FORM 6-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Report of a Foreign Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 For the month(s) of: July 29, 1998 NEWCOURT CREDIT GROUP INC. BCE Place, 181 Bay Street Suite 3500, P.O. Box 827 Toronto, Ontario Canada, M5J 2T3 [Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.] 		Form 20-F	/ /			Form 40-F	 /X/	 [Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.] 		Yes	/ /				No		 /X/	 [If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b)] 		82- 				 SIGNATURES 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. Date: July 29,1998 NEWCOURT CREDIT GROUP INC. By: John P. Stevenson Corporate Secretary News Release For immediate release Trading Symbol: NCT Contact: Robyn Matsumoto Exchange Listings: Toronto Communications & Marketing Montreal (416) 594-5308 New York Newcourt improves financial quality with reduced leverage and diversified revenue sources Asset quality remains strong during 2nd quarter with arrears and losses below industry average London, U.K., July 29, 1998 - Newcourt Credit Group today reported net income for the six months ended June 30, 1998, of $112.1 million (US$78.0 million ) versus $65.0 million (US$47.3 million) for the combined operations of Newcourt Credit Group and AT&T Capital during the same period last year. Earnings for the second quarter amounted to $69.8 million (US$48.3 million) compared to $42.4 million (US$29.6 million) in net income reported in the previous quarter. Based on an average of 137,616,640 shares outstanding during the six month period, the Company's fully diluted earnings per share were $0.81 (US$0.56) and cash earnings per share (earnings per share before goodwill amortization) were $1.15 (US$0.80). "The focus of Newcourt's new business activities is centred on those geographic regions, industry sectors and origination partners capable of supporting the Company's quality objectives," noted CEO Steven K. Hudson. "Over the past six months, as part of our integration plan, we have reviewed the various business segments where the Company has established a presence. This review identified the core markets where Newcourt is positioned as being one of the top three providers. We have made it clear to our stakeholders, our customers and our employees that we are securing our leadership position in these markets, deepening our financial quality, and exiting those businesses which do not meet these criteria. This focus on quality has not been at the expense of earnings growth as reflected in our 63% increase in quarter-over- quarter earnings." This focus on asset quality is reflected in the Company's arrears and loan losses expressed as a percentage of owned assets of 1.0% and 0.65% for the period. In addition, Newcourt maintains better than average allowances for loan losses with coverage at 2.72 times. These results compare favourably to the industry average. The quality of Newcourt's income statement was also highlighted in the second quarter results. Total asset finance income for the six months ended June 30, 1998, rose by 26% to $678.0 million (US$471.7 million) from $537.7 million (US$391.9 million) during the same period last year on a consolidated basis. An important shift has taken place over the past 12 months to improve the quality and diversity of Newcourt's revenue sources. During the first six months of 1998, over two-thirds (71%) of the Company's revenue was derived from net finance and rental income, and management and other fees with the remainder (29%) attributable to revenue on the sale of finance assets. During the same period last year, net finance and rental income, and management and other fees accounted for less than half (45%) of the Company's revenue with the majority (55%) attributable to revenue on the sale of finance assets. In addition, operating costs for the period, excluding amortization and depreciation, amounted to $432.6 million (US$300.9 million) compared to $429.3 million (US$312.9 million) for the same period last year on a consolidated basis. Expressed as a percentage of owned and managed loans, operating expenses on an annualized basis, excluding amortization and depreciation, declined from 3.0% as at December 31, 1997 to 2.7% as at June 30,1998. "This improvement in Newcourt's operating expense ratio is indicative of the progress that the Company has made in moving forward with our integration plan," noted Hudson. The quality of Newcourt's balance sheet was strengthened during the period with a US$400 million common equity placement with Janus Capital Corporation. Part of the proceeds are to be used to refinance preferred securities issued by the former AT&T Capital Corporation. This transaction, in part, resulted in a reduction in the Company's tangible leverage from 7.1:1 as at the end of the first quarter to 5.2:1 as at the end of the second quarter (treating preferred securities as debt). At a meeting of the Board of Directors held July 29, 1997, a quarterly dividend of $0.04 per share was approved for payment on August 31, 1998 to shareholders of record as of August 14, 1998. Newcourt Credit Group is one of the world's leading sources of asset-based financing serving the corporate and commercial markets with owned and managed assets of $34.0 billion (US$23.1 billion) and a global capability in 24 countries. Newcourt Credit GroupInc. Summary of Quarterly Financial Statistics For the period ended June 30, 1998 <fn1> Basic Earnings per Share (common and special) Average Shares Outstanding during the Period Number of Common and Special Shares as at January 1, 1998	 83,070,958 Shares issued during the year: June 30, 1998 Weighted Date # shares # days o/s Average Issue to Nomura 1/12/98 17,633,857 171 / 182 16,581,690 Exchange for sub rights 1/12/98 38,500,000 171 / 182 36,202,803 Private placement 6/4/98 8,668,446 28 / 182 1,321,537 Other 471,136 169 / 182 439,652 65,273,439 54,545,682 54,545,682 Weighted average shares outstanding, June 30, 1998 137,616,640 Net income for the year to date $112,143,800 Basic earnings per share $0.81 II. Comparative Earnings Per Share Summary: Three Months Ended Six Months Ended June 30 June 30 1998 1997 1998 1997 Basic $.49 $.31 $.81 $.54 Fully Diluted .49 .31 .81 .54 Cash Basis .67 .32 1.15 .56 Dividends per share .04 .035 .08 .07 III. Balance Sheet Highlights ($ millions) As at As at June 30, 1998 March 31, 1998 Owned and managed assets 33,952 31,876 Tangible Equity 2,635 1,973 Tangible Leverage<fn2> 5.2:1 7.1:1 IV. Income Statement Highlights ($000) Three Months Ended Six Months Ended June 30 June 30 1998 1997 1998 1997 Net Income 69,755 40,921 112,144 65,001 New originations 5,911,759 3,771,886 10,447,749 6,712,148 Originations U.S. & Canada 89.7% U.K. / Europe 6.7% Asia Pacific 2.6% Latin America 1.0% 100.0% V. Margin Analysis Summary (i) Securitization Three Months Ended June 30 March 31 1998 1998 Securitization Fees 97,274 76,028 Assets Securitized 3,300,804 1,639,197 Securitization Margin 2.95% 4.64% (ii) Syndication Three Months Ended June 30 March 31 1998 1998 Syndication Fees 14,847 10,125 Assets Syndicated 1,182,206 859,007 Syndication Margin 1.26% 1.18% (iii) Net Finance Income Financed Assets held for investment 11,704,833 11,516,392 Operating leases held for investment and sale 3,103,490 2,874,492 Financed assets held for sale 1,634,739 1,597,878 Total owned assets 16,443,062 15,988,762 Net Finance and Rental Income 184,785 190,119 Net Finance Income Margin 4.56% 4.83% Interest Expense 236,057 218,741 OPEX / Owned and Managed Assets 2.7% 2.8% <fn1> All $ expressed in C$ unless otherwise specified </fn1> <fn2>Preferred securities treated as debt </fn2> Newcourt Credit Group Inc. CONSOLIDATED BALANCE SHEETS (Unaudited) [in thousands of Canadian dollars] June 30, December 31, 1998 1997 $ $ ASSETS Cash and cash held in escrow 0 1,778,413 Finance assets held for investment 11,704,833 2,185,568 Operating leases held for investment and sale 3,103,490 275,833 Finance assets held for sale 1,634,739 1,091,398 Investment in affiliated companies 240,732 173,918 Accounts receivable, prepaids and other 427,950 181,736 Future income tax receivable 283,990 0 Fixed assets 128,914 87,396 Goodwill 1,875,643 408,754 Total Assets 19,400,291 6,183,016 LIABILITIES, PREFERRED SECURITIES AND SHAREHOLDERS' EQUITY Liabilities Accounts payable and accrued liabilities 1,245,773 303,968 Debt 13,359,745 2,789,816 Future income tax liability 0 27,739 Total Liabilities 14,605,518 3,121,523 Preferred Securities 284,560 0 Shareholders' Equity Share capital 4,283,354 2,935,402 Retained earnings 226,859 126,091 Total Shareholders Equity 4,510,213 3,061,493 Total Liabilities, Preferred Securities and Shareholders' Equity 19,400,291 6,183,016 Newcourt Credit Group Inc. CONSOLIDATED STATEMENTS OF INCOME AND RETAINED EARNINGS (Unaudited) [in thousands of Canadian dollars, except for per share amounts] Six Months Ended June 30, June 30, 1998 1997 $ $ Asset finance income Revenue on sale of finance assets 198,275 61,605 Management and other fees 104,805 18,106 Net finance and rental income 374,904 31,842 Total asset finance income 677,984 111,553 Operating expenses Salaries and wages 220,192 30,737 Operating and administrative 212,374 32,258 Depreciation and amortization 58,594 5,544 Operating income before taxes 186,824 43,014 Provision for income taxes 74,680 9,023 Net income for the period 112,144 33,991 Retained earnings, beginning of period 126,091 100,774 Dividends paid on common shares (11,166) (4,391) Options purchased (210) (1,044) Retained earnings, end of period 226,859 129,330 Earnings per common share: Basic $0.81 $0.54 Fully diluted $0.81 $0.54