Alliance Data Provides Private Label Performance Update for October 2012

   Alliance Data Provides Private Label Performance Update for October 2012

PR Newswire

DALLAS, Nov. 15, 2012

DALLAS, Nov. 15, 2012 /PRNewswire/ --Alliance Data Systems Corporation (NYSE:
ADS), a leading provider of data-driven and transaction-based marketing and
customer loyalty solutions, today provided an update on its Private Label


In conjunction with the release of the Company's Master Trust Monthly
Noteholder's Statement, the Company is releasing similar metrics for the
overall total managed portfolio. The Master Trust data represents a subset of
the Company's total managed portfolio, and the Company believes the
information presented below provides a more complete view of the Private Label

                                                  For the          Ten months

                                                  month ended     ended
                                                  October 31,      October 31,
                                                  2012            2012
                                                  (dollars in thousands)
Average receivables                               $     6,520,887  $ 5,725,219
Year over year change in average receivables            31%          17%
Net charge-offs                                   $     25,683     $ 228,583
Net charge-offs as a percentage of average              4.7%         4.8%
Pro forma net charge-offs as a percentage of
average                                                 5.1%         4.9%

                                                  As of            As of
                                                  October 31,      October 31,
                                                  2012             2011
                                                  (dollars in thousands)
30 days + delinquencies - principal               $     269,096    $ 234,967
Period ended receivables -                        $     6,356,461  $ 4,847,604
Delinquency rate                                        4.2%         4.8%
^(1) The net charge-off rate was 6.3% and 7.0% for the month and ten months
ended October 31, 2011, respectively.
^(2) The Company acquired the credit card receivables of Bon Ton, Inc. and
Talbots, Inc. on July 24, 2012 and

 August 3,2012 respectively. Included in the pro forma net charge-off
rate are those losses associated with the

 purchasedcredit card receivables. Under generally accepted accounting
principles, such losses are reflected in

 the fair valueof the purchased credit card receivables and not reported
as net charge-offs. The Company

 believes that it ismeaningful to investors to see the net charge-off
rate that includes losses on these acquired

 credit card receivablesas it is more indicative of a normalized loss

About Alliance Data

Alliance Data® (NYSE:ADS) and its combined businesses is North America's
largest and most comprehensive provider of transaction-based, data-driven
marketing and loyalty solutions serving large, consumer-based industries. The
Company creates and deploys customized solutions, enhancing the critical
customer marketing experience; the result is measurably changing consumer
behavior while driving business growth and profitability for some of today's
most recognizable brands. Alliance Data helps its clients create and increase
customer loyalty through solutions that engage millions of customers each day
across multiple touch points using traditional, digital, mobile and other
emerging technologies. Headquartered in Dallas, Alliance Data employs nearly
9,000 associates at more than 50 locations worldwide.

Alliance Data is a leading provider of marketing-driven credit solutions, and
is the parent company of Epsilon®, a leading provider of multi-channel,
data-driven technologies and marketing services, and LoyaltyOne®, which owns
and operates the AIR MILES® Reward Program, Canada's premier coalition loyalty
program. For more information about the company, visit our web site,, or you can follow us on Twitter at

Alliance Data's Safe Harbor Statement/Forward Looking Statements

This release may contain forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Such statements may use words
such as "anticipate," "believe," "estimate," "expect," "intend," "predict,"
"project" and similar expressions as they relate to us or our management. When
we make forward-looking statements, we are basing them on our management's
beliefs and assumptions, using information currently available to us. Although
we believe that the expectations reflected in the forward-looking statements
are reasonable, these forward-looking statements are subject to risks,
uncertainties and assumptions, including those discussed in our filings with
the Securities and Exchange Commission.

If one or more of these or other risks or uncertainties materialize, or if our
underlying assumptions prove to be incorrect, actual results may vary
materially from what we projected. Any forward-looking statements contained in
this presentation reflect our current views with respect to future events and
are subject to these and other risks, uncertainties and assumptions relating
to our operations, results of operations, growth strategy and liquidity. We
have no intention, and disclaim any obligation, to update or revise any
forward-looking statements, whether as a result of new information, future
results or otherwise, except as required by law.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of
1995: Statements in this presentation regarding Alliance Data Systems
Corporation's business which are not historical facts are "forward-looking
statements" that involve risks and uncertainties. For a discussion of such
risks and uncertainties, which could cause actual results to differ from those
contained in the forward-looking statements, see "Risk Factors" in the
Company's Annual Report on Form 10-K for the most recently ended fiscal year.
Risk factors may be updated in Item 1A in each of the Company's Quarterly
Reports on Form 10-Q for each quarterly period subsequent to the Company's
most recent Form 10-K.

SOURCE Alliance Data Systems Corporation

Contact: Alliance Data, Julie Prozeller, Investors/Analysts, FTI Consulting,
+1-212-850-5721,; Shelley Whiddon, Media,
Alliance Data, +1-214-494-3811,
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