Summary

1.       The American Silver Eagle (ASE) 1 troy oz silver coin produced by the US Mint is the primary bullion investment for many small investors in America. ASE investment is substantial. Over 619 million coins have been bought valued over $15 billion. The silver invested in ASEs contain 17 times more silver than the registered silver backing the entirety of comex silver trading.

2.       The US Mint is bound by the Liberty Coin Act (statute 99-61) to meet market demand of ASE coins.

3.       Until recently the US Mint dutifully complied with the law regarding production volumes.  Over nearly 4 decades, the Mint overcame significant challenges such as increasing production by 450% between 2007 and 2016 and substantially increasing production during the covid induced supply chain disruption in 2020.

4.       In February 2021 a grass roots movement called "Silver Squeeze" commenced on social media with the group investing in a multitude of silver products including ASE coins. The increased coin demand drove market premiums as high as 30%, far above typical coin premiums.

5.       Over the following 8 months through September of 2021 there was minimal production increase from the Mint despite the continued elevated coin premiums.

6.       The Director of the Mint, David J. Ryder, resigned Sept 24, 2021. His replacement was Ventris Gibson.

7.       Immediately after the change in Director, the Mint's coin production was cut by 50% from an average of 2.6 million coins per month to 1.3 million. Coin premiums soared as high as 75% which is more than 6 times the typical market rate.

8.       The Mint's coin production over the 21 months of Ventris Gibson's term is the lowest since 2018 and only a small fraction, 34%, of the Mint's prior production in 2015. The restricted production has occurred even though coin premiums have been at record high levels for 3-1/2 years.