Apr 13th 2008, 14:49 SAS Special Situations
by Wenden Xeno

Monthly Financials - March Period

Monthly Report- March period

Highlights:

Assets up 9.5% to 329,588L

All POS have risen in value

YEP and ACE stocks of elevated risk

Share price up 10% to 1.10L

Dividend of 0.00695 to be paid

March has been a sensational debut for Special Situations at the Ancapistan Capital exchange. The 300,000L IPO was so quickly filled that we floated 2 weeks earlier than anticipated, and all our investments have risen in value allowing us to sell some shares to post an unexpected March dividend of 0.00695L per share.

The Assets under our management have risen in value to 329588- a 9.5% increase on IPO. This is due to the positive performance of our share portfolio- and such gains gives us the luxury of selling shares in the future to return profits to our shareholders as well as a reliable dividend income.

ISE listed JAM was our best investment- our 100,000L stake rising 19% in value. We tried to buy up as much ACE listed BDVR as possible however met a stumbling block at around 9000 as competing buyers entered the trading pit inflating the price. We plan to top up on more BDVR should an opportunity arise, as it offers one of the best dividend yields in Second Life. We have also invested in 50,000 ACE IPO shares. It took some deep soul searching but a lack of liquidity elsewhere forced us to invest in some SLCAPEX stocks. I am pleased with our NDX purchase but we were stung when those SLCAPEX crims froze YEP on some trumped up charge.

We have about 25,000L worth of YEP shares, which are currently frozen assets over at the SLCAPEX. I am hopefull that YEP will delist or come to some arrangement allowing us access to our investment but at the moment the worst case scenario is that these assets will have to be written off.

You will all be aware of the current ACE shutdown which places 135,000L of SAS assets in an elevated risk situation. I am confident that Intlibber will be able to restore ACE soon and so urge patience during this testing time, but the worst case scenario here would be a loss of 40% net assets- a sting but not of sky falling on head severity.
Indeed, I look at the ACE shutdown as an excellent investment opportunity- I am expecting a post- reopen dip and look forward to snapping up some cheap shares when it reopens.

When the ACE was last running, the SAS share price had risen 10% from its IPO price to 1.10L. In the long term, I expect the share price to continue upwards as my policy of returning 100% of profits by dividends and share buybacks continues to bear fruit.
During the week preceding the ACE shutdown I began a spate of day trading on BDVR and OIG, pocketing 4633L which I am proud to pay back to shareholders (25% share buyback and 75% dividend) allowing a March dividend of 0.00695L per share.


IPO / Month ending March

Summary- month ending Mar

Income 0 / 276855
Expendiature 0 / 199524
Profit (loss) / 77331
Profit excluding non-invested IPO funds / 4633

75% profit paid out as dividend= / 3475
25% profit used for stock buyback= / 1158
Dividend to be paid (per share)= /0.00695

Assets 310000 / 329588
(+/- IPO) 0% / 9.5

Share Price= 1 / 1.10
(+/- IPO) 0% / 10

Market Cap 500000 / 550000




Income-

Dividends / 0

Stock sales / 276000

Report sales / 855

TOTAL / 276855

Expendiature-

Stock purchases / 198234
texture uploads / 90
Rent / 1200


TOTAL / 199524




Assets

liquid assets 300000 / 72698


short term investments / 231890

other assets / 0

data package 10,000 / 10000

TOTAL 310000 / 329588


Special Situations Portfolio (end of March)


Stock / No shares / Sell or current price / Sell value / Gain or Loss ($L) / Gain or Loss (%)


ACE /50000 / 1 / 50000 / 0 /0.0
JAM 100000 / 1.19 / 119000 / 19000 /19.0
BDVR 9000 / 1.23 / 11070 / 990 /9.8
NDX 6500 / 3.77 / 24505 / 1430 /6.2
YEP 12090 / 2.09 / 25268.1 / 1209 /5.0