Discover 2011 Annual Report Download - page 6

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PUTTING THE CUSTOMER FIRST
Discover Card
Discover has been a leader in the credit card industry for more than 25 years. In addition to 8% growth
in Discover card sales volume and record low delinquencies, our accomplishments in 2011 included:
฀ ฀฀฀฀฀฀฀฀
฀ ฀฀฀฀฀฀฀฀฀฀฀
฀ ฀฀฀฀฀฀฀
฀ ฀฀฀฀฀
We are succeeding in the credit card business by providing customers with exceptional rewards, service
and online experience, supplemented by improved merchant acceptance and effective marketing programs.
In 2012, we expect these efforts to result in more new customers, increased use of our cards by existing
customers, and profitable growth in loans.
In cash rewards, Discover is the pioneer, and we are building on our leadership position by focusing on
the things that matter most to customers. Because we own our network and have direct relationships with
many of the leading merchants and brands in the United States, we offer many customized programs each
year that deliver significant value to our cardmembers and our merchants. Discover, in turn, benefits from
increased usage and customer loyalty.
2008
$2,416
2011
$2,541
2009
$2,251
2010
$2,183
OPERATING EXPENSES
[Millions]
*2008–2009 Non-GAAP, as-adjusted
2008
5.01%
2011
3.99%
2009
$51.1
7. 7 7 %
2010
$50.9
7.57%
NET PRINCIPAL CHARGE-OFF RATE*INCOME FROM CONTINUING OPERATIONS
[Millions]
Represents amount related to the
Visa® and MasterCard® antitrust
litigation settlement.
2008
535
528
$1,063
2009
1164
112
$1,276
2010
$765
2011
13.3
$2,227