1011509--3/16/2009--APEX_SILVER_MINES

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{loss, insurance, financial}

{regulation, change, law}

{interest, director, officer}

{gas, price, oil}

{investment, property, distribution}

{stock, price, share}

{operation, international, foreign}

{personnel, key, retain}

{competitive, industry, competition}

{cost, contract, operation}

{cost, regulation, environmental}

Under the approved Plan, holders of existing equity securities in Apex Silver will receive nothing on account of their interests. We may be forced to liquidate if the Effective Date of the Plan is delayed. Risks Associated with our Business We may not be able to continue as a going concern following emergence from Chapter 11 if we cannot fund operations through increased revenues or access to external sources of funding. The sale of the San Crist bal mine will significantly change our operations. Our revenues will depend primarily on our agreement to manage the San Crist bal mine. We have never previously managed a mining property for a third party and there can be no assurance that our mine management business will be successful. The exploration of mineral properties is highly speculative in nature, involves substantial expenditures and is frequently non-productive. Our mineral exploration projects may not contain reserves, be developed into mines or become profitable. We may be required to indemnify Sumitomo in certain circumstances under the terms of the Purchase Agreement and such payments could have a material adverse effect on our financial condition. The calculation of our mineralized material is subject to significant estimates. Our long-term cash flow and profitability will be affected by changes in the prices of metals. Title to our mineral properties may be challenged. We may lose rights to properties if we fail to meet payment requirements or development or production schedules. Our exploration and mine management activities are in countries with developing economies and are subject to the risks of political and economic instability associated with these countries. Our activities are subject to foreign environmental laws and regulations that may materially adversely affect our future operations. We compete against larger and more experienced companies. We depend on the services of key executives. We may be subject to fines or other penalties in connection with an alleged violation of the Foreign Corrupt Practices Act. Risks Relating to the Common Stock of Golden Minerals Company There may not be an active trading market for the common stock of Golden Minerals Company, which will affect a shareholder's ability to sell the shares or the price for which they can be sold. The substantial control of Golden Minerals Company by a small number of stockholders could facilitate, defer or prevent a change of control of Golden Minerals Company or other events that could be adverse to our other stockholders or to Golden Minerals Company. The estimated valuation of Golden Minerals Company common stock is not intended to represent the trading value of the stock. We do not anticipate paying a dividend in the foreseeable future. Risks Relating to Certain Tax and Accounting Consequences Certain tax consequences of the Plan raise unsettled and complex legal issues and involve factual determinations. The status of Apex Silver as a passive foreign investment company ("PFIC") for U.S. federal income tax purposes may adversely affect holders of Subordinated Notes or ordinary shares. Shareholders of Golden Minerals Company may be required to treat gain recognized on a disposition of the common stock received upon consummation of the Plan as ordinary income in the nature of recapture. Application of fresh start accounting requirements may result in a material adverse effect on the reported financial condition of Golden Minerals Company.

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1011509--3/16/2009--APEX_SILVER_MINES_LTD