|
Note P - Segments and Related Information
The Company has six major segments that are grouped into Consumer and Institutional businesses. Consumer Businesses include Mortgage Originations, Mortgage-Related Investments and Business to Consumer ("B2C") Insurance. Institutional Businesses include Processing and Technology, Capital Markets and Business to Business ("B2B") Insurance.
The Mortgage Originations Segment originates mortgage loans through the Company's retail branch network (Consumer Markets Division and Full Spectrum Lending, Inc.) and the Wholesale Division. This segment also provides other complementary services offered as part of the origination process through LandSafe, Inc., including title, escrow, appraisal, credit reporting and flood determination services. The Mortgage-Related Investments Segment consists of investments in assets retained in the mortgage securitization process, including MSRs and residual interests. The B2C Insurance Segment, through Countrywide Insurance Services, Inc., acts as an agent in the sale of insurance, including homeowners, fire, flood, earthquake, life and disability insurance, primarily to the Company's mortgage customers.
The Processing and Technology Segment activities include internal sub-servicing of the Company's portfolio, as well as mortgage subservicing and subprocessing for other domestic financial institutions and foreign financial institutions (through Global Home Loans, Limited). The Capital Markets Segment purchases mortgage loans through the Correspondent Lending Division, acts as a broker/dealer specializing in mortgages and mortgage-related securities through Countrywide Securities Corporation ("CSC"), and as an agent, facilitates the purchase and sale of bulk servicing rights through Countrywide Servicing Exchange, Inc. ("CSE"). The B2B Insurance Segment includes the activities of Balboa Life Insurance Company and Balboa Insurance Company (collectively "Balboa"), an insurance carrier that offers property and casualty insurance (specializing in creditor-placed insurance), and life and disability insurance, along with Second Charter, Inc., a mortgage reinsurance company. Included in the tables below labeled "Other" is the holding company activities and certain reclassifications to conform management reporting to the consolidated financial statements.
| |
For the fiscal year ended February 28, 2001 |  | |
| |
Consumer Businesses |
Institutional Businesses | | | | | |
|
(Dollars in thousands) |
Mortgage
Originations |
Mortgage-
Related
Investments |
B2C
Insurance |
Total |
Processing
and
Technology |
Capital
Markets |
B2B
Insurance |
Total |
Other |
Total | |
|
External revenues |
$ |
954,249 |
$ |
434,976 |
$ |
37,650 |
$ |
1,426,875 |
$ |
58,821 |
$ |
263,214 |
$ |
304,606 |
$ |
626,641 |
$ |
2,805 |
$ |
2,056,321 |
|
Intersegment revenues | |
- | |
(261,086) | |
- | |
(261,086) | |
261,086 | |
- | |
- | |
261,086 | |
- | |
- | | |
|
Total revenues |
$ |
954,249 |
$ |
173,890 |
$ |
37,650 |
$ |
1,165,789 |
$ |
319,907 |
$ |
263,214 |
$ |
304,606 |
$ |
887,727 |
$ |
2,805 |
$ |
2,056,321 | | | | | | | | | | | | | | | | | | | | | | | | |
|
Segment earnings | | | | | | | | | | | | | | | | | | | | |
|
(pre-tax) |
$ |
190,411 |
$ |
166,944 |
$ |
4,158 |
$ |
361,513 |
$ |
62,540 |
$ |
94,373 |
$ |
69,874 |
$ |
226,787 |
$ |
(2,265) |
$ |
586,035 |
|
Segment assets |
$ |
2,165,901 |
$ |
10,990,807 |
$ |
76,662 |
$ |
13,233,370 |
$ |
171,074 |
$ |
8,455,834 |
$ |
934,758 |
$ |
9,561,666 |
$ |
160,471 |
$ |
22,955,507 |
| |
For the fiscal year ended February 29, 2000 | | |
| |
Consumer Businesses |
Institutional Businesses | | | | | |
|
(Dollars in thousands) |
Mortgage
Originations |
Mortgage-
Related
Investments |
B2C
Insurance |
Total |
Processing
and
Technology |
Capital
Markets |
B2B
Insurance |
Total |
Other |
Total | |
|
External revenues |
$ |
985,411 |
$ |
470,914 |
$ |
32,955 |
$ |
1,489,280 |
$ |
48,614 |
$ |
233,941 |
$ |
82,742 |
$ |
365,297 |
$ |
16,296 |
$ |
1,870,873 |
|
Intersegment revenues | |
- | |
(205,212) | |
- | |
(205,212) | |
205,212 | |
- | |
- | |
205,212 | |
- | |
- | | |
|
Total revenues |
$ |
985,411 |
$ |
265,702 |
$ |
32,955 |
$ |
1,284,068 |
$ |
253,826 |
$ |
233,941 |
$ |
82,742 |
$ |
570,509 |
$ |
16,296 |
$ |
1,870,873 | | |
|
Segment earnings | | | | | | | | | | | | | | | | | | | | |
|
(pre-tax) |
.$ |
218,121 |
$ |
250,296 |
$ |
6,041 |
$ |
474,458 |
$ |
35,924 |
$ |
87,028 |
$ |
31,759 |
$ |
154,711 |
$ |
2,029 |
$ |
631,198 |
|
Segment assets |
$ |
1,981,795 |
$ |
8,764,810 |
$ |
47,436 |
$ |
10,794,041 |
$ |
151,075 |
$ |
3,846,676 |
$ |
832,505 |
$ |
4,830,256 |
$ |
198,031 |
$ |
15,822,328 |
| |
For the fiscal year ended February 28, 1999 | | |
| |
Consumer Businesses |
Institutional Businesses | | | | | |
|
(Dollars in thousands) |
Mortgage
Originations |
Mortgage-
Related
Investments |
B2C
Insurance |
Total |
Processing
and
Technology |
Capital
Markets |
B2B
Insurance |
Total |
Other |
Total | |
|
External revenues |
$ |
1,324,374 |
$ |
160,529 |
$ |
22,784 |
$ |
1,507,687 |
$ |
49,165 |
$ |
212,927 |
$ |
13,244 |
$ |
275,336 |
$ |
21,365 |
$ |
1,804,388 |
|
Intersegment revenues | |
- | |
(163,250) | |
- | |
(163,250) | |
163,250 | |
- | |
- | |
163,250 | |
- | |
- | | |
|
Total revenues |
$ |
1,324,374 |
$ |
(2,721) |
$ |
22,784 |
$ |
1,344,437 |
$ |
212,415 |
$ |
212,927 |
$ |
13,244 |
$ |
438,586 |
$ |
21,365 |
$ |
1,804,388 | | |
|
Segment earnings | | | | | | | | | | | | | | | | | | | | |
|
(pre-tax) |
$ |
517,827 |
$ |
(26,319) |
$ |
3,325 |
$ |
494,833 |
$ |
33,367 |
$ |
90,140 |
$ |
13,084 |
$ |
136,591 |
$ |
381 |
$ |
631,805 |
|
Segment assets |
$ |
4,474,571 |
$ |
6,532,760 |
$ |
23,200 |
$ |
11,030,531 |
$ |
106,280 |
$ |
4,356,474 |
$ |
27,862 |
$ |
4,490,616 |
$ |
127,109 |
$ |
15,648,256 |
|
