SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON
DC 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) September 26, 2008
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CONSUMER
PORTFOLIO SERVICES, INC.
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(Exact
Name of Registrant as Specified in
Charter)
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CALIFORNIA
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1-14116
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33-0459135
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(State
or Other Jurisdiction
of
Incorporation)
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(Commission
File
Number)
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(IRS
Employer
Identification
No.)
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16355
Laguna Canyon Road, Irvine, CA 92618
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(Address
of Principal Executive Offices) (Zip
Code)
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Registrant's
telephone number, including area code (949) 753-6800
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Not
Applicable
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(Former
name or former address, if changed since last
report)
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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):
o Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
o Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
o Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange
o Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
1
ITEM
1.01. ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT.
The
information contained in Item 2.01 of this report is hereby incorporated by
reference into this Item 1.01.
CPS
disclaims any implication that the agreements relating to such transactions are
other than agreements entered into in the ordinary course of CPS's
business.
ITEM
2.01. COMPLETION OF THE ACQUISITION OR DISPOSITION OF
ASSETS.
On
September 26, 2008, the registrant and its wholly owned subsidiary CALT SPE, LLC
("Subsidiary") entered into a series of agreements under which the Subsidiary
purchased from the registrant, and transferred to Auto Loan Trust, a Delaware
statutory trust (the "Trust") approximately $198.7 million in adjusted principal
balances of automobile purchase receivables. The purchase price was
funded by the Trust's issuance and sale of structured notes, and was determined
by negotiation. An affiliate of Citigroup purchased 95% of the notes, and the
registrant purchased the remaining 5%. Another subsidiary of the
registrant, Folio Funding II LLC, is indebted to a separate affiliate of
Citigroup in the principal amount of approximately $68.25 million under a term
credit facility, the terms of which were amended and restated on July 10,
2008. The description of the terms of that facility and of its
amendment and restatement, contained in the registrant's report on Form 8-K
filed July 16, 2008, is incorporated herein by this reference.
2
ITEM
9.01. FINANCIAL STATEMENTS AND EXHIBITS.
Neither
financial statements nor pro forma financial information are filed with this
report.
The
following exhibits are filed as a part of this report:
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Exhibit
Number
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Description
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10.24
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Purchase
and Sale Agreement re Motor Vehicle Contracts dated as of September 26,
2008 (to be filed by amendment).
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10.25
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Transfer
and Servicing Agreement dated as of September 26, 2008 (to be filed by
amendment).
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99.1
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Consumer
Portfolio Services, Inc. October 1, 2008 press
release.
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SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, as amended, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
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Consumer
Portfolio Services, Inc.
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Dated: October
2, 2008
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By:
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/s/ Robert
E. Riedl
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Robert
E. Riedl
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Senior
Vice President and Chief Investment Officer
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3
EXHIBIT
INDEX
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Exhibit
Number
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Description
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10.24
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Purchase
and Sale Agreement re Motor Vehicle Contracts dated as of September 26,
2008 (to be filed by amendment).
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10.25
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Transfer
and Servicing Agreement dated as of September 26, 2008 (to be filed by
amendment).
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99.1
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Consumer
Portfolio Services, Inc. October 1, 2008 press
release.
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4
Exhibit 99.1
[CPS
Logo] NEWS
RELEASE
CPS
Completes $199 Million Whole Loan Sale
IRVINE,
California, October 1, 2008 – Consumer Portfolio Services, Inc. (Nasdaq: CPSS)
today announced that it completed a structured whole loan sale last Friday,
selling $198.7 million of automobile purchase receivables.
In the
transaction, an affiliate of Citigroup purchased 95% of structured notes backed
by automotive purchase receivables, while CPS purchased the remaining
5%. A portion of the cash proceeds were used to repay outstanding
warehouse indebtedness. The Company also retains a shared
participation in the future performance of the sold receivables.
“While
the securitization market remains challenging, we are pleased to have completed
this transaction," said Charles E. Bradley, Jr., Chairman and Chief Executive
Officer of CPS. "Being able to access liquidity in this difficult market
environment is a testament to the platform we have built over the last few
years.”
The sale
of notes was a private offering of securities, not registered under the
Securities Act of 1933, or any state securities law. All of such securities
having been sold, this announcement of their sale appears as a matter of record
only.
About
Consumer Portfolio Services, Inc.
Consumer
Portfolio Services, Inc. is a specialty finance company engaged in purchasing
and servicing new and used retail automobile contracts originated primarily by
franchised automobile dealerships and to a lesser extent by select independent
dealers of used automobiles in the United States. We serve as an
alternative source of financing for dealers, facilitating sales to sub-prime
customers, who have limited credit history, low income or past credit problems
and who otherwise might not be able to obtain financing from traditional
sources.
Investor
Contacts
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Consumer
Portfolio Services, Inc.
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Robert
E. Riedl
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949-753-6800
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Erica
Waldow
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888-505-9200
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