-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, HzkTy8bb66ljDY/cY3AGCa0TQMtNuotvp7KA7FXm2dgjVW4QOP8M9GiWoUinoCeJ rmVS72B1kEm2gYIL0n6Rcw== 0001012975-98-000234.txt : 19981015 0001012975-98-000234.hdr.sgml : 19981015 ACCESSION NUMBER: 0001012975-98-000234 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19981014 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 19981014 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: WILSHIRE REAL ESTATE INVESTMENT TRUST INC CENTRAL INDEX KEY: 0001048566 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 911851535 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 000-23911 FILM NUMBER: 98725475 BUSINESS ADDRESS: STREET 1: C/O WILSHIRE FINANCIAL SERVICES GROUP IN STREET 2: 1776 SW MADISON STREET CITY: PORTLAND STATE: OR ZIP: 97205 BUSINESS PHONE: 5032235600 MAIL ADDRESS: STREET 1: C/O WILSHIRE FINANCIAL SERVICES GROUP IN STREET 2: 1776 SW MADISON STREET CITY: PORTLAND STATE: OR ZIP: 97205 8-K 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 SEPTEMBER 29, 1998 Date of report (Date of earliest event reported) WILSHIRE REAL ESTATE INVESTMENT TRUST INC. (Exact name of registrant as specified in its charter) MARYLAND 0-23911 52-2081138 - ---------------------------------------------------------------------------- (State or other Commission File Number (I.R.S. Employer jurisdiction of dentification incorporation) Number) - ---------------------------------------------------------------------------- 1776 SW MADISON STREET, PORTLAND, OR97205 (Address of principal executive offices) (Zip Code) (503) 223-5600 Registrant's telephone number, including area code NOT APPLICABLE (Former name or former address, if changed since last report) 1 ITEM 2. SIGNIFICANT ACQUISITION. On September 29, 1998, Wilshire Real Estate Investment Trust Inc. ("WREI") purchased several pools of loans with an aggregate unpaid principal balance of approximately $380.9 million from Salomon Smith Barney Inc., which were then sold to Wilshire REIT Trust Series 1998-1 and securitized. This securitization, Asset Backed Floating Rate Notes Series 1998-11, is backed by $94,292,933 fixed rate and $286,561,031 adjustable rate residential mortgage loans. The $374.2 million of investment-grade, publicly offered securities, were tranched into four classes and were underwritten by Salomon Smith Barney, Inc. All of the publicly offered securities were rated by both Standard & Poor's Ratings Services and Duff & Phelps Credit Rating Company, except the M-3 which was rated by Duff & Phelps only. Investment-Grade Securities: Approximate - -------------------------------------------------------------------------------- Initial Note Note Interest Class Rating Balance Rate Final Maturity - --------------- -------------- ----------------------- ------------------------ A AAA/AAA $309,824,000 Variable Oct. 25, 2028 M-1 AA/AA 26,280,000 Variable Oct. 25, 2028 M-2 A/A 16,186,000 Variable Oct. 25, 2028 M-3 BBB 21,899,000 Variable Oct. 25, 2028 $374,189,000 ======================= The mortgage pool consists of approximately 3,766 one-to-four- family fully amortizing mortgage loans secured by first liens. The adjustable rate mortgage loans are generally based on 6-month LIBOR and have a weighted average margin of 5.714%. The weighted average coupon on the mortgage loans is approximately 10.229%. The weighted average remaining term to stated maturity for the mortgage pool is approximately 29 years. The average principal balance of the mortgage loans is $101,129 with a weighted average LTV of 79.96%. This transaction will be accounted for as a financing. The above mentioned loans will be reported in the financial statements of WREI along with the related debt associated with the aforementioned bonds issued. 2 All of the statements contained in this release which are not identified as historical should be considered forward-looking. In connection with certain forward-looking statements contained in this release and those that may be made in the future by or on behalf of the company which are identified as forward-looking, the company notes that there are various factors that could cause actual results to differ materially from those set forth in any such forward-looking statements. Such factors include but are not limited to, the real estate market, the availability of pools of loans at acceptable prices, the availability of financing for loan pool acquisitions, and interest rates and overseas expansion. Accordingly, there can be no assurance that the forward-looking statements contained in this release will be realized or that actual results will not be significantly higher or lower. Readers of this release should consider these facts in evaluating the information contained herein. The inclusion of the forward-looking statements contained in this release should not be regarded as a representation by the company or any other person that the forward- looking statements contained in this release will be achieved. In light of the foregoing, readers of this release are cautioned not to place undue reliance on the forward-looking statements contained herein. ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS. (b) As of the date of this Form 8-K, the applicable pro forma financial information is not available, but will be filed by the Company on Form 8-K as soon as practicable. 3 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. WILSHIRE REAL ESTATE INVESTMENT TRUST INC. Date: October 14, 1998 By: /S/ CHRIS TASSOS ---------------------------- Chris Tassos Executive Vice President and Chief Financial Officer 4 -----END PRIVACY-ENHANCED MESSAGE-----