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CreXus Investment Corp. Declares 2nd Quarter 2011 Dividend of $0.25 per Share; Announces Expansion of its Investment Team

^{Published on 2011-06-16 14:00:38 - Market Wire}
 

NEW YORK--([ BUSINESS WIRE ])--The Board of Directors of CreXus Investment Corp. (NYSE: CXS) declared the second quarter 2011 common stock cash dividend of $0.25 per common share. This dividend is payable July 28, 2011 to common shareholders of record on June 29, 2011. The ex-dividend date is June 27, 2011.

In a separate release, CreXusa™ investment manager, FIDAC, today announced an expansion of its investment team. A team led by Gordon DuGan has joined the firm to lead the effort to originate and manage global equity real estate investment opportunities. Mr. DuGan is the Global Head of Equity Commercial Real Estate Investments.

Gordon DuGan has over 20 years of senior management experience in the real estate industry. For five years, he was CEO of W.P. Carey & Co., a real estate investment company with $10 billion of assets under management.

Kevin Riordan, President and CEO of CreXus, commented on the announcements. aIa™m pleased with the quarterly performance of CreXus in this, the first full quarter after our transformative acquisition of the Barclays portfolio and related capital raise. As we have discussed, we believe shareholders will see the incremental financial impact of our more diverse and sizeable platform in the second half of this year and beyond. Moreover, with the addition of the team led by Gordon DuGan, FIDAC adds a new dimension to the investment expertise and pipeline of opportunities for CreXus.a

CreXus distributes dividends based on its current estimate of taxable earnings per common share, not GAAP earnings. Taxable and GAAP earnings will typically differ due to items such as differences in premium amortization and discount accretion, non-taxable unrealized and realized gains and losses, credit loss recognition, and non-deductible general and administrative expenses.

CreXus acquires, manages and finances, directly or through its subsidiaries, commercial mortgage loans and other commercial real estate-related debt, commercial mortgage-backed securities, other commercial real estate-related assets and, to the extent necessary for regulatory purposes, residential mortgage-backed securities. Our principal business objective is to provide attractive risk-adjusted returns to our investors over the long-term, primarily through dividends and secondarily through capital appreciation. We are a Maryland corporation that has elected to be taxed as a real estate investment trust (aREITa), and currently have 76.6 million shares of common stock outstanding.

This news release and our public documents to which we refer contain or incorporate by reference certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements which are based on various assumptions (some of which are beyond our control) may be identified by reference to a future period or periods or by the use of forward-looking terminology, such as abelieve,a aexpect,a aanticipate,a aestimate,a aplan,a acontinue,a aintend,a ashould,a amay,a awould,a awilla or similar expressions, or variations on those terms or the negative of those terms. Actual results could differ materially from those set forth in forward-looking statements due to a variety of factors, including, but not limited to, our business and investment strategy; our projected financial and operating results; our ability to obtain and maintain financing arrangements and the terms of such arrangements; general volatility of the markets in which we acquire assets; the implementation, timing and impact of, and changes to, various government programs; our expected investments; changes in the value of our investments; interest rate mismatches between our investments and our borrowings used to fund such purchases; changes in interest rates and mortgage prepayment rates; effects of interest rate caps on our adjustable-rate investments; rates of default or decreased recovery rates on our investments; prepayments of the mortgage and other loans underlying our mortgage-backed or other asset-backed securities; the degree to which our hedging strategies may or may not protect us from interest rate volatility; impact of and changes in governmental regulations, tax law and rates, accounting guidance, and similar matters; availability of investment opportunities in real estate-related and other securities; availability of qualified personnel; estimates relating to our ability to make distributions to our stockholders in the future; our understanding of our competition; market trends in our industry, interest rates, the debt securities markets or the general economy; our ability to maintain our exemption from registration under the Investment Company Act of 1940, as amended; and our ability to maintain our qualification as a REIT for federal income tax purposes. For a discussion of the risks and uncertainties which could cause actual results to differ from those contained in the forward-looking statements, see aRisk Factorsa in our most recent Annual Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. We do not undertake, and specifically disclaim all obligations, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.