FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
(Mark One)
[X] [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended: September 30, 1996
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission file number: 33-76970
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., Series 4 through 9
(Exact name of registrant as specified in its charter)
California 33-0531301 (Series 4) & 33-0676287 (Series 5)
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
3158 Redhill Avenue, Suite 120, Costa Mesa, CA 92626
(Address of principal executive offices)
(714) 662-5565
(Registrant's telephone number,
including area code)
N/A
(Former name, former address and former fiscal year, if changed since last
report)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.
Yes [X] No [ ]
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., Series 4 through 9
(A California Limited Partnership)
INDEX TO FORM 10-Q
FOR THE QUARTER ENDED September 30, 1996
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements- Series 4
Balance Sheets, September 30, 1996 and December 31, 1995 4
Statement of Operations
For the three and nine months ended September 30, 1996 and 5
1995
Statement of Partners' Equity
For the nine months ended September 30, 1996 and 1995 6
Statement of Cash Flows
For the nine months ended September 30, 1996 and 1995 7
Notes to Financial Statements 9
Item 1. Financial Statements- Series 5
Balance Sheets, September 30, 1996 and December 31, 1995 15
Statement of Operations
For the Period from February 26, 1996 (Date Operations 16
commenced) to September 30, 1996
Statement of Partners' Equity
For the Period from February 26, 1996 (Date Operations 17
commenced) to September 30, 1996
Statement of Cash Flows
For the Period from February 26, 1996 (Date Operations 18
commenced) to September 30, 1996
Notes to Financial Statements 20
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., Series 4 through 9
(A California Limited Partnership)
INDEX TO FORM 10-Q (CONTINUED)
FOR THE QUARTER ENDED September 30, 1996
PART I. FINANCIAL INFORMATION (CONTINUED)
Item 2. Management's Discussion and Analysis of Financial 26
Condition and Results of Operations
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K 32
Signatures 33
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
BALANCE SHEETS
September 30, 1996 and December 31, 1995
1996 1995
---- ----
ASSETS
Cash and cash equivalents $ 2,877,952 $ 3,827,214
O & O reimbursements due from affiliate-Note 2 142,141
Loans receivable from limited partnerships 100,000
Investment in limited partnerships - Note 3 8,119,154 8,494,018
Other assets 12,003 25,824
------ ------
$11,251,250 $12,347,056
========== ==========
LIABILITIES AND PARTNERS' EQUITY
Liabilities:
Payable to limited partnership - Note 5 $ 1,806,093 $ 2,785,857
Accrued fees and expenses due to
general partner and affiliates - Note 4 38,798 102,526
---------- ---------
Total liabilities 1,844,891 2,888,383
---------- ---------
Partners' equity (deficit):
General partner (16,829) (14,581)
Limited partners (25,000 units authorized,
11,500 issued and outstanding) 9,423,188 9,473,254
--------- ---------
Total partners' equity 9,406,359 9,458,673
--------- ---------
$11,251,250 $12,347,056
========== ==========
UNAUDITED
See Accompanying Notes to Financial Statements
4
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
STATEMENT OF OPERATIONS
For the Three and Nine Months Ended September 30, 1996 and 1995
1996 1995
----
Three Nine Three Nine
Months Months Months Months
Interest income $ 36,690 $ 117,170 $ 52,249 $ 71,747
------ ------- ------ ------
Operating expenses:
Amortization 6,302 18,514 5,255 10,063
Asset management fees (Note 4) 7,906 23,719 724 1,667
Legal and accounting (175) 5,000 7,000
Interest expenses - 79,853
Other 799 5,429 (3,510) 2,730
----- ----- ------- -----
Total operating expenses 14,832 52,662 2,469 101,313
------ ------ ----- -------
Loss from operations 21,858 64,508 49,780 (29,566)
Equity in loss from
limited partnerships (231,000) (403,000) (17,491) (31,700)
--------- --------- -------- --------
Net income (loss) $ (209,142) $(338,492) $ 32,289 $(61,266)
========= ========= ======= =======
Net loss allocated to:
General partner $ (2,091) (3,385) 323 (613)
======= ======= === =====
Limited partners $ (207,051) (335,107) 31,966 (60,653)
========= ========= ======= ========
Net loss per limited
partner units (11,500 and 6,607
weighted units 1996 and 1995)$ (18.00) $ (29.14) $ 5.00 $ (9.00)
======= ======= ===== ======
UNAUDITED
See Accompanying Notes to Financial Statements
5
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
STATEMENT OF PARTNERS' EQUITY
For the Nine Months Ended September 30, 1996 and 1995
For the Nine Months Ended September 30, 1996
General Limited
Partner Partner Total
Equity (deficit), December 31, 1995 $ (14,581) $ 9,473,254 $9,458,673
Capital collected from notes receivable 172,500 172,500
Reduction of offering expense 1,137 112,541 113,678
Net loss for the nine months ended
September 30, 1996 (3,385) (335,107) (338,492)
--------- --------- -------
Equity (deficit), September 30, 1996 $ (16,829) $ 9,423,188 $9,406,359
======== ========= =========
For the Nine Months Ended September 30, 1995
General Limited
Partner Partner Total
Equity (deficit), December 31, 1994 $ (3,015) $1,703,189 $1,700,174
Capital contributions 8,942,050 8,942,050
Capital issued for notes receivable -Note 8 (192,500) (192,500)
Capital collected from notes receivable 155,500 155,500
Offering expense 10,382) (1,027,824) (1,038,206)
Net loss for the nine months ended
September 30, 1995 (613) (60,653) (61,266)
---- ------- -------
Equity (deficit), September 30, 1995 $ (14,010) $ 9,519,762 $9,505,752
======== ========= =========
UNAUDITED
See Accompanying Notes to Financial Statements
6
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
STATEMENT OF CASH FLOWS
For the Nine Months Ended September 30, 1996 and 1995
1996 1995
---- ----
Cash flows provided (used) by operating activities:
Net loss $ (38,492) $ (61,266)
Adjustments to reconcile net loss to net
cash used in operating activities:
Equity in loss of limited partnerships 403,000 31,700
Amortization 18,514 10,063
Asset management fee (21,281) 1,667
(Increase) decrease in interest receivable 13,821 (21,170)
Decrease in interest payable (13,449)
Accrued fees and expense due to
general partner and affiliates (5,613) 12,342
------- -------
Net cash provided (used) by operating activities 69,949 (40,113)
------ --------
Cash flows used by investing activities:
Investments in limited partnerships (984,793) (387,436)
Acquisition costs and fees (29,377) (688,464)
Loan to Limited partnership (100,000)
-------- --------
Net cash used by investing activities (1,114,170) (1,075,900)
----------- -----------
Cash flows provided by financing activities:
Capital contributions from partners 172,500 9,163,250
Offering costs (77,541) (1,305,757)
Payment of advances from affiliates (1,262,026)
Payment of loan payable - (1,200,000)
--------- -----------
Net cash provided by financing activities 94,959 5,395,467
--------- ---------
Net increase (decrease) in cash
and cash equivalents (949,262) 4,279,454
Cash and cash equivalents, beginning of period 3,827,214 484,771
--------- -------
Cash and cash equivalent, end of period $ 2,877,952 $ 4,764,225
========= =========
UNAUDITED
See Accompanying Notes to Financial Statements
7
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
(A Development-Stage Enterprise)
STATEMENT OF CASH FLOWS - CONTINUED
For the Nine months ended September 30, 1996 and 1995
Supplemental disclosure of noncash financing and investing activity:
For the Nine Months For the Nine Months
Ended September 30, Ended September 30,
1996 1995
---- ----
During the nine months ended September 30,1996, the Partnership's payables to
limited partnerships; (in connection with its investments in limited
partnerships) (see Note 3) had non-cash transactions as follows:
Increases due to acquisition of limited $211,677 $833,979
partnership interests Decreases due to
various price adjuster provisions in the
respective limited partnership agreements (206,648)
The Partnership applied loans receivable
from limited partnerships to ivestments
in limited partnerships 0 (1,098,608)
- ----------
Net non-cash activity in Partnership'
payables to limited partnerships 5,029 (264,629)
----- ---------
Other non-cash activity:
The Partnership has incurred but not paid:
Acquisition fees payable to affiliate of
general partner $12,24
Selling fees advanced by
affiliate of general partner 1,475
O & O reimbursement receivable
from an affiliate $142,141
UNAUDITED
See Accompanying Notes to Financial Statements
8
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
NOTES TO FINANCIAL STATEMENTS
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Organization WNC CALIFORNIA TAX CREDITS IV, L.P., Series 4 (the
"Partnership") was formed under the California Revised Limited Partnership
Act on February 16, 1995, and commenced operations on July 26, 1995. The
Partnership was formed to invest primarily in other limited partnerships
which will own and operate multi-family housing complexes that will qualify
for low income housing credits. The general partner of the Partnership is
WNC California Tax Credit Partners IV, L.P. (the "General Partner"), a
California limited partnership. WNC & Associates, Inc. is the general
partner of the General Partner. Wilfred N. Cooper, Sr., through the Cooper
Revocable Trust, owns 70% of the outstanding stock of WNC & Associates,
Inc. John B. Lester, Jr. is the original limited partner of the Partnership
and owns, through the Lester Family Trust, 30% of the outstanding stock of
WNC & Associates, Inc. General The information contained in the following
notes to the financial statements is condensed from that which would appear
in the annual financial statements; accordingly, the financial statements
included herein should be reviewed in conjunction with the audited
financial statements and related notes thereto contained in the
Partnership's financial statements for the period ended December 31, 1995
(audited). In the opinion of the General Partner, the accompanying
unaudited financial statements contain all adjustments (consisting of only
normal recurring accruals) necessary to present fairly the financial
position as of September 30, 1996 and the results of operations and changes
in cash flows for the nine months ended September 30, 1996 and 1995.
Allocations Under the Terms of the Partnership Agreement The General
Partner has a 1% interest in operating profits and losses, taxable income
and loss and in cash available for distribution from the Partnership. The
limited partners will be allocated the remaining 99% of these items in
proportion to their respective investments.
9
<PAGE>
WNC CALIFORNIA TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
After the limited partners have received sale or refinancing proceeds equal to
their capital contributions and their return on investment (as defined in the
Partnership's Agreement of Limited Partnership) and the General Partner has
received a subordinated disposition fee (as described in Note 3 below), any
additional sale or refinancing proceeds will be distributed 90% to the limited
partners (in proportion to their respective investments) and 10% to the General
Partner.
Method of Accounting For Investment in Limited Partnerships
- -----------------------------------------------------------
The investment in limited partnerships is accounted for on the equity method of
accounting whereby the Partnership adjusts its investment balance for its share
of each limited partnership's results of operations and for any distributions
received. Costs incurred by the Partnership in acquiring the investments in
limited partnerships are capitalized as part of the investment account.
Losses from the limited partnerships will not be recognized to the extent that
the individual investment balance would be adjusted below zero.
Offering Expenses
- -----------------
Offering expenses consist of underwriting commissions, legal fees, printing,
filing and recordation fees, and other costs incurred with selling limited
partnership interests in the Partnership. The General Partner is obligated to
pay all offering and organization costs in excess of 15% (including sales
commissions) of the total offering proceeds. Offering expenses are reflected as
a reduction of partners' capital.
Organization Costs
- ------------------
Organization costs will be amortized on the straight-line method over 60 months.
Cash and Cash Equivalents
- -------------------------
The Partnership considers investments with an original maturity of three months
or less as cash equivalents.
10
<PAGE>
WNC CALIFORNIA TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 2 - O & O REIMBURSEMENTS DUE FROM AFFILIATE
O & O Reimbursements Due Form Affiliate represents amounts due from WNC
California Housing Tax Credits IV, Series 5 for reimbursement of Organizational
and Offering Expenses. Section 5.3.1. (iii) of the partnership agreement
provides that if Organizational and Offering Expenses on a per-Unit basis are
higher for one series than for another (excluding certain discounts), the total
of Organizational and Offering Expenses incurred by all such series shall be
allocated among them so that the per-Unit amount is the same (excluding
discounts). Consequently, offering expenses of $142,141 already paid by WNC
California Housing Tax Credits IV, Series 5 was allocated to the Partnership in
regards to equalizing offering expenses on a per-Unit basis.
NOTE 3 - INVESTMENT IN LIMITED PARTNERSHIPS
As of September 30, 1996 the Partnership had acquired limited partnership
interests in eight limited partnerships each of which owns one Apartment
Complex. As of September 30, 1996, construction or rehabilitation of seven of
the Apartment Complexes had been completed and one was undergoing construction
or rehabilitation
As of September 30, 1995 the Partnership had acquired limited partnership
interests in five limited partnerships each of which owns one Apartment Complex.
As of September 30, 1995, construction or rehabilitation of two of the Apartment
Complexes had been completed and three were undergoing construction or
rehabilitation.
The Partnership, as a limited partner, is entitled to 99%, as specified in the
partnership agreements, of the operating profits and losses of the limited
partnerships upon the acquisition of its limited partnership interest. Following
is a summary of the components of investment in limited partnerships as of
September 30, 1996 and December 31, 1995:
1996 1995
---- ----
Investment per balance sheet,
beginning of Period $8,494,018 $3,355,553
Capital contributions to limited
partnerships 5,029 4,702,910
Increse in capitalized acquisition
fees and costs 41,621 551,835
Amortization (18,514) (16,056)
Equity in income (loss)of limited
partnerships (403,000) (100,224)
-------- --------
Investment per balance sheet, end of
period $8,119,154 $8,494,018
========== ==========
11
<PAGE>
WNC CALIFORNIA TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 3 - INVESTMENT IN LIMITED PARTNERSHIPS (CONTINUED)
Selected financial information from the financial statements of the limited
partnerships with operations for the nine months ended September 30, 1996 and
1995 is as follows:
Nine months ended
September 30, September 30,
1995 1996
---- ----
Total revenue $527,000 $49,000
Expenses:
Operating expenses - exclusive of
depreciation and interest 360,000 31,000
Interest expense 195,000 18,000
Depreciation 380,000 32,000
Total expenses 935,000 81,000
------- ------
Net loss $(408,000) $(32,000)
========= =========
Net loss allocable to Partnership $(403,000) $(31,700)
========= =========
NOTE 4 - RELATED PARTY TRANSACTIONS
Under the terms of its Agreement of Limited Partnership, the Partnership is
obligated to the General Partner or its affiliates for the following items:
Acquisition fees of up to 7% of the gross proceeds from the sale of
Partnership units. Acquisition fees of $13,650 and $489,940 were
incurred for the nine months ended September 30, 1996 and 1995.
An annual asset management fee equal to the greater amount of (i)
$2,000 for each Apartment Complex, or (ii) 0.275% of Gross Proceeds. In
either case, the fee will be decreased or increased annually based on
changes to the Consumer Price Index. However, in no event will the
maximum amount exceed 0.2 % of the invested assets (defined as the
Partnership's capital contributions to the limited partnerships plus
its allocable percentage of the permanent financing) of the limited
12
<PAGE>
WNC CALIFORNIA TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 4 - RELATED PARTY TRANSACTIONS (CONTINUED)
partnerships which are subsidized under one or more Federal, state or
local government programs. The Partnership has incurred fees of $23,719
and $1,667 for the nine months ended September 30, 1996 and 1995.
Reimbursement for organizational, offering and selling expenses
advanced by an affiliate of the General Partner on behalf of the
Partnership. These reimbursements plus all other organizational and
offering expenses inclusive of sales commissions will not exceed 15% of
the gross proceeds. During the nine moths ended September 30, 1996 the
Partnership incurred organizational, offering and selling expenses of
$-0-, $(113,678) and $-0-, respectively and during the nine months
ended September 30, 1995 the Partnership incurred organizational,
offering and selling expenses of $-0-, $634,700 and $403,500
respectively.
A subordinated disposition fee in an amount equal to 1% of the sales
price of real estate sold. Payment of this fee is subordinated to the
limited partners receiving a return on investment (as defined in the
Agreement of Limited Partnership) and is payable only if services are
rendered in the sales effort.
Accrued fees and advances due to affiliates of the General Partner included in
the accompanying balance sheet consists of the following at September 30, 1996
and December 31, 1995:
1996 1995
------- --------
Acquisition fees $ 26,565 $ 14,321
Advances made for acquisition costs,
organizational, offering and selling
expenses 1,475 56,680
Asset management fees accrued 10,344 31,625
Other advances and expenses 414 0
--- -
$ 38,798 $ 102,526
====== =======
See Note 2 for additional related party transaction.
13
<PAGE>
WNC CALIFORNIA TAX CREDITS IV, L.P., SERIES 4
(A California Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 5 - PAYABLE TO LIMITED PARTNERSHIPS
Payable to limited partnerships represent amounts which are due at various times
based on conditions specified in the respective limited partnership agreements.
These contributions are payable in installments, are generally due upon the
limited partnerships achieving certain operating benchmarks and are generally
expected to be paid within two years of the Partnership's initial investment.
NOTE 6 - INCOME TAXES
The Partnership will not make a provision for income taxes since all items of
taxable income and loss will be allocated to the partners for inclusion in their
respective income tax returns.
NOTE 7 - SUBSCRIPTION AND INVESTOR NOTES RECEIVABLE
Limited partners who subscribe for ten or more units of limited partnership
interest ($10,000) may elect to pay 50% of such purchase price in cash upon
subscription and the remaining 50% by the delivery of a promissory note payable
bearing interest at the rate of 8% per annum. Principal and interest are due (i)
January 31, 1996 if the investor subscribes between January 1, 1996 and June 1,
1996 or (ii) the later of the date of subscription or September 30, 1996 if the
investor subscribes after June 1, 1996. This amount is presented as a reduction
in partners' equity.
During the nine months ended September 30, 1996, the Partnership collected
payments of $172,500 for those promissory notes previously issued. During the
nine months ended September 30, 1995, the Partnership accepted $192,500 in
promissory notes from limited partners and collected payments of $155,500 for
those promissory notes previously issued.
NOTE 8 - COMMITMENTS AND CONTINGENCIES
The Partnership is negotiating to acquire one additional limited partnership
interest which would commit the Partnership to additional capital contributions
of approximately $483,000.
14
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
BALANCE SHEETS
September 30, 1996 and December 31, 1995
1996 1995
ASSETS
Cash and cash equivalents $ 2,965,712 $ 1,000
Investment in limited
partnerships - Note 2 4,014,660 -
Due from affiliate 60,456 -
------ -----
$ 7,040,828 $ 1,000
=========== ============
LIABILITIES AND PARTNERS' EQUITY
Liabilities:
Accrued fees and expenses due to
general partner and affiliates - Note 3 $ 21,145 $ -
Offering costs due from affiliate - Note 4 142,141 -
Capital contributions payable 1,370,424 -
--------- -------
Total liabilities 1,533,710 -
---------
Partners' equity (deficit):
General partner (7,360) 100
Limited partners (10,000 units
authorized, 6,507 units issued
and outstanding) 5,514,478 900
--------- ---
Total partners' equity 5,507,118 1,000
--------- -----
$ 7,040,828 $ 1,000
=========== ===========
UNAUDITED
See Accompanying Notes to Financial Statements
15
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
STATEMENT OF OPERATIONS
For the Three Months and Period from February 26, 1996
(Date Operations Commenced) to September 30, 1996
Three Nine
Months Months
------ ------
Interest income $ 19,491 $ 35,806
--------- ---------
Operating expenses:
Amortization 2,535 5,003
Other 241 1,134
--- -----
Total operating expenses 2,776 6,137
----- -----
Loss from operations 16,715 29,669
------ ------
Net income $ 16,715 $ 29,669
========= ========
Net income allocated to:
General partner $ 167 $ 297
========= ========
Limited partners $ 16,548 $ 29,372
========= ========
Net income per 4,113 weighted limited
partner units outstanding
September 30, 1996 $ 4.02 $ 4.56
========= ========
UNAUDITED
See Accompanying Notes to Financial Statements
16
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
STATEMENT OF PARTNERS' EQUITY
For the Period from February 26,1996 (Date Operations Commenced)
to September 30, 1996
General Limited
Partner Partner Total
Equity (deficit), December 31, 1995 $ 100 $ 900 $ 1,000
Capital contributions (25,000 units
authorized, 6,507 units issued and
outstanding) 6,252,150 6,252,150
Offering expenses (7,757) (775,701) (767,944)
Net income for the Period from
February 26,1996 (Date Operations
Commenced) to September 30, 1996 297 29,372 29,669
--- ------ ------
Equity (deficit), September 30, 1996 $ (7,360) $5,514,478 $5,507,118
======== ========== ==========
UNAUDITED
See Accompanying Notes to Financial Statements
17
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
STATEMENT OF CASH FLOWS
For the Period from February 26,1996 (Date Operations Commenced)
to September 30, 1996
Cash flows used by operating activities:
Net income $ 29,669
Adjustments to reconcile net
loss to net cash used in
operating activities:
Amortization 5,003
Accrued fees and expense due to
general partner and affiliates 6,000
-----
Net cash provided by operating activities 40,672
------
Cash flows used by investing activities:
Investment in limited partnerships (2,319,104)
Increase in loans receivable to limited
Partnerships -
Acquisition costs and fees
Increase in due from affilate (60,456)
-------
Net cash flows used by investing activities (2,709,695)
----------
Cash flows provided by financing activities:
Capital contributions from partners 6,252,150
Increase in subscriptions receivable -
Increase in contributions receivable -
Offering costs (618,415)
--------
Net cash flows provided by financing activities 5,633,735
---------
Net increase in cash and cash equivalents 2,964,712
Cash and cash equivalents, beginning of period 1,000
-----
Cash and cash equivalent, end of period $ 2,965,712
=========
UNAUDITED
See Accompanying Notes to Financial Statements
18
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
STATEMENT OF CASH FLOWS - CONTINUED
For Period from February 26, 1996 (Date Operations Commenced)
to September 30, 1996
Supplemental disclosure of noncash financing and investing activity:
The Partnership has incurred but not paid:
Capital contributions in connection with investments in
limited partnerships $1,370,424
Offering and selling expenses payable to affiliate of 15,145
general partner
Offering cost reimbursements due to an affiliate 142,141
Advance from affiliate -escrow payment 6,000
UNAUDITED
See Accompanying Notes to Financial Statements
19
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
NOTES TO FINANCIAL STATEMENTS
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Organization
- -------------
WNC California Tax Credits IV, L.P., Series 5 (the "Partnership") was formed
under the California Revised Limited Partnership Act on September 12, 1995, and
commenced operations on February 26, 1996. The Partnership was formed to invest
primarily in other limited partnerships which will own and operate multi-family
housing complexes that will qualify for low income housing credits.
The information contained in the following notes to the financial statements is
condensed from that which would appear in the annual financial statements;
accordingly, the financial statements included herein should be reviewed in
conjunction with the financial statements and related notes thereto contained in
the Partnership's Annual Report for the year ended December 31, 1995.
In the opinion of the Partnership, the accompanying unaudited financial
statements contain all adjustments (consisting of only normal recurring
accruals) necessary to present fairly the financial position as of September 30,
1996 and changes in cash flows for the for the period from February 26,1996
(Date Operations Commenced) to September 30, 1996. Accounting measurements at
interim dates inherently involve greater reliance on estimates than at year end.
The results of operations for the interim period presented are not necessarily
indicative of the results for the entire year.
The general partner of the Partnership is WNC & Associates, Inc. (the "General
Partner"). Wilfred N. Cooper, Sr., through the Cooper Revocable Trust, owns 70%
of the outstanding stock of WNC & Associates, Inc. John B. Lester, Jr. is the
original limited partner of the Partnership and owns, through the Lester Family
Trust, 30% of the outstanding stock of WNC & Associates, Inc.
Allocations Under the Terms of the Partnership Agreement The General Partner has
a 1% interest in operating profits and losses, taxable income and loss and in
cash available for distribution from the Partnership. The limited partners will
be allocated the remaining 99% of these items in proportion to their respective
investments.
20
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
(A Development Stage-Enterprise)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 1 - ORGANIZATION AND OTHER MATTERS (CONTINUED)
After the limited partners have received sale or refinancing proceeds equal to
their capital contributions and their preferred return (as defined in the
Partnership's Agreement of Limited Partnership) and the general partner has
received a subordinated disposition fee any additional sale or refinancing
proceeds will be distributed 90% to the limited partners (in proportion to their
respective investments) and 10% to the General Partner.
Method of Accounting For Investment in Limited Partnerships The Partnership
accounts for its investments in limited partnerships using the equity method of
accounting, whereby the Partnership adjusts its investment balance for its share
of each limited partnership's results of operations and for any distributions
received. Costs incurred by the Partnership in acquiring the investments in
limited partnerships are capitalized as part of the investment.
Losses from the limited partnerships will not be recognized to the extent that
the individual investment balance would be adjusted below zero.
Cash and Cash Equivalents
The Partnership considers all bank certificates of deposit with a maturity of
less than three months to be cash equivalents.
Offering Expenses
Offering expenses consist of underwriting commissions, legal fees, printing,
filing and recordation fees, and other costs incurred with selling limited
partnership interests in the Partnership. The General Partner is obligated to
pay all offering and organization costs in excess of 15% (including sales
commissions) of the total offering proceeds. Offering expenses are reflected as
a reduction of partners' capital.
Organization Costs
Organization costs are being amortized on the straight-line method over 60
months.
21
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
(A Development Stage-Enterprise)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 2 - INVESTMENT IN LIMITED PARTNERSHIPS
As of September 30, 1996 the Partnership had acquired limited partnership
interests in two limited partnerships which each own one Apartment Complex. As
of September 30, 1996, one Apartment had started construction and the other
commenced construction.
The Partnership, as a limited partner, is entitled to 99%, as specified in the
partnership agreements, of the operating profits and losses of the limited
partnership upon the acquisition of its limited partnership interest. Following
is a summary of the components of investment in limited partnerships as of
September 30, 1996.
1996
Investment per balance sheet, beginning of
Period $ 0
Capital contributions to limited partnerships 3,689,528
Increase in capitalized acquisition fees and costs 330,135
Amortization (5,003)
------
Investment per balance sheet, end of
period $ 4,014,660
-----------
22
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
(A Development Stage-Enterprise)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 2 - INVESTMENT IN LIMITED PARTNERSHIPS (Continued)
No operations were incurred by limited partnerships for the period from February
26, 1996 (Date Operations Commenced) to September 30, 1996.
NOTE 3 - RELATED PARTY TRANSACTIONS
Under the terms of its Agreement of Limited Partnership, the Partnership is
obligated to the General Partner or its affiliates for the following items:
Acquisition fees of up to 7% of the gross proceeds from the sale of
Partnership units. Acquisition fees of $293,360 were incurred for the nine
months ended September 30, 1996.
An annual asset management fee equal to the greater amount of (i)
$2,000 for each Apartment Complex, or (ii) 0.275% of Gross Proceeds. In
either case, the fee will be decreased or increased annually based on
changes to the Consumer Price Index. However, in no event will the maximum
amount exceed 0.2 % of the invested assets (defined as the Partnership's
capital contributions to the limited partnerships plus its allocable
percentage of the permanent financing) of the limited partnerships which
are subsidized under one or more Federal, state or local government
programs. The Partnership incurred no fees for the nine months ended
September 30, 1996.
Reimbursement for organizational, offering and selling expenses advanced
by an affiliate of the General Partner on behalf of the
Partnership. These reimbursements plus all other organizational and
offering expenses inclusive of sales commissions will not exceed 15% of the
gross proceeds. During the nine months ended September 30, 1996 the
Partnership incurred organizational, offering and selling expenses of $-0-,
$249,541 and $297,590, respectively.
A subordinated disposition fee in an amount equal to 1% of the sales
price of real estate sold. Payment of this fee is subordinated to the
limited partners receiving a return on investment (as defined in the
Agreement of Limited Partnership) and is payable only if services are
rendered in the sales effort.
23
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
(A Development Stage-Enterprise)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 3 - RELATED PARTY TRANSACTIONS (Continued)
Accrued fees and advances due to affiliates of the General Partner included in
the accompanying balance sheet consists of the following at September 30, 1996
and December 31, 1995:
1996 1995
---- ----
Due to affiliate of general partner $ 0 $ 0
Advances made for acquisition costs,
organizational, offering and selling expenses 15,145 0
Advance payable to affiliate for excrow transfer 6,000 0
----- -
$21,145 $ 0
------- -
Receivable from affiliate for advance to limited
partnership $60,456 $ 0
------- -
See Note 4 for additional related party transaction.
NOTE 4 - O & O REIMBURSEMENTS DUE TO AFFILIATE
O & O Reimbursements Due To Affiliate represents amounts due to WNC California
Housing Tax Credits IV, Series 4 for reimbursement of Organizational and
Offering Expenses. Section 5.3.1. (iii) of the partnership agreement provides
that if Organizational and Offering Expenses on a per-Unit basis are higher for
one series than for another (excluding certain discounts), the total of
Organizational and Offering Expenses incurred by all such series shall be
allocated among them so that the per-Unit amount is the same (excluding
discounts). Consequently, offering expenses of $142,141 already paid by WNC
California Housing Tax Credits IV, Series 4 was allocated to the Partnership in
regards to equalizing offering expenses on a per-Unit basis.
NOTE 5 - PAYABLE TO LIMITED PARTNERSHIPS
Payable to limited partnerships represent amounts which are due at various times
based on conditions specified in the respective limited partnership agreements.
These contributions are payable in installments, are generally due upon the
limited partnerships achieving certain operating benchmarks and are generally
expected to be paid within two years of the Partnership's initial investment.
24
<PAGE>
WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 5
(A California Limited Partnership)
(A Development Stage-Enterprise)
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 6 - INCOME TAXES
- ---------------------
The Partnership will not make a provision for income taxes since all items of
taxable income and loss will be allocated to the partners for inclusion in their
respective income tax returns.
25
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
WNC California Housing Tax Credits IV, L.P., Series 4 - Series 9 are California
Limited Partnerships formed under the laws of the State of California on May 4,
1993 to acquire limited partnership interests in limited partnerships ("Limited
Partnerships") which own multifamily apartment complexes that are eligible for
low-income housing federal income tax credits (the "Housing Tax Credit"). WNC
California Housing Tax Credits IV, L.P., Series 4 ("Series 4") and Series 5
("Series 5") are the only registrants to have commenced an offering. Series 4
and Series 5 are referred together as the "Partnerships".
The partnerships are raising funds from investors through their public offering
of units of limited partnership interest ("Units") and intends to apply such
funds, including the installment payments of the limited partners' promissory
notes as received, to the acquisition of investments in Limited Partnerships,
acquisition fees, the establishment of reserves, the payment of operating
expenses and the payment of expenses of this offering.
Liquidity and Capital Resources-Series 4
Overall, as reflected in its Statement of Cash Flows, Series 4 had a net
decrease in cash and cash equivalents of approximately $949,000 for the nine
months ended September 30, 1996. Cash of approximately $95,000 and $70,000 was
provided by financing activities and operating activities during nine months
ended September 30, 1996. Cash of approximately $1,014,000 used by investing
activities and consisted of capital contributions to limited partnerships and
acquisition fees and expenses of approximately $985,000 and $29,000,
respectively. Cash provided by operating activities consisted primarily of
interest received on cash deposits and investors notes receivable, and cash used
consisted primarily of payments operating fees and expenses. The major
components of all these activities are discussed in greater detail below.
Overall, as reflected in its Statement of Cash Flows, Series 4 had a net
increase in cash and cash equivalents of approximately $4,279,000 for the nine
months ended September 30, 1995. This increase in cash was provided by financing
activities, including the proceeds from the Offering and short term indebtedness
described below. Cash from financing activities for the period ended September
30, 1995 was sufficient to fund the investing activities of the Partnership
during such periods in the amount of approximately $1,076,0000, which consisted
of investments in limited partnerships and acquisition fees and costs.. Cash
provided by operating activities consisted primarily of interest received on
cash deposits, and cash used consisted primarily of payments for interest
expense of approximately $80,000. The major components of all these activities
are discussed in greater detail below.
As of September 30, 1996, Series 4 was indebted to WNC & Associates, Inc. for
approximately $39,000. The component items of such indebtedness were as follows:
accrued Acquisition Fees of approximately $27,000, advances to pay front-end
fees and for payment of operating fees and expenses of approximately $2,000 and
Asset Management Fees of $10,000. As of December 31, 1995 Series 4 was indebted
to WNC & Associates for approximately $103,000 consisting of accrued Acquisition
Fees of approximately $14,000,advances to pay front-end fees of $57,000, and
26
<PAGE>
Asset Management Fees of $32,000. Associates obtained the necessary funds for
its 1995 advances to Series 4 for capital contributions pursuant to a bank line
of credit. As permitted by Series 4 Agreement, such funds bore interest at the
lender's rate (i.e., the rate paid by Associates pursuant to its line of credit,
which is equal to 1% per annum over the prime rate published in The Wall Street
Journal from time to time) which has ranged from 9.75 to 10.5% per cent per
annum. Associate's loan is payable upon demand and amounts of $1,200,000. The
loan bore interest at a variable rate equal to the lender's prime rate less
0.75% per annum and was payable interest only on a monthly basis until April
1996 when the entire principle amount was repaid.
As of September 30, 1996 the Series 4 has made offering costs reimbursements in
excess of the amount allocated on a per-Unit basis among the issuers of WNC
California Housing Tax Credit IV, L.P., Series 4 through Series 9. The
partnership is due approximately $142,000 from the other issuer, Series 5.
As of September 30, 1996 December 31, 1995, Series 4 has received and accepted
subscriptions funds in the amount of $11,099,000, of which $0 and $172,500,
respectively were represented by Promissory Notes. As of September 30, 1996
December 31, 1995, Series 4 had made capital contributions to Local Limited
Partnerships in the amount of approximately $6,086,000, and $5,102,000,
respectively, and had commitments for additional capital contributions of
approximately $1,806,000 and $2,786,000, respectively.
Series 4 and 5
- ---------------
Prior to sale of the Apartment Complexes, it is not expected that any of the
Local Partnerships in which the Partnerships have invested or will invest will
generate cash from operations suffient to provide distributions to the Limited
Partners in any material amount. Such cash from operations, if any, would first
be used to meet operating expenses of the Partnerships, including payment of the
asset management fee to the General Partner. As a result, it is not anticipated
that the Partnerships will provide distributions to the Limited Partners prior
to the sale of the Apartment Complexes.
The Partnerships' investments will not be readily marketable and may be affected
by adverse general economic conditions which, in turn, could substantially
increase the risk of operating losses for the Apartment Complexes, the Local
Partnerships and the Partnerships. These problems may result from a number of
factors, many of which cannot be controlled by the General Partner.
Nevertheless, the General Partner anticipates that capital raised from the sale
of the Units will be sufficient to fund the Partnerships' investment commitments
and proposed operations.
The Partnerships will establish working capital reserves of at least 3% of
capital contributions, an amount which is anticipated to be sufficient to
satisfy general working capital and administrative expense requirements of the
Partnerships excluding payment of the asset management fee as well as expenses
attendant to the preparation of tax returns and reports to the Limited Partners
and other investor servicing obligations of the Partnerships. Liquidity would,
however, be adversely affected by unanticipated or greater than anticipated
27
<PAGE>
operating costs. The Partnerships' liquidity could also be affected by defaults
or delays in payment of the Limited Partners' promissory notes, from which a
portion of the working capital reserves is expected to be funded. To the extent
that working capital reserves are insufficient to satisfy the cash requirements
of the Partnerships, it is anticipated that additional funds would be sought
through bank loans or other institutional financing. The General Partner may
also apply any cash distributions received from the Local Partnerships for such
purposes or to replenish or increase working capital reserves.
Under the Partnership Agreements the Partnerships do not have the ability to
assess the Limited Partners for additional capital contributions to provide
capital if needed by the Partnerships or Local Partnerships. Accordingly, if
circumstances arise that cause the Local Partnerships to require capital in
addition to that contributed by the Partnerships and any equity contributed by
the general partners of the Local Partnerships, the only sources from which such
capital needs will be able to be satisfied (other than the limited reserves
available at the Partnership level) will be (i) third-party debt financing
(which may not be available, if, as expected, the Apartment Complexes owned by
the Local Partnerships are already substantially leveraged), (ii) additional
equity contributions or advances of the general partners of the Local
Partnerships, (iii) other equity sources (which could adversely affect the
Partnerships' interest in Housing Tax Credits, cash flow and/or proceeds of sale
or refinancing of the Apartment Complexes and result in adverse tax consequences
to the Limited Partners), or (iv) the sale or disposition of the Apartment
Complexes (which could have the same adverse effects as discussed in (iii)
above). There can be no assurance that funds from any of such sources would be
readily available in sufficient amounts to fund the capital requirement of the
Local Partnerships in question. If such funds are not available, the Local
Partnerships would risk foreclosure on their Apartment Complexes if they were
unable to re-negotiate the terms of their first mortgages and any other debt
secured by the Apartment Complexes to the extent the capital requirements of the
Local Partnerships relate to such debt.
The Partnerships' capital needs and resources are expected to undergo major
changes during their first several years of operations as a result of the
completion of their offerings of Units and their acquisition of investments.
Thereafter, the Partnerships' capital needs and resources are expected to be
relatively stable over the holding periods of the investments except to the
extent of proceeds received in payment of Promissory Notes and disbursed to fund
the deferred obligations of the Partnerships.
28
<PAGE>
Liquidity and Capital Resources-Series 5
Overall, as reflected in its Statement of Cash Flows, Series 5 had a net
increase in cash and cash equivalents of approximately $2,965,000 for the nine
months ended September 30, 1996. Cash from financing activities for the period
ended September 30, 1996 of approximately $5,634,000 was sufficient to fund the
investing activities of Series 5 during such periods in the amount of
approximately $2,710,000, which consisted of capital contributions to limited
partnerships, advance to affiliate and acquisition fees and costs of
approximately $2,319,000, $60,000 and $330,000, respectively. Cash used by the
Partnership's operating activities was minimal compared to the Partnership's
other activities and consisted primarily of payments for operating fees and
expenses. Cash provided from operations consisted primarily of interest
received. The major components of all these activities are discussed in greater
detail below.
As of September 30, 1996 Series 5 was indebted to WNC & Associates, Inc. for
approximately $21,000. The component items of such indebtedness were as follows:
advances to pay front-end fees of approximately $15,000 and advances from
affiliate of the general partner of $6,000.
As of September 30, 1996 the Series 5 has made offering costs reimbursements
less than the amount allocated on a per-Unit basis among the issuers of WNC
California Housing Tax Credits IV, L.P., Series 4 through Series 9.
Approximately $142,000 is due to the other issuer, Series 4.
As of November 10, 1996 and September 30, 1996, Series 5 has received and
accepted subscriptions funds in the amount of $6,507,000. .As of November
10,1996, September 30, 1996 and December 31, 1995, Series 5 had made capital
contributions to Local Limited Partnerships in the amount of approximately
$2,319,000, $2,319,000 and $0, respectively, and had commitments for additional
capital contributions of approximately $1,370,000, $1,370,000 and $0,
respectively.
Results of Operations - Series 4
As of September 30, 1996 and 1995, Series 4 had acquired eight and three Local
Limited Partnership Interests, respectively. Each of the eight Local Limited
Partnerships receives or is expected to receive government assistance and each
of them has received a reservation for Housing Tax Credits. As of September 30,
1996 and 1995, only seven and two, respectively, of the Apartment Complexes in
Series 4 had commenced operations. Accordingly, the "Equity in losses from
limited partnerships" for the period ended September 30, 1996 and 1995 reflected
in the Statement of Operations of Series 4 is not indicative of the amounts to
be reported in future years.
As reflected on its Statements of Operations, Series 4 had a loss of
approximately $335,000 and $61,000 for the nine months ended September 30, 1996
and 1995 respectively. The component items of revenue and expense are discussed
below.
29
<PAGE>
Revenue. Series 4's revenues consisted entirely of interest earned on Promissory
Notes and cash deposits held in financial institutions (i) as Reserves, or (ii)
pending investment in Local Partnerships. Interest revenue in future years will
be a function of prevailing interest rates and the amount of cash balances. It
is anticipated that Series 4 will maintain cash Reserves in an amount not
materially in excess of the minimum amount required by its Partnership
Agreement, which is 3% of Capital Contributions.
Expenses. The most significant component of operating expenses was interest
expense on borrowings of approximately $80,000 for the nine months ended
September 30, 1995; for the nine months ended September 30, 1996 and in the
future the Asset Management Fee was and is expected to be the most significant
component. The Asset Management Fees is equal to the greater of (i) $2,000 for
each Apartment Complex or (ii) 0.275% of gross proceeds, and will be decreased
or increased annually based on changes to the Consumer Price Index. Asset
management fee of approximately $24,000 was accrued for the nine months ended
September 30, 1996.
Amortization expense consist of the amortization over a period of 30 years of
the Acquisition Fee and other expenses attributable to the acquisition of Local
Limited Partnership Interests. Interest expense was incurred as described above
under "Liquidity and Capital Resources." Interest expense is expected to minimal
after 1995. Office expense consist of Series 4's administrative expenses, such
as legal fees, bank charges and investor reporting expenses.
Because of the amounts of the Asset Management Fee and amortization expense
primarily are determined by the Gross Proceeds from the Offering, the number and
size of Apartment Complexes and the number of investors, until termination of
the Offering and investment of the net proceeds therefrom, Series 4 cannot
predict with any accuracy what these amounts will be.
Results of Operations - Series 5
As of September 30, 1996 and December 31, 1995, Series 5 had acquired two and
zero Local Limited Partnership Interest, respectively. The Local Limited
Partnerships are expected to receive government assistance and have received a
reservation for Housing Tax Credits. As of September 30, 1996, the Apartment
Complexes in Series 5 had not commenced operations. Accordingly, the Statement
of Operations of Series 5 for the period ended September 30, 1996 is not
indicative of the amounts to be reported in future years.
As reflected on its Statements of Operations, Series 5 had income of
approximately $30,000 for the period ended September 30, 1996. There were no
operations as of September 30, 1995. The component items of revenue and expense
are discussed below.
Revenue. Series 5's revenues consisted entirely of interest earned on Promissory
Notes and cash deposits held in financial institutions (i) as Reserves, or (ii)
pending investment in Local Partnerships. Interest revenue in future years will
be a function of prevailing interest rates and the amount of cash balances. It
is anticipated that Series 5 will maintain cash Reserves in an amount not
materially in excess of the minimum amount required by its Partnership
Agreement, which is 3% of Capital Contributions.
30
<PAGE>
Expenses. The components of operating expenses were not significant; in the
future the Asset Management Fee is expected to be the most significant
component. The Asset Management Fees is equal to the greater of (i) $2,000 for
each Apartment Complex or (ii) 0.275% of gross proceeds, and will be decreased
or increased annually based on changes to the Consumer Price Index.
Amortization expense consist of the amortization over a period of 30 years of
the Acquisition Fee and other expenses attributable to the acquisition of Local
Limited Partnership Interests. Interest expense was incurred as described above
under "Liquidity and Capital Resources." Interest expense is expected to minimal
after 1995. Office expense consist of Series 5's administrative expenses, such
as legal fees, bank charges and investor reporting expenses.
Because of the amounts of the Asset Management Fee and amortization expense
primarily are determined by the Gross Proceeds from the Offering, the number and
size of Apartment Complexes and the number of investors, until termination of
the Offering and investment of the net proceeds therefrom, Series 5 cannot
predict with any accuracy what these amounts will be.
Equity in Losses from Local Limited Partnership. Series 5's equity in losses
from Local Limited Partnerships is equal to 99% of the aggregate net losses of
each Local Limited Partnership incurred after admission of Series 5 as a limited
Partner thereof.
After rent-up all Local Limited Partnerships are expected to generate losses
during each year of operations; this is so because, although rental income is
expected to exceed cash operating expenses, depreciation and amortization
deductions claimed by the Local Limited Partnerships are expected to exceed net
rental income.
31
<PAGE>
art II. Other Information
Item 1. Legal Proceedings
None.
Item 6. Exhibits and Reports on Form 8-K
1. None..
b.
32
<PAGE>
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, thereunto duly authorized.
WNC CALIFORINA HOUSING TAX CREDITS IV, L.P., Series 4 and Series 5
By WNC CALIFORINA TAX CREDIT PARTNERS IV, L.P. General Partner
By WNC & ASSOCIATES, INC. General Partner
By: _________________________________
John B. Lester, Jr. President
Date: November 15, 1996
By: _______________________________________
Theodore M. Paul Vice President - Finance
Date: November 15, 1996
33
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<CIK> 0000921052
<NAME> WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P.SERIES4
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<NAME> WNC CALIFORNIA HOUSING TAX CREDITS IV, L.P., SERIES 4
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