$1 Billion - Centrix Financial Loan Portfolio Reaches Milestone
Company Sees 222% Increase in Loan Activity for First Six Months of 2003
CENTENNIAL, Colo., Aug. 7 -- Centrix Financial, LLC, a financial management and services firm, today announced that the total value of all automotive loans under its management now exceeds $1 billion dollars. Centrix, which provides innovative products that allow financial institutions to safely and profitably enter the special finance market, also reaffirmed that it is on target to underwrite an additional $1 billion in new loans for 2003.
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"Obviously, we are extremely proud that we have reached this milestone a full six months ahead of plan. We are even more proud of the fact that we are on target to underwrite our next $1 billion in auto loans by the end of this year," said Robert E. Sutton, Chairman and Chief Executive Officer of Centrix Financial. "This achievement is a testament to the strength of the partnerships we have forged with our clients and to the quality of our long- term planning. I thank every one of our employees for their extraordinary work and dedication to ensuring our clients' long-term success."
Centrix also released an update on its operational numbers for the first half of 2003. Growth and operational improvements for the first half of 2003 continued to be in-line with the Company's projections.
"Our business is healthy and firing on all cylinders and our growth continues to be well within our long-term models. Though it is difficult to predict specific targets in such a volatile climate, we fully expect to see continued operational improvements and growth in-line with expectations through the rest of 2003 and into 2004," concluded Mr. Sutton.
Results for the first six months of 2003 include:
* 25,653 new special finance auto loans totaling $399,362,729 in value;
* 222 percent increase in the number of new loans underwritten for the
first six months from the period one year ago;
* Portfolio yield before servicing fees on all loans from institutions
that funded in the period was 9.25 percent
* Capture rate (the percentage of approved applications that actually
become Centrix PMP loans) improved to 33.23 percent versus
32.73 percent during the same time period in 2002;
* 30-plus day delinquency rate (the percentage of total loans under
management that are delinquent by 30 or more days) decreased to
4.14 percent versus 4.45 percent in the period one year ago;
About Centrix Financial, LLC
Beginning operations in 1990, Denver-based Centrix Financial is a financial management and services firm focused on providing financial strategies and proven products. Seeing an opportunity to address the shortcomings present in traditional approaches to auto buyers with impaired credit, Robert E. Sutton purchased the Company in 1997. One year later, Centrix introduced a new business model designed to bring together financial institutions, auto dealers and car buyers in innovative, more secure and more efficient ways. As part of that model Centrix introduced its core product, the patent-pending Portfolio Management Program (PMP). The Company's innovative business model allows it to serve several different customer groups. For financial institutions, Centrix develops and manages portfolios of auto loans that are insured upfront on a loan-by-loan basis, providing secure and profitable financial vehicles with significantly greater flexibility than is available under the industry's standard securitization of entire portfolios. For auto dealers, Centrix provides a safe way to expand into a new and growing market with efficient access to a nationwide network of 200 retail lenders representing nearly $50 billion dollars in total assets. For borrowers, Centrix's PMP offers safe and competitive financing, in addition to a staff of professionals dedicated to helping each customer maintain ownership of their vehicle, which helps improve their overall credit situation. As of May 31, 2003, Centrix Financial has in excess of 500 employees and is managing a portfolio with a total value approaching $1 billion. Please visit the Centrix website, www.centrixfinancial.com , for more information.
Information on Centrix Financial: 1-877-236-7679 or info@centrixfinancial.com Media Inquiries: Brandon Borrman, Centrix Financial Manager, Corporate Communications (303) 225-3585 or bborrman@centrixfinancial.comPhoto: NewsCom: http://www.newscom.com/cgi-bin/prnh/20010801/LAW028LOGO-b
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