ITEM 1 - BUSINESS
Not Applicable.
ITEM 2
ITEM 2 - PROPERTIES
Not Applicable.
ITEM 3
ITEM 3 - LEGAL PROCEEDINGS
AMRESCO Residential Securities Corporation (the "Depositor") is not aware of any material pending legal proceedings involving either the AMRESCO Residential Securities Corporation Mortgage Loan Trust 1998-2 (the "Trust") established pursuant to the Pooling and Servicing Agreement dated as of June 1, 1998, among the Depositor, AMRESCO Residential Capital Markets, Inc. in its capacity as seller, Advanta Mortgage Corp. USA, Ameriquest Mortgage Company and Wendover Financial Services Corporation as the servicers (the "Servicers"), and Norwest Bank Minnesota, National Association in its capacity as trustee.
ITEM 4
ITEM 4 - SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
No matter has been submitted to a vote of the holders of beneficial interests in the Trust through the solicitation of proxies or otherwise.
PART II
ITEM 5
ITEM 5 - MARKET FOR REGISTRANT'S COMMON STOCK AND RELATED STOCKHOLDER MATTERS
To the best knowledge of the Depositor, there is no established public trading market for any beneficial interests in the Trust.
All of the Class A-1, A-1, A-3, A-4, A-5, A-6, A-7 and A-8 Certificates issued by the Trust are held by the Depository Trust Company ("DTC") which in turn maintains records of holders of beneficial interests in such Certificates. Based on information obtained from DTC, as of January 12, 1999, there were 6 holders of the Class A-1 Certificates, 16 holders of the Class A-2 Certificates, 4 holders of the Class A-3 Certificates, 4 holders of the Class A-4 Certificates, 3 holders of the Class A-5 Certificates, 7 holders of the Class A-6 Certificates, 3 holders of the Class A-7 Certificates and 21 holders of the Class A-8 Certificates.
ITEM 6
ITEM 6 - SELECTED FINANCIAL DATA
Not applicable.
ITEM 7
ITEM 7 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Not applicable.
ITEM 8
ITEM 8 - FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
The gross servicing compensation paid to the Servicers for the year ended December 31, 1998 was $2,523,733.
ITEM 9
ITEM 9 - CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
There were no changes of accountants or disagreements on accounting or financial disclosures between the Issuer and its accountants.
PART III
ITEM 10
ITEM 10 - DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT
Not applicable.
ITEM 11
ITEM 11 - EXECUTIVE COMPENSATION
Not applicable.
ITEM 12
ITEM 12 - SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
The following table sets forth (i) the name and address of each entity owning more than 5% of the outstanding principal amount of each Class of Class A Certificates of the Trust; (ii) the principal amount of the Class of Certificates owned by each and (iii) the percent that the principal amount of the Class of Certificates owned by such entity represents of the outstanding principal amount of such Class of Certificates. The information set forth in the table for the Class A Certificates is based upon information obtained from DTC and represents ownership of beneficial interest in the Certificates held by DTC. The Depositor is not aware of any Schedules 13D or 13G filed with the Securities and Exchange Commission in respect of the Certificates.
Amount Owned Name and Address All Dollar Amounts Are Class in Thousands Principal Percent
Bankers Trust Company A-1 37,000,000 32% C/O BT Services Tennessee Inc. 648 Grassmere Park Drive Nashville, TN 37211
Chase Manhattan Bank A-1 64,000,000 55% 4 New York Plaza 13th Floor New York, NY 10004
State Street Bank and Trust Company A-1 10,000,000 9% Global Corp Action Dept JAB5W P.O. Box 1631 Boston, MA 02105-1631
ABN AMRO Incorporated/ Bond Trading A-2 5,000,000 8% 181 W. Madison Chicago, IL 60603
Bankers Trust Company A-2 3,200,000 5% C/O BT Services Tennessee Inc. 648 Grassmere Park Drive Nashville, TN 37211
Chase Manhattan Bank A-2 13,950,000 23% 4 New York Plaza 13th Floor New York, NY 10004
Citibank, N.A. A-2 7,000,000 11% P.O. Box 30576 Tampa, FL 33630-3576
First Union National Bank A-2 4,400,000 7% 1525 West W. T. Harris Blvd 3A4 Charlotte, NC 28288
Merrill Lynch, Pierce Fenner & Smith A-2 6,000,000 10% Safekeeping 4 Corporate Place Corporate Park 287 Piscataway, NJ 08855
State Street Bank and Trust Company A-2 14,890,000 24% Global Corp Action Dept JAB5W P.O. Box 1631 Boston, MA 02105-1631
ABN AMRO Incorporated/ Bond Trading A-3 5,000,000 14% 181 W. Madison Chicago, IL 60603
Bank of New York (The) A-3 8,000,000 22% 925 Patterson Plank Rd. Secaucus, NJ 07094
Chase Manhattan Bank A-3 18,000,000 50% 4 New York Plaza 13th Floor New York, NY 10004
Citibank, N.A. A-3 5,000,000 14% P.O. Box 30576 Tampa, FL 33630-3576
Chase Manhattan Bank A-4 31,100,000 84% 4 New York Plaza 13th Floor New York, NY 10004
FUNB - Philadelphia Main A-4 5,000,000 14% 530 Walnut Street FC1-9-81-48 Philadelphia, PA 19101
Bank of New York (The) A-5 5,000,000 31% 925 Patterson Plank Rd. Secaucus, NJ 07094
Bankers Trust Company A-5 5,000,000 31% C/O BT Services Tennessee Inc. 648 Grassmere Park Drive Nashville, TN 37211
Chase Manhattan Bank A-5 6,000,000 38% 4 New York Plaza 13th Floor New York, NY 10004
Bank of New York (The) A-6 18,000,000 51% 925 Patterson Plank Rd. Secaucus, NJ 07094
Bankers Trust Company A-6 5,000,000 14% C/O BT Services Tennessee Inc. 648 Grassmere Park Drive Nashville, TN 37211
Bank One Trust Company, N.A. A-6 1,890,000 5% 235 W. Schrock Road Brooksedge Village Westerville, OH 43081
FUNB - Phila. Main A-6 5,000,000 14% 530 Walnut Street FC1-9-81-48 Philadelphia, PA 19101
National City Bank A-6 4,510,000 13% 1900 East 9th Street Cleveland, OH 44114
Chase Manhattan Bank A-7 15,000,000 10% 4 New York Plaza 13th Floor New York, NY 10004
Republic National Bank of New York A-7 10,000,000 7% Investment Account One Hanson Place, Lower Level Brooklyn, NY 11243
State Street Bank and Trust Company A-7 125,000,000 83% Global Corp Action Dept JAB5W P.O. Box 1631 Boston, MA 02105-1631
Boston Safe Deposit and Trust Company A-8 81,796,000 22% C/O Mellon Bank N.A. Three Mellon Bank Center, Room 153-3015 Pittsburgh, PA 15259
Chase Manhattan Bank A-8 119,721,000 32% 4 New York Plaza 13th Floor New York, NY 10004
Deutsche Bank A.G., New York Branch A-8 25,000,000 7% 31 west 52nd Street New York, NY 10019
Morgan Stanley & Co. Incorporated A-8 46,417,000 12% One Pierrepont Plaza, 7th Floor Brooklyn, NY 11201
State Street Bank and Trust Company A-8 68,181,000 18% Global Corp Action Dept JAB5W P.O. Box 1631 Boston, MA 02105-1631
ITEM 13
ITEM 13 - CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS
None
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:
Not applicable.
2. Financial Statement Schedules:
Not applicable.
3. Exhibits:
Exhibit No. Description 99.1 (a) Statement of Compliance of the Servicer - Advanta 99.1 (b) Statement of Compliance of the Servicer - Ameriquest 99.1 (c) Statement of Compliance of the Servicer - Wendover 99.2 (a) Annual Report of Independent Accountants with respect to the Servicer's overall servicing operations - Arthur Andersen LLP 99.2 (b) Annual Report of Independent Accountants with respect to the Servicers' overall servicing operations - Deloitte & Touche LLP 99.2 (c) Annual Report of Independent Accountants with respect to the Servicers' overall servicing operations - KPMG Peat Marwick LLP
(b) Reports on Form 8-K.
Reports on Form 8-K have been filed by the Issuer during the period covered by this report.
Items Reported/Financial Date of Reports on Statements Filed Form 8-K June 26, 1998 Acquisition or Disposition of Assets. Underwriting and Pooling and Servicing Agreements. Description of Mortgage Loans. July 10, 1998 Acquisition or Disposition of Assets. Subsequent Transfer Agreement July 22, 1998 Acquisition or Disposition of Assets. Subsequent Transfer Agreement August 4, 1998 Trustee's Monthly Report for the June Monthly Period. September 8, 1998 Trustee's Monthly Report for the July Monthly Period. October 2, 1998 Trustee's Monthly Report for the August Monthly Period. November 5, 1998 Trustee's Monthly Report for the September Monthly Period. December 7, 1998 Trustee's Monthly Report for the October Monthly Period. January 6, 1999 Trustee's Monthly Report for the November Monthly Period. February 3, 1999 Trustee's Monthly Report for the December Monthly Period.
SIGNATURES
Pursuant to the requirements of Section 13 and 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.
AMRESCO RESIDENTIAL SECURITIES CORPORATION on behalf of AMRESCO Residential Securities Corporation Mortgage Loan Trust 1998-2
By: /s/ Ron B. Kirkland Name: Ron B. Kirkland Title: Senior Vice President and Chief Accounting Officer
Date: March 23, 1999
INDEX TO EXHIBITS Item 14(C)
Exhibit No. Description 99.1 (a) Statement of Compliance of the Servicer - Advanta 99.1 (b) Statement of Compliance of the Servicer - Ameriquest 99.1 (c) Statement of Compliance of the Servicer - Wendover 99.2 (a) Annual Report of Independent Accountants with respect to the Servicer's overall servicing operations - Arthur Andersen LLP 99.2 (b) Annual Report of Independent Accountants with respect to the Servicers' overall servicing operations - Deloitte & Touche LLP 99.2 (c) Annual Report of Independent Accountants with respect to the Servicers' overall servicing operations - KPMG Peat Marwick LLP