SOURCE: MBNA Corporation
MBNA Corporation Reports 25% Increase in Earnings Per Common Share; Net Income Reaches $1.7 Billion; Quarterly Common Stock Dividend Increases; Managed Loans Grow $4.9 Billion in Fourth Quarter to $97.5 Billion
WILMINGTON, Del., Jan. 10 /PRNewswire/ -- MBNA Corporation (NYSE: KRB - news) announced today that net income for the fourth quarter of 2001 rose to $524.8 million or $.60 per common share, an increase of 25%, compared with $423.8 million or $.48 per common share for the fourth quarter of 2000. For the full year, net income rose to $1.7 billion or $1.92 per common share, compared with $1.3 billion or $1.53 per common share for 2000. MBNA has produced consistent earnings increases, averaging 25%, in each of the 44 quarters since it became a public company.
In addition, MBNA's Board of Directors has approved an increase of 11.1% in the quarterly dividend rate to $.10 per common share, which will increase the annual rate to $.40. MBNA has increased the dividend every year since it became a public company. The cash dividend is payable April 1, 2002 to stockholders of record as of March 15, 2002.
Total managed loans at December 31, 2001 were $97.5 billion. Loans increased $4.9 billion during the fourth quarter of 2001, compared to $4.1 billion in the fourth quarter of 2000. For the year, the Corporation acquired 439 new endorsements from organizations including the University of Miami, University of Southern Mississippi, Alabama Trial Lawyers Association, Florida Panthers, Houston Rockets, Muscular Dystrophy Association of Canada, Virgin Group (U.K.), Royal College of Surgeons in Edinburgh, Aer Lingus, PGA TOUR, Seattle Mariners, NAACP, University of Arkansas, University of Toronto, Nottingham Building Society (U.K.), Congress of Neurological Surgeons, University of Calgary (Canada), Sierra Club of Canada, United States Tennis Association, San Antonio Spurs, and the Oakland Athletics. The company renewed more than 1,000 group contracts during the year, including 300 in the fourth quarter.
The Corporation also added 11.2 million new Customers (9.5 million new accounts) during the year. The characteristics of new cardholders are consistent with the superior quality of the Corporation's existing cardholders. The typical new Customer has a $70,000 annual household income, has been employed for 11 years, owns a home, and has a 17-year history of paying bills promptly.
Managed loan losses for the full year were 4.74%. Loan losses continue to be significantly lower than published industry levels.
MBNA.com, introduced in the first quarter of 2000, now serves more than 5.6 million Customers. Through December 31, 2001, more than 3.3 million MBNA Customers have enrolled to use Net Access, MBNA's online banking service, including 600,000 in the fourth quarter. For the full year, MBNA added 900,000 new Customers via the Internet.
MBNA Corporation, a bank holding company and parent of MBNA America Bank, N.A., a national bank, has $97.5 billion in managed loans. MBNA, the largest independent credit card lender in the world, also provides retail deposit, consumer loan, and insurance products. MBNA.com (www.MBNA.com) provides credit card, consumer loan, retail deposit, travel, and shopping services. |
