FBR Asset Investment Corporation Reports 4Q and Full-Year 1999 Results; Company Declares Special Dividend of $0.25 for Year
ARLINGTON, Va., Jan. 31 /PRNewswire/ -- FBR Asset Investment Corporation (Amex: FB - news) today reported that revenue for the full year ended December 31, 1999 was $23.5 million, compared with $17.9 million in 1998, a 31 percent increase.
FBR Asset Investment Corporation (``FBR Asset') reported net income of $5.1 million or $0.68 per share for the full year 1999, compared with net income of $1.6 million or $0.16 per share, in 1998. In the fourth quarter ended December 31, 1999, FBR Asset reported a net loss of $4.1 million or $0.61 per share, compared to a net loss of $6.4 million or $0.64 per share, in the fourth quarter of 1998.
The Company noted that the reported results for 1999 include $10.9 million in unrealized investment depreciation that had previously reduced FBR Assets' shareholders' equity. Before this depreciation, which was recognized in the fourth quarter, the Company generated net income of $16.0 million or $2.13 per share for the full year, and $6.8 million or $1.00 per share for the fourth quarter.
On December 16, 1999, FBR Asset announced that it would declare a special dividend in January 2000 if per share 1999 taxable income was higher than anticipated due to additional income or share repurchases by the Company. FBR Asset today said that its Board of Directors has approved a special cash dividend of $0.25 per share. The dividend will be paid on February 25, 2000 to holders of record as of February 11, 2000.
William Swanson, Chief Operating Officer of FBR Asset, said, ``We are very pleased with our earnings for the year. The markdown of our securities gives us a book value that is very attractive compared to the underlying asset values of the securities we hold. In 2000, we anticipate outstanding opportunities as liquidity in the real estate sector remains scarce.'
FBR Asset is a Real Estate Investment Trust (REIT) formed in December, 1997, which invests in mortgages, mortgage-backed securities and other real estate-related assets. As of December 31, 1999, the Company had approximately $330 million in total assets, shareholders' equity of $105 million, a book value of $18.00 per share and 5.8 million shares outstanding.
Friedman, Billings, Ramsey Group, Inc. (NYSE: FBR - news) currently has a 25- percent equity ownership interest in FBR Asset and has warrants to potentially own up to 40 percent of the company. The majority of FBR Asset's outstanding shares are owned by individual and institutional investors. |
