UNITED STATES SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   ----------

                                   FORM 10-KSB

  X    ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES  EXCHANGE
-----  ACT OF 1934

 For the fiscal year ended December 31, 1999      Commission File Number 0-18278


                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
--------------------------------------------------------------------------------
                        A CALIFORNIA LIMITED PARTNERSHIP
--------------------------------------------------------------------------------
             (Exact name of Registrant as specified in its charter)

        California                                        68-0191380
-------------------------------             ------------------------------------
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
 incorporation or organization)


2401 Kerner Boulevard, San Rafael, California                  94901-5527
--------------------------------------------------------------------------------
(Address of principal executive offices)                       (Zip Code)

Registrant's telephone number, including area code:     (415) 485-4500
                                                        --------------

Securities registered pursuant to Section 12(b) of the Act: NONE

Securities  registered  pursuant to Section  12(g) of the Act:  Units of Limited
Partnership Interest

Indicate by check mark if disclosure of delinquent  filers  pursuant to Item 405
of Regulation  S-B is not contained  herein,  and will not be contained,  to the
best of Registrant's  knowledge,  in definitive proxy or information  statements
incorporated  by reference  in Part III of this Form 10-KSB or any  amendment to
this Form 10-KSB.
______________

Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  Registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days.

                                Yes  X   No
                                   -----   -----

The Registrant's revenue for its most recent fiscal year was $2,922,000.

As of December 31, 1999,  6,192,840 Units of Limited  Partnership  interest were
outstanding.  No  market  exists  for the  Units  of  Partnership  interest  and
therefore there exists no aggregate market value at December 31, 1999.

                    DOCUMENTS INCORPORATED BY REFERENCE: NONE

Transitional Small Business Disclosure Format:

                               Yes       No   X
                                   -----    -----


                                  Page 1 of 28
<PAGE>

                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                        A CALIFORNIA LIMITED PARTNERSHIP

                         1999 FORM 10-KSB ANNUAL REPORT


                                TABLE OF CONTENTS


                                                                            Page
                                                                            ----

                                     PART I

Item 1.   Business..........................................................  3
Item 2.   Properties........................................................  4
Item 3.   Legal Proceedings.................................................  4
Item 4.   Submission of Matters to a Vote of Security Holders...............  4


                                     PART II

Item 5.   Market for the Registrant's Securities and Related Security
            Holder Matters..................................................  5
Item 6.   Management's Discussion and Analysis of Financial Condition and
            Results of Operations...........................................  6
Item 7.   Financial Statements..............................................  9
Item 8.   Disagreements on Accounting and Financial Disclosure Matters...... 25


                                    PART III

Item 9.   Directors and Executive Officers of the Registrant................ 25
Item 10.  Executive Compensation............................................ 26
Item 11.  Security Ownership of Certain Beneficial Owners and Management.... 27
Item 12.  Certain Relationships and Related Transactions.................... 27


                                     PART IV

Item 13.  Exhibits, Financial Statement Schedules and Reports on Form 8-K... 27


Signatures.................................................................. 28


                                       2
<PAGE>

                                     PART I

Item 1.       Business.
              --------

General Development of Business.

         Phoenix  Leasing  Cash  Distribution  Fund  IV,  a  California  limited
partnership (the Partnership), was organized on August 22, 1989. The Partnership
was registered  with the Securities  and Exchange  Commission  with an effective
date of December 27, 1989 and shall  continue to operate  until its  termination
date unless dissolved sooner due to the sale of substantially  all of the assets
of the  Partnership  or a vote of the Limited  Partners.  The  Partnership  will
terminate  on  December  31,  2000.  The  General  Partner  is  Phoenix  Leasing
Incorporated,  a California  corporation.  The General Partner or its affiliates
also is or has been a general  partner in  several  other  limited  partnerships
formed to invest in capital equipment and other assets.

         The  initial  public  offering  was  for  3,750,000  units  of  limited
partnership  interest at a price of $20 per unit.  During 1991, the  Partnership
increased  the  public  offering  up  to  a  maximum  of  6,500,000  units.  The
Partnership  completed its public  offering on December 27, 1991. As of December
27, 1991, the  Partnership  sold 6,492,727 units for a total  capitalization  of
$129,847,540. Of the proceeds received through the offering, the Partnership has
incurred $16,292,000 in organizational and offering expenses.

Narrative Description of Business.

Equipment Leasing and Financing Operations
------------------------------------------

         From the initial  formation  of the  Partnership  through  December 31,
1999,  the total  investments  in equipment  leases and  financing  transactions
(loans),  including the  Partnership's  pro rata interest in investments made by
joint  ventures,  approximate  $273,825,000.  The average  initial  firm term of
contractual  payments from equipment subject to lease was 43.43 months,  and the
average  initial  net  monthly  payment  rate as a  percentage  of the  original
purchase price was 2.71%. The average initial firm term of contractual  payments
from loans was 61.21 months.

         The  Partnership's  principal  objective is to produce cash flow to the
investors on a  continuing  basis over the life of the  Partnership.  To achieve
this  objective,  the  Partnership  will  invest  in  various  types of  capital
equipment and other assets to provide  leasing or financing of the same to third
parties, including Fortune 1000 companies and their subsidiaries,  middle-market
companies,  emerging growth  companies,  franchised  businesses,  pay television
system  operators  and others,  on either a long-term or short-term  basis.  The
types of equipment that the Partnership will invest in will include,  but is not
limited to, computer  peripherals,  terminal  systems,  small computer  systems,
communications  equipment,  IBM mainframes,  IBM-software compatible mainframes,
office  systems,  CAE/CAD/CAM  equipment,  telecommunications  equipment,  cable
television equipment, medical equipment,  production and manufacturing equipment
and software products.

         In addition to  acquiring  equipment  for lease to third  parties,  the
Partnership,  either directly or through the investment in joint  ventures,  has
provided  limited  financing  to  certain  emerging  growth   companies,   cable
television  operators,  manufacturers  and their  lessees with respect to assets
leased  directly  by  such  manufacturers  to  third  parties.  The  Partnership
maintains a security  interest in the assets financed and in the receivables due
under any lease or rental  agreement  relating  to such  assets.  Such  security
interests  constitute a lien on the equipment and will give the  Partnership the
right, upon default, to obtain possession of the assets.

         During the Partnership  offering,  the Partnership acquired significant
amounts of  equipment  or assets and  provided  financing  with the net offering
proceeds. In addition, the Partnership has acquired equipment through the use of
debt financing.  The ratio of the outstanding debt to net capital  contributions
less any investment in Leveraged Joint Ventures at the end of the  Partnership's
offering  period will not exceed  one-to-one.  The cash flow  generated  by such
investments in equipment  leases or financing  transactions has been and will be
used to provide for debt service,  to provide cash distributions to the Partners
and the remainder will be reinvested in capital equipment or other assets.

         The Partnership has acquired and intends to acquire and lease equipment
pursuant to either  "Operating"  leases or "Financing"  leases.  At December 31,
1999,  approximately  99% of the  leased  assets  owned by the  Partnership  was
classified as Financing leases. The Partnership has also provided and intends to
provide financing  secured by assets in the form of notes receivable.  Operating
leases are  generally  short-term  leases  under which the lessor  will  receive
aggregate  rental  payments in an amount that is less than the purchase price of

                                       3
<PAGE>

the equipment.  Financing leases are generally for a longer term under which the
noncancellable  rental  payments due during the initial term of the lease are at
least sufficient to recover the purchase price of the equipment.

         Competition.  The General Partner has  concentrated  the  Partnership's
activities in the equipment  leasing and financing  industry,  an area where the
General Partner has developed an expertise.  The equipment  leasing  industry is
extremely  competitive.  The  Partnership  competes  with many well  established
companies having substantially greater financial resources.  Competitive factors
include pricing,  technological  innovation and methods of financing  (including
use of various short-term and long-term financing plans, as well as the outright
purchase  of  equipment).   Generally,  the  impact  of  these  factors  to  the
Partnership  would be the  realization of increased  equipment  remarketing  and
storage costs, as well as lower residuals  received from the sale or remarketing
of such equipment.

Other.

         A brief  description of the type of assets in which the Partnership has
invested as of December 31, 1999, together with information  concerning the uses
of assets is set forth in Item 2.


Item 2.       Properties.
              ----------

Equipment Leasing and Financing Operations.

         The  Partnership  is engaged in the  equipment  leasing  and  financing
industry and as such,  does not own or operate any  principal  plants,  mines or
real property. The primary assets held by the Partnership are its investments in
leases and loans to businesses located throughout the United States.

         As of  December  31,  1999,  the  Partnership  owns  equipment  and has
outstanding  loans to borrowers with an aggregate  original cost of $15,255,000.
The following  table  summarizes the type of equipment  owned or financed by the
Partnership at December 31, 1999.

                                                                  Percentage of
           Asset Types                      Purchase Price(1)     Total Assets
----------------------------------          -----------------     -------------
                                          (Amounts in Thousands)

Furniture and Fixtures                          $ 3,707                 24%
Capital Equipment Leased to Emerging
  Growth Companies                                3,256                 21
Financing of Other Businesses                     3,172                 21
Financing Related to Emerging Growth
  Companies                                       2,033                 13
Computer Peripherals                              1,995                 13
Telecommunications                                  748                  5
Small Computer Systems                              278                  2
Miscellaneous                                        66                  1
                                                -------                ---

TOTAL                                           $15,255                100%
                                                =======                ===

(1)      These  amounts  include the cost of equipment  on  financing  leases of
         $5,943,000  and original  cost of  outstanding  loans of  $4,915,000 at
         December 31, 1999.


Item 3.       Legal Proceedings.
              -----------------

         The  Registrant is not a party to any pending legal  proceedings  which
would have a material adverse impact on its financial position.


Item 4.       Submission of Matters to a Vote of Security Holders.
              ---------------------------------------------------

         No matters were  submitted to a vote of limited  partners,  through the
solicitation of proxies or otherwise, during the year covered by this report.

                                       4
<PAGE>


                                     PART II

Item 5.       Market for the Registrant's Securities and Related Security Holder
              ------------------------------------------------------------------
              Matters.
              -------

         (a)  The Registrant's  limited  partnership  interests are not publicly
              traded.   There  is  no  market  for  the   Registrant's   limited
              partnership interests and it is unlikely that any will develop.

         (b)  Approximate Number of Equity Security Investments:

                                                    Number of Unit Holders
                     Title of Class                as of December 31, 1999
              ----------------------------         -----------------------

              Limited Partners                                 7,867
              General Partner                                      1




                                       5
<PAGE>

Item 6.  Management's Discussion and Analysis of Financial Condition and Results
         -----------------------------------------------------------------------
         of Operations.
         -------------

Results of Operations

         Phoenix Leasing Cash Distribution  Fund IV (the  Partnership)  reported
net income of  $2,292,000  for the year ended  December 31, 1999, as compared to
$2,823,000  during 1998.  The decline in net income  during 1999, as compared to
1998,  is due  primarily  to a  decrease  in  revenues  generated  from  leasing
activities.

         The  decrease  in total  revenues  of  $2,027,000  for the  year  ended
December 31, 1999, as compared to 1998, is primarily the result of a decrease in
rental income of $1,441,000,  a decrease in earned income from financing  leases
of  $690,000  and  interest  income from notes  receivable  of  $272,000.  These
declines  in  revenue  were in part  offset  by an  increase  in gain on sale of
securities of $583,000.

         The decrease in rental  income is reflective of a reduction in the size
of the  equipment  portfolio.  As of December 31, 1999,  the  Partnership  owned
equipment  with an  aggregate  original  cost of $10  million  compared to $22.3
million at December 31, 1998.  Another  factor  contributing  to the decrease in
rental income is the equipment being held for lease. Until new lessees or buyers
of equipment can be found, the equipment will continue to generate  depreciation
expense without any  corresponding  rental income.  The effect of this will be a
reduction of the Partnership  earnings  during this  remarketing  period.  As of
December 31, 1999, the Partnership  owned equipment being held for lease with an
original  purchase price of $3,432,000 and a net book value of $8,000,  compared
to  $8,020,000  and $2,000,  respectively,  at December  31,  1998.  The General
Partner is actively  engaged,  on behalf of the Partnership,  in remarketing and
selling the Partnership's equipment as it becomes available.

         The decrease in earned income from financing  leases for the year ended
December  31,  1999,  as  compared  to prior  year,  is due to a decrease in the
Partnership's net investment in financing leases to $1.1 million at December 31,
1999 from $3.4 million at December 31, 1998. The investment in financing leases,
as well as earned  income from  financing  leases,  will decrease over the lease
term as the Partnership  amortizes income over the lease term using the interest
method of accounting.

         Interest  income from notes  receivable  decreased  by $272,000 for the
year ended December 31, 1999,  compared to 1998. The decrease in interest income
from notes receivable,  for the year ended December 31, 1999,  compared to 1998,
is  attributable to the decline in net investment in notes  receivable.  The net
investment in notes receivable was $2 million at December 31, 1999,  compared to
$4 million at December 31, 1998.

         The  Partnership  reported a gain on sale of securities of $620,000 for
the year ended  December 31, 1999,  compared to $37,000 in 1998.  The securities
sold for both 1999 and 1998  consisted  of common  stock  received  through  the
exercise  of stock  warrants  granted to the  Partnership  as part of  financing
agreements  with  emerging  growth  companies  that  are  publicly  traded.  The
Partnership  received  proceeds of $620,000  and $37,000  from the sale of these
securities  during the year ended December 31, 1999 and 1998,  respectively.  In
addition,  at December 31, 1999, the Partnership  owns shares of stock and stock
warrants  in  emerging  growth  companies  that  are  publicly  traded  with  an
unrealized gain of approximately  $41,000.  These stock warrants contain certain
restrictions, but are generally exercisable within one year.

         Total expenses  decreased by $1,496,000  during year ended December 31,
1999,  as compared  to 1998.  The  decrease  in total  expenses is a result of a
decrease in nearly all of the items comprising total expenses, with depreciation
expense contributing the largest decrease. These decreases are the result of the
continued decrease in the size of the equipment portfolio.  Depreciation expense
decreased  $161,000  during 1999,  compared to 1998.  This  decrease is due to a
decline in the amount of depreciable equipment owned by the Partnership, as well
as, an increasing  portion of the equipment  owned by the  Partnership  becoming
fully depreciated.  These decreases were offset by recovery of the provision for
losses on  receivables  of  $549,000.  This  recovery  is due  primarily  to the
determination  that the provision for early  termination of financing leases was
over reserved.

         Inflation  affects the  Partnership  in relation to the current cost of
equipment  placed on lease and the residual  values  realized when the equipment
comes  off-lease and is sold.  During the last several years  inflation has been
low, thereby having very little impact upon the investments of the Partnership.

                                       6
<PAGE>

Liquidity and Capital Resources

         The  Partnership's  primary  source of  liquidity  is derived  from its
contractual  obligations  with a  diversified  group of lessees  for fixed lease
terms at fixed rental  amounts,  and from  payments of principal and interest on
its  outstanding  notes  receivable.  As the  initial  lease terms  expire,  the
Partnership  will re-lease or sell the  equipment.  The future  liquidity of the
Partnership  will depend upon the General  Partner's  success in collecting  the
contractual  amounts owed, as well as re-leasing  and selling the  Partnership's
equipment as it comes off lease.

         The  Partnership  reported net cash generated by equipment  leasing and
financing  activities  of  $5,581,000  during 1999,  as compared to  $11,676,000
during  1998.  The  decrease in the net cash  generated  during 1999 is due to a
decrease in payments on financing leases and notes receivable, as well as rental
income.

         The  Partnership  received cash  distributions  from joint  ventures of
$477,000 during 1999, as compared to cash distributions of $661,000 during 1998.
The decrease in  distributions  from joint ventures is attributable to a decline
in the  amount of cash  available  for  distribution  from one  equipment  joint
venture as a result of a decrease  in rental  income and  proceeds  from sale of
equipment.

         Proceeds from the sale of equipment decreased by $120,000,  as a result
of a decline in sales activity of the  Partnership's  equipment  portfolio.  The
Partnership sold equipment with an aggregate  original cost of $12.3 million for
the year ended  December  31, 1999 as compared to $23 million for the year ended
December 31, 1998.

         As of December 31, 1999, the Partnership owned equipment being held for
lease with an original  cost of  $3,432,000  and a net book value of $8,000,  as
compared to equipment  with an original cost of $8,020,000  and a net book value
of $2,000 at December  31, 1998.  The General  Partner is actively  engaged,  on
behalf of the  Partnership,  in remarketing  and selling the  Partnership's  off
lease  equipment.  Until new lessees or buyers of  equipment  can be found,  the
equipment   will  continue  to  generate   depreciation   expense   without  any
corresponding  rental  income.  The  effect of this will be a  reduction  of the
Partnership earnings during this remarketing period.

         The total cash  distributed to partners during 1999 was $5,958,000,  as
compared  to  $14,905,000  during  1998.  In  accordance  with  the  partnership
agreement,  the limited  partners are entitled to 95% of the cash  available for
distribution and the General Partner is entitled to 5%. As a result, the limited
partners received $5,632,000 and $14,121,000 during 1999 and 1998, respectively.
The  cumulative  cash  distributions  to limited  partners was  $122,934,000  at
December 31, 1999, as compared to $117,301,000 at December 31, 1998. The General
Partner  received  $326,000 and $784,000 for its share of the cash available for
distribution during 1999 and 1998, respectively. The Partnership is not planning
to make  distributions in 2000,  compared to the December 1999 distribution rate
of 5%.

         As provided for by the partnership  agreement,  the General Partner has
determined  to  exercise  its  discretion  that no  further  redemptions  in the
Partnership will be permitted after March 31, 1998.

         The cash to be  generated  from  leasing and  financing  operations  is
anticipated to be sufficient to meet the  Partnership's  continuing  operational
expenses and to provide for distributions to partners.

         Forward-looking statements in this report are made pursuant to the safe
harbor  provisions  of the  Private  Securities  Litigation  Reform Act of 1995.
Actual  results could differ from those  anticipated  by some of the  statements
made above. Limited Partners are cautioned that such forward-looking  statements
involve risks and uncertainties including without limitation the following:  (i)
the  Partnership's  plans are subject to change at any time at the discretion of
the General Partner of the Partnership,  (ii) future technological  developments
in the industry in which the Partnership operates, (iii) competitive pressure on
pricing or services,  (iv) substantial  customer defaults or cancellations,  (v)
changes  in  business  conditions  and the  general  economy,  (vi)  changes  in
government regulations affecting the Partnership's core businesses and (vii) the
ability of the Partnership to sell its remaining assets .

Impact of the Year 2000 Issue

         The  General  Partner  has  appointed  ResourcePhoenix.com.  (RPC),  an
affiliate of the General Partner, to manage its Year 2000 project.

                                       7
<PAGE>

         RPC has a Year 2000 project plan in place and a "Y2K Project  Team" has
been appointed.  The team has identified risks, and has implemented  remediation
procedures for its Year 2000 issues. RPC has budgeted for the necessary changes,
built  contingency  plans,  and has  progressed  along the  scheduled  timeline.
Installation  of all remediation  changes to critical  software and hardware was
completed  on November 5, 1999.  As of January 31, 2000 RPC has not  encountered
any material year 2000  problems with the hardware and software  systems used in
our operations.  In addition,  none of RPC's critical  vendors have reported any
material  year 2000  problems nor have they  experienced  any decline in service
levels from such vendors.

         RPC will continue to monitor  internal and external  issues  related to
year 2000.

         Costs incurred by the Partnership  will be expenses as incurred and are
not currently anticipated to be material to the Partnership's financial position
or results of operations.

         The  Partnership's  customers  consist of lessees  and  borrowers.  The
Partnership  does  not have  exposure  to any  individual  customer  that  would
materially impact the Partnership  should the customer  experience a significant
Year 2000 problem.



                                       8
<PAGE>



                          Item 7. FINANCIAL STATEMENTS
                                  --------------------

                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                   ------------------------------------------
                        A CALIFORNIA LIMITED PARTNERSHIP
                        --------------------------------

                          YEAR ENDED DECEMBER 31, 1999
                          ----------------------------


                                       9
<PAGE>


                    REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
                    ----------------------------------------


To the  Partners of Phoenix  Leasing  Cash  Distribution  Fund IV, a  California
limited partnership:

We  have  audited  the  accompanying  balance  sheet  of  Phoenix  Leasing  Cash
Distribution Fund IV, a California  limited  partnership as of December 31, 1999
and the related  statements of operations and  comprehensive  income,  partners'
capital and cash flows for the years  ended  December  31, 1999 and 1998.  These
financial statements are the responsibility of the Partnership's management. Our
responsibility  is to express an opinion on these financial  statements based on
our audits.

We  conducted  our  audits  in  accordance  with  generally   accepted  auditing
standards.  Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement.  An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements.  An audit also includes
assessing the  accounting  principles  used and  significant  estimates  made by
management,  as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.

In our opinion,  the financial  statements  referred to above present fairly, in
all  material   respects,   the  financial  position  of  Phoenix  Leasing  Cash
Distribution Fund IV, a California limited  partnership as of December 31, 1999,
and the  results  of its  operations  and its cash  flows  for the  years  ended
December 31, 1999 and 1998, in conformity  with  generally  accepted  accounting
principles.




San Francisco, California,                                   ARTHUR ANDERSEN LLP
  January 26, 2000



                                       10
<PAGE>

                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                        A CALIFORNIA LIMITED PARTNERSHIP
                                  BALANCE SHEET
                 (Amounts in Thousands Except for Unit Amounts)

                                                              December 31, 1999
                                                              -----------------
ASSETS

Cash and cash equivalents                                          $ 7,732

Accounts receivable (net of allowance for losses
   on accounts receivable of $161)                                      95

Notes receivable (net of allowance for losses on
   notes receivable of $409)                                         2,060

Equipment on operating leases and held for lease
   (net of accumulated depreciation of $2,371)                           8

Net investment in financing leases (net of
   allowance for early terminations of $11)                          1,090

Capitalized acquisition fees (net of accumulated
   amortization of $10,811)                                            120

Other assets                                                           143
                                                                   -------

     Total Assets                                                  $11,248
                                                                   =======

LIABILITIES AND PARTNERS' CAPITAL

Liabilities:

   Accounts payable and accrued expenses                           $   846
                                                                   -------

     Total Liabilities                                                 846
                                                                   -------

Partners' Capital:

   General Partner                                                    --

   Limited Partners, 6,500,000 units authorized,
     6,492,727 units issued, 6,192,840 units outstanding            10,361

   Accumulated other comprehensive income                               41
                                                                   -------

     Total Partners' Capital                                        10,402
                                                                   -------

     Total Liabilities and Partners' Capital                       $11,248
                                                                   =======


        The accompanying notes are an integral part of these statements.

                                       11
<PAGE>

                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                        A CALIFORNIA LIMITED PARTNERSHIP
                STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
               (Amounts in Thousands Except for Per Unit Amounts)

                                                For the Years Ended December 31,
                                                       1999        1998
                                                       ----        ----
INCOME

   Rental income                                     $   624     $ 2,065
   Earned income, financing leases                       342       1,032
   Gain on sale of equipment                             135         154
   Gain on sale of securities                            620          37
   Interest income, notes receivable                     614         886
   Equity in earnings from joint ventures, net           213         308
   Other income                                          374         467
                                                     -------     -------

     Total Income                                      2,922       4,949
                                                     -------     -------

EXPENSES

   Depreciation                                          173         334
   Amortization of acquisition fees                      196         364
   Lease related operating expenses                       23          86
   Management fees to General Partner                    244         436
   Reimbursed administrative costs to General
     Partner                                             208         264
   Provision for (recovery of) losses on
     receivables                                        (549)        139
   Legal expenses                                        188         328
   General and administrative expenses                   147         175
                                                     -------     -------

     Total Expenses                                      630       2,126
                                                     -------     -------

NET INCOME                                             2,292       2,823

Other comprehensive income:
   Unrealized gains (losses) on securities:
     Unrealized holding gains arising during period      279         414
     Less:  reclassification adjustment for gains
       included in net income                           (620)        (37)
                                                     -------     -------

Other comprehensive income (loss)                       (341)        377
                                                     -------     -------

COMPREHENSIVE INCOME                                 $ 1,951     $ 3,200
                                                     =======     =======


NET INCOME PER LIMITED PARTNERSHIP UNIT              $   .32     $   .33
                                                     =======     =======

ALLOCATION OF NET INCOME:
   General Partner                                   $   326     $   784
   Limited Partners                                    1,966       2,039
                                                     -------     -------

                                                     $ 2,292     $ 2,823
                                                     =======     =======


        The accompanying notes are an integral part of these statements.

                                       12
<PAGE>

                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                        A CALIFORNIA LIMITED PARTNERSHIP
                         STATEMENTS OF PARTNERS' CAPITAL
                 (Amounts in Thousands Except for Unit Amounts)

<TABLE>
<CAPTION>

                                                                                     Accumulated
                                                General                                 Other
                                               Partner's      Limited Partners'     Comprehensive   Total
                                                Amount       Units        Amount       Income       Amount
                                                ------       -------------------    -------------   ------
<S>                                           <C>           <C>         <C>          <C>          <C>

Balance, December 31, 1997                    $     --      6,208,563   $   26,169   $        5   $   26,174

Distributions to partners ($2.28 per limited
   partnership unit)                                (784)        --        (14,121)        --        (14,905)

Redemptions of Capital                              --        (15,723)         (60)        --            (60)

Net income                                           784         --          2,039         --          2,823

Other comprehensive income                          --           --           --            377          377
                                              ----------   ----------   ----------   ----------   ----------

Balance, December 31, 1998                          --      6,192,840       14,027          382       14,409

Distributions to partners ($.91 per limited
   partnership unit)                                (326)        --         (5,632)        --         (5,958)

Net income                                           326         --          1,966         --          2,292

Other comprehensive income                          --           --           --           (341)        (341)
                                              ----------   ----------   ----------   ----------   ----------

Balance, December 31, 1999                    $     --      6,192,840   $   10,361   $       41   $   10,402
                                              ==========   ==========   ==========   ==========   ==========
</TABLE>

        The accompanying notes are an integral part of these statements.

                                       13
<PAGE>

                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                        A CALIFORNIA LIMITED PARTNERSHIP
                            STATEMENTS OF CASH FLOWS
                             (Amounts in Thousands)

                                                For the Years Ended December 31,
                                                         1999       1998
                                                         ----       ----
Operating Activities:
--------------------

   Net income                                         $  2,292   $  2,823

   Adjustments to reconcile net income to net cash
     provided by operating activities:
       Depreciation                                        173        334
       Amortization of acquisition fees                    196        364
       Gain on sale of equipment                          (135)      (154)
       Gain on sale of securities                         (620)       (37)
       Equity in earnings from joint ventures, net        (213)      (308)
       Provision for (recovery of) early
         termination, financing leases                    (586)        32
       Provision for losses on notes receivable             37        107
       Decrease in accounts receivable                      10        403
       Decrease in accounts payable and accrued
         expenses                                         (227)      (140)
       Decrease in other assets                             29         11
                                                      --------   --------

Net cash provided by operating activities                  956      3,435
                                                      --------   --------

Investing Activities:
--------------------

   Principal payments, financing leases                  2,704      5,858
   Principal payments, notes receivable                  1,921      2,383
   Proceeds from sale of equipment                         135        255
   Proceeds from sale of securities                        620         37
   Distributions from joint ventures                       477        661
   Payment of acquisition fees                            --           (5)
                                                      --------   --------

Net cash provided by investing activities                5,857      9,189
                                                      --------   --------

Financing Activities:
--------------------

   Redemptions of capital                                 --          (60)
   Distributions to partners                            (5,958)   (14,905)
                                                      --------   --------

Net cash used in financing activities                   (5,958)   (14,965)
                                                      --------   --------

Increase (decrease) in cash and cash equivalents           855     (2,341)

Cash and cash equivalents, beginning of period           6,877      9,218
                                                      --------   --------

Cash and cash equivalents, end of period              $  7,732   $  6,877
                                                      ========   ========

        The accompanying notes are an integral part of these statements.

                                       14
<PAGE>

                   PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                        A CALIFORNIA LIMITED PARTNERSHIP

                          NOTES TO FINANCIAL STATEMENTS

                                DECEMBER 31, 1999


Note 1.       Organization and Partnership Matters.
              ------------------------------------

         Phoenix  Leasing  Cash  Distribution  Fund  IV,  a  California  limited
partnership (the Partnership), was formed on July 14, 1989, to invest in capital
equipment  of various  types and to lease  such  equipment  to third  parties on
either a long-term or short-term basis and provide  financing to emerging growth
companies and cable television system operators. The Partnership met its minimum
investment requirements on January 12, 1990. The Partnership's  termination date
is December 31, 2000.

         The  Partnership  has also  made  investments  in joint  ventures  with
affiliated  partnerships  managed  by the  General  Partner  for the  purpose of
reducing the risks of financing or acquiring certain capital equipment leased to
third parties (see Note 6).

         On  December  23,  1994,  the  Partnership   foreclosed  upon  a  cable
television  system in  Arizona  that was in  default  on a loan  payable  to the
Partnership with a carrying amount of  approximately  $885,000 which was carried
over to the basis in the cable system.  Phoenix Westcom  Cablevision,  Inc. (the
Subsidiary), a wholly owned subsidiary of the Partnership,  was formed under the
laws of  Nevada  on  August 5,  1994 to own and  operate  the  foreclosed  cable
television  system.  Phoenix  Westcom  Cablevision,   Inc.  was  a  wholly-owned
subsidiary of the Partnership  (hereinafter,  the Partnership and the Subsidiary
are collectively referred to as the Consolidated  Partnership).  The acquisition
of Westcom  Cablevision by the Subsidiary through  foreclosure was accounted for
using the "purchase method" of accounting in which the net carrying value of the
loan was allocated to the net assets in accordance with the relative fair market
value of the assets acquired and liabilities assumed.

         On October 23, 1996, Phoenix Westcom Cablevision,  Inc. sold the assets
used in the operation of the cable  television  system receiving net proceeds of
approximately  $735,000,  recognizing a loss on sale of the assets of this cable
television  system of $64,000.  As a result of the sale of the cable  television
system's assets, the Subsidiary ceased operations.

         For financial reporting purposes, Partnership income shall be allocated
as  follows:  (a)  first,  to the  General  Partner  equal to the  excess of the
cumulative  distributions  over the cumulative  profits allocated to the General
Partner for all prior accounting periods, (b) second, one percent to the General
Partner and 99% to the Limited Partners until the cumulative income so allocated
is equal to any cumulative  Partnership  loss and  syndication  expenses for the
current and all prior accounting  periods,  and (c) the balance,  if any, to the
Limited Partners.  All Partnership  losses shall be allocated one percent to the
General Partner and 99% to the Limited Partners.

         The General  Partner is entitled  to receive  five  percent of all cash
distributions  until the Limited  Partners have recovered  their initial capital
contributions plus a cumulative return of twelve percent per annum.  Thereafter,
the General Partner will receive 15% of all cash  distributions.  From inception
of the Partnership  until December 31, 1996, the General  Partner's  interest in
Cash Available for  Distribution  was subordinated in any calendar quarter until
the Limited Partners received quarterly  distributions equal to three percent of
their  Capital  Contributions  (i.e.,  12% per annum),  prorated for any partial
period.

         In the event the General  Partner has a deficit  balance in its capital
account  at the  time  of  Partnership  liquidation,  it  will  be  required  to
contribute the amount of such deficit to the Partnership.

         As compensation for management services subject to certain limitations,
the General Partner  receives a fee,  payable  quarterly,  in an amount equal to
3.5% of the Partnership's gross revenues for the quarter from which such payment
is being made,  which  revenues  shall  include,  but are not limited to, rental
receipts,  maintenance  fees,  proceeds  from the sale of equipment and interest
income.

         The General  Partner  will be  compensated  for  services  performed in
connection  with the  analysis  of  assets  available  to the  Partnership,  the
selection  of such  assets  and the  acquisition  thereof,  including  obtaining
lessees for the equipment,  negotiating and concluding  master lease  agreements
with certain lessees. As compensation for such acquisition services, the General

                                       15
<PAGE>

Partner  will  receive  a  fee  equal  to  four  percent,   subject  to  certain
limitations,  of (a) the purchase price of equipment acquired by the Partnership
or equipment leased by manufacturers, the financing for which is provided by the
Partnership,  or (b) financing  provided to businesses such as cable  operators,
emerging growth companies, or other businesses, payable upon such acquisition or
financing,  as the case may be.  Acquisition fees are amortized over the life of
the assets principally on a straight-line basis.

         Phoenix  Cable  Management  Inc.  (PCMI),  an  affiliate of the General
Partner,  provided  day  to day  management  services  in  connection  with  the
operation of the Subsidiary.  The Subsidiary paid a management fee equal to four
and one-half  percent of the System's  monthly gross revenue for these services.
Revenues subject to a management fee at the Subsidiary level were not subject to
management fees at the Partnership level.

         A schedule of compensation  due and  distributions  made to the General
Partner and affiliate for the years ended December 31, follows:

                                                 1999         1998
                                                 ----         ----
                                              (Amounts in Thousands)

              Management fees                   $  244      $  436
              Cash distributions                   326         784
                                                ------      ------

                     Total                      $  570      $1,220
                                                ======      ======

         Redemptions  of Limited  Partner  units will only be made to the extent
permitted by applicable laws and regulations,  the Partnership Agreement and if,
in the  opinion  of the  General  Partner,  it is in the  best  interest  of the
Partnership. In addition, redemptions will not be made if such redemptions would
cause the  Partnership to be categorized as a publicly  traded  partnership  for
federal income tax purposes. As provided for by the Partnership  Agreement,  the
General  Partner has  determined  to  exercise  its  discretion  that no further
redemptions in the Partnership will be permitted after March 31, 1998.

         The  Partnership  will acquire such  limited  partnership  units for an
amount  equal to 85% of the  "accrual  basis  capital  account"  relating to the
redeemed units.  The  Partnership  will retain the remaining 15% of the "accrual
basis capital account" relating to the redeemed units.  Redemptions  retained by
the Partnership  were $0 and $9,000 during the years ended December 31, 1999 and
1998,  respectively.  "Accrual basis capital  account" is computed in accordance
with the books and records regularly maintained by the Partnership for financial
reporting purposes, utilizing the accrual method of accounting.


Note 2.       Summary of Significant Accounting Policies.
              ------------------------------------------

         Leasing  Operations.  The Partnership's  leasing  operations consist of
both  financing and operating  leases.  The financing  method of accounting  for
leases records as unearned  income at the inception of the lease,  the excess of
net rentals  receivable  and  estimated  residual  value at the end of the lease
term, over the cost of equipment  leased.  Unearned income is credited to income
monthly  over  the  term  of the  lease  on a  declining  basis  to  provide  an
approximate  level  rate of return on the  unrecovered  cost of the  investment.
Initial direct costs of consummating  new leases are capitalized and included in
the cost of equipment.  The Partnership  reviews its estimates of residual value
at least  annually.  If a decline  in value  has  occurred  which is other  than
temporary, a reduction in the investment is recognized currently.

         Under the  operating  method  of  accounting  for  leases,  the  leased
equipment  is recorded as an asset at cost and  depreciated.  The  Partnership's
leased  equipment is depreciated  primarily  using an  accelerated  depreciation
method over the estimated useful life of six years.

         The  Partnership's  policy  is  to  review  periodically  the  expected
economic life of its rental  equipment in order to determine the  probability of
recovering its  undepreciated  cost. Such reviews  address,  among other things,
recent and anticipated  technological  developments affecting computer equipment
and competitive  factors within the computer  marketplace.  Where reviews of the
equipment  portfolio  indicate that rentals plus anticipated sales proceeds will
not  exceed  expenses  in  any  future  period,  the  Partnership   revises  its
depreciation policy and may provide additional depreciation as appropriate. As a
result  of  such  periodic   reviews,   the  Partnership   provided   additional
depreciation  expense of $0 and  $31,000  ($0 and $.01 per  limited  partnership
unit) for the years ended December 31, 1999 and 1998, respectively.

                                       16
<PAGE>


         Rental income for the year is determined  on a  straight-line  basis of
rental  payments  due for the period  under the term of the lease.  Maintenance,
repairs and minor renewals of the leased equipment are charged to expense.

         Cash and Cash Equivalents.  Cash and cash equivalents  include deposits
at banks,  investments in money market funds and other highly liquid  short-term
investments with original maturities of less than 90 days.

         Credit  and  Collateral.   The   Partnership's   activities  have  been
concentrated  in  the  equipment  leasing  and  financing  industry.   A  credit
evaluation  is performed  by the General  Partner for all leases and loans made,
with  the  collateral  requirements  determined  on a  case-by-case  basis.  The
Partnership's  loans are generally  secured by the equipment or assets  financed
and, in some cases,  other collateral of the borrower.  In the event of default,
the  Partnership  has the right to foreclose upon the collateral  used to secure
such loans.

         Notes  Receivable.  Notes  receivable  generally  are  stated  at their
outstanding unpaid principal balances, which includes accrued interest. Interest
income is accrued on the unpaid principal balance.

         Impaired Notes Receivable.  Generally,  notes receivable are classified
as impaired and the accrual of interest on such notes is  discontinued  when the
contractual  payment of  principal  or  interest  has become 90 days past due or
management has serious doubts about further  collectibility  of the  contractual
payments,  even  though  the  loan  may  currently  be  performing.  When a note
receivable is classified as impaired,  income  recognition is discontinued.  Any
payments received subsequent to the placement of the note receivable to impaired
status will generally be applied towards the reduction of the  outstanding  note
receivable  balance,  which may include  previously  accrued interest as well as
principal.  Once the principal and accrued  interest balance has been reduced to
zero,  the  remaining  payments will be applied to interest  income.  Generally,
notes  receivable  are restored to accrual status when the obligation is brought
current, has performed in accordance with the contractual terms for a reasonable
period  of  time  and  the  ultimate  collectibility  of the  total  contractual
principal and interest is no longer in doubt.

         Allowance for Losses.  An allowance for losses is  established  through
provisions for losses charged  against  income.  Notes  receivable  deemed to be
uncollectible  are charged  against the  allowance  for losses,  and  subsequent
recoveries, if any, are credited to the allowance.

         Investments in Joint  Ventures.  Minority  investments in net assets of
the equipment, financing and foreclosed cable systems joint ventures reflect the
Partnership's  equity  basis  in  the  ventures.  Under  the  equity  method  of
accounting,  the  original  investment  is  recorded  at  cost  and is  adjusted
periodically  to recognize the  Partnership's  share of earnings,  losses,  cash
contributions and cash distributions after the date of acquisition.

         Investment  in  Available-for-Sale   Securities.  The  Partnership  has
investments in stock warrants in public  companies that have been  determined to
be available for sale.  Available-for-sale  securities  are stated at their fair
market value,  with unrealized gains and losses reported as other  comprehensive
income.

         Reclassification.  Certain  1998  amounts  have  been  reclassified  to
conform to the 1999 presentation.

         Use of Estimates. The preparation of financial statements in conformity
with  generally  accepted  accounting  principles  requires  management  to make
estimates  and  assumptions  that affect the amounts  reported in the  financial
statements  and  accompanying  notes.  Actual  results  could  differ from those
estimates.

         Comprehensive  Income.  As of January 1, 1998, the Partnership  adopted
Statement of Financial  Accounting  Standards No. 130, "Reporting  Comprehensive
Income" (SFAS 130). This statement  establishes  standards for the reporting and
display of comprehensive income and its components in the financial  statements.
For the  Partnership,  comprehensive  income includes net income reported on the
statement of operations and changes in the fair value of its  available-for-sale
investments reported as a component of partners' capital.

                                       17
<PAGE>



Note 3.       Accounts Receivable.
              -------------------

       Accounts receivable consist of the following at December 31:

                                                                   1999
                                                                   ----
                                                          (Amounts in Thousands)

         Lease payments                                            $244
         Other                                                        8
         Reimbursement for property taxes                             4
                                                                   ----
                                                                    256
         Less:  allowance for losses on accounts receivable         161
                                                                   ----
              Total                                                $ 95
                                                                   ====


Note 4.       Notes Receivable.
              ----------------

         Notes receivable consist of the following at December 31:

                                                                  1999
                                                                  ----
                                                          (Amounts in Thousands)

         Note receivable from other businesses with stated
              interest ranging from 10% to 24% per annum,
              receivable in installments ranging from
              35 to 85 months, collateralized by the
              equipment financed                                $ 1,710

         Notes receivable from emerging growth companies,
              with stated interest ranging from 15% to 19%
              per annum, receivable  in  installments
              ranging from 42 to 43 months, collateralized by
              a security interest in the equipment financed         759
                                                                -------
                                                                  2,469

         Less:  allowance for losses on notes receivable           (409)
                                                                -------

         Total                                                  $ 2,060
                                                                =======

         Minimum payments to be received on non-cancelable  notes receivable for
the years ended December 31, are as follows:

                                                          (Amounts in Thousands)

         2000...............................................     $ 1,524
         2001...............................................         653
         2002...............................................         337
         2003...............................................         125
         2004...............................................          31
                                                                 -------

         Total minimum payments to be received..............       2,670
         Impaired notes receivable..........................         190
         Less:  unearned interest...........................        (391)
         Less:  allowance for losses........................        (409)
                                                                 -------

         Net investment in notes receivable.................     $ 2,060
                                                                 =======


         The Partnership's notes receivable to cable television system operators
provide  for a  monthly  payment  rate  in an  amount  that  is  less  than  the
contractual  interest  rate.  The  difference  between the payment  rate and the
contractual interest rate is added to the principal and therefore deferred until
the maturity date of the note. Upon maturity of the note, the original principal
and  deferred  interest is due and  payable in full.  Although  the  contractual
interest  rates may be higher,  the amount of interest  being  recognized on the

                                       18
<PAGE>

Partnership's  outstanding notes receivable to cable television system operators
is being limited to the amount of the payments  received,  thereby deferring the
recognition of a portion of the deferred interest until the loan is paid off.

         At  December  31,  1999,  the  recorded  investment  in notes  that are
considered to be impaired was $190,000, net of specific write-downs. The average
recorded  investment in impaired  loans during the year ended  December 31, 1999
and 1998 was $343,000  and 256,000,  respectively.  The  Partnership  recognized
$24,000 and $25,000 of interest income on impaired notes  receivable  during the
years ended December 31, 1999 and 1998, respectively.

         The activity in the allowance for losses on notes receivable during the
years ended December 31, is as follows:

                                                    1999         1998
                                                    ----         ----
                                                 (Amounts in Thousands)

         Beginning balance                        $ 2,375       $ 2,268
              Provision for losses                     37           107
              Write downs                          (2,003)         --
                                                  -------       -------
         Ending balance                           $   409       $ 2,375
                                                  =======       =======


Note 5.       Equipment on Operating Leases and Investment in Financing Leases.
              ----------------------------------------------------------------

         Equipment on lease  consists  primarily of computer  peripheral,  small
computers and other capital equipment.

         The  Partnership's  operating  leases are for  initial  lease  terms of
approximately 24 to 48 months.  During the remaining terms of existing operating
leases,  the  Partnership  will not  recover all of the  undepreciated  cost and
related expenses of its rental equipment,  and therefore must remarket a portion
of its equipment in future years.

         The  Partnership  has  entered  into  direct  lease  arrangements  with
businesses  in  different  industries  located  throughout  the  United  States.
Generally,  it is the  responsibility  of the lessee to provide  maintenance  on
leased  equipment.  The General Partner  administers the equipment  portfolio of
leases acquired through the direct leasing program.  Administration includes the
collection of rents from the lessees and remarketing of the equipment.

         The net  investment  in financing  leases  consists of the following at
December 31:

                                                                1999
                                                                ----
                                                        (Amounts in Thousands)

         Minimum lease payments to be received                 $ 1,188
         Less:  unearned income                                    (87)
                allowance for early termination                    (11)
                                                               -------
         Net investment in financing leases                    $ 1,090
                                                               =======

         Minimum  rentals  to  be  received  on  noncancellable   operating  and
financing leases for the years ended December 31 are as follows:

                                                       Operating    Financing
                                                       ---------    ---------
                                                       (Amounts in Thousands)

         2000....................................       $   53       $  995
         2001....................................           13          162
         2002....................................           11           31
         2003....................................            7          -
                                                        ------       ------

         Total                                          $   84       $1,188
                                                        ======       ======

         The net book value of  equipment  held for lease at  December  31, 1999
amounted to $8,000.


                                       19
<PAGE>


Note 6.       Investment in Joint Ventures.
              ----------------------------

Equipment Joint Venture.
-----------------------

         On August 1, 1994, the Partnership entered into an agreement along with
two other affiliated  partnerships to contribute certain leased assets and notes
receivable (the "Assets") to Phoenix  Acceptance  Limited Liability  Company,  a
Delaware  limited  liability  company  (the "Joint  Venture")  in exchange for a
44.97% equity interest in the Joint Venture.  The interest received in the Joint
Venture  was  accounted  for  at  the  historical   cost  basis  of  the  Assets
transferred.  The Partnership has accounted for its net investment in this Joint
Venture using the equity method of  accounting.  The Joint Venture was organized
to hold title to the assets and subsequently transfer such assets to a trust for
the purpose of the trust  issuing two classes of lease  backed  certificates  to
third parties in exchange for cash proceeds.  The transaction  between the Joint
Venture and the trust has been  accounted  for as a financing  arrangement.  The
Joint Venture retains a residual interest in the assets transferred  through the
ownership of a third class of subordinated trust certificates.  The lease backed
certificates  are  recourse  only  to  the  assets  used  to  collateralize  the
obligation.

         The net carrying value of such assets contributed by the Partnership to
the Joint Venture was  approximately  $11.2 million and the total carrying value
of all of the assets  contributed by all three  partnerships  approximated $24.7
million. The net proceeds from the issuance of the lease backed certificates are
being distributed back to the partnerships who contributed to the Joint Venture.
On August 5, 1994, the Joint Venture received  proceeds from the issuance of the
7.10%  Class A lease  backed  certificates  in the  principal  amount  of  $18.5
million.  On August 12,  1994,  the Joint  Venture  received  proceeds  from the
issuance of the 8.25% Class B lease backed  certificates in the principal amount
of $5.3  million.  The lease backed  certificates  were paid in full in November
1996.

         An analysis of the  Partnership's  investment  in the  Equipment  Joint
Venture is as follows:

                                                                         Net
                 Net Investment                                       Investment
                  at Beginning                Equity in                at End
Date               of Period    Contributions Earnings  Distributions of Period
----             -------------- ------------- --------- ------------- ---------
                                      (Amounts in Thousands)


Year Ended
  December 31, 1998   $255       $  --          $320        $545        $ 30
                      ====       =======        ====        ====        ====

Year Ended
  December 31, 1999   $ 30       $  --          $231        $198        $ 63
                      ====       =======        ====        ====        ====

         The aggregate  financial  information of the Equipment Joint Venture is
presented as follows:

                                                          December 31,
                                                             1999
                                                             ----
                                                    (Amounts in Thousands)

         Assets                                              $177
         Liabilities                                           35
         Partners' Capital                                    142

                                                For the Years Ended December 31,
                                                  1999                  1998
                                                  ----                  ----
                                                    (Amounts in Thousands)

         Revenue                                     $586          $766
         Expenses                                      72            59
         Net Income                                   514           707


                                       20
<PAGE>

         The General Partner earns a management fee of 3.5% of the Partnership's
respective  interest in gross  revenues of the  Equipment  Joint  Venture.  Cash
proceeds  subject to a management fee at the joint venture level are not subject
to management fees at the Partnership level.

Financing Joint Venture.
-----------------------

         The Partnership owned a 25% interest in Phoenix Joint Venture 1994-2, a
Financing  Joint  Venture.  This joint  ventures was closed  during  1999.  This
investment  was accounted for using the equity method of  accounting.  The other
partners  of the  venture  were  entities  organized  and managed by the General
Partner.

         An analysis of the  Partnership's  investment  account in the Financing
Joint Venture is as follows:

                                                                         Net
                 Net Investment               Equity in               Investment
                  at Beginning                Earnings                 at End
Date               of Period    Contributions (Losses)  Distributions of Period
----             -------------- ------------- --------- ------------- ---------
                                      (Amounts in Thousands)

Year Ended
  December 31, 1998  $   169       $  -         $ 13         $ 83       $   99
                     =======       ======       ====         ====       ======

Year Ended
  December 31, 1999  $    99       $  -         $(39)        $ 60       $  -
                     =======       ======       ====         ====       ======

         The aggregate  financial  information of the Financing Joint Venture is
presented as follows:

                                              For the Years Ended December 31,
                                                    1999           1998
                                                    ----           ----
                                                  (Amounts in Thousands)

         Revenue                                    $   2         $  85
         Expenses                                     155            17
         Net Income (Loss)                           (153)           68

         The  General   Partner   earned  a  management   fee  of  3.5%  of  the
Partnership's  respective  interest in gross payments received for the Financing
Joint Venture.  Revenues  subject to a management fee at the joint venture level
were not subject to management fees at the Partnership level.

Foreclosed Cable Systems Joint Ventures.
---------------------------------------

         The  Partnership  owned an interest in  foreclosed  cable systems joint
ventures along with other  partnerships  managed by the General  Partner and its
affiliates.  The Partnership  foreclosed upon  nonperforming  outstanding  notes
receivable to cable  television  operators to whom the  Partnership,  along with
other  affiliated  partnerships  managed by the General  Partner,  had  extended
credit.  The partnerships'  notes receivable were exchanged for interests (their
capital contribution), on a pro rata basis, in newly formed joint ventures owned
by the  partnerships  and  managed by the  General  Partner.  Title to the cable
television  systems  was held by the  joint  ventures.  These  investments  were
accounted for using the equity method of accounting.

                                                             Weighted
               Joint Venture                            Percentage Interest
               -------------                            -------------------

         Phoenix Independence Cable, LLC (1)                   43.69%
         Phoenix Pacific Northwest Cable J.V. (2)              37.22

(1) Cable system sold and joint venture closed in 1998.
(2) Cable system sold and joint venture closed in 1999.

                                       21
<PAGE>
                                                                         Net
                 Net Investment               Equity in               Investment
                  at Beginning                Earnings                 at End
Date               of Period    Contributions (Losses)  Distributions of Period
----             -------------- ------------- --------- ------------- ---------
                                      (Amounts in Thousands)

Year Ended
  December 31, 1998  $   256       $  -        $    (25)   $   33      $   198
                     =======       ======      ========    ======      =======

Year Ended
  December 31, 1999  $   198       $  -        $     21    $  219      $   -
                     =======       ======      ========    ======      =======

         The aggregate  combined  financial  information of the foreclosed cable
systems joint ventures is presented as follows:

                                              For the Years Ended December 31,
                                                    1999         1998
                                                    ----         ----
                                                  (Amounts in Thousands)

         Revenue                                    $ 245        $ 284
         Expenses                                     187          342
         Net Income (Loss)                             58          (58)

         Phoenix  Cable  Management  Inc.  (PCMI),  an  affiliate of the General
Partner,  provided  day  to day  management  services  in  connection  with  the
operation of the foreclosed  cable systems joint ventures.  The foreclosed cable
systems joint ventures paid a management fee equal to four and one-half  percent
of the System's monthly gross revenue for these services.  Revenues subject to a
management fee at the joint venture level were not subject to management fees at
the Partnership level.


Note 7.       Accounts Payable and Accrued Expenses.
              -------------------------------------

         Accounts  payable  and accrued  expenses  consist of the  following  at
December 31:

                                                                   1999
                                                                   ----
                                                          (Amounts in Thousands)

         Equipment lease operations                                $490
         Other                                                      134
         Sales Tax                                                   96
         Security deposits                                           66
         General Partner and affiliates                              60
                                                                   ----
                                                                   $846
                                                                   ====


Note 8.       Income Taxes.
              ------------

         Federal  and state  income tax  regulations  provide  that taxes on the
income  or loss of the  Partnership  are  reportable  by the  partners  in their
individual income tax returns. Accordingly, no provision for such taxes has been
made in the accompanying financial statements.

         The net differences  between the tax basis and the reported  amounts of
the Partnership's assets and liabilities is as follows at December 31, 1999:

                              Reported Amounts  Tax Basis  Net Difference
                              ----------------  ---------  --------------
                                         (Amounts in Thousands)

         Assets                    $11,248       $12,427      $(1,179)
         Liabilities                   846           401          445


                                       22
<PAGE>

Note 9.       Related Entities.
              ----------------

         The General  Partner and  affiliates  serve in the  capacity of general
partner in other partnerships, all of which are engaged in the equipment leasing
and financing business.


Note 10.      Reimbursed Costs to the General Partner.
              ---------------------------------------

         The General Partner incurs certain  administrative  costs, such as data
processing,   investor   and  lessee   communications,   lease   administration,
accounting,  equipment  storage  and  equipment  remarketing,  for  which  it is
reimbursed by the  Partnership.  These expenses  incurred by the General Partner
are to be  reimbursed at the lower of the actual costs or an amount equal to 90%
of the fair market value for such services.

         The  reimbursed  administrative  costs  to  the  General  Partner  were
$208,000  and  $264,000  for  the  years  ended  December  31,  1999  and  1998,
respectively.  The equipment  storage,  remarketing  and data  processing  costs
reimbursed to the General  Partner  during the years ended December 31, 1999 and
1998 were $31,000 and $83,000 respectively.


Note 11.      Net Income (Loss) and Distributions per Limited Partnership Unit.
              ----------------------------------------------------------------

         Net income and distributions per limited partnership unit were based on
the limited  partner's share of net income and  distributions,  and the weighted
average  number of units  outstanding  of 6,192,840  and 6,195,597 for the years
ended December 31, 1999 and 1998,  respectively.  For the purposes of allocating
income  (loss)  and  distributions  to  each  individual  limited  partner,  the
Partnership  allocates  net  income  (loss)  and  distributions  based upon each
respective limited partner's net capital contributions.


Note 12.      Fair Value of Financial Instruments.
              -----------------------------------

         The carrying  amounts  reported on the balance  sheet for cash and cash
equivalents,  available-for-sale  securities  and notes  receivable  approximate
their fair values.


Note 13.      Legal Proceedings.
              -----------------

         On October 28, 1997, a Class Action  Complaint  (the  "Complaint")  was
filed against Phoenix Leasing Inc., Phoenix Leasing Associates, II and III L.P.,
Phoenix   Securities  Inc.  and  Phoenix  American  Inc.  (the  "Companies")  in
California  Superior Court for the County of Sacramento by eleven individuals on
behalf of investors in Phoenix Leasing Cash Distribution  Funds I through V (the
"Partnerships").  The  Companies  were served with the  Complaint on December 9,
1997. The Complaint sought  declaratory and other relief  including  accounting,
receivership,  imposition of  constructive  trust and judicial  dissolution  and
winding up of the Partnerships,  and damages based on fraud, breach of fiduciary
duty and  breach  of  contract  by the  Companies  as  general  partners  of the
Partnerships.

         Plaintiffs  severed  one cause of action  from the  Complaint,  a claim
related to the marketing and sale of CDF V, and  transferred  it to Marin County
Superior  Court (the "Marin  Action").  Plaintiffs  then dismissed the remaining
claims in  Sacramento  Superior  Court and re-filed  them in a separate  lawsuit
making similar allegations (the "Sacramento Action").

         Plaintiffs have amended the Marin Action twice. Defendants have not yet
answered the Complaint and may file a demurrer to dismiss the claims.  Discovery
has not commenced. The Companies intend to vigorously defend the Complaint.

         In February  1999,  plaintiffs  requested a transfer of the  Sacramento
Action  to  Marin  County.  The  Court  granted  that  request,  and the case is
currently  in  transit.  Defendants  have not yet  responded  to the  Complaint.
Discovery  has not  commenced.  The Companies  intend to  vigorously  defend the
Complaint.

         During the year  ended  December  31,  1999 and 1998,  the  Partnership
recorded legal expenses of approximately $20,000 and $130,000,  respectively, in
connection with the above litigation as indemnification to the General Partner.

                                       23
<PAGE>


         The  Partnership  is not a party to any legal  proceedings  which would
have a material adverse impact on its financial position.



                                       24
<PAGE>


Item 8.       Disagreements on Accounting and Financial Disclosure Matters.
              ------------------------------------------------------------

         None.


                                    PART III

Item 9.       Directors and Executive Officers of the Registrant.
              --------------------------------------------------

         The  registrant  is  a  limited  partnership  and,  therefore,  has  no
executive  officers or  directors.  The  general  partner of the  registrant  is
Phoenix  Leasing  Incorporated,  a California  corporation.  The  directors  and
executive officers of Phoenix Leasing Incorporated (PLI) are as follows:

         GUS CONSTANTIN,  age 62, is President,  Chief  Executive  Officer and a
Director of PLI. Mr.  Constantin  received a B.S. degree in Engineering from the
University of Michigan and a Master's Degree in Management Science from Columbia
University.  From 1969 to 1972,  he served as Director,  Computer and  Technical
Equipment of DCL Incorporated  (formerly Diebold Computer Leasing Incorporated),
a  corporation  formerly  listed on the  American  Stock  Exchange,  and as Vice
President  and  General  Manager  of DCL  Capital  Corporation,  a  wholly-owned
subsidiary of DCL Incorporated. Mr. Constantin was actively engaged in marketing
manufacturer  leasing programs to computer and medical  equipment  manufacturers
and in directing DCL Incorporated's IBM System/370 marketing  activities.  Prior
to  1969,  Mr.  Constantin  was  employed  by IBM as a data  processing  systems
engineer for four years. Mr. Constantin is an individual general partner in four
active partnerships and is an NASD registered  principal.  Mr. Constantin is the
founder of PLI and the  beneficial  owner of all of the common  stock of Phoenix
American Incorporated.

         GARY W. MARTINEZ, age 49, is Executive Vice President,  Chief Operating
Officer and a Director of PLI. He has been  associated  with PLI since 1976.  He
manages the Asset Management Department, which is responsible for lease and loan
portfolio   management.   This  includes   credit   analysis,   contract  terms,
documentation  and  funding;  remittance  application,   change  processing  and
maintenance  of customer  accounts;  customer  service,  invoicing,  collection,
settlements and litigation;  negotiating lease renewals,  extensions,  sales and
buyouts; and management information  reporting.  From 1973 to 1976, Mr. Martinez
was a Loan Officer with Crocker National Bank, San Francisco.  Prior to 1973, he
was an Area Manager with Pennsylvania Life Insurance Company.  Mr. Martinez is a
graduate of California State University, Chico.

         HOWARD SOLOVEI, age 38, is the Chief Financial Officer, Treasurer and a
Director  of PLI.  He has been  associated  with PLI  since  1984.  Mr.  Solovei
oversees  the  Finance  Department.  He  is  responsible  for  the  structuring,
planning,  and monitoring of the  partnerships  sponsored by the General Partner
and its  affiliates,  as well as  maintaining  the  banking  relationships.  Mr.
Solovei graduated with a B.S. in Business  Administration from the University of
California, Berkeley.

         Neither the General  Partner nor any  Executive  Officer of the General
Partner has any family relationship with the others.

         Phoenix  Leasing  Incorporated  or its  affiliates  and  the  executive
officers of the General  Partner  serve in a similar  capacity to the  following
affiliated limited partnerships:

              Phoenix Leasing American Business Fund, L.P.
              Phoenix Leasing Cash Distribution Fund V, L.P. and
              Phoenix Income Fund, L.P.


                                       25
<PAGE>

Disclosure Pursuant to Section 16, Item 405 of Regulation S-K:

         The General  Partner (and any corporate  general partner of the General
Partner) of the  Registrant,  and the executive  officers of the General Partner
(or any corporate  general  partner of the General  Partner) of the  Registrant,
file reports  pursuant to Section 16(a) of the Securities  Exchange Act of 1934,
as amended.  Based solely on the Registrant's review of the copies of such forms
received by the Registrant,  the Registrant believes that, during 1998, all such
required reports were filed on a timely basis.

Certain Legal Proceedings.

         On October 28, 1997, a Class Action  Complaint  (the  "Complaint")  was
filed against Phoenix Leasing Inc., Phoenix Leasing Associates, II and III L.P.,
Phoenix   Securities  Inc.  and  Phoenix  American  Inc.  (the  "Companies")  in
California  Superior Court for the County of Sacramento by eleven individuals on
behalf of investors in Phoenix Leasing Cash Distribution  Funds I through V (the
"Partnerships").  The  Companies  were served with the  Complaint on December 9,
1997. The Complaint sought  declaratory and other relief  including  accounting,
receivership,  imposition of  constructive  trust and judicial  dissolution  and
winding up of the Partnerships,  and damages based on fraud, breach of fiduciary
duty and  breach  of  contract  by the  Companies  as  general  partners  of the
Partnerships.

         Plaintiffs  severed  one cause of action  from the  Complaint,  a claim
related to the marketing and sale of CDF V, and  transferred  it to Marin County
Superior  Court (the "Marin  Action").  Plaintiffs  then dismissed the remaining
claims in  Sacramento  Superior  Court and re-filed  them in a separate  lawsuit
making similar allegations (the "Sacramento Action").

         Plaintiffs have amended the Marin Action twice. Defendants have not yet
answered the Complaint and may file a demurrer to dismiss the claims.  Discovery
has not commenced. The Companies intend to vigorously defend the Complaint.

         In February  1999,  plaintiffs  requested a transfer of the  Sacramento
Action  to  Marin  County.  The  Court  granted  that  request,  and the case is
currently  in  transit.  Defendants  have not yet  responded  to the  Complaint.
Discovery  has not  commenced.  The Companies  intend to  vigorously  defend the
Complaint.


Item 10.      Executive Compensation.
              ----------------------

         Set forth is the information  relating to all direct  remuneration paid
or accrued by the Registrant during the last year to the General Partner and its
affiliate.

<TABLE>
<CAPTION>


        (A)                (B)                                 (C)                               (D)

                                                         Cash and cash-                    Aggregate of
Name of Individual    Capacities in                      equivalent forms                  contingent forms
or persons in group   which served                       of remuneration                   of remuneration
-------------------   -------------        -------------------------------------------     ----------------
                                                  (C1)                        (C2)
                                                                    Securities or property
                                      Salaries, fees, directors'    insurance benefits or
                                      fees, commissions, and        reimbursement, personal
                                      bonuses                       benefits
                                      -------------------------     -----------------------
                                                    (Amounts in Thousands)
<S>                   <C>                     <C>                         <C>                 <C>
Phoenix Leasing
  Incorporated        General Partner         $   244                     $   0               $   0
                                              =======                     =====               =====

<FN>

(1)  consists of management fees.
</FN>

</TABLE>


                                       26
<PAGE>

Item 11.      Security Ownership of Certain Beneficial Owners and Management.
              --------------------------------------------------------------

         (a)  No person  owns of record,  or is known by the  Registrant  to own
              beneficially,  more  than  five  percent  of any  class of  voting
              securities of the Registrant.

         (b)  The General Partner of the Registrant  owns the equity  securities
              of the Registrant set forth in the following table:

          (1)                           (2)                             (3)
    Title of Class         Amount Beneficially Owned            Percent of Class
    --------------         -------------------------            ----------------
General Partner Interest   Represents a 5% interest in the              100%
                           Registrant's profits and
                           distributions, until the Limited
                           Partners have recovered their
                           capital contributions plus a
                           cumulative return of 12% per annum,
                           compounded quarterly, on the
                           unrecovered portion thereof.
                           Thereafter, the General Partner
                           will receive 15% interest in the
                           Registrant's profits and distributions.

Limited Partner Interest   1,100 units                                  .02


Item 12.      Certain Relationships and Related Transactions.
              ----------------------------------------------

         None.

                                     PART IV

Item 13.      Exhibits, Financial Statement Schedules, and Reports on Form 8-K.
              ----------------------------------------------------------------

                                                                      Page No.
                                                                      --------

(a)      1.   Financial Statements:

              Balance Sheet as of December 31, 1999                      11
              Statements of Operations and Comprehensive
                Income for the Years Ended December 31, 1999
                and 1998                                                 12
              Statements of Partners' Capital for the Years
                Ended December 31, 1999 and 1998                         13
              Statements of Cash Flows for the Years Ended
                December 31, 1999 and 1998                               14
              Notes to Financial Statements                         15 - 24

         All other schedules are omitted because they are not applicable, or not
required,  or because the  required  information  is  included in the  financial
statements or notes thereto.

(b)      Reports on Form 8-K:

         No reports on Form 8-K were filed for the quarter  ended  December  31,
         1999.

(c)      21.  Additional Exhibits.

              a) Balance Sheets of Phoenix Leasing Incorporated     E21 1-15

         27.  Financial Data Schedule


                                       27
<PAGE>


                                   SIGNATURES

         Pursuant to the  requirements  of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

                                      PHOENIX LEASING CASH DISTRIBUTION FUND IV,
                                           A CALIFORNIA LIMITED PARTNERSHIP
                                                      (Registrant)

                                      BY:  PHOENIX LEASING INCORPORATED,
                                           A CALIFORNIA CORPORATION
                                           GENERAL PARTNER

         Date: March 17, 2000         By:  /S/ GUS CONSTANTIN
               --------------              ----------------------------
                                           Gus Constantin, President

         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
this  report has been  signed  below by the  following  persons on behalf of the
Registrant and in the capacities and on the dates indicated.

    Signature                          Title                           Date
    ---------                          -----                           ----


/S/ GUS CONSTANTIN     President, Chief Executive Officer and a   March 17, 2000
---------------------  Director of Phoenix Leasing Incorporated,  --------------
(Gus Constantin)       General Partner



/S/ GARY W. MARTINEZ   Executive Vice President,                  March 17, 2000
---------------------  Chief Operating Officer and a Director of  --------------
(Gary W. Martinez)     Phoenix Leasing Incorporated
                       General Partner



/S/ HOWARD SOLOVEI     Chief Financial Officer,                   March 17, 2000
---------------------  Treasurer and a Director of                --------------
(Howard Solovei)       Phoenix Leasing Incorporated
                       General Partner


                                       28