Equus Total Return, Inc. Announces First Quarter Net Asset Increase
May 14 2009 - 5:33PM
PR Newswire (US)
HOUSTON, May 14 /PRNewswire-FirstCall/ -- Equus Total Return, Inc.
(NYSE: EQS) (the "Fund") reports net assets as of March 31, 2009,
of $79.4 million, an increase of $1.0 million since December 31,
2008. Due to the Fund's first quarter stock dividend of $0.1075 and
the increase in number of shares outstanding resulting therefrom,
net assets per share decreased from $9.16 to $8.96. Comparative
data is summarized below (in thousands, except per share amounts):
For the Quarter March 31, December 31, September 30, June 30, Ended
2009 2008 2008 2008 ---------- ------------- ------------- --------
Net assets $79,396 $78,435 $94.235 $102,976 Shares outstanding
8,862 8,565 8,261 8,581 Net assets per share $8.96 $9.16 $11.41
$12.00 Dividend per share $0.1075 $0.158 $0.158 $0.158 Significant
events for the quarter were as follows: Managed Distribution
Policy. On March 24, 2009, the Fund announced the suspension of its
managed distribution dividend policy and payment of quarterly
distributions for an indefinite period. Prior to this announcement,
the Fund announced a dividend of $0.1075 per share for the first
quarter of 2009 which was paid on March 30, 2009. The Fund will
continue to pay out net investment income and/or realized capital
gains, if any, on an annual basis as required under the Investment
Company Act of 1940. Among the reasons for the discontinuation of
the policy was the fact that the Fund is not presently generating
sustainable current income or capital gains sufficient to pay
regular dividends. Consequently, any dividends paid during the
intermediate future would likely consist of return of capital. In
addition, like other closed-end funds, the Fund's policy did not
appear to have narrowed the Fund's share price discount from the
Fund's net asset value. The Fund held $7.3 million in cash at March
31, 2009, of which $4.2 million has been allocated for follow-on
investments. The Fund also has available an undrawn revolving line
of credit with Amegy Bank of Texas for $7.5 million. Equus Total
Return, Inc. is a business development company that trades as a
closed-end fund on the New York Stock Exchange, under the symbol
"EQS". Additional information on Equus Total Return, Inc. may be
obtained from the Equus website at http://www.equuscap.com/. This
press release may contain certain forward-looking statements
regarding future circumstances. These forward-looking statements
are based upon the Fund's current expectations and assumptions and
are subject to various risks and uncertainties that could cause
actual results to differ materially from those contemplated in such
forward-looking statements including, in particular, the risks and
uncertainties described in the Fund's filings with the Securities
and Exchange Commission. Actual results, events, and performance
may differ. Readers are cautioned not to place undue reliance on
these forward-looking statements, which speak only as to the date
hereof. The Fund undertakes no obligation to release publicly any
revisions to these forward-looking statements that may be made to
reflect events or circumstances after the date hereof or to reflect
the occurrence of unanticipated events. The inclusion of any
statement in this release does not constitute an admission by the
Fund or any other person that the events or circumstances described
in such statements are material. CONTACT: BRETT CHILES (713)
529-0900 DATASOURCE: Equus Total Return, Inc. CONTACT: Brett Chiles
of Equus Total Return, Inc., +1-713-529-0900 Web Site:
http://www.equuscap.com/
Copyright