Trimin Capital Corp.

Trimin Capital Corp.

March 31, 2006 17:00 ET

Trimin Capital Corp: 2005 Annual Financial Results

TORONTO, ONTARIO--(CCNMatthews - March 31, 2006) - Trimin Capital Corp. ("Trimin") (TSX:TMN) announces its financial results for the quarter ended December 31, 2005.

Financial Highlights

Three Months ended Twelve months ended
December 31 December 31
($000's except
per share data) 2005 2004 2005 2004
(restated) (restated)
Income (loss) from
continuing operations (4,441) (951) (5,733) (824)
Net income (loss) including
discontinued operations 10,381 (1,758) 7,536 (7,237)
Earnings (loss) per share
Basic - continuing
operations (0.28) (0.06) (0.36) (0.05)
Basic - including
discontinued operations 0.64 (0.10) 0.47 (0.45)
Diluted - continuing
operations (0.28) (0.06) (0.36) (0.05)
Diluted - including
discontinued operations 0.64 (0.10) 0.47 (0.45)

Trimin's book value per share increased from $2.83 at December 31, 2004 to $3.30 at December 31, 2005, a 17% increase. Trimin's net income for the year amounted to $7.5 million compared with a net loss in 2004 of $7.2 million. Two significant transactions took place in 2005 which have been previously reported.

During the second quarter of 2005 Trimin decided to discontinue HPG's operations and sell its tangible assets. The sale of its tangible assets to Trimaster HPG Manufacturing Inc., an arms length purchaser, was completed on July 15, 2005. Operating losses of HPG have had a material negative impact on Trimin over the past three years.

Vantis was sold on October 26, 2005 to TravelCLICK, an arms length purchaser, for cash consideration of $14.4 million. Trimin also received 1,759,177 convertible preferred and 3,800,692 common shares of TravelCLICK representing a 12% equity interest on a fully diluted basis. A before tax profit of $16 million was realized on the sale. Capital and operating losses for tax purposes are available to fully offset these gains.

Trimin's cash resources have increased materially during the year as a result of the Vantis sale. Unrestricted cash and short term investments amounted to $29 million at December 31, 2005 compared to $9.2 million at December 31, 2004.

Highlights for the fourth quarter of 2005

In addition to the completion of the Vantis transaction described above, Trimin wrote down its investments in Burntsand and IPC to the indicated year-end market value. The write downs amounted to $1.7 million and $1.4 million respectively.

Subsequent to the year-end, on February 21, 2006 Trimin settled the 2002 claim outstanding against the Company for $1,000,000. Trimin's portion of this loss, approximately $800,000, has been provided for in the accounts in the fourth quarter of 2005.

About Trimin Capital Corp.

Trimin Capital Corp. is a management company. Trimin's strategy is to acquire equity interests in operating businesses its "Partners in Industry" - and build value for its shareholders through a combination of the established skills of its corporate management and the strong operating management teams of its acquired businesses.

Contact Information

  • Trimin Capital Corp.
    Jim Meekison
    President & CEO
    (416) 963-8880
    (416) 963-8788 (FAX)
    Trimin Capital Corp.
    Avis Maher
    (416) 963-8880
    (416) 963-8788 (FAX)