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) October 15, 1996
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MBNA Corporation
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(Exact name of registrant as specified in its charter)
Maryland 1-10683 52-1713008
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
Wilmington, Delaware 19884
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (800) 362-6255
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(Former name or former address, if changed since last report.)
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Item 5. Other Events
MBNA Corporation released earnings for the third quarter of 1996 on
October 15, 1996, as filed in exhibit 99 under Item 7.
Item 7. Financial Statements and Exhibits
Exhibits
Exhibit 99: Additional Exhibits
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SIGNATURE
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 duly authorized.
MBNA CORPORATION
Date: October 16, 1996 By: /s/ M. Scot Kaufman
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M. Scot Kaufman
Executive Vice President
and Chief Financial Officer
Exhibit 99
MBNA CORPORATION AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
(dollars in thousands, except per share amounts)
For the Three Months For the Nine Months
Ended September 30, Ended September 30,
1996 1995 1996 1995
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(unaudited)
INCOME STATEMENT DATA FOR THE PERIOD:
Net interest income............. $ 160,905 $ 138,419 $ 462,230 $ 395,965
Provision for possible credit
losses......................... 35,273 37,361 133,873 99,462
Other operating income.......... 472,348 389,017 1,313,957 1,018,850
Other operating expense......... 383,538 328,963 1,104,090 913,223
Net income(a)................. 129,523 97,327 325,065 242,887
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PER COMMON SHARE DATA FOR THE PERIOD(b):
Earnings(c)..................... $ .55 $ .42 $ 1.38 $ 1.07
Dividends....................... .16 .14 .48 .42
Book value...................... 5.86 4.74
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RATIOS:
Return on average total assets.. 3.44% 3.20% 3.10% 2.92%
Return on average stockholders'
equity......................... 37.26 38.78 33.24 34.00
Average receivables to average
deposits....................... 95.67 92.98 92.18 92.63
Stockholders' equity to total
assets......................... 10.31 8.46
Loan Portfolio:
Delinquency(d)................ 3.16 2.85
Net credit losses............. 1.55 1.95 2.03 1.84
Managed Loans(e):
Delinquency................... 4.00 3.58
Net credit losses............. 3.38 2.71 3.37 2.66
Net interest margin(f)........ 7.50 7.45 7.61 7.39
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MBNA CORPORATION AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
(dollars in thousands, except per share amounts)
For the Three Months For the Nine Months
Ended September 30, Ended September 30,
1996 1995 1996 1995
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(unaudited)
MANAGED LOAN DATA(e):
At Period End:
Loans held for
securitization....... $ 2,822,022 $ 1,859,205
Loan portfolio........ 6,303,027 5,267,275
Securitized loans..... 25,614,114 17,525,874
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Total managed loans. $ 34,739,163 $ 24,652,354
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Average:
Loans held for
securitization....... $ 2,398,970 $ 2,364,908 $ 2,558,674 $ 2,480,398
Loan portfolio........ 6,668,646 5,129,163 5,870,899 4,491,496
Securitized loans..... 23,392,536 16,156,117 21,099,223 14,520,210
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Total managed loans. $ 32,460,152 $ 23,650,188 $ 29,528,796 $ 21,492,104
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For the Period:
Sales and cash
advance ............. $ 13,267,372 $ 9,017,670 $ 34,080,227 $ 24,750,156
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BALANCE SHEET DATA AT PERIOD END:
Investment securities
and money market
instruments............ $ 2,966,752 $ 3,041,755
Loans held for
securitization......... 2,822,022 1,859,205
Credit card loans....... 4,896,703 4,582,969
Other consumer loans.... 1,406,324 684,306
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Total loans........... 6,303,027 5,267,275
Reserve for possible
credit losses.......... (117,788) (104,832)
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Net loans............. 6,185,239 5,162,443
Total assets............ 15,562,235 12,492,351
Total deposits.......... 9,649,548 8,228,976
Stockholders' equity.... 1,605,063 1,056,507
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MBNA CORPORATION AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
(dollars in thousands, except per share amounts)
For the Three Months For the Nine Months
Ended September 30, Ended September 30,
1996 1995 1996 1995
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(unaudited)
AVERAGE BALANCE SHEET DATA:
Investment securities and
money market instruments.... $ 2,841,424 $ 2,557,229 $ 2,807,700 $ 2,322,721
Loans held for
securitization.............. 2,398,970 2,364,908 2,558,674 2,480,398
Credit card loans............ 5,144,692 4,475,644 4,730,964 3,900,265
Other consumer loans......... 1,523,954 653,519 1,139,935 591,231
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Total loans................ 6,668,646 5,129,163 5,870,899 4,491,496
Reserve for possible credit
losses...................... (112,553) (104,565) (108,577) (103,106)
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Net loans.................. 6,556,093 5,024,598 5,762,322 4,388,390
Total assets................. 14,980,002 12,059,484 14,005,528 11,109,666
Total deposits............... 9,478,376 8,060,092 9,144,479 7,526,982
Stockholders' equity......... 1,382,791 995,699 1,306,435 955,087
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Weighted average common
shares outstanding and
common stock equivalents
(000)(b).................... 230,326 229,155 230,088 227,897
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NOTES:
(a) Net income for the nine months ended September 30, 1996, includes a $32.8
million tax benefit related to deductions for the amortization of Customer-
based intangible assets acquired in connection with the 1991 initial public
offering of the Corporation's Common Stock, and a charge of $32.8 million
net of tax ($54.3 million pre-tax) related to the launch of the MBNA
Platinum Plus Visa and Mastercard program. These items were recognized by
the Corporation during the three months ended March 31, 1996.
(b) Per common share data and weighted average common shares outstanding and
common stock equivalents have not been restated to reflect the three-for-
two split of the Corporation's Common Stock effected in the form of a
dividend, to be issued January 1, 1997, to stockholders of record as of the
close of business on December 16, 1996. Per common share data and weighted
average common shares outstanding and common stock equivalents have been
restated to reflect the three-for-two split of the Corporation's Common
Stock, effected in the form of a dividend, issued February 16, 1996, to
stockholders of record as of February 2, 1996.
(c) Earnings per common share is computed using net income applicable to
common stock and weighted average common shares outstanding (including
common stock equivalents).
(d) Loan portfolio delinquency does not include loans held for securitization
or securitized loans.
(e) Managed loans include the Corporation's loans held for securitization,
loan portfolio, and securitized loans.
(f) Managed net interest margin is presented on a fully taxable equivalent
basis.