ITEM 1 - BUSINESS
The ADVANTA Mortgage Loan Trust 1999-4 (the "Trust" or "Issuer") is a New York common law trust established as of November, 1, 1999 pursuant to a Pooling and Servicing Agreement (the "Pooling and Servicing Agreement") between ADVANTA Mortgage Conduit Services, Inc. as sponsors (the "Sponsor") and ADVANTA Mortgage Corp. USA as Master Servicer (the "Master Servicer") (together, the "Companies") and Bankers Trust Company, acting thereunder not in its individual capacity but solely as trustee (the "Trustee"). The Issuer's only purpose is the issuance of $200,000,000.00 principal amount of ADVANTA Mortgage Loan Asset-Backed Certificates, Series 1999-4, in a single class and the subordinated residual certificates pursuant to the Pooling and Servicing Agreement. On November 1, 1999 the Sponsor sold $200,000,000.00 aggregate principal amount of mortgage loans (the "Mort- gage Loans"), to the Issuer in exchange for the Certificates, and sold the Certificates pursuant to a public offering, the underwriting of Note Certificate of which was managed by Bear, Stearns & Co. Inc. the underwriting for The Mortgage Loans and the distributions thereon, along with certain insurance proceeds, certain proceeds obtained on foreclosure and any investment income earned thereon, are the only significant assets of the Issuer. The Certificates represent obligations solely of the Issuer. The Certificates were registered under a Registration Statement (file no.333-75295) on Form S-3 declared effective on September 1, 1998.
ITEM 2
ITEM 2 - PROPERTIES
The Issuer neither owns nor leases any physical properties.
ITEM 3
ITEM 3 - LEGAL PROCEEDINGS
The Master Servicer is not aware of any material pending legal proceedings involving either the Issuer, the Trustee, the Sponsor or the Master Servicer with respect to the Certificates or the Issuer's property.
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 Issuer through the solicitation of proxies or otherwise.
PART II
ITEM 5
ITEM 5 - MARKET FOR REGISTRANT'S COMMON STOCK AND RELATED STOCK- HOLDER MATTERS
The Trust is not an issuer of common stock in a corporation, although the Certificates represent equity interest that has voting rights. The equity of the Trust consists of the beneficial or ownership interest therein for which, to the best knowledge of the Master Servicer, there is no established public trading market.
As of March 4, 2000, there were approximately 12 holders of the Note Certificate. The number of holders includes individual participants in security position listings. As of December 24, 1999 1 monthly distribution had been made to the holders of the 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
RESULTS OF OPERATION
On November 1, 1999, the Issuer issued $200,000,000 aggregate principal amount of Note Certificate having a pass-thru rate of LIBOR plus 0.375% per annum which are collateralized by Mortgage Loans. The sale of the Mortgage Loans to the Issuer, the issuance of the Certificates and the simultaneous delivery of the Certificates to the Companies for sale pursuant to a public offering, the underwriting for Note Certificate was managed by Bear, Stearns & Co. Inc., for as a sale of the Certificates. The value of the Certificates issued by the Issuer equaled the value of the Mortgage Loans conveyed to the Issuer by the Companies, plus funds held in the Prefunding Account (if any) and subsequently used to acquire additional mortgage loans. Accordingly, there was no income, expense, gain or loss resulting from the aforementioned transaction.
CAPITAL RESOURCES AND LIQUIDITY
The Issuer's primary sources of funds with respect to the Certificates will be receipts of interest on and principal of the Mortgage Loans, along with certain insurance proceeds, certain proceeds obtained on foreclosure and any investment income earned thereon. The respective management's of the Companies believe that the Issuer will have sufficient liquidity and capital resources to pay all amounts on the Certificates as they become due and all other anticipated expenses of the Issuer. The Issuer does not have, nor will it have in the future, any significant source of capital for payment of the Certificates and its operating expenses other than the receipt of interest on and principal of the mortgage loans, certain insurance proceeds and certain proceeds obtained on foreclosure and any payments made by the Certificate Insurer. The Issuer is a limited purpose trust. The Certificates represent obligations solely of the Issuer.
ITEM 8
ITEM 8 - FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
Not applicable.
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
The Issuer does not have any directors or officers.
ITEM 11
ITEM 11 - EXECUTIVE COMPENSATION
Not applicable.See "Item 10 - Directors and Executive Officers of the Registrant".
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 the ADVANTA Mortgage Loan Certificates, Series 1999-4, Note Certificate (ii) the principal amount of the Note Certificate and (iii) the percent that the principal amount of Note Certificate owned represents of the outstanding principal amount of the Note Certificate respectively. The information set forth in the table is based upon information obtained by the Issuer from Depository Trust Company. The Master Servicer is not aware of any Schedules 13D or 13G filed with the Securities and Exchange Commission in respect of the Certificates.
Amount Owned (All Dollar Amounts are in Thousands) Name and Address Principal Percent
Note Certificate The Bank of New York Cecile Lamarco 925 Patterson Plank Rd Secaucus, NJ 07094 5.85%
Bankers Trust Company J. Lasher c/o BT Services, Tennessee 648 Grassmere Park Drive Nashville, TN 37211 18.00%
Boston Safe Deposit and Trust Company Constance Holloway c/o Mellon Bank N.A. Three Mellon Bank Center, Room 153-3015 Pittsburgh, PA 15259 6.70%
Citibank, N.A. Marta Hoosain P O Box 30576 Tampa, FL 33630-3576 8.75%
Deutsche Bank Securities Inc Lou Pagnotta 175 Water Street New York, NY 10038 21.50%
Norwest Bank Minnesota, National Association John Kemper 733 Marquette Avenue Minneapolis, MN 55479-0056 21.80%
State Street Bank and Trust Company Joseph J. Callahan 1776 Heritage Dr. Global Corporate Action Unit JAB 5NW No. Quincy, MA 02171 13.35%
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: As the Issuer was established as of November 1, 1999, the Master Servicer was obligated to prepare an Annual Statement to Certificateholders as to Compliance for the year ended December 31, 1999, and mail such statement to the Certificateholders on or before the last day of March, 2000 and Independent Certified Public Accountants were required to prepare an annual report pertaining to the compliance of the Master Servicer with its servicing obligations pursuant to the Pooling and Servicing Agreement on or before the last day of March, 2000. The Annual Statement to Certificate- holders as to Compliance is included herewith as Exhibit 28.1 and the Annual Independent Certified Public Accountants' Report is included herewith as Exhibit 28.2. The Statement to Certificateholders on December 24, 1999, is included herewith as Exhibit 28.3.
Exhibit No. Description
*3.1 Certificates of Incorporation of the Companies
*3.2 By-laws of the Companies
*4 Pooling and Servicing Agreement
28.1 Annual Statement to Certificateholders as to Compliance for the year ended December 31, 1999.
28.2 Annual Independent Certified Public Accountants' Report.
28.3 Report of Management on Compliance with Minimum Servicing Standards.
28.4 Statement to Certificateholders on December 24, 1999.
* Incorporated by reference to the Exhibit of the same designation filed with the Issuer's Form S-3 registration statement declared effective September 1, 1998.
(b) Reports on Form 8-K. One report on Form 8-K have been filed by the Issuer during the period covered by this report.
Items Reported/Financial Date of Reports on Form 8-K Statements Filed
December 27, 199Monthly Report for the November 1999 Monthly Period relating to the ADVANTA Mortgage Loan Asset- Backed Certificates 1999-4, Note Certificate issued by the ADVANTA Mortgage Loan Trust 1999-4.
(c) See "Item 14(a) (3)-Exhibits". (d) Not applicable.
SIGNATURES
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.
ADVANTA Mortgage Corp., USA, as Master Servicer and on behalf of
ADVANTA Mortgage Loan Trust 1999-4 Registrant
BY; /s/ H. John Berens H. John Berens Senior Vice President Advanta Mortgage
March 31, 2000
INDEX TO EXHIBITS (Item 14(c))
Exhibit # Description
*3.1 Certificates of Incorporation of the Companies
*3.2 By-laws of the Companies.
*4 Pooling and Servicing Agreement
28.1 Annual Statement to Certificateholders as to Compliance for the year ended December 31, 1999.
28.2 Annual Independent Certified Public Account- ants' Report.
28.3 Report of Management on Compliance with Minimum Servicing Standards.
28.4 Statement to Certificateholders on December 28, 1999.
* Incorporated by reference to the Exhibit of the same designation filed with the Issuer's Form S-3 registration statement declared effective September 1, 1998.