Labrador Iron Ore Royalty Corp

Labrador Iron Ore Royalty Corporation ('LIORC') is a Canadian corporation resulting from the conversion of the Labrador Iron Ore Royalty Income Fund (the 'Fund') under an Arrangement effective on July 1, 2010. LIORC is also the successor by amalgamation under the Arrangement of Labrador Mining Company Limited, formerly a wholly-owned subsidiary of the Fund. Under the Arrangement, the Fund distributed $248 million of subordinated notes to its unitholders and the unitholders exchanged their units of the Fund for common shares of LIORC. Effective on October 3, 2012 the subordinated notes were exchanged for common shares and the common shares were consolidated, with the result that each holder ended up holding the same number of common shares as before the exchange, and LIORC had 64 million common shares outstanding. The common shares trade on The Toronto Stock Exchange under the symbol LIF.

LIORC, directly and through its wholly-owned subsidiary Hollinger-Hanna Limited ('Hollinger-Hanna'), holds a 15.10% equity interest in Iron Ore Company of Canada ('IOC') and receives a 7% gross overriding royalty and a 10 cent per tonne commission on all iron ore products produced, sold and shipped by IOC.Generally, LIORC pays cash dividends from its net income to the maximum extent possible, subject to the maintenance of appropriate levels of working capital. The common shareholders receive quarterly dividends on the common shares on the 25th day of the month following the end of each quarter.The common shares are qualified investments under the Income Tax Act (Canada) for deferred plans, including registered retirement savings plans, registered retirement income funds and deferred profit sharing plans.