Capital One Financial Corp (COF)

[BMiles]

It sure feels good to make more money shorting COF than what they have made off me in the past with my credit card. :) Looking to hit the $20's in the next week or so.

Brad

[OptionMonster]

Capital One Affirms 2008 Expectations

Expects to build allowance for loan losses by approximately $200 million in the third quarter

MCLEAN, Va., Sept. 23 /PRNewswire-FirstCall/ -- Capital One Financial Corporation (NYSE:COF) today affirmed its 2008 financial expectations, as originally articulated in the Second Quarter 2008 Earnings Presentation dated July 17, 2008.

For 2008:

The company expects a low single-digit decline in year-end managed loans, and double-digit growth in year-end deposits.

The company expects low to mid-single digit revenue growth. If revenue margins remain at or near second quarter levels, the company expects to be toward the lower end of this range for full year 2008.

The company expects its efficiency ratio for full year 2008 to be in the mid 40 percent range or lower, with the quarterly efficiency ratio drifting up modestly in the second half of the year. Revenue trends will be the biggest driver of efficiency ratio. The company expects 2008 operating expenses to be at least $200.0 million below their 2007 level.

The company expects to continue its quarterly dividend of 0.375 cents per share, while maintaining its Tangible Common Equity ratio at or above its 5.5 to 6.0 percent target range through 2008.

The company expects continuing weakness in the U.S. economy.

The company expects the charge-off rate for its U.S. Card line of business to be in the low 6 percent range for the third quarter of 2008, rising to around 7 percent in the fourth quarter.

In addition to affirming the 2008 outlook summarized above, the company currently expects to build its allowance for loan losses by approximately $200.0 million in the third quarter, consistent with the company's expectation of continuing weakness in the U.S. economy, as observed in recent trends in economic indicators, including home prices and the unemployment rate. This expected allowance build would result in an allowance for loan losses as of September 30, 2008 that would have the capacity to absorb the equivalent of approximately $7.2 billion in managed losses over the next 12 months, through the end of the third quarter of 2009.

[OptionMonster]

They stop us from shorting these stocks now the companies do this???>>>WTF!!>>>

Capital One Financial Corporation Announces Proposed Common Share Offering

MCLEAN, Va., Sept. 23 /PRNewswire-FirstCall/ -- Capital One Financial Corporation (NYSE:COF) today announced a proposed public offering of 14 million shares of its common stock. Capital One also expects to grant the underwriters for the offering an overallotment option to purchase additional shares of common stock. Net proceeds from the offering will be used for general corporate purposes. The offering is being conducted as a public offering registered under the Securities Act of 1933. General corporate purposes may include repayment of debt, acquisitions, additions to working capital, capital expenditures and investments in the Company's subsidiaries. Net proceeds may be temporarily invested prior to deployment for their intended purposes.

The joint bookrunning managers for the offering are Citigroup Global Markets Inc. and J. P. Morgan Securities, Inc.

Capital One has filed a registration statement (including prospectus) with the SEC for the offerings to which this communication relates. Before you invest, you should read the prospectus in that registration statement, the preliminary prospectus supplement and other documents the issuer has filed with the SEC for more complete information about the issuer and these offerings. You may get these documents for free by visiting EDGAR on the SEC Web site at http://www.sec.gov/. Alternatively, the issuer, any underwriter or any dealer participating in the offerings will arrange to send you the relevant prospectus if you request it by contacting Citigroup Global Markets Inc., Attn: Prospectus Department, Brooklyn Army Terminal 140, 58th Street, 8th Floor, Brooklyn, New York 11220 or by calling toll-free [phone] or by facsimile at [phone] or J. P. Morgan Securities Inc., Chase Distribution & Support Service, Attn: Charles Buckheit/Bob Foley, 4 Chase Metrotech Center, CS Level, Brooklyn, NY 11245 or by calling 718-242-8002.

[OptionMonster]

Interesting

[Fedex11 ©]

really niceeeeeeeeee

[analogdog]

they don't want anyone to make any money do they?

[OptionMonster]

COF added to the NO SHORT list per CNBC

[analogdog]

indeed... good luck to all next week... we'll see what the Fed does.

[OptionMonster]

This one had no business over $60>>>SMACKED right back down as expected>>Take care dog>>Give me a buzz later!

[analogdog]

not on it.... wait til Q3 report

[analogdog]

me too...flipped three times now...it'll crash q3

[GotOptions?]

Oh ok small and midcap banks are the ones gathering shorts, I havent been following those so I misunderstood "I guess".

[OptionMonster]

I do not see COF on the list unless I missed it>>>

SEC short selling ban list link.

http://sec.gov/rules/other/2008/34-58592.pdf

[OptionMonster]

lol

[GotOptions?]

Say OM I dont really see a disproportianate amount of puts on these troubled stocks so its kind of like bringing your car to the mechanic and you know you have no oil but he wants to replace the engine because it makes a noise.

[OptionMonster]

FED and I started the accumulation process of PUTS bro>>Will average down accordingly or ring the register>>Which ever comes first!

[analogdog]

no kidding....

[OptionMonster]

Not yet>>Let her get over $50 then we attack!

[analogdog]

Short da pop?

[analogdog]

Capital One Bank Launches Checking Account with Rewards for Everyday Transactions
Tuesday September 16, 9:59 am ET
Simple, free account automatically earns 'No Hassle' rewards redeemable for cash, travel and more

NEW YORK--(BUSINESS WIRE)--Capital One Bank (NYSE:COF - News) introduced a Rewards Checking account that allows customers to easily earn rewards for everyday banking activities.

With no monthly service fee and no minimum balance requirement, the new Capital Onesm Rewards Checking account lets customers earn rewards fast; miles are automatically earned for most checking account transactions including debit card purchases, online bill payments, and other withdrawals. Customers also receive 1,000 miles for opening an account and 4,000 miles when they set up direct deposit.

“The Rewards Checking account is a free, no-hassle way for customers to earn rewards for many things they are already doing, like shopping and paying bills online,” said Diana Don from Capital One. “Capital One’s new checking account offers more ways to earn rewards and a variety of ways to redeem them, giving customers the flexibility to decide which rewards are best for them at any given time. And because No Hassle miles never expire, our customers are free to redeem their rewards right away or save them for a bigger goal.”

The “No Hassle Rewards” program allows customers to accumulate miles that can be used toward six different redemption options:

* Airline tickets;
* Cash;
* Brand-name merchandise;
* Store gift certificates;
* Unique “experiential” rewards; and
* Charitable donations.

Customers can redeem rewards starting at 10,000 miles either online or by speaking to a customer service representative.

The Capital One Rewards Checking account is free; there is no monthly fee, no minimum balance and no fees to use rewards. Customers who also have a No Hassle Miles Rewards credit card can combine all miles earned to build and redeem their rewards faster.

Basic facts about Capital One Rewards Checking:

* $50 to open
* No minimum balance required
* No monthly service fees
* No per item fees
* No direct deposit requirements
* No fees to earn or redeem miles
* Earn “No Hassle Miles” for everyday banking activity (like debit card purchases, online bill payments and other withdrawals)
* Customers can choose how they want to redeem their miles. Options include: cash, airline tickets, gift certificates, merchandise, experiential rewards and charitable donations.

Customers interested in opening a Rewards Checking account should speak to an associate at their local Capital One Bank branch or visit www.capitalonebank.com/rewards. Capital One bank has approximately 740 locations in New York, New Jersey, Connecticut, Texas, and Louisiana. To locate a branch and learn more about Capital One Bank, visit www.capitalonebank.com.

About Capital One

Capital One Financial Corporation (www.capitalone.com) is a financial holding company whose subsidiaries collectively had $92.4 billion in deposits and $147.2 billion in managed loans outstanding as of June 30, 2008. Headquartered in McLean, VA, Capital One has 740 locations in New York, New Jersey, Connecticut, Texas, and Louisiana. It is a diversified bank whose principal subsidiaries, Capital One, N.A. and Capital One Bank (USA), N.A., offer a broad spectrum of financial products and services to consumers, small businesses and commercial clients. A Fortune 500 company, Capital One trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 100 index.


Contact:

Capital One Bank
Diana Don, 703-720-2371
[e-mail]

[OptionMonster]

COF reporting bad loans 5.96% for August vs 6.08% for July

[analogdog]

A handful of cheap azz puts, a ways out... could yield a monster PAYDAY IMO.

[analogdog]

this one will fail IMO..... no way it survives with a debt leverage of more than 5 to 1 actual cash.... all in UNSECURED CREDIT!!!

[analogdog]

Balance Sheet
Total Cash (mrq): 4.52B
Total Cash Per Share (mrq): 12.042
Total Debt (mrq): 27.81B (leveraged more than 5 to 1)

Cash Flow Statement
Operating Cash Flow (ttm): 6.08B

[analogdog]

VALUATION MEASURES

Market Cap (intraday)5: 17.41B
Enterprise Value (11-Sep-08)3: 40.41B
Trailing P/E (ttm, intraday): 15.31
Forward P/E (fye 31-Dec-09) 1: 9.52

[analogdog]

DIRECT COMPETITOR COMPARISON

http://finance.yahoo.com/q/co?s=COF

[OptionMonster]

Note to self>>>COFXJ on a $50 breach

[analogdog]

COF earnings call Q2 2008

http://web.servicebureau.net/conf/meta?i=1113058587&c=2343&m=was&u=/w_ccbn.xsl&date_ticker=cof

[OptionMonster]

That is the target I have been waiting for to add some PUTS

[analogdog]

move up please... $50 would be nice... then it's put time.

[analogdog]

AGGGRRRREEEEDDDD... hey "greed" is in there somewherez.

[OptionMonster]

January 2010 $2.50 PUTS (YFNMZ) .15/.30<<<Here is your lotto for them

[OptionMonster]

Down $1.68 pre-market at this time ($43.90)>>Off it's lows currently

[analogdog]

I'm bbbbbbback baby! ready for the next tank a bank!

[OptionMonster]

Hoping this recent run up in fins takes COF above $50>>At that point>>>Short it

[OptionMonster]

Net Charge-Offs 4.05% up from 2.57% a year earlier

[OptionMonster]

Total Loans Delinquent: 3.64% up from 2.86% a year earlier

[OptionMonster]

EPS $2.95/share vs $3.64 a year earlier

[analogdog]

Late Loan Payments Highest Since 1992
Thursday April 3, 7:05 pm ET
By Alan Zibel, AP Business Writer
Borrowers Fell Behind on Car, Home Equity, Home Improvement Loans at Highest Level Since 1992

WASHINGTON (AP) -- Borrowers fell behind on their car, home equity and home improvement loans in last three months of 2007 at a delinquency rate not hit since the early 1990s.

The American Bankers Association reported Thursday that late payments on a group of consumer loans increased to 2.65 percent in the October-December quarter, up from 2.44 percent in the July-September quarter. It was the highest level since the first quarter of 1992, when the economy had just emerged from a recession.


"The rise in consumer credit delinquencies is consistent with a rapidly slowing economy," James Chessen, the group's chief economist, said in a statement. "Stress in the housing market still dominates the story but it's a broader tale of an overall weak economy."

Payments are considered delinquent if they are 30 or more days past due. The survey is based on information supplied by more than 300 banks nationwide. Late payments increased across all eight loan categories surveyed by the bankers' association.

The rise in auto loan delinquencies underscored the economy's widening blow. The delinquency rate on "indirect" auto loans -- which are arranged through dealerships -- jumped in the fourth quarter to 3.13 percent, the highest figure on records going back to 1990.

Late payments on home equity lines of credit jumped to 0.96 percent in the fourth quarter, the highest rate since the second quarter of 1997. That was up from 0.84 percent in the third quarter.

The delinquency rate on home-equity loans in the fourth quarter rose to 2.39 percent, the highest since the second quarter of 2005.

A severe housing slump and weaker home values have clobbered some homeowners -- making it difficult, or even impossible, for some to pay their monthly mortgages or auto loan payments. In another bad sign for the economy, the Labor Department reported Thursday that number of new people signing up for unemployment benefits last week shot up to the highest level in more than two years.

When money is tight, borrowers are able to make minimum payments on their credit cards, but don't have that option with mortgages or auto loans, said Greg McBride, senior financial analyst for Bankrate.com."It's the loans with big payments that seem to be causing the biggest problems for consumers in distress," McBride said.

On Wednesday, a Keefe, Bruyette & Woods Inc. analyst said loans written off as not being repaid and delinquency rates across credit card issuers increased in February from January, according to an analysis of trends in credit card debt packaged into securities.

[analogdog]

As Credit Card Defaults Soar, New Danger For Banks

The mortgage-backed financial instruments that have gone such a long way to hurt brokerages like Merrill Lynch (MER) and banks like Citigourp (C) may be just the start of a wave of writes-offs.The next big problem is likely to come from pools of credit card debt.

According to The Associated Press, "the value of credit card accounts at least 30 days late jumped 26 percent to $17.3 billion in October from a year earlier at 17 large credit card trusts examined by the news service"

The trend could undermine whatever recovery big financial firms had hoped for in two ways. First, credit card debt is put into pools which are sold to banks, investment houses, and institutional investors. In that way, the system is no different than it is with mortgage-related securities. About 45% of the nation's $920 billion in credit card debt has been packaged into these pools.

These credit card instruments are sitting on balance sheets, likely to be written-off in either this quarter or early next year.

The other major area of exposure is banks which hold much of the credit card debt from consumers which has never been resold to other financial companies. Most large money center banks and firms like Capital One (COF) have some portion of this kind of debt.

Investors who thought financial industry problems ended with mortgage-instruments better think again. The write-off problems are about to get worse.

[analogdog]

Credit card default rate soars

NEW YORK (AP) -- With more Americans filing for bankruptcy again after last year's hiatus, credit card default rates are spiking.

Though the percentage of payments being written off as uncollectable isn't as high as it was a couple years ago, the conditions are ripe for it to catch up. Bankruptcy filings keep pouring in, home prices continue to fall and energy prices remain high.

According to data from Moody's Investors Service, credit card companies wrote off 4.58 percent of payments between January and May, up nearly 30 percent from the same period in 2006.

"In 2007, we expected an increase, as bankruptcy filings returned to more normal levels," said Jay Eisbruck, managing director in Moody's Investors Service Asset-Backed Finance Group. He called this year's resurgence in bankruptcy filings the primary reason credit card default rates have soared.

In mid-2005, when home prices were still on the rise, the default rate was at around 6 percent, and in 2004, it was even higher. What ended up bringing the default rate down to about 3 percent in late 2005 and early 2006 were changes in U.S. law that made it more expensive and more difficult for individuals to file and qualify for bankruptcy. Bankruptcy filings surged in late 2005 before the law took hold, and then dropped off.

Now, bankruptcy filings are flooding back in. According to the Administrative Office of the U.S. Courts, the nation's bankruptcy filings jumped 66 percent in the first quarter. That's causing default rates to soar, because getting bankruptcy protection usually means you're released of your credit card obligations.

Part of the reason more people are filing for bankruptcy is falling home prices. Standard & Poor's reported Tuesday that U.S. home prices fell 3.2 percent in the second quarter, the steepest rate of decline since 1987, when it began its nationwide housing index. When home prices depreciate, it makes it harder for many homeowners to access cash through refinancing their mortgages. Some homeowners, especially those who got stuck with high rate loans, can't make their mortgage payments.

But the problem with bankruptcy filings in America -- and in turn, the nation's credit card debt -- is bigger than the slumping housing market, experts say.

"Bankruptcy filings have rebounded because consumers continue to feast on a diet of debt," said Greg McBride, senior financial analyst at Bankrate.com.

Rates for credit card delinquencies rather than defaults, meanwhile, have held up relatively well compared to other types of debt, especially when you consider that you don't lose anything physical, like a car or a house, if you're late in your payments.

According to the Moody's data, credit card delinquencies rose just under 4 percent between May 2006 and May 2007. Eisbruck said the bankruptcy law change affected the national default rate much more than the delinquency rate. People are usually delinquent before they file for bankruptcy; after they file, they are written off.

The credit card delinquency rate in the first quarter of 2007 was still higher than most other types of debt, according to data from the American Bankers Association. But they declined compared to the fourth quarter of 2006 while several other types of debt -- home equity loans, property improvement loans, indirect auto loans and personal loans -- saw delinquencies rise.

Typically, "credit card delinquencies run higher than other secured forms of debt. It's the first debt discharged in bankruptcy, and it's also the debt that consumers often stop paying first. They make the car payment because it's going to get them to work," McBride said.

Another reason why people are missing payments and defaulting is inflation -- a factor that would likely be magnified by a rate cut by the Federal Reserve, which many on Wall Street are hoping for to loosen up the credit markets.

The average price for a gallon of regular gasoline is about $2.75, according to AAA, below its summer record of $3.22 but still more than 40 percent higher than it was three years ago.

[nkdroth]

COF Looking for this one to go lower

[nkdroth]

More bad news on the horizon:

http://money.cnn.com/2008/01/31/news/companies/mbia/index.htm

[nkdroth]

At the present capital one is writing off a lot of business

[nkdroth]

I'm hoping it will nose dive at some point

[nkdroth]

This is the year of the credit card recession imho

[nkdroth]

COF My new pet Lol

[OptionMonster]

Capital One Introduces Interactive ''Card Lab''
Online Tool Gives Consumers a Menu of Options to Build Their Own Card

Capital One Financial Corporation (NYSE:COF) today announced the launch of the Capital One Card Lab, a convenient online tool designed to help consumers select from a menu of terms and options to build their own credit card. The Capital One Card Lab site offers an array of options related to interest rate, annual fee, rewards and even the design on the front of their card and allows consumers to select the combination of features that are most important to them.

“Consumers today want control and expect the ability to customize products to meet their needs,” said Pam Girardo, spokesperson for Capital One. “Instead of buying music albums in the store, people are compiling their own online – and rather than buying a car off the lot, people can now design and purchase the precise automobile they desire online. Capital One is pleased to empower our customers to build their own credit card online.”

How Does It Work?

The Capital One Card Lab web site (www.capitalone.com/cardlab) provides a series of interactive choices, where consumers can click to select the options they want and need in their credit card, including key account terms and the image printed on their card. Once the consumer has made his or her choices, they complete an online application. If approved, their customized card will be mailed to them.

Capital One Card Lab Configurations Include:

Base rewards (Miles, Points and Cash)
Rewards bonuses (enhanced earn in specific categories, such as travel & entertainment)
Interest rates
Introductory offers
Annual fees
Plastic designs
The Capital One Card Lab offers a whole new level of transparency for consumers, who will be able to see in real-time the trade-offs that are necessary to create the card that works for them. As choices are made, the tool narrows the options in the remaining categories, eliminating options that don’t work together. For example, consumers who are willing to pay an annual fee can earn rewards faster. The Capital One Card Lab also provides an education in key account terms. Customers will see the definitions of key terms as they go, helping them fully understand the choices they make. As a final step, customers can choose their plastic design, and later this year, will be able to upload their own image onto the card.

“The concept of the Capital One Card Lab springs from the emerging trend of control shifting from companies to customers,” says Girardo. “We are proud to offer control to consumers to customize their card -- inside and out -- and we believe it will generate loyalty and confidence among our customers.”

For more information about the Capital One Card Lab, please visit www.capitalone.com/cardlab or call 1-800-610-7670.

About Capital One

Headquartered in McLean, Virginia, Capital One Financial Corporation (http://www.capitalone.com) is a financial holding company, with 732 locations in New York, New Jersey, Connecticut, Texas and Louisiana. Its principal subsidiaries, Capital One Bank, Capital One Auto Finance, Inc., and Capital One, N.A., offer a broad spectrum of financial products and services to consumers, small businesses and commercial clients. Capital One's subsidiaries collectively had $83.3 billion in deposits and $146.4 billion in managed loans outstanding as of September 30, 2007. Capital One, a Fortune 500 company, trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 100 index.


Capital One Financial Corporation
Pam Girardo, 703-720-2351
[e-mail]




Source: Business Wire (November 26, 2007 - 10:36 AM EST)

News by QuoteMedia
www.quotemedia.com

[OptionMonster]

Capital One and NetSpend Agree to Terminate Acquisition Agreement
Companies Announce New Agreement to Extend and Expand Existing Strategic Partnership

Capital One to Acquire Equity Position

Capital One Financial Corporation (NYSE:COF) and NetSpend Holdings, Inc. announced today that they have mutually agreed to the termination of their previously announced acquisition agreement and that they have entered into a Letter of Intent to expand their existing strategic relationship. As part of the expanded strategic relationship, Capital One intends to acquire a minority interest in NetSpend, a leading retail marketer of prepaid debit cards, along with an option to purchase additional shares of the company. In addition, the parties expect that a Capital One representative will join the NetSpend Board of Directors.

Together, Capital One and NetSpend intend to jointly pursue the distribution of prepaid card products through a variety of mainstream retail channels.

“We are excited about expanding our efforts with NetSpend into the mainstream U.S. retail marketplace,” said Kent Ivanoff, Capital One’s EVP, U.S. Card. “This partnership further strengthens our ability to offer flexible, safe and reliable payment alternatives to millions of consumers. We are confident that this alliance will bring tremendous value to both companies and that it will continue to drive our efforts in the prepaid marketplace to the next level."

"Our partnership with Capital One provides us with a tremendous opportunity to further extend our visibility in the growing prepaid market," said Rick Savard, NetSpend’s CEO. "We believe that Capital One's investment in NetSpend and their participation on our Board will further drive alignment of our long-term objectives across the prepaid market. By leveraging each company's strengths, we can continue to deliver innovative products, drive sales and help build even greater loyalty for our merchant partners."

Capital One's acquisition of an equity position in NetSpend is not expected to have a material effect on Capital One’s earnings per share in 2008.

About Capital One

Headquartered in McLean, Virginia, Capital One Financial Corporation (www.capitalone.com) is a financial holding company, with 732 locations in New York, New Jersey, Connecticut, Texas and Louisiana. Its principal subsidiaries, Capital One Bank, Capital One Auto Finance, Inc., and Capital One, N.A., offer a broad spectrum of financial products and services to consumers, small businesses and commercial clients. Capital One's subsidiaries collectively had $83.3 billion in deposits and $146.4 billion in managed loans outstanding as of September 30, 2007. Capital One, a Fortune 500 company, trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 100 index.

About NetSpend Corporation

NetSpend Corporation is one of the premier providers of innovative, accessible prepaid debit cards that enable financial freedom for under-banked consumers. Grounded by a mission of financial empowerment, NetSpend is committed to meeting its customers’ financial services needs on their terms while offering the convenience, security and acceptance of conventional financial services. NetSpend’s proprietary processing platform allows it to support prepaid card programs end-to-end from customer acquisition and card fulfillment to customer service and risk management. The NetSpend® Prepaid Card Network includes leading consumer brands and companies serving the un-banked and under-banked markets, and its strategic relationships include card issuers, EFT networks and payment card associations. For more information, visit www.netspend.com


Capital One:
Media - Tatiana Stead
[phone]
or
IR - Jeff Norris
[phone]
or
NetSpend:
Amy Shields
[phone]
or
Julian Read
[phone]




Source: Business Wire (November 19, 2007 - 4:06 PM EST)

News by QuoteMedia
www.quotemedia.com

[OptionMonster]

Nice down day..Hopefully more downside to come!