Income bounces back at Western Asset; book value slips

• Q4 core earnings plus drop income of $36.4M or $0.87 per share vs. $27.8M and $0.67 in Q3. Dividend is $0.70.
• Book value per share of $14.94 slips from $15.26 at Q3's end. Last night's close of $14.38 is a 3.7% discount to book.
• Economic return for quarter of 2.5% (dividend plus the decline in book value). Full-year economic return of 15.8%.
• Net interest spread bounces back from Q3's big decline (caused by a bad bet on yields), 2.71% vs. 1.95%. CPR on agency portfolio of 6.8% vs. 6.5%.
• Conference call at 11 ET
• Previously: Western Asset Mortgage Capital EPS of $0.87 (Feb. 27)
• WMC flat premarket