FMAC Completes $201 Million Securitization; 1998-A Brings in the Year With a Bang.LOS ANGELES--(BUSINESS WIRE)--March 25, 1998--FMAC (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : FMAX) today announced the securitization Securitization The process of creating a financial instrument by combining other financial assets and then marketing them to investors. Notes: Mortgage backed securities are a perfect example of securitization. May also be spelled as "securitisation. of $201,749,044 backed by specialty business loans. This securitization has the largest concentration of loans to the energy industry since FMAC FMAC Find, Meet, Attract, Close FMAC Financial and Management Accounting Committee FMAC Fédération Mondiale des Anciens Combattants (French: World Veterans Federation) FMAC FEMA Map Assistance Center FMAC FPGA Mission Assurance Center first started originating, servicing and securitizing long-term fixed rate and floating rate loans in 1991. Approximately 44 percent of the loans in this securitization were produced by FMAC's recently formed Energy Finance Group. The $201 million issue, also known as FMAC Loan Receivables Trust 1998-A, represents bonds backed by loans to well-known restaurant franchises as well as service station concepts. These include Taco Bell Taco Bell Corp., a subsidiary of Yum! Brands, Inc., is a Mexican-style quick service restaurant chain based in Irvine, California, United States. The restaurant has locations primarily in the United States and Canada, but also operates outlets in several other markets. , Wendy's, Burger King, Arby's, Golden Corral Golden Corral is a family-style restaurant chain that features a large buffet and grill offering 150 hot and cold items, a carving station and their Brass Bell Bakery. It is a privately-held company headquartered in Raleigh, North Carolina, USA. , Shell, Amoco Oil, Exxon, Texaco and Citgo. There were a total of 268 loans in 30 states throughout the country with 56.3 percent to the franchise restaurant industry and 43.7 percent to the retail petroleum industry. "1998 is already showing signs of success for FMAC, its employees and shareholders. Energy loans are rapidly picking up speed, as we knew they would, and restaurants remain an important asset class for FMAC," said Wayne L. Knyal, president and chief executive officer of FMAC. Loan originations typically range in size for each financed business unit from $500,000 to $1.5 million for restaurant loans and from $1 million to $5 million for energy loans. FMAC, a leading provider of specialty financing, pioneered the new and growing market for securitized securitized Of, related to, or being debt securities that are secured with assets. For example, mortgage purchase bonds are secured by mortgages that have been purchased with the bond issue's proceeds. notes of franchise restaurant loans in 1991 with its Restaurant Finance Group. In 1996, the company formed the Golf Finance Group, expanding its lending activities to include golf operating businesses. In 1997, FMAC added the Energy Finance Group to fund service stations, truck stops, card-locks, convenience stores The following is a list of convenience stores organized by geographical location. Stores are grouped by the lowest heading that contains all locales in which the brands have significant presence. , lube centers and car washes. That same year, it also formed the Funeral Finance Group to service funeral home and cemetery owners. FMAC sells and services loans in the secondary market, providing investors the opportunity to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. the inherent strengths of the franchise industry. The loans, which FMAC originated and services, were issued at fixed and variable rates. The bond was structured into notes and certificates with credit ratings ranging from AAA AAA: see American Automobile Association. (Triple A) A common single-cell battery used in a myriad of electronic devices of all variety. Like its double A (AA) cousin, it provides 1.5 volts of DC power. When used in series, the voltage is multiplied. to B. FMAC, founded in 1991, is a specialty commercial finance company engaged in the business of originating and servicing loans and equipment leases to small businesses, with a primary focus on established national and regional franchise concepts. The Los Angeles-based company has provided more than $1.9 billion in customer financing and has enabled investor participation through 12 securitizations of pooled loans totaling more than $1.4 billion. FMAC has other major offices in Atlanta, Dallas, Greenwich, Conn., Parsippany, N.J. and Denver, with regional offices in several other states across the country. -0- The information contained in this press release contains certain forward-looking statements that involve risk and uncertainties, such as the statements of the company's plans, objectives, expectations and intentions. The company's actual results could differ materially from those indicated by such statements as a result of various factors, including those discussed in the company's periodic reports on file with the SEC. -0- Editor's Note Editor's Note (foaled in 1993 in Kentucky) is an American thoroughbred Stallion racehorse. He was sired by 1992 U.S. Champion 2 YO Colt Forty Niner, who in turn was a son of Champion sire Mr. Prospector and out of the mare, Beware Of The Cat. Trained by D. : For more information, interested parties should contact Kevin Burke, senior vice president of capital markets, at FMAC, at 800/611-3622, 1888 Century Park East, 3rd Floor, Los Angeles, Calif. 90067. CONTACT: Anne Albanese/Jason Kannon Austin Lawrence Group 203/961-8888, ext. 3010/3002 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion