Coeur d'Alene Mines Corporation (NYSE:CDE) (TSX:CDM) produced
4.9 million ounces of silver and 43,901 ounces of gold in the first
quarter of 2012, which resulted in $204.6 million in sales and
$93.8 million in operating cash flow1 during the first quarter of
2012.
First Quarter Highlights:
- Net metal sales totaled $204.6 million,
3% higher than the first quarter of 2011.
- Silver production totaled 4.9 million
ounces, 19% higher than last year's first quarter, and gold
production totaled 43,901 ounces.
- Cash operating costs1 decreased 25% to
$6.29 per silver ounce.
- Silver and gold sales totaled 4.3
million ounces and 38,884 ounces, respectively.
- Operating cash flow1 increased 4% to
$93.8 million.2
- General and administrative expenses
decreased 38%.
- Adjusted earnings1 totaled $41.5
million, or $0.46 per share, an 11% increase over the first quarter
of 2011.3
- Average realized prices were $32.61 per
ounce for silver and $1,702 per ounce for gold, 4% and 24% higher,
respectively, than the first quarter of 2011.
- Cash, cash equivalents, and short-term
investments totaled $153.2 million4 as of March 31.
“The first quarter operating and financial results reflect a
solid start to 2012. We are particularly pleased that full
production has resumed two months ahead of schedule at Kensington,”
said Mitchell J. Krebs, Coeur's President and Chief Executive
Officer. “Despite cost pressures throughout our industry, we are
proud to have reduced cash operating costs1 per ounce by 25% in the
first quarter compared to the same period last year. In addition,
we experienced a 38% reduction in our general and administrative
costs. Our 2012 production guidance of 18.5 - 20.0 million ounces
of silver and 210,000 - 230,000 ounces of gold remains unchanged.
With silver and gold prices remaining resilient, we are on-track
for a robust second quarter and full-year 2012 performance.”
Mr. Krebs continued, “Palmarejo remains our largest producer and
cash flow contributor and posted a strong first quarter. San
Bartolomé performed consistently in the first quarter and
successfully operated above the 4,400 meter level during most of
the quarter. The first quarter marked Rochester's initial three
months of operation since resuming active mining in December. We
expect production at Rochester to increase each quarter of 2012 as
more material is added to the new leach pad. With Kensington now
completing several critical projects, the focus will turn to
achieving sustainable production levels and reducing costs. With
Kensington and Rochester reaching operational consistency, all four
of our major long-lived mines are expected to contribute to strong
second quarter and full-year performance.”
1.
EBITDA, operating cash flow, adjusted
earnings and cash operating costs are non-GAAP measures. Please see
tables in the Appendix for reconciliation to U.S. GAAP. Total debt
includes short and long-term indebtedness and excludes capital
leases and royalty obligations.
2.
Net cash provided by operating activities
for the first quarter was $17.0 million compared with $35.8 million
for the same time period in 2011. This decrease is primarily the
result of a significant tax payment in Bolivia and an increase in
inventory due to timing differences between ounces produced and
ounces sold.
3.
The Company's U.S. GAAP earnings were
negatively impacted by a $23.1 million fair value adjustment, which
resulted in net income of $4.0 million, or $0.04 per share, for the
first quarter of 2012 compared to net income of $12.5 million, or
$0.14 per share, in the first quarter of 2011.
4.
Excludes marketable securities of $20.3
million.
Table 1:
Financial Highlights (Unaudited)
US$ in millions (except price of silver and gold)
1Q 2012 1Q 2011
QuarterVariance
Sales of Metal $ 204.6 $ 199.6 3
%
Production Costs $ 92.6 $ 92.5
—
%
EBITDA (1) $ 96.8 $ 88.6 9 %
Adjusted Earnings (1) $ 41.5 $ 37.5 11
%
Adjusted Earnings Per Share(1) $ 0.46
$ 0.42 10 %
Net Income $ 4.0 $ 12.5
(68
)
%
EPS $ 0.04 $ 0.14
(71
)
%
Operating Cash Flow (1) $ 93.8 $ 90.1 4
%
Capital Expenditures $ 31.6 $ 15.9 99 %
Cash and Equivalents $ 151.9 $ 64.4 136 %
Total Debt (1) $ 122.0 $ 168.0
(27
)
%
Weighted Average Shares Issued & Outstanding
89.6
89.3
— %
Avg. Realized Price - Silver $ 32.61 $
31.27 4 %
Avg. Realized Price - Gold $ 1,702 $
1,374 24 %
Net metal sales were slightly higher in the first quarter of
2012 than in the first quarter of 2011. This is due largely to
higher silver and gold realized prices and increased silver ounces
sold, offset by fewer gold ounces sold due to the temporary
curtailment of production at Kensington. Silver contributed 68% of
the Company's total metal sales during the first quarter of 2012
compared to 56% during the first quarter of 2011.
First quarter production costs of $92.6 million were flat
compared to last year's first quarter. General and administrative
expenses decreased by $4.6 million, or 38%, from $12.2 million to
$7.6 million as compared to the first quarter of 2011. The decrease
was primarily caused by lower stock-based compensation expense.
Coeur reports a non-U.S. GAAP metric of adjusted earnings1 as a
measure of operating income, which excludes non-cash fair value
adjustments, other non-cash adjustments, deferred taxes and
discontinued operations. First quarter 2012 adjusted earnings1 were
$41.5 million, or $0.46 per share, which was 11% higher than
adjusted earnings in the first quarter of 2011 of $37.5 million, or
$0.42 per share. On a U.S. GAAP basis, the Company realized net
income of $4.0 million, or $0.04 per share, in the first quarter
compared with net income of $12.5 million, or $0.14 per share, in
the first quarter of 2011. The first quarter net income was
impacted by fair value adjustments that decreased net income by
$23.1 million. These fair value adjustments are driven primarily by
higher gold prices which increased the estimated future liabilities
related to a gold royalty obligation at Palmarejo. Net income was
also impacted by higher exploration expense and significantly
higher income tax expense.
Prior to changes in working capital, Coeur generated operating
cash flow1 of $93.8 million during the first quarter of 2012,
slightly higher than a year ago. Changes in working capital
consumed $76.8 million during the first quarter driven primarily by
a significant tax payment in Bolivia and an increase in inventory
due to timing differences between ounces produced and ounces sold.
After working capital changes, the Company generated cash flow from
operations of $17.0 million during the first quarter of 2012
compared to $35.8 million during the first quarter of 2011.
Capital expenditures totaled $31.6 million during the first
quarter. Capital expenditures of $10.9 million were incurred at
Kensington for the construction of the paste backfill plant,
surface construction projects and underground development. San
Bartolomé incurred $10.2 million of capital expenditures for
tailings facility construction. Palmarejo incurred $7.2 million of
capital expenditures most of which was for construction work at its
tailings facility.
1.
EBITDA, operating cash flow, adjusted
earnings and cash operating costs are non-GAAP measures. Please see
tables in the Appendix for reconciliation to U.S. GAAP. Total debt
includes short and long-term indebtedness and excludes capital
leases and royalty obligations.
Cash, cash equivalents, and short-term investments totaled
$153.2 million at March 31, 2012 and stood at approximately $175.0
million as of April 30, 2012. Shares outstanding remained steady at
89.9 million.
Table 2:
Operational Highlights: Production
(silver ounces in thousands) 1Q 2012
1Q 2011
QuarterVariance
Silver Gold
Silver Gold Silver Gold
Palmarejo 2,483 31,081
1,730 27,759 44 %
12 %
San Bartolomé 1,591 — 1,711 — (7
) %
n.a.
Rochester 441 5,292 334 1,451 32 % 265 %
Martha 123 84 180 244 (32
) %
(66
) %
Kensington — 7,444 — 23,676 n.a. (69
) %
Endeavor 248 — 149
— 66 % n.a.
Total
4,886 43,901 4,104 53,130 19 % (17
) %
Additional operating statistics are in the
tables in the Appendix.
Table 3:
Operational Highlights: Cash Operating Costs
1
1Q 2012 1Q 2011
QuarterVariance
Palmarejo $ (2.27 ) $ 4.80
(147
) %
San Bartolomé $ 10.21 $ 9.13 12 %
Rochester $ 23.35 $ 10.28 127 %
Martha
$ 46.48 $ 24.44 90 %
Endeavor $
16.64 $ 17.15 (3
) %
Total $ 6.29 $ 8.36 (25
) %
Kensington
$ 2,709 $ 989 174 %
Additional operating statistics are in the
tables in the Appendix.
During the first quarter of 2012, silver production was 4.9
million ounces while gold production was 43,901 ounces, 19% higher
and 17% lower, respectively, than a year ago. Lower gold production
was expected due to the temporary reduction in mining and
processing activities at Kensington. Kensington's production is
expected to increase throughout the remainder of 2012 while costs
are expected to decline.
Consolidated cash operating costs1 were $6.29 per silver ounce
in the first quarter, a significant decrease of 25% from a year ago
due primarily to sharply lower costs at Palmarejo. Rochester's
costs are expected to continue to decline as production increases
throughout the remainder of 2012.
Palmarejo, Mexico - Lower Cash Operating Costs Led to Higher
Cash Flow
- First quarter silver production
increased 44% to 2.5 million ounces compared to the first quarter
of 2011. Over the same period, gold production increased 12% to
31,081 ounces.
- Significantly higher tons milled and
higher recovery rates, especially for silver, led to higher
production levels and lower cash operating1 costs per ounce.
- First quarter cash operating costs1 per
silver ounce were sharply lower at $(2.27) compared to $4.80 a year
ago.
- Palmarejo is the Company's largest
contributor of sales and operating cash flow1, reaching $123.7
million and $79.1 million respectively, in the first quarter.
Capital expenditures were $7.2 million.
1.
EBITDA, operating cash flow, adjusted
earnings and cash operating costs are non-GAAP measures. Please see
tables in the Appendix for reconciliation to U.S. GAAP. Total debt
includes short and long-term indebtedness and excludes capital
leases and royalty obligations.
San Bartolomé, Bolivia - Steady Performance
- As anticipated, silver production
decreased 7% to 1.6 million ounces due to mining lower grade ore,
partially offset by a higher recovery rate, compared to a year
ago.
- Cash operating costs1 increased 12%
compared to last year's first quarter to $10.21 per silver
ounce.
- San Bartolomé contributed $41.4 million
in sales and $20.8 million in operating cash flow1 in the first
quarter. Capital expenditures were $10.2 million.
Kensington, Alaska - Full Production Resumes Ahead of
Schedule
- The Company announced on April 26, 2012
that Kensington is resuming full production ahead of schedule after
completing several critical projects, including an underground
paste backfill plant, which is currently being commissioned,
upgrading the mine's electrical infrastructure, and construction of
several new surface facilities. Underground development and infill
drilling are advancing ahead of schedule.
- Due to the planned temporary reduction
in production that began in December 2011, Kensington produced
7,444 ounces of gold at cash operating costs1 of $2,709 per ounce
during the first quarter.
- The Company's production guidance for
2012 remains unchanged at 82,600 - 86,500 ounces of gold.
Approximately two-thirds of Kensington's gold production is
expected in the second half of 2012.
- The mine contributed $10.4 million in
sales while operating cash flow1 was $(7.8) million in the first
quarter of 2012. Capital expenditures were $10.9 million.
Rochester, Nevada - First Full Quarter of New
Production
- Silver production increased 32% in the
first quarter to 0.4 million ounces and gold production increased
265% to 5,292 ounces due to initial production from the new leach
pad that was constructed in 2011.
- Cash operating costs1 were $23.35 per
ounce during the first quarter and are expected to decrease
steadily as production increases during the remainder of 2012.
- The mine contributed $18.8 million in
sales and $7.2 million in operating cash flow1 in the first
quarter. Capital expenditures were $2.6 million.
Exploration Highlights
The Company plans to spend approximately $40.0 million in
exploration during 2012 with approximately 84% of the budget
focused on expanding reserves and resources around existing
operations. During the first quarter, the Company completed 67,671
meters (222,016 feet) of core and reverse circulation drilling and
trenching in its global exploration program.
Palmarejo, Mexico
The Company completed 37,186 meters (122,001 feet) of drilling
in the Palmarejo District during the first quarter. Drilling was
divided between targets around the Palmarejo mine using both
surface and underground drill platforms, specifically the Rosario,
Tucson and Chapotillo zones, and at Guadalupe and other targets
including La Patria, Independencia and Guerra al Tirano. The bulk
of the drilling will take place at Guadalupe and Palmarejo in the
second quarter of this year.
Joaquin, Argentina
A total of 14,342 meters (47,021 feet) of drilling was completed
in the Santa Cruz Province of southern Argentina in the first
quarter. Over 92% of the drilling was completed at the Joaquin
joint venture property, with a focus on expanding and increasing
the confidence of mineralization at the La Morocha and La Negra
deposits and to collect new samples for metallurgy tests. An
updated mineral resource estimate is expected to be completed by
the end of the second quarter. Upon completion of a feasibility
study, the Company's managing and participating interest will
increase from 51% to 61%. Subject to certain conditions, the
Company has an option to increase its interest further. The Joaquin
Project is located approximately 70 kilometers (43 miles) north of
the Company's Martha Mine.
1.
EBITDA, operating cash flow, adjusted
earnings and cash operating costs are non-GAAP measures. Please see
tables in the Appendix for reconciliation to U.S. GAAP. Total debt
includes short and long-term indebtedness and excludes capital
leases and royalty obligations.
Rochester, Nevada
Drilling at Rochester continued at the pace set in the second
half of 2011. A total of 12,634 meters (41,450 feet) of reverse
circulation drilling were completed on the property. In addition,
drilling of surface stockpiles commenced in the quarter.
Kensington, Alaska
Exploration at Kensington consisted of 3,014 meters (9,887 feet)
of core drilling in the first quarter. Nearly all of the drilling
was devoted to the Raven vein zone which is located approximately
685 meters (2,250 feet) due west of the Kensington ore body. In
addition, drilling recommenced on the new Kensington South target
which is immediately south of and on trend with the Kensington ore
body and has seen little historic exploration. In addition, up to 3
drills were employed to complete 6,211 meters (20,377 feet) of
definition drilling to further define the lower part of Zone 10 at
Kensington which is expected to form the bulk of mining for the
next three years.
2012 Outlook
Production guidance and silver cash operating costs per ounce
for 2012 remain unchanged from the Company's February 23, 2012 news
release. Coeur expects to produce 18.5 - 20.0 million
ounces of silver and 210,000 - 230,000 ounces of gold in 2012. Cash
operating costs1 are expected to average $6.50 - $7.50 per ounce of
silver (assuming $1,500 per ounce of gold for the by-product
credit). Kensington's cash operating costs1 are expected to average
approximately $1,150 - $1,250 per ounce of gold for the full
year.
Table 4: 2012
Production Outlook
(silver ounces in thousands)
Country Silver Gold
Palmarejo Mexico 8,500-9,000 98,000-108,000
San
Bartolomé Bolivia 6,300-6,700 —
Rochester Nevada, USA
2,600-2,900 30,000-35,000
Martha Argentina 700-900 400-500
Endeavor Australia 400-500 —
Kensington
Alaska, USA — 82,600-86,500
Total
18,500-20,000 210,000-230,000
Conference Call Information
Coeur will hold a conference call to discuss the Company's first
quarter of 2012 results at 1:00 p.m. Eastern time on May 7,
2012.
Dial-In Numbers:
(877) 464-2820 (US
and Canada)
(660) 422-4718
(International)
Conference ID:
71540364
The conference call and presentation will also be webcast on the
Company's website www.coeur.com. A replay of the call will be
available through May 14, 2012.
Replay number:
(855) 859-2056 (US
and Canada)
International replay:
(404) 537-3406
(International)
Conference ID:
71540364
1.
EBITDA, operating cash flow, adjusted
earnings and cash operating costs are non-GAAP measures. Please see
tables in the Appendix for reconciliation to U.S. GAAP. Total debt
includes short and long-term indebtedness and excludes capital
leases and royalty obligations.
Cautionary Statement
This news release contains forward-looking statements within the
meaning of securities legislation in the United States and Canada,
including statements regarding anticipated operating results,
production levels and operating costs. Such statements are subject
to numerous assumptions and uncertainties, many of which are
outside the control of Coeur. Anticipated operating, exploration
and financial data, and other forward-looking statements in this
release are based on information that Coeur believes is reasonable,
but involve significant uncertainties affecting the business of
Coeur, including, but not limited to, future gold and silver
prices, costs, ore grades, estimation of gold and silver reserves,
mining and processing conditions, construction delays and related
disruptions in production, disputed mineral claims, currency
exchange rates, costs of capital expenditures and the completion
and/or updating of mining feasibility studies, changes that could
result from future acquisitions of new mining properties or
businesses, risks and hazards inherent in the mining business
(including environmental hazards, industrial accidents, weather and
geologically related conditions), permitting and regulatory matters
(including penalties, fines, sanctions, and shutdowns), risks
inherent in the ownership and operation of, or investment in,
mining properties or businesses in foreign countries, as well as
other uncertainties and risk factors set out in filings made from
time to time with the United States Securities and Exchange
Commission, and the Canadian securities regulators, including,
without limitation, in the "Risk Factors" and "Management's
Discussion and Analysis of Financial Condition and Results of
Operations" sections of Coeur's reports on Form 10-K and Form 10-Q.
Current mineralized material estimates were inclusive of disputed
and undisputed claims at Rochester. While the Company believes it
holds a superior position in the ongoing claim dispute, the Company
believes an adverse legal outcome would cause it to modify
mineralized material estimates. Actual results, developments and
timetables could vary significantly from the estimates presented.
Readers are cautioned not to put undue reliance on forward-looking
statements. Coeur disclaims any intent or obligation to update
publicly such forward-looking statements, whether as a result of
new information, future events or otherwise. Additionally, Coeur
undertakes no obligation to comment on analyses, expectations or
statements made by third parties in respect of Coeur, its financial
or operating results or its securities.
Donald J. Birak, Coeur's Senior Vice President of Exploration
and a qualified person under Canadian NI 43-101, supervised the
preparation of the scientific and technical information concerning
Coeur's mineral projects in this news release. For a description of
the key assumptions, parameters and methods used to estimate
mineral reserves and resources, as well as data verification
procedures and a general discussion of the extent to which the
estimates may be affected by any known environmental, permitting,
legal, title, taxation, socio-political, marketing or other
relevant factors, please see the Technical Reports for each of
Coeur's properties as filed on SEDAR at www.sedar.com.
Cautionary Note to U.S. Investors-The United States Securities
and Exchange Commission permits U.S. mining companies, in their
filings with the SEC, to disclose only those mineral deposits that
a company can economically and legally extract or produce. We may
use certain terms in public disclosures, such as "measured,"
"indicated," "inferred" and "resources," that are recognized by
Canadian regulations, but that SEC guidelines generally prohibit
U.S. registered companies from including in their filings with the
SEC. U.S. investors are urged to consider closely the disclosure in
our Form 10-K which may be secured from us, or from the SEC's
website at http://www.sec.gov.
Non-U.S. GAAP Measures
We supplement the reporting of our financial information
determined under United States generally accepted accounting
principles (U.S. GAAP) with certain non-U.S. GAAP financial
measures, including cash operating costs, operating cash flow,
adjusted earnings, and EBITDA. We believe that these adjusted
measures provide meaningful information to assist management,
investors and analysts in understanding our financial results and
assessing our prospects for future performance. We believe these
adjusted financial measures are important indicators of our
recurring operations because they exclude items that may not be
indicative of, or are unrelated to our core operating results, and
provide a better baseline for analyzing trends in our underlying
businesses. We believe cash operating costs, operating cash flow,
adjusted earnings and EBITDA are important measures in assessing
the Company's overall financial performance.
1.
EBITDA, operating cash flow, adjusted
earnings and cash operating costs are non-GAAP measures. Please see
tables in the Appendix for reconciliation to U.S. GAAP. Total debt
includes short and long-term indebtedness and excludes capital
leases and royalty obligations.
About Coeur
Coeur d'Alene Mines Corporation is the largest U.S.-based
primary silver producer and a growing gold producer. The Company
built and commenced production from three wholly-owned, long-lived
mines between 2008 and 2010: the San Bartolomé silver mine in
Bolivia, the Palmarejo silver-gold mine in Mexico and the
Kensington gold mine in Alaska. Further production has commenced
from a new heap leach pad at Coeur's long-time Rochester
silver-gold mine in Nevada. The Company also owns and operates the
Martha silver-gold mine in Argentina and owns a non-operating
interest in a silver-base metal mine in Australia. Coeur conducts
ongoing exploration activities near and within its operating
properties in Argentina, Mexico, Alaska, Nevada and Bolivia. In
addition, Coeur owns strategic minority shareholdings in five
silver development companies in North and South America.
Appendix:
Table 5:
Operating Statistics from Continuing Operations:
Three months endedMarch 31,
2012 2011
Silver
Operations:
Palmarejo Tons milled 528,543 398,740 Ore grade/Ag oz 6.12
5.97 Ore grade/Au oz 0.06 0.08 Recovery/Ag oz 76.8 % 72.7 %
Recovery/Au oz 93.3 % 87.4 % Silver production ounces 2,482,814
1,729,766 Gold production ounces 31,081 27,759 Cash operating
cost/oz $ (2.27 ) $ 4.80 Cash cost/oz $ (2.27 ) $ 4.80 Total
production cost/oz $ 13.04 $ 24.40
San Bartolomé Tons milled
378,104 387,668 Ore grade/Ag oz 4.62 5.60 Recovery/Ag oz 91.2 %
88.6 % Silver production ounces 1,591,292 1,710,948 Cash operating
cost/oz $ 10.21 $ 9.13 Cash cost/oz $ 11.49 $ 10.47 Total
production cost/oz $ 14.02 $ 13.37
Martha Tons milled 34,069
17,818 Ore grade/Ag oz 4.43 12.06 Ore grade/Au oz — 0.02
Recovery/Ag oz 81.4 % 83.7 % Recovery/Au oz 64.6 % 75.3 % Silver
production ounces 122,793 179,985 Gold production ounces 84 244
Cash operating cost/oz $ 46.48 $ 24.44 Cash cost/oz $ 47.15 $ 25.46
Total production cost/oz $ 51.85 $ 29.28
Rochester (A) Tons
milled 2,009,518 — Ore grade/Ag oz 0.55 — Ore grade/Au oz 0.004 —
Recovery/Ag oz 40.2 % — Recovery/Au oz 62.1 % — Silver production
ounces 441,337 333,696 Gold production ounces 5,292 1,451 Cash
operating cost/oz $ 23.35 $ 10.28 Cash cost/oz $ 24.75 $ 11.86
Total production cost/oz $ 28.67 $ 13.53 Three
months endedMarch 31,
2012 2011
Endeavor Tons milled 195,846 167,287 Ore grade/Ag oz 3.35
2.00 Recovery/Ag oz 37.8 % 44.5 % Silver production ounces 247,958
149,182 Cash operating cost/oz $ 16.64 $ 17.15 Cash cost/oz $ 16.64
$ 17.15 Total production cost/oz $ 23.27 $ 21.30
Gold
Operation:
Kensington(B) Tons milled 43,936 105,820 Ore grade/Au oz
0.18 0.24 Recovery/Au oz 93.4 % 92.4 % Gold production ounces 7,444
23,676 Cash operating cost/oz $ 2,709 $ 989 Cash cost/oz $ 2,709 $
989 Total production cost/oz $ 3,598 $ 1,384
CONSOLIDATED
PRODUCTION TOTALS (B) Total silver ounces 4,886,194 4,103,577
Total gold ounces 43,901 53,130
Silver Operations:(C) Cash
operating cost per oz - silver $ 6.29 $ 8.36 Cash cost per oz -
silver $ 6.85 $ 9.10 Total production cost oz - silver $ 16.26 $
19.02
Gold Operation:(D) Cash operating cost per oz - gold $
2,709 $ 989 Cash cost per oz - gold $ 2,709 $ 989 Total production
cost per oz - gold $ 3,598 $ 1,384
CONSOLIDATED SALES TOTALS
(E) Silver ounces sold 4,290,049 3,659,154 Gold ounces sold
38,884 65,948 Realized price per silver ounce $ 32.61 $ 31.27
Realized price per gold ounce $ 1,702 $ 1,374 (A) The
Rochester mine recommenced production in the fourth quarter of
2011. The leach cycle at Rochester requires five to ten years to
recover gold and silver contained in the ore. The Company estimates
the ultimate recovery to be approximately 61% for silver and 92%
for gold. However, ultimate recoveries will not be known until
leaching operations cease, which is currently estimated for 2017.
Current recovery may vary significantly from ultimate recovery. See
Critical Accounting Policies and Estimates – Ore on Leach Pad in
the Company’s Form 10-K for the year ended December 31, 2011. (B)
Current production ounces and recoveries reflect final metal
settlements of previously reported production ounces. (C) Amount
includes by-product gold credits deducted in computing cash costs
per ounce. (D) Amounts reflect Kensington per ounce statistics
only. (E) Units sold at realized metal prices will not match
reported metal sales due primarily to the effects on revenues of
mark-to-market adjustments on embedded derivatives in the Company’s
provisionally priced sales contracts.
Table
6:COEUR D’ALENE MINES CORPORATION AND
SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE
SHEETS(Unaudited)
March 31, 2012 December 31,
2011 ASSETS
(In thousands, except share
data)
CURRENT ASSETS Cash and cash equivalents $ 151,883 $ 175,012 Short
term investments 1,316 20,254 Receivables 84,782 83,497 Ore on
leach pad 29,773 27,252 Metal and other inventory 151,049 132,781
Deferred tax assets 2,090 1,869 Restricted assets 456 60 Prepaid
expenses and other 19,943 24,218 441,292 464,943
NON-CURRENT ASSETS Property, plant and equipment, net 693,569
687,676 Mining properties, net 1,975,364 2,001,027 Ore on leach
pad, non-current portion 10,613 6,679 Restricted assets 29,247
28,911 Marketable securities 20,268 19,844 Receivables, non-current
portion 41,641 40,314 Debt issuance costs, net 1,633 1,889 Deferred
tax assets 202 263 Other 12,664 12,895 TOTAL ASSETS $
3,226,493 $ 3,264,441
LIABILITIES AND
SHAREHOLDERS’ EQUITY CURRENT LIABILITIES Accounts payable $
64,307 $ 78,590 Accrued liabilities and other 8,875 13,126 Accrued
income taxes 13,577 47,803 Accrued payroll and related benefits
13,244 16,240 Accrued interest payable 1,122 559 Current portion of
capital leases and other debt obligations 80,857 32,602 Current
portion of royalty obligation 64,739 61,721 Current portion of
reclamation and mine closure 1,978 1,387 Deferred tax liabilities
284 53 248,983 252,081 NON-CURRENT LIABILITIES
Long-term debt and capital leases 63,934 115,861 Non-current
portion of royalty obligation 176,119 169,788 Reclamation and mine
closure 32,488 32,371 Deferred tax liabilities 535,180 527,573
Other long-term liabilities 28,236 30,046 835,957
875,639 SHAREHOLDERS’ EQUITY
Common stock, par value $0.01 per share;
authorized 150,000,000 shares,89,882,510 issued at March 31, 2012
and 89,655,124 issued at December 31, 2011
899 897 Additional paid-in capital 2,586,063 2,585,632 Accumulated
deficit (440,858 ) (444,833 ) Accumulated other comprehensive loss
(4,551 ) (4,975 ) 2,141,553 2,136,721 TOTAL
LIABILITIES AND SHAREHOLDERS’ EQUITY $ 3,226,493 $ 3,264,441
Table
7:COEUR D’ALENE MINES CORPORATION AND
SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS(Unaudited)
Three months endedMarch 31, 2012
2011 (In thousands, except share data) Sales of metal
$ 204,564 $ 199,624 Production costs applicable to sales (92,554 )
(92,474 ) Depreciation, depletion and amortization (52,592 )
(50,041 ) Gross profit 59,418 57,109 COSTS AND EXPENSES
Administrative and general 7,596 12,231 Exploration 6,567 2,762
Pre-development, care, maintenance and other 1,068 3,574
Total cost and expenses 15,231 18,567
OPERATING INCOME 44,187 38,542 OTHER INCOME AND EXPENSE Loss on
debt extinguishments — (467 ) Fair value adjustments, net (23,113 )
(5,302 ) Interest income and other 5,007 1,934 Interest expense,
net of capitalized interest (6,670 ) (9,304 ) Total other income
and expense (24,776 ) (13,139 ) Income before income taxes 19,411
25,403 Income tax provision (15,436 ) (12,939 ) NET INCOME 3,975
12,464 BASIC AND DILUTED INCOME PER SHARE Basic
income per share: Net income $ 0.04 $ 0.14 Diluted
income per share: Net income $ 0.04 $ 0.14 Weighted
average number of shares of common stock Basic 89,591 89,288
Diluted 89,821 89,653
Table
8:COEUR D’ALENE MINES CORPORATION AND
SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS(Unaudited)
Three months endedMarch 31, 2012
2011 (In thousands) CASH FLOWS FROM OPERATING
ACTIVITIES: Net income $ 3,975 $ 12,464 Add (deduct) non-cash items
Depreciation, depletion and amortization 52,592 50,041 Accretion of
discount on debt and other assets, net 541 450 Accretion of royalty
obligation 4,580 5,267 Deferred income taxes 7,677 5,870 Loss on
debt extinguishment — 467 Fair value adjustments, net 21,778 6,661
Loss on foreign currency transactions 299 109 Share-based
compensation 2,137 8,155 Other non-cash charges 256 632 Changes in
operating assets and liabilities: Receivables and other current
assets (2,956 ) (4,841 ) Prepaid expenses and other 4,774 (19 )
Inventories (24,722 ) (12,493 ) Accounts payable and accrued
liabilities (53,929 ) (36,977 ) CASH PROVIDED BY OPERATING
ACTIVITIES 17,002 35,786 CASH FLOWS FROM INVESTING
ACTIVITIES Purchase of short term investments (1,035 ) (1,229 )
Proceeds from sales and maturities of short term investments 20,018
586 Capital expenditures (31,647 ) (15,918 ) Other 185 (51 )
CASH USED IN INVESTING ACTIVITIES (12,479 ) (16,612 ) CASH FLOWS
FROM FINANCING ACTIVITIES: Proceeds from issuance of notes and bank
borrowings — 27,500 Payments on long-term debt, capital leases, and
associated costs (5,166 ) (18,531 ) Payments on gold production
royalty (21,374 ) (14,618 ) Payments on gold lease facility —
(13,800 ) Additions to restricted assets associated with the
Kensington Term Facility — (1,325 ) Other (1,112 ) (91 ) CASH USED
IN FINANCING ACTIVITIES (27,652 ) (20,865 ) DECREASE IN CASH AND
CASH EQUIVALENTS (23,129 ) (1,691 ) Cash and cash equivalents at
beginning of period 175,012 66,118 Cash and cash
equivalents at end of period $ 151,883 $ 64,427
Table
9:Operating Cash Flow Reconciliation
(in thousands)
1Q 2012
4Q 2011 3Q 2011 2Q 2011
1Q 2011 Cash provided by operating activities
$ 17,002 $ 87,412 $ 181,911 $ 111,065 $ 35,786 Changes in operating
assets and liabilities: Receivables and other current assets
2,956
(8,904
)
10,513
8,138
4,841
Prepaid expenses and other
(4,774
)
8,839
8,697
(1,354
)
19
Inventories
24,722
17,574
(23,234
)
23,575
12,493
Accounts payable and accrued liabilities
53,929
(7,452
)
(26,930
)
(25,585
)
36,977
Operating Cash Flow $ 93,835
$ 97,469 $ 150,957
$ 115,839 $
90,116
Table
10:
EBITDA Reconciliation
(in thousands)
1Q 2012
4Q 2011 3Q 2011 2Q 2011
1Q 2011 Net income (loss) $ 3,975 $ 11,364 $ 31,060 $
38,611 $ 12,464 Income tax provision
15,436
52,390
27,606
21,402
12,939
Interest expense, net of capitalized interest
6,670
8,222
7,980
9,268
9,304
Interest and other income
(5,007
)
4,697
6,610
(2,763
)
(1,934
) Fair value adjustments, net
23,113
(19,035
)
53,351
12,432
5,302
Loss on debt extinguishments
—
3,886
784
389
467
Depreciation and depletion
52,592
58,166
58,652
57,641
50,041
EBITDA $ 96,779
$ 119,690 $ 186,043
$ 136,980 $
88,583
Table
11:Adjusted Earnings Reconciliation
(in thousands)
1Q 2012
4Q 2011 3Q 2011
2Q 2011
1Q 2011 Net income (loss) $ 3,975 $ 11,364 $ 31,060 $
38,611 $ 12,464 Share Based Compensation
2,137
2,861
457
(3,351
)
8,155
Deferred income tax provision
7,677
38,614
3,110
4,198
5,870
Interest expense, accretion of royalty obligation
4,580
5,523
4,990
5,770
5,267
Fair value adjustments, net
23,113
(19,035
)
53,351
12,432
5,302
Loss on debt extinguishments
—
3,886
784
389
467
Adjusted Earnings (Loss) $ 41,482
$ 43,213 $
93,752 $ 58,049
$ 37,525
Table
12:Results of Operations by Mine - Palmarejo
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of Metal $123.7 $134.3 $166.9
$123.7 $88.2 Production Costs $45.9 $47.0 $64.1 $37.7 $37.4 EBITDA
$76.5 $83.7 $100.4 $84.6 $50.2 Operating Income $38.8 $38.7 $61.6
$43.0 $16.5 Operating Cash Flow $79.1 $77.4 $91.2 $81.8 $48.4
Capital Expenditures $7.2 $12.1 $9.5 $10.3 $5.1 Gross Profit $40.1
$44.7 $61.6 $44.2 $17.1 Gross Margin 32.4% 33.3% 36.9% 35.7% 19.4%
1Q 2012 4Q 2011 3Q 2011
2Q 2011 1Q 2011 Underground Operations:
Tons Mined 158,030 191,966 143,010 144,614 143,831 Average Silver
Grade (oz/t) 7.82 8.04 9.36 10.08 8.30 Average Gold Grade (oz/t)
0.11 0.11 0.13 0.14 0.14 Surface Operations: Tons Mined 347,609
321,881 260,618 276,699 246,879 Average Silver Grade (oz/t) 5.32
5.88 6.56 5.85 4.60 Average Gold Grade (oz/t) 0.04 0.05 0.05 0.06
0.05 Processing: Total Tons Milled 528,543 505,619 403,978 414,719
398,740 Average Recovery Rate – Ag 76.8% 77.9% 75.9% 78.3% 72.7%
Average Recovery Rate – Au 93.3% 92.4% 93.6% 95.2% 87.4% Silver
Production - oz (000's) 2,483 2,690 2,251 2,371 1,730 Gold
Production - oz 31,081 34,108 29,815 33,389 27,759 Cash Operating
Costs/Ag Oz $(2.27) $(2.13) $(1.16) $(3.68) $4.80
Table
13:Reconciliation of EBITDA for Palmarejo
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of metal $ 123.7 $ 134.3 $
166.9 $ 123.7 $ 88.2 Production costs applicable to sales (45.9 )
(47.0 ) (64.1 ) (37.8 ) (37.4 ) Administrative and general — — — —
— Exploration (1.3 ) (2.8 ) (2.2 ) (1.3 ) (0.6 ) Care and
maintenance and other — (0.8 ) (0.2 ) — — Pre-development —
— — — —
EBITDA $ 76.5
$ 83.7 $ 100.4
$ 84.6 $ 50.2
Table
14:Operating Cash Flow for Palmarejo
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Cash provided by operating
activities $ 63.0 $ 70.9 $ 104.7 $ 62.9 $ 10.1 Changes in operating
assets and liabilities: Receivables and other current assets 5.4
5.7 (0.8 ) 8.9 (0.4 ) Prepaid expenses and other (1.9 ) (3.2 ) 3.4
(0.4 ) 1.0 Inventories 4.6 9.9 (16.2 ) 12.0 16.1 Accounts payable
and accrued liabilities 8.0 (5.9 ) 0.1
(1.6 ) 21.6
Operating Cash Flow
$ 79.1 $ 77.4
$ 91.2 $
81.8 $ 48.4
Table
15:Results of Operations by Mine - San
Bartolomé
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of Metal $41.4 $62.8 $102.8
$55.6 $46.3 Production Costs $13.6 $21.4 $30.1 $14.1 $14.1 EBITDA
$27.7 $41.2 $72.5 $41.4 $32.1 Operating Income $23.5 $34.9 $66.7
$36.2 $27.0 Operating Cash Flow $20.8 $28.7 $49.6 $25.7 $23.6
Capital Expenditures $10.2 $6.5 $4.4 $3.3 $3.5 Gross Profit $23.5
$35.3 $66.7 $36.3 $27.1 Gross Margin 56.8% 56.2% 64.9% 65.3% 58.5%
1Q 2012 4Q 2011 3Q 2011
2Q 2011 1Q 2011 Tons Milled 378,104
371,983 428,978 378,640 387,668 Average Silver Grade (oz/t) 4.6 5.4
5.4 5.2 5.6 Average Recovery Rate 91.2% 90.5% 88.6% 87.7% 88.6%
Silver Production (000's) 1,591 1,997 2,051 1,742 1,711 Cash
Operating Costs/Ag Oz $10.21 $9.18 $9.32 $8.73 $9.13
Table
16:Reconciliation of EBITDA for San Bartolomé
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of metal $ 41.4 $ 62.8 $ 102.8
$ 55.6 $ 46.3 Production costs applicable to sales (13.6 ) (21.4 )
(30.1 ) (14.1 ) (14.1 ) Administrative and general — — — — —
Exploration (0.1 ) — (0.1 ) (0.1 ) (0.1 ) Care and maintenance and
other — (0.2 ) (0.1 ) — — Pre-development — —
— — —
EBITDA $ 27.7 $
41.2 $ 72.5
$ 41.4 $ 32.1
Table
17:Operating Cash Flow for San Bartolomé
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Cash provided by (used in) operating
activities $ (27.4 ) $ 22.3 $ 78.1 $ 38.2 $ 10.5 Changes in
operating assets and liabilities: Receivables and other current
assets 2.2 0.2 5.0 1.5 1.7 Prepaid expenses and other (2.8 ) 4.6
0.2 (0.6 ) (0.5 ) Inventories 4.7 2.9 (7.2 ) 4.0 4.9 Accounts
payable and accrued liabilities 44.1 (1.3 )
(26.5 ) (17.4 ) 7.0
Operating Cash
Flow $ 20.8 $
28.7 $ 49.6
$ 25.7 $ 23.6
Table
18:Results of Operations by Mine - Kensington
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of Metal $10.4 $32.9 $44.2
$26.0 $48.1 Production Costs $17.1 $31.7 $24.3 $12.8 $32.9 EBITDA
$(6.9) $0.5 $19.6 $12.8 $15.2 Operating Income/(Loss) $(13.6)
$(6.6) $10.3 $2.8 $5.8 Operating Cash Flow $(7.8) $(4.1) $14.5
$11.7 $14.0 Capital Expenditures $10.9 $12.0 $9.2 $7.4 $5.4 Gross
Profit/(Loss) $(13.3) $(5.7) $10.3 $3.3 $5.8 Gross Margin (127.9)%
(17.3)% 23.3% 12.7% 12.1%
1Q 2012 4Q
2011 3Q 2011 2Q 2011 1Q
2011 Tons Milled 43,936 71,700 116,255 121,565 105,820 Average
Gold Grade (oz/t) 0.18 0.19 0.24 0.23 0.24 Average Recovery Rate
93.4% 96.5% 91.7% 93% 92.4% Gold Production 7,444 13,299 25,687
25,758 23,676 Cash Operating Costs/Ag Oz $2,709 $1,807 $973 $924
$989
Table
19:Reconciliation of EBITDA for Kensington
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of metal $ 10.4 $ 32.9 $ 44.2
$ 26.0 $ 48.1 Production costs applicable to sales (17.1 ) (31.7 )
(24.3 ) (12.8 ) (32.9 ) Administrative and general — — — — —
Exploration (0.2 ) (0.5 ) (0.3 ) (0.3 ) — Care and maintenance and
other — (0.2 ) — (0.1 ) — Pre-development — —
— — —
EBITDA $ (6.9 ) $
0.5 $ 19.6
$ 12.8 $ 15.2
Table
20:Operating Cash Flow for Kensington
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Cash provided by operating
activities $ 1.1 $ 9.3 $ 8.6 $ 7.6 $ 17.0 Changes in operating
assets and liabilities: Receivables and other current assets (10.3
) (5.1 ) 5.0 (1.0 ) 8.4 Prepaid expenses and other (1.0 ) 0.5 1.3
0.2 (0.1 ) Inventories 3.3 (10.1 ) (1.3 ) 8.0 (12.2 ) Accounts
payable and accrued liabilities (0.9 ) 1.3
0.9 (3.1 ) 0.9
Operating Cash
Flow $ (7.8 ) $
(4.1 ) $ 14.5
$ 11.7 $ 14.0
Table
21:Results of Operations by Mine - Rochester
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of Metal $18.8 $11.1 $17.5
$14.4 $14.3 Production Costs $9.6 $4.2 $11.4 $5.3 $7.4 EBITDA $7.2
$3.2 $2.7 $(2.2) $3.4 Operating Income/(Loss) $5.5 $4.6 $2.1 $(2.9)
$2.9 Operating Cash Flow $7.2 $3.4 $2.7 $(3.9) $0.9 Capital
Expenditures $2.6 $7.7 $13.6 $4.2 $1.7 Gross Profit $7.6 $5.9 $5.5
$8.5 $6.4 Gross Margin 40.4% 53.2% 31.4% 59.0% 44.8%
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Silver Production (000's) 441 373
352 333 334 Gold Production 5,292 1,993 1,435 1,397 1,451 Cash
Operating Costs/Ag Oz $23.35 $37.99 $36.71 $4.34 $10.28
Table
22:Reconciliation of EBITDA for Rochester
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of metal $ 18.8 $ 11.1 $ 17.5
$ 14.4 $ 14.3 Production costs applicable to sales (9.6 ) (4.2 )
(11.4 ) (5.3 ) (7.4 ) Administrative and general — — — — —
Exploration (0.7 ) (1.5 ) (0.2 ) (0.3 ) — Care and maintenance and
other (1.3 ) (2.2 ) (3.2 ) (11.0 ) (3.5 ) Pre-development —
— — — —
EBITDA $ 7.2
$ 3.2 $ 2.7
$ (2.2 ) $ 3.4
Table
23:Operating Cash Flow for Rochester
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Cash provided by (used in) operating
activities $ (7.1 ) $ (11.4 ) $ 0.9 $ (2.1 ) $ 1.4 Changes in
operating assets and liabilities: Receivables and other current
assets 0.3 (0.2 ) 0.2 — (0.3 ) Prepaid expenses and other 1.4 0.7
0.7 0.4 (0.1 ) Inventories 11.2 14.2 5.9 0.6 1.0 Accounts payable
and accrued liabilities 1.4 0.1
(5.0 ) (2.8 ) (1.1 )
Operating Cash Flow
$ 7.2 $ 3.4
$ 2.7 $ (3.9
) $ 0.9
Table
24:Results of Operations by Mine - Martha
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of Metal $3.6 $2.8 $6.0 $4.8
$(0.3) Production Costs $3.7 $3.9 $8.1 $3.9 $(0.4) EBITDA $(3.7)
$(3.3) $(3.8) $(0.5) $(1.2) Operating Loss $(4.3) $(3.0) $(4.0)
$(0.4) $(1.8) Operating Cash Flow $(5.1) $(5.0) $(1.7) $(0.9)
$(0.1) Capital Expenditures $0.7 $1.4 $1.1 $0.6 $0.3 Gross
Profit/(Loss) $(0.7) $(1.7) $(2.3) $1.8 $(0.5) Gross Margin (19.4)%
(60.7)% (38.3)% 37.5% na
1Q 2012 4Q
2011 3Q 2011 2Q 2011 1Q
2011 Total Tons Milled 34,069 37,141 24,086 22,122 17,818
Average Silver Grade (oz/t) 4.43 4.65 5.33 5.44 12.06 Average Gold
Grade (oz/t) — 0.01 0.01 0.01 0.02 Average Recovery Rate – Ag 81.4%
75.2% 92.3% 84% 83.7% Average Recovery Rate – Au 64.6% 74.2% 72.9%
72.4% 75.3% Silver Production (000's) 123 130 119 101 180 Cash
Operating Costs/Ag Oz $46.48 $33.75 $39.31 $38.79 $24.44
Table
25:Reconciliation of EBITDA for Martha
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of metal $ 3.6 $ 2.8 $ 6.0 $
4.8 $ (0.3 ) Production costs applicable to sales (3.7 ) (3.9 )
(8.2 ) (3.8 ) 0.4 Administrative and general — — — — — Exploration
(3.4 ) (2.1 ) (1.5 ) (1.5 ) (1.3 ) Care and maintenance and other
(0.2 ) (0.1 ) (0.1 ) — — Pre-development — —
— — —
EBITDA $ (3.7 ) $
(3.3 ) $ (3.8 )
$ (0.5 ) $ (1.2 )
Table
26:Operating Cash Flow for Martha
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Cash provided by (used in) operating
activities $ (7.1 ) $ (3.2 ) $ 0.2 $ (3.2 ) $ (3.1 ) Changes in
operating assets and liabilities: Receivables and other current
assets 3.5 (0.9 ) 2.3 0.2 (5.8 ) Prepaid expenses and other (0.1 )
(0.3 ) 0.4 0.1 — Inventories 0.4 0.4 (3.3 ) 0.1 4.1 Accounts
payable and accrued liabilities (1.8 ) (1.0 )
(1.3 ) 1.9 4.7
Operating Cash
Flow $ (5.1 ) $
(5.0 ) $ (1.7 )
$ (0.9 ) $ (0.1 )
Table
27:Results of Operations by Mine - Endeavor
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of Metal $6.7 $2.8 $6.2 $6.6
$3.1 Production Costs $2.7 $1.0 $3.2 $3.3 $1.1 EBITDA $4.0 $1.8
$3.0 $3.3 $2.0 Operating Income $2.3 $1.1 $2.1 $2.4 $1.4 Operating
Cash Flow $3.5 $2.1 $1.3 $3.6 $2.0 Capital Expenditures $— $— $— $—
$— Gross Profit $2.3 $1.1 $2.1 $2.4 $1.4 Gross Margin 34.3% 39.3%
33.9% 36.4% 45.2%
1Q 2012 4Q 2011
3Q 2011 2Q 2011 1Q 2011
Silver Production (000's) 248 111 138 215 149 Cash Operating
Costs/Ag Oz $16.64 $14.74 $22.26 $20.04 $17.15
Table
28:Reconciliation of EBITDA for Endeavor
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Sales of metal $ 6.7 $ 2.8 $ 6.2 $
6.6 $ 3.1 Production costs applicable to sales (2.7 ) (1.0 ) (3.2 )
(3.3 ) (1.1 ) Administrative and general — — — — — Exploration — —
— — — Care and maintenance and other — — — — — Pre-development
— — — —
—
EBITDA $ 4.0
$ 1.8 $ 3.0
$ 3.3 $ 2.0
Table
29:Operating Cash Flow for Endeavor
in millions of US$
1Q
2012 4Q 2011 3Q 2011 2Q
2011 1Q 2011 Cash provided by operating
activities $ 2.5 $ 2.1 $ 2.4 $ 2.5 $ 2.1 Changes in operating
assets and liabilities: Receivables and other current assets 1.7
(1.2 ) (1.4 ) 2.7 (1.0 ) Prepaid expenses and other — — — — —
Inventories 0.6 0.1 (0.9 ) — 0.9 Accounts payable and accrued
liabilities (1.3 ) 1.1 1.2
(1.6 ) —
Operating Cash Flow
$ 3.5 $ 2.1
$ 1.3 $ 3.6
$ 2.0
Table
30:Reconciliation of Non-U.S. GAAP Cash Costs to U.S.
GAAP Production CostsThree months ended March 31,
2012
(In thousands
except ounces and per ounce costs)
Palmarejo
SanBartolomé
Kensington
Rochester
Martha
Endeavor
Total
Total cash operating cost (Non-U.S. GAAP) $ (5,643 ) $ 16,253 $
20,168 $ 10,303 $ 5,708 $ 4,127 $ 50,916 Royalties
—
2,036
—
609
82
—
2,727
Production taxes
—
—
—
12
—
—
12
Total cash costs (Non-U.S. GAAP) $ (5,643 ) $ 18,289
$ 20,168
$
10,924 $ 5,790 $ 4,127 $ 53,655
Add/Subtract: Third party smelting costs
—
—
(1,083
)
—
(1,975
)
(788
)
(3,846
) By-product credit
52,526
—
—
8,957
141
—
61,624
Other adjustments
244
(194
)
7
87
57
—
201
Change in inventory
(1,268
)
(4,487
)
(2,001
)
(10,403
)
(320
)
(601
)
(19,080
) Depreciation, depletion and amortization
37,761
4,219
6,604
1,642
520
1,644
52,390
Production costs applicable to sales,
including depreciation, depletion and amortization (U.S. GAAP)
$ 83,620 $ 17,827 $ 23,695 $ 11,207 $
4,213 $ 4,382 $ 144,944 Production of silver
(ounces)
2,482,814
1,591,292
—
441,337
122,793
247,958
4,886,194
Cash operating cost per silver ounce $ (2.27 ) $ 10.21 $ — $ 23.35
$ 46.48 $ 16.64 $ 6.29 Cash costs per silver ounce $ (2.27 ) $
11.49 $ — $ 24.75
$
47.15 $ 16.64 $ 6.85 Production of gold (ounces)
—
—
7,444
—
—
—
7,444
Cash operating cost per gold ounce $ — $ — $ 2,709 $ — $ — $ —
$
2,709
Cash cost per gold ounce $ — $ — $ 2,709 $ — $ — $ — $ 2,709
Table
31:Reconciliation of Non-U.S. GAAP Cash Costs to U.S.
GAAP Production CostsThree months ended March 31,
2011
(In thousands
except ounces and per ounce costs)
Palmarejo
SanBartolomé
Kensington
Rochester
Martha
Endeavor
Total
Total cash operating cost (Non-U.S. GAAP) $ 8,311 $ 15,615 $ 23,410
$ 3,429 $ 4,399 $ 2,558 $ 57,722 Royalties
—
2,304
—
330
183
—
2,817
Production taxes
—
—
—
200
—
—
200
Total cash costs (Non-U.S. GAAP) $ 8,311 $ 17,919
$ 23,410 $ 3,959 $ 4,582 $ 2,558
$ 60,739 Add/Subtract: Third party smelting costs
—
—
(2,650
)
—
(1,373
)
(563
)
(4,586
) By-product credit
38,468
—
—
2,015
339
—
40,822
Other adjustments
221
(189
)
—
42
96
—
170
Change in inventory
(9,631
)
(3,612
)
12,160
1,341
(4,034
)
(895
)
(4,671
) Depreciation, depletion and amortization
33,666
5,143
9,365
514
591
619
49,898
Production costs applicable to sales, including
depreciation, depletion and amortization (U.S. GAAP) $ 71,035
$ 19,261 $ 42,285 $ 7,871 $ 201
$ 1,719 $ 142,372 Production of silver (ounces)
1,729,766
1,710,948
—
333,696
179,985
149,182
4,103,577
Cash operating cost per silver ounce $ 4.80 $ 9.13 $ — $ 10.28 $
24.44 $ 17.15 $ 8.36 Cash costs per silver ounce $ 4.80 $ 10.47 $ —
$ 11.86 $ 25.46 $ 17.15 $ 9.10 Production of gold (ounces)
—
—
23,676
—
—
—
23,676
Cash operating cost per gold ounce $ — $ — $ 989 $ — $ — $ — $ 989
Cash cost per gold ounce $ — $ — $ 989 $ — $ — $ — $ 989
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Coeur Mining (NYSE:CDE)
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From Jul 2023 to Jul 2024