-----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, HhWXADflI0ZJa4L0TbhQRNCOL14Vml9R72o/ScRVdE4vmrLsbCtLAJ1unHhBxqmM O7293f2sayIfM1z+PMLi6Q== 0000823063-00-000008.txt : 20000517 0000823063-00-000008.hdr.sgml : 20000517 ACCESSION NUMBER: 0000823063-00-000008 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20000331 FILED AS OF DATE: 20000516 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MORTGAGE BANCFUND OF AMERICA CENTRAL INDEX KEY: 0000823063 STANDARD INDUSTRIAL CLASSIFICATION: PERSONAL CREDIT INSTITUTIONS [6141] IRS NUMBER: 330281356 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 033-17643 FILM NUMBER: 637526 BUSINESS ADDRESS: STREET 1: 2 CORPORATE PARK STE 106 CITY: IRVINE STATE: CA ZIP: 92714 BUSINESS PHONE: 7142532900 MAIL ADDRESS: STREET 1: 2 CORPORATE PARK STREET 2: SUITE 106 CITY: IRVINE STATE: CA ZIP: 92606-5128 10-Q 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. FORM 10-Q (Mark One) [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2000 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: 33-17643 THE MORTGAGE BANCFUND OF AMERICA, a California Limited Partnership (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) California 33-0281356 STATE OR OTHER JURISDICTION OF INCORPORATION IRS EMPLOYER IDENTIFICATION NUMBER 2402 Michelson, Suite 255, Irvine, CA 92612-1323 ADDRESS OF PRINCIPAL EXECUTIVE OFFICES(ZIP CODE) (949) 253-2900 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 reports), and (2) has been subject to such filing requirements for the past 90 days. YES X NO_______ APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEDING FIVE YEARS: 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 subsequent to the distribution of securities under a plan confirmed by a court. N/A YES NO_______ APPLICABLE ONLY CORPORATE ISSUERS: Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date. N/A MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) Index to Form 10-Q March 31, 2000 Part I - Financial Information Item 1 - Consolidated Financial Statements Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations Part II - Other Information Item 1 - Legal Proceedings Item 2 - Changes in Securities Item 3 - Defaults Upon Senior Securities Item 4 - Submission of Matters to a Vote of Security Holders Item 5 - Other Information Item 6 - Exhibits and Reports on Form 8-K Signatures MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) Part I - Financial Information Item 1 - Consolidated Financial Statements Consolidated Balance Sheets Consolidated Income Statements Consolidated Statements of Partner's Equity Consolidated Statements of Cash Flow Notes to Consolidated Financial Statements See attached exhibit THE MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) CONSOLIDATED BALANCE SHEETS (Unaudited) ASSETS Dec. 31, 1999 March 31, 2000 Cash $ 58,314 19,642 Loans receivable (Note 1) 309,093 246,863 Accounts receivable (Note 2) 0 0 Other real estate owned (Note 3) 1,142,858 1,137,445 Other assets 16,759 15,819 Total Assets $1,527,024 1,419,769 LIABILITIES & PARTNER'S EQUITY Liabilities Accounts payable 261,980 205,417 Notes payable (Note 4) 1,188,519 1,186,350 Total liabilities 1,450,499 1,391,767 Minority interest (172,652) (179,558) Partner's equity 249,177 207,560 Total liabilities & partner's equity $1,527,024 1,419,769 Book value per limited partner unit outstanding $ 2.86 $ 2.38 CONSOLIDATED INCOME STATEMENTS For the Three Months Ended 3/31/99 3/31/00 Unaudited Unaudited REVENUES: Interest: Loans $ 2,908 $ 0 Investments 5,000 0 Total interest 7,908 0 Net partnership income (loss) 2,589 (4,526) Other income 100 200 Total income 10,597 (4,326) COSTS & EXPENSES: Costs of loans 693 0 General & administrative costs 49,676 37,290 Total costs & expenses 50,369 37,290 NET LOSS (39,772) (41,616) Net loss per partnership unit (0.46) (0.48) outstanding Partnership units outstanding 87,087 87,087 THE MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) CONSOLIDATED STATEMENTS OF PARTNER'S EQUITY (Unaudited) General Limited Partner Partner Total Balance, December 31, 1998 $ (322,417) $ 682,841 $ 360,424 Allocation of net loss (5,682) (105,565) (111,247) Balance, December 31, 1999 (328,099) 577,276 249,177 Allocation of net loss (2,081) (39,536) (41,617) Balance, March 31, 2000 $ (330,180) $ 537,740 $ 207,560 CONSOLIDATED STATEMENTS OF CASH FLOW For the Three Months Ended CASH FLOWS FROM OPERATING ACTIVITIES: 3/31/99 3/31/00 Net (loss) $ (39,772) $ (41,617) Adjustments to reconcile net income to cash provided by operating activities: (Decrease) increase in accounts payable 0 (56,563) (Increase) in accounts receivable 0 0 (Decrease) increase in due to general partne 0 0 (Decrease) increase in minority interest 3,951 (6,904) (Increase) decrease in other liabilities 0 0 Decrease (increase) in other assets 100,939 940 NET CASH PROVIDED (USED) BY OPERATING ACTIVITI 65,118 (104,144) CASH FLOW FROM INVESTING ACTIVITIES: Net change in loans receivable (17,305) 62,230 Net change in other real estate owned 8,452 5,413 NET CASH PROVIDED (USED) BY FINANCING ACTIVITI (8,853) 67,643 CASH FLOWS FROM FINANCING Activities Increase(Decrease) in notes payable (3,036) (2,171) NET CASH PROVIDED (USED) BY FINANCING ACTIVITI (3,036) (2,171) NET INCREASE(DECREASE) IN CASH 53,229 (38,672) CASH, Beginning of period 204,047 58,314 CASH, End of Period $ 257,276 $ 19,642 THE MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 1 - Loans Receivable Loans receivable are carried at the unpaid principal balance net of unearned loan fees. Points and other loan fees are deferred over the life of the loan. In management's opinion the book value of these loans is equal to the estimated net realizable value. Note 2 - Accounts Receivable This account represents funds owed to the Partnership from affiliate partnerships, and projects which were acquired through foreclosure. Note 3 - Other Real Estate Owned All real estate owned by the partnership, which was acquired through foreclosure, was disposed of during 1996. The Account also includes properties which are owned by the majority-owned limited partnership. A condensed balance sheet of the majority owned partnership follows: CONDENSED BALANCE SHEET, unaudited, at March 31, 2000 Assets: Cash and other assets 62,315 Real estate 1,137,445 Total assets $1,199,760 Liabilities and Partner's Equity: Accounts payable 18,419 Notes payable 1,186,350 Due to affiliates (142,515) Partner's equity 137,506 Total liabilities & partner's equity $1,199,760 Note 4 - Notes Payable Account represents debt directly owed to commercial banks by the Partnership. Funds borrowed were used to develop property acquired through foreclosure. Account also represents amounts owed by the majority owned limited partnership on real estate owned. Note 5 - Accounting Policy The consolidated financial statements include the accounts of the Partnership and majority-controlled limited partnerships. All material intercompany transactions, profits, and balances have been eliminated. All adjustments made to the financial statements are of a normal recurring nature necessary to present fairly the financial condition of the Partnership. MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations Liquidity and Capital Resources: Liquidity continues to be a serious problem for the Partnership. Management will depend upon the operations of foreclosed real estate and the ultimate sale of that real estate to generate funds necessary to operate. There are no plans to seek additional capital from outside sources, neither debt nor equity. The capital account eroded by over 97% of the original $100.00 cost per limited Partnership unit to a value of $2.38 per Partnership unit outstanding. This is due to losses experienced over the past several years. Results of Operations: During 1998, the majority owned partnership sold 35% of its primary asset, a commercial property. A gain of approximately $200,000 resulted. Due to this, book value per Partnership unit outstanding increased to $4.14; a 52% increase in value from 1997. Management is of the opinion losses will continue. To date the liquidation of other types of losses on properties foreclosed on has not resulted in a positive return for the Partnership. Management is operating at this point in a liquidation mode in which the assets will continue to be managed and sold as those opportunities arise. Management will continue to manage and attempt to sell property which has been foreclosed on and continue the collection effort on the remaining loan receivable still on the Partnership books. MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) Part II - Other Information Item 1 - Legal Proceedings None Item 2 - Changes in Securities None Item 3 - Defaults Upon senior Securities None Item 4 - Submission of Matters to a vote of Security Holders None Item 5 - Other Information None Item 6 - Exhibits and reports on Form 8-k None MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) Signatures Pursuant to the requirments 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. MORTGAGE BANCFUND OF AMERICA (a California Limited Partnership) Registrant Robert Y. Strom, General Partner Date -----END PRIVACY-ENHANCED MESSAGE-----