[caption id="attachment_3110" align="alignright" width="150" caption="Photo by Andrew Mason"][/caption]
For a friend who is hot on Saizen.
On Saizen's income (in Saizen REIT's quarterly report, 11 Feb 10):
"Operationally, Saizen REIT is not losing money. I think this is what you are concerned about. In fact, it made more money than the same period last year. This is remarkable if you realise that it has done this after selling away five properties.
"Look at net income from operations. It is up 5.3%. What makes it looks bad is this: Net fair value loss on financial derivatives. This has a loss of JPY401.7m for the period reported.
"....... their explanation that this is for "mainly fair value losses on warrants of JPY 389.0 million, which arose due to the increase in market-traded price of the warrants."
"This really has no material impact on Saizen REIT real profitability. If you take the sum of JPY 389.0 million out, what you get is actually a profit....." Read more...