Bankrate Inc

Company Name: Bankrate Inc.
Stock Market: NASDAQ (RATE)
Industry Sector: Business Services, NEC
Market Capitalisation: $572.0 million
Yearly Revenue: $95.6 million
Operating Income: $27.6 million
Net Income: $20.0 million
Total Assets: $228.4 million

Key People: Thomas R. Evans (President, Chief Executive Officer, Principal Executive Officer), Edward J. DiMaria (Senior Vice President, Chief Financial Officer, Principal Financial, and Accounting Officer)
Headquarters Address: 11760 U.S. Highway One, Suite 200 North Palm Beach, Florida 33408
Number of Employees: 277 (February 29, 2008)
Website Address: www.bankrate.com

Company Overview

Bankrate Inc. (“Bankrate” of the “Company”) and its subsidiaries operate and own an Internet-based consumer banking and individual finance network. Its flagship website, the Bankrate.com, is one of the leading web collectors of information in over three-hundred (300) financial commodities and fees, which include credit cards, mortgages, automobile loans, certificates of deposits, money market accounts, ATM and checking fees, online equity fees, and home equity loans. Moreover, the Company provides financial applications and data to a network of online associates and local, regional, and national publications. Its online networks includes Bankrate.com, Insureme.com, Interest.com, Nationwidecardservices.com, Mortgage-calc.com, Savingforcollege.com, Bankrateselect.com, creditcardsearchengine.com, Feedisclosure.com, Bankrate.com.cn (China), and other websites hosted by its Online Network of distribution associates. Through these online networks, the Company delivers information and tools that assist the customers in making well-informed, financial decisions.

The Company was formed approximately thirty years ago as a print publishing company of the newssheet Bank Rate Monitor. Since 1976 until 1996, its main business was the publishing of print newssheets and magazines and advertisement sales of Deposit Guide and Mortgage Guide, a paper-advertising table comprising of rate and product information from the local mortgage corporations and financial establishments. In 1996, Bankrate started online operations by putting editorially impartial research on its website, Bankrate.com. Currently, Bankrate, Inc. is operating in two (2) reportable segments; online publishing, and print publishing and licensing. The online publishing segment includes the operations of its Online Network. It also includes the operations of the Bankrate Select, a lead generation partnership; Nationwidecardservices.com, newly obtained credit card business; and the Savingforcollege.com, newly obtained college finance business. The print publishing and licensing segment includes the conventional print publications of the company and organized editorial content in over 150 newspapers and three national magazines. Exhibition stands help to promote companies like this at various corporate events.

Current Financial Overview

Bankrate Inc. was able to make various acquisitions over the past four years. In 2005, it acquired Wescoco, LLC (“FastFind”), Mortgage Market Information Services, Inc. and Interest.com, collectively known as MMIS/Interest.com. In 2006, it purchased three websites - the Mortgage-calc.com, the Mortgagecalc.com, and the Mortgagemath.com - from East West Mortgage, Inc. In 2007, it acquired certain properties and liabilities from Savingforcollege.com, LLC (“SFC”), and from Nationwide Card Services, Inc. (“NCS”). In January 2008, the Company established the beta version of the Bankrate China website (Bankrate.com.cn). On February 5, 2008, Bankrate, Inc. was able to acquire certain properties and liabilities of InsureMe, Inc. (“InsureMe”) and Lower Fees, Inc. (“Fee Disclosure”).

As of December 31, 2007, the revenue of the Company from its online publishing segment was $83,695,000 as compared to $43,296,000 in 2006; representing a 31% percent growth rate. Revenue from the printing and licensing segment was $11,897,000 in 2007, which decreased 24%, or $3,782,000, from $15,679,000 in the same period in 2006. The revenue decrease in the printing and licensing segment was principally attributed to the decline in the Deposit and Mortgage Guide revenue associated to lower advertising units in 2007.