UNITED STATES
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
Date of Report (date of earliest event reported): October 10, 2007
Accredited Mortgage Loan REIT Trust
(Exact name of Registrant as specified in its charter)
| Maryland | 001-32276 | 35-2231035 | ||
| (State or other jurisdiction of incorporation or organization) |
(Commission File Number) | (I.R.S. Employer Identification Number) |
15253 Avenue of Science, San Diego, CA 92128
(Address of principal executive offices) (Zip Code)
(858) 676-2100
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Section 2 - Financial Information
Item 2.04. - Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement.
Change in Control of Accredited. As reported in Item 5.01 of the 8-K filed by Accredited Home Lenders Holding Co. (“Accredited”) on October 15, 2007, the completion of the acquisition of Accredited by LSF5 Accredited Investments, LLC, resulted in a change of control of Accredited.
On October 10, 2007, pursuant to the Loan Agreement (the “Loan Agreement”) dated March 30, 2007 by and among Accredited Home Lenders, Inc. (“AHL”), Accredited Mortgage Loan REIT Trust (the “REIT”), Accredited, Farallon Capital Management LLC, and Mortgage Investments Funding, L.L.C. (“Lender”), Lender delivered to AHL and the REIT written notice stating that, as a result of the change of control of Accredited, Lender was exercising its option under Section 2.07 of the Loan Agreement to demand payment, on the thirtieth (30th) business day following delivery of the notice, of all outstanding loans, together with interest thereon, the change of control premium equal to 2.0% of the outstanding balance of the loans, and all other obligations due under the Loan Agreement. As of October 15, 2007, the outstanding balance of the loans to the REIT was $100 million, the outstanding balance of the loan to AHL was $130 million, and Accredited is the guarantor of the total outstanding balance of $230.
Section 8 - Other Events
Item 8.01 - Other Events.
On October 15, 2007, Accredited issued a press release announcing the exercise of Lender’s option to demand for repayment of the loans discussed under Item 2.04 above, the infusion of $100,000,000 in working capital from Accredited’s new parent, LSF5 Accredited Investments, LLC, and the resumption of lending operations by Accredited beginning October 15, 2007. A copy of the press release is attached as Exhibit 99.1 to this Form 8-K and is incorporated herein by reference.
Section 9 – Financial Statements and Exhibits
Item 9.01 - Financial Statements and Exhibits:
| (d) | Exhibits: |
| 99.1 | Press Release by Accredited Home Lenders Holding Co., dated October 15, 2007. |
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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.
| Accredited Mortgage Loan REIT Trust | ||||
| Date: October 15, 2007 | ||||
| By: | /s/ David E. Hertzel | |||
| David E. Hertzel General Counsel | ||||
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Exhibit Index
| Exhibit No. | Description | |
| Exhibit 99.1 | Press Release by Accredited Home Lenders Holding Co., dated October 15, 2007. |
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