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To: Lucretius who wrote (145478)	1/23/2002 10:01:21 AM
From: Box-By-The-Riviera™	Respond to of 436258

normandy slams the door on godsell's butt DJ Australia's Normandy Fires Parting Shot At Share Market 23 Jan 03:57 MELBOURNE (Dow Jones)--Australia's largest gold miner, Normandy Mining Ltd. (A.NDY), fired a parting shot at the share market Wednesday, saying it was undervalued ahead of a takeover fight erupting over it and that successful bidder Newmont Mining Ltd. (NEM) is getting a good deal Rival bidder AngloGold Ltd. (AU) of South Africa gave up the fight last week, leaving U.S.-based Newmont poised for victory through its almost A$4.48 billion combined shares and cash bid. In an appendix to official takeover documents, Normandy also backed Newmont's estimate of the cost savings it has forecast from the takeover, Amid assessments from analysts that Newmont is overpaying, Normandy said "Newmont will obtain value for its offer for Normandy." Normandy said Newmont's estimate that could achieve between A$75 million and A$85 million in after tax annualized cost savings from the acquisition of Normandy can be met. An independent expert report by Grant Samuels that was commissioned by Normandy during the takeover fight had identified annual cost savings of just A$35 million pretax. "Normandy believes Nemwont's estimate of Normandy specific synergistic benefits may be achievable," the company said. "To give some perspective on this, synergistic benefits of A$85 million on an annualized basis after tax would, if capitalized, amount to approximately A$420 million more than the Grant Samuel estimate of synergistic benefits capitalized on the same basis," Normandy said. Normandy also released for the first time the results of a prefeasibility study on its 90%-owned Matabe gold prospect on Sumatra in Indonesia that it first alluded to shortly after AngloGold launched its initial bid in September. According to the study, Matabe could support a mine producing 312,000 ounces of gold a year in the third year of operation with a life-of-mine cash cost of production of US$110/ounce. "Itindicates potential for a robust project," Normandy said. Newmont's share and cash bid currently values Normandy at around A$2.01 share. That compares with a Normandy share price of just A$1.10 a share ahead of when AngloGold launched its bid. AngloGold initially pitched its offer at A$1.42 and then twice raised it after Newmont entered the fight, only for Newmont to also twice raise its offer. Newmont's takeover of Normandy will put it on track to consummate a three-way merger with Normandy and 19.9% Normandy stakeholder Franco-Nevada Mining Corp. (T.FN) of Canada. The new company would eclipse AngloGold as the world's largest producer with annual production of 8 million ounces.