U.S. Mint’s American Eagle Silver Bullion Coin Sales – All-Time Record, But Demand Exceeded Supply

(Washington, D.C. – February 5, 2010) — The United States Mint reports that sales of American Eagle Silver bullion coins reached 28,766,000 coins in 2009, far exceeding the 2008 total of 19,583,000.

This increasing demand for silver is fueled by investors seeking to diversify their portfolios during uncertain economic times with an asset long prized as a store of value, as a hedge against a declining dollar and the threat of inflation.

"This is an important milestone for the American Eagle Silver Bullion Coin Program," said Michael DiRienzo, Executive Director of the Silver Institute. "Even better, it looks like 2010 is off to a strong start, with over 3.5 million American Silver Eagles sold in January compared to 1.9 million a year ago," DiRienzo added.

According to the Mint’s recently released annual report for its fiscal year 2009, American Eagle silver bullion sales revenue increased 21.4 percent from $306.4 million in FY 2008 to $372 million in FY 2009.

However, DiRienzo noted, the picture for bullion sales is not entirely a shiny one. The Mint was unable to produce sufficient silver bullion coins to meet demand in 2009, resulting in rationing bullion coins to its authorized dealers. And, late in the year, the Mint announced it would sell no "proof" versions of the coin, disappointing collectors and some investors. "Even with the Mint’s West Point facility increasing its output, there were a lot of disappointed people," he said. "The Silver Institute stands ready to work with the Mint to increase the supply of one-ounce silver blanks so that an adequate supply is available and the Mint truly can satisfy every customer."

The American Eagle Bullion Coinage Program began in 1986.

The Silver Institute is a nonprofit international industry association headquartered in Washington, D.C. Established in 1971, the Institute serves as the industry’s voice in increasing public understanding of the value and many uses of silver. Its members include leading silver producers, refiners, manufacturers and dealers. Please visit the Silver Institute at www.silverinstitute.org.

For Further Information Contact:
Mike DiRienzo
The Silver Institute
888 16th Street, N.W., Suite 303
Washington, D.C. 20006

Tel: (202) 835-0185
Fax: (202) 835-0155