Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: oldirtybastard who wrote (171591)	6/10/2002 2:03:02 PM
From: posthumousone	Read Replies (3) \| Respond to of 436258

Kinross, Echo Bay and TVX to Combine to Create New Senior Gold Producer and to Acquire Newmont's TVX NA Interest 6/10/2002 1:52:00 PM TORONTO/EDMONTON, Jun 10, 2002 /PRNewswire-FirstCall via COMTEX/ -- Kinross Gold Corporation (TSX-K; Amex- KGC) ("Kinross" or the "Company"), Echo Bay Mines Ltd. (TSX-ECO; Amex-ECO) ("Echo Bay") and TVX Gold Inc. (TSX-TVX; NYSE-TVX) ("TVX") are pleased to announce the proposed combination of the three companies and the concurrent acquisition of the 49.9% interest in the TVX Newmont Americas ("TVX NA") joint venture owned by Newmont Mining Corporation (NYSE-NEM; TSX-NMC; ASX-NEM) ("Newmont"). Kinross, after having combined with Echo Bay and TVX and after having acquired the TVX NA interest (referred to herein as "new Kinross"), will possess the following attributes: - Top 10 global gold company with market capitalization in excess of US$2 billion; - 2 million ounce per year gold producer with total cash costs less than US$200 per ounce; - Only senior North American primary producer with a non-hedging policy and less than 5% of reserves hedged; - One of the best capitalized gold producers in North America; - 65% of annual production in the United States and Canada; - Highest leverage to gold prices among major North American producers; and - Strong organic growth from a global resource base exceeding 40 million ounces of gold Terms of the Combination and Concurrent Transaction The combination of the companies will be achieved by a Plan of Arrangement, whereby Echo Bay shareholders receive 0.52 of a Kinross share for each Echo Bay share and TVX shareholders receive 0.65 of a Kinross share for each TVX share (adjusted accordingly in the event TVX completes the previously approved ten-for-one share consolidation). Concurrently with the combination taking effect, TVX will acquire Newmont's TVX NA interest for US$180 million. The parties expect to enter into a combination agreement which will provide that the combination will be effected pursuant to the Plan of Arrangement. Based on the 30 day average trading prices on the TSX of Kinross, Echo Bay and TVX prior to the announcement of the combination, the exchange ratios imply a price of Cdn$1.81 per SOURCE Kinross Gold Corporation cbs.marketwatch.com id=%7B85DA663F%2DFEFC%2D4438%2D8C55%2D96D80E69FC75%7D z