Cash America 2010 Annual Report Download - page 69

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40
_
__________________________________
(
a
)
Includes certain expenses related to the sudden interruption of the MLOC loan product and the closure of retail
services locations in Mexico incurred by the Company during the year ended December 31, 2010. The table
below provides a reconciliation of reported net income attributable to the Company by line item as reported in
the consolidated statements of income, to non-GAAP net earnings of the Company.
Year Ended
December 31, 2010
MLOC
Foreign
Retail
Services Total
N
et income attributable to Cash America
International, Inc. $ 115,538
Operating expenses $ 250 $ 422 $ 672
Consumer loan loss provision 2,100 - 2,100
Depreciation expense - 503 503
Income tax provision (881) (347) (1,228)
Total adjustments $ 1,469 $ 578 $ 2,047
N
on-GAAP net earnings of the Company $ 117,585
Earnings per share, as reported $ 3.67
N
on-GAAP adjustments $ 0.05 $ 0.02 $ 0.07
N
on-GAAP earnings per share of the Company $ 3.74
EBITDA
Earnings before interest, taxes, depreciation and amortization (“EBITDA”) is a non-GAAP measure.
Management believes this measure is useful to help investors assess the Company's leverage capacity, liquidity,
financial performance and estimated enterprise value. The following table provides a reconciliation of net income
attributable to the Company calculated in accordance with GAAP to EBITDA (dollars in thousands):
Year Ended December 31,
2010 2009 2008
N
et Income attributable to Cash America
International Inc. $ 115,538 $ 96,678 $ 81,140
Adjustments:
Provision for income taxes 69,269 56,780 51,617
Depreciation and amortization expenses 43,923 41,589 39,651
Interest expense, net 22,020 20,778 15,726
Earnings from operations before interest,
taxes, depreciation and amortization $ 250,750 $ 215,825 $ 188,134
EBITDA margin calculated as follows:
Net revenue $ 954,583 $ 796,113 $ 735,434
Earnings from operations before interest,
taxes, depreciation and amortization 250,750 215,825 188,134
EBITDA as a percentage of net revenue 26.3% 27.1% 25.6%