Crown adopts shareholder rights plan.

DENVER--(BUSINESS WIRE)--July 26, 1995--Crown Resources Corporation today announced that its board of directors has adopted a shareholder rights plan designed to insure that all of the company's shareholders receive fair and equal treatment in the event of any proposal to acquire the company.

The board declared a distribution of one right for each share of common stock outstanding on July 25, 1995. Common stock issued after July 25, 1995 will be issued with an attached right. Each right entitles the holder to purchase 1/100th of one share of a new series of preferred stock, designated Series B preferred stock, at an initial exercise price of $25.

Initially, the rights will be attached to the common stock and will not be exercisable. They become exercisable only following the acquisition by a person or group of 15 percent or more of the outstanding common stock of the announcement of a tender offer or exchange offer to acquire 15 percent or more of the outstanding common stock.

If the rights become exercisable and, thereafter, a person acquires 15 percent or more of the common stock other than in certain kinds of tender offers, each right (other than rights held by such person, which become void) will entitle the holder to purchase, at the exercise price, common stock having a market value equal to twice the exercise price.

If the rights become exercisable and, thereafter, the company is merged into another corporation, each right will entitle the holder to purchase, at the exercise price, common stock of the surviving corporation having a market value equal to twice the exercise price. In addition, the board has the power, in certain circumstances, to declare certain persons who own ten percent or more of the outstanding common stock to be adverse persons with the result that any rights owned by such persons become void and each remaining right will entitle the holder to purchase, at the exercise price, common stock having a market value equal to twice the exercise price.

In certain circumstances, the rights may be redeemed by the company. If not redeemed, they will expire July 25, 2005.

"The rights plan was adopted by the company after extensive consideration by the board, in consultation with its legal and financial advisors," said Mark Jones, the company's chairman. "It is designed to protect the interests of our shareholders in the event of abusive or unfair takeover tactics and is not designed to prevent the acquisition of the company on fair and non-coercive terms.

"The company currently has no shareholder with an interest of 15 percent or more. The company does not have before it any offer or proposal to acquire the company."

Crown is listed on the NASDAQ National Market System under the trading symbol CRRS and on the Toronto Stock Exchange under the symbol CRO.

CONTACT: Crown Resources Corp., Denver

Christopher E. Herald, 303/295-2171