Methanex Issues Senior Notes

On June 19, 2002, Methanex Corporation issued US$200 million of 8.75 per cent senior notes due 2012. Methanex is headquartered in Vancouver and is the world’s largest producer and marketer of methanol. The offering was registered in the U.S. on Form F-9 filed with the U.S. Securities and Exchange Commission under the multijurisdictional disclosure system, and was made on a private placement basis in Canada. The offering was underwritten by a syndicate comprised of Goldman, Sachs & Co., CIBC World Markets Inc. and RBC Capital Markets Inc.

Through a concurrent consent solicitation in respect of Methanex’s outstanding $250 million of 7.75 per cent senior notes due 2005, Methanex successfully obtained the consent of the holders of its 7.75 per cent senior notes to an amendment to the indenture, which amended the existing limitation on restricted payments covenant applicable to the 7.75 per cent senior notes.

McCarthy Tétrault LLP acted for Methanex, led by Methanex’s assistant general counsel and corporate secretary, Randy Milner. The McCarthy Tétrault team was comprised of Richard Balfour, Michael Urbani, Darren Watt, Ciara Brady and Michael Smith (securities) in Vancouver and Michael Quigley (tax) in Toronto. Fried, Frank, Harris, Shriver & Jacobson acted for Methanex in the U.S., with a team comprised of Kenneth Blackman, and Ipek Candan, Peter Roldan and Sheetal Asrani (securities) and Bob Cassanos and Joe Calto (tax). Christopher Morgan, Jason Saltzman and Raziel Zisman of Skadden, Arps, Slate, Meagher & Flom LLP acted for the underwriters.