SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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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): August 11, 1998 (July
31, 1998)
CRIIMI MAE Inc.
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(Exact name of registrant as specified in its charter)
Maryland 1-10360 52-1622022
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
11200 Rockville Pike, Rockville, Maryland 20852
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(Address of principal executive office) (Zip code)
Registrant's telephone number including area code: (301) 816-2300
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(Former name or former address, if changed since last report)
Exhibit Index on Page 4<PAGE>
Item 5. Other Events.
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CRIIMI MAE Inc. (the "Company") issued its monthly report on origination,
acquisition, securitization, resecuritization and servicing activities for
July 1998. A copy of the report is attached hereto as Exhibit 99.1, and is
incorporated in its entirety by reference in response to this item.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
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c) Exhibits
99.1 CRIIMI MAE Inc. Monthly Ticker - July 31, 1998.
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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.
CRIIMI MAE Inc.
Date: August 11, 1998 By: /s/ H. William Willoughby
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H. William Willoughby
President
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INDEX TO EXHIBITS
FORM 8-K
Exhibit Page
99.1 CRIIMI MAE Inc. Monthly Ticker - July 31, 1998.
[CRIIMI MAE LOGO]
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CRIIMI MAE Inc. - MONTHLY TICKER - July 31, 1998
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....NYSE Close 7/31/98 $13 7/8....Common Shares Outstanding 48.39mil....
Market Cap. $671.5mil.... Dividend Yield 11.5%....
CRIIMI MAE in the News:
08/04/98 - CRIIMI MAE Chairman and President purchased $30,000 Common Shares.
07/27/98 - CRIIMI MAE announces Record 2nd Quarter Earnings, Introduces FFO as
measure of performance.
07/02/98 - Interview - CRIIMI MAE avoids IO's, ARM, REIT losses (Reuters)
06/30/98 - CRIIMI MAE - announces new purchase of Subordinated CMBS,
differentiates itself form residential Mortgage REITS.
06/09/98 - CRIIMI MAE - "largely insulated" from prepayments: Financial chief
(Dow Jones News Service)
06/05/98 - CRIIMI MAE - increases common dividend to 40 cents per share.
06/01/98 - CRIIMI MAE - Sells $468M Via Re-securitization (Commercial Property
News)
<TABLE>
<CAPTION>
Commercial Loan Originations
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...Closed first "No-Lock" large loan of $41m on June 30. Hired regional
manager for new Chicago office....
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Jul-98 3Q98 YTD98
<S> <C> <C> <C>
Loans under application at 7/31 $246m $n/a n/a
Volume Closed $100m 100m $555m
Number of Loans 35 35 136
</TABLE>
Loan Securitization Program
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...Closed industry's first securitization of "No-Lock" commercial mortgages in
June 98....
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To date accumulation for future securitizations (orig loan amt) $284m
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Closed CRIIMI MAE CMBS Corp 1998 C-1 Jun-98
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Securitization size (face) $496m
Bonds sold to public (face) $397m
Bonds retained (face) $ 99m
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<TABLE>
<CAPTION>
CMBS Acquisition Program
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....CMBS industry production for 1H98 was $43 billion compared to $44 billion
for all of 1997(source: Commercial Mortgage Alert). All purchase commitments
subject to due diligence....
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<S> <C> <C> <C>
Closed Transactions Jul-98 3Q1998 YTD98
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Purchase Price none none $ 787m
Face Amount none none $1,084m
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Announced Transactions - not yet closed
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Purchase Price $66m
Face Amount $86m
</TABLE>
Resecuritization Program
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...CBO Objective: reduced interest rate exposure by replacing floating rate
debt with fixed rate debt, generate excess proceeds, fund portion of business
plan internally. Future transactions may include investments retained from
any prior securitization or resecuritizations.
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To date accumulation for next resecuritization (current face)
$659m
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Closed CRIIMI MAE Comm. Mtg Trust 1998 C1 May-98
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Resecuritization size (face) $ 1,772m
Bonds sold to public (face) $ 468m
Bonds Retained (face) $ 1,304m
Excess proceeds generated $ 160m
Realized Gain on Sale - Inv. Grade Securities. $ 29m
<TABLE>
<CAPTION>
Servicing Portfolio - (information is on 30 day delay)
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...To date, CRIIMI MAE has experienced no loss of principal on any loans
placed into "special servicing". FITCH IBCA upgraded special servicer rating
to "above average" on 5/11/98...Default rate of 34bps compares favorably to
average annual default rate of 197bps for conduit loans reported in FITCH IBCA
1997 "Trends in Comm Mtg Default Rates" (7/20)
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<S> <C> <C> <C>
CMBS Other Total
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Current Unpaid Principal Balance $30,013 $1,517 $31,530
Number of Loans 5,711 302 6,013
Currently in monentary or covenant
default (bps) 0.36% 0.00% 0.34%
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</TABLE>
<TABLE>
<CAPTION>
Total Loan Originations
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($ millions)
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<S> <C>
1st Quarter 1997 $ 0 (approx)
2nd Quarter 1997 18.2 (approx)
3rd Quarter 1997 9.0 (approx)
4th Quarter 1997 183.0 (approx)
1st Quarter 1998 168.1 (approx)
2nd Quarter 1998 287.2 (approx)
</TABLE>
<TABLE>
<CAPTION>
CMBS Acquisitions
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Purch Price ($ millions)
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<S> <C>
1st Quarter 1997 $ 0 (approx)
2nd Quarter 1997 81.0 (approx)
3rd Quarter 1997 129.5 (approx)
4th Quarter 1997 343.4 (approx)
1st Quarter 1998 337.0 (approx)
2nd Quarter 1998 449.9 (approx)
</TABLE>
<TABLE>
<CAPTION>
Servicing Portfolio
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($ billions)
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<S> <C>
1st Quarter 1997 $ 6.4 (approx)
2nd Quarter 1997 8.8 (approx)
3rd Quarter 1997 11.0 (approx)
4th Quarter 1997 16.5 (approx)
1st Quarter 1998 23.0 (approx)
2nd Quarter 1998 31.5 (approx)
</TABLE>
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CRIIMI MAE Inc. Contacts
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For institutional investors:
Andrew P. Blocher (301) 231-0371 [email protected]
For shareholders and brokers:
Susan B. Railey (301)468-3120 [email protected]
For news media:
James T. Pastore (202)546-6451 [email protected]
On the Web:
www.criimimaeinc.com
The historical information contained herein is accurate only as of July 31,
1998 and should not be relied upon as it is subject to change. CRIIMI MAE is
under no obligation to update this information at any time. For complete
financial and risk factor information, see CRIIMI MAE's most recent quarterly
report on Form 10-Q, or its annual report on Form 10-K.
