CarMax 2010 Annual Report Download - page 65

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55
SELECTED CASH FLOWS FROM SECURITIZED RECEIVABLES
(In millions)
Proceeds from new securitizations 1,647.0$ 1,622.8$ 2,040.2$
Proceeds from collections 779.2$ 840.6$ 1,095.0$
Servicing fees received 41.8$ 41.3$ 37.0$
Other cash flows received from the retained interest:
Interest-only strip and excess receivables 131.0$ 96.7$ 98.6$
Reserve account releases 16.6$ 6.4$ 9.4$
Interest on retained subordinated bonds 9.5$ 7.5$ 0.2$
2010
Ye ar s Ende d Fe bruar y 2 8 or 2 9
2009 2008
Proceeds from New Securitizations. Proceeds from new securitizations include proceeds from receivables that are
newly securitized in or refinanced through the warehouse facility during the indicated period. Balances previously
outstanding in term securitizations that were refinanced through the warehouse facility totaled $76.0 million in fiscal
2010, $101.0 million in fiscal 2009 and $103.6 million in fiscal 2008. Proceeds received when we refinance
receivables from the warehouse facility are excluded from this table as they are not considered new securitizations.
Proceeds from Collections. Proceeds from collections represent principal amounts collected on receivables
securitized through the warehouse facility that are used to fund new originations.
Servicing Fees Received. Servicing fees received represent cash fees paid to us to service the securitized
receivables.
Other Cash Flows Received from the Retained Interest. Other cash flows received from the retained interest
represents cash that we receive from the securitized receivables other than servicing fees. It includes cash collected
on interest-only strip and excess receivables, amounts released to us from reserve accounts and interest on retained
subordinated bonds.
The information in the following table represents selected performance data for CAF’s securitized receivables. It
includes information for both receivables securitized through term securitizations and receivables securitized
through the warehouse facility.
SELECTED PERFORMANCE INFORMATION FOR SECURITIZED RECEIVABLES
(In millions) 2010 % (1) 2009 % (1) 2008 % (1)
Finance and fee income 433.2$ 10.7 419.5$ 10.5 369.0$ 10.3
Interest expense (168.5) (4.1) (188.1) (4.7) (178.8) (5.0)
Net charge-offs (73.9) (1.8) (72.3) (1.8) (40.5) (1.1)
Net interes t margin 190.8$ 4.7 159.1$ 4.0 149.7$ 4.2
Average securitized receivables (2) 4,060.8$ 4,002.4$ 3,590.5$
Ye ar s Ended Fe br uar y 2 8 or 2 9
(1) Percent of average securitized receivables.
(2) Excludes auto loan receivables held for sale and auto loan receivables not eligible for securitization through the warehouse
facility or term securitizations.
Finance and Fee Income. Finance and fee income includes interest and fees charged to customers on the auto loan
receivables, including late fees and insufficient funds fees.
Interest Expense. Interest expense includes interest paid to securitization investors and lending institutions and
other expenses associated with securitization activities, net of interest income earned on restricted cash and reserve
deposits.
Net Charge-Offs. Net charge-offs includes the write-off of outstanding principal balances on uncollectible
accounts, offset by subsequent recoveries of previously charged-off accounts.