Released on April 25, 2007
Investment Saskatchewan Inc. tabled its 2006 annual report before the Saskatchewan Legislature today.
Investment Saskatchewan’s net earnings were $72.9 million, compared to a loss in 2005 of $87.7 million. The Corporation also finished the year with a strong cash position of $174.2 million, compared to $182.4 million in 2005. These positive outcomes resulted from the profitable performance of the investments in the Corporation’s $450 million portfolio plus a reduction of provisions taken against certain investments in prior years.
“Investment Saskatchewan had an exceptional year in 2006, including new investment commitments of over $50 million, four major divestitures, creation of an investment management company and payment of a significant distribution to Crown Investments Corporation,” Minister responsible for Investment Saskatchewan Eric Cline said. “The companies that make up the investment portfolio generate significant economic activity in our province.”
Investment Saskatchewan continued to work through the Court monitored process for the Meadow Lake pulp mill, resulting in Court approval early in 2007 to sell the mill. The sale has allowed the Meadow Lake pulp mill the opportunity for a viable future under new ownership. The sale transaction closed in late January 2007.
In 2006, Investment Saskatchewan delivered on its goal to seek private sector management of the investment portfolio. Following a comprehensive process, the Investment Saskatchewan Board choose a made-in-Saskatchewan approach and created Victoria Park Capital Inc. effective Nov. 1, 2006. Victoria Park Capital will manage the investment portfolio and pursue new investment opportunities under contract with Investment Saskatchewan.
The Investment Saskatchewan Inc. Annual Report can be accessed at www.investsask.com.
About Investment Saskatchewan
Investment Saskatchewan is a designated subsidiary crown corporation under The Crown Corporations Act, 1993 and an incorporated entity under The Business Corporations Act (Saskatchewan). The Corporation presently holds an investment portfolio of $450 million in a variety of industries and can place up to $35 million in new investment in 2007. Portfolio management and new investment activity is provided on contract by private sector managers. Investment Saskatchewan’s head office is located in Regina.
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For more information, contact:
Ladette Fuchs
Investment Sask.
Regina
Phone: 306-787-5279
Email: lfuchs@investsask.com