þ | Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
¨ | Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
Delaware | 82-0109423 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |
104 S. Michigan Ave., Suite 900 Chicago, Illinois | 60603 | |
(Address of principal executive offices) | (Zip Code) |
Large accelerated filer | þ | Accelerated filer | ¨ | ||
Non-accelerated filer | ¨ | Smaller reporting company | ¨ |
Page | ||
Part I. | ||
Item 1. Financial Statements | ||
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) | ||
Condensed Consolidated Statements of Cash Flows (Unaudited) | ||
Condensed Consolidated Balance Sheets | ||
Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) | ||
Notes to Condensed Consolidated Financial Statements (Unaudited) | ||
Item 4. Controls and Procedures | ||
Part II. | ||
Item 1. Legal Proceedings | ||
Item 1A. Risk Factors | ||
Item 4. Mine Safety Disclosures | ||
Item 6. Exhibits |
Three months ended June 30, | Six months ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Notes | (In thousands, except share data) | |||||||||||||||
Revenue | 3 | $ | 164,562 | $ | 204,525 | $ | 324,195 | $ | 376,322 | |||||||
COSTS AND EXPENSES | ||||||||||||||||
Costs applicable to sales(1) | 3 | 118,687 | 142,386 | 225,583 | 230,444 | |||||||||||
Amortization | 41,422 | 56,894 | 81,849 | 106,589 | ||||||||||||
General and administrative | 9,398 | 15,026 | 23,294 | 25,253 | ||||||||||||
Exploration | 5,153 | 6,774 | 9,370 | 13,615 | ||||||||||||
Litigation settlement | 19 | — | 32,046 | — | 32,046 | |||||||||||
Pre-development, reclamation, and other | 8,760 | 1,817 | 15,775 | 7,163 | ||||||||||||
Total costs and expenses | 183,420 | 254,943 | 355,871 | 415,110 | ||||||||||||
OTHER INCOME (EXPENSE), NET | ||||||||||||||||
Fair value adjustments, net | 9 | (8,282 | ) | 66,754 | (19,717 | ) | 84,550 | |||||||||
Impairment of marketable securities | 12 | (934 | ) | (17,192 | ) | (3,522 | ) | (17,227 | ) | |||||||
Interest income and other, net | (116 | ) | 419 | (2,100 | ) | 4,275 | ||||||||||
Interest expense, net of capitalized interest | 17 | (12,310 | ) | (10,930 | ) | (25,365 | ) | (20,662 | ) | |||||||
Total other income (expense), net | (21,642 | ) | 39,051 | (50,704 | ) | 50,936 | ||||||||||
Income (loss) before income and mining taxes | (40,500 | ) | (11,367 | ) | (82,380 | ) | 12,148 | |||||||||
Income and mining tax (expense) benefit | 7 | (2,621 | ) | (23,673 | ) | 2,068 | (34,918 | ) | ||||||||
NET INCOME (LOSS) | $ | (43,121 | ) | $ | (35,040 | ) | $ | (80,312 | ) | $ | (22,770 | ) | ||||
OTHER COMPREHENSIVE INCOME (LOSS), net of tax: | ||||||||||||||||
Unrealized loss on marketable securities, net of tax of $487 and $253 for the three and six months ended June 30, 2014, respectively | (773 | ) | (7,491 | ) | (401 | ) | (11,057 | ) | ||||||||
Reclassification adjustments for impairment of marketable securities, net of tax of $(362) and $(1,363) for the three and six months ended June 30, 2014, respectively | 572 | 17,192 | 2,159 | 17,227 | ||||||||||||
Reclassification adjustments for realized loss on sale of marketable securities, net of tax of $(10) for the three and six months ended June 30, 2014, respectively | 17 | — | 17 | — | ||||||||||||
Other comprehensive income (loss) | (184 | ) | 9,701 | 1,775 | 6,170 | |||||||||||
COMPREHENSIVE INCOME (LOSS) | $ | (43,305 | ) | $ | (25,339 | ) | $ | (78,537 | ) | $ | (16,600 | ) | ||||
NET INCOME (LOSS) PER SHARE | 8 | |||||||||||||||
Basic | $ | (0.42 | ) | $ | (0.35 | ) | $ | (0.78 | ) | $ | (0.24 | ) | ||||
Diluted | $ | (0.42 | ) | $ | (0.35 | ) | $ | (0.78 | ) | $ | (0.24 | ) |
Three months ended June 30, | Six months ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Notes | (In thousands) | |||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||||||||||
Net income (loss) | $ | (43,121 | ) | $ | (35,040 | ) | $ | (80,312 | ) | (22,770 | ) | |||||
Adjustments: | ||||||||||||||||
Amortization | 41,422 | 56,896 | 81,849 | 106,589 | ||||||||||||
Accretion | 4,502 | 5,380 | 9,093 | 10,840 | ||||||||||||
Deferred income taxes | (3,844 | ) | 12,123 | (15,705 | ) | 19,548 | ||||||||||
Loss on termination of revolving credit facility | — | — | 3,035 | — | ||||||||||||
Fair value adjustments, net | 8,288 | (65,754 | ) | 18,845 | (81,795 | ) | ||||||||||
Litigation settlement | 19 | — | 22,046 | — | 22,046 | |||||||||||
Stock-based compensation | 5 | 2,385 | 1,617 | 4,950 | 2,713 | |||||||||||
(Gain) loss on sale of assets | (48 | ) | (264 | ) | 222 | (1,132 | ) | |||||||||
Impairment of marketable securities | 12 | 934 | 17,192 | 3,522 | 17,227 | |||||||||||
Other | (12 | ) | 234 | (219 | ) | (112 | ) | |||||||||
Changes in operating assets and liabilities: | ||||||||||||||||
Receivables | 4,921 | 4,401 | 10,544 | 8,647 | ||||||||||||
Prepaid expenses and other current assets | 3,551 | 2,930 | (4,558 | ) | 411 | |||||||||||
Inventory and ore on leach pads | 14 | (1,606 | ) | 31,483 | (15,519 | ) | 10,990 | |||||||||
Accounts payable and accrued liabilities | 13,118 | 10,094 | 5,117 | (16,930 | ) | |||||||||||
CASH PROVIDED BY OPERATING ACTIVITIES | 30,490 | 63,338 | 20,864 | 76,272 | ||||||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||||||||||
Capital expenditures | (15,356 | ) | (27,201 | ) | (27,292 | ) | (40,028 | ) | ||||||||
Acquisitions | 11 | (2,250 | ) | (101,648 | ) | (2,250 | ) | (113,214 | ) | |||||||
Purchase of short-term investments and marketable securities | (2,139 | ) | (683 | ) | (48,360 | ) | (5,332 | ) | ||||||||
Sales and maturities of short-term investments | 800 | 1,522 | 890 | 6,344 | ||||||||||||
Other | 12 | 254 | (13 | ) | 1,209 | |||||||||||
CASH USED IN INVESTING ACTIVITIES | (18,933 | ) | (127,756 | ) | (77,025 | ) | (151,021 | ) | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||||||||||
Issuance of notes and bank borrowings | 17 | — | — | 153,000 | 300,000 | |||||||||||
Payments on long-term debt, capital leases, and associated costs | (2,851 | ) | (1,857 | ) | (6,962 | ) | (57,197 | ) | ||||||||
Gold production royalty payments | (12,345 | ) | (15,480 | ) | (27,028 | ) | (30,929 | ) | ||||||||
Share repurchases | — | — | — | (12,557 | ) | |||||||||||
Other | (160 | ) | (25 | ) | (406 | ) | (477 | ) | ||||||||
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | (15,356 | ) | (17,362 | ) | 118,604 | 198,840 | ||||||||||
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | (3,799 | ) | (81,780 | ) | 62,443 | 124,091 | ||||||||||
Cash and cash equivalents at beginning of period | 272,932 | 331,311 | 206,690 | 125,440 | ||||||||||||
Cash and cash equivalents at end of period | $ | 269,133 | $ | 249,531 | $ | 269,133 | $ | 249,531 |
June 30, 2014 (Unaudited) | December 31, 2013 | ||||||||
ASSETS | Notes | (In thousands, except share data) | |||||||
CURRENT ASSETS | |||||||||
Cash and cash equivalents | $ | 269,133 | $ | 206,690 | |||||
Investments | 12 | 47,642 | — | ||||||
Receivables | 13 | 68,693 | 81,074 | ||||||
Ore on leach pads | 44,964 | 50,495 | |||||||
Inventory | 14 | 137,644 | 132,023 | ||||||
Deferred tax assets | 7 | 35,079 | 35,008 | ||||||
Prepaid expenses and other | 23,593 | 25,940 | |||||||
626,748 | 531,230 | ||||||||
NON-CURRENT ASSETS | |||||||||
Property, plant and equipment, net | 15 | 482,787 | 486,273 | ||||||
Mining properties, net | 16 | 1,728,667 | 1,751,501 | ||||||
Ore on leach pads | 46,956 | 31,528 | |||||||
Restricted assets | 7,510 | 7,014 | |||||||
Marketable securities | 12 | 13,761 | 14,521 | ||||||
Receivables | 13 | 38,424 | 36,574 | ||||||
Debt issuance costs, net | 11,031 | 10,812 | |||||||
Deferred tax assets | 7 | 808 | 1,189 | ||||||
Other | 10,830 | 15,336 | |||||||
TOTAL ASSETS | $ | 2,967,522 | $ | 2,885,978 | |||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||
CURRENT LIABILITIES | |||||||||
Accounts payable | $ | 49,651 | $ | 53,847 | |||||
Accrued liabilities and other | 40,632 | 38,266 | |||||||
Debt | 17 | 11,565 | 2,505 | ||||||
Royalty obligations | 9,10 | 51,087 | 48,019 | ||||||
Reclamation | 4 | 752 | 913 | ||||||
Deferred tax liabilities | 7 | 1,858 | 1,011 | ||||||
155,545 | 144,561 | ||||||||
NON-CURRENT LIABILITIES | |||||||||
Debt | 17 | 468,570 | 306,130 | ||||||
Royalty obligations | 9,10 | 58,505 | 65,142 | ||||||
Reclamation | 4 | 59,757 | 57,515 | ||||||
Deferred tax liabilities | 7 | 540,232 | 556,246 | ||||||
Other long-term liabilities | 28,280 | 25,817 | |||||||
1,155,344 | 1,010,850 | ||||||||
STOCKHOLDERS’ EQUITY | |||||||||
Common stock, par value $0.01 per share; authorized 150,000,000 shares, issued and outstanding 103,485,960 at June 30, 2014 and 102,843,003 at December 31, 2013 | 1,034 | 1,028 | |||||||
Additional paid-in capital | 2,785,761 | 2,781,164 | |||||||
Accumulated other comprehensive income (loss) | (3,131 | ) | (4,906 | ) | |||||
Accumulated deficit | (1,127,031 | ) | (1,046,719 | ) | |||||
1,656,633 | 1,730,567 | ||||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 2,967,522 | $ | 2,885,978 |
(In thousands) | Common Stock Shares | Common Stock Par Value | Additional Paid- In Capital | Accumulated Deficit | Accumulated Other Comprehensive Loss | Total | ||||||||||||||||
Balances at December 31, 2013 | 102,843 | $ | 1,028 | $ | 2,781,164 | $ | (1,046,719 | ) | $ | (4,906 | ) | $ | 1,730,567 | |||||||||
Net income (loss) | — | — | — | (80,312 | ) | — | (80,312 | ) | ||||||||||||||
Other comprehensive income (loss) | — | — | — | — | 1,775 | 1,775 | ||||||||||||||||
Common stock issued under stock-based compensation plans, net | 643 | 6 | 4,597 | — | — | 4,603 | ||||||||||||||||
Balances at June 30, 2014 (Unaudited) | 103,486 | $ | 1,034 | $ | 2,785,761 | $ | (1,127,031 | ) | $ | (3,131 | ) | $ | 1,656,633 |
NOTE 1 - | BASIS OF PRESENTATION |
Three months ended June 30, 2014 | Palmarejo Mine | San Bartolomé Mine | Kensington Mine | Rochester Mine | La Preciosa | Coeur Capital | Other | Total | |||||||||||||||||||||||
Revenue | |||||||||||||||||||||||||||||||
Metal sales | $ | 72,446 | $ | 29,078 | $ | 29,018 | $ | 31,193 | $ | — | $ | 1,971 | $ | — | $ | 163,706 | |||||||||||||||
Royalties | — | — | — | — | — | 856 | — | 856 | |||||||||||||||||||||||
72,446 | 29,078 | 29,018 | 31,193 | — | 2,827 | — | 164,562 | ||||||||||||||||||||||||
Costs and Expenses | |||||||||||||||||||||||||||||||
Costs applicable to sales(1) | 49,551 | 20,695 | 23,218 | 24,381 | — | 842 | — | 118,687 | |||||||||||||||||||||||
Amortization | 18,044 | 4,855 | 11,566 | 5,025 | 22 | 1,419 | 491 | 41,422 | |||||||||||||||||||||||
Exploration | 1,637 | 57 | 1,636 | 738 | 26 | 109 | 950 | 5,153 | |||||||||||||||||||||||
Other operating expenses | 325 | 194 | 199 | 844 | 5,711 | 263 | 10,622 | 18,158 | |||||||||||||||||||||||
Other income (expense) | |||||||||||||||||||||||||||||||
Interest income and other, net | (1,202 | ) | 691 | 4 | 32 | 118 | (964 | ) | 271 | (1,050 | ) | ||||||||||||||||||||
Interest expense, net | (2,771 | ) | (11 | ) | (53 | ) | (261 | ) | — | — | (9,214 | ) | (12,310 | ) | |||||||||||||||||
Fair value adjustments, net | (4,989 | ) | — | — | (1,837 | ) | — | — | (1,456 | ) | (8,282 | ) | |||||||||||||||||||
Income and mining tax (expense) benefit | 1,342 | (2,204 | ) | — | (419 | ) | (1,159 | ) | 263 | (444 | ) | (2,621 | ) | ||||||||||||||||||
Net income (loss) | $ | (4,731 | ) | $ | 1,753 | $ | (7,650 | ) | $ | (2,280 | ) | $ | (6,800 | ) | $ | (507 | ) | $ | (22,906 | ) | $ | (43,121 | ) | ||||||||
Segment assets(2) | $ | 1,133,851 | $ | 309,565 | $ | 331,151 | $ | 206,665 | $ | 412,226 | $ | 67,864 | $ | 110,406 | $ | 2,571,728 | |||||||||||||||
Capital expenditures | $ | 5,589 | $ | 1,711 | $ | 3,989 | $ | 3,956 | $ | 3 | $ | — | $ | 108 | $ | 15,356 |
Three months ended June 30, 2013 | Palmarejo Mine | San Bartolomé Mine | Kensington Mine | Rochester Mine | La Preciosa | Coeur Capital | Other | Total | |||||||||||||||||||||||
Revenue | |||||||||||||||||||||||||||||||
Metal sales | $ | 86,217 | $ | 49,236 | $ | 30,851 | $ | 34,903 | $ | — | $ | 3,479 | $ | (161 | ) | $ | 204,525 | ||||||||||||||
Royalties | — | — | — | — | — | — | — | — | |||||||||||||||||||||||
$ | 86,217 | $ | 49,236 | $ | 30,851 | $ | 34,903 | $ | — | $ | 3,479 | $ | (161 | ) | $ | 204,525 | |||||||||||||||
Costs and Expenses | |||||||||||||||||||||||||||||||
Costs applicable to sales(1) | 55,218 | 32,815 | 30,154 | 22,516 | — | 1,683 | — | 142,386 | |||||||||||||||||||||||
Amortization | 35,384 | 4,824 | 13,159 | 1,989 | 2 | 1,224 | 312 | 56,894 | |||||||||||||||||||||||
Exploration | 3,189 | 27 | 563 | 512 | 690 | 322 | 1,471 | 6,774 | |||||||||||||||||||||||
Litigation settlement | — | — | — | 32,046 | — | — | — | 32,046 | |||||||||||||||||||||||
Other operating expenses | 173 | 117 | 236 | 2,466 | — | (191 | ) | 14,042 | 16,843 | ||||||||||||||||||||||
Other income (expense) | |||||||||||||||||||||||||||||||
Interest income and other, net | (428 | ) | 683 | 150 | — | (11 | ) | 91 | (17,258 | ) | (16,773 | ) | |||||||||||||||||||
Interest expense, net | (4,190 | ) | (14 | ) | (95 | ) | (5 | ) | — | — | (6,626 | ) | (10,930 | ) | |||||||||||||||||
Fair value adjustments, net | 61,066 | — | 6,350 | — | — | — | (662 | ) | 66,754 | ||||||||||||||||||||||
Income and mining tax (expense) benefit | (17,282 | ) | (4,506 | ) | — | (538 | ) | — | (191 | ) | (1,156 | ) | (23,673 | ) | |||||||||||||||||
Net income (loss) | $ | 31,419 | $ | 7,616 | $ | (6,856 | ) | $ | (25,169 | ) | $ | (703 | ) | $ | 341 | $ | (41,688 | ) | $ | (35,040 | ) | ||||||||||
Segment assets(2) | $ | 1,860,240 | $ | 286,325 | $ | 485,215 | $ | 122,917 | $ | 409,458 | $ | 31,493 | $ | 108,954 | $ | 3,304,602 | |||||||||||||||
Capital expenditures | $ | 9,166 | $ | 3,159 | $ | 7,406 | $ | 6,596 | $ | 735 | $ | — | $ | 139 | $ | 27,201 |
Six months ended June 30, 2014 | Palmarejo Mine | San Bartolomé Mine | Kensington Mine | Rochester Mine | La Preciosa | Coeur Capital | Other | Total | |||||||||||||||||||||||
Revenue | |||||||||||||||||||||||||||||||
Metal sales | $ | 140,434 | $ | 56,632 | $ | 65,079 | $ | 55,347 | $ | — | $ | 4,860 | $ | — | $ | 322,352 | |||||||||||||||
Royalties | — | — | — | — | — | 1,843 | — | 1,843 | |||||||||||||||||||||||
140,434 | 56,632 | 65,079 | 55,347 | — | 6,703 | — | 324,195 | ||||||||||||||||||||||||
Costs and Expenses | |||||||||||||||||||||||||||||||
Costs applicable to sales(1) | 93,126 | 39,595 | 51,749 | 39,089 | — | 2,024 | — | 225,583 | |||||||||||||||||||||||
Amortization | 36,702 | 9,313 | 22,275 | 9,476 | 41 | 3,121 | 921 | 81,849 | |||||||||||||||||||||||
Exploration | 2,642 | 82 | 2,680 | 1,912 | 210 | 312 | 1,532 | 9,370 | |||||||||||||||||||||||
Other operating expenses | 622 | 335 | 390 | 2,189 | 10,668 | 504 | 24,361 | 39,069 | |||||||||||||||||||||||
Other income (expense) | |||||||||||||||||||||||||||||||
Interest income and other, net | (2,772 | ) | 1,373 | 4 | 51 | (17 | ) | (3,512 | ) | (749 | ) | (5,622 | ) | ||||||||||||||||||
Interest expense, net | (5,595 | ) | (31 | ) | (75 | ) | (266 | ) | — | — | (19,398 | ) | (25,365 | ) | |||||||||||||||||
Fair value adjustments, net | (15,225 | ) | — | — | (2,510 | ) | — | — | (1,982 | ) | (19,717 | ) | |||||||||||||||||||
Income and mining tax (expense) benefit | 5,171 | (4,969 | ) | — | (419 | ) | (1,271 | ) | (25 | ) | 3,581 | 2,068 | |||||||||||||||||||
Net income (loss) | $ | (11,079 | ) | $ | 3,680 | $ | (12,086 | ) | $ | (463 | ) | $ | (12,207 | ) | $ | (2,795 | ) | $ | (45,362 | ) | $ | (80,312 | ) | ||||||||
Segment assets(2) | $ | 1,133,851 | $ | 309,565 | $ | 331,151 | $ | 206,665 | $ | 412,226 | $ | 67,864 | $ | 110,406 | $ | 2,571,728 | |||||||||||||||
Capital expenditures | $ | 9,331 | $ | 3,152 | $ | 8,700 | $ | 4,915 | $ | 141 | $ | — | $ | 1,053 | $ | 27,292 |
Six months ended June 30, 2013 | Palmarejo Mine | San Bartolomé Mine | Kensington Mine | Rochester Mine | La Preciosa | Coeur Capital | Other | Total | |||||||||||||||||||||||
Revenue | |||||||||||||||||||||||||||||||
Metal sales | $ | 143,643 | $ | 82,377 | $ | 70,126 | $ | 74,377 | $ | — | $ | 6,461 | $ | (662 | ) | $ | 376,322 | ||||||||||||||
Royalties | — | — | — | — | — | — | — | — | |||||||||||||||||||||||
143,643 | 82,377 | 70,126 | 74,377 | — | 6,461 | (662 | ) | 376,322 | |||||||||||||||||||||||
Costs and Expenses | |||||||||||||||||||||||||||||||
Costs applicable to sales(1) | 81,937 | 48,494 | 53,718 | 43,293 | — | 3,002 | — | 230,444 | |||||||||||||||||||||||
Amortization | 64,166 | 9,464 | 26,445 | 3,842 | 2 | 2,052 | 618 | 106,589 | |||||||||||||||||||||||
Exploration | 5,170 | 79 | 1,235 | 996 | 690 | 630 | 4,815 | 13,615 | |||||||||||||||||||||||
Litigation | — | — | — | 32,046 | — | — | — | 32,046 | |||||||||||||||||||||||
Other operating expenses | 341 | 3,954 | 412 | 2,938 | — | (245 | ) | 25,016 | 32,416 | ||||||||||||||||||||||
Other income (expense) | |||||||||||||||||||||||||||||||
Interest income and other, net | 1,514 | 1,288 | 281 | 57 | (11 | ) | 138 | (16,219 | ) | (12,952 | ) | ||||||||||||||||||||
Interest expense, net | (7,928 | ) | (46 | ) | (354 | ) | (11 | ) | — | — | (12,323 | ) | (20,662 | ) | |||||||||||||||||
Fair value adjustments, net | 75,494 | — | 10,577 | — | — | — | (1,521 | ) | 84,550 | ||||||||||||||||||||||
Income and mining tax (expense) benefit | (20,816 | ) | (8,834 | ) | (1 | ) | (1,264 | ) | — | (245 | ) | (3,758 | ) | (34,918 | ) | ||||||||||||||||
Net income (loss) | $ | 40,293 | $ | 12,794 | $ | (1,181 | ) | $ | (9,956 | ) | $ | (703 | ) | $ | 915 | $ | (64,932 | ) | $ | (22,770 | ) | ||||||||||
Segment assets(2) | $ | 1,860,240 | $ | 286,325 | $ | 485,215 | $ | 122,917 | $ | 409,458 | $ | 31,493 | $ | 108,954 | $ | 3,304,602 | |||||||||||||||
Capital expenditures | $ | 14,480 | $ | 3,616 | $ | 10,736 | $ | 9,894 | $ | 735 | $ | — | $ | 567 | $ | 40,028 |
(in thousands) | June 30, 2014 | December 31, 2013 | |||||
Assets | |||||||
Total assets for reportable segments | $ | 2,571,728 | $ | 2,595,408 | |||
Cash and cash equivalents | 269,133 | 206,690 | |||||
Short term investments | 47,642 | — | |||||
Other assets | 79,019 | 83,880 | |||||
Total consolidated assets | $ | 2,967,522 | $ | 2,885,978 |
(in thousands) | June 30, 2014 | December 31, 2013 | |||||
Long Lived Assets | |||||||
United States | $ | 387,617 | $ | 384,626 | |||
Australia | 23,858 | 25,668 | |||||
Argentina | 94,495 | 94,705 | |||||
Bolivia | 228,606 | 235,085 | |||||
Mexico | 1,461,228 | 1,487,228 | |||||
Other Foreign Countries | 15,650 | 10,462 | |||||
Total | $ | 2,211,454 | $ | 2,237,774 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||
Revenue | |||||||||||||||
United States | $ | 60,212 | $ | 65,754 | $ | 120,427 | $ | 144,502 | |||||||
Mexico | 72,657 | 86,217 | 141,167 | 143,643 | |||||||||||
Bolivia | 29,078 | 49,236 | 56,632 | 82,377 | |||||||||||
Australia | 1,971 | 3,479 | 4,860 | 6,462 | |||||||||||
Other | 644 | (161 | ) | $ | 1,109 | $ | (662 | ) | |||||||
Total | $ | 164,562 | $ | 204,525 | $ | 324,195 | $ | 376,322 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||
Asset retirement obligation - Beginning | $ | 58,460 | $ | 35,197 | $ | 57,454 | $ | 34,457 | |||||||
Accretion | 1,435 | 758 | 2,752 | 1,500 | |||||||||||
Settlements | (100 | ) | (377 | ) | (411 | ) | (379 | ) | |||||||
Asset retirement obligation - Ending | $ | 59,795 | $ | 35,578 | $ | 59,795 | $ | 35,578 |
Grant date | Restricted stock | Grant date fair value of restricted stock | Stock options | Grant date fair value of stock options | Performance shares | Grant date fair value of performance shares | |||||||||||||||
January 17, 2014 | 243,351 | $ | 11.12 | 32,417 | $ | 4.39 | 345,833 | $ | 12.65 | ||||||||||||
March 26, 2014 | 435,208 | $ | 9.31 | 382,755 | $ | 3.74 | — | $ | — |
Award Type | Number of Exercised Units | Weighted Average Exercised Price | Number of Exercisable Units | Weighted Average Exercisable Price | ||||||||||
Options | — | $ | — | 256,927 | $ | 28.91 | ||||||||
Stock Appreciation Rights | — | $ | — | 50,209 | $ | 14.15 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||
(in thousands) | Income (loss) before tax | Tax (expense) benefit | Income (loss) before tax | Tax (expense) benefit | Income (loss) before tax | Tax (expense) benefit | Income (loss) before tax | Tax (expense) benefit | |||||||||||||||||||
United States | $ | (31,370 | ) | $ | (146 | ) | $ | (67,824 | ) | $ | (1,329 | ) | $ | (60,214 | ) | $ | (292 | ) | $ | (61,896 | ) | $ | (4,541 | ) | |||
Argentina | (688 | ) | (349 | ) | (2,989 | ) | (117 | ) | (2,892 | ) | 4,083 | (6,981 | ) | (44 | ) | ||||||||||||
Mexico | (12,710 | ) | 107 | 47,214 | (15,798 | ) | (28,716 | ) | 3,828 | 58,756 | (19,471 | ) | |||||||||||||||
Bolivia | 3,957 | (2,205 | ) | 12,122 | (4,556 | ) | 8,649 | (4,969 | ) | 21,628 | (8,884 | ) | |||||||||||||||
Other jurisdictions | 311 | (28 | ) | 110 | (1,873 | ) | 793 | (582 | ) | 641 | (1,978 | ) | |||||||||||||||
$ | (40,500 | ) | $ | (2,621 | ) | $ | (11,367 | ) | $ | (23,673 | ) | $ | (82,380 | ) | $ | 2,068 | $ | 12,148 | $ | (34,918 | ) |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||
In thousands except per share amounts | 2014 | 2013 | 2014 | 2013 | |||||||||||
Net income (loss) available to common stockholders | $ | (43,121 | ) | $ | (35,040 | ) | $ | (80,312 | ) | $ | (22,770 | ) | |||
Weighted average shares: | |||||||||||||||
Basic | 102,444 | 99,833 | 102,405 | 94,918 | |||||||||||
Effect of share based compensation plans | — | — | — | — | |||||||||||
Diluted | 102,444 | 99,833 | 102,405 | 94,918 | |||||||||||
Income (loss) per share: | |||||||||||||||
Basic | $ | (0.42 | ) | $ | (0.35 | ) | $ | (0.78 | ) | $ | (0.24 | ) | |||
Diluted | $ | (0.42 | ) | $ | (0.35 | ) | $ | (0.78 | ) | $ | (0.24 | ) |
Three months ended March 31, | Six months ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Palmarejo royalty obligation embedded derivative | $ | (5,061 | ) | $ | 61,066 | $ | (15,296 | ) | $ | 75,495 | ||||||
Rochester net smelter royalty obligation | (1,837 | ) | — | (2,510 | ) | — | ||||||||||
Silver and gold options | (1,374 | ) | 6,350 | (2,868 | ) | 10,577 | ||||||||||
Foreign exchange contracts | (10 | ) | (662 | ) | 957 | (1,522 | ) | |||||||||
Fair value adjustments, net | $ | (8,282 | ) | $ | 66,754 | $ | (19,717 | ) | $ | 84,550 |
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; |
Level 2 | Quoted market prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and |
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). |
Fair Value at June 30, 2014 | |||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Assets: | |||||||||||||||
Short-term investments | $ | 47,642 | $ | 47,642 | $ | — | $ | — | |||||||
Marketable equity securities | 13,761 | 13,761 | — | — | |||||||||||
Silver and gold options | 1,298 | — | 1,298 | — | |||||||||||
Other derivative instruments, net | 240 | — | 240 | — | |||||||||||
$ | 62,941 | $ | 61,403 | $ | 1,538 | $ | — | ||||||||
Liabilities: | |||||||||||||||
Palmarejo royalty obligation embedded derivative | $ | 43,960 | $ | — | $ | — | $ | 43,960 | |||||||
Rochester net smelter royalty obligation | 23,656 | — | — | 23,656 | |||||||||||
Silver and gold options | 291 | — | 291 | — | |||||||||||
$ | 67,907 | $ | — | $ | 291 | $ | 67,616 |
Fair Value at December 31, 2013 | |||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Assets: | |||||||||||||||
Marketable equity securities | $ | 14,521 | $ | 14,521 | $ | — | $ | — | |||||||
Silver and gold options | 135 | — | 135 | — | |||||||||||
$ | 14,656 | $ | 14,521 | $ | 135 | $ | — | ||||||||
Liabilities: | |||||||||||||||
Palmarejo royalty obligation embedded derivative | $ | 40,338 | $ | — | $ | — | $ | 40,338 | |||||||
Rochester net smelter royalty obligation | 21,630 | — | — | 21,630 | |||||||||||
Other derivative instruments, net | 1,591 | — | 1,591 | — | |||||||||||
$ | 63,559 | $ | — | $ | 1,591 | $ | 61,968 |
Three months ended June 30, 2014 | |||||||||||||||
Balance at the beginning of the period | Revaluation | Settlements | Balance at the end of the period | ||||||||||||
Palmarejo royalty obligation embedded derivative | $ | 44,357 |