Cash America 2014 Annual Report Download - page 73

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58
Consumer Loan Information by Product
Management evaluates consumer loan loss rates for all of its consumer loan products to determine credit
quality and evaluate trends. For short-term loans, the Company evaluates consumer loan losses as a percentage of
combined consumer loans written and renewed. For installment loans, the Company evaluates consumer loan losses
as a percentage of the average consumer loan balance outstanding and the average combined consumer loan balance
outstanding, respectively, for each portfolio. The following tables provide additional information related to each of
the Company’s consumer loan products as of and for the years ended December 31, 2014 and 2013 (dollars in
thousands). Ratios provided in the tables below reflect performance measures used by management, which may
differ by products due to the specific characteristics of each product.
Year ended December 31,
2014 2013
Short-term consumer loans:
Consumer loan loss provision $
23,269
$27,513
Charge-offs (net of recoveries)
24,363
27,628
Allowance and liability for losses 3,138 4,232
Short-term consumer loans written and renewed:(a)
Company owned $
646,232
$712,253
Guaranteed by the Company(b)
62,698
104,236
Combined consumer loans written and renewed $
708,930
$816,489
Short-term consumer loans and fees receivable:
Gross - Company owned $
42,954
$49,856
Gross - Guaranteed by the Company
(b)
$2,718 $4,900
Combined consumer loans and fees receivable, gross
(c)
$
45,672
$54,756
Short-term consumer loan ratios:
Consumer loan loss provision as a % of combined consumer loans written and renewed(a)
3.3
%
3.4
%
Charge-offs (net of recoveries) as a % of combined consumer loans written and renewed(a)
3.4
%
3.4
%
Consumer loan loss provision as a % of consumer loan fees
27.7
%
27.5
%
Allowance and liability for losses as a % of combined consumer loans and fees receivable,
gross(c)
6.9
%
7.7
%
(a) The disclosure regarding the amount of short-term consumer loans written and renewed is statistical data that is not included in the
Company’s financial statements.
(b) Represents loans originated by third-party lenders through the CSO programs, which are not included in the Company’s financial
statements
(c) Non-GAAP measure.
Year ended December 31,
2014 2013
Installment loans:
Consumer loan loss provision $7,740 $5,846
Charge-offs (net of recoveries) 7,365 5,441
Allowance and liability for losses 2,084 1,709
Installment loan ratios:
Consumer loan loss provision as a % of consumer loan fees
56.2
%
44.7
%
Allowance and liability for losses as a % of combined ending consumer loan balance(a)
15.9
%
7.6
%
(a) Non-GAAP measure.