Managing risk is the price of gold is central to the business strategy of American Barrick Resources Corp, one of the largest and most successful gold mining companies in North America. The case contrasts hedging policy of the company with those of its competitors, who are not part of hedging and a wide range of hedging products (gold loans, forwards, options, spot deferred contracts) is used to manage price risk. In 1992, the leadership of the American Barrick surprised unexpected new gold discoveries, but this new production site requires the company hedging program and test the commitment of the company to hedge when the price of gold, and many vehicles are unattractive hedge. "Hide
by Peter Tufano, John D. Serbin Source: HBS 25 pages. Publication date: April 12, 1993. Prod. #: 293128-PDF-ENG
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