U.S. Silver Announces
Effective Date of Consolidation as January 30, 2012
TORONTO--(BUSINESS
WIRE)-- U.S. Silver
Corporation (TSX:USA, OTCQX:USSIF, Frankfurt:QE2) (“U.S. Silver” or the “Corporation”) announces that, further to its press release of January
23, 2012, the Corporation has filed articles
of amendment to give effect to the consolidation of the Corporation’s
common shares
(“Common Shares”) on a basis of five (5) pre-consolidation Common Shares
for each one (1) post-consolidation Common Share (the “Consolidation”). The Corporation’s post-consolidation Common Shares will be
posted for trading at the opening of Monday January 30, 2011
under the new CUSIP number
90343P507.
The
approximately 309 million pre-Consolidation
Common Shares outstanding prior to Consolidation will be reduced to approximately
62 million post-Consolidation Common Shares. No fractional Common Shares will be issued
in connection with the
Consolidation. In the event that
the Consolidation would otherwise
result in the issuance of a
fractional Common Share, such fraction of a Common Share will be rounded
down to the nearest whole number.
The
Corporation’s listed
warrants to purchase Common Shares
(“Warrants”) will continue to be traded on the TSX under the symbol
“USA.WT” following the Consolidation.
There are currently approximately
10.77 million Warrants issued and outstanding.
Following the Consolidation, each
five (5) Warrants will entitle
its holder to purchase one post-consolidation Common Share
at an aggregate exercise price of $0.775
per post-consolidation Common Share at any time until
July 16, 2014. If all outstanding
Warrants are exercised, an aggregate
of approximately 2.15 million post-consolidation
Common Shares will be issued. In accordance with the terms of the Warrant indenture, notice of the Consolidation has been sent to all
holders of Warrants.
The
Corporation anticipates mailing letters
of transmittal to registered
holders of Common Shares on
or around January
26, 2012, requesting that
they forward their pre-consolidation Common Share certificates to Valiant Trust Company
in Toronto in
exchange for new Common Share certificates
representing the number of
Common Shares on a post-consolidation basis.
ABOUT U.S. SILVER
CORPORATION
U.S. Silver,
through its wholly owned subsidiaries,
owns and/or operates the
Galena, Coeur, Caladay and Dayrock silver-lead-copper mines in Shoshone
County, Idaho, with
the Galena mine being the second most
prolific silver mine in US history. Total silver production from U.S. Silver's mining complex has exceeded 217 million ounces of silver production since 1953. U.S.
Silver controls a land package now totaling approximately 14,000
acres in the heart of the Coeur
d'Alene Mining District. U.S.
Silver is focused on expanding the
production from existing operations as well as exploring and developing its extensive Silver
Valley holdings in the Coeur
d'Alene Mining District.
Certain information in this press release may contain forward-looking statements. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially
from results suggested in any forward-looking statements. The
Corporation assumes no obligation to update the forward-looking
statements, or to update the reasons
why actual results could differ
from those reflected in the forward looking-statements unless and until required by securities laws applicable to the
Corporation. Additional information identifying risks and uncertainties is contained in filings by the
Corporation with the Canadian securities
regulators, which filings are available at www.sedar.com.