Sallie Mae 2006 Annual Report Download - page 51

Lending DMO
Corporate
and Other
Year Ended
December 31, 2005
Interest income:
FFELP Stafford and Other Student Loans .................... $2,298 $ — $ —
FFELP Consolidation Loans .............................. 3,014 — —
Private Education Loans ................................. 1,160 — —
Other loans........................................... 85 — —
Cash and investments ................................... 396 — 5
Total interest income ..................................... 6,953 — 5
Total interest expense ..................................... 4,798 19 6
Net interest income ...................................... 2,155 (19) (1)
Less: provisions for losses ................................. 138 — —
Net interest income after provisions for losses ................... 2,017 (19) (1)
Fee income ............................................ — 360 115
Collections revenue ...................................... — 167 —
Other income ........................................... 111 — 125
Total other income ....................................... 111 527 240
Operating expenses....................................... 547 288 235
Income before income taxes and minority interest in net earnings of
subsidiaries........................................... 1,581 220 4
Income tax expense
(1)
..................................... 586 81 1
Minority interest in net earnings of subsidiaries .................. 2 4 —
“Core Earnings” net income ................................ $ 993 $135 $ 3
(1)
Income taxes are based on a percentage of net income before tax for the individual reportable segment.
Lending DMO
Corporate
and Other
Year Ended
December 31, 2004
Interest income:
FFELP Stafford and Other Student Loans .................... $1,715 $ — $ —
FFELP Consolidation Loans .............................. 1,473 — —
Private Education Loans ................................. 613 — —
Other loans........................................... 74 — —
Cash and investments ................................... 264 — 3
Total interest income ..................................... 4,139 — 3
Total interest expense ..................................... 2,301 13 6
Net interest income ...................................... 1,838 (13) (3)
Less: provisions for losses ................................. 114 — —
Net interest income after provisions for losses ................... 1,724 (13) (3)
Fee income ............................................ — 300 120
Collections revenue ...................................... — 39 —
Other income ........................................... 131 — 130
Total other income ....................................... 131 339 250
Loss on GSE debt and extinguishment ........................ 221 — —
Operating expenses....................................... 487 161 211
Income before income taxes and minority interest in net earnings of
subsidiaries........................................... 1,147 165 36
Income tax expense (benefit)
(1)
.............................. 430 65 (15)
Minority interest in net earnings of subsidiaries .................. — 1 —
“Core Earnings” net income ................................ $ 717 $ 99 $ 51
(1)
Income taxes are based on a percentage of net income before tax for the individual reportable segment.
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