NEW YORK, Jan. 3, 2008 (PRIME NEWSWIRE) -- PIMCO Corporate Income Fund (the "Fund") (NYSE:PCN), a closed-end management investment company which seeks to provide high current income with secondary objectives of capital preservation and appreciation, today announced its results for the fiscal quarter and year ended October 31, 2007.
At October 31,
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2007 2006
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Net Assets (a) $802,714,033 $835,104,365
Common Shares Outstanding 36,544,309 36,253,071
Net Asset Value ("NAV") $13.76 $14.76
Market Price $14.25 $15.68
Premium to NAV 3.56% 6.23%
Quarter ended October 31,
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2007 2006
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Net Investment Income (b) $11,979,195 $12,964,263
Per Common Share (b) $ 0.34 $ 0.36
Net Realized and Change in
Unrealized Gain (b) $23,322,423 $21,537,989
Per Common Share (b) $ 0.64 $ 0.59
Undistributed (Overdistributed)
Net Investment Income Per
Common Share (e) $(0.1183)(c) $0.0367 (d)
Year ended October 31,
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2007 2006
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Net Investment Income (b) $47,292,960 $51,303,169
Per Common Share (b) $ 1.31 $ 1.42
Net Realized and Change in
Unrealized Gain (Loss) (b) $(18,556,980) $15,794,683
Per Common Share (b) $ (0.51) $ 0.43
(a) Net assets are inclusive of market value of Preferred Shares of $300
million.
(b) The information provided is in accordance with generally accepted
accounting principles ("GAAP"), which requires the Fund to treat
amounts received (paid) by the Fund under swap agreements as net
realized gain (loss). However, these amounts are treated as net
income (loss) for federal income tax purposes. By using GAAP, Net
Investment Income for the fiscal quarter and year ended October 31,
2007 was $2,708,101 ($0.07 per common share) and $8,749,986 ($0.24
per common share), respectively, lower (and Net Realized and Change
in Unrealized Gain (Loss) correspondingly higher (lower)) than those
figures would have been if swap amounts were treated as net income
(loss) in accordance with federal income tax treatment. By using
GAAP, Net Investment Income for the fiscal quarter and year ended
October 31, 2006 was $2,913,028 ($0.08 per common share) and
$12,353,184 ($0.34 per common share), respectively, lower (and Net
Realized and Change in Unrealized Gain (Loss) correspondingly higher
(lower)) than those figures would have been if swap amounts were
treated as net income (loss) in accordance with federal income tax
treatment.
(c) Calculated using the accumulated balance at October 31, 2007.
(d) Calculated using the average fiscal year-to-date month-end balances
for the three months ended October 31, 2006.
(e) Note that generally there is a close correlation between what the
Fund earns (net of expenses) and what it pays in monthly dividends.
However, since net earning rates fluctuate from month to month while
monthly dividends have remained relatively stable, there will be
periods when the Fund may over-earn or under-earn its monthly
dividend, which would have the effect of adding to or subtracting
from the Fund's undistributed (overdistributed) net investment
income balance. Fund management analyzes the current and projected
net earning rates prior to recommending dividend amounts to the
Fund's Board of Trustees for declaration. There can be no assurance
that the current dividend rate or the undistributed (overdistributed)
income balance will remain constant. Inclusive of amounts earned
under swap agreements, in accordance with federal income tax
treatment.
Allianz Global Investors Fund Management LLC, an indirect, wholly-owned subsidiary of Allianz Global Investors of America L.P., serves as the Fund's investment manager and is a member of Munich-based Allianz Group (NYSE:AZ). Pacific Investment Management Company LLC, an Allianz Global Investors Fund Management affiliate, serves as the Fund's sub-adviser.
The Fund's daily New York Stock Exchange closing price, net asset value per share, as well as other information, is available at www.allianzinvestors.com/closedendfunds or by calling the Fund's shareholder servicing agent at (800) 331-1710.
The financial information contained herein is solely based upon the data available at the time of publication of this press release, and there is no assurance that any future results will be the same or similar to what is reported herein. Information that was obtained from third party sources we believe to be reliable is not guaranteed as to its accuracy or completeness. This press release contains no recommendations to buy or sell any specific securities and should not be considered investment advice of any kind. Past performance is no guarantee of future results and the investment returns generated by the Fund will fluctuate. In making any investment decision, individuals should utilize other information sources and the advice of their own professional adviser.