE>
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THIS PAGE MUST BE ACCOMPANIED BY A DISCLAIMER. IF YOU DID NOT
RECEIVE SUCH A DISCLAIMER, PLEASE CONTACT YOUR PAINEWEBBER
INCORPORATED FINANCIAL ADVISOR IMMEDIATELY.
- --------------------------------------------------------------------------------
PaineWebber
4
