October 07, 2009 08:05 AM Eastern Daylight Time 

E*TRADE Corporate Services Launches New Online Equity Compensation
Management Platform

NEW YORK--(BUSINESS WIRE)--E*TRADE FINANCIAL Corp. (NASDAQ: ETFC) today announced the launch of
Equity Edge Online, the new web-based, integrated, end-to-end equity
compensation management platform from E*TRADE FINANCIAL Corporate
Services. In an ever-changing regulatory environment, Equity Edge Online
provides flexible, accurate and auditable financial reporting, enabling
companies to save time, reduce costs and increase efficiencies in their
employee stock plan solutions¹.

“Equity as a means of employee compensation is gaining popularity as
companies seek to attract and retain top talent. However, issuing stock
grants presents challenges, including how to administer and report this
benefit in an evolving accounting and regulatory environment,” said
James Wulforst, President of E*TRADE FINANCIAL Corporate Services. “Our
extensive experience working with Fortune 500 companies uniquely
positions us to help corporations address these equity compensation
challenges with the fully customizable, integrated solution available
through Equity Edge Online.”

Building on the success of the Equity Edge^® software, the new
online platform supports most equity vehicles – including stock options,
restricted stock awards and units, appreciation rights and employee
stock purchase programs – and is a fully integrated, end-to-end solution
benefiting corporate administrators as well as employees.

Key Features of Equity Edge Online:

• 
  Comprehensive accounting with period close capabilities
  
  
  
  
  • 
    Retrieve identical values to those reported at the time any period
    was closed
    
  
  
  • 
    Capture the impact of out-of-period transactions entered after a
    period is closed
    
  
  
  • 
    Use a restricted mode to prevent data changes while a period is
    being closed
    
  
  
  • 
    Maintain multiple overlapping periods to help meet accounting and
    financial reporting requirements
    
  
  
  
  


• 
  Easy scenario modeling
  
  
  
  
  • 
    Develop test scenarios quickly and easily without the need to tap
    IT resources
    
  
  
  • 
    Test the impact of different plan designs without impacting
    production data
    
  
  
  • 
    Test large events such as restricted stock release before execution
    
  
  
  • 
    Train users in a risk-free environment
    
  
  
  
  


• 
  Advanced reporting
  
  
  
  
  • 
    Customize reporting: adjust, modify or create reports from scratch
    
  
  
  • 
    Run multiple reports simultaneously and in the background while
    doing other work
    
  
  
  • 
    Easily save and share reports across the company
    
  
  
  
  


• 
  Greater efficiency while saving money
  
  
  
  
  • 
    Manage stock plan administration tasks from a single log-on screen
    
  
  
  • 
    Free up compliance, accounting and IT resources with one-click
    audits and no-hassle upgrades
    
  
  
  • 
    Collaborate in real-time with colleagues worldwide, 24 hours a
    day, 7 days a week
    
  
  
  • 
    Save money with powerful tools at no additional expense like full
    period close capabilities and customized reporting
    
  
  
  
  

With more than 25 years experience, E *TRADE FINANCIAL Corporate
Services is the premier provider of equity compensation management tools
and the equity compensation provider for many of the world’s top
companies, including 25 percent of the S&P 500. It is also a key channel
for E*TRADE FINANCIAL’s growth, as Corporate Services clients are a
proven source of mass affluent customers for E*TRADE Securities LLC.

To learn more about E*TRADE FINANCIAL Corporate Services or Equity Edge
Online, or to inquire about pricing, please visit: www.etrade.com/corporateservices.

^1. E*TRADE Corporate Services and its affiliates do not
provide legal, accounting or tax advice. Consult your own advisors for
legal, accounting or tax advice.

About E*TRADE FINANCIAL

The E*TRADE FINANCIAL family of companies provides financial services
including online brokerage and related banking products and services to
retail investors. Specific business segments include Trading and
Investing and Balance Sheet Management. Securities products and services
are offered by E*TRADE Securities LLC (Member FINRA/SIPC). Bank products
and services are offered by E*TRADE Bank, a Federal savings bank, Member
FDIC, or its subsidiaries. Employee stock plan solutions are offered by
E*TRADE FINANCIAL Corporate Services, Inc.

Important Notices

E*TRADE FINANCIAL, E*TRADE and the E*TRADE logo are trademarks or
registered trademarks of E*TRADE FINANCIAL Corporation.

The statements contained in this news release that are forward looking
are based on current expectations that are subject to a number of
uncertainties and risks, and actual results may differ materially. The
uncertainties and risks include, but are not limited to, potential
negative regulatory consequences resulting from actions by the Office of
Thrift Supervision or other regulators and related matters. Additional
uncertainties and risks affecting the business, financial condition,
results of operations and prospects of the Company include, but are not
limited to, potential changes in market activity, anticipated changes in
the rate of new customer acquisition, the conversion of new visitors to
the site to customers, the activity of customers and assets held at the
institution, seasonality, macro trends of the economy in general and the
residential real estate market, instability in the consumer credit
markets and credit trends, rising mortgage interest rates, tighter
mortgage lending guidelines across the industry, increased mortgage loan
delinquency and default rates, portfolio growth, portfolio seasoning and
resolution through collections, sales or charge-offs, the development
and enhancement of products and services, competitive pressures
(including price competition), system failures, economic and political
conditions, including changes to the U.S. Treasury’s Troubled Asset
Relief Program, changes in consumer behavior and the introduction of
competing products having technological and/or other advantages. Further
information about these risks and uncertainties can be found in the
“Risk Factors” section of the Company’s prospectus supplement dated
September 14, 2009, and in the information included or incorporated in
the annual, quarterly and current reports on Form 10-K, Form 10-Q and
Form 8-K previously filed by E*TRADE FINANCIAL Corporation with the SEC
(including information under the caption “Risk Factors”). Any
forward-looking statement included in this release speaks only as of the
date of this communication; the Company disclaims any obligation to
update any information.

© 2009 E*TRADE FINANCIAL Corporation. All rights reserved.