eTrade 1999 Annual Report Download - page 64

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Net
Net Income
Revenues (Loss)
-------- --------
Fiscal year ended September 30, 1999
E*TRADE Group......................................... $539,646
$(58,355)
ClearStation (through March 31, 1999)................. 363
(479)
TIR (through June 30, 1999)........................... 81,393 4,396
-------- --------
Combined.............................................. $621,402
$(54,438)
======== ========
Fiscal year ended September 30, 1998
E*TRADE Group......................................... $245,282 $
(712)
ClearStation.......................................... 35
(1,100)
TIR................................................... 90,439 3,739
-------- --------
Combined.............................................. $335,756 $ 1,927
======== ========
Fiscal year ended September 30, 1997
E*TRADE Group......................................... $156,395 $ 15,035
ClearStation.......................................... -- --
TIR................................................... 77,733 4,158
-------- --------
Combined.............................................. $234,128 $ 19,193
======== ========
Telebanc
On June 1, 1999, the Company entered into a definitive agreement to acquire Telebanc Financial Corporation ("Telebanc"). Telebanc
is the holding company for Telebank, the nation's largest branchless bank providing banking products and services over the Internet.
Under the terms of the agreement, Telebanc shareowners will receive 1.05 shares of E*TRADE common stock for each share of
Telebanc common stock. Following the merger, which is expected to be accounted for as a pooling-of-interests, Telebanc shareowners
will own approximately 13 percent of E*TRADE's outstanding common stock. The Boards of Directors of both companies have
approved the merger, but final consummation of the merger, which is expected to be completed this fall, is contingent upon regulatory
approval and the vote of the Telebanc shareowners.
Confluent
On September 30, 1999, the Company acquired Confluent, Inc. by issuing 314,000 shares of the Company's common stock, with a
value of $7,421,000. In addition, if Confluent achieves certain operating milestones, its shareowners will be eligible for up to 225,000
additional shares of the Company's common stock. The excess of the purchase price over the fair value of the net tangible assets of
Confluent as of September 30, 1999 has been attributed to internal-use software and will be depreciated over two years, in accordance
with the Company's existing policy. The operating results of Confluent prior to the acquisition were insignificant.
65
17. QUARTERLY DATA (Unaudited)
The unaudited quarterly financial information of the Company has been restated for all prior periods to reflect the acquisition of TIR,
which was accounted for as a pooling-of-interests. The quarterly reports on Form 10-Q filed by the Company were previously
amended to reflect the ClearStation pooling-of-interests. The information presented below reflects all adjustments which, in the
opinion of management, are of a normal and recurring nature necessary to present fairly the results of operations for the periods
presented (in thousands, except per share amounts).
2002. EDGAR Online, Inc.