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[AAMES FINANCIAL CORPORATION LOGO]
Contact: James Huston
Investor Relations Department
Aames Financial Corporation
(323) 210-5311
FOR IMMEDIATE RELEASE
AAMES FINANCIAL CORPORATION ANNOUNCES PRICING OF SECURITIZATION
LOS ANGELES, CALIFORNIA, DECEMBER 7, 2000 - AAMES FINANCIAL CORPORATION
(NYSE: AAM), a leader in subprime home equity lending, announced that it has
priced approximately $465.0 million of mortgage pass-through certificates
secured by home equity mortgage loans owned by its wholly-owned subsidiary,
Aames Capital Corporation. The Company expects to close the transaction before
the end of the month.
The $465.0 million of mortgage pass-through certificates represent
ownership interests in home equity mortgage loans on one- to four-family
residential properties located throughout the United States. The Company also
announced that it will sell the servicing rights and the rights to prepayment
penalties on the mortgage loans in the securitization to an unrelated third
party, and will also sell the residual interest created in the transaction to an
affiliate of Capital Z Financial Services Fund II, L.P., an affiliate of the
Company's largest stockholder.
Aames Financial Corporation is a leading home equity lender, and at
September 30, 2000 operated 97 retail Aames Home Loan offices and 5 wholesale
loan centers nationwide.
From time to time the Company may publish forward-looking statements
relating to such matters as anticipated financial performance, business
prospects and similar matters. The Private Securities Litigation Reform Act of
1995 provides a safe harbor for forward-looking statements. In order to comply
with the terms of the safe harbor, the Company notes that a variety of factors
could cause the Company's actual results and experience to differ materially
from the anticipated results or other expectations expressed in the Company's
forward-looking statements. The risks and uncertainties that may affect the
operations, performance and results of the Company's business include the
following: (a) market conditions in the securitization, capital, credit and
whole loan markets and their future impact on the Company's operations, (b)
trends affecting the Company's liquidity position, including, but not limited
to, its access to warehouse, working capital and other credit facilities and its
ability to effect securitizations and whole loan sales, (c) the impact of the
various cash savings plans and other restructuring strategies being considered
by the Company, (d) the Company's on-going efforts in improving its equity
position, (e) trends affecting the Company's financial condition and results of
operations, (f) the Company's business and liquidity strategies. For a more
complete discussion of these risks and uncertainties, see "Item 7. Management's
Discussion and Analysis of Financial Condition and Results of Operations - Risk
Factors" in the Company's Annual Report on Form 10-K for the year ended June 30,
2000, the Company's Quarterly Report on Form 10-Q for the quarter ended
September 30, 2000 and subsequent filings by the Company with the United States
Securities and Exchange Commission.
