Legg Mason posts $453.9M loss for quarter

Legg Mason Inc. reported a net loss of $453.9 million Friday for its third fiscal quarter, which ended Dec. 31, 2012.

The loss, the equivalent of $3.45 per diluted share, compared with net income of $80.8 million, or $0.60 per diluted share, for the previous quarter and net income of $28.1 million, or $0.20 per diluted share, for the corresponding quarter of fiscal 2012.

The company noted that the quarter’s results included non-cash impairment charges related to intangible assets of $734.0 million.

“We are disappointed with our results this quarter, which were negatively impacted by the significant non-cash impairment charges that we previously announced,” Joseph A. Sullivan, Legg Mason’s interim CEO, said in a statement accompanying the results. “However, Legg Mason delivered solid core earnings and, importantly, made good progress on a number of strategic fronts, including announcing the strategic acquisition of Fauchier Partners, which better positions us for growth.”

Legg Mason announced in December that it intended to acquire London-based Fauchier Partners, which manages funds of hedge funds. Fauchier Partners joined Legg Mason’s Permal, bringing that affiliate to about $24 billion in assets under management, with international reach.

Sullivan said Legg Mason continues to look for a new CEO. The company put assets under management on Dec. 31 at $648.9 billion, down from $650.7 billion at the end of the previous quarter.

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