-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, G0dJasVUtI0hmmPahb+FfezFYyw4e7iQOHBRS0ChdnVLFhPxn7Th0GbHLwTAxnpC R77UEQUVAi83/WzD2MnKbw== 0000908662-06-000191.txt : 20061103 0000908662-06-000191.hdr.sgml : 20061103 20060407155939 ACCESSION NUMBER: 0000908662-06-000191 CONFORMED SUBMISSION TYPE: CORRESP PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20060407 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MICROFINANCIAL INC CENTRAL INDEX KEY: 0000827230 STANDARD INDUSTRIAL CLASSIFICATION: MISCELLANEOUS BUSINESS CREDIT INSTITUTION [6159] IRS NUMBER: 042962824 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: CORRESP BUSINESS ADDRESS: STREET 1: 10 M COMMERCE WAY CITY: WOBURN STATE: MA ZIP: 01801 BUSINESS PHONE: 7819944800 MAIL ADDRESS: STREET 1: 10 M COMMERCE WAY CITY: WOBURN STATE: MA ZIP: 01801 FORMER COMPANY: FORMER CONFORMED NAME: BOYLE LEASING TECHNOLOGIES INC DATE OF NAME CHANGE: 19980605 CORRESP 1 filename1.htm

The table below was prepared and faxed to Ms. Angela Connell, Senior Accountant, Division of Corporation Finance, Securities and Exchange Commission, on April 6, 2006, following a telephone conference call on April 5, 2006, between the Staff of the Commission and MicroFinancial Incorporated to discuss previously received Staff comments.

 

MicroFinancial Incorporated

Allowance for Credit Losses

January 1, 1996 - December 31, 2005

 

(Amounts in $Thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

Jan-Feb

 

1996

1997

1998

1999

2000

2001

2002

 

2003

2004

2005

2006

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Originations

$143,200

$129,064

$153,819

$223,446

$236,763

$155,308

$111,829

 

$3,429

$920

$7,296

$2,139

 

 

 

 

 

 

 

 

 

 

 

 

 

Ending Receivables

$247,633

$258,230

$280,875

$362,721

$452,885

$438,723

$367,173

 

$194,898

$69,181

$33,004

$32,602

Annual % Change

 

4.28%

8.77%

29.14%

24.86%

-3.13%

-16.31%

 

-46.92%

-64.50%

-52.29%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Receivables> 90 Days

Not available

 

$28,085

$46,014

$80,636

$137,607

 

$85,883

$29,673

$16,101

$15,825

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance, Beginning

$15,952

$23,826

$26,319

$24,850

$41,719

$40,924

$45,026

 

$69,294

$43,011

$14,963

$8,714

 

 

 

 

 

 

 

 

 

 

 

 

 

Provision

19,822

21,713

19,075

37,836

36,029

54,092

88,948

[1]

59,758

47,918

10,468

722

 

 

 

 

 

 

 

 

 

 

 

 

 

Charge-offs

(15,675)

(24,290)

(28,750)

(35,957)

(56,081)

(67,464)

(76,443)

 

(93,153)

(81,763)

(22,806)

(1,268)

Recoveries

3,727

5,070

8,206

14,990

19,257

17,474

11,763

 

7,112

5,797

6,089

1,005

Net Charge-offs

(11,948)

(19,220)

(20,544)

(20,967)

(36,824)

(49,990)

(64,680)

 

(86,041)

(75,966)

(16,717)

(263)

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance, Ending

$23,826

$26,319

$24,850

$41,719

$40,924

$45,026

$69,294

 

$43,011

$14,963

$8,714

$9,173

 

 

 

 

 

 

 

 

 

 

 

 

 

Provision less Net Chg-offs

$7,874

$2,493

$(1,469)

$16,869

$(795)

$4,102

$24,268

 

$(26,283)

$(28,048)

$(6,249)

$459

Allowance less Net Chg-offs

$4,004

$4,606

$5,775

$3,883

$4,895

$(9,066)

$(19,654)

 

$(16,747)

$(32,955)

$(1,754)

$8,451

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance : Ending Receivables

9.62%

10.19%

8.85%

11.50%

9.04%

10.26%

18.87%

 

22.07%

21.63%

26.40%

28.14%

Allowance : Receivables > 90 Days

N/A

N/A

N/A

148.55%

88.94%

55.84%

50.36%

 

50.08%

50.43%

54.12%

57.97%

 

 

 

 

 

 

 

 

 

 

 

 

 

Recoveries : Chargeoffs

23.8%

20.9%

28.5%

41.7%

34.3%

25.9%

15.4%

 

7.6%

7.1%

26.7%

79.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

Cumulative Gross Originations

N/A

$272,264

$426,083

$649,529

$886,292

$1,041,600

$1,153,429

 

$1,156,858

$1,157,778

$1,165,074

$1,167,213

Cumulative Net Chg-offs

N/A

(31,168)

(51,712)

(72,679)

(109,503)

(159,493)

(224,173)

 

(310,214)

(386,180)

(402,897)

(403,160)

 

 

 

 

 

 

 

 

 

 

 

 

 

Cumulative Net Chg-offs :

Cumulative Gross Originations

N/A

11.45%

12.14%

11.19%

12.36%

15.31%

19.44%

 

26.82%

33.36%

34.58%

34.54%

 

[1] This provision includes an additional $35 million related to dealer receivables and delinquent accounts associated with the Tolling Agreement with the Attorneys General

 

 

 

 

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