Cash America 2007 Annual Report Download - page 110

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CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
90
(1) During the second quarter of 2007, $5 was reclassified from administrative expenses to other income. The first
quarter amounts included above have been conformed to the current presentation. The original reported amounts for
“Total revenue” and “Net revenue” were $222,867 and $160,942, respectively.
(2) The third quarter results include a $6,260 ($4,035 net of related taxes), or $0.13 per share, gain from sale of foreign
notes receivable and related rights.
(3) The second quarter results include a $2,167 ($1,409 net of related taxes), or $0.05 per share, gain from the early
termination of a lease contract.
(4) The sum of the quarterly net income per share amounts may not total to each full year amount because these
computations are made independently for each quarter and for the full year and take into account the weighted average
number of common shares outstanding for each period, including the effect of dilutive securities for that period.
23. Subsequent Events
During the first two months of 2008, Cash America Holding, Inc., a wholly owned subsidiary of the
Company, increased a loan to Primary Business Services, Inc. (“PBSI”) from $200,000 as of December 31,
2007 to $1.5 million and is contemplating additional financing going forward. The increased loan (the
“Loan”) is a revolving loan and was made to PBSI and its affiliates, Primary Processing, Inc., Primary
Finance, Inc. and Primary Members Insurance Services, Inc. (collectively, the “Borrowers”). As of
February 28, 2008, the principal amount outstanding under the Loan was $1.0 million. The Loan is secured
by all the current and future assets of the Borrowers, by the personal guaranty of the Borrowers’ principal
stockholder and by a pledge of all outstanding shares of each of the Borrowers. The Loan matures on
February 28, 2009, and bears interest at 12% per annum. The Borrowers are using the proceeds of the Loan
to fund their business operations. The Borrowers are in the early stages of operations and are not related to
the Company. Prospects for repayment of the Loan are based on the future success of the Borrowers’
business plan. At this time the Borrowers are not profitable.
On February 29, 2008, the Company exercised the $50 million accordion feature contained in its
existing line of credit. As a result, the committed amount under the line of credit increased from $250
million to $300 million. The additional availability will be used to satisfy potential needs for funding
additional working capital or capital investments.