Wednesday, 9 December 2009

Carfinco Distributes Remaining 2009 Cash To Unit Holders

Carfinco Income FundTSX: CFN.UN
Units issued basic 23.3 million
Units issued fully diluted 23.4 million
Current monthly distribution: $0.015

Christmas came early for Carfinco Income Fund unit holders as the company just announced that not only is it granting a December cash distribution of $0.015 per unit but also a special distribution of $0.105 in cash and a unit distribution valued at $0.0641. The total value of December distributions is $0.1841 bringing total yearly distributions to $0.2441 for 2009, a spectacular achievement considering the company only reinstated distributions this past August.
Current annualized yield is approximately 7% but with special distributions added the yield becomes about 14%.
The market obviously appreciated the news as unit prices have jumped 9.32% within an hour of market opening this morning.
Under the deed of Trust that governs the fund, the company must distribute all of its taxable income by year end and unit holders on record as of December 18th will be entitled to the distributions.