SOURCE: CompuCredit

February 13, 2007 16:34 ET

CompuCredit Reports Fourth Quarter 2006 Earnings

ATLANTA, GA -- (MARKET WIRE) -- February 13, 2007 --CompuCredit (NASDAQ: CCRT) reported fourth quarter 2006 managed earnings of $19.9 million, or $0.40 of managed earnings per fully diluted share, as compared to managed earnings of $18.1 million, or $0.36 of managed earnings per fully diluted share for the fourth quarter of 2005.

Under GAAP, or generally accepted accounting principles, fourth quarter 2006 net income was $9.7 million, or $0.19 net income per common share on a fully diluted basis, as compared to fourth quarter 2005 net income of $3.0 million, or $0.06 net income per common share on a fully diluted basis.

The managed and GAAP fourth quarter 2006 results are net of CompuCredit's $15 million charitable contribution (which reduced net income by $0.19 per diluted share) under the 2006 CompuCredit Corporation Shareholder Charitable Designation Program, and the managed and GAAP fourth quarter 2005 results are net of CompuCredit's $12 million charitable contribution (which reduced net income by $0.15 per diluted share) under the 2005 CompuCredit Corporation Shareholder Charitable Designation Program.

CompuCredit's net interest margin was 22.6 percent in the fourth quarter of 2006, as compared to 22.4 percent for the fourth quarter of 2005 and 26.0 percent in the previous quarter. The adjusted charge-off rate decreased to 11.0 percent in the fourth quarter of 2006 from 11.2 percent for the fourth quarter of 2005 and increased from 9.4 percent in the previous quarter. As of December 31, 2006, the 60-plus day delinquency rate was 14.1 percent, up from 9.3 percent as of December 31, 2005 and 14.0 percent as of September 30, 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 we 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 credit card receivables (i.e., all but $760.8 million of GAAP credit card receivables at gross face value) had been sold in securitization transactions as of December 31, 2006; (2) an understanding that CompuCredit's 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 loans and fees receivable); (3) a look-through to CompuCredit's economic share of (or equity interest in) the receivables that we manage for CompuCredit's 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 2005.

Further details regarding CompuCredit's fourth quarter 2006 financial performance will be discussed during management's conference call on Wednesday, February 14, 2007 at 8:00 a.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
                                  December 31,  September 30, December 31,
                                      2006          2006          2005
                                  ------------  ------------  ------------

Common Share Statistics
Net Income Per Common
 Share--Basic                     $       0.20  $       0.80  $       0.06
Net Income Per Common
 Share--Diluted                   $       0.19  $       0.78  $       0.06
Book Value Per Common Share
 Outstanding (Period End)         $      17.89  $      17.65  $      15.67
Stock Price Per Share (Period
 End)                             $      39.81  $      30.21  $      38.46
Total Market Capitalization
 (Period End)                     $  1,967,240  $  1,491,052  $  1,882,620
Shares Outstanding (Period
 End)(1)                                49,416        49,356        48,950
Weighted Average Shares
 Outstanding--Basic                     48,745        48,742        48,603
Weighted Average Shares
 Outstanding--Diluted                   50,328        50,022        50,387

Average Managed Receivables
 Statistics (2)
Average Managed Receivables       $  2,771,383  $  2,719,653  $  2,430,026
Average Shareholders' Equity      $    878,944  $    850,179  $    764,993
GAAP Return on Average Managed
 Receivables                               1.4%          5.7%          0.5%
GAAP Return on Average Equity
 (ROE)                                     4.4%         18.3%          1.6%
Net Interest Margin                       22.6%         26.0%         22.4%
Other Income Ratio                        16.5%         15.7%         17.4%
Net Charge-Off Rate                       12.1%         10.1%         13.4%
Adjusted Charge-Off Rate                  11.0%          9.4%         11.2%
Adjusted Charge Offs              $     76,050  $     63,596  $     67,777
Risk Adjusted Margin                      27.7%         32.0%         28.4%
Operating Ratio                           18.7%         15.9%         18.6%

Period-End Managed Receivables
 Statistics (2)
Total Managed Receivables         $  2,815,219  $  2,754,125  $  2,493,244
Delinquency Rate (60+ days)               14.1%         14.0%          9.3%
Number of Accounts                       3,865         3,773         3,588
Shareholders' Equity              $    883,940  $    871,217  $    767,211
Equity to Managed Receivables
 Ratio                                    31.4%         31.6%         30.8%


(1) Shares outstanding balances exclude 5,677,950 shares that are
outstanding at December 31, 2006, December 31, 2005 and September 30, 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)

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

Assets
Cash and cash equivalents (including restricted
 cash of $15,104 and $11,065 at December 31,
 2006 and 2005, respectively)                   $    110,412  $    240,655
Securitized earning assets                           801,715       786,983
Non-securitized earning assets, net:
  Loans and fees receivable, net (of $118,005
   and $100,414 in deferred revenue and
   $225,319 and $54,240 in allowances for
   uncollectible loans and fees receivable at
   December 31, 2006 and  2005, respectively)        653,716       375,919
  Investments in previously charged-off
   receivables                                        12,871        16,993
  Investments in securities                          141,657        75,399
  U.S. government securities resale agreements        50,577             -
Deferred costs, net                                   25,762        31,012
Software, furniture, fixtures and equipment,
 net                                                  63,986        48,383
Investments in equity-method investees                83,038        69,343
Intangibles, net                                      12,382        13,749
Goodwill                                             120,115       130,800
Prepaid expenses and other assets                     37,666        31,954
                                                ------------  ------------
Total assets                                    $  2,113,897  $  1,821,190
                                                ============  ============


Liabilities
Accounts payable and accrued expenses           $    112,453  $     96,483
Notes payable and other borrowings                   358,694       165,186
Convertible senior notes                             550,000       550,000
Deferred revenue primarily from forward-flow
 agreement                                            55,260        67,585
Current and deferred income tax liabilities          112,983       129,283
                                                ------------  ------------
Total liabilities                                  1,189,390     1,008,537

Minority interests                                    40,567        45,442

Shareholders' equity
Common stock, no par value, 150,000,000 shares
 authorized: 59,464,216 shares issued and
 55,093,686 shares outstanding at December 31,
 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                           321,022       312,752
Treasury stock, at cost, 4,370,530 and
 4,452,590 shares at December 31, 2006 and
 2005, respectively                                 (124,084)     (125,068)
Warrants                                              25,610        25,610
Retained earnings                                    661,392       553,917
                                                ------------  ------------

Total shareholders' equity                           883,940       767,211
                                                ------------  ------------

Total liabilities and shareholders' equity      $  2,113,897  $  1,821,190
                                                ============  ============



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

                         For Three Months Ended          For Year Ended
                     -------------------------------  --------------------
                     December   September  December   December   December
                         31,        30,       31,        31,        31,
                        2006       2006      2005       2006       2005
                     ---------  ---------  ---------  ---------  ---------

Interest income:
  Consumer loans,
   including past
   due fees          $  83,212  $  77,003  $  41,739  $ 278,994  $ 113,308
  Other                  5,663      4,524      4,195     19,142     12,307
                     ---------  ---------  ---------  ---------  ---------
Total interest
 income                 88,875     81,527     45,934    298,136    125,615
Interest expense       (15,528)   (12,573)    (8,831)   (52,472)   (33,971)
                     ---------  ---------  ---------  ---------  ---------
Net interest income
 before fees and
 related income on
 non-securitized
 earning assets and
 provision for loan
 losses                 73,347     68,954     37,103    245,664     91,644
  Fees and related
   income on
   non-securitized
   earning assets      180,084    152,188    100,150    596,411    477,482
  Provision for loan
   losses             (171,777)  (135,040)   (53,812)  (512,579)  (140,660)
                     ---------  ---------  ---------  ---------  ---------
Net interest income,
 fees and related
 income on
 non-securitized
 earning assets         81,654     86,102     83,441    329,496    428,466

Other operating
 income:
Fees and related
 income on securitized
 earning assets         53,786     50,837     11,295    200,232    127,779
Servicing income        19,566     19,908     35,309     90,855    143,128
Ancillary and
 interchange
 revenues               14,223      9,857      9,627     43,318     28,954
Equity in income of
 equity-method
 investees              13,172     42,164      9,738    106,883     45,627
                     ---------  ---------  ---------  ---------  ---------
Total other operating
 income                100,747    122,766     65,969    441,288    345,488
Other operating
 expense:
Salaries and
 benefits               12,666     14,523      9,652     50,211     33,815
Card and loan
 servicing              67,626     65,419     60,976    259,496    238,599
Marketing and
 solicitation           30,371     24,966     30,326    106,063     95,280
Depreciation            10,094      7,875      5,188     32,843     18,593
Goodwill impairment          -          -          -     10,546          -
Other                   45,411     29,082     39,942    130,797    104,475
                     ---------  ---------  ---------  ---------  ---------
Total other operating
 expense               166,168    141,865    146,084    589,956    490,762
                     ---------  ---------  ---------  ---------  ---------
Income before
 minority interests
 and income taxes       16,233     67,003      3,326    180,828    283,192
Minority interests      (1,069)    (6,363)     1,360    (12,898)   (13,349)
                     ---------  ---------  ---------  ---------  ---------
Income before income
 taxes                  15,164     60,640      4,686    167,930    269,843
Income taxes            (5,459)   (21,830)    (1,711)   (60,455)   (98,493)
                     ---------  ---------  ---------  ---------  ---------
Net income           $   9,705  $  38,810  $   2,975  $ 107,475  $ 171,350
                     =========  =========  =========  =========  =========

 Net income per
  common             $    0.20  $    0.80  $    0.06  $    2.21  $    3.46
                     =========  =========  =========  =========  =========
 Net income per
  common share--
  diluted            $    0.19  $    0.78  $    0.06  $    2.14  $    3.34
                     =========  =========  =========  =========  =========



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


                                                 Investments
                                                     in
                                                 Previously
     Three Months Ended                          Charged Off    Retail
     December 31, 2006              Credit Cards Receivables  Micro-Loans
                                    ------------ ------------ -----------
Net interest income, fees and
 related income on non-securitized
 earning assets                     $     36,139 $     14,149 $    24,274
                                    ============ ============ ===========
Total other operating income (loss) $    100,159 $        217 $       153
                                    ============ ============ ===========
Income (loss) before income taxes   $     13,556 $      9,374 $     3,878
                                    ============ ============ ===========
Loans and fees receivable, gross    $    760,825 $          - $    90,615
                                    ============ ============ ===========
Loans and fees receivable, net      $    451,640 $          - $    82,522
                                    ============ ============ ===========
Total assets                        $  1,674,896 $     28,988 $   218,809
                                    ============ ============ ===========

                                                 Investments
                                                     in
                                                 Previously
                                                 Charged Off    Retail
    Year Ended December 31, 2006    Credit Cards Receivables  Micro-Loans
                                    ------------ ------------ -----------
Net interest income, fees and
 related income on non-securitized
 earning assets                     $    167,605 $     47,426 $    80,114
                                    ============ ============ ===========
Total other operating income (loss) $    433,904 $        528 $     5,993
                                    ============ ============ ===========
Income (loss) before income taxes   $    179,829 $     30,079 $   (10,607)
                                    ============ ============ ===========
Loans and fees receivable, gross    $    760,825 $          - $    90,615
                                    ============ ============ ===========
Loans and fees receivable, net      $    451,640 $          - $    82,522
                                    ============ ============ ===========
Total assets                        $  1,674,896 $     28,988 $   218,809
                                    ============ ============ ===========

                                                 Investments
                                                    in
                                                 Previously
    Three Months Ended                           Charged Off    Retail
    December 31, 2005               Credit Cards Receivables  Micro-Loans
                                    ------------ ------------ -----------
Net interest income, fees and
 related income (loss) on
 non-securitized earning assets     $     52,316 $      7,978 $    17,528
                                    ============ ============ ===========
Total other operating income        $     59,979 $         25 $     5,385
                                    ============ ============ ===========
Income (loss) before income taxes   $     11,270 $      2,312 $     3,209
                                    ============ ============ ===========
Loans and fees receivable, gross    $    326,696 $          - $    57,806
                                    ============ ============ ===========
Loans and fees receivable, net      $    204,777 $          - $    52,001
                                    ============ ============ ===========
Total assets                        $  1,405,883 $     36,369 $   200,579
                                    ============ ============ ===========

                                                 Investments
                                                     in
                                                 Previously
                                                 Charged Off    Retail
    Year Ended December 31, 2005    Credit Cards Receivables  Micro-Loans
                                    ------------ ------------ -----------
Net interest income, fees and
 related income (loss) on
 non-securitized earning assets     $    221,349 $    119,157 $    63,147
                                    ============ ============ ===========
Total other operating income        $    317,359 $      4,320 $    23,229
                                    ============ ============ ===========
Income (loss) before income taxes   $    199,868 $     92,016 $     9,768
                                    ============ ============ ===========
Loans and fees receivable, gross    $    326,696 $          - $    57,806
                                    ============ ============ ===========
Loans and fees receivable, net      $    204,777 $          - $    52,001
                                    ============ ============ ===========
Total assets                        $  1,405,883 $     36,369 $   200,579
                                    ============ ============ ===========




    Three Months Ended
    December 31, 2006               Auto Finance     Other        Total
                                    ------------  -----------  ------------
Net interest income, fees and
 related income on non-securitized
 earning assets                     $      5,009  $     2,083  $     81,654
                                    ============  ===========  ============
Total other operating income (loss) $        218  $         -  $    100,747
                                    ============  ===========  ============
Income (loss) before income taxes   $     (2,343) $    (9,301) $     15,164
                                    ============  ===========  ============
Loans and fees receivable, gross    $    137,169  $     8,431  $    997,040
                                    ============  ===========  ============
Loans and fees receivable, net      $    113,466  $     6,088  $    653,716
                                    ============  ===========  ============
Total assets                        $    157,500  $    33,704  $  2,113,897
                                    ============  ===========  ============

    Year Ended December 31, 2006    Auto Finance     Other        Total
                                    ------------  -----------  ------------
Net interest income, fees and
 related income on non-securitized
 earning assets                     $     32,151  $     2,200  $    329,496
                                    ============  ===========  ============
Total other operating income (loss) $        838  $        25  $    441,288
                                    ============  ===========  ============
Income (loss) before income taxes   $      4,280  $   (35,651) $    167,930
                                    ============  ===========  ============
Loans and fees receivable, gross    $    137,169  $     8,431  $    997,040
                                    ============  ===========  ============
Loans and fees receivable, net      $    113,466  $     6,088  $    653,716
                                    ============  ===========  ============
Total assets                        $    157,500  $    33,704  $  2,113,897
                                    ============  ===========  ============

    Three Months Ended
    December 31, 2005               Auto Finance     Other        Total
                                    ------------  -----------  ------------
Net interest income, fees and
 related income (loss) on
 non-securitized earning assets     $      7,224  $    (1,605) $     83,441
                                    ============  ===========  ============
Total other operating income        $        580  $         -  $     65,969
                                    ============  ===========  ============
Income (loss) before income taxes   $      1,139  $   (13,244) $      4,686
                                    ============  ===========  ============
Loans and fees receivable, gross    $    144,489  $     1,582  $    530,573
                                    ============  ===========  ============
Loans and fees receivable, net      $    118,189  $       952  $    375,919
                                    ============  ===========  ============
Total assets                        $    159,222  $    19,137  $  1,821,190
                                    ============  ===========  ============

    Year Ended December 31, 2005    Auto Finance     Other        Total
                                    ------------  -----------  ------------
Net interest income, fees and
 related income (loss) on
 non-securitized earning assets     $     25,452  $      (639) $    428,466
                                    ============  ===========  ============
Total other operating income        $        580  $         -  $    345,488
                                    ============  ===========  ============
Income (loss) before income taxes   $      6,117  $   (37,926) $    269,843
                                    ============  ===========  ============
Loans and fees receivable, gross    $    144,489  $     1,582  $    530,573
                                    ============  ===========  ============
Loans and fees receivable, net      $    118,189  $       952  $    375,919
                                    ============  ===========  ============
Total assets                        $    159,222  $    19,137  $  1,821,190
                                    ============  ===========  ============



                 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    September     December
                                       31, 2006     30, 2006     31, 2005
                                     -----------  -----------  -----------

GAAP net income as reported          $     9,705  $    38,810  $     2,975
Securitization adjustment, net of
 tax                                     (11,698)       3,149          582
Provision to charge off adjustment,
 net of tax                               21,912       11,415       14,545
                                     -----------  -----------  -----------
Managed net income                   $    19,919  $    53,374  $    18,102
                                     ===========  ===========  ===========
Managed net income per common share  $      0.40  $      1.07  $      0.36
                                     ===========  ===========  ===========


                                          For The Three Months Ended
                                              December 31, 2006
                                     -------------------------------------
                                        GAAP      Adjustments    MANAGED
                                     -----------  -----------  -----------
Net interest margin on loans
 receivable                          $    83,212  $    73,502  $   156,714
Net interest expense                      (9,865)       6,344       (3,521)
Provision / charge offs                 (171,777)      95,727      (76,050)
Other operating income                   280,831     (166,221)     114,610
Marketing expense                        (30,371)           -      (30,371)
Ancillary product expense                   (412)           -         (412)
Operating expenses                      (135,385)       5,538     (129,847)
Minority interests                        (1,069)       1,069            -
                                     -----------  -----------  -----------
Pre-tax net income                        15,164       15,959       31,123
Income taxes                              (5,459)      (5,745)     (11,204)
                                     -----------  -----------  -----------
Net income                           $     9,705  $    10,214  $    19,919
                                     ===========  ===========  ===========

Weighted average shares outstanding       50,328       50,328       50,328
                                     -----------  -----------  -----------
Net income per common share          $      0.19  $      0.21  $      0.40
                                     ===========  ===========  ===========

Gross loans and fees receivable      $   997,040  $ 1,818,179  $ 2,815,219
                                     ===========  ===========  ===========


                                     For The Year Ended December 31, 2006
                                     -------------------------------------
                                        GAAP      Adjustments    MANAGED
                                     -----------  -----------  -----------
Net interest margin on loans
 receivable                          $   278,994  $   364,805  $   643,799
Net interest expense                     (33,330)      20,651      (12,679)
Provision / charge offs                 (512,579)     273,933     (238,646)
Other operating income                 1,037,699     (586,118)     451,581
Marketing expense                       (106,063)           -     (106,063)
Ancillary product expense                 (2,868)           -       (2,868)
Operating expenses                      (481,025)      22,336     (458,689)
Minority interests                       (12,898)      12,898            -
                                     -----------  -----------  -----------
Pre-tax net income                       167,930      108,505      276,435
Income taxes                             (60,455)     (39,061)     (99,516)
                                     -----------  -----------  -----------
Net income                           $   107,475  $    69,444  $   176,919
                                     ===========  ===========  ===========

Weighted average shares outstanding       50,338       50,338       50,338
                                     -----------  -----------  -----------
Net income per common share          $      2.14  $      1.37  $      3.51
                                     ===========  ===========  ===========

Gross loans and fees receivable      $   997,040  $ 1,818,179  $ 2,815,219
                                     ===========  ===========  ===========


                                          For The Three Months Ended
                                             September 30, 2006
                                     -------------------------------------
                                        GAAP      Adjustments    MANAGED
                                     -----------  -----------  -----------
Net interest margin on loans
 receivable                          $    77,003  $    99,482  $   176,485
Net interest expense                      (8,049)       5,581       (2,468)
Provision / charge offs                 (135,040)      71,472      (63,568)
Other operating income                   274,954     (168,156)     106,798
Marketing expense                        (24,966)           -      (24,966)
Ancillary product expense                   (720)           -         (720)
Operating expenses                      (116,179)       8,014     (108,165)
Minority interests                        (6,363)       6,363            -
                                     -----------  -----------  -----------
Pre-tax net income                        60,640       22,756       83,396
Income taxes                             (21,830)      (8,192)     (30,022)
                                     -----------  -----------  -----------
Net income                           $    38,810  $    14,564  $    53,374
                                     ===========  ===========  ===========

Weighted average shares outstanding       50,022       50,022       50,022
                                     -----------  -----------  -----------
Net income per common share          $      0.78  $      0.29  $      1.07
                                     ===========  ===========  ===========

Gross loans and fees receivable      $   829,189  $ 1,924,936  $ 2,754,125
                                     ===========  ===========  ===========




                                        For The Year Ended
                                     ------------------------
                                     December 31, December 31,
                                        2006          2005
                                     -----------  -----------

GAAP net income as reported          $   107,475  $   171,350
Securitization adjustment, net of
 tax                                      (1,000)     (33,478)
Provision to charge off adjustment,
 net of tax                               70,444       42,852
                                     -----------  -----------
Managed net income                   $   176,919  $   180,724
                                     ===========  ===========
Managed net income per common share  $      3.51  $      3.53
                                     ===========  ===========


                                          For The Three Months Ended
                                              December 31, 2005
                                     -------------------------------------
                                        GAAP      Adjustments    MANAGED
                                     -----------  -----------  -----------
Net interest margin on loans
 receivable                          $    41,739  $    94,506  $   136,245
Net interest expense                      (4,636)       2,831       (1,805)
Provision / charge offs                  (53,812)     (13,965)     (67,777)
Other operating income                   166,119      (60,154)     105,965
Marketing expense                        (30,326)           -      (30,326)
Ancillary product expense                   (654)           -         (654)
Operating expenses                      (115,104)       1,963     (113,141)
Minority interests                         1,360       (1,360)           -
                                     -----------  -----------  -----------
Pre-tax net income                         4,686       23,821       28,507
Income taxes                              (1,711)      (8,694)     (10,405)
                                     -----------  -----------  -----------
Net income                           $     2,975  $    15,127  $    18,102
                                     ===========  ===========  ===========

Weighted average shares outstanding       50,387       50,387       50,387
                                     -----------  -----------  -----------
Net income per common share          $      0.06  $      0.30  $      0.36
                                     ===========  ===========  ===========

Gross loans and fees receivable      $   530,573  $ 1,962,671  $ 2,493,244
                                     ===========  ===========  ===========


                                      For The Year Ended December 31, 2005
                                     -------------------------------------
                                         GAAP     Adjustments    MANAGED
                                     -----------  -----------  -----------
Net interest margin on loans
 receivable                          $   113,308  $   417,034  $   530,342
Net interest expense                     (21,664)       6,820      (14,844)
Provision / charge offs                 (140,660)     (61,273)    (201,933)
Other operating income                   822,970     (378,049)     444,921
Marketing expense                        (95,280)           -      (95,280)
Ancillary product expense                 (1,808)           -       (1,808)
Operating expenses                      (393,674)      16,880     (376,794)
Minority interests                       (13,349)      13,349            -
                                     -----------  -----------  -----------
Pre-tax net income                       269,843       14,761      284,604
Income taxes                             (98,493)      (5,387)    (103,880)
                                     -----------  -----------  -----------
Net income                           $   171,350  $     9,374  $   180,724
                                     ===========  ===========  ===========

Weighted average shares outstanding       51,228       51,228       51,228
                                     -----------  -----------  -----------
Net income per common share          $      3.34  $      0.19  $      3.53
                                     ===========  ===========  ===========

Gross loans and fees receivable      $   530,573  $ 1,962,671  $ 2,493,244
                                     ===========  ===========  ===========

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