EXHIBIT 99.1
Waco, Texas February 16, 2005...
Highlights of the Quarter: |
• | FirstCity reports 4th quarter 2004 earnings of $52.6 million, or $4.41 per diluted share.Total year 2004 earnings were $63.6 million or $5.37 per diluted share. | |||
• | Sale of Drive results in $53.3 million gain- On November 1, 2004 the Company completed the sale of Drive Financial and recognized a net gain of $53.3 million on the sale ($54.4 million gain, net of $1.1 million in taxes). The sale returns FirstCity’s focus solely to the portfolio acquisition business, its long term expertise. | |||
• | FirstCity significantly strengthened its balance sheet.Proceeds of the sale of $86.8 million were used to pay down debt, and redeem early the Company’s preferred stock. | |||
• | FirstCity’s book value increased to $7.77 per diluted share at year-end. | |||
• | FirstCity restructured its credit facilities, increasing borrowing capacity to $96 million.The increased liquidity allows the Company to invest further in portfolio assets. | |||
• | FirstCity’s investment in portfolio assets totals $60 million for 2004, representing the highest annual investment in the Company’s history. |
FirstCity Financial Corporation today announced net earnings to common stockholders for the quarter ended December 31, 2004 of $52.6 million or $4.41 per share on a diluted basis. For the full year 2004 net earnings to common stockholders were $63.6 million or $5.37 per share on a diluted basis. The earnings were largely impacted by the recognition of a $53.3 million gain ($54.4 million gain, net of $1.1 million in taxes) on the previously announced sale of the Company’s 31% interest in Drive Financial. Earnings from continuing operations for 2004 on a pro forma basis were $.84 per diluted share for the year.
Components of the results are detailed below (dollars in thousands except per share data):
Unaudited | Three Months Ended | Year Ended | ||||||||||||||
December 31, | December 31, | |||||||||||||||
2004 | 2003 | 2004 | 2003 | |||||||||||||
Portfolio Asset Acquisition and Resolution | $ | 4,310 | $ | 5,079 | $ | 14,437 | $ | 14,497 | ||||||||
Corporate interest | (374 | ) | (959 | ) | (3,378 | ) | (4,588 | ) | ||||||||
Corporate overhead | (1,997 | ) | (1,702 | ) | (6,048 | ) | (5,551 | ) | ||||||||
Earnings from continuing operations | 1,939 | 2,418 | 5,011 | 4,358 | ||||||||||||
Loss from discontinued mortgage operations | (2,640 | ) | (100 | ) | (3,840 | ) | (520 | ) | ||||||||
Earnings from discontinued consumer operations | 53,279 | 1,231 | 62,463 | 5,349 | ||||||||||||
Preferred Dividends | — | — | — | (133 | ) | |||||||||||
Net earnings to common stockholders | $ | 52,578 | $ | 3,549 | $ | 63,634 | $ | 9,054 | ||||||||
Diluted earnings per common share | $ | 4.41 | $ | 0.31 | $ | 5.37 | $ | 0.80 | ||||||||
Pro Forma earnings from continuing operations | $ | 9,951 | ||||||||||||||
Pro Forma diluted earnings per common share from continuing operations | $ | 0.84 |
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The pro forma condensed consolidated statements of operations on page 8 illustrate the effects of the Drive sale as if it had occurred at the beginning of the period.
Sale of Drive Interest
FirstCity completed the previously announced sale of its 31% interest in Drive and recognized a net gain of $53.3 million ($54.4 million gain, net of $1.1 million in taxes) in the fourth quarter of 2004. The $86.8 million proceeds from the sale were primarily used to retire debt.
Liquidity
As a result of the Drive sale, FirstCity’s senior lender increased its revolving credit facility to the Company to a maximum borrowing limit of $96 million, as opposed to the prior limit of $50 million. The increased borrowing capacity will enable the Company to increase investments in portfolio assets.
Portfolio Asset Acquisition and Resolution
FirstCity purchased $45.9 million in portfolio assets during the fourth quarter of 2004. Purchases consisted of eight portfolios — seven in the United States and one in South America. Equity invested during the quarter by the Company was $11.1 million, consisting of $8.8 million in the U.S. and $2.3 million in South America. FirstCity’s strong growth in portfolio acquisitions is detailed below:
Domestic | Europe | Latin America | Total | Invested Equity | ||||||||||||||||
2004 | ||||||||||||||||||||
4th Quarter | $ | 23.2 | $ | — | $ | 22.7 | $ | 45.9 | $ | 11.1 | ||||||||||
3rd Quarter | 26.6 | — | 9.5 | 36.1 | 27.1 | |||||||||||||||
2ndQuarter | 34.9 | 9.8 | 40.7 | 85.4 | 18.5 | |||||||||||||||
1st Quarter | 6.5 | — | .2 | 6.7 | 3.1 | |||||||||||||||
Total Year 2004 | $ | 91.2 | $ | 9.8 | $ | 73.1 | $ | 174.1 | $ | 59.8 | ||||||||||
2003 | ||||||||||||||||||||
4th Quarter | $ | 46.6 | $ | 11.1 | $ | — | $ | 57.7 | $ | 7.6 | ||||||||||
3rd Quarter | 39.3 | — | — | 39.3 | 3.9 | |||||||||||||||
2ndQuarter | 6.7 | 20.1 | 5.4 | 32.2 | 11.4 | |||||||||||||||
1st Quarter | — | — | — | — | — | |||||||||||||||
Total Year 2003 | $ | 92.6 | $ | 31.2 | $ | 5.4 | $ | 129.2 | $ | 22.9 | * | |||||||||
Total Year 2002 | $ | 61.4 | $ | 98.7 | $ | 11.7 | $ | 171.8 | $ | 16.7 | ||||||||||
* | The Company invested $3.4 million in partnerships during 2003 in addition to the acquisitions above. |
Operating contribution from the Portfolio Asset Acquisition business for the fourth quarter was $4.3 million. The earnings are comprised of $10.2 million in revenues and $5.9 million of expenses. The business generated 58% of the revenues from domestic investments, 25% from investments in Latin America and 17% from investments in Europe. The major components of revenue for the quarter include equity earnings in Acquisition Partnerships and servicing entities of $4.4 million, servicing fees of $3.7 million, and interest income of $1.1 million.
Operating contribution from the Portfolio Asset Acquisition business for the fourth quarter includes net foreign currency gains of $110,237, which is comprised of $288,388 in Mexican peso gains and $178,151 of Euro losses. Quarterly results were less impacted by foreign currency fluctuations as the Company borrowed in Euros to mitigate the risk associated with foreign currency exposure.
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The following table details the impact of these items on corporate earnings.
Unaudited | Three Months Ended | Year Ended December 31, | |||||||||||||||
December 31, | |||||||||||||||||
Illustration of the Effects of Currency | |||||||||||||||||
Fluctuations(dollars in thousands) | 2004 | 2003 | 2004 | 2003 | |||||||||||||
Net earnings to Common Stockholders as reported | $ | 52,578 | $ | 3,549 | $ | 63,634 | $ | 9,054 | |||||||||
Mexican Peso gains (losses) | 288 | (694 | ) | 247 | (2,247 | ) | |||||||||||
Euro gains (losses) | (178 | ) | 501 | 675 | 1,306 | ||||||||||||
Peso exchange rate at valuation date | 11.30 | 11.35 | |||||||||||||||
Euro exchange rate at valuation date | 0.75 | 0.80 |
Discontinued Mortgage Operations
The Company elected in the fourth quarter to initiate efforts to liquidate the residual interests from discontinued mortgage operations. As a result, during the quarter FirstCity adjusted the carrying value of the residual interests to fair value, resulting in impairment of $2.6 million for the quarter and reducing the carrying value to $1.8 million.
Redemption of New Preferred Stock
On December 30, 2004, the Company redeemed early its remaining 126,291 shares of preferred stock. The redemption price of $21.525 per share, ($2.7 million total) represented the liquidation preference of $21 per share and accrued and unpaid dividends of $.525 per share. As a result of this redemption, the Company no longer has any outstanding preferred stock obligations.
Conference Call
A conference call will be held today at 9:00 a.m. Central time to discuss fourth quarter 2004 results, as well as the sale of the Company’s 31% interest in Drive. A question and answer session will follow the prepared remarks. Details to access the call and webcast are as follows:
Event: | FirstCity Financial Corporation Fourth Quarter 2004 Conference Call | |||
Date: | Wednesday February 16, 2005 | |||
Time: | 9:00 a.m. Central Time | |||
Host: | James T. Sartain, FirstCity’s President and Chief Executive Officer | |||
Web Access: | FirstCity’s web page- | www.fcfc.com/invest.htm or, | ||
CCBN’s Investor websites- | www.streetevents.com and, | |||
www.fulldisclosure.com |
Dial In Access:
Domestic | 866-800-8652 | |
International | 617-614-2705 | |
Pass code - | 76630609 |
Replay
Domestic | 888-286-8010 | |
International | 617-801-6888 | |
Pass code - | 52806530 |
The replay will be available until Wednesday, March 2, 2005.
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Forward Looking Statements
Certain statements in this press release, which are not historical in fact, including, but not limited to, statements relating to future performance, may be deemed to be forward-looking statements under the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, any statement that may project, indicate or imply future results, performance or achievements, and may contain the words “expect”, “intend”, “plan”, “estimate”, “believe”, “will be”, “will continue”, “will likely result”, and similar expressions. Such statements inherently are subject to a variety of risks and uncertainties that could cause actual results to differ materially from those projected. There are many important factors that could cause the Company’s actual results to differ materially.
These factors include, but are not limited to, the performance of the Company’s subsidiaries and affiliates, availability of portfolio assets, assumptions underlying portfolio asset performance, risks associated with foreign operations, currency exchange rate fluctuations, interest rate risk, risks of declining value of loans, collateral or assets; the degree to which the Company is leveraged, the Company’s continued need for financing, availability of the Company’s credit facilities, the impact of certain covenants in loan agreements of the Company and its subsidiaries, the ability of the Company to utilize net operating loss carry forwards, general economic conditions, foreign social and economic conditions, changes (legislative and otherwise) in the asset securitization industry; fluctuation in residential and commercial real estate values, capital markets conditions, including the markets for asset-backed securities, uncertainties of any litigation arising from discontinued operations; factors more fully discussed and identified under Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” risk factors and other risks identified in the Company’s Annual Report on Form 10-K for the year ended December 31, 2003, filed with the SEC on March 30, 2004, as well as in the Company’s other filings with the SEC.
Many of these factors are beyond the Company’s control. In addition, it should be noted that past financial and operational performance of the Company is not necessarily indicative of future financial and operational performance. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements.
The forward-looking statements in this release speak only as of the date of this release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in the Company’s expectations with regard thereto or any change in events, conditions or circumstances on which any forward-looking statement is based.
The Company is a diversified financial services Company with operations dedicated to portfolio asset acquisition and resolution with offices in the U.S. and with affiliate organizations in France and Mexico. Its common (FCFC) stock is listed on the NASDAQ National Market System.
FirstCity Financial Corporation
Summary of Operations
(In thousands, except per share data)
(Unaudited)
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2004 | 2003 | 2004 | 2003 | |||||||||||||
Revenues: | ||||||||||||||||
Servicing fees from affiliates | $ | 3,671 | $ | 3,884 | $ | 13,747 | $ | 15,051 | ||||||||
Gain on resolution of Portfolio Assets | 811 | 301 | 1,649 | 1,380 | ||||||||||||
Equity in earnings of investments | 4,443 | 5,565 | 14,913 | 14,174 | �� | |||||||||||
Interest income from affiliates | 587 | 467 | 2,321 | 2,794 | ||||||||||||
Interest income — other | 536 | 90 | 902 | 533 | ||||||||||||
Other income | 286 | 399 | 2,522 | 1,560 | ||||||||||||
Total revenues | 10,334 | 10,706 | 36,054 | 35,492 | ||||||||||||
Expenses: | ||||||||||||||||
Interest and fees on notes payable to affiliates | 8 | 25 | 65 | 79 | ||||||||||||
Interest and fees on notes payable — other | 1,266 | 1,926 | 6,846 | 7,283 | ||||||||||||
Interest on shares subject to mandatory redemption | 66 | 67 | 265 | 133 | ||||||||||||
Salaries and benefits | 4,912 | 4,458 | 16,139 | 15,875 | ||||||||||||
Provision for loan and impairment losses | 7 | 97 | 30 | 98 | ||||||||||||
Occupancy, data processing, communication and other | 2,186 | 1,605 | 7,560 | 7,491 | ||||||||||||
Total expenses | 8,445 | 8,178 | 30,905 | 30,959 | ||||||||||||
Earnings from continuing operations before income taxes and minority interest | 1,889 | 2,528 | 5,149 | 4,533 | ||||||||||||
Income taxes | 70 | (161 | ) | (75 | ) | (185 | ) | |||||||||
Earnings from continuing operations before minority interest | 1,959 | 2,367 | 5,074 | 4,348 | ||||||||||||
Minority interest | (20 | ) | 51 | (63 | ) | 10 | ||||||||||
Earnings from continuing operations | 1,939 | 2,418 | 5,011 | 4,358 | ||||||||||||
Discontinued operations | ||||||||||||||||
Earnings from operations of discontinued components | 51,716 | 1,135 | 60,382 | 4,774 | ||||||||||||
Income taxes | (1,077 | ) | (4 | ) | (1,759 | ) | 55 | |||||||||
Earnings from discontinued operations | 50,639 | 1,131 | 58,623 | 4,829 | ||||||||||||
Net earnings | 52,578 | 3,549 | 63,634 | 9,187 | ||||||||||||
Accumulated preferred dividends in arrears | — | — | — | (133 | ) | |||||||||||
Net earnings to common stockholders | $ | 52,578 | $ | 3,549 | $ | 63,634 | $ | 9,054 | ||||||||
Basic earnings per common share are as follows: | ||||||||||||||||
Earnings from continuing operations | $ | 0.17 | $ | 0.22 | $ | 0.45 | $ | 0.38 | ||||||||
Discontinued operations | 4.50 | 0.10 | 5.22 | 0.43 | ||||||||||||
Net earnings per common share | $ | 4.67 | $ | 0.32 | $ | 5.67 | $ | 0.81 | ||||||||
Wtd. avg. common shares outstanding | 11,253 | 11,189 | 11,230 | 11,200 | ||||||||||||
Diluted earnings per common share are as follows: | ||||||||||||||||
Earnings from continuing operations | $ | 0.16 | $ | 0.21 | $ | 0.42 | $ | 0.37 | ||||||||
Discontinued operations | 4.25 | 0.10 | 4.95 | 0.43 | ||||||||||||
Net earnings per common share | $ | 4.41 | $ | 0.31 | $ | 5.37 | $ | 0.80 | ||||||||
Wtd. avg. common shares outstanding | 11,913 | 11,621 | 11,840 | 11,349 |
Selected Unaudited Balance Sheet Data
December 31, | December 31, | |||||||
2004 | 2003 | |||||||
Cash | $ | 9,724 | $ | 2,745 | ||||
Portfolio Assets, net | 37,952 | 4,525 | ||||||
Loans receivable | 21,255 | 17,313 | ||||||
Equity investments | 57,438 | 57,479 | ||||||
Deferred tax asset, net | 20,101 | 20,101 | ||||||
Service fees receivable and other assets | 10,193 | 8,159 | ||||||
Discontinued consumer assets held for sale | — | 15,667 | ||||||
Discontinued mortgage assets held for sale | 1,817 | 6,399 | ||||||
Total assets | $ | 158,480 | $ | 132,388 | ||||
Notes payable to affiliates | $ | 491 | $ | 1,276 | ||||
Notes payable other | 50,812 | 73,784 | ||||||
Preferred stock | — | 3,846 | ||||||
Minority interest and other liabilities | 6,049 | 5,132 | ||||||
Liabilities from discontinued consumer operations | 9,033 | 19,132 | ||||||
Liabilities from discontinued mortgage operations | 50 | 249 | ||||||
Total liabilities | 66,435 | 103,419 | ||||||
Total equity | 92,045 | 28,969 | ||||||
Total liabilities and equity | $ | 158,480 | $ | 132,388 | ||||
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FirstCity Financial Corporation
Supplemental Information
(Dollars in thousands)
(Unaudited)
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2004 | 2003 | 2004 | 2003 | |||||||||||||
Portfolio Asset Acquisition and Resolution: | ||||||||||||||||
Summary Operating Statement Data | ||||||||||||||||
Revenues | $ | 10,201 | $ | 10,616 | $ | 35,450 | $ | 35,126 | ||||||||
Expenses | 5,884 | 5,440 | 20,983 | 20,531 | ||||||||||||
Operating contribution before provision for loan and impairment losses | 4,317 | 5,176 | 14,467 | 14,595 | ||||||||||||
Provision for loan and impairment losses | 7 | 97 | 30 | 98 | ||||||||||||
Operating contribution, net of direct taxes | $ | 4,310 | $ | 5,079 | $ | 14,437 | $ | 14,497 | ||||||||
Aggregate purchase price of portfolios acquired: | ||||||||||||||||
Acquisition partnerships | ||||||||||||||||
Domestic | $ | 23,227 | $ | 46,579 | $ | 91,300 | $ | 92,632 | ||||||||
Latin America | 22,735 | — | 73,002 | 5,400 | ||||||||||||
Europe | — | 11,105 | 9,837 | 31,160 | ||||||||||||
Total | $ | 45,962 | $ | 57,684 | $ | 174,139 | $ | 129,192 | ||||||||
Purchase | FirstCity’s | |||||||
Price | Investment | |||||||
Historical Acquisitions - Annual: | ||||||||
2004 | $ | 174,139 | $ | 59,762 | ||||
2003 | 129,192 | 22,944 | ||||||
2002 | 171,769 | 16,717 | ||||||
2001 | 224,927 | 24,319 | ||||||
2000 | 394,927 | 22,140 | ||||||
1999 | 210,799 | 11,203 |
December 31, | December 31, | |||||||
2004 | 2003 | |||||||
Portfolio acquisition and resolution assets by region: | ||||||||
Domestic | $ | 77,280 | $ | 42,872 | ||||
Latin America | 20,827 | 14,468 | ||||||
Europe | 19,531 | 23,088 | ||||||
Total | $ | 117,638 | $ | 80,428 | ||||
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2004 | 2003 | 2004 | 2003 | |||||||||||||
Revenues by region: | ||||||||||||||||
Domestic | $ | 5,864 | $ | 7,181 | $ | 18,899 | $ | 21,084 | ||||||||
Latin America | 2,576 | 1,960 | 10,189 | 9,049 | ||||||||||||
Europe | 1,761 | 1,475 | 6,362 | 4,993 | ||||||||||||
Total | $ | 10,201 | $ | 10,616 | $ | 35,450 | $ | 35,126 | ||||||||
Revenues by source: | ||||||||||||||||
Equity earnings | $ | 4,443 | $ | 5,565 | $ | 14,913 | $ | 14,174 | ||||||||
Servicing fees | 3,671 | 3,884 | 13,747 | 15,051 | ||||||||||||
Interest income — loans | 1,052 | 548 | 3,085 | 3,296 | ||||||||||||
Gain on resolution of Portfolio Assets | 811 | 301 | 1,649 | 1,380 | ||||||||||||
Other | 224 | 318 | 2,056 | 1,225 | ||||||||||||
Total | $ | 10,201 | $ | 10,616 | $ | 35,450 | $ | 35,126 | ||||||||
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FirstCity Financial Corporation
Supplemental Information
(Dollars in thousands)
(Unaudited)
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2004 | 2003 | 2004 | 2003 | |||||||||||||
Analysis of Equity Investments in Acquisition Partnerships: | ||||||||||||||||
FirstCity’s Average investment in Acquisition Partnerships | ||||||||||||||||
Domestic | $ | 36,885 | $ | 36,435 | $ | 36,941 | $ | 34,282 | ||||||||
Latin America | 1,256 | 1,000 | 1,137 | 1,034 | ||||||||||||
Europe | 13,019 | 13,264 | 13,134 | 12,137 | ||||||||||||
Europe-Servicing subsidiaries | 4,986 | 4,117 | 4,673 | 3,765 | ||||||||||||
Total | $ | 56,146 | $ | 54,816 | $ | 55,885 | $ | 51,218 | ||||||||
FirstCity Share of Equity Earnings (Loss): | ||||||||||||||||
Domestic | $ | 2,942 | $ | 5,435 | $ | 9,905 | $ | 13,526 | ||||||||
Latin America | (143 | ) | (1,254 | ) | (992 | ) | (4,028 | ) | ||||||||
Europe | 1,327 | 1,272 | 5,057 | 4,090 | ||||||||||||
Europe-Servicing subsidiaries | 317 | 112 | 943 | 586 | ||||||||||||
Total | $ | 4,443 | $ | 5,565 | $ | 14,913 | $ | 14,174 | ||||||||
Selected other data: | ||||||||||||||||
Average investment in wholly owned portfolio assets and loans receivable: | ||||||||||||||||
Domestic | $ | 36,738 | $ | 5,366 | $ | 19,028 | $ | 6,785 | ||||||||
Latin America | 17,893 | 13,938 | 16,568 | 14,656 | ||||||||||||
Europe | 173 | 2,898 | 1,112 | 2,120 | ||||||||||||
Total | $ | 54,804 | $ | 22,202 | $ | 36,708 | $ | 23,561 | ||||||||
Income from wholly owned portfolio assets and loans receivable: | ||||||||||||||||
Domestic | $ | 1,344 | $ | 423 | $ | 2,653 | $ | 2,040 | ||||||||
Latin America | 504 | 394 | 2,017 | 2,540 | ||||||||||||
Europe | 15 | 32 | 64 | 96 | ||||||||||||
Total | $ | 1,863 | $ | 849 | $ | 4,734 | $ | 4,676 | ||||||||
Servicing fee revenues: | ||||||||||||||||
Domestic partnerships: | ||||||||||||||||
$ Collected | $ | 31,236 | $ | 54,575 | $ | 120,956 | $ | 143,440 | ||||||||
Servicing fee revenue | 1,405 | 1,154 | 4,858 | 4,857 | ||||||||||||
Average servicing fee % | 4.5 | % | 2.1 | % | 4.0 | % | 3.4 | % | ||||||||
Latin American partnerships: | ||||||||||||||||
$ Collected | $ | 11,268 | $ | 10,016 | $ | 72,716 | $ | 56,372 | ||||||||
Servicing fee revenue | 2,184 | 2,633 | 8,557 | 9,860 | ||||||||||||
Average servicing fee % | 19.4 | % | 26.3 | % | 11.8 | % | 17.5 | % | ||||||||
Incentive service fees | $ | 82 | $ | 97 | $ | 332 | $ | 334 | ||||||||
Total Service Fees: | ||||||||||||||||
$ Collected | $ | 42,504 | $ | 64,591 | $ | 193,672 | $ | 199,812 | ||||||||
Servicing fee revenue | 3,671 | 3,884 | 13,747 | 15,051 | ||||||||||||
Average servicing fee % | 8.6 | % | 6.0 | % | 7.1 | % | 7.5 | % | ||||||||
Servicing portfolio (face value) | ||||||||||||||||
Domestic | $ | 465,685 | $ | 431,178 | ||||||||||||
Latin America | 1,478,537 | 1,052,599 | ||||||||||||||
Europe | 915,951 | 1,064,184 | ||||||||||||||
Total | $ | 2,860,173 | $ | 2,547,961 | ||||||||||||
Number of personnel at period end: | ||||||||||||||||
Domestic | 98 | 91 | ||||||||||||||
Latin America | 139 | 176 | ||||||||||||||
Total personnel | 237 | 267 | ||||||||||||||
7
FirstCity Financial Corporation
Pro Forma Condensed Consolidated Statements of Operations
For the Year Ended December 31, 2004
(Dollars in thousands except per share data)
(Unaudited)
Pro Forma | ||||||||||||
Adjustments | ||||||||||||
Historical | (A) | Pro Forma | ||||||||||
Revenues | $ | 36,054 | $ | — | $ | 36,054 | ||||||
Expenses: | ||||||||||||
Interest and fees | 7,176 | (4,940 | ) | 2,236 | ||||||||
Other expenses | 23,867 | — | 23,867 | |||||||||
Total expenses | 31,043 | (4,940 | ) | 26,103 | ||||||||
Earnings from continuing operations | $ | 5,011 | $ | 4,940 | $ | 9,951 | ||||||
Earnings from continuing operations per common share | ||||||||||||
Basic | $ | 0.45 | $ | 0.89 | ||||||||
Diluted | $ | 0.42 | $ | 0.84 | ||||||||
Weighted average common shares outstanding | ||||||||||||
Basic | 11,230 | 11,230 | ||||||||||
Diluted | 11,840 | 11,840 |
(A) | To eliminate additional interest and fees on notes payable that would not have been incurred if the transaction had been completed at the beginning of the period (interest savings from paydown of $67.8 million x average rate of 7.65% x .833 = $4.3 million and amortization of loan fees of $.6 million). |
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