Home Cap­i­tal liq­uid­ity, credit at $2.57B on July 14

Stockwatch Daily - - FINANCE - Ms. Laura Le­pore re­ports

HOME CAP­I­TAL Group Inc.’s ag­gre­gate liq­uid­ity and credit ca­pac­ity po­si­tion as of July 14, 2017, has strength­ened sig­nif­i­cantly since the last up­date on June 29, 2017.

The com­pany con­tin­ues to source de­posits through its deposit bro­ker chan­nel and Oaken, its di­rect-to-con­sumer chan­nel, and has seen deposit in­flows re­turn to his­tor­i­cal av­er­ages. Ad­di­tion­ally, cash re­ceived from the com­ple­tion of the sale of com­mer­cial mort­gage as­sets and other re­cent trans­ac­tions pre­vi­ously an­nounced has added to the com­pany’s liq­uid­ity po­si­tion. Pro­ceeds from the sale of as­sets were used to re­duce the out­stand­ing bal­ance un­der the com­pany’s $2-bil­lion line of credit with Berk­shire Hath­away to $900-mil­lion out­stand­ing as of July 14, 2017.

The com­pany’s liq­uid­ity po­si­tion is sta­ble, and the next up­date will be on Aug. 2 with sec­ond-quar­ter 2017 fi­nan­cial re­sults.

Liq­uid­ity and deposit up­date

Ag­gre­gate avail­able liq­uid­ity and credit ca­pac­ity stood at ap­prox­i­mately $2.57-bil­lion, in­clud­ing the un­drawn amount of $1.1-bil­lion un­der the com­pany’s $2.0-bil­lion credit fa­cil­ity with Berk­shire Hath­away.

Home Trust high-in­ter­est sav­ings ac­count (HISA) deposit bal­ances stood at ap­prox­i­mately $104-mil­lion.

To­tal guar­an­teed in­vest­ment cer­tifi­cate (GIC) de­posits, in­clud­ing Oaken and bro­ker GICS, stood at ap­prox­i­mately $12.27-bil­lion, and Oaken sav­ings ac­counts stood at ap­prox­i­mately $165-mil­lion.

(See HCG Ta­ble 1 on page 37)

Home Trust and Home Bank are mem­bers of CDIC. De­posits with each are separately el­i­gi­ble for CDIC cov­er­age up to ap­pli­ca­ble lim­its.

About Home Cap­i­tal Group Inc.

Home Cap­i­tal Group is a pub­lic com­pany, traded on the Toronto Stock Ex­change (HCG), op­er­at­ing through its prin­ci­pal sub­sidiary, Home Trust Com­pany. Home Trust is a fed­er­ally reg­u­lated trust com­pany of­fer­ing res­i­den­tial and non-res­i­den­tial mort­gage lend­ing, se­cu­ri­ti­za­tion of in­sured res­i­den­tial mort­gage prod­ucts, con­sumer lend­ing and credit card ser­vices. In ad­di­tion, Home Trust of­fers de­posits via bro­kers and fi­nan­cial plan­ners, and through its di­rect-to-con­sumer deposit brand, Oaken Fi­nan­cial. Home Trust also con­ducts busi­ness through its wholly owned sub­sidiary, Home Bank.

Jac­que­line Beau­ri­vage, Robert J Blowes, Brenda J Eprile, Paul G Hag­gis, Alan Roy Hibben, Claude R Lamoureux, James Lis­son, Sharon H Sal­lows, Bonita Joan Then

(HCG) Shares: 80,246,349

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