ATLANTA, GA -- (Marketwire) -- 02/12/09 -- CompuCredit (NASDAQ: CCRT) reported a fourth
quarter 2008 GAAP net loss of $26.9 million, or $0.57 per fully diluted
common share, which compares to fourth quarter 2007 GAAP earnings from
continuing operations of $27.5 million, or $0.58 per fully diluted common
share.
CompuCredit also reported fourth quarter 2008 managed earnings of $8.1
million, or $0.17 per fully diluted common share, which compares to fourth
quarter 2007 managed losses from continuing operations of $16.0 million, or
$0.34 per fully diluted common share.
"We are planning for economic uncertainty to continue through the remainder
of 2009 and remain focused on capital preservation, account management, and
expense reduction," said David G. Hanna, Chairman and CEO of CompuCredit.
CompuCredit's net interest margin was 13.8 percent in the fourth quarter of
2008, as compared to 17.8 percent for the fourth quarter of 2007 and 15.1
percent in the previous quarter. The adjusted charge-off rate was 14.2
percent in the fourth quarter of 2008, as compared to 13.2 percent for the
fourth quarter of 2007 and 14.2 percent in the previous quarter. As of
December 31, 2008, the 60-plus day delinquency rate was 16.3 percent, down
from 18.4 percent as of December 31, 2007 and up from 13.1 percent as of
September 30, 2008.
CompuCredit's GAAP and managed fourth quarter 2008 results include an $83.8
million pre-tax gain on the repurchase of convertible senior notes.
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 also is important to analysts, investors and
others that CompuCredit provide 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 December 31, 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; and (4) removal of CompuCredit's minority interest holders'
interests in the managed receivables underlying CompuCredit's GAAP
consolidated results.
For further details regarding CompuCredit's fourth quarter 2008 financial
performance, the media and public are invited to listen to management's
pre-recorded fourth quarter 2008 earnings commentary, which will be
available by 5:00 p.m. Eastern Standard Time on Thursday, February 12, 2009
via the Internet at www.compucredit.com.
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
December September December
31, 2008 30, 2008 31, 2007
----------- ----------- -----------
Common Share Statistics
Net (Loss) Income From Continuing
Operations Per Common Share:
Basic $ (0.57) $ (0.66) $ 0.58
Diluted $ (0.57) $ (0.66) $ 0.58
Loss On Discontinued Operations
Per Common Share:
Basic N/A $ (0.03) $ (0.25)
Diluted N/A $ (0.03) $ (0.25)
Net (Loss) Income Per Common
Share:
Basic $ (0.57) $ (0.69) $ 0.33
Diluted $ (0.57) $ (0.69) $ 0.33
Book Value Per Common Share
Outstanding (Period End) $ 13.87 $ 14.82 $ 16.73
Stock Price Per Common Share
(Period End) $ 5.53 $ 3.92 $ 9.98
Total Market Capitalization
(Period End) $ 265,410 $ 188,278 $ 472,832
Shares Outstanding (Period End)(1) 47,995 48,030 47,378
Weighted Average Shares
Outstanding -- Basic 46,807 46,794 47,614
Weighted Average Shares
Outstanding -- Diluted 46,807 46,794 47,860
Average Managed Receivables
Statistics (2)
Average Managed Receivables $ 3,318,998 $ 3,519,736 $ 4,150,117
Average Shareholders' Equity $ 688,905 $ 732,643 $ 795,658
GAAP Return On Average Managed
Receivables -3.2% -3.5% 2.7%
GAAP Return On Average Equity (ROE) -15.6% -16.9% 13.8%
Net Interest Margin 13.8% 15.1% 17.8%
Other Income Ratio 17.8% 11.3% 14.9%
Net Charge-Off Rate 15.0% 15.2% 15.6%
Adjusted Charge-Off Rate 14.2% 14.2% 13.2%
Risk Adjusted Margin 16.8% 11.5% 18.9%
Operating Ratio 14.1% 16.4% 19.3%
Period-End Managed Receivables
Statistics (2)
Total Managed Receivables $ 3,121,682 $ 3,465,928 $ 4,136,430
Delinquency Rate (60+ days) 16.3% 13.1% 18.4%
Number of Accounts 3,993 4,342 5,306
Shareholders' Equity $ 665,844 $ 711,965 $ 792,579
Equity to Managed Receivables Ratio 21.3% 20.5% 19.2%
(1) Shares outstanding balances exclude 3,651,069 shares that are
outstanding at December 31, 2008 and September 30, 2008
and exclude 5,677,950 shares that are outstanding at December 31, 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
Consolidated Balance Sheets
(Dollars in thousands)
December 31, December 31,
2008 2007
----------- -----------
Assets
Cash and cash equivalents (including restricted
cash of $19,913 and $29,128 at December 31,
2008 and 2007, respectively) $ 94,428 $ 137,526
Securitized earning assets 813,793 1,015,579
Non-securitized earning assets, net:
Loans and fees receivable, net (of $24,757
and $27,199 in deferred revenue and $55,753
and $51,489 in allowances for uncollectible
loans and fees receivable at December 31,
2008 and 2007, respectively) 340,734 357,027
Investments in previously charged-off
receivables 47,676 14,523
Investments in securities 4,678 27,714
Deferred costs, net 8,467 14,923
Property at cost, net of depreciation 48,297 84,466
Investments in equity-method investees 53,093 63,023
Intangibles, net 4,547 8,248
Goodwill 59,129 97,169
Prepaid expenses and other assets 52,575 45,247
Assets held for sale - 8,735
----------- -----------
Total assets $ 1,527,417 $ 1,874,180
=========== ===========
Liabilities
Accounts payable and accrued expenses $ 120,235 $ 159,396
Notes payable and other borrowings 199,939 235,591
Convertible senior notes 389,851 550,000
Deferred revenue, primarily from forward flow
agreement 23,492 33,277
Current and deferred income tax liabilities 103,178 70,232
Liabilities related to assets held for sale - 373
----------- -----------
Total liabilities 836,695 1,048,869
Minority interests 24,878 32,732
Shareholders' equity
Common stock, no par value, 150,000,000 shares
authorized: 60,379,613 shares issued and
51,645,697 shares outstanding at December 31,
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 413,857 409,964
Treasury stock, at cost, 8,733,916 and 8,883,028
shares at December 31, 2008 and 2007,
respectively (222,310) (225,457)
Accumulated other comprehensive income (31,431) 1,637
Retained earnings 505,728 606,435
----------- -----------
Total shareholders' equity 665,844 792,579
----------- -----------
Total liabilities and shareholders' equity $ 1,527,417 $ 1,874,180
=========== ===========
CompuCredit Corporation and Subsidiaries
Consolidated Statements of Operations
(In thousands, except per share data)
For The Three Months Ended For The Year Ended
---------------------------------- ----------------------
December September December December December
31, 30, 31, 31, 31,
2008 2008 2007 2008 2007
---------- ---------- ---------- ---------- ----------
(Unaudited)(Unaudited) (Unaudited)
Interest income:
Consumer loans,
including
past due
fees $ 21,580 $ 23,556 $ 141,641 $ 92,918 $ 440,084
Other 627 971 5,641 5,071 22,682
---------- ---------- ---------- ---------- ----------
Total interest
income 22,207 24,527 147,282 97,989 462,766
Interest
expense (10,783) (10,140) (26,194) (42,772) (81,516)
---------- ---------- ---------- ---------- ----------
Net interest
income before
fees and
related
income on
non-securitized
earning assets
and provision
for loan losses 11,424 14,387 121,088 55,217 381,250
Fees and related
income on
non-securitized
earning assets 44,525 44,119 250,991 196,366 790,929
Provision
for loan
losses (18,470) (17,283) (330,921) (72,262) (958,858)
---------- ---------- ---------- ---------- ----------
Net interest
income, fees
and related
income on
non-securitized
earning assets 37,479 41,223 41,158 179,321 213,321
Other operating
income:
Fees and related
income on
securitized
earning assets (94,024) 4,143 180,154 (108,505) 301,486
Servicing
income 44,192 44,537 24,585 181,883 96,944
Ancillary and
interchange
revenues 9,751 14,401 18,319 55,283 67,840
Gain on repurchase
of convertible
senior notes 83,816 - - 112,240 -
Equity in
income of
equity-method
investees 5,189 1,674 7,413 22,319 34,360
---------- ---------- ---------- ---------- ----------
Total other
operating
income 48,924 64,755 230,471 263,220 500,630
Other operating
expense:
Salaries and
benefits 14,340 16,407 18,274 67,434 74,371
Card and loan
servicing 67,878 65,716 88,578 281,774 307,842
Marketing and
solicitation 4,649 8,787 16,983 46,376 141,635
Depreciation 6,911 8,397 14,066 32,667 42,433
Goodwill
impairment 1,704 29,164 48,449 30,868 48,449
Other 31,228 28,293 37,940 124,959 131,485
---------- ---------- ---------- ---------- ----------
Total other
operating
expense 126,710 156,764 224,290 584,078 746,215
---------- ---------- ---------- ---------- ----------
(Loss) income
from continuing
operations
before minority
interest and
income taxes (40,307) (50,786) 47,339 (141,537) (32,264)
Minority
interest 3,616 30 1,163 2,145 (1,600)
---------- ---------- ---------- ---------- ----------
(Loss) income
from continuing
operations
before income
taxes (36,691) (50,756) 48,502 (139,392) (33,864)
Income tax
benefit
(expense) 9,813 19,728 (20,975) 44,224 8,896
---------- ---------- ---------- ---------- ----------
(Loss) income
from
continuing
operations (26,878) (31,028) 27,527 (95,168) (24,968)
Discontinued
operations:
Loss from
discontinued
operations
before income
tax benefit - (1,883) (18,108) (9,868) (40,043)
Income tax
benefit - 659 6,338 3,454 14,015
---------- ---------- ---------- ---------- ----------
Loss from
discontinued
operations - (1,224) (11,770) (6,414) (26,028)
---------- ---------- ---------- ---------- ----------
Net (loss)
income $ (26,878) $ (32,252) $ 15,757 $ (101,582) $ (50,996)
========== ========== ========== ========== ==========
(Loss) income
from
continuing
operations
per common
share -- basic $ (0.57) $ (0.66) $ 0.58 $ (2.03) $ (0.51)
========== ========== ========== ========== ==========
(Loss) income
from
continuing
operations
per common
share --
diluted $ (0.57) $ (0.66) $ 0.58 $ (2.03) $ (0.51)
========== ========== ========== ========== ==========
Loss from
discontinued
operations
per common
share --
basic $ - $ (0.03) $ (0.25) $ (0.14) $ (0.53)
========== ========== ========== ========== ==========
Loss from
discontinued
operations
per common
share --
diluted $ - $ (0.03) $ (0.25) $ (0.14) $ (0.53)
========== ========== ========== ========== ==========
Net (loss)
income per
common
share --
basic $ (0.57) $ (0.69) $ 0.33 $ (2.17) $ (1.04)
========== ========== ========== ========== ==========
Net (loss)
income per
common
share --
diluted $ (0.57) $ (0.69) $ 0.33 $ (2.17) $ (1.04)
========== ========== ========== ========== ==========
CompuCredit Corporation and Subsidiaries
Business Segment Data
(Unaudited)
(In thousands)
Investments
in Previously
Three Months Ended December Charged Off Retail
31, 2008 Credit Cards Receivables Micro-Loans
------------- ------------- -------------
Net interest income (expense),
fees and related income on
non-securitized earning
assets $ (2,539) $ 4,027 $ 16,640
============= ============= =============
Total other operating income $ 48,710 $ 129 $ -
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ (24,963) $ (6,488) $ 2,591
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ - $ -
============= ============= =============
Loans and fees receivable,
gross $ 712 $ - $ 40,099
============= ============= =============
Loans and fees receivable, net $ 534 $ - $ 33,597
============= ============= =============
Total assets $ 963,734 $ 59,850 $ 99,175
============= ============= =============
Three Months Ended December
31, 2008 Auto Finance Other Total
------------- ------------- -------------
Net interest income (expense),
fees and related income on
non-securitized earning
assets $ 11,098 $ 8,253 $ 37,479
============= ============= =============
Total other operating income $ 85 $ - $ 48,924
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ (9,748) $ 1,917 $ (36,691)
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ - $ -
============= ============= =============
Loans and fees receivable,
gross $ 359,662 $ 20,771 $ 421,244
============= ============= =============
Loans and fees receivable, net $ 291,559 $ 15,044 $ 340,734
============= ============= =============
Total assets $ 342,465 $ 62,193 $ 1,527,417
============= ============= =============
Investments
in Previously
Three Months Ended December Charged Off Retail
31, 2007 Credit Cards Receivables Micro-Loans
------------- ------------- -------------
Net interest income, fees and
related income on
non-securitized earning
assets $ 125 $ 14,393 $ 22,815
============= ============= =============
Total other operating income $ 229,963 $ 291 $ -
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ 107,860 $ 3,838 $ (44,255)
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ - $ (13,795)
============= ============= =============
Loans and fees receivable,
gross $ 28,054 $ - $ 49,464
============= ============= =============
Loans and fees receivable, net $ 22,473 $ - $ 39,391
============= ============= =============
Total assets $ 1,318,631 $ 31,819 $ 112,516
============= ============= =============
Three Months Ended December
31, 2007 Auto Finance Other Total
------------- ------------- -------------
Net interest income, fees and
related income on
non-securitized earning
assets $ 1,121 $ 2,704 $ 41,158
============= ============= =============
Total other operating income $ 217 $ - $ 230,471
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ (18,073) $ (868) $ 48,502
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ (4,313) $ (18,108)
============= ============= =============
Loans and fees receivable,
gross $ 345,843 $ 12,354 $ 435,715
============= ============= =============
Loans and fees receivable, net $ 285,531 $ 9,632 $ 357,027
============= ============= =============
Total assets $ 380,783 $ 30,431 $ 1,874,180
============= ============= =============
Investments
in Previously
Charged Off Retail
Year Ended December 31, 2008 Credit Cards Receivables Micro-Loans
------------- ------------- -------------
Net interest income (expense),
fees and related income on
non-securitized earning
assets $ (14,772) $ 38,985 $ 64,305
============= ============= =============
Total other operating income $ 262,208 $ 631 $ -
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ (116,299) $ 12,402 $ 9,775
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ - $ (8,622)
============= ============= =============
Loans and fees receivable,
gross $ 712 $ - $ 40,099
============= ============= =============
Loans and fees receivable, net $ 534 $ - $ 33,597
============= ============= =============
Total assets $ 963,734 $ 59,850 $ 99,175
============= ============= =============
Year Ended December 31, 2008 Auto Finance Other Total
------------- ------------- -------------
Net interest income (expense),
fees and related income on
non-securitized earning
assets $ 64,821 $ 25,982 $ 179,321
============= ============= =============
Total other operating income $ 381 $ - $ 263,220
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ (44,799) $ (471) $ (139,392)
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ (1,246) $ (9,868)
============= ============= =============
Loans and fees receivable,
gross $ 359,662 $ 20,771 $ 421,244
============= ============= =============
Loans and fees receivable, net $ 291,559 $ 15,044 $ 340,734
============= ============= =============
Total assets $ 342,465 $ 62,193 $ 1,527,417
============= ============= =============
Investments
in Previously
Charged Off Retail
Year Ended December 31, 2007 Credit Cards Receivables Micro-Loans
------------- ------------- -------------
Net interest income, fees and
related income on
non-securitized earning
assets $ 39,855 $ 58,286 $ 79,106
============= ============= =============
Total other operating income $ 497,453 $ 1,125 $ -
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ (4,483) $ 33,159 $ (28,240)
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ - $ (25,242)
============= ============= =============
Loans and fees receivable,
gross $ 28,054 $ - $ 49,464
============= ============= =============
Loans and fees receivable, net $ 22,473 $ - $ 39,391
============= ============= =============
Total assets $ 1,318,631 $ 31,819 $ 112,516
============= ============= =============
Year Ended December 31, 2007 Auto Finance Other Total
------------- ------------- -------------
Net interest income, fees and
related income on
non-securitized earning
assets $ 28,493 $ 7,581 $ 213,321
============= ============= =============
Total other operating income $ 2,052 $ - $ 500,630
============= ============= =============
Income (loss) from continuing
operations before income
taxes $ (33,439) $ (861) $ (33,864)
============= ============= =============
Loss from discontinued
operations before income
taxes $ - $ (14,801) $ (40,043)
============= ============= =============
Loans and fees receivable,
gross $ 345,843 $ 12,354 $ 435,715
============= ============= =============
Loans and fees receivable, net $ 285,531 $ 9,632 $ 357,027
============= ============= =============
Total assets $ 380,783 $ 30,431 $ 1,874,180
============= ============= =============
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
----------------------------------------
December 31, September 30, December 31,
2008 2008 2007
------------ ------------ ------------
GAAP net (loss) income as
reported $ (26,878) $ (32,252) $ 15,757
Securitization adjustment, net of
tax 32,996 4,012 193,314
Provision to charge off
adjustment, net of tax 1,936 (5,415) (237,174)
------------ ------------ ------------
Managed net income (loss) $ 8,054 $ (33,655) $ (28,103)
============ ============ ============
Managed net income (loss) per
common share $ 0.17 $ (0.72) $ (0.59)
============ ============ ============
For The Year Ended
--------------------------
December 31, December 31,
2008 2007
------------ ------------
GAAP net (loss) income as
reported $ (101,582) $ (50,996)
Securitization adjustment, net of
tax (118,330) 164,556
Provision to charge off
adjustment, net of tax (11,954) (92,345)
------------ ------------
Managed net income (loss) $ (231,866) $ 21,215
============ ============
Managed net income (loss) per
common share $ (4.96) $ 0.43
============ ============
For The Three Months Ended
December 31, 2008
----------------------------------------
GAAP Adjustments Managed
------------ ------------ ------------
Net interest margin on loans
receivable $ 21,580 $ 93,002 $ 114,582
Net interest expense (10,156) 5,033 (5,123)
Provision / charge offs (18,470) (99,533) (118,003)
Other operating income 93,449 54,306 147,755
Marketing expense (4,649) - (4,649)
Ancillary product expense (146) - (146)
Operating expenses (121,915) 4,562 (117,353)
Minority interests 3,616 (3,616) -
------------ ------------ ------------
Pre-tax (loss) income from
continuing operations (36,691) 53,754 17,063
Income tax benefit (expense) 9,813 (18,822) (9,009)
------------ ------------ ------------
(Loss) income from continuing
operations (26,878) 34,932 8,054
------------ ------------ ------------
Pre-tax discontinued operations
loss N/A N/A N/A
Income tax benefit of
discontinued operations N/A N/A N/A
------------ ------------ ------------
Loss from discontinued operations N/A N/A N/A
------------ ------------ ------------
Net (loss) income $ (26,878) 34,932 $ 8,054
============ ============ ============
Weighted average shares
outstanding 46,807 46,840
------------ ------------ ------------
(Loss) income from continuing
operations per common share $ (0.57) $ 0.74 $ 0.17
============ ============ ============
Loss from discontinued operations
per common share N/A N/A N/A
============ ============ ============
Net (loss) income per common
share $ (0.57) $ 0.74 $ 0.17
============ ============ ============
Gross loans and fees receivable $ 421,244 $ 2,700,438 $ 3,121,682
============ ============ ============
For The Three Months Ended
December 31, 2007
----------------------------------------
GAAP Adjustments Managed
------------ ------------ ------------
Net interest margin on loans
receivable $ 141,641 $ 42,885 $ 184,526
Net interest expense (20,553) 15,071 (5,482)
Provision / charge offs (330,921) 193,701 (137,220)
Other operating income 481,462 (327,280) 154,182
Marketing expense (16,983) - (16,983)
Ancillary product expense (691) - (691)
Operating expenses (206,616) 6,760 (199,856)
Minority interests 1,163 (1,163) -
------------ ------------ ------------
Pre-tax (loss) income from
continuing operations 48,502 (70,026) (21,524)
Income tax benefit (expense) (20,975) 26,500 5,525
------------ ------------ ------------
(Loss) income from continuing
operations 27,527 (43,526) (15,999)
------------ ------------ ------------
Pre-tax discontinued operations
loss (18,108) (513) (18,621)
Income tax benefit of
discontinued operations 6,338 179 6,517
------------ ------------ ------------
Loss from discontinued operations (11,770) (334) (12,104)
------------ ------------ ------------
Net (loss) income $ 15,757 (43,860) $ (28,103)
============ ============ ============
Weighted average shares
outstanding 47,860 47,614
------------ ------------ ------------
(Loss) income from continuing
operations per common share $ 0.58 $ (0.92) $ (0.34)
============ ============ ============
Loss from discontinued operations
per common share $ (0.25) $ - $ (0.25)
============ ============ ============
Net (loss) income per common
share $ 0.33 $ (0.92) $ (0.59)
============ ============ ============
Gross loans and fees receivable $ 435,715 $ 3,700,715 $ 4,136,430
============ ============ ============
For The Year Ended
December 31, 2008
----------------------------------------
GAAP Adjustments Managed
------------ ------------ ------------
Net interest margin on loans
receivable $ 92,918 $ 408,550 $ 501,468
Net interest expense (37,701) 16,206 (21,495)
Provision / charge offs (72,262) (531,203) (603,465)
Other operating income 459,586 (108,948) 350,638
Marketing expense (46,376) - (46,376)
Ancillary product expense (947) - (947)
Operating expenses (536,755) 16,872 (519,883)
Minority interests 2,145 (2,145) -
------------ ------------ ------------
Pre-tax (loss) income from
continuing operations (139,392) (200,668) (340,060)
Income tax benefit (expense) 44,224 70,491 114,715
------------ ------------ ------------
(Loss) income from continuing
operations (95,168) (130,177) (225,345)
------------ ------------ ------------
Pre-tax discontinued operations
loss (9,868) (164) (10,032)
Income tax benefit of
discontinued operations 3,454 57 3,511
------------ ------------ ------------
Loss from discontinued operations (6,414) (107) (6,521)
------------ ------------ ------------
Net (loss) income $ (101,582) (130,284) $ (231,866)
============ ============ ============
Weighted average shares
outstanding 46,782 46,782
------------ ------------ ------------
(Loss) income from continuing
operations per common share $ (2.03) $ (2.79) $ (4.82)
============ ============ ============
Loss from discontinued operations
per common share $ (0.14) $ - $ (0.14)
============ ============ ============
Net (loss) income per common
share $ (2.17) $ (2.79) $ (4.96)
============ ============ ============
Gross loans and fees receivable $ 421,244 $ 2,700,438 $ 3,121,682
============ ============ ============
For The Year Ended
December 31, 2007
----------------------------------------
GAAP Adjustments Managed
------------ ------------ ------------
Net interest margin on loans
receivable $ 440,084 $ 240,317 $ 680,401
Net interest expense (58,834) 43,746 (15,088)
Provision / charge offs (958,858) 548,949 (409,909)
Other operating income 1,291,559 (747,962) 543,597
Marketing expense (141,635) - (141,635)
Ancillary product expense (2,452) - (2,452)
Operating expenses (602,128) 20,957 (581,171)
Minority interests (1,600) 1,600 -
------------ ------------ ------------
Pre-tax (loss) income from
continuing operations (33,864) 107,607 73,743
Income tax benefit (expense) 8,896 (37,485) (28,589)
------------ ------------ ------------
(Loss) income from continuing
operations (24,968) 70,122 45,154
------------ ------------ ------------
Pre-tax discontinued operations
loss (40,043) 3,214 (36,829)
Income tax benefit of
discontinued operations 14,015 (1,125) 12,890
------------ ------------ ------------
Loss from discontinued operations (26,028) 2,089 (23,939)
------------ ------------ ------------
Net (loss) income $ (50,996) 72,211 $ 21,215
============ ============ ============
Weighted average shares
outstanding 48,717 49,191
------------ ------------ ------------
(Loss) income from continuing
operations per common share $ (0.51) $ 1.43 $ 0.92
============ ============ ============
Loss from discontinued operations
per common share $ (0.53) $ 0.04 $ (0.49)
============ ============ ============
Net (loss) income per common
share $ (1.04) $ 1.47 $ 0.43
============ ============ ============
Gross loans and fees receivable $ 435,715 $ 3,700,715 $ 4,136,430
============ ============ ============
For The Three Months Ended
September 30, 2008
----------------------------------------
GAAP Adjustments Managed
------------ ------------ ------------
Net interest margin on loans
receivable $ 23,556 $ 108,876 $ 132,432
Net interest expense (9,169) 3,921 (5,248)
Provision / charge offs (17,283) (107,792) (125,075)
Other operating income 108,874 (9,505) 99,369
Marketing expense (8,787) - (8,787)
Ancillary product expense (226) - (226)
Operating expenses (147,751) 3,607 (144,144)
Minority interests 30 (30) -
------------ ------------ ------------
Pre-tax (loss) income from
continuing operations (50,756) (923) (51,679)
Income tax benefit (expense) 19,728 (846) 18,882
------------ ------------ ------------
(Loss) income from continuing
operations (31,028) (1,769) (32,797)
------------ ------------ ------------
Pre-tax discontinued operations
loss (1,883) 563 (1,320)
Income tax benefit of
discontinued operations 659 (197) 462
------------ ------------ ------------
Loss from discontinued operations (1,224) 366 (858)
------------ ------------ ------------
Net (loss) income $ (32,252) (1,403) $ (33,655)
============ ============ ============
Weighted average shares
outstanding 46,794 46,794
------------ ------------ ------------
(Loss) income from continuing
operations per common share $ (0.66) $ (0.04) $ (0.70)
============ ============ ============
Loss from discontinued operations
per common share $ (0.03) $ 0.01 $ (0.02)
============ ============ ============
Net (loss) income per common
share $ (0.69) $ (0.03) $ (0.72)
============ ============ ============
Gross loans and fees receivable $ 441,764 $ 3,024,164 $ 3,465,928
============ ============ ============
Contact:
Investor Relations
Jay Putnam
770.828.2612
Email Contact
Media Relations
Tom Donahue
770.828.1577
Email Contact
