UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
FORM 10-Q
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1997
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: 33-28491
THE MORTGAGE BANCFUND OF AMERICA II, a California Limited Partnership
(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
California 33-0369995
STATE OR OTHER JURISDICTION OF INCORPORATION IRS EMPLOYER IDENTIFICATION NUMBER
2 Corporate Park, Ste. 106, Irvine, CA 92606
ADDRESS OF PRINCIPAL EXECUTIVE OFFICES(ZIP CODE)
(714) 253-2900
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE
N/A
FORMER NAME, FORMER ADDRESS AND FORMER FISCAL YEAR, IF CHANGED SINCE LAST REPORT
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 12 months (or for such shorter period that the registrant
was required to file reports), and (2) has been subject to such filing
requirements for the past 90 days.
YES X NO_______
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS:
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
subsequent to the distribution of securities under a plan confirmed by a court.
N/A
YES NO_______
APPLICABLE ONLY CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date. N/A
MORTGAGE BANCFUND OF AMERICA II,L.P.
(a California Limited Partnership)
Index to Form 10-Q
March 31, 1997
Part I - Financial Information
Item 1 - Consolidated Financial Statements
Item 2 - Management's Discussion and Analysis of Financial Condition and Results
of Operations
Part II - Other Information
Item 1 - Legal Proceedings
Item 2 - Changes in Securities
Item 3 - Defaults Upon Senior Securities
Item 4 - Submission of Matters to a Vote of Security Holders
Item 5 - Other Information
Item 6 - Exhibits and Reports on Form 8-K
Signatures
MORTGAGE BANCFUND OF AMERICA II, L.P.
(a California Limited Partnership)
Part I - Financial Information
Item 1 - Consolidated Financial Statements
Consolidated Balance Sheets
Consolidated Income Statements
Consolidated Statements of Partner's Equity
Consolidated Statements of Cash Flow
Notes to Consolidated Financial Statements
See attached exhibit
MORTGAGE BANCFUND OF AMERICA II, L.P.
(a California Limited Partnership)
Item 2 - Management's Discussion and Analysis of Financial Condition and
Results of Operations
Liquidity and Capital Resources:
Liquidity for the Partnership remains a pressing concern for management. All
cash needed for operations is being generated through operations of foreclosed
properties and from the sale of those properties. Management has no plans to
seek additional sources of capital from outside sources either in the form of
debt or equity. However, management is confident cash generated from operations
is sufficient to operate the Partnership in the future.
The capital accounts have decreases since the year end December 31, 1996 by
$.91 to $6.57 per limited partnership unit outstanding, an overall decline in
book value of almost 100% since inception of the partnership.
Results of Operations:
There are no substantial changes in any of the accounts since December 31, 1996.
Operations are very limited as management is seeking to market the foreclosed
real estate and to collect the remaining loans on the Partnership books.
Management will continue to strive to effectively sell foreclosed properties
although the sagging California economy remains a formidable obstacle to that
goal. Management is not seeking any additional investments other than any
required to ultimately liquidate property acquired through foreclosure.
MORTGAGE BANCFUND OF AMERICA II, L.P.
(a California Limited Partnership)
Part II - Other Information
Item 1 - Legal Proceedings
None.
Item 2 - Changes in Securities
None.
Item 3 - Defaults Upon Senior Securities
N/A
Item 4 - Submission of Matters to a Vote of Security Holders
None.
Item 5 - Other Information
None.
Item 6 - Exhibits and Reports on Form 8-K
None.
MORTGAGE BANCFUND OF AMERICA II, L.P.
(a California Limited Partnership)
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.
MORTGAGE BANCFUND OF AMERICA
(a California Limited Partnership)
Registrant
________________________________ _________________________
Robert Y. Strom, General Partner Date
THE MORTGAGE BANCFUND OF AMERICA II, L.P.
(a California Limited Partnership)
CONSOLIDATED BALANCE SHEETS
(Unaudited)
ASSETS Dec. 31, 1996 March 30,1997
Cash $ 26,124 4,333
Loans receivable (Note 1) 552,018 502,018
Accounts receivable (Note 2) 18,979 25,979
Total Assets $ 597,121 532,330
LIABILITIES & PARTNER'S EQUITY
Liabilities
Due to affiliates 63,841 63,841
Total liabilities 63,841 63,841
Partner's equity 533,280 468,489
Total liabilities & partner's equity $ 597,121 532,330
Book value per limited partner unit
outstanding $ 7.48 $ 6.57
CONSOLIDATED INCOME STATEMENTS
For the Three Months Ended
3/31/96 3/31/97
REVENUES:
Interest:
Loans 5,750 4,375
Investments
Other income 100 125
Total income 5,850 4,500
COSTS & EXPENSES:
Costs of loans 5,485 4,156
Real estate owned expenses 0 0
General & administrative costs 330 65,135
Total costs & expenses 5,815 69,291
NET LOSS 35 (64,791)
Net loss per partnership unit 0 (0.91)
outstanding
Partnership units outstanding 71,307 71,307
THE MORTGAGE BANCFUND OF AMERICA II, L.P.
(a California LImited Partnership)
CONSOLIDATED STATEMENTS OF PARTNER'S EQUITY
(Unaudited)
General Limited
Partner Partner Total
Balance, December 31, 1995 $ (169,656) $ 773,214 $ 603,558
Allocation of net loss (3,514) (66,764) (70,278)
Balance, December 31, 1996 (173,170) (706,450) (533,280)
Allocation of net loss (3,240) (61,551) (64,791)
Balance, March 31, 1997 $ (176,409) $ 644,898 $ 468,489
CONSOLIDATED STATEMENTS OF CASH FLOW
For the Three Months Ended
CASH FLOWS FROM OPERATING ACTIVITIES: 3/31/96 3/31/97
Net (loss) $ 35 $ (64,791)
Adjustments to reconcile net income to cash
provided by operating activities:
(Decrease) increase in accounts payable (5,080) 0
(Increase) in accounts receivable 25 (7,000)
(Decrease) increase in due to general partne 5,081 0
(Increase) decrease in other liabilities 0 0
NET CASH PROVIDED (USED) BY OPERATING ACTIVITI 61 (71,791)
CASH FLOW FROM INVESTING ACTIVITIES:
Net change in loans receivable 0 50,000
NET CASH PROVIDED (USED) BY FINANCING ACTIVITI 0 50,000
CASH FLOWS FROM FINANCING Activities
Increase(Decrease) in notes payable 0 0
NET CASH PROVIDED (USED) BY FINANCING ACTIVITI 0 0
NET INCREASE(DECREASE) IN CASH 61 (21,791)
CASH, Beginning of period 167 26,124
CASH, End of Period $ 228 4,333
THE MORTGAGE BANCFUND OF AMERICA II, L.P.
(a California LImited Partnership)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
Note 1 - Loans Receivable
Loans recievable are carried at the unpaid principal balance net of unearned
loan fees. Points and other loan fees are deferred over the life of the loan.
In management's opinion the book value of these loans is equal to the esimtated
net realizable value.
Note 2 - Accounts Receivable
This account represents funds owed to the Partnership from affiliate
partnerships, and projects which were acquired thorugh foreclosure.
Note 3 - Accounting Policy
The consolidated financial statements include the accounts of the Partnership
and majority-controlled limited partnerships. All material intercompany
transactions, profits, and balances have been eliminated. All adjustments made
to the financial statements are of a normal recurring nature necessary to
present fairly the financial condition of the Partnership.
