Capital Properties, Inc. Announces Second Quarter 2006 Results.

EAST PROVIDENCE, R.I., July 31 /PRNewswire-FirstCall/ -- Today, Capital Properties, Inc. reported net income of $252,000 and $573,000, respectively, for the three and six months ended June 30, 2006, resulting in a basic income per common share of $.07 and $.17, respectively. For the three months and six months ended June 30, 2005, the Company had reported net income of $241,000 and $1,051,000, respectively, which resulted in a basic income per common share of $.07 and $.32, respectively.

The principal reason for the decrease of $478,000 in net income for the six months ended June 30, 2006 from 2005 was the sale of a parking garage in the Capital Center Project area by the Company in March 2005, resulting in a non-recurring gain of $1,057,000.

For the three and six months ended June 30, 2006, revenue from the petroleum storage facility increased $107,000 and $256,000, respectively, from 2005 due principally to fees for the new 152,000 barrel tank effective December 2005, higher monthly fees resulting from the annual cost-of-living adjustment and higher contingent revenue.

For the three months and six months ended June 30, 2006, expenses applicable to petroleum storage facility remained approximately at the 2005 level. However, lower legal fees in connection with the Wilkesbarre Pier litigation, lower insurance costs and a decrease in expenses relating to security maintenance were offset in part by higher depreciation expense related principally to the new 152,000 barrel tank constructed in 2005 and higher payroll and related costs.

For the three months ended June 30, 2006, interest income remained at the 2005 level. For the six months ended June 30, 2006, interest income increased $24,000 from 2005 resulting from higher levels of cash available for short-term investments.

For the three and six months ended June 30, 2006, general and administrative expense decreased $60,000 and $31,000, respectively, from 2005 due principally to lower professional fees; in 2005, the Company incurred costs in (1) the conversion of its Class B common stock to Class A common stock and (2) responding to a tender offer to acquire shares of the Company's stock. The decreases ...