FALLS CHURCH, Va., Oct. 10 /PRNewswire/ -- Joined by Virginia Governor Jim Gilmore and numerous community leaders, Capital One announced today that it will consolidate its Richmond operations into three distinct campuses -- the newest of which will be located at West Creek in Goochland County. The other consolidated campuses will be located in Henrico, where Capital One already leases space in 27 buildings, and Chesterfield, where Capital One will double its space with an additional building. Combined with an earlier expansion announcement in Northern Virginia, Capital One will hire more than 8,000 new associates throughout the Commonwealth by 2004 -- making this the largest expansion plan announced in Virginia history.

Capital One expects that its capital investment alone for the three new campuses will total $700 million. A study conducted by RKG Associates, an economic consulting firm, estimated that Capital One's current contribution to Virginia's gross economy exceeds $1.3 billion annually, and that the ultimate benefit of the company's decision to expand operations in Virginia will reach $2.4 billion annually.

"Today, we have written another chapter in the shared history of this great company and our great Commonwealth," said Governor Gilmore. "I am pleased to announce that Capital One will soon embark on the largest corporate employment expansion in Virginia history, creating more than 8,000 new jobs in the Commonwealth with an investment of $700 million. Today's good news is not just the number of jobs, but the high caliber of these new jobs in technology, the Internet, marketing and customer relationship management. In the era of 'The Digital Dominion,' I am proud that Capital One continues to grow and prosper with us."

"This announcement is the latest chapter of a story that began 12 years ago when Capital One first began to change financial services for consumers," said Richard Fairbank, Chairman and Chief Executive Officer. "Virginia has been home to Capital One from the beginning and we are pleased that the Commonwealth is also the location for our expansion."

Nigel Morris, President and Chief Operating Officer, said, "Capital One's decision to consolidate and expand our local presence was based on our confidence in the company's ability to maintain a robust growth rate, the positive business environment at the state and local levels in Virginia, and the availability of talented and dependable workers here in the greater Richmond area."

Continuing its alliance with the greater Richmond community, Capital One also unveiled its commitment to Goochland County Public Schools by awarding a $50,000 grant to purchase Standards of Learning software for Goochland High School's new computer lab. The mathematics and reading-comprehension software will help students practice key competencies.

Capital One already has nearly 10,000 associates employed in the metropolitan Richmond area in sites located in Chesterfield and throughout Henrico County. Capital One expects the campus consolidations to occur over several years, with the first group moving to West Creek in early 2002. The West Creek site, consisting of about 300 acres, is 5.5 miles from Innsbrook, and is in close proximity to Capital One's existing employee base. The proposed buildings will be designed to reflect both the dynamic results- oriented culture of Capital One, and the park-like West Creek environment. (Please direct all inquiries to 866-236-3043.)

For the second year in a row, Capital One ranked on the list of "100 Best Companies to Work for in America" as reported by Fortune Magazine in January 2000. Capital One has operations in Richmond, Fredericksburg and Falls Church, Virginia; Dallas, Fort Worth and Plano, Texas; Tampa, Florida; Federal Way, Washington; Boise, Idaho; and Boston, Massachusetts; as well as London and Nottingham, United Kingdom.

Headquartered in Falls Church, Virginia, Capital One Financial Corporation (NYSE: COF) is a holding company whose principal subsidiaries, Capital One Bank and Capital One, F.S.B., offer consumer lending products. Capital One's subsidiaries collectively had 27.1 million accounts and $21.9 billion in managed loans outstanding as of June 30, 2000. Capital One is one of the major financial service providers on the Internet, with online account decisioning, real-time account numbering, and online retail deposits. Capital One is a FORTUNE 500 company that 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

CONTACT: Hamilton Holloway of Capital One, 804-934-5900 or hamilton.holloway@capitalone.com; or Mark A. Miner of the Governor's Office, 804-692-3110 or mminer@gov.state.va.us/