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First Nickel Establishes Shareholder Rights Plan
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News Release No. 2008-07
Toronto, Ontario -- May 6, 2008 --First Nickel Inc. ("First Nickel" or
the "Company") (TSX: "FNI") is pleased to announce the establishment of
a shareholder rights plan agreement effective May 5, 2008. Although the
rights plan is effective upon its adoption, in accordance with Toronto
Stock Exchange requirements, it will be submitted to the shareholders
for ratification at First Nickel's annual and special meeting scheduled
to be held on June 19, 2008.
If the rights plan resolution is ratified and confirmed at the annual
and special meeting, the shareholder rights plan will continue in
effect until the earlier of the termination time, as defined in the
rights plan, or the date upon which the annual meeting of the holders
of common shares terminates in 2011. If the rights plan resolution is
not approved at the meeting, the rights plan will terminate at the end
of the meeting.
The rights plan is designed to ensure that all shareholders receive
equal treatment and to maximize shareholder value in the event of a
takeover bid or other acquisition that could lead to the change in
control of First Nickel. It is not intended to deter takeover
proposals.
William Anderson, President and CEO of First Nickel, said "The rights
plan is intended to provide time for shareholders to properly assess
any takeover bid and to provide the board of directors with sufficient
time to explore and develop alternatives for maximizing shareholder
value, including, if considered appropriate, identifying and holding
discussions with other potential bidders."
In making the announcement, First Nickel is not aware of any pending or
threatened takeover initiatives directed at the company. A copy of the
rights plan is available by contacting First Nickel at 416-362-7050. A
copy will also be available on the System for Electronic Document
Analysis and Retrieval ("SEDAR") located at www.sedar.com.
For further information contact:
William Anderson, President & CEO
First Nickel Inc.
Telephone: (416) 362-7050
Fax: (416) 362-9050
Email: wanderson@firstnickel.com
Or
Forbes West, Investor Relations Advisor
416-203-2200 / 1-888-655-5532 / forbes@sherbournegroup.ca
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Copyright (c) 2008 FIRST NICKEL INC. (FNI) All rights reserved. For
more information visit our website at http://www.firstnickel.com/ or
send mailto:info@firstnickel.com
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