Capital One reported its risk-adjusted margin reached an all time record of 17.03%, up from the previous record of 16.57% set last quarter. Cap One says second quarter earnings hit $112.5 million compared to $87.5 million for 1Q/99. During the second quarter, Capital One added 1.8 million net new accounts, bringing total accounts to 27.1 million. For the quarter, Cap One’s managed consumer loan balances increased by $1.6 billion to $21.9 billion. Internet, online account originations and online account servicing increased to 410,000 and 640,000, respectively, as of the end of the second quarter. The managed net charge-off rate remained under four percent for the sixth straight quarter and was 3.97% for the three months ending June 30. The strong account and managed loan growth during the quarter was driven by an increase in marketing expense to a record $212 million compared to $202 million in the first quarter of 2000 and $178 million in the comparable period of the prior year. For complete details on Capital One’s 2Q/00 performance visit CardData ([www.carddata.com]).