AuRico Gold Announces Inaugural Dividend Policy
TORONTO, February 21, 2013 /PRNewswire/ -- http://www.auricogold.com/investor-information/press-releases/press-release-details/2013/AuRico-Gold-Announces-Inaugural-Dividend-Policy/default.aspx
* (all amounts are in US dollars unless otherwise indicated) AuRico Gold Inc.
(TSX: AUQ) (NYSE: AUQ), ("AuRico" or the "Company") is pleased to
announce that as part of the Company's long-term strategy to
maximize shareholder value, the Board of Directors has approved
the implementation of a new, two-tiered dividend policy:
In 2013, the Company will pay an annual dividend of $0.16 per common
share (payable quarterly);
In subsequent years, the quarterly dividend will be linked to
operating cash flow ("OCF"), whereby the Company intends to pay
out 20% of the OCF generated in the preceding quarter divided by
the Company's outstanding common shares at the time the dividend is
The first quarterly dividend ($0.04 per common share) is expected to
be declared on March 25, 2013.
"We are very pleased that the transformation of AuRico has enabled
us to introduce a regular quarterly dividend, supported by growing
production at the Young-Davidson mine, expanding margins, declining
capital requirements and a strong balance sheet.
Linking the dividend to our cash flow stream will provide
shareholders significant leverage to the growing production profile
at the Young-Davidson mine, one of the most exciting, low cost
mines to co me into production in recent years,"
stated Scott Perry, President and CEO.
He continued, "With a commitment to delivering reliable, consistent
and sustainable performance, the Company is well positioned to
reward our shareholders this year through a peer-leading yield of
approximately 2.5% and in subsequent years by returning a
significant portion of the growing cash flow generated from our
The implementation of a meaningful dividend policy along with the
completion of the recent $300 million share buyback program clearly
authenticates our ongoing commitment to delivering shareholder
About AuRico Gold AuRico Gold is a leading Canadian gold producer with mines and
projects in North America that have solid production growth and
The Company is focused on its core operations including
the Young-Davidson gold mine in northern Ontario and
the El Chanate mine in Sonora State, Mexico.
AuRico's project pipeline also includes advanced development
opportunities in Canada and Mexico.
AuRico's head office is located in Toronto, Ontario, Canada.
Certain information included in this news release constitutes
forward-looking statements, ---- statements whether as a result of
new information, future events or otherwise, except as required by
As reported in the Company's financial statements
For further information please visit the AuRico Gold website at http://www.auricogold.com
President and Chief Executive Officer
AuRico Gold Inc.
Vice President, Investor Relations and Communications
AuRico Gold Inc.
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