eTrade 2008 Annual Report Download - page 155

Year Ended December 31, 2006
Retail Institutional Eliminations(1) Total
Revenue:
Operating interest income $1,494,202 $ 2,161,702 $(905,593) $ 2,750,311
Operating interest expense (623,740) (1,646,649) 905,593 (1,364,796)
Net operating interest income 870,462 515,053 — 1,385,515
Commission 458,463 138,613 — 597,076
Fees and service charges 202,037 25,366 (7,526) 219,877
Principal transactions — 110,136 — 110,136
Gain on loans and securities, net 3,414 17,786 — 21,200
Other revenue 35,357 244 (759) 34,842
Total non-interest income 699,271 292,145 (8,285) 983,131
Total net revenue 1,569,733 807,198 (8,285) 2,368,646
Provision for loan losses — 44,970 — 44,970
Expense operating expense:
Compensation and benefits 269,916 159,028 — 428,944
Clearing and servicing 64,822 187,806 (8,285) 244,343
Advertising and market development 99,001 7,015 — 106,016
Communications 92,225 10,763 — 102,988
Professional services 61,742 28,398 — 90,140
Occupancy and equipment 68,899 7,980 — 76,879
Depreciation and amortization 54,853 16,338 — 71,191
Amortization of other intangibles 39,588 6,618 — 46,206
Facility restructuring and other exit activities 23,915 (1,051) — 22,864
Other 91,607 38,183 — 129,790
Total operating expense 866,568 461,078 (8,285) 1,319,361
Segment income $ 703,165 $ 301,150 $ — $ 1,004,315
(1) Reflects elimination of transactions between retail and institutional segments, which includes deposit and customer payable transfer
pricing and order flow rebates.
Segment Assets
Total assets for each segment are shown in the following table (dollars in thousands):
Retail Institutional Eliminations Total
At December 31, 2008 $ 7,482,241 $41,055,974 $— $48,538,215
At December 31, 2007 $13,446,832 $43,399,105 $— $56,845,937
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