NEW YORK, Jan. 3, 2007 (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, 2006.
At October 31,
2006 2005
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Net Assets (a) $835,104,365 $825,727,855
Common Shares Outstanding 36,253,071 35,945,887
Net Asset Value ("NAV") $14.76 $14.63
Market Price $15.68 $14.92
Premium to NAV 6.23% 1.98%
Quarter ended October 31,
2006 2005
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Net Investment Income (b) $12,964,263 $11,509,775
Per Common Share (b) $0.36 $0.33
Net Realized and Change in
Unrealized Gain (Loss)(b) $21,537,989 $(16,393,912)
Per Common Share (b) $0.59 $(0.46)
3 Month Average
Undistributed Net Investment
Income Per Common Share (c) $0.0367 $0.0861
Year ended October 31,
2006 2005
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Net Investment Income (b) $51,303,169 $46,243,453
Per Common Share (b) $1.42 $1.30
Net Realized and Change in
Unrealized Gain (Loss)(b) $15,794,683 $(16,389,282)
Per Common Share (b) $0.43 $(0.46)
(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, 2006 was $2,913,025 ($0.08 per common share) and $12,353,184
($0.34 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. By using
GAAP, Net Investment Income for the fiscal quarter and year ended
October 31, 2005 was $1,084,614 ($0.03 per common share) and
$10,148,402 ($0.28 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.
(c) Calculated using the month-end balances for the three months
ended October 31, 2006 and October 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 earnings 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.
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.