SECURITIES AND EXCHANGE COMMISSION
Washington D.C.
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): March 31, 1998
The Ryland Group, Inc.
---------------------------------
(Exact name of registrant as specified in its charter)
Maryland 1-8029 52-0849948
---------- ------ -----------
(State or other jurisdiction (Commission File No.) (IRS Employer
incorporation) Identification No.)
11000 Broken Land Parkway, Columbia, Maryland 21044
- ---------------------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (410) 715-7000
Not Applicable
- -----------------------------------------------------------------------------
(Former name or former address, if changed since last report)
Item 5. Other Events
RYLAND ANNOUNCES A SALE OF A PORTION OF ITS
LOAN SERVICING PORTFOLIO
The Ryland Group, Inc., (NYSE: RYL) announced that on March 31, 1998 it sold a
portion of its third-party loan-servicing portfolio to PNC Mortgage Corp. of
America. The portfolio that was sold to PNC Mortgage Corp. of America has an
outstanding principal balance of approximately $2.7 billion and represents a
majority of the Company's currently owned loan servicing portfolio. The
transfer of this sold portion of the loan servicing portfolio is expected to
be completed by May 30, 1998. Ryland Mortgage Company (the financial
services segment) anticipates reporting a pretax gain on the sale for the
first quarter of 1998 of between $6 and $8 million.
Ryland Mortgage Company will continue to service selected mortgage loans in
its portfolio and will service its own originated mortgage loans on an
interim basis until the servicing is sold to third parties. Additionally,
Ryland will transition out of its subservicing business which currently has
an outstanding principal balance of approximately $.8 billion.
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 hereunto duly authorized.
The Ryland Group, Inc.
-----------------------
(Registrant)
Date: April 7 , 1998 MICHAEL D. MANGAN
-------------- --------------------------
Michael D. Mangan
Executive Vice President and
Chief Financial Officer
