Financial 15 Split Corp. II
TSX : FFN
TSX : FFN.PR.A

Financial 15 Split Corp. II

July 27, 2005 12:12 ET

Financial 15 Split Corp. II: Financial Results to May 31, 2005

TORONTO, ONTARIO--(CCNMatthews - July 27, 2005) - Financial 15 Split Corp. II ("Financial 15 II") (TSX:FFN)(TSX:FFN.PR.A) announces its semi-annual financial results for the six months ending to May 31, 2005.

During the six months, Financial 15 II achieved its targeted distribution objectives for both the Preferred and Class A shares. In addition, the net asset value per unit (one Preferred Share and one Class A Share) increased by $0.81 to $23.87 (after all distributions paid) as at May 31, 2005.

The fund's investment objectives are:

Preferred Shares:

i. to provide holders of the Preferred Shares with fixed, cumulative preferential monthly cash dividends in the amount of $0.04375 per Preferred Share to yield 5.25% per annum on the original issue price; and

ii. on or about December 1, 2009 (termination date), to pay the holders of the Preferred Shares the
original issue price of those shares.

Class A Shares:

i. to provide holders of the Class A Shares with regular monthly cash dividends initially targeted to be $0.10 per Class A Share to yield 8.0% per annum on the original issue price; and

ii. on or about December 1, 2009 (termination date), to pay the holders of Class A Shares at least the original issue price of those shares.

Financial 15 II invests in a high quality portfolio consisting of 15 financial services companies made up of Canadian and U.S. issuers as follows: Bank of Montreal, The Bank of Nova Scotia, CIBC, Royal Bank, Toronto-Dominion Bank, National Bank of Canada, ManuLife Financial, Sun Life Financial, Great-West Lifeco, CI Fund Management, Bank of America, Citigroup, JP Morgan & Chase, Merrill Lynch, Wells Fargo. Shares held within the Portfolio are expected to range between 4-8% in weight but may vary from time to time. A limited covered
call writing program is also employed to provide supplementary income to the portfolio.



Selected Financial Information from the Semi-Annual Statement of
Financial Operations:

For the six months ending May 31 ($ Millions)

2005

Income 2.277

Expenses (0.958)
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Net investment income 1.319

Realized option premiums and gain on sale of investments 1.122

Change in unrealized appreciation of investments 8.739
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Increase (decrease) in net assets from operations
before distributions 11.180



Contact Information

  • Financial 15 Split Corp. II
    Investor Relations
    (416) 304-4443 or 1 (877) 478-2372