Agnico-Eagle fully redeems convertible debentures for shares
February 15 2006 - 10:28AM
PR Newswire (US)
Stock Symbols: AEM (NYSE and TSX) TORONTO, Feb. 15
/PRNewswire-FirstCall/ -- Agnico-Eagle Mines Limited announced
today that it has fully redeemed its $144 million principal amount
4.50% convertible subordinated debentures due February 15, 2012.
The Company paid cash to satisfy interest on the debentures up to
and including February 15, 2006 and issued approximately 10.3
million shares to discharge all of its remaining obligations under
the indenture governing the convertible debentures. "Agnico-Eagle
now has no long-term debt", said Sean Boyd, Vice Chairman and Chief
Executive Officer. "With over $120 million in cash and a
substantially undrawn credit line of $150 million, the Company is
well positioned to advance its pipeline of projects towards
achieving its goal of tripling gold production and doubling its
gold reserves by 2009", added Mr. Boyd Flow Through Common Shares
Issuances In the first quarter, the Company agreed to issue 1.2
million flow through common shares for gross proceeds of
approximately $35 million, through a series of transactions. The
proceeds will be used to finance exploration and underground
development at the Company's Lapa and Goldex projects and
grassroots exploration in Canada. Forward Looking Statements The
information in this press release has been prepared as at February
15, 2006. Certain statements contained in this press release
constitute "forward-looking statements" within the meaning of the
United States Private Securities Litigation Reform Act of 1995.
When used in this document, the words "anticipate", "expect",
"estimate," "forecast," "planned" and similar expressions are
intended to identify forward-looking statements. Such statements
reflect the Company's views at the time with respect to future
events and are subject to certain risks, uncertainties and
assumptions. Many factors could cause the actual results to be
materially different from those expressed or implied by such
forward-looking statements, including, among others, those which
are discussed under the heading "Risk Factors" in the Company's
most recently filed Annual Information Form and Annual Report on
Form 20-F. The Company does not intend, and does not assume any
obligation, to update these forward-looking statements. About
Agnico-Eagle Agnico-Eagle is a long established Canadian gold
producer with operations located in Quebec and exploration and
development activities in Canada, Finland, the United States and
Mexico. Agnico-Eagle's LaRonde Mine is Canada's largest gold
deposit. The Company has full exposure to higher gold prices
consistent with its policy of no forward gold sales. It has paid a
cash dividend for 26 consecutive years. DATASOURCE: Agnico-Eagle
Mines Limited CONTACT: David Smith, Director, Investor Relations,
(416) 947-1212
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