EnerVest Diversified Income Trust Announces Taxation of Distributions Declared in 2009
CALGARY, ALBERTA--(Marketwire - March 8, 2010) - NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES OF AMERICA.
EnerVest Diversified Income Trust ("EnerVest" or "the Fund") (TSX:EIT.UN), announced today the taxation of distributions declared in 2009 to Canadian resident unitholders.
EnerVest distributed $1.61 per unit (on a consolidated basis) in 2009. The 60.5% Return of Capital to Unitholders reduces the adjusted cost base of the Unitholder's trust unit.
Unitholders of record on December 23, 2009 received a non-cash distribution of one-quarter of a warrant for each EnerVest unit held. Each one-quarter of a warrant has a deemed value of $0.045 which has been allocated 100% as Return of Capital. This return of capital allocation is over and above the 60.5% related to the $1.61 per unit distributed during the year.
Unitholders who received warrants through the December 23, 2009 distribution will reflect an Adjusted Cost Base (ACB) of zero on these warrants. Please note this ACB does not apply to investors who purchased units on the secondary market through the Toronto Stock Exchange under the symbol EIT.WT.
T3 Tax Slips
Information regarding the tax breakdown of the EnerVest distributions has been sent electronically to Investment Dealers, who are responsible for the preparation and delivery of T3 slips to their clients. Registered unitholders (namely, unitholders who hold a physical share certificate) will receive their T3 tax slips directly from Computershare, our transfer agent. The mailing deadline for delivery of the slips is March 31, 2010. However, we urge investors to contact their Investment Dealer directly to determine their specific preparation and delivery schedule.
Existing Non-Resident unitholders are not entitled to the same tax breakdown as Canadian unitholders. Please consult your tax professional or financial advisor to discuss your specific situation.
The Fund is Canada's largest, most liquid, diversified closed-end investment fund. The Fund is listed on the TSX under the symbol EIT.UN and is an actively managed, diversified portfolio of income-generating and capital growth oriented securities, listed primarily on the TSX, designed to maximize distributions and Net Asset Value for the benefit of its Unitholders.
Certain statements included in this news release constitute forward-looking statements. The forward-looking statements are not historical facts but reflect EnerVest Management Ltd.'s and its affiliates (the "Administrator") current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although the Administrator believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. The Administrator undertakes no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.