Morgan Stanley reported record first quarter results for 2006, with net revenues of $8.5 billion, up 24% from the previous year. Net income was $1.6 billion, a 17% increase, while diluted earnings per share were $1.54. All of Morgan Stanley's major business segments achieved record or near-record results, including Institutional Securities which saw a 36% rise in net revenues. The company directed additional resources to areas seeing major growth like emerging markets and leveraged finance. Morgan Stanley also continued international expansion and reorganized some business divisions to drive better performance.
This document brings together a set of latest data points and publicly available information relevant for Banking. We are very excited to share this content and believe that readers will benefit immensely from this periodic publication immensely.
What price will pi network be listed on exchangesDOT TECH
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The rate at which pi will be listed is practically unknown. But due to speculations surrounding it the predicted rate is tends to be from 30$ â 50$.
So if you are interested in selling your pi network coins at a high rate tho. Or you can't wait till the mainnet launch in 2026. You can easily trade your pi coins with a merchant.
A merchant is someone who buys pi coins from miners and resell them to Investors looking forward to hold massive quantities till mainnet launch.
I will leave the telegram contact of my personal pi vendor to trade with.
@Pi_vendor_247
how can I sell pi coins after successfully completing KYCDOT TECH
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Pi coins is not launched yet in any exchange đą this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAYÂ you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers âĽď¸
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
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USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
how to sell pi coins in South Korea profitably.DOT TECH
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Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the telegram id of my personal pi merchant who i trade pi with.
Tele gram: @Pi_vendor_247
#pi #sell #nigeria #pinetwork #picoins #sellpi #Nigerian #tradepi #pinetworkcoins #sellmypi
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
how to sell pi coins effectively (from 50 - 100k pi)DOT TECH
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Anywhere in the world, including Africa, America, and Europe, you can sell Pi Network Coins online and receive cash through online payment options.
Pi has not yet been launched on any exchange because we are currently using the confined Mainnet. The planned launch date for Pi is June 28, 2026.
Reselling to investors who want to hold until the mainnet launch in 2026 is currently the sole way to sell.
Consequently, right now. All you need to do is select the right pi network provider.
Who is a pi merchant?
An individual who buys coins from miners on the pi network and resells them to investors hoping to hang onto them until the mainnet is launched is known as a pi merchant.
debuts.
I'll provide you the Telegram username
@Pi_vendor_247
what is the best method to sell pi coins in 2024DOT TECH
Â
The best way to sell your pi coins safely is trading with an exchange..but since pi is not launched in any exchange, and second option is through a VERIFIED pi merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and pioneers and resell them to Investors looking forward to hold massive amounts before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade pi coins with.
@Pi_vendor_247
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
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Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
Resume
⢠Real GDP growth slowed down due to problems with access to electricity caused by the destruction of manoeuvrable electricity generation by Russian drones and missiles.
⢠Exports and imports continued growing due to better logistics through the Ukrainian sea corridor and road. Polish farmers and drivers stopped blocking borders at the end of April.
⢠In April, both the Tax and Customs Services over-executed the revenue plan. Moreover, the NBU transferred twice the planned profit to the budget.
⢠The European side approved the Ukraine Plan, which the government adopted to determine indicators for the Ukraine Facility. That approval will allow Ukraine to receive a EUR 1.9 bn loan from the EU in May. At the same time, the EU provided Ukraine with a EUR 1.5 bn loan in April, as the government fulfilled five indicators under the Ukraine Plan.
⢠The USA has finally approved an aid package for Ukraine, which includes USD 7.8 bn of budget support; however, the conditions and timing of the assistance are still unknown.
⢠As in March, annual consumer inflation amounted to 3.2% yoy in April.
⢠At the April monetary policy meeting, the NBU again reduced the key policy rate from 14.5% to 13.5% per annum.
⢠Over the past four weeks, the hryvnia exchange rate has stabilized in the UAH 39-40 per USD range.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
NO1 Uk Rohani Baba In Karachi Bangali Baba Karachi Online Amil Baba WorldWide...Amil baba
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US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
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The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a âRoaring Twentiesâ? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. governmentâs aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
âIn order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,â says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
Latino Buying Power - May 2024 Presentation for Latino CaucusDanay Escanaverino
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Unlock the potential of Latino Buying Power with this in-depth SlideShare presentation. Explore how the Latino consumer market is transforming the American economy, driven by their significant buying power, entrepreneurial contributions, and growing influence across various sectors.
**Key Sections Covered:**
1. **Economic Impact:** Understand the profound economic impact of Latino consumers on the U.S. economy. Discover how their increasing purchasing power is fueling growth in key industries and contributing to national economic prosperity.
2. **Buying Power:** Dive into detailed analyses of Latino buying power, including its growth trends, key drivers, and projections for the future. Learn how this influential groupâs spending habits are shaping market dynamics and creating opportunities for businesses.
3. **Entrepreneurial Contributions:** Explore the entrepreneurial spirit within the Latino community. Examine how Latino-owned businesses are thriving and contributing to job creation, innovation, and economic diversification.
4. **Workforce Statistics:** Gain insights into the role of Latino workers in the American labor market. Review statistics on employment rates, occupational distribution, and the economic contributions of Latino professionals across various industries.
5. **Media Consumption:** Understand the media consumption habits of Latino audiences. Discover their preferences for digital platforms, television, radio, and social media. Learn how these consumption patterns are influencing advertising strategies and media content.
6. **Education:** Examine the educational achievements and challenges within the Latino community. Review statistics on enrollment, graduation rates, and fields of study. Understand the implications of education on economic mobility and workforce readiness.
7. **Home Ownership:** Explore trends in Latino home ownership. Understand the factors driving home buying decisions, the challenges faced by Latino homeowners, and the impact of home ownership on community stability and economic growth.
This SlideShare provides valuable insights for marketers, business owners, policymakers, and anyone interested in the economic influence of the Latino community. By understanding the various facets of Latino buying power, you can effectively engage with this dynamic and growing market segment.
Equip yourself with the knowledge to leverage Latino buying power, tap into their entrepreneurial spirit, and connect with their unique cultural and consumer preferences. Drive your business success by embracing the economic potential of Latino consumers.
**Keywords:** Latino buying power, economic impact, entrepreneurial contributions, workforce statistics, media consumption, education, home ownership, Latino market, Hispanic buying power, Latino purchasing power.
Latino Buying Power - May 2024 Presentation for Latino Caucus
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morgan stanley Earnings Archive 1st
1. Contact: Media Relations Investor Relations
Jeanmarie McFadden William Pike
212-761-0553 212-761-0008
For Immediate Release
Morgan Stanley Reports First Quarter Results
Record Net Revenues of $8.5 Billion, Up 24%;
Record Revenues in Institutional Securities, Fixed Income, Prime Brokerage, Discover
NEW YORK, March 22, 2006 -- Morgan Stanley (NYSE: MS) today reported net income for the first
quarter ended February 28, 2006 of $1,636 million, up 17 percent from the first quarter of 2005. Net
revenues (total revenues less interest expense and the provision for loan losses) were a record $8.5
billion, 24 percent above last yearâs first quarter. Non-interest expenses of $6.0 billion represented a
27 percent increase from last year, primarily resulting from increased compensation costs. Diluted
earnings per share were $1.54 compared with $1.29 in the first quarter of 2005 and the annualized
return on average common equity for the first quarter was 22.1 percent compared with 19.7 percent a
year ago. Excluding the $395 million1
of incremental compensation expense related to equity awards
to retirement-eligible employees under SFAS 123R discussed below, net income, diluted earnings per
share and annualized return on average common equity would have been $1,901 million, $1.79 and
25.7 percent, respectively.
Business Highlights
⢠Institutional Securities achieved record net revenues of $5.5 billion, up 36 percent from last
year. Income before taxes rose 63 percent to $1.8 billion.
⢠Fixed income achieved record revenues in both sales and trading, and underwriting. Equity
sales and trading revenues were the second highest ever and included record results in Prime
Brokerage.
⢠Across Institutional Securities, the Firm allocated additional resources and made key new
hires to build businesses where it sees major growth opportunities, including leveraged
finance, international mortgages, prime brokerage and equity derivatives.
⢠The Global Wealth Management Group reorganized its management structure, giving its
president direct oversight of the sales force and appointing new regional leadership.
Managementâs immediate focus is stabilizing the sales force, attracting and retaining the most
1
These costs were allocated to the business segments as follows: Institutional Securities, $270 million; Global
Wealth Management Group, $80 million; Asset Management, $28 million; and Discover, $17 million.
2. 2
productive global representatives, enhancing product offerings, and identifying key areas for
investment.
⢠The Asset Management division was reorganized as part of the strategy to enhance growth
and improve performance while filling key gaps - particularly in alternatives, institutional and
international - through organic growth, new hires and bolt-on acquisitions. The division
launched 11 new products during the quarter, including six in its alternative investments
group, and attracted new talent from both inside and outside the Firm.
⢠Discover achieved record pre-tax profit reflecting the improvement in credit quality as
anticipated following the spike in bankruptcies in fall 2005. Discover also made progress in
the two areas offering the most attractive growth opportunities - the international and
payments businesses â closing the acquisition of the Goldfish credit card business in the U.K.
and launching the Discover debit product in the U.S.
⢠A definitive agreement was signed to sell the Firmâs aircraft leasing business for $2.5 billion
in cash, plus the assumption of liabilities by the buyer.
⢠Executing on its strategy in key emerging markets, the Firm strengthened its management
capabilities in Russia, the Middle East, China and the Asian region, and expanded its Middle
East presence with a securities license in Dubai and plans to open two new offices in the
Middle East.
John J. Mack, Chairman and CEO, said, âMorgan Stanley took advantage of a strong market
environment in the first quarter to generate record net revenues and a 22 percent ROE, and we see
substantial opportunities to further improve our performance.
âWe are directing resources, capital and people to areas in the institutional securities businesses where
we see the most attractive opportunities, such as emerging markets, leveraged finance, derivatives,
principal investments and mortgages. In our retail and asset management businesses, we are making
the necessary changes and investments to fully leverage those franchises. And in our Discover credit
card business, we are pursuing growth opportunities in the international and payments businesses. We
still have a great deal of work to do, and the results of these efforts will not flow to the bottom line all
at once. But we are making progress and we remain intensely focused on improving our growth,
profitability and return on equity.â
As previously announced, the results reflect the incremental compensation expense required by SFAS
123R for equity awards granted in the quarter to retirement-eligible employees. This $395 million
expense relates to both 2005 fiscal year-end and other awards, including sign-ons, granted in the
quarter and increases the compensation to net revenue ratio for the quarter by 4.7 percentage points.
3. 3
Additionally, based on recent interpretive guidance related to SFAS 123R, the Company has changed
its accounting policy for expensing the cost of equity awards granted to retirement-eligible employees.
The Company will accrue the estimated cost of these awards over the course of the current fiscal year
rather than expensing the awards at the time of grant in December. As a result, the quarter includes an
accrual of $139 million2
for the estimated cost of fiscal 2006 year-end awards that will be granted to
retirement-eligible employees.
INSTITUTIONAL SECURITIES
Institutional Securities posted income before taxes3
of $1,754 million, up 63 percent from $1,077
million in the first quarter of 2005. Record net revenues of $5.5 billion were 36 percent higher, driven
by record results in the Companyâs fixed income business and strong results in equities and investment
banking. The quarterâs pre-tax margin was 32 percent, compared with 27 percent in last yearâs first
quarter. Excluding the incremental compensation expense noted above, last yearâs legal and
regulatory charges and the lease accounting adjustment expense,4
the pre-tax margin would have been
approximately 37 percent in both periods.
⢠Advisory revenues were $355 million, a 40 percent increase from last yearâs first quarter.
⢠Underwriting revenues were $548 million, a 12 percent increase from last yearâs first quarter.
Fixed income underwriting revenues rose 23 percent from a year ago, to a record $351 million,
and reflected higher levels of investment grade and non-investment grade activity. Equity
underwriting revenues fell 2 percent from a year ago to $197 million.
⢠Fixed income sales and trading net revenues were a record $2.7 billion, a 36 percent increase over
the previous record in the first quarter of 2005. The increase was broad-based, with record
revenues in commodities and strong performances across credit products and interest rate &
currency products. The higher revenues in commodities were attributable to trading results in
electricity, natural gas and oil liquids. Credit products benefited from the continued tightening in
global credit spreads and strong structured products performance. Interest rate & currency
products, while down from last year, benefited from strong new deal activity with clients and
interest rate, foreign exchange and volatility trading. Revenues in the emerging markets and
derivatives businesses were particularly strong.
2
These costs were allocated to the business segments as follows: Institutional Securities, $108 million; Global
Wealth Management Group, $17 million; Asset Management, $8 million; and Discover, $6 million.
3
Represents income from continuing operations before losses from unconsolidated investees, taxes and
cumulative effect of an accounting change.
4
The first quarter of 2005 included legal and regulatory charges of $360 million related to the
Sunbeam/Coleman matter and a $71 million lease accounting adjustment expense.
4. 4
⢠Equity sales and trading net revenues were $1.7 billion, an increase of 36 percent from last year
and the second best quarter on record. Increased client flows across both the cash and derivatives
markets drove revenues higher, particularly in Europe and Asia. Trading revenues in the U.S. and
Europe were also significantly higher. Prime Brokerage financed higher client balances for the
12th consecutive quarter, which contributed to record revenues for the business.
⢠Investment gains were $284 million compared with $91 million in the first quarter of last year.
Results included gains of $130 million associated with commodities' investment in the
IntercontinentalExchange.
⢠The Companyâs aggregate average trading VaR was $84 million compared with $96 million in the
first quarter of 2005 and $81 million in the fourth quarter of 2005. Total aggregate average
trading and non-trading VaR was $94 million compared with $105 million in the first quarter of
2005 and $92 million in the fourth quarter of 2005.
⢠Non-interest expenses were $3.7 billion, a 27 percent increase from a year ago. Compensation
expenses increased, reflecting higher net revenues and the incremental expense noted above. Non-
compensation expenses declined as lower charges for legal and regulatory matters more than offset
higher expenses resulting from increased levels of business activity.4
For the first two months of calendar 2006, the Company ranked second in global debt issuance with a
7 percent market share, third in global completed M&A with a 27 percent market share, ninth in global
announced M&A with a 24 percent market share, fourth in global IPOs with a 6 percent market share
and fifth in global equity and equity-related issuances with a 6 percent market share.5
GLOBAL WEALTH MANAGEMENT GROUP (formerly Retail Brokerage)
Global Wealth Management Groupâs pre-tax income for the first quarter was $23 million compared
with $353 million in the first quarter of last year. The quarter's pre-tax margin was 2 percent
compared with 29 percent in last yearâs first quarter. The current quarter was negatively affected by
the $80 million incremental compensation expense noted above. Excluding the incremental
compensation expense, and last yearâs World Trade Center insurance settlement and the lease
accounting adjustment expense,6
the pre-tax margin would have been 8 percent in the current quarter
versus 15 percent in the first quarter of 2005.
5
Source: Thomson Financial -- for the period January 1, 2006 to February 28, 2006.
6
The first quarter of 2005 included a $198 million credit for the World Trade Center insurance settlement and a
$29 million lease accounting adjustment expense.
5. 5
⢠Net revenues of $1.3 billion were up 4 percent from a year ago. Asset management, distribution
and administration fees increased on higher client asset levels in fee-based accounts, while
commissions declined slightly, reflecting lower transaction volumes.
⢠Non-interest expenses were up 42 percent to $1.3 billion. Excluding the incremental
compensation expense of $80 million noted above, the World Trade Center insurance settlement
and the lease accounting adjustment expense, non-interest expenses increased 12 percent
compared with the first quarter of 2005, with higher compensation expense and higher costs
associated with legal and regulatory matters.
⢠Total client assets were $633 billion, a 2 percent increase from last yearâs first quarter. Client
assets in fee-based accounts rose 10 percent to $182 billion over the last 12 months and increased
as a percentage of total assets to 29 percent from 27 percent.
⢠The number of global representatives at quarter-end was 9,000 -- a decline of 1,471 from a year
ago, resulting largely from the sales force reduction completed during fiscal 2005 and attrition.
ASSET MANAGEMENT
Asset Managementâs pre-tax income was $172 million, a 40 percent decrease from $287 million in the
first quarter of 2005, which included the World Trade Center insurance settlement.7
The quarterâs pre-
tax margin was 25 percent compared with 41 percent a year ago, or 35 percent excluding the World
Trade Center insurance settlement. Net revenues were flat compared with the first quarter of 2005 as
an increase in revenues from higher assets under management was offset by lower private equity
revenues. Non-interest expenses increased 28 percent to $523 million, reflecting the $28 million
incremental compensation expense noted above and the World Trade Center insurance settlement
recorded in the first quarter of 2005. Excluding results from the private equity business, the
incremental compensation expense noted above and last yearâs World Trade Center insurance
settlement, pre-tax income declined 2 percent, and the pre-tax margin was 29 percent compared with
32 percent last year.
Assets under management or supervision at February 28, 2006 were $442 billion, up $15 billion, or 4
percent, from a year ago. The increase resulted from market appreciation partly offset by customer
out-flows. Institutional assets rose $15 billion during the first quarter and $21 billion over the past 12
months to $247 billion. Retail assets declined $4 billion during the quarter and $6 billion from a year
ago to $195 billion. The percent of the Companyâs long-term fund assets performing in the top half of
the Lipper rankings was 60 percent over one year, 61 percent over three years, 76 percent over five
years and 82 percent over 10 years.
7
The first quarter of 2005 included a $43 million credit for the World Trade Center insurance settlement.
6. 6
DISCOVER
Discoverâs first quarter pre-tax income was a record $479 million on a managed basis, up 35 percent
from $354 million in the first quarter of 2005. The quarterâs pre-tax margin was 44 percent compared
with 37 percent a year ago. Net revenues of $1,089 million were 14 percent higher than last yearâs
first quarter. The positive change reflects an increase in the valuation of the Companyâs residual
interests in securitized receivables and a reduction in the provision for consumer loan losses, both
resulting from a favorable impact on charge-offs following federal bankruptcy legislation that became
effective in October 2005. The results for the quarter also reflect higher gains on new securitizations.
⢠Net sales volume was a record $22.5 billion, an 8 percent increase from a year ago.
⢠Managed credit card loans of $47.8 billion were virtually unchanged from a year ago and up 2
percent from the end of last year. The current quarter includes $1.4 billion of managed loans
associated with the acquisition of the Goldfish credit card business in the U.K., which closed on
February 17, 2006.
⢠Managed net interest income declined $48 million from a year ago, reflecting a narrowing of the
interest rate spread as a higher yield was more than offset by a higher cost of funds.
⢠Managed merchant, cardmember and other fees were $519 million, up 8 percent from a year ago.
The increase was primarily due to higher merchant discount and transaction processing revenues,
partially offset by higher cardmember rewards. The increase in merchant discount revenue was
primarily driven by record sales activity.
⢠The provision for consumer loan losses on a managed basis was $507 million, down 6 percent
from last year. The results for the quarter reflect a provision release of $97 million compared with
$90 million in the first quarter of 2005.
⢠Non-interest expenses were flat as higher compensation expense was offset by lower marketing
costs.
⢠The credit card net charge-off rate was 5.06 percent, 5 basis points lower than last yearâs first
quarter and 70 basis points lower than last yearâs fourth quarter. The managed credit card over-
30-day delinquency rate was 3.45 percent, a decrease of 79 basis points from the first quarter of
2005. The managed credit card over-90-day delinquency rate was 1.61 percent, 44 basis points
lower than a year ago.
As of February 28, 2006, the Company repurchased approximately 20 million shares of its common
stock since the end of fiscal 2005. The Company also announced that its Board of Directors declared
a $0.27 quarterly dividend per common share. The dividend is payable on April 28, 2006, to common
shareholders of record on April 13, 2006.
7. 7
Total capital as of February 28, 2006 was $134.3 billion, including $33.9 billion of common
shareholdersâ equity and junior subordinated debt issued to capital trusts. Book value per common
share was $28.21, based on 1.1 billion shares outstanding.
Morgan Stanley is a global financial services firm and a market leader in securities, investment
management and credit services. With more than 600 offices in 30 countries, Morgan Stanley
connects people, ideas and capital to help clients achieve their financial aspirations.
A financial summary follows. Additional financial, statistical and business-related information, as
well as information regarding business and segment trends, is included in a Financial Supplement.
Both the earnings release and the Financial Supplement are available online in the Investor Relations
section at www.morganstanley.com.
# # #
(See Attached Schedules)
The information above contains forward-looking statements. Readers are cautioned not to place
undue reliance on forward-looking statements, which speak only as of the date on which they are
made and which reflect managementâs current estimates, projections, expectations or beliefs and
which are subject to risks and uncertainties that may cause actual results to differ materially. For
a discussion of additional risks and uncertainties that may affect the future results of the
Company, please see âForward-Looking Statementsâ immediately preceding Part I, Item 1,
âCompetitionâ and âRegulationâ in Part I, Item 1, âRisk Factorsâ in Part I, Item 1A and âCertain
Factors Affecting Results of Operationsâ in Part II, Item 7 of the Companyâs Annual Report on
Form 10-K for the fiscal year ended November 30, 2005 and in other items throughout the Form
10-K and the Companyâs 2006 Current Reports on Form 8-K.
8. MORGAN STANLEY
Quarterly Financial Summary
(unaudited, dollars in millions)
Quarter Ended Percentage Change From:
Feb 28, 2006 Feb 28, 2005 Nov 30, 2005 Feb 28, 2005 Nov 30, 2005
Net revenues
Institutional Securities 5,474$ 4,015$ 4,154$ 36% 32%
Global Wealth Management Group 1,284 1,238 1,298 4% (1%)
Asset Management 695 696 890 -- (22%)
Discover 1,089 959 694 14% 57%
Intersegment Eliminations (59) (70) (74) 16% 20%
Consolidated net revenues 8,483$ 6,838$ 6,962$ 24% 22%
Income before taxes (1)
Institutional Securities 1,754$ 1,077$ 1,576$ 63% 11%
Global Wealth Management Group 23 353 84 (93%) (73%)
Asset Management 172 287 383 (40%) (55%)
Discover 479 354 65 35% *
Intersegment Eliminations 19 24 22 (21%) (14%)
Consolidated income before taxes 2,447$ 2,095$ 2,130$ 17% 15%
Earnings per basic share:
Income from continuing operations 1.56$ 1.26$ 1.69$ 24% (8%)
Discontinued operations 0.04$ -$ 0.70$ * (94%)
Cumulative effect of accounting change (2)
-$ 0.05$ -$ * --
Earnings per basic share 1.60$ 1.31$ 2.39$ 22% (33%)
Earnings per diluted share:
Income from continuing operations 1.50$ 1.24$ 1.64$ 21% (9%)
Discontinued operations 0.04$ -$ 0.68$ * (94%)
Cumulative effect of accounting change (2)
-$ 0.05$ -$ * --
Earnings per diluted share 1.54$ 1.29$ 2.32$ 19% (34%)
Average common shares outstanding
Basic 1,020,041,181 1,069,097,162 1,031,343,423
Diluted 1,061,764,798 1,090,166,326 1,063,147,962
Period end common shares outstanding 1,070,407,513 1,103,263,369 1,057,677,994
Return on average common equity
from continuing operations 21.5% 20.0% 24.9%
Return on average common equity 22.1% 19.7% 34.6%
(1) Represents consolidated income from continuing operations before losses from unconsolidated investees, taxes,
gain/(loss) from discontinued operations and cumulative effect of accounting change.
(2) Represents the effects of the adoption of SFAS 123R in the first quarter of fiscal 2005.
Note: Certain reclassifications have been made to prior period amounts to conform to the current presentation.
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9. 3/20/2006 11:05 AM
MORGAN STANLEY
Quarterly Consolidated Income Statement Information
(unaudited, dollars in millions)
Quarter Ended Percentage Change From:
Feb 28, 2006 Feb 28, 2005 Nov 30, 2005 Feb 28, 2005 Nov 30, 2005
Investment banking 982$ 821$ 1,216$ 20% (19%)
Principal transactions:
Trading 3,067 1,846 1,575 66% 95%
Investments 314 153 499 105% (37%)
Commissions 929 824 911 13% 2%
Fees:
Asset management, distribution and admin. 1,279 1,204 1,259 6% 2%
Merchant, cardmember and other 289 308 340 (6%) (15%)
Servicing and securitizations income 596 494 294 21% 103%
Interest and dividends 10,549 5,843 9,299 81% 13%
Other 114 105 132 9% (14%)
Total revenues 18,119 11,598 15,525 56% 17%
Interest expense 9,481 4,625 8,253 105% 15%
Provision for consumer loan losses 155 135 310 15% (50%)
Net revenues 8,483 6,838 6,962 24% 22%
Compensation and benefits 4,183 2,854 2,672 47% 57%
Occupancy and equipment 232 332 243 (30%) (5%)
Brokerage, clearing and exchange fees 292 260 267 12% 9%
Information processing and communications 347 342 365 1% (5%)
Marketing and business development 238 257 331 (7%) (28%)
Professional services 434 379 581 15% (25%)
Other 310 570 373 (46%) (17%)
September 11th related insurance recoveries, net 0 (251) 0 * --
Total non-interest expenses 6,036 4,743 4,832 27% 25%
Income from continuing operations before losses
from unconsolidated investees, taxes,
dividends on preferred securities subject to
mandatory redemption and cumulative
effect of accounting change 2,447 2,095 2,130 17% 15%
Losses from unconsolidated investees 69 73 66 (5%) 5%
Provision for income taxes 784 673 318 16% 147%
Income from continuing operations 1,594 1,349 1,746 18% (9%)
Discontinued operations
Gain/(loss) from discontinued operations 70 7 1,212 * (94%)
Income tax benefit/(provision) (28) (3) (493) * 94%
Gain/(loss) from discontinued operations 42 4 719 * (94%)
Cumulative effect of accounting change (1)
0 49 0 * --
Net income 1,636$ 1,402$ 2,465$ 17% (34%)
Return on average common equity
from continuing operations 21.5% 20.0% 24.9%
Return on average common equity 22.1% 19.7% 34.6%
Compensation and benefits as a % of net revenues 49% 42% 38%
(1) Represents the effects of the adoption of SFAS 123R in the first quarter of fiscal 2005.
Note: Certain reclassifications have been made to prior period amounts to conform to the current presentation.
9