EX-99.1 3 a2067983zex-99_1.txt EXHIBIT 99.1 Exhibit 99.1 TYCO CAPITAL CORPORATION(1) CONSOLIDATED INCOME STATEMENTS (IN MILLIONS) (UNAUDITED)
FOR THE QUARTERS ENDED DECEMBER 31, ---------------------------------- 2001 2000 ---------------------------------- SUCCESSOR PREDECESSOR Finance income $ 1,083.8 $ 1,391.2 Interest expense 349.1 652.2 ------------- -------------- Net finance income 734.7 739.0 Depreciation on operating lease equipment and operating lease expense 270.2 348.4 ------------- -------------- Net finance margin 464.5 390.6 Other revenue 241.2 217.3 ------------- -------------- Operating revenue 705.7 607.9 ------------- -------------- Salaries and general operating expenses 210.3 259.3 Provision for credit losses 106.0 63.8 Goodwill amortization -- 22.5 ------------- -------------- Operating expenses 316.3 345.6 ------------- -------------- Income before provision for income taxes and minority interest 389.4 262.3 Provision for income taxes (148.0) (99.3) Minority interest in subsidiary trust holding solely debentures of the Company, after tax (2.3) (2.9) ------------- -------------- Net income $ 239.1 $ 160.1 ============= ==============
(1) On June 1, 2001, The CIT Group, Inc. ("CIT") was acquired by a wholly-owned subsidiary of Tyco International Ltd., a diversified manufacturing and service company, in a purchase business combination recorded under the "push-down" method of accounting, resulting in a new basis of accounting for the "successor" period beginning June 2, 2001. Information relating to all "predecessor" periods prior to the acquisition is presented using CIT's historical basis of accounting. TYCO CAPITAL CORPORATION CONSOLIDATED CONDENSED BALANCE SHEETS (IN MILLIONS) PRELIMINARY - SUBJECT TO ADJUSTMENTS
DECEMBER 31, SEPTEMBER 30, 2001 2001 -------------------------- (UNAUDITED) ASSETS Finance receivables $ 29,199.5 $ 30,791.3 Reserve for credit losses (472.1) (471.7) -------------------------- Net finance receivables 28,727.4 30,319.6 Operating lease equipment, net 5,639.8 5,649.9 Finance receivables held for sale 1,510.3 2,014.9 Cash and cash equivalents 1,017.6 728.7 Receivables from affiliates 1,588.1 1,640.9 Goodwill 6,857.1 6,569.5 Other assets 3,790.6 3,758.2 -------------------------- TOTAL ASSETS $ 49,130.9 $ 50,681.7 -------------------------- LIABILITIES AND SHAREHOLDER'S EQUITY Debt: Commercial paper $ 7,789.7 $ 8,621.5 Variable rate senior notes 9,237.2 9,614.6 Fixed rate senior notes 16,602.7 17,065.5 Subordinated fixed rate notes 100.0 100.0 -------------------------- Total Debt 33,729.6 35,401.6 Credit balances of factoring clients 2,184.2 2,392.9 Accrued liabilities and payables 2,105.8 2,029.2 -------------------------- TOTAL LIABILITIES 38,019.6 39,823.7 Company obligated manditorily redeemable preferred securities of subsidiary trust holding solely debentures of the Company 259.0 260.0 Total Shareholder's Equity 10,852.3 10,598.0 -------------------------- TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY $ 49,130.9 $ 50,681.7 --------------------------
TYCO CAPITAL CORPORATION SELECTED FINANCIAL DATA (IN MILLIONS) (UNAUDITED)
AT DECEMBER 31, AT SEPTEMBER 30, 2001 2001 --------------- ---------------- Specialty Finance $ 10,894.7 $ 11,183.1 Equipment Financing 10,310.4 11,063.7 Capital Finance 4,979.4 4,928.7 Commercial Finance 7,841.8 8,644.3 Structured Finance 2,661.5 3,068.4 Finance receivables previously securitized 10,442.2 10,147.9 --------------- ---------------- TOTAL MANAGED ASSETS $ 47,130.0 $ 49,036.1 --------------- ----------------
FOR THE QUARTERS ENDED ----------------------------------- 12/31/2001 12/31/2000 --------------- ---------------- AVERAGE BALANCES Average Finance Receivables $ 30,431.3 $ 34,245.7 Average Earning Assets (AEA) $ 35,695.0 $ 41,669.0 Average Managed Assets (AMA) $ 45,769.9 $ 52,628.7
12/31/2001 12/31/2000 --------------- ---------------- OTHER REVENUE Fees and other income $ 170.0 $ 111.6 Factoring commissions 38.3 38.8 Gains on securitizations 28.0 40.6 Gains on sales of leasing equipment 2.3 32.4 Gains(losses) on venture capital investments 2.6 (6.1) --------------- ---------------- $ 241.2 $ 217.3 --------------- ----------------
12/31/2001 12/31/2000 --------------- ---------------- PROFITABILITY Return on AEA 2.68% 1.54% Return on AMA 2.09% 1.22% Return on average tangible shareholder's equity 23.3% 16.3% Net finance margin as a percentage of AEA 5.21% 3.75% Volume securitized $ 1,223.8 $ 1,204.2 Salaries and general operating expenses as a percentage of AMA 1.84% 1.97% Efficiency ratio 29.8% 42.7%
AT DECEMBER 31, AT SEPTEMBER 30, AT DECEMBER 31, 2001 2001 2000 --------------- ---------------- --------------- CREDIT QUALITY Net credit losses as a percentage of average finance receivables 1.36% 0.87% 0.71% 60+days contractual delinquency as a percentage of finance receivables 3.78% 3.35% 2.98% 60+days managed contractual delinquency as a percentage of managed financial assets 3.94% 3.65% 3.29% Total non-performing assets as a percentage of finance receivables 3.22% 3.02% 2.47% Reserve for credit losses as a percentage of finance receivables 1.62% 1.53% 1.40% CAPITAL AND LEVERAGE Tangible shareholder's equity to managed assets 9.11% 8.88% 7.82% Debt (net of overnight deposits) to tangible shareholder's equity 7.71x 8.06x 8.78x