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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) January
21, 1999
IBM CREDIT CORPORATION
_________________________________________________
(Exact Name of Registrant as Specified in Charter)
Delaware 1-8175 22-2351962
____________________________ _____________ _____________________
(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification No.)
North Castle Crive, MS NCA-306
Armonk, New York 10504-1785
__________________________________________ ___________
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code (914)765-1900
Not Applicable
_____________________________________________________________
(Former Name or Former Address, if changed Since Last
Report)
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Item 5. Other Events
The Registrant's press release dated January 21, 1999, regarding its
financial results and selected balance sheet information as of and for
for the period ended December 31, 1998, is attached.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duty authorized.
IBM CREDIT CORPORATION
(Registrant)
By:
______________________________
Name: Michael J. Twomey
Date: January 25, 1999 Title: Controller and Treasurer
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FOR IMMEDIATE RELEASE
Contact: Terrence Marable
IBM Credit Corporation
(914) 765-6647
[email protected]
IBM CREDIT CORPORATION ANNOUNCES 1998 FINANCIAL RESULTS
NORTH CASTLE, NY, January 21, 1999 ... IBM Credit
Corporation today reported 1998 net earnings of $308.8
million, an increase of 9 percent compared with $283.9
million in 1997.
"More and more, our customers are appreciating the value
and uniqueness of IBM's ability to provide hardware,
software, services and financing from a single source," said
Joseph C. Lane, president, IBM Credit Corporation and
general manager, IBM Global Financing. "As part of IBM
Global Financing with worldwide assets greater than $40
billion, IBM Credit Corporation continues to provide
attractive rates and terms and conditions on competitive
financing, as well as structured financial solutions in
special situations. Our financial strength, as demonstrated
by 1998's results, is a powerful advantage for IBM's
customers and Business Partners when we work together with
them to achieve mutual success."
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New customer financing originations for commercial and
government institutions acquiring information technology
products and services rose 3 percent to $7.2 billion in
1998, compared with $7.0 billion in 1997. New commercial
financing originations to distribution channel partners
decreased 5 percent to $14.2 billion in 1998, compared with
$15.0 billion for the same 1997 period.
At December 31, 1998, total assets were $16.4 billion,
compared with $16.6 billion at December 31, 1997, a decrease
of 1 percent. Retained earnings at December 31, 1998, were
$1.4 billion compared with $1.2 billion at December 31,
1997, an increase of 17 percent. The return on average
equity was 17.2 percent in 1998, compared with 18.6 percent
in 1997.
In the fourth quarter of 1998, net earnings were $81.5
million, an increase of 11 percent from 1997's $73.7
million. Financing originated for commercial and government
customers in the fourth quarter of 1998 was $2.7 billion, an
increase of 17 percent compared with the same 1997 period.
For the fourth quarter of 1998, commercial financing for
distribution channel partners was $4.2 billion, a 2 percent
decrease compared with the same 1997 period.
Forward-Looking and Cautionary Statements
Except for the historical information and discussions
contained herein, statements contained in this release may
constitute "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995.
These statements involve a number of risks, uncertainties
and other factors that could cause actual results to differ
materially, as discussed in the company's filings with the
Securities and Exchange Commission.
IBM Credit Corporation in the United States, and the
IBM Global Financing organizations worldwide, offer
businesses of all sizes leasing and financing for technology
acquired from IBM or remarketers. IBM Credit and the IBM
Global Financing organizations also offer customers in more
than 40 countries a broad array of asset management services
and provide remarketers with commercial financing. Visit the
IBM Global Financing home page at www.financing.ibm.com
