Allied Capital Comments on Short Seller's Letter.WASHINGTON -- Allied Capital commented today on a letter that was sent to Allied Capital's Board of Directors by short-seller David Einhorn David Einhorn may refer to:
Allied Capital's Board of Directors is keenly aware of its fiduciary responsibilities to the Company's shareholders. Allied Capital finds it ironic that Mr. Einhorn claims to be speaking on behalf of shareholders' interests, when he continues to work against those interests and may profit from declines in the Company's stock price. Throughout the nearly five years of attacks, Mr. Einhorn has made numerous misleading allegations, typified by today's letter. The financial performance of Allied Capital over the past five years is the most eloquent response to Mr. Einhorn's allegations. Allied Capital generated an average annual total return for shareholders for the five years ended December 31, 2006 of 14.3% including dividends to shareholders totaling $1.46 billion over the same period. While Mr. Einhorn busied himself with repeated attacks against Allied Capital over the last five years, Allied Capital's Board of Directors and management have maintained their focus on creating shareholder value and building the Company. Allied Capital requests that Mr. Einhorn publicly come forward with full disclosure of his financial interests in the Company over the last five years, so that his financial incentive behind his attacks is known. Allied Capital and its Board of Directors are exploring potential alternatives to address the damage caused by Mr. Einhorn to this Company and its shareholders. About Allied Capital Allied Capital Corporation, a leading business development company with total assets of more than $4 billion, has paid regular, quarterly cash dividends to shareholders since 1963. Allied Capital invests in the American entrepreneurial economy by providing capital to companies seeking a long-term financial partner and access to managerial resources often unavailable to smaller companies. Since its IPO (Initial Public Offering) The first time a company offers shares of stock to the public. While not a computer term per se, many founders, employees and insiders of computer companies have found this acronym more exciting than any tech term they ever heard. in 1960, Allied Capital has provided long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. and equity financing Equity Financing The act of raising money for company activities by selling common or preferred stock to individual or institutional investors. In return for the money paid, shareholders receive ownership interests in the corporation. to thousands of middle market companies. In serving its shareholders, Allied Capital helps build middle market businesses and support American jobs. The Company's private finance portfolio includes investments in over 100 companies that generate aggregate revenues of more than $12 billion and employ more than 85,000 people. Allied Capital provides flexible, competitive debt and equity capital for management and sponsor-led buyouts, recapitalizations, acquisitions and growth of middle market companies. Allied Capital's seamless, one-stop financing capabilities include first and second lien A Second lien financing is a form of financing secured on a second ranking basis by (more or less) the same security, which secures the first ranking financing. The first lien lenders and the second lien lenders agree that, in the event of a security enforcement or bankruptcy, the senior loans, unitranche debt, junior or mezzanine debt and equity. Headquartered in Washington, DC, Allied Capital offers shareholders the opportunity to participate in the private equity industry through an investment in the Company's New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Stock Exchange-listed stock, which is traded under the symbol ALD ALD abbr. adrenoleukodystrophy ALD, n.pr See adrenoleukodystrophy. ALD aldolase. . For more information, please visit www.alliedcapital.com, call Allied Capital investor relations Investor relations The process by which the corporation communicates with its investors. toll-free at (888) 818-5298, or e-mail us at ir@alliedcapital.com. Forward-Looking Statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. The information contained in this press release contains forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements, and some of these factors are enumerated This term is often used in law as equivalent to mentioned specifically, designated, or expressly named or granted; as in speaking of enumerated governmental powers, items of property, or articles in a tariff schedule. in Allied Capital's periodic filings with the Securities and Exchange Commission. |
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