That announcement followed a state the day before that the chain has funding for 100 percent of its assisted transfers through the Santa Barbara Tax Products Group.  Jackson Hewitt still faces the requirement from its lenders that it get funding for all RALs for the next tax season. The coverage is not defined by the volume of money to be loaned, but by the states in which Republic is willing to provide funding. However, this year, Jackson Hewitt has the right to designate offices, subject to approval by the bank, "thereby allowing Jackson Hewitt to more optimally select offices to offer financial products," according to a prepared company statement.

 

Meanwhile, the company reported its loss for the second quarter ended October 31 was virtually unchanged. Like many companies that derive most of their business from tax preparation software and services, Jackson Hewitt loses money after tax season. In this case, the loss of $19.4 million was virtually unchanged from a year ago. Revenue fell to $3.5 million, down 16 percent from just over $4 million in last year's corresponding period. A major factor was a drop in service revenue for company-owned stores.