Kinross To Sell Back Its 22.5% Stake In Diavik Diamond Mines To Harry Winston For US$220 Mln - Quick Facts



Fri Jul 23 09:02:00 2010
EDT
(RTTNews) - Canadian gold mining company Kinross Gold Corp. (KGC, K.TO) Friday said it has signed
a deal to sell back its 22.5% interest in Diavik Diamond Mines to Harry Winston Diamond Corp. (HWD,
HW.TO) for US$220 million.

The deal value comprised of US$50 million cash, about 7.1 million Harry Winston common shares with
a value of about US$100 million, and a note payable in the amount of US$70 million.

The completion of the transaction is subject to execution of definitive binding documentation, as
well as the approval of the boards of both Harry Winston and Kinross, the receipt of all required third

party consents, the receipt of required regulatory approvals and other customary conditions of closing.

Kinross previously announced an agreement to sell to third parties its current around 19.9% interest
in Harry Winston, which Kinross acquired in March 2009. As a result of the sale of such equity interest,

Kinross' rights to nominate a member of the Harry Winston board and to maintain its proportionate equity

interest in Harry Winston have been terminated.

Kinross said, upon the completion of the deal, it would not hold any equity securities of Harry Winston,

and has no current intention to acquire any further securities of it.

It was on March 19 that Kinross signed a subscription agreement with Harry Winston to make a net
investment of $150 million in exchange for an indirect interest in the Diavik Diamond Mine in Canada's

Northwest Territories and a 19.9% shareholding in Harry Winston.

According the deal, Kinross made subscription for a minority 22.5% interest in the Diavik Diamond
Mine partnership that holds Harry Winston's 40% interest in the Diavik diamond mine joint venture operated

by Rio Tinto.

For comments and feedback: contact editorial@rttnews.com
Copyright(c) 2010 RTTNews.com, Inc. All Rights Reserved

KGC, K-TC, HWD, HW-TC,

BREAKING_NEWS, US, CORPORATE_NEWS,

This content is for use with eSignal products by authorized persons only. Any reference; link, frame,
or other use of this material without the explicit permission of eSignal is prohibited.