SOURCE: CompuCredit

August 02, 2006 16:07 ET

CompuCredit Reports Second Quarter Earnings

ATLANTA, GA -- (MARKET WIRE) -- August 2, 2006 --CompuCredit (NASDAQ: CCRT) reported second quarter 2006 managed earnings of $48.8 million, or $0.97 of managed earnings per fully diluted share, as compared to managed earnings of $80.6 million, or $1.56 of managed earnings per fully diluted share for the second quarter of 2005.

Under GAAP, second quarter 2006 net income was $28.3 million, or $0.56 net income per common share on a fully diluted basis, as compared to second quarter 2005 net income of $66.5 million, or $1.29 net income per common share on a fully diluted basis.

Last year's second quarter results included $44.2 million or $.86 per share of gain associated with CompuCredit's sale of approximately $2.9 billion in face amount of previously charged-off receivables to Encore Capital Group, Inc. David G. Hanna, CompuCredit Chairman and Chief Executive Officer, commented that, "We are pleased with our fundamental earnings growth over last year's second quarter. The consumer credit environment within our sector continues to be favorable, and we continue to focus on delivering value to both our customers and shareholders."

CompuCredit's net interest margin was 23.7 percent in the second quarter of 2006, as compared to 22.7 percent for the second quarter of 2005 and 25.0 percent in the previous quarter. The adjusted charge-off rate was 8.3 percent in the second quarter of 2006, as compared to 8.0 percent for the second quarter of 2005 and 7.1 percent in the previous quarter. As of June 30, 2006, the 60-plus day delinquency rate was 11.5 percent, as compared to 8.3 percent as of June 30, 2005 and 10.6 percent as of March 31, 2006.

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 were 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 a significant majority of CompuCredit's loans and fees receivable had been sold in securitization transactions as of June 30, 2006; (2) an understanding that our managed receivables data are based on billings and actual charge-offs as reported to us through underlying systems of record (i.e., without regard to an allowance for uncollectible receivables); (3) a look through to CompuCredit's economic share of 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, prior to their re-securitization, CompuCredit's Fingerhut managed receivables were recorded at a $0.0 basis in CompuCredit's GAAP financial statements.

Further details regarding CompuCredit's second quarter 2006 financial performance will be discussed during management's conference call on Wednesday, August 2, 2006 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 and Statistical Summary
                                (Unaudited)
        (In thousands, except for per share data and percentages)


                                       June 30,    March 31,     June 30,
                                         2006         2006         2005
                                     -----------  -----------  -----------

Common Share Statistics
Net Income Per Common Share—Basic    $      0.58  $      0.63  $      1.33
Net Income Per Common Share—Diluted  $      0.56  $      0.61  $      1.29
Book Value Per Common Share
 Outstanding (Period End)            $     16.82  $     16.29  $     14.47
Stock Price Per Share (Period End)   $     38.44  $     36.81  $     34.28
Total Market Capitalization (Period
 End)                                $ 1,896,993  $ 1,806,265  $ 1,667,382
Shares Outstanding (Period End)(1)        49,349       49,070       48,640
Weighted Average Shares
 Outstanding—Basic                        48,651       48,632       50,125
Weighted Average Shares
 Outstanding—Diluted                      50,311       50,304       51,541

Average Managed Receivables
 Statistics (2)
Average Managed Receivables          $ 2,603,301  $ 2,505,417  $ 2,368,897
Average Shareholders' Equity         $   812,972  $   782,269  $   709,520
GAAP Return on Average Managed
 Receivables                                 4.3%         4.9%        11.2%
GAAP Return on Average Equity (ROE)         13.9%        15.6%        37.5%
Net Interest Margin                         23.7%        25.0%        22.7%
Other Income Ratio                          16.9%        19.2%        27.3%
Net Charge-Off Rate                          9.3%         8.5%        11.8%
Adjusted Charge-Off Rate                     8.3%         7.1%         8.0%
Adjusted Charge Offs                 $    54,249  $    44,779  $    47,413
Risk Adjusted Margin                        31.7%        36.5%        40.3%
Operating Ratio                             16.1%        18.5%        15.4%

Period-End Managed Receivables
 Statistics (2)
Total Managed Receivables            $ 2,669,120  $ 2,511,588  $ 2,359,903
Delinquency Rate (60+ days)                 11.5%        10.6%         8.3%
Number of Accounts                         3,989        3,781        3,092
Shareholders' Equity                 $   829,881  $   799,387  $   703,685
Equity to Managed Receivables Ratio         31.1%        31.8%        29.8%


(1) Shares outstanding balances exclude 5,677,950 shares that are
    outstanding at both June 30, 2006 and March 31, 2006 but that are
    returnable to CompuCredit under the terms of a share lending
    arrangement.

(2) Excludes receivables at or near charge off at the time of purchase.







                 CompuCredit Corporation and Subsidiaries
                        Consolidated Balance Sheets
                          (Dollars in thousands)


                                                    June 30,  December 31,
                                                      2006         2005
                                                  -----------  -----------
                                                  (Unaudited)

 Assets
 Cash and cash equivalents (including restricted
  cash of $17,848 at June 30, 2006 and $12,427
  at December 31, 2005)                           $   145,973  $   240,655
 Securitized earning assets                           870,817      786,983
 Non-securitized earning assets, net                  566,651      468,311
 Deferred costs, net                                   27,149       31,012
 Software, furniture, fixtures and equipment, net      64,320       48,383
 Investments in equity-method investees                76,733       69,343
 Intangibles, net                                      10,981       13,749
 Goodwill                                             120,254      130,800
 Prepaid expenses and other assets                     31,340       31,954
                                                  -----------  -----------

 Total assets                                     $ 1,914,218  $ 1,821,190
                                                  ===========  ===========

 Liabilities
 Accounts payable and accrued expenses            $   104,269  $    96,483
 Notes payable                                        240,146      165,186
 Convertible senior notes                             550,000      550,000
 Deferred revenue                                      64,282       67,585
 Current and deferred income tax liabilities           85,961      129,283
                                                  -----------  -----------
 Total liabilities                                  1,044,658    1,008,537

 Minority interests                                    39,679       45,442

 Shareholders' equity
 Common stock, no par value, 150,000,000 shares
  authorized: 59,435,911 shares issued and
  55,027,396 shares outstanding at June 30, 2006
  (including 5,677,950 loaned shares to be
  returned); and 59,080,610 shares issued and
  54,628,020 shares outstanding at December 31,
  2005 (including 5,677,950 loaned shares to be
  returned)                                                 -            -

 Additional paid-in capital                           316,107      312,752
 Treasury stock, at cost, 4,408,515 and 4,452,590
  shares at June 30, 2006 and December 31, 2005,
  respectively                                       (124,713)    (125,068)
 Warrants                                              25,610       25,610
 Retained earnings                                    612,877      553,917
                                                  -----------  -----------

 Total shareholders' equity                           829,881      767,211
                                                  -----------  -----------

 Total liabilities and shareholders' equity       $ 1,914,218  $ 1,821,190
                                                  ===========  ===========








                 CompuCredit Corporation and Subsidiaries
                  Consolidated Statements of Operations
                                (Unaudited)
                  (In thousands, except per share data)


                         For Three Months Ended       For Six Months Ended
                     ===============================  ====================
                     June 30,   March 31,  June 30,   June 30,   June 30,
                       2006       2006       2005       2006       2005
                     ---------  ---------  ---------  ---------  ---------

Interest income:
  Consumer loans,
   including past
   due fees          $  65,804  $  52,975  $  28,053  $ 118,779  $  39,311
  Other                  4,380      4,575      3,649      8,955      5,644
                     ---------  ---------  ---------  ---------  ---------
Total interest
 income                 70,184     57,550     31,702    127,734     44,955
Interest expense       (12,921)   (11,450)   (16,373)   (24,371)   (18,795)
                     ---------  ---------  ---------  ---------  ---------
Net interest income
 before fees and
 other income on
 non-securitized
 earning assets and
 provision for loan
 losses                 57,263     46,100     15,329    103,363     26,160

  Fees and other
   income on
   non-securitized
   earning assets      144,369    119,770    170,104    264,139    269,446
  Provision for
   loan losses        (127,933)   (77,829)   (34,414)  (205,762)   (48,518)
                     ---------  ---------  ---------  ---------  ---------
Net interest income,
 fees and other
 income on
 non-securitized
 earning assets         73,699     88,041    151,019    161,740    247,088

Other operating
 income:
Fees and other
 income from
 securitized earning
 assets                 45,140     50,469     22,489     95,609     59,981
Servicing income        23,571     27,810     37,693     51,381     74,152
Ancillary and
 interchange
 revenues               11,044      8,194      6,469     19,238     12,002
Equity in income of
 equity-method
 investees              25,882     25,665      7,362     51,547     26,181
                     ---------  ---------  ---------  ---------  ---------
Total other
 operating income      105,637    112,138     74,013    217,775    172,316

Other operating
 expense:
Salaries and
 benefits               11,377     11,645      7,882     23,022     14,989
Card and loan
 servicing              62,794     63,657     63,173    126,451    122,508
Marketing and
 solicitation           24,647     26,079     20,156     50,726     38,206
Depreciation             7,240      7,634      4,346     14,874      8,559
Goodwill impairment          —     10,546          —     10,546          —
Other                   26,993     29,311     21,858     56,304     40,916
                     ---------  ---------  ---------  ---------  ---------
Total other
 operating expense     133,051    148,872    117,415    281,923    225,178
                     ---------  ---------  ---------  ---------  ---------
Income before
 minority interests
 and income taxes       46,285     51,307    107,617     97,592    194,226
Minority interests      (2,061)    (3,405)    (2,842)    (5,466)   (12,003)
                     ---------  ---------  ---------  ---------  ---------
Income before income
 taxes                  44,224     47,902    104,775     92,126    182,223
Income taxes           (15,922)   (17,244)   (38,243)   (33,166)   (66,511)
                     ---------  ---------  ---------  ---------  ---------
Net income           $  28,302  $  30,658  $  66,532  $  58,960  $ 115,712
                     =========  =========  =========  =========  =========

 Net income per
  common share—basic $    0.58  $    0.63  $    1.33  $    1.21  $    2.28
                     =========  =========  =========  =========  =========
 Net income per
  common share-
  diluted            $    0.56  $    0.61  $    1.29  $    1.17  $    2.23
                     =========  =========  =========  =========  =========



CompuCredit Corporation and Subsidiaries
                          Business Segment Data
                                (Unaudited)
                              (In thousands)


                                                  Investments
                                                      in
                                                  Previously     Retail
                                        Credit    Charged Off    Micro-
 Three Months Ended June 30, 2006       Cards     Receivables    Loans
                                     -----------  -----------  ----------
Net interest income, fees and other
 Income (loss) on non-securitized earning
 assets                              $    35,499  $    10,855  $   19,060
                                     ===========  ===========  ==========
Total other operating income         $   103,502  $       108  $    1,780
                                     ===========  ===========  ==========
Income (loss) before income taxes    $    44,106  $     6,617  $     (725)
                                     ===========  ===========  ==========
Loans and fees receivable, gross     $   532,216  $         -  $   69,494
                                     ===========  ===========  ==========
Loans and fees receivable, net       $   301,562  $         -  $   59,553
                                     ===========  ===========  ==========
Total assets                         $ 1,500,978  $    29,932  $  197,176
                                     ===========  ===========  ==========

                                                  Investments
                                                      in
                                                  Previously     Retail
                                        Credit    Charged Off    Micro-
 Six Months Ended June 30, 2006         Cards     Receivables    Loans
                                     -----------  -----------  ----------
Net interest income, fees and other
 Income (loss)  on non-securitized earning
 assets                              $    92,805  $    20,333  $   31,957
                                     ===========  ===========  ==========
Total other operating income         $   211,655  $       169  $    5,515
                                     ===========  ===========  ==========
Income (loss) before income taxes    $   113,835  $    11,841  $  (17,764)
                                     ===========  ===========  ==========
Loans and fees receivable, gross     $   532,216  $         -  $   69,494
                                     ===========  ===========  ==========
Loans and fees receivable, net       $   301,562  $         -  $   59,553
                                     ===========  ===========  ==========
Total assets                         $ 1,500,978  $    29,932  $  197,176
                                     ===========  ===========  ==========

                                                  Investments
                                                      in
                                                  Previously     Retail
                                        Credit    Charged Off    Micro-
 Three Months Ended June 30, 2005       Cards     Receivables    Loans
                                     -----------  -----------  ----------
Net interest income, fees and other
 income on non-securitized earning
 assets                              $    38,757  $    87,043  $   14,697
                                     ===========  ===========  ==========
Total other operating income         $    66,490  $       595  $    6,928
                                     ===========  ===========  ==========
Income (loss) before income taxes    $    29,030  $    77,587  $    2,717
                                     ===========  ===========  ==========
Loans and fees receivable, gross     $   165,553  $         -  $   31,880
                                     ===========  ===========  ==========
Loans and fees receivable, net       $   100,641  $         -  $   26,596
                                     ===========  ===========  ==========
Total assets                         $   917,569  $   157,699  $  165,780
                                     ===========  ===========  ==========

                                                  Investments
                                                      in
                                                  Previously     Retail
                                        Credit    Charged Off    Micro-
 Six Months Ended June 30, 2005         Cards     Receivables    Loans
                                     -----------  -----------  ----------
Net interest income, fees and other
 Income on non-securitized earning
 assets                              $   102,767  $   104,551  $   29,012
                                     ===========  ===========  ==========
Total other operating income         $   157,917  $     2,036  $   12,363
                                     ===========  ===========  ==========
Income (loss) before income taxes    $   104,293  $    84,658  $    3,607
                                     ===========  ===========  ==========
Loans and fees receivable, gross     $   165,553  $         -  $   31,880
                                     ===========  ===========  ==========
Loans and fees receivable, net       $   100,641  $         -  $   26,596
                                     ===========  ===========  ==========
Total assets                         $   917,569  $   157,699  $  165,780
                                     ===========  ===========  ==========



                                         Auto
 Three Months Ended June 30, 2006       Finance      Other        Total
                                     -----------  ----------   -----------
Net interest income, fees and other
 Income (loss) on non-securitized earning
 assets                              $    10,031  $   (1,746)  $    73,699
                                     ===========  ==========   ===========
Total other operating income         $       247  $        -   $   105,637
                                     ===========  ==========   ===========
Income (loss) before income taxes    $     3,187  $   (8,961)  $    44,224
                                     ===========  ==========   ===========
Loans and fees receivable, gross     $   147,041  $   10,201   $   758,952
                                     ===========  ==========   ===========
Loans and fees receivable, net       $   120,233  $    8,104   $   489,452
                                     ===========  ==========   ===========
Total assets                         $   160,394  $   25,738   $ 1,914,218
                                     ===========  ==========   ===========

                                        Auto
 Six Months Ended June 30, 2006        Finance       Other        Total
                                     -----------  ----------   -----------
Net interest income, fees and other
 Income (loss) on non-securitized earning
 assets                              $    17,883  $   (1,238)  $   161,740
                                     ===========  ==========   ===========
Total other operating income         $       411  $       25   $   217,775
                                     ===========  ==========   ===========
Income (loss) before income taxes    $     4,034  $  (19,820)  $    92,126
                                     ===========  ==========   ===========
Loans and fees receivable, gross     $   147,041  $   10,201   $   758,952
                                     ===========  ==========   ===========
Loans and fees receivable, net       $   120,233  $    8,104   $   489,452
                                     ===========  ==========   ===========
Total assets                         $   160,394  $   25,738   $ 1,914,218
                                     ===========  ==========   ===========

                                        Auto
 Three Months Ended June 30, 2005      Finance       Other        Total
                                     -----------  ----------   -----------
Net interest income, fees and other
 income on non-securitized earning
 assets                              $     9,553  $      969   $   151,019
                                     ===========  ==========   ===========
Total other operating income         $         -  $        -   $    74,013
                                     ===========  ==========   ===========
Income (loss) before income taxes    $     2,973  $   (7,532)  $   104,775
                                     ===========  ==========   ===========
Loans and fees receivable, gross     $   151,937  $    2,472   $   351,842
                                     ===========  ==========   ===========
Loans and fees receivable, net       $   127,304  $    1,665   $   256,206
                                     ===========  ==========   ===========
Total assets                         $   172,319  $   11,810   $ 1,425,177
                                     ===========  ==========   ===========

                                        Auto
 Six Months Ended June 30, 2005        Finance       Other        Total
                                     -----------  ----------   -----------
Net interest income, fees and other
 income on non-securitized earning
 assets                              $     9,553  $    1,205   $   247,088
                                     ===========  ==========   ===========
Total other operating income         $         -  $        -   $   172,316
                                     ===========  ==========   ===========
Income (loss) before income taxes    $     2,973  $  (13,308)  $   182,223
                                     ===========  ==========   ===========
Loans and fees receivable, gross     $   151,937  $    2,472   $   351,842
                                     ===========  ==========   ===========
Loans and fees receivable, net       $   127,304  $    1,665   $   256,206
                                     ===========  ==========   ===========
Total assets                         $   172,319  $   11,810   $ 1,425,177
                                     ===========  ==========   ===========


                 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,
                                    2006          2006          2005
                                -----------   -----------   -----------

GAAP net income as reported     $    28,302   $    30,658   $    66,532
Securitization adjustment, net
 of tax                               3,834         3,715         4,680
Provision to charge off
 adjustment, net of tax              16,673        20,444         9,415
                                -----------   -----------   -----------
Managed net income              $    48,809   $    54,817   $    80,627
                                ===========   ===========   ===========
Managed net income per common
 share                          $      0.97   $      1.09   $      1.56
                                ===========   ===========   ===========



                                      For The Three Months Ended
                                             June 30, 2006
                                ---------------------------------------
                                    GAAP      Adjustments     MANAGED
                                -----------   -----------   -----------
Net interest margin on loans
 receivable                     $    65,804   $    88,437   $   154,241
Net interest expense                 (8,541)        4,846        (3,695)
Provision / charge offs            (127,933)       73,684       (54,249)
Other operating income              250,006      (140,124)      109,882
Marketing expense                   (24,647)            -       (24,647)
Ancillary product expense              (643)            -          (643)
Operating expenses                 (107,761)        3,138      (104,623)
Minority interests                   (2,061)        2,061             -
                                -----------   -----------   -----------
Pre-tax net income                   44,224        32,042        76,266
Income taxes                        (15,922)      (11,535)      (27,457)
                                -----------   -----------   -----------
Net income                      $    28,302   $    20,507   $    48,809
                                ===========   ===========   ===========

Weighted average shares
 outstanding                         50,311        50,311        50,311
                                -----------   -----------   -----------
Net income per common share     $      0.56   $      0.41   $      0.97
                                ===========   ===========   ===========

Gross loans and fees
 receivable                     $   758,952   $ 1,910,168   $ 2,669,120
                                ===========   ===========   ===========




                                 For The Six Months Ended June 30, 2006
                                ---------------------------------------
                                    GAAP      Adjustments     MANAGED
                                -----------   -----------   -----------
Net interest margin on loans
 receivable                     $   118,779   $   191,821   $   310,600
Net interest expense                (15,416)        8,726        (6,690)
Provision / charge offs            (205,762)      106,734       (99,028)
Other operating income              481,914      (251,741)      230,173
Marketing expense                   (50,726)            -       (50,726)
Ancillary product expense            (1,736)            -        (1,736)
Operating expenses                 (229,461)        8,784      (220,677)
Minority interests                   (5,466)        5,466             -
                                -----------   -----------   -----------
Pre-tax net income                   92,126        69,790       161,916
Income taxes                        (33,166)      (25,124)      (58,290)
                                -----------   -----------   -----------
Net income                      $    58,960   $    44,666   $   103,626
                                ===========   ===========   ===========

Weighted average shares
 outstanding                         50,334        50,334        50,334
                                -----------   -----------   -----------
Net income per common share     $      1.17   $      0.89   $      2.06
                                ===========   ===========   ===========

Gross loans and fees
 receivable                     $   758,952   $ 1,910,168   $ 2,669,120
                                ===========   ===========   ===========



                                      For The Three Months Ended
                                            March 31, 2006
                                ---------------------------------------
                                    GAAP      Adjustments     MANAGED
                                -----------   -----------   -----------
Net interest margin on loans
 receivable                     $    52,975   $   103,384   $   156,359
Net interest expense                 (6,875)        3,880        (2,995)
Provision / charge offs             (77,829)       33,050       (44,779)
Other operating income              231,908      (111,617)      120,291
Marketing expense                   (26,079)            -       (26,079)
Ancillary product expense            (1,093)            -        (1,093)
Operating expenses                 (121,700)        5,646      (116,054)
Minority interests                   (3,405)        3,405             -
                                -----------   -----------   -----------
Pre-tax net income                   47,902        37,748        85,650
Income taxes                        (17,244)      (13,589)      (30,833)
                                -----------   -----------   -----------
Net income                      $    30,658   $    24,159   $    54,817
                                ===========   ===========   ===========

Weighted average shares
 outstanding                         50,304        50,304        50,304
                                -----------   -----------   -----------
Net income per common share     $      0.61   $      0.48   $      1.09
                                ===========   ===========   ===========

Gross loans and fees
 receivable                     $   629,283   $ 1,882,305   $ 2,511,588
                                ===========   ===========   ===========



                                For The Six Months Ended
                                -------------------------
                                  June 30,      June 30,
                                    2006          2005
                                -----------   -----------

GAAP net income as reported     $    58,960   $   115,712
Securitization adjustment, net
 of tax                               7,549       (11,678)
Provision to charge off
 adjustment, net of tax              37,117        15,065
                                -----------   -----------
Managed net income              $   103,626   $   119,099
                                ===========   ===========
Managed net income per common
 share                          $      2.06   $      2.29
                                ===========   ===========



                                      For The Three Months Ended
                                             June 30, 2005
                                ---------------------------------------
                                    GAAP      Adjustments     MANAGED
                                -----------   -----------   -----------
Net interest margin on loans
 receivable                     $    28,053   $   106,321   $   134,374
Net interest expense                (12,724)        1,120       (11,604)
Provision / charge offs             (34,414)      (12,999)      (47,413)
Other operating income              244,117       (80,703)      163,414
Marketing expense                   (20,156)            —       (20,156)
Ancillary product expense              (575)            —          (575)
Operating expenses                  (96,684)        5,616       (91,068)
Minority interests                   (2,842)        2,842             —
                                -----------   -----------   -----------
Pre-tax net income                  104,775        22,197       126,972
Income taxes                        (38,243)       (8,102)      (46,345)
                                -----------   -----------   -----------
Net income                      $    66,532   $    14,095   $    80,627
                                ===========   ===========   ===========

Weighted average shares
 outstanding                         51,541        51,541        51,541
                                -----------   -----------   -----------
Net income per common share     $      1.29   $      0.27   $      1.56
                                ===========   ===========   ===========

Gross loans and fees
 receivable                     $   351,842   $ 2,008,061   $ 2,359,903
                                ===========   ===========   ===========




                                 For The Six Months Ended June 30, 2005
                                ---------------------------------------
                                    GAAP      Adjustments     MANAGED
                                -----------   -----------   -----------
Net interest margin on loans
 receivable                     $    39,311   $   216,388   $   255,699
Net interest expense                (13,151)        1,735       (11,416)
Provision / charge offs             (48,518)      (39,386)      (87,904)
Other operating income              441,762      (197,004)      244,758
Marketing expense                   (38,206)            -       (38,206)
Ancillary product expense              (741)            -          (741)
Operating expenses                 (186,231)       11,598      (174,633)
Minority interests                  (12,003)       12,003             -
                                -----------   -----------   -----------
Pre-tax net income                  182,223         5,334       187,557
Income taxes                        (66,511)       (1,947)      (68,458)
                                -----------   -----------   -----------
Net income                      $   115,712   $     3,387   $   119,099
                                ===========   ===========   ===========

Weighted average shares
 outstanding                         51,998        51,998        51,998
                                -----------   -----------   -----------
Net income per common share     $      2.23   $      0.06   $      2.29
                                ===========   ===========   ===========

Gross loans and fees
 receivable                     $   351,842   $ 2,008,061   $ 2,359,903
                                ===========   ===========   ===========

Contact Information

  • Contact:
    Jay Putnam
    Investor Relations
    +1-770-206-6200
    Email Contact