Asset Managers Reports Third Quarter 1999 Results.SADDLE saddle, seat or pad to support the rider on an animal, chiefly a horse. The saddles mentioned in the Bible are generally considered to have been saddlecloths. The ancient Greeks sometimes used saddlecloths, but they had no saddles and often rode bareback. BROOK A brook is a small stream. Brook may refer to the following places:
Lexington Lexington. 1 City (1990 pop. 225,366), seat of Fayette co., N central Ky., in the heart of the bluegrass region; inc. 1832, made coextensive with Fayette co. 1974. Global Asset Managers, Inc. (Nasdaq: LGAM LGAM Laguna Gloria Art Museum (Austin, Texas) ) today reported operating results for the third quarter of 1999. For the quarter ended September September: see month. 30, 1999, the Company reported a net loss of $299,043 or ($0.07) per share, compared with net income of $89,017 or $0.02 per share in the third quarter of 1998. Revenues for the quarter amounted to $4.8 million, which are $0.3 million above the third quarter of 1998. Total expenses of $5.3 million are $1.0 million above the $4.3 million recorded in the third quarter of 1998. Year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. earnings were $100,224 or $0.02 per share, compared with $496,051 or $0.10 per share in the prior year. Total revenues year to date were $14.0 million in comparison to $14.5 million in the prior year period. Year-to-date expenses of $13.7 million are $0.2 million higher than the $13.5 million recorded for the nine months ended September 30, 1998. Total assets under management Assets Under Management (AUM) is a term used by financial services companies in the mutual fund and money management or investment management business to gauge how much money they are managing. at September 30, 1999 were even with September 30, 1998 at $3.2 billion. Mutual fund assets Fund assets The total value of a portfolio's securities, cash, and other holdings, minus any outstanding debts. under management decreased approximately $0.2 billion to $1.5 billion from $1.7 billion in the year earlier period. The decrease is mainly attributable to the termination of a sub-advisory relationship with one of the Company's largest accounts in the fourth quarter of 1998. Assets under management in this relationship were approximately $400 million. Private account assets increased $0.1 billion to $0.6 billion, while institutional assets also showed a $0.1 billion increase to $1.1 billion. Total revenues for the third quarter of $4.8 million are $0.3 million above the third quarter of 1998. Other management fees increased $0.4 million, which is associated with higher assets under management in the private account and institutional segments. Other income increased approximately $0.1 million as a result of unrealized appreciation/(depreciation), which was relatively flat in the third quarter of 1999 versus unrealized depreciation of $0.2 million in the third quarter of 1998. The unrealized appreciation/depreciation stems from investments in a number of the products managed by the Company. Mutual fund revenues decreased $0.2 million to $2.4 million with the decline in assets under management. Of this decline, $0.4 million is due to the termination of a sub-advisory relationship. The total expenses for the quarter of $5.3 million increased $1.0 million, due entirely to salaries and other compensation, which increased $1.0 million. The increase reflects the severance package A severance package is pay and benefits an employee receives when they leave employment at a company. In addition to the employee's remaining regular pay, it may include some of the following:
Year-to-date revenues of $14.0 million are $0.5 million below last year. Mutual fund revenues decreased $1.8 million from $8.6 million to $6.8 million. Of this decline, $1.3 million is a result of the termination of a sub-advisory relationship with one of the Company's larger accounts in the fourth quarter of 1998. Also contributing to the decline are the Company's emerging markets funds, which, compared to the prior year period, experienced a decrease in average net assets Net assets The difference between total assets on the one hand and current liabilities and noncapitalized long-term liabilities on the other hand. net assets See owners' equity. in an environment of continuing strength in the U.S. capital markets. Other management fees shows a $0.9 million increase, due to higher assets under management in the private account and institutional segments. There was also a $0.4 million increase in other income primarily as a result of unrealized appreciation of $0.1 million at September 30, 1999 versus unrealized depreciation of $0.3 million at September 30, 1998. Total year-to-date expenses of $13.7 million increased $0.2 million from September 30, 1998. The increase is due to salaries and other compensation, which increased $0.9 million to $7.8 million, as a result of the severance package and bonus increase referred to earlier in this release. Offsetting the increase in salaries and other compensation is a decrease in administrative and general expense (which decreased $0.5 million to $5.4 million), and selling and promotional expenses Noun 1. promotional expense - the cost of promoting a product business expense, trade expense - ordinary and necessary expenses incurred in a taxpayer's business or trade (which decreased $0.2 million to $0.6 million). Administrative and general expenses declined primarily due to lower sub-advisory fees and trail commissions, reflecting lower assets under management. Selling and promotional expenses decreased $0.2 million due to lower advertising expenditures. During the third quarter, the Company repurchased 107,500 shares of its stock in conjunction with its share repurchase Share Repurchase A program by which a company buys back its own shares from the marketplace, reducing the number of outstanding shares. This is usually an indication that the company's management thinks the shares are undervalued. program. Prior year numbers have been reclassified to conform with current year presentation. Lexington Global Asset Managers, Inc. is a financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. holding company that offers, through its subsidiaries, a variety of asset management services to retail investors Retail Investor Individual investors who buy and sell securities for their personal account, and not for another company or organization. Notes: Retail investors buy in much smaller quantities than larger institutional investors. , institutions, and high net worth individuals. The Company's principal subsidiaries include Lexington Management Corporation and Lexington Funds Distributor, which market, promote, and distribute the Lexington family of mutual funds. -0-
LEXINGTON GLOBAL ASSET MANAGERS, INC.
THIRD QUARTER RESULTS 1999
THIRD QUARTER THIRD QUARTER
3 MONTHS 9 MONTHS
1999 1998 1999 1998
(Unaudited) (Unaudited)
Total
revenues $4,801,869 $4,505,184 $14,010,636 $ 14,513,860
---------- ---------- ----------- --------------
Net income ($ 299,043) $ 89,017 $ 100,224 $ 496,051
========== ========== =========== ==============
Basic
earnings
per share ($ 0.07) $ 0.02 $ 0.02 $ 0.10
========== ========== =========== ==============
Diluted
earnings
per share ($ 0.07) $ 0.02 $ 0.02 $ 0.10
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