SLM Corporation announced consolidated unaudited financial results for the fourth quarter and year ended December 30, 2012. For the quarter, the company reported total interest income of $1,426 million against $1,502 million a year ago. Net interest income was $832 million against $879 million a year ago. Income from continuing operations before income tax expense was $504 million against $795 million a year ago. Net income from continuing operations was $348 million or $0.74 per diluted share against $510 million $0.99 per diluted share a year ago. Net income attributable to common stock holders was $343 million $0.74 per diluted share against $506 million $0.74 per diluted share a year ago. The decrease in net income was primarily due to a $300 million decrease in net gains on derivative and hedging activities, a $47 million decline in net interest income and a $22 million increase in provisions for loan losses, which were partially offset by a $43 million increase in gains on debt repurchases and a $35 million decrease in losses on loans and investments, net. Core earnings for the quarter were $257 million ($0.55 diluted earnings per share), compared with $268 million ($0.51 diluted earnings per share) for the year-ago quarter.

For the year, the company reported total interest income of $5,769 million against $5,930 million a year ago. Net interest income was $3,208 million against $3,529 million a year ago. Income from continuing operations before income tax expense was $1,433 million against $927 million a year ago. Net income from continuing operations was $936 million or $1.90 per diluted share against $337 million $1.12 per diluted share a year ago. Net income attributable to common stock holders was $919 million $1.90 per diluted share against $615 million $1.18 per diluted share a year ago. The increase in net income was primarily due to a $331 million decrease in net losses on derivative and hedging activities, a $215 million decrease in provisions for loan losses, a $104 million decrease in operating expenses and a $107 million increase in gains on debt repurchases, which more than offset the $321 million decline in net interest income. Core earnings for the year were $1.06 billion ($2.16 per diluted earnings per share), compared with $977 million ($1.83 per diluted earnings per share) for 2011.

The company expects 2013 results to be at private education loan originations of at least $4 billion. Fully diluted 2013 core earnings per share of $2.30.