1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: December 20, 1996
(Date of earliest event reported)
FIRSTPLUS INVESTMENT CORPORATION
(Exact name of Registrant as specified in its charter)
Nevada 333-11855 75-2596063
(State of Incorporation) (Commission File No.) (I.R.S. Employer
Identification No.)
3773 Howard Hughes Parkway
Suite 300N
Las Vegas, Nevada 89109
(Address of Principal executive offices) (Zip Code)
Registrant's Telephone Number, Including Area Code: (702) 892-3772
2
Item 5. Other Events.
Reference is hereby made to the Registrant's Registration Statement on
Form S-3 (File No. 333-11855) filed with the Securities and Exchange Commission
(the "Commission") on September 12, 1996 (the "Registration Statement"),
pursuant to which the Registrant registered $1,240,625,000 aggregate principal
amount of its asset backed securities, issuable in various series, for sale in
accordance with the provisions of the Securities Act of 1933, as amended (the
"Act"). Reference is also hereby made to the Prospectus dated September 16,
1996 and the related Prospectus Supplement, dated September 24, 1996
(collectively, the "Prospectus"), which were previously filed with the
Commission pursuant to Rule 424(b)(5), with respect to the FIRSTPLUS HOME LOAN
OWNER TRUST 1996-3 Asset Backed Notes and Asset Backed Certificates, Series
1996-3, consisting of (A) the following classes of Asset Backed Notes
(collectively, the "Notes"): (i) Class A-1 Notes, Class A-2 Notes, Class A-3
Notes, Class A-4 Notes, Class A-5 Notes, Class A-6 Notes, Class A-7 Notes, and
Class A-8 Notes, and (B) the Asset Backed Certificates (the "Certificates" and,
together with the Notes, the "Offered Securities").
The Offered Securities were sold to Banc One Capital Corporation and
Bear, Stearns & Co. Inc. (collectively, the "Underwriter") pursuant to the
terms of an underwriting agreement dated as of September 24, 1996, as
supplemented by a terms agreement of even date therewith (collectively, the
"Underwriting Agreement") between the Registrant, FIRSTPLUS FINANCIAL, INC.
("FFI") and the Underwriter. A copy of the Underwriting Agreement is filed
herewith as Exhibit 1.1.
The Notes were issued pursuant to an Indenture dated as of September
1, 1996 (the "Indenture") between FIRSTPLUS HOME LOAN OWNER TRUST 1996-3 (the
"Issuer" or the "Trust") and First Bank National Association, as Indenture
Trustee (the "Indenture Trustee"). A copy of the Indenture is filed herewith
as Exhibit 4.1.
The Notes are secured by the assets of the Trust pursuant to the
Indenture. The assets of the Trust primarily include a pool of home loans (the
"Home Loans") consisting of (1) secured loans which are secured by either (i)
mortgages, deeds of trust or other similar security instruments, or
(ii)security instruments creating a lien on personal property such as home
furnishings; and (2) unsecured loans which will not be secured by any interest
in real or personal property. The Home Loans consist of loans for which the
related proceeds were used to finance (i) property improvements, (ii) the
acquisition of personal property such as home appliances or furnishings, (iii)
debt consolidation, or (iv) in combination, property improvements, debt
consolidation and for other purposes.
The Certificates represent the entire undivided ownership interest in
the Trust and were issued pursuant to the Trust Agreement dated as of September
1, 1996 (the "Trust Agreement") among the Registrant, as Depositor, FIRSTPLUS
RESIDUAL HOLDINGS, INC., as the Company, Wilmington Trust Company, as Owner
Trustee, and First Bank National Association, as Co-Owner Trustee. A copy of
the Trust Agreement is filed herewith as Exhibit 4.2.
The Home Loans were sold by FFI to the Registrant pursuant to the
terms of a Loan Sale Agreement dated as of September 27, 1996 (the "Loan Sale
Agreement") and were simultaneously
-2-
3
sold by the Registrant to the Trust pursuant to the Sale and Servicing
Agreement (defined below). A copy of the Loan Sale Agreement is filed herewith
as Exhibit 10.1.
The Home Loans will be serviced by FIRSTPLUS FINANCIAL, INC. ("FFI"),
an affiliate of the Registrant, pursuant to the terms of a Sale and Servicing
Agreement dated as of September 1, 1996 (the "Sale and Servicing Agreement")
among the Registrant, as Seller, FFI, as Transferor and Servicer, the Issuer,
and First Bank National Association, as Indenture Trustee and Co-Owner Trustee.
A copy of the Sale and Servicing Agreement is filed herewith as Exhibit 10.2.
Set forth below is a brief description of certain characteristics of
the Home Loans included in the Home Loan Pool as of the end of the Funding
Period.
The Home Loan Pool consists of 10,265 Home Loans having a Pool
Principal Balance as of the respective Cut-off Dates of the related Home Loans
of $299,994,397.14. The Home Loans (by Pool Principal Balance as of the
applicable Cut-off Dates) have the characteristics set forth in the following
tables:
HOME LOAN RATE
RANGE OF NUMBER OF PERCENT OF TOTAL
HOME LOAN HOME AGGREGATE BY AGGREGATE
RATES (%) LOANS PRINCIPAL BALANCE PRINCIPAL BALANCE
--------- ----- ----------------- -----------------
8.001 - 9.000 1 $ 10,108.62 0.00%
9.001 - 10.000 2 30,893.95 0.01
11.001 - 12.000 85 2,794,281.94 0.93%
12.001 - 13.000 686 23,189,624.16 7.73%
13.001 - 14.000 2,785 88,104,897.89 29.37%
14.001 - 15.000 3,653 106,955,339.83 35.65
15.001 - 16.000 2,184 57,816,047.19 19.27
16.001 - 17.000 644 15,907,851.08 5.30
17.001 - 18.000 173 3,994,495.36 1.33
18.001 - 19.000 35 803,973.69 0.27
19.001 - 20.000 15 336,903.87 0.11
20.001 - 21.000 2 49,979.56 0.02
------ --------------- ------
Totals . . . . . . . . 10,265 $299,994,397.14 100.00%
====== =============== ======
The weighted average Home Loan Rate of the Home Loans as of the Cut-
Off Date was approximately 14.610% per annum.
-3-
4
CUT-OFF DATE LOAN PRINCIPAL BALANCES
RANGE OF PERCENT OF TOTAL
CUT-OFF DATE NUMBER OF AGGREGATE BY AGGREGATE
PRINCIPAL BALANCE ($) HOME LOANS PRINCIPAL BALANCE PRINCIPAL BALANCE
--------------------- ---------- ----------------- -----------------
0.01 - 10,000.00 . . . . . . . . . . . . . . 82 $ 638,644.78 0.21%
10,000.01 - 20,000.00 . . . . . . . . . . . . . . 1,495 25,458,942.17 8.49
20,000.01 - 30,000.00 . . . . . . . . . . . . . . 5,130 130,319,461.99 43.44
30,000.01 - 40,000.00 . . . . . . . . . . . . . . 2,424 88,760,871.74 29.59
40,000.01 - 50,000.00 . . . . . . . . . . . . . . 1,003 46,690,537.61 15.56
50,000.01 - 60,000.00 . . . . . . . . . . . . . . 79 4,429,879.10 1.48
60,000.01 - 70,000.00 . . . . . . . . . . . . . . 22 1,453,117.66 0.48
70,000.01 - 80,000.00 . . . . . . . . . . . . . . 30 2,242,942.09 0.75
------ --------------- ------
Totals . . . . . . . . . . . . . . . . . 10,265 $299,994,397.14 100.00%
====== =============== =======
The average principal balance of the Home Loans as of the Cut-Off Date
was approximately $32,524.44.
ORIGINAL LOAN PRINCIPAL BALANCES
RANGE OF PERCENT OF TOTAL
PRINCIPAL BALANCE NUMBER OF AGGREGATE BY AGGREGATE
AT ORIGINATION ($) HOME LOANS PRINCIPAL BALANCE PRINCIPAL BALANCE
------------------ ---------- ----------------- -----------------
0.01 - 10,000.00 . . . . . . . . . . . . . 81 $ 628,658.55 0.21%
10,000.01 - 20,000.00 . . . . . . . . . . . . . . 1,493 25,409,118.59 8.47
20,000.01 - 30,000.00 . . . . . . . . . . . . . . 5,128 130,229,783.46 43.41
30,000.01 - 40,000.00 . . . . . . . . . . . . . . 2,428 88,870,391.76 23.65
40,000.01 - 50,000.00 . . . . . . . . . . . . . 1,004 46,730,505.93 9.78
50,000.01 - 60,000.00 . . . . . . . . . . . . . . 79 4,429,879.10 1.48
60,000.01 - 70,000.00 . . . . . . . . . . . . . . 22 1,453,117.66 0.48
70,000.01 - 80,000.00 . . . . . . . . . . . . . . 30 2,242,942.09 0.75
------ --------------- ------
Totals . . . . . . . . . . . . . . . . . 10,165 $299,994,397.14 100.00%
====== =============== =======
The average principal balance of the Home Loans at origination was
approximately $32,578.16.
-4-
5
GEOGRAPHIC CONCENTRATION
PERCENT OF TOTAL
NUMBER OF AGGREGATE BY AGGREGATE
STATE HOME LOANS PRINCIPAL BALANCE PRINCIPAL BALANCE
----- ---------- ----------------- -----------------
Alabama . . . . . . . . . . . . . . . . . . . . . 4 $ 112,338.19 0.04%
Arizona . . . . . . . . . . . . . . . . . . . . . 818 23,096,616.75 7.70
Arkansas . . . . . . . . . . . . . . . . . . . . 2 75,656.70 0.03
California . . . . . . . . . . . . . . . . . . . 5,499 169,911,352.31 56.64
Colorado . . . . . . . . . . . . . . . . . . . . 559 15,460,838.82 5.15
Connecticut . . . . . . . . . . . . . . . . . . . 21 610,636.09 0.20
Florida . . . . . . . . . . . . . . . . . . . . . 549 13,722,323.85 4.57
Georgia . . . . . . . . . . . . . . . . . . . . . 246 5,656,258.49 1.89
Hawaii . . . . . . . . . . . . . . . . . . . . . 1 31,449.26 0.01
Idaho . . . . . . . . . . . . . . . . . . . . . . 47 1,283,281.15 0.43
Illinois . . . . . . . . . . . . . . . . . . . . 42 1,058,670.46 0.35
Indiana . . . . . . . . . . . . . . . . . . . . . 8 229,885.90 0.08
Iowa . . . . . . . . . . . . . . . . . . . . . . 9 204,921.55 0.07
Kansas . . . . . . . . . . . . . . . . . . . . . 2 72,339.49 0.02
Kentucky . . . . . . . . . . . . . . . . . . . . 19 560,363.79 0.19
Louisiana . . . . . . . . . . . . . . . . . . . . 9 252,780.94 0.08
Maryland . . . . . . . . . . . . . . . . . . . . 46 1,377,267.67 0.45
Michigan . . . . . . . . . . . . . . . . . . . . 4 104,115.75 0.03
Minnesota . . . . . . . . . . . . . . . . . . . . 89 2,178,611.82 0.73
Mississippi . . . . . . . . . . . . . . . . . . . 25 695,478.17 0.23
Missouri . . . . . . . . . . . . . . . . . . . . 10 295,654.87 0.10
Montana . . . . . . . . . . . . . . . . . . . . . 1 25,000.00 0.01
Nebraska . . . . . . . . . . . . . . . . . . . . 3 78,325.54 0.03
Nevada . . . . . . . . . . . . . . . . . . . . . 591 17,192,855.01 5.73
New Hampshire . . . . . . . . . . . . . . . . . . 1 39,890.88 0.01
New Jersey . . . . . . . . . . . . . . . . . . . 10 394,862.61 0.13
New Mexico . . . . . . . . . . . . . . . . . . . 15 412,765.09 0.14
New York . . . . . . . . . . . . . . . . . . . . 7 151,786.46 0.05
North Carolina . . . . . . . . . . . . . . . . . 192 6,045,768.09 2.02
Ohio . . . . . . . . . . . . . . . . . . . . . . 8 203,323.68 0.07
Oklahoma . . . . . . . . . . . . . . . . . . . . 55 1,281,088.75 0.43
Oregon . . . . . . . . . . . . . . . . . . . . . 117 3,301,303.77 1.10
Pennsylvania . . . . . . . . . . . . . . . . . . 1 29,989.85 0.01
Rhode Island . . . . . . . . . . . . . . . . . . 31 908,634.87 0.30
South Carolina . . . . . . . . . . . . . . . . . 142 3,388,075.80 1.13
Tennessee . . . . . . . . . . . . . . . . . . . . 75 1,758,368.59 0.59
Texas . . . . . . . . . . . . . . . . . . . . . . 13 182,823.64 0.06
Utah . . . . . . . . . . . . . . . . . . . . . . 240 6,461,031.72 2.15
Virginia . . . . . . . . . . . . . . . . . . . . 205 5,630,682.09 1.88
Washington . . . . . . . . . . . . . . . . . . . 514 14,728,911.94 4.91
Wisconsin . . . . . . . . . . . . . . . . . . . . 35 788,066.74 0.26
------ --------------- ------
Totals . . . . . . . . . . . . . . . . . 10,265 $299,994,397.14 100.00%
====== =============== ======
-5-
6
REMAINING TERM TO MATURITY
RANGE OF PERCENT OF TOTAL
REMAINING TERM TO NUMBER OF AGGREGATE BY AGGREGATE
MATURITY (MONTHS) HOME LOANS PRINCIPAL BALANCE PRINCIPAL BALANCE
----------------- ---------- ----------------- -----------------
1 - 30 . . . . . . . . . . . . . . . . . . . . 3 $ 3,243.45 0.00%
31 - 60 . . . . . . . . . . . . . . . . . . . . 45 754,702.84 0.25
61 - 90 . . . . . . . . . . . . . . . . . . . . 35 573,285.87 0.19
91 - 120 . . . . . . . . . . . . . . . . . . . . 413 9,055,640.33 3.02
121 - 150 . . . . . . . . . . . . . . . . . . . . 32 732,137.98 0.24
151 - 180 . . . . . . . . . . . . . . . . . . . . 2,838 77,520,880.59 25.84
181 - 210 . . . . . . . . . . . . . . . . . . . . 6 103,721.12 0.03
211 - 240 . . . . . . . . . . . . . . . . . . . . 5,056 151,383,649.92 50.46
241 - 270 . . . . . . . . . . . . . . . . . . . . 3 77,933.07 0.03
271 - 300 . . . . . . . . . . . . . . . . . . . . 1,834 59,789,201.97 19.93
------ --------------- ------
Totals . . . . . . . . . . . . . . . . . . . . 10,265 $299,994,397.14 100.00%
====== =============== ======
The weighted average remaining term to maturity of the Home Loans as
of the Cut-Off Date was approximately 231 months.
MONTHS SINCE ORIGINATION
PERCENT OF
NUMBER TOTAL BY
AGE OF AGGREGATE AGGREGATE
(IN MONTHS) HOME LOANS PRINCIPAL BALANCE PRINCIPAL BALANCE
----------- ---------- ----------------- -----------------
Less than 1 3,023 $ 87,851,431.85 29.28%
1 to 6 7,112 209,333,463.73 69.78
7 to 12 127 2,791,182.96 0.93
13 to 18 2 18,121.07 0.01
19 to 24 1 197.53 0.00
------ --------------- ------
Totals . . . . . . . . . . . . . . . . . . 10,265 $299,994,397.14 100.00%
====== =============== ======
The weighted average age of the Home Loans as of the Cut-Off Date was
approximately one month.
-6-
7
Item 7. Financial Statements and Exhibits.
(c) Exhibits
Exhibit No. Description
----------- -----------
1.1 Copy of Underwriting Agreement
4.1 Copy of Indenture
4.2 Copy of Trust Agreement
10.1 Copy of Loan Sale Agreement
10.2 Copy of Sale and Servicing Agreement
-7-
8
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this Current Report on Form 8-K to be signed on
its behalf by the undersigned hereunto duly authorized.
FIRSTPLUS INVESTMENT CORPORATION
January 9, 1997
By: /S/ CHRISTOPHER J. GRAMLICH
----------------------------------------------
Christopher J. Gramlich, Senior Vice President
-8-
9
INDEX TO EXHIBITS
Exhibit No. Description
----------- -----------
1.1 Copy of Underwriting Agreement
4.1 Copy of Indenture
4.2 Copy of Trust Agreement
10.1 Copy of Loan Sale Agreement
10.2 Copy of Sale and Servicing Agreement