Firm Capital Mortgage Investment Trust announces second quarter 2006 results

About this update from Firm Capital Mortgage Investment Corporation

[{"type":"text","content":"\n\n\n\n\nTSX Symbol FC.UN\n\nTORONTO, Aug. 3 /CNW/ - Firm Capital Mortgage Investment Trust (the\n\"Trust\") (TSX FC.UN), released today its financial statements for the second\nquarter ended June 30, 2006.\nNet earnings for the second quarter ended June 30, 2006 increased to\n$3,016,507 from $2,549,995 for the same period last year. Basic weighted\naverage earnings per unit for the second quarter amounted to $0.240 versus\n$0.245 last year. Net earnings for the six month period ended June 30, 2006\nincreased to $6,010,975 from $4,947,840 for the same period last year. Basic\nweighted average earnings per unit for the six month period ended June 30,\n2006 increased to $0.478 versus $0.475 last year. Net earnings represented an\nannualized return on weighted average Unitholders' equity of 10.09% per annum.\nThis return on Unitholders' equity equates to 596 basis points per annum over\nthe average One Year Government of Canada Treasury Bill yield for the first\nsix months of 2006, and is well in excess of the Trust's target yield\nobjective of 400 basis points per annum over the One Year Treasury Bill yield.\nAs at June 30, 2006, the Trust's mortgage portfolio increased to\n$191,470,952 as compared to $164,981,562 as at December 31, 2005. The\nportfolio continued to be heavily concentrated in first mortgages.\nThe Trust has in place a Distribution Reinvestment Plan (DRIP) and Unit\nPurchase Plan that is available to its Unitholders. The plans allow\nparticipants to have their monthly cash distributions reinvested in additional\nTrust units and grants participants the right to purchase additional units.\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.\nAdditional informatio...

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