Goldcorp Inc.

Goldcorp Inc.

August 25, 2006 16:09 ET

Goldcorp Recommends Rejection of Mini-Tender Offer by TRC Capital Corporation

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 25, 2006) - GOLDCORP INC. (TSX:G)(NYSE:GG) announced that it has received a copy of an unsolicited below market "mini-tender" offer made by TRC Capital Corporation, pursuant to which TRC Capital has offered to purchase up to 3,000,000, or approximately 0.72 percent, of the outstanding common shares of Goldcorp. The offer price of C$32.00 per common share represents a 2 percent discount to the C$32.74 closing price for Goldcorp's common shares on the Toronto Stock Exchange on August 16, 2006, the day before the offer was made, and a 5 percent discount to yesterday's closing price for Goldcorp's common shares on the TSX which was C$33.60.

Goldcorp recommends that its shareholders reject this unsolicited offer. Goldcorp wishes to inform its shareholders that it is not associated with TRC Capital, the offer or the offer documentation.

TRC Capital has made numerous unsolicited "mini-tender" offers for shares of other companies. "Mini-tender" offers are offers to purchase a small percentage of a company's shares, thereby avoiding most of the filing, disclosure and procedural requirements of Canadian and United States federal security legislation.

Securities regulators in the United States and Canada have recommended that shareholders exercise caution in connection with mini-tender offers and that they consult their investment advisors regarding these types of offers. The U.S. Securities and Exchange Commission has published investor tips regarding mini-tender offers on its website at: Comments from the Canadian Securities Administrators on mini-tenders can be found under Staff Notice 61-301 at:

Goldcorp advises shareholders to consult their financial advisors and to exercise caution with this offer. Goldcorp understands that shareholders who have already tendered to the offer may withdraw their common shares by providing the written notice described in the TRC Capital offering document prior to the expiration of the offer.

Goldcorp is one of the world's lowest-cost and fastest growing multi-million ounce gold producers with operations throughout the Americas and Australia. Gold production in 2006 is expected to be approximately 1.8 million ounces on an annualized basis, at total cash cost of less than US$100 an ounce. In the second half of 2006, production is expected to be 950,000 ounces. The Company does not hedge its gold production.

Cautionary Note Regarding Forward-Looking Statements

Safe Harbor Statement under the United States Private Securities Litigation Reform Act of 1995: Except for the statements of historical fact contained herein, the information presented constitutes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements, including but not limited to those with respect to the price of gold, silver and copper, the timing and amount of estimated future production, costs of production, reserve determination and reserve conversion rates involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Goldcorp to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, risks related to the integration of acquisitions, risks related to international operations, risks related to joint venture operations, the actual results of current exploration activities, actual results of current reclamation activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future prices of gold, silver and copper, as well as those factors discussed in the section entitled "General Development of the Business - Risks of the Business" in Goldcorp's Form 40-F on file with the Securities and Exchange Commission in Washington, D.C. and Goldcorp's Annual Information Form on file with the securities regulatory authorities in Canada. Although Goldcorp has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

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