Financial results for 2016 are still expected to meet budgeted net income around $15 million as presented during the annual meeting business report (see sealaska.com for annual meeting recap). The main income sources of ANCSA Section 7(i), investments and business operations continue to track close to the plan levels that we have been providing in our financial updates for the last few quarters.
- ANCSA Section 7(i) income will be down significantly because of a drop in commodity prices (see below for effect on shareholder dividends).
- Investment income should show improvement over 2015, but is the toughest income source to forecast given investment market volatility.
- Business operations will show continued improvement over 2015 across all of our business units, natural resources, government services, seafood and natural foods.
The December 2016 distribution of ANCSA Section 7(i) income to village corporations and urban and at-large shareholders will be about half of the distribution from December 2015, which was $9.20 per share.