Exhibit 99.1
EARNINGS RELEASE OF WESCO FINANCIAL CORPORATION FOR THE QUARTER ENDED
MARCH 31, 2004
WESCO FINANCIAL CORPORATION
301 East Colorado Boulevard, Suite 300
Pasadena, California 91101-1901
|
|
|
|
|
Contact: Jeffrey L. Jacobson
|
|
626/585-6700
|
|
|
FOR IMMEDIATE RELEASE — PASADENA, CALIFORNIA, May 8, 2004
|
|
|
Unaudited consolidated net income of Wesco Financial Corporation and its
subsidiaries for the first quarter of 2004 amounted to $12,198,000 compared
with $12,504,000 for the first quarter of 2003. The 2003 figure included
$527,000 of realized investment gains. No investment gains or losses were
realized in the first quarter of 2004.
Following is a breakdown of consolidated net income into useful business
components. All figures are on an after-tax basis. Per-share amounts are based
on 7,119,807 shares outstanding.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended March 31,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2004
|
|
2003
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount
|
|
Amount
|
|
|
|
|
|
|
|
|
|
|
Wesco-Financial and Kansas Bankers
insurance businesses —
|
|
|
|
|
|
|
|
|
|
|
Underwriting gain
|
|
$
|
5,004,000
|
|
|
$
|
4,868,000
|
|
|
|
Investment income
|
|
|
6,098,000
|
|
|
|
9,944,000
|
|
|
CORT furniture rental business
|
|
|
384,000
|
|
|
|
(3,022,000
|
)
|
|
Precision Steel businesses
|
|
|
630,000
|
|
|
|
63,000
|
|
|
Other
|
|
|
82,000
|
|
|
|
124,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12,198,000
|
|
|
|
11,977,000
|
|
|
Realized investment gains
|
|
|
—
|
|
|
|
527,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated net income
|
|
$
|
12,198,000
|
|
|
$
|
12,504,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per share
|
|
$
|
1.71
|
|
|
$
|
1.76
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated earnings before realized investment gains improved slightly
in the first quarter of 2004 from the comparable figure for the 2003 quarter.
Improved results of the furniture rental and industrial businesses were almost
entirely offset by reduced investment income of the insurance businesses that
resulted from a shift from long-term to short-term fixed-maturity investments
bearing lower interest rates.
Wesco’s Form 10-Q for the quarter ended March 31, 2004 is expected to be
filed electronically with the Securities and Exchange Commission on May 10,
2004, and we invite shareholders and the financial media to access it through
Wesco’s website (www.wescofinancial.com). The Form 10-Q will contain unaudited
condensed consolidated financial statements, management’s discussion and
analysis of financial condition and results of operations, and other
information.
# # # # #
3
Previous Section