Firm Capital Mortgage Investment Trust - December and estimated special year-end distribution amounting to $0.248 per unit and Year End Update

Thursday, December 18, 2008 12:49 PM

TSX Symbol FC.UN

TORONTO, Dec. 18 /CNW/ - Firm Capital Mortgage Investment Trust (the "Trust") (TSX: FC.UN) announced its monthly distribution for December in the amount of $0.078 per unit. The Trust also announced an estimated special year-end distribution (the "Special Distribution") of $0.17 per unit. These distributions, totaling an estimated $0.248, are payable on January 15, 2009, to Unitholders of record on December 31, 2008.

The precise amount of the Special Distribution will be announced prior to the payment date. The estimated Special Distribution recognizes that income generated exceeds year-to-date distributions earned on the Trust's mortgage investments. Accordingly, as the Trust's Declaration of Trust requires that it distribute all taxable income earned in its fiscal year, a special year-end distribution is necessary to meet this requirement for the year ended December 31, 2008. The Special Distribution is not indicative of future performance.

DISTRIBUTION OVERVIEW 2008:
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Monthly distributions for 2008 equalled $.078 per month, for a total
$0.936 per unit, which, together with the year end Special Distribution of
$0.17, represents total distributions for 2008 of $1.106 per unit.
INVESTMENT PORTFOLIO TURNS:
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As at December 16, 2008, year to date mortgage discharges equated to $130
million. This represents a significant turn of the portfolio enabling
management to re-invest the funds in evolving market conditions. As the
portfolio revolves, the Trust is able to manage the portfolio size and return
on equity based on the pricing of new investments.
MORTGAGE PORTFOLIO HIGHLIGHTS:
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As the year end approaches, the Trust is pleased to provide the following
information with respect to its mortgage investment portfolio, as at December
16, 2008;
-   Total Gross Mortgage Portfolio equals $229,751,296
-   Conventional first mortgages, being those mortgages with loan to
    values less than 75%, comprise 80% of our total portfolio, and total
    Conventional mortgages with loan to values under 75% comprise 97% of
    our total portfolio.
-   Special Profit Mortgage Investments, which include 13 investments,
    total 7.70% of the portfolio, comprised of Conventional investments
    of 4.88% and non-conventional and related investments of 2.82% of the
    portfolio.
-   The Portfolio's average loan to value on Conventional investments,
    excluding, special profit transactions, is 63.1%.
-   Approximately 86% of the portfolio matures within 12 months.

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