TORONTO, ONTARIO--(Marketwire - Nov. 26, 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 September 30, 2012 of $1.6 million compared to a net loss of $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 $0.08 (2011 - loss of $0.13).
| STATEMENTS OF OPERATIONS | ||||||||||||
| Three months ended September 30 |
Nine months ended September 30 |
|||||||||||
| (Thousands, except per share amounts) | 2012 | 2011 | 2012 | 2011 | ||||||||
| Investment income | $ | 737 | $ | 729 | $ | 2,203 | $ | 2,320 | ||||
| Operating expenses | (33 | ) | (23 | ) | (101 | ) | (93 | ) | ||||
| 704 | 706 | 2,102 | 2,227 | |||||||||
| Foreign currency revaluation | 25 | 255 | (173 | ) | 291 | |||||||
| Investment gains | - | - | - | 203 | ||||||||
| Net income before taxes | 729 | 961 | 1,929 | 2,721 | ||||||||
| Current tax recovery (expense) | 154 | 118 | 165 | (392 | ) | |||||||
| Deferred tax recovery (expense) | 717 | (1,716 | ) | 2,356 | (958 | ) | ||||||
| Net income (loss) | $ | 1,600 | $ | (637 | ) | $ | 4,450 | $ | 1,371 | |||
| Net income (loss) per share | $ | 0.08 | $ | (0.13 | ) | $ | 0.21 | $ | 0.12 | |||
Comprehensive income, which includes both net income and other comprehensive income, for the three months ended September 30, 2012 totalled $5.6 million compared to a loss of $14.4 million in the comparative period in 2011, which reduced the common share deficit to $20.5 million. The company recorded an unrealized gain of $4.0 million (2011 - loss of $13.8 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) September 30, |
December 31, | |||||||
| (Thousands) | 2012 | 2011 | ||||||
| Assets | ||||||||
| Cash and equivalents | $ | 7,113 | $ | 5,078 | ||||
| Securities | 74,485 | 57,922 | ||||||
| Interest receivable and other | 1,181 | 617 | ||||||
| $ | 82,779 | $ | 63,617 | |||||
| Liabilities | ||||||||
| Accounts payable and other liabilities | 27 | 101 | ||||||
| Equity | 82,752 | 63,516 | ||||||
| $ | 82,779 | $ | 63,617 | |||||
| September 30, | December 31, | |||||||
| (Thousands, except per share amount) | 2012 | 2011 | ||||||
| Equity | $ | 82,752 | $ | 63,516 | ||||
| Less: amounts attributable to preferred shares | ||||||||
| Stated value | (42,160 | ) | (42,160 | ) | ||||
| Unpaid dividends1 | (61,071 | ) | (58,869 | ) | ||||
| Common share deficit2 | $ | (20,479 | ) | $ | (37,513 | ) | ||
| Per common share | $ | (1.87 | ) | $ | (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