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Atrium Mortgage Investment Corporation Comments on COVID-19 Impact
Toronto, Ontario--(Newsfile Corp. - March 20, 2020) - Atrium Mortgage Investment Corporation (...
About this update from Atrium Mortgage Investment Corp.
[{"type":"text","content":"Atrium Mortgage Investment Corporation Comments on COVID-19 ImpactToronto, Ontario--(Newsfile Corp. - March 20, 2020) - Atrium Mortgage Investment Corporation (TSX: AI) (TSX: AI.DB) (TSX: AI.DB.B) (TSX: AI.DB.C) (TSX: AI.DB.D) (TSX: AI.DB.E) (\"Atrium\") issued the following statement today regarding the impact of COVID-19. As you all know too well by now, the COVID-19 virus pandemic has wreaked havoc on the Toronto Stock Exchange over the last two weeks.Atrium has always performed well as a defensive stock in difficult times. On this occasion, and particularly this week, Atrium's share price has been hit very hard. We want to reassure shareholders that the company has changed little since its record results for calendar 2019.While we cannot predict the duration and final outcome of COVID-19, we can advise you of the following: (i) From a portfolio perspective, there has been no material change in Atrium's mortgage portfolio since year-end, and there have been no additional mortgage defaults since we announced our 2019 results.(ii) Atrium's balance sheet remains strong, with a debt to equity ratio of 0.63:1 at December 31, 2019.(iii) The book value per Atrium common share is $10.88, 28% higher than the March 19, 2020 closing price of the common shares on the Toronto Stock Exchange.(iv) The average loan-to-value for Atrium's mortgage portfolio was 59.5% at December 31, 2019, the lowest since Atrium went public in September 2012.(v) Atrium has very little exposure to the two most sensitive commercial real estate sectors - retail and hospitality.(vi) Atrium has only 4 loans, totaling $15.3 million, located in the Prairies, representing approximately 2.0% of the total mortgage portfolio.(vii) Atrium only has approximately 8.0% of its mortgage portfolio in high ratio loans (loans greater than 75%), and we expect that number to reduce during the remainder of 2020.Our management team is the strongest it has been in our 19 history. While ensuring the health and well being of our employees, we are working diligently to ensure that the company is running as smoothly and effectively as possible.There is no present intention to reduce the monthly dividend on Atrium's shares.Thank you for your support in these challenging times and good health to you and your loved ones.About Atrium Canada's Premier Non-Bank Lender™Atrium is a non-ban...