The Goldfarb Corporation announces third quarter results

TORONTO, Nov. 29 /CNW/ - The Goldfarb Corporation (the "Corporation") today announced its third quarter results.

As announced on August 17, 2007, the Corporation is holding three separate matured asset-backed commercial papers totaling $17.1 million that have not been paid out and remain outstanding. All of these securities are administered by Coventree Capital Group Inc. and were rated R-1 High by the Dominion Bond Rating Service Limited at the time of purchase. From August 16, 2007, these investments have been rated R-1 High, Under Review with Developing Implications. The balance of the Corporation's investments of approximately $9.4 million is invested in highly rated liquid instruments. As required by generally accepted accounting principles, the Corporation estimated the fair value of these securities at September 30, 2007 and recorded a charge of $2.6 million. In subsequent periods, actual fair values may change materially from the estimated fair values. The Corporation will continue to closely monitor the asset-backed commercial paper market and evaluate its options with the papers that have not been redeemed. Should conditions or options change, the Corporation will make further announcements.

Revenues from operations for the third quarter of 2007 were $298,000 compared to $487,000 in 2006, a decrease of $189,000. The net loss for the Corporation in the third quarter of 2007 was $2,675,000 or $0.45 per share compared to a net loss of $158,000 or $0.03 per share in 2006.

For the nine-month period ended September 30, 2007, the Corporation's revenues were $1,081,000 compared to $2,484,000 in 2006, a decrease of $1,403,000. The net loss for the first nine months of 2007 was $2,970,000 ($0.50 per share) compared to net income of $649,000 ($0.11 per share) in 2006.

The accompanying eight pages of unaudited interim financial statements have been prepared by and are the responsibility of the Corporation's management. The Corporation's auditor has not performed a review of these interim financial statements.