Harry Winston Diamond Corporation Updates Status of Ekati Acquisition

Harry Winston Diamond Corporation Updates Status of Ekati Acquisition 
TORONTO, Jan. 17, 2013 /CNW/ - Harry Winston Diamond Corporation (TSX:HW, 
NYSE:HWD) (the "Company") reports that C. Fipke Holdings Ltd. ("Fipco") has 
commenced an action in the Ontario Superior Court of Justice against BHP 
Billiton Canada Inc. and certain of its affiliates (collectively, "BHP 
Billiton"), the Company and its subsidiary, Harry Winston Diamond Mines Ltd., 
as well as against Dr. Stewart Blusson ("Blusson") and Archon Minerals Limited 
("Archon"). The claim alleges that the offers made by BHP Billiton to Fipco 
do not comply with Fipco's pre-emptive rights under the joint venture 
agreements for the Ekati Mine, and that the Company was complicit in this 
alleged non-compliance. 
As disclosed in the Company's news release dated November 13, 2012, the 
Company has agreed to purchase from BHP Billiton an 80% interest in the Core 
Zone Joint Venture and a 58.8% interest in the Buffer Zone Joint Venture. As 
contemplated in the share purchase agreements, BHP Billiton offered its 
interests in the joint ventures to Fipco, Blusson and Archon, the minority 
joint venture parties. Fipco, which holds a 10% interest in each of the Core 
Zone and Buffer Zone Joint Ventures, also alleges in its statement of claim 
that, among other things, the Company's debt financing arrangements for the 
acquisition have interfered with Fipco's ability to arrange its own 
financing. The claim seeks an order of the court prohibiting the Company 
from purchasing BHP Billiton's interests unless and until BHP Billiton 
provides Fipco with revised offers. Blusson, who holds a 10% interest in the 
Core Zone, and Archon, which holds a 31.2% interest in the Buffer Zone, have 
not issued a claim against BHP Billiton or the Company in respect of this 
issue, and have advised that they do not intend to do so. 
The parties to the litigation have entered into an agreement which provides 
for the trial and any appeal to be conducted on an expedited basis, with a 
view to obtaining a final ruling no later than April 15, 2013. The agreement 
provides that, if such ruling is in favour of the Company and BHP Billiton, 
the Company's purchase of BHP Billiton's joint venture interests in the Ekati 
Mine may be completed before May 15, 2013 without re-triggering the 
pre-emptive right provisions of the joint venture agreements. 
The Company and BHP Billiton believe that the claim by Fipco is entirely 
without merit, and intend to vigorously defend the action in order to proceed 
with the purchase and sale of the Ekati Mine. The parties are continuing 
with the regulatory approval process, and the Company expects to be in a 
position to complete the transaction following resolution of the litigation. 
About Harry Winston Diamond Corporation 
Harry Winston Diamond Corporation is a diamond enterprise with premium assets 
in the mining and retailing segments of the diamond industry. Harry Winston 
supplies rough diamonds to the global market from its 40 percent ownership 
interest in the Diavik Diamond Mine. The Company's luxury brand segment is a 
premier diamond jeweler and luxury timepiece retailer with salons in key 
locations, including New York, Paris, London, Beijing, Tokyo, Hong Kong and 
Beverly Hills. 
The Company focuses on the two most profitable segments of the diamond 
industry, mining and retailing, in which its expertise creates shareholder 
value. This unique business model provides key competitive advantages; rough 
diamond sales and polished diamond purchases provide market intelligence that 
enhances the Company's overall performance. 
Forward-Looking Information 
Information included herein that is not current or historical factual 
information, including information about mining activities at the Diavik 
Diamond Mine and estimated production from the Diavik Diamond Mine, may 
constitute forward-looking information or statements within the meaning of 
applicable securities laws. Forward-looking information is based on certain 
factors and assumptions regarding, among other things, mining, production, 
construction and exploration activities at the Diavik Diamond Mine, world and 
US economic conditions, future diamond prices, and the level of worldwide 
diamond production. Actual results may vary from the forward-looking 
information. While the Company considers these assumptions to be reasonable 
based on the information currently available to it, they may prove to be 
incorrect. Forward-looking information is subject to certain factors, 
including risks and uncertainties which could cause actual results to differ 
materially from what we currently expect. These factors include, among other 
things, the uncertain nature of mining activities, including risks associated 
with underground construction and mining operations, fluctuations in diamond 
prices, and changes in US and world economic conditions. Readers are cautioned 
not to place undue importance on forward-looking information, which speaks 
only as of the date of this disclosure, and should not rely upon this 
information as of any other date. While the Company may elect to, it is under 
no obligation and does not undertake to, update or revise any forward-looking 
information, whether as a result of new information, further events or 
otherwise at any particular time, except as required by law. Additional 
information concerning factors that may cause actual results to materially 
differ from those in such forward-looking statements is contained in the 
Company's filings with Canadian and United States securities regulatory 
authorities and can be found at www.sedar.com and www.sec.gov, respectively. 
For more information, please visitwww.harrywinston.com. or for investor 
information, visithttp://investor.harrywinston.com. 
Mr. Richard Chetwode, Vice President, Corporate Development - +44 (0)  
7720970762 rchetwode@harrywinston.com 
Ms. Laura Kiernan, Director, Investor Relations - (917) 297-4781 or 
Ms. Kelley Stamm, Manager, Investor Relations - (416) 205-4380 or 
SOURCE: Harry Winston Diamond Corporation 
To view this news release in HTML formatting, please use the following URL: 
CO: Harry Winston Diamond Corporation
ST: Ontario
-0- Jan/17/2013 14:38 GMT
Press spacebar to pause and continue. Press esc to stop.