For the year ended
The Company previously announced its decision to close its 24 centers in
The provision for doubtful accounts as a percent of total revenues for the
year ended
Center gross profit for the year ended
On
General and administrative expenses for the year ended
Income before income taxes for the year ended
For the year ended
Net income for the year ended
Diluted earnings per share were
Commenting on the 2008 results, Advance America's President and Chief
Executive Officer,
Today, the Company's Board of Directors declared a regular quarterly
dividend of
As of
As of
The Company will discuss these results during a conference call on
About Advance America
Founded in 1997, Advance America, Cash Advance Centers, Inc. (NYSE: AEA)
is the country's leading provider of cash advance services, with approximately
2,800 centers and 79 limited licensees in 32 states, the
Forward-Looking Statements and Information:
Certain statements contained in this release may constitute 'forward-
looking statements' within the meaning of federal securities laws. All
statements in this release other than those relating to our historical
information or current condition are forward-looking statements. For example,
any statements regarding our future financial performance, our business
strategy, and expected developments in our industry are forward-looking
statements. Although we believe that the current views and expectations
reflected in these forward-looking statements are reasonable, those views and
expectations and the related statements are inherently subject to risks,
uncertainties, and other factors, many of which are not under our control and
may not even be predictable. Therefore, actual results could differ
materially from our expectations as of today and any future results,
performance, or achievements expressed directly or impliedly by the forward-
looking statements. For a more detailed discussion of some of the factors
that may cause our actual results to differ from our current expectations,
please refer to the 'Risk Factors' section of our Annual Report on Form 10-K
for the fiscal year ended
Consolidated Statements of Income
Quarter and Year Ended December 31, 2007 and 2008
(in thousands, except per share data)
Quarter Ended Year Ended
December 31, December 31,
2007 2008 2007 2008
(unaudited)(unaudited)
Total Revenues $183,609 $174,977 $709,557 $676,436
Center Expenses:
Salaries and related payroll costs 50,225 48,462 199,416 196,951
Provision for doubtful accounts 42,902 42,725 140,245 135,857
Occupancy costs 24,679 25,082 96,847 100,315
Center depreciation expense 4,324 4,060 17,200 16,698
Advertising expense 7,332 4,205 26,770 20,304
Other center expenses 15,093 11,922 59,340 48,652
Total center expenses 144,555 136,456 539,818 518,777
Center gross profit 39,054 38,521 169,739 157,659
Corporate and Other Expenses
(Income):
General and administrative
expenses 15,404 19,822 59,410 70,518
Corporate depreciation expense 752 713 3,162 3,033
Interest expense 3,288 2,942 11,059 11,188
Interest income (56) (21) (317) (128)
Loss on disposal of property and
equipment 761 112 3,189 551
Loss on impairment of assets - 250 314 486
Income before income taxes 18,905 14,703 92,922 72,011
Income tax expense 7,510 8,765 37,831 33,540
Income before income of
consolidated variable interest
entity 11,395 5,938 55,091 38,471
Income of consolidated variable
interest entity 105 - (706) -
Net income $11,500 $5,938 $54,385 $38,471
Net income per common share -
basic $0.15 $0.10 $0.70 $0.60
Weighted average number of shares
outstanding - basic 75,425 60,831 77,923 64,233
Net income per common share -
diluted $0.15 $0.10 $0.70 $0.60
Weighted average number of shares
outstanding - diluted 75,426 60,831 77,935 64,233
Consolidated Balance Sheets
December 31, 2007 and December 31, 2008
(in thousands, except per share data)
December 31, December 31,
2007 2008
Assets
Current assets
Cash and cash equivalents $28,251 $16,017
Advances and fees receivable, net 221,480 220,115
Deferred income taxes 13,737 13,008
Other current assets 13,578 15,721
Total current assets 277,046 264,861
Restricted cash 5,701 4,633
Property and equipment, net 57,616 46,091
Goodwill 127,286 126,661
Other assets 4,049 4,764
Total assets $471,698 $447,010
Liabilities and Stockholders' Equity
Current liabilities
Accounts payable $16,204 $13,977
Accrued liabilities 31,823 33,917
Income tax payable - 1,625
Accrual for third-party lender
losses 4,587 3,960
Current portion of long-term debt 542 545
Total current liabilities 53,156 54,024
Revolving credit facility 142,302 189,817
Long-term debt 5,136 4,590
Deferred income taxes 20,629 22,311
Deferred revenue - 4,791
Other liabilities 184 218
Total liabilities 221,407 275,751
Commitments and contingencies
Stockholders' equity
Preferred stock, par value $.01 per
share, 25,000 shares authorized;
no shares issued and outstanding - -
Common stock, par value $.01 per
share, 250,000 shares authorized;
96,821 shares issued and 72,947
shares outstanding at December 31,
2007; 96,821 shares issued and
61,087 shares outstanding at
December 31, 2008 968 968
Paid in capital 286,999 288,635
Retained earnings 133,789 143,961
Accumulated other comprehensive loss (75) (2,585)
Common stock in treasury (23,874
shares at cost at December 31, 2007;
35,734 shares at cost at December 31,
2008) (171,390) (259,720)
Total stockholders' equity 250,291 171,259
Total liabilities and stockholders'
equity $471,698 $447,010
SOURCE Advance America, Cash Advance Centers, Inc.
