- The remaining provinces on a combined basis accounted for 4% of total Canadian consumer lending revenue.
- With respect to regulation in Canada, on April 4, 2008, the Manito Republic facilities board provided a new rate and fee structure for issuing payday loans in the province.
- The newly proposed legislation will provide new growth opportunities for Money Mart in Canada.

In Alberta, the province believes its existing legislation already complies with the requirements of the federal law, while British Columbia passed its legislation in October of 2007.

- In Ontario the government introduced legislation in April, this past month, which needs to be approved prior to moving on to the rate and regulations phase of the process.
- The province of New Brunswick just passed its payday loan legislation last week, and the provinces of Nova Scotia and Saskatchewan have previously passed their respective legislations and are currently engaged in their rate setting processes.

Update on the UK business:

-The business contributed revenue of $32.6 million, growing by 37.4% over the previous year.
- Consumer lending revenue decreased by 40.5% and check cashing fees grew by 9.9%.
- It also continued its store development program by opening six de novo stores in the United Kingdom.

The pawn business, for which the firm primarily make loans on gold jewelry continued to experience strong growth driven by an increasing market price of gold.

- Higher gold prices allow it to increase the amount loaned on pawned stock while it also increases the retail and smoking value of the unclaimed pawn jewelry.
- The value of pawns pledged in the UK stores increased by 49.4%; while revenue from pawn loans increased by 37.1% as compared to the prior year.

- US operations generated $40.1 million in total revenue, representing growth of $9 million or 29.0%.
- Check-cashing fees increased by 33.1%, while consumer-rating revenue increased by 18.1% or $13.4 million.
- US operations accrue the results with the recent acquisition of 45 financial services stores, principally located in the Midwest and Hawaii, as well as the acquisition of 82 stores in southeast Florida in December 2007.

On the regulatory front Virginia passed a reform bill that moderately reduces the maximum fees paid by consumers into a usage cap of $10 mill per year and also faces a currency wide limit of one loan at any time to a customer, effective January 1, 2009.

- The firm does not expect any significant impact on the financials, as it operates 16 multi product stores in Virginia, which accounted for $400,000 of net consumer lending revenue.
- In Colorado, proposed legislation that would have essentially prohibited payday lending in the state, has been pulled from consideration.
- In Ohio several competing bills in front of regulators, payday lending have been introduced and one of those bills has passed through the House of Representatives.

Fiscal 2008 Outlook:

- Revenue is expected to be between $510 million and $530 million.
- Adjusted EBITDA will be between $145 and $152 million.
- Income before taxes will be between $91 million and $96 million and earnings per share between $2.15 and $2.30.

Key questions and answers from the third quarter earnings call conducted by Dollar Financial Corp. (DLLR: chart) on May 5, 2008.

Dennis Telzrow (Stephens Inc.): It looked like the interest cost was a little bit higher sequentially, but the total debt did not change. Can you comment on that?

Randy Underwood: Earlier in the year we had a lot of cash available for investment from the $200 million of convertible securities offering that we had and we placed those proceeds in T-bills and gained some interest income earlier in the year from that investment as we worked that down by putting it to work in the Midwest and the southeast Florida acquisitions, we have less interest income to net against our interest expense.

Robert Napoli (Piper Jaffray): Would you expect the tax rate for next year to be more towards the 38% range or with the US profitable for a full year on a mix of earnings?

Randy Underwood: Expect it to be probably in 30% on the low, maybe 39% on the high, just depending on the mix of how the economy’s ultimately earned and various countries that we do business in and related to state taxing jurisdictions as well.

Robert Napoli (Piper Jaffray): On the expense side, are you spending more on the collection side?

Jeffrey Weiss: We had quite a little bit of new store development expenses from the first, second and the third quarter. We had the integration of the acquisitions that we did, particularly the one in Florida, so we had some incremental training costs and transition cost in it.

We also had a number of smaller acquisitions around the globe that we integrated into the business in Canada and the UK that likewise had incremental training costs and new systems put in, those types of things.