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Gold/Mining/Energy : Franco-Nevada (FN - TSE) - zero debt, cash rich royalty co. -- Ignore unavailable to you. Want to Upgrade?

To: Bernie Koppenhofer who wrote (316)	6/22/2000 10:23:00 AM
From: TD	Respond to of 511

Merger Announcement Gold Fields and Franco-Nevada Mining Corporation Ltd. Letter to Shareholders Press Release Fact Sheet Roadshow Conference Call Today we are announcing a proposal to merge Franco-Nevada with Gold Fields Limited to create one of the world's largest and strongest gold companies. The attached brochure provides the highlights of the proposal. Since we co-founded Franco-Nevada in 1982, we have consistently shared the goal of maximizing shareholder value. As the largest individual shareholders, we are committed to continue doing just that. We believe in gold and this transaction will give our new company the greatest leverage to gold possible. Franco-Nevada will double its shares outstanding. In return, Franco-Nevada will be increasing its gold production by 11 times and its gold reserves by over 12 times. Can not help but like this aspect. Production rate increase by over ten times (shares outstanding double to effect to current FN shareholders is a five time increase in production!) Also like having reserves increase dramitically! Concern about SA, yes .. The new company will have the lowest total costs and break-even costs of any of the major gold companies. Even at current gold prices, this merger will add to Franco-Nevada's per share earnings and cash flow results. The new company will continue our policy of remaining financially strong and will avoid demand debt. It will have over US$700 million in cash and equivalents. The new company will also avoid gold hedging. We also intend to apply for a New York Stock Exchange listing. Gold Field's young management team provides complimentary skills to our own financial team. This joining of two great companies provides a platform from which to grow. We will both remain a part of the team to continue to deliver results to our shareholders. We expect to do further acquisitions with a goal of developing a global gold company based one-third in North America, one-third in South Africa and one-third in the rest of the world. We expect to be sending you a set of proxy materials in July for an annual and special shareholders' meeting expected to take place in August. Please take time to review the enclosed brochure and the proxy materials that will follow. In the meantime, accept our thanks for your continued support as Franco-Nevada enters a new and exciting stage. Sincerely,

To: Bernie Koppenhofer who wrote (316)	6/22/2000 5:44:00 PM
From: Traveling Man	Respond to of 511

Bernie, IF Seymour or Lassonde sell THEIR shares, I will agree with you. At the present time,these guys have sold not one share and they are the largest shareholders in the tent. They stated they had no intention of selling,so let's see. I agree with you that it sure looks like FN could have gotten a better deal. I wasn't in a rush for anything dramatic myself. On the other hand,I do now see why FN began floundering. With POG this low this long,there simply is no exploration anymore out there. I own shares of Metallica,they have a defined resource,financing,a big JV partner,etc. BUT,their mine sits there waiting now for 2 years for AU to get to and stay at $325. I still think consolidation is appropriate in the industry,I just think FN could have worked up a heck of a more lucrative deal,what with their cash and no liabilities. TM