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Unformatted text preview: 15, 2013, in cash.
On August 22, 2011, the Company completed a $1.0 billion offering of debt securities, consisting of $250.0
million principal amount of 3.625% senior notes due 2016, $500.0 million principal amount of 5.125% senior
notes due 2021 and $250.0 million principal amount of 6.875% senior notes due 2041 (collectively, the
“notes”). The notes pay interest semi-annually. Kinross received net proceeds of $980.9 million from the
offering, after discount, payment of the commissions of the initial purchasers and expenses of the offering.
Except as noted below, the notes are redeemable by the Company, in whole or part, for cash at any time
prior to maturity, at a redemption price equal to the greater of 100% of the principal amount or the sum of
the present value of the remaining scheduled principal and interest payments on the notes discounted at the
applicable treasury rate, as defined in the indenture, plus a premium of between 40 and 50 basis points, plus
accrued interest, if any. Within three months and six months of maturity of the notes due in 2021 and 2041,
respectively, the Company can only redeem the notes in whole at 100% of the principal amount plus accrued
interest, if any. In addition, the Company is required to make an offer to repurchase the notes prior to
maturity upon certain fundamental changes at a repurchase price equal to 101% of the principal amount of
the notes plus accrued and unpaid interest to the repurchase date, if any.
On December 21, 2011, the Company completed a $200.0 million non-recourse loan from a group of
international financial institutions. The non-recourse loan carries a term of five years, maturing on
September 30, 2016 and bears annual interest of LIBOR plus 2.5%. Semi-annual principal repayments of
$30.0 million will commence in March 2013 and continue through September 30, 2015. Principal
repayments due on March 31, 2016 and September 30, 2016 are reduced to $13.0 million and $7.0 million,
respectively. The Company may prepay the loan...
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- Spring '14