Cash America International 8-K Results of Operations and Financial Condition

Exhibit 99.1

Additional Information:	For Immediate Release
Thomas A. Bessant, Jr.
(817) 335-1100

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CASH AMERICA FOURTH QUARTER EARNINGS INCREASE 49%

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Fort Worth, Texas (January 27, 2005) — - Cash America International, Inc. (NYSE: CSH) announced today that income from continuing operations was $13,716,000 (46 cents per share) for the fourth quarter of 2004, up 49% from $9,203,000 (32 cents per share) for the same period in 2003. The increase in earnings was largely due to a 21% increase in total revenue for the three-month period ended December 31, 2004 to $140,781,000 from $115,972,000 in the final quarter of 2003. Net income of $14.4 million for the quarter was up 25% in 2004 compared to 2003. Discontinued operations represent the sale of the Company’s European lending operations that was completed in September of 2004.

Commenting on the results for the fourth quarter, Daniel R. Feehan, President and Chief Executive Officer said, “Revenue levels from all aspects of the Company’s business posted solid gains over the prior year leading to a strong finish to our fiscal year. Combined fees and service charges on pawn loans and short-term cash advances were up 31% to $61 million. We also enjoyed a very good increase in sales activity in December driving a 15% increase in proceeds from disposition of merchandise in the fourth quarter of 2004 compared to the prior year. These two components led to a 26% increase in net revenue, which allowed us to achieve earnings that represent the best year in the Company’s history thus far.

The results of the fourth quarter of 2004 conclude a fiscal year in which total revenue rose 21% to $469.5 million from $388.6 million in 2003. In addition, income from continuing operations was up 59% for 2004 to $35.0 million ($1.18 per share) compared to 22.0 million (83 cents per share) in 2003. During the year, Cash America added 142 net lending locations, including the 41-store purchase of SuperPawn, which was closed late in the fourth quarter, representing a 26% increase in Company-owned stores in 2004.

Cash America will conduct a conference call to discuss its fourth quarter earnings Thursday, January 27th at 3:45 PM CST. A live web cast of the call will be available on the home page of the Company’s corporate web site (www.cashamerica.com). To listen to the live call, please go to the web site at least fifteen minutes early to register, download, and install any necessary audio software.

Forward-Looking Information
The outlook for earnings in 2005 is based on continued increased demand for both short-term cash advances and pawn loans and the development of lending locations added over the last 12 months. The Company enters fiscal 2005 with higher levels of earning assets, which positions it for additional revenue growth. In addition, the Company completed in mid-December the acquisition of the operations of a 41 store chain of pawn lending locations based in Las Vegas, Nevada and 32 locations purchased in early fall of 2004 that offer cash advances in southern California. These acquired operations will be an important component of the expected earnings growth in 2005. Also, the Company has added a large number of de novo lending locations, which primarily offer short-term cash advances to individuals, during the last two years, including 42 opened in the last six months of 2004. Management expects these locations to provide earnings growth after a brief period of start-up losses, which could cause some dampening in near term earnings expansion. Based on these factors management has modified its expectations upward for fiscal 2005 earnings per share from continuing operations to between $1.63 to $1.76, up slightly from it previously announced range of between $1.62 and $1.72 per share. These earnings will be heavily weighted in the first and fourth quarters of fiscal 2005 consistent with the Company’s seasonal business cycle. In the near term, management expects earnings per share from continuing operations for the first quarter of fiscal 2005 to be between 45 and 47 cents per share compared to 31 cents per share in the first quarter of 2004.

--more--

Cash America International, Inc. is a provider of specialty financial services to individuals in the United States with 839 total locations. Cash America is the largest provider of secured non-recourse loans to individuals, commonly referred to as pawn loans, through 452 locations in 21 states under the brand names Cash America Pawn and SuperPawn. The Company also offers short-term cash advances in many of its U.S. locations, including 78 locations that offer only this service under the brand name Cash America Payday Advance. In addition, the Company provides short-term cash advances and check cashing through its 175 “Cashland” consumer finance centers, and check cashing services through its 134 franchised and Company-owned “Mr. Payroll” check cashing centers.

This release contains forward-looking statements about the business, financial condition and prospects of Cash America International, Inc. and its subsidiaries (“the Company”). The actual results of the Company could differ materially from those indicated by the forward-looking statements because of various risks and uncertainties including, without limitation, changes in demand for the Company’s services, the actions of third parties who offer products and services at the Company’s locations, changes in competition, the ability of the Company to open new operating units in accordance with its plans, economic conditions, real estate market fluctuations, interest rate fluctuations, changes in the capital markets, changes in tax and other laws and governmental rules and regulations applicable to the Company’s business, and other risks indicated in the Company’s filings with the Securities and Exchange Commission. These risks and uncertainties are beyond the ability of the Company to control, and, in many cases, the Company cannot predict all of the risks and uncertainties that could cause its actual results to differ materially from those indicated by the forward-looking statements. When used in this release, terms such as “believes”, “estimates”, “plans”, “expects”, “anticipates” and similar expressions as they relate to the Company or its management are intended to identify forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements to reflect events or circumstances occurring after the date of this release.

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CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
HIGHLIGHTS OF CONSOLIDATED RESULTS OF OPERATIONS
(in thousands, except per share data)

	Three Months Ended				Year Ended
	December 31,				December 31,
	2004		2003		2004		2003
Consolidated Operations:
Total revenue	$	140,781	$	115,972	$	469,478	$	388,635
Net revenue		92,670		73,602		315,612		241,179
Total operating expenses		70,745		56,766		254,199		199,360
Income from operations	$	21,925	$	16,836	$	61,413	$	41,819
Income from continuing operations before income taxes	$	21,364	$	14,520	$	55,023	$	34,325
Income from Continuing Operations	$	13,716	$	9,203	$	34,965	$	22,030
Income from Discontinued Operations before Gain on Disposition	$	—	$	2,371	$	6,455	$	8,006
Gain on Disposition of Discontinued Operations	$	726	$	—	$	15,415	$	—
Net income	$	14,442	$	11,574	$	56,835	$	30,036
Net income per share:
Basic —
Income from continuing operations	$	0.48	$	0.33	$	1.23	$	0.86
Net income	$	0.50	$	0.41	$	2.00	$	1.17
Diluted —
Income from continuing operations	$	0.46	$	0.32	$	1.18	$	0.83
Net income	$	0.48	$	0.40	$	1.92	$	1.13
Weighted average shares:
Basic		28,765		28,077		28,402		25,586
Diluted		29,884		28,921		29,584		26,688

CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
RECONCILIATION OF NET INCOME AND DILUTED EARNINGS PER SHARE
(in thousands, except per share data)

	Three Months Ended				Year Ended
	December 31,				December 31,
	2004		2003		2004			2003
Income from continuing operations	$	13,716	$	9,203	$	34,965		$	22,030
Income from discontinued operations		—		2,371		6,455	(1)		8,006
		13,716		11,574		41,420			30,036
Gain on disposition of discontinued operations		726		—		15,415			—
Net income	$	14,442	$	11,574	$	56,835		$	30,036
Diluted earnings per share:
Income from continuing operations	$	0.46	$	0.32	$	1.18		$	0.83
Income from discontinued operations		—		0.08		0.22			0.30
		0.46		0.40		1.40			1.13
Gain on disposition of discontinued operations		0.02		—		0.52			—
Net income	$	0.48	$	0.40	$	1.92		$	1.13

⁽¹⁾ For the period from January 1, 2004 through September 7, 2004 (the date of sale).

1

CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)

	December 31,
	2004			2003
Assets
Current assets:
Cash and cash equivalents	$	15,103		$	11,959
Pawn loans		109,353			81,154
Cash advances, net		36,490			28,401
Merchandise held for disposition, net		67,050			49,432
Finance and service charges receivable		20,458			15,667
Other receivables and prepaid expenses		10,547			6,612
Income taxes recoverable		—			2,853
Deferred tax assets		9,293			6,868
Current assets of discontinued operations		—			82,265
Total current assets		268,294			285,211
Property and equipment, net		87,612			67,852
Goodwill		164,073			99,084
Intangible assets, net		24,361			4,717
Other assets		10,825			2,595
Non-current assets of discontinued operations		—			30,128
Total assets	$	555,165		$	489,587
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable and accrued expenses	$	33,854		$	34,416
Customer deposits		5,686			4,102
Income taxes currently payable		2,505			—
Current portion of long-term debt		16,786			8,286
Current liabilities of discontinued operations		—			4,742
Total current liabilities		58,831			51,546
Deferred tax liabilities		10,999			5,052
Other liabilities		1,559			1,450
Long-term debt		149,840			139,754
Non-current liabilities of discontinued operations		—			15,292
Stockholders’ equity:
Common stock, $.10 par value per share, 80,000,000 shares authorized; 30,235,164 shares issued in 2004 and 2003		3,024			3,024
Additional paid-in capital		154,294			141,867
Retained earnings		187,860			141,642
Accumulated other comprehensive income		—			7,995
Notes receivable secured by common stock		(2,488	)		(2,488	)
Treasury shares, at cost (938,386 shares in 2004 and 2,040,180 shares in 2003)		(8,754	)		(15,547	)
Total stockholders’ equity		333,936			276,493
Total liabilities and stockholders’ equity	$	555,165		$	489,587

2

CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)

	Three Months Ended						Year Ended
	December 31,						December 31,
	2004			2003			2004			2003
				(Unaudited)
Revenue
Finance and service charges	$	30,198		$	26,831		$	110,495		$	100,699
Proceeds from disposition of merchandise.		77,734			67,870			250,291			236,032
Cash advance fees		30,762			19,582			99,202			46,955
Check cashing royalties and fees		2,087			1,689			9,490			4,949
Total Revenue		140,781			115,972			469,478			388,635
Cost of Revenue
Disposed merchandise		48,111			42,370			153,866			147,456
Net Revenue		92,670			73,602			315,612			241,179
Expenses
Operations		48,117			40,470			173,277			142,816
Cash advance loss provision		8,089			3,655			23,529			10,756
Administration		9,644			8,808			40,183			32,519
Depreciation and amortization		4,895			3,833			17,210			13,269
Total Expenses		70,745			56,766			254,199			199,360
Income from Operations		21,925			16,836			61,413			41,819
Interest expense		1,884			2,357			8,148			8,817
Interest income		(439	)		(41	)		(642	)		(310	)
Foreign currency transaction gain		(884	)		—			(1,116	)		—
Gain from disposal of asset		—			—			—			(1,013	)
Income from Continuing Operations before Income Taxes		21,364			14,520			55,023			34,325
Provision for income taxes		7,648			5,317			20,058			12,295
Income from Continuing Operations		13,716			9,203			34,965			22,030
Discontinued Operations
Income from discontinued operations (including gain on disposal of $121 and $19,023 for 2004 periods, respectively)		121			3,539			28,284			11,809
Provision for income taxes (including income taxes (benefits) of $(605) and $3,608 on gain on disposal for the 2004 periods, respectively)		(605	)		1,168			6,414			3,803
Income from discontinued operations		726			2,371			21,870			8,006
Net Income	$	14,442		$	11,574		$	56,835		$	30,036
Net income per share:
Basic —
Income from continuing operations	$	0.48		$	0.33		$	1.23		$	0.86
Income from discontinued operations		0.03			0.08			0.77			0.31
Net income	$	0.50		$	0.41		$	2.00		$	1.17
Diluted —
Income from continuing operations	$	0.46		$	0.32		$	1.18		$	0.83
Income from discontinued operations		0.02			0.08			0.74			0.30
Net income	$	0.48		$	0.40		$	1.92		$	1.13
Weighted average common shares outstanding:
Basic		28,765			28,077			28,402			25,586
Diluted		29,884			28,921			29,584			26,688
Dividends declared per common share	$	0.0175		$	0.0175		$	0.3700		$	0.0650

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CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
FINANCIAL AND OPERATING DATA – CONTINUING OPERATIONS
($ in thousands)

	Three Months Ended						Year Ended
	December 31,						December 31,
	2004			2003			2004			2003
PAWN LENDING OPERATIONS:
Pawn loans
Annualized yield on pawn loans		131.0	%		129.8	%		131.1	%		128.4	%
Total amount of pawn loans written and renewed	$	85,255		$	77,576		$	336,021		$	313,264
Average pawn loan balance outstanding	$	91,690		$	81,986		$	84,283		$	78,432
Average pawn loan balance per average location in operation	$	225		$	207		$	211		$	199
Average pawn loan amount at end of period (not in thousands)	$	89		$	86		$	89		$	86
Profit margin on disposition of merchandise as a percentage of proceeds from disposition of merchandise		38.1	%		37.6	%		38.5	%		37.5	%
Average annualized merchandise turnover		3.1x			3.2x			3.0x			3.1x
Average balance of merchandise held for disposition per average location in operation	$	150		$	132		$	130		$	122
Pawnshop locations in operation —
Beginning of period, owned		398			396			398			396
Acquired		42			1			42			7
Start-ups		1			1			3			1
Combined or closed		—			—			(2	)		(6	)
End of period, owned		441			398			441			398
Franchise locations at end of period		11			7			11			7
Total pawnshop locations at end of period		452			405			452			405
Average number of owned pawnshop locations in operation		408			397			399			394
Cash advances
Total amount of cash advances written(a)	$	65,709		$	47,097		$	220,303		$	172,667
Number of cash advances written (not in thousands)(a)		198,716			157,318			675,008			584,690
Average amount per cash advance (not in thousands)(a)	$	331		$	299		$	326		$	295
Combined cash advances outstanding(a)	$	18,318		$	13,612		$	18,318		$	13,612
Cash advances outstanding per location at end of period(a)	$	43		$	35		$	43		$	35
Cash advances outstanding before allowance for losses(b)	$	11,301		$	11,961		$	11,301		$	11,961
Locations offering cash advances at end of period		425			390			425			390
Average number of locations offering cash advances		399			387			391			385
CASH ADVANCE OPERATIONS(c):
Total amount of cash advances written(a)	$	141,415		$	79,244		$	427,443		$	127,851
Number of cash advances written (not in thousands)(a)		407,481			234,408			1,252,177			380,770
Average amount per cash advance (not in thousands)(a)	$	347		$	338		$	341		$	336
Combined cash advances outstanding(a)	$	33,352		$	20,045		$	33,352		$	20,045
Cash advances outstanding per location at end of period(a)	$	132		$	130		$	132		$	130
Cash advances outstanding before allowance for losses(b)	$	29,547		$	19,833		$	29,547		$	19,833
Cash advance locations in operation —
Beginning of period		230			145			154			2
Acquired		—			?			32			121
Start-ups		23			9			72			31
Combined or closed		—			—			(5	)		—
End of period		253			154			253			154
Average number of locations in operation		243			151			192			70

4

CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
FINANCIAL AND OPERATING DATA – CONTINUING OPERATIONS (Continued)
($ in thousands)

	Three Months Ended						Year Ended
	December 31,						December 31,
	2004			2003			2004			2003
CHECK CASHING OPERATIONS (Mr. Payroll)(d):
Face amount of checks cashed	$	272,829		$	261,607		$	1,132,627		$	1,089,364
Gross fees collected	$	3,686		$	3,571		$	15,660		$	15,266
Fees as a percentage of checks cashed		1.4	%		1.4	%		1.4	%		1.4	%
Average check cashed (not in thousands)	$	353		$	337		$	372		$	358
Centers in operation at end of period		134			135			134			135
Average centers in operation for period		131			134			135			136

(a)	Includes cash advances made by the Company and cash advances made by third-party banks offered at the Company’s locations.
(b)	Amounts recorded in the Company’s consolidated financial statements.
(c)	Includes Cashland and Cash America Payday Advance locations.
(d)	Includes franchised and company-owned locations.

5

CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED CASH ADVANCES OUTSTANDING
($ in thousands)

	December 31,
	2004		2003
Originated by the Company
Active cash advances and fees receivable	$	23,967	$	17,107
Cash advances and fees in collection		5,376		4,014
Total originated by the Company		29,343		21,121
Originated by banks
Active cash advances and fees receivable		17,532		9,891
Cash advances and fees in collection		4,795		2,646
Total originated by banks		22,327		12,537
Combined gross portfolio		51,670		33,658
Less: Elimination of cash advances owned by banks		10,150		1,335
Less: Discount on cash advances assigned by banks		672		529
Company cash advances and fees receivable, gross		40,848		31,794
Less: Allowance for losses		4,358		3,393
Cash advances and fees receivable, net	$	36,490	$	28,401

ALLOWANCE FOR LOSSES ON CASH ADVANCES
($ in thousands)

	Three Months Ended						Year Ended
	December 31,						December 31,
	2004			2003			2004			2003
Company Owned Cash Advances
Balance at beginning of period	$	4,592		$	3,778		$	3,393		$	1,319
Cash advance loss provision		8,031			3,657			23,242			11,130
Charge-offs		(10,136	)		(5,176	)		(29,833	)		(12,453	)
Recoveries		1,871			1,134			7,556			3,397
Balance at end of period	$	4,358		$	3,393		$	4,358		$	3,393
Accrual for Bank Owned Cash Advances
Balance at beginning of period	$	284		$	57		$	55		$	429
Increase (decrease) in loss provision		58			(2	)		287			(374	)
Balance at end of period	$	342		$	55		$	342		$	55
Combined Statistics
Combined cash advance loss provision	$	8,089		$	3,655		$	23,529		$	10,756
Combined cash advance loss provision as a % of combined cash advances written		3.9	%		2.9	%		3.6	%		3.6	%
Charge-offs (net of recoveries) as a % of combined cash advances written		4.0	%		3.2	%		3.4	%		3.0	%
Combined allowance for losses and accrued bank losses as a % of combined gross portfolio		9.1	%		10.2	%		9.1	%		10.2	%

6

CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
INCOME FROM CONTINUING OPERATIONS BY OPERATING SEGMENT
THREE MONTHS ENDED DECEMBER 31, 2004 AND 2003
(in thousands)

	(Unaudited)
	Pawn		Cash		Check
	Lending		Advance		Cashing		Consolidated
Three Months Ended December 31, 2004:
Revenue
Finance and service charges	$	30,198	$	—	$	—	$	30,198
Proceeds from disposition of merchandise		77,734		—		—		77,734
Cash advance fees		9,502		21,260		—		30,762
Check cashing royalties and fees		—		1,269		818		2,087
Total revenue		117,434		22,529		818		140,781
Cost of revenue — disposed merchandise		48,111		—		—		48,111
Net revenue		69,323		22,529		818		92,670
Expenses
Operations		35,595		12,158		364		48,117
Cash advance loss provision		2,729		5,360		—		8,089
Administration		6,489		2,908		247		9,644
Depreciation and amortization		3,257		1,527		111		4,895
Total expenses		48,070		21,953		722		70,745
Income from operations	$	21,253	$	576	$	96	$	21,925
As of December 31, 2004:
Total assets	$	442,420	$	105,650	$	7,095	$	555,165
Three Months Ended December 31, 2003:
Revenue
Finance and service charges	$	26,831	$	—	$	—	$	26,831
Proceeds from disposition of merchandise		67,870		—		—		67,870
Cash advance fees		7,310		12,272		—		19,582
Check cashing royalties and fees		—		856		833		1,689
Total revenue		102,011		13,128		833		115,972
Cost of revenue — disposed merchandise		42,370		—		—		42,370
Net revenue		59,641		13,128		833		73,602
Expenses
Operations		33,325		6,795		350		40,470
Cash advance loss provision		1,380		2,275		—		3,655
Administration		7,016		1,613		179		8,808
Depreciation and amortization		2,826		853		154		3,833
Total expenses		44,547		11,536		683		56,766
Income from operations	$	15,094	$	1,592	$	150	$	16,836
As of December 31, 2003:
Total assets	$	302,368	$	67,298	$	7,528	$	377,194

7

CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
INCOME FROM CONTINUING OPERATIONS BY OPERATING SEGMENT
YEARS ENDED DECEMBER 31, 2004 AND 2003
(in thousands)

	(Unaudited)
	Pawn		Cash		Check
	Lending		Advance		Cashing		Consolidated
Year Ended December 31, 2004:
Revenue
Finance and service charges	$	110,495	$	—	$	—	$	110,495
Proceeds from disposition of merchandise		250,291		—		—		250,291
Cash advance fees		32,952		66,250		—		99,202
Check cashing royalties and fees		—		5,904		3,586		9,490
Total revenue		393,738		72,154		3,586		469,478
Cost of revenue — disposed merchandise		153,866		—		—		153,866
Net revenue		239,872		72,154		3,586		315,612
Expenses
Operations		134,878		36,982		1,417		173,277
Cash advance loss provision		8,750		14,779		—		23,529
Administration		30,034		9,178		971		40,183
Depreciation and amortization		11,984		4,754		472		17,210
Total expenses		185,646		65,693		2,860		254,199
Income from operations	$	54,226	$	6,461	$	726	$	61,413
Year Ended December 31, 2003:
Revenue
Finance and service charges	$	100,699	$	—	$	—	$	100,699
Proceeds from disposition of merchandise		236,032		—		—		236,032
Cash advance fees		27,017		19,938		—		46,955
Check cashing royalties and fees		—		1,381		3,568		4,949
Total revenue		363,748		21,319		3,568		388,635
Cost of revenue — disposed merchandise		147,456		—		—		147,456
Net revenue		216,292		21,319		3,568		241,179
Expenses
Operations		130,076		11,179		1,561		142,816
Cash advance loss provision		6,435		4,321		—		10,756
Administration		29,177		2,598		744		32,519
Depreciation and amortization		11,349		1,387		533		13,269
Total expenses		177,037		19,485		2,838		199,360
Income from operations	$	39,255	$	1,834	$	730	$	41,819

8