Toronto Stock Exchange: G
New York
Stock Exchange: GG
Goldcorp Announces $750
Million Offering of Convertible Senior Notes
Vancouver, British
Columbia, June 1, 2009 � Goldcorp Inc. (NYSE: GG; TSX: G) announced today that it is planning
a private offering of approximately $750.0 million of convertible senior notes
due 2014 (the �notes�). Goldcorp expects to grant the initial purchasers
in the offering a 30-day option to purchase up to an additional $112.5 million
of notes to cover over-allotments, if any.
Although the terms of the
offering have not been established, it is expected that the price at which the
notes will be convertible into Goldcorp common shares will be set at a premium
to the market price of Goldcorp common shares, that a holder�s right to convert
will be contingent on Goldcorp common shares trading at a premium to such
conversion price or upon the occurrence of certain other events and that, upon
conversion, Goldcorp may, in lieu of delivery of its common shares, elect to
pay or deliver, as the case may be, cash or a combination of cash and common
shares, in respect of the converted notes.
Goldcorp intends to use the
net proceeds from the sale of the notes to repay indebtedness under its
revolving term credit facility, with the balance to be used for general
corporate purposes, including capital expenditures.
The notes and the
common shares issuable upon conversion of the notes have not been and will not
be registered under the U.S. Securities Act of 1933, as amended, and may not be
offered or sold in the United States absent registration or an applicable
exemption from the registration requirements of the U.S. Securities Act of
1933, as amended. Offers and sales of the notes in Canada will be made only
pursuant to exemptions from the prospectus requirements of applicable Canadian
provincial or territorial securities laws. This press release does not
constitute an offer to sell or the solicitation of an offer to buy any
security.
Cautionary Note
Regarding Forward-Looking Statements
This press release contains
�forward-looking statements�, within the meaning of the United States Private
Securities Litigation Reform Act of 1995 and applicable Canadian securities
legislation, concerning the business, operations and financial performance and
condition of Goldcorp. Forward-looking statements include, but are not
limited to, statements with respect to the future price of gold, silver,
copper, lead and zinc, the estimation of mineral reserves and resources, the
realization of mineral reserve estimates, the timing and amount of estimated
future production, costs of production, capital expenditures, costs and timing
of the development of new deposits, success of exploration activities,
permitting time lines, hedging practices, currency exchange rate fluctuations,
requirements for additional capital, government regulation of mining
operations, environmental risks, unanticipated reclamation expenses, timing and
possible outcome of pending litigation, title disputes or claims and
limitations on insurance coverage. Generally, these forward-looking
statements can be identified by the use of forward-looking terminology such as
�plans�, �expects� or �does not expect�, �is expected�, �budget�, �scheduled�, �estimates�,
�forecasts�, �intends�, �anticipates� or �does not anticipate�, or �believes�,
or variations of such words and phrases or state that certain actions, events
or results �may�, �could�, �would�, �might� or �will be taken�, �occur� or �be
achieved�. Forward-looking statements are subject to known and unknown
risks, uncertainties and other factors that may cause the actual results, level
of activity, performance or achievements of Goldcorp to be materially different
from those expressed or implied by such forward-looking statements, including
but not limited to: risks related to the integration of acquisitions; risks
related to international operations; risks related to joint venture operations;
actual results of current exploration activities; actual results of current
reclamation activities; conclusions of economic evaluations; changes in project
parameters as plans continue to be refined; future prices of gold, silver,
copper, lead and zinc; possible variations in ore reserves, grade or recovery rates;
failure of plant, equipment or processes to operate as anticipated; accidents,
labour disputes and other risks of the mining industry; delays in obtaining
governmental approvals or financing or in the completion of development or
construction activities, as well as those factors discussed in the section
entitled �Description of the Business � Risk Factors� in Goldcorp�s Annual
Information Form for the year ended December 31, 2008, available on
www.sedar.com, and Form 40-F for the year ended December 31, 2008 on file with
the United States Securities and Exchange Commission in Washington, D.C. Although
Goldcorp has attempted to identify important factors that could cause actual
results to differ materially from those contained in forward-looking statements,
there may be other factors that cause results not to be as anticipated,
estimated or intended. There can be no assurance that such statements
will prove to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking statements. Goldcorp
does not undertake to update any forward-looking statements that are
incorporated by reference herein, except in accordance with applicable
securities laws.
For further information,
please contact:
Jeff Wilhoit
VP, Investor Relations
Goldcorp Inc.
3400-666 Burrard Street
Vancouver, British Columbia,
V6C 2X8
Telephone: (604) 696-3074
Fax: (604) 696-3001
e-mail: info@goldcorp.com
website: www.goldcorp.com
website: www.goldcorp.com