ADRs

What is an American Depositary Receipt (ADR)?

An ADR is a negotiable US certificate representing ownership of shares in a non-US corporation. ADRs are quoted and traded in US dollars in the US securities market. Dividend payments (if declared by the Board of Directors) are also paid in US dollars. ADRs were specifically designed to facilitate the purchase, holding and sale of non-US securities by US investors.

What are the benefits of ADRs to US investors?

US investors generally prefer to purchase ADRs rather than ordinary shares in the issuer's home market because ADRs trade, clear and settle according to US market conventions. One of the main advantages is the facilitation of diversification into foreign securities. ADRs allow easy comparison to securities of similar companies, as well as access to price and trading information. ADR holders also appreciate US dollar dividend payments (if declared) and receiving corporate action notifications.

Epiroc has established sponsored Level 1 American Depositary Receipt (ADR) programs with Deutsche Bank Trust Company Americas (Deutsche Bank) for both its A shares and B shares.  The Level 1 ADR programs trade on the US over-the-counter (OTC) market under the ticker symbol EPOAY (for A shares) and EPOBY (for B shares).  Neither program is listed on a U.S. stock exchange.  For both programs, each ADR represents one Epiroc share.