AuRico Gold Announces Inaugural Dividend Policy

About this update from Auq Gold Mining Inc.

[{"type":"text","content":"\n\n\n\n\n\n(all amounts are in US dollars unless otherwise indicated)\n\n\nTORONTO, Feb. 21, 2013 /CNW/ - AuRico Gold Inc. (TSX: AUQ) (NYSE: AUQ), (\"AuRico\" or the \"Company\") is pleased to announce that as part of the\n Company's long-term strategy to maximize shareholder value, the Board\n of Directors has approved the implementation of a new, two-tiered\n dividend policy:\n\n\nIn 2013, the Company will pay an annual dividend of $0.16 per common\n share (payable quarterly);\n\n\nIn subsequent years, the quarterly dividend will be linked to operating\n cash flow1 (\"OCF\"), whereby the Company intends to pay out 20% of the OCF\n generated in the preceding quarter divided by the Company's outstanding\n common shares at the time the dividend is approved;\n\n\nThe first quarterly dividend ($0.04 per common share) is expected to be\n declared on March 25, 2013.\n\n\n\"We are very pleased that the transformation of AuRico has enabled us to\n introduce a regular quarterly dividend, supported by growing production\n at the Young-Davidson mine, expanding margins, declining capital\n requirements and a strong balance sheet. Linking the dividend to our\n cash flow stream will provide shareholders significant leverage to the\n growing production profile at the Young-Davidson mine, one of the most\n exciting, low cost mines to come into production in recent years,\"\n stated Scott Perry, President and CEO. He continued, \"With a commitment\n to delivering reliable, consistent and sustainable performance, the\n Company is well positioned to reward our shareholders this year through\n a peer-leading yield of approximately 2.5% and in subsequent years by\n returning a significant portion of the growing cash flow generated from\n our operations. The implementation of a meaningful dividend policy\n along with the completion of the recent $300 million share buyback\n program clearly authenticates our ongoing commitment to delivering\n shareholder value.\"\n\n\nAbout AuRico Gold\n\n\nAuRico Gold is a leading Canadian gold producer with mines and projects\n in North America that have solid production growth and exploration\n potential. The Company is focused on its core operations including the\n Young-Davidson gold mine in northern Ontario and the El Chanate mine in\n Sonora State, Mexico. AuRico's project pipeline also includes advanced\n de...

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