Bimini's Q3: Not Bad

Since being booted off the Big Board, Bimini Capital's (BMNN.PK) common stock has been under serious pressure, selling off 31% today to just $0.22/share. Although Bimini has certainly destroyed a serious amount of shareholder value through its disastrous foray into mortgage origination, Bimini has finally stemmed the tide of losses.

Book value is now $1.00/share, well above the common price. Bimini was also able to post positive REIT taxable income for Q3, although the company still has a YTD REIT taxable loss. Even a solid Q4 performance will not enable Bimini to earn taxable income for the year in excess of the dividend paid back in March, so Bimini will not pay a dividend until 2008. Nonetheless, the net interest margin of 88 basis points was much higher than other agency investors - a major positive for Bimini.

Hopefully Bimini has put the worst behind it and can focus on generating positive net income in Q4, since many of the one-time charges have now been flushed through the income statement.

From the "You Heard It Here First" Files - Bimini Going OTC

VERO BEACH, Fla.--(BUSINESS WIRE)--Bimini Capital Management, Inc. (NYSE:BMN - News) (“Bimini Capital” or the “Company”), a real estate investment trust (“REIT”), today announced that it has been notified by NYSE Regulation, Inc. that, because the Company’s average global market capitalization over a consecutive thirty trading day period has fallen below the NYSE’s minimum quantitative continued listing criteria for REITs of $25 million, trading in the Company’s Class A common stock on the NYSE will be suspended prior to the market opening on Monday, November 5, 2007, pending de-listing. The Company has applied to list its Class A common stock on another national securities market, however, no assurance can be given that the Company’s Class A common stock will be approved for listing on such national securities market. Until such time that the Company’s Class A common stock is approved for listing on another national securities market, the Company anticipates that the Company’s Class A common stock will trade on the OTC Bulletin Board. Details with respect to trading in the Company’s Class A common stock beginning Monday, November 5, 2007, are expected to be released on or before Friday, November 2, 2007.

Is Bimini About to Get the Boot?

Bimini Capital Management (BMN), formerly known as Opteum (OPX), is but a shell of its former self after a distastrous twenty-month foray into the origination business. Since April, the Company has exited the mortgage origination business and sold all of its mortgage servicing rights portfolio. Bimini has now completed its transformation back into an agency RMBS investor, but it is too late to save the Company? Bimini shares have been on a steady slide since April, and they no longer meet NYSE listing requirements after falling below the $25 million market cap threshold on October 8. With the 20% slide in the shares today, it looks as though Bimini will not regain a minimum $1.00/share price before their 30-day window is up unless management can positively surprise the market with third-quarter earnings.