• 4th quarter earnings of $87 million, $0.66 per share
  • Quarterly charge-offs declined to 3.3%
  • Unrestricted cash balance grew to $910 million
  • FY08 earnings guidance updated

FORT WORTH, Texas--(BUSINESS WIRE)--Aug. 8, 2007--AMERICREDIT CORP. (NYSE: ACF) today announced net income of $87 million, or $0.66 per share, for its fiscal fourth quarter ended June 30, 2007. AmeriCredit reported net income of $79 million, or $0.55 per share, for the same period a year earlier. For the fiscal year ended June 30, 2007, AmeriCredit reported net income of $360 million, or $2.73 per share, compared to $306 million, or $2.08 per share, for the fiscal year ended June 30, 2006.

Net income for the fiscal year ended June 30, 2007, included a $33 million after-tax gain ($52 million pre-tax), or $0.25 per share, related to the sale of AmeriCredit's investment in DealerTrack Holdings, Inc., and a $21 million, or $0.16 per share, reduction in reserves for contingent tax positions. Net income for the fiscal year ended June 30, 2006, included a $6 million after-tax gain ($9 million pre-tax), or $0.04 per share, related to the sale of AmeriCredit's investment in DealerTrack Holdings, Inc. Net income for the quarter and fiscal year ended June 30, 2006, included a $6 million after-tax loss ($9 million pre-tax), or $0.04 per share, related to the redemption of the 9 1/4 Senior Notes due in May 2009. Operating results include Bay View Acceptance Corporation since its acquisition on May 1, 2006, and Long Beach Acceptance Corp. since its acquisition on January 1, 2007.

Automobile finance originations increased to $2.51 billion for the fourth quarter of fiscal year 2007, compared to $1.73 billion for the same period last year. Origination volume for the fiscal year ended June 30, 2007, was $8.45 billion compared to $6.21 billion for the same period a year earlier. Managed receivables totaled $15.95 billion at June 30, 2007.

Annualized net charge-offs totaled 3.3% of average managed receivables for the June 2007 quarter compared to 3.9% for the June 2006 quarter. For the fiscal year ended June 30, 2007, net charge-offs were 4.7% compared to 5.2% for the same period last year.

Managed auto receivables 31-to-60 days delinquent were 4.7% of the portfolio at June 30, 2007, compared to 5.1% at June 30, 2006. Accounts more than 60 days delinquent remained stable at 2.1% of the portfolio at June 30, 2007, compared to June 30, 2006.

"Our financial results demonstrate our continued focus on execution and our commitment to position AmeriCredit as a leader in full-spectrum auto finance," said President and Chief Executive Officer Dan Berce. "Our quarterly net credit losses were the lowest in our history, reflecting both normal seasonal improvements and a shift in our portfolio mix to more prime and near-prime loans."

During fiscal year 2007, the Company repurchased $324 million of its common stock. Subsequent to June 30, 2007, the Company has repurchased an additional $100 million of its common stock and has $200 million remaining under its board approved stock repurchase plan.

"We ended the fiscal year with $910 million in unrestricted cash and have ample liquidity from our stable and committed warehouse funding program to efficiently execute our business plan," said Chief Financial Officer Chris Choate.

Regulation FD

Pursuant to Regulation FD, the Company provides its expectations regarding future business trends to the public via a press release or 8-K filing. The Company anticipates some risks and uncertainties with its business.

The following net income and earnings per share forecasts have been updated from guidance provided on April 30, 2007, to reflect changes in the company's current business outlook and the impact of stock repurchased through August 8, 2007.


             Actual             Revised Forecast   Previous Forecast
             Fiscal year ended  Fiscal year ending Fiscal year ending
             June 30, 2007      June 30, 2008      June 30, 2008
             (excluding one-
              time charges)
             ------------------ ------------------ -------------------
Net income
($ millions)        $306           $320 - $350         $345 - $375

Earnings per
 share             $2.32          $2.50 - $2.75       $2.65 - $2.85

The forecasts for fiscal year 2008 incorporate, but are not limited to, the following assumptions, which remained unchanged from April 30, 2007:

  • Origination volume of $10.0 to $10.5 billion;
  • Net interest margin of 10.5% to 11.5% of average receivables;
  • Operating expenses of 2.6% to 3.0% of the portfolio;
  • Credit losses to average between 4.0% and 5.0% overall for the fiscal year, but varying seasonally by quarter; and
  • Provision for loan losses as a percent of average receivables to range between 4.5% and 5.5%.

These forecasts do not assume any share repurchase activity subsequent to August 8, 2007.

AmeriCredit will host a conference call for analysts and investors today at 5:30 P.M. Eastern Time. For a live Internet broadcast of this conference call, please go to the Company's Web site to register, download and install any necessary audio software. For those who cannot listen to the live broadcast, a replay will be available shortly after the call.

About AmeriCredit

AmeriCredit Corp. is a leading independent automobile finance company that provides financing solutions indirectly through auto dealers and directly to consumers in the United States and Canada. AmeriCredit has over one million customers and approximately $16 billion in managed auto receivables. The Company was founded in 1992 and is headquartered in Fort Worth, Texas. For more information, visit www.americredit.com.

Except for the historical information contained herein, the matters discussed in this news release include forward-looking statements that involve risks and uncertainties detailed from time to time in the Company's filings and reports with the Securities and Exchange Commission including the Company's annual report on Form 10-K for the year ended June 30, 2006. Such risks include - but are not limited to - variable economic conditions, adverse portfolio performance, volatile wholesale vehicle values, reliance on warehouse financing and capital markets, the ability to continue to securitize its loan portfolio, the continued availability of credit enhancement for its securitization transactions on acceptable terms, fluctuating interest rates, increased competition, regulatory changes, the high degree of risk associated with subprime borrowers, acquisition integration and exposure to litigation. These forward-looking statements are based on the beliefs of the Company's management as well as assumptions made by and information currently available to Company management. Actual events or results may differ materially.


AmeriCredit Corp.
Consolidated Income Statements
(Unaudited, Dollars in Thousands, Except Per Share Amounts)

                        Three Months Ended       Fiscal Year Ended
                             June 30,                 June 30,
                     ------------------------ ------------------------
                        2007         2006        2007         2006
                     ------------ ----------- ------------ -----------
Revenue:
     Finance charge
      income            $591,792     $458,874  $2,142,470   $1,641,125
     Servicing
      income                 354       13,417       9,363       75,209
     Other income         33,247       15,552     136,093       86,157
     Gain on sale of
      equity
      investment               -            -      51,997        8,847
                     ------------ ----------- ------------ -----------
                         625,393      487,843   2,339,923    1,811,338
                     ------------ ----------- ------------ -----------
Costs and expenses:
     Operating
      expenses           107,888       84,683     399,717      336,153
     Provision for
      loan losses        189,920      157,051     727,653      567,545
     Interest
      expense            194,884      120,804     680,825      419,360
     Restructuring
      charges             (1,482)         919        (339)       3,045
                     ------------ ----------- ------------ -----------
                         491,210      363,457   1,807,856    1,326,103
                     ------------ ----------- ------------ -----------

Income before income
 taxes                   134,183      124,386     532,067      485,235

Income tax provision      47,328       45,542     171,818      179,052
                     ------------ ----------- ------------ -----------

     Net income          $86,855      $78,844    $360,249     $306,183
                     ============ =========== ============ ===========

Earnings per share:
     Basic                 $0.74        $0.61       $3.02        $2.29
                     ============ =========== ============ ===========

     Diluted               $0.66        $0.55       $2.73        $2.08
                     ============ =========== ============ ===========

Weighted average
 shares              117,999,621  129,139,155 119,155,716  133,837,116
                     ============ =========== ============ ===========


Weighted average
 shares and
assumed incremental
 shares              131,816,572  144,286,513 133,224,945  148,824,916
                     ============ =========== ============ ===========


Consolidated Balance Sheets
(Unaudited, Dollars in Thousands)


                                    June 30,    March 31,   June 30,
                                      2007        2007        2006
                                   ----------- ----------- -----------

Cash and cash equivalents             $910,304    $615,395    $513,240
Finance receivables, net            15,102,370  14,367,447  11,097,008
Credit enhancement assets                5,919       5,977     104,624
Restricted cash - securitization
 notes payable                       1,014,353   1,144,173     860,935
Restricted cash - credit
 facilities                            166,884     194,693     140,042
Property and equipment, net             58,572      59,041      57,225
Deferred income taxes                  151,704     153,521      78,789
Goodwill                               208,435     200,497      14,435
Leased vehicles, net                    33,968       4,352           -
Other assets                           158,511     139,815     201,567
                                   ----------- ----------- -----------
     Total assets                  $17,811,020 $16,884,911 $13,067,865
                                   =========== =========== ===========

Credit facilities                   $2,541,702  $3,004,774  $2,106,282
Securitization notes payable        11,939,447  10,883,909   8,518,849
Senior notes                           200,000           -           -
Convertible debt                       750,000     750,000     200,000
Funding payable                         87,474      93,170      54,623
Accrued taxes and expenses             199,059     188,984     155,799
Other liabilities                       18,188      14,404      23,426
                                   ----------- ----------- -----------
     Total liabilities              15,735,870  14,935,241  11,058,979
                                   ----------- ----------- -----------

Shareholders' equity                 2,075,150   1,949,670   2,008,886
                                   ----------- ----------- -----------
     Total liabilities and
      shareholders' equity         $17,811,020 $16,884,911 $13,067,865
                                   =========== =========== ===========


Consolidated Statements of Cash Flows
(Unaudited, Dollars in Thousands)

                         Three Months Ended       Fiscal Year Ended
                              June 30,                June 30,
                       ----------------------- -----------------------
                          2007        2006        2007        2006
                       ----------- ----------- ----------- -----------
Cash flows from
 operating activities:
   Net income             $86,855     $78,844    $360,249    $306,183
   Adjustments to
    reconcile net
    income to
        net cash
         provided by
         operating
         activities:
        Depreciation
         and
         amortization      12,712       7,669      36,737      35,304
        Accretion and
         amortization
         of loan fees         284      (7,527)    (16,982)    (20,062)
        Provision for
         loan losses      189,920     157,051     727,653     567,545
        Deferred
         income taxes     (13,664)    (15,293)    (35,850)    (37,405)
        Accretion of
         present value
         discount            (243)     (9,466)     (6,637)    (40,153)
        Stock-based
         compensation
         expense            5,855       3,896      20,230      16,586
        Gain on sale
         of available
         for sale
         securities             -           -     (51,997)     (8,847)
        Other              (1,323)      2,539       2,396       2,853
   Changes in assets
    and liabilities:
        Other assets        5,458      34,355      32,632     117,650
        Accrued taxes
         and expenses       6,087      (6,785)     10,572      21,677
                       ----------- ----------- ----------- -----------
Net cash provided by
 operating activities     291,941     245,283   1,079,003     961,331
                       ----------- ----------- ----------- -----------

Cash flows from
 investing activities:
   Purchase of
    receivables        (2,549,195) (2,053,660) (8,832,379) (7,147,471)
   Principal
    collections and
    recoveries on
    receivables         1,631,640   1,263,928   5,884,140   4,373,044
   Distributions from
    gain on sale
    Trusts                    314     108,395      93,271     454,531
   Net (purchases)
    sales of property
    and equipment          (2,333)     (1,320)    (11,604)     29,234
   Net purchases of
    leased vehicles       (24,961)          -     (28,427)          -
   Proceeds from sale
    of available for
    sale securities             -           -      62,961      11,992
   Acquisition of Bay
    View, net of cash
    acquired                    -     (61,764)          -     (61,764)
   Acquisition of Long
    Beach, net of cash
    acquired                    -           -    (257,813)          -
   Net change in
    restricted cash
    and other             155,066     (64,039)    (54,218)    123,795
                       ----------- ----------- ----------- -----------
Net cash used by
 investing activities    (789,469)   (808,460) (3,144,069) (2,216,639)
                       ----------- ----------- ----------- -----------

Cash flows from
 financing activities:
   Net change in
    credit facilities    (463,075)    443,270     232,895     887,430
   Net change in
    securitization
    notes payable       1,053,048     184,085   1,824,679     884,069
   Net change in
    senior notes          200,000    (154,550)    200,000    (167,750)
   Proceeds from
    issuance of
    convertible debt            -           -     497,376           -
   Repurchase of
    common stock              (90)   (106,024)   (324,054)   (528,070)
   Proceeds from
    issuance of common
    stock                  10,293       8,319      58,157      32,467
   Other net changes       (9,038)     (1,299)    (24,309)     (6,823)
                       ----------- ----------- ----------- -----------
Net cash provided by
 financing activities     791,138     373,801   2,464,744   1,101,323
                       ----------- ----------- ----------- -----------

Net increase
 (decrease) in cash
 and cash equivalents     293,610    (189,376)    399,678    (153,985)

Effect of Canadian
 exchange rate changes
 on
     cash and cash
      equivalents           1,299       1,816      (2,614)      3,724

Cash and cash
 equivalents at
 beginning of period      615,395     700,800     513,240     663,501
                       ----------- ----------- ----------- -----------

Cash and cash
 equivalents at end of
 period                  $910,304    $513,240    $910,304    $513,240
                       =========== =========== =========== ===========


Other Financial Data
(Unaudited, Dollars in Thousands)

                      Three Months Ended         Fiscal Year Ended
                           June 30,                  June 30,
                   ------------------------- -------------------------
                      2007         2006         2007         2006
                   ------------ ------------ ------------ ------------

Origination volume  $2,511,528   $1,734,065   $8,454,600   $6,208,004
Loans securitized    2,764,683    1,297,300    7,659,927    5,000,007

Average on-book
 receivables       $15,513,774  $11,248,944  $13,621,386   $9,993,061
Average gain on
 sale receivables       26,483      560,251      105,831    1,223,469
                   ------------ ------------ ------------ ------------
Average managed
 receivables       $15,540,257  $11,809,195  $13,727,217  $11,216,530
                   ============ ============ ============ ============


                    June 30,     March 31,    June 30,
                       2007         2007         2006
                   ------------ ------------ ------------

On-book
 receivables       $15,922,458  $15,123,907  $11,775,665
Gain on sale
 receivables            24,091       28,979      421,037
                   ------------ ------------ ------------
Managed
 receivables       $15,946,549  $15,152,886  $12,196,702
                   ============ ============ ============


                      Three Months Ended         Fiscal Year Ended
                           June 30,                  June 30,
                   ------------------------- -------------------------
                      2007         2006         2007         2006
                   ------------ ------------ ------------ ------------

Operating expenses    $107,888      $84,683     $399,717     $336,153
Operating expenses
 as a percent of
   average managed
    receivables            2.8%         2.9%         2.9%         3.0%
Tax rate                  35.3%        36.6%        32.3%        36.9%

                     June 30,    March 31,     June 30,
                       2007         2007         2006
                   ------------ ------------ ------------

Loan delinquency:
     On-book:
     (% of ending
      on-book
      receivables)
          31 - 60
           days            4.7%         4.1%         5.0%
          Greater
           than 60
           days            2.1          1.5          2.0
                   ------------ ------------ ------------
             Total         6.8%         5.6%         7.0%
                   ============ ============ ============

     Gain on sale:
     (% of ending
      gain on sale
      receivables)
          31 - 60
           days            0.7%         0.8%         9.2%
          Greater
           than 60
           days            0.6          0.4          3.8
                   ------------ ------------ ------------
             Total         1.3%         1.2%        13.0%
                   ============ ============ ============

     Total
      portfolio:
     (% of ending
      managed
      receivables)
          31 - 60
           days            4.7%         4.1%         5.1%
          Greater
           than 60
           days            2.1          1.5          2.1
                   ------------ ------------ ------------
             Total         6.8%         5.6%         7.2%
                   ============ ============ ============


                         Three Months Ended       Fiscal Year Ended
                              June 30,                 June 30,
                      ------------------------- ----------------------
                         2007         2006         2007        2006
                      ------------ ------------ ------------ ---------
Contracts receiving a
 payment
  deferral as an
   average quarterly
  percentage of
   average receivables
  outstanding:
    On-book (% of
     average on-book
        receivables)          6.1%         6.2%         6.0%      6.1%
                      ============ ============ ============ =========
    Gain on sale (% of
     average gain on
        sale
         receivables)         1.7%         6.7%         2.6%      8.6%
                      ============ ============ ============ =========
    Total portfolio (%
     of average
        managed
         receivables)         6.0%         6.2%         6.0%      6.4%
                      ============ ============ ============ =========


                         Three Months Ended       Fiscal Year Ended
                              June 30,                 June 30,
                      ------------------------- ----------------------
                         2007         2006         2007        2006
                      ------------ ------------ ------------ ---------
Net charge-offs:
     On-book             $127,960     $107,751     $638,094  $467,386
     Gain on sale              91        7,584        4,965   111,243
                      ------------ ------------ ------------ ---------
                         $128,051     $115,335     $643,059  $578,629
                      ============ ============ ============ =========

Net charge-offs as a
 percent of average
     receivables:
     On-book                  3.3%         3.8%         4.7%      4.7%
                      ============ ============ ============ =========

     Gain on sale             1.4%         5.4%         4.7%      9.1%
                      ============ ============ ============ =========

     Total portfolio          3.3%         3.9%         4.7%      5.2%
                      ============ ============ ============ =========
Net recoveries as a
 percent of gross
     repossession
      charge-offs:
     On-book                 51.3%        50.3%        48.8%     49.3%
                      ============ ============ ============ =========

     Gain on sale            49.4%        45.8%        44.0%     41.8%
                      ============ ============ ============ =========

     Total portfolio         51.3%        49.9%        48.8%     47.8%
                      ============ ============ ============ =========


                        June 30,    March 31,     June 30,
                          2007         2007         2006
                      ------------ ------------ ------------
On-book receivables:
     Principal        $15,922,458  $15,123,907  $11,775,665
     Allowance for
      loan losses and
       nonaccretable
        acquisition
        fees             (820,088)    (756,460)    (678,657)
                      ------------ ------------ ------------
                      $15,102,370  $14,367,447  $11,097,008
                      ============ ============ ============

     Allowance as a
      percentage of
      on-book
       receivables            5.2%         5.0%         5.8%
                      ============ ============ ============

The Company's net margin as reflected on the consolidated statements of income, excluding the $9 million pre-tax loss on the redemption of the Company's 9 1/4% Senior Notes due 2009, realized during the quarter and year ended June 30, 2006, is as follows:


                           Three Months Ended     Fiscal Year Ended
                                June 30,              June 30,
                           ------------------- -----------------------
                             2007      2006       2007        2006
                           --------- --------- ----------- -----------

Finance charge income      $591,792  $458,874  $2,142,470  $1,641,125
Other income                 33,247    24,759     136,093      95,364
Interest expense           (194,884) (120,804)   (680,825)   (419,360)
                           --------- --------- ----------- -----------
     Net margin            $430,155  $362,829  $1,597,738  $1,317,129
                           ========= ========= =========== ===========

                           Three Months Ended     Fiscal Year Ended
                                June 30,              June 30,
                           ------------------- -----------------------
                             2007      2006       2007        2006
                           --------- --------- ----------- -----------

Finance charge income          15.3%     16.4%       15.7%       16.4%
Other income                    0.8       0.9         1.0         1.0
Interest expense               (5.0)     (4.3)       (5.0)       (4.2)
                           --------- --------- ----------- -----------
     Net margin as a
      percent of
     average on-book
      receivables              11.1%     13.0%       11.7%       13.2%
                           ========= ========= =========== ===========

The following table provides additional information for comparative purposes related to the Company's acquisition of Bay View Acceptance Corporation on May 1, 2006, and Long Beach Acceptance Corp. on January 1, 2007:

                      Three Months Ended         Fiscal Year Ended
                         June 30, 2007             June 30, 2007
                   ------------------------- -------------------------

                   AmeriCredit     Total     AmeriCredit     Total
                       Core                      Core
                   ------------ ------------ ------------ ------------

Origination volume  $1,941,951   $2,511,528   $7,123,434   $8,454,600

Average managed
 receivables       $12,551,210  $15,540,257  $11,877,344  $13,727,217

Net charge-offs       $117,674     $128,051     $616,557     $643,059

Net charge-offs as
 a percent of
   average
    receivables            3.8%         3.3%         5.2%         4.7%
                   ============ ============ ============ ============

Contracts
 receiving a
 payment
   deferral as an
    average
    quarterly
   percentage of
    average
    receivables            7.0%         6.0%         6.6%         6.0%
                   ============ ============ ============ ============

Net margin            $390,149     $430,155   $1,505,422   $1,597,738
                   ============ ============ ============ ============

Net margin as a
 percent of
   average on-book
    receivables           12.5%        11.1%        12.8%        11.7%
                   ============ ============ ============ ============

                         June 30, 2007
                   -------------------------
                   AmeriCredit     Total
                       Core
                   ------------ ------------

Managed
 receivables       $12,816,253  $15,946,549

Loan delinquency:
(% of ending
 managed
 receivables)
     31 - 60 days          5.7%         4.7%
     Greater than
      60 days              2.5          2.1
                   ------------ ------------
          Total            8.2%         6.8%
                   ============ ============

Allowance as a
 percentage of
     on-book
      receivables          5.9%         5.2%
                   ============ ============

CONTACT: AMERICREDIT CORP.
Investor Relations
Caitlin DeYoung, 817-302-7394
or
Media Relations
John Hoffmann, 817-302-7627

SOURCE: AmeriCredit