Market Newsdesk

November 12, 2020 7:03 am

Organicell Provides Update on Its COVID-19 Clinical Trial Using ZofinTM

Organicell Provides Update on Its COVID-19 Clinical Trial Using Zofin^TM

Anticipates Phase I/II trial completion by end of year
Anticipates Phase IIb trial to begin in Q1 2021
Seeks to retain a global contract research organization (“CRO”)

MIAMI–(BUSINESS WIRE)–
Organicell Regenerative Medicine, Inc. (OTCBB: BPSR), a clinical-stage biopharmaceutical company dedicated to the development of regenerative therapies, today provided an update on its Phase I/II clinical trial for treatment of COVID-19 using Organicell’s proprietary therapeutic, Zofin™, which is currently underway as well as an update on its expanded access protocol for outpatients with COVID-19.

The Company’s current Phase I/II clinical trial which commenced on September 8, 2020, is a randomized, double-blinded, placebo-controlled phase I/II trial designed to investigate its proprietary therapeutic, Zofin™, as a potential treatment for moderate to severe acute respiratory syndrome (SARS) related to COVID-19. To date, several patients have been enrolled, dosed and treated at Larkin Hospital in Miami, Florida. Organicell expects to finish enrollment and complete the trial by December 31, 2020. It is the Company’s intention, subject to favorable results, careful data analysis, discussion with and approvals from the FDA, to begin a Phase IIb confirmatory trial as early as the first quarter of 2021.

In September 2020, Organicell announced that the FDA granted it an expanded access protocol. This protocol allows Organicell to provide Zofin™ to a certain amount of mild to moderate COVID-19 patients in both outpatient and inpatient settings.

In connection with its planned Phase IIb confirmatory trial, the Company is negotiating an agreement with a nationally known CRO to support the needed services related to running its clinical trials. The Company expects this agreement to be finalized in the coming days.

“We’re very pleased in the progress we are making in our clinical trials,” said Albert Mitrani, Chief Executive Officer of Organicell. “Our planned CRO partnership is intended to support our efforts to efficiently and expeditiously conduct our clinical trial programs which, if successful, may ultimately afford a potentially effective treatment for patients suffering from the effects of COVID-19.”

About Organicell Regenerative Medicine, Inc.:

Organicell Regenerative Medicine, Inc. is a clinical-stage biopharmaceutical company that harnesses the power of nanoparticles to develop innovative biological therapeutics for the treatment of degenerative diseases. The company’s proprietary products are derived from perinatal sources and manufactured to retain the naturally occurring microRNAs, without the addition or combination of any other substance or diluent. Based in South Florida, the company was founded in 2008 by Albert Mitrani, Chief Executive Officer and Dr. Maria Ines Mitrani, Chief Science Officer. To learn more, please visit https://organicell.com/.

About Zofin^TM:

Zofin is an acellular biologic therapeutic derived from perinatal sources and is manufactured to retain naturally occurring microRNAs, without the addition or combination of any other substance or diluent. This product contains over 300 growth factors, cytokines, and chemokines as well as other extracellular vesicles/nanoparticles derived from perinatal tissues. Zofin is currently being tested in a phase I/II randomized, double blinded, placebo trial to evaluate the safety and potential efficacy of intravenous infusion of Zofin for the treatment of moderate to SARS related to COVID-19 infection vs placebo.

Forward-Looking Statements

Certain of the statements contained in this press release should be considered forward-looking statements within the meaning of the Securities Act of 1933, as amended (the “Securities Act”), the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are often identified by the use of forward-looking terminology such as “will,” “believes,” “expects,” “potential” or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. We remind you that actual results could vary dramatically as a result of known and unknown risks and uncertainties, including but not limited to: potential issues related to our financial condition, competition, the ability to retain key personnel, product safety, efficacy and acceptance, the commercial success of any new products or technologies, success of clinical programs, ability to retain key customers, our inability to expand sales and distribution channels, legislation or regulations affecting our operations including product pricing, reimbursement or access, the ability to protect our patents and other intellectual property both domestically and internationally and other known and unknown risks and uncertainties, including the risk factors discussed in the Company’s periodic reports that are filed with the SEC and available on the SEC’s website (http://www.sec.gov). You are cautioned not to place undue reliance on these forward-looking statements All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Specific information included in this press release may change over time and may or may not be accurate after the date of the release. Organicell has no intention and specifically disclaims any duty to update the information in this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201112005278/en/

Jeffrey Freedman

RooneyPartners

646-432-0191

[email protected]

KEYWORDS: United States North America Florida

INDUSTRY KEYWORDS: Science Biotechnology Research Pharmaceutical Health FDA Infectious Diseases Clinical Trials

MEDIA:

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November 12, 2020 7:03 am

Discovery Reports 138 g/t AgEq over 139 m in South Corridor at Cordero

TORONTO, Nov. 12, 2020 (GLOBE NEWSWIRE) — Discovery Metals Corp. (TSX-V: DSV, OTCQX: DSVMF) (“Discovery” or the “Company”) is pleased to announce results from seven diamond drill holes targeting bulk-tonnage mineralization in the South Corridor at its flagship Cordero project (“Cordero” or “the Project”) located in Chihuahua State, Mexico. The South Corridor has seen significantly less drilling than the North Corridor and will be a key area of focus for the remainder of the 55,000 metre (“m”) Phase 1 drill program. The goal of this drill program is to delineate a high-margin silver project with size and scaleability.

Highlight intercepts include:

Hole C20-34
8
:
1
39.1
m averaging 1
38
grams per tonne silver equivalent (“g/t
AgEq
¹”) from 196.2 m (47 g/t Ag, 0.07 g/t gold (“Au”), 0.6% lead (“Pb”) and 1.6% zinc (“Zn”)) including 19.0 m averaging 357 g/t AgEq¹ (112 g/t Ag, 0.17 g/t Au, 1.8% Pb, 4.0% Zn)

Hole C20-35
3
:
26.6
m averaging
108
g/t AgEq
¹ from 99.5 m (56 g/t Ag, 0.09 g/t Au, 0.4% Pb and 0.7% Zn) and 29.6 m averaging 119 g/t AgEq¹ from 278.1 m (52 g/t Ag, 0.07 g/t Au, 0.8% Pb, 0.8% Zn)
Hole C20-35
9
:
62.2
m averaging
86
g/t AgEq
¹ from 149.0 m (38 g/t Ag, 0.07 g/t Au, 0.4% Pb and 0.7% Zn)

Taj Singh, President and CEO, states: “Our drill targeting approach in the South Corridor is guided by ongoing iterations of our internal model in order to identify areas that are classified as waste due to a lack of drilling. Considering all seven holes in this release intercepted broad zones of mineralization in such areas bodes well for the conversion of waste to ore in this part of the deposit. This obviously has positive implications for not only increasing the size of the pit-constrained resource but also for reducing the overall strip ratio of the deposit and clearly demonstrates that we continue to add value through the drill bit through our proactive and focused exploration approach.”

DRILL RESULTS

:

The seven holes in this release were drilled along approximately 700 m of strike extent of the South Corridor and were designed to in-fill significant gaps in previous drilling. All holes intercepted broad zones of galena and sphalerite mineralization in disseminations, veinlets and stockworks predominantly hosted in dacite and sedimentary rock.

The highlight hole in this release was C20-348, drilled in the central part of the South Corridor. C20-348 intercepted multiple broad zones of higher-grade mineralization including an intercept of 139.1 m averaging 138 g/t AgEq from 196.2 m (47 g/t Ag, 0.07 g/t Au, 0.6% Pb and 1.6% Zn) including 19.0 m averaging 357 g/t AgEq¹ (112 g/t Ag, 0.17 g/t Au, 1.8% Pb, 4.0% Zn). The remaining holes were drilled up to 250 m to the southwest and up to 450 m to the northeast of C20-348. Drill hole locations for all holes are shown in Figure 1 (see links below) and detailed drill highlights are provided in the table below.

Hole ID	From (m)	To (m)	Width (m)	Ag (g/t)	Au (g/t)	Pb (%)	Zn (%)	AgEq ¹ (g/t)
C20-348	77.6	148.8	71.2	18	0.06	0.2	0.7	59
including	144.0	144.8	0.8	495	0.42	7.2	3.1	913
and	196.2	335.3	139.1	47	0.07	0.6	1.6	138
including	273.2	276.1	2.9	471	0.21	4.2	3.8	793
& including	292.5	311.5	19.0	112	0.17	1.8	4.0	357
and	388.0	420.2	32.3	44	0.08	0.7	1.3	127

C20-353	99.5	126.1	26.6	56	0.09	0.4	0.7	108
including	118.7	119.7	1.0	849	0.37	4.5	5.8	1,281
and	207.1	226.5	19.4	41	0.06	0.5	1.2	115
and	278.1	307.7	29.6	52	0.07	0.8	0.8	119

C20-355	4.5	63.3	58.9	29	0.06	0.4	0.4	66
and	64.6	156.7	92.1	27	0.05	0.2	0.4	56
and	288.7	321.0	32.4	72	0.07	0.3	0.1	95

C20-356	122.8	161.2	38.4	36	0.04	0.6	0.7	90
and	380.5	414.1	33.6	25	0.03	0.3	0.6	65

C20-359	107.1	141.0	33.9	30	0.07	0.5	0.6	79
and	149.0	211.2	62.2	38	0.07	0.4	0.7	86
including	195.7	197.3	1.6	530	0.42	2.5	3.5	800
and	228.2	231.5	3.3	152	0.71	2.2	6.9	572
including	228.2	229.0	0.8	236	0.27	5.7	9.2	840

C20-363	268.4	325.5	57.1	18	0.01	0.2	1.0	69

C20-364	366.7	424.3	57.6	19	0.03	0.3	0.7	61

¹
All results in this news release are rounded. Assays are uncut and undiluted. Widths are drilled widths, not true widths, as a full interpretation of the actual orientation of mineralization is not complete.
Intervals
were chosen
based on a 2
0
g/t
AgEq
cutoff with no more than
10
m of dilution
.
AgEq
calculations are used as the basis for total metal content calculations given Ag is the dominant metal constituent as a percentage of
AgEq
value in approximately 70% of the Company’s mineralized intercepts.
AgEq
calculations for reported drill results are based on USD $16.50/oz Ag, $1,350/oz Au, $0.85/
lb
Pb, $1.00/
lb
Zn. The calculations assume 100% metallurgical recovery and are indicative of gross in-situ metal value at the indicated metal prices. Refer to
Technical Notes
below for metallurgical recoveries assumed in the 2018 PEA completed on Cordero.

PHASE 1 DRILL PROGRAM UPDATE:

The Company has completed 39,950 m (105 holes) as part of its expanded 55,000 m Phase 1 drill program. Assays from 27 holes are pending. There are currently four drill rigs operational on site. Additional drill rigs may be added when the Company is confident that the health and safety risks related to COVID-19 can be managed effectively.

Drilling is focused on two key concepts: (1) targeting of bulk-tonnage mineralization within and to the east and northeast of both mineralized corridors; and (2) testing of the width, grade and continuity of extensive high-grade vein systems that transect the deposit.

Supporting maps and sections, drill hole locations and full assay results can be found at the following link: https://dsvmetals.com/site/assets/files/5407/20201112_dsv_nrm.pdf

A PDF of this release with supporting maps and sections included as appendices can be found at the following link: https://dsvmetals.com/site/assets/files/5407/20201112_dsv_nr.pdf

About Discovery

Discovery’s flagship project is its 100%-owned Cordero silver project in Chihuahua State, Mexico. Our drill results to date show that Cordero is developing all the attributes of a tier 1 project – grade, scale, significant organic growth opportunities and well located in one of Mexico’s premier mining belts. The project is supported by an industry leading balance sheet with over C$80 million of cash allocated for aggressive exploration, resource expansion and future development.

Sample analysis and QA/QC Program

True widths of reported drill intercepts have not been determined. Assays are uncut except where indicated. All core assays are from HQ drill core unless stated otherwise. Drill core is logged and sampled in a secure core storage facility located at the project site 40km north of the city of Parral. Core samples from the program are cut in half, using a diamond cutting saw, and are sent to ALS Geochemistry-Mexico for preparation in Chihuahua City, Mexico, and subsequently pulps are sent to ALS Vancouver, Canada, which is an accredited mineral analysis laboratory, for analysis. All samples are prepared using a method whereby the entire sample is crushed to 70% passing -2mm, a split of 250g is taken and pulverized to better than 85% passing 75 microns. Samples are analyzed for gold using standard Fire Assay-AAS techniques (Au-AA24) from a 50g pulp. Over limits are analyzed by fire assay and gravimetric finish. Samples are also analyzed using thirty three-element inductively coupled plasma method (“ME-ICP61”). Over limit sample values are re-assayed for: (1) values of zinc > 1%; (2) values of lead > 1%; and (3) values of silver > 100 g/t. Samples are re-assayed using the ME-OG62 (high-grade material ICP-AES) analytical package. For values of silver greater than 1,500 g/t, samples are re-assayed using the Ag-CON01 analytical method, a standard 30 g fire assay with gravimetric finish. Certified standards and blanks are routinely inserted into all sample shipments to ensure integrity of the assay process. Selected samples are chosen for duplicate assay from the coarse reject and pulps of the original sample. No QAQC issues were noted with the results reported herein.

Qualified

Person

Gernot Wober, P.Geo, VP Exploration, Discovery Metals Corp., is the Company’s designated Qualified Person for this news release within the meaning of National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) and has reviewed and validated that the information contained in this news release is accurate.

On Behalf of the Board of Directors,

Taj Singh, M.Eng, P.Eng, CPA,

President, Chief Executive Officer and Director

For further information contact:

Forbes Gemmell, CFA

VP Corporate Development & Investor Relations
[email protected]

TECHNICAL

NOTES

&

FORWARD-LOOKING

STATEMENTS

:

The most recent technical report for the Cordero Project is the 2018 Preliminary Economic Assessment (PEA) authored by M3 Engineering and Technology Corp and includes the most recent resource estimate, completed by Independent Mining Consultants, Inc. It is available on Discovery’s website and on SEDAR under Levon Resources Ltd, a wholly owned subsidiary of Discovery. The PEA assumes metallurgical recoveries of 89% for Ag, 84% for Pb, 72% for Zn and 40% for Au.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release is not for distribution to United States newswire services or for dissemination in the United States.

This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the securities in the United States of America. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “1933 Act”) or any state securities laws and may not be offered or sold within the United States or to, or for account or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.

Cautionary Note Regarding Forward-Looking Statements

This news release may include forward-looking statements that are subject to inherent risks and uncertainties. All statements within this news release, other than statements of historical fact, are to be considered forward looking. Although Discovery believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those described in forward-looking statements. Factors that could cause actual results to differ materially from those described in forward-looking statements include fluctuations in market prices, including metal prices, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. There can be no assurance that the Private Placement will close on the announced terms. Discovery does not assume any obligation to update any forward-looking statements except as required under applicable laws.

November 12, 2020 7:03 am

Exicure, Inc. Reports Third Quarter 2020 Financial Results and Corporate Progress

Exicure, Inc. Reports Third Quarter 2020 Financial Results and Corporate Progress

CHICAGO & CAMBRIDGE, Mass.–(BUSINESS WIRE)–
Exicure, Inc. (NASDAQ: XCUR), the pioneer in gene regulatory and immunotherapeutic drugs utilizing spherical nucleic acid (SNA™) technology, today reported financial results for the quarter and nine months ended September 30, 2020 and provided an update on corporate progress.

“Exicure has seen growth and clinical and pre-clinical advancement during the third quarter of this year,” said Dr. David Giljohann, Exicure’s Chief Executive Officer. “During the third quarter of 2020, Exicure hosted a virtual KOL event where we presented promising interim results from our ongoing Phase 1b/2 clinical trial of cavrotolimod (AST-008) and we announced that our poster on the safety and preliminary efficacy of intertumoral cavrotolimod (AST-008) in combination with pembrolizumab in the Phase 1b stage was accepted for presentation at the 2020 SITC Annual Meeting. We also entered into a $25.0 million senior secured term loan during the third quarter of 2020 which extends our cash runway into 2022,” concluded Dr. Giljohann.

Exicure’s candidate, XCUR-FXN

Despite the ongoing COVID-19 pandemic, the Company’s laboratories have continued operations with limited impact on our research and development activities.
The Company remains on track to initiate IND-enabling studies for Friedreich’s ataxia in the fourth quarter of this year.

Exicure announced promising interim results from ongoing Phase 1b/2 clinical trial of cavrotolimod (AST-008) in September 2020

Confirmed overall response rate (ORR) of 21% in the dose-escalation stage across all doses, confirmed ORR 33% at the highest dose cohort and recommended Phase 2 dose.
Target tumor shrinkage was observed in 37% of patients.
Preliminary data show activity in patients with melanoma, Merkel cell carcinoma (MCC), and cutaneous squamous cell carcinoma (CSCC).
Phase 2 arms in both MCC and CSCC are currently recruiting.

Cavrotolimod (AST-008) Phase 1b/2 clinical trial is open and actively enrolling patients

In the second quarter of 2020, the Company began enrolling patients in the Phase 2 dose expansion phase of its Phase 1/2 clinical trial of intra-tumoral cavrotolimod (AST-008) in combination with approved checkpoint inhibitors pembrolizumab or cemiplimab, for the treatment of patients with advanced or metastatic MCC or CSCC.
Currently, 14 clinical trial sites are open for enrollment and 7 additional sites are pending activation; the Company expects to open up to 25 sites for the Phase 2 stage of the clinical trial.
We continue to monitor the impact that COVID-19 may be having on patient enrollment and safety, site initiation, and study integrity. We have put in place and continue to maintain a variety of measures to mitigate the effects of COVID-19 and our top priority is to maintain patient safety and clinical trial continuity. During the third quarter of 2020, we have observed delays in our enrollment plans for the Phase 2 dose expansion phase of this clinical trial. The effects of the COVID-19 pandemic or its impact may have contributed to such delays. As a result, we have taken additional measures to increase the enrollment of patients, including frequent interaction with our clinical trial sites currently open as well as increasing the number of clinical trial sites that potentially are activated for this clinical trial so that we may continue to enroll patients as planned. However, these delays have caused us to lengthen our clinical development timeline for cavrotolimod (AST-008) and we now expect to report ORR results in the first half of 2022 rather than by year-end 2021 as previously guided.

Third Quarter Financial Results, Financial Guidance and Recent Developments

Cash Position: Cash, cash equivalents, and short-term investments were $94.1 million as of September 30, 2020 compared to $85.8 million as of June 30, 2020, and the increase is attributed to the borrowing of the first tranche ($17.5 million) of the $25.0 million senior secured term loan with MidCap Financial Trust (MidCap), as agent, and Silicon Valley Bank (SVB).

Research and Development (R&D) Expenses: Research and development expenses were $9.1 million for the quarter ended September 30, 2020, as compared to $4.2 million for the quarter ended September 30, 2019. The Company continues to increase staffing in the R&D function, increasing headcount from 26 at September 30, 2019 to 48 at September 30, 2020 and the associated increase in hiring, in addition to growth in cavrotolimod (AST-008) clinical trial activities, has driven the Company’s increase in R&D costs. The associated increases in platform and discovery-related costs reflected increased preclinical R&D activities associated with the Company’s collaboration with AbbVie Inc. (AbbVie), increased costs related to XCUR-FXN, as well as other preclinical discovery work in neurology and ophthalmology.

General and Administrative (G&A) Expenses: General and administrative expenses were $2.4 million for the quarter ended September 30, 2020, as compared with $2.2 million for the quarter ended September 30, 2019.

Net Loss: The Company had a net loss of $8.8 million for the quarter ended September 30, 2020 compared to a net loss of $5.8 million for the quarter ended September 30, 2019 reflecting a higher net loss of $3.0 million. This increase in net loss was driven principally by the increases in R&D expenses and G&A expenses discussed above, partially offset by the recognition of $2.4 million of revenue associated with our collaboration with AbbVie.

Cash Runway Guidance: The Company believes that, based on its current operating plans and estimates of future expenses, as of the date of this press release, its existing cash, cash equivalents and short-term investments will be sufficient to fund its operations into 2022.

Response to COVID-19: With the global spread of the ongoing COVID-19 pandemic in 2020, we have been closely monitoring developments and have taken active measures to protect the health of our employees and their families, our communities, as well as our clinical trial investigators, patients and caregivers. We continue to carefully manage laboratory staffing and take other appropriate managerial actions to maintain progress on our preclinical and collaboration programs. We also continue to work closely with our third-party manufacturers and other partners to manage our supply chain activities and will take such action as we believe appropriate with our clinical operations to maintain patient safety and clinical trial continuity.

Resignation of Director: On November 10, 2020, Helen S. Kim resigned as a Class II director of our Board of Directors, or the Board, as well as from the Nominating and Corporate Governance Committee of the Board, effective immediately. Ms. Kim’s decision to resign was not the result of any disagreement between Ms. Kim and our Company, management, the Board or any committee thereof, on any matter relating to our operations, policies or practices. We thank Ms. Kim for her six years of service on the Board.

About Exicure, Inc.

Exicure, Inc. is a clinical-stage biotechnology company developing therapeutics for neurology, immuno-oncology, inflammatory diseases and other genetic disorders based on our proprietary Spherical Nucleic Acid, or SNA technology. Exicure believes that its proprietary SNA architecture has distinct chemical and biological properties that may provide advantages over other nucleic acid therapeutics and may have therapeutic potential to target diseases not typically addressed with other nucleic acid therapeutics. Exicure is in preclinical development of XCUR-FXN an SNA–based therapeutic candidate, for the treatment of Friedreich’s ataxia (FA). Exicure’s therapeutic candidate cavrotolimod (AST-008) is in a Phase 1b/2 clinical trial in patients with advanced solid tumors. Exicure is based in Chicago, IL and in Cambridge, MA.

For more information, visit Exicure’s website at www.exicuretx.com.

Exicure Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this press release other than statements of historical fact could be deemed forward looking including, but not limited to, statements regarding the anticipated and potential impact of the COVID-19 pandemic and its impact and effects on the company’s business and operations, including the conduct of and timeline for its ongoing Phase 1b/2 clinical trial for cavrotolimod (AST-008); the company’s plans, initiatives and expectations in light of and in response to the COVID-19 pandemic; the company’s expectations regarding its ability to adapt its business to the evolving COVID-19 pandemic, mitigate its impacts on the business and maintain business continuity; the design, timing and results of its Phase 1b/2 clinical trial of cavrotolimod (AST-008) including patient enrollment expectations and opening of additional clinical trial sites; the initiation, timing and results of its other preclinical studies and clinical trials, including XCUR-FXN; the potential of the company’s SNA technology to provide therapeutic benefit to target diseases, including its ability to address the genetic challenges posed by Friedreich’s ataxia and other neurological conditions; the potential of the company’s collaborations and R&D efforts; the company’s ability to advance its clinical and pre-clinical pipelines; the company’s expectations with respect to its continued growth; and the company’s anticipated extended cash runway. The forward-looking statements in this press release speak only as of the date of this press release, and the company undertakes no obligation to update these forward-looking statements. Forward-looking statements are based on management’s current beliefs and assumptions that are subject to risks and uncertainties and are not guarantees of future performance. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors, including, without limitation: the risks that the ongoing COVID-19 pandemic or its impact or effects may disrupt the company’s business and/or the global healthcare system more severely than it has to date or more severely than anticipated, which may have the effect of impacting or delaying the company’s ongoing Phase 1b/2 clinical trial; unexpected costs, charges or expenses that reduce the company’s capital resources; the company’s preclinical or clinical programs do not advance or result in approved products on a timely or cost effective basis or at all; the cost, timing and results of clinical trials; that many drug candidates do not become approved drugs on a timely or cost effective basis or at all; the ability to enroll patients in clinical trials; possible safety and efficacy concerns; regulatory developments; risks that preliminary results from clinical trials are not necessarily predictive of future clinical trial results; and the ability of the company to protect its intellectual property rights. For a discussion of other risks and uncertainties, and other important factors, any of which could cause the company’s actual results to differ from those contained in the forward-looking statements, see the section titled “Risk Factors” in the company’s Annual Report on Form 10-K for the year ended December 31, 2019, as updated by the company’s subsequent filings with the Securities and Exchange Commission. All information in this press release is as of the date of the release, and the company undertakes no duty to update this information, except as required by law. In addition, the COVID-19 pandemic and the associated containment efforts have had and continue to have a serious adverse impact on the economy, the severity and duration of which are uncertain. Government stabilization efforts have only partially mitigated the consequences. The extent and duration of the impact on the company’s business and operations is highly uncertain, and that impact includes effects on its clinical trial operations, timelines and supply chain. Factors that will influence the impact on the company’s business and operations include the duration and extent of the pandemic, the extent of imposed or recommended containment and mitigation measures, and the general economic consequences of the pandemic. The COVID-19 pandemic or its impact or effects could have a material adverse impact on the company’s business, operations and financial results for an extended period of time.

EXICURE, INC. UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share data)

	September 30, 2020		December 31, 2019

ASSETS
Current assets:
Cash and cash equivalents……………………………………………………………………………	$	31,459	$	48,460
Short-term investments………………………………………………………………………………..	62,621		62,326
Accounts receivable…………………………………………………………………………………….	59		16
Unbilled revenue receivable…………………………………………………………………………	6		19
Prepaid expenses and other assets…………………………………………………………………	2,684		1,955
Total current assets………………………………………………………………………………………..	96,829		112,776
Property and equipment, net……………………………………………………………………………	4,269		2,099
Right-of-use asset………………………………………………………………………………………….	8,768		356
Other noncurrent assets…………………………………………………………………………………..	1,414		32
Total assets………………………………………………………………………………………	$	111,280	$	115,263
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Current portion of long-term debt………………………………………………………………….	$	—	$	4,965
Accounts payable………………………………………………………………………………………..	2,006		1,814
Accrued expenses and other current liabilities………………………………………………..	2,124		2,435
Deferred revenue, current…………………………………………………………………………….	8,479		21,873
Total current liabilities…………………………………………………………………………………..	12,609		31,087
Long-term debt, net………………………………………………………………………………………..	16,500		—
Common stock warrant liability, noncurrent……………………………………………………..	—		414
Deferred revenue, noncurrent………………………………………………………………………….	—		2,956
Lease liability, noncurrent	8,087		59
Other noncurrent liabilities……………………………………………………………………………..	656		—
Total liabilities…………………………………………………………………………………	$	37,852	$	34,516

Stockholders’ equity:
Common stock, $0.0001 par value per share; 200,000,000 shares authorized,
87,228,586 issued and outstanding, September 30, 2020; 86,069,263
issued and outstanding, December 31, 2019…………………………………………	9		9
Additional paid-in capital……………………………………………………………………………….	166,499		162,062
Accumulated other comprehensive income (loss)………………………………………………	200		(27)
Accumulated deficit……………………………………………………………………………………….	(93,280)		(81,297)
Total stockholders’ equity…………………………………………………………………..	73,428		80,747
Total liabilities and stockholders’ equity……………………………………………..	$	111,280	$	115,263

EXICURE, INC. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except share and per share data)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Revenue:
Collaboration revenue………………………………………………………………………..	$	2,443	$	527	$	16,473	$	986
Total revenue……………………………………………………………………	2,443		527		16,473		986
Operating expenses:
Research and development expense………………………………………………………………………..	9,139		4,245		22,222		11,073
General and administrative expense………………………………………………………………………..	2,424		2,228		7,227		6,421
Total operating expenses……………………………………………………………………	11,563		6,473		29,449		17,494
Operating loss……………………………………………………………………………	(9,120)		(5,946)		(12,976)		(16,508)
Other income (expense), net:
Dividend income………………………………………………………………………..	2		228		45		415
Interest income………………………………………………………………………..	205		1		832		3
Interest expense………………………………………………………………………..	(27)		(203)		(155)		(589)
Other income (expense), net………………………………………………………………………..	118		104		271		357
Total other income (expense), net……………………………………………………………………	298		130		993		186
Net loss……………………………………………………………………………	$	(8,822)	$	(5,816)	$	(11,983)	$	(16,322)

Basic and diluted loss per common share……………………………………………………………………………	$	(0.10)	$	(0.09)	$	(0.14)	$	(0.32)
Weighted-average basic and diluted common shares outstanding……………………………………………………………………………	87,227,136		64,651,040		87,160,520		51,200,072

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November 12, 2020 7:03 am

First American Docutech Announces New Integration With Encompassby Ellie Mae

First American Docutech Announces New Integration With Encompass^{by Ellie Mae}

—Lenders can now implement dynamic document generation and eClosing faster—

SCOTTSDALE, Ariz.–(BUSINESS WIRE)–First American Docutech^®, the leading provider of document, eSign, eClose and digital to print fulfillment technology, and a member of the First American family of companies, today announced a new streamlined integration with Encompass^®loan origination software by Ellie Mae^®. With the integration, Encompass lenders can accelerate their closing process by easily implementing First American Docutech’s suite of digital mortgage and closing solutions. The integration seamlessly updates key disclosure tracking fields, and automatically delivers documents into Encompass.

“Lenders of all sizes are focusing on digitizing as much of their loan process as possible to optimize the borrower experience, maximize loan production, and reduce costs,” said Amy Brandt, president, First American Docutech. “For smaller lenders though, it’s been challenging to compete with the larger financial institutions on a level technology playing field. Now, through a new integration with Encompass, lenders can easily implement our suite of solutions with very limited effort, enabling them to digitize their process from point-of-sale origination through closing, and on to secondary market delivery.”

Ellie Mae, now a part of Intercontinental Exchange, Inc. (NYSE: ICE), is a leading cloud-based loan origination platform provider for the mortgage industry. Lenders across the U.S. trust Ellie Mae’s Encompass loan origination system to help them originate more loans, lower costs and reduce time to close. The combination of Encompass with First American Docutech provides lenders with higher efficiencies towards enabling an end-to-end digital mortgage experience.

“We are thrilled to expand our digital solution suite integration within Encompass,” said Brandt. “As a long-time Ellie Mae partner and market leader in dynamic document generation and eClosing, we recognized the need to provide lenders with more options and the ability to choose the right solution at the right time based on their unique strategy. This new integration model was designed with small- to medium-sized lenders in mind to give them the ability to close more loans, faster and deliver a superior customer experience.”

About First American Docutech

First American Docutech, a part of the First American family of companies, provides an end-to-end integrated digital mortgage experience that enables lenders to accelerate the real estate closing process. The company digitizes and streamlines the creation, delivery, execution and perfection of mortgage documents. First American Docutech sets the standard in providing market-proven technology and unrivaled customer service to the financial industry. For more information, visit the company’s website at www.firstam.com/docutech or follow them on LinkedIn or Twitter (@Docutech).

About First American

First American Financial Corporation (NYSE: FAF) is a leading provider of title insurance, settlement services and risk solutions for real estate transactions that traces its heritage back to 1889. First American also provides title plant management services; title and other real property records and images; valuation products and services; home warranty products; property and casualty insurance; banking, trust and wealth management services; and other related products and services. With total revenue of $6.2 billion in 2019, the company offers its products and services directly and through its agents throughout the United States and abroad. In 2020, First American was named to the Fortune 100 Best Companies to Work For^® list for the fifth consecutive year. More information about the company can be found at www.firstam.com.

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November 12, 2020 7:03 am

eCommerce Transactions Will Soar During Holiday Shopping Season as Pandemic Leads to More Lockdowns, per New Data from ACI Worldwide

eCommerce Transactions Will Soar During Holiday Shopping Season as Pandemic Leads to More Lockdowns, per New Data from ACI Worldwide

As consumers prepare for holiday shopping season, concern over lockdowns drives early shopping with a 53 percent increase in the retail sector in October 2019 vs. 2020

NAPLES, Fla.–(BUSINESS WIRE)–
New benchmark data from ACI Worldwide (NASDAQ: ACIW), a leading global provider of real-time digital payment software and solutions, revealed a 23 percent increase in global eCommerce transactions in October 2020 compared to October 2019. This increase was driven by the retail, gaming, DIY and digital sectors as consumers prepare for further lockdowns. In addition, the data, based on hundreds of millions of eCommerce transactions from global merchants, showed a projected 25 percent increase in volume of transactions for all sectors combined (including those impacted by the pandemic, such as airline and ticketing) in Q4 2020 compared to Q4 2019.

ACI’s data also showed that the second wave of COVID-19 lockdowns in the EMEA region has already resulted in a more than 100 percent increase in eCommerce transactions in the retail sector from November 1-4, 2020.

“With the U.K. already in another lockdown and the U.S. potentially heading toward one, we’re seeing consumers prepare to hunker down for the holidays and get their shopping done earlier than ever,” said Debbie Guerra, executive vice president, ACI Worldwide. “Related, merchants are offering deals earlier, which has also driven increases in transaction volumes in October compared to the same time last year. We’re expecting this trend to continue as we move further into the holiday season.”

ACI’s data from October 2020 showed a slight increase to 4.1 percent in the value of fraud attempts compared to the same period in 2019 as genuine consumers continue to outpace fraudulent consumers.

The gaming sector continued to see record levels of transactions, with a 90 percent increase in October 2020 compared to 2019. Sectors that continue to see a decline in transactions include travel (33%) and ticketing (79%).

“Lockdowns have led many consumers to cancel any plans to travel—such as holiday getaway vacations—or attend large group gatherings, leading to an even greater decline in airline and ticketing compared to the previous year,” Guerra concluded.

Key Findings:

eCommerce purchasing trends:

Sectors that continue to experience major increases in purchases in October include gaming (90% increase) and retail (53% increase).
Sectors that continue to experience major decreases in purchases in October include travel (33% decrease) and ticketing (79% decrease).
The average ticket price of genuine purchases dropped by $21 in 2020 compared to 2019, driven by declines within the airline and ticketing sectors, which yield higher ticket prices on average.

Fraud trends:

Transactional value of fraud attempts increased 0.4 percent in October, driven by purchases of electronics, with buy online, pick-up in-store (BOPIS) being the channel of choice for fraudsters.
The average ticket price for fraud attempts decreased by $9 in the period January through October 2020, compared to the same period in 2019.
Non-fraud chargebacks* increased by 10 percent in October 2020 compared to October 2019; this has been declining compared to March-June 2020. Reasons include the following:
- Backlog of processing returns since employees have been unable to work due to stay at home restrictions, and safety concerns around opening boxes due to COVID-19
- Call centers were not staffed for several days in March to answer incoming customer calls
- Shipment delays
- Product back order

*Chargebacks often take approximately 45 days to process.

About ACI Worldwide

ACI Worldwide powers digital payments for more than 6,000 organizations around the world. More than 1,000 of the largest financial institutions and intermediaries, as well as thousands of global merchants, rely on ACI to execute $14 trillion each day in payments and securities. In addition, myriad organizations utilize our bill presentment and payment services. Through our comprehensive suite of software solutions delivered on customers’ premises, through the public cloud or through ACI’s private cloud, we provide real-time payment capabilities and enable the industry’s most complete omni-channel payments experience.

© Copyright ACI Worldwide, Inc. 2020

ACI, ACI Worldwide, ACI Payments, Inc., ACI Pay, Speedpay and all ACI product/solution names are trademarks or registered trademarks of ACI Worldwide, Inc., or one of its subsidiaries, in the United States, other countries or both. Other parties’ trademarks referenced are the property of their respective owners.

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Dan Ring

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781-370-3600

Nidhi Alberti

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781-370-3600

KEYWORDS: Florida Massachusetts United States North America

INDUSTRY KEYWORDS: Professional Services Data Management Technology Other Technology Software Finance Banking

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November 12, 2020 7:03 am

Ford to Discuss the All-New E-Transit All-Electric Van and Opportunities for Connected Commercial Vehicles

Ford to Discuss the All-New E-Transit All-Electric Van and Opportunities for Connected Commercial Vehicles

DEARBORN, Mich.–(BUSINESS WIRE)–
Ford Motor Company leaders will discuss the all-new, all-electric E-Transit with Wolfe Research on Tuesday, Nov. 17.

The call, hosted by Wolfe’s Rod Lache, will feature:

Ted Cannis, general manager, North American commercial vehicle business, and
Lynn Antipas Tyson, executive director, Investor Relations.

Participants can listen to the Nov. 17 Wolfe Research fireside chat “live” at 11 a.m. ET by accessing the webcast for the event at shareholder.ford.com.

With a 45% share in the U.S. of the commercial pickup and van commercial market, Ford is extending its leadership by introducing the zero-emissions, all-electric E-Transit – a new era of the world’s best-selling cargo van brand. Ford team will provide details about E-Transit’s customer benefits and future revenue opportunities from expanded dealer services, integrated charging solutions, connected data networks, mobile applications and subscriptions.

Ford will reveal the BEV E-Transit on Thursday, Nov. 12, at 9:00 a.m. ET. A video of the reveal will be available at shareholder.ford.com.

About Ford Motor Company

Ford Motor Company is a global company based in Dearborn, Michigan. The company designs, manufactures, markets and services a full line of Ford cars, trucks, SUVs, electrified vehicles and Lincoln luxury vehicles, provides financial services through Ford Motor Credit Company and is pursuing leadership positions in electrification; mobility solutions, including self-driving services; and connected services. Ford employs approximately 187,000 people worldwide. For more information regarding Ford, its products and Ford Motor Credit Company, please visit www.corporate.ford.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201112005204/en/

Equity Investment Community:

Lynn Antipas Tyson

914.485.1150

[email protected]

Fixed Income Investment Community:

Karen Rocoff

313.621.0965

[email protected]

Shareholder Inquiries:

1.800.555.5259 or 313.845.8540

[email protected]

Media:

Ford Media Center

[email protected]

KEYWORDS: United States North America Michigan

INDUSTRY KEYWORDS: General Automotive Automotive Alternative Vehicles/Fuels

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November 12, 2020 7:03 am

Castle Biosciences Presents Data on DecisionDx®-Melanoma and DecisionDx® DiffDx™-Melanoma Tests at American Society of Dermatopathology (ASDP) 57th Virtual Annual Meeting

Castle Biosciences Presents Data on DecisionDx^®-Melanoma and DecisionDx^® DiffDx™-Melanoma Tests at American Society of Dermatopathology (ASDP) 57^th Virtual Annual Meeting

FRIENDSWOOD, Texas–(BUSINESS WIRE)–
Castle Biosciences, Inc. (Nasdaq: CSTL), a skin cancer diagnostics company providing personalized genomic information to improve cancer treatment decisions, today announced the presentation of data on two of its skin cancer gene expression profile tests during the 57^th Meeting of The American Society of Dermatopathology (ASDP).

DecisionDx®-Melanoma:

“Identifying predictors of sentinel lymph node metastasis in cutaneous melanoma patients using molecular and clinicopathologic high-risk features” was presented by Federico Monzon, M.D.

DecisionDx-Melanoma is Castle’s gene expression profile test that uses an individual patient’s tumor biology to predict individual risk of cutaneous melanoma metastasis or recurrence, as well as sentinel lymph node (SLN) positivity, independent of traditional staging factors.

“DecisionDx-Melanoma uses primary tumor biology to delineate patient metastatic risk, including the risk of SLN metastasis,” said Monzon. “In this study, among all features evaluated, DecisionDx-Melanoma was the most significant factor in predicting rates of SLN positivity, justifying a role for the test alongside other commonly used features in considering the sentinel lymph node biopsy surgical procedure.”

Study methods and findings:

Authors modeled decision trees using the statistical R package for a cohort of 3,093 patients with cutaneous melanoma to determine which molecular and clinicopathologic features could best stratify the risk of patients’ receiving a positive result from a sentinel lymph node biopsy (SLNB).
DecisionDx-Melanoma was the most significant factor in distinguishing between high and low SLN-positivity rates (p<0.001).
- Patients with a Class 2 (high-risk) DecisionDx-Melanoma result under age 75 or with a very high mitotic rate (>10/mm²)^{had the highest SLN-positivity rates (>20%).}
- Conversely, patients with a Class 1A result over age 47 with tumors with no mitoses and those age 47 or younger with a Breslow thickness of 0.85mm or less had the lowest positivity rates (<5%), indicating they could potentially forego SLNB.
Patients of all ages and Breslow thicknesses with a Class 2 result had a greater than 10% risk of SLN positivity, indicating that a Class 2 DecisionDx-Melanoma result can be considered a high-risk factor when considering the SLNB procedure for individual patients.

DecisionDx^® DiffDx™-Melanoma:

“Development and validation of a diagnostic gene expression profile test for ambiguous or difficult-to-diagnose pigmented skin lesions” was presented by Sarah Estrada, M.D., FCAP.

DecisionDx DiffDx-Melanoma is designed to aid dermatopathologists in characterizing difficult-to-diagnose melanocytic lesions.

“Approximately 300,000 melanocytic lesions biopsied each year cannot be confidently identified as either malignant or benign, so the nature of these lesions remains ambiguous with discordant rates of diagnoses ranging from 25-43%,” said Estrada. “The accuracy metrics shown in the development and validation study suggest DecisionDx DiffDx-Melanoma could help alleviate uncertainty in difficult-to-diagnose lesions, leading to decreased unnecessary procedures while appropriately identifying at-risk patients.”

Study methods and findings:

DecisionDx DiffDx-Melanoma was designed to refine diagnoses of melanocytic neoplasms by providing clinicians with an objective ancillary tool with high accuracy.
A total of 503 formalin-fixed paraffin-embedded(FFPE) tissue samples sourced from primary cutaneous melanoma tumors and melanocytic nevi were used, of which 273 were benign and 230 were malignant lesions. Samples underwent quantitative polymerase chain reaction (qPCR) to evaluate expression of 76 genes with potential diagnostic utility.

Artificial intelligence approaches were used to select and prioritize gene sets, ultimately identifying 32 differentially expressed genes that reliably classified benign versus malignant melanocytic lesions.

The resulting 35-gene expression profile (GEP) test, DecisionDx DiffDx-Melanoma, (32 discriminant genes and 3 control genes) accurately diagnosed malignant and benign cases with 99.1% sensitivity, 94.3% specificity, 93.6% positive predictive value (PPV) and 99.2% negative predictive value (NPV).

About DecisionDx-Melanoma

DecisionDx®-Melanoma is a gene expression profile test that uses an individual patient’s tumor biology to predict individual risk of cutaneous melanoma metastasis or recurrence, as well as sentinel lymph node positivity, independent of traditional staging factors, and has been studied in more than 5,700 patient samples. Using tissue from the primary melanoma, the test measures the expression of 31 genes. The test has been validated in four archival risk of recurrence studies of 901 patients and six prospective risk of recurrence studies including more than 1,600 patients. Prediction of the likelihood of sentinel lymph node positivity has also been validated in two prospective multicenter studies that included more than 3,000 patients. Impact on patient management plans for one of every two patients tested has been demonstrated in four multicenter and single-center studies including more than 560 patients. The consistent performance and accuracy demonstrated in these studies provides confidence in disease management plans that incorporate DecisionDx-Melanoma test results. Through September 30, 2020, DecisionDx-Melanoma has been ordered more than 64,560 times for use in patients with cutaneous melanoma.

More information about the test and disease can be found at www.SkinMelanoma.com.

About DecisionDx DiffDx-Melanoma

DecisionDx® DiffDx™-Melanoma is designed to aid dermatopathologists in characterizing difficult-to-diagnose melanocytic lesions. Of the 2 million suspicious pigmented lesions biopsied annually in the U.S., Castle estimates that approximately 300,000 of those cannot be confidently classified as either benign or malignant through traditional histopathology methods. DecisionDx DiffDx-Melanoma classifies these lesions as: benign (gene expression profile suggestive of benign neoplasm); intermediate-risk (gene expression profile cannot exclude malignancy); or malignant (gene expression profile suggestive of melanoma). Interpreted in the context of other clinical, laboratory and histopathologic information, DecisionDx DiffDx-Melanoma is designed to add diagnostic clarity and confidence for dermatopathologists while helping dermatologists deliver more informed patient management plans.

More information about the test and disease can be found at www.CastleTestInfo.com.

About Castle Biosciences

Castle Biosciences (Nasdaq: CSTL) is a commercial-stage dermatologic cancer company focused on providing physicians and their patients with personalized, clinically actionable genomic information to make more accurate treatment decisions. The Company currently offers tests for patients with cutaneous melanoma (DecisionDx^®-Melanoma, DecisionDx^®-CMSeq), cutaneous squamous cell carcinoma (DecisionDx^®-SCC), suspicious pigmented lesions (DecisionDx^®DiffDx™-Melanoma) and uveal melanoma (DecisionDx^®-UM, DecisionDx^®-PRAME and DecisionDx^®-UMSeq). For more information about Castle’s gene expression profile tests, visit www.CastleTestInfo.com. Castle also has active research and development programs for tests in other dermatologic diseases with high clinical need. Castle Biosciences is based in Friendswood, Texas (Houston), and has laboratory operations in Phoenix, Arizona. For more information, visit www.CastleBiosciences.com.

DecisionDx-Melanoma, DecisionDx-CMSeq, DecisionDx-SCC, DecisionDx DiffDx-Melanoma, DecisionDx-UM, DecisionDx-PRAME and DecisionDx-UMSeq and are trademarks of Castle Biosciences, Inc.

Forward-Looking Statements

The information in this press release contains forward-looking statements and information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are subject to the “safe harbor” created by those sections. These forward-looking statements include, but are not limited to, statements concerning the ability of DecisionDx DiffDx-Melanoma to accurately characterize difficult-to-diagnose melanocytic lesions, the ability of DecisionDx-Melanoma test results to help identify patients with low probability of sentinel lymph node positivity, and statements concerning each of their impact to optimize or improve treatment decisions and reduce healthcare costs. The words “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “will,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements and you should not place undue reliance on our forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements that we make. These forward-looking statements involve risks and uncertainties that could cause our actual results to differ materially from those in the forward-looking statements, including, without limitation, the effects of the COVID-19 pandemic on our business and our efforts to address its impact on our business and our ability to maintain compliance with the covenants in our debt facility, the timing and amount of revenue we are able to recognize in a given fiscal period, unexpected delays in planned launch of our pipeline products, the level and availability of reimbursement for our products, our ability to manage our anticipated growth and the risks set forth in our Annual Report on Form 10-K for the year ended December 31, 2019 and in our other filings with the SEC. The forward-looking statements are applicable only as of the date on which they are made, and we do not assume any obligation to update any forward-looking statements, except as may be required by law.

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Posted on November 12, 2020 7:03 am
Calibre Provides Infill and Near-Mine Program Updates; Highlights Include Limon Open-Pit: 11.89 g/t Au Over 23.6 Metres & 16.97 g/t Au Over 12.2 Metres; and Panteon Underground: 62.67 g/t Au Over 4.0 Metres & 28.41 g/t Au Over 6.8 Metres

VANCOUVER, British Columbia, Nov. 12, 2020 (GLOBE NEWSWIRE) — Calibre Mining Corp. (TSX: CXB; OTCQX: CXBMF) (the “Company” or “Calibre”) is pleased to provide an update in regard to the Company’s 2020 infill and near-mine exploration diamond drilling programs.

Infill

D

rilling

Highlights

:

Panteon
Underground Deposit

13.73 g/t Au over 3.9 metres Estimated True Width (“ETW”) from 277.9 to 284.4 metres in LIM-20-4467;

28.41 g/t Au over 6.8 metres ETW from 207.2 to 216.0 metres in LIM-20-4468;

4.86 g/t Au over 8.6 metres ETW from 151.5 to 164.6 metres; and

62.67 g/t Au over 4.0 metres ETW from 164.6 to 170.2 metres in LIM-20-4476.

Limon
South
Open Pit
(
Pozo
Bono)

16.97 g/t Au over 12.2 metres ETW from 87.8 to 102.9 metres in LIM-20-4457; and

20.77 g/t Au over 1.2 metres ETW from 56.8 to 62.7 metres in LIM-20-4474.

Limon Central Open Pit

10.30 g/t Au over 2.9 metres ETW from 215.9 to 218.9 metres in LIM-20-4484; and

11.89 g/t Au over 23.6 metres ETW from 234.5 to 262.0 metres in LIM-20-4489.

Limon North Open Pit
(
Tigra
/Chapparal)

5.09 g/t Au over 12.9 metres ETW from 196.3 to 209.5 metres in LIM-20-4471; and

5.28 g/t Au over 10.1 metres ETW from 190.2 to 201.1 metres in LIM-20-4462.

Jabali
West Underground Deposit

8.80 g/t Au over 5.6 metres ETW from 175.1 to 181.5 metres in JB20-499; and

6.30 g/t Au over 7.6 metres ETW from 83.9 to 92.9 metres in JB20-509.

Resource Expansion

& Exploration

D

rilling

R

esults

:

Panteon
Underground Deposit

8.19 g/t Au over 3.7 metres ETW from 227.5 to 232.3 metres in LIM-20-4485.

Rosario Gold Prospect
(Libertad
)

2.34 g/t Au over 14.3 metres ETW from 208.2 to 226.5 metres in RS-20-052; and

7.96 g/t Au over 5.1 metres ETW from238.5 to 245.4 metres in RS20-060.

Nancite
Gold Prospect
(Libertad)

17.26 g/t Au over 1.5 metres from 132.3 to 134.3 metres and 5.02 g/t Au over 2.8 metres from 185.5 to 189.3 metres in NA20-010.

Russell Ball, Chief Executive Officer of Calibre stated: “The infill program continues to deliver results ahead of our expectations, with higher than expected grades and broader widths in the case of Panteon underground and the Limon open-pits. With the infill drilling program complete, we recently transitioned to resource expansion drilling. The Panteon underground deposit continues to deliver strong results and we expect the deposit to grow to the southeast.”

Calibre’s integrated infill, resource expansion and first pass exploration drilling program continues with 16 diamond drill rigs at the Limon and Libertad operations and the Pavon project. The results discussed below represent a combination of (i) 7,894 metres of infill drilling from the Limon open pits, Panteon underground and Jabali West underground deposits, and (ii) 13,779 metres of resource expansion and exploration drilling at the Panteon underground and Limon North (Tigra/Chaparral) prospects at Limon, as well as at Jabali West underground, and the Rosario, Tranca, Nancite and Escandalo prospects at Libertad.

Panteon
Underground Deposit

Following up on earlier 2020 drill results, which confirmed the relative positions of two parallel high-grade shoots along the southern extension of the Panteon vein system, the Company completed infill drilling on the two zones returning strong gold grades over broad, mineable widths:

LIM-20-4476 intercepted 62.67 g/t Au over 4.0m ETW, approximately 30m above LIM-20-4468; and

LIM-20-4468 intercepted 28.41 g/t Au over 6.8m ETW, outlining a particularly high-grade zone within 20 meters of historic mine workings (see news release figures link below).

Following the completion of infill drilling, the focus shifted to resource expansion drilling to test the potential for mineralization down-plunge and along strike to the southeast. The initial step out hole (LIM-20-4485) intercepted 8.19 g/t Au over 3.7 metres extending the southern shoot approximately 40 metres to the southeast (see drill results news release announced April 9, 2020) and (drill results news release September 15, 2020 ).

Calibre is continuing to drill the Panteon vein system along strike to the southeast toward its projected intersection with the Santa Pancha vein system. The Santa Pancha underground mine is located approximately 150 metres east of the Panteon vein system. Over the past ten months, Calibre has been advancing underground development to the Panteon vein system to mine ore starting in the first quarter of 2021.

On June 3, 2020, Calibre announced a maiden resource estimate at Panteon which contained an Indicated Mineral Resource of 90,000 tonnes at an average grade of 9.88 g/t Au for 29,000 contained gold ounces, and additional Inferred Mineral Resources of 303,000 tonnes at an average grade of 6.79 g/t Au for 66,000 contained gold ounces (for additional details see news release here).

Limon Open Pit Deposits (
Limon Central,
Pozo
Bono
and
Tigra
-Chaparral
)

Infill drilling continues to confirm the continuity of gold grades along the Limon vein system, which hosts a series of near-surface, open-pit mineral resources along a northwesterly trend in excess of two kilometres. Infill drilling to upgrade resources from Inferred to Indicated classification in each of the deposits has returned results above expectations. Examples include:

Drilling below the active Limon Central open-pit reserve intercepted 7.9 metres ETW grading 3.24 g/t Au (LIM-20-4478) and 23.6 metres ETW grading 11.89 g/t Au (LIM-20-4489);

Approximately 750 metres to the south, drilling at the Pozo Bono deposit returned 16.97 g/t Au over 12.2 metres ETW (LIM-20-4457) and 20.77 g/t Au over 1.2 metres ETW (LIM-20-4474);

Approximately one kilometer to the north, drilling at the Tigra-Chaparral deposit returned 10.1 metres ETW grading 5.28 g/t Au (LIM-20-4462) and 12.9 metres ETW grading 5.09 g/t Au (LIM-20-4471).

The combination of the above, along with previously reported results from the Limon Norte deposit, further underscore the robust character of near-surface gold mineralization along the Limon vein trend. With infill drilling along the trend completed, the focus of drilling has transitioned to testing resource expansion opportunities along strike and down-dip of the principal zones of high-grade mineralization.

As at December 31, 2019, the Limon Mine Complex included open-pit Probable Reserves of 1.4 million tonnes grading 4.25 g/t Au containing 195,000 ounces of gold. Additional open-pit mineral resources include Indicated resources totaling 0.5 million tonnes grading 4.29 g/t Au containing 62,000 ounces of gold (exclusive of mineral reserves), and Inferred resources totaling 3.8 million tonnes grading 5.49 g/t Au containing 679,000 ounces of gold (for additional details see news release here). Results of the combined infill and step-out exploration drilling will be integrated into an updated mineral resource estimate prepared as of December 31, 2020, with a data cut-off date of November 7, 2020.

Jabali
West Underground Deposit
(Libertad
)

The Jabali West deposit is located directly below the Jabali Antena open-pit. Since the resumption of drilling in July, Calibre has completed 17 infill holes (2,600 metres), with highlights since the September 15 news release of:

8.80 g/t Au over 5.6 metres ETW from 175.1 to 181.5 metres (JB20-499); and

6.30 g/t Au over 7.6 metres ETW from 83.9 to 92.9 metres (JB20-509).

For a full list and location of results, please reference the drill hole table and figures link below.

Calibre is now advancing step-out drilling to test the potential to extend the resource which remains open down-plunge to the west.

Results of the combined infill and step-out exploration drilling will be integrated into an updated mineral resource estimate prepared as of December 31, 2020, with a data cut-off date of December 7, 2020.

As at December 31, 2019, the Jabali West Inferred Mineral Resource totaled 1.2 million tonnes averaging 7.87 g/t Au containing 315,000 ounces of gold (see Technical Report titled “The La Libertad Mine, Chontales Department, Nicaragua” available on SEDAR).

Nancite
Prospect
(Libertad
)

The Nancite prospect follows a four kilometre east-west trending structure located approximately five hundred metres south, and parallel to, the Jabali vein trend. Since the resumption of drilling in July, Calibre has drilled an additional 11 holes (2,402 metres) of first pass exploration drilling focused on the upper 125 metres of a one kilometre section of the four kilometre east-west trending structure. Drill hole NA-20-010 intercepted 17.26g/t over 1.5m, the highest-grade intercept on the multi-kilometre trend to date. We are evaluating the results to determine whether future exploration work is warranted.

Rosario Prospect
(Libertad
)

The Rosario deposit is located six kilometres southwest of the Libertad mill and currently hosts an inferred resource of 260,000 tonnes averaging 2.08 g/t Au containing 17,000 ounces of gold. Calibre has completed 3,200 metres of step-out and infill drilling in 14 holes, 9 of which are reported here (see drill results news release September 15, 2020). Step-out drilling to expand the resource laterally and at depth has intercepted significant gold mineralization, including 7.96 g/t Au over 5.1m ETW (RS-20-060) and 2.34 g/t Au over 14.3m ETW (RS-20-052).

The Rosario deposit is localized along a major northeasterly trending structure that marks the northern margin of the Cosmotillo vein cluster. During the first quarter of 2020, Calibre initiated a comprehensive field and data review of legacy surface and drill hole data to better understand the relationship between structural controls to gold mineralization and related hydrothermal alteration at Libertad. This work resulted in the recognition of the Cosmotillo area as an eight-square kilometer zone of barren, silica-clay lithocap style alteration that characteristically overlies unexposed bonanza style epithermal gold mineralization similar to the vein systems at Jabali and Panteon. Calibre recently completed drilling a series of deeper exploration holes (approximately 150 metres below the current Rosario mineral resource) to test the potential for higher-grade, bonanza style gold mineralization at depth. Assay results are pending.

To view a PDF of the figures as referenced in this news release, please go to the following links:

Link 1

– PDF Figures

Link 2

– VRIFY 3D Images

Quality Assurance/Quality Control

Calibre maintains a Quality Assurance/Quality Control (“QA/QC”) program for all its exploration projects using industry best practices. Key elements of the QA/QC program include verifiable chain of custody for samples, regular insertion of certified reference standards and blanks, and duplicate check assays. Drill core is halved and shipped in sealed bags to Bureau Veritas in Managua, Nicaragua, an independent analytical services provider with global certifications for Quality Management Systems ISO 9001:2008, Environmental Management: ISO14001 and Safety Management OH SAS 18001 and AS4801. Prior to analysis, samples are prepared at Veritas’ Managua facility and then shipped to its analytical facility in Vancouver, Canada. Gold analyses are routinely performed via fire assay/AA finish methods. For greater precision of high-grade material, samples assaying 10 g/t Au or higher are re-assayed by fire assay with gravimetric finish. Analyses for silver and other elements of interest are performed via Induction Coupled Plasmaspectrometry (“ICP”).

Qualified Person

The scientific and technical data contained in this news release has been reviewed and approved by Mark A. Petersen, P.Geo., VP Exploration, and a Qualified Person as defined by NI 43-101.

ON BEHALF OF THE BOARD

“
Russell Ball
”

Russell Ball, Chief Executive Officer

For further information, please contact:

Ryan King

Vice President, Corporate Development & IR
T: (604) 628-1012
E: [email protected]
W: www.calibremining.com

About

Calibre

Mining Corp.

Calibre Mining is a Canadian-listed gold mining and exploration company with two 100%-owned operating gold mines in Nicaragua. The Company is focused on sustainable operating performance and a disciplined approach to growth.

Cautionary Note Regarding Forward Looking Information

This news release includes certain
“
forward-looking information
“
and
“
forward-looking statements
“
(collectively
“
forward-looking statements
“
)
within the meaning of applicable Canadian securities legislation
.
All statements in this news release that address events or developments that we expect to occur in the future are forward-looking statements. Forward-looking statements are statements that are not historical facts and are identified by words such as “expect”,
“
plan
“
,
“
anticipate
“
,
“
project
“
,
“
target
“
,
“
potential
“
,
“
schedule
“
,
“
forecast
“
,
“
budget
“
,
“
estimate
“
,
“
intend
“
or
“
believe
“
and similar expressions or their negative connotations, or that events or conditions
“
will
“
,
“
would
“
,
“
may
“
,
“
could
“
,
“
should
“
or
“
might
“
occur Forward-looking statements necessarily involve assumptions, risks and uncertainties, certain of which are beyond
Calibre
‘
s
control
.
For a listing of
risk factors
applicable to the Company, please refer to
Calibre
‘
s
annual information form for the year ended December 31, 2019, available on www.sedar.com. This list is not exhaustive of the factors that may affect
Calibre
‘
s
forward-looking statements.

Calibre
‘
s
forward-looking statements are based on the applicable assumptions and factors management considers reasonable as of the date hereof, based on the information available to management at such time.
Calibre
does not assume any obligation to update forward-looking statements if circumstances or management
‘
s beliefs, expectations or opinions should change other than as required by applicable securities laws. There can be no assurance that forward-looking statements will prove to be accurate, and actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements. Accordingly, undue reliance should not be placed on forward-looking statements.

Q4 2020 EL LIMON: PANTEON DRILL RESULTS

Drill Hole

ID Vein

Structure From

(m) To

(m) Interval

(m) Estimated

True Width (m) Au

(g/t)

INFILL DRILLING

LIM-20-4454 Panteon 0.0 386.1 386.1 NS

386.1 401.9 15.7 0.02

401.9 402.9 1.0 0.33

402.9 408.1 5.2 3.8 6.45

Includes   402.9 403.9 1.0 2.70

403.9 405.0 1.1 17.10

405.0 408.1 3.1 4.03

408.1 424.6 16.5 0.16

424.6 429.9 5.3 0.04

429.9 448.0 18.1 NS

LIM-20-4456 Panteon 0.0 319.5 319.5 NS

319.5 323.5 4.0 0.05

323.5 324.6 1.1 0.8 8.80

324.6 327.5 2.9 0.76

327.5 352.5 25.0 0.07

352.5 367.2 14.7 NS

LIM-20-4461 Panteon 0.0 215.9 215.9 NS

215.9 235.1 19.2 0.03

235.1 236.1 1.0 0.8 2.49

236.1 239.5 3.4 0.17

239.5 240.5 1.0 0.8 2.46

240.5 251.1 10.7 0.19

251.1 263.5 12.4 NS

LIM-20-4467 Panteon 0.0 272.4 272.4 NS

272.4 277.9 5.5 0.03

277.9 284.4 6.5 3.9 13.73

Includes   277.9 280.1 2.2 4.42

280.1 282.3 2.3 31.05

282.3 284.4 2.1 4.73

284.4 286.6 2.3 0.98

286.6 293.2 6.6 0.12

293.2 299.9 6.7 NS

299.9 303.2 3.3 0.05

303.2 306.1 2.9 2.4 5.49

306.1 322.7 16.7 0.08

322.7 323.7 1.0 0.8 13.30

323.7 327.9 4.2 0.05

327.9 338.8 11.0 NS

LIM-20-4468 Panteon 0.0 193.8 193.8 NS

193.8 196.7 2.9 0.06

196.7 199.7 3.0 2.3 6.43

Includes   196.7 197.6 1.0 14.10

197.6 199.7 2.1 2.87

199.7 207.2 7.5 0.16

207.2 216.0 8.9 6.8 28.41

Includes   207.2 209.0 1.9 10.96

209.0 210.1 1.1 148.90

210.1 216.0 6.0 12.58

LIM-20-4468 216.0 219.1 3.1 0.09

Cont’d 219.1 225.0 6.0 NS

225.0 226.0 1.0 0.05

226.0 227.9 1.9 1.5 3.40

227.9 228.8 0.9 0.07

228.8 231.6 2.8 NS

231.6 236.3 4.7 0.34

236.3 240.7 4.5 NS

240.7 244.3 3.6 0.14

244.3 259.2 14.9 NS

LIM-20-4475 Panteon 0.0 308.0 308.0 NS

308.0 334.8 26.8 0.05

334.8 338.5 3.7 2.9 0.72

338.5 342.2 3.7 0.01

342.2 355.0 12.8 NS

LIM-20-4476 Panteon 0.0 144.5 144.5 NS

144.5 148.5 4.0 0.02

148.5 151.5 3.0 0.40

151.5 164.6 13.1 8.6 4.86

Includes   151.5 156.0 4.5 6.61

156.0 159.0 3.0 1.24

159.0 160.2 1.2 15.20

160.2 164.6 4.4 2.73

164.6 170.7 6.2 4.0 62.67

Includes   164.6 165.2 0.6 90.20

165.2 166.2 1.0 114.60

166.2 169.7 3.6 59.38

169.7 170.7 1.0 5.90

170.7 188.4 17.7 0.18

188.4 190.4 2.0 NS

LIM-20-4480 Panteon 0.0 104.9 104.9 NS

104.9 110.0 5.1 0.01

110.0 272.0 162.0 NS

272.0 275.2 3.2 0.03

275.2 280.0 4.8 3.1 0.29

280.0 289.2 9.3 0.02

289.2 304.0 14.8 NS

Drill Hole

ID Vein

Structure From

(m) To

(m) Interval

(m) Estimated

True Width (m) Au

(g/t)

RESOURCE EXPANSION DRILLING

LIM-20-4482 Panteon 0.0 233.6 233.6 NS

233.6 242.9 9.3 0.07

242.9 244.3 1.5 1.0 0.34

244.3 247.4 3.1 0.13

247.4 249.4 2.0 0.01

249.4 265.1 15.7 NS

LIM-20-4485 Panteon 0.0 131.7 131.7 NS

131.7 140.4 8.7 0.11

140.4 143.2 2.8 1.8 5.60

Includes   140.4 142.4 2.0 3.61

142.4 143.2 0.8 10.60

143.2 147.3 4.2 0.43

147.3 149.7 2.4 2.75

149.7 161.3 11.6 0.02

161.3 217.0 55.7 NS

217.0 221.0 4.0 0.09

221.0 224.5 3.6 1.34

224.5 227.5 3.0 0.08

227.5 232.3 4.8 3.7 8.19

Includes   227.5 229.2 1.7 4.18

229.2 230.3 1.1 25.90

230.3 232.3 2.0 1.86

232.3 237.3 5.0 0.21

237.3 252.3 15.0 NS

252.3 257.2 5.0 0.03

257.2 267.7 10.5 NS

267.7 287.3 19.6 0.02

287.3 290.1 2.9 NS

LIM-20-4486 Panteon 0.0 274.3 274.3 NS

274.3 283.3 9.0 0.03

283.3 294.6 11.3 NS

294.6 308.7 14.1 0.08

308.7 310.3 1.7 1.4 10.50

Includes   308.7 309.7 1.1 0.22

309.7 310.3 0.6 28.50

310.3 319.1 8.8 0.05

319.1 328.6 9.5 NS

328.6 341.1 12.6 0.05

341.1 343.1 2.0 0.15

343.1 345.7 2.6 1.43

345.7 349.1 3.4 0.23

349.1 352.1 3.0 0.01

352.1 366.5 14.5 NS

LIM-20-4488 Panteon 0 102.6 102.6 NS

102.6 126.65 24.05 0.019

126.65 129.25 2.6 1.6 1.025

129.25 134.95 5.7 0.102

134.95 149.8 14.85 NS

149.8 166.35 16.55 0.067

166.35 173.6 7.25 NS

173.6 197.85 24.25 0.025

197.85 199.3 1.45 NS

LIM-20-4490 Tigra/Chaparral 0.0 309.5 309.5 NS

309.5 350.4 40.9 0.02

350.4 360.0 9.6 NS

Q4 2020 EL LIMON: LIMON SOUTH, LIMON CENTRAL, TIGRA-
CHAPARRAL DRILL
RESULTS

Drill Hole

ID Vein

Structure From

(m) To

(m) Interval

(m) Estimated

True Width (m) Au

(g/t)

INFILL DRILLING

LIM-20-4457 Limon South 0.0 64.8 64.8 NS

64.8 72.4 7.7 0.01

72.4 75.8 3.4 4.97

75.8 87.8 12.0 0.18

87.8 102.9 15.1 12.2 16.97

Includes   87.8 90.9 3.1 1.82

90.9 92.6 1.8 11.20

92.6 94.2 1.6 3.42

94.2 100.4 6.2 34.74

100.4 102.9 2.5 4.76

102.9 107.3 4.5 0.06

107.3 126.7 19.4 NS

126.7 128.7 2.0 0.16

128.7 130.5 1.8 1.5 3.14

130.5 132.6 2.1 0.25

132.6 140.3 7.7 0.03

140.3 148.8 8.4 NS

LIM-20-4458 Limon South 0.0 90.0 90.0 NS

90.0 93.1 3.2 0.01

93.1 95.2 2.1 1.0 3.06

95.2 100.4 5.2 0.53

100.4 111.0 10.6 0.24

111.0 115.3 4.3 0.03

115.3 133.5 18.2 NS

LIM-20-4466 Limon South 0.0 77.5 77.5 NS

77.5 84.5 7.0 0.27

84.5 97.5 13.0 0.17

97.5 101.5 4.0 0.83

101.5 104.5 3.0 2.4 2.35

104.5 110.5 6.0 0.32

110.5 120.0 9.5 0.13

120.0 132.0 12.1 NS

LIM-20-4469 Limon South 0.0 45.3 45.3 NS

45.3 52.4 7.1 0.06

52.4 85.0 32.6 NS

85.0 95.0 10.1 0.12

95.0 102.9 7.9 0.22

102.9 104.9 2.0 0.6 2.47

104.9 112.0 7.1 0.38

112.0 118.2 6.3 0.07

118.2 130.0 11.8 NS

LIM-20-4472 Limon South 0.0 25.4 25.4 NS

25.4 85.1 59.7 0.07

85.1 91.1 6.0 0.17

91.1 97.1 6.0 1.0 0.56

97.1 101.1 4.0 0.20

101.1 114.4 13.3 NS

LIM-20-4474 Limon South 0.0 50.2 50.2 NS

50.2 56.8 6.7 0.01

56.8 62.7 5.9 1.2 20.77

Includes   56.8 59.1 2.3 45.86

59.1 62.7 3.6 4.74

62.7 87.8 25.1 0.41

87.8 94.8 7.0 0.16

94.8 108.9 14.1 0.01

108.9 110.9 2.0 1.35

110.9 117.9 7.0 0.05

117.9 130.0 12.1 NS

LIM-20-4477 Limon Central 0.0 229.2 229.2 NS

229.2 232.2 3.0 0.13

232.2 236.4 4.2 0.76

236.4 238.6 2.3 2.1 2.11

238.6 241.8 3.2 0.28

241.8 243.8 2.0 0.02

LIM-20-4478 Limon Central 0.0 313.6 313.6 NS

313.6 315.6 2.0 0.20

315.6 319.6 4.1 0.76

319.6 328.7 9.1 7.9 3.24

Includes   319.6 322.6 3.0 2.10

322.6 328.7 6.1 3.81

328.7 331.7 3.0 0.67

331.7 335.7 4.0 3.5 2.35

335.7 337.7 2.0 0.20

337.7 350.4 12.7 NS

LIM-20-4481 Limon Central 0.0 247.3 247.3 NS

247.3 248.3 1.0 0.01

248.3 251.3 3.0 0.50

251.3 254.4 3.1 2.7 1.32

254.4 257.4 3.0 0.32

257.4 263.4 6.0 0.07

263.4 280.4 17.1 NS

LIM-20-4483 Limon Central 0.0 298.4 298.4 NS

298.4 300.4 2.0 0.01

300.4 302.3 1.9 1.7 2.33

302.3 309.3 7.1 0.08

309.3 312.4 3.1 0.42

312.4 316.1 3.7 3.4 2.50

316.1 321.6 5.5 0.19

321.6 335.0 13.4 NS

LIM-20-4484 Limon Central 0.0 213.1 213.1 NS

213.1 214.4 1.3 1.08

214.4 215.9 1.5 NS

215.9 218.9 3.0 2.9 10.30

Includes   215.9 217.4 1.5 12.20

217.4 218.9 1.5 8.40

218.9 226.0 7.1 0.71

226.0 230.1 4.1 0.16

230.1 235.4 5.3 NS

235.4 236.1 0.7 0.02

236.1 236.9 0.8 NS

236.9 241.3 4.4 0.01

241.3 250.4 9.1 NS

LIM-20-4489 Limon Central 0.0 217.0 217.0 NS

217.0 224.5 7.5 0.00

224.5 229.5 5.1 0.46

229.5 234.5 5.0 0.08

234.5 262.0 27.5 23.6 11.89

Includes   234.5 237.6 3.1 4.59

237.6 243.0 5.4 50.13

243.0 262.0 19.0 0.89

262.0 271.1 9.2 1.39

271.1 274.2 3.1 0.02

274.8 286.0 11.3 NS

LIM-20-4459 Tigra / Chaparral 0.0 70.9 70.9 NS

70.9 73.4 2.5 0.16

73.4 76.0 2.6 1.8 5.14

76.0 88.8 12.8 0.07

88.8 96.5 7.7 0.47

96.5 149.1 52.6 0.13

149.1 154.2 5.2 NS

LIM-20-4462 Tigra / Chaparral 0.0 185.2 185.2 NS

185.2 190.2 5.0 0.02

190.2 201.1 10.9 10.1 5.28

201.1 210.9 9.8 0.17

210.9 212.9 2.0 0.96

212.9 219.9 7.0 0.23

219.9 238.0 18.2 0.06

238.0 242.4 4.4 NS

LIM-20-4471 Tigra / Chaparral 0.0 192.1 192.1 NS

192.1 196.3 4.2 0.01

196.3 209.5 13.3 12.9 5.09

Includes   196.3 199.6 3.4 3.63

199.6 200.6 1.0 12.60

200.6 207.3 6.8 3.29

207.3 209.5 2.2 9.62

209.5 216.5 7.0 1.46

216.5 223.6 7.1 0.79

223.6 239.0 15.4 0.11

239.0 240.0 1.0 3.27

240.0 253.4 13.5 0.07

253.4 265.2 11.8 NS

Q4 2020 EL LIMON: VETA NUEVA DRILL RESULTS

Drill Hole

ID Vein

Structure From

(m) To

(m) Interval

(m) Estimated

True Width

(m) Au

(g/t)

INFILL DRILLING

LIM-20-4460 Veta Nueva 0.0 171.1 171.1 NS

171.1 187.4 16.3 0.11

187.4 190.7 3.4 2.9 0.69

190.7 194.7 4.0 0.30

194.7 211.5 16.8 0.09

LIM-20-4465 Veta Nueva 0.0 190.7 190.7 NS

190.7 192.7 2.0 0.19

192.7 201.0 8.3 6.2 3.27

Includes   192.7 195.9 3.2 1.96

195.9 196.9 1.0 7.80

196.9 200.3 3.4 1.66

200.3 201.0 0.7 10.50

201.0 211.9 11.0 0.43

211.9 216.0 4.1 NS

LIM-20-4470 Veta Nueva 0.0 206.5 206.5 NS

206.5 208.4 1.9 0.06

208.4 217.9 9.6 7.4 1.08

217.9 223.1 5.2 0.15

223.1 237.0 13.9 NS

LIM-20-4473 Veta Nueva 0.0 207.8 207.8 NS

207.8 218.8 11.0 0.09

218.8 225.8 7.0 5.4 1.10

225.8 229.8 4.0 0.08

229.8 241.7 11.9 NS

Q4 2020 LA LIBERTAD: JABALI DRILL RESULTS

Drill Hole

ID Vein

Structure From

(m) To

(m) Interval

(m) Estimated

True Width

(m) Au

(g/t)

INFILL DRILLING

JB-20-495 Jabali UG 0.0 96.3 96.3 NS

96.3 132.9 36.6 0.04

132.9 135.9 3.0 0.59

135.9 156.9 21.0 0.07

156.9 158.9 2.0 1.31

158.9 165.0 6.1 4.8 3.42

Includes   160.0 161.0 1.0 9.20

161.0 165.0 4.0 2.36

165.0 174.4 9.5 0.72

174.4 182.4 8.0 0.09

182.4 200.3 17.9 NS

JB-20-497 Jabali UG 0.0 39.7 39.7 NS

39.7 105.5 65.8 0.03

105.5 109.5 4.0 0.78

109.5 112.5 3.0 0.18

112.5 115.5 3.0 2.0 0.99

115.5 131.5 16.0 0.12

131.5 134.5 3.0 2.0 0.93

134.5 159.5 25.0 0.02

159.5 168.1 8.6 NS

JB-20-499 Jabali UG 0.0 110.3 110.3 NS

110.3 162.6 52.3 0.04

162.6 166.6 4.0 0.25

166.6 167.6 1.0 1.97

167.6 169.9 2.4 0.11

169.9 172.1 2.2 NS

172.1 175.1 3.0 0.18

175.1 181.5 6.4 5.6 8.80

Includes   175.1 177.1 2.0 7.70

177.1 179.2 2.1 0.29

179.2 180.4 1.3 31.40

180.4 181.5 1.1 0.99

181.5 187.2 5.7 0.02

187.2 201.0 13.8 NS

JB-20-500 Jabali UG 0.0 1.2 1.2 NS

1.2 31.6 30.4 0.02

31.6 33.6 2.0 0.69

33.6 44.8 11.2 0.19

44.8 47.8 3.0 2.5 2.16

47.8 52.0 4.2 0.36

52.0 56.8 4.8 4.0 2.55

56.8 61.4 4.7 0.12

61.4 75.5 14.1 0.02

75.5 90.0 14.5 NS

JB-20-501 Jabali UG 0.0 36.7 36.7 NS

36.7 75.1 38.4 0.03

75.1 80.5 5.4 5.3 2.41

80.5 99.0 18.5 0.17

JB-20-502 Jabali UG 0.0 49.0 49.0 NS

49.0 67.0 18.0 0.09

67.0 68.0 1.0 1.0 4.30

68.0 74.0 6.0 0.03

74.0 90.3 16.3 16.0 2.21

Includes   74.0 77.5 3.5 0.35

77.5 79.2 1.7 2.60

79.2 80.2 1.0 14.10

80.2 90.3 10.1 1.61

90.3 97.3 7.0 0.16

97.3 104.3 7.1 NS

JB-20-506A Jabali UG 0.0 137.1 137.1 NS

137.1 157.5 20.4 0.03

157.5 162.7 5.2 0.40

162.7 163.8 1.1 1.49

163.8 167.4 3.7 0.09

167.4 168.4 1.0 0.9 4.08

168.4 175.5 7.1 0.17

175.5 177.5 2.0 2.0 8.30

Includes   175.5 176.5 1.0 2.20

176.5 177.5 1.0 14.40

177.5 179.2 1.7 0.34

179.2 181.2 2.0 1.51

181.2 183.7 2.5 0.65

183.7 197.2 13.5 0.08

JB-20-509 Jabali UG 0.0 14.6 14.6 NS

14.6 63.9 49.3 0.06

63.9 75.9 12.0 0.45

75.9 79.9 4.0 3.3 1.87

79.9 83.9 4.0 0.21

83.9 92.9 9.1 7.6 6.30

Includes   83.9 86.0 2.2 4.02

86.0 88.7 2.7 14.31

88.7 92.9 4.2 2.32

92.9 101.9 9.0 0.03

JB-20-510 Jabali UG 0.0 22.2 22.2 NS

22.2 29.5 7.3 0.06

29.5 40.9 11.5 0.30

40.9 43.0 2.1 1.10

43.0 45.8 2.8 2.8 5.09

Includes   43.0 44.0 1.0 3.60

44.0 45.0 1.0 9.00

45.0 45.8 0.8 2.08

45.8 47.9 2.1 0.51

47.9 59.5 11.7 0.05

Drill Hole

ID Vein

Structure From

(m) To

(m) Interval

(m) Estimated

True Width

(m) Au

(g/t)

RESOURCE EXPANSION DRILLING

JB-20-493 Jabali UG 0.0 244.1 244.1 NS

244.1 264.7 20.6 0.02

264.7 265.7 1.0 26.80

265.7 273.8 8.1 0.28

273.8 280.4 6.6 6.6 3.35

Includes   273.8 275.8 2.0 1.19

275.8 277.9 2.1 3.16

277.9 278.9 1.0 11.60

278.9 280.4 1.5 0.90

280.4 283.0 2.6 0.15

283.0 326.1 43.1 0.02

JB-20-494 Jabali UG 0.0 231.4 231.4 NS

231.4 253.9 22.5 0.01

253.9 254.9 1.0 0.17

254.9 257.6 2.6 2.6 2.69

257.6 260.6 3.0 0.07

JB-20-494A Jabali UG 0.0 255.1 255.1 NS

255.1 258.1 3.0 0.05

258.1 261.0 3.0 2.9 4.80

Includes   258.1 259.1 1.0 2.78

259.1 260.1 1.0 8.90

260.1 261.1 1.0 2.66

261.1 263.6 2.6 0.50

263.6 327.7 64.1 0.01

JB-20-496 Jabali UG 0.0 188.1 188.1 NS

188.1 190.1 2.0 0.01

190.1 193.3 3.2 2.8 1.21

193.3 195.8 2.6 0.24

195.8 198.6 2.8 NS

198.6 201.6 3.0 2.6 1.24

201.6 254.8 53.1 0.02

JB-20-498 Jabali UG 0.0 326.5 314.4 NS

326.5 399.5 73.1 0.03

399.5 400.5 1.0 0.8 1.51

400.5 430.5 30.0 0.04

430.5 432.3 1.8 1.4 1.16

432.3 436.3 4.0 0.01

436.3 451.1 14.8 NS

JB-20-507 Jabali UG 0.0 176.8 176.8 NS

176.8 182.1 5.3 0.01

182.1 184.4 2.3 0.49

186.7 210.6 23.9 0.04

210.6 212.1 1.5 1.5 0.85

212.1 221.0 8.9 0.01

Q4 2020 LA LIBERTAD: ESCANDALO, NANCITE, ROSARIO, TRANCA DRILL RESULTS

Drill Hole

ID Vein

Structure From

(m) To

(m) Interval

(m) Estimated

True Width

(m) Au

(g/t)

EXPLORATION DRILLING

ES-20-019 Escandalo 0.0 42.8 42.8 NS

42.8 146.6 103.8 0.01

146.6 151.0 4.4 4.00 0.18

151.0 172.4 21.5 0.01

ES-20-020 Escandalo 0.0 45.4 45.4 NS

45.4 160.2 114.8 0.02

160.2 165.2 5.0 4.90 0.12

165.2 200.3 35.1 0.01

NA-20-001 Nancite 0.0 71.2 71.2 NS

71.2 216.1 144.9 0.07

216.1 224.5 8.5 5.33 1.83

Includes   216.1 218.5 2.5 1.15

218.5 221.5 3.0 3.21

221.5 224.5 3.0 1.00

224.5 246.2 21.7 0.20

246.2 270.4 24.2 NS

NA-20-002 Nancite 0.0 58.2 58.2 NS

58.2 59.2 1.0 0.01

59.2 61.2 2.0 1.6 2.63

61.2 63.2 2.0 0.01

63.2 86.5 23.3 NS

86.5 93.5 7.0 0.29

93.5 99.3 5.9 NS

99.3 120.5 21.2 0.20

120.5 125.5 5.0 0.45

125.5 128.6 3.1 2.4 1.48

128.6 129.6 1.0 0.09

129.6 190.1 60.6 NS

NA-20-003 Nancite 0.0 35.8 35.8 NS

35.8 81.0 45.3 0.07

40.3 94.6 54.4 NS

94.6 95.6 1.0 0.9 1.10

95.6 117.2 21.6 NS

117.2 158.4 41.2 0.04

158.4 163.4 5.0 4.1 1.19

163.4 211.0 47.6 0.01

211.0 221.0 10.0 NS

NA-20-004 Nancite 0.0 48.3 48.3 NS

48.3 50.3 2.0 0.21

50.3 85.6 35.3 NS

85.6 90.7 5.1 0.10

90.7 91.8 1.1 0.8 5.00

91.8 92.8 1.0 0.06

92.8 105.1 12.3 NS

105.1 111.5 6.5 0.51

111.5 150.5 39.0 NS

150.5 160.0 9.5 0.33

160.0 211.5 51.5 NS

NA-20-005 Nancite 0.0 97.8 97.8 NS

97.8 117.5 19.8 0.10

117.5 120.5 3.0 2.3 0.53

120.5 137.8 17.3 0.06

137.8 184.4 46.6 NS

NA-20-006 Nancite 0.0 166.0 166.0 NS

166.0 168.0 2.0 0.01

168.0 175.0 7.0 5.6 0.19

175.0 177.0 2.0 0.02

177.0 245.4 68.4 NS

NA-20-007 Nancite 0.0 100.8 100.8 NS

100.8 117.3 16.5 0.09

117.3 122.4 5.2 3.5 1.02

122.4 123.6 1.2 0.01

123.6 146.2 22.6 NS

146.2 154.8 8.6 0.13

154.8 178.8 24.0 NS

178.8 188.7 9.9 0.18

188.7 194.7 6.0 NS

NA-20-008 Nancite 0.0 96.0 96.0 NS

96.0 100.6 4.6 0.19

100.6 102.7 2.1 1.9 1.37

102.7 131.6 28.9 0.17

131.6 133.8 2.2 2.9 1.33

133.8 136.2 2.4 0.01

136.2 181.4 45.2 NS

NA-20-009 Nancite 0.0 65.5 65.5 NS

65.5 69.4 3.8 0.01

69.4 74.7 5.3 4.9 0.64

74.7 77.7 3.0 0.01

77.7 102.1 24.4 NS

102.1 224.0 121.9 0.11

104.6 262.1 157.5 NS

NA-20-010 Nancite 0.0 130.3 130.3 NS

130.3 132.3 2.0 0.01

132.3 134.3 2.0 1.5 17.26

Includes   132.3 133.3 1.0 1.53

133.3 134.3 1.0 33.00

134.3 146.9 12.6 0.01

146.9 168.8 21.9 NS

168.8 172.4 3.7 0.01

172.4 173.5 1.1 0.8 3.85

173.5 185.5 12.1 0.05

185.5 189.3 3.8 2.8 5.02

Includes   185.5 188.3 2.8 1.94

188.3 189.3 1.0 13.50

189.3 225.2 35.9 0.34

206.9 240.4 33.6 NS

NA-20-011 Nancite 0.0 137.4 137.4 NS

137.4 143.9 6.5 4.0 1.78

Includes   137.4 139.4 2.0 1.34

139.4 142.4 3.0 0.17

142.4 143.9 1.5 5.60

143.9 152.9 9.0 0.21

152.9 201.2 48.3 NS

RS-20-052 Rosario 0.0 193.5 193.5 NS

193.5 208.2 14.7 0.02

208.2 226.5 18.3 14.3 2.34

Includes   208.2 209.2 1.0 4.13

209.2 213.4 4.2 1.51

213.4 216.4 3.1 0.24

216.4 219.5 3.1 1.73

219.5 221.5 2.0 4.82

221.5 223.5 2.0 1.20

223.5 226.5 3.0 4.72

226.5 235.9 9.4 0.01

RS-20-053 Rosario 0.0 194.2 194.2 NS

194.2 199.2 5.0 0.04

199.2 200.3 1.1 0.7 0.75

200.3 219.7 19.5 0.04

219.7 221.7 2.0 0.66

221.7 233.2 11.5 0.01

233.2 249.9 16.8 NS

RS-20-054 Rosario 0.0 172.0 172.0 NS

172.0 193.0 21.0 0.08

193.0 199.0 6.0 5.2 0.65

199.0 204.0 5.0 0.04

204.0 228.5 24.5 NS

228.5 283.5 55.0 0.01

283.5 295.1 11.7 NS

RS-20-055 Rosario 0.0 73.3 73.3 NS

73.3 75.3 2.0 0.01

75.3 78.3 3.0 2.1 2.23

Includes   75.3 76.2 0.9 5.10

76.2 78.3 2.1 0.99

78.3 80.3 2.0 0.39

80.3 83.8 3.5 0.01

83.8 144.8 61.0 NS

RS-20-056 Rosario 0.0 4.6 4.6 NS

4.6 27.4 22.9 0.01

27.4 65.5 38.1 NS

65.5 114.3 48.8 0.02

114.3 144.8 30.5 NS

RS-20-057 Rosario 0.0 3.1 3.1 NS

3.1 22.9 19.8 0.01

22.9 39.6 16.8 NS

39.6 94.0 54.4 0.03

94.0 153.9 59.9 NS

RS-20-058 Rosario 0.0 178.7 178.7 NS

178.7 198.8 20.1 0.02

198.8 208.8 10.0 0.16

208.8 253.0 44.2 0.03

RS-20-059 Rosario 0.0 47.2 47.2 NS

47.2 275.2 227.9 0.01

275.2 277.2 2.0 1.5 0.57

277.2 286.5 9.4 0.03

RS-20-060 Rosario 0.0 4.6 4.6 NS

4.6 232.4 227.8 0.01

232.4 238.5 6.1 0.36

238.5 245.3 6.8 5.1 7.96

Includes   238.5 240.5 2.0 11.80

240.5 245.3 4.8 6.33

245.3 249.0 3.8 1.21

249.0 271.3 22.3 0.01

TR-20-019 Tranca 0.0 47.9 47.9 NS

47.9 217.8 169.9 0.01

53.9 246.1 192.3 NS

246.1 248.1 2.0 0.01

248.1 249.1 1.0 0.8 1.67

249.1 250.1 1.0 0.01

250.1 262.3 12.2 NS

262.3 264.3 2.0 0.01

264.3 265.3 1.1 0.9 1.68

265.3 271.3 6.0 0.02

271.3 300.4 29.1 NS

300.4 322.3 21.9 0.16

308.4 318.3 9.9 NS

322.3 323.3 1.0 3.09

323.3 342.9 19.6 NS

TR-20-020 Tranca 0.0 67.1 67.1 NS

67.1 114.3 47.2 0.01

74.7 228.6 153.9 NS

228.6 238.7 10.1 8.1 0.14

238.7 259.1 20.4 NS

TR-20-021 Tranca 0.0 59.0 59.0 NS

59.0 87.3 28.3 0.01

87.3 164.6 77.3 NS

164.6 168.6 4.0 0.21

168.6 175.1 6.5 6.3 1.45

175.1 177.7 2.5 0.17

177.7 280.4 102.7 NS

TR-20-022 Tranca 0.0 110.3 110.3 NS

110.3 137.6 27.3 0.01

137.6 247.0 109.4 NS

247.0 259.0 12.0 0.04

259.0 261.0 2.0 1.6 1.33

261.0 277.0 16.0 0.09

277.0 326.6 49.6 NS

326.6 385.3 58.7 0.01

330.6 410.1 79.5 NS

410.1 416.6 6.5 0.01

416.6 421.6 5.0 0.14

421.6 425.6 4.0 0.31

425.6 431.6 6.0 0.04

431.6 434.6 3.0 2.3 0.61

434.6 493.2 58.6 0.03

446.6 468.7 22.1 NS

TR-20-023 Tranca 0.0 267.5 267.5 NS

267.5 270.4 2.9 0.02

270.4 279.4 9.0 6.3 0.23

279.4 284.5 5.1 0.04

284.5 387.1 102.6 NS

TR-20-024 Tranca 0.0 253.0 253.0 NS

253.0 255.0 2.0 1.1 0.81

255.0 282.0 27.0 0.05

282.0 307.9 25.9 NS

TR-20-025 Tranca 0.0 98.3 98.3 NS

90.9 98.4 7.4 0.03

92.9 96.9 3.9 NS

98.3 104.4 6.0 4.7 0.49

104.4 126.4 22.1 0.03

119.1 178.3 59.2 NS

TR-20-026 Tranca 0.0 71.4 71.4 NS

71.4 72.4 1.0 0.01

72.4 74.4 2.0 1.8 1.04

74.4 116.3 41.8 0.01

116.3 119.3 3.0 0.37

119.3 125.4 6.1 0.01

125.4 128.4 3.0 0.21

128.4 131.4 3.0 0.02

Q4 2020 EL LIMON DRILL HOLE COLLAR COORDINATES

Mine Site Drill Hole ID Vein Structure UTM North (m) UTM East (m) Elevation (
masl
) Total Depth (m) Azimuth (degrees) Dip (degrees)

EL LIMON LIM-20-4454 Panteon 1407507 532275 73 448 43 -51

EL LIMON LIM-20-4456 Panteon 1407548 532253 71 367 43 -52

EL LIMON LIM-20-4461 Panteon 1407589 532312 69 264 43 -49

EL LIMON LIM-20-4467 Panteon 1407551 532291 69 339 47 -52

EL LIMON LIM-20-4468 Panteon 1407562 532337 68 259 46 -47

EL LIMON LIM-20-4475 Panteon 1407677 532740 64 355 223 -53

EL LIMON LIM-20-4476 Panteon 1407590 532372 68 190 44 -56

EL LIMON LIM-20-4480 Panteon 1407664 532715 64 304 223 -50

EL LIMON LIM-20-4482 Panteon 1407641 532676 66 265 229 -55

EL LIMON LIM-20-4485 Panteon 1407449 532861 65 290 229 -52

EL LIMON LIM-20-4486 Panteon 1407736 532708 64 367 230 -49

EL LIMON LIM-20-4488 Panteon 1407419 532819 67 199 229 -50

EL LIMON LIM-20-4457 Pozo Bono 1409716 528999 133 149 231 -61

EL LIMON LIM-20-4458 Pozo Bono 1409627 529014 110 133 255 -66

EL LIMON LIM-20-4466 Pozo Bono 1409581 529033 100 132 243 -60

EL LIMON LIM-20-4469 Pozo Bono 1409568 528998 108 130 207 -64

EL LIMON LIM-20-4472 Pozo Bono 1409543 528968 105 114 213 -60

EL LIMON LIM-20-4474 Pozo Bono 1409686 528982 131 130 232 -60

EL LIMON LIM-20-4477 Limon Central 1410378 529074 155 257 208 -62

EL LIMON LIM-20-4478 Limon Central 1410545 528914 184 350 208 -54

EL LIMON LIM-20-4481 Limon Central 1410402 529047 155 280 208 -68

EL LIMON LIM-20-4483 Limon Central 1410563 528862 185 335 208 -59

EL LIMON LIM-20-4484 Limon Central 1410375 529076 155 250 208 -46

EL LIMON LIM-20-4489 Limon Central 1410441 529010 156 286 208 -52

EL LIMON LIM-20-4459 Tigra / Chaparral 1411212 528312 165 154 243 -51

EL LIMON LIM-20-4462 Tigra / Chaparral 1411213 528492 210 242 243 -45

EL LIMON LIM-20-4471 Tigra / Chaparral 1411244 528476 215 265 245 -46

EL LIMON LIM-20-4490 Tigra / Chaparral 1411189 528715 212 360 242 -61

EL LIMON LIM-20-4460 Veta Nueva 1410066 526336 48 211 157 -52

EL LIMON LIM-20-4465 Veta Nueva 1410051 526307 48 216 158 -55

EL LIMON LIM-20-4470 Veta Nueva 1410062 526309 50 237 158 -56

EL LIMON LIM-20-4473 Veta Nueva 1410084 526328 49 242 157 -50

*Note: UTM drill hole collar coordinates refer to UTM map datum WGS84 Zone 16 North

Q4 2020 LA LIBERTAD DRILL HOLE COLLAR COORDINATES

Mine Site Drill Hole ID Vein Structure UTM North (m) UTM East (m) Elevation (
masl
) Total Depth (m) Azimuth (degrees) Dip (degrees)

LA LIBERTAD ES-20-019 Escandalo 1357590 705480 571 191 180 -51

LA LIBERTAD ES-20-020 Escandalo 1357573 705577 571 206 167 -50

LA LIBERTAD JB-20-491 Jabali UG West 1355963 707531 543 395 184 -51

LA LIBERTAD JB-20-492 Jabali UG West 1355953 707400 529 373 183 -50

LA LIBERTAD JB-20-493 Jabali UG West 1355926 707465 546 326 180 -45

LA LIBERTAD JB-20-494 Jabali UG West 1355907 707390 526 261 180 -44

LA LIBERTAD JB-20-494A Jabali UG West 1355914 707389 530 328 180 -44

LA LIBERTAD JB-20-495 Jabali UG West 1355865 707904 529 200 187 -46

LA LIBERTAD JB-20-496 Jabali UG West 1355840 707445 545 255 180 -45

LA LIBERTAD JB-20-497 Jabali UG West 1355754 708555 353 168 16 -25

LA LIBERTAD JB-20-498 Jabali UG West 1355976 707306 353 451 180 -57

LA LIBERTAD JB-20-499 Jabali UG West 1355873 707850 353 201 180 -45

LA LIBERTAD JB-20-500 Jabali UG West 1355808 708355 353 90 15 -7

LA LIBERTAD JB-20-501 Jabali UG West 1355754 708555 353 99 15 19

LA LIBERTAD JB-20-502 Jabali UG West 1355754 708553 353 104 2 24

LA LIBERTAD JB-20-506A Jabali UG West 1355878 707812 353 209 180 -45

LA LIBERTAD JB-20-507 Jabali UG West 1355824 707400 353 224 180 -45

LA LIBERTAD JB-20-509 Jabali UG West 1355803 708357 353 113 60 -1

LA LIBERTAD JB-20-510 Jabali UG West 1355812 708352 353 68 18 18

LA LIBERTAD NA-20-001 Nancite 1353765 704801 353 270 355 -45

LA LIBERTAD NA-20-002 Nancite 1353986 704739 353 190 177 -46

LA LIBERTAD NA-20-003 Nancite 1353951 704430 353 221 173 -45

LA LIBERTAD NA-20-004 Nancite 1353987 704739 353 211 176 -60

LA LIBERTAD NA-20-005 Nancite 1353888 704361 353 184 173 -48

LA LIBERTAD NA-20-006 Nancite 1353944 704275 353 245 172 -45

LA LIBERTAD NA-20-007 Nancite 1354003 704680 353 195 176 -45

LA LIBERTAD NA-20-008 Nancite 1353904 704169 353 181 173 -45

LA LIBERTAD NA-20-009 Nancite 1353969 704046 353 262 171 -45

LA LIBERTAD NA-20-010 Nancite 1354020 704593 353 240 176 -45

LA LIBERTAD NA-20-011 Nancite 1353960 704546 353 201 177 -45

LA LIBERTAD RS-20-052 Rosario 1349782 691108 353 236 156 -46

LA LIBERTAD RS-20-053 Rosario 1349898 691330 353 250 167 -46

LA LIBERTAD RS-20-054 Rosario 1350043 691637 354 295 153 -45

LA LIBERTAD RS-20-055 Rosario 1349577 691007 354 145 145 -45

LA LIBERTAD RS-20-056 Rosario 1349431 690832 354 145 157 -45

LA LIBERTAD RS-20-057 Rosario 1349348 690665 354 154 152 -47

LA LIBERTAD RS-20-058 Rosario 1349191 690584 354 276 305 -42

LA LIBERTAD RS-20-059 Rosario 1349889 691212 354 300 160 -45

LA LIBERTAD RS-20-060 Rosario 1350021 691438 354 300 156 -42

LA LIBERTAD TR-20-010 Tranca 1354055 705853 354 241 3 -48

LA LIBERTAD TR-20-011 Tranca 1353973 705380 354 282 5 -35

LA LIBERTAD TR-20-012 Tranca 1353992 706126 354 238 359 -37

LA LIBERTAD TR-20-013 Tranca 1354289 705186 354 207 180 -45

LA LIBERTAD TR-20-014 Tranca 1354335 705730 354 268 176 -46

LA LIBERTAD TR-20-015 Tranca 1354362 705185 354 306 180 -43

LA LIBERTAD TR-20-016 Tranca 1354283 705892 354 175 180 -45

LA LIBERTAD TR-20-017 Tranca 1354371 705110 354 312 180 -45

LA LIBERTAD TR-20-018 Tranca 1353972 705800 354 346 360 -45

LA LIBERTAD TR-20-019 Tranca 1354393 705020 354 343 180 -45

LA LIBERTAD TR-20-020 Tranca 1354344 705500 354 259 180 -45

LA LIBERTAD TR-20-021 Tranca 1354295 704930 354 280 180 -46

LA LIBERTAD TR-20-022 Tranca 1354500 705500 354 493 180 -45

LA LIBERTAD TR-20-023 Tranca 1354369 704870 354 387 180 -46

LA LIBERTAD TR-20-024 Tranca 1353971 706228 354 308 359 -44

LA LIBERTAD TR-20-025 Tranca 1354181 706305 354 178 180 -45

LA LIBERTAD TR-20-026 Tranca 1354256 706002 354 162 184 -45

LA LIBERTAD TR-20-027 Tranca 1354450 705988 354 431 178 -45

LA LIBERTAD TR-20-028 Tranca 1354424 705312 354 366 178 -44

*Note: UTM drill hole collar coordinates refer to UTM map datum WGS84 Zone 16 North

Posted on November 12, 2020 7:03 am
Schrödinger, Inc. Reports Third Quarter 2020 Financial Results and Business Update

Schrödinger, Inc. Reports Third Quarter 2020 Financial Results and Business Update

Total revenue of $25.8 million, up 29% year-over-year;

Software revenue of $22.9 million, up 42% year-over-year

Raised $325.6 million net proceeds in equity financing

Presenting data on our MALT 1 inhibitor program at the American Society of Hematology (ASH) Annual Meeting & Exposition

Conference call today, Thursday, Nov. 12, 2020 at 8:30 a.m. ET

NEW YORK–(BUSINESS WIRE)–
Schrödinger, Inc. (Nasdaq: SDGR), whose physics-based software platform is transforming the way therapeutics and materials are discovered, today announced financial results for the third quarter ended September 30, 2020.

“We are executing on our strategic plan across every area of our business,” said Schrödinger CEO Ramy Farid, Ph.D. “We’re excited about the strong growth we’ve seen in our software business and the rapid progress of our internal and collaborative programs to discover and develop therapeutics.”

Third Quarter Financial Results

Revenue was $25.8 million for the third quarter of 2020, an increase of 29% compared to the third quarter of 2019.

Software revenue was $22.9 million for the third quarter of 2020, an increase of 42% over the third quarter in 2019. Drug discovery revenue was $2.9 million for the third quarter of 2020, a decline of 24% versus the third quarter of 2019.

Gross profit reached $15.3 million in the third quarter of 2020, an increase of 43% over the third quarter in 2019. Software gross margin was 81% in the third quarter, unchanged versus the third quarter of 2019.

Operating expenses for the third quarter of 2020 were $30.7 million, an increase of 40% over the third quarter of 2019.

Other income, which includes gains on equity investments and changes in fair value of such investments, was $18.7 million in the third quarter of 2020 versus a loss of $0.9 million in the third quarter of 2019. Other income for the third quarter of 2020 included an $18.0 million non-cash gain from our equity in Relay Therapeutics which completed its IPO in July 2020.

Net income, after adjusting for non-controlling interests, was $3.9 million for the third quarter of 2020, compared to a net loss of $11.5 million in the third quarter of 2019.

Schrödinger ended the third quarter of 2020 with cash, cash equivalents, restricted cash and marketable securities of $599.5 million, an increase of $315.0 million from the end of the second quarter of 2020, primarily as a result of net proceeds of $325.6 million from the equity financing in the third quarter.

“In the third quarter, we continued the excellent momentum across our business established in the first half of 2020,” said Schrödinger CFO Joel Lebowitz. “With our strong balance sheet and growing revenue, we believe we are well-positioned to continue to invest in R&D and execute on all elements of our strategy.”

Third Quarter Business Update

Driving growth in our Software business

42% revenue growth in the third quarter of 2020, driven by growth in both Life Sciences and Materials Science revenue

Increased Financial resources

Raised $325.6 million of net proceeds from an equity follow-on offering

Ending cash, cash equivalents, restricted cash and marketable securities for the third quarter were $599.5 million

Advancing internal discovery programs and pipeline progress

Expect to initiate IND enabling studies in 2021 on most advanced internal programs

Presenting data on our MALT 1 inhibitor program at the American Society of Hematology (ASH) Annual Meeting & Exposition; progressing research in single agent and combination studies targeting B-cell lymphomas

Advancing the underlying science of our platform and methods

Several scientific publications describing and validating our differentiated computational platform

Improved methods for accurately modeling the relative binding free energies of metalloenzyme inhibitors

Improved approaches to optimize binding selectivity

Validation and extension of our technologies to more comprehensively support macrocycle design and optimization

“We are very pleased with the significant progress we have made this year on our software business, our drug discovery collaborations and our internal pipeline,” said Dr. Farid. “Our ongoing commitment to advance the science underlying our industry-leading physics-based computational platform to achieve new breakthroughs will drive our continued success.”

Business Impact of COVID-19 Pandemic

While we did not see material impacts to our business from the COVID-19 pandemic during the first nine months of 2020, we have identified certain market risks that, if they materialize, could affect the growth of our software business and the timing of our drug discovery revenues for at least the remainder of 2020. Some of our software customers may experience increasing budgetary pressures, which may cause them to delay or reduce purchases. In addition, our sales force has limited in-person interactions, and their ability to attend industry conferences and events that promote and expand knowledge of our company and platform has been hampered. Relative to our drug discovery programs, certain programs, particularly ones that are in clinical studies or preparing to enter clinical studies, could be delayed which could result in delays in achieving milestones and related revenue. While there remains uncertainty about the extent of the effect of the COVID-19 pandemic, we do not envision a long-term impact from the COVID-19 pandemic on our ability to execute on our long-term strategy.

Webcast and Conference Call Information

Schrödinger will host a conference call to discuss its third quarter financial results on Thursday, November 12, 2020 at 8:30 AM Eastern Time. The conference call can be accessed live over the phone by dialing (833) 727-9520 (domestic) or +1 (830) 213-7697 (international) and refer to conference ID 8486343. The webcast can be accessed under “News & Events” in the investors section of Schrödinger’s website, https://ir.schrodinger.com/newsand-events/event-calendar. The archived webcast will be available on Schrödinger’s website following the event.

About Schrödinger

Schrödinger is transforming the way therapeutics and materials are discovered. Schrödinger has pioneered a physics-based software platform that enables discovery of high-quality, novel molecules for drug development and materials applications more rapidly and at lower cost compared to traditional methods. The software platform is used by biopharmaceutical and industrial companies, academic institutions, and government laboratories around the world. Schrödinger’s multidisciplinary drug discovery team also leverages its software platform to advance collaborative programs and its own pipeline of novel therapeutics to address unmet medical needs.

Founded in 1990, Schrödinger has over 400 employees and is engaged with customers and collaborators in more than 70 countries. To learn more visit www.schrodinger.com and follow us on LinkedIn and Twitter.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 including, but not limited to those regarding our expectations about the speed and capacity of our computational platform, our plans to continue to invest in research and our strategic plans to accelerate the growth of our software business and advance our collaborative and internal drug discovery programs, our ability to improve and advance the science underlying our platform, including through these use of new technologies, the timing of potential IND-enabling studies for our internal drug discovery programs, our expectations related to the use of our cash, cash equivalents, and marketable securities as well as our expectations related to the COVID-19 pandemic’s impact on our business. Statements including words such as “anticipate,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and statements in the future tense are forward-looking statements. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Actual results may differ materially from those described in these forward-looking statements and are subject to a variety of assumptions, uncertainties, risks and factors that are beyond our control, including the demand for our software solutions, our ability to further develop our computational platform, our reliance upon third-party providers of cloud-based infrastructure to host our software solutions, our reliance upon our third-party drug discovery collaborators, the ability to retain and hire key personnel and the direct and indirect impacts of the ongoing COVID-19 pandemic on our business and other risks detailed under the caption “Risk Factors” and elsewhere in our Securities and Exchange Commission filings and reports, including our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2020 filed with the Securities and Exchange Commission on November 12, 2020, as well as future filings and reports by us. Any forward-looking statements contained in this press release speak only as of the date hereof. Except as required by law, we undertake no duty or obligation to update any forward-looking statements contained in this press release as a result of new information, future events, changes in expectations or otherwise.

Condensed Consolidated Statements of Operations (Unaudited)
(in thousands, except for share and per share amounts)

Three Months Ended

September 30,

Nine Months Ended

September 30,

2020

2019

2020

2019

Revenues:

Software products and services
$

22,861

$

16,118

$

67,573

$

49,205

Drug discovery

2,936

3,842

7,490

10,506

Total revenues

25,797

19,960

75,063

59,711

Cost of revenues:

Software products and services

4,334

3,097

12,197

9,901

Drug discovery

6,191

6,152

18,386

16,244

Total cost of revenues

10,525

9,249

30,583

26,145

Gross profit

15,272

10,711

44,480

33,566

Operating expenses:

Research and development

17,019

10,353

47,376

28,322

Sales and marketing

3,969

5,185

13,120

15,621

General and administrative

9,729

6,465

28,316

20,491

Total operating expenses

30,717

22,003

88,812

64,434

Loss from operations

(15,445

)

(11,292

)

(44,332

)

(30,868

)

Other income:

Gain on equity investments

—

—

4,156

—

Change in fair value

18,233

(1,427

)

23,513

10,607

Interest income

463

501

1,732

1,463

Total other income (loss)

18,696

(926

)

29,401

12,070

Income (loss) before income taxes

3,251

(12,218

)

(14,931

)

(18,798

)

Income tax (benefit) expense

(35

)

(257

)

120

(262

)

Net income (loss)

3,286

(11,961

)

(15,051

)

(18,536

)

Net loss attributable to noncontrolling interest

(566

)

(453

)

(1,727

)

(734

)

Net income (loss) attributable to Schrödinger common and
limited common stockholders
$

3,852

$

(11,508

)

$

(13,324

)

$

(17,802

)

Net income (loss) per share attributable to Schrödinger
common and limited common stockholders, basic:
$

0.06

$

(0.26

)

$

(0.23

)

$

(0.40

)

Weighted average shares used to compute net income (loss)
per share attributable to Schrödinger common and
limited common stockholders, basic:

66,339,570

44,879,188

56,802,567

44,623,383

Net income (loss) per share attributable to Schrödinger
common and limited common stockholders, diluted:
$

0.05

$

(0.26

)

$

(0.23

)

$

(0.40

)

Weighted average shares used to compute net income (loss)
per share attributable to Schrödinger common and
limited common stockholders, diluted:

72,693,173

44,879,188

56,802,567

44,623,383

Condensed Consolidated Balance Sheets (Unaudited)
(in thousands, except for share and per share amounts)

Assets September 30, 2020 December 31, 2019

Current assets:

Cash and cash equivalents
$

210,490

$

25,986

Restricted cash

500

500

Marketable securities

388,494

59,844

Accounts receivable, net of allowance for doubtful accounts of $50 and $50

12,290

18,676

Unbilled and other receivables

4,891

7,062

Prepaid expenses

4,449

6,468

Total current assets

621,114

118,536

Property and equipment, net

5,296

6,268

Equity investments

40,914

15,366

Right of use assets

10,583

12,762

Other assets

2,209

2,338

Total assets
$

680,116

$

155,270

Liabilities, Convertible Preferred Stock, and Stockholders’ Equity (Deficit)

Current liabilities:

Accounts payable
$

4,812

$

3,524

Accrued payroll, taxes, and benefits

7,702

7,034

Deferred revenue

19,067

25,054

Lease liabilities

5,491

5,584

Other accrued liabilities

2,204

3,824

Total current liabilities

39,276

45,020

Deferred revenue, long-term

2,592

2,205

Lease liabilities, long-term

6,762

8,888

Other liabilities, long-term

600

900

Total liabilities

49,230

57,013

Commitments and contingencies

Convertible preferred stock:

Series E convertible preferred stock, $0.01 par value. Authorized zero and 77,150,132
shares; zero and 73,795,777 shares issued and outstanding at September 30, 2020 and
December 31, 2019, respectively

—

109,270

Series D convertible preferred stock, $0.01 par value. Authorized zero and 39,540,611
shares; zero and 39,540,611 shares issued and outstanding at September 30, 2020 and
December 31, 2019, respectively

—

22,000

Series C convertible preferred stock, $0.01 par value. Authorized zero and 47,242,235
shares; zero and 47,242,235 shares issued and outstanding at September 30, 2020 and
December 31, 2019, respectively

—

19,844

Series B convertible preferred stock, $0.01 par value. Authorized zero and 29,468,101
shares; zero and 29,468,101 shares issued and outstanding at September 30, 2020 and
December 31, 2019, respectively

—

9,840

Series A convertible preferred stock, $0.01 par value. Authorized zero and 134,704,785
shares; zero and 134,704,785 shares issued and outstanding at September 30, 2020 and
December 31, 2019, respectively

—

30,626

Total convertible preferred stock

—

191,580

Stockholders’ equity (deficit):

Common stock, $0.01 par value. Authorized 500,000,000 and 425,000,000 shares; 56,298,216 and
6,121,821 shares issued and outstanding at September 30, 2020 and December 31, 2019, respectively

563

61

Limited common stock, $0.01 par value. Authorized 100,000,000 and 146,199,885 shares; 13,164,193
and zero shares issued and outstanding at September 30, 2020 and December 31, 2019, respectively

132

—

Additional paid-in capital

748,123

11,655

Accumulated deficit

(118,420

)

(105,096

)

Accumulated other comprehensive income

480

16

Total stockholders’ equity (deficit) of Schrödinger stockholders

630,878

(93,364

)

Noncontrolling interest

8

41

Total stockholders’ equity (deficit)

630,886

(93,323

)

Total liabilities, convertible preferred stock, and stockholders’ equity (deficit)
$

680,116

$

155,270

Condensed Consolidated Statements of Cash Flows (Unaudited)
(in thousands)

Nine Months Ended

September 30,

2020

2019

Cash flows from operating activities:

Net loss
$

(15,051

)

$

(18,536

)

Adjustments to reconcile net loss to net cash used in

operating activities:

Gain on equity investments

(4,156

)

—

Noncash revenue from equity investments

(342

)

(139

)

Fair value adjustments

(23,513

)

(10,607

)

Depreciation

2,648

2,732

Stock-based compensation

7,542

1,612

Noncash research and development expenses

1,694

680

Noncash investment accretion

359

(277

)

Decrease (increase) in assets:

Accounts receivable, net

6,386

1,760

Unbilled and other receivables

2,580

2,719

Reduction in the carrying amount of right of use assets

3,957

3,045

Prepaid expenses and other assets

290

658

Increase (decrease) in liabilities:

Accounts payable

1,254

3,324

Accrued payroll, taxes, and benefits

668

896

Deferred revenue

(5,258

)

(1,461

)

Lease liabilities

(3,997

)

(2,961

)

Other accrued liabilities

(1,922

)

1,761

Net cash used in operating activities

(26,861

)

(14,794

)

Cash flows from investing activities:

Purchases of property and equipment

(1,652

)

(1,679

)

Purchases of equity investments

(2,869

)

—

Distribution from equity investment

4,582

—

Purchases of marketable securities

(446,816

)

(96,278

)

Proceeds from sale and maturity of marketable securities

118,272

37,725

Net cash used in investing activities

(328,483

)

(60,232

)

Cash flows from financing activities:

Issuances of common stock upon initial public offering, net

211,491

—

Issuances of common stock upon follow-on public offering, net

325,610

—

Issuances of Series E preferred stock, net

—

29,893

Issuances of common stock upon stock option exercise

2,747

425

Contribution by noncontrolling interest

—

100

Payment of deferred offering costs

—

(19

)

Net cash provided by financing activities

539,848

30,399

Net increase (decrease) in cash and cash equivalents and restricted cash

184,504

(44,627

)

Cash and cash equivalents and restricted cash, beginning of period

26,486

77,716

Cash and cash equivalents and restricted cash, end of period
$

210,990

$

33,089

Supplemental disclosure of cash flow and noncash information

Cash paid for income taxes
$

225

$

91

Supplemental disclosure of non-cash investing and financing activities

Accrued deferred offering costs

10

928

Purchases of property and equipment

24

—

Acquisitions of right of use assets in exchange for lease obligations

1,778

464

Right of use assets recognized on adoption

—

16,475

Reclass of deferred financing costs to additional paid in capital

1,858

—

View source version on businesswire.com: https://www.businesswire.com/news/home/20201112005038/en/

Media Contact:

Stephanie Simon

Ten Bridge Communications

[email protected]

617-581-9333

Investor Contact:

Christina Tartaglia

Stern IR, Inc.

[email protected]

212-362-1200

KEYWORDS: United States North America New York

INDUSTRY KEYWORDS: Health Technology Other Technology Software General Health Pharmaceutical Biotechnology

MEDIA:

Posted on November 12, 2020 7:03 am
Tower Semiconductor Reports Third Quarter 2020 Results and Guides Fourth Quarter Significant Revenue Increase

MIGDAL HAEMEK, Israel, Nov. 12, 2020 (GLOBE NEWSWIRE) — Tower Semiconductor (NASDAQ: TSEM & TASE: TSEM) reported today its results for the third quarter ended September 30, 2020.

Third
Quarter Results Overview

Revenues for the third quarter of 2020 were $310 million, as compared to $310 million in the prior quarter and $312 million in the third quarter of 2019.

G
ross profit and operating profit for the third quarter of 2020 were $53 million and $19 million as compared to $58 million and $22 million in the prior quarter and as compared to $58 million and $23 million in the third quarter of 2019.

Net profit for the third quarter of 2020 was $15 million, or $0.14 basic and diluted earnings per share, as compared to net profit of $19 million, or $0.18 basic and diluted earnings per share in the prior quarter, and $22 million or $0.21 basic and diluted earnings per share in the third quarter of 2019.

EBITDA for the third quarter of 2020 was $79 million, as compared to $82 million in the prior quarter and to $75 million in the third quarter of 2019.

As announced in the beginning of September, the Company’s IT safeguards identified a security incident on some of its systems. The Company took immediate actions to prevent damage, shutting down all of its Israeli and US IT systems, hence halting those facilities. In less than a week, all factories were returned to operational capability. Due to the effective procedures, there was no damage to the functional quality of the work in progress, with Company and customer data protected. Activities further securing the Company’s IT environment were put in place.

The impact of this event on Company’s operations was between 8-12 days of missed new wafer starts and, as the incident occurred during the last month of the quarter, during a demand ramp, it lost multiple weeks of full fab activity levels.

Cash flow generated from operations in the third quarter of 2020 was $69 million with investment in fixed assets, net of $67 million that included payments related to the 300mm facility capacity expansion program. In addition, in the third quarter of 2020, the company repaid $26 million of its debt.

Shareholders’ equity as of September 30, 2020 was a record of $1.41 billion, as compared to $1.35 billion as of December 31, 2019, and current ratio as of September 30, 2020 was 4.1X as compared to 4.3X as of December 31, 2019.

Business Outlook

Tower Semiconductor expects revenues for the fourth quarter of 2020 to be $340 million, with an upward or downward range of 5%, demonstrating 10% quarter over quarter growth and 11% year over year growth.

Mr. Russell Ellwanger, Chief Executive Officer of Tower Semiconductor, commented: “Our fourth quarter of 2020 revenue growth guidance, 17% quarter over quarter and 14% year over year organic, driven by continued and increased strength in our RF and Power IC served markets, sets a good bridge to the new year. We look forward to 2021, with RF and Power IC continuing the present trend and increases in both industrial sensors and power discrete served markets, as evidenced by customer demand forecasts, and backed by market research reports. This strength should couple well with our increased 300mm and 200mm capability and capacity expansions.”

Teleconference and Webcast

Tower Semiconductor will host an investor conference call today, Thursday, November 12, 2020, at 10:00 a.m. Eastern time (9:00 a.m. Central time, 8:00 a.m. Mountain time, 7:00 a.m. Pacific time and 5:00 p.m. Israel time) to discuss the company’s financial results for the third quarter of 2020 and its outlook.

This call will be webcast and can be accessed via Tower Semiconductor’s website at www.towersemi.com or by calling 1-888-642-5032 (U.S. Toll-Free), 03-918-0644 (Israel), +972-3-918-0644 (International). For those who are not available to listen to the live broadcast, the call will be archived on Tower Semiconductor’s website for 90 days.

The Company presents its financial statements in accordance with U.S. GAAP. The financial information included in the tables below includes unaudited condensed financial data. Some of the financial information in this release and/ or in related public disclosures or filings with respect to the financial statements and/ or results of the Company, which we describe in this release as “adjusted” financial measures, are non-GAAP financial measures as defined in Regulation G and related reporting requirements promulgated by the Securities and Exchange Commission as they apply to our Company. These adjusted financial measures are calculated excluding one or both of the following: (1) amortization of acquired intangible assets and (2) compensation expenses in respect of equity grants to directors,
officers,
and employees. These adjusted financial measures should be evaluated in conjunction with, and are not a substitute for, GAAP financial measures. The tables also present the GAAP financial measures, which are most comparable to the adjusted financial measures, as well as a reconciliation between the adjusted financial measures and the comparable GAAP financial measures. As used and/ or presented in this release and/ or in related public disclosures or filings with respect to the financial statements and/ or results of the Company, as well as calculated in the tables herein, the term Earnings Before Interest Tax Depreciation and Amortization (EBITDA) consists of net profit in accordance with GAAP, excluding financing
and other income (
expense
)
, net, taxes, non-controlling interest, depreciation and amortization expense and stock-based compensation expense. EBITDA is reconciled in the tables below from GAAP operating profit. EBITDA is not a required GAAP financial measure and may not be comparable to a similarly titled measure employed by other companies. EBITDA and the adjusted financial information presented herein and/ or in related public disclosures or filings with respect to the financial statements and/ or results of the Company, should not be considered in isolation or as a substitute for operating profit, net profit or loss, cash flows provided by operating, investing and financing activities, per share data or other profit or cash flow statement data prepared in accordance with GAAP. The term Net Cash, as used and/ or presented in this release and/ or in related public disclosures or filings with respect to the financial statements and/ or results of the Company, is comprised of cash, cash equivalents, short-term deposits and marketable securities less debt amounts as presented in the balance sheets included herein. The term Net Cash is not a required GAAP financial measure, may not be comparable to a similarly titled measure employed by other companies and should not be considered in isolation or as a substitute for cash, debt, operating profit, net profit or loss, cash flows provided by operating, investing and financing activities, per share data or other profit or cash flow statement data prepared in accordance with GAAP.
The term Free Cash Flow, as used and/ or presented in this release and/ or in related public disclosures or filings with respect to the financial statements and/ or results of the Company, is calculated to be net cash provided by operating activities (in the amounts of $6
9
million, $6
7
million and $7
3
million for the three months periods ended
September 30, 2020,
June 30
, 2020 and September 30, 2019
, respectively) less cash used for investments in property and equip
ment, net (in the amounts of $67
million, $63 million and $
43
million for the three months periods ended
September 30, 2020, June 30, 2020 and September 30, 2019
, respectively)
.
The term Free Cash Flow is not a required GAAP financial measure, may not be comparable to a similarly titled measure employed by other companies and should not be considered in isolation or as a substitute for operating profit, net profit or loss, cash flows provided by operating, investing and financing activities, per share data or other profit or cash flow statement data prepared in accordance with GAAP
.

About Tower Semiconductor

Tower Semiconductor Ltd. (NASDAQ: TSEM, TASE: TSEM), the leader in high-value analog semiconductor foundry solutions, provides technology and manufacturing platforms for integrated circuits (ICs) in growing markets such as consumer, industrial, automotive, mobile, infrastructure, medical and aerospace and defense. Tower Semiconductor focuses on creating positive and sustainable impact on the world through long term partnerships and its advanced and innovative analog technology offering, comprised of a broad range of customizable process platforms such as SiGe, BiCMOS, mixed-signal/CMOS, RF CMOS, CMOS image sensor, non-imaging sensors, integrated power management (BCD and 700V), and MEMS. Tower Semiconductor also provides world-class design enablement for a quick and accurate design cycle as well as Transfer Optimization and development Process Services (TOPS) to IDMs and fabless companies. To provide multi-fab sourcing and extended capacity for its customers, Tower Semiconductor operates two manufacturing facilities in Israel (150mm and 200mm), two in the U.S. (200mm) and three facilities in Japan (two 200mm and one 300mm) through TPSCo. For more information, please visit www.towersemi.com.

CONTACTS:
Noit Levy | Investor Relations | +972 74 737 7556 | [email protected]

This press release includes forward-looking statements, which are subject to risks and uncertainties. Actual results may vary from those projected or implied by such forward-looking statements and you should not place any undue reliance on such forward-looking statements. Potential risks and uncertainties include, without limitation, risks and uncertainties associated with: (i) demand in our customers’ end markets; (ii) over demand for our foundry services and/or products that exceeds our capacity; (iii) maintaining existing customers and attracting additional customers, (iv) high utilization and its effect on cycle time, yield and on schedule delivery which may cause customers to transfer their product(s) to other fabs, (v) operating results fluctuate from quarter to quarter making it difficult to predict future performance, (vi) impact of our debt and other liabilities on our financial position and operations, (vii) our ability to successfully execute acquisitions, integrate them into our business, utilize our expanded capacity and find new business, (viii) fluctuations in cash flow, (ix) our ability to satisfy the covenants stipulated in our agreements with our lender banks and bondholders (as of September 30, 2020 we are in compliance with all such covenants included in our banks’ agreements, bond G indenture and others), (x) pending litigation, (xi) new customer engagements, qualification and production ramp-up at our facilities, including TPSCo and the San Antonio facility, (xii) meeting the conditions set in the approval certificates received from the Israeli Investment Center under which we received a significant amount of grants in past years, (xiii) receipt of orders that are lower than the customer purchase commitments, (xiv) failure to receive orders currently expected, (xv) possible incurrence of additional indebtedness, (xvi) effect of global recession, unfavorable economic conditions and/or credit crisis, (xvii) our ability to accurately forecast financial performance, which is affected by limited order backlog and lengthy sales cycles, (xviii) possible situations of obsolete inventory if forecasted demand exceeds actual demand when we manufacture products before receipt of customer orders, (xix) the cyclical nature of the semiconductor industry and the resulting periodic overcapacity, fluctuations in operating results and future average selling price erosion, (xx) the execution of debt re-financing and/or fundraising to enable the service of our debt and/or other liabilities and/or for strategic opportunities and the possible unavailability of such financing and/ or the availability of such financing in unfavorable terms , (xxi) operating our facilities at high utilization rates which is critical in order to cover a portion or all of the high level of fixed costs associated with operating a foundry, and our debt, in order to improve our results, (xxii) the purchase of equipment to increase capacity, the timely completion of the equipment installation, technology transfer and raising the funds therefor, (xxiii) the concentration of our business in the semiconductor industry, (xxiv) product returns, (xxv) our ability to maintain and develop our technology processes and services to keep pace with new technology, evolving standards, changing customer and end-user requirements, new product introductions and short product life cycles, (xxvi) competing effectively, (xxvii) use of outsourced foundry services by both fabless semiconductor companies and integrated device manufacturers; (xxviii) achieving acceptable device yields, product performance and delivery times, (xxix) our dependence on intellectual property rights of others, our ability to operate our business without infringing others’ intellectual property rights and our ability to enforce our intellectual property against infringement, (xxx) our fab3 landlord’s construction project adjacent to our fabrication facility, including possible temporary reductions or interruptions in the supply of utilities and/ or fab manufacturing, as well as claims that our noise abatement efforts are not adequate under the terms of the amended lease; (xxxi) retention of key employees and recruitment and retention of skilled qualified personnel, (xxxii) exposure to inflation, currency rates (mainly the Israeli Shekel and Japanese Yen) and interest rate fluctuations and risks associated with doing business locally and internationally, as well fluctuations in the market price of our traded securities, (xxxiii) issuance of ordinary shares as a result of conversion and/or exercise of any of our convertible securities, as well as any sale of shares by any of our shareholders, or any market expectation thereof, which may depress the market price of our ordinary shares and may impair our ability to raise future capital, (xxxiv) meeting regulatory requirements worldwide, including environmental and governmental regulations, (xxxv) potential engagement for fab establishment, joint venture and/or capital lease transactions for capacity enhancement in advanced technologies, (xxxvi) potential effect on TPSCo and the Company due to the sale of PSCS (a company holding 49% of TPSCo) by Panasonic to Nuvoton, (xxxvii) industry and market impact due to the coronavirus and its potential impact on our business, operational continuity, supply chain, revenue and profitability; (xxxviii) potential security, cyber and privacy breaches, including the recently announced security incident, and (xxxix) business interruption due to fire and other natural disasters, the security situation in Israel and other events beyond our control such as power interruptions.

A more complete discussion of risks and uncertainties that may affect the accuracy of forward-looking statements included in this press release or which may otherwise affect our business is included under the heading “Risk Factors” in Tower’s most recent filings on Forms 20-F and 6-K, as were filed with the Securities and Exchange Commission (the “SEC”) and the Israel Securities Authority. Future results may differ materially from those previously reported. The Company does not intend to update, and expressly disclaims any obligation to update, the information contained in this release.

(Financial tables follow)

TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

(dollars in thousands)

September 30, June 30, December 31,

2020 2020 2019

A S S E T S

CURRENT ASSETS

Cash and cash equivalents $ 207,704 $ 258,793 $ 355,561

Short-term deposits 313,029 269,263 215,609

Marketable securities 183,946 195,886 176,070

Trade accounts receivable 118,111 128,401 126,966

Inventories 204,933 210,129 192,256

Other current assets 30,379 28,158 22,019

Total current assets 1,058,102 1,090,630 1,088,481

LONG-TERM INVESTMENTS 41,303 41,219 40,085

PROPERTY AND EQUIPMENT, NET 780,596 765,895 681,939

GOODWILL AND INTANGIBLE ASSETS, NET 15,806 16,298 17,281

DEFERRED TAX AND OTHER LONG-TERM ASSETS, NET 88,878 91,834 105,047

TOTAL ASSETS $ 1,984,685 $ 2,005,876 $ 1,932,833

LIABILITIES AND SHAREHOLDERS’ EQUITY

CURRENT LIABILITIES

Short-term debt $ 86,717 $ 79,668 $ 65,932

Trade accounts payable 104,354 154,517 119,199

Deferred revenue and customers’ advances 9,660 8,455 10,322

Other current liabilities 58,098 68,192 57,603

Total current liabilities 258,829 310,832 253,056

LONG-TERM DEBT 229,266 219,764 245,821

LONG-TERM CUSTOMERS’ ADVANCES 25,780 27,570 28,196

LONG-TERM EMPLOYEE RELATED LIABILITIES 16,717 14,970 13,285

DEFERRED TAX AND OTHER LONG-TERM LIABILITIES 40,536 40,596 45,752

TOTAL LIABILITIES 571,128 613,732 586,110

TOTAL SHAREHOLDERS’ EQUITY 1,413,557 1,392,144 1,346,723

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 1,984,685 $ 2,005,876 $ 1,932,833

TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

(dollars and share count in thousands, except per share data)

Three Months Ended

September 30,

June 30, September 30,

2020 2020 2019

REVENUES $ 310,212 $ 310,090 $ 312,122

COST OF REVENUES 256,751 252,385 253,841

GROSS PROFIT 53,461 57,705 58,281

OPERATING COSTS AND EXPENSES:

Research and development 19,569 19,424 18,722

Marketing, general and administrative 14,803 16,154 16,840

34,372 35,578 35,562

OPERATING PROFIT 19,089 22,127 22,719

FINANCING AND OTHER INCOME (EXPENSE), NET (565 ) 1,831 (426 )

PROFIT BEFORE INCOME TAX 18,524 23,958 22,293

INCOME TAX BENEFIT (EXPENSE), NET (2,798 ) (2,484 ) 61

NET PROFIT 15,726 21,474 22,354

Net income attributable to non-controlling interest (528 ) (2,422 ) (166 )

NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 15,198 $ 19,052 $ 22,188

BASIC EARNINGS
PER SHARE $ 0.14 $ 0.18 $ 0.21

Weighted average number of shares 107,475 106,956 106,644

DILUTED EARNINGS PER SHARE $ 0.14 $ 0.18 $ 0.21

Weighted average number of shares 108,500 108,277 107,601

RECONCILIATION FROM GAAP NET PROFIT TO ADJUSTED NET PROFIT:

GAAP NET PROFIT $ 15,198 $ 19,052 $ 22,188

Stock based compensation 3,460 3,795 3,775

Amortization of acquired intangible assets 490 493 492

ADJUSTED NET PROFIT $ 19,148 $ 23,340 $ 26,455

ADJUSTED BASIC AND DILUTED EARNINGS PER SHARE $ 0.18 $ 0.22 $ 0.25

TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

(dollars and share count in thousands, except per share data)

Nine Months Ended

September 30,

2020 2019

REVENUES $ 920,473 $ 928,293

COST OF REVENUES 756,764 753,454

GROSS PROFIT 163,709 174,839

OPERATING COSTS AND EXPENSES:

Research and development 58,407 56,702

Marketing, general and administrative 47,648 50,319

106,055 107,021

OPERATING PROFIT 57,654 67,818

FINANCING AND OTHER INCOME (EXPENSE), NET (847 ) 1,247

PROFIT BEFORE INCOME TAX 56,807 69,065

INCOME TAX EXPENSE, NET (3,576 ) (588 )

NET PROFIT 53,231 68,477

Net loss (income) attributable to non-controlling interest (1,961 ) 864

NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 51,270 $ 69,341

BASIC EARNINGS PER SHARE $ 0.48 $ 0.65

Weighted average number of shares 107,083 106,103

DILUTED EARNINGS PER SHARE $ 0.47 $ 0.65

Weighted average number of shares 108,311 107,252

RECONCILIATION FROM GAAP NET PROFIT TO ADJUSTED NET PROFIT:

GAAP NET PROFIT $ 51,270 $ 69,341

Stock based compensation 11,798 11,482

Amortization of acquired intangible assets 1,293 2,627

ADJUSTED NET PROFIT $ 64,361 $ 83,450

ADJUSTED EARNINGS PER SHARE:

Basic $ 0.60 $ 0.79

Diluted $ 0.59 $ 0.78

TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES

RECONCILIATION FROM GAAP OPERATING PROFIT TO EBITDA (UNAUDITED)

(dollars in thousands)

Three months ended

September 30, June 30, September 30,

2020 2020 2019

GAAP OPERATING PROFIT $ 19,089 $ 22,127 $ 22,719

Depreciation of fixed assets 56,131 55,175 48,355

Stock based compensation 3,460 3,795 3,775

Amortization of acquired intangible assets 490 493 492

EBITDA $ 79,170 $ 81,590 $ 75,341

Nine months ended

September 30, September 30,

2020 2019

GAAP OPERATING PROFIT $ 57,654 $ 67,818

Depreciation of fixed assets 162,790 142,362

Stock based compensation 11,798 11,482

Amortization of acquired intangible assets 1,293 2,627

EBITDA $ 233,535 $ 224,289

TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES

CONSOLIDATED SOURCES AND USES REPORT (UNAUDITED)

(dollars in thousands)

Three months ended

September 30, June 30, September 30,

2020 2020 2019

CASH AND CASH EQUIVALENTS – BEGINNING OF PERIOD $ 258,793 $ 251,348 $ 405,158

Net cash provided by operating activities 68,612 66,603 72,735

Investments in property and equipment, net (66,862 ) (62,537 ) (43,017 )

Exercise of options 272 1,127 43

Debt repaid, net (26,355 ) (5,000 ) (5,606 )

Effect of Japanese Yen exchange rate change over cash balance 2,227 682 (104 )

Investments in short-term deposits, marketable securities and other assets, net (28,983 ) 6,570 (11,573 )

CASH AND CASH EQUIVALENTS – END OF PERIOD $ 207,704 $ 258,793 $ 417,636

Nine months ended

September 30,

2020 2019

CASH AND CASH EQUIVALENTS – BEGINNING OF PERIOD $ 355,561 $ 385,091

Net cash provided by operating activities 203,551 219,759

Investments in property and equipment, net (192,306 ) (128,462 )

Exercise of options 1,486 440

Debt repaid, net (55,552 ) (16,155 )

Effect of Japanese Yen exchange rate change over cash balance 2,733 2,361

Investments in short-term deposits, marketable securities and other assets, net (107,769 ) (45,398 )

CASH AND CASH EQUIVALENTS – END OF PERIOD $ 207,704 $ 417,636

TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

(dollars in thousands)

Nine months ended Three months ended

September 30, September 30, September 30, June 30, September 30,

2020 2019 2020 2020 2019

CASH FLOWS – OPERATING ACTIVITIES

Net profit for the period $ 53,231 $ 68,477 $ 15,726 $ 21,474 $ 22,354

Adjustments to reconcile net profit for the period

to net cash provided by operating activities:

Income and expense items not involving cash flows:

Depreciation and amortization 177,576 158,070 60,277 60,268 53,203

Effect of exchange rate differences on debentures (82 ) 9,300 828 3,159 3,095

Other expense (income), net (332 ) (711 ) 558 (876 ) (266 )

Changes in assets and liabilities:

Trade accounts receivable 10,260 30,775 11,556 (12,981 ) (496 )

Other assets (2,508 ) (7,733 ) (7,630 ) (1,998 ) (1,978 )

Inventories (10,691 ) (16,293 ) 6,689 (11,209 ) (13,276 )

Trade accounts payable (23,249 ) (3,094 ) (10,299 ) (6,751 ) 12,110

Deferred revenue and customers’ advances (3,094 ) (9,471 ) (596 ) (1,927 ) 4,178

Other current liabilities (103 ) (8,340 ) (10,832 ) 13,977 (6,494 )

Long-term employee related liabilities 3,847 7 1,793 2,109 (32 )

Deferred tax, net and other long-term liabilities (1,304 ) (1,228 ) 542 1,358 337

Net cash provided by operating activities 203,551 219,759 68,612 66,603 72,735

CASH FLOWS – INVESTING ACTIVITIES

Investments in property and equipment, net (192,306 ) (128,462 ) (66,862 ) (62,537 ) (43,017 )

Investments in deposits, marketable securities and other assets, net (107,769 ) (45,398 ) (28,983 ) 6,570 (11,573 )

Net cash used in investing activities (300,075 ) (173,860 ) (95,845 ) (55,967 ) (54,590 )

CASH FLOWS – FINANCING ACTIVITIES

Debt repaid, net (55,552 ) (16,155 ) (26,355 ) (5,000 ) (5,606 )

Exercise of options 1,486 440 272 1,127 43

Net cash used in financing activities (54,066 ) (15,715 ) (26,083 ) (3,873 ) (5,563 )

EFFECT OF FOREIGN CURRENCY EXCHANGE RATE CHANGE 2,733 2,361 2,227 682 (104 )

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (147,857 ) 32,545 (51,089 ) 7,445 12,478

CASH AND CASH EQUIVALENTS – BEGINNING OF PERIOD 355,561 385,091 258,793 251,348 405,158

CASH AND CASH EQUIVALENTS – END OF PERIOD $ 207,704 $ 417,636 $ 207,704 $ 258,793 $ 417,636