Firm Capital Mortgage Investment Trust announces first quarter 2008 results

About this update from Firm Capital Mortgage Investment Corporation

[{"type":"text","content":"\n\n\n\nTSX Symbol FC.UN\n\n\nTORONTO, April 30 /CNW/ - Firm Capital Mortgage Investment Trust (the\n"Trust") (TSX FC.UN), released today its financial statements for the first\nquarter ended March 31, 2008.\n\n\nNet earnings for the first quarter ended March 31, 2008 increased to\n$3,574,288 from $3,358,608 for the same period last year. Basic weighted\naverage earnings per unit for the first quarter amounted to $0.283 versus\n$0.267 last year. For the three month period ended March 31, 2008, net\nearnings exceeded distributions by $615,004, representing $0.048 per unit. The\nTrust distributes the balance of its net earnings, less distributions made up\nto November 30 of that year, to Unitholders of record as at December 31. Net\nearnings for the three month period ended March 31, 2008 represented an\nannualized return on average Unitholders' equity of 11.87% per annum. This\nreturn on Unitholders' equity equates to 875 basis points per annum over the\naverage One Year Government of Canada Treasury Bill yield for the related\nperiod, 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, 2008, the Trust's mortgage portfolio, net of fair value\nadjustment, stood at $230,117,058 as compared to $233,731,967 as at\nDecember 31, 2007. The portfolio continues to be heavily concentrated in first\nmortgages based in Ontario. Although the portfolio balance as at\nMarch 31, 2008 was slightly lower than as at December 31, 2007, the average\ndaily portfolio balance during the first quarter of 2008 of $237 million was\n3.5% higher than the average daily portfolio balance during the fourth quarter\nof 2007 of $227 million.\n\n\nIn light of the continuing publicity related to the securitization market\nand the sub-prime mortgage industry, the Trust feels it is important to\nclarify that the Trust is not involved in the sub-prime mortgage investment\nmarketplace and has no exposure to the securitization market. The Trust's\ninvestments are comprised of mortgages registered on properties primarily for\nthe short-term bridge financing and interim financing purposes, secured on\nresidential, development and investment properties. Residential single family\nowner occupied housing mortgage investments have loan to values not exceeding\n75%, and...

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