American Bonanza Restructures Loan Facility.VANCOUVER, British Columbia British Columbia, province (2001 pop. 3,907,738), 366,255 sq mi (948,600 sq km), including 6,976 sq mi (18,068 sq km) of water surface, W Canada. Geography -- American Bonanza Bonanza saga of the Cartwright family. [TV: Terrace, I, 111–112] See : Wild West Gold Corp. (TSX TSX Toronto Stock Exchange (TSE before April, 2002) TSX Transfer from Stack Pointer to Index TSX True Space Extension :BZA BZA Board of Zoning Appeals BZA Board of Zoning Adjustment BZA Benzoic Acid BZA Beach Zone Array BZA Brandeis Zionist Association ) ("Bonanza") is pleased to announce that it has entered into an agreement with an effective date of April 1, 2005 (the "Agreement") with Stonegate Management Ltd. ("Stonegate"), a company operating at arms length to Bonanza, to revise the terms of a US$1.0 million loan made by Stonegate to Bonanza's subsidiary, International Taurus Resources Inc. In connection with the restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). of the loan, Stonegate has agreed to reduce the net profits interest it holds over Bonanza's Fenelon project to 2%, down from 6%. Pursuant to the Agreement, Bonanza will repay US$400,000 of the principle and approximately US$232,000 in outstanding interest on the loan through the issue of approximately 1.2 million common shares at a deemed price of $0.65 per common share. All shares issued pursuant to this transaction will be subject to resale restrictions on a quarterly basis on a non-cumulative basis over a twelve month period. In addition, Bonanza has the right to repay the balance of the loan at any time, and must repay the loan upon the earlier of its next equity or debt financing Debt Financing When a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. In return for lending the money, the individuals or institutions become creditors and receive a promise to repay , and December 1, 2005. As additional consideration, Bonanza has agreed to extend the expiry of 600,000 warrants held by Stonegate, which currently expire December 1, 2005, to December 1, 2007. Each warrant entitles Stonegate to acquire one common share of Bonanza, at a price of $1.50 per share. None of the warrants are held by insiders of Bonanza. Closing of the transaction is currently scheduled for on or before May 31, 2005. The amendment to the warrants will be effective upon closing. In other news William Bird, Vice President, Canadian Operations, has advised Bonanza that he will be resigning, effective May 15, 2005 to pursue other interests. Joe Kircher, Chief Operating Officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. , has assumed Mr. Bird's duties and will oversee the Company's prospective Canadian asset portfolio. AMERICAN BONANZA GOLD CORP Brian Kirwin, President and Chief Executive Officer American Bonanza Gold Corp. (TSX:BZA) |
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