ATLANTA, GA -- (Marketwire) -- 08/05/08 -- CompuCredit (NASDAQ: CCRT) reported a second
quarter 2008 GAAP net loss of $44.9 million, or $0.96 per fully diluted
common share, versus a second quarter 2007 GAAP net loss of $11.0 million,
or $0.23 per fully diluted common share. The second quarter 2008 GAAP net
loss from continuing operations was $42.8 million, or $0.91 per fully
diluted common share, as compared to a GAAP net loss of $6.6 million, or
$0.14 per fully diluted common share, for the second quarter of 2007.
CompuCredit also reported a second quarter 2008 managed loss of $101.0
million, or $2.16 per fully diluted common share, versus second quarter
2007 managed income of $12.3 million or $0.25 per fully diluted common
share. The second quarter 2008 managed loss from continuing operations was
$98.9 million, or $2.11 per fully diluted common share, as compared to
managed income of $15.8 million from continuing operations, or $0.32 per
fully diluted common share, for the second quarter of 2007.
"Our results so far this year have been significantly impacted by our
reduced marketing levels from mid-2007," said David G. Hanna, CompuCredit's
Chairman and Chief Executive Officer. He added that, "As expected, a
significant number of credit card accounts added in 2007 reached their peak
vintage charge off levels in the first and second quarters of this year. At
the end of the second quarter, our 60-plus day delinquency rate stood at
its lowest level in two years."
Reflecting peak charge off vintages of accounts added in mid-2007,
CompuCredit's net interest margin was 12.9 percent in the second quarter of
2008, as compared to 18.9 percent for the second quarter of 2007 and 13.6
percent in the previous quarter, and its adjusted charge-off rate was 19.2
percent in the second quarter of 2008, as compared to 9.0 percent for the
second quarter of 2007 and 18.5 percent in the previous quarter. As of June
30, 2008, the 60-plus day delinquency rate was 12.6%, versus its historical
peak of 18.4 percent at December 31, 2007 and its 13.4% level at June 30,
2007.
Various references within this press release and the accompanying financial
information are to CompuCredit's "managed" results, which include the
results of its non-securitized receivables, together with the receivables
underlying its off-balance-sheet securitization facilities. Financial,
operating and statistical data based on these aggregate managed receivables
are key to any evaluation of CompuCredit's performance in managing
(including underwriting, valuing purchased receivables, servicing and
collecting) the portfolios of receivables reflected on CompuCredit's
balance sheet and underlying its securitization facilities. In allocating
CompuCredit's resources and managing its business, management relies
heavily upon financial, operating and statistical data prepared on a
so-called "managed basis." It is also important to analysts, investors and
others that CompuCredit provides selected metrics and data on a managed
basis because this allows a comparison of CompuCredit to others within the
specialty finance industry. Moreover, CompuCredit's management, analysts,
investors and others believe it is critical that they understand the credit
performance of the entire portfolio of CompuCredit's managed receivables
because it reveals information concerning the quality of loan originations
and the related credit risks inherent within the securitized portfolios and
CompuCredit's retained interests in its securitization facilities.
Managed receivables data assume that none of the credit card receivables
underlying CompuCredit's off-balance-sheet securitization facilities was
ever transferred to securitization facilities and present the net credit
losses and delinquent balances on the receivables as if CompuCredit still
owned the receivables. Reconciliation of the managed receivables data to
CompuCredit's GAAP financial statements requires: (1) recognition that
substantially all of CompuCredit's credit card receivables had been sold in
securitization transactions as of June 30, 2008; (2) an understanding that
CompuCredit's managed receivables data are based on billings and actual
charge-offs as reported to it through underlying systems of record (i.e.,
without regard to an allowance for uncollectible loans and fees
receivable); (3) a look-through to CompuCredit's economic share of (or
equity interest in) the receivables that it manages for its equity-method
investees; (4) removal of CompuCredit's minority interest holders'
interests in the managed receivables underlying CompuCredit's GAAP
consolidated results; and (5) recognition that CompuCredit's Fingerhut
managed receivables were recorded at a $0 basis in CompuCredit's GAAP
financial statements prior to CompuCredit's re-securitization of these
receivables in September 2006.
Further details regarding CompuCredit's second quarter 2008 financial
performance will be discussed during management's conference call on
Tuesday, August 5, 2008 at 5:00 p.m., Eastern Time. The media and public
are invited to listen to the live webcast of the call, accessible on the
Internet at www.CompuCredit.com. A replay of the conference call also will
be available on the web site.
CompuCredit is a specialty finance company and marketer of branded credit
cards and related financial services. CompuCredit provides these services
to consumers who are underserved by traditional financial institutions.
Through corporate and affinity contributions focused on the underserved and
un-banked communities, CompuCredit also uses its financial resources and
volunteer efforts to address the numerous challenges affecting its
customers. For more information about CompuCredit, visit
www.CompuCredit.com.
CompuCredit Corporation and Subsidiaries
Financial, Operating and Statistical Measures
(Unaudited)
(In thousands, except for per share data and percentages)
As Of And For The Three Months Ended
June 30, March 31, June 30,
2008 2008 2007
----------- ----------- -----------
Common Share Statistics
Net (Loss) Income From Continuing
Operations Per Common Share:
Basic $ (0.91) $ 0.12 $ (0.14)
Diluted $ (0.91) $ 0.12 $ (0.14)
Loss On Discontinued Operations Per
Common Share:
Basic $ (0.05) $ (0.07) $ (0.09)
Diluted $ (0.05) $ (0.07) $ (0.09)
Net (Loss) Income Per Common Share:
Basic $ (0.96) $ 0.05 $ (0.23)
Diluted $ (0.96) $ 0.05 $ (0.23)
Book Value Per Common Share
Outstanding (Period End) $ 15.69 $ 16.60 $ 17.20
Stock Price Per Common Share (Period
End) $ 6.00 $ 8.87 $ 35.02
Total Market Capitalization (Period
End) $ 288,024 $ 425,157 $ 1,722,564
Shares Outstanding (Period End)(1) 48,004 47,933 49,188
Weighted Average Shares
Outstanding--Basic 46,785 46,742 48,485
Weighted Average Shares
Outstanding--Diluted 46,785 46,839 48,485
Average Managed Receivables
Statistics (2)
Average Managed Receivables $ 3,673,251 $ 3,986,532 $ 3,781,505
Average Shareholders' Equity $ 774,486 $ 794,116 $ 847,573
GAAP Return On Average Managed
Receivables -4.7% 0.6% -0.7%
GAAP Return On Average Equity (ROE) -22.1% 2.8% -3.1%
Net Interest Margin 12.9% 13.6% 18.9%
Other Income Ratio 6.1% 4.8% 11.8%
Net Charge-Off Rate 20.5% 20.1% 16.3%
Adjusted Charge-Off Rate 19.2% 18.5% 9.0%
Risk Adjusted Margin -0.8% -0.6% 21.5%
Operating Ratio 13.9% 13.1% 13.6%
Period-End Managed Receivables
Statistics (2)
Total Managed Receivables $ 3,581,277 $ 3,813,040 $ 3,869,922
Delinquency Rate (60+ days) 12.6% 16.5% 13.4%
Number of Accounts 4,590 4,983 4,969
Shareholders' Equity $ 753,320 $ 795,652 $ 846,169
Equity to Managed Receivables Ratio 21.0% 20.9% 21.9%
(1) Shares outstanding balances exclude 3,651,069 shares that are
outstanding at June 30, 2008 and March 31, 2008 and 5,677,950 shares
that are outstanding at June 30, 2007 but that are returnable to
CompuCredit under the terms of a share lending arrangement.
(2) Receivables-based statistics are based on continuing operations only.
CompuCredit Corporation and Subsidiaries
Condensed Consolidated Balance Sheets
(Dollars in thousands)
June 30, December 31,
2008 2007
----------- -----------
(Unaudited)
Assets
Cash and cash equivalents (including restricted
cash of $19,497 at June 30, 2008 and $29,128 at
December 31, 2007) $ 152,847 $ 137,526
Securitized earning assets 936,799 1,015,579
Non-securitized earning assets, net:
Loans and fees receivable, net (of $29,119 and
$27,199 in deferred revenue and $56,325 and
$51,489 in allowances for uncollectible loans
and fees receivable at June 30, 2008 and
December 31, 2007, respectively) 383,428 357,027
Investments in previously charged-off
receivables 25,122 14,523
Investments in securities 5,899 27,714
Deferred costs, net 11,994 14,923
Property at cost, net of depreciation 63,023 84,466
Investments in equity-method investees 59,764 63,023
Intangibles, net 6,998 8,248
Goodwill 96,016 97,169
Prepaid expenses and other assets 63,621 45,247
Assets held for sale 3,643 8,735
----------- -----------
Total assets $ 1,809,154 $ 1,874,180
=========== ===========
Liabilities
Accounts payable and accrued expenses $ 123,534 $ 159,396
Notes payable and other borrowings 236,855 235,591
Convertible senior notes 500,000 550,000
Deferred revenue primarily from forward flow
agreement 23,723 33,277
Current and deferred income tax liabilities 140,783 70,232
Liabilities related to assets held for sale 172 373
----------- -----------
Total liabilities 1,025,067 1,048,869
Minority interests 30,767 32,732
Shareholders' equity
Common stock, no par value, 150,000,000 shares
authorized: 60,415,700 shares issued and
51,655,556 shares outstanding at June 30, 2008
(including 3,651,069 loaned shares to be
returned); and 61,938,533 shares issued and
53,055,505 shares outstanding at December 31,
2007 (including 5,677,950 loaned shares,
2,026,881 of which were returned subsequent
to December 31, 2007 and the remainder of
which are to be returned in the future) - -
Additional paid-in capital 409,881 409,964
Treasury stock, at cost, 8,760,144 and 8,883,028
shares at June 30, 2008 and December 31,
2007, respectively (222,876) (225,457)
Accumulated other comprehensive income 1,454 1,637
Retained earnings 564,861 606,435
----------- -----------
Total shareholders' equity 753,320 792,579
----------- -----------
Total liabilities and shareholders' equity $ 1,809,154 $ 1,874,180
=========== ===========
CompuCredit Corporation and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except per share data)
For the Six Months
For the Three Months Ended Ended
=============================== ====================
June 30, March 31, June 30, June 30, June 30,
2008 2008 2007 2008 2007
--------- --------- --------- --------- ---------
Interest income:
Consumer loans,
including past
due fees $ 24,866 $ 22,916 $ 94,123 $ 47,782 $ 174,509
Other 1,390 2,083 6,847 3,473 12,344
--------- --------- --------- --------- ---------
Total interest
income 26,256 24,999 100,970 51,255 186,853
Interest expense (10,375) (11,474) (17,079) (21,849) (32,863)
--------- --------- --------- --------- ---------
Net interest income
before fees and
related income on
non-securitized
earning assets and
provision for loan
losses 15,881 13,525 83,891 29,406 153,990
Fees and related
income on non-
securitized
earning assets 50,680 55,289 162,650 105,969 326,890
Provision for
loan losses (16,103) (20,406) (199,690) (36,509) (331,314)
--------- --------- --------- --------- ---------
Net interest income,
fees and related
income on
non-securitized
earning assets 50,458 48,408 46,851 98,866 149,566
Other operating
income:
Fees and related
income on
securitized
earning assets (61,115) 42,491 71,988 (18,624) 91,690
Servicing income 44,868 48,286 27,191 93,154 46,086
Ancillary and
interchange
revenues 15,710 15,421 18,563 31,131 30,324
Gain on repurchase
of convertible
senior notes 28,424 - - 28,424 -
Equity in income of
equity-method
investees 6,982 8,474 9,580 15,456 19,299
--------- --------- --------- --------- ---------
Total other
operating income 34,869 114,672 127,322 149,541 187,399
Other operating
expense:
Salaries and
benefits 17,908 18,779 17,616 36,687 35,929
Card and loan
servicing 69,989 76,438 74,655 146,427 140,725
Marketing and
solicitation 17,081 15,859 49,873 32,940 85,662
Depreciation 7,405 9,954 10,093 17,359 19,687
Other 36,307 29,131 31,562 65,438 60,658
--------- --------- --------- --------- ---------
Total other
operating expense 148,690 150,161 183,799 298,851 342,661
--------- --------- --------- --------- ---------
(Loss) income from
continuing
operations before
minority interests
and income taxes (63,363) 12,919 (9,626) (50,444) (5,696)
Minority interests 518 (2,019) (794) (1,501) (1,506)
--------- --------- --------- --------- ---------
(Loss) income from
continuing
operations before
income taxes (62,845) 10,900 (10,420) (51,945) (7,202)
Income tax benefit
(expense) 20,070 (5,387) 3,819 14,683 2,732
--------- --------- --------- --------- ---------
(Loss) income from
continuing
operations (42,775) 5,513 (6,601) (37,262) (4,470)
Discontinued
operations:
Loss from
discontinued
operations before
income tax benefit (3,300) (4,685) (6,793) (7,985) (13,942)
Income tax
benefit 1,155 1,640 2,378 2,795 4,880
--------- --------- --------- --------- ---------
Loss from
discontinued
operations (2,145) (3,045) (4,415) (5,190) (9,062)
--------- --------- --------- --------- ---------
Net (loss) income $ (44,920) $ 2,468 $ (11,016) $ (42,452) $ (13,532)
========= ========= ========= ========= =========
(Loss) income from
continuing
operations per
common
share--basic $ (0.91) $ 0.12 $ (0.14) $ (0.80) $ (0.09)
========= ========= ========= ========= =========
(Loss) income from
continuing
operations per
common
share--diluted $ (0.91) $ 0.12 $ (0.14) $ (0.80) $ (0.09)
========= ========= ========= ========= =========
Loss from
discontinued
operations per
common
share--basic $ (0.05) $ (0.07) $ (0.09) $ (0.11) $ (0.18)
========= ========= ========= ========= =========
Loss from
discontinued
operations per
common
share--diluted $ (0.05) $ (0.07) $ (0.09) $ (0.11) $ (0.18)
========= ========= ========= ========= =========
Net (loss) income
per common
share--basic $ (0.96) $ 0.05 $ (0.23) $ (0.91) $ (0.27)
========= ========= ========= ========= =========
Net (loss) income
per common
share--diluted $ (0.96) $ 0.05 $ (0.23) $ (0.91) $ (0.27)
========= ========= ========= ========= =========
CompuCredit Corporation and Subsidiaries
Business Segment Data
(Unaudited)
(In thousands)
Investments
in
Previously
Charged-
Three Months Off Retail
Ended Credit Receiva- Micro- Auto
June 30, 2008 Cards bles Loans Finance Other Total
========== ======= ======== ======== ======= ==========
Net interest
income, fees
and related
(loss) income
on non-securitized
earning
assets $ (4,969) $13,284 $ 15,234 $ 19,857 $ 7,052 $ 50,458
========== ======= ======== ======== ======= ==========
Total other
operating
income $ 34,459 $ 410 $ - $ - $ - $ 34,869
========== ======= ======== ======== ======= ==========
(Loss) income
from
continuing
operations
before income
taxes $ (72,304) $ 7,364 $ 2,785 $ (762) $ 72 $ (62,845)
========== ======= ======== ======== ======= ==========
Loss from
discontinued
operations
before income
taxes $ - $ - $ (2,851) $ - $ (449) $ (3,300)
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
gross $ 4,850 $25,992 $ 31,912 $387,137 $18,981 $ 468,872
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
net $ 4,850 $20,818 $ 26,934 $317,153 $13,673 $ 383,428
========== ======= ======== ======== ======= ==========
Total assets $1,191,195 $59,117 $ 97,902 $395,595 $65,345 $1,809,154
========== ======= ======== ======== ======= ==========
Investments
in
Previously
Charged-
Three Months Off Retail
Ended Credit Receiva- Micro- Auto
June 30, 2007 Cards bles Loans Finance Other Total
========== ======= ======== ======== ======= ==========
Net interest
income, fees
and related
(loss) income
on non-securitized
earning
assets $ (1,678) $15,630 $ 19,990 $ 10,901 $ 2,008 $ 46,851
========== ======= ======== ======== ======= ==========
Total other
operating
income $ 126,268 $ 467 $ - $ 587 $ - $ 127,322
========== ======= ======== ======== ======= ==========
(Loss) income
from
continuing
operations
before income
taxes $ (23,563) $10,909 $ 6,692 $ (3,063) $(1,395) $ (10,420)
========== ======= ======== ======== ======= ==========
Loss from
discontinued
operations
before income
taxes $ - $ - $ (4,023) $ - $(2,770) $ (6,793)
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
gross $ 956,830 $16,137 $ 70,402 $286,721 $12,917 $1,343,007
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
net $ 552,765 $12,760 $ 67,004 $268,250 $10,124 $ 910,903
========== ======= ======== ======== ======= ==========
Total assets $1,498,255 $40,131 $201,467 $352,982 $82,409 $2,175,244
========== ======= ======== ======== ======= ==========
Investments
in
Previously
Charged-
Six Months Off Retail
Ended Credit Receiva- Micro- Auto
June 30, 2008 Cards bles Loans Finance Other Total
========== ======= ======== ======== ======= ==========
Net interest
income, fees
and related
(loss) income
on non-securitized
earning
assets $ (13,429) $35,294 $ 32,119 $ 35,669 $ 9,213 $ 98,866
========== ======= ======== ======== ======= ==========
Total other
operating
income $ 148,590 $ 755 $ - $ 196 $ - $ 149,541
========== ======= ======== ======== ======= ==========
(Loss) income
from
continuing
operations
before income
taxes $ (74,486) $23,423 $ 7,217 $ (4,522) $(3,577) $ (51,945)
========== ======= ======== ======== ======= ==========
Loss from
discontinued
operations
before income
taxes $ - $ - $ (7,036) $ - $ (949) $ (7,985)
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
gross $ 4,850 $25,992 $ 31,912 $387,137 $18,981 $ 468,872
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
net $ 4,850 $20,818 $ 26,934 $317,153 $13,673 $ 383,428
========== ======= ======== ======== ======= ==========
Total assets $1,191,195 $59,117 $ 97,902 $395,595 $65,345 $1,809,154
========== ======= ======== ======== ======= ==========
Investments
in
Previously
Charged-
Six Months Off Retail
Ended Credit Receiva- Micro- Auto
June 30, 2007 Cards bles Loans Finance Other Total
========== ======= ======== ======== ======= ==========
Net interest
income, fees
and related
income on
non-securitized
earning
assets $ 53,540 $33,360 $ 38,165 $ 22,493 $ 2,008 $ 149,566
========== ======= ======== ======== ======= ==========
Total other
operating
income $ 185,484 $ 783 $ - $ 1,132 $ - $ 187,399
========== ======= ======== ======== ======= ==========
(Loss) income
from
continuing
operations
before income
taxes $ (31,703) $22,348 $ 10,770 $ (3,656) $(4,961) $ (7,202)
========== ======= ======== ======== ======= ==========
Loss from
discontinued
operations
before income
taxes $ - $ - $ (7,090) $ - $(6,852) $ (13,942)
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
gross $ 956,830 $16,137 $ 70,402 $286,721 $12,917 $1,343,007
========== ======= ======== ======== ======= ==========
Loans and fees
receivable,
net $ 552,765 $12,760 $ 67,004 $268,250 $10,124 $ 910,903
========== ======= ======== ======== ======= ==========
Total assets $1,498,255 $40,131 $201,467 $352,982 $82,409 $2,175,244
========== ======= ======== ======== ======= ==========
CompuCredit Corporation and Subsidiaries
Managed Earnings and Reconciliation of Reported GAAP Net Income to Managed
Earnings
(Unaudited)
(In thousands, except per share data)
For The Three Months Ended
----------------------------------
June 30, March 31, June 30,
2008 2008 2007
---------- ---------- ----------
GAAP net (loss) income as
reported $ (44,920) $ 2,468 $ (11,016)
Securitization adjustment, net
of tax (53,049) (102,348) (18,448)
Provision to charge off
adjustment, net of tax (3,023) (5,393) 41,747
---------- ---------- ----------
Managed net loss $ (100,992) $ (105,273) $ 12,283
========== ========== ==========
Managed net loss per common
share $ (2.16) $ (2.25) $ 0.25
========== ========== ==========
For the Six Months Ended
----------------------
June 30, June 30,
2008 2007
---------- ----------
GAAP net (loss) income as
reported $ (42,452) $ (13,532)
Securitization adjustment, net
of tax (155,397) (26,390)
Provision to charge off
adjustment, net of tax (8,416) 42,746
---------- ----------
Managed net loss $ (206,265) $ 2,824
========== ==========
Managed net loss per common
share $ (4.41) $ 0.06
========== ==========
For The Three Months
June 30, 2008
----------------------------------
GAAP Adjustments Managed
---------- ---------- ----------
Net interest margin on loans
receivable $ 24,866 $ 93,964 $ 118,830
Net interest expense (8,985) 3,368 (5,617)
Provision / charge offs (16,103) (160,080) (176,183)
Other operating income 85,549 (29,709) 55,840
Marketing expense (17,081) - (17,081)
Ancillary product expense (231) - (231)
Operating expenses (131,378) 3,722 (127,656)
Minority interests 518 (518) -
---------- ---------- ----------
Pre-tax (loss) income from
continuing operations (62,845) (89,253) (152,098)
Income tax benefit (expense) 20,070 33,164 53,234
---------- ---------- ----------
(Loss) income from continuing
operations (42,775) (56,089) (98,864)
---------- ---------- ----------
Pre-tax discontinued
operations loss (3,300) 26 (3,274)
Income tax benefit of
discontinued operations 1,155 (9) 1,146
---------- ---------- ----------
Loss from discontinued
operations (2,145) 17 (2,128)
---------- ---------- ----------
Net (loss) income $ (44,920) (56,072) $ (100,992)
========== ========== ==========
Diluted weighted average
Shares outstanding 46,785 46,785
---------- ---------- ----------
(Loss) income from continuing
operations per common share $ (0.91) $ (1.20) $ (2.11)
========== ========== ==========
Loss from discontinued
operations per common share $ (0.05) $ - $ (0.05)
========== ========== ==========
Net (loss) income per common
share $ (0.96) $ (1.20) $ (2.16)
========== ========== ==========
Gross loans and fees
receivable $ 468,872 $3,112,405 $3,581,277
========== ========== ==========
For The Three Months
June 30, 2007
----------------------------------
GAAP Adjustments Managed
---------- ---------- ----------
Net interest margin on loans
receivable $ 94,123 $ 84,695 $ 178,818
Net interest expense (10,232) 8,009 (2,223)
Provision / charge offs (199,690) 114,787 (84,903)
Other operating income 289,972 (178,383) 111,589
Marketing expense (49,873) - (49,873)
Ancillary product expense (593) (2) (595)
Operating expenses (133,333) 5,063 (128,270)
Minority interests (794) 794 -
---------- ---------- ----------
Pre-tax (loss) income from
continuing operations (10,420) 34,963 24,543
Income tax benefit (expense) 3,819 (12,598) (8,779)
---------- ---------- ----------
(Loss) income from continuing
operations (6,601) 22,365 15,764
---------- ---------- ----------
Pre-tax discontinued
operations loss (6,793) 1,438 (5,355)
Income tax benefit of
discontinued operations 2,378 (504) 1,874
---------- ---------- ----------
Loss from discontinued
operations (4,415) 934 (3,481)
---------- ---------- ----------
Net (loss) income $ (11,016) 23,299 $ 12,283
========== ========== ==========
Diluted weighted average
Shares outstanding 48,485 49,069
---------- ---------- ----------
(Loss) income from continuing
operations per common share $ (0.14) $ 0.46 $ 0.32
========== ========== ==========
Loss from discontinued
operations per common share $ (0.09) $ 0.02 $ (0.07)
========== ========== ==========
Net (loss) income per common
share $ (0.23) $ 0.48 $ 0.25
========== ========== ==========
Gross loans and fees
receivable $1,343,007 $2,526,915 $3,869,922
========== ========== ==========
For The Six Months Ended
June 30, 2008
----------------------------------
GAAP Adjustments Managed
---------- ---------- ----------
Net interest margin on loans
receivable $ 47,782 $ 206,672 $ 254,454
Net interest expense (18,376) 7,252 (11,124)
Provision / charge offs (36,509) (323,878) (360,387)
Other operating income 255,510 (151,996) 103,514
Marketing expense (32,940) - (32,940)
Ancillary product expense (575) - (575)
Operating expenses (265,336) 6,950 (258,386)
Minority interests (1,501) 1,501 -
---------- ---------- ----------
Pre-tax (loss) income from
continuing operations (51,945) (253,499) (305,444)
Income tax benefit (expense) 14,683 90,159 104,842
---------- ---------- ----------
(Loss) income from continuing
operations (37,262) (163,340) (200,602)
---------- ---------- ----------
Pre-tax discontinued
operations loss (7,985) (727) (8,712)
Income tax benefit of
discontinued operations 2,795 254 3,049
---------- ---------- ----------
Loss from discontinued
operations (5,190) (473) (5,663)
---------- ---------- ----------
Net (loss) income $ (42,452) (163,813) $ (206,265)
========== ========== ==========
Diluted weighted average
Shares outstanding 46,763 46,763
---------- ---------- ----------
(Loss) income from continuing
operations per common share $ (0.80) $ (3.49) $ (4.29)
========== ========== ==========
Loss from discontinued
operations per common share $ (0.11) $ (0.01) $ (0.12)
========== ========== ==========
Net (loss) income per common
share $ (0.91) $ (3.50) $ (4.41)
========== ========== ==========
Gross loans and fees
receivable $ 468,872 $3,112,405 $3,581,277
========== ========== ==========
========== ========== ==========
For The Six Months Ended
June 30, 2007
----------------------------------
GAAP Adjustments Managed
---------- ---------- ----------
Net interest margin on loans
receivable $ 174,509 $ 133,883 $ 308,392
Net interest expense (20,519) 14,846 (5,673)
Provision / charge offs (331,314) 158,902 (172,412)
Other operating income 514,289 (292,756) 221,533
Marketing expense (85,662) - (85,662)
Ancillary product expense (1,078) - (1,078)
Operating expenses (255,921) 7,888 (248,033)
Minority interests (1,506) 1,506 -
---------- ---------- ----------
Pre-tax (loss) income from
continuing operations (7,202) 24,269 17,067
Income tax benefit (expense) 2,732 (8,748) (6,016)
---------- ---------- ----------
(Loss) income from continuing
operations (4,470) 15,521 11,051
---------- ---------- ----------
Pre-tax discontinued
operations loss (13,942) 1,285 (12,657)
Income tax benefit of
discontinued operations 4,880 (450) 4,430
---------- ---------- ----------
Loss from discontinued
operations (9,062) 835 (8,227)
---------- ---------- ----------
Net (loss) income $ (13,532) 16,356 $ 2,824
========== ========== ==========
Diluted weighted average
Shares outstanding 49,369 49,988
---------- ---------- ----------
(Loss) income from continuing
operations per common share $ (0.09) $ 0.31 $ 0.22
========== ========== ==========
Loss from discontinued
operations per common share $ (0.18) $ 0.02 $ (0.16)
========== ========== ==========
Net (loss) income per common
share $ (0.27) $ 0.33 $ 0.06
========== ========== ==========
Gross loans and fees
receivable $1,343,007 $2,526,915 $3,869,922
========== ========== ==========
========== ========== ==========
For The Three Months Ended
March 31, 2008
----------------------------------
GAAP Adjustments Managed
---------- ---------- ----------
Net interest margin on loans
receivable $ 22,916 $ 112,708 $ 135,624
Net interest expense (9,391) 3,884 (5,507)
Provision / charge offs (20,406) (163,798) (184,204)
Other operating income 169,961 (122,287) 47,674
Marketing expense (15,859) - (15,859)
Ancillary product expense (344) - (344)
Operating expenses (133,958) 3,228 (130,730)
Minority interests (2,019) 2,019 -
---------- ---------- ----------
Pre-tax income (loss) from
continuing operations 10,900 (164,246) (153,346)
Income tax (expense) benefit (5,387) 56,995 51,608
---------- ---------- ----------
Income (loss) from continuing
operations 5,513 (107,251) (101,738)
---------- ---------- ----------
Pre-tax discontinued
operations loss (4,685) (753) (5,438)
Income tax benefit of
discontinued operations 1,640 263 1,903
---------- ---------- ----------
Loss from discontinued
operations (3,045) (490) (3,535)
---------- ---------- ----------
Net income (loss) $ 2,468 $ (107,741) $ (105,273)
========== ========== ==========
Diluted weighted average
Shares outstanding 46,839 46,742
---------- ---------- ----------
Income (loss) from continuing
operations per common share $ 0.12 $ (2.29) $ (2.17)
========== ========== ==========
Loss from discontinued
operations per common share $ (0.07) $ (0.01) $ (0.08)
========== ========== ==========
Net income (loss) per common
share $ 0.05 $ (2.30) $ (2.25)
========== ========== ==========
Gross loans and fees
receivable $ 447,749 $3,365,291 $3,813,040
========== ========== ==========
Contacts:
Investor Relations:
Jay Putnam
770.828.2612
Email Contact
Media Relations:
Tom Donahue
770.828.1577
Email Contact
