Wilmington Announces First Quarter Results for 2011


TORONTO, ONTARIO--(Marketwire - June 9, 2011) - Wilmington Capital Management Inc. (TSX:WCM.A)(TSX:WCM.B) today announced net income for the three months ended March 31, 2011 of $20.3 million compared to a net loss of $71,000 for the same period in 2010. Net income per Class A and Class B share for the three months ended March 31, 2011 was $2.56, compared to a net loss of $0.01 per share for the same period in 2010.

On January 7, 2011, all of the issued and outstanding common shares of Parkbridge Lifestyle Communities Inc. were acquired by the British Columbia Investment Management Corporation for $7.30 in cash per common share. Pursuant to this transaction, Wilmington received $40.6 million in proceeds, realized a pre-tax gain of $23.6 million and repaid its $14.6 million loan payable facility relating to the Parkbridge shares.

During the three months ended March 31, 2011, Wilmington acquired a 46.15% indirect interest in a portfolio of five self-storage facilities and two development properties in Alberta, British Columbia and Ontario through the Real Storage Private Trust (the "Trust"). Wilmington's share of the cash consideration to complete the acquisition consisted of $2.5 million in additional equity to the Trust and a $1.625 million bridge loan to the Trust repayable upon demand and bearing interest at 7% per annum. The bridge loan and accrued interest was fully repaid in the second quarter of 2011.

Wilmington also owns land leased to commercial property owners which is located at 370 Third Street in San Francisco, California. During the fourth quarter of 2010, Wilmington reorganized its investment in this property and entered into a new secured credit facility on which $1.5 million net is drawn, bears interest at 4% per annum and is repayable on January 1, 2013. At maturity this credit facility is payable, at the borrower's discretion, in cash or in shares of the Corporation's wholly owned subsidiary which owns the property.

Beginning January 1, 2011, the Corporation has prepared its financial statements in accordance with IFRS. Accordingly, certain adjustments were made to comply with IFRS for the current and comparable periods.

The Corporation's principal objective is to generate appreciation in value from its investments as opposed to current income. Accordingly, net income, excluding gains and losses, is expected to be minimal.

FINANCIAL HIGHLIGHTS
As reported under International Financial Reporting Standards
CONSOLIDATED STATEMENTS OF OPERATIONS
UnauditedThree months ended March 31
(Thousands of Canadian Dollars, except per share amounts)20112010
Income
Investment and other income$82$2
Income from investment property292304
Foreign exchange gain8---
382306
Expenses
Interest293338
General and administrative6642
Foreign exchange loss---20
359400
Income before gain, equity accounted investment and income tax expense (benefit)
23(94)
Gain on sale of Parkbridge Lifestyle Communities Inc.23,581---
Share of net loss from equity account investment(190)---
Income (loss) before income taxes23,414(94)
Income tax expense (benefit)3,086(23)
Net Income (loss)$20,328$(71)
Net income (loss) per share - basic$2.56$(0.01)
Net income (loss) per share - diluted$2.56$(0.01)
CONSOLIDATED BALANCE SHEET
Unaudited
(Thousands of Canadian Dollars)

Mar 31, 2011

Dec 31, 2010
Assets
Non-current assets
Investment property$18,002$18,507
Investment in associate7,1294,819
Investments in Parkbridge Lifestyle Communities Inc.---40,466
Deferred tax asset64---
25,19563,792
Current assets
Loan to associate1,625---
Receivables and other assets8767
Cash and cash equivalents24,0732,085
25,8722,239
Total assets$50,980$65,944
Liabilities
Non-current liabilities
Secured debt$18,425$18,949
Loan payable1,47816,103
Deferred tax liabilities---3,431
19,90338,483
Current liabilities
Accounts payable and accrued liabilities656588
Income taxes payable3,348---
4,004588
Total liabilities23,90739,071
Equity
Shareholders' equity27,07326,873
Total liabilities and equity$50,980$65,944
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
UnauditedThree months ended March 31
(Thousands of Canadian Dollars)20112010
Net income (loss)$20,328$(71)
Foreign currency translation1---
Available for sale securities(23,414)2,226
Future income taxes on above items3,285(279)
Other comprehensive income (loss)(20,128)1,947
Comprehensive income$200$1,876

Executive Officers of the Corporation will be available at 403-800-0869 to answer any questions on the Corporation's financial results.

This news release contains forward-looking statements concerning the corporation's business and operations. The corporation cautions that, by their nature, forward-looking statements involve risk and uncertainty and the Corporation's actual results could differ materially from those expressed or implied in such statements. Reference should be made to the most recent Annual Information Form for a description of the major risk factors.

Contact Information:

Wilmington Capital Management Inc.
Francis Cooke
Treasurer
(403) 800-0869

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