<PAGE> 1
SUBJECT TO REVISION
TERM SHEET, DATED NOVEMBER 6, 2000
$698,500,000
NISSAN AUTO RECEIVABLES 2000-C OWNER TRUST
NISSAN AUTO RECEIVABLES CORPORATION,
Seller
NISSAN MOTOR ACCEPTANCE CORPORATION,
Servicer
The trust will issue the following notes:
<TABLE>
<CAPTION>
Initial Accrual First Distribution Final Scheduled
Principal Amount Method(1) Date Distribution Date
---------------- --------- ------------------ -----------------
<S> <C> <C> <C> <C>
Class A-1 Notes.... $162,000,000 Actual/360 December 15, 2000 November 15, 2001
Class A-2 Notes.... $182,000,000 30/360 December 15, 2000 March 17, 2003
Class A-3 Notes.... $243,000,000 30/360 December 15, 2000 August 16, 2004
Class A-4 Notes.... $111,500,000 30/360 December 15, 2000 July 15, 2005
</TABLE>
(1) Interest will accrue on the Class A-1 Notes from Distribution Date to
Distribution Date, and on the other notes from the 15th day of each month
to the 15th day of the succeeding month.
The notes are asset backed securities issued by the trust. The notes are
not obligations of Nissan Motor Acceptance Corporation, Nissan Auto Receivables
Corporation, Nissan North America, Inc. or any of their respective affiliates.
Neither the notes nor the receivables are insured or guaranteed by any
governmental agency.
This term sheet contains structural and collateral information about the
notes, but does not contain complete information about the offering of the
notes. The information contained in this term sheet is preliminary, limited in
nature, and may be changed. A registration statement relating to Nissan Auto
Receivables Corporation trusts like the trust has been filed with the SEC and
has been declared effective. A prospectus supplement relating to the trust will
be filed after the notes have been priced and all of the terms and information
are finalized. The information contained in this term sheet will be superseded
in its entirety by information contained in the final prospectus supplement and
prospectus relating to the offering of the notes. Any investment decision should
be based upon the information in the final prospectus supplement and the
prospectus. Sales of notes may not be completed unless the purchaser has
received both the prospectus supplement and the prospectus. If any statements in
this term sheet conflict with statements in the prospectus supplement or the
prospectus, the statements in the prospectus supplement and the prospectus will
control. This term sheet is not an offer to sell or the solicitation of an offer
to buy the notes. If the offer, solicitation or sale of the notes in any
jurisdiction would be unlawful before the notes are registered or qualified
under the securities laws of that jurisdiction, then this term sheet cannot be
used to offer or sell the notes in that jurisdiction.
NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES
COMMISSION HAS APPROVED OR DISAPPROVED OF THE NOTES OR DETERMINED THAT THIS TERM
SHEET IS ACCURATE OR COMPLETE. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL
OFFENSE.
CHASE SECURITIES INC.
J.P. MORGAN & CO.
MERRILL LYNCH & CO.
<PAGE> 2
SUMMARY OF TERMS
The following information highlights selected information that will be
contained in and described in greater detail in the final prospectus supplement
and prospectus and provides a general overview of the terms of the notes. The
information contained in this term sheet is preliminary, limited in nature, and
may be changed. The information contained in this term sheet will be superseded
in its entirety by information contained in the final prospectus supplement and
prospectus relating to the offering of the notes. To understand all of the terms
of the offering of the notes, you should read carefully the prospectus
supplement and the prospectus. Both documents contain information you should
consider when making your investment decision.
ISSUER
Nissan Auto Receivables 2000-C Owner Trust.
SELLER
Nissan Auto Receivables Corporation.
SERVICER
Nissan Motor Acceptance Corporation.
INDENTURE TRUSTEE
Wells Fargo Bank Minnesota, National Association.
OWNER TRUSTEE
Wilmington Trust Company.
CLOSING DATE
On or about November 15, 2000.
CUTOFF DATE
October 31, 2000.
THE NOTES
Class A-1 ____% Asset Backed Notes in the aggregate initial principal amount
of $162,000,000.
Class A-2 ____% Asset Backed Notes in the aggregate initial principal amount
of $182,000,000.
Class A-3 ____% Asset Backed Notes in the aggregate initial principal amount
of $243,000,000.
Class A-4 ____% Asset Backed Notes in the aggregate initial principal amount
of $111,500,000.
THE CERTIFICATES
The trust will also issue asset backed certificates in the aggregate principal
amount of $56,646,068.21 evidencing fractional undivided interests in the
trust. The certificates will not bear interest. The trust will not make any
distributions on the certificates until all interest and principal of the
notes has been paid in full. The certificates are not offered by this term
sheet, the prospectus supplement, or the prospectus.
THE RECEIVABLES
On the closing date the trust will transfer the notes and the certificates in
exchange for a pool of new, near-new or used automobile and light-duty truck
retail installment sales contracts originated by Nissan and Infiniti dealers
having an aggregate principal balance of $755,146,068.21 as of the cutoff
date. These contracts are referred to as the "receivables." The receivables
were sold by the dealers to Nissan Motor Acceptance Corporation and will be
resold by Nissan Motor Acceptance Corporation to Nissan Auto Receivables
Corporation, who will transfer them to the trust in exchange for the notes and
the certificates. Additional information about the receivables follows this
summary section.
TERMS OF THE NOTES
A. Distribution Dates
The fifteenth day of each month or, if the fifteenth day of the month is not a
business day, the next business day, commencing December 15, 2000.
B. Collection Periods
The calendar month preceding the related distribution date.
C. Interest Rates
The notes will have fixed interest rates.
2
<PAGE> 3
D. Interest Accrual
The Class A-1 Notes will accrue interest on an actual/360 basis from (and
including) a distribution date to (but excluding) the next distribution date,
except that the first interest accrual period will be from (and including) the
closing date to (but excluding) December 15, 2000.
All other notes will accrue interest on a 30/360 basis from (and including)
the 15th day of each calendar month to (but excluding) the 15th day of the
succeeding calendar month except that the first interest accrual period will
be from (and including) the closing date to (but excluding) December 15,
2000.
E. Payment Priorities
On each distribution date, the trust will make payments from collections on
the receivables during the related collection period, amounts withdrawn from
the yield supplement account, and, if necessary, amounts withdrawn from the
reserve account. Advances made by the servicer will be included in
collections, and reimbursements of servicer advances will be deducted from
collections before any payments are made. The trust will make payments and
allocations in the following order of priority:
1. Servicing Fee - the servicing fee payable to the servicer equal to 1/12
of 1.00% of the aggregate principal balance of the receivables on the
first day of the related collection period;
2. Interest - accrued and unpaid interest on the Class A-1, Class A-2, Class
A-3 and Class A-4 Notes (on a pro rata basis);
3. Allocation of Principal on the Notes - an amount equal to the excess, if
any, of (x) the sum of the principal balances of the notes and the
certificates as of the close of business on the prior distribution date
over (y) the principal balance of the receivables as of the end of the
related collection period (excluding certain non-collectible or defaulted
receivables and receivables purchased by the servicer or repurchased by
the seller due to certain breaches) will be allocated to make the
principal payments on the notes as described below.
4. Reserve Account - to the reserve account, an amount equal to the amount
required to maintain the reserve account at the required amount.
5. Certificate Balance - after the notes have been paid in full, to the
certificates until they are paid in full.
6. Excess Amounts - any remaining amounts to Nissan Auto Receivables
Corporation.
Allocations of Principal - On each distribution date, from the amounts allocated
to principal as described in clause (3) above, the trust will pay principal of
the securities in the following priority:
1. to the Class A-1 Notes until they are paid in full;
2. to the Class A-2 Notes until they are paid in full;
3. to the Class A-3 Notes until they are paid in full; and
4. to the Class A-4 Notes until they are paid in full.
Notwithstanding the foregoing, on each distribution date after the occurrence of
an event of default and an acceleration of the Notes, available amounts (after
the servicing fee has been paid and certain advances have been reimbursed) will
be applied to pay interest and principal (1) first to the Class A-1 Notes, until
the outstanding principal balance of and accrued interest on the Class A-1 Notes
has been paid in full, and (2) then to the Class A-2 Notes, the Class A-3 Notes
and the Class A-4 Notes on a pro rata basis (x) with respect to interest, based
on the respective aggregate amounts of interest due to those classes of notes
and (y) with respect to principal, based on the respective outstanding principal
balances of those classes of notes, until the outstanding principal balances of
those classes of notes have been paid in full.
F. Reserve Account
On the closing date, the seller will deposit $5,663,595.51 (0.75% of the
outstanding principal balance of the receivables as of the cutoff date) into
the reserve account for the trust.
On each distribution date, if collections on the receivables and advances by
the servicer are insufficient to pay the first three items listed under
"Payment Priorities" above, the indenture trustee will withdraw funds (if
available) from the reserve account to pay those amounts.
If the principal balance of a class of notes is not paid in full on the
related final scheduled distribution date,
3
<PAGE> 4
the indenture trustee will withdraw amounts from the reserve account (if
available) to pay that class in full.
The amount required to be on deposit in the reserve account at the close of
business on any distribution date will be $5,663,595.51, except that if
charge-offs or delinquencies exceed specified levels, the required amount will
be the greater of (i) $5,663,595.51 and (ii) 5% of the outstanding principal
balance of the notes and certificates as of the preceding distribution date
(after giving effect to payments of principal made on such date). On each
distribution date, the trust will deposit the amount, if any, necessary to
cause the balance of funds on deposit in the reserve account to equal the
required balance to the extent set forth above under "Payment Priorities".
G. Yield Supplement Account
On the closing date, the seller will make a capital contribution by depositing
cash into the yield supplement account for the trust in an amount anticipated
to be necessary to make the withdrawals described in the next paragraph. On
each distribution date, the servicer also will deposit into the yield
supplement account cash received by the seller as base compensation for its
servicing of certain other receivables.
On each distribution date, the trust will use funds in the yield supplement
account to cover, for each receivable, the excess, if any, of (x) one month's
interest that would accrue on the principal balance of that receivable at the
rate equal to the sum of (1) the interest rate on the Class A-4 Notes and (2)
the servicing fee rate over (y) one month's interest on that receivable at the
interest rate on that receivable.
H. Final Scheduled Distribution Dates
The trust is required to pay the outstanding principal amount of each class of
notes in full on or before the related final scheduled distribution date
specified on the cover of this term sheet.
I. Optional Redemption; Clean-up Call
The notes will be paid in full on any distribution date on which the servicer
exercises its option to purchase the receivables. The servicer may purchase
the receivables on any distribution date when the outstanding principal
balance of the receivables has declined to 10% or less of the principal
balance of the receivables as of the cutoff date.
MINIMUM DENOMINATIONS
The notes will be issued only in denominations of $1,000 or more.
REGISTRATION OF THE SECURITIES
Interests in the notes will be held through The Depository Trust Company in the
United States, or Clearstream Banking societe anonyme or the Euroclear System in
Europe. This is referred to as book-entry registration. You will not receive a
definitive note except under limited circumstances.
We expect the notes to be delivered through The Depository Trust Company,
Clearstream Banking societe anonyme and Euroclear Systems on or about November
15, 2000.
TAX STATUS
Subject to the important considerations described in the prospectus supplement
and the prospectus, O'Melveny & Myers LLP, special tax counsel to the trust,
will deliver its opinion that the notes will be characterized as debt, and the
trust will not be characterized as an association or a publicly traded
partnership taxable as a corporation for federal income and California income
and franchise tax purposes.
If you purchase a note, you will agree to treat the note as a debt instrument.
ERISA CONSIDERATIONS
Subject to the important considerations described in the prospectus supplement
and the prospectus, the notes generally are eligible for purchase by employee
benefit plans.
If you are a benefit plan fiduciary considering the purchase of notes, you
should consult with your counsel in determining whether all required conditions
have been satisfied.
ELIGIBILITY FOR PURCHASE BY MONEY MARKET FUNDS
The Class A-1 Notes are structured to be eligible for purchase by money market
funds under Rule 2a-7 under the Investment Company Act of 1940, as amended. A
money market fund should consult its legal advisers regarding the eligibility of
such notes under Rule 2a-7 and whether an investment in such notes satisfies
such fund's investment policies and objectives.
4
<PAGE> 5
RATINGS
It is a condition to the issuance of the securities that: (i) the Class A-1
Notes be rated "A-1+" by Standard & Poor's Ratings Services and "P-1" by Moody's
Investors Service, Inc., and (ii) the Class A-2, Class A-3 and Class A-4 Notes
be rated "AAA" by Standard & Poor's Ratings Services and "Aaa" by Moody's
Investors Service, Inc.
5
<PAGE> 6
THE RECEIVABLES POOL
The receivables are required to meet certain selection criteria as
of the cutoff date. Pursuant to such criteria, each receivable: (i) was, at the
time of origination, secured by a new, near-new or used automobile or light-duty
truck; (ii) was originated in the United States; (iii) provides for scheduled
monthly payments that fully amortize the amount financed by such receivable over
its original term (except for minimally different payments in the first or last
month in the life of the receivable); (iv) had an original number of scheduled
payments of not more than 61 and, as of the cutoff date, had a remaining number
of scheduled payments of not less than 3 and not more than 59; (v) provides for
the payment of a finance charge at an annual percentage rate ranging from 2% to
21%; (vi) does not have a payment that is more than 29 days past due as of the
cutoff date; (vii) is being serviced by Nissan Motor Acceptance Corporation;
(viii) according to the records of the servicer, is not due from any obligor who
was the subject of a bankruptcy proceeding as of the cutoff date; (ix) does not
relate to a vehicle as to which forced-placed insurance premiums have been added
to the amount financed; and (x) as of the cutoff date had a remaining principal
balance of not less than $2,000.00 and not more than $44,000.00. Retail
installment sales contracts originated in Alabama and Hawaii will not be
included in the trust. No selection procedures believed by the seller to be
adverse to noteholders have been used in selecting the receivables.
As of the cutoff date, the average principal balance of the
receivables was approximately $16,178.47. Based on the addresses of the
originating dealers, the receivables have been originated in 48 states. Except
in the case of any breach of representations and warranties by the related
dealer, the receivables generally do not provide for recourse against the
originating dealer.
6
<PAGE> 7
The composition, distribution by annual percentage rate and
geographic distribution of the receivables as of the cutoff date are as set
forth in the following tables:
COMPOSITION OF THE RECEIVABLES
<TABLE>
<S> <C>
Aggregate Principal Balance ....................................................................... $755,146,068.21
Number of Receivables ............................................................................. 46,676
Average Principal Balance ......................................................................... $16,178.47
Range of Principal Balances ................................................................. $2,031.11 to
$43,226.92
Average Original Amount Financed .................................................................. $18,300.18
Range of Original Amount Financed ........................................................... $2,856.82 to
$46,749.53
Weighted Average APR .............................................................................. 6.662%
Range of APRs ............................................................................... 2.9% to 20.5%
Approximate Weighted Average Original Term to Maturity ............................................ 58.54 months
Range of Original Term to Maturity .......................................................... 12 to 61 months
Approximate Weighted Average Remaining Term to Maturity ........................................... 51.43 months
Range of Remaining Term to Maturity ......................................................... 3 to 59 months
Percentage by Principal Balance of Receivables of New, Near-New and Used Vehicles ................. 86.97% (New)
11.24% (Near-New)
1.79% (Used)
Percentage by Principal Balance of Receivables Financed through Nissan and Infiniti Dealers........ 93.50% (Nissan)
6.50% (Infiniti)
</TABLE>
7
<PAGE> 8
DISTRIBUTION OF THE RECEIVABLES BY APR
<TABLE>
<CAPTION>
PERCENTAGE OF
PERCENTAGE OF AGGREGATE CUTOFF
NUMBER OF TOTAL NUMBER CUTOFF DATE DATE PRINCIPAL
RANGE OF APRS(%) RECEIVABLES OF RECEIVABLES(%) PRINCIPAL BALANCE($) BALANCE(%)
---------------- ----------- ----------------- -------------------- ----------------
<S> <C> <C> <C> <C>
2.00 to 2.99........ 9 0.02% $104,269.99 0.01%
3.00 to 3.99........ 8,256 17.69 143,508,991.67 19.00
4.00 to 4.99........ 1,411 3.02 25,381,971.21 3.36
5.00 to 5.99........ 11,167 23.92 176,221,444.32 23.34
6.00 to 6.99........ 11,245 24.09 182,466,501.84 24.16
7.00 to 7.99........ 5,608 12.01 93,742,699.85 12.41
8.00 to 8.99........ 3,916 8.39 61,511,243.63 8.15
9.00 to 9.99........ 2,364 5.06 34,184,141.01 4.53
10.00 to 10.99...... 995 2.13 14,277,354.17 1.89
11.00 to 11.99...... 516 1.11 7,508,689.68 0.99
12.00 to 12.99...... 279 0.60 3,993,404.83 0.53
13.00 to 13.99...... 308 0.66 4,326,616.08 0.57
14.00 to 14.99...... 175 0.37 2,337,629.80 0.31
15.00 to 15.99...... 104 0.22 1,494,914.13 0.20
16.00 to 16.99...... 124 0.27 1,558,742.05 0.21
17.00 to 17.99...... 130 0.28 1,718,974.84 0.23
18.00 to 18.99...... 49 0.10 624,674.87 0.08
19.00 to 19.99...... 9 0.02 75,117.84 0.01
20.00 and above..... 11 0.02 108,686.40 0.01
------ ------ ---------------- -------
Totals(1)....... 46,676 100.00% $755,146,068.21 100.00%
====== ====== ================ ======
</TABLE>
----------
(1) Dollar amounts and percentages may not add to the total or to 100.00%,
respectively, due to rounding.
8
<PAGE> 9
DISTRIBUTION OF THE RECEIVABLES BY STATE (1)
<TABLE>
<CAPTION>
PERCENTAGE OF PERCENTAGE OF
NUMBER OF TOTAL NUMBER CUTOFF DATE AGGREGATE CUTOFF DATE
STATE RECEIVABLES OF RECEIVABLES(%) PRINCIPAL BALANCE($) PRINCIPAL BALANCE(%)
----- ----------- ----------------- -------------------- ---------------------
<S> <C> <C> <C> <C>
Alaska........... 6 0.01% $112,002.69 0.01%
Arizona.......... 1,280 2.74 20,517,098.58 2.72
Arkansas......... 611 1.31 9,549,190.93 1.26
California....... 5,637 12.08 93,556,940.89 12.39
Colorado......... 602 1.29 10,181,121.46 1.35
Connecticut...... 1,056 2.26 16,486,551.65 2.18
Delaware......... 193 0.41 3,053,467.79 0.40
Florida.......... 3,478 7.45 55,509,702.02 7.35
Georgia.......... 1,846 3.95 30,311,267.11 4.01
Idaho............ 58 0.12 928,878.40 0.12
Illinois......... 1,798 3.85 30,666,643.03 4.06
Indiana.......... 520 1.11 8,662,443.47 1.15
Iowa............. 266 0.57 4,253,082.50 0.56
Kansas........... 160 0.34 2,671,287.47 0.35
Kentucky......... 484 1.04 7,757,502.82 1.03
Louisiana........ 822 1.76 12,736,375.69 1.69
Maine............ 118 0.25 1,704,142.63 0.23
Maryland......... 1,289 2.76 20,705,385.02 2.74
Massachusetts.... 1,581 3.39 24,263,305.50 3.21
Michigan......... 328 0.70 5,352,746.32 0.71
Minnesota........ 403 0.86 6,855,105.52 0.91
Mississippi...... 691 1.48 10,704,965.18 1.42
Missouri......... 738 1.58 12,103,415.25 1.60
Montana.......... 29 0.06 486,052.38 0.06
Nebraska......... 132 0.28 2,258,441.45 0.30
Nevada........... 223 0.48 3,920,000.28 0.52
New Hampshire.... 439 0.94 6,811,727.96 0.90
New Jersey....... 2,157 4.62 34,064,208.89 4.51
New Mexico....... 265 0.57 4,018,399.76 0.53
New York......... 3,174 6.80 48,857,969.35 6.47
North Carolina... 1,895 4.06 30,318,685.60 4.01
North Dakota..... 16 0.03 278,249.64 0.04
Ohio............. 907 1.94 14,393,371.98 1.91
Oklahoma......... 561 1.20 9,004,035.89 1.19
Oregon........... 296 0.63 4,481,276.35 0.59
Pennsylvania..... 1,995 4.27 32,075,824.96 4.25
Rhode Island..... 223 0.48 3,332,536.57 0.44
South Carolina... 801 1.72 12,615,036.17 1.67
South Dakota..... 25 0.05 418,208.50 0.06
Tennessee........ 1,523 3.26 24,920,571.40 3.30
Texas............ 4,900 10.50 82,636,033.00 10.94
Utah............. 241 0.52 3,764,727.60 0.50
Vermont.......... 93 0.20 1,434,135.22 0.19
Virginia......... 1,617 3.46 26,674,258.57 3.53
Washington....... 577 1.24 9,944,705.52 1.32
West Virginia.... 254 0.54 4,053,363.21 0.54
Wisconsin........ 349 0.75 5,464,278.56 0.72
Wyoming.......... 19 0.04 277,347.48 0.04
------ ------ -------------- ------
Total(2).... 46,676 100.00% $755,146,068.21 100.00%
====== ====== =============== ======
</TABLE>
----------
(1) Based solely on the addresses of the originating Dealers.
(2) Dollar amounts and percentages may not add to the total or to 100.00%,
respectively, due to rounding.
9
<PAGE> 10
DELINQUENCIES, REPOSSESSIONS AND NET LOSSES
Set forth below is certain information concerning Nissan Motor
Acceptance Corporation's experience pertaining to delinquencies, repossessions
and net losses on its total portfolio of new, near-new and used automobile and
light-duty truck receivables (including receivables previously sold that Nissan
Motor Acceptance Corporation continues to service).
The data presented in the following tables are for illustrative
purposes only. There can be no assurance that Nissan Motor Acceptance
Corporation's delinquency, repossession and net loss experience with respect to
automobile and light-duty truck receivables in the future, or the experience of
the trust with respect to the receivables, will be similar to that set forth
below.
DELINQUENCY EXPERIENCE(1)
<TABLE>
<CAPTION>
---------------------------------------------------------------
AT MARCH 31,
------------- ---------------------------------------------------------------
AT AUGUST 31,
2000 2000 1999 1998 1997 1996
------------- ------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C>
Number of Contracts
Outstanding...................... 420,922 368,660 312,237 330,662 317,238 274,807
Delinquencies as a Percentage of
Number of Contracts
Outstanding(2)
30-59 Days.................. 1.40% 1.54% 2.27% 2.55% 3.10% 2.40%
60-89 Days.................. 0.24% 0.16% 0.27% 0.36% 0.49% 0.25%
90 Days or More............. 0.03% 0.02% 0.04% 0.06% 0.17% 0.05%
</TABLE>
----------
(1) The information in the Delinquency Experience table includes retail
installment sale contracts for new, near-new and used automobiles and
light-duty trucks and includes receivables which Nissan Motor Acceptance
Corporation has sold to third parties but continues to service. The
information does not include receivables purchased by Nissan Motor
Acceptance Corporation under certain special financing programs. The
information in the tables relates only to receivables with original terms
of 64 months or less. The trust does not include receivables with
original maturities in excess of 61 months. In general, Nissan Motor
Acceptance Corporation has experienced higher overall levels of losses
with respect to receivables with original maturities of 64 to 72 months
than with respect to receivables with shorter original maturities.
(2) An account is considered delinquent if 20% or more of the scheduled
payment is past due.
10
<PAGE> 11
NET CREDIT LOSS AND REPOSSESSION EXPERIENCE(1)
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
----------------- ------------------------------------------------------------------------------
AT OR FOR THE AT OR FOR THE TWELVE MONTHS ENDED MARCH 31,
FIVE MONTHS ENDED ------------------------------------------------------------------------------
AUGUST 31, 2000 2000 1999 1998 1997 1996
----------------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Principal Amount
Outstanding ................ $5,104,923 $4,273,532 $3,126,219 $3,497,123 $3,276,423 $2,659,232
Average Principal Amount
Outstanding ................ $4,661,105 $3,261,595 $3,463,840 $3,248,193 $3,181,569 $2,308,058
Number of Contracts
Outstanding ................ 420,922 368,660 312,237 330,662 317,238 274,807
Average Number of Contracts
Outstanding ................ 392,968 316,976 329,320 316,769 309,257 250,040
Number of Repossessions(2).... 2,153 7,467 9,782 14,164 17,569 9,841
Number of Repossessions as a
Percent of the Average
Number of Contracts
Outstanding ................ 1.31% 2.36% 2.97% 4.47% 5.68% 3.94%
Charge-Offs(3) ............... $ 14,444 $ 55,482 $ 92,005 $ 134,671 $ 158,969 $ 72,838
Recoveries(4) ................ $ 13,205 $ 39,125 $ 41,947 $ 39,997 $ 31,874 $ 20,489
Net Losses ................... $ 1,239 $ 16,357 $ 50,059 $ 94,674 $ 127,095 $ 52,349
Net Losses as a Percent of
Principal Amount
Outstanding(5).............. 0.06% 0.38% 1.60% 2.71% 3.88% 1.97%
Net Losses as a Percent of
Average Principal Amount
Outstanding(5).............. 0.06% 0.50% 1.45% 2.91% 3.99% 2.27%
</TABLE>
----------
(1) The information in the Net Credit Loss and Repossession table includes
retail installment sale contracts for new, near-new and used automobiles
and light-duty trucks and includes receivables which Nissan Motor
Acceptance Corporation has sold to third parties but continues to
service. The information does not include receivables purchased by Nissan
Motor Acceptance Corporation under certain special financing programs.
The information in the tables relates only to receivables with original
terms of 64 months or less. The trust does not include receivables with
original maturities in excess of 61 months. In general, Nissan Motor
Acceptance Corporation has experienced higher overall levels of losses
with respect to receivables with original maturities of 64 to 72 months
than with respect to receivables with shorter original maturities. All
amounts and percentages, except as indicated, are based on the principal
balances of the receivables including unearned interest. Averages are
computed by taking a simple average of month end outstandings for each
period presented.
(2) The number of repossessions excludes accounts that have been subsequently
reinstated.
(3) Charge-offs represent the net principal balance of receivables determined
to be uncollectible in the period less proceeds from disposition of
related vehicles, other than recoveries described in Note (5).
Charge-offs do not include expenses associated with collection,
repossession or disposition of the vehicle.
(4) Recoveries generally include amounts received on receivables following
the time at which the receivable is charged off. Recoveries are net of
expenses associated with collection.
(5) The percentages in the left column have been annualized in order to
facilitate year to year comparisons.
Nissan Motor Acceptance Corporation's retail loss experience is dependent
upon receivables levels, the number of repossessions, the amount outstanding at
the time of repossession and the resale value of repossessed vehicles. The
losses in the year ended March 31, 1997 were higher than in previous or
subsequent years due to Nissan Motor Acceptance Corporation's effort to finance
a broader credit range of customers to support the sale of Nissan and Infiniti
vehicles and a general increase in personal bankruptcy filings. The management
of Nissan Motor Acceptance Corporation reacted to the negative trend in losses
by initiating changes to its credit policy that tightened the range of available
credit in order to originate an improved mix of business. These changes involved
discontinuing the origination of 72-month term contracts in June 1996 and
installing a new empirically derived credit score card in September 1996. In
addition, Nissan Motor Acceptance Corporation tightened its credit policy by
reducing advance rates for lower credit scores and implementing risk-based
pricing. Nissan Motor Acceptance Corporation has recently resumed originating
72-month term contracts under certain financing programs.
11
<PAGE> 12
WEIGHTED AVERAGE LIFE OF THE NOTES
Prepayments on automotive receivables can be measured relative to a
prepayment standard or model. The model used in this term sheet, the Absolute
Prepayment Model ("ABS"), represents an assumed rate of prepayment each month
relative to the original number of receivables in a pool of receivables. ABS
further assumes that all the receivables are the same size and amortize at the
same rate and that each receivable in each month of its life will either be paid
as scheduled or be prepaid in full. For example, in a pool of receivables
originally containing 10,000 receivables, a 1% ABS rate means that 100
receivables prepay each month. ABS does not purport to be an historical
description of prepayment experience or a prediction of the anticipated rate of
prepayment of any pool of receivables, including the receivables.
As the rate of payment of principal of each class of notes will depend on
the rate of payment (including prepayments) of the principal balance of the
receivables, final payment of any class of notes could occur later or
significantly earlier than the respective final scheduled distribution dates.
Reinvestment risk associated with early payment of the notes will be borne
exclusively by the holders of such notes.
The table captioned "Percent of Initial Note Principal Amount at Various
ABS Percentages" (the "ABS Table") has been prepared on the basis of the
characteristics of the receivables described above. The ABS Table assumes that
(i) the receivables prepay in full at the specified constant percentage of ABS
monthly, with no defaults, losses or repurchases, (ii) each scheduled monthly
payment on each receivable is scheduled to be made and is made on the last day
of each month and each month has 30 days, (iii) payments are made on the notes
on each distribution date (and each such date is assumed to be the fifteenth day
of each applicable month), (iv) the balance in the reserve account on each
distribution date is the required amount described in the summary under "Reserve
Account" and (v) the servicer does not exercise its option to purchase the
receivables. The hypothetical pools each have an assumed cutoff date of October
31, 2000. The ABS Table indicates the projected weighted average life of each
class of notes and sets forth the percent of the initial principal amount of
each class of notes that is projected to be outstanding after each of the
distribution dates shown at various constant ABS percentages.
The ABS Table also assumes that the receivables have been aggregated into
hypothetical pools with all of the receivables within each such pool having the
following characteristics and that the level scheduled monthly payment for each
of the pools (which is based on its aggregate principal balance, APR, original
term to maturity and remaining term to maturity as of the assumed cutoff date)
will be such that each pool will be fully amortized by the end of its remaining
term to maturity.
<TABLE>
<CAPTION>
REMAINING ORIGINAL
TERM TO TERM TO
AGGREGATE PRINCIPAL MATURITY MATURITY
POOL BALANCE APR (IN MONTHS) (IN MONTHS)
---- ------------------- ----- ----------- -----------
<S> <C> <C> <C> <C>
1................ $6,030,221.03 8.056% 15 44
2................ $20,715,372.74 6.385% 29 37
3................ $65,975,183.21 6.822% 42 49
4................ $551,770,356.74 6.342% 53 60
5................ $110,654,934.49 8.136% 56 61
</TABLE>
The actual characteristics and performance of the receivables will differ
from the assumptions used in constructing the ABS Table. The assumptions used
are hypothetical and have been provided only to give a general sense of how the
principal cash flows might behave under varying prepayment scenarios. For
example, it is very unlikely that the receivables will prepay at a constant
level of ABS until maturity or that all of the receivables will prepay at the
same level of ABS. Moreover, the diverse terms of receivables within each of the
hypothetical pools could produce slower or faster principal distributions than
indicated in the ABS Table at the various constant percentages of ABS specified,
even if the original and remaining terms to maturity of the receivables are as
assumed. Any difference between such assumptions and the actual
12
<PAGE> 13
characteristics and performance of the receivables, or actual prepayment
experience, will affect the percentages of initial amounts outstanding over time
and the weighted average lives of each class of notes.
PERCENT OF INITIAL NOTE PRINCIPAL AMOUNT AT VARIOUS ABS PERCENTAGES
<TABLE>
<CAPTION>
Class A-1 Notes Class A-2 Notes
Distribution Date 0.50% 1.00% 1.30% 1.50% 1.70% 0.50% 1.00% 1.30% 1.50% 1.70%
----- ----- ----- ----- ----- ----- ----- ----- ----- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Closing Date 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Dec-00 89.53 86.98 85.35 84.22 83.06 100.00 100.00 100.00 100.00 100.00
15-Jan-01 79.10 74.09 70.89 68.68 66.39 100.00 100.00 100.00 100.00 100.00
15-Feb-01 68.71 61.33 56.63 53.37 50.00 100.00 100.00 100.00 100.00 100.00
15-Mar-01 58.35 48.71 42.56 38.29 33.89 100.00 100.00 100.00 100.00 100.00
15-Apr-01 48.04 36.22 28.68 23.45 18.06 100.00 100.00 100.00 100.00 100.00
15-May-01 37.78 23.86 15.00 8.86 2.51 100.00 100.00 100.00 100.00 100.00
15-Jun-01 27.55 11.65 1.52 0.00 0.00 100.00 100.00 100.00 95.11 88.66
15-Jul-01 17.36 0.00 0.00 0.00 0.00 100.00 99.62 89.53 82.55 75.33
15-Aug-01 7.22 0.00 0.00 0.00 0.00 100.00 88.99 77.90 70.21 62.27
15-Sep-01 0.00 0.00 0.00 0.00 0.00 97.44 78.49 66.44 58.09 49.47
15-Oct-01 0.00 0.00 0.00 0.00 0.00 88.49 68.12 55.16 46.19 36.93
15-Nov-01 0.00 0.00 0.00 0.00 0.00 79.58 57.88 44.08 34.52 24.67
15-Dec-01 0.00 0.00 0.00 0.00 0.00 70.71 47.77 33.18 23.08 12.67
15-Jan-02 0.00 0.00 0.00 0.00 0.00 61.88 37.78 22.46 11.86 0.94
15-Feb-02 0.00 0.00 0.00 0.00 0.00 53.09 27.93 11.94 0.88 0.00
15-Mar-02 0.00 0.00 0.00 0.00 0.00 44.56 18.39 1.77 0.00 0.00
15-Apr-02 0.00 0.00 0.00 0.00 0.00 36.06 8.98 0.00 0.00 0.00
15-May-02 0.00 0.00 0.00 0.00 0.00 27.60 0.00 0.00 0.00 0.00
15-Jun-02 0.00 0.00 0.00 0.00 0.00 19.19 0.00 0.00 0.00 0.00
15-Jul-02 0.00 0.00 0.00 0.00 0.00 10.82 0.00 0.00 0.00 0.00
15-Aug-02 0.00 0.00 0.00 0.00 0.00 2.49 0.00 0.00 0.00 0.00
15-Sep-02 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Weighted Average
Life (years) (1) 0.44 0.37 0.33 0.31 0.29 1.33 1.11 1.00 0.94 0.88
Weighted Average
Life to Call
(years)(1)(2) 0.44 0.37 0.33 0.31 0.29 1.33 1.11 1.00 0.94 0.88
Optional Clean-Up
Call Date Sep-01 Jul-01 Jul-01 Jun-01 Jun-01 Sep-02 May-02 Apr-02 Mar-02 Feb-02
</TABLE>
----------
(1) The weighted average life of a note is determined by (x) multiplying the
amount of each principal payment on a note by the number of years from
the date of issuance of the note to the related distribution date, (y)
adding the results and (z) dividing the sum by the original principal
amount of the note.
(2) This calculation assumes that the servicer exercises its option to
purchase the receivables at the first opportunity.
13
<PAGE> 14
PERCENT OF INITIAL NOTE PRINCIPAL AMOUNT AT VARIOUS ABS PERCENTAGES
<TABLE>
<CAPTION>
Class A-3 Notes Class A-4 Notes
Distribution Date 0.50% 1.00% 1.30% 1.50% 1.70% 0.50% 1.00% 1.30% 1.50% 1.70%
----- ----- ----- ----- ----- ----- ----- ----- ----- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Closing Date 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Dec-00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Jan-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Feb-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Mar-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Apr-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-May-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Jun-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Jul-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Aug-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Sep-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Oct-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Nov-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Dec-01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Jan-02 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
15-Feb-02 100.00 100.00 100.00 100.00 92.13 100.00 100.00 100.00 100.00 100.00
15-Mar-02 100.00 100.00 100.00 92.71 83.84 100.00 100.00 100.00 100.00 100.00
15-Apr-02 100.00 100.00 93.84 84.93 75.74 100.00 100.00 100.00 100.00 100.00
15-May-02 100.00 99.78 86.50 77.31 67.85 100.00 100.00 100.00 100.00 100.00
15-Jun-02 100.00 92.92 79.30 69.87 60.16 100.00 100.00 100.00 100.00 100.00
15-Jul-02 100.00 86.17 72.24 62.60 52.67 100.00 100.00 100.00 100.00 100.00
15-Aug-02 100.00 79.52 65.32 55.50 45.39 100.00 100.00 100.00 100.00 100.00
15-Sep-02 95.66 72.96 58.55 48.58 38.31 100.00 100.00 100.00 100.00 100.00
15-Oct-02 89.48 66.51 51.92 41.83 31.44 100.00 100.00 100.00 100.00 100.00
15-Nov-02 83.34 60.17 45.45 35.27 24.78 100.00 100.00 100.00 100.00 100.00
15-Dec-02 77.23 53.92 39.12 28.88 18.33 100.00 100.00 100.00 100.00 100.00
15-Jan-03 71.15 47.78 32.94 22.67 12.09 100.00 100.00 100.00 100.00 100.00
15-Feb-03 65.11 41.75 26.91 16.64 6.07 100.00 100.00 100.00 100.00 100.00
15-Mar-03 59.10 35.82 21.03 10.80 0.27 100.00 100.00 100.00 100.00 100.00
15-Apr-03 53.13 30.00 15.31 5.15 0.00 100.00 100.00 100.00 100.00 88.42
15-May-03 47.46 24.50 9.92 0.00 0.00 100.00 100.00 100.00 99.65 77.01
15-Jun-03 41.82 19.11 4.68 0.00 0.00 100.00 100.00 100.00 88.46 66.07
15-Jul-03 36.22 13.82 0.00 0.00 0.00 100.00 100.00 99.11 77.67 55.59
15-Aug-03 30.65 8.63 0.00 0.00 0.00 100.00 100.00 88.34 67.27 45.57
15-Sep-03 25.11 3.55 0.00 0.00 0.00 100.00 100.00 77.91 57.28 36.03
15-Oct-03 19.61 0.00 0.00 0.00 0.00 100.00 96.91 67.80 47.68 26.96
15-Nov-03 14.14 0.00 0.00 0.00 0.00 100.00 86.31 58.04 38.50 18.37
15-Dec-03 8.71 0.00 0.00 0.00 0.00 100.00 75.95 48.62 29.72 10.26
15-Jan-04 3.32 0.00 0.00 0.00 0.00 100.00 65.82 39.54 21.36 2.64
15-Feb-04 0.00 0.00 0.00 0.00 0.00 95.55 55.95 30.80 13.42 0.00
15-Mar-04 0.00 0.00 0.00 0.00 0.00 83.95 46.31 22.41 5.90 0.00
15-Apr-04 0.00 0.00 0.00 0.00 0.00 72.43 36.92 14.38 0.00 0.00
15-May-04 0.00 0.00 0.00 0.00 0.00 60.99 27.78 6.70 0.00 0.00
15-Jun-04 0.00 0.00 0.00 0.00 0.00 50.87 19.74 0.00 0.00 0.00
15-Jul-04 0.00 0.00 0.00 0.00 0.00 40.82 11.93 0.00 0.00 0.00
15-Aug-04 0.00 0.00 0.00 0.00 0.00 30.84 4.34 0.00 0.00 0.00
15-Sep-04 0.00 0.00 0.00 0.00 0.00 20.94 0.00 0.00 0.00 0.00
15-Oct-04 0.00 0.00 0.00 0.00 0.00 11.12 0.00 0.00 0.00 0.00
</TABLE>
14
<PAGE> 15
PERCENT OF INITIAL NOTE PRINCIPAL AMOUNT AT VARIOUS ABS PERCENTAGES
<TABLE>
<CAPTION>
Class A-3 Notes Class A-4 Notes
Distribution Date 0.50% 1.00% 1.30% 1.50% 1.70% 0.50% 1.00% 1.30% 1.50% 1.70%
----- ----- ----- ----- ----- ----- ----- ----- ----- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
0.00 0.00 0.00 0.00 0.00 1.37 0.00 0.00 0.00 0.00
15-Nov-04
15-Dec-04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Weighted Average
Life (years)(1) 2.52 2.20 2.00 1.88 1.76 3.64 3.36 3.13 2.96 2.77
Weighted Average
Life to Call
(years)(1)(2) 2.52 2.20 2.00 1.88 1.76 3.63 3.34 3.11 2.94 2.76
Optional Clean-Up
Call Date Feb-04 Oct-01 Jul-01 May-01 Apr-01 Oct-04 Jul-04 Apr-04 Feb-04 Dec-03
</TABLE>
----------
(1) The weighted average life of a note is determined by (x) multiplying the
amount of each principal payment on a note by the number of years from
the date of issuance of the note to the related distribution date, (y)
adding the results and (z) dividing the sum by the original principal
amount of the note.
(2) This calculation assumes that the servicer exercises its option to
purchase the receivables at the first opportunity.
15
