Business
Augen to Restate 2006 Interim Period Results
Augen to Restate 2006 Interim Period Results.
About this update from Gensource Potash Corp.
[{"type":"text","content":"\n\n\n\nShares outstanding: 35,915,615\n\n\nTORONTO, March 2 /CNW/ - Augen Capital Corp. (the "Company") (TSX-V: AUG)\nannounces that it will be restating its consolidated quarterly financial\nresults for the first three quarters of 2006. The restatement will reflect a\nchange in timing of the recognition of a performance fee and has no impact on\nthe cash flow of the Company.\n\n\nDuring the first quarter of 2006, the Company recognized $0.7 million in\nperformance fees, net of income taxes, in connection with the performance of\nAugen Limited Partnership 2005 ("LP 2005"). The performance fee, net of income\ntaxes, was adjusted to $0.5 million in the Q2 2006 results, and further\nadjusted to $0.4 million in the Q3 2006 results.\n\n\nIn connection with the Company's year end audit procedures, it has been\ndetermined that, in accordance with GAAP, the performance fee revenue should\nbe recognized in the fourth quarter. Accordingly, the restated Q1 revenue is\n$0.8 million versus $1.9 million reported, resulting in earnings per share of\n$0.02 versus $0.04 reported; the restated Q2 revenue is $2.4 million versus\n$3.2 million reported, resulting in earnings per share of $0.02 versus $0.04\nreported; and the restated Q3 revenue is $3.2 million versus $3.9 million\nreported, resulting in earnings per share of $0.03 versus $0.04 reported.\n\n\nThe Company expects Q4 revenue to include a performance fee, net of\nincome taxes, of $0.5 million in respect of LP 2005, in addition to strong\nrevenue from structured products and merchant banking operations. The Company\nexpects the 2006 annual results to be the best in its history.\n\n\nThe restatement will be made in the Company's annual management's\ndiscussion and analysis for the year ended December 31, 2006. There are no\nanticipated delays in the filing of the Company's audited annual consolidated\nfinancial statements, expected to occur in April.\n\n\nAbout Augen Capital\n\n\nBased in Toronto, Augen Capital is a merchant bank specializing in the\nfinancing of, and investment in, early stage resource companies and is an\nindustry leader in tax-advantaged flow-through investments in Canada's\nresource sectors. Augen has raised over $40 million in flow-through limited\npartnership assets in the last four years. The Company now has under\nmanagement a core portfolio o...