EX-99.1 2 ex991.htm COMPUCREDIT 93008 NEWS RELEASE ex991.htm
 


EXHIBIT 99.1
CompuCredit Corporation logo

COMPUCREDIT REPORTS THIRD QUARTER 2008 RESULTS

ATLANTA, GA, November 5, 2008 – CompuCredit (NASDAQ: CCRT) reported a third quarter 2008 GAAP net loss of $32.3 million, or $0.69 per fully diluted common share, versus a third quarter 2007 GAAP net loss of $53.2 million, or $1.10 per fully diluted common share. The third quarter 2008 GAAP net loss from continuing operations was $31.0 million, or $0.66 per fully diluted common share, as compared to a GAAP net loss of $48.0 million, or $0.99 per fully diluted common share, for the third quarter of 2007.

CompuCredit also reported a third quarter 2008 managed loss of $33.7 million, or $0.72 per fully diluted common share, versus third quarter 2007 managed income of $46.5 million or $0.95 per fully diluted common share. The third quarter 2008 managed loss from continuing operations was $32.8 million, or $0.70 per fully diluted common share, as compared to managed income of $50.1 million from continuing operations, or $1.02 per fully diluted common share, for the third quarter of 2007.

"We continue to operate in a capital preservation mode given the continued and unprecedented disruption in the global liquidity markets,” said David G. Hanna, CompuCredit’s Chairman and Chief Executive Officer. “Our focus has been on account management and cost control actions aimed at generating cash and deleveraging our balance sheet given prevailing uncertainties within the credit and capital markets and the U.S. and U.K. economies.”

CompuCredit's net interest margin was 15.1 percent in the third quarter of 2008, as compared to 18.7 percent for the third quarter of 2007 and 12.9 percent in the previous quarter, and its adjusted charge-off rate was 14.2 percent in the third quarter of 2008, as compared to 10.0 percent for the third quarter of 2007 and 19.2 percent in the previous quarter. As of September 30, 2008, the 60-plus day delinquency rate was 13.1 percent, versus 12.6 percent at June 30, 2008 and 14.6 percent at September 30, 2007.

CompuCredit’s GAAP and managed third quarter 2008 results include pre-tax (and non-cash) charges of $29.2 million for Auto Finance segment goodwill impairment.

Various references within this press release and the accompanying financial information are to CompuCredit’s “managed” results, which include the results of its non-securitized receivables, together with the receivables underlying its off-balance-sheet securitization facilities. Financial, operating and statistical data based on these aggregate managed receivables are key to any evaluation of CompuCredit’s performance in managing (including underwriting, valuing purchased receivables, servicing and collecting) the portfolios of receivables reflected on CompuCredit’s balance sheet and underlying its securitization facilities. In allocating CompuCredit’s resources and managing its business, management relies heavily upon financial, operating and statistical data prepared on a so-called “managed basis.” It is also important to analysts, investors and others that CompuCredit provides selected metrics and data on a managed basis because this allows a comparison of CompuCredit to others within the specialty finance industry. Moreover, CompuCredit’s management, analysts, investors and others believe it is critical that they understand the credit performance of the entire portfolio of CompuCredit’s managed receivables because it reveals information concerning the quality of loan originations and the related credit risks inherent within the securitized portfolios and CompuCredit’s retained interests in its securitization facilities.
 
Managed receivables data assume that none of the credit card receivables underlying CompuCredit’s off-balance-sheet securitization facilities was ever transferred to securitization facilities and present the net credit losses and delinquent balances on the receivables as if CompuCredit still owned the receivables. Reconciliation of the managed receivables data to CompuCredit’s GAAP financial statements requires: (1) recognition that substantially all of CompuCredit’s credit card receivables had been sold in securitization transactions as of September 30, 2008; (2) an understanding that CompuCredit’s managed receivables data are based on billings and actual charge-offs as reported to it through underlying systems of record (i.e., without regard to an allowance for uncollectible loans and fees receivable); (3) a look-through to CompuCredit’s economic share of (or equity interest in) the receivables that it manages for its equity-method investees; and (4) removal of CompuCredit’s minority interest holders’ interests in the managed receivables underlying CompuCredit’s GAAP consolidated results.

* * * * *

Further details regarding CompuCredit’s third quarter 2008 financial performance will be discussed during management’s conference call on Wednesday, November 5, 2008 at 5:00 p.m., Eastern Time. The media and public are invited to listen to the live webcast of the call, accessible on the Internet at www.CompuCredit.com. A replay of the conference call also will be available on the web site.

CompuCredit is a specialty finance company and marketer of branded credit cards and related financial services. CompuCredit provides these services to consumers who are underserved by traditional financial institutions. Through corporate and affinity contributions focused on the underserved and un-banked communities, CompuCredit also uses its financial resources and volunteer efforts to address the numerous challenges affecting its customers. For more information about CompuCredit, visit www.CompuCredit.com.

 
 Contacts  
 Investor Relations:
Jay Putnam, 770.828-2612,
Jay.Putnam@CompuCredit.com
 Media Relations:
Tom Donahue, 770.828.1577,
Thomas.Donahue@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
 
   
September 30,
   
June 30,
   
September 30,
 
   
2008
   
2008
   
2007
 
Common Share Statistics
                 
Net Loss From Continuing Operations Per Common Share:
                 
    Basic
  $ (0.66 )   $ (0.91 )   $ (0.99 )
    Diluted
  $ (0.66 )   $ (0.91 )   $ (0.99 )
Loss On Discontinued Operations Per Common Share:
                       
    Basic
  $ (0.03 )   $ (0.05 )   $ (0.11 )
    Diluted
  $ (0.03 )   $ (0.05 )   $ (0.11 )
Net Loss Per Common Share:
                       
    Basic
  $ (0.69 )   $ (0.96 )   $ (1.10 )
    Diluted
  $ (0.69 )   $ (0.96 )   $ (1.10 )
                         
Book Value Per Common Share Outstanding (Period End)
  $ 14.82     $ 15.69     $ 16.23  
Stock Price Per Common Share (Period End)
  $ 3.92     $ 6.00     $ 21.71  
Total Market Capitalization (Period End)
  $ 188,278     $ 288,024     $ 1,068,393  
Shares Outstanding (Period End)(1)
    48,030       48,004       49,212  
Weighted Average Shares Outstanding—Basic
    46,794       46,785       48,506  
Weighted Average Shares Outstanding—Diluted
    46,794       46,785       48,506  
                         
Average Managed Receivables Statistics (2)
                       
Average Managed Receivables
  $ 3,519,736     $ 3,673,251     $ 4,015,074  
Average Shareholders' Equity
  $ 732,643     $ 774,486     $ 822,453  
GAAP Return On Average Managed Receivables
    -3.5 %     -4.7 %     -4.8 %
GAAP Return On Average Equity (ROE)
    -16.9 %     -22.1 %     -23.4 %
Net Interest Margin
    15.1 %     12.9 %     18.7 %
Other Income Ratio
    11.3 %     6.1 %     16.7 %
Net Charge-Off Rate
    15.2 %     20.5 %     13.8 %
Adjusted Charge-Off Rate
    14.2 %     19.2 %     10.0 %
Risk Adjusted Margin
    11.5 %     -0.8 %     25.1 %
Operating Ratio
    16.4 %     13.9 %     13.3 %
                         
Period-End Managed Receivables Statistics (2)
                       
Total Managed Receivables
  $ 3,465,928     $ 3,581,277     $ 4,142,363  
Delinquency Rate (60+ days)
    13.1 %     12.6 %     14.6 %
Number of Accounts
    4,342       4,590       5,492  
Shareholders' Equity
  $ 711,965     $ 753,320     $ 798,736  
Equity to Managed Receivables Ratio
    20.5 %     21.0 %     19.3 %
                         
(1) Shares outstanding balances exclude 3,651,069 shares that are outstanding at September 30, 2008 and June 30, 2008
 
and 5,677,950 shares that are outstanding at September 30, 2007 but that are returnable to CompuCredit under the terms
 
of a share lending arrangement.
                       
(2) Receivables-based statistics are based on continuing operations only.
                 

 
 

 




 
CompuCredit Corporation and Subsidiaries
 
Condensed Consolidated Balance Sheets
 
 (Dollars in thousands)
 
             
   
September 30,
   
December 31,
 
   
2008
   
2007
 
   
(Unaudited)
       
             
Assets
           
Cash and cash equivalents (including restricted cash of $20,423 at September 30, 2008 and $29,128 at December 31, 2007)
  $ 119,364     $ 137,526  
Securitized earning assets
    924,832       1,015,579  
Non-securitized earning assets, net:
               
     Loans and fees receivable, net (of $27,991 and $27,199 in deferred
       revenue and $53,142 and $51,489 in allowances for uncollectible loans
       and fees receivable at September 30, 2008 and December 31, 2007, respectively)
    360,631        357,027   
     Investments in previously charged-off receivables
    34,459       14,523  
     Investments in securities
    5,158       27,714  
Deferred costs, net
    11,391       14,923  
Property at cost, net of depreciation
    52,857       84,466  
Investments in equity-method investees
    53,537       63,023  
Intangibles, net
    6,408       8,248  
Goodwill
    64,896       97,169  
Prepaid expenses and other assets
    68,318       45,247  
Assets held for sale
    -       8,735  
Total assets
  $ 1,701,851     $ 1,874,180  
                 
Liabilities
               
Accounts payable and accrued expenses
  $ 105,658     $ 159,396  
Notes payable and other borrowings
    215,178       235,591  
Convertible senior notes
    500,000       550,000  
Deferred revenue primarily from forward flow agreement
    23,608       33,277  
Current and deferred income tax liabilities
    116,119       70,232  
Liabilities related to assets held for sale
    -       373  
Total liabilities
    960,563       1,048,869  
                 
Minority interests
    29,323       32,732  
                 
Shareholders' equity
               
Common stock, no par value, 150,000,000 shares authorized: 60,427,561 shares issued and 51,681,360 shares
  outstanding at September 30, 2008 (including 3,651,069 loaned shares to be returned); and 61,938,533 shares
  issued and 53,055,505 shares outstanding at December 31, 2007 (including 5,677,950 loaned shares, 2,026,881
  of which were returned subsequent to December 31, 2007 and the remainder of which are to be returned in the future)
    -       -  
Additional paid-in capital
    411,928       409,964  
Treasury stock, at cost, 8,746,201 and 8,883,028 shares at September 30, 2008
  and December 31, 2007, respectively
    (222,533 )     (225,457 )
Accumulated other comprehensive (loss) income
    (10,037 )     1,637  
Retained earnings
    532,607       606,435  
Total shareholders' equity
    711,965       792,579  
Total liabilities and shareholders' equity
  $ 1,701,851     $ 1,874,180  

 
 

 
 


 
CompuCredit Corporation and Subsidiaries
Condensed Consolidated Statements of Operations (Unaudited)
(In thousands, except per share data)
                               
   
For The Three Months Ended
   
For The Nine Months Ended
 
   
September 30,
   
June 30,
   
September 30,
   
September 30,
   
September 30,
 
   
2008
   
2008
   
2007
   
2008
   
2007
 
Interest income:
                             
     Consumer loans, including past due fees
  $ 23,556     $ 24,866     $ 123,934     $ 71,338     $ 298,443  
     Other
    971       1,390       4,697       4,444       17,041  
Total interest income
    24,527       26,256       128,631       75,782       315,484  
     Interest expense
    (10,140 )     (10,375 )     (22,459 )     (31,989 )     (55,322 )
     Net interest income before fees and related income on non-
       securitized earning assets and provision for loan losses
    14,387       15,881       106,172       43,793       260,162  
     Fees and related income on non-securitized earning assets
    44,119       51,458       211,301       151,841       539,938  
     Provision for loan losses
    (17,283 )     (16,103 )     (296,623 )     (53,792 )     (627,937 )
Net interest income, fees and related income on non-securitized
     earning assets
    41,223       51,236       20,850       141,842       172,163  
Other operating income:
                                       
     Fees and related income on securitized earning assets
    4,143       (61,115 )     29,642       (14,481 )     121,332  
     Servicing income
    44,537       44,868       26,273       137,691       72,359  
     Ancillary and interchange revenues
    14,401       15,710       19,197       45,532       49,521  
     Gain on repurchase of convertible senior notes
    -       28,424       -       28,424       -  
     Equity in income of equity-method investees
    1,674       6,982       7,648       17,130       26,947  
Total other operating income
    64,755       34,869       82,760       214,296       270,159  
Other operating expense:
                                       
     Salaries and benefits
    16,407       17,908       20,168       53,094       56,097  
     Card and loan servicing
    65,716       70,767       76,792       213,896       219,264  
     Marketing and solicitation
    8,787       17,081       38,990       41,727       124,652  
     Depreciation
    8,397       7,405       8,680       25,756       28,367  
     Goodwill impairment
    29,164       -       -       29,164       -  
     Other
    28,293       36,307       32,887       93,731       93,545  
Total other operating expense
    156,764       149,468       177,517       457,368       521,925  
Loss from continuing operations before minority interests and income taxes
    (50,786 )     (63,363 )     (73,907 )     (101,230 )     (79,603 )
Minority interests
    30       518       (1,257 )     (1,471 )     (2,763 )
Loss from continuing operations before income taxes
    (50,756 )     (62,845 )     (75,164 )     (102,701 )     (82,366 )
Income tax benefit
    19,728       20,070       27,138       34,411       29,871  
Loss from continuing operations
    (31,028 )     (42,775 )     (48,026 )     (68,290 )     (52,495 )
Discontinued operations:
                                       
     Loss from discontinued operations before income tax benefit
    (1,883 )     (3,300 )     (7,993 )     (9,868 )     (21,935 )
     Income tax benefit
    659       1,155       2,798       3,454       7,677  
Loss from discontinued operations
    (1,224 )     (2,145 )     (5,195 )     (6,414 )     (14,258 )
Net loss
  $ (32,252 )   $ (44,920 )   $ (53,221 )   $ (74,704 )   $ (66,753 )
Loss from continuing operations per common share—basic
  $ (0.66 )   $ (0.91 )   $ (0.99 )   $ (1.46 )   $ (1.07 )
Loss from continuing operations per common share—diluted
  $ (0.66 )   $ (0.91 )   $ (0.99 )   $ (1.46 )   $ (1.07 )
Loss from discontinued operations per common share—basic
  $ (0.03 )   $ (0.05 )   $ (0.11 )   $ (0.14 )   $ (0.29 )
Loss from discontinued operations per common share—diluted
  $ (0.03 )   $ (0.05 )   $ (0.11 )   $ (0.14 )   $ (0.29 )
Net loss per common share—basic
  $ (0.69 )   $ (0.96 )   $ (1.10 )   $ (1.60 )   $ (1.36 )
Net loss per common share—diluted
  $ (0.69 )   $ (0.96 )   $ (1.10 )   $ (1.60 )   $ (1.36 )

 
 

 


CompuCredit Corporation and Subsidiaries
Business Segment Data
(Unaudited)
(In thousands)
 
Three Months Ended September 30, 2008
 
Credit Cards
   
Investments in Previously Charged-Off Receivables
   
Retail Micro-Loans
   
Auto Finance
   
Other
   
Total
 
Net interest income, fees and related income (loss) on
  non-securitized earning assets
  $ (4,067 )   $ 4,927     $ 13,793     $ 18,054     $ 8,516     $ 41,223  
Total other operating income
  $ 64,591     $ 64     $ -     $ 100     $ -     $ 64,755  
(Loss) income from continuing operations before income taxes
  $ (20,666 )   $ (717 )   $ (33 )   $ (30,529 )   $ 1,189     $ (50,756 )
Loss from discontinued operations before income taxes
  $ -     $ -     $ (1,586 )   $ -     $ (297 )   $ (1,883 )
Loans and fees receivable, gross
  $ 4,189     $ -     $ 35,858     $ 380,920     $ 20,797     $ 441,764  
Loans and fees receivable, net
  $ 4,022     $ -     $ 29,809     $ 311,843     $ 14,957     $ 360,631  
Total assets
  $ 1,127,813     $ 46,705     $ 97,507     $ 359,762     $ 70,064     $ 1,701,851  
 
Three Months Ended September 30, 2007
 
Credit Cards
   
Investments in Previously Charged-Off Receivables
   
Retail Micro-Loans
   
Auto Finance
   
Other
   
Total
 
Net interest income, fees and related income (loss) on
  non-securitized earning assets
  $ (17,165 )   $ 13,889     $ 16,359     $ 4,879     $ 2,888     $ 20,850  
Total other operating income
  $ 81,806     $ 251     $ -     $ 703     $ -     $ 82,760  
(Loss) income from continuing operations before income taxes
  $ (77,348 )   $ 9,038     $ 5,245     $ (11,710 )   $ (389 )   $ (75,164 )
Loss from discontinued operations before income taxes
  $ -     $ -     $ (4,357 )   $ -     $ (3,636 )   $ (7,993 )
Loans and fees receivable, gross
  $ 1,245,885     $ -     $ 93,734     $ 309,596     $ 14,556     $ 1,663,771  
Loans and fees receivable, net
  $ 684,039     $ -     $ 82,592     $ 276,173     $ 11,055     $ 1,053,859  
Total assets
  $ 1,790,362     $ 31,534     $ 208,959     $ 370,191     $ 77,520     $ 2,478,566  
 
Nine Months Ended September 30, 2008
 
Credit Cards
   
Investments in Previously Charged-Off Receivables
   
Retail Micro-Loans
   
Auto Finance
   
Other
   
Total
 
Net interest income, fees and related income (loss) on
  non-securitized earning assets
  $ (12,233 )   $ 34,958     $ 47,665     $ 53,723     $ 17,729     $ 141,842  
Total other operating income
  $ 213,498     $ 502     $ -     $ 296     $ -     $ 214,296  
(Loss) income from continuing operations before income taxes
  $ (91,336 )   $ 18,890     $ 7,184     $ (35,051 )   $ (2,388 )   $ (102,701 )
Loss from discontinued operations before income taxes
  $ -     $ -     $ (8,622 )   $ -     $ (1,246 )   $ (9,868 )
Loans and fees receivable, gross
  $ 4,189     $ -     $ 35,858     $ 380,920     $ 20,797     $ 441,764  
Loans and fees receivable, net
  $ 4,022     $ -     $ 29,809     $ 311,843     $ 14,957     $ 360,631  
Total assets
  $ 1,127,813     $ 46,705     $ 97,507     $ 359,762     $ 70,064     $ 1,701,851  
 

Nine Months Ended September 30, 2007
 
Credit Cards
   
Investments in Previously Charged-Off Receivables
   
Retail Micro-Loans
   
Auto Finance
   
Other
   
Total
 
Net interest income, fees and related income on
  non-securitized earning assets
  $ 39,730     $ 43,893     $ 56,291     $ 27,372     $ 4,877     $ 172,163  
Total other operating income
  $ 267,490     $ 834     $ -     $ 1,835     $ -     $ 270,159  
(Loss) income from continuing operations before income taxes
  $ (112,343 )   $ 29,321     $ 16,015     $ (15,366 )   $ 7     $ (82,366 )
Loss from discontinued operations before income taxes
  $ -     $ -     $ (11,447 )   $ -     $ (10,488 )   $ (21,935 )
Loans and fees receivable, gross
  $ 1,245,885     $ -     $ 93,734     $ 309,596     $ 14,556     $ 1,663,771  
Loans and fees receivable, net
  $ 684,039     $ -     $ 82,592     $ 276,173     $ 11,055     $ 1,053,859  
Total assets
  $ 1,790,362     $ 31,534     $ 208,959     $ 370,191     $ 77,520     $ 2,478,566  



 
For The Three Months Ended
 
For The Nine Months Ended

   
September 30,
 2008
   
June 30,
 2008
   
September 30,
 2007
   
September 30,
 2008
   
September 30,
 2007
 
GAAP net loss as reported
  $ (32,252 )   $ (44,920 )   $ (53,221 )   $ (74,704 )   $ (66,753 )
Securitization adjustment, net of tax
    4,012       (53,049 )     (2,368 )     (151,384 )     (28,758 )
Provision to charge off adjustment, net of tax
    (5,415 )     (3,023 )     102,083       (13,832 )     144,829  
Managed net (loss) income
  $ (33,655 )   $ (100,992 )   $ 46,494     $ (239,920 )   $ 49,318  
Managed net (loss) income per common share
  $ (0.72 )   $ (2.16 )   $ 0.95     $ (5.13 )   $ 0.99  
 
                                     
   
For The Three Months Ended September 30, 2008
 
For The Three Months Ended September 30, 2007
 
   
GAAP
   
Adjustments
 
Managed
   
GAAP
   
Adjustments
 
Managed
 
Net interest margin on loans receivable
  $ 23,556     $ 108,876     $ 132,432     $ 123,934     $ 63,549     $ 187,483  
Net interest expense
    (9,169 )     3,921       (5,248 )     (17,762 )     13,829       (3,933 )
Provision / charge offs
    (17,283 )     (107,792 )     (125,075 )     (296,623 )     196,346       (100,277 )
Other operating income
    108,874       (9,505 )     99,369       294,061       (126,179 )     167,882  
Marketing expense
    (8,787 )     -       (8,787 )     (38,990 )     -       (38,990 )
Ancillary product expense
    (226 )     -       (226 )     (683 )     -       (683 )
Operating expenses
    (147,751 )     3,607       (144,144 )     (137,844 )     4,562       (133,282 )
Minority interests
    30       (30 )     -       (1,257 )     1,257       -  
Pre-tax (loss) income from continuing operations
    (50,756 )     (923 )     (51,679 )     (75,164 )     153,364       78,200  
Income tax benefit (expense)
    19,728       (846 )     18,882       27,138       (55,236 )     (28,098 )
(Loss) income from continuing operations
    (31,028 )     (1,769 )     (32,797 )     (48,026 )     98,128       50,102  
Pre-tax discontinued operations loss
    (1,883 )     563       (1,320 )     (7,993 )     2,442       (5,551 )
Income tax benefit of discontinued operations
    659       (197 )     462       2,798       (855 )     1,943  
Loss from discontinued operations
    (1,224 )     366       (858 )     (5,195 )     1,587       (3,608 )
Net (loss) income
  $ (32,252 )   $ (1,403 )   $ (33,655 )   $ (53,221 )   $ 99,715     $ 46,494  
Weighted average shares outstanding
    46,794               46,794       48,506               48,987  
(Loss) income from continuing operations per common share
  $ (0.66 )   $ (0.04 )   $ (0.70 )   $ (0.99 )   $ 2.01     $ 1.02  
Loss from discontinued operations per common share
  $ (0.03 )   $ 0.01     $ (0.02 )   $ (0.11 )   $ 0.04     $ (0.07 )
Net (loss) income per common share
  $ (0.69 )   $ (0.03 )   $ (0.72 )   $ (1.10 )   $ 2.05     $ 0.95  
Gross loans and fees receivable
  $ 441,764     $ 3,024,164     $ 3,465,928     $ 1,663,771     $ 2,478,592     $ 4,142,363  
                                                 
 
   
For The Nine Months Ended September 30, 2008
   
For The Nine Months Ended September 30, 2007
 
   
GAAP
   
Adjustments
   
Managed
   
GAAP
   
Adjustments
   
Managed
 
Net interest margin on loans receivable
  $ 71,338     $ 315,548     $ 386,886     $ 298,443     $ 197,432     $ 495,875  
Net interest expense
    (27,545 )     11,173       (16,372 )     (38,281 )     28,675       (9,606 )
Provision / charge offs
    (53,792 )     (431,670 )     (485,462 )     (627,937 )     355,248       (272,689 )
Other operating income
    366,137       (163,254 )     202,883       810,097       (420,682 )     389,415  
Marketing expense
    (41,727 )     -       (41,727 )     (124,652 )     -       (124,652 )
Ancillary product expense
    (801 )     -       (801 )     (1,761 )     -       (1,761 )
Operating expenses
    (414,840 )     12,310       (402,530 )     (395,512 )     14,197       (381,315 )
Minority interests
    (1,471 )     1,471       -       (2,763 )     2,763       -  
Pre-tax (loss) income from continuing operations
    (102,701 )     (254,422 )     (357,123 )     (82,366 )     177,633       95,267  
Income tax benefit (expense)
    34,411       89,313       123,724       29,871       (63,985 )     (34,114 )
(Loss) income from continuing operations
    (68,290 )     (165,109 )     (233,399 )     (52,495 )     113,648       61,153  
Pre-tax discontinued operations loss
    (9,868 )     (164 )     (10,032 )     (21,935 )     3,727       (18,208 )
Income tax benefit of discontinued operations
    3,454       57       3,511       7,677       (1,304 )     6,373  
Loss from discontinued operations
    (6,414 )     (107 )     (6,521 )     (14,258 )     2,423       (11,835 )
Net (loss) income
  $ (74,704 )   $ (165,216 )   $ (239,920 )   $ (66,753 )   $ 116,071     $ 49,318  
Weighted average shares outstanding
    46,773               46,773       49,078               49,687  
(Loss) income from continuing operations per common share
  $ (1.46 )   $ (3.53 )   $ (4.99 )   $ (1.07 )   $ 2.30     $ 1.23  
Loss from discontinued operations per common share
  $ (0.14 )   $ -     $ (0.14 )   $ (0.29 )   $ 0.05     $ (0.24 )
Net (loss) income per common share
  $ (1.60 )   $ (3.53 )   $ (5.13 )   $ (1.36 )   $ 2.35     $ 0.99  
Gross loans and fees receivable
  $ 441,764     $ 3,024,164     $ 3,465,928     $ 1,663,771     $ 2,478,592     $ 4,142,363  



 
   
For The Three Months Ended June 30, 2008
 
   
GAAP
   
Adjustments
   
Managed
 
Net interest margin on loans receivable
  $ 24,866     $ 93,964     $ 118,830  
Net interest expense
    (8,985 )     3,368       (5,617 )
Provision / charge offs
    (16,103 )     (160,080 )     (176,183 )
Other operating income
    86,327       (30,487 )     55,840  
Marketing expense
    (17,081 )     -       (17,081 )
Ancillary product expense
    (231 )     -       (231 )
Operating expenses
    (132,156 )     4,500       (127,656 )
Minority interests
    518       (518 )     -  
Pre-tax loss from continuing operations
    (62,845 )     (89,253 )     (152,098 )
Income tax benefit
    20,070       33,164       53,234  
Loss from continuing operations
    (42,775 )     (56,089 )     (98,864 )
Pre-tax discontinued operations loss
    (3,300 )     26       (3,274 )
Income tax benefit of discontinued operations
    1,155       (9 )     1,146  
Loss from discontinued operations
    (2,145 )     17       (2,128 )
Net loss
  $ (44,920 )   $ (56,072 )   $ (100,992 )
Weighted average shares outstanding
    46,785               46,785  
Loss from continuing operations per common share
  $ (0.91 )   $ (1.20 )   $ (2.11 )
Loss from discontinued operations per common share
  $ (0.05 )   $ -     $ (0.05 )
Net loss per common share
  $ (0.96 )   $ (1.20 )   $ (2.16 )
Gross loans and fees receivable
  $ 468,872     $ 3,112,405     $ 3,581,277