<PAGE>
SUBJECT TO REVISION
SERIES TERM SHEET, DATED JUNE 14, 2000
$1,105,079,000
TOYOTA AUTO RECEIVABLES 2000-A OWNER TRUST
TOYOTA MOTOR CREDIT RECEIVABLES CORPORATION,
SELLER
TOYOTA MOTOR CREDIT CORPORATION,
SERVICER
$305,000,000 ___% ASSET BACKED NOTES, CLASS A-2
$523,000,000 ___% ASSET BACKED NOTES, CLASS A-3
$277,079,000 ___% ASSET BACKED NOTES, CLASS A-4
The trust will issue the following notes:
<TABLE>
<CAPTION>
----------------------- ----------------- ---------------------- -------------- ----------------- ----------------------
Initial
Principal
---------------- Interest Accrual First Interest Final Scheduled
Amount Rate Method(2) Payment Date Payment Date
<S> <C> <C> <C> <C> <C>
Class A-1 Notes(1).......$374,106,000 % Actual/360 July 17, 2000 July 15, 2001
Class A-2 Notes..........$305,000,000 % 30/360 July 17, 2000 December 15, 2002
Class A-3 Notes..........$523,000,000 % 30/360 July 17, 2000 August 15, 2004
Class A-4 Notes..........$277,079,000 % 30/360 July 17, 2000 April 15, 2007
</TABLE>
(1) The Class A-1 Notes will not be offered to third party investors at this
time. This term sheet is not an offer to sell or the solicitation of an
offer to buy the Class A-1 Notes.
(2) Interest generally will accrue on the Class A-1 Notes from payment date to
payment date, and on the Class A-2, Class A-3 and Class A-4 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 Toyota Motor Credit Corporation, Toyota Motor Credit
Receivables Corporation, Toyota Motor Sales, U.S.A., 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. The information contained in this term sheet will be
superseded by information contained in the final prospectus supplement and
prospectus relating to the offering of the notes. 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 prospectus, the statements in the prospectus
supplement and 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 THE NOTES OR DETERMINED THAT THIS TERM
SHEET IS ACCURATE OR COMPLETE. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL
OFFENSE.
<TABLE>
<S><C>
JOINT GLOBAL COORDINATORS
MERRILL LYNCH & CO. MORGAN STANLEY DEAN WITTER
CO-MANAGERS
CHASE SECURITIES INC.
DEUTSCHE BANC ALEX. BROWN
GOLDMAN, SACHS & CO.
LEHMAN BROTHERS
SALOMON SMITH BARNEY
</TABLE>
<PAGE>
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
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
Toyota Auto Receivables 2000-A Owner Trust.
SELLER
Toyota Motor Credit Receivables Corporation ("TMCRC").
SERVICER
Toyota Motor Credit Corporation ("TMCC").
INDENTURE TRUSTEE
U.S. Bank National Association.
OWNER TRUSTEE
U.S. Bank National Association.
CLOSING DATE
On or about June 27, 2000.
CUTOFF DATE
June 1, 2000.
THE NOTES
Class A-1 ___% Asset Backed Notes in the aggregate initial principal amount of
$374,106,000.
The Class A-1 Notes will not be offered to third party investors at this time.
This term sheet is not an offer to sell or the solicitation of an offer to buy
the Class A-1 Notes.
Class A-2 ___% Asset Backed Notes in the aggregate initial principal amount of
$305,000,000.
Class A-3 ___% Asset Backed Notes in the aggregate initial principal amount of
$523,000,000.
Class A-4 ___% Asset Backed Notes in the aggregate initial principal amount of
$277,079,000.
THE SUBORDINATED SELLER'S INTEREST
The trust will also issue to TMCRC, as the seller, in certificated form, a
fractional undivided interest in the trust that includes the right to payment
of certain available amounts in excess of those necessary to make payments on
the notes on each payment date to the extent specified in this term sheet.
This fractional undivided interest will not bear interest and is not offered
by this term sheet.
THE RECEIVABLES
On the closing date the trust will purchase a pool of new and used automobile
and light duty truck retail installment sales contracts originated by Toyota
and Lexus dealers having an aggregate principal balance of approximately
$1,524,932,796 as of the cutoff date. These contracts are referred to as the
"receivables." The receivables were sold by the dealers to TMCC and will be
resold by TMCC to TMCRC, who will sell them to the trust. Additional
information about the receivables follows this summary section.
TERMS OF THE SECURITIES
A. PAYMENT 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 July 17, 2000.
B. COLLECTION PERIODS
The calendar month preceding the related payment date or, in the case of the
first payment date, the period from June 1, 2000 through the last day of the
calendar month preceding such payment date.
C. INTEREST RATES
The Class A-1, Class A-2, Class A-3 and Class A-4 Notes will have the fixed
interest rates specified on the cover of this term sheet.
The fractional undivided interest in the trust retained by TMCRC will not
bear interest.
2
<PAGE>
D. INTEREST ACCRUAL
The Class A-1 Notes will accrue interest on an actual/360 basis from (and
including) a payment date to (but excluding) the next payment date, except
that the first interest accrual period will be from (and including) the
closing date to (but excluding) July 17, 2000.
The Class A-2, Class A-3 and Class A-4 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) July 15, 2000.
E. PAYMENT PRIORITIES
In general, Noteholders are entitled to receive payments of interest and
principal from the trust only to the extent that collections on the
receivables, advances and amounts on deposit in the reserve account are
sufficient to make the payments described below in the order of priority
described below.
On each payment date, the trust will make payments from collections on the
receivables received during the related collection period and, if necessary,
from 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 in the following order of priority:
1. SERVICING FEE - the servicing fee payable to the servicer;
2. CLASS A NOTE INTEREST - accrued and unpaid interest on the Class A-1,
Class A-2, Class A-3 and Class A-4 Notes, together with any amounts that
were to be paid pursuant to this clause (2) on any prior payment date but
were not paid because sufficient funds were not available to make such
payment (with interest accrued on such unpaid amounts at the related Note
interest rate);
3. ALLOCATION OF PRINCIPAL - to the principal distribution account, an
amount equal to the excess, if any, of (x) the principal balance of the
receivables as of the end of the collection period preceding the related
collection period (or, in the case of the first collection period, as of
the cutoff date) over (y) the principal balance of the receivables as of
the end of the related collection period, together with any amounts that
were to be paid pursuant to this clause (3) on any prior payment date but
were not paid because sufficient funds were not available to make such
payment;
4. RESERVE ACCOUNT DEPOSIT - to the reserve account, the amount, if any,
necessary to cause the balance of funds therein to equal the required
balance described under "Reserve Account" below; and
5. EXCESS AMOUNTS - any remaining amounts will be distributed to TMCRC in
respect of its fractional undivided interest in the trust.
ALLOCATIONS OF PRINCIPAL - On each payment date, from the amounts deposited into
the principal distribution account from the allocations of principal 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;
4. to the Class A-4 Notes until they are paid in full; and
5. after the Class A Notes are paid in full, any remaining funds to TMCRC in
respect of the fractional undivided interest in the trust issued to it.
To the extent there is an event of default under the Indenture that results in
acceleration of the notes, the "Payment Priorities" above will be revised so
that principal for all classes of Notes would be paid pro rata.
F. SUBORDINATION
As long as any Class A Notes remain outstanding, all payments on each payment
date in respect of the fractional undivided interest in the trust issued to
TMCRC will be subordinated to payments of interest on and principal of the
Class A Notes.
3
<PAGE>
G. RESERVE ACCOUNT
On the closing date, the seller will deposit $3,812,332 (0.25% of the
outstanding principal balance of the receivables as of the cutoff date) into
the reserve account for the trust.
On each payment 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 payment date, 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 payment date will be the greater of (a) 0.75% of the
outstanding principal balance of the receivables as of the end of the related
collection period or (b) $7,624,664 (0.50% of the outstanding principal
balance of the receivables as of the cutoff date), except that if charge-offs
or delinquencies exceed specified levels, the required amount will be the
greatest of (i) 0.75% of the outstanding principal balance of the receivables
as of the end of the related collection period, (ii) $7,624,664 (0.50% of the
outstanding principal balance of the receivables as of the cutoff date) and
(iii) 5.50% of the outstanding principal balance of the notes as of such
payment date (after giving effect to payments of principal made on such
date). On each payment date, the trust will deposit, to the extent available,
the amount, if any, necessary to cause the balance of funds on deposit in the
reserve account to equal the required balance set forth above after all other
distributions are made on the Notes.
H. FINAL SCHEDULED PAYMENT 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 payment date
specified on the cover of this term sheet.
I. OPTIONAL REDEMPTION; CLEAN-UP CALL
The servicer may redeem the Class A Notes in whole, but not in part, at a
price equal to the unpaid principal amount of those notes plus any accrued
and unpaid interest thereon, on any payment 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 or the Euroclear System in Europe or Asia. 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 and the Euroclear System on or about June 27, 2000.
TAX STATUS
Subject to important considerations described in the prospectus supplement and
prospectus, O'Melveny & Myers LLP, special tax counsel to the trust, will
deliver its opinion that the Class A-2, Class A-3 and Class A-4 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 the notes, you will agree to treat the notes as debt
instruments.
ERISA CONSIDERATIONS
Subject to the important considerations described in the prospectus supplement
and 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.
RATINGS
It is a condition to the issuance of the securities that: the Class A-2, Class
A-3 and Class A-4 Notes be rated "AAA" by Standard & Poor's Ratings Services, a
division of the McGraw-Hill Companies ("S & P"), and "Aaa" by Moody's Investors
Service, Inc. ("Moody's").
A SECURITY RATING IS NOT A RECOMMENDATION TO BUY, SELL OR HOLD NOTES. THE
RATINGS OF THE NOTES ADDRESS THE LIKELIHOOD OF THE PAYMENT OF PRINCIPAL AND
INTEREST ON
4
<PAGE>
THE NOTES IN ACCORDANCE WITH THEIR TERMS. A RATING AGENCY MAY SUBSEQUENTLY
LOWER OR WITHDRAW ITS RATING OF ANY CLASS OF NOTES. IF THIS HAPPENS, NO
PERSON OR ENTITY WILL BE OBLIGATED TO PROVIDE ANY ADDITIONAL CREDIT
ENHANCEMENT FOR THE NOTES.
THE TRUST WILL OBTAIN THE RATINGS MENTIONED ABOVE FROM S & P AND MOODY'S.
HOWEVER, ANOTHER RATING AGENCY MAY RATE THE NOTES AND, IF SO, MAY ASSIGN
RATINGS LOWER THAN THE RATINGS OBTAINED BY THE TRUST.
RISK FACTORS
Investment in the notes is subject to various risks, many of which will be
described under the caption "Risk Factors" in the final Prospectus Supplement
and Prospectus relating to the notes, each of which should be read carefully
in connection with any decision to invest in the notes.
5
<PAGE>
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 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 less than 12 and not more than 72 and, as of the cutoff date, had a
remaining number of scheduled payments of not less than 4 and not more than 72;
(v) provides for the payment of a finance charge at an annual percentage rate
ranging from 8% to 15%; (vi) does not have a payment that is more than 30 days
past due as of the cutoff date; (vii) is not a receivable as to which payments
ahead of more than 6 scheduled payments have been received from or on behalf of
the related obligor; (viii) is being serviced by TMCC; (ix) to the best
knowledge of the seller, is not due from any obligor who is presently the
subject of a bankruptcy proceeding or is bankrupt or insolvent; (x) does not
relate to a vehicle that has been repossessed without reinstatement as of the
cutoff date; (xi) does not relate to a vehicle as to which insurance has been
force-placed as of the cutoff date; (xii) as of the cutoff date had a remaining
principal balance of not less than $250 and not more than $50,000; and (xiii) as
to which the related obligor is not an employee of TMCC or any of its
affiliates. TMCC does not originate retail installment sales contracts in
Hawaii, and retail installment sales contracts originated in Texas or by a
subsidiary of TMCC operating in Puerto Rico 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 $15,496. 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. By
aggregate principal balance as of the cutoff date, approximately 3.52% of the
receivables constitute precomputed receivables and approximately 96.48% of the
receivables constitute simple interest receivables. By aggregate principal
balance as of the cutoff date and by number of receivables as of the cutoff
date, respectively, approximately 60.81% and 50.80% of the receivables relate to
new vehicles financed by TMCC. The remaining 39.19% (by aggregate principal
balance as of the cutoff date) and 49.20% (by number of receivables as of the
cutoff date) represent used vehicles financed by TMCC. Approximately 90.53% of
the aggregate principal balance of the receivables as of the cutoff date
represent financing of vehicles manufactured or distributed by Toyota Motor
Corporation or its affiliates.
6
<PAGE>
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
<TABLE>
COMPOSITION OF THE RECEIVABLES
<S> <C>
Total Cutoff Date Principal Balance $1,524,932,796
Number of Receivables 98,405
Average Cutoff Date Principal Balance $15,496
Range of Cutoff Date Principal Balances $340 to $49,989
Average Original Amount Financed $16,731
Range of Original Amount Financed $776 to $57,694
Weighted Average APR(1) 10.51%
Range of APRs 8% to 15%
Weighted Average Original Number of Scheduled Payments(1) 59.5
Range of Original Number of Scheduled Payments 12 to 72
Weighted Average Remaining Number of Scheduled Payments(1) 55.7
Range of Remaining Number of Scheduled Payments 4 to 72
</TABLE>
-----------------------
(1) Weighted by Principal Balance as of the Cutoff Date.
<TABLE>
<CAPTION>
DISTRIBUTION OF THE RECEIVABLES BY APR
NUMBER OF PERCENTAGE OF TOTAL CUTOFF DATE PRINCIPAL PERCENTAGE OF CUTOFF
RANGE OF APRS RECEIVABLES NUMBER OF RECEIVABLES BALANCE DATE PRINCIPAL BALANCE
----------- --------------------- ------- ----------------------
<S> <C> <C> <C> <C>
8.00 - 8.99 23,461 23.84% $417,336,508.42 27.37%
9.00 - 9.99 19,857 20.18 351,555,327.91 23.05
10.00 - 10.99 12,614 12.82 213,016,559.52 13.97
11.00 - 11.99 12,982 13.19 186,094,621.21 12.20
12.00 - 12.99 14,262 14.49 170,678,883.73 11.19
13.00 - 13.99 7,892 8.02 96,139,235.44 6.30
14.00 - 14.99 6,062 6.16 75,860,808.29 4.97
15.00 1,275 1.30 14,250,851.00 0.93
----- ---- ------------- ----
TOTAL(1): 98,405 100.00% $1,524,932,795.52 100.00%
====== ======= ================= =======
</TABLE>
(1) Percentages may not add to 100% due to rounding
7
<PAGE>
<TABLE>
<CAPTION>
DISTRIBUTION OF RECEIVABLES BY STATE(1)
PERCENTAGE OF
NUMBER OF PERCENTAGE OF TOTAL CUTOFF DATE CUTOFF DATE
STATE RECEIVABLES NUMBER OF RECEIVABLES PRINCIPAL BALANCE PRINCIPAL BALANCE
----- ----------- --------------------- ----------------- -----------------
<S> <C> <C> <C> <C>
Alabama........................ 111 0.11% $2,640,923.27 0.17%
Alaska......................... 52 0.05 885,970.81 0.06
Arizona........................ 2,556 2.60 41,374,290.11 2.71
Arkansas....................... 2,088 2.12 36,640,147.57 2.40
California..................... 25,543 25.96 384,745,881.71 25.23
Colorado....................... 1,375 1.40 22,776,551.05 1.49
Connecticut.................... 2,623 2.67 35,634,140.02 2.34
Delaware....................... 243 0.25 4,187,323.21 0.27
Florida........................ 611 0.62 13,745,032.44 0.90
Georgia........................ 184 0.19 4,705,442.37 0.31
Idaho.......................... 323 0.33 5,003,814.92 0.33
Illinois....................... 6,637 6.74 108,083,584.43 7.09
Indiana........................ 997 1.01 14,074,711.04 0.92
Iowa........................... 167 0.17 2,866,752.02 0.19
Kansas......................... 1,309 1.33 19,581,206.58 1.28
Kentucky....................... 819 0.83 12,874,374.93 0.84
Louisiana...................... 2,683 2.73 42,406,759.64 2.78
Maine.......................... 183 0.19 2,410,347.64 0.16
Maryland....................... 2,338 2.38 37,207,323.11 2.44
Massachusetts.................. 4,139 4.21 58,401,337.86 3.83
Michigan....................... 1,358 1.38 20,772,258.77 1.36
Minnesota...................... 1,128 1.15 18,613,012.04 1.22
Mississippi.................... 664 0.67 10,301,375.57 0.68
Missouri....................... 1,951 1.98 29,424,892.16 1.93
Montana........................ 43 0.04 525,739.76 0.03
Nebraska....................... 138 0.14 2,216,020.27 0.15
Nevada......................... 717 0.73 12,340,445.27 0.81
New Hampshire.................. 1,663 1.69 18,720,633.39 1.23
New Jersey..................... 4,338 4.41 71,106,285.58 4.66
New Mexico..................... 1,113 1.13 17,792,584.90 1.17
New York....................... 5,256 5.34 81,352,664.88 5.33
North Carolina................. 473 0.48 12,056,587.17 0.79
North Dakota................... 32 0.03 508,285.60 0.03
Ohio........................... 3,001 3.05 47,427,207.67 3.11
Oklahoma....................... 613 0.62 11,744,669.83 0.77
Oregon......................... 1,658 1.68 24,346,740.59 1.60
Pennsylvania................... 4,164 4.23 64,938,829.91 4.26
Rhode Island................... 627 0.64 8,598,976.04 0.56
South Carolina................. 115 0.12 2,668,316.89 0.17
South Dakota................... 30 0.03 452,014.85 0.03
Tennessee...................... 2,415 2.45 36,292,104.43 2.38
Utah........................... 748 0.76 12,622,531.71 0.83
Vermont........................ 348 0.35 4,212,960.71 0.28
Virginia....................... 6,429 6.53 101,088,318.29 6.63
Washington..................... 2,800 2.85 41,287,682.00 2.71
West Virginia.................. 286 0.29 4,120,132.78 0.27
Wisconsin...................... 1,224 1.24 17,758,656.52 1.16
Wyoming........................ 92 0.09 1,396,953.21 0.09
-- ---- ------------- ----
TOTAL (2)................... 98,405 100.00% $ 1,524,932,795.52 100.00%
====== ======= ================== =======
</TABLE>
------------
(1) Based solely on the addresses of the originating dealers.
(2) Percentages may not add to 100% due to rounding.
8
<PAGE>
DELINQUENCIES, REPOSSESSIONS AND NET LOSSES
Set forth below is certain information concerning TMCC's experience with
respect to its portfolio of new and used automobile and light duty truck retail
installment sales contracts which it has funded and is servicing, including
contracts that have been securitized. The information set forth below does not
include retail installment sales contracts serviced by an independent finance
company conducting business in five southeastern states of the United States for
the years 1996 and 1995.
The data presented in the following tables are for illustrative purposes
only. There is no assurance that TMCC's delinquency, credit loss and
repossession experience with respect to automobile and light duty truck retail
installment sales contracts in the future, or the experience of the trust with
respect to the receivables, will be similar to that set forth below. The
percentages in the tables below have not been adjusted to eliminate the effect
of the growth of TMCC's portfolio. Accordingly, the delinquency, repossession
and net loss percentages would be expected to be higher than those shown if a
group of receivables were isolated at a period in time and the delinquency,
repossession and net loss data showed the activity only for that isolated group
over the periods indicated.
<TABLE>
<CAPTION>
HISTORICAL DELINQUENCY EXPERIENCE
AT SEPTEMBER 30,
------------------------------------------------------------
AT MARCH 31,
2000 1999 1998 1997 1996 1995
------------ -------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C>
Outstanding Contracts(1) 835,742 762,199 667,639 605,632 574,439 517,325
Delinquencies as a Percentage of
Contracts Outstanding(2)
31-60 Days............... 1.24% 1.28% 1.34% 1.79% 1.46% 1.25%
61-90 Days............... 0.09% 0.09% 0.10% 0.16% 0.14% 0.11%
Over 90 Days............. 0.07% 0.06% 0.08% 0.10% 0.08% 0.06%
------------------------
</TABLE>
(1) Number of contracts outstanding at end of period.
(2) The period of delinquency is based on the number of days payments are
contractually past due. A payment is deemed to be past due if less than
90% of such payment is made on the related payment date.
9
<PAGE>
<TABLE>
<CAPTION>
NET LOSS AND REPOSSESSION EXPERIENCE
(DOLLARS IN THOUSANDS)
FOR THE SIX
MONTHS ENDED FOR THE FISCAL YEAR ENDED SEPTEMBER 30,
MARCH 31, -------------------------------------------------------------------
2000 1999 1998 1997 1996 1995
----------- ---------- ---------- ---------- ----------- ----------
<S> <C> <C> <C> <C> <C> <C>
Principal Amount Outstanding(1) $10,634,010 $9,699,078 $8,075,636 $6,795,213 $5,930,100 $4,930,711
Average Principal Amount
Outstanding(2) $10,166,544 $8,887,357 $7,435,425 $6,362,657 $5,430,406 $4,843,927
Number of Contracts Outstanding 835,742 762,199 667,639 605,632 574,439 517,325
Average Number of Contracts
Outstanding(2) 798,971 714,919 636,636 590,036 545,882 515,723
Number of Repossessions(3) 5,656 9,930 10,906 10,994 8,981 8,438
Number of Repossessions as a
Percent of the Number of
Contracts Outstanding 1.35% 1.30% 1.63% 1.82% 1.56% 1.63%
Number of Repossessions as a
Percent of the Average Number of
Contracts Outstanding 1.42% 1.39% 1.71% 1.86% 1.65% 1.64%
Gross Charge-Offs(4) $27,128 $49,942 $56,956 $51,191 $33,017 $27,282
Recoveries(5) $4,165 $8,060 $7,898 $6,864 $6,604 $5,957
Net Losses $22,962 $41,882 $49,058 $44,327 $26,413 $21,325
Net Losses as a Percentage of
Principal Amount Outstanding 0.43%(6) 0.43% 0.61% 0.65% 0.45% 0.43%
Net Losses as a Percentage of
Average Principal Amount
Outstanding 0.45%(6) 0.47% 0.66% 0.70% 0.49% 0.44%
</TABLE>
-------------
(1) Principal Amount Outstanding includes payoff amount for simple interest
contracts and net principal amount for precomputed contracts and
unamortized dealer reserve for all contracts.
(2) Average of the principal amount or number of contracts outstanding as
of the beginning and end of the indicated periods.
(3) Includes bankrupt repossessions but excludes bankruptcies.
(4) Amount charged off is the net remaining principal balance, including
earned but not yet received finance charges, repossession expenses and
unpaid extension fees, less any proceeds from the liquidation of the
related vehicle. Also includes dealer reserve charge-offs.
(5) Includes all recoveries from post-disposition monies received on
previously charged-off contracts including any proceeds from the
liquidation of the related vehicle after the related charge-off. Also
includes recoveries for dealer reserve charge-offs and dealer reserve
chargebacks.
(6) Annualized.
10
<PAGE>
WEIGHTED AVERAGE LIVES 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 in such a pool are the same size and
amortize at the same rate and that each such receivable will, in each month of
its life, 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 significantly
earlier than the respective final scheduled payment date for such class.
Reinvestment risk associated with early payment of the notes of any class 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 commencing June 30, 2000 and each month has 30 days, (iii) the
notes are issued on June 27, 2000 and payments are made on the notes on each
payment 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 payment date
is the required amount described in the summary under "Reserve Account", and (v)
except as otherwise indicated, the servicer exercises its option to purchase the
receivables on the earliest payment date on which such option may be exercised.
The hypothetical pools each have an assumed cutoff date of June 1, 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 payment 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>
APR ORIGINAL TERM TO
NUMBER OF AGGREGATE PRINCIPAL ----------- REMAINING TERM TO MATURITY (IN
POOL RECEIVABLES BALANCE ($) (%) MATURITY (IN MONTHS) MONTHS)
--------- ------------ ------------------- ----------- -------------------- ----------------
<S> <C> <C> <C> <C> <C>
1 429 1,589,564.03 12.153 5 47
2 1,613 7,467,052.10 12.094 9 45
3 2,269 12,056,043.44 12.433 15 48
4 3,314 22,777,574.09 11.713 21 44
5 3,201 24,859,388.78 12.186 26 49
6 5,205 59,479,598.98 10.319 33 41
7 3,014 32,119,827.13 11.299 38 47
8 8,004 112,765,566.07 10.429 45 48
9 2,681 37,923,503.41 10.652 49 51
10 45,026 748,848,553.32 10.264 57 60
11 11,300 201,036,228.26 10.402 61 61
12 10,378 221,086,906.57 10.727 69 72
13 1,971 42,922,989.34 11.320 72 72
---------- ----------------
98,405 1,524,932,795.52
========== ================
</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
11
<PAGE>
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 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.
<TABLE>
<CAPTION>
PERCENT OF INITIAL NOTE PRINCIPAL AMOUNT AT VARIOUS ABS PERCENTAGES
CLASS A-2 NOTES CLASS A-3 NOTES CLASS A-4 NOTES
------------------------------ ------------------------------ -----------------------
PAYMENT DATE 0.50% 1.00% 1.50% 1.80% 0.50% 1.00% 1.50% 1.80% 0.50% 1.00% 1.50% 1.80%
-------------- ------ ------ ------ ------ ------ ------ ------ ------ ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Closing Date 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
7/15/00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
8/15/00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
9/15/00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
10/15/00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
11/15/00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
12/15/00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
1/15/01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
2/15/01 100.00 100.00 100.00 90.18 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
3/15/01 100.00 100.00 88.27 75.02 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
4/15/01 100.00 97.72 74.69 60.30 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
5/15/01 100.00 86.11 61.33 45.86 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
6/15/01 100.00 74.61 48.18 31.72 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
7/15/01 90.13 63.22 35.26 17.87 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
8/15/01 80.27 51.95 22.56 4.32 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
9/15/01 70.43 40.80 10.09 0.00 100.00 100.00 100.00 94.79 100.00 100.00 100.00 100.00
10/15/01 60.87 29.99 0.00 0.00 100.00 100.00 98.84 87.29 100.00 100.00 100.00 100.00
11/15/01 51.33 19.29 0.00 0.00 100.00 100.00 91.92 79.96 100.00 100.00 100.00 100.00
12/15/01 41.80 8.71 0.00 0.00 100.00 100.00 85.13 72.80 100.00 100.00 100.00 100.00
1/15/02 32.30 0.00 0.00 0.00 100.00 98.98 78.47 65.81 100.00 100.00 100.00 100.00
2/15/02 22.81 0.00 0.00 0.00 100.00 92.95 71.94 58.99 100.00 100.00 100.00 100.00
3/15/02 13.35 0.00 0.00 0.00 100.00 86.99 65.55 52.35 100.00 100.00 100.00 100.00
4/15/02 4.26 0.00 0.00 0.00 100.00 81.27 59.42 45.96 100.00 100.00 100.00 100.00
5/15/02 0.00 0.00 0.00 0.00 97.19 75.62 53.41 39.75 100.00 100.00 100.00 100.00
6/15/02 0.00 0.00 0.00 0.00 91.91 70.04 47.53 33.70 100.00 100.00 100.00 100.00
7/15/02 0.00 0.00 0.00 0.00 86.64 64.53 41.79 27.82 100.00 100.00 100.00 100.00
8/15/02 0.00 0.00 0.00 0.00 81.39 59.10 36.18 22.12 100.00 100.00 100.00 100.00
9/15/02 0.00 0.00 0.00 0.00 76.33 53.87 30.79 16.64 100.00 100.00 100.00 100.00
10/15/02 0.00 0.00 0.00 0.00 71.28 48.71 25.54 11.32 100.00 100.00 100.00 100.00
11/15/02 0.00 0.00 0.00 0.00 66.24 43.63 20.41 6.17 100.00 100.00 100.00 100.00
12/15/02 0.00 0.00 0.00 0.00 61.22 38.62 15.42 1.19 100.00 100.00 100.00 100.00
1/15/03 0.00 0.00 0.00 0.00 56.21 33.68 10.56 0.00 100.00 100.00 100.00 93.18
2/15/03 0.00 0.00 0.00 0.00 51.22 28.82 5.85 0.00 100.00 100.00 100.00 84.45
3/15/03 0.00 0.00 0.00 0.00 46.24 24.04 1.27 0.00 100.00 100.00 100.00 76.06
4/15/03 0.00 0.00 0.00 0.00 41.60 19.58 0.00 0.00 100.00 100.00 94.34 68.22
5/15/03 0.00 0.00 0.00 0.00 36.98 15.20 0.00 0.00 100.00 100.00 86.53 60.70
6/15/03 0.00 0.00 0.00 0.00 32.37 10.89 0.00 0.00 100.00 100.00 78.97 53.50
7/15/03 0.00 0.00 0.00 0.00 27.78 6.65 0.00 0.00 100.00 100.00 71.67 46.63
8/15/03 0.00 0.00 0.00 0.00 23.20 2.49 0.00 0.00 100.00 100.00 64.62 40.09
9/15/03 0.00 0.00 0.00 0.00 18.80 0.00 0.00 0.00 100.00 97.20 57.96 0.00
10/15/03 0.00 0.00 0.00 0.00 14.41 0.00 0.00 0.00 100.00 89.84 51.55 0.00
11/15/03 0.00 0.00 0.00 0.00 10.03 0.00 0.00 0.00 100.00 82.62 45.40 0.00
12/15/03 0.00 0.00 0.00 0.00 5.67 0.00 0.00 0.00 100.00 75.54 39.51 0.00
1/15/04 0.00 0.00 0.00 0.00 1.33 0.00 0.00 0.00 100.00 68.62 0.00 0.00
2/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 94.34 61.84 0.00 0.00
3/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 86.21 55.21 0.00 0.00
4/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 78.95 49.31 0.00 0.00
5/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 71.72 43.55 0.00 0.00
6/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 64.52 0.00 0.00 0.00
7/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 57.35 0.00 0.00 0.00
8/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 50.48 0.00 0.00 0.00
9/15/04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 43.63 0.00 0.00 0.00
10/15/04 0.00 0.00 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) 1.44 1.19 1.00 0.90 2.72 2.35 2.00 1.81 4.09 3.74 3.29 2.99
Weighted Average
Life
(years)(1)(2) 1.44 1.19 1.00 0.90 2.72 2.35 2.00 1.81 4.19 3.87 3.41 3.09
</TABLE>
12
<PAGE>
(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 payment 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 does not exercise its option
to purchase the receivables.
THE FOREGOING TABLE HAS BEEN PREPARED ON THE BASIS OF THE ASSUMPTIONS
DESCRIBED ABOVE UNDER "WEIGHTED AVERAGE LIVES OF THE NOTES" (INCLUDING THE
ASSUMPTIONS REGARDING THE CHARACTERISTICS AND PERFORMANCE OF THE RECEIVABLES,
WHICH WILL DIFFER FROM THE ACTUAL CHARACTERISTICS AND PERFORMANCE OF THE
RECEIVABLES), AND SHOULD BE READ IN CONJUNCTION THEREWITH.
13
