capital one 2007 Policy Affairs Group Annual Report

2007 Annual Report
Policy Affairs Group
Capital One Associates
Political Fund

TAble OF COnTenTs

• Legislation Touches All Aspects of Our Company ...................................................... 3

• Capital One Testifies before U.S. Congress ................................................................ 4

• Making Our Communities Safer ................................................................................ 8

• Financial Literacy ....................................................................................................... 9

• State Legislative Lineup ........................................................................................... 11

• Capital One Associates Political Fund ...................................................................... 12

• Capital One Policy on Political Contributions ........................................................... 14

• 2007 PAC Contributions .......................................................................................... 16

2

LEGISLATION TOUCHES ALL ASPECTS OF OUR COMPANy

Capital One has four federal functional regulators overseeing our lending practices, institutional
safety and soundness, and securities governance. Some business lines also have state regulators with
oversight responsibility for our products, marketing activities, corporate structure and funding.

From designing a new product to sending an offer and managing the account, Capital One is impacted by the
legislation enacted by lawmakers in Washington, D.C., and state capitals, as well as regulations issued at the state
and federal level. The following sets forth just some of the important laws that impact our business.

legislative Controls and Our business
Account Management
Account evaluation
Product Design
• Truth in Lending Act
• Equal Credit Opportunity Act
• Fair Credit Reporting Act
• State Laws regarding
• Electronic Signatures in Global and
• Fair Debt Collection Act
credit evaluation
National Commerce Act (E-Sign)
• Electronic Funds Transfer Act
• Bank Secrecy Act/PATRIOT Act
• Electronic Signatures in Global and
• Office of Foreign Assets Control
• Regulation Q (limitations
National Commerce Act (E-Sign)
regulations
on interest on deposits)
• State Laws regarding customer
• Home Mortgage Disclosure Act
• Federal Deposit Insurance Regulations
agreements; grace periods;
• Federal Trade Commission Act
• US Postal Service Regulations
collection laws; advertisements
• Real Estate Settlement Procedures Act
Account set-up • State Laws regarding auto finance
Offer and mortgages
• Expedited Funds Availability Act
• Office of Foreign Assets
Control regulations
• Truth in Savings Act
• Regulation Q (limitations on
• State Laws regarding mail, Internet
interest on deposits)
• Real Estate Settlement Procedures Act
and telephone solicitations; and
disclosure requirements
• Fair Housing Act
safety and soundness Regulation
• Telephone Consumer Protection Act
• Telemarketing Sales Rule
• Capital regulations • CAN-SPAM
• Truth in Savings Act
• Interstate Branching Act • Bankruptcy Act
• Sarbanes-Oxley Act • Service Members Civil Relief Act
• Federal Deposit Insurance Act
• Fair Housing Act
• Regulation O (loans to insiders) Privacy and Information security
• Bank Bribery Act
• Gramm-Leach-Bliley Act
• CAN-SPAM
• Foreign Corrupt Practices Act
• Transactions with Affiliates
• Federal information-security
regulations
and data-breach guidance
• Bank Holding Company Act
• State credit-freeze and
• National Bank Act
data-breach laws

We track issues as diverse as:
• Mortgage Lending • Limitations on Lending to Military Personnel • Spyware
• Tax issues such as Business Activity Tax • Community Reinvestment Act • Bankruptcy Reform
• Security Breach and Identity Theft • Human Resources Issues • Interchange

In 2007, we engaged and tracked more than 2,300 pieces of federal and state legislation.

3

CAPITAL ONE TESTIFIES BEFORE U.S. CONGRESS – SENATE

Congressional Hearing on Credit Cards During the course of the discussion, Committee
before the U.s. senate banking Committee members also described the obvious benefits
provided through innovation by credit card issuers,
with some indicating a desire to allow the market-
On January 25, 2007, John
place to function without new governmental or
Finneran, Capital One’s
regulatory restrictions or prohibitions.
General Counsel and
Corporate Secretary,
The industry witnesses refuted the claims of the
appeared on behalf of
critics, but acknowledged that existing disclosure
Capital One before the
requirements are complex and can result in consumer
U.S. Senate Committee on
confusion.
Banking, Housing, and Urban Affairs. The
hearing was titled “Examining the Billing, Marketing,
In addition to the industry witnesses, the Committee
and Disclosure Practices of the Credit Card Industry,
called a number of witnesses who were critical of the
and Their Impact on Consumers.”
industry to testify.
Chairman Chris Dodd (D-CT) indicated that this hear-
Chairman Dodd indicated that he looked forward to
ing was the first in a “series” of hearings on credit
working with interested parties, including industry
card issues and noted that the industry is criticized
representatives, in developing legislative solutions to
for certain practices, specifically citing two-cycle
the issues that were raised.
billing and universal default. The practice of
marketing credit cards to college students was also
singled out for criticism.

Finneran discussed Capital One’s consumer-friendly
practices, including our long-standing commitment
not to engage in the practice of universal default or
two-cycle billing.

The Committee members who spoke at the hearing
generally seemed to agree that the current credit card
disclosure regime is too complex, leaving consumers
confused and poorly informed about their credit card
terms and accounts. Committee members renewed
calls for enhanced customized disclosures on periodic
statements informing cardholders of the ill effects of
making only minimum payments.

4


Congressional Hearing on Credit Card Practices before the U.s. senate’s
Permanent subcommittee on Investigations

On December 4, 2007, Ryan Schneider, head of Capital One’s Card Businesses,
testified before the U.S. Senate Permanent Subcommittee on Investigations (“PSI”).
The hearing was titled, “Credit Card Practices: Unfair Interest Rate Increases.”

Senator Carl Levin (D-MI), Chair of the PSI, stated that the focus of the hearing was
on “circumstances under which credit card issuers may increase the interest rates of
cardholders who are in compliance with the terms of their credit cards.”
• The specific focus of the hearing was on practices related to “universal default,”
which is the practice of increasing cardholder interest rates for creditworthiness
reasons even though the cardholder has no defaults on the account being repriced.
Ryan Schneider, President,
Card, testifies during a • The hearing also focused on the lack of clarity in communications to consumers
Permanent Subcommittee from credit card companies when this occurs.
on Investigations (Senate
• This was the PSI’s second hearing on credit card practices and the first in which
Homeland Security and
Government Affairs Capital One was asked to testify.
Committee) hearing on
December 4, 2007.
In his statement and responses to questions, Schneider underscored a number of
Capital One’s consumer-friendly practices, including its long-standing policy to not engage in universal default
in any form.

Schneider explained Capital One’s industry-leading
notice and opt-out policy proposal, and its existing
practices with respect to changes in terms. Where
Capital One finds it necessary to increase interest
rates due to changing economic conditions,
customers are provided with an exceptionally clear
“change in terms” (CIT) notice that informs them
how to opt out of the interest rate increase, close
the account, and pay off the balance at the
previous interest rate. Capital One customers
receive 45 days’ notice, which is well beyond the
15 days required under current law. Capital One’s
CIT notice was attached as an exhibit to Schneider’s
testimony and was displayed on large charts in
the Committee room. Both Chairman Levin and
Ranking Minority Member Norm Coleman (R-MN) Ryan Schneider, President, Card, greets Senator Carl Levin
praised the clarity of Capital One’s CIT notice. (D-MI), Chairman of the Senate’s Permanent
Subcommittee on Investigations.

5


Schneider also highlighted Capital One’s customer-
friendly default repricing policy, in which customers
can be repriced only if they pay three or more days
late twice in a 12-month period, and if they have
received a warning notice after the first late payment.
He also discussed Capital One’s forward-leaning
position on the Federal Reserve Bank’s revisions to
Regulation Z and the improvement of customer
disclosures.

In addition to Capital One, other industry representa-
tives and consumers were present at the hearing.
• Discover Financial Services and Bank of America
were represented and testified.
• There was also a panel comprised of three
consumers, who were customers of Discover, Bank
of America and Chase. Each of these consumers
had their interest rate increased although they had
no default on their accounts.

Credit Card summit

In July 2007, Congresswoman Carolyn Maloney, Chair of the Financial Services Committee’s
Subcommittee on Financial Institutions and Consumer Credit, held a “summit” to discuss principles she
believed should guide the credit card marketplace. At the summit, credit card issuers and consumer
groups came together to discuss practices and marketplace impacts. Capital One’s General Counsel,
John Finneran, participated in the event with our industry peers including Citibank, J.P. Morgan Chase,
Bank of America, Discover and American Express. Congresswoman Maloney used the session as a
listening point and plans to expand on the issues in 2008 with the introduction of legislation to
regulate the credit card marketplace.

6

CAPITAL ONE TESTIFIES BEFORE U.S. CONGRESS – HOUSE

2007 Congressional Hearing on Credit Cards 2008 Credit Card bill Introduced in the U.s.
before the U.s. House of Representatives House of Representatives

The U.S. House of Representatives Committee on While several bills were introduced in 2007 that
Financial Services focused on issues impacting the would limit a variety of credit card practices, none
consumer credit arena during 2007. Specifically, the saw substantive legislative action. The three issues
Committee focused on the contractual terms that that garnered the most attention were double-cycle
are used within the credit card industry, as well as billing and universal default – practices that Capital
the Federal Reserve Board’s draft proposal to update One does not engage in – and applying rate increases
Regulation Z under the Truth in Lending Act (TILA). to the customer’s outstanding balance, not just
future transactions. Other issues that Congress has
On June 7, 2007, John Finneran, General Counsel, expressed interest in include overlimit transactions
testified on behalf of Capital One before the and fees, payment allocation methods, grace
Committee’s Subcommittee on Financial periods, payment deadlines, residual/trailing
Institutions and Consumer Credit during a interest, accounts with high fees relative
hearing entitled “Improving Credit Card to credit line, and appropriate conditions
Consumer Protection: Recent Industry under which to increase interest rates
and Regulatory Initiatives.” and how that is disclosed.

The two-panel hearing featured testi- In 2008, congressional scrutiny of these
mony from regulators, Federal Reserve issues continues, and has resulted in the
Board Governor Frederic Mishkin and development of new legislation. House
Comptroller of the Currency John Dugan. Financial Services Committee Chairman
In addition, representatives from the industry, Barney Frank (D-MA) expressed a strong desire to
consumer groups and small business testified about introduce additional legislation, and Subcommittee
proposed changes to Regulation Z. The hearing also Chair Carolyn Maloney (D-Ny) has introduced a bill to
examined recent industry reforms, including initia- address many of these issues. The first hearing on this
tives to change certain practices such as universal bill was heard on March 13, 2008, and an additional
default and double-cycle billing, which had come hearing is expected.
under heavy criticism.
Capital One will continue to provide leadership for
In his remarks, Finneran endorsed the Fed’s proposed our industry trade groups to educate Congress about
changes to Regulation Z and stated that “the Federal the potential unintended consequences and negative
Reserve’s effort marks a landmark advance in how impacts such legislation could have on the industry,
disclosures are developed.” Finneran noted that consumers and the economy. If passed, this legisla-
Capital One does not engage in universal default tion could raise interest rates and decrease access
practices or double-cycle billing, and that the new to credit at a time when the U.S. economy is already
Regulation Z disclosures would shed more light on constrained by a credit crunch.
repricing practices, which would provide valuable
information for consumers to better understand how
their credit cards work. He also discussed Capital
One’s ongoing efforts to review and change our
practices in light of changing customer preferences.

7

MAkING OUR COMMUNITIES SAFER

Capital One serves on Financial Coalition multibillion-dollar commercial enterprise. The
Against Child Pornography Coalition is working diligently to ensure that credit
cards and other payment methods cannot be used
to purchase child pornography.
In 2006, Capital One joined the
Financial Coalition Against Child
Pornography. The Coalition, which
Capital One serves on Virginia Attorney
includes leading banks, credit card
General’s Youth Internet safety Task Force
companies, third-party payment companies and Inter-
net service providers, is dedicated to fighting child
In 2006, Capital One served on Virginia Attorney
pornography over the Internet. In its press release
General Bob McDonnell’s youth Internet Safety Task
announcing Capital One’s involvement, Ernie Allen,
Force. The primary goal of the Task Force was to keep
President and CEO of the National Center for Missing
children safer online. In addition to Capital One,
& Exploited Children (NCMEC) and Chairman of the
members of the Task Force included AOL, MySpace,
Coalition, stated that the mission of the group is
Microsoft and other technology companies, as well
“to eliminate the commercial viability of child
as educators, parents, law enforcement officials and
pornography by stopping the flow of money. As an
elected officials. The Task Force issued a final report
integral participant in the financial services industry,
in December 2006, after six months of meetings. At
Capital One will help us accomplish that goal.”
his press conference announcing the work of the Task
Force, Attorney General McDonnell
Senator Richard Shelby (R-AL), Ranking Member of
stated, “In addition to increasing
the U.S. Senate Banking, Housing, and Urban Affairs
Internet safety awareness, we
Committee, was the catalyst for bringing the industry
are also proposing tough new
leaders together to address these problems. Senator
sentences for those engaged in
Shelby’s staff members, as well as other congressional
the production and financing of
staffers, regularly attend the Coalition’s meetings. In
child pornography, and for those
2006, a number of congressional hearings were held
who unlawfully solicit children
on this issue in both the House and Senate, where
online. Finally, we have identified
NCMEC President Allen testified, along with represen-
a number of changes in the law
tatives from Visa, MasterCard, and American Express.
that will aid in the investigation
of Internet crimes.”
The Coalition has established a global clearinghouse
on child pornography to provide a unified system for
In 2007, Capital One was asked by the Attorney
identifying illegal activities and sharing information
General to serve on the Implementation Committee,
between Coalition companies. Coalition members
to ensure that the report’s recommendations were
report child pornography to the clearinghouse; it is
put into effect. Also in 2007, Attorney General
then reviewed, and feedback is provided to ensure
McDonnell submitted a significant legislative
action is taken to stop illegal practices.
package to the Virginia General Assembly in order
to provide the necessary legal authority to the
Throughout 2007, with a partnership among its
Task Force’s recommendations; the vast majority
Policy Affairs, Legal and Fraud Departments, Capital
of these provisions were enacted into law during
One has remained an active member of the Coalition.
that session. Capital One continues to serve on the
The Coalition has grown during this time, adding
Implementation Committee and to partner closely
many new members and supporters to this important
with the Attorney General and his staff.
cause, and making substantial progress on its goal.
NCMEC reports that child pornography has become a
8

FINANCIAL LITERACy

Capital One is proud to support a range of financial literacy initiatives, including a number of programs
designed specifically to reach young adults and college students. Capital One informs members of Congress
about our programs, which complement their efforts to promote greater financial literacy.

In the spring of 2007, the U.S. House of Representatives and U.S. Senate passed a resolution supporting the
goals and ideals of improving financial literacy, and declared April “Financial Literacy Month.” Larry Stein,
Senior Vice President of Capital One’s Policy Affairs Group, sent a letter to the authors of the resolution,
Senator Daniel Akaka (D-HI) and Representatives Ruben Hinojosa (D-TX) and Judy Biggert (R-IL), congratulating
them on passage of the resolution, and describing Capital One’s educational programs and partnerships on
financial literacy.

As part of Financial Literacy Month, Capital One collaborated with the
Representative Hinojosa
Congressional Financial Literacy Caucus to promote increased financial
submitted a copy of
literacy skills at a fair in Washington, D.C., dedicated to the subject. Other
Capital One’s letter in
private, public and nonprofit organizations participated in the fair, as well.
Capital One employees were on hand to showcase our financial literacy the Congressional Record.
services and products that can help Americans manage debt and
accumulate equity.

During the year, Capital One co-sponsored a Jump$tart dinner in support of financial literacy at which Senator
Mike Enzi (R-Wy) and Representative Earl Pomeroy (D-ND) were recognized as Jump$tart’s 2007 federal legisla-
tors of the year. Richard Woods, Senior Vice President of Capital One’s Corporate Affairs Department, presented
the award to Representative Pomeroy, noting his longtime advocacy of financial literacy for people of all ages.

Capital One has developed partnerships
with leading national nonprofit organiza-
tions in order to train them to conduct
our financial literacy programs on a local
level. Through these efforts, Capital One
is ensuring that its literacy programs will
continue to run for years to come. In addi-
tion, Capital One continues to work with
policymakers to promote legislation that
improves literacy skills for all consumers.

Links to all our financial literacy programs,
including “Finance Park” and “MoneyWi$e
University,” can be found at
www.capitalone.com/financialeducation.
Associate Gary Kensey and Drew at Capital One’s Finance Park.

9

FINANCIAL LITERACy

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10

STATE LEGISLATIVE LINEUP

Across the states

Capital One monitors and reports on key legislative actions in all 50 states and the District of Columbia; how-
ever, Capital One has a direct lobbying presence in five key states (shown below).

n key States

In 2007, the Capital One engaged and monitored more than 2,000 pieces of state legislation.

11

CAPITAL ONE ASSOCIATES POLITICAL FUND

Fund Metrics

2007 Amount raised ...................................................................................$404,308
Year-over-Year Decrease ...................................................................................-22.5%
Candidates Supported ............................................................................................96
Capital One Contributors ...................................................................................1,157

Leadership PACs Supported ....................................................................................17
Leadership PACs Total ....................................................................................$62,500

Political Fundraising Entities Supported....................................................................4
Political Entities Total.................................................................................... $60,000

Trade Association PACs Supported ...........................................................................3
Trade Association Total ..................................................................................$15,000

CAPITAL ONE CONTRIBUTIONS FOR 2007 1
Democrat 49%
Republican 42%
Non-Partisan 9%

1 Based on internal tracking of contributions to candidates for single year.

Criteria for Candidate selection

The purpose of the Capital One Associates Political Fund is to unify the voices of our associates in the
political process. Because Capital One associates have different philosophical beliefs, the Fund does not
engage in non-business related issues. The Capital One Associates Political Fund is a nonpartisan organization.
In deciding whether to make a Fund contribution, we consider a number of factors including:

• Location of Capital One facilities within recipient’s district
• Recipient’s understanding of the financial services industry or key issues
• Membership in a key committee
• Position in party leadership

12


Capital One and the Competition

Thousands
2007 ReCeIPTs
2007 PAC RECEIPTS
$2,750

$2,500

$2,250

$2,000

$1,708
$1,750 $1,630

$1,500

$1,250
$1,225

$1,125

$868
$1,00

$750 $722

$500 $404
$384
$376
$250

$0
Wachovia

Capital One
American Express

Wells Fargo

Citigroup

HSBC

Bank of America

JPMorgan Chase

Receipts based on January 1 through December 31, 2007, Federal Election Commission Filings for the two-year cycle.

13


Capital One Policy on Political Contributions

Corporate Contribution Guidelines:
Federal law prohibits corporations, such as Capital One, from making direct corporate contributions to
federal candidates and political party committees. All contributions to federal candidates and political party
committees are made through the Capital One Associates Political Fund, a federally registered political action
committee. Capital One does make corporate political contributions at the state level, when permissible by
state campaign finance law. Both state and federal political contribution decisions are made by a contributions
committee, with final approval and signoff from the Senior Vice President of Policy Affairs.

Political Action Committee (PAC) Contributions:
Capital One administers, and pays the administrative expenses, of the Capital One Associates Political Fund
(Capital One PAC), a political action committee registered with the Federal Election Commission. All contribu-
tions to the Capital One PAC are donated voluntarily by Capital One employees, as federal law prohibits corpo-
rate donations to PACs. The Capital One PAC board is comprised of employees who represent a broad range of
internal business lines. The PAC board is responsible for overseeing overall solicitation and fundraising drives for
the PAC, as well as assisting with communicating the role and importance of the PAC throughout the company.

The contributions committee is tasked with recommending which federal candidates the Capital One PAC
should support, with final approval and signoff from the Senior Vice President of Policy Affairs.

The Policy Affairs Group also provides the Capital One Corporate Board of Directors with a yearly update on the PAC
and its activities. All PAC contributions are reported to the Federal Election Commission and are publicly available.

Trade Group Memberships:
Capital One belongs to several trade associations and pays regular dues as required for membership. Capital
One fulfills all legal requirements by reporting these dues as a part of its compliance with federal (Lobbying
Disclosure Act of 1995) and state lobbying and ethics filing disclosures.

Trade Associations and Organizations to which Capital One belongs:

American Bankers Association
Financial Services Roundtable
American Financial Services Association
U.S. Chamber of Commerce
Republican Attorneys General Association
Democratic Attorneys General Association
Virginia Bankers Association
Louisiana Bankers Association
New york Bankers Association
New Jersey Bankers Association
National Card Coalition

14


The Capital One PAC-Match Program

The Capital One PAC-Match program enables PAC contributors to support their favorite 501(c)(3) designated
organization(s) with a dollar-for-dollar match from Capital One, up to the maximum donation of $5,000 per
calendar year. The following guidelines have been established for the PAC-Match program.

Suggested Annual Contribution
Tier
Eligible for 100% PAC-Match
President, “C” Roles/Executive VP $5,000
Senior VP $3,000
Managing VP/Vice President $1,500
Senior Director/Director $800
Senior Manager/Manager $600
Suggested Annual Contribution
Tier
Eligible for 50% PAC-Match
President, “C” Roles/Executive VP $2,000
Senior VP $1,000
Managing VP/Vice President $750
Senior Director/Director $500
Senior Manager/Manager $350

Capital One and participating associates are not eligible for a tax deduction through the PAC-Match program.

Participation is voluntary. No one will be favored or disadvantaged because of the amount of a contribution or
a decision not to contribute. The names of individual contributors are not published internally. However, federal
law requires that the Capital One Associates Political Fund file a report with the Federal Election Commission
(FEC) listing each person who contributes $200 or more per calendar year. This information is public record.
Contributions to the Capital One Associates Political Fund are not tax deductible. Only citizens and permanent
residents of the United States may contribute to the PAC.

15

CAPITAL ONE ASSOCIATES POLITICAL FUND – 2007 CONTRIBUTIONS

CANDIDATE CHAMBER POSITION OR COMMITTEE CONTRIBUTION

Bachmann, Michele HOUSE (R-MN6) Financial Services $1, 000
Bachus, Spencer HOUSE (R-AL6) Financial Services $7, 500
Baker, Richard HOUSE (R-LA6) Financial Services, Transportation and Infrastructure, Veterans Affairs $4, 000
Barrett, J. Gresham HOUSE (R-SC3) Budget, Financial Services, Foreign Affairs, Standards of Official Conduct $2, 500
Barton, Joe HOUSE (R-TX6) Energy and Commerce $1, 500
Baucus, Max SENATE (D-MT) Finance Committee $2, 500
Bean, Melissa HOUSE (D-IL8) Financial Services, Small Business $5, 000
Bennett, Robert SENATE (R-UT) Appropriations, Banking, Housing, and Urban Affairs, Joint $2, 000
Economic, Joint Library, Joint Printing, Rules and Administration
Berman, Howard HOUSE (D-CA28) Foreign Affairs, Judiciary $1, 500
Biggert, Judy HOUSE (R-IL13) Education and Labor, Financial Services, Science and Technology $1, 000
Blackburn, Marsha HOUSE (R-TN7) Energy and Commerce, Select Energy Independence & Global Warning $1, 500
Blunt, Roy HOUSE (R-MO7) Minority Whip, Energy and Commerce $5, 000
Boehner, John HOUSE (R-OH8) Minority Leader, Select Intelligence $7, 500
Boren, Daniel HOUSE (D-Ok2) Armed Services, Financial Services, Natural Resources $1, 000
Boucher, Rick HOUSE (D-VA9) Energy and Commerce, Judiciary $3, 000
Cantor, Eric HOUSE (R-VA7) Ways and Means $6, 000
Capito, Shelley HOUSE (R-WV2) Financial Services, Transportation and Infrastructure $1, 000
Cardoza, Dennis HOUSE (D-CA18) Agriculture, Rules $1, 000
Carper, Tom SENATE (D-DE) Banking, Housing and Urban Affairs, Homeland Security and $3, 100
Government Affairs, Commerce Science and Transportation,
Enviroment and Public Works
Castle, Michael HOUSE (R-DE) Education and Labor, Financial Services $6, 000
Clyburn, James HOUSE (D-SC6) Majority Whip, Appropriations $4, 000
Coleman, Norm SENATE (R-MN) Agriculture, Nutrition, and Forestry, Foreign Relations, Homeland $3, 500
Security and Governmental Affairs, Senate Caucus on International
Narcotics Control, Small Business and Entrepreneurship, Special Aging
Collins, Susan SENATE (R-ME) Armed Services, Homeland Security and Governmental Affairs, $2, 500
Special Aging
Cornyn, John SENATE (R-TX) Armed Services, Budget, Judiciary, Select Ethics $1, 000
Davis, Artur HOUSE (D-AL7) House Administration, Judiciary, Ways and Means $1, 000
Davis, Geoffrey HOUSE (R-ky4) Financial Services, Armed Services $1, 000
Davis, Thomas HOUSE (R-VA11) Homeland Security, Oversight & Government Reform $5, 000
Dodd, Christopher* PRESIDENT OF U.S. Banking, Housing and Urban Affairs, Foreign Relations, Rules and $5, 000
(D-CT) Administration
Dole, Elizabeth SENATE (R-NC) Armed Services, Banking, Housing, and Urban Affairs, Small Business $2, 000
and Entrepreneurship, Special Aging
Donnelly, Joseph HOUSE (D-IN2) Financial Services, Agriculture, Veteran’s Affairs $1, 000
Dorgan, Byron SENATE (D-ND) Appropriations, Commerce, Science, and Transportation, Energy and $1, 000
Natural Resources, Indian Affairs, Rules and Administration
Drake, Thelma HOUSE (R-VA2) Armed Services, Transportation and Infrastructure $2, 000

*PAC donation was made to Dodd’s campaign for the Democratic nomination for President of the United States.

16


Ellsworth, Brad HOUSE (D-IN8) Small Business, Armed Services, Agriculture $2, 500
Emanuel, Rahm HOUSE (D-IL5) Ways and Means $1, 000
Feeney, Tom HOUSE (R-FL24) Financial Services, Judiciary, Science and Technology $2, 000
Ferguson, Mike HOUSE (R-NJ7) Energy and Commerce $1, 000
Forbes, J. Randy HOUSE (R-VA4) Armed Services, Judiciary $1, 000
Frank, Barney HOUSE (D-MA4) Financial Services $1, 000
Gillmor, Paul HOUSE (R-OH5) Financial Services $2, 500
Gohmert, Louis HOUSE (R-TX1) Judiciary, Resources, Small Business $1, 000
Green, Al HOUSE (D-TX9) Financial Services, Homeland Security $2, 500
Hagel, Chuck SENATE (R-NE2) Banking, Housing, and Urban Affairs, Foreign Relations, Rules and $4, 000
Administration, Select Intelligence
Hensarling, Jeb HOUSE (R-TX5) Financial Services, Budget $3, 500
Hill, Baron HOUSE (D-IN9) Energy and Commerce, Joint Economic, Science and Technology [22] $1, 000
Hinojosa, Ruben HOUSE (D-TX15) Education and Labor, Financial Services, Foreign Affairs $1, 000
Hodes, Paul HOUSE (D-NH2) Financial Services, Oversight & Government Reform $1, 000
Hooley, Darlene HOUSE (D-OR5) Budget, Energy and Commerce, Science and Technology $2, 000
Hoyer, Steny HOUSE (D-MD5) Majority Leader, Appropriations $10, 000
kanjorski, Paul HOUSE (D-PA11) Financial Services, Oversight & Government Reform, $1, 000
Science and Technology
kind, Ron HOUSE (D-WI3) Natural Resources, Ways and Means $1, 500
klein, Ron HOUSE (D-FL) Financial Services, Foreign Affairs $2, 000
klobuchar, Amy SENATE (D-MN) Agriculture, Nutrition, and Forestry, Commerce, Science, and $1, 000
Transportation, Environment and Public Works, Joint Economic
Landrieu, Mary SENATE (D-LA2) Appropriations, Energy and Natural Resources, Homeland Security $3, 500
and Governmental Affairs, Small Business and Entrepreneurship
LaTourette, Steven HOUSE (R-OH14) Financial Services, Transportation and Infrastructure $1, 000
Leahy, Patrick SENATE (D-VT) Agriculture, Nutrition, and Forestry, Appropriations, Judiciary $1, 500
Levin, Carl SENATE (D-MI) Armed Services, Homeland Security and Governmental Affairs, Select $5, 000
Intelligence, Small Business and Entrepreneurship
Lucas, Frank HOUSE (R-Ok3) Agriculture, Financial Services, Science and Technology $1, 000
Maloney, Carolyn HOUSE (D-Ny14) Financial Services, Joint Economic, Oversight & Government Reform $2, 500
Marshall, Jim HOUSE (D-GA3) Agriculture, Armed Services, Financial Services $1, 000
Martinez, Mel SENATE (R-FL) Banking, Housing and Urban Affairs, Energy and Natural Resources, $1, 000
Armed Services
McCrery, Jim HOUSE (R-LA4) Joint Taxation, Ways and Means $1, 500
McHenry, Patrick HOUSE (R-NC10) Financial Services, Budget, Oversight and Government Reform $2, 000
Meeks, Gregory HOUSE (D-Ny6) Financial Services, Foreign Affairs $4, 500
Melancon, Charles HOUSE (D-LA3) Energy and Commerce, Science and Technology $2, 500
Moore, Dennis HOUSE (D-kS3) Budget, Financial Services $6, 000
Perlmutter, Edwin HOUSE (D-CO7) Financial Services, Homeland Security $1, 000
Pryce, Deborah HOUSE (R-OH15) Financial Services $1, 000
Pryor, Mark SENATE (D-AR) Commerce, Science, and Transportation, Rules and Administration, $3, 500
Homeland Security and Government Affairs, Small Business, Ethics
Putnam, Adam HOUSE (R-FL12) Financial Services $1, 000
Reed, Jack SENATE (D-RI) Appropriations, Armed Services, Banking, Housing, and Urban $6, 000
Affairs, Health, Education, Labor, and Pensions

17


Reid, Harry SENATE (D-NV) Majority Leader, Select Intelligence $5, 000
Renzi, Rick HOUSE (R-AZ1) Financial Services, Natural Resources $1, 000
Rogers, Mike HOUSE (R-MI8) Energy and Commerce, Intelligence $1, 000
Roskam, Peter HOUSE (R-IL6) Financial Services $2, 500
Ross, Michael HOUSE (D-AR4) Energy and Commerce, Science and Technology $2, 500
Royce, Edward HOUSE (R-CA40) Financial Services, Foreign Affairs $1, 000
Schumer, Charles SENATE (D-Ny) Banking, Housing, and Urban Affairs, Finance, Joint Economic, $5, 000
Joint Library, Judiciary, Rules and Administration
Scott, Bobby HOUSE (D-VA03) Judiciary, Education and Labor, Budget $1, 000
Scott, David HOUSE (D-GA13) Agriculture, Financial Services, Foreign Affairs $1, 000
Serrano, Jose HOUSE (D-Ny16) Appropriations $1, 000
Shays, Christopher HOUSE (R-CT4) Financial Services, Homeland Security, Oversight & Government Reform $1, 000
Shelby, Richard SENATE (R-AL1) Appropriations, Banking, Housing, and Urban Affairs, Special Aging $1, 000
Smith, Gordon SENATE (R-OR) Commerce, Science, and Transportation, Energy and Natural $1, 500
Resources, Finance, Indian Affairs, Special Aging
Specter, Arlen SENATE (R-PA) Appropriations, Judiciary, Special Aging, Veterans Affairs $2, 000
Spratt, John HOUSE (D-SC5) Armed Services, Budget $1, 000
Stabenow, Debbie SENATE (D-MI02) Finance, Agriculture, Budget $2, 000
Sununu, John SENATE (R-NH1) Finance, Commerce, Science and Transportation, $6, 000
Homeland Security and Government Affairs
Towns, Edolphus HOUSE (D-Ny10) Energy and Commerce, Oversight and Government Reform $1, 000
Upton, Fred HOUSE (R-MI6) Energy and Commerce $2, 500
Velazquez, Nydia HOUSE (D-Ny12) Financial Services, Small Business $3, 500
Walden, Greg HOUSE (R-OR2) Energy and Commerce, Select Energy Independence & Global Warning $500
Warner, Mark SENATE (D-VA) Candidate $2, 500
Watt, Melvin HOUSE (D-NC12) Financial Services, Judiciary $1, 000
Webb, James SENATE (D-VA) Armed Services, Foreign Relations, Joint Economic, Veterans Affairs $2, 000
Whitfield, Ed HOUSE (R-ky1) Energy and Commerce $2, 500
Wittman, Rob HOUSE (R-VA01) Armed Services $1, 000
$232, 600

18


LEADERSHIP PACS SPONSOR AMOUNT
All America PAC Sen. Evan Bayh (D-IN) $1,000
AmeriPAC Rep. Steny Hoyer (D-MD) $5,000
Citizens for Action Rep. Paul kanjorski (D-PA) $3,500
Defend America PAC Sen. Richard Shelby (R-AL) $5,000
Dirigo PAC Sen. Susan Collins (R-ME) $2,500
First State PAC Sen. Thomas Carper (D-DE) $5,000
Freedom Fund Sen. Mike Crapo (R-ID) $5,000
Growth & Prosperity PAC Rep. Spencer Bachus (R-AL) $5,000
Impact Sen. Charles Schumer (D-Ny) $5,000
Joe PAC Rep. Joseph Crowley (D-Ny) $2,000
New Millenium PAC Sen. Robert Menendez (D-NJ) $5,000
PETE PAC Rep. Pete Sessions (R-TX) $2,500
Rely on your Beliefs Fund Rep. Roy Blunt (R-MO) $5,000
Searchlight Leadership Fund Sen. Harry Reid (D-NV) $5,000
South Dakota First Sen. Tim Johnson (D-SD) $1,500
The Blue Grass Committee Sen. Mitch McConnell (R-ky) $5,000
The Good Fund Rep. Bob Goodlatte (R-VA) $2,500
Narragansett Bay PAC Sen. Jack Reed (D-RI) $2,000
$67,500

Contributions to Congressional Party Organizations and Leadership PACs

As a part of Capital One’s engagement strategy to maximize its voice, the PAC also makes contributions to
certain trade association PACs to which Capital One belongs. In addition, periodic contributions are made to
leadership PACs of particular members.

A leadership PAC is set up by a member of Congress, and funds are distributed as member-to-member
contributions. These are especially important for individuals in party leadership positions, because they
give the member a vehicle for financially supporting candidates with whom the donor member is
philosophically aligned.

PARTy RELATED CONTRIBUTIONS
TRADE ASSOCIATIONS
Direct Voice, The PAC of the DMA $5,000 Democratic Senatorial Campaign Committee $15,000
Financial Services Roundtable PAC $5,000 National Republican Congressional Committee $15,000
TCFC-PAC $2,500 Democratic Congressional Campaign Committee $15,000
ABA BankPAC $5,000 National Republican Senatorial Committee $15,000
$17,500 $60,000

19

capital one 2007 Policy Affairs Group Annual Report

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capital one 2007 Policy Affairs Group Annual Report