TORONTO, ONTARIO--(Marketwire - Aug. 28, 2012) - West Street Capital Corporation ("West Street" or the "company") (TSX:WSC)(TSX:WSC.PR.A) reported net income for the quarter ended June 30, 2012 of $1.4 million consistent with $1.4 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 $0.06 for the period ended June 30, 2012 (2011 - $0.06).
STATEMENTS OF OPERATIONS
| Three months ended June 30 |
Six months ended June 30 |
|||||||||||
| (Thousands, except per share amounts) | 2012 | 2011 | 2012 | 2011 | ||||||||
| Investment income | $ | 735 | $ | 769 | $ | 1,466 | $ | 1,591 | ||||
| Operating expenses | (45 | ) | (52 | ) | (68 | ) | (70 | ) | ||||
| 690 | 717 | 1,398 | 1,521 | |||||||||
| Foreign currency revaluation | (158 | ) | 49 | (198 | ) | 36 | ||||||
| Investment gains | − | 439 | − | 203 | ||||||||
| Net income before taxes | 532 | 1,205 | 1,200 | 1,760 | ||||||||
| Current tax recovery (expense) | 8 | (173 | ) | 11 | (510 | ) | ||||||
| Deferred tax recovery | 834 | 353 | 1,639 | 758 | ||||||||
| Net income | $ | 1,374 | $ | 1,385 | $ | 2,850 | $ | 2,008 | ||||
| Net income per share | $ | 0.06 | $ | 0.06 | $ | 0.13 | $ | 0.05 | ||||
Comprehensive income, which includes both net income and other comprehensive income, for the quarter ended June 30, 2012 totalled $6.5 million compared to $3.7 million in the comparative period in 2011, which reduced the common share deficit to $25.3 million. The company recorded an unrealized gain of $5.2 million (2011 - $2.3 million) as a result of increases in the fair value of the securities portfolio which is recorded in other comprehensive income.
STATEMENTS OF FINANCIAL POSITION
| (Unaudited) June 30, |
December 31, | ||||
| (Thousands) | 2012 | 2011 | |||
| Assets | |||||
| Cash and equivalents | $ 6,612 | $ 5,078 | |||
| Securities | 70,633 | 57,922 | |||
| Interest receivable and other | 617 | 617 | |||
| $ 77,862 | $ 63,617 | ||||
| Liabilities | |||||
| Accounts payable and other liabilities | 698 | 101 | |||
| Equity | 77,164 | 63,516 | |||
| $ 77,862 | $ 63,617 | ||||
| June 30, | December 31, | ||||
| (Thousands, except per share amount) | 2012 | 2011 | |||
| Equity | $ 77,164 | $ 63,516 | |||
| Less: amounts attributable to preferred shares | |||||
| Stated value | (42,160 | ) | (42,160 | ) | |
| Unpaid dividends(1) | (60,337 | ) | (58,869 | ) | |
| Common share deficit(2) | $ (25,333 | ) | $ (37,513 | ) | |
| Per common share | $ (2.32 | ) | $ (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:
Sachin G. Shah
President
(416) 359-8625