Interim Management Statement

RNS Number : 3378Q

Scottish American Investment Co PLC

08 April 2009

 

THE SCOTTISH AMERICAN INVESTMENT COMPANY P.L.C.

Interim Management Statement - 3 months to 31 March 2009

SAINTS' objective is to increase capital and grow income in order to deliver real dividend growth. Its policy is to invest flexibly and actively across a broad range of assets and markets. Listed equities, both UK and overseas, form the largest part of the portfolio. Investments are also made in bonds, property and other asset classes.

Review of the Period

·	Over the period, the Company’s net asset value total return (with debt at fair value) was -5.5% and the share price total return was -4.7%. This compares to a total return on the benchmark of -9.6%.
·	A final dividend of 2.25p per share is proposed and, subject to approval at the Annual General Meeting on 9 April 2009, will be paid on 15 April 2009.
Asset Allocation					Top Ten Holdings
Category		% of total assets at 31/03/09	% of total assets at 31/12/08		Name	% of total assets at 31/03/09	% of  total assets at 31/12/08
UK Quoted Equities*		21.1	22.1		Brazil CPI Linked 2045	4.1	3.5
Overseas Quoted Equities*		42.1	41.4		Athena Debt Opportunities Fund	3.8	4.8
Total Quoted Equities*		63.2	63.5		Cambium Global Timberland	3.8	3.5
Quoted Equity Forestry   Investments		3.8	3.5		Petrobras	3.6	3.3
Quoted Equity Property Investments		2.2	2.2		Bay Haven FRNs 2009/10	3.4	3.2
Direct Property		8.8	8.3		Baillie Gifford Greater China Fund	2.3	2.1
Unquoted		0.7	0.7		Baillie Gifford High Yield Bond Fund	2.3	2.2
Fixed Interest		21.0	21.2		Holiday Village in New Romney	2.0	1.9
Net Liquid Assets		0.3	0.6		British Gas 7.25% 2008 **	2.0	1.8
					Quorum Oil and Gas	1.9	1.9
Total		100.0	100.0		Total	29.2	28.2

*       Excludes quoted equity property and forestry investments

**    This investment is a structured note, the capital performance of which is dependent upon the share price of 

        BG Group.

Total Return Performance

	%
	3 Months	1 Year	3 Years	5 Years
Share Price	-4.7	-40.3	-42.2	-4.2
NAV (debt at book value)	-7.4	-42.1	-43.8	-11.8
Benchmark*	-9.6	-26.4	-25.0	9.5

Source: Thomson Financial Datastream/Baillie Gifford & Co.

* On 1 January 2009 the Company changed its benchmark from 70% FTSE All-Share Index and 30% FTSE World Ex UK Index (in sterling terms) to 50% FTSE All-Share Index and 50% FTSE All World Ex UK Index (in sterling terms). For the purposes of the above table the returns on both benchmarks for their respective periods have been linked to form a single benchmark.

Past performance is not a guide to future performance

General Information
	31/03/09	31/12/08
Share price	122.0p	130.5p
Net asset value per share (after deducting debenture at fair value)*	135.2p	145.3p
Discount (debenture at fair value)	9.8%	10.2%
Total assets (before deduction of  debenture)	£271.3m	£289.1m
Debenture (at fair value)	£92.1m	£96.6m
Potential Gearing (debenture at fair value)	51.4%	50.2%
Gearing less cash (debenture at fair value)	48.0%	48.6%
Gearing less cash and fixed interest (debenture at fair value)	16.2%	16.7%
Potential Gearing (debenture at book)	48.2%	44.0%
Gearing less cash (debenture at book)	44.8%	42.5%
Gearing less cash and fixed interest (debenture at book)	13.7%	11.9%

*Net asset value per share at 31 March 2009 excludes current year income and is stated after deduction of the proposed final dividend of 2.25p, payable 15 April 2009 (ex-dividend 11 March 2009), in accordance with AIC guidance.

This interim management statement and up to date NAV and share price information is available on the SAINTS' page of the Managers' website www.saints-it.com.

For further information contact:-  Robert O'Riordan on 0131 275 3181

 

END

 

 

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