OTE 17 – SIGNIFICANT CUSTOMERS

The Company markets its doré to credit worthy bullion trading houses, market makers and members of the London Bullion Market Association, industrial companies and sound financial institutions. The refined metals are sold to end users for use in electronic circuitry, jewelry, silverware, pharmaceutical products, and the technology industry. The Company currently has eight trading counterparties (International Commodities, Mitsui, Mitsubishi, Standard Bank, TD Securities, Valcambi, Johnson Matthey and Auramet) and the sales of metals to these companies amounted to approximately 70% and 90% of total metal sales for the three months ended March 31, 2013 and 2012, respectively. Generally, the loss of a single bullion trading counterparty would not adversely affect the Company due to the liquidity of the markets and the availability of alternative trading counterparties.

Sales of silver and gold concentrates to third parties (Nyrstar, Aurubis, Sumitomo, Trafigura, Auramet, and China National Gold) amounted to approximately 30% and 10% of total metal sales for the three months ended March 31, 2013, and 2012, respectively. The loss of any one smelting and refining client may have a material adverse effect if alternate smelters and refiners are not available. The Company believes there is sufficient global capacity available to address the loss of any one smelter.

The following table indicates customers that represent 10% or more of total sales of metal for the three months ended March 31, 2013 and 2012 (in millions):



Customer	Three months ended March 31,		Three months ended March 31,		Segments reporting sales of metal
	2013		2012
Valcambi	$	12.2	$	107.9	Palmarejo, San Bartolomé
Auramet	$	24.2	$	13.9	San Bartolomé, Kensington
Mitsui	$	22.4	$	16.7	Palmarejo, San Bartolomé, Rochester
Standard Bank	$	17.4	$	14.5	Palmarejo
Johnson Matthey	$	25.2	$	—	Palmarejo, San Bartolomé, Rochester