NEW YORK, Oct. 2, 2006 (PRIMEZONE) -- 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 nine months ended July 31, 2006.
At July 31,
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2006 2005
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Net Assets (a) $814,956,088 $843,495,103
Common Shares Outstanding 36,184,679 35,864,809
Net Asset Value ("NAV") $14.23 $15.15
Market Price $15.58 $15.25
Premium to NAV 9.49% 0.66%
Quarter ended July 31,
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2006 2005
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Net Investment Income (b) $12,792,089 $11,670,422
Per Common Share (b) $0.35 $0.33
Net Realized and Change in
Unrealized Gain (Loss) (b) $(3,666,601) $15,747,546
Per Common Share (b) $(0.10) $0.44
3 Month Average Undistributed
Net Investment Income Per
Common Share (c) $0.0619 $0.1043
Nine months ended July 31,
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2006 2005
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Net Investment Income (b) $38,338,906 $34,733,678
Per Common Share (b) $1.06 $0.97
Net Realized and Change in
Unrealized Gain (Loss) (b) $(5,743,306) $4,630
Per Common Share (b) $(0.16) $0.00(d)
(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 nine months ended July 31, 2006 was $1,656,225
($0.04 per common share) and $9,440,159 ($0.26 per common share)
lower, respectively, (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 nine months ended July 31,
2005 was $3,357,586 ($0.09 per common share) and $9,063,788
($0.25 per common share) lower, respectively, (and Net Realized
and Change in Unrealized Gain correspondingly higher) 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 July 31, 2006 and July 31, 2005, respectively. 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 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 net investment income balance
will remain constant. Inclusive of amounts earned under swap
agreements, in accordance with federal income tax treatment.
(d) Less than $0.005.
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 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.