MCG Capital Names Keith Kennedy CEO;reports Preliminary Q1 Results - Quick Facts

(RTTNews) - MCG Capital Corp. (MCGC) announced that Keith Kennedy, MCG's President, 44, has been elected as Chief Executive Officer, as a member of the Company's Board of Directors as a Class I director and as a member of the investment and valuation committee. Kennedy succeeds Hagen Saville, who retired.

Kennedy joined MCG in February 2012 as an Executive Vice President and Managing Director, served as the Company's Chief Financial Officer and Treasurer beginning in May 2012, and became MCG's President in March 2014.

For the first-quarter ended March 31, 2014, the company expects to generate between $4.1 million and 4.3 million of net operating income, $23.0 million and $24.0 million of net investment losses and $18.9 and $19.5 million of net losses. The Company expects to generate between $0.05 and 0.06 per share of net operating income, $0.33 and $0.35 per share of net investment losses and $0.27 and $0.29 per share of net losses.

The company expects to record between $23.0 and $24.0 million of unrealized depreciation on its loan and equity portfolio, principally from two investments. Based on operational, financial and business challenges facing Education Management, Inc., the Company expects to mark down its investment by about $15.2 million.

Furthermore, the company reduced its valuation multiple for RadioPharmacy Investors, LLC and expects to mark down its investment by approximately $6.3 million based on volume, pricing and supply-cost challenges facing the RadioPharmacy's core business.

At March 31, 2014, the company expects to report about $113 million of investable cash, $116 million of total cash, $326 million of total investments, $449 million of total assets, $150 million of interest bearing debt, $153 million of total liabilities and $296 million of net asset value.

At March 31, 2014, MCG expects its net asset value to be about $4.37 per share.

The company currently expects to file its quarterly report on Form 10-Q on or about April 28, 2014.