Capital One 2001 Annual Report Download - page 58

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voted to increase this amount by 4,500,000 and 10,000,000 shares,
respectively, of the Company's common stock. For the year ended
December 31, 2001, the Company did not repurchase shares, under
this program. For the years ended December 31, 2000 and 1999, the
Company repurchased 3,028,600 and 2,250,000 shares, respectively,
under this program. Certain treasury shares have been reissued in
connection with the Company's benefit plans.
In 1997, the Company implemented its dividend reinvestment and
stock purchase plan (“DRP”), which allows participating stockholders
to purchase additional shares of the Company’s common stock
through automatic reinvestment of dividends or optional cash
investments. In 2001, the Company issued 659,182 shares of new
common stock under the DRP.
Note H
Income Taxes
Deferred income taxes reflect the net tax effects of temporary
differences between the carrying amounts of assets and liabilities for
financial reporting purposes and the amounts used for income tax
purposes. Significant components of the Company’s deferred tax assets
and liabilities as of December 31, 2001 and 2000 were as follows:
During 2001, the Company increased its valuation allowance by $5,717
for certain state and international loss carryforwards generated during
the year.
At December 31, 2001, the Company had net operating losses available
for federal income tax purposes of $66,054 that are subject to certain
annual limitations under the Internal Revenue Code, and expire at
various dates from 2018 to 2020. Also, foreign net operation losses of
$71 (net of related valuation allowances) are without expiration
limitations.
Significant components of the provision for income taxes attributable
to continuing operations were as follows:
56 notes
Note G
Other Non-Interest Expense
Year Ended December 31 2001 2000 1999
Professional services $ 230,502 $ 163,905 $ 145,398
Collections 253,728 156,592 101,000
Fraud losses 65,707 53,929 22,476
Bankcard association assessments 83,255 51,726 33,301
Other 174,757 130,132 131,928
Total $807,949 $ 556,284 $ 434,103
December 31 2001 2000
Deferred tax assets:
Allowance for loan losses $ 107,389 $ 155,218
Unearned income 260,208 171,516
Stock incentive plan 48,117 56,615
Foreign 4,203 12,366
Net operating losses 23,119 4,198
State taxes, net of federal benefit 39,212 18,560
Other 89,831 75,181
Subtotal 572,079 493,654
Valuation allowance (41,359) (35,642)
Total deferred tax assets 530,720 458,012
Deferred tax liabilities:
Securitizations 75,084 38,307
Deferred revenue 624,254 222,106
Other 44,322 39,591
Total deferred tax liabilities 743,660 300,004
Net deferred tax assets (liabilities) before
unrealized (gains) losses (212,940) 158,008
Cumulative effect of change in accounting
principle 16,685
Unrealized losses on cash flow hedging
instruments 28,686
Unrealized (gains) losses on securities
available for sale (5,453) 478
Net deferred tax assets (liabilities) $(173,022) $ 158,486
Year Ended December 31 2001 2000 1999
Federal taxes $138 $ 284,661 $ 232,910
State taxes 2,214 578 754
International taxes 555 1,156
Deferred income taxes 390,548 1,445 (19,738)
Income taxes $393,455 $ 287,840 $ 213,926