Brookfield Asset Management Inc. announced on Wednesday first quarter cash flow from operations of $571 million or $1.40 per share compared with $307 million or $0.75 in 2006.

The company also announced shareholder initiatives including: a three-for-two stock split, which will be implemented by way of a stock dividend; the proposed listing of the company’s Class A Shares on Euronext; and the proposed distribution to shareholders, by way of a special dividend, of a direct interest in its infrastructure operations through Brookfield Infrastructure Partners, a new publicly traded limited partnership.

In the first quarter ended March 31 cash flow from operations totalled $571 million ($1.40 per share), compared with $307 million ($0.75 per share) reported in the same quarter last year. Net income totalled $195 million ($0.46 per share) compared with $179 million ($0.43 per share) reported in the same period last year.

“Our results this quarter reflect strong performance in most of our operations. We remain focused on enhancing shareholder value and building out each of our operating platforms to enable us to achieve our long-term goals,” Bruce Flatt, managing partner of Brookfield Asset Management. “The spinoff of Brookfield Infrastructure Partners is a major step in this direction, as it will provide investors with an attractive focused infrastructure vehicle, facilitating access to the capital markets to fund our infrastructure growth plans.”

On Tuesday, the board of directors approved a three-for-two stock split of the company’s outstanding Class A Shares. The split will be implemented by way of a stock dividend whereby shareholders will receive one-half of a Brookfield Class A Share for each Class A and Class B Share held (i.e. one additional share for every two shares held). Fractional shares will be paid in cash at the prevailing market price. The stock dividend will be payable on or about June 1 to shareholders of record at the close of business on May 24.

Brookfield is undertaking the stock split to ensure the shares remain accessible to individual shareholders and to improve the liquidity of the shares. The split will not dilute shareholders’ equity. The number of shares subject to the company’s current normal course issuer bid will be adjusted upwards to reflect the stock split.

With the recent merger of NYSE and Euronext, as well as Brookfield’s continued global expansion, Brookfield intends to seek a listing for the company’s Class A Shares on Euronext to provide Brookfield with greater access to European and other global investors.

Brookfield intends to distribute to its Class A shareholders a direct interest in its infrastructure operations through a newly created publicly traded partnership to be named Brookfield Infrastructure Partners L.P. (“Brookfield Infrastructure”). Brookfield Infrastructure’s initial operations will be principally comprised of interests in Brookfield’s electricity transmission and timber businesses. Brookfield Infrastructure will serve as the primary vehicle through which Brookfield’s future infrastructure related acquisitions, other than property and renewable power operations, will be made.

Brookfield will retain an approximate 40% interest in Brookfield Infrastructure and will manage the operations under a long-term management agreement.

Brookfield believes the spin-off will: accelerate its strategy to build out its asset management platform through creation of a managed company with an effective cost of capital to support its infrastructure growth strategies; create a focused public vehicle that will be well-positioned for future infrastructure acquisitions; and surface the value of the company’s currently owned infrastructure assets for shareholders.

The board of directors declared a dividend of US$0.18 per Class A Share (on a pre-split basis), payable on Aug. 31, to shareholders of record as at the close of business on Aug. 1, 2007, as well as the regular monthly and quarterly dividends on its preferred shares. On a post-split basis, the dividend per Class A Share will be US$0.12.