Diversified Canadian Financial II Corp.
TSX : DCC.PR.A

Diversified Canadian Financial II Corp.

August 11, 2006 16:45 ET

Diversified Canadian Financial II Corp. Announces Results for the First Quarter

TORONTO, ONTARIO--(CCNMatthews - Aug. 11, 2006) - Diversified Canadian Financial II Corp. (TSX:DCC.PR.A) today announced that income available for distribution for the quarter ended June 30, 2006 was $5.3 million, an increase from $4.9 million last year due to an overall higher yield received on the investment portfolio. During the quarter ended June 30, 2006, the company paid dividends of $3.1 million and $2.0 million to its Senior Preferred and Capital shareholders, respectively.

On August 10, 2006, the company's Board of Directors declared the regular quarterly dividend of $0.38125 per Senior Preferred share, payable September 30, 2006 to shareholders of record on September 20, 2006.

Diversified Canadian Financial II Corp. owns a portfolio of preferred shares issued by companies within the Brookfield Asset Management group.



STATEMENT OF INCOME
------------------------------------------------------------------------
Three months ended
(unaudited) June 30
-------------------------
$ thousands 2006 2005
------------------------------------------------------------------------

Revenue
Investment $ 5,370 $ 4,754
Gain on disposition -- 200
------------------------------------------------------------------------
5,370 4,954
Expenses
Operating 38 47
------------------------------------------------------------------------

Income available for distribution $ 5,332 $ 4,907
------------------------------------------------------------------------
------------------------------------------------------------------------

BALANCE SHEET
------------------------------------------------------------------------
($ thousands) June 30, 2006 March 31, 2006
------------------------------------------------------------------------
Assets
Cash and cash equivalents $ 404 $ 123
Investment portfolio 334,775 334,775
------------------------------------------------------------------------
$ 335,179 $ 334,898
------------------------------------------------------------------------
------------------------------------------------------------------------
Liabilities
Accounts payable $ 1 $ 2
Class A shares 1 1
Senior Preferred shares 200,000 200,000

Shareholders' Equity
Share capital 140,960 140,960
Deficit (5,783) (6,065)
------------------------------------------------------------------------
$ 335,179 $ 334,898
------------------------------------------------------------------------
------------------------------------------------------------------------


Bruce K. Robertson, President and Chief Executive Officer, will be available at 416-363-9491 to answer any questions on the company's financial results.

This news release contains forward-looking statements concerning the company's business and operations. The company cautions that, by their nature, forward-looking statements involve risk and uncertainty and the company's actual results could differ materially from those expressed or implied in such statements. Reference should be made to the most recent Annual Information Form for a description of the major risk factors.

Contact Information

  • Diversified Canadian Financial II Corp.
    Bruce K. Robertson
    President and Chief Executive Officer
    (416) 363-9491