Altisource Residential Corporation Reports Fourth Quarter and Period End Results FREDERIKSTED, United States Virgin Islands, Feb. 7, 2013 (GLOBE NEWSWIRE) -- Altisource Residential Corporation (Residential or the Company) (NYSE:RESI) announced today financial and operating results for the fourth quarter and period from inception (June 7, 2012) to December 31, 2012. Net loss attributable to common stockholders for the fourth quarter and for the period from inception to December 31, 2012 totaled $89,000, or $(0.01) per share based on 7.8 million shares outstanding. The results of the fourth quarter and period ended December 31, 2012 include 10 days of operations commencing on the close of business on December 21, 2012. Fourth quarter and period ending December 31, 2012 highlights: *As of the close of business on December 21, 2012, we became a stand-alone public company through the separation of our business from Altisource Portfolio Solutions S.A. (Altisource) and the distribution of our shares to the shareholders of Altisource. *In connection with the separation, we were capitalized with $100 million of cash and entered into an asset management agreement with Altisource Asset Management Corporation (AAMC), a mortgage servicing agreement with Ocwen Mortgage Servicing Inc. (Ocwen) and a master services agreement with a subsidiary of Altisource as well as other support services and trademark licensing agreements. *We incurred $89,000 of net loss attributable to common stockholders consisting of general and administrative expenses incurred directly by Residential or incurred by AAMC and attributable and reimbursable by Residential. *In December 2012, we committed to invest $18 million for 100% of the preferred stock of NewSource, a title insurance and reinsurance company. Chairman William Erbey stated, "As expected, we successfully completed our separation from Altisource in December 2012. We were capitalized with cash available for investment and are actively performing due diligence on select non-performing loan portfolios. I am pleased with the progress Residential has made in its brief history and believe we have a solid foundation to deliver long-term value to our shareholders." "Results for Residential for the quarter and period ending December 31, 2012 predictably reflect costs to operate as a new public company," said Chief Executive Officer Ashish Pandey. "Residential, supported by AAMC, Ocwen and Altisource has a highly differentiated business model and is positioned to create value from a proven platform in the coming year." Webcast Residential will not hold an earnings call concerning 2012 fourth quarter results because the results only include 10 days of operations in 2012 after the separation from Altisource was completed. Residential expects that it regularly will hold earnings calls in future periods. About Residential Residential is engaged in the acquisition and ownership of single-family rental assets. Its primary sourcing strategy is to acquire these assets by purchasing sub-performing and non-performing mortgages as well as single-family homes at or following the foreclosure sale. Additional information is available at www.altisourceresi.com Forward-Looking Statements This press release contains forward-looking statements that involve a number of risks and uncertainties. Those forward-looking statements include all statements that are not historical fact, including statements about management's beliefs and expectations. Forward-looking statements are based on management's beliefs as well as assumptions made by and information currently available to management. Because such statements are based on expectations as to future economic performance and are not statements of historical fact, actual results may differ materially from those projected. Residential undertakes no obligation to update any forward-looking statements whether as a result of new information, future events or otherwise. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to: Residential's ability to achieve its business and strategy and implement its business plan; Residential's ability to leverage strategic relationships on an efficient and cost-effective basis, its ability to compete; general economic and market conditions; governmental regulations, taxes and policies; availability of adequate and timely sources of liquidity and financing; and other risks and uncertainties detailed in the "Forward-Looking Statements," "Risk Factors" and other sections of Residential's Registration Statement on Form 10, its Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. Altisource Residential Corporation Consolidated Balance Sheet (In Thousands, Except Share and Per Share Amounts) December 31, 2012 Assets: Cash and Cash Equivalents $100,005 Prepaid and Other Assets 6 Total Assets: 100,011 Liabilities: Accounts Payable and Accrued Expenses 46 Related Party Payables 54 Total Liabilities: 100 Commitments and Contingencies Equity: Class B Common Stock, $.01 Par Value,100,000,0000 Authorized 78 Shares; and 7,810,708 Shares Issued and Outstanding Additional Paid-in Capital 99,922 Accumulated Net Loss Attributable to Class B Common Stock (89) Total Equity: 99,911 Total Liabilities and Equity: $100,011 Altisource Residential Corporation Consolidated Statement of Operations (In Thousands, Except Share and Per Share Amounts) June 7, 2012 (Inception) to December 31, 2012 Expenses: General and Administrative $ 47 Expense Reimbursement 42 Total Expenses 89 Net (Loss) (89) (Loss) Attributable to Common Stockholders $ (89) (Loss) Per Share of Class B Common Stock – Basic: (Loss) Per Basic Share $ (0.01) Weighted Average Class B Common Stock Outstanding – 7,810,708 Basic (Loss) Per Share of Class B Common Stock – Diluted: (Loss) Per Diluted Share $ (0.01) Weighted Average Class B Common Stock Outstanding – 7,810,708 Diluted CONTACT: Rachel Ridley Chief Financial Officer T: (770) 818-4027 E: Rachel.Ridley@altisourceresi.com
Altisource Residential Corporation Reports Fourth Quarter and Period End Results
Press spacebar to pause and continue. Press esc to stop.