eTrade 2008 Annual Report Download - page 3

Note 3—Discontinued Operations ............................................ 106
Note 4—Facility Restructuring and Other Exit Activities .......................... 107
Note 5—Operating Interest Income and Operating Interest Expense ................. 109
Note 6—Fair Value Disclosures .............................................. 109
Note 7—Available-for-Sale Mortgage-Backed and Investment Securities ............. 115
Note 8—Loans, Net ....................................................... 118
Note 9—Accounting for Derivative Financial Instruments and Hedging Activities ...... 121
Note 10—Property and Equipment, Net ........................................ 125
Note 11—Goodwill and Other Intangibles, Net .................................. 126
Note 12—Other Assets ..................................................... 127
Note 13—Deposits ........................................................ 128
Note 14—Securities Sold Under Agreement to Repurchase and Other Borrowings ...... 130
Note 15—Corporate Debt ................................................... 132
Note 16—Accounts Payable, Accrued and Other Liabilities ........................ 134
Note 17—Income Taxes .................................................... 134
Note 18—Shareholders’ Equity .............................................. 139
Note 19—Earnings (Loss) per Share .......................................... 140
Note 20—Employee Share-Based Payments and Other Benefits .................... 141
Note 21—Regulatory Requirements ........................................... 143
Note 22—Lease Arrangements ............................................... 145
Note 23—Commitments, Contingencies and Other Regulatory Matters ............... 145
Note 24—Segment and Geographic Information ................................. 149
Note 25—Condensed Financial Information (Parent Company Only) ................ 154
Note 26—Quarterly Data (Unaudited) ......................................... 157
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial
Disclosure ................................................................... 158
Item 9A. Controls and Procedures ...................................................... 158
Item 9B. Other Information ........................................................... 158
PART III
PART IV
Item 15. Exhibits and Financial Statement Schedules ...................................... 158
Exhibit Index ........................................................................... 159
Signatures ............................................................................. 164
Unless otherwise indicated, references to “the Company,” “We,” “Us,” “Our” and “E*TRADE” mean
E*TRADE Financial Corporation or its subsidiaries.
E*TRADE, E*TRADE Financial, E*TRADE Bank (“Bank”), ClearStation, Equity Edge, Equity Resource,
OptionsLink and the Converging Arrows logo are registered trademarks of E*TRADE Financial Corporation in
the United States and in other countries.
FORWARD-LOOKING STATEMENTS
This report contains forward-looking statements involving risks and uncertainties. These statements relate
to our future plans, objectives, expectations and intentions. These statements may be identified by the use of
words such as “expect,” “may,” “anticipate,” “intend,” “plan” and similar expressions. Our actual results
could differ materially from those discussed in these forward-looking statements, and we caution that we do not
undertake to update these statements. Factors that could contribute to our actual results differing from any
forward-looking statements include those discussed under “Risk Factors,” “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” and elsewhere in this report. The cautionary
statements made in this report should be read as being applicable to all forward-looking statements wherever
they appear in this report.
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