Docstoc

Resolution Authorizing Stock Distribution

Document Sample
Resolution Authorizing Stock Distribution Powered By Docstoc
					                                                                NEWS RELEASE
                                                                       December 11, 2008
                                                                             www.wgiheavyminerals.com

      WGI ANNOUNCES DETAILS OF CAPITAL DISTRIBUTION AND
                         DIVIDEND


Coeur d’Alene, Idaho, December 11, 2008 – WGI Heavy Minerals, Incorporated (WGI) (TSX: WG)
today announced that its shareholders have approved, at a special meeting of shareholders held
earlier today, a resolution authorizing the board of directors to reduce the stated capital account of
the common shares of WGI by up to US$0.80 per common share. WGI also received today a final
advance income tax ruling from the Canada Revenue Agency that allowed its board of directors to
finalize its determination of the portion of the special cash distribution of US$0.80 per common
share that can be paid by way of a return of capital, and therefore not be treated as a taxable dividend
for Canadian tax purposes.


WGI’s board of directors has determined that the special cash distribution of US$0.80 will be made
up of US$0.64 to be paid by way of a return of capital and the balance of US$0.16 to be paid as a
cash dividend. WGI designates the US$0.16 dividend portion of the above special cash distribution
to be an “eligible dividend” pursuant to subsection 89(14) of the Income Tax Act (Canada) and its
equivalent in any Provinces of Canada. The board of directors has approved the reduction of the
stated capital account of the common shares, on the date the above special cash distribution is paid,
by US$0.64 per common share.


The special cash distribution of US$0.80 per common share will be payable on January 12, 2009 to
shareholders of record at the close of business on January 2, 2009.


About WGI


WGI Heavy Minerals, Incorporated is a marketer of industrial grade minerals sourced primarily out
of India, producer of industrial-grade garnet out of Idaho and Germany and manufacturer of
replacement parts for ultra-high waterjet cutting systems in the U.S. The Company’s shares are
listed on the Toronto Stock Exchange under the symbol WG.

                                              Page 1 of 2
This press release contains forward-looking statements concerning the business, operations, and financial performance and condition
of WGI Heavy Minerals, Incorporated. A number of the matters discussed and statements made in the press release contain forward-
looking statements reflecting current expectations regarding future assets. When used in this press release, the words “believe”,
“anticipate”, “intend”, “estimate”, “expect”, “project”, and similar expressions are intended to identify forward-looking statements,
although not all forward-looking statements contain such words. These forward-looking statements are based on current expectations
and are naturally subject to risks, uncertainties, and changes in circumstances beyond management’s control that may cause actual
results to differ materially from those expressed or implied by such forward-looking statements. Factors that may cause such
differences include but are not limited to: exploration and development risks; risks related to permits and title to property; risks
related to foreign countries and regulatory requirements; operating hazards; foreign currency fluctuations; competition; fluctuations
in the market price of mineral commodities and transportation costs; uncertainty as to calculations of mineral deposit estimates;
uninsured risks; and dependence upon key management personnel and executives. Actual results may differ materially from those
expressed here. You should not place undue reliance on such forward-looking statements. The Company is under no obligation to
update or alter such forward-looking statements, whether as a result of new information, future events, or otherwise.

For more information, contact: Ed Kok, Investor Relations
810 Sherman Ave., Coeur d’Alene, ID 83814 U.S.A.
Phone (208) 770-2208, E-mail edkok@mac.com www.wgiheavyminerals.com




                                                            Page 2 of 2

				
DOCUMENT INFO
Description: Resolution Authorizing Stock Distribution document sample