eTrade 2008 Annual Report Download - page 157

NOTE 25—CONDENSED FINANCIAL INFORMATION (PARENT COMPANY ONLY)
The following presents the Parent’s condensed statement of income (loss) and comprehensive income (loss),
balance sheet and statement of cash flows:
STATEMENT OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS)
(In thousands)
Year Ended December 31,
2008 2007 2006
Revenue:
Management fees from subsidiaries $ 184,761 $ 189,203 $ 181,621
Other revenue 3,628 953 —
Total net revenue 188,389 190,156 181,621
Expense excluding interest:
Compensation and benefits 134,819 135,356 139,056
Clearing and servicing 20 (2,318) (1,089)
Advertising and market development 7,385 8,979 9,036
Communications 22,778 24,856 25,455
Professional services 47,624 51,039 35,296
Occupancy and equipment 37,836 35,173 24,559
Depreciation and amortization 73,888 70,125 54,621
Facility restructuring and other exit activities 21,074 3,215 20,279
Intercompany allocations and charges (200,673) (190,294) (147,798)
Other 28,648 30,037 24,281
Total expense excluding interest 173,399 166,168 183,696
Income (loss) before other income (expense), income tax
expense (benefit), discontinued operations and equity in income (loss) of other
consolidated subsidiaries 14,990 23,988 (2,075)
Other income (expense):
Corporate interest income 5,668 2,169 2,617
Corporate interest expense (359,971) (169,475) (149,700)
Loss on sales of investments, net (2,539) (3) —
Gain (loss) on early extinguishment of debt 21,517 — (703)
Equity in income (loss) of investments and venture funds (4,960) 5,590 (989)
Total other income (expense) (340,285) (161,719) (148,775)
Loss before income tax expense (benefit), discontinued operations and equity in income
(loss) of consolidated subsidiaries (325,295) (137,731) (150,850)
Income tax expense (benefit) (138,686) 18,231 (143,845)
Net loss from continuing operations (186,609) (155,962) (7,005)
Gain from discontinued operations, net of tax 268,797 — 2,593
Equity in income (loss) of consolidated subsidiaries (593,978) (1,285,792) 633,271
Net income (loss) (511,790) (1,441,754) 628,859
Other comprehensive loss (241,258) (189,924) (25,760)
Comprehensive income (loss) $(753,048) $(1,631,678) $ 603,099
154