HOUSTON, March 31 /PRNewswire-FirstCall/ -- Equus Total
Return, Inc. (NYSE: EQS) (the "Fund" or "Equus") today
reported total net assets of $50.9
million as of December 31,
2009, representing a decrease in net assets of 35% during
the year. Comparative data is summarized below (in thousands,
except per share amounts):
For the Quarter
Ended
|
12/31/2009
|
9/30/2009
|
6/30/2009
|
3/31/2009
|
12/31/2008
|
|
|
Net
assets
|
$50,901
|
$65,632
|
$72,997
|
$79,396
|
$78,435
|
|
Shares
outstanding
|
8,862
|
8,862
|
8,862
|
8,862
|
8,565
|
|
Net assets per
share
|
$5.74
|
$7.41
|
$8.24
|
$8.96
|
$9.16
|
|
|
|
|
|
|
|
NAV DECREASE. The net asset value of the Fund
decreased from $78.4 million at
December 31, 2008 to $50.9 million at December
31, 2009. The decline in net asset value resulted
primarily from the decrease in the values of Infinia Corporation,
Riptide Entertainment, LLC and Spectrum Management, LLC.
LIQUIDITY. The Fund held $6.3
million in cash at December 31,
2009. Effective February 15,
2010, the Fund extended its revolving line of credit with
Amegy Bank of Texas for
$5.0 million for follow-on
investments.
Richard F. Bergner, non-executive
Chairman of the Fund's Board of Directors, commented, "The Equus
portfolio performed poorly during 2009, with the Fund's net asset
value per share decreasing from $9.16 to
$5.74, or 37% during that period. In addition, the
Fund's stock price also significantly underperformed during 2009,
decreasing from $4.30 to $3.20, or
26% at year end. In view of these conditions, we have
undertaken significant changes to preserve liquidity and prepare
for future developments. These changes include the suspension
of dividends, the termination of certain follow-on investments, the
maintenance of a credit line to enhance liquidity and the
internalization of the management of the Fund. We believe
that these changes will enable Equus to capitalize on investment
and other value creating opportunities in 2010 and beyond."
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 Equus' website at 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 Company or any
other person that the events or circumstances described in such
statements are material.
CONTACT:
|
Brett Chiles
|
|
|
(713) 529-0900
|
|
|
|
SOURCE Equus Total Return, Inc.