NEW YORK, March 1, 2007 (PRIME NEWSWIRE) -- PIMCO High Income Fund (the "Fund") (NYSE:PHK), a diversified, closed-end management investment company which seeks high current income with capital appreciation as a secondary objective, today announced its results for the fiscal quarter and nine months ended December 31, 2006.
At December 31, At December 31,
2006 2005
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Net Assets (a) $ 2,637,331,449 $ 2,596,095,362
Common Shares Outstanding 115,345,691 114,341,261
Net Asset Value ("NAV") $ 15.06 $ 14.83
Market Price $ 15.95 $ 14.60
Premium (Discount) to NAV 5.91% (1.55)%
Quarter ended Quarter ended
December 31, 2006 December 31, 2005
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Net Investment Income (b) $ 48,602,643 $ 47,415,774
Per Common Share (b) $ 0.41 $ 0.41
Net Realized and Change in
Unrealized Gain (Loss) (b) $ 66,960,499 $ (19,578,679)
Per Common Share (b) $ 0.59 $ (0.16)
3 Month Average Undistributed
Net Investment Income Per
Common Share (c) $ 0.0476 $ 0.0085
Nine Months ended Nine Months ended
December 31, 2006 December 31, 2005
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Net Investment Income (b) $ 144,719,254 $ 140,792,075
Per Common Share (b) $ 1.25 $ 1.23
Net Realized and Change in
Unrealized Gain (Loss) (b) $ 57,416,895 $ (9,603,081)
Per Common Share (b) $ 0.50 $ (0.08)
(a) Net assets are inclusive of market value of Preferred shares of
$900 million.
(b) The information provided is in accordance with generally accepted
accounting principles ("GAAP"), which requires the Fund to treat
amounts received (paid) under swap agreements as net realized gain
(loss). However, these amounts are treated as net income(loss)for
federal income tax purposes. By using GAAP, Net Investment
Income for the quarter and nine months ended December 31, 2006 was
$5,070,895 ($0.05 per common share) and $14,832,211 ($0.13 per
common share), respectively, lower (and Net Realized and Change
in Unrealized Gain(Loss)correspondingly higher (lower)) than
those figures would have been if swap amounts were treated as net
income(loss) in accordance with federal income tax treatment. By
using GAAP, Net Investment Income for the quarter and nine months
ended December 31, 2005 was $2,632,770 ($0.02 per common share)
and $10,284,616 ($0.09 per common share), respectively, lower (and
Net Realized and Change in Unrealized Gain (Loss) correspondingly
higher (lower)) than those figures would have been if swap amounts
were treated as net income (loss) in accordance with federal
income tax treatment.
(c) Calculated using the estimated month-end tax basis balances for
the three months ended December 31, 2006 and December 31, 2005,
respectively. Please note that generally there is a close
correlation between what the Fund earns (net of expenses) and what
it pays in monthly dividends. However, since net earning rates
fluctuate from month to month while monthly dividends have
remained relatively stable, there will be periods when the Fund
may modestly over-earn or under-earn its monthly dividend, which
would have the effect of adding to or subtracting from the Fund's
undistributed (overdistributed) net investment income balance.
Fund management analyzes the current and projected net earning
rates prior to recommending dividend amounts to the Fund's Board
of Trustee for declaration. There can be no assurance that the
current dividend rate or the undistributed (overdistributed) net
investment income balance will remain constant. Inclusive of
amounts earned under swap agreements, in accordance with federal
income tax treatment.
Allianz Global Investors Fund Management LLC, an indirect, wholly-owned subsidiary of Allianz Global Investors of America L.P., serves as the Fund's investment manager and is a member of Munich-based Allianz Group(NYSE:AZ). Pacific Investment Management Company LLC, an Allianz Global Investors Fund Management affiliate, serves as the Fund's sub-adviser.
The Fund's daily New York Stock Exchange closing price, net asset value per share, as well as other information, is available at http://www.allianzinvestors.com/closedendfunds or by calling the Fund's shareholder servicing agent at (800) 331-1710.
The financial information contained herein is solely based upon the data available at the time of publication of this press release, and there is no assurance that any future results will be the same or similar to what is reported herein. Information that was obtained from third party sources we believe to be reliable is not guaranteed as to its accuracy or completeness. This press release contains no recommendations to buy or sell any specific securities and should not be considered investment advice of any kind. Past performance is no guarantee of future results and the investment returns generated by the Fund will fluctuate. In making any investment decision, individuals should utilize other information sources and the advice of their own professional adviser.