NEW YORK, July 27, 2006 (PRIMEZONE) -- PIMCO Corporate Opportunity Fund (the "Fund") (NYSE: PTY), a closed-end management investment company which seeks maximum total return through a combination of current income and capital appreciation, today announced its results for the fiscal quarter and six months ended May 31, 2006.
At May 31, 2006 At May 31, 2005 --------------- --------------- Net Assets (a) $1,549,709,346 $1,612,811,651 Common Shares Outstanding 65,271,463 64,705,169 Net Asset Value ("NAV") $15.09 $16.19 Market Price $17.06 $16.78 Premium to NAV 13.06% 3.64% Quarter ended May 31, 2006 May 31, 2005 --------------- --------------- Net Investment Income (b) $26,955,333 $17,377,906 Per Common Share (b) $0.42 $0.28 Net Realized and Change in Unrealized Loss (b) $(36,803,544) $(12,958,060) Per Common Share (b) $(0.56) $(0.21) 3 Month Average Undistributed (Overdistributed) Net Investment Income Per Common Share (c) $(0.0192) $0.0950 Six Months ended May 31, 2006 May 31, 2005 --------------- --------------- Net Investment Income (b) $52,273,175 $48,531,580 Per Common Share (b) $0.81 $0.76 Net Realized and Change in Unrealized Loss (b) $(15,164,781) $(1,380,364) Per Common Share (b) $(0.23) $(0.03) a) Net assets are inclusive of market value of Preferred shares of $565 million. b) The information provided is in accordance with generally accepted accounting principles ("GAAP"), which requires the Fund to treat amounts received (paid) 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 six months ended May 31, 2006 was $4,918,762 ($0.08 per common share) and $9,464,086 ($0.15 per common share), respectively lower (and Net Realized and Change in Unrealized Loss correspondingly lower) than those figures would be 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 six months ended May 31, 2005 was $9,604,926 ($0.15 per common share) and $16,929,068 ($0.26 per common share), respectively lower (and Net Realized and Change in Unrealized Loss correspondingly lower) than those figures would be if swap amounts were treated as net income (loss) in accordance with federal income tax treatment. c) Calculated using the month-end balances for the three months ended May 31, 2006. Please 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 modestly 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 Fund's 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) net investment income balance will remain constant. Inclusive of swap amounts receivables at November 30, 2005 and swap amounts accrued during the six months ended May 31, 2006.
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 http://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 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.