LAKE SHORE GOLD CORP 6.25 PCT DEBS T.LSG.DB

RE:Write-Downs

[Timminsgold]

Gold resources are valued based on forecat rmarket prices. With gold valued by LSG @ $1100 the value is lower than when priced @ $1400. Some lower grade ore can not be profitably mined at the lower price. Hence the IMPAIRMENT CHARGE.

IT IS A BOOKKEEPING ENTRY ONLY.

It has no impact on current LSG Q1 forecasts, or profitability. Two MAJOR items of interest.
LSG did not sell gold @ $1100. I believe the Q1 selling price will aveage $1275-$1300(US).
LSG;s  selling price based on US/CDN at $0.97. The US ddollar is trading at a premium closed to $0.90. LSG mining costs are in CDN.$, but the gold is sold in US dollars.
I BELIEVE LSG HAS DRAMATICALLY UNDERSTATED INCOME for Q1 2014.