Item 1. Business. ........................................3
Item 2.
Item 2. Properties.............................................. ........3
Item 3.
Item 3. Legal Proceedings
The Registrant is not aware of any material legal proceeding with respect to, the Company, the Master Servicer or the Trustee, as related to the Trust..
Item 4.
Item 4. Submission of Matters to a Vote of Security Holders
No matter was submitted to a vote or consent of Holders of the Offered Certificates during the fiscal year covered by this report.
PART II
Item 5.
Item 5. Market for Registrant's Common Equity and Related Stockholder Matters
The Trust does not issue stock.
As of January 2, 1997, the number of holders of each Class of Offered Certificates was as follow:
Class A-1 3 Class A-2 4 Class A-3 2 Class A-4 3 Class A-5 4 Class A-6 10
Item 6.
Item 6. Selected Financial Data
Omitted.
Item 7.
Item 7. Management's Discussion and Analysis of Financial condition and Results of Operations
Omitted.
Item 8.
Item 8. Financial Statements and Supplementary Data
Omitted.
Item 9.
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
There was no change of accountants or disagreement with accountants on any matter of accounting principles or practices or financial disclosure.
PART III
Item 10.
Item 10. Directors and Executive Officers of the Registrant
Omitted.
Item 11.
Item 11. Executive Compensation
Omitted.
Item 12.
Item 12. Security Ownership of Certain Beneficial Owners and Management
The following entities own more than 5% of the specified Class of Certificates. These positions are held through the Depository Trust Company. The Master Servicer has not been advised that any such DTC participants are beneficial owners.
Class A-1 Chase Manhattan Bank/Chemical Corestates Bank, N.A.
Class A-2 Prudential Securities, Inc. Boston Safe Deposit & Trust Co. UMB Bank, N.A. Merrill Lynch - Debt Securities
Class A-3 Bank of New York Investors Fiduciary Trust Company/SSB
Class A-4 Prudential Securities, Inc. Chase Manhattan Bank Merrill Lynch - Debt Securities
Class A-5 Prudential Securities, Inc. Bank of New York Citicorp Services, Inc. Merrill Lynch - Debt Securities
Class A-6 Commerzbank Capital Market Corp. PWI CMO Account - Government Securities Clearance Chase Manhattan Bank Bankers Trust Company Citicorp Services, Inc. Boston Safe Deposit & Trust Co. Custodial Trust Company
Item 13.
Item 13. Certain Relationships and Related Transactions
No reportable transactions have occurred.
PART IV
Item 14.
Item 14. Exhibits, Financial Statement Schedules and Reports on Form 8-K
(a) The following documents are filed as part of this report:
(1) Financial Statements:
Omitted.
(2) Financial Statement Schedules:
Omitted.
(3) Exhibits:
Annual Master Servicer Statement of Compliance, filed as Exhibit 99.1 hereto.
Annual Servicer Statements of Compliance, filed as Exhibit 99.2 hereto.
Annual Compilation of Selected Financial Information, filed as Exhibit 99.3 hereto.
Annual Statement of Independent Accountants for each Servicer, filed as Exhibit 99.4 hereto.
(b) Reports on Form 8-K: No reports on Form 8-K were filed by the Registrant during the last quarter of 1996.
(c) Exhibits to this report are listed in Item (14)(a)(3) above.
SIGNATURE
Pursuant to the requirements of Section 13 or 15(d) 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.
Saxon Asset Securities Trust 1996-2 Mortgage Loan Asset Backed Certificates 1996-2
Date: March 25, 1997 By: /s/ Brad Adams -------------- Brad Adams Vice President
SUPPLEMENTAL INFORMATION TO BE FURNISHED WITH REPORTS FILED PURSUANT TO SECTION 15(D) OF THE ACT BY REGISTRANTS WHICH HAVE NOT REGISTERED SECURITIES PURSUANT TO SECTION 12 OF THE ACT.
The registrant has not sent an annual report or proxy material to its security holders. The registrant will not be sending an annual report or proxy material to its security holders subsequent to the filing of this form.
INDEX TO EXHIBITS
Exhibit Number Description of Exhibits Page
99.1 Annual Statement of Compliance 8
99.2 Annual Servicing Reports 10
99.3 Annual Compilation of Selected Financial Information 12
99.4 Annual Statement of Independent Accountants' for Each Servicer 14
EXHIBIT 99.1
ANNUAL STATEMENT OF COMPLIANCE
ANNUAL STATEMENT OF COMPLIANCE
In accordance with the letter dated March 13, 1997 sent to the Securities and Exchange Commission requesting an exemption from SEC reporting requirements, the Trust is to include as an exhibit a copy of the Annual Statement of Compliance required under the Trust Agreement dated August 1, 1996. The Statement of Compliance states that the Master Servicer has received the annual audited financial statements of each servicer. Since the financial statements for one of the servicers will not be received until after March 31, 1997, the Annual Statement of Compliance cannot be filed by Master Servicer by the 10-K filing deadline. Accordingly the Annual Statement of Compliance will be filed with an amended 10-K when the financial statements have been received.
EXHIBIT 99.2
ANNUAL SERVICING REPORTS
CERTIFICATE OF COMPLIANCE
Saxon 96-1 and 96-2
The undersigned, an officer of Meritech Mortgage Services, Inc. (The Participant) hereby certifies as follows:
(1) A review of the activities of the Participant during the preceding year with respect to performance under this Agreement has been made under such Officer's supervision: and
(2) To the best of such Officer's knowledge based on such review, there is not default by the Participant in fulfillment of any of its obligations under this Agreement, or if there is any such default and the such Officer, specifying each such default and the nature and status thereof.
In witness whereof the undersigned has executed this Certificate of compliance this 3rd day of March, 1997.
Meritech Mortgage Services, Inc.
/s/Lynnette Anderson Lynnette Anderson
Vice President
In accordance with the letter dated March 13, 1997 sent to the Securities and Exchange Commission requesting an exemption from SEC reporting requirements, the Trust is to include as an exhibit a copy of the annual compliance statement of each Servicer. Such statement has not yet been received for Long Beach Mortgage Company. Accordingly the annual compliance statement for Long Beach will be filed with an amended 10-K when such statement is received.
EXHIBIT 99.3
ANNUAL COMPILATION OF SELECTED FINANCIAL INFORMATION
EXHIBIT 99.4
ANNUAL STATEMENT OF INDEPENDENT ACCOUNTANTS FOR EACH SERVICER
DELOITTE & TOUCHE LLP Suite 500 Eighth & Main Building 707 East Main Street Richmond, Virginia 23219 Telephone: (804) 697-1500 Facsimile: (804) 697-1825
INDEPENDENT ACCOUNTANTS" REPORT
To the Board of Directors Meritech Mortgage Services, Inc. Fort Worth, Texas
We have examined management's assertion about Meritech Mortgage Services, Inc. ("Meritech"), compliance with servicing standards identified in the Appendix as of December 31, 1996 and for the period from May 14, 1996 (acquisition date) through December 31, 1996, included in the accompanying management assertion. Such standards were established by Meritech's management based on the Mortgage Bankers Association of America's Uniform Single Attestation Program for Mortgage Bankers (USAP). Management is responsible for Meritech's compliance with these servicing standards. Our responsibility is to express an opinion on management's assertion about the entity's compliance based on our examination.
Our examination was made in accordance with standards established by the American Institute of Certified Public Accountants and, accordingly included examining, on a test basis, evidence about Meritech's compliance with the servicing standards and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on Meritech's compliance with the servicing standards or its servicing agreements.
In our opinion, management's assertion that Meritech complied with its established servicing standards identified in the Appendix as of December 31, 1996 and for the period from may 14, 1996 (acquisition date) through December 31, 1996, is fairly stated, in all material respects.
Deloitte & Touche LLP
May 14, 1997
In accordance with the letter dated March 13, 1997 sent to the Securities and Exchange Commission requesting an exemption from SEC reporting requirements, the Trust is to include as an exhibit a copy of the annual statement of independent accountants' for each Servicer. Such statement has not yet been received for Long Beach Mortgage Company. Accordingly the annual statement of independent accountants for Long Beach will be filed with an amended 10-K when such statement is received.
file=f:finrpt\secrpt\issuers\saxon\96-210k