NEW YORK, Dec. 14, 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 six months ended September 30, 2007.
At September 30, 2007 At September 30, 2006
--------------------- ---------------------
Net Assets (a) $2,560,664,088 $2,587,305,882
Common Shares
Outstanding 116,037,687 114,943,917
Net Asset
Value ("NAV") $14.31 $14.68
Market Price $14.57 $15.75
Premium to NAV 1.82% 7.29%
Quarter ended
September 30, 2007 September 30, 2006
------------------ ------------------
Net Investment
Income (b) $51,159,996 $49,567,453
Per Common
Share (b) $0.44 $0.43
Net Realized and
Change in
Unrealized Gain
(Loss) (b) $(36,712,737) $46,356,860
Per Common
Share (b) $(0.32) $0.40
Undistributed
Net Investment
Income Per
Common Share (e) $0.054 (c) $0.007 (d)
Six Months ended
September 30, 2007 September 30, 2006
------------------ ------------------
Net Investment
Income (b) $101,539,884 $96,116,611
Per Common
Share (b) $0.88 $0.84
Net Realized
and Change in
Unrealized
Loss (b) $(94,909,123) $(9,543,604)
Per Common
Share (b) $(0.82) $(0.09)
(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 six months ended September
30, 2007 was $7,675,006 ($0.07 per common share) and $13,509,515
($0.12 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 six months ended September 30, 2006 was $5,798,939
($0.05 per common share) and $9,761,316 ($0.08 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 treated as net income (loss) in
accordance with federal income tax treatment.
(c) Calculated using the accumulated balance at September 30, 2007.
(d) Calculated using the average fiscal year-to-date month-end
balances for the three months ended September 30, 2006.
(e) 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 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 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.