Equipment Leasing and Finance Association - Equiping Business for Success

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Monthly Leasing and Finance Index September 2005

Sep 1, 2005, 19:23 PM

Please Note:

ELA's name, address, web site and contact info have all changed since the information below was originally published. For additional information on this and other ELFA research materials, please contact Bill Choi at bchoi@elfaonline.org or 202.238.3413.

ELA recently released the results of the Monthly Leasing Index (MLI) for September 2005. The key metrics highlighted in the September MLI indicate a significant upturn to end the third quarter.

In September, new business volume increased from August's $4.28 billion to $5.06 billion, representing an 18.1% increase. This is also the highest reported amount of new business volume for any month this year. Delinquencies (net of unearned income billed but not yet received) remained virtually unchanged from August, coming in at 97.92%. However, this remains below March's high of 98.46%. Credit approval ratios increased very slightly to 82% compared with 81.7% in August. Average charge-offs, however, increased significantly, coming in at 0.69%, up from August's 0.43%. This is due to a couple of outliers resulting from two respondents who reported very significant increases in that statistic for September. The total number of employees increased slightly to 9,001 compared to 8,939 in August. Although off from April's high of 9,259, this puts total FTEs back over the 9,000 mark.

Because the same companies participate in the study each month, the MLI provides a fairly reliable and consistent trend analysis of current industry activity. Results of each MLI are posted on the ELA website and Equipment Leasing Today magazine.

This MLI is conducted monthly by the ELA, which provides a variety of studies, reports, and market analyses covering the $220 billion equipment leasing and finance industry. To access this and other industry information, visit the ELA website at http://www.elaonline.com/IndustryData or call Dean Frutiger at (703) 516-8380.

Participants in the September 2005 Monthly Leasing Index:

  • ADP Credit Corporation
  • Amsouth Leasing Corporation
  • Bank of America
  • Caterpillar Financial Services Corporation
  • CIT
  • De Lage Landen Financial Services
  • First American Equipment Finance
  • GreatAmerica Leasing
  • Hitachi Credit America Corp.
  • HP Financial Services
  • John Deere Credit Corporation
  • Key Equipment Finance
  • LaSalle National Leasing Corporation
  • Marlin Leasing Corporation
  • RBS Asset Finance
  • Siemens Financial Services
  • U.S. Bancorp Leasing & Financial
  • Verizon Capital Corporation
  • Wells Fargo Equipment Finance

Total New Business Volume
0905-newbusvol

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Aging of Receivables

  2005
  Jan. Feb. Mar. Apr. May June July Aug. Sept.
Less than 30 days 98.11% 97.95% 98.46% 98.00% 98.10% 98.00% 97.70% 97.95% 97.92%
31-60 days 0.96% 1.03% 0.64% 0.80% 0.80% 0.80% 0.90% 0.81% 0.85%
61-90 days 0.28% 0.41% 0.32% 0.40% 0.30% 0.30% 0.40% 0.36% 0.35%
Over 90 days 0.65% 0.61% 0.58% 0.80% 0.80% 0.90% 1.00% 0.88% 0.88%

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Average Losses
Average Loss

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Credit Approval Ratios
Credit Approval Ratios

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Total Number of Employees
Total Number of Employees

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