IAMGOLD Announces Fourth Quarter and 2008 Year-End Results

Market Wire, February, 2009

IAMGOLD Corporation (TSX: IMG)(NYSE: IAG)(BOTSWANA: IAMGOLD) -

All dollar amounts are expressed in US dollars, unless otherwise indicated. This press release contains unaudited numbers.

2008 HIGHLIGHTS

- Record gold production of 997,000 ounces exceeds January 2008 original projection by 8%. Cash costs (1) for 2008 were $459 per ounce and in line with January 2008 guidance.

- Record revenues of $869.6 million, a 28% increase over the prior year. Fourth quarter revenues reached $209.6 million, an 8% increase over the same quarter of 2007.

- Operating cash flow for 2008 more than doubled to $254.5 million ($0.86 per share). Operating cash flow during the fourth quarter of 2008 was $65.2 million ($0.22 per share) compared to $56.6 million in the fourth quarter of 2007.

- Commitment of "ZERO HARM" to employees, communities and environment demonstrated by a 24% reduction in total accident frequency, zero fatality and no significant impact to communities and the environment.

- Adjusted net earnings(2) climbed 87% for the full year of 2008 to $107.5 million ($0.36 per share). Net loss for the full year was $9.9 million ($0.03 per share) including a non-cash impairment charge of $117.4 million (net of income taxes) primarily related to the Buckreef project in Tanzania. The net loss in 2007 was $42.1 million ($0.14 per share) including an impairment charge of $99.6 million for the Mupane property.

- Fourth quarter adjusted net earnings(2) were $16.4 million ($0.06 per share), 14% higher than the same quarter of 2007. The net loss for the fourth quarter of 2008 was $96.4 million ($0.33 per share) compared to net earnings of $8.5 million ($0.03 per share) in the fourth quarter of 2007.

- Financial position remains very strong at year end with cash and cash equivalents (net of bank debt) and gold bullion at market of $219 million, together with availability under a line of credit of $80 million.

- Announced eighth straight annual dividend - $0.06 per share totaling $17.7 million.

- Announced acquisition of Orezone Resources Inc. (Essakane project), one of West Africa's largest undeveloped gold properties. The transaction is expected to close on February 25, 2009.

- Gold reserves increased by 20% or 1.6 million ounces to 9.6 million ounces, which more than replaces the depletion in 2008. A further 3.1 million ounces will be added to reserves with the Orezone Resources Inc. acquisition. Niobium reserves increased by 36% to 137,800 tonnes of contained Nb2O5 representing an 18 year mine life at current production rates.

- The Company acquired 84.55% of the common shares of Euro Ressources S.A. - cost reduction focus driving down per ounce royalty cost at the Rosebel mine by $40-$50 based on recent gold prices.

CEO COMMENTARY

"2008 was an outstanding year in terms of operational results achieving record revenues and record operating cash flow. Gold production exceeded guidance for 2008 while cash costs were on plan. We are very proud of the safety performance achieved by employees in 2008. IAMGOLD has taken the next step to establish itself as a high quality operator with a strong and effective management team. The acquisition in early 2009 of the Essakane property in West Africa will expand our resource base and further demonstrate the Company's expertise in construction and development, in a region where we have been engaged for nearly 20 years. Management continues to evaluate additional opportunities to maximize the Company's growth potential and shareholder value," stated Joseph Conway, President & CEO.

SUMMARIZED FINANCIAL RESULTS

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(in $ millions, except where noted)               Three months         Year
                                                         ended        ended
                                                   December 31, December 31,
(unaudited)                                        2008   2007  2008   2007
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                                                      $      $     $      $
Results of Operations
Revenues                                          209.6  194.2 869.6  678.1
Mining costs                                      100.1  114.2 451.8  426.5
Depreciation, depletion and amortization           41.0   38.1 169.6  117.6
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Earnings from mining operations                    68.5   42.0 248.2  134.1
Earnings from working interests                     1.7    7.9  24.3   25.4
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Total earnings from operations and working
 interests(4)                                      70.2   49.9 272.5  159.5
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Net earnings (loss)                               (96.4)   8.5  (9.9) (42.1)
Impairment charges (net of related income taxes)  112.8    5.9 117.4   99.6
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Adjusted net earnings(2)                           16.4   14.4 107.5   57.5
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Basic and diluted net earnings (loss) per share
 ($/share)                                        (0.33)  0.03 (0.03) (0.14)
Adjusted basic and diluted net earnings per
 share(2) ($/share)                                0.06   0.05  0.36   0.20
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Cash Flows
Operating cash flow                                65.2   56.6 254.5  117.1
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Gold sales (including working interests)
Gold sales (000oz - IMG share)                      253    244   997    962
Average realized gold price ($/oz)                  793    787   855    693
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