<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
-----------------------
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): December 18, 1996
GREEN TREE FINANCIAL CORPORATION
--------------------------------
(Exact name of registrant as specified in its charter)
Delaware 0-11652 41-1807858
- -----------------------------------------------------------------------------
(State or other jurisdiction (Commission (IRS employer
of incorporation) file number) identification No.)
1100 Landmark Towers, 345 St. Peter Street, Saint Paul, Minnesota 55102-1639
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(Address of principal executive offices)
Registrant's telephone number, including area code: (612) 293-3400
------------------------
Not Applicable
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(Former name or former address, if changed since last report)
<PAGE>
Item 1. Changes in Control of Registrant.
Not applicable.
Item 2. Acquisition or Disposition of Assets.
Not applicable.
Item 3. Bankruptcy or Receivership.
Not applicable.
Item 4. Changes in Registrant's Certifying Accountant.
Not applicable.
Item 5. Other Events.
Not applicable.
Item 6. Resignations of Registrant's Directors.
Not applicable.
Item 7. Financial Statements and Exhibits.
(a) Financial statements of businesses acquired.
Not applicable.
(b) Pro forma financial information.
Not applicable.
2
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(c) Exhibits.
The following is filed herewith. The exhibit numbers correspond
with Item 601(b) of Regulation S-K.
Exhibit No. Description
99 External Computational and Descriptive Information
distributed in connection with Certificates for
Home Improvement and Home Equity Loans, Series 1996-
F, issued by Green Tree Financial Corporation, as
Seller and Servicer.
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.
GREEN TREE FINANCIAL CORPORATION
By: /s/ Scott T. Young
-----------------------------
Scott T. Young
Vice President and Controller
3
<PAGE>
INDEX TO EXHIBITS
Exhibit Number Page
99 External Computational and Descriptive Information 5
distributed in connection with Certificates for Home
Improvement and Home Equity Loans, Series 1996-F, issued by
Green Tree FinancialCorporation, as Seller and Servicer.
4
<PAGE>
TERM SHEET DATED DECEMBER 16, 1996
GREEN TREE FINANCIAL CORPORATION
CERTIFICATES FOR HOME IMPROVEMENT AND HOME EQUITY LOANS, SERIES 1996-F
$478,000,000 (APPROXIMATE)
Subject to Revision
SELLER/SERVICER: Green Tree Financial Corporation ("Green Tree").
TRUSTEE: First Trust National Association
UNDERWRITERS: Lehman Brothers (Lead), Bear Stearns(Co)
<TABLE>
<CAPTION>
Ratings WAL Exp Final
Amount (S&P/Fitch) at 15% CPR Maturity
------------ ----------- ---------- ---------
<S> <C> <C> <C> <C>
To Call:
HI: A-1 $ 47,346,000 AAA/AAA 1.15 6/15/99
HI: A-2 $ 18,561,000 AAA/AAA 3.08 10/15/00
HI: A-3 $ 34,092,000 AAA/AAA 5.81 6/15/05
HI: M-1 $ 10,000,000 AA/AA 9.40 9/15/06
HI: M-2 $ 6,250,000 A/A 9.72 9/15/06
HI: B-1 $ 5,938,000 BBB/BBB 5.55 3/15/05
HI: B-2 $ 2,813,000 A-/A 9.45 9/15/06
To Maturity
HI: M-1 $ 10,000,000 AA/AA 10.02 2/15/09
HI: M-2 $ 6,250,000 A/A 15.11 11/15/21
HI: B-2 $ 2,813,000 A-/A 11.77 11/15/21
</TABLE>
<TABLE>
<CAPTION>
Ratings WAL Exp Final
Amount (S&P/Fitch) at 100% Base* Maturity
------------ ----------- ------------- ---------
<S> <C> <C> <C> <C>
To Call:
HE: A-1 $122,410,000 AAA/AAA 1.15 2/15/99
HE: A-2 $ 84,500,000 AAA/AAA 3.08 5/15/01
HE: A-3 $ 33,502,000 AAA/AAA 5.19 4/15/03
HE: A-4 $ 24,631,000 AAA/AAA 8.08 8/15/06
HE: A-5 $ 38,537,000 AAA/AAA 6.04 6/15/06
HE: M-1 $ 19,415,000 AA/AA+ 9.71 9/15/06
HE: M-2 $ 12,355,000 A/AA 9.72 9/15/06
HE: B-1 $ 12,355,000 BBB/A 5.23 1/15/05
HE: B-2 $ 5,295,000 A-/A 9.41 9/15/06
To Maturity
HE: M-1 $ 19,415,000 AA/AA+ 11.11 1/15/10
HE: M-2 $ 12,355,000 A/AA 14.87 10/15/26
HE: B-2 $ 5,295,000 A-/A 11.32 10/15/26
CUT-OFF DATE: December 1, 1996 (or the date of origination, if later)
EXP. PRICING: December 18, 1996
EXP. SETTLEMENT: December 27, 1996
LEGAL FINAL: Home Improvement -November 2027
Home Equity -January 2028
- --------------------------
</TABLE>
* 100% Base (100% Prepayment Assumption) assumes a conditional prepayment rate
of 4% per annum of the then outstanding principal balance of the Home Equity
Contracts in the first month of the life of the Home Equity Contracts and an
additional 1.45% (precisely, 16/11%) per annum in each month thereafter until
the twelfth month. Beginning in twelfth month and in each month thereafter,
the conditional prepayment rate is 20%.
1
<PAGE>
INTEREST/PRINCIPAL: The 15th day of each month (or if such 15th day is
not a business day, the next succeeding business
day) commencing on January 15, 1997.
CROSS COLLATERALIZATION: On each Payment Date the amount Available for each
Sub-Pool remaining after making distributions to
the related Certificates will generally be
available to make distributions to the
Certificates related to the other Sub-Pool.
ERISA: Class HI:A and Class HE:A Certificates are ERISA
eligible. The Class HI:M-1, HE:M-1, HI:M-2, HE:M-2,
HI:B-1, HE:B-1, HI:B-2 and HE:B-2 Certificates will
not be sold to benefit plans unless such plans
deliver a legal opinion to the Trustee stating that
assets of the Trust are not deemed "plan assets".
TAX STATUS: The Trust will elect to be treated as a REMIC for
federal income tax purposes.
HOME IMPROVEMENT CERTIFICATE STRUCTURE
CREDIT ENHANCEMENT: Class HI:A: 20.00% subordination (Class HI:M-1,
HI:M-2, HI:B-1 and HI:B-2) & Residual (Class C)
Class HI:M-1: 12.00% subordination (Class HI:M-2,
HI:B-1, and HI:B-2) & Residual (Class C) Class HI:
M-2: 7.00% subordination (Class HI:B-1 and HI:B-2)
& Residual (Class C) Class HI:B-1: 2.25%
subordination (Class HI:B-2) & Residual (Class C)
Class HI:B-2: Limited Guaranty plus Residual (Class
C)
DISTRIBUTIONS: The Sub-Pool HI Amount Available will generally
consist of payments made on or in respect of the
Home Improvement Contracts comprising Sub-Pool HI,
and will include amounts otherwise payable to the
Servicer (as long as Green Tree is the Servicer) as
the Monthly Servicing Fee with respect to the Home
Improvement Contracts, and to the Class C
Certificate holder.
The Amount Available will generally be applied
first to the distributions to the Class HI:A
Certificateholders, then to the Class HI:M
Certificateholders, then to the Class HI:M
Certificateholders, and then to the Class HI:B
Certificateholders.
Class HI:A Certificates are senior to Class HI:M
and Class HI:B Certificates. Class HI:M
Certificates are senior to the Class HI:B
Certificates.
CLASS HI:A INTEREST: Interest will be paid concurrently on each Class
of Class HI:A Certificates at the related
Pass-Through Rate on the then outstanding related
Class Principal Balance. Interest will accrue
from the Settlement Date, or from the most recent
Payment Date on which interest has been paid to
but excluding the following Payment Date.
Interest will be computed on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the applicable Class HI:A
Pass-Through Rate, to the extent legally
permissible.
CLASS HI:A PRINCIPAL: After payment of all interest distributable to the
Class HI:A Certificateholders, the Sub-Pool HI
Senior Percentage of the Sub-Pool HI Formula
Principal Distribution Amount will be distributed
first to the Class HI:A-1 Certificateholders,
until the Class HI:A-1 Principal Balance has been
reduced to zero, then to the class HI:A-2
Certificateholders until the Class HI:A-2
Principal Balance has been reduced to zero, and
then to the Class HI:A-3 Certificateholders until
the Class HI:A-3 Principal Balance has been
reduced to zero.
2
<PAGE>
The Sub-Pool HI Senior Percentage will equal 100%
if any of the following exist:
i) it is prior to January 2000 (Month 36);
ii) the Class HI:B Principal Balance represents
less than 14% of the Scheduled Principal
Balance of Sub-Pool HI; and
iii) each Class HI:B Principal Distribution Test
(See below) is not satisfied.
Otherwise, the
Senior Percentage will equal a fraction, the
numerator of which is the sum of the Class
HI:A Principal Balance and the Class HI:M
Principal Balance for a given Payment Date,
and the denominator of which is the Scheduled
Principal Balance of Sub-Pool HI for the
immediately preceding Payment Date.
CLASS HI:M-1 After payment of Class HI:A Distribution Amount,
INTEREST: interest will be paid to the Class HI:M-1
Certificateholders in an amount equal to the
product of (a) the Class HI:M-1 Pass-Through Rate
and (b) the then outstanding Class HI:M-1
Principal Balance less the Class HI:M-1
Liquidation Loss Principal Amount. Interest will
accrue from the Settlement Date, or from the most
recent Payment Date on which interest has been
paid, to but excluding the following Payment Date.
Interest will be computed on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the Class HI:M-1
Pass-Through Rate, to the extent legally
permissible.
CLASS HI:M-1 Class HI:M-1 Certificateholders will not receive
PRINCIPAL: principal until Class HI:A Principal Balance has
been reduced to zero. At that time Class HI:M-1
will be entitled to receive the Sub-Pool HI Senior
Percentage of the Sub-Pool HI Formula Principal
Distribution Amount, until the Class HI:M-1
Principal Balance has been reduced to zero.
CLASS HI:M-2 After payment of Class HI:A and Class HI:M-1
INTEREST: Distribution Amount, interest will be paid to the
Class HI:M-2 Certificateholders in an amount equal
to the product of (a) the Class HI:M-2
Pass-Through Rate and (b) the then outstanding
Class HI:M-2 Principal Balance less the Class
HI:M-2 Liquidation Loss Principal Amount.
Interest will accrue from the Settlement Date, or
from the most recent Payment Date on which
interest has been paid, to but excluding the
following Payment Date. Interest will be computed
on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the Class HI:M-2
Pass-Through Rate, to the extent legally
permissible.
CLASS HI:M-2 Class HI:M-2 Certificateholders will not receive
PRINCIPAL: principal until Class HI:A and Class HI:M-1
Principal Balances have been reduced to zero. At
that time Class HI:M-2 will be entitled to receive
the Sub-Pool HI Senior Percentage of the Sub-Pool
HI Formula Principal Distribution Amount, until
the Class HI:M-2 Principal Balance has been
reduced to zero.
CLASS HI:B-1 After payment of Class HI:A, Class HI:M-1 and
INTEREST: Class HI:M-2 distribution Amount, interest will be
paid to the Class HI:B-1 Certificateholders in an
amount equal to the product of (a) the Class
HI:B-1 Pass-Through Rate and (b) the then
outstanding Class HI:B-1 Principal Balance less
the Class HI:B-1 Liquidation Loss Principal
Amount. Interest will accrue from the Settlement
Date, or from the most recent Payment Date on
which interest has been paid, to but excluding the
following Payment Date. Interest will be computed
on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the Class HI:B-1
Pass-Through Rate, to the extent legally
permissible.
3
<PAGE>
CLASS HI:B-1 The Class HI:B-1 Certificateholders will not
PRINCIPAL: receive principal payments until the Class HI:B
Cross-over Date. At that time, to the extent of
the amount available after payment of Class HI:A,
Class HI:M Distribution Amounts and Class HI:B-1
interest, Class HI:B-1 Certificateholders will
receive the Class HI:B Percentage of the Sub-Pool
HI Formula Principal Distribution Amount until
Class HI:B-1 Principal Balance has been reduced to
zero.
The Class HI:B Percentage will be equal to 100%
minus the Sub-Pool HI senior Percentage if on or
after January 2000, the Class HI:B Principal
Balance represents more than 14% of the Scheduled
Principal Balance of Sub-Pool HI, and each of the
Class HI:B Principal Distribution tests (See
below) are satisfied. The Class HI:B Percentage
after the Class HI:A and Class HI:M Principal
Balances have been reduced to zero will be equal
to 100%.
CLASS HI:B-2 After payment of Class HI:A, Class HI:M-1, Class
INTEREST: HI:M-2 and Class HI:B-1 Distribution Amounts,
interest will be paid to the Class HI:B-2
Certificateholders in an amount equal to the
product of (a) the Class HI:B-2 Pass-through Rate
and (b) the then outstanding Class HI:B-2
Principal Balance less the Class HI:B-2
Liquidation Loss Principal Amount. The Limited
Guaranty will be available to pay interest to the
Class HI:B-2 Certificateholders if the Sub-Pool HI
Amount Available is not sufficient. Interest will
accrue from the Settlement Date, or from the most
recent Payment Date on which interest has been
paid, to but excluding the following Payment Date.
Interest will, be computed on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the Class HI:B-2
Pass-Through Rate, to the extent legally
permissible.
CLASS HI:B-2 The Class HI:B-2 Certificateholders will not
PRINCIPAL: receive principal payments until the class HI:B-1
Principal Balance has been reduced to zero. At
that time, if each Class HI:B Principal
Distribution Test is satisfied (unless the Class
HI:A and Class HI:M Principal Balances have been
reduced to zero), to the extent of the amount
available after payment of the Class HI:A, the
Class HI:M and the Class HI:B-1 Distribution
Amounts and any amounts actually paid under the
Class HI:B-2 Limited Guaranty, the Class HI:B-2
Certificateholders will receive the Class HI:B
Percentage of the Sub-Pool HI Formula Principal
Distribution Amount until Class HI:B-2 Principal
Balance has been reduced to zero.
On each Payment Date, the Class HI:B-2
Certificateholders will be entitled to receive
pursuant to the Class HI:B-2 Limited Guaranty, the
Class HI:B-2 Liquidation Loss Principal Amount
until the Class HI:B-2 Principal Balance has been
reduced to zero.
LOSSES ON
LIQUIDATED If Net Liquidation Proceeds from Liquidated
HI CONTRACTS: Contracts in the respective collection period are
less than the Scheduled Principal Balance of such
Liquidated Contract plus accrued and unpaid
interest thereon, the deficiency will be absorbed
by the Class C Certificateholder, then the
Guaranty Fee otherwise payable to the Company,
then the Monthly Servicing Fee otherwise payable
to the Servicer (as long as Green Tree is the
Servicer), then the Class HI:B-2
Certificateholders, then the Class HI:B-1
Certificateholders, then the Class HI:M-1
Certificateholders and then the Class HI:M-2
Certificateholders.
CLASS HI:B-2
LIMITED To the extent that the Sub-Pool HI Amount
GUARANTY: Available is not sufficient, the Limited Guaranty
will be available to pay the Class HI: B-2
Liquidation Loss Principal Amount and the Class
HI:B-2 Distribution Amount. The Class HI:B-2
Limited Guaranty will be an unsecured general
obligation of the Company.
4
<PAGE>
CLASS HI:B PRINCIPAL (i) the Sub-Pool HI Average Sixty-Day Delinquency
DISTRIBUTION TESTS: Ratio with respect to the Sub-Pool HI as of
given Payment Date must not exceed 2.5%;
(ii) the Sub-Pool HI Average Thirty-Day
Delinquency Ratio with respect to the Sub-
Pool HI as of given Payment Date must not
exceed 5%;
(iii) the Sub-Pool HI Cumulative Realized Losses
with respect to Sub-Pool HI as of given
Payment Date must not exceed a certain
specified percentage of the Cut-off Date Pool
Principal Balance of Sub-Pool HI, depending
on the year in which such Payment Date
occurs;
(iv) the Sub-Pool HI Current Realized Loss Ratio
with respect to Sub-Pool HI as of given
Payment Date must not exceed 2.5%; and
(v) the Class HI:B Principal Balance divided by
the Pool Scheduled Principal Balance of Sub-
Pool HI as of the immediately preceding
Payment Date must be equal to or greater than
14%.
HOME EQUITY CERTIFICATE STRUCTURE
CREDIT ENHANCEMENT: Class HE:A: 14.00% subordination (Class HE:M-1,
HE:M-2, HE:B-1 and HE:B-2) & Residual (Class C)
Class HE:M-1: 8.50% subordination (Class HE:M-2,
HE:B-1, and HE:B-2) & Residual (Class C)
Class HE:M-2: 5.00% subordination (Class HE:B-1
and HE:B-2) & Residual (Class C)
Class HE:B-1: 1.50% subordination (Class HE:B-2)
& Residual (Class C)
Class HE:B-2: Limited Guaranty plus Residual
(Class C)
DISTRIBUTIONS: The Sub-Pool HE Amount Available will generally
consist of payments made on or in respect of the
Home Equity Contracts comprising Sub-Pool HE, and
will include amounts otherwise payable to the
Servicer (as long as Green Tree is the Servicer)
as the Monthly Servicing Fee with respect to the
Home Equity Contracts, and to the Class C
Certificateholder.
The Amount Available will generally be applied
first to the distributions to the Class HE:A
Certificateholders, then to the Class HE:M
Certificateholders, then to the Class HE:M
Certificateholders. and then to the Class HE:B
Certificateholders.
Class HE:A Certificates are senior to Class HE:M
and Class HE:B Certificates. Class HE:M
Certificates are senior to the Class HE:B
Certificates.
CLASS HE:A INTEREST: Interest will be paid concurrently on each Class
INTEREST: of Class HE:A Certificates at the related
Pass-Through Rate on the then outstanding related
Class Principal Balance. Interest will accrue
from the Settlement Date, or from the most recent
Payment Date on which interest has been paid to
but excluding the following Payment Date.
Interest will be computed on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the applicable Class HE:A
Pass-Through Rate, to the extent legally
permissible.
5
<PAGE>
CLASS HE:A After payment of all interest distributable to the
PRINCIPAL: Class HE:A Certificateholders, the Sub-Pool HE
Senior Percentage of the Sub-Pool HE Formula
Principal Distribution Amount less the HE:A-5
Lockout Distribution Amount as defined below will
be distributed first to the Class HE:A-1
Certificateholders, until the Class HE:A-1
Principal Balance has been reduced to zero, then
to the Class HE:A-2 Certificateholders until the
Class HE:A-2 Principal Balance has been reduced to
zero, and then to the Class HE:A-3
Certificateholders until the Class HE:A-3
Principal Balance has been reduced to zero, and
then to the Class HE:A-4 Certificateholders until
the Class HE:A-4 Principal Balance has been
reduced to zero.
The Class HE:A-5 Certificateholders are entitled to
receive payments of the Class HE:A-5 Lockout
Distribution Amount specified below, provided, that
if on any Payment Date the Class HE:A-4 Certificate
Principal Balance is zero, the Certificateholders
of the Class HE:A-5 Certificates will be entitled
to receive the entire Sub-Pool HE Formula Principal
Distribution Amount.
The "Class HE:A-5 Lockout Distribution Amount" for
any Payment Date will be the product of (i) the
applicable Class HE:A-5 Lockout Percentage for
such Payment Date and (ii) the Class HE:A-5
Lockout Pro Rata Distribution Amount for such
Payment Date.
The "Class HE:A-5 Lockout Percentage" for each
Payment Date shall be as follows:
Payment Dates Lockout Percentage
January 1997 -December 1999 0%
January 2000 -December 2001 45%
January 2002 -December 2002 80%
January 2003 -December 2003 100%
January 2004 and thereafter 300%
The "Class HE:A-5 Lockout Pro Rata Distribution
Amount" for any Payment Date will be an amount
equal to the product of (x) a fraction, the
numerator of which is the Certificate Principal
Balance of the Class HE:A-5 Certificates
immediately prior to such Payment Date and the
denominator of which is the aggregate Certificate
Balance of the Class HE:A-1, Class HE:A-2, Class
HE:A-3, Class HE:A-4, Class HE:A-5, and (y) the
Sub-Pool HE Formula Principal Distribution Amount.
Payment Dates The Sub-Pool HE Senior Percentage will equal 100%
if any of the following exist:
i) it is prior to January 2000 (Month 36);
ii) the Class HE:B Principal Balance represents
less than 10.00% of the Scheduled Principal
Balance of Sub-Pool HE; and
iii) each Class HE:B Principal Distribution Test
(See below) is not satisfied.
Otherwise, the Senior Percentage will equal a
fraction, the numerator of which is the sum of the
Class HE:A Principal Balance and the Class HE:M
Principal Balance for a given Payment Date, and
the denominator of which is the Scheduled
Principal Balance of Sub-Pool HE for the
immediately preceding Payment Date.
6
<PAGE>
CLASS HE:M-1 After payment of Class HE:A Distribution Amount,
INTEREST: interest will be paid to the Class HE:M-1
Certificateholders in an amount equal to the
product of (a) the Class HE:M-1 Pass-Through Rate
and (b) the then outstanding Class HE:M-1
Principal Balance less the Class HE:M-1
Liquidation Loss Principal Amount. Interest will
accrue from the Settlement Date, or from the most
recent Payment Date on which interest has been
paid, to but excluding the following Payment Date.
Interest will be computed on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the Class HE:M-1
Pass-Through Rate, to the extent legally
permissible.
CLASS HE:M-1 Class HE:M-1 Certificateholders will not receive
PRINCIPAL: principal until Class HE:A Principal Balance has
been reduced to zero. At that time Class HE:M-1
will be entitled to receive the Sub-Pool HE Senior
Percentage of the Sub-Pool HE Formula Principal
Distribution Amount, until the class HE:M-1
Principal Balance has been reduced to zero.
CLASS HE:M-2 After payment of Class HE:A and Class HE:M-1
INTEREST: Distribution Amount, interest will be paid to the
Class HE:M-2 Certificateholders in an amount equal
to the product of (a) the Class HE:M-2
Pass-Through Rate and (b) the then outstanding
Class HE:M-2 Principal Balance less the Class
HE:M-2 Liquidation Loss Principal Amount.
Interest will accrue from the Settlement Date, or
from the most recent Payment Date on which
interest has been paid, to but excluding the
following Payment Date. Interest will be computed
on 30/360 basis.
Interest short fall will be carried forward, and
will bear interest at the Class HE:M-2
Pass-Through Rate, to the extent legally
permissible.
CLASS HE:M-2 Class HE:M-2 Certificateholders will not receive
PRINCIPAL: principal until Class HE:A and Class HE:M-1
Principal Balances have been reduced to zero. At
that time Class HE:M-2 will be entitled to receive
the Sub-Pool HE Senior Percentage of the Sub-Pool
HE Formula Principal Distribution Amount, until
the Class HE:M-2 Principal Balance has been
reduced to zero.
CLASS HE:B-1 After payment of Class HE:A, Class HE:M-1 and
INTEREST: Class HE:M-2 distribution Amount, interest will be
paid to the Class HE:B-1 Certificateholders in an
amount equal to the product of (a) the Class
HE:B-1 Pass-Through Rate and (b) the then
outstanding Class HE:B-1 Principal Balance less
the Class HE:B-1 Liquidation Loss Principal
Amount. Interest will accrue from the Settlement
Date, or from the most recent Payment Date on
which interest has been paid, to but excluding the
following Payment Date. Interest will be computed
on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the Class HE:B-1
Pass-Through Rate, to the extent legally
permissible.
7
<PAGE>
CLASS HE:B-1 The Class HE:B-1 Certificateholders will not
PRINCIPAL: receive principal payments until the Class HE:B
Cross-over Date. At that time, to the extent of
the amount available after payment of Class HE:A,
Class HE:M Distribution Amounts and Class HE:B-1
interest, Class HE:B-1 Certificateholders will
receive the Class HE:B Percentage of the Sub-Pool
HE Formula Principal Distribution Amount until
Class HE:B-1 Principal Balance has been reduced to
zero.
The Class HE:B Percentage will be equal to 100%
minus the Sub-Pool HE Senior Percentage if on or
after January 2000, the Class HE:B Principal
Balance represents more than 10.00% of the
Scheduled Principal Balance of Sub-Pool HE, and
each of the Class HE:B Principal Distribution
Tests (See below) are satisfied. The Class HE:B
Percentage after the Class HE:A and Class HE:M
Principal Balances have been reduced to zero will
be equal to 100%.
CLASS HE:B-2 After payment of Class HE:A, Class HE:M-1, Class
INTEREST: HE:M-2 and Class HE:B-1 Distribution Amounts,
interest will be paid to the Class HE:B-2
Certificateholders in an amount equal to the
product of (a) the Class HE:B-2 Pass-Through Rate
and (b) the then outstanding Class HE:B-2 Principal
Balance less the Class HE:B-2 Liquidation Loss
Principal Amount. The Limited Guaranty will be
available to pay interest to the Class HE:B-2
Certificateholders if the Sub-Pool HE Amount
Available is not sufficient. Interest will accrue
from the Settlement Date, or from the most recent
Payment Date on which interest has been paid, to
but excluding the following Payment Date. Interest
will be computed on 30/360 basis.
Interest shortfall will be carried forward, and
will bear interest at the Class HE:B-2
Pass-Through Rate, to the extent legally
permissible.
CLASS HE:B-2 The Class HE:B-2 Certificateholders will not
PRINCIPAL: receive principal payments until the Class HE:B-1
Principal Balance has been reduced to zero. At
that time, if each Class HE:B Principal
Distribution Test is satisfied (unless the Class
HE:A and Class HE:M Principal Balances have been
reduced to zero), to the extent of the amount
available after payment of the Class HE:A, the
Class HE:M and the Class HE:B-1 Distribution
Amounts and any amounts actually paid under the
Class HE:B-2 Limited Guaranty, the Class HE:B-2
Certificateholders will receive the Class HE:B
Percentage of the Sub-Pool HE Formula Principal
Distribution Amount until Class HE:B-2 Principal
Balance has been reduced to zero.
On each Payment Date, the Class HE:B-2
Certificateholders will be entitled to receive
pursuant to the Class HE:B-2 Limited Guaranty, the
Class HE:B-2 Liquidation Loss Principal Amount
until the Class HE:B-2 Principal Balance has been
reduced to zero.
LOSSES ON
LIQUIDATED If Net Liquidation Proceeds from Liquidated
HE CONTRACTS: Contracts in the respective collection period are
less than the Scheduled Principal Balance of such
Liquidated Contract plus accrued and unpaid
interest thereon, the deficiency will be absorbed
by the Class C Certificateholder, then the
Guaranty Fee otherwise payable to the Company,
then the Monthly Servicing Fee otherwise payable
to the Servicer (as long as Green Tree is the
Servicer), then the Class HE:B-2
Certificateholders, then the Class HE:B-1
Certificateholders, then the Class HE:M-1
Certificateholders and then the Class HE:M-2
Certificateholders.
8
<PAGE>
CLASS HE:B-2
LIMITED To the extent that the Sub-Pool HE Amount
GUARANTY: Available is not sufficient, the Limited Guaranty
will be available to pay the Class HE: B-2
Liquidation Loss principal Amount and the Class
HE:B-2 Distribution Amount. The Class HE:B-2
Limited Guaranty will be an unsecured general
obligation of the Company.
CLASS HE:B (i) the Sub-Pool HE Average Sixty-Day Delinquency
PRINCIPAL Ratio with respect to the Sub-Pool HE
DISTRIBUTION as of given Payment Date must not exceed
TESTS: 2.5%;
(ii) the Sub-Pool HE Average Thirty-Day
Delinquency Ratio with respect to the Sub-
Pool HE as of given Payment Date must not
exceed 5%;
(iii) the Sub-Pool HE Cumulative Realized Losses
with respect to Sub-Pool HE as of given
Payment Date must not exceed a certain
specified percentage of the Cut-off Date Pool
Principal Balance of Sub-Pool HE, depending
on the year in which such Payment Date
occurs;
(iv) the Sub-Pool HE Current Realized Loss Ratio
with respect to Sub-Pool HE as of given
Payment Date must not exceed 2.0%; and
(v) the Class HE:B Principal Balance divided by
the Pool Scheduled Principal Balance of Sub-
Pool HE as of the immediately preceding
Payment Date must be equal to or greater than
10.00%.
9
<PAGE>
HOME IMPROVEMENT CONTRACTS
The Home Improvement Contracts comprising Sub-Pool HI consist of
conventional and FHA-insured home improvement contracts and promissory notes.
The obligations of the Obligor under each Home Improvement Contract are secured
by the related real estate.
The information concerning the Initial Home Improvement Contracts presented
below is based on a pool originated through December 1, 1996. Green Tree intends
to acquire and sell additional Home Improvement Contracts, which are sufficient
to support the balance of Home Improvement Certificates sold, to the Trust by
the Closing Date. Although the characteristics of the final pool of Home
Improvement Contracts will differ from the characteristics of the Initial Home
Improvement Contracts shown below, Green Tree does not expect that the
characteristics of the additional Home Improvement Contracts sold to the Trust
will vary materially from the information concerning the Initial Home
Improvement Contracts herein.
THE INITIAL HOME IMPROVEMENT CONTRACT SUB-POOL
<TABLE>
<CAPTION>
<S> <C>
Number of Contracts in Sub-pool: 6,051
Wgt. Avg. Contract Rate: 11.495%
Range of Rates: 5.99% - 16.99%
Wgt. Avg. Orig. Maturity: 202
Wgt. Avg. Rem. Maturity: 201
Avg. Rem. Princ. Balance: $17,233.84
</TABLE>
GEOGRAPHIC DISTRIBUTION OF MORTGAGED PROPERTIES
INITIAL HOME IMPROVEMENT CONTRACTS
<TABLE>
<CAPTION>
% of HI Contract % of HI Contract
Sub-Pool by Number Aggregate Principal Sub-Pool by
Number of of Balance Outstanding
State Contracts Contracts Outstanding Principal Balance
- --------------- --------- ------------------ ------------------- -----------------
<S> <C> <C> <C> <C>
CA 667 11.02% 18,294,273.26 17.54%
NJ 464 7.67% 8,451,369.18 8.10%
NY 452 7.47% 8,346,649.85 8.00%
PA 429 7.09% 6,818,206.21 6.54%
MI 363 6.00% 5,720,985.45 5.49%
Other States* 3,676 60.75% 56,650,473.47 54.33%
Total 6,051 100.00% 104,281,957.42 100.00%
</TABLE>
- ----------
* No one State in this category constitutes more than 5% of the Sub-Pool HI
Outstanding Principal Balance.
YEARS OF ORIGINATION OF INITIAL HOME IMPROVEMENT CONTRACTS
<TABLE>
<CAPTION>
% of HI Contract Sub-Pool
Number of Aggregate Principal by Outstanding Principal
Year of Origination Contracts Balance Outstanding Balance
- ------------------- --------- ------------------- -------------------------
<S> <C> <C> <C>
1990 0 $0.00 0.00%
1991 0 $0.00 0.00%
1992 0 $0.00 0.00%
1993 2 $27,771.04 0.03%
1994 0 $0.00 0.00%
1995 2 $204,813.08 0.19%
1996 6,047 $104,049,373.30 99.78%
Total 6,051 $104,281,957.42 100.00%
</TABLE>
10
<PAGE>
DISTRIBUTION OF ORIGINAL INITIAL HOME IMPROVEMENT CONTRACT AMOUNTS
<TABLE>
<CAPTION>
% of HI Contract Sub-
Original HI Contract Number of Aggregate Principal Pool by Outstanding
Amount (in Dollars) Contracts Balance Outstanding Principal Balance
- ------------------------- --------- ------------------- ---------------------
<S> <C> <C> <C>
Less than $10,000 1,591 $11,330,656.42 10.86%
Between $10,000-$19,999 2,606 $37,641,303.07 36.10%
Between $20,000-$29,999 1,167 $28,065,418.41 26.91%
Between $30,000-$39,999 420 $14,140,394.70 13.56%
Between $40,000-$49,999 177 $7,650,890.21 7.34%
Between $50,000-$59,999 59 $3,093,913.81 2.97%
Between $60,000-$69,999 16 $1,000,253.47 0.96%
Between $70,000-$79,999 7 $526,968.76 0.50%
Between $80,000-$89,999 4 $323,377.47 0.31%
Between $90,000-$99,999 2 $186,751.02 0.18%
Between $100,000-$109,999 0 $0.00 0.00%
Between $110,000-$119,999 0 $0.00 0.00%
Between $120,000-$129,999 0 $0.00 0.00%
Between $130,000-$139,999 1 $131,550.00 0.13%
Between $140,000-$149,999 0 $0.00 0.00%
Between $150,000-$159,999 0 $0.00 0.00%
Between $160,000-$169,999 0 $0.00 0.00%
Between $170,000-$179,999 0 $0.00 0.00%
Between $180,000-$189,999 0 $0.00 0.00%
Between $190,000-$199,999 1 $190,480.08 0.18%
Total 6,051 $104,281,957.42 100.00%
</TABLE>
INITIAL HOME IMPROVEMENT CONTRACT RATES
<TABLE>
<CAPTION>
% of HI Contract Sub-
Range of HI Contracts by Number of Aggregate Principal Pool by Outstanding
Contract Rates Contracts Balance Outstanding Principal Balance
- ------------------------- --------- ------------------- ---------------------
<S> <C> <C> <C>
From 0.00%-9.00% 46 $1,492,422.49 1.43%
From 9.01%-10.00% 708 $16,296,697.78 15.63%
From 10.01%-11.00% 1,530 $32,890,940.41 31.54%
From 11.01%-12.00% 1,584 $29,500,838.37 28.29%
From 12.01%-13.00% 1,393 $15,539,181.54 14.90%
From 13.01%-14.00% 585 $6,396,338.71 6.13%
From 14.01%-15.00% 150 $1,704,571.25 1.63%
From 15.01%-16.00% 53 $455,069.76 0.44%
From 16.01%-17.00% 2 $5,897.11 0.01%
Over 17.01% 0 $0.00 0.00%
Total 6,051 $104,281,957.42 100.00%
</TABLE>
11
<PAGE>
REMAINING MONTHS TO MATURITY OF INITIAL HOME IMPROVEMENT CONTRACTS
<TABLE>
<CAPTION>
% of HI Contract Sub-Pool
Number of Aggregate Principal by Outstanding
Months Remaining Contracts Balance Outstanding Principal Balance
- ------------------- ---------- ------------------- -------------------------
<S> <C> <C> <C>
Less than 31 26 135,298.62 0.13%
31-60 504 4,259,650.87 4.08%
61-90 279 2,622,582.63 2.52%
91-120 1,828 23,001,055.31 22.06%
121-150 62 848,510.37 0.81%
151-180 1,538 27,008,086.69 25.90%
181-210 8 149,737.67 0.14%
211-240 776 17,310,262.92 16.60%
241-270 0 0 0.00%
271-300 1,028 28,901,831.40 27.72%
301-330 0 0 0.00%
331-360 2 44,940.94 0.04%
Total 6,051 104,281,957.42 100.00%
</TABLE>
12
<PAGE>
INITIAL HOME EQUITY CONTRACTS
The Initial Home Equity Contracts comprising Sub-Pool HE consist of closed-
end home equity loans. The obligations of the Obligor under each Home Equity
Contract are secured by the related real estate.
THE INITIAL HOME EQUITY CONTRACT SUB-POOL
<TABLE>
<S> <C>
Number of Contracts in Sub-pool: 7,513
Wgt. Avg. Contract Rate: 12.67%
Range of Rates: 8.25% - 19.75%
Wgt. Avg. Orig. Maturity: 203
Wgt. Avg. Rem. Maturity: 202
Avg. Rem. Princ. Balance: $ 44,284.91
Wgt. Avg. CLTV: 84.84%
</TABLE>
GEOGRAPHIC DISTRIBUTION OF MORTGAGE PROPERTIES
INITIAL HOME EQUITY CONTRACTS
<TABLE>
<CAPTION>
% of HE Contract
% of HE Contract Sub-Pool by
Number of Sub-Pool by Number Aggregate Principal Outstanding
State Contracts of Contracts Balance Outstanding Principal Balance
- ----- --------- ------------------ -------------------- ------------------
<S> <C> <C> <C> <C>
NC 799 10.63% $ 39,489,533.11 11.87%
FL 797 10.61% $ 32,767,713.69 9.85%
GA 637 8.48% $ 28,295,849.54 8.50%
IL 583 7.76% $ 26,156,022.93 7.86%
OH 522 6.95% $ 24,671,493.03 7.42%
SC 501 6.67% $ 21,996,671.78 6.61%
AL 387 5.15% $ 19,196,802.86 5.77%
MO 479 6.38% $ 19,191,458.24 5.77%
PA 442 5.88% $ 18,147,896.60 5.45%
MD 319 4.25% $ 17,298,935.73 5.20%
Other States* 2,047 27.24% $ 85,500,150.80 25.70%
Total 7,513 100.00% $332,712,528.39 100.00%
</TABLE>
- ---------------
* No one State in this category constitutes more than 5% of the Sub-Pool HE
Outstanding Principal Balance.
YEARS OF ORIGINATION OF INITIAL HOME EQUITY CONTRACTS
<TABLE>
<CAPTION>
% of HE Contract Sub-
Number of Aggregate Principal Pool by Outstanding
Years of Origination Contracts Balance Outstanding Principal Balance
- -------------------- --------- -------------------- ----------------------
<S> <C> <C> <C>
1995 13 $ 585,455.19 0.18%
1996 7,500 $332,127,073.20 99.82%
Total 7,513 $332,712,528.39 100.00%
</TABLE>
- ---------------
13
<PAGE>
DISTRIBUTION OF INITIAL HOME EQUITY CONTRACT AMOUNTS
<TABLE>
<CAPTION>
% of HE Contract Sub-
Original HE Contract Number of Aggregate Principal Pool by Outstanding
Amount (in Dollars) Contracts Balance Outstanding Principal Balance
- ------------------- ---------- ------------------- --------------------
<S> <C> <C> <C>
Less than $10,000 166 $ 1,187,968.06 0.36%
Between $10,000-$19,999 1,535 $ 22,368,750.32 6.72%
Between $20,000-$29,999 1,455 $ 35,227,621.81 10.59%
Between $30,000-$39,999 1,083 $ 37,201,804.05 11.18%
Between $40,000-$49,999 881 $ 39,310,065.75 11.81%
Between $50,000-$59,999 648 $ 35,299,887.09 10.61%
Between $60,000-$69,999 535 $ 34,355,830.88 10.33%
Between $70,000-$79,999 327 $ 24,203,362.50 7.27%
Between $80,000-$89,999 215 $ 18,018,685.16 5.42%
Between $90,000-$99,999 154 $ 14,556,848.90 4.38%
Between $100,000-$109,999 127 $ 13,302,787.19 4.00%
Between $110,000-$119,999 91 $ 10,467,443.53 3.15%
Between $120,000-$129,999 67 $ 8,332,096.33 2.50%
Between $130,000-$139,999 51 $ 6,744,763.08 2.03%
Between $140,000-$149,999 39 $ 5,641,474.18 1.70%
Between $150,000-$159,999 32 $ 4,787,053.21 1.44%
Between $160,000-$169,999 29 $ 4,756,562.02 1.43%
Between $170,000-$179,999 16 $ 2,791,721.07 0.84%
Between $180,000-$189,999 12 $ 2,203,635.48 0.66%
Between $190,000-$199,999 6 $ 1,176,167.28 0.35%
Between $200,000-$209,999 7 $ 1,418,576.43 0.43%
Between $210,000-$219,999 8 $ 1,712,303.91 0.51%
Between $220,000-$229,999 5 $ 1,106,994.42 0.33%
Between $230,000-$239,999 10 $ 2,340,037.81 0.70%
Between $240,000-$249,999 3 $ 731,968.30 0.22%
More than $250,000 11 $ 3,468,119.63 1.04%
Total 7,513 $332,712,528.39 100.00%
</TABLE>
INITIAL HOME EQUITY CONTRACT RATES
<TABLE>
<CAPTION>
% of HE Contract Sub-
Range of HE Contracts by Number of Aggregate Principal Pool by Outstanding
Contract Rates Contracts Balance Outstanding Principal Balance
- ------------------------ --------- -------------------- -------------------
<S> <C> <C> <C>
From 0.00%-9.00% 6 $ 465,869.09 0.14%
From 9.01%-10.00% 121 $ 8,484,383.37 2.55%
From 10.01%-11.00% 527 $ 35,117,338.35 10.55%
From 11.01%-12.00% 1,276 $ 75,813,538.42 22.79%
From 12.01%-13.00% 1,991 $ 99,735,167.39 29.98%
From 13.01%-14.00% 1,588 $ 65,273,691.13 19.62%
From 14.01%-15.00% 747 $ 22,526,786.35 6.77%
From 15.01%-16.00% 782 $ 16,751,782.84 5.03%
From 16.01%-17.00% 327 $ 6,079,820.73 1.83%
Over 17.01% 148 $ 2,464,150.72 0.74%
Total 7,513 $332,712,528.39 100.00%
</TABLE>
14
<PAGE>
REMAINING MONTHS TO MATURITY OF INITIAL HOME EQUITY CONTRACTS
<TABLE>
<CAPTION>
% of HE Contract Sub-
Number of Aggregate Principal Pool by Outstanding
Months Remaining Contracts Balance Outstanding Principal Balance
- ---------------- --------- ------------------- ---------------------
<S> <C> <C> <C>
31-45 8 $ 184,711.32 0.06%
46-60 108 $ 1,697,842.21 0.51%
61-75 25 $ 570,592.31 0.17%
76-90 97 $ 2,509,522.59 0.75%
91-105 17 $ 237,692.49 0.07%
106-120 540 $ 12,056,366.61 3.62%
121-135 3 $ 62,607.18 0.02%
136-150 27 $ 1,006,986.94 0.30%
151-165 2 $ 83,216.79 0.02%
166-180 4,530 $217,359,825.25 65.33%
181-195 2 $ 29,400.00 0.01%
196-210 0 $ 0.00 0.00%
211-225 3 $ 124,527.29 0.04%
226-240 1,747 $ 69,398,499.42 20.86%
241-255 0 $ 0.00 0.00%
256-270 0 $ 0.00 0.00%
271-285 0 $ 0.00 0.00%
286-300 20 $ 1,351,241.22 0.41%
301-315 0 $ 0.00 0.00%
316-330 0 $ 0.00 0.00%
331-345 0 $ 0.00 0.00%
346-360 384 $ 26,039,496.77 7.83%
Total 7,513 $332,712,528.39 100.00%
</TABLE>
LIEN POSITION OF INITIAL HOME EQUITY CONTRACTS
<TABLE>
<CAPTION>
% of HE Contract
% of HE Contract Sub-Pool by
Number of Sub-Pool by Number Aggregate Principal Outstanding
Contracts of Contracts Balance Outstanding Principal Balance
--------- -------------------------- --------------------------- ------------------
<S> <C> <C> <C> <C>
First 3,965 52.78% $244,070,391.50 73.36%
Second 3,287 43.75% $ 84,178,187.66 25.30%
Third or Lower 261 3.47% $ 4,463,949.23 1.34%
Total 7,513 100.00% $332,712,528.39 100.00%
</TABLE>
15
<PAGE>
LOAN-TO-VALUE RATIO OF INITIAL HOME EQUITY CONTRACTS
<TABLE>
<CAPTION>
% of HE Contract Sub-
Number of Aggregate Principal Pool by Outstanding
Loan-to-Value Ratio Contracts Balance Outstanding Principal Balance
- ------------------- --------- ------------------- ---------------------
<S> <C> <C> <C>
From 0.00%-10.00% 328 $ 4,664,515.96 1.40%
From 10.01%-20.00% 1,633 $ 32,515,275.01 9.77%
From 20.01%-30.00% 1,047 $ 28,777,007.50 8.65%
From 30.01%-40.00% 414 $ 14,556,500.34 4.38%
From 40.01%-50.00% 207 $ 7,922,081.50 2.38%
From 50.01%-60.00% 183 $ 7,753,188.47 2.33%
From 60.01%-70.00% 432 $ 21,210,689.68 6.37%
From 70.01%-80.00% 1,293 $ 71,450,888.89 21.48%
From 80.01%-90.00% 1,539 $108,971,198.25 32.75%
Over 90.01% 437 $ 34,891,182.79 10.49%
Total 7,513 $332,712,528.39 100.00%
</TABLE>
COMBINED LOAN-TO-VALUE RATIO OF INITIAL HOME EQUITY CONTRACTS
<TABLE>
<CAPTION>
% of HE Contract Sub-
Number of Aggregate Principal Pool by Outstanding
Loan-to-Value Ratio Contracts Balance Outstanding Principal Balance
- ------------------- --------- ------------------- ---------------------
<S> <C> <C> <C>
Less than 61% 412 $ 13,052,931.62 3.93%
61%-65% 166 $ 7,757,758.70 2.33%
66%-70% 307 $ 13,878,082.58 4.17%
71%-75% 598 $ 27,750,496.56 8.34%
76%-80% 928 $ 48,815,393.76 14.67%
81%-85% 929 $ 47,516,591.06 14.28%
86%-90% 1,771 $ 93,068,613.77 27.97%
91%-95% 1,247 $ 54,799,844.44 16.47%
Over 95% 1,155 $ 26,072,815.90 7.84%
Total 7,513 $332,712,528.39 100.00%
</TABLE>
16
<PAGE>
CPR PREPAYMENT SENSITIVITIES
FOR HOME IMPROVEMENT CONTRACT CERTIFICATES
<TABLE>
<CAPTION>
7.5% CPR 11.25% CPR 15% CPR 18.75% CPR 22.5% CPR
WAL/Maturity WAL/Maturity WAL/Maturity WAL/Maturity WAL/Maturity
--------------- --------------- --------------- ---------------- ---------------
<S> <C> <C> <C> <C> <C>
To Call
A-1 1.96 - 1/15/01 1.46 - 1/15/00 1.15 - 6/15/99 0.94 - 12/15/98 0.79 - 9/15/98
A-2 5.04 - 1/15/03 3.86 - 9/15/01 3.08 - 10/15/00 2.53 - 2/15/00 2.13 - 8/15/99
A-3 8.74 - 7/15/09 7.02 - 3/15/07 5.81 - 6/15/05 4.86 - 3/15/04 4.06 - 2/15/03
M-1 13.92 - 9/15/11 11.60 - 3/15/09 9.40 - 9/15/06 7.90 - 1/15/05 6.64 - 9/15/03
M-2 14.72 - 9/15/11 12.22 - 3/15/09 9.72 - 9/15/06 8.05 - 1/15/05 6.72 - 9/15/03
B-1 8.40 - 3/15/09 6.76 - 12/15/06 5.55 - 3/15/05 4.76 - 2/15/04 4.50 - 8/15/03
B-2 14.12 - 9/15/11 11.75 - 3/15/09 9.45 - 9/15/06 7.94 - 1/15/05 6.71 - 9/15/03
To Maturity
M-1 14.10 - 3/15/13 11.97 - 1/15/11 10.02 - 2/15/09 8.52 - 5/15/07 7.32 - 10/15/05
M-2 19.62 - 11/15/21 17.16 - 11/15/21 15.11 - 11/15/21 13.27 - 11/15/21 11.57 - 11/15/21
B-2 16.01 - 11/15/21 13.78 - 11/15/21 11.77 - 11/15/21 10.27 - 11/15/21 9.36 - 11/15/21
</TABLE>
CPR PREPAYMENT SENSITIVITIES
FOR HOME EQUITY CONTRACT CERTIFICATES
<TABLE>
<CAPTION>
50% of Base* 75% of Base* 100% of Base* 125% of Base* 150% of Base*
WAL/Maturity WAL/Maturity WAL/Maturity WAL/Maturity WAL/Maturity
---------------- ---------------- --------------- ---------------- ---------------
<S> <C> <C> <C> <C> <C>
To Call
A-1 1.97 - 12/15/00 1.43 - 9/15/99 1.15 - 2/15/99 0.97 - 10/15/98 0.85 - 6/15/98
A-2 6.15 - 7/15/06 4.08 - 11/15/02 3.08 - 5/15/01 2.47 - 5/15/00 2.08 - 9/15/99
A-3 11.23 - 11/15/09 7.54 - 6/15/06 5.19 - 4/15/03 3.97 - 8/15/01 3.13 - 8/15/00
A-4 14.13 - 9/15/11 10.80 - 3/15/09 8.08 - 8/15/06 5.77 - 10/15/04 4.28 - 2/15/02
A-5 7.39 - 9/15/11 6.60 - 2/15/09 6.04 - 6/15/06 5.52 - 7/15/04 4.92 - 5/15/03
M-1 14.72 - 9/15/11 12.22 - 3/15/09 9.71 - 9/15/06 8.03 - 1/15/05 6.68 - 9/15/03
M-2 14.72 - 9/15/11 12.22 - 3/15/09 9.72 - 9/15/06 8.05 - 1/15/05 6.72 - 9/15/03
B-1 9.39 - 12/15/10 6.80 - 6/15/07 5.23 - 1/15/05 4.58 - 11/15/03 4.29 - 3/15/03
B-2 14.66 - 9/15/11 11.92 - 3/15/09 9.41 - 9/15/06 7.86 - 1/15/05 6.67 - 9/15/03
To Maturity
M-1 14.72 - 11/15/11 13.79 - 9/15/11 11.11 - 1/15/10 8.98 - 8/15/07 7.41 - 10/15/05
M-2 18.46 - 10/15/26 16.10 - 10/15/26 14.87 - 10/15/26 13.01 - 10/15/26 11.11 - 10/15/26
B-2 15.64 - 10/15/26 13.58 - 10/15/26 11.32 - 10/15/26 9.75 - 10/15/26 8.66 - 10/15/26
</TABLE>
_______________
* 100% Base (100% Prepayment Assumption) assumes a conditional prepayment rate
of 4% per annum of the then outstanding principal balance of the Home Equity
Contracts in the first month of the life of the Home Equity Contracts and an
additional 1.45% (precisely, 16/11%) per annum in each month thereafter until
the twelfth month. Beginning in twelfth month and each month thereafter, the
conditional prepayment rate is 20%.
17
