Firm Capital Mortgage Investment Trust announces first quarter 2007 results

About this update from Firm Capital Mortgage Investment Corporation

[{"type":"text","content":"\n\n\n\nTSX Symbol FC.UN\n\n\nTORONTO, May 3 /CNW/ - Firm Capital Mortgage Investment Trust (the\n"Trust") (TSX FC.UN), released today its financial statements for the first\nquarter ended March 31, 2007.\n\n\nNet earnings for the first quarter ended March 31, 2007 increased to\n$3,358,608 from $2,994,467 for the same period last year. Basic net earnings\nper unit based on the weighted average number of units outstanding during the\nfirst quarter totaled $0.27 versus $0.24 last year. Net earnings represented\nan annualized return on weighted average Unitholders' equity of 11.22% per\nannum. This return on Unitholders' equity equates to 704 basis points per\nannum over the average One Year Government of Canada Treasury Bill yield for\nthe quarter and is well in excess of the Trust's target yield objective of 400\nbasis points per annum over the One Year Treasury Bill yield.\n\n\nAs at March 31, 2007, the Trust's mortgage portfolio decreased slightly\nto $200,049,897 as compared to $208,102,557 as at December 31, 2006. The\nportfolio continued to be heavily concentrated in first mortgages. As at\nDecember 31, 2006, the average portfolio face interest rate was 9.53%.\nManagement continues to reduce risk by syndicating investments to ensure that\nthe Trust is not significantly exposed to any single mortgage investment.\n\n\nThe Trust, through its Mortgage Banker, Firm Capital Corporation, is a\nnon-bank lender providing residential and commercial short-term bridge and\nconventional real estate finance, including construction, mezzanine and equity\ninvestments. The Trust's investment objective is the preservation of\nUnitholders' equity, while providing Unitholders with a stable stream of\nmonthly distributions from investments. The Trust achieves its investment\nobjectives by pursuing a strategy of growth through investments in selected\nniche markets that are under-serviced by large lending institutions. Lending\nactivities to date continue to develop a diversified mortgage portfolio,\nproducing a stable return to Unitholders.\n\n\nAdditional information about the Trust, including the Management's\nDiscussion and Analysis relating to the financial statements, will be\navailable on the SEDAR website at www.sedar.com.\n\n\n NOTICE UNDER NATIONAL INSTRUMENT 51-102\n\n\nNational Instrument 51-102: Continuous Disclosure Requir...

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