E*TRADE FINANCIAL Corporation (NASDAQ: ETFC) today released its Monthly
Activity Report for April. The Company’s
total retail customer assets increased 3.4 percent sequentially to
$174.1 billion, despite a $399 million decline in customer cash and
deposits predominately related to seasonal weakness in April. Total
Daily Average Revenue Trades decreased 1.6 percent month over month.
Two noteworthy events impacted the Company’s
metrics in April, eliminating approximately $2.3 billion in customer
assets and nearly 24,000 accounts. The Company successfully completed
the sale of Retirement Advisors of America (RAA), a wholly-owned
subsidiary, on April 11th. This transaction
represents the first in a series of planned non-core subsidiary sales
related to the Company’s 2008 Turnaround
Plan. In addition, the Company ended its relationship with two corporate
clients within its stock plan administration business –
one due to the merger of a client into a non-client company and the
other due to the final processing of termination negotiated in the first
quarter of 2007.
“We continue to focus on executing against
the Turnaround Plan, monetizing non-core assets, investing in the
customer experience and effectively managing our balance sheet,”
said Donald H. Layton, Chairman and Chief Executive Officer, E*TRADE
FINANCIAL Corporation. “I am pleased with our
progress which has led to further stability and strength in our core
retail business, especially considering another month of growth in our
target segment accounts. We look forward to announcing additional points
of success in the near future.”
Historical monthly metrics data from January 2003 to April 2008 can be
found on the E*TRADE FINANCIAL investor relations site at https://investor.etrade.com.
About E*TRADE FINANCIAL
The E*TRADE FINANCIAL family of companies provides financial services
including trading, investing and banking for retail and institutional
customers. Securities products and services are offered by E*TRADE
Securities LLC (Member FINRA/SIPC). Bank products and services are
offered by E*TRADE Bank, a Federal savings bank, Member FDIC, or its
subsidiaries.
Important Notice
E*TRADE FINANCIAL, E*TRADE and the E*TRADE logo are trademarks or
registered trademarks of E*TRADE FINANCIAL Corporation. The statements
contained in this news release that are forward-looking are based on
current expectations that are subject to a number of uncertainties and
risks, and actual results may differ materially. The uncertainties and
risks include, but are not limited to, changes in market activity,
anticipated increases in the rate of new customer acquisition, the
conversion of new visitors to the site to customers, the activity of
customers and assets held at the institution, seasonality, macro trends
of the economy in general and the residential real estate market,
instability in the consumer credit markets and credit trends, rising
mortgage interest rates, tighter mortgage lending guidelines across the
industry, increased mortgage loan delinquency and default rates,
portfolio growth, portfolio seasoning and resolution through
collections, sales or charge-offs, the development and enhancement of
products and services, competitive pressures (including price
competition), system failures, economic and political conditions,
changes in consumer behavior and the introduction of competing products
having technological and/or other advantages. Further information about
these risks and uncertainties can be found in the information included
in the annual reports previously filed by E*TRADE FINANCIAL Corporation
with the SEC on Form 10-K (including information under the caption "Risk
Factors") and quarterly reports on Form 10-Q.
© 2008 E*TRADE FINANCIAL Corporation. All
rights reserved.
