NAP Press Releases

North American Palladium Announces Closing of First $10-Million Tranche of Private Placement of Flow-Through Shares

Wed, 19 Jun 2013 09:33:00 -0400

TORONTO, ONTARIO--(Marketwired - June 19, 2013) -

All figures are in Canadian dollars except where noted.

North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) announced today that it has closed the first $10 million tranche of its previously announced fully subscribed private placement of flow-through shares for aggregate gross proceeds to the Company of approximately $20 million.

The first tranche included the issuance of 8,668,009 flow-through shares at a price of $1.155 per share, representing a 2% premium to the relevant market price. The market price was defined as the simple average of the five daily VWAPs on the TSX for the five trading day period between June 10, 2013 and June 14, 2013.

The second $10 million tranche is also expected to include a 2% premium to the relevant market price (defined as the simple average of the five daily VWAPS on the TSX between July 12, 2013 and July 18, 2013) and is expected to close on or about July 23, 2013.

100% of the gross proceeds from the private placement will be used for eligible mine expansion expenditures and exploration activities at the LDI mine and property in Ontario that constitute "Canadian exploration expense" ("CEE") as defined in the Income Tax Act (Canada).

The shares will be registered in the United States for resale on the NYSE MKT via a resale prospectus supplement to the Company's shelf registration statement on Form F-10. Resales in Canada will be restricted for four months. Not more than a total of 9.99% of the total issued and outstanding shares will be issued pursuant to the first and second tranches collectively.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which the offer, solicitation or sale would be unlawful. The securities being offered have not been approved or disapproved by any regulatory authority, nor has any such authority passed upon the accuracy or adequacy of the prospectus supplement, the base shelf prospectus or the shelf registration statement. The second tranche of the offering is subject to the approval of the TSX and the NYSE MKT.

About North American Palladium

Forward-Looking Information:

Certain information in this news release relating to North American Palladium Ltd., including, but not limited to, the use of proceeds and closing of the second tranche, is forward looking and related to anticipated events and strategies. When used in this context, words such as "will", "anticipate", "believe", "plan", "intend", "target" and "expect" or similar words suggest future outcomes. By their nature, such statements are subject to significant risks and uncertainties, which include, but are not limited to, regulatory and government decisions, economic conditions, and availability and cost of financing. Readers are cautioned not to place undue reliance on forward-looking statements as actual results could differ materially from the plans, expectations, estimates or intentions expressed in the forward-looking statements. Except as required by law, North American Palladium Ltd. disclaims any intention and assumes no obligation to update any forward-looking statement even if new information becomes available, as a result of future events or for any other reason.

Contact Information:
North American Palladium Ltd.
Camilla Bartosiewicz
Director, Investor Relations and Corporate Communications
416-360-7374
Camilla@nap.com

North American Palladium Announces US$130 Million Debt Financing from Brookfield, $20 Million Fully Subscribed Private Placement of Flow-Through Shares and Extension of Credit Facility

Fri, 07 Jun 2013 13:05:00 -0400

TORONTO, ONTARIO--(Marketwired - June 7, 2013) - North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) announces financings to fund the Company's ongoing expansion of its Lac des Iles ("LDI") mine in Ontario.

Summary:

* Closing of a US$130 million senior secured term loan from Brookfield Capital Partners Ltd. ("Brookfield"), the private equity group of Brookfield Asset Management Inc.;

* Payment and satisfaction of the existing $72 million senior secured notes due October 4, 2014;

* Fully subscribed private placement of approximately $20 million in flow-through shares at a 2% premium to the relevant market price; and

* Extension of the existing operating credit facility until July 4, 2014.

"We expect that these financings will enable us to complete the first phase of our LDI mine expansion and establish our operations for improved financial performance in 2013 and beyond," said Dave Langille, NAP's Chief Financial Officer.

Mr. Phil du Toit, NAP's Chief Executive Officer, added: "We look forward to the completion of Phase I of the shaft expansion and the benefits it will have. Our ongoing review of our strategic mine planning has identified potential alternatives that may allow us to defer Phase II capital spending without compromising production growth."

Brookfield Financing

The Company closed a US$130 million term loan financing with Brookfield which bears interest at 15% per annum and is due June 7, 2017. The loan is secured by first priority security on the fixed assets and second priority security on accounts receivable and inventory. NAP has the option to accrue interest during the first two years of the loan; in which case, the interest rate on the loan and accrued interest would increase by 4%. The loan contains covenants typical of this type of facility including senior debt to EBITDA ratios, minimum tangible net worth requirements and capital expenditure limits.

"We have been actively seeking debt and equity investment opportunities in the mining sector and North American Palladium's LDI mine met our criteria," said Peter Gordon, Managing Partner of Brookfield Asset Management. "This advanced stage development project has high quality reserves, attractive mining attributes, proven mill operations and significant exploration potential."

NAP intends to use the net proceeds from this debt financing to pay and satisfy in full the existing $72 million senior secured notes due October 4, 2014, including the redemption premium related thereto, to fund capital expenditures at the LDI mine and for general corporate purposes.

Flow-Through Offering

In addition to the term loan, the Company has entered into a subscription agreement in respect of a fully subscribed private placement of flow-through shares for aggregate gross proceeds to the Company of approximately $20 million. The Company intends to issue these shares in two tranches, in each case at a 2% premium to the relevant market price (defined as the simple average of the five daily VWAPs on the TSX for the five trading day period ending on the fourth trading day prior to each tranche's closing date). The tranches are expected to close on the third business day after the end of the five day pricing period, to be completed on or about June 19, 2013 and July 23, 2013, respectively. The shares will be registered in the US for resale on the NYSE MKT via a resale shelf prospectus supplement on Form F-10, and resales in Canada will be restricted for four months. Not more than 9.99% of the total issued and outstanding shares will be issued in these transactions.

100% of the gross proceeds from the flow-through offering will be used for eligible mine expansion expenditures and exploration activities at the LDI mine and property in Ontario that constitute "Canadian exploration expense" ("CEE") as defined in the Income Tax Act (Canada).

This new release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which the offer, solicitation or sale would be unlawful. The securities being offered have not been approved or disapproved by any regulatory authority, nor has any such authority passed upon the accuracy or adequacy of the prospectus supplement or the base shelf prospectus or shelf registration statement. The offering is subject to the approval of the TSX and the NYSE MKT.

Operating Line of Credit

The Company also extended its US$60 million revolving operating line of credit by an additional year to July 4, 2014. The credit facility is secured by first priority security on the Company's accounts receivables and inventories and second priority security on all other assets.

About North American Palladium

NAP is an established precious metals producer that has been operating its flagship Lac des Iles mine ("LDI") located in Ontario, Canada since 1993. LDI is one of only two primary producers of palladium in the world, and is currently undergoing a major expansion to increase production and reduce cash costs per ounce. The Company's shares trade on the NYSE MKT under the symbol PAL and on the TSX under the symbol PDL.

Forward-Looking Information:

Certain information in this news release relating to North American Palladium Ltd., including, but not limited to, the use of proceeds and closing of the flow-through offering, is forward looking and related to anticipated events and strategies. When used in this context, words such as "will", "anticipate", "believe", "plan", "intend", "target" and "expect" or similar words suggest future outcomes. By their nature, such statements are subject to significant risks and uncertainties, which include, but are not limited to, regulatory and government decisions, economic conditions, and availability and cost of financing. Readers are cautioned not to place undue reliance on forward-looking statements as actual results could differ materially from the plans, expectations, estimates or intentions expressed in the forward-looking statements. Except as required by law, North American Palladium Ltd. disclaims any intention and assumes no obligation to update any forward-looking statement even if new information becomes available, as a result of future events or for any other reason.

Contact Information:

North American Palladium Ltd.
Camilla Bartosiewicz
Director, Investor Relations and Corporate Communications
416-360-7374
Camilla@nap.com

North American Palladium Reports Voting Results from 2013 Annual & Special Meeting of Shareholders

Fri, 10 May 2013 16:30:00 -0400

TORONTO, ONTARIO--(Marketwired - May 10, 2013) - North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) released today the final voting results of its 2013 Annual and Special Meeting of Shareholders ("AGM") held on May 9, 2013 in Toronto, Ontario. The following matters were voted on:

1. Election of Directors

The following six nominees were appointed as Directors of the Corporation to serve until the next annual meeting of shareholders of the Corporation, or until their successors are elected or appointed. The results were as follows:

Name of Nominee	Votes For	Percent	Votes Withheld	Percent
Steven R. Berlin	32,837,292	55.95%	25,854,054	44.05%
C. David A. Comba	32,862,867	55.99%	25,828,479	44.01%
André J. Douchane	32,782,990	55.86%	25,908,354	44.14%
Robert J. Quinn	32,855,700	55.98%	25,835,645	44.02%
Greg J. Van Staveren	32,837,600	55.95%	25,853,746	44.05%
William J. Weymark	32,875,316	56.01%	25,816,029	43.99%

2. Appointment of Auditors

KPMG LLP, Chartered Accountants, were reappointed as auditors of the Corporation to hold office until the next annual meeting, and the Directors were authorized to fix their remuneration. The results were as follows:

Votes For	Percent	Votes Withheld	Percent
112,369,269	97.12%	3,332,069	2.88%

3. Approval of Amended and Restated RRSP Plan

Shareholders approved the resolution confirming and ratifying the Company's Amended and Restated RRSP Plan, the text of which resolution is set forth in Schedule A of the Management Information Circular dated April 1, 2013. The results were as follows:

Votes For	Percent	Votes Withheld	Percent
55,360,896	94.33%	3,330,450	5.67%

4. Approval of Amended and Restated Stock Option Plan

Shareholders approved the resolution confirming and ratifying the Company's Amended and Restated Stock Option Plan, the text of which resolution is set forth in Schedule B of the Information Circular. The results were as follows:

Votes For	Percent	Votes Withheld	Percent
54,922,849	93.58%	3,768,496	6.42%

5. Approval of Amended and Restated By-law No.1

Shareholders approved the resolution confirming and ratifying the Company's Amended and Restated By-law No. 1, the text of which resolution is set forth in Schedule C of the Information Circular. The results were as follows:

Votes For	Percent	Votes Withheld	Percent
55,617,960	94.76%	3,073,386	5.24%

6. Approval of Advance Notice By-law

Shareholders approved the resolution confirming and ratifying the Company's Advance Notice By-law, the text of which resolution is set forth in Schedule D of the Information Circular. The results were as follows:

Votes For	Percent	Votes Withheld	Percent
55,940,526	95.31%	2,750,820	4.69%

The formal Report on Voting Results with respect to all matters voted upon at the AGM will be filed with the Canadian securities regulatory authorities shortly.

About North American Palladium

NAP is an established precious metals producer that has been operating its flagship Lac des Iles mine (LDI) located in Ontario, Canada since 1993. LDI is one of only two primary producers of palladium in the world, and is currently undergoing a major expansion to increase production and reduce cash costs per ounce. NAP operates with the vision of becoming a low cost mid-tier precious metals producer. The Company's shares trade on the NYSE MKT under the symbol PAL and on the TSX under the symbol PDL.

Contact Information:

North American Palladium Ltd.

Camilla Bartosiewicz

Director, Investor Relations and Corporate Communications

416-360-7374

camilla@nap.com

North American Palladium Announces First Quarter 2013 Results

Mon, 06 May 2013 06:00:00 -0400

TORONTO, ONTARIO--(Marketwired - May 6, 2013) -

All figures are in Canadian dollars except where noted.

North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) today announced the operating, development, and financial results for the first quarter ended March 31, 2013.

Summary

Produced 38,654 ounces of payable palladium at a cash cost per ounce⁽¹⁾ of US$490;
Realized palladium selling price of US$730 per ounce, giving a palladium operating margin of US$240 per ounce, or US$9.3 million;
Revenue of $47.1 million;
Adjusted EBITDA⁽¹⁾ of $7.5 million;
Invested $38.1 million in capital expenditures at the Lac des Iles ("LDI") mine, of which $31.7 million was invested in the LDI mine expansion; and
2013 operating and capital expenditure plans under review by new management.

"There is significant value to be unlocked at LDI, and I am encouraged by LDI's future cash generation potential," said Phil du Toit, President and Chief Executive Officer. "My initial review of operations reaffirmed the potential that I saw when I accepted the role as CEO, but also identified some challenges as well as opportunities for improvement in areas such as strategic mine planning, cost optimization and project execution. This is a critical year for our transition and it will certainly not be without its challenges. We have a plan to unlock the high potential value of LDI, but this plan is contingent on a successful completion of a financing, therefore we are currently evaluating financing opportunities."

Lac des Iles Operations

Q1, 2013 Production

In the first quarter of 2013, the Company's LDI mine produced 38,654 ounces of payable palladium at a total cash cost of US$490 per ounce⁽¹⁾.

During the first quarter, 540,694 tonnes of ore were mined at LDI, of which 245,656 tonnes came from underground sources (with an average palladium grade of 4.1 grams per tonne), and 295,038 tonnes came from surface sources (with an average palladium grade of 2.4 grams per tonne). During the first quarter, the LDI mill processed 503,585 tonnes of ore at a combined average palladium mill head grade of 3.3 grams per tonne, at an 80.1% palladium recovery rate, and at a total cost of $57 per tonne milled.

In the first quarter, capital expenditures at LDI totaled $38.1 million, of which $31.7 million was spent on the LDI mine expansion (including: $10.4 million on shaft sinking and infrastructure to extend the shaft 225 metres to the 670-metre level; $4.3 million on level access and vertical development; $4.0 million on surface and underground construction; $2.5 million on procurement; $1.9 million on parts and maintenance; $1.3 million on capitalized exploration expenditures; $2.9 million on general and administration, indirects and equipment charge-backs; $2.3 million for capitalized interest, and $2.1 million for other development costs). The Company also spent an additional $6.4 million on capital, including $5.5 million for the tailings management facility ("TMF").

2013 Forecast Review

At the end of the first quarter, the new Chief Executive Officer and the Chief Financial Officer embarked on a detailed review of the Company's 2013 operating plan, as well as the life of mine plan for the Offset Zone. The review is expected to be completed by the end of the second quarter, however preliminary findings identified some negative trends in operations and capital expenditures that are currently being assessed.

The logistics of the transition between the Roby Zone and the Offset Zone are proving to be more complicated than previously anticipated, which has resulted in a delay in stope development and a corresponding decrease in volume from the Offset Zone in 2013. Though the stope sequencing delay will result in reduced production from the Offset Zone in 2013, the long term benefit is that the Offset Zone can be mined more economically via the shaft in 2014.

Management believes that the low end of the 150,000 to 160,000 ounce production guidance will be difficult to achieve, and could potentially decrease by about 10% to 15%. As a result of decreased underground production levels and lower head grade of mill feed, cash costs are expected to increase. These estimates are indicative only, remain subject to the ongoing review of the mine plan and are contingent on the successful completion of a financing.

To compensate for the expected decreased production from the Offset Zone, the Company is actively pursuing additional mineralized material from other sources on the property, including the drilled off extensions of the Roby Zone and contributions from other surface sources (including stockpiles).

Recognizing that operating efficiency can only start to improve in a meaningful way once Phase II is completed, accelerating the shaft sinking beyond the Phase I 825-metre level will be the primary focus of the 2013 development plan review currently underway. As part of the ongoing reviews, the Company is also considering alternative bulk mining methods for the Offset Zone to further optimize mining volumes and production costs.

The preliminary project review has also indicated that the required capital expenditures to complete development of Phase I of the shaft project have been underestimated. After a review of certain procurement items and development plans (including accelerating plans to commence Phase II of the shaft sinking in 2013), management expects that capital expenditures in 2013 could be up to 35% higher than the prior guidance of $105 million. This estimate is preliminary, and is contingent on a financing.

The Company continues to look for opportunities to optimize its operations and development, and is actively sourcing opportunities for augmenting expected production with additional sources of ore. The Company also plans to strengthen its project team by engaging a professional project management contractor to assist with Phase II capital estimates, and to help implement improved cost and schedule controls for development.

"Overall, despite some of the transitional challenges that we will experience this year, I remain very optimistic about our future prospects at LDI," added Mr. du Toit. "The value creation from this point on will depend on our execution; therefore my focus over the next few months will be to ensure that the Company is prepared for the transition to shaft-based operations, and that our plans for Phase II fully optimize the asset."

LDI Mine Expansion Development

The Company continues to make steady progress with its mine expansion development activities and remains well positioned to start utilizing the shaft for underground production by the end of the third quarter in 2013.

Recent highlights include:

The shaft sinking is on schedule, recently reaching a depth of 695 metres below surface, representing 84% completion of the total 825 metres planned for the first phase of the shaft sinking.

The production hoist is now operational, and the installation of the main skip dump is in progress.

The first Offset Zone mining stope (where mining commenced in the fourth quarter of 2012) has been successfully mined out, and production commenced in the second Offset Zone stope. The development of additional mining stopes experienced some delays, but is in progress.

The ramp extension reached the 825-metre level depth and the shaft station there has been excavated and is being prepared for the shaft.

Financial Results ⁽²⁾

Revenue for the first quarter was $47.1 million compared to $41.6 million in the first quarter of 2012. The increase in revenue was primarily due to greater quantities of payable metals sold, more favourable exchange rates and higher realized prices for palladium. Income from mining operations was $5.1 million, compared to $7.9 million in the same quarter last year. During the first quarter, the Company realized a palladium selling price of US$730 per ounce.

Net loss for the quarter was $2.8 million or $0.02 per share compared to a net loss of $0.9 million or $0.01 per share in the same quarter last year. Adjusted net loss⁽¹⁾ (which excludes exploration costs, gains and losses from discontinued operations, and insurance recoveries net of mine restoration costs) was $0.8 million in the first quarter, compared to adjusted net income⁽¹⁾ of $3.3 million in the same quarter last year.

EBITDA⁽¹⁾ was $2.9 million for the first quarter, compared to $5.0 million in the same quarter last year. Adjusted EBITDA⁽¹⁾ (which excludes interest and other financing costs, depreciation and amortization, exploration, and insurance recoveries net of mine restoration costs) was $7.5 million in the first quarter, compared to $8.2 million in first quarter last year.

In the first quarter, NAP invested $6.1 million in exploration and infill drilling, of which $1.3 million was capitalized in connection with the LDI mine expansion. Capital expenditures in the first quarter amounted to $38.1 million, of which $31.7 million was invested in the LDI mine expansion (including $2.3 million on capitalized interest) and an additional $6.4 million spent primarily on the tailings management facility. The Company's general and administration expenses for the quarter ended March 31, 2013 were $2.9 million.

As at March 31, 2013, the Company had $23.5 million cash on hand (which includes the proceeds from the sale of the gold division), and $1.2 million in working capital.

Recognizing that the anticipated operating cash flows are not expected to provide sufficient cash to fund capital expenditures planned for 2013, the Company is currently in the process of evaluating financing opportunities and plans to access the debt and/or equity markets in the second quarter. While the Company believes that both the debt and equity markets are currently available to finance its funding requirement, certainty of completing a financing cannot be assumed at this time, and if sufficient financing is not obtained, it will have a materially negative impact on the Company.

Corporate Update

The Company also announced that Mr. Greg Struble has resigned as Vice President and Chief Operating Officer, effective May 15, 2013, to pursue an opportunity as Chief Executive Officer with another public company in the industry.

"On behalf of the entire team at NAP, I would like to thank Greg for his commitment to the Company and important contributions throughout his tenure," commented Mr. du Toit. "We wish him well with his new endeavor."

Q1 2013 Conference Call & Webcast Details

Date:	Monday, May 6, 2013
Time:	8:30 a.m. ET
Webcast:	www.nap.com
Live Call:	1-855-410-0553 or 1-646-583-7389 (PIN: 639795, followed by # sign)
Replay:	1-877-764-8714 or 1-646-583-7395 (PIN: 337553, followed by # sign)

Annual & Special Meeting of Shareholders

Date:	Thursday, May 9, 2013
Time:	10:30 a.m. ET
Webcast:	www.nap.com
Venue:	The TSX Broadcast Centre Gallery
Address:	The Exchange Tower, 130 King Street West, Toronto, Ontario

About North American Palladium

⁽¹⁾ Non-IFRS measure. Please refer to Non-IFRS Measures in the MD&A.

⁽²⁾ NAP's condensed interim consolidated financial statements for the first quarter ended March 31, 2013 are available in the Appendix of this news release. These financial statements should be read in conjunction with the notes and management's discussion and analysis available at www.nap.com, www.sedar.com, and www.sec.gov.

Cautionary Statement on Forward-Looking Information

Certain information included in this news release constitutes 'forward-looking statements' within the meaning of the 'safe harbor' provisions of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities laws. The words 'expect', 'believe', 'will', 'intend', 'estimate', 'guidance', and similar expressions identify forward-looking statements. Such statements include, without limitation, any information as to our future financial or operating performance, including: the Company's forward looking production guidance, projected capital expenditures, operating cost estimates, project timelines, mining and milling rates, projected grades, mill recoveries, and other statements that express management's expectations or estimates of future performance.

Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. The factors and assumptions contained in this news release, which may prove to be incorrect, include, but are not limited to: that metal prices will be consistent with the Company's expectations, that the exchange rate between the Canadian dollar and the United States dollar will be consistent with the Company's expectations, that there will be no significant disruptions affecting operations, that prices for key mining and construction supplies, including labour and transportation costs, will remain consistent with the Company's expectations, that the Company's current estimates of mineral reserves and resources are accurate, and that there are no material delays in the timing of ongoing development projects. The forward-looking statements are not guarantees of future performance. The Company cautions the reader that such forward-looking statements involve known and unknown risks that may cause the actual results to be materially different from those expressed or implied by the forward-looking statements. Such risks include, but are not limited to: the possibility that metal prices, foreign exchange rates or operating costs may differ from management's expectations, uncertainty of mineral reserves and resources, inherent risks associated with mining and processing, the risk that the Lac des Iles mine and may not perform as planned and that the Offset Zone and other properties may not be successfully developed, the possibility of construction and commissioning delays, the possibility of project cost overruns, and uncertainty of the ability of the Company to obtain financing. For more details on the factors, assumptions and risks see the Company's most recent Form 40-F/Annual Information Form on file with the U.S. Securities and Exchange Commission and Canadian provincial securities regulatory authorities. The Company disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, events or otherwise, except as expressly required by law. Readers are cautioned not to put undue reliance on these forward-looking statements.

Condensed Interim Consolidated Balance Sheets

(expressed in thousands of Canadian dollars)

(unaudited)

	March 31		December 31
	2013		2012
ASSETS
Current Assets
Cash and cash equivalents	$ 23,493		$ 20,168
Accounts receivable	58,030		53,922
Inventories	16,844		15,388
Other assets	9,361		8,448
Assets of disposal group classified as held for sale	-		29,814
Total Current Assets	107,728		127,740
Non-current Assets
Mining interests	374,155		343,492
Total Non-current Assets	374,155		343,492
Total Assets	$ 481,883		$ 471,232

LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable and accrued liabilities	$ 60,063		$ 58,474
Credit facility	37,870		15,089
Current portion of obligations under finance leases	2,834		3,717
Provisions	-		1,000
Taxes payable	874		874
Current derivative liability	4,902		3,952
Liabilities of disposal group classified as held for sale	-		12,071
Total Current Liabilities	106,543		95,177
Non-current Liabilities
Income taxes payable	2,352		2,352
Asset retirement obligations	15,330		15,214
Obligations under finance leases	9,724		9,956
Long-term debt	102,517		101,633
Total Non-current Liabilities	129,923		129,155
Shareholders' Equity
Common share capital	777,884		776,632
Stock options and related surplus	9,238		9,125
Equity component of convertible debentures, net of issue costs	6,931		6,931
Contributed surplus	8,873		8,873
Deficit	(557,509	)	(554,661	)
Total Shareholders' Equity	245,417		246,900
Total Liabilities and Shareholders' Equity	$ 481,883		$ 471,232

Condensed Interim Consolidated Statements of Operations and

Comprehensive Loss

(expressed in thousands of Canadian dollars, except share and per share amounts)

(unaudited)

	Three months ended March 31
	2013		2012
Revenue	$ 47,090		$ 41,580

Mining operating expenses
Production costs	28,941		25,394
Smelting, refining and freight costs	3,802		2,975
Royalty expense	2,509		1,594
Depreciation and amortization	6,085		3,792
Loss on disposal of equipment	629		-
Total mining operating expenses	41,966		33,755
Income from mining operations	5,124		7,825

Other expenses
Exploration	4,840		3,184
General and administration	2,913		3,303
Other income	(303	)	(83	)
Interest expense and other costs	2,209		1,055
Foreign exchange loss	822		219
Total other expenses	10,481		7,678
(Loss) income from continuing operations before taxes	(5,357	)	147
Income and mining tax expense	-		-
(Loss) income and comprehensive (loss) income from continuing operations for the period	$ (5,357	)	$ 147
Income (loss) and comprehensive income (loss) from discontinued operations for the period	2,509		(1,075	)
Loss and comprehensive loss for the period	$ (2,848	)	$ (928	)
Loss per share
Basic and diluted	$ (0.02	)	$ (0.01	)
(Loss) income from continuing operations per share
Basic and diluted	$ (0.03	)	$ 0.00
Income (loss) from discontinued operations per share
Basic and diluted	$ 0.01		$ (0.01	)
Weighted average number of shares outstanding
Basic and diluted	177,450,837		162,924,838

Condensed Interim Consolidated Statements of Cash Flows

(expressed in thousands of Canadian dollars)

(unaudited)

		Three months ended March 31
		2013		2012
Cash provided by (used in)
Operations
Net (loss) income from continuing operations for the period		$ (5,357	)	$ 147
Operating items not involving cash
	Depreciation and amortization	6,085		3,792
	Accretion expense	954		540
	Deferred income and mining tax recovery	-		1,098
	Share-based compensation and employee benefits	413		755
	Other	936		330
		3,031		6,662
Changes in non-cash working capital		134		983
		3,165		7,645
Financing Activities
Credit facility		23,000		11,239
Repayment of obligations under finance leases		(1,315	)	(1,446	)
Interest paid		(4,589	)	(3,592	)
		17,096		6,201
Investing Activities
Additions to mining interests (net)		(38,068	)	(37,210	)
Proceeds on disposal of mining interests (net)		990		79
		(37,078	)	(37,131	)
Decrease in cash from continuing operations		(16,817	)	(23,285	)
Net change in cash attributable to discontinued operations		20,142		(8,955	)
Increase (decrease) in cash and cash equivalents		3,325		(32,240	)
Cash and cash equivalents, beginning of period		20,168		50,935
Cash and cash equivalents, end of period		$ 23,493		$ 18,695

Contact Information:

North American Palladium Ltd.

Camilla Bartosiewicz

Director, Investor Relations and Corporate Communications

416-360-7374

camilla@nap.com

www.nap.com

North American Palladium Announces Favourable Recommendations from ISS and Glass Lewis for Annual & Special Meeting Proposals

Tue, 30 Apr 2013 16:30:00 -0400

TORONTO, ONTARIO--(Marketwired - April 30, 2013) - North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) announced today that Institutional Shareholder Services Inc. ("ISS") and Glass Lewis & Co. ("Glass Lewis"), two leading independent proxy advisory firms, have recommended to their respective institutional clients that they vote in favour of all the resolutions to be considered at NAP's annual and special meeting of shareholders to be held on May 9, 2013 in Toronto.

ISS and Glass Lewis are recognized as leading independent proxy and corporate governance advisory firms whose recommendations are relied upon by many major institutional investment firms, mutual and pension funds and other institutional shareholders throughout North America.

Shareholders are encouraged to submit their proxies in support of the proposed resolutions prior to the May 7, 2013, 10:30 a.m. ET proxy vote deadline. Shareholders who have questions or require assistance voting their shares should contact the Company's proxy solicitor, Phoenix Advisory Partners, LLC, toll-free at 1-800-845-1507.

About North American Palladium

Contact Information:

North American Palladium Ltd.

Camilla Bartosiewicz
Director, Investor Relations and Corporate Communications
416-360-7374
camilla@nap.com
www.nap.com

North American Palladium to Host First Quarter 2013 Results Conference Call & Webcast on May 6, and Annual & Special Meeting of Shareholders on May 9

Mon, 29 Apr 2013 17:40:00 -0400

TORONTO, ONTARIO--(Marketwired - April 29, 2013) - North American Palladium Ltd. ("NAP") (TSX:PDL)(NYSE MKT:PAL) will host a conference call and live webcast with its management team on Monday, May 6, 2013 at 8:30 a.m. ET to discuss NAP's first quarter ended March 31, 2013 financial and operating results.

The Company plans issue its 2013 first quarter results news release and quarterly report before market open on Monday, May 6, 2013. The news release and quarterly report will be available on the Company's website at www.nap.com.

NAP also announced that it will hold its annual & special meeting of shareholders on Thursday, May 9, 2013 in Toronto, with proceedings and a live webcast scheduled to begin at 10:30 a.m. ET.

The details for both events are as follows:

Q1 2013 Conference Call & Webcast Details

Date:	Monday, May 6, 2013
Time:	8:30 a.m. ET
Webcast:	www.nap.com
Live Call:	1-855-410-0553 or 1-646-583-7389 (PIN: 639795, followed by # sign)
Replay:	1-877-764-8714 or 1-646-583-7395 (PIN: 337553, followed by # sign)

The conference call replay will be available for 90 days after the live event. An archived audio webcast of the call will also be posted to NAP's website.

Annual & Special Meeting of Shareholders

Date:	Thursday, May 9, 2013
Time:	10:30 a.m. ET
Webcast:	www.nap.com
Venue:	The TSX Broadcast Centre Gallery
Address:	The Exchange Tower, 130 King Street West, Toronto, Ontario

An archived audio webcast of the call will also be posted to NAP's website.

About North American Palladium

Contact Information:

North American Palladium Ltd.

Camilla Bartosiewicz

Director, Investor Relations and Corporate Communications

416-360-7374

camilla@nap.com

www.nap.com

North American Palladium Announces the Sale of Its Gold Division

Fri, 22 Mar 2013 22:15:00 -0400

TORONTO, ONTARIO--(Marketwire - March 22, 2013) - North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) is pleased to announce that it has closed the sale of its Quebec-based gold division, NAP Quebec Mines Ltd., which holds the Vezza mine, the Sleeping Giant mine and mill complex, and its nearby portfolio of exploration properties, to Maudore Minerals Ltd. ("Maudore"). A binding agreement in respect of the sale was entered into on closing.

The purchase price paid by Maudore consisted of $18 million in cash and 1.5 million common shares of Maudore, which shares are listed for trading on the TSX Venture Exchange. The shares are subject to a four-month hold period in accordance with Canadian securities laws. An adjustment to the purchase price for gold and silver inventory will also result in additional payments to NAP post closing. NAP intends to use the net proceeds from the sale to fund the mine expansion at its Lac des Iles palladium mine in Ontario.

Dundee Capital Markets acted as NAP's financial advisor and Norton Rose as its legal advisor in connection with the sale process.

"Through the divestiture of the gold division, North American Palladium can now be completely focused on the Lac des Iles expansion and operation," said André Douchane, Interim Chief Executive Officer. "The Lac des Iles mine is a world class palladium asset that is expected to be the main source of our future growth in production and cash flow."

Mr. Douchane added: "We would like to thank our gold division employees for their hard work and dedication, and congratulate Maudore on advancing their growth strategy through the acquisition of our gold assets."

About North American Palladium

NAP is an established precious metals producer that has been operating its flagship Lac des Iles mine (LDI) located in Ontario, Canada since 1993. LDI is one of only two primary producers of palladium in the world, and is currently undergoing a major expansion to increase production and reduce cash costs per ounce. NAP operates with the vision of becoming a low cost mid-tier precious metals producer, with a target to grow production to over 250,000 ounces of palladium in the next few years. The Company's shares trade on the NYSE MKT under the symbol PAL and on the TSX under the symbol PDL.

Forward-Looking Information

Certain information in this news release relating to North American Palladium Ltd., including, but not limited to, the use of proceeds, is forward looking and related to anticipated events and strategies. When used in this context, words such as "will", "anticipate", "believe", "plan", "intend", "target" and "expect" or similar words suggest future outcomes. By their nature, such statements are subject to significant risks and uncertainties, which include, but are not limited to, regulatory and government decisions, economic conditions, and availability and cost of financing. Readers are cautioned not to place undue reliance on forward-looking statements as actual results could differ materially from the plans, expectations, estimates or intentions expressed in the forward-looking statements. Except as required by law, North American Palladium Ltd. disclaims any intention and assumes no obligation to update any forward-looking statement even if new information becomes available, as a result of future events or for any other reason.

Contact Information:

North American Palladium Ltd.

Camilla Bartosiewicz

Director, Investor Relations and Corporate Communications

416-360-7374

camilla@nap.com

www.nap.com

North American Palladium Appoints Chief Executive Officer

Thu, 21 Mar 2013 16:30:00 -0400

TORONTO, ONTARIO--(Marketwire - March 21, 2013) - North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) is pleased to announce the appointment of Phil du Toit as President and Chief Executive Officer ("CEO") of the Company, effective March 25, 2013.

Mr. du Toit is an accomplished mining executive with a proven track record for executing on his management mandates throughout his career. Mr. du Toit brings significant project management expertise to the CEO role, developed during his 37 years of global experience in the mining industry which included senior roles for some of the world's leading mining companies, and the successful development of multiple large capital projects.

Recently, Mr. du Toit served as Executive Vice President and Head of Mining Projects and Exploration for ArcelorMittal, the world's leading integrated steel and mining company, where he was responsible for mining strategy, exploration, project and business development. His experience also includes serving as interim CEO of Baffinland Iron Mines Corp., as well as having held various senior management positions for Vale, Diavik Diamond Mines (a subsidiary of Rio Tinto plc), Voest Alpine Inc., and Gencor Ltd. He holds a Bachelor of Science degree in Civil Engineering from the University of Pretoria in South Africa.

"We are pleased to welcome Phil to the executive team and look forward to his leadership in furthering North American Palladium's growth strategy," said Robert Quinn, NAP's Chairman. "Phil has an exceptional track record for successfully managing large capital projects and his expertise will be an asset to our expanding palladium operations. On behalf of the Board, I would also like to thank André Douchane for his contributions as interim CEO during the last several months."

"I am very pleased that we were able to attract Phil as CEO," added Mr. Douchane. "I look forward to working closely with him over the next several weeks to ensure a speedy and efficient transition."

About North American Palladium

Contact Information:

North American Palladium Ltd.

Camilla Bartosiewicz

Director, Investor Relations and Corporate Communications

416-360-7374

camilla@nap.com

North American Palladium Announces Adoption of Advance Notice By-Law

Fri, 15 Mar 2013 10:41:00 -0400

TORONTO, ONTARIO--(Marketwire - March 15, 2013) - North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) announced today that its Board of Directors has approved an advance notice by-law (the "By-Law"). The purpose of the By-Law is to provide shareholders, directors and management of the Company with a clear framework for nominating directors for election to the Board of Directors and timely information in connection with such nominations.

Among other things, the By-Law requires that advance notice be given to the Company in circumstances where nominations of persons for election to the Board of Directors are made by shareholders other than pursuant to (i) a requisition of a meeting made pursuant to the provisions of the Canada Business Corporations Act; or (ii) a shareholder proposal made pursuant to the provisions of such Act. No person will be eligible for election as a director of the Company unless nominated in accordance with the provisions of the By-Law.

The By-Law is currently in effect. The Company will ask shareholders to confirm and ratify the By-Law at its next annual and special meeting of shareholders on May 9, 2013. The full text of the By-Law is available on SEDAR at www.sedar.com.

About North American Palladium

Contact Information:

North American Palladium Ltd.
Camilla Bartosiewicz
Director, Investor Relations and Corporate Communications
416-360-7374
camilla@nap.com
www.nap.com

North American Palladium Appoints a New Independent Chairman

Mon, 04 Mar 2013 07:00:00 -0500

TORONTO, ONTARIO--(Marketwire - March 4, 2013) - North American Palladium Ltd. ("NAP" or the "Company") (TSX:PDL)(NYSE MKT:PAL) and its Board of Directors are pleased to announce the appointment of Mr. Robert Quinn to the position of Chairman, effective March 4, 2013. Mr. André Douchane, NAP's Chairman for the last 7 years, will continue to perform Chief Executive Officer ("CEO") responsibilities until a new CEO is named, and will therefore relinquish his role as Chairman to allow NAP to be governed by an independent Chairman.

Mr. Quinn, who has been acting as Lead Independent Director, has been a member of the Company's Board of Directors since June 2006 and has over 30 years of experience in the mining industry. Mr. Quinn, who holds degrees in both international business and law, is a founding partner of the Houston mining transactional law firm Quinn & Brooks LLP, with previous experience as Vice President and General Counsel for Battle Mountain Gold Company. He has extensive public company board experience with a specialty in corporate governance, M&A transactions, public disclosure, governmental affairs, environmental law and land management.

Mr. Douchane, who was appointed to the Company's Board of Directors in 2003, will continue to provide the benefit of his considerable industry experience and substantial historical knowledge of the Company as a Director of the Board and as CEO of the Company for the duration of the Board's search for a permanent CEO candidate. The Board would like to express its appreciation to Mr. Douchane for his valuable contribution to NAP as Chairman and looks forward to his continued guidance in the years ahead.

The Board of Directors remains active in its search to find a new CEO for the Company and a formal search process is underway through a leading Canadian executive recruiting organization. The Company will update shareholders when the successful candidate is named.

About North American Palladium

Contact Information:

North American Palladium Ltd.
Camilla Bartosiewicz
Director, Investor Relations and Corporate Communications
416-360-7374
camilla@nap.com
www.nap.com