Question-and-Answer Session
Operator
(Operator Instructions) Your first question today comes from Michael Goldberg with Desjardins Securities. Please go ahead.
Michael Goldberg - Desjardins Securities
Have a few questions first of all with a $118 million total loss including the $128 million in losses from the discontinued in run-offs of business. It implies that $10.7 million profit from continuing operations. Is this correct and can we view the roughly $0.20 per share earnings per share impact this amounts to, as indicative of the companies earning power you think can be sustained in 2010.
Daniel Brazier
You are right, the continuing operations was approximately $10.7 million in the quarter and I wouldn't say that there are some one-off gains in those numbers, but its starting to show a trend. It's starting to show some improvement and I think it's something that we look forward.
Michael Goldberg - Desjardins Securities
Can you give us some idea at this point of what you think normalized earnings power from continuing operations could be?
Daniel Brazier
Yeah Mike. We can't answer this, to go a point in time, we are still going through our planning cycle and so hopefully next quarter we can give you a better indication as to where that's going to lie.
Michael Goldberg - Desjardins Securities
Also I have a couple of other questions, you said the contribution of the Walshire shares to charities presents no potential liability to the charities. Is there any additional potential liability to Kingsway, if the run-off goes worse than expected?
Daniel Brazier
No.
Michael Goldberg - Desjardins Securities
And secondly, why distribute the Walshire shares so that no one ends up owning more than 5% of those shares. Is there a technical or legal reason for doing it that way and was this disposition cleared with the Pennsylvania Department of Insurance.
Colin Simpson
Yeah and when we chose to proceed the way we did by some of the advice of our advisors and we structured the transaction, so that our actions accorded with our contractual and statutory obligations.
Michael Goldberg - Desjardins Securities
What does that mean?
Colin Simpson
Basically, answers your question that we took the advice of our advisors and we executed inline with our contractual and statuary obligations.
Michael Goldberg - Desjardins Securities
And finally, does an open dialogue include returning phone calls from analysts in the future unlike the past?
Colin Simpson
Yes, Michael. It does. The challenge that we've had as many of you are aware and you probably hear, is the fact that we've had an incredible amount of challenge to deal with here within the group and I think our shareholders would prefer our full attention with on fixing those problems and that has been our full focus of the last few quarters, but as we move forward and progress, as evidenced through our group then certainly more open dialogue will be forthcoming.
- To read the full transcript on Seeking Alpha, click here »
