China’s largest silver producer

$48.6-million in cash, strong operations and the lowest production costs among its global peers.

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The substantial increase in the NCIB announced today means that Silvercorp's cash outlay for future dividends will be decreased as these retired shares will no longer require dividend payments. This, combined with Silvercorp's low cost of production, nearly ensures that the dividend will remain. With low lead and zinc prices, cash flow will be decreased, but the company will still maintain a very healthy cash flow and should have no problem maintaining the dividend, especially if silver keeps itself above $9 per pound. A 3%+ dividend yield on a high growth stock is a very wonderful thing indeed.

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