Coeur's Long-Term Debt Reduced by $23 Million
2002-12-16 06:01 - News Release
COEUR D'ALENE, Idaho--(BUSINESS WIRE)--Dec. 16, 2002--
Converts Remaining Series II 13.375% Notes Issued in June 2002;
Convertible Debt Reduced by 23% Since the End of the Third Quarter
Coeur d'Alene Mines Corporation (NYSE:CDE) today announced further
significant reductions in its outstanding long-term convertible debt.
Coeur's remaining convertible indebtedness now stands at $79.5
million, down from $145.5 million at the beginning of the year, which
represents a 45% decline. Coeur ended the third quarter of 2002 with
$102.7 million in convertible debt.
Dennis E. Wheeler, Coeur's Chairman and Chief Executive Officer,
remarked: "We have eliminated over $210 million of debt while cutting
our annual cash interest expense by approximately $16 million since
embarking on our debt-reduction program in 1998. These considerable
interest savings, combined with significant reductions in our
operating costs, represent major elements of our ongoing turnaround
plan. We are pleased to now be in the position of generating positive
operating cash flow for our shareholders."
Coeur recently exchanged 7.9 million shares of common stock for
$10.3 million principal amount of its 6.375% Convertible Debentures
due January 2004, reducing the remaining balance to $55.1 million. In
addition, the Company exchanged 2.1 million shares of common stock for
$2.7 million principal amount of its 7.25% Convertible Debentures due
October 2005, reducing the remaining balance to $11.7 million. Since
September 30, 2002, holders of $10.1 million of Coeur's Series I and
II 13.375% Convertible Notes due December 2003 have voluntarily
converted into 8.8 million common shares. As a result, the Series II
13.375% Convertible Notes have been fully retired.
After taking these exchanges and conversions into account, Coeur
now has 118.0 million shares outstanding.
Coeur d'Alene Mines Corporation is the world's largest primary
silver producer, as well as a significant, low-cost producer of gold.
The Company has mining interests in Nevada, Idaho, Alaska, Argentina,
Chile and Bolivia. |
