Gluskin Sheff + Associates announces first quarter fiscal 2008 results

    TORONTO, Nov. 8 /CNW/ - Gluskin Sheff + Associates Inc. (the "Company")
announced today its results for the three months ended September 30, 2007. The
Company's revenues are derived from Base Management Fees, calculated as a
percentage of Assets Under Management ("AUM"), Performance Fees, which are
earned when the Company exceeds pre-specified rates of return, and Investment
and Other Income.
    AUM increased to approximately $5.5 billion as at September 30, 2007 from
$5.4 billion as at the end of fiscal 2007 and $3.9 billion as at September 30,
2006. The increase of approximately $1.6 billion from the end of the prior
fiscal year's first quarter includes net additions from new and existing
clients of approximately $800 million and approximately $800 million from net
investment performance. During the first quarter of fiscal 2008, net additions
to AUM were approximately $126 million with net investment performance
reducing AUM by approximately $60 million ($30 million positive performance
less $90 million in performance fees paid from within client accounts).
    For the three months ended September 30, 2007, Base Management Fees
increased to approximately $20.3 million from $13.6 million for the three
months ended September 30, 2006, an increase of approximately 49%. The
increase is primarily due to the approximately 40% increase in AUM over the
prior twelve months. Performance fees in the first quarter of fiscal 2008 were
approximately $0.3 million, while Investment and Other Income rose
approximately $0.7 million due to interest earned on investments and cash
    Base EBITDA (exclusive of Performance Fees and non-cash expenditures) for
the three months ended September 30, 2007 was approximately $13.2 million, up
from $7.9 million for the comparable three month period ended September 30,
2006. The increase is primarily attributable to the growth in Base Management
Fees. Net income was $7.6 million or $0.26 per common share for the first
quarter ended September 30, 2007.
    "Our growth continued in the first quarter following a year of strong
performance in fiscal 2007," commented Gerald Sheff, Chairman and Chief
Executive Officer. "Despite volatile capital markets, we continue to build our
business, the result of our unwavering commitment to delivering the highest
levels of personalized service and solid investment performance to our

    Financial Highlights:
    ($000, except per share                              3 months   3 months
     amounts)                                               ended      ended
                                                          Sept 30,   Sept 30,
                                                             2007       2006
    -------------------------------------------------------------- ----------
      Base Management Fees                                 20,281     13,600
      Performance Fees                                        284         42
      Investment & Other Income                               925        237
                                                        ---------- ----------
                                                        ---------- ----------
    Total Revenue                                          21,490     13,879
    Base EBITDA                                            13,186      7,938
    Net Income (Loss)                                       7,641      3,114
    Basic Earnings per Share                                $0.26      $0.11
    Diluted Earnings per Share                              $0.26      $0.11
    Assets Under Management                             5,466,013  3,900,716

    The Company's full financial statements and Management's Discussion and
Analysis can be found on the Company's website at and

    Founded in 1984, Gluskin Sheff + Associates Inc. is one of Canada's
pre-eminent wealth management firms serving high net worth investors. The
Company's Subordinate Voting Shares are listed on the Toronto Stock Exchange
under the symbol "GS". For more information about the Company, please visit
our website at

    This press release may contain forward-looking statements relating to
Gluskin Sheff + Associates Inc.'s business and the environment in which it
operates. These statements are based on the Company's expectations, estimates,
forecasts and projections. They are not guarantees of future performance and
involve risks and uncertainties that are difficult to control or predict.
These risks and uncertainties are discussed in the Company's regulatory
filings available on the Company's website at or at Actual outcomes and results may differ materially from those
expressed in these forward-looking statements. Readers, therefore, should not
place undue reliance on any such forward-looking statements. Further, a
forward-looking statement speaks only as of the date on which such statement
is made. The Company undertakes no obligation to publicly update any such
statement or to reflect new information or the occurrence of future events or

    Non-GAAP Measures
    Included in this press release are certain financial terms (including
Base EBITDA and AUM) that the Company utilizes to assess the financial
performance of its business that are not measures recognized under Canadian
generally accepted accounting principles (GAAP). These non-GAAP measures do
not have any standardized meanings prescribed by GAAP and should not be
considered alternatives to net income or any other measure of performance
determined in accordance with GAAP. Therefore, these non-GAAP measures are
unlikely to be comparable to similar measures presented by other issuers. For
additional information regarding the Company's use of non-GAAP measures,
including the calculation of these measures, please refer to the "Non-GAAP
financial measures" section of the Company's Management's Discussion and
Analysis and its financial statements available on the Company's website and
on the SEDAR website located at

For further information:

For further information: Valerie Barker, Chief Financial Officer and
Secretary, (416) 681-6002

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