SECURITIES AND EXCHANGE COMMISSSION
WASHINGTON, DC 20549
FORM 12b-25
Commission File Number 1-9819
NOTICE OF LATE FILING
(Check One):
[ X ] Form 10-K [ ] Form 11-K [ ] Form 20-F [ ] Form 10-Q [ ] Form N-SAR
For the Period Ended: December 31, 2000
[ ] Transition Report on Form 10-K [ ] Transition Report on Form 10-Q
[ ] Transition Report on Form 20-F [ ] Transition Report on Form N-SAR
[ ] Transition Report on Form 11-K
For the Transition Period Ended:
Nothing in this form shall be construed to imply that the Commission has
verified any information contained herein.
If the notification relates to a portion of the filing checked above,
identify the item(s) to which the notification relates:
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PART I - REGISTRANT INFORMATION
DYNEX CAPITAL, INC.
(Full name of registrant)
4551 Cox Road, 3rd Floor
Glen Allen, Virginia 23060
(Address of principal executive office)
PART II - RULE 12b-25 (b) AND (c)
If subject report could not be filed without reasonable effort or expense
and the registrant seeks relief pursuant to Rule 12b-25(b), the following should
be completed. (Check box if appropriate.)
(a) The reasons described in reasonable detail in Part III of this
form could not be eliminated without unreasonable effort or
expense.
[ X ]Yes [ ] No
(b) The subject annual report, semi-annual report, transition report
on Form 10-K, 20-F, 11-K or Form N-SAR, or portion thereof will be
filed on or before the 15th calendar day following the prescribed
due date; or subject quarterly report or transition report on Form
10-Q, or portion thereof will be filed on or before the fifth
calendar day following the prescribed due date.
[ X ] Yes [ ] No
(c) The accountant's statement or other exhibit required by Rule
12b-25 (c) has been attached if applicable.
[ ] Yes [ X ] No
PART III - NARRATIVE
State below in reasonable detail the reasons why Form 10-K, 11-K, 20-F,
10-Q, N-SAR or the transition report portion thereof could not be filed within
the prescribed time period.
Dynex Capital, Inc. ("Company") is unable to file its annual report on Form
10-K for the year ended December 31, 2000 in a timely manner without
unreasonable effort or expense. In September 2000, the Financial Accounting
Standards Board issued Statement of Financial Accounting Standards No. 140,
"Accounting for Transfers and Servicing of Financial Assets and Extinguishment
of Liabilities" ("FAS No. 140"). FAS No. 140 replaces the Statement of Financial
Accounting Standards No. 125 "Accounting for the Transfers and Servicing of
Financial Assets and Extinguishment of Liabilities" ("FAS No. 125"). FAS No. 140
revises the standards for accounting for securitization and other transfers of
financial assets and collateral and requires certain disclosure, but it carries
over most of FAS No. 125 provisions without reconsideration. Each of FAS No. 125
and FAS No. 140 set forth standards related to gain-on-sale accounting. While
the Company has not accounted for its securitizations using gain-on-sale
accounting, FAS No. 140 may impose certain additional disclosure requirements
for the Company related to its securitized investment portfolio. The
Company is currently in the process of evaluating the additional information
requirements of FAS No. 140 along with its independent auditors, Deloitte &
Touche, LLP. Such additional quantitative disclosure will be included in
Footnote 4 to the Company's consolidated financial statements to the extent
that the Company is required to make such disclosure.
PART IV - OTHER INFORMATION
(1) Name and telephone number of person to contact in regard to this
notification
Stephen J. Benedetti 804 217-5837
(Name) (Area Code) (Telephone Number)
(2) Have all other periodic reports required under Section 13 or 15(d)
of the Securities Exchange Act of 1934 or section 30 of the
Investment Company Act of 1940 during the preceding 12 months or
for such shorter period that the registrant was required to file
such report(s) been filed? If the answer is no, identify
report(s).
[ X ] Yes [ ] No
(3) Is it anticipated that any significant change in results of
operation from the corresponding period for the last fiscal year
will be reflected by the earnings statements to be included in the
subject report or portion thereof?
[ X ] Yes [ ] No
If so, attach an explanation of the anticipated change, both
narratively and quantitatively, and, if appropriate state the
reasons why a reasonable estimate of the results cannot be made.
In a press release issued April 2, 2001, the Company reported a
net loss of $91.9 million for the year ended December 31, 2000,
versus a net loss of $75.1 million for the year ended December 31,
1999. The Company reported that the loss for 2000 contained a
number of non-recurring items, and that its primary focus
throughout 2000 was the sale or resolution of assets to pay down
associated debt, letters of credit or similar obligations. During
2000, the Company reported that it reduced on-balance sheet
recourse borrowings by $403 million and was released from
approximately $180 million of letters of credit obligations. The
Company also reported that it had incurred non-recurring losses of
$67.5 million related to the sale or resolution of assets to
reduce its recourse obligations and charges of $11.0 million
relating to the divesting of the Company's remaining investment in
auto loans. The Company reported that net interest margin on the
Company's investment portfolio was negatively impacted by the
almost 20% decline in interest earning assets, increases in
short-term interest rates, as well as a higher provision for
credit losses. The higher credit losses were primarily due to the
deteriorating market conditions in the manufactured housing market
during the fourth quarter, which negatively impacted the recovery
rate on the sale of repossessed manufactured housing units
relating to the Company's portfolio of manufactured housing loans.
Dynex Capital, Inc. has caused this notification to be signed on its behalf
by the undersigned thereunto duly authorized.
DYNEX CAPITAL, INC.
/s/ Thomas H. Potts
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Date: April 3, 2001 By: Thomas H. Potts
President