Discover 2011 Annual Report Download - page 59

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47
Other Income and Reconciliation
Securitization income
Discount and interchange revenue
Fee products
Loan fee income
Transaction processing revenue
Merchant fees
Loss on investment securities
Antitrust litigation settlement
Other income
Total other income
For the Year Ended November 30, 2009
As
Reported
(dollars in thousands)
$ 1,879,304
222,835
295,066
247,267
125,201
44,248
(3,826)
1,891,698
138,802
$ 4,840,595
Securitization
Adjustments
$ (1,879,304)
761,253
108,180
247,038
—
—
—
—
(160,087)
$ (922,920)
Managed
$—
984,088
403,246
494,305
125,201
44,248
(3,826)
1,891,698
(21,285)
$ 3,917,675
Additional
Adjustments
$—
—
—
—
—
—
—
(1,891,698)
160,087
$ (1,731,611)
(A)
(B)
Non-GAAP
As-Adjusted
$—
984,088
403,246
494,305
125,201
44,248
(3,826)
—
138,802
$ 2,186,064
(A) Exclusion of settlement proceeds related to the Visa and MasterCard antitrust litigation.
(B) Elimination of gain/loss related to revaluation of interest-only strip receivable and cash collateral accounts.
Direct Banking Segment Summary and Reconciliation
Interest income
Credit card
Private student loans
PCI student loans
Personal loans
Other
Total interest income
Interest expense
Net interest income
Provision for loan losses
Other income
Other expense
Income (loss) before income tax expense
For the Year Ended November 30, 2009
As
Reported
(dollars in thousands)
$ 2,835,767
25,906
—
139,247
143,062
3,143,982
1,251,062
1,892,920
2,362,405
4,600,801
2,116,962
$ 2,014,354
Securitization
Adjustments
$ 3,315,992
—
—
—
—
3,315,992
397,136
2,918,856
1,995,936
(922,920)
—
$—
Managed
$ 6,151,759
25,906
—
139,247
143,062
6,459,974
1,648,198
4,811,776
4,358,341
3,677,881
2,116,962
$ 2,014,354
Additional
Adjustments
$ 17,543
—
—
—
(43,463)
(25,920)
(42,921)
17,001
764,689
(1,731,611)
(28,992)
$ (2,450,307)
(A)
(B)
(C)
(D)
(E)
(F)
(G)
Non-GAAP
As-Adjusted
$ 6,169,302
25,906
—
139,247
99,599
6,434,054
1,605,277
4,828,777
5,123,030
1,946,270
2,087,970
$ (435,953)
(A) Elimination of interest income on certificated retained interests previously classified as investment securities.
(B) Adjustments to interest income related to balance transfer fee income previously included in gain/loss on interest-only strip receivable.
(C) Elimination of interest expense on certificated retained interests previously classified as investment securities and an interest expense adjustment related to the discount on
securitized borrowings.
(D) Provision for loan loss on the period-to-period change in securitized loans.
(E) Exclusion of settlement proceeds related to Visa and MasterCard antitrust litigation and elimination of gain/loss related to revaluation of interest-only strip receivable and
cash collateral accounts.
(F) Exclusion of interest charge related to our dispute with Morgan Stanley regarding the special dividend agreement.
(G) Estimated income tax on the pretax loss related to Statement No. 167 adjustments and exclusion of taxes on the Visa/MasterCard antitrust litigation settlement.
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