TORONTO, ONTARIO -- (Marketwire) -- 08/24/12 -- Brookfield Investments Corporation (TSX VENTURE: BRN.PR.A) reported net income of $9 million or $0.18 per common share for the three months ended June 30, 2012 compared with net income of $2 million or $0.04 per common share for the same period in 2011. Investment income increased by $7 million to $16 million in the current period, primarily due to income earned on the company's investment in Western Forest Products, which was acquired in December 2011, and a higher amount of foreign currency revaluation gains.
Brookfield Investments Corporation holds investments in the property and forest products sectors, as well as a portfolio of preferred shares issued by companies within the Brookfield group. The common shares of Brookfield Investments Corporation are wholly owned by Brookfield Asset Management Inc., a global alternative asset manager with approximately $150 billion in assets under management, with a focus on property, renewable power, infrastructure and private equity assets.
Derek Gorgi, Vice President and Chief Financial Officer, will be available at 416-363-9491 to answer any questions on the company's financial results.
CONSOLIDATED BALANCE SHEETS
(unaudited)
(unaudited) June 30 December 31
(US$ millions) 2012 2011
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Assets
Current assets
Deposits receivable $ 249 $ 243
Securities 224 217
Non-current assets
Investments - Securities
Brookfield Office Properties Inc. 965 866
Brookfield Residential Properties Inc. 62 44
Investments - Associates
Brookfield Europe L.P. 464 465
Western Forest Products Inc. 165 165
Norbord Inc. 70 70
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$ 2,199 $ 2,070
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Liabilities
Current liabilities
Accounts payable $ 2 $ 2
Retractable preferred shares 1,128 1,125
Deferred tax liability 53 55
Equity 1,016 888
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$ 2,199 $ 2,070
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CONSOLIDATED STATEMENTS OF OPERATIONS
Three months ended Six months ended
(unaudited) June 30 June 30
(US$ millions, except per
share amounts) 2012 2011 2012 2011
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Investment Income
Equity accounted income
(loss) $ 4 $ 1 $ (3) $ 50
Dividend and interest income 10 10 21 20
Foreign exchange income
(loss) 2 (2) 2 (2)
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16 9 20 68
Expenses
Interest 7 8 14 15
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Net income before income
taxes 9 1 6 53
Income tax (expense) recovery - 1 - (4)
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Net income $ 9 $ 2 $ 6 $ 49
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Net income per common share $ 0.18 $ 0.04 $ 0.12 $ 1.06
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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Three months ended Six months ended
(unaudited) June 30 June 30
(US$ millions) 2012 2011 2012 2011
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Net income $ 9 $ 2 $ 6 $ 49
Other comprehensive (loss)
income
Foreign currency translation (11) 1 6 11
Available-for-sale securities
- fair value changes (1) 90 122 109
Equity accounted other
comprehensive (loss) income (3) - (3) 6
Deferred income tax (3) 2 (3) (2)
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(18) 93 122 124
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Comprehensive (loss) income $ (9) $ 95 $ 128 $ 173
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Contacts:
Brookfield Investments Corporation
Derek Gorgi
Vice President and Chief Financial Officer
416-363-9491
