SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
(Rule 13d-101)
Under the Securities Exchange Act of 1934
NEW CENTURY FINANCIAL CORPORATION
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(Name of Issuer)
Common Stock, $0.01 par value per share
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(Title of Class of Securities)
64352D101
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(CUSIP NUMBER)
GREENLIGHT CAPITAL, L.L.C.
420 Lexington Avenue, Suite 1740
New York, New York 10170
Tel. No.: (212) 973-1900
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(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
- with copies to -
Eliot D. Raffkind
Akin, Gump, Strauss, Hauer & Feld, L.L.P.
1700 Pacific Avenue, Suite 4100
Dallas, Texas 75201-4618
(214) 969-2800
November 8, 2002
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(Date of event which requires filing of this statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g) check the following box
[ ]
The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934, as amended (the "Act"), or otherwise subject to the liabilities of that
section of the Act but shall be subject to all other provisions of the Act.
Page 1 of 10
CUSIP No. 64352D101 13D
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1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Greenlight Capital, L.L.C.
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ]
(b) [ ]
-------------- -----------------------------------------------------------------
3 SEC USE ONLY
-------------- -----------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
-------------- -----------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e)
[ ]
-------------- -----------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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NUMBER OF 7 SOLE VOTING POWER
SHARES 1,695,500
BENEFICIALLY ------- ---------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 0
REPORTING ------- ---------------------------------
PERSON WITH 9 SOLE DISPOSITIVE POWER
1,695,500
------- ---------------------------------
10 SHARED DISPOSITIVE POWER
0
-------------- -----------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,695,500
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12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES*
[ ]
-------------- -----------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.8%
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14 TYPE OF REPORTING PERSON*
OO
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*SEE INSTRUCTIONS BEFORE FILLING OUT
Page 2 of 10
CUSIP No. 64352D101 13D
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1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
David Einhorn
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ]
(b) [ ]
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3 SEC USE ONLY
-------------- -----------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
-------------- -----------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e)
[ ]
-------------- -----------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
USA
-------------- -----------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 1,695,500
BENEFICIALLY ------- ---------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 0
REPORTING ------- ---------------------------------
PERSON WITH 9 SOLE DISPOSITIVE POWER
1,695,500
------- ---------------------------------
10 SHARED DISPOSITIVE POWER
0
-------------- -----------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,695,500
-------------- -----------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES*
[ ]
-------------- -----------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.8%
-------------- -----------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
-------------- -----------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT
Page 3 of 10
CUSIP No. 64352D101 13D
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Jeffrey A. Keswin
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ]
(b) [ ]
-------------- -----------------------------------------------------------------
3 SEC USE ONLY
-------------- -----------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
-------------- -----------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e)
[ ]
-------------- -----------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
USA
-------------- -----------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 1,695,500
BENEFICIALLY ------- ---------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 0
REPORTING ------- ---------------------------------
PERSON WITH 9 SOLE DISPOSITIVE POWER
1,695,500
------- ---------------------------------
10 SHARED DISPOSITIVE POWER
0
-------------- -----------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,695,500
-------------- -----------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
-------------- -----------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.8%
-------------- -----------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
-------------- -----------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT
Page 4 of 10
SCHEDULE 13D
This Schedule 13D (the "Schedule 13D") is being filed on
behalf of Greenlight Capital, L.L.C., a Delaware limited liability company
("Greenlight") and Mr. David Einhorn and Mr. Jeffrey A. Keswin, the principals
of Greenlight, relating to shares of common stock of New Century Financial
Corporation, a Delaware corporation (the "Issuer").
This Schedule 13D relates to shares of common stock of the
Issuer ("Common Stock") issuable to Greenlight Capital, L.P. ("Greenlight
Fund"), of which Greenlight is the general partner, Greenlight Capital Offshore,
Ltd. ("Greenlight Offshore"), for whom Greenlight acts as investment advisor,
and Greenlight Capital Qualified, L.P. ("Greenlight Qualified"), of which
Greenlight is the general partner.
ITEM 1. SECURITY AND ISSUER
Securities acquired: Shares of Common Stock, par value $0.01
per share
Issuer: New Century Financial Corporation
18400 Von Karman, Suite 1000
Irvine, California 92612
ITEM 2. IDENTITY AND BACKGROUND
(a) This statement is filed by: (i) Greenlight Capital,
L.L.C., a Delaware limited liability company ("Greenlight"), (ii) Mr. David
Einhorn and (iii) Mr. Jeffrey A. Keswin, the principals of Greenlight (the
"Principals").
(b) The business address of Greenlight and the Principals is
420 Lexington Avenue, Suite 1740, New York, NY 10170.
(c) Greenlight provides investment management services to
private individuals and institutions. The principal occupation of both Mr.
Einhorn and Mr. Keswin is investment management.
(d) None of Greenlight and the Principals have, during the
last five years, been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors).
(e) None of Greenlight and the Principals have, during the
last five years, been a party to a civil proceeding of a judicial or
administrative body of competent jurisdiction and as a result of such proceeding
was or is subject to a judgment, decree or final order enjoining future
violations of, or prohibiting or mandating activities subject to, Federal or
State securities laws or finding any violation with respect to such laws.
(f) Greenlight is a Delaware limited liability company. Mr.
David Einhorn and Mr. Jeffrey A. Keswin are both United States citizens
Page 5 of 10
ITEM 3. SOURCE AND AMOUNT OF FUNDS
As of December 11, 2002, Greenlight had invested (i)
$4,167,055 through Greenlight Fund, (ii) $12,818,860 through Greenlight
Qualified, and (iii) $16,403,143 through Greenlight. The above amounts include
any commissions incurred in making the investments. The source of these funds
was the working capital of each of Greenlight Fund, Greenlight Offshore and
Greenlight Qualified, as the case may be.
ITEM 4. PURPOSE OF THE TRANSACTION
Greenlight, Mr. Einhorn and Mr. Keswin acquired shares of
Common Stock for portfolio investment purposes. Greenlight, Mr. Einhorn and Mr.
Keswin reserve the right to acquire, or dispose of, additional securities of the
Issuer, in the ordinary course of business, to the extent deemed advisable in
light of Greenlight's general investment and trading policies, market
conditions, the availability of shares of Common Stock or other factors.
Greenlight, Mr. Einhorn and Mr. Keswin hope to work with the Issuer's management
and board of directors to identify and pursue opportunities to increase the
value of the Shares. Except as disclosed above, none of the reporting persons
have any plans or proposals of the type described in (a)-(j) of Item 4.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER
(a) As of December 11, 2002, Greenlight, Mr. Einhorn and Mr.
Keswin beneficially own 1,695,500 shares of Common Stock of the Issuer, which
represents 6.8% of the Issuer's outstanding shares of Common Stock, which such
percentage was calculated by dividing (i) the 1,695,500 shares of Common Stock
beneficially owned by Greenlight, Mr. Einhorn and Mr. Keswin as of the date
hereof, by (ii) 24,929,463 shares of Common Stock outstanding as of October 31,
2002, based upon the Issuer's Quarterly Report on Form 10-Q filed with the
Securities and Exchange Commission on November 14, 2002.
(b) Greenlight, Mr. Einhorn and Mr. Keswin for the account of
each of Greenlight Fund, Greenlight Offshore and Greenlight Qualified have the
power to vote and dispose of the shares of Common Stock held by each such
entity.
The filing of this statement on Schedule 13D shall not be
construed as an admission that Greenlight, Mr. Einhorn or Mr. Keswin is for the
purposes of Section 13(d) or 13(g) of the Securities Exchange Act of 1934, as
amended, the beneficial owner of any of the 1,695,500 shares of Common Stock
owned by Greenlight Fund, Greenlight Offshore or Greenlight Qualified. Pursuant
to Rule 13d-4, Greenlight, Mr. Einhorn and Mr. Keswin disclaim all such
beneficial ownership.
(c) The transactions in the Issuer's securities by Greenlight
during the last sixty days are listed as Annex A attached hereto and made a part
hereof.
(d) Not Applicable.
Page 6 of 10
(e) Not Applicable.
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT TO
SECURITIES OF THE ISSUER
Not Applicable.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS
Exhibit 1 Joint Filing Agreement dated December 12, 2002, among
Greenlight, Mr. Einhorn and Mr. Keswin.
Page 7 of 10
ANNEX A
Transaction Buy/Sell Quantity Price per
Date (shares) Share ($)
------------------------------- ---------------------------- ---------------------------- ----------------------------
10/16/02 Buy 30,000 19.00
11/01/02 Buy 45,000 20.91
11/07/02 Buy 370,000 20.56
11/08/02 Buy 392,000 20.54
12/04/02 Buy 60,000 20.17
12/05/02 Buy 101,000 20.25
12/06/02 Buy 57,000 20.70
12/09/02 Buy 100,700 21.48
12/10/02 Buy 72,400 21.89
12/11/02 Buy 4,400 22.02
Page 8 of 10
SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief,
the undersigned certifies that the information set forth in this statement is
true, complete and correct.
Dated: December 12, 2002
GREENLIGHT CAPITAL, L.L.C.
By: /s/ JEFFREY A. KESWIN
-----------------------------------
JEFFREY A. KESWIN, Managing Member
/s/ DAVID EINHORN
--------------------------------------------
David Einhorn
/s/ JEFFREY A. KESWIN
--------------------------------------------
Jeffrey A. Keswin
Page 9 of 10
EXHIBIT INDEX
EXHIBIT
NUMBER DESCRIPTION
------- -----------
1 Joint Filing Agreement dated December 12, 2002, among
Greenlight, Mr. Einhorn and Mr. Keswin.
Page 10 of 10