UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
8-K
Current
Report
Pursuant
to Section 13 or 15(d) of The Securities Exchange Act of 1934
September 25,
2008
(Date of
Report - Date of Earliest Event Reported)
First Cash Financial
Services, Inc.
(Exact
name of registrant as specified in its charter)
Delaware
(State or
other jurisdiction of incorporation)
0-19133
(Commission
File Number)
|
75-2237318
(IRS
Employer Identification No.)
|
690 East Lamar Blvd., Suite
400, Arlington, Texas 76011
(Address
of principal executive offices, including zip code)
(817)
460-3947
(Registrant's
telephone number, including area code)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
q
|
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
|
q
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Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|
q
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Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
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q
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Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
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Item
2.02 Results of Operations and Financial
Conditions
As
described in Item 2.05 herein and the related press release (Exhibit 99.1), the
Company has elected to discontinue its Auto Master buy-here/pay-here automotive
operations. The following chart compares previously reported diluted
net earnings per share to estimated adjusted diluted earnings per share
reflecting the Auto Master segment as a discontinued operation:
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Quarter
Ended
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Year
Ended
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Quarter
Ended
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March
31,
2007
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June
30,
2007
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Sept.
30,
2007
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Dec.
31,
2007
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Dec.
31,
2007
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March
31,
2008
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June
30,
2008
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Diluted
EPS
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As
Previously Reported
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Continuing
Operations
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$ |
0.28 |
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$ |
0.24 |
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$ |
0.29 |
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$ |
0.18 |
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$ |
1.00 |
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$ |
0.21 |
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$ |
0.23 |
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Discontinued
Operations (1)
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|
|
0.03 |
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|
0.03 |
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|
0.03 |
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- |
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|
0.08 |
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|
0.01 |
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- |
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Total
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$ |
0.31 |
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$ |
0.27 |
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$ |
0.32 |
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$ |
0.18 |
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$ |
1.08 |
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$ |
0.22 |
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$ |
0.23 |
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Adjusted (Estimated,
Unaudited)
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Continuing
Operations
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$ |
0.21 |
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$ |
0.19 |
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$ |
0.24 |
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$ |
0.29 |
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$ |
0.93 |
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$ |
0.31 |
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$ |
0.30 |
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Discontinued
Operations (2)
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|
|
0.10 |
|
|
|
0.08 |
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|
|
0.08 |
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(0.11 |
) |
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|
0.15 |
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(0.09 |
) |
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(0.07 |
) |
Total
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$ |
0.31 |
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$ |
0.27 |
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$ |
0.32 |
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$ |
0.18 |
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$ |
1.08 |
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$ |
0.22 |
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$ |
0.23 |
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(1)
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Reflects
previously reported discontinued short-term loan operations in the
District of Columbia.
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(2)
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Preliminary
estimate to reflect Auto Master segment as a discontinued operation
combined with previously reported
discontinued operations in the District of
Columbia.
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The
information provided in this Item 2.02 shall not be deemed “filed” for purposes
of the Securities Act of 1934, as amended, or otherwise subject to the
liabilities of that section, nor shall such information be deemed incorporated
by reference in any filing under the Securities Act of 1933, as amended, except
as shall be expressly set forth by the specific reference in such
filing.
Item
2.05 Costs Associated with Exit or Disposal
Activities
On
September 25, 2008, the Board of Directors of First Cash Financial Services,
Inc. approved a plan to discontinue its Auto Master buy-here/pay-here automotive
operations. The facts and circumstances leading to this expected
action are described in the press release dated September 30, 2008, which is
included herein as Exhibit 99.1. The Company plans to sell or
liquidate the Auto Master operations and/or its assets over the next twelve
months. The Company estimates it will incur non-cash charges, net of
tax benefit, of up to approximately $53 million in the third quarter of fiscal
2008 in connection with this action. The majority of the charges will
be to provide additional reserve allowances related to Auto Master customer
notes receivable and to record impairment charges related to Auto Master
goodwill and other intangible assets. At this time, the Company
cannot make a more detailed determination of such charges, nor can it currently
estimate future cash expenditures related to the disposal, although such amounts
are expected to be relatively insignificant in relation to the total expected
charges. The Company expects to provide additional information
regarding estimated costs of disposal, impairment charges and future cash
expenditures related to the disposal at the time at which more precise estimates
can be determined. The Company currently expects to continue
operating the Auto Master business unit while seeking to sell it, or its
assets.
The
information provided in this Item 2.05 shall not be deemed “filed” for purposes
of the Securities Act of 1934, as amended, or otherwise subject to the
liabilities of that section, nor shall such information be deemed incorporated
by reference in any filing under the Securities Act of 1933, as amended, except
as shall be expressly set forth by the specific reference in such
filing.
Item
2.06 Material Impairments
This
information required to be disclosed under this item is included in Item 2.05
above.
Item
9.01 Financial Statements and Exhibits
99.1
|
Press
Release dated September 30, 2008 announcing the Company’s plan to
discontinue its Auto Master
operations.
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Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned thereunto
duly authorized.
Dated: September
30,
2008 FIRST CASH FINANCIAL
SERVICES, INC.
(Registrant)
/s/ R. DOUGLAS
ORR
R. Douglas Orr
Chief Accounting Officer
Exhibit
Number
|
Document
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99.1
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Press
release dated September 30, 2008
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