STOCK EXCHANGE RELEASE - Creditors` Committee Endorse Restructure

Pasminco Chief Executive Officer Greig Gailey today welcomed the news that the Committee of Creditors had endorsed a proposal to restructure the Pasminco balance sheet.

The restructure proposal involves the issue of shares in lieu of debt to the company’s creditor financiers. The financiers’ interest will subsequently be partially sold down via a public float, with the creditors retaining a residual shareholding in the company.

Mr Gailey said, “Today’s news is welcomed and brings to an end the period of uncertainty for employees. The restructure proposal is the best outcome we could have hoped for, and allows the company to emerge from administration free of its crippling debt burden.”

“Employees should take credit for having maintained focus on safety, whilst increasing production and reducing costs during the period of administration.

“It is rare for a company the size and scale of Pasminco to get the opportunity to make a fresh start. We must seize that opportunity and build on our successes while ensuring that we learn from past mistakes. Relaunching Pasminco will be a major task, but it is a challenge that I am sure all employees will face with renewed vigour and enthusiasm,” he said.

For further information contact:
Trevor Shard
Group Manager Investor Relations
++61 (3) 9288 9186 or 0419 584 515

Click here to download Ferrier Hodgson Media Release - Pasminco Restructure Endorsed by Creditors Committee 21 May 2002 (16 KB)

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