An open letter faxed today to the World Gold Council''s CEO

7:25p ET Thursday, March 1, 2001

Dear Friend of GATA and Gold:

The attached press release was issued by the World Gold
Council this week to promote gold ownership. While it
at least acknowledges gold as a financial asset --
something approaching money -- and doesn't prattle
about jewelery, there's not a word about the huge short
position in gold or the explosion in the U.S. money
supply and gold derivatives at bullion banks or
counterparty risk or, God forbid, GATA's lawsuit
against the gold price manipulators.

The council still can't bring itself to address anything
that matters.

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.

* * *

Wednesday, February 28, 2001 6p ET

When Faced With Increasing Market Volatility,
Investors Should Turn To Gold

(World Gold Council press release)

Some of the nation's most affluent investors were
encouraged today to consider including gold bullion in
their portfolios as signs of increasing instability in
the world's financial markets become more apparent.

quot;The need to diversify portfolios confronts every
prudent investor,quot; said Richard Scott-Ram, chief
economist of the World Gold Council, addressing a
meeting of executives and individuals controlling the
financial affairs of some of America's wealthiest
families in Palm Springs today.

Mr. Scott-Ram said that there were growing signs of
market instability at home and abroad and that many
portfolio managers around the world were wrestling with
the effects of stock market uncertainity. He said that
the Japanese stock market had fallen to levels
approaching the 1998 low, and Japanese officials had
expressed concern that the economy was moving back
again into a recession. Meanwhile, in the United States
consumer confidence had dropped sharply again in
January in line with faultering stock markets.

quot;It seems that every advertisement produced by U.S.
financial institutions today is urging investors to go
for diversification. I concur and would only add that
investors should strive for even greater
diversification through the in conclusion of gold
bullion.quot; Gold, he said, is an excellent insurance
asset -- particularly at today's relatively low cost.
It was, he said, competitive with traditional
diversifiers such as put options and inflation-linked
bonds (TIPS), Treasury bills and market -- neutral
strategies.

quot;Traditional diversifiers often don't work when you
need them most -- during market stress. In fact, gold
brings several benefits to an institutional portfolio
at times of market stress due to its negative
collaboration with equity markets.quot;

He reminded the audience that according to many
analysts, the U.S. financial markets were entering a
stress period. quot;It is at moments like this that gold
shines as the preeminent portfolio diversifier -- a
defensive asset that tends to perform well when other
asset classes do not,quot; he said.

Mr. Scott-Ram said that the WGC intends to redouble its
efforts to promote gold as an investment and as a
portfolio diversifier. Over the past three years, the
council has been working in conjunction with some of
the leading bullion banks and dealers to promote gold
to U.S. institutional investors.

quot;During that time we know of 30 separate institutions
that have between them purchased some 200 tonnes of
gold. This represents an investment of some $2 billion,
which may not sound like a great deal in the overall
context of the U.S. market. Nevertheless, if the
practice of allocating a small percentage of a
portfolio into gold became more prevalent, it would
represent a huge increase in demand for gold,quot; said Mr.
Scott-Ram.

quot;We are redoubling our efforts to demonstrate -- using
the most reliable and painstaking research we can find
-- that gold is an effective tool for controlling risk
and protecting portfolios from major stock market
declines,quot; Mr. Scott-Ram said.

The World Gold Council is an international organization
formed and funded by leading gold mining companies from
around the world to monitor and analyze developments in
the gold market and to encourage demand for gold

Contact: Richard Scott-Ram, World Gold Council,
212-317-3840.