Saxon Capital Group Inc. · OTC:SCGX
Saxon Capital — Conference Presentation (November 2005)
24 slides from Saxon Capital's conference presentation, Nov 2, 2005
Slide 1: Saxon Capital, Inc.
Saxon Capital, Inc.
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Certain information contained herein, reflecting our future plans and strategies, may constitute “forward-looking statements” that are based on current expectations and assumptions. These expectations and assumptions are subject to risks and uncertainty, which could affect
Slide 3: Information & Where to Find It
INFORMATION & WHERE TO FIND IT • Corporate presentations, company financials, corporate SEC filings and other useful links can be found at www.saxoncapitalinc.com ( click on Corporate and then the Investor Relations section). • Underwriting guidelines, matrices and product profiles can be found at w
Slide 4: Saxon Companies
SAXON COMPANIES A nationally recognized wholesale and correspondent mortgage lending company A retail origination platform leveraging a national mortgage lending branch network and online lending alliances A premier mortgage servicing company
Slide 5: Condensed Consolidated Balance Sheet
CONDENSED CONSOLIDATED BALANCE SHEET Data as of 6/30/05
Slide 6: Saxon Strategy
SAXON STRATEGY • Saxon is building a high-quality non-conforming mortgage loan portfolio – Portfolio accounting – Holder of the first loss/residual risk (below BBB – credit risk) – Proactively manage the credit risk through our “Life of the Loan Credit Risk Management” philosophy – Nine years of per
Slide 7: Owned Portfolio Growth
OWNED PORTFOLIO GROWTH $4,297 = 70% $1,808 = 30% Data as of 6/30/05
Slide 8: Proven Track Record
PROVEN TRACK RECORD Data as of 6/30/05
Slide 9: Volume & Channel Mix
VOLUME & CHANNEL MIX Data as of 6/30/05
Slide 10: Servicing Portfolio
SERVICING PORTFOLIO $18.6 billion = 75% $6.1 billion = 25% Data as of 6/30/05
Slide 11: Underwriting
UNDERWRITING
Slide 12: Locations
LOCATIONS • Wholesale and Retail Underwriting – Eastern Region Operations Center – Glen Allen, Virginia – Central Region Operations Center – Fort Worth, Texas – Western Region Operations Center – Foothill Ranch, California • Correspondent Underwriting – Eastern Region Operations Center – Glen Allen,
Slide 13: Program Production
2001 Funded Amount 2002 Funded Amount 2003 Funded Amount 2004 Funded Amount 2005 Funded Amount Traditional* Score Plus Manufactured Housing ** Second Mortgage Piggyback 2nd Mortgage Score Direct Other Programs PROGRAM PRODUCTION 74.65% 53.98% 39.82% 30.26% 2.33% 20.79% 43.25% 54.72% 56.58% 87.66% 1.
Slide 14: Quality Control
QUALITY CONTROL
Slide 15: Managed at Three Levels
MANAGED AT THREE LEVELS • Underwriting – Appintell on every file – Borrower and Co-borrower social security numbers – Employment company address and phone numbers – Address and ownership verification – Property acquisition dates and cost – OFAC screening • Quality Control: Prefunding and Post Fundin
Slide 16: Managed at Three Levels (continued)
MANAGED AT THREE LEVELS (continued) • Investigation Unit – Performs pre-funding investigations of loans referred by underwriting – Performs 100-150 investigations a month on average – Reviews 100% of Early Payment Default loans (loans which are 60 days delinquent within the first 90 days) for materi
Slide 17: Credit & Servicing Statistics
CREDIT & SERVICING STATISTICS
Slide 18: Quarterly Production Statistics
QUARTERLY PRODUCTION STATISTICS Data as of 6/30/05
Slide 19: State Concentration
STATE CONCENTRATION Data as of 6/30/05
Slide 20: Credit Score Migration
CREDIT SCORE MIGRATION Data as of 6/30/05
Slide 21: Loss Severity
LOSS SEVERITY Divestiture from Dominion Data as of 6/30/05
Slide 22: Static Pool Delinquency
STATIC POOL DELINQUENCEY Data as of 6/30/05
Slide 23: Static Pool Losses by Funded Year
STATIC POOL LOSSES BY FUNDED YEAR Data as of 6/30/05
Slide 24: Summary
Strong Management Existing Portfolio Servicing Platform Discipline SUMMARY • SAX has a culture of discipline in growth, credit, and servicing. • Creating assets for our balance sheet and managing a REIT require similar discipline. • SAX has a servicing platform that is highly rated and scalable. • S
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