02/25 12:17 First Australia Prime Income Fund Responds to Mini-Tender Offer FAX.A>
First Australia Prime Income Fund Responds to Mini-Tender Offer NEW YORK, Feb. 25 /PRNewswire/ -- The First Australia Prime Income Fund, Inc. (Amex: FAX; PCX), said today it had been made aware of an unsolicited tender offer for 2% of the outstanding shares of the Fund's common stock by an offerer identified as "KPartners." The Fund strongly recommends that its shareholders reject this offer. The price being offered by "KPartners", based on current market prices, is well below the amount a shareholder could receive by selling in the public market. "KPartners" offering price of $4.75 is 16% lower than the lowest price of the Fund in 1999. "KPartners" has not informed the Fund of its offer, and the Fund has no information at all as to their identity. According to Laurence Freedman, Chairman of the Fund, the offer is one of a recent flurry of offers intended to acquire shares from unsuspecting shareholders at prices well below current market values. The Fund's Investment Manager is EquitiLink International Management Limited and its Investment Advisor is EquitiLink Australia Limited. SOURCE First Australia Prime Income Fund, Inc. -0- 02/25/99 /CONTACT: Laurence Freedman or Brian Sherman of The First Australia Prime Income Fund, Inc., 011-612-9950-2888; or Richard Strickler of EquitiLink USA, 800-522-5465; or Judy Inosanto or Ralph Richardson of Dewe Rogerson Inc., 800-626-0993, for First Australia/ /Web site: http://www.dewerogerson.com/ /Web site: http://www.equitilink.com -- NYTH064 -- 8235 02/25/99 12:02 EST http://www.prnewswire.com Copyright PR Newswire 1998. All rights reserved.
Copyright 1999 Reuters Limited. All Rights Reserved.
02/18 16:08 First Australia Prime Income Fund Announces Performance Data and <FAX.A>
First Australia Prime Income Fund Announces Performance Data and Portfolio Composition NEW YORK, Feb. 18 /PRNewswire/ -- First Australia Prime Income Fund, a closed-end bond fund (Amex: FAX; PCX), today announced performance data for the periods ended December 31, 1998 and the portfolio composition details as at January 31, 1999. First Australia Prime Income Fund's total return for various periods from its inception in April 1986 to December 31, 1998 are provided below. (All figures are based on distributions reinvested, including long-term capital gains): NAV Return Market Price Return Period Cumulative Annualized Cumulative Annualized Since inception (April 1986) 199.6% 9.0% p.a. 159.3% 7.8% p.a. 10-Year 87.6% 6.5% p.a. 89.8% 6.6% p.a. 5-year 8.0% 1.5% p.a. -11.8% -2.5% p.a. 3-year -6.0% -2.0% p.a. -18.3% -6.5% p.a. 1-year -7.7% -13.5% As of January 31, 1999, the average maturity of the portfolio was 6.0 years and the breakdown of the maturity and credit quality of the portfolio was as follows: Maturity 1 Year 1-5 Years 5-10 Years 10 Years 9.9% 37.1% 43.0% 10.0% Credit Quality AAA/Aaa AA/Aa A BBB/Baa BB/Ba 56.9% 23.2% 3.4% 4.0% 12.5% As of January 31, 1999, the portfolio was invested as follows: Country Currency Australia 82.2% 82.2% South Korea 9.0% 0.6% Philippines 3.7% 0.9% Thailand 3.0% 1.6% China 2.5% 0.1% Hong Kong 0.3% 0.3% New Zealand 0.6% 0.6% United States -1.3% 13.7% The Fund's cash distribution rate for the 12-month period ended January 31, 1999 was 12.3%, based on a share price of $5.88. As of January 31, 1999 the Fund's Net Asset Value was $6.75 per share. First Australia Prime Income Fund, Inc. is managed by EquitiLink International Management Limited and is advised by EquitiLink Australia Limited. The Manager has prepared this report based on information sources believed to be accurate and reliable. However, the figures are unaudited and neither the Fund, the Manager, the Investment Advisor nor any other person guarantees their accuracy. Investors should seek their own professional advice before acting on this information. EXPLORE EQUITILINK'S WEBSITE: http://www.equitilink.com Would you like to receive this information electronically? Contact firstname.lastname@example.org. SOURCE The First Australia Prime Income Fund, Inc. -0- 02/18/99 /CONTACT: Brian Sherman of The First Australia Prime Income Fund, 011-612-9950-2888; or Richard Strickler of EquitiLink USA, 800-522-5465; or Ralph Richardson or Patty Baronowski of Dewe Rogerson Inc., 800-323-9995, for First Australia Prime Income Fund/ /Web site: http://www.equitilink.com/ -- NYTH111 -- 7897 02/18/99 15:53 EST http://www.prnewswire.com Copyright PR Newswire 1998. All rights reserved.
do you think all of those statistics really say? We both know one thing to be a fact; FAX's market value decreased from approximately $10 to $5.30 and its NAV didn't fare much better. Please explain in your own words what kind of a future that you think FAX has based on what you posted.
I think FAX is a good buy at these levels. I feel that way because the AUS Dollar is closer to its lows than to its highs compared to the US Dollar. It's selling at a healthy discount to its underlying NAV. There are several other compelling reasons, but I've been wrong before. I'm interested in what you think. Please share.