IPO Profile

New Century REIT
18400 Von Karman Avenue, Suite 1000 Irvine, California 92612
Tel: 949-440-7030
Web:
Ticker: NEW
Stock Exchange: New York Stock Exchange
Shares Issued: 13,500,000.00
Price Offered: $58.00
Amount Raised: $783,000,000.00

Underwriters:
UBS Investment Bank
Friedman, Billings, Ramsey
Merrill Lynch & Co.
Morgan Stanley & Co.
Flagstone Securities

Company Description:
We are the nation�s second largest subprime mortgage finance company in terms of loan volume. We originate, purchase, retain, sell and service primarily first mortgage products to borrowers nationwide. We focus on lending to individuals whose borrowing needs are generally not fulfilled by traditional financial institutions because they do not satisfy the customary credit, documentation or other underwriting standards prescribed by conventional mortgage lenders and loan buyers, such as Fannie Mae and Freddie Mac. We originate and purchase these loans on the basis of the borrower�s ability to repay the mortgage loan, the borrower�s historical pattern of debt repayment and the amount of equity in the borrower�s property (as measured by the borrower�s loan-to-value ratio, or LTV). We have been originating and purchasing subprime loans since 1996 and believe we have developed a comprehensive and sophisticated process of credit evaluation and risk-based pricing that allows us to effectively manage the potentially higher credit risks associated with this segment of the mortgage industry.