Exhibit 99.1
Anthracite Capital, Inc. and Subsidiaries
Consolidated Statements of Financial Condition (Unaudited)
(in thousands, except per share data)
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June 30, 2005 December 31, 2004
ASSETS
Cash and cash equivalents $13,251 $23,755
Restricted cash equivalents 20,876 19,680
Residential mortgage-backed securities 323,662 372,071
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Cash and RMBS 357,789 415,506
Commercial mortgage loan pools 1,302,303 1,312,045
Commercial real estate securities 1,979,779 1,628,519
Commercial real estate loans 282,461 325,350
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Total commercial real estate 3,564,543 3,265,914
Other assets 42,140 47,714
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Total Assets $3,964,472 $3,729,134
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LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Short term borrowings:
Secured by pledge of residential mortgage-backed securities $302,563 $356,451
Secured by pledge of commercial real estate securities 604,069 305,526
Secured by pledge of commercial mortgage loan pools 6,703 773
Secured by pledge of commercial real estate loans 94,396 141,601
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Total short term borrowings 1,007,731 804,351
Long term borrowings:
Collateralized debt obligations 1,067,589 1,067,967
Secured by pledge of commercial mortgage loan pools 1,283,503 1,294,058
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Total long term borrowings 2,351,092 2,362,025
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Total borrowings 3,358,823 3,166,376
Payable for investments purchased 5,155 -
Distributions payable 15,823 15,819
Other liabilities 37,803 33,201
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Total Liabilities 3,417,604 3,215,396
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Stockholders' Equity:
Common Stock, par value $0.001 per share; 400,000 shares
authorized;
53,305 shares issued and outstanding in 2005; and
53,289 shares issued and outstanding in 2004 53 53
9.375% Series C Preferred Stock, liquidation preference
$57,500 in 2005 and 2004 55,435 55,435
Additional paid-in capital 579,103 578,919
Distributions in excess of earnings (139,855) (134,075)
Accumulated other comprehensive income 52,132 13,406
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Total Stockholders' Equity 546,868 513,738
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Total Liabilities and Stockholders' Equity $3,964,472 $3,729,134
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Anthracite Capital, Inc.
Consolidated Statements of Operations (Unaudited)
(in thousands, except per share data)
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For the Three Months Ended June For the Six Months Ended June
30, 30,
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2005 2004 2005 2004
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Operating Portfolio
Income:
Commercial real estate securities $33,602 $30,166 $66,233 $59,351
Commercial mortgage loan pools 13,605 12,351 27,157 12,351
Commercial real estate loans 7,961 4,140 16,200 7,214
Residential mortgage-backed securities 2,691 5,386 5,571 12,103
Cash and cash equivalents 266 103 502 191
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Total Income 58,125 52,146 115,663 91,210
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Expenses:
Interest expense:
Collateralized debt obligations 16,018 15,678 31,765 26,845
Commercial real estate securities 3,377 1,114 5,963 3,141
Commercial mortgage loan pools 12,745 11,972 25,525 11,972
Commercial real estate loans 1,275 145 2,610 293
Residential mortgage-backed securities 2,396 1,560 4,525 3,487
Hedging expense 1,626 3,148 3,926 7,779
General and administrative expense 938 633 1,758 1,235
Management fee 2,661 2,163 5,240 4,293
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Total Expenses 41,036 36,413 81,312 59,045
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Other loss:
Realized loss (242) (3,870) (195) (8,593)
Unrealized loss (1,017) (4,212) (2,544) (2,659)
Foreign currency loss (176) (12) (344) (12)
Hedge ineffectiveness (1,533) 467 (1,272) (506)
Loss on impairment of asset (3,072) - (3,231) -
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Total Other Loss (6,040) (7,627) (7,586) (11,770)
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Net Income 11,049 8,106 26,765 20,395
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Dividends on preferred stock 1,348 1,775 2,696 4,221
Cost to retire preferred stock in excess
of carrying value - 10,508 - 10,508
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Net Income available (loss) to Common Stockholders $9,701 $(4,177) $24,069 $5,666
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Net Income available (loss) to Common Stockholders per
share, basic $0.18 $(0.08) $0.45 $0.11
Net Income available (loss) to Common Stockholders per
share, diluted $0.18 $(0.08) $0.45 $0.11
Weighted average number of shares outstanding:
Basic 53,302 50,706 53,298 50,276
Diluted 53,311 50,706 53,307 50,285