| |
NEWS RELEASE TRANSMITTED BY CCNMatthews
FOR: NORTH AMERICAN PALLADIUM LTD.
TSE SYMBOL: PDL
MAY 04 2000 - 16:45 EDT
North American Palladium Ltd. Announces 1999 Financial
Results
North American Palladium Ltd. announces financial results for the
year ended December 31, 1999. The Company reported a net loss for
the year ended December 31, 1999 of $5,150,000 or $0.84 per share
on revenue from metal sales of $44,564,000 compared to a net loss
of $17,529,000 or $1.90 per share on revenue from metal sales of
$28,149,000 for the prior year. The increase in revenue from the
prior year is a result of higher average realized palladium
prices offset in part by lower palladium production, which
declined in the year to 64,441 ounces compared to 84,228 ounces
in 1998 as a result of processing lower head-grade ore because of
the mining sequence. The lower grade ore was marginally offset by
higher mill throughput.
For the three month period ended December 31, 1999 the net income
was $3,459,000 or $0.17 per share on revenue from metal sales of
$15,041,000 compared to a net loss of $2,360,000 or $0.30 per
share on revenue from metal sales of $10,212,000 for the three
months ended December 31, 1998. The net loss per share includes
dividends in arrears on Series "A" preferred shares of $1,374,000
for the fourth quarter of 1999 and $5,031,000 for the year ended
December 31, 1999.
Cash flow provided by operations (prior to changes in non-cash
working capital) was $12,943,000 in 1999 compared to cash used in
operations of $5,121,000 in 1998. The major improvement in cash
flow from operations was primarily due to higher metal prices and
better operating performance during the year. Changes in non-cash
working capital consumed $28,065,000 of cash in the current year,
which relates to the payment terms of concentrate inventories
awaiting settlement with the smelter. After allowing for non-cash
working capital changes, cash used in operations was $15,122,000
in 1999 compared to $11,479,000 in 1998.
/T/ Fourth Quarter Year Ended
/T//T/ December 31, December 31,
/T//T/ 1999 1998 1999 1998
/T//T/(thousands of Canadian dollars, except per share amounts)
/T//T/
/T//T/Revenue from metal
/T//T/ sales 15,041 10,212 44,564 28,149
/T//T/Net Income (Loss) 3,459 (2,360) (5,150) (17,529)
/T//T/Operating cash flow* 9,804 5,406 12,943 (5,121)
/T//T/Net Income (Loss)
/T//T/ per share 0.17 (0.30) (0.84) (1.90)/T/
*Prior to changes in non-cash working capital.
The Company's Annual and Special Meeting of Shareholders will be
held on Wednesday, June 28, 2000, at 10:30 a.m. at The Toronto
Board of Trade (Downtown Club).
North American Palladium's Lac des Iles Mine is Canada's only
primary producer of platinum group metals and one of the largest
platinum group metals deposits in the world. Palladium is a vital
and essential component in the production of auto catalysts,
which significantly reduce harmful automobile emissions. World
demand for palladium continues to increase as a result of
legislation enforcing stricter vehicle emission limits.
For further information contact:
Keith C. Minty - President & C.E.O.
Tel: (807) 624-0960 Ext. 14 Fax: (807) 624-0961
or
George D. Faught - Vice President Finance & CFO
Tel: (416) 232-9532 Fax: (416) 207-9288
Forward-Looking Statements - Some statements contained in this
release are forward-looking and, therefore, involve uncertainties
or risks that could cause actual results to differ materially.
Such forward-looking statements include comments regarding
profitability, operating performance, metal prices and markets,
costs of production, fluctuations in ore grade, ore tons milled,
geological, technical, mining or processing problems, exploration
programs and future results of exploration programs of the Lac
des Iles Mine, future profitability and production. The Company
disclaims any obligation to update forward-looking statements.
-30-
 |
