A Word From Our Chairman

Since its inception in 1996, Alliance Data has been committed to supporting community-building activities in the neighborhoods in which we operate. Our focus goes beyond simply conducting business and striving to be an Employer of Choice. For us, being part of the community is also a matter of responsibility. With more than 6,500 associates in over 20 locations, we are all deeply committed to making our communities better places to live and work.

The associates of Alliance Data are guided and inspired by a set of seven clearly stated corporate values. These values drive everything we do. One of these values involves active participation in our communities. We believe in giving back to the communities from which we draw strength and sustenance. We understand that stronger, healthier and more vibrant communities provide better environments for us to conduct business.

As a public company, in order to successfully achieve our business vision, we must have a strategic and consistent community vision. Our community vision involves being a "Neighbor of Choice" which inevitably supports being an Employer of Choice. Developing, implementing and institutionalizing a corporate-wide community investment strategy that builds and sustains relationships of trust with our communities are the main focus of our Neighbor of Choice Program.

We believe that our community relations initiatives must reflect the dynamics of our company. Our company is quickly evolving—we are growing and expanding our presence in numerous communities. Because of this, our community relations activities must be strategic and consistent in order to make a positive impact for both our business and the community. As such, Alliance Data associates are encouraged to participate in community relations activities centered around three distinct areas of community service: Education, Health & Welfare and Civic Enrichment. In supporting these efforts, our associates have a stronger sense of belonging to both the company and the community.

Partnering with our communities is a tradition at Alliance Data and an important business practice. Associates are encouraged to give their time, talent and resources to demonstrate leadership and commitment in our communities. Our philosophy is to invest in our communities and encourage them to invest in themselves.

Through our community involvement, we will contribute to the quality of life in the communities in which we all live and work. This involvement is essential if we are to continue to enjoy the benefits and advantages our communities currently offer.

Sincerely,

Mike Parks
Chairman and CEO