West Street Capital Corporation
TSX VENTURE : WSC
TSX VENTURE : WSC.PR.A

West Street Capital Corporation

May 28, 2012 16:50 ET

West Street Announces First Quarter Results

TORONTO, ONTARIO--(Marketwire - May 28, 2012) - West Street Capital Corporation (TSX VENTURE:WSC)(TSX VENTURE:WSC.PR.A) ("West Street" or the "company") reported net income for the quarter ended March 31, 2012 of $1.5 million compared to $0.6 million in the comparative quarter in 2011. After providing for unpaid preferred share dividend obligations of $0.7 million (2011 - $0.7 million) that accumulated during the quarter, net income per common share was $0.07 for the three months ended March 31, 2012 compared to a net loss of $0.01 per common share in 2011.

STATEMENTS OF OPERATIONS
Three months ended March 31
(Thousands, except per share amounts) 2012 2011
Investment income $ 731 $ 821
Operating and legal expenses (23 ) (18 )
708 803
Foreign currency revaluation (40 ) (12 )
Investment losses - (236 )
Net income before taxes 668 555
Current tax recovery (expense) 3 (337 )
Deferred tax recovery 805 405
Net income $ 1,476 $ 623
Net income per share $ 0.07 $ (0.01 )

Comprehensive income, which includes both net income and other comprehensive income, for the three months ended March 31, 2012 totalled $7.1 million compared to $3.1 million in the comparative period in 2011, which reduced the common share deficit to $31.1 million. The company recorded an unrealized gain of $5.6 million (2011 - $2.5 million) in other comprehensive income during the quarter as a result of increases in the fair value of the securities portfolio.

STATEMENTS OF FINANCIAL POSITION
(Unaudited)
March 31,
December 31,
(Thousands) 2012 2011
Assets
Cash and cash equivalents $ 5,748 $ 5,078
Securities 64,143 57,922
Interest receivable and other 764 617
$ 70,655 $ 63,617
Liabilities
Accounts payable and other provisions 20 101
Equity 70,635 63,516
$ 70,655 $ 63,617
March 31, December 31,
(Thousands, except per share amount) 2012 2011
Equity $ 70,635 $ 63,516
Less: amounts attributable to preferred shares
Stated value (42,160 ) (42,160 )
Unpaid dividends1 (59,603 ) (58,869 )
Common share deficit2 $ (31,128 ) $ (37,513 )
Per common share $ (2.85 ) $ (3.43 )
1 Represents dividends in arrears on preferred shares that are unaccrued for IFRS purposes
2 The above table presents the significant common share deficit resulting from the net book value of the company being attributed to the preferred shares

Contact Information

  • West Street Capital Corporation
    Sachin G. Shah
    President
    (416) 359-8625