Capital One Announces the Consolidation of its Direct-to-Consumer Auto Lending Business; Move Expected to Leverage Scale and Increase Efficiency
MCLEAN, Va., Jun 08, 2005 (BUSINESS WIRE) -- Capital One Financial Corporation (NYSE:COF) today announced that it will consolidate its direct-to-consumer auto lending business by relocating its Internet auto finance operations currently based in San Diego, California to its existing operations in Plano, Texas. The changes will result in the elimination of approximately 290 internal positions and the closing of the San Diego location by the end of the first quarter of 2006. The move is intended to leverage the scale of the existing operations and increase efficiency.
The company also announced that, as a result of this decision, approximately 200 new positions will be available in Plano and impacted San Diego-based associates are eligible to transfer to the Texas facility.
Impacted Capital One associates will receive extensive career transition services including one-on-one counseling and career seminars. All full-time associates who do not pursue a career with Capital One will be eligible for severance packages and will receive comprehensive outplacement and retraining assistance. Associates who relocate to Plano will be eligible for a relocation allowance.
Capital One expects a seamless transition for customers. Capital One is working closely with local community leaders and will honor the company's existing community commitments.
About Capital One
Headquartered in McLean, Virginia, Capital One Financial Corporation (www.capitalone.com) is a bank holding company whose principal subsidiaries, Capital One Bank, Capital One, F.S.B. and Capital One Auto Finance, Inc. offer a variety of consumer lending products. Capital One's subsidiaries collectively had 49.1 million accounts and $81.6 billion in managed loans outstanding as of March 31, 2005. Capital One is a Fortune 500 company and, through its subsidiaries, is one of the largest providers of MasterCard and Visa credit cards in the world. Capital One trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 500 index.
SOURCE: Capital One Financial Corporation
Capital One Financial Corporation, McLean
Tatiana Stead, (703) 720-2352
Steve Carpowich, (619) 358-7236