EX-99 2 aci99-1.txt EXHIBIT 99.1 - FINANCIAL STATEMENTS Exhibit 99.1
Anthracite Capital, Inc. and Subsidiaries Consolidated Statements of Financial Condition (Unaudited) (in thousands, except per share data) ================================================================================================================================== September 30, 2004 December 31, 2003 ------------------ ----------------- ASSETS Cash and cash equivalents $15,263 $ 20,805 Restricted cash equivalents 27,043 12,845 Residential mortgage-backed securities 396,140 726,717 ------------- -------------- Cash and RMBS 438,446 760,367 Commercial mortgage loan pools 1,316,600 - Commercial real estate securities 1,626,136 1,393,010 Commercial real estate loans 247,330 97,984 -------------- ------------- Total commercial real estate 3,190,066 1,490,994 Receivable for investments sold 37,031 99,056 Other assets 53,931 48,429 -------------- ------------- Total Assets $3,719,474 $2,398,846 ============== ============= LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Short term borrowings: Secured by pledge of residential mortgage-backed securities $371,036 $ 670,874 Secured by pledge of commercial real estate securities 341,765 444,987 Secured by pledge of commercial mortgage loan pools 8,552 - Secured by pledge of commercial real estate loans 89,053 22,710 Secured by pledge of other assets 8,025 ------------- -------------- Total short term borrowings 818,431 1,138,571 Long term borrowings: Collateralized debt obligations 1,068,156 684,970 Secured by pledge of commercial mortgage loan pools 1,298,985 - ------------- -------------- Total long term borrowings 2,367,141 684,970 -------------- ------------- Total borrowings 3,185,572 $1,823,541 Securities sold, not yet settled - 99,551 Payable for investments purchased 15,671 - Distributions payable 15,806 14,749 Other liabilities 35,889 43,575 -------------- ------------- Total Liabilities $3,252,938 $1,981,416 -------------- ------------- Stockholders' Equity: Common Stock, par value $0.001 per share; 400,000 shares authorized; 53,241 shares issued and outstanding in 2004; and 49,464 shares issued and outstanding in 2003 $ 53 $ 49 10% Series B Preferred Stock, liquidation preference $43,942 in 2003 - 33,431 9.375% Series C Preferred Stock, liquidation preference $57,500 in 2004 and 2003 55,435 55,435 Additional paid-in capital 578,599 536,333 Distributions in excess of earnings (124,103) (101,635) Accumulated other comprehensive loss (43,448) (106,183) -------------- ------------- Total Stockholders' Equity 466,536 417,430 -------------- Total Liabilities and Stockholders' Equity $3,719,474 $2,398,846 ============== =============
Anthracite Capital, Inc. Consolidated Statements of Operations (Unaudited) (in thousands, except per share data) ================================================================================================================================ For the Three Months Ended For the Nine Months Ended September 30, September 30, ----------------------------------------------------------------------- 2004 2003 2004 2003 ----------------------------------------------------------------------- Operating Portfolio Income: Commercial real estate securities $32,408 $26,125 $92,072 $71,730 Commercial mortgage loan pools 13,715 - 26,066 - Commercial real estate loans 5,123 2,160 12,337 7,368 Residential mortgage-backed securities 3,941 11,591 15,731 45,626 Cash and cash equivalents 165 453 356 838 Other 742 - 742 - ----------------------------------- -------------------------------- Total income 56,094 40,329 147,304 125,562 ----------------------------------- -------------------------------- Expenses: Interest expense: Collateralized debt obligations 16,162 11,098 43,007 33,088 Commercial real estate securities 1,945 1,442 5,086 2,619 Commercial mortgage loan pools 12,706 - 24,678 - Commercial real estate loans 424 136 718 363 Residential mortgage-backed securities 1,673 3,508 5,159 13,560 Hedging expense 3,825 5,496 11,604 13,251 General and administrative 886 551 2,120 1,724 Management fee 2,212 2,115 6,505 7,341 ----------------------------------- -------------------------------- Total expenses 39,833 24,346 98,877 71,946 ----------------------------------- -------------------------------- Other gain (loss): Realized gain (loss) 54 (22,820) (8,540) (33,279) Unrealized gain (loss) 923 (10,038) (1,736) (11,263) Foreign currency loss (113) - (126) - Hedge ineffectiveness (624) 66 (1,130) (175) Loss on impairment of assets - (5,412) - (32,426) ----------------------------------- -------------------------------- Total other gain (loss) 240 (38,204) (11,532) (77,143) ----------------------------------- -------------------------------- Net income (loss) 16,501 (22,221) 36,895 (23,527) ----------------------------------- -------------------------------- Dividends on preferred stock 1,348 2,491 5,568 5,298 Cost to retire preferred stock in excess of carrying value - - 10,508 - =================================== ================================ Net income (loss) available to Common Stockholders $15,153 $(24,712) $20,819 (28,825) =================================== ================================ Net Income (Loss) available to Common Stockholders per share, basic $0.28 $(0.51) $0.41 $(0.60) ===== ======= ===== ======= Net Income (Loss) available to Common Stockholders per share, diluted $0.28 $(0.51) $0.41 $(0.60) ===== ======= ===== ======= Weighted average number of shares outstanding: Basic 53,212 48,405 51,258 47,956 Diluted 53,221 48,421 51,267 47,972