(Mark One)
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x
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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For the fiscal year ended December 31, 2017
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OR
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o
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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For the transition period from to
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Delaware
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82-0109423
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(State or other jurisdiction of
incorporation or organization)
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(I.R.S. Employer
Identification No.)
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104 S. Michigan Ave. Suite 900
Chicago, IL
(Address of principal executive offices)
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60603
(Zip Code)
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Title of each class
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Name of each exchange on which registered
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Common Stock, par value $0.01 per share
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New York Stock Exchange
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Large accelerated filer
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þ
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Accelerated filer
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o
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Non-accelerated filer
(Do not check if a smaller reporting company)
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o
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Smaller reporting company
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o
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Emerging growth company
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o
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PART I
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PART II
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PART III
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Directors, Executive Office
rs and Corporate Governance
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Certain Relationships and Related Transactions
, and Director Independence
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PART IV
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Item 16.
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Form 10-K Summary
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Item 1.
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Business
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•
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Coeur owns 100% of Coeur Mexicana S.A. de C.V. (“Coeur Mexicana”), which operates (1) the Palmarejo processing facility (since 2009); (2) the Guadalupe underground mine (since 2015), located about eight kilometers southeast of the Palmarejo mine; (3) the Independencia underground mine (since 2016), located approximately 800 meters northeast of the Guadalupe underground mine, and (4) other nearby deposits and exploration targets (together, the “Palmarejo complex”). The Palmarejo complex produced
7.2 million
ounces of silver and
121,569
ounces of gold in 2017.
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•
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Coeur owns 100% of Coeur Rochester, Inc. (“Coeur Rochester”), which has operated the Rochester mine, a silver and gold surface mining operation located in northwestern Nevada, since 1986. The Rochester mine produced
4.7 million
ounces of silver and
51,051
ounces of gold in 2017.
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•
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Coeur owns 100% of Coeur Alaska, Inc. (“Coeur Alaska”), which has operated the Kensington mine, an underground gold mine located north of Juneau, Alaska since 2010. Kensington produced
115,094
ounces of gold in 2017.
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•
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Coeur owns 100% of Wharf Resources (U.S.A.), Inc. (“Wharf”), which operates the Wharf mine, an open-pit gold mine located near Lead, South Dakota. The Wharf mine is located in the Black Hills mining district of South Dakota and has been in production for over 30 years, during which it has produced over 2.2 million ounces of gold. Coeur acquired Wharf in February 2015. The Wharf mine produced
95,372
ounces of gold in 2017.
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•
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Coeur owns 100% of Coeur Silvertip Holdings Ltd. (“Silvertip”), which operates the underground Silvertip silver-zinc-lead mine located in northern British Columbia, Canada. Coeur acquired Silvertip in October 2017. The Silvertip mine is expected to commence production in the first quarter of 2018.
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•
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Coeur owns 100% of Manquiri, a Bolivian company that controls the mining rights for the San Bartolomé mine, which is a surface silver mine in Bolivia where Coeur commenced commercial production in 2008. The San Bartolomé mine produced
4.3 million
ounces of silver in 2017. In December 2017, Coeur and certain of its subsidiaries entered into a Share Purchase Agreement (the “Manquiri Agreement”) for the sale by Coeur and its subsidiaries of 100% of the issued and outstanding shares of Manquiri (the “Manquiri Divestiture”). Coeur expects to close the sale of Manquiri during the first quarter of 2018.
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•
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Coeur owns 100% of the La Preciosa silver-gold exploration project in the State of Durango, Mexico.
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•
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Coeur has made strategic equity investments in other early-stage precious metals companies.
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•
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Coeur has an interest in exploration-stage properties throughout North America.
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Year Ended December 31,
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||||||||||||||||||||||
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2017
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2016
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2015
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||||||||||||||||||
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High
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Low
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High
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Low
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High
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Low
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||||||||||||
Silver (per oz.)
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$
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18.56
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$
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15.22
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$
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20.71
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$
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13.58
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$
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18.23
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$
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13.71
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Gold (per oz.)
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$
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1,346
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$
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1,151
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$
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1,366
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$
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1,077
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$
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1,296
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$
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1,049
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Zinc (per lb.)
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$
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1.53
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$
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1.10
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$
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1.31
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$
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0.66
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$
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1.10
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$
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0.67
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Lead (per lb.)
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$
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1.17
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$
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0.91
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$
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1.14
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$
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0.73
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$
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0.98
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$
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0.71
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U.S. Corporate and Other
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74
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Wharf Mine
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207
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Rochester Mine
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286
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Silvertip Mine
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167
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Kensington Mine
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367
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Palmarejo Complex
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878
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San Bartolomé Mine
(1)
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278
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Total
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2,257
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(1)
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Manquiri maintained a labor agreement in South America with Sindicato de Trabajadorés Mineras de la Empresa Manquiri S.A. at the San Bartolomé mine in Bolivia in 2017, which remains in effect for 2018. At December 31, 2017, approximately
7%
of the Company’s global labor force was covered by collective bargaining agreements, consisting entirely of employees at San Bartolomé.
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Percentage of Total Revenues
For The Year Ended December 31,
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|||||||||||||
Mine/Location
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2017
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2016
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2015
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2014
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2013
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Palmarejo Complex, Mexico
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38
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%
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24
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%
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30
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%
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47
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%
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54
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%
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Kensington Mine, United States
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22
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26
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26
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26
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25
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Rochester Mine, United States
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22
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24
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26
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24
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20
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Wharf Mine, United States
(1)
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18
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24
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15
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—
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—
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Coeur Capital
(2)
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—
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2
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3
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3
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1
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100
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%
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100
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%
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100
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%
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100
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%
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100
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%
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(1)
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Acquired February 2015.
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(2)
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Primarily the Endeavor Silver Stream (Australia).
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Item 1A.
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Risk Factors
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•
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a significant change in commodity or stock prices after the Company has committed to complete the transaction and established the purchase price or exchange ratio;
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•
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a material ore body may prove to be below expectations;
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•
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difficulties integrating and assimilating the operations and personnel of any acquired companies, realizing anticipated synergies and maximizing the financial and strategic position of the combined enterprise, and maintaining uniform standards, policies and controls across the organization; and
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•
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the acquired business or assets may have unknown liabilities which may be significant.
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•
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limit the Company’s ability to obtain additional financing, repurchase outstanding equity or issue debt securities;
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•
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require the Company to meet certain financial covenants consisting of a consolidated net leverage ratio and a consolidated interest coverage ratio;
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•
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require a portion of the Company’s cash flows to be dedicated to debt service payments instead of other purposes, thereby reducing the amount of cash flows available for working capital, capital expenditures, acquisitions and other general corporate purposes;
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•
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limit the Company’s ability to sell, transfer or otherwise dispose of assets, enter into transactions with and invest capital in affiliates, enter into agreements restricting our subsidiaries’ ability to pay dividends, consolidate, amalgamate, merge or sell all or substantially all of the Company’s assets;
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•
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increase our vulnerability to general adverse economic and industry conditions;
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•
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limit the Company’s flexibility in planning for and reacting to changes in the industry in which we compete; and
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•
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place the Company at a disadvantage compared to other, less leveraged competitors.
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Palmarejo
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Rochester
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||||||||||||||||||||
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2017
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2016
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2015
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2017
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2016
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2015
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||||||||||||
Ore tons milled/placed
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1,498,421
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1,078,888
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1,616,668
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16,440,270
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19,555,998
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16,414,302
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||||||
Ore grade silver (oz./ton)
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5.62
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4.66
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3.78
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0.53
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0.57
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0.63
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||||||
Ore grade gold (oz./ton)
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0.09
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0.08
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0.05
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0.003
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0.003
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0.003
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||||||
Recovery/Ag oz. (%)
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86.0
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88.4
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84.3
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54.0
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41.0
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44.7
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||||||
Recovery/Au oz. (%)
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90.0
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86.5
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80.6
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105.0
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85.9
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100.2
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||||||
Silver produced (oz.)
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7,242,082
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4,442,164
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5,148,612
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4,713,574
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4,564,138
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4,630,738
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||||||
Gold produced (oz.)
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121,569
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73,913
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70,922
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51,051
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50,751
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52,588
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||||||
Costs applicable to sales per silver equivalent oz.
(1)
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$
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9.44
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$
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10.72
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$
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14.07
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|
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$
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13.15
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|
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$
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11.90
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$
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12.41
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Costs applicable to sales per average spot silver equivalent oz.
(1)
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$
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8.45
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|
|
$
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9.73
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|
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$
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12.75
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|
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$
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12.04
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$
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10.97
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$
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11.32
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|
|
Kensington
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Wharf
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||||||||||||||||||||
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2017
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|
2016
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2015
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|
2017
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|
2016
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|
2015
|
||||||||||||
Ore tons milled
|
668,727
|
|
|
620,209
|
|
|
660,464
|
|
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4,560,441
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4,268,105
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3,600,279
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|
||||||
Ore grade gold (oz./ton)
|
0.18
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|
|
0.21
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|
|
0.20
|
|
|
0.03
|
|
|
0.03
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|
|
0.03
|
|
||||||
Recovery/Au oz. (%)
|
93.5
|
|
|
94.8
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|
|
94.9
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Gold produced (oz.)
|
115,094
|
|
|
124,331
|
|
|
126,266
|
|
|
95,372
|
|
|
109,175
|
|
|
78,132
|
|
||||||
Costs applicable to sales per gold equivalent oz.
(1)
|
$
|
922
|
|
|
$
|
795
|
|
|
$
|
803
|
|
|
$
|
697
|
|
|
$
|
606
|
|
|
$
|
706
|
|
|
San Bartolomé
|
|
Endeavor
|
||||||||||||||||||||
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
||||||||||||
Ore tons milled
|
1,509,708
|
|
|
1,666,787
|
|
|
1,713,079
|
|
|
133,904
|
|
|
219,430
|
|
|
767,314
|
|
||||||
Ore grade silver (oz./ton)
|
3.17
|
|
|
3.69
|
|
|
3.75
|
|
|
1.58
|
|
|
2.48
|
|
|
1.87
|
|
||||||
Recovery/Ag oz. (%)
|
89.3
|
|
|
88.8
|
|
|
84.6
|
|
|
50.6
|
|
|
45.6
|
|
|
43.8
|
|
||||||
Silver produced (oz.)
|
4,269,649
|
|
|
5,468,898
|
|
|
5,436,353
|
|
|
107,026
|
|
|
247,998
|
|
|
629,167
|
|
||||||
Costs applicable to sales per silver equivalent oz.
(1)
|
$
|
17.44
|
|
|
$
|
13.71
|
|
|
$
|
13.80
|
|
|
$
|
6.96
|
|
|
$
|
6.56
|
|
|
$
|
5.72
|
|
|
Silver Reserves at December 31, 2017
(1)(2)(3)
|
||||||||||||||||||||||||||||
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Proven Reserves
|
|
Probable Reserves
|
|
Proven and Probable Reserves
|
|
|
||||||||||||||||||||||
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces (000s)
|
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces (000s)
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|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces (000s)
|
|
Metallurgical Recovery
|
||||||||||
Palmarejo
(4)
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1,571
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|
|
3.81
|
|
|
5,978
|
|
|
9,414
|
|
|
4.36
|
|
|
41,033
|
|
|
10,985
|
|
|
4.28
|
|
|
47,011
|
|
|
88
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%
|
Rochester
(5)
|
195,724
|
|
|
0.45
|
|
|
87,518
|
|
|
77,703
|
|
|
0.39
|
|
|
30,105
|
|
|
273,427
|
|
|
0.43
|
|
|
117,623
|
|
|
61
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%
|
San Bartolomé
(6)
|
1,640
|
|
|
2.52
|
|
|
4,429
|
|
|
162
|
|
|
2.98
|
|
|
482
|
|
|
1,802
|
|
|
2.55
|
|
|
4,911
|
|
|
88
|
%
|
Total Silver
|
198,935
|
|
|
|
|
97,925
|
|
|
87,279
|
|
|
|
|
71,620
|
|
|
286,214
|
|
|
|
|
169,545
|
|
|
|
|
Gold Reserves at December 31, 2017
(1)(2)(3)
|
||||||||||||||||||||||||||||
|
Proven Reserves
|
|
Probable Reserves
|
|
Proven and Probable Reserves
|
|
|
||||||||||||||||||||||
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces
(000s)
|
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces
(000s)
|
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces
(000s)
|
|
Metallurgical Recovery
|
||||||||||
Kensington
(8)
|
1,284
|
|
|
0.202
|
|
|
254
|
|
|
1,389
|
|
|
0.197
|
|
|
266
|
|
|
2,673
|
|
|
0.199
|
|
|
520
|
|
|
95
|
%
|
Palmarejo
(4)
|
1,571
|
|
|
0.073
|
|
|
115
|
|
|
9,414
|
|
|
0.063
|
|
|
591
|
|
|
10,985
|
|
|
0.064
|
|
|
706
|
|
|
89
|
%
|
Rochester
(5)
|
195,724
|
|
|
0.003
|
|
|
598
|
|
|
77,703
|
|
|
0.002
|
|
|
159
|
|
|
273,427
|
|
|
0.003
|
|
|
757
|
|
|
92
|
%
|
Wharf
(9)
|
18,125
|
|
|
0.027
|
|
|
483
|
|
|
16,560
|
|
|
0.023
|
|
|
386
|
|
|
34,685
|
|
|
0.025
|
|
|
869
|
|
|
79
|
%
|
Total Gold
|
216,704
|
|
|
|
|
1,450
|
|
|
105,066
|
|
|
|
|
1,402
|
|
|
321,770
|
|
|
|
|
2,852
|
|
|
|
|
Silver Reserves at December 31, 2016
(1)(2)(3)
|
|||||||||||||||||||||||||||
|
Proven Reserves
|
|
Probable Reserves
|
|
Proven and Probable Reserves
|
|
|
|||||||||||||||||||||
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces (000s)
|
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces (000s)
|
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces (000s)
|
|
Metallurgical Recovery
|
|||||||||
Palmarejo
(4)
|
1,569
|
|
|
4.44
|
|
|
6,971
|
|
|
7,174
|
|
|
4.72
|
|
|
33,847
|
|
|
8,743
|
|
|
4.67
|
|
|
40,818
|
|
|
88%
|
Rochester
(5)
|
143,686
|
|
|
0.48
|
|
|
68,369
|
|
|
101,118
|
|
|
0.43
|
|
|
43,676
|
|
|
244,804
|
|
|
0.46
|
|
|
112,045
|
|
|
61%
|
San Bartolomé
(6)
|
5,563
|
|
|
3.32
|
|
|
18,485
|
|
|
765
|
|
|
3.48
|
|
|
2,659
|
|
|
6,328
|
|
|
3.34
|
|
|
21,144
|
|
|
88%
|
Endeavor
(7)
|
476
|
|
|
2.48
|
|
|
1,181
|
|
|
753
|
|
|
1.92
|
|
|
1,449
|
|
|
1,229
|
|
|
2.14
|
|
|
2,630
|
|
|
50%
|
Total Silver
|
151,294
|
|
|
|
|
95,006
|
|
|
109,810
|
|
|
|
|
81,631
|
|
|
261,104
|
|
|
|
|
176,637
|
|
|
|
|
Gold Reserves at December 31, 2016
(1)(2)(3)
|
|||||||||||||||||||||||||||
|
Proven Reserves
|
|
Probable Reserves
|
|
Proven and Probable Reserves
|
|
|
|||||||||||||||||||||
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces
(000s)
|
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces
(000s)
|
|
Tons (000s)
|
|
Grade (oz./ton)
|
|
Ounces
(000s)
|
|
Metallurgical Recovery
|
|||||||||
Kensington
(8)
|
1,133
|
|
|
0.194
|
|
|
220
|
|
|
1,483
|
|
|
0.187
|
|
|
277
|
|
|
2,616
|
|
|
0.190
|
|
|
497
|
|
|
95%
|
Palmarejo
(4)
|
1,569
|
|
|
0.080
|
|
|
126
|
|
|
7,174
|
|
|
0.065
|
|
|
466
|
|
|
8,743
|
|
|
0.068
|
|
|
592
|
|
|
89%
|
Rochester
(5)
|
143,686
|
|
|
0.004
|
|
|
503
|
|
|
101,118
|
|
|
0.003
|
|
|
300
|
|
|
244,804
|
|
|
0.003
|
|
|
803
|
|
|
92%
|
Wharf
(9)
|
9,453
|
|
|
0.031
|
|
|
294
|
|
|
15,581
|
|
|
0.022
|
|
|
345
|
|
|
25,034
|
|
|
0.026
|
|
|
639
|
|
|
95%
|
Total Gold
|
155,841
|
|
|
|
|
1,143
|
|
|
125,356
|
|
|
|
|
1,388
|
|
|
281,197
|
|
|
|
|
2,531
|
|
|
|
(1)
|
Certain definitions:
|
(2)
|
Assumed metal prices for proven and probable reserves were $17.50 per ounce of silver and $1,250 per ounce of gold. Assumed metal prices for estimated 2016 proven and probable reserves were $17.50 per ounce of silver and $1,250 per ounce of gold, except Endeavor at $1,800 per metric ton of lead, $2,200 per metric ton of zinc, and $20.00 per ounce of silver.
|
(3)
|
Mineral reserve estimates were prepared by the Company’s technical staff.
|
(4)
|
The cutoff grade for mineral reserves is 2.5 to 2.8 g/tonne AuEq.
|
(5)
|
The cutoff grade for mineral reserves is 0.53 oz/ton AgEq.
|
(6)
|
The cutoff grades for mineral reserves range from 81 to 107 g/tonne Ag based on material.
|
(7)
|
Effective at July 1, 2016, thus excluding additions or depletions through December 31, 2016. Mineral reserves were estimated with a cutoff grade of 7.0% combined lead and zinc.
|
(8)
|
The cutoff grade for mineral reserves is 0.14 oz/ton Au.
|
(9)
|
The cutoff grade for mineral reserves is 0.012 oz/ton Au.
|
|
Mineralized Material at December 31, 2017
(1)(2)(3)(4)
|
|||||||||||||
|
Tons (000s)
|
|
Silver Grade (oz./ton)
|
|
Gold Grade (oz./ton)
|
|
Lead Grade (percent)
|
|
Zinc Grade (percent)
|
|||||
Palmarejo Mine, Mexico
(5)
|
15,410
|
|
|
3.77
|
|
|
0.048
|
|
|
—
|
|
|
—
|
|
San Bartolomé Mine, Bolivia
(6)
|
4,106
|
|
|
3.41
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Kensington Mine, USA
(7)
|
4,349
|
|
|
—
|
|
|
0.271
|
|
|
—
|
|
|
—
|
|
Wharf Mine, USA
(8)
|
8,760
|
|
|
—
|
|
|
0.023
|
|
|
—
|
|
|
—
|
|
Rochester Mine, USA
(9)
|
311,455
|
|
|
0.39
|
|
|
0.002
|
|
|
—
|
|
|
—
|
|
Silvertip Mine, Canada
(14)
|
3,096
|
|
|
10.20
|
|
|
—
|
|
|
6.64
|
|
|
9.48
|
|
La Preciosa Project, Mexico
(11)
|
30,438
|
|
|
3.65
|
|
|
0.006
|
|
|
—
|
|
|
—
|
|
Total Mineralized Material
|
377,614
|
|
|
|
|
|
|
|
|
|
|
Mineralized Material at December 31, 2016
(1)(2)(3)(4)
|
|||||||||
|
Tons (000s)
|
|
Silver Grade (oz./ton)
|
|
Gold Grade (oz./ton)
|
|||||
Palmarejo Mine, Mexico
(5)
|
4,900
|
|
—
|
|
3.52
|
|
—
|
|
0.048
|
|
San Bartolomé Mine, Bolivia
(6)
|
1,861
|
|
—
|
|
2.17
|
|
—
|
|
—
|
|
Kensington Mine, USA
(7)
|
3,125
|
|
—
|
|
—
|
|
—
|
|
0.279
|
|
Wharf Mine, USA
(8)
|
4,914
|
|
—
|
|
—
|
|
—
|
|
0.026
|
|
Rochester Mine, USA
(9)
|
69,461
|
|
—
|
|
0.56
|
|
—
|
|
0.003
|
|
Endeavor Mine, Australia
(10)
|
13,542
|
|
—
|
|
2.08
|
|
—
|
|
—
|
|
La Preciosa Project, Mexico
(11)
|
38,974
|
|
—
|
|
2.96
|
|
—
|
|
0.005
|
|
Joaquin Project, Argentina
(12)
|
10,252
|
|
—
|
|
5.02
|
|
—
|
|
0.004
|
|
Lejano Project, Argentina
(13)
|
631
|
|
—
|
|
3.09
|
|
—
|
|
0.011
|
|
Total Mineralized Material
|
147,660
|
|
|
|
|
|
(1)
|
Assumed metal prices for estimated 2017 mineralized material were $20.00 per ounce of silver, $1,400 per ounce of gold, $1.15 per pound zinc, and $1.00 per pound lead. 2017 mineralized material effective December 31, 2017. Assumed metal prices for estimated 2016 mineralized material were $19.00 per ounce of silver and $1,275 per ounce of gold, except (a) Endeavor at $2,200 per tonne zinc, $1,800 per tonne lead and $20.00 per ounce of silver.
|
(2)
|
Estimated with mining cost parameters and initial metallurgical test results.
|
(3)
|
Resource estimates were completed by company technical staff, except for La Preciosa which was completed by an external consultant supervised by technical company staff.
|
(4)
|
Estimated using 3-dimensional geologic modeling and geostatistical evaluation of the exploration drill data. Mineralized material is reported exclusive of reserves. “Mineralized material” as used in this Annual Report on Form 10-K, although permissible under Guide 7, does not indicate “reserves” by SEC standards. There is no certainty that any part of the reported mineralized material will ever be confirmed or converted into Guide 7 compliant “reserves”.
|
(5)
|
Cutoff grades for mineralized material is 2.49 g/tonne AuEq.
|
(6)
|
Cutoff grades for mineralized material is 95 g/tonne.
|
(7)
|
The cutoff grade for mineralized material is 0.13 oz/ton Au.
|
(8)
|
The cutoff grade for mineralized material is 0.009 oz/ton Au.
|
(9)
|
The cutoff grade for mineralized material is 0.46 oz/ton AgEq.
|
(10)
|
Effective July 1, 2016. Prepared by CBH Resources Ltd. staff and reviewed by the Company’s technical staff.
|
(11)
|
The cutoff grade for mineralized material is 121.71 g/ton AgEq for underground, and 71.86 g/t for surface mining.
|
(12)
|
No changes were made to cutoff grades in 2016 for the Joaquin project.
|
(13)
|
No changes were made to cutoff grades in 2016 for the Lejano project.
|
(14)
|
The cutoff grade for mineralized material is 200 g/tonne AgEq.
|
Item 5.
|
Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
|
|
2017
|
|
2016
|
||||||||||||
|
High
|
|
Low
|
|
High
|
|
Low
|
||||||||
First Quarter
|
$
|
12.02
|
|
|
$
|
7.33
|
|
|
$
|
5.80
|
|
|
$
|
1.73
|
|
Second Quarter
|
$
|
9.87
|
|
|
$
|
7.86
|
|
|
$
|
10.66
|
|
|
$
|
5.55
|
|
Third Quarter
|
$
|
9.38
|
|
|
$
|
7.61
|
|
|
$
|
15.98
|
|
|
$
|
11.26
|
|
Fourth Quarter
|
$
|
9.72
|
|
|
$
|
6.78
|
|
|
$
|
11.81
|
|
|
$
|
8.72
|
|
2018
|
|
|
|
|
|
|
|
||||||||
First Quarter through February 5, 2018
|
$
|
8.61
|
|
|
$
|
7.42
|
|
|
|
|
|
|
Dec.
2013
|
Dec.
2014
|
Dec.
2015
|
Dec.
2016
|
Dec.
2017
|
|||||
Coeur Mining
|
44.11
|
|
20.77
|
|
10.08
|
|
36.95
|
|
30.49
|
|
S&P 500 Index
|
132.39
|
|
150.51
|
|
152.59
|
|
170.84
|
|
208.14
|
|
New Peer Group
|
52.60
|
|
49.70
|
|
43.53
|
|
66.21
|
|
71.63
|
|
Old Peer Group
|
57.68
|
|
58.90
|
|
47.57
|
|
74.38
|
|
77.71
|
|
Item 6.
|
Selected Financial Data
|
|
|
Year ended December 31,
|
||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Revenue
|
|
$
|
709,598
|
|
|
$
|
571,897
|
|
|
$
|
561,407
|
|
|
$
|
517,993
|
|
|
$
|
604,273
|
|
Costs applicable to sales
|
|
440,260
|
|
|
335,375
|
|
|
403,827
|
|
|
388,286
|
|
|
376,836
|
|
|||||
Income (loss) from continuing operations
|
|
10,925
|
|
|
22,435
|
|
|
(287,811
|
)
|
|
(1,097,650
|
)
|
|
(671,741
|
)
|
|||||
Income (loss) from discontinued operations
|
|
(12,244
|
)
|
|
32,917
|
|
|
(79,372
|
)
|
|
(89,224
|
)
|
|
21,178
|
|
|||||
Net income (loss)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
$
|
(367,183
|
)
|
|
$
|
(1,186,874
|
)
|
|
$
|
(650,563
|
)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Income (loss) from continuing operations
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
|
$
|
(10.72
|
)
|
|
$
|
(6.87
|
)
|
Income (loss) from discontinued operations
|
|
$
|
(0.07
|
)
|
|
$
|
0.21
|
|
|
$
|
(0.61
|
)
|
|
$
|
(0.87
|
)
|
|
$
|
0.22
|
|
Basic
|
(0.05259987282)
|
$
|
(0.01
|
)
|
|
$
|
0.35
|
|
|
$
|
(2.83
|
)
|
|
$
|
(11.59
|
)
|
|
$
|
(6.65
|
)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Income (loss) from continuing operations
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
|
$
|
(10.72
|
)
|
|
$
|
(6.87
|
)
|
Income (loss) from discontinued operations
|
|
$
|
(0.07
|
)
|
|
$
|
0.20
|
|
|
$
|
(0.61
|
)
|
|
$
|
(0.87
|
)
|
|
$
|
0.22
|
|
Diluted
|
(0.05259987282)
|
$
|
(0.01
|
)
|
|
$
|
0.34
|
|
|
$
|
(2.83
|
)
|
|
$
|
(11.59
|
)
|
|
$
|
(6.65
|
)
|
|
|
At December 31,
|
||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Total assets
|
|
$
|
1,701,175
|
|
|
$
|
1,318,909
|
|
|
$
|
1,332,489
|
|
|
$
|
1,436,569
|
|
|
$
|
2,885,978
|
|
Reclamation and mine closure liabilities
|
|
$
|
120,832
|
|
|
$
|
88,701
|
|
|
$
|
74,958
|
|
|
$
|
63,042
|
|
|
$
|
52,609
|
|
Debt, including current portion
|
|
$
|
411,322
|
|
|
$
|
210,637
|
|
|
$
|
485,505
|
|
|
$
|
453,358
|
|
|
$
|
308,166
|
|
Stockholders’ equity
|
|
$
|
814,977
|
|
|
$
|
768,487
|
|
|
$
|
421,476
|
|
|
$
|
554,328
|
|
|
$
|
1,730,567
|
|
•
|
Production from continuing operations of
35.1 million
silver equivalent ounces (excluding
4.3 million
silver equivalent ounces produced at San Bartolomé), consisting of
12.1 million
silver ounces and
383,086
gold ounces
|
•
|
Sales from continuing operations of
37.3 million
silver equivalent ounces, consisting of
12.7 million
silver ounces and
410,604
gold ounces
|
•
|
Net
income
from continuing operations of
$10.9 million
(
$0.06
per share) and adjusted net
income
of
$4.2 million
(
$0.02
per share) (see “Non-GAAP Financial Performance Measures”)
|
•
|
Costs applicable to sales from continuing operations were
$10.70
per silver equivalent ounce (
$9.66
per average spot silver equivalent ounce) and
$822
per gold equivalent ounce (see “Non-GAAP Financial Performance Measures”)
|
•
|
All-in sustaining costs from continuing operations were
$15.95
per silver equivalent ounce (
$13.86
per average spot silver equivalent ounce) (see “Non-GAAP Financial Performance Measures”)
|
•
|
Operating cash flow from continuing operations of
$197.2 million
and adjusted EBITDA from continuing operations of
$203.3 million
(see “Non-GAAP Financial Performance Measures”)
|
•
|
Cash and cash equivalents of
$192.0 million
at
December 31, 2017
|
•
|
Acquired the Silvertip mine for initial consideration of $192.2 million, net of liabilities assumed. Additional consideration up to $50.0 million is payable contingent upon achieving specific future permitting and exploration milestones.
|
•
|
Established a
$200.0 million
secured revolving credit facility, which may be increased by up to
$50.0 million
in incremental loans and commitments subject to the terms of the Credit Agreement (as defined below)
|
•
|
Refinanced the remaining
$178.0 million
outstanding of the 7.875% Senior Notes due 2021 with $250.0 million of 5.875% Senior Notes due 2024, extending the maturity by over three years and providing additional cash to the balance sheet for approximately the same annual interest expense
|
•
|
Entered into the Manquiri Agreement to sell Manquiri, which operates the San Bartolomé mine. The transaction is expected to close in the first quarter of 2018, subject to customary closing conditions
|
•
|
Sold the Joaquin silver-gold exploration project for consideration of $27.4 million and retained a 2.0% NSR royalty
|
•
|
Sold Endeavor Silver Stream and our remaining portfolio of royalties for total consideration of $13.0 million
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Financial Results from Continuing Operations:
|
|
|
|
|
|
||||||
Metal sales
|
$
|
709,598
|
|
|
$
|
568,617
|
|
|
554,557
|
|
|
Net income (loss)
|
$
|
10,925
|
|
|
$
|
22,435
|
|
|
(287,811
|
)
|
|
Net income (loss) per share, diluted
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
(2.22
|
)
|
|
Adjusted net income (loss)
(1)
|
$
|
4,223
|
|
|
$
|
15,601
|
|
|
(90,730
|
)
|
|
Adjusted net income (loss) per share, diluted
(1)
|
$
|
0.02
|
|
|
$
|
0.10
|
|
|
(0.70
|
)
|
|
EBITDA
(1)
|
$
|
202,912
|
|
|
$
|
142,612
|
|
|
(145,955
|
)
|
|
Adjusted EBITDA
(1)
|
$
|
203,340
|
|
|
$
|
194,880
|
|
|
117,680
|
|
|
Operating Results from Continuing Operations:
|
|
|
|
|
|
||||||
Silver ounces produced
|
12,126,217
|
|
|
9,359,444
|
|
|
10,464,261
|
|
|||
Gold ounces produced
|
383,086
|
|
|
358,170
|
|
|
327,908
|
|
|||
Silver equivalent ounces produced
|
35,111,377
|
|
|
30,849,644
|
|
|
30,138,741
|
|
|||
Silver ounces sold
|
12,698,635
|
|
|
8,933,749
|
|
|
11,011,450
|
|
|||
Gold ounces sold
|
410,604
|
|
|
338,131
|
|
|
335,882
|
|
|||
Silver equivalent ounces sold
|
37,334,889
|
|
|
29,221,609
|
|
|
31,164,390
|
|
|||
Average realized price per silver ounce
|
$
|
16.96
|
|
|
$
|
17.08
|
|
|
$
|
15.49
|
|
Average realized price per gold ounce
|
$
|
1,204
|
|
|
$
|
1,230
|
|
|
$
|
1,143
|
|
Costs applicable to sales per silver equivalent ounce
(1)
|
$
|
10.70
|
|
|
$
|
11.23
|
|
|
$
|
13.06
|
|
Costs applicable to sales per average spot silver equivalent ounce
(1)
|
$
|
9.66
|
|
|
$
|
10.29
|
|
|
$
|
11.90
|
|
Costs applicable to sales per gold equivalent ounce
(1)
|
$
|
822
|
|
|
$
|
705
|
|
|
$
|
768
|
|
All-in sustaining costs per silver equivalent ounce
(1)
|
$
|
15.95
|
|
|
$
|
16.16
|
|
|
$
|
16.68
|
|
All-in sustaining costs per average spot silver equivalent ounce
(1)
|
$
|
13.86
|
|
|
$
|
14.05
|
|
|
$
|
14.50
|
|
Financial and Operating Results from Discontinued Operations:
|
|
|
|
|
|
||||||
Income (loss) from discontinued operations
|
$
|
(12,244
|
)
|
|
$
|
32,917
|
|
|
$
|
(79,372
|
)
|
Silver ounces produced
|
4,269,649
|
|
|
5,468,898
|
|
|
5,436,353
|
|
|||
Gold ounces produced
|
358
|
|
|
—
|
|
|
—
|
|
|||
Silver equivalent ounces produced
|
4,291,129
|
|
|
5,468,898
|
|
|
5,436,353
|
|
|||
Silver ounces sold
|
4,240,901
|
|
|
5,411,057
|
|
|
5,495,369
|
|
|||
Gold ounces sold
|
111
|
|
|
—
|
|
|
—
|
|
|||
Silver equivalent ounces sold
|
4,247,561
|
|
|
5,411,057
|
|
|
5,495,369
|
|
(1)
|
See
“
Non-GAAP Financial Performance Measures.
”
|
|
Year ended December 31,
|
||||||
In thousands
|
2017
|
|
2016
|
||||
Income and mining tax (expense) benefit at statutory rate
|
$
|
(14,037
|
)
|
|
$
|
3,718
|
|
State tax provision from continuing operations
|
26
|
|
|
336
|
|
||
Change in valuation allowance
|
86,712
|
|
|
40,517
|
|
||
Effect of tax legislation
|
(88,174
|
)
|
|
—
|
|
||
Percentage depletion
|
703
|
|
|
983
|
|
||
Uncertain tax positions
|
2,596
|
|
|
(8,829
|
)
|
||
U.S. and foreign permanent differences
|
2,348
|
|
|
(2,652
|
)
|
||
Foreign exchange rates
|
(14,180
|
)
|
|
19,701
|
|
||
Foreign inflation and indexing
|
(2,346
|
)
|
|
(670
|
)
|
||
Foreign tax rate differences
|
2,929
|
|
|
120
|
|
||
Mining, foreign withholding, and other taxes
|
(11,274
|
)
|
|
(11,052
|
)
|
||
Other, net
|
5,699
|
|
|
—
|
|
||
Legal entity reorganization
|
—
|
|
|
(8,925
|
)
|
||
Income and mining tax (expense) benefit
|
$
|
(28,998
|
)
|
|
$
|
33,247
|
|
|
Year ended December 31,
|
||||||||||||
|
2017
|
|
2016
|
||||||||||
In thousands
|
Income (loss) before tax
|
Tax (expense) benefit
|
|
Income (loss) before tax
|
Tax (expense) benefit
|
||||||||
United States
|
$
|
10,099
|
|
$
|
(5,635
|
)
|
|
$
|
(13,299
|
)
|
$
|
(10,525
|
)
|
Canada
|
(3,176
|
)
|
979
|
|
|
(1,355
|
)
|
(503
|
)
|
||||
Mexico
|
28,631
|
|
(25,958
|
)
|
|
(5,268
|
)
|
45,801
|
|
||||
Other jurisdictions
|
4,369
|
|
1,616
|
|
|
9,110
|
|
(1,526
|
)
|
||||
|
$
|
39,923
|
|
$
|
(28,998
|
)
|
|
$
|
(10,812
|
)
|
$
|
33,247
|
|
|
Year ended December 31,
|
||||||
In thousands
|
2016
|
|
2015
|
||||
Income and mining tax (expense) benefit at statutory rate
|
$
|
3,718
|
|
|
$
|
110,848
|
|
State tax provision from continuing operations
|
336
|
|
|
(2,075
|
)
|
||
Change in valuation allowance
|
40,517
|
|
|
(70,457
|
)
|
||
Percentage depletion
|
983
|
|
|
—
|
|
||
Uncertain tax positions
|
(8,829
|
)
|
|
170
|
|
||
U.S. and foreign permanent differences
|
(2,652
|
)
|
|
(3,376
|
)
|
||
Mineral interest related
|
—
|
|
|
(18,318
|
)
|
||
Foreign exchange rates
|
19,701
|
|
|
21,461
|
|
||
Foreign inflation and indexing
|
(670
|
)
|
|
1,117
|
|
||
Foreign tax rate differences
|
120
|
|
|
(14,062
|
)
|
||
Mining, foreign withholding, and other taxes
|
(11,052
|
)
|
|
8,141
|
|
||
Other, net
|
—
|
|
|
(4,374
|
)
|
||
Legal entity reorganization
|
(8,925
|
)
|
|
—
|
|
||
Income and mining tax (expense) benefit
|
$
|
33,247
|
|
|
$
|
29,075
|
|
|
Year ended December 31,
|
||||||||||||
|
2016
|
|
2015
|
||||||||||
In thousands
|
Income (loss) before tax
|
Tax (expense) benefit
|
|
Income (loss) before tax
|
Tax (expense) benefit
|
||||||||
United States
|
$
|
(13,299
|
)
|
$
|
(10,525
|
)
|
|
$
|
(44,101
|
)
|
$
|
(2,868
|
)
|
Canada
|
(1,355
|
)
|
(503
|
)
|
|
(10,714
|
)
|
2,359
|
|
||||
Mexico
|
(5,268
|
)
|
45,801
|
|
|
(250,054
|
)
|
26,713
|
|
||||
Other jurisdictions
|
9,110
|
|
(1,526
|
)
|
|
(12,017
|
)
|
2,871
|
|
||||
|
$
|
(10,812
|
)
|
$
|
33,247
|
|
|
$
|
(316,886
|
)
|
$
|
29,075
|
|
|
Silver
|
Gold
|
Zinc
|
Lead
|
Silver Equivalent
1
|
|
(K oz)
|
(oz)
|
(K lbs)
|
(K lbs)
|
(K oz)
|
Palmarejo
|
6,500 - 7,100
|
110,000 - 115,000
|
—
|
—
|
13,100 - 14,000
|
Rochester
|
4,200 - 4,700
|
45,000 - 50,000
|
—
|
—
|
6,900 - 7,700
|
Kensington
|
—
|
115,000 - 120,000
|
—
|
—
|
6,900 - 7,200
|
Wharf
|
—
|
85,000 - 90,000
|
—
|
—
|
5,100 - 5,400
|
Silvertip
|
1,500 - 2,000
|
—
|
23,000 - 28,000
|
23,000 - 28,000
|
4,030 - 5,080
|
Total
|
12,200 - 13,800
|
355,000 - 375,000
|
23,000 - 28,000
|
23,000 - 28,000
|
36,030 - 39,380
|
Total (including discontinued operations)
|
12,800 - 14,400
|
355,000 - 375,000
|
23,000 - 28,000
|
23,000 - 28,000
|
36,630 - 39,980
|
|
2018 Guidance
|
(dollars in millions, except per ounce amounts)
|
60:1
|
CAS per AgEqOz
1
–
Palmarejo
|
$10.50 - $11.00
|
CAS per AgEqOz
1
–
Rochester
|
$13.25 - $13.75
|
CAS per AuOz
1
–
Kensington
|
$900 - $950
|
CAS per AuEqOz
1
–
Wharf
|
$850 - $900
|
CAS per AgEqOz
1
–
Silvertip
|
$15.00 - $15.50
|
Capital Expenditures
|
$120 - $140
|
General and Administrative Expenses
|
$32 - $34
|
Exploration Expense
|
$20 - $25
|
AISC per AgEqOz
1
from continuing operations
|
$17.50 - $18.00
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Tons milled
|
1,498,421
|
|
|
1,078,888
|
|
|
1,616,668
|
|
|||
Silver ounces produced
|
7,242,082
|
|
|
4,442,164
|
|
|
5,148,612
|
|
|||
Gold ounces produced
|
121,569
|
|
|
73,913
|
|
|
70,922
|
|
|||
Silver equivalent ounces produced
|
14,536,222
|
|
|
8,876,944
|
|
|
9,403,932
|
|
|||
Costs applicable to sales per silver equivalent oz
(1)
|
$
|
9.44
|
|
|
$
|
10.72
|
|
|
$
|
14.07
|
|
Costs applicable to sales per average spot silver equivalent oz
(1)
|
$
|
8.45
|
|
|
$
|
9.73
|
|
|
$
|
12.75
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Tons placed
|
16,440,270
|
|
|
19,555,998
|
|
|
16,414,302
|
|
|||
Silver ounces produced
|
4,713,574
|
|
|
4,564,138
|
|
|
4,630,738
|
|
|||
Gold ounces produced
|
51,051
|
|
|
50,751
|
|
|
52,588
|
|
|||
Silver equivalent ounces produced
|
7,776,634
|
|
|
7,609,198
|
|
|
7,786,018
|
|
|||
Costs applicable to sales per silver equivalent oz
(1)
|
$
|
13.15
|
|
|
$
|
11.90
|
|
|
$
|
12.41
|
|
Costs applicable to sales per average spot silver equivalent oz
(1)
|
$
|
12.04
|
|
|
$
|
10.97
|
|
|
$
|
11.32
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Tons milled
|
668,727
|
|
|
620,209
|
|
|
660,464
|
|
|||
Gold ounces produced
|
115,094
|
|
|
124,331
|
|
|
126,266
|
|
|||
Costs applicable to sales/oz
(1)
|
$
|
922
|
|
|
$
|
795
|
|
|
$
|
803
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
(1)
|
||||||
Tons placed
|
4,560,441
|
|
|
4,268,105
|
|
|
3,600,279
|
|
|||
Gold ounces produced
|
95,372
|
|
|
109,175
|
|
|
78,132
|
|
|||
Silver ounces produced
|
63,535
|
|
|
105,144
|
|
|
55,744
|
|
|||
Gold equivalent ounces produced
(1)
|
96,431
|
|
|
110,927
|
|
|
79,061
|
|
|||
Costs applicable to sales per gold equivalent oz
(1)
|
$
|
697
|
|
|
$
|
606
|
|
|
$
|
706
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Tons milled
|
133,904
|
|
|
219,430
|
|
|
767,314
|
|
|||
Silver ounces produced
|
107,026
|
|
|
247,998
|
|
|
629,167
|
|
|||
Costs applicable to sales/oz
(1)
|
$
|
6.96
|
|
|
$
|
6.56
|
|
|
$
|
5.72
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Consolidated silver equivalent ounces sold
|
37,334,889
|
|
|
29,221,609
|
|
|
31,164,390
|
|
|||
Average realized price per consolidated silver equivalent ounce
|
$
|
19.01
|
|
|
$
|
19.46
|
|
|
$
|
17.79
|
|
Costs applicable to sales per consolidated silver equivalent ounce
(1)
|
(11.79
|
)
|
|
(11.48
|
)
|
|
(12.96
|
)
|
|||
Operating margin per consolidated silver equivalent ounce
|
$
|
7.22
|
|
|
$
|
7.98
|
|
|
$
|
4.83
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2017
|
|
2016
|
|
2015
|
||||||
Cash flow before changes in operating assets and liabilities
|
$
|
145,201
|
|
|
$
|
141,384
|
|
|
$
|
66,740
|
|
Changes in operating assets and liabilities:
|
|
|
|
|
|
||||||
Receivables
|
18,895
|
|
|
(2,783
|
)
|
|
(5,022
|
)
|
|||
Prepaid expenses and other
|
(2,015
|
)
|
|
(4,420
|
)
|
|
5,702
|
|
|||
Inventories
|
23,517
|
|
|
(34,610
|
)
|
|
15,578
|
|
|||
Accounts payable and accrued liabilities
|
11,562
|
|
|
(3,110
|
)
|
|
4,414
|
|
|||
Cash provided by continuing operating activities
|
$
|
197,160
|
|
|
$
|
96,461
|
|
|
$
|
87,412
|
|
|
|
Payments Due by Period
|
||||||||||||||||||
Contractual Obligations
|
|
Total
|
|
Less Than
1 Year
|
|
1-3 Years
|
|
4-5 Years
|
|
More Than
5 Years
|
||||||||||
Long-term debt obligations:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
5.875% Senior Notes
|
|
$
|
250,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
250,000
|
|
Revolving Credit Facility
(1)
|
|
100,000
|
|
|
—
|
|
|
—
|
|
|
100,000
|
|
|
—
|
|
|||||
Silvertip debt obligation
|
|
14,194
|
|
|
14,194
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Interest on debt
|
|
110,216
|
|
|
19,358
|
|
|
37,594
|
|
|
32,457
|
|
|
20,807
|
|
|||||
|
|
474,410
|
|
|
33,552
|
|
|
37,594
|
|
|
132,457
|
|
|
270,807
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Capital lease obligations
(2)
|
|
56,910
|
|
|
18,758
|
|
|
24,957
|
|
|
13,155
|
|
|
40
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating lease obligations:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Hyak mining lease (Kensington mine)
|
|
3,615
|
|
|
301
|
|
|
602
|
|
|
602
|
|
|
3,313
|
|
|||||
Operating leases
|
|
25,586
|
|
|
5,220
|
|
|
9,824
|
|
|
6,443
|
|
|
4,099
|
|
|||||
|
|
29,201
|
|
|
5,521
|
|
|
9,825
|
|
|
6,444
|
|
|
7,412
|
|
|||||
Other long-term obligations:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Reclamation and mine closure
(3)
|
|
334,582
|
|
|
4,414
|
|
|
37,687
|
|
|
13,469
|
|
|
279,012
|
|
|||||
Severance payments
(4)
|
|
6,094
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,094
|
|
|||||
Unrecognized tax benefits
(5)
|
|
8,100
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
|
|
348,776
|
|
|
4,414
|
|
|
37,687
|
|
|
13,469
|
|
|
285,106
|
|
|||||
Total
|
|
$
|
909,297
|
|
|
$
|
62,245
|
|
|
$
|
110,063
|
|
|
$
|
165,525
|
|
|
$
|
563,365
|
|
(1)
|
The Facility has a variable interest rate and, accordingly, the Company has estimated future interest payable.
|
(2)
|
The Company has entered into various capital lease agreements for commitments primarily over the next five years.
|
(3)
|
Reclamation and mine closure amounts represent the Company’s estimate of the cash flows associated with its legal obligation to reclaim mining properties. This amount will decrease as reclamation work is completed. Amounts shown on the table are undiscounted.
|
(4)
|
Accrued government-mandated severance at the Palmarejo complex.
|
(5)
|
The Company is unable to reasonably estimate the timing of recognition of unrecognized tax benefits beyond 2017 due to uncertainties in the timing of the effective settlement of tax positions.
|
|
Year ended December 31,
|
||||||||||
In thousands except per share amounts
|
2017
|
|
2016
|
|
2015
|
||||||
Net income (loss)
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
$
|
(367,183
|
)
|
(Income) loss from discontinued operations, net of tax
|
12,244
|
|
|
(32,917
|
)
|
|
79,372
|
|
|||
Fair value adjustments, net
|
864
|
|
|
11,581
|
|
|
(5,202
|
)
|
|||
Impairment of equity and debt securities
|
426
|
|
|
703
|
|
|
2,346
|
|
|||
Write-downs
|
—
|
|
|
4,446
|
|
|
246,625
|
|
|||
Inventory write-downs
|
—
|
|
|
3,689
|
|
|
—
|
|
|||
Gain on sale of Joaquin project
|
(21,138
|
)
|
|
—
|
|
|
—
|
|
|||
(Gain) loss on sale of assets and securities
|
1
|
|
|
(11,334
|
)
|
|
352
|
|
|||
Gain on repurchase of Rochester royalty
|
(2,332
|
)
|
|
—
|
|
|
—
|
|
|||
(Gain) loss on debt extinguishment
|
9,342
|
|
|
21,365
|
|
|
(15,916
|
)
|
|||
Corporate reorganization costs
|
—
|
|
|
—
|
|
|
647
|
|
|||
Transaction costs
|
3,757
|
|
|
1,199
|
|
|
2,112
|
|
|||
Deferred tax on reorganization (gain)
|
—
|
|
|
(40,767
|
)
|
|
—
|
|
|||
Foreign exchange loss (gain)
|
1,562
|
|
|
(299
|
)
|
|
1,851
|
|
|||
Tax effect of adjustments
(1)
|
816
|
|
|
2,583
|
|
|
(35,734
|
)
|
|||
Adjusted net income (loss)
|
$
|
4,223
|
|
|
$
|
15,601
|
|
|
$
|
(90,730
|
)
|
|
|
|
|
|
|
||||||
Adjusted net income (loss) per share - Basic
|
$
|
0.02
|
|
|
$
|
0.10
|
|
|
$
|
(0.70
|
)
|
Adjusted net income (loss) per share - Diluted
|
$
|
0.02
|
|
|
$
|
0.10
|
|
|
$
|
(0.70
|
)
|
(1)
|
For the year ended December 31, 2017, tax effect of adjustments of
$0.8 million
(-10%) is primarily related to a taxable gain on the sale of the Joaquin project and deferred taxes on the Metalla transaction
|
|
Year ended December 31,
|
||||||||||
In thousands except per share amounts
|
2017
|
|
2016
|
|
2015
|
||||||
Net income (loss)
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
$
|
(367,183
|
)
|
(Income) loss from discontinued operations, net of tax
|
12,244
|
|
|
(32,917
|
)
|
|
79,372
|
|
|||
Interest expense, net of capitalized interest
|
16,440
|
|
|
36,896
|
|
|
44,978
|
|
|||
Income tax provision (benefit)
|
28,998
|
|
|
(33,247
|
)
|
|
(29,075
|
)
|
|||
Amortization
|
146,549
|
|
|
116,528
|
|
|
125,953
|
|
|||
EBITDA
|
202,912
|
|
|
142,612
|
|
|
(145,955
|
)
|
|||
Fair value adjustments, net
|
864
|
|
|
11,581
|
|
|
(5,202
|
)
|
|||
Impairment of equity and debt securities
|
426
|
|
|
703
|
|
|
2,346
|
|
|||
Foreign exchange (gain) loss
|
(1,281
|
)
|
|
11,455
|
|
|
16,021
|
|
|||
Gain on sale of Joaquin project
|
(21,138
|
)
|
|
—
|
|
|
—
|
|
|||
(Gain) loss on sale of assets and securities
|
1
|
|
|
(11,334
|
)
|
|
352
|
|
|||
Gain on repurchase of Rochester royalty
|
(2,332
|
)
|
|
—
|
|
|
—
|
|
|||
Loss on debt extinguishment
|
9,342
|
|
|
21,365
|
|
|
(15,916
|
)
|
|||
Corporate reorganization costs
|
—
|
|
|
—
|
|
|
647
|
|
|||
Transaction costs
|
3,757
|
|
|
1,199
|
|
|
2,112
|
|
|||
Asset retirement obligation accretion
|
8,983
|
|
|
7,263
|
|
|
7,374
|
|
|||
Inventory adjustments and write-downs
|
1,806
|
|
|
5,590
|
|
|
9,276
|
|
|||
Write-downs
|
—
|
|
|
4,446
|
|
|
246,625
|
|
|||
Adjusted EBITDA
|
$
|
203,340
|
|
|
$
|
194,880
|
|
|
$
|
117,680
|
|
|
|
Silver
|
|
Gold
|
|
Total
|
||||||||||||||||||||||||||
In thousands except per ounce amounts
|
|
Palmarejo
|
|
Rochester
|
|
Endeavor
|
|
Total
|
|
Kensington
|
|
Wharf
|
|
Total
|
|
|||||||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP)
|
|
$
|
219,920
|
|
|
$
|
130,227
|
|
|
$
|
1,046
|
|
|
$
|
351,193
|
|
|
$
|
152,118
|
|
|
$
|
82,334
|
|
|
$
|
234,452
|
|
|
$
|
585,645
|
|
Amortization
|
|
73,744
|
|
|
22,306
|
|
|
301
|
|
|
96,351
|
|
|
36,022
|
|
|
13,012
|
|
|
49,034
|
|
|
145,385
|
|
||||||||
Costs applicable to sales
|
|
$
|
146,176
|
|
|
$
|
107,921
|
|
|
$
|
745
|
|
|
$
|
254,842
|
|
|
$
|
116,096
|
|
|
$
|
69,322
|
|
|
$
|
185,418
|
|
|
$
|
440,260
|
|
Silver equivalent ounces sold
|
|
15,490,734
|
|
|
8,209,888
|
|
|
107,027
|
|
|
23,807,649
|
|
|
|
|
|
|
|
|
37,334,889
|
|
|||||||||||
Gold equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
125,982
|
|
|
99,472
|
|
|
225,454
|
|
|
|
|||||||||||||
Costs applicable to sales per ounce
|
|
$
|
9.44
|
|
|
$
|
13.15
|
|
|
$
|
6.96
|
|
|
$
|
10.70
|
|
|
$
|
922
|
|
|
$
|
697
|
|
|
$
|
822
|
|
|
$
|
11.79
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales per average spot ounce
|
|
$
|
8.45
|
|
|
$
|
12.04
|
|
|
|
|
$
|
9.66
|
|
|
|
|
|
|
|
|
$
|
10.24
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
440,260
|
|
||||||||||||||
Treatment and refining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5,912
|
|
|||||||||||||||
Sustaining capital
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
65,010
|
|
|||||||||||||||
General and administrative
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
33,616
|
|
|||||||||||||||
Exploration
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30,311
|
|
|||||||||||||||
Reclamation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14,910
|
|
|||||||||||||||
Project/pre-development costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5,543
|
|
|||||||||||||||
All-in sustaining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
595,562
|
|
||||||||||||||
Silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
23,807,649
|
|
|||||||||||||||
Kensington and Wharf silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
13,527,240
|
|
|||||||||||||||||||
Consolidated silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
37,334,889
|
|
|||||||||||||||||
All-in sustaining costs per silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
15.95
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Consolidated silver equivalent ounces sold (average spot)
|
|
|
|
|
|
|
|
|
|
|
|
42,969,841
|
|
|||||||||||||||||||
All-in sustaining costs per average spot silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
13.86
|
|
(1)
|
Excludes development capital for Jualin, Guadalupe South Portal, Rochester expansion permitting, Wharf denitrification plant, and Silvertip.
|
|
|
Silver
|
|
Gold
|
|
|
||||||||||||||||||||||||||
In thousands except per ounce amounts
|
|
Palmarejo
|
|
Rochester
|
|
Endeavor
|
|
Total
|
|
Kensington
|
|
Wharf
|
|
Total
|
|
Total
|
||||||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP)
|
|
$
|
117,419
|
|
|
$
|
111,564
|
|
|
$
|
2,363
|
|
|
$
|
231,346
|
|
|
$
|
131,518
|
|
|
$
|
87,000
|
|
|
$
|
218,518
|
|
|
$
|
449,864
|
|
Amortization
|
|
36,599
|
|
|
21,838
|
|
|
644
|
|
|
59,081
|
|
|
34,787
|
|
|
20,621
|
|
|
55,408
|
|
|
114,489
|
|
||||||||
Costs applicable to sales
|
|
$
|
80,820
|
|
|
$
|
89,726
|
|
|
$
|
1,719
|
|
|
$
|
172,265
|
|
|
$
|
96,731
|
|
|
$
|
66,379
|
|
|
$
|
163,110
|
|
|
$
|
335,375
|
|
Silver equivalent ounces sold
|
|
7,538,311
|
|
|
7,542,740
|
|
|
262,078
|
|
|
15,343,129
|
|
|
|
|
|
|
|
|
29,221,609
|
|
|||||||||||
Gold equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
121,688
|
|
|
109,620
|
|
|
231,308
|
|
|
|
|||||||||||||
Costs applicable to sales per ounce
|
|
$
|
10.72
|
|
|
$
|
11.90
|
|
|
$
|
6.56
|
|
|
$
|
11.23
|
|
|
$
|
795
|
|
|
$
|
606
|
|
|
$
|
705
|
|
|
$
|
11.48
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales per average spot ounce
|
|
$
|
9.73
|
|
|
$
|
10.97
|
|
|
|
|
$
|
10.29
|
|
|
|
|
|
|
|
|
$
|
9.98
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
335,375
|
|
||||||||||||||
Treatment and refining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,307
|
|
|||||||||||||||
Sustaining capital
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
71,134
|
|
|||||||||||||||
General and administrative
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
29,275
|
|
|||||||||||||||
Exploration
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12,930
|
|
|||||||||||||||
Reclamation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
13,291
|
|
|||||||||||||||
Project/pre-development costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5,779
|
|
|||||||||||||||
All-in sustaining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
472,091
|
|
||||||||||||||
Silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
15,343,129
|
|
|||||||||||||||
Kensington and Wharf silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
13,878,480
|
|
|||||||||||||||||||
Consolidated silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
29,221,609
|
|
|||||||||||||||||
All-in sustaining costs per silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
16.16
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Consolidated silver equivalent ounces sold (average spot)
|
|
|
|
|
|
|
|
|
|
|
|
33,600,783
|
|
|||||||||||||||||||
All-in sustaining costs per average spot silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
14.05
|
|
(1)
|
Excludes development capital for Jualin, Independencia, Guadalupe South Portal and Rochester expansion permitting.
|
|
|
Silver
|
|
Gold
|
|
|
||||||||||||||||||||||||||
In thousands except per ounce amounts
|
|
Palmarejo
|
|
Rochester
|
|
Endeavor
|
|
Total
|
|
Kensington
|
|
Wharf
|
|
Total
|
|
Total
|
||||||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP)
|
|
$
|
170,899
|
|
|
$
|
127,900
|
|
|
$
|
9,059
|
|
|
$
|
307,858
|
|
|
$
|
147,880
|
|
|
$
|
68,575
|
|
|
$
|
216,455
|
|
|
$
|
524,313
|
|
Amortization
|
|
32,423
|
|
|
23,906
|
|
|
5,539
|
|
|
61,868
|
|
|
42,240
|
|
|
16,378
|
|
|
58,618
|
|
|
120,486
|
|
||||||||
Costs applicable to sales
|
|
$
|
138,476
|
|
|
$
|
103,994
|
|
|
$
|
3,520
|
|
|
$
|
245,990
|
|
|
$
|
105,640
|
|
|
$
|
52,197
|
|
|
$
|
157,837
|
|
|
$
|
403,827
|
|
Silver equivalent ounces sold
|
|
9,840,705
|
|
|
8,377,823
|
|
|
615,022
|
|
|
18,833,550
|
|
|
|
|
|
|
|
|
31,164,390
|
|
|||||||||||
Gold equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
131,553
|
|
|
73,961
|
|
|
205,514
|
|
|
|
|||||||||||||
Costs applicable to sales per ounce
|
|
$
|
14.07
|
|
|
$
|
12.41
|
|
|
$
|
5.72
|
|
|
$
|
13.06
|
|
|
$
|
803
|
|
|
$
|
706
|
|
|
$
|
768
|
|
|
$
|
12.96
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales per average spot ounce
|
|
$
|
12.75
|
|
|
$
|
11.32
|
|
|
|
|
$
|
11.90
|
|
|
|
|
|
|
|
|
$
|
11.27
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
403,827
|
|
||||||||||||||
Treatment and refining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,801
|
|
|||||||||||||||
Sustaining capital
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
47,072
|
|
|||||||||||||||
General and administrative
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
32,636
|
|
|||||||||||||||
Exploration
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11,521
|
|
|||||||||||||||
Reclamation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
15,308
|
|
|||||||||||||||
Project/pre-development costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,702
|
|
|||||||||||||||
All-in sustaining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
519,867
|
|
||||||||||||||
Silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
18,833,550
|
|
|||||||||||||||
Kensington and Wharf silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
12,330,840
|
|
|||||||||||||||||||
Consolidated silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
31,164,390
|
|
|||||||||||||||||
All-in sustaining costs per silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
16.68
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Consolidated silver equivalent ounces sold (average spot)
|
|
|
|
|
|
|
|
|
|
|
|
35,852,897
|
|
|||||||||||||||||||
All-in sustaining costs per average spot silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
14.50
|
|
(1)
|
Excludes development capital for Jualin, Guadalupe, Independencia and Rochester crushing capacity expansion.
|
|
Silver
|
Gold
|
|
|||||||||||||||||||||
In thousands except per ounce amounts
|
Palmarejo
|
Rochester
|
Silvertip
|
Total Silver
|
Kensington
|
Wharf
|
Total Gold
|
Total Combined
|
||||||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP)
|
$
|
208,000
|
|
$
|
116,300
|
|
$
|
88,000
|
|
$
|
412,300
|
|
$
|
146,100
|
|
$
|
89,700
|
|
$
|
235,800
|
|
$
|
648,100
|
|
Amortization
|
63,300
|
|
18,900
|
|
20,000
|
|
102,200
|
|
40,400
|
|
12,100
|
|
52,500
|
|
154,700
|
|
||||||||
Costs applicable to sales
|
$
|
144,700
|
|
$
|
97,400
|
|
$
|
68,000
|
|
$
|
310,100
|
|
$
|
105,700
|
|
$
|
77,600
|
|
$
|
183,300
|
|
$
|
493,400
|
|
Silver equivalent ounces sold
|
13,700,000
|
|
7,300,000
|
|
4,500,000
|
|
25,500,000
|
|
|
|
|
37,800,000
|
|
|||||||||||
Gold equivalent ounces sold
|
|
|
|
|
117,500
|
|
87,500
|
|
205,000
|
|
|
|||||||||||||
Costs applicable to sales per ounce
|
$10.50 - $11.00
|
$13.25 - $13.75
|
$15.00 - $15.50
|
|
$900 - $950
|
$850 - $900
|
|
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
493,400
|
|
|||||||||
Treatment and refining costs
|
|
|
|
|
|
|
|
12,000
|
|
|||||||||||||||
Sustaining capital, including capital lease payments
|
|
|
|
|
|
100,000
|
|
|||||||||||||||||
General and administrative
|
|
|
|
|
|
|
|
33,000
|
|
|||||||||||||||
Exploration
|
|
|
|
|
|
|
|
22,000
|
|
|||||||||||||||
Reclamation
|
|
|
|
|
|
|
|
15,700
|
|
|||||||||||||||
Project/pre-development costs
|
|
|
|
|
|
|
|
2,900
|
|
|||||||||||||||
All-in sustaining costs
|
|
|
|
|
|
|
|
$
|
679,000
|
|
||||||||||||||
Silver equivalent ounces sold
|
|
|
|
|
|
|
|
25,500,000
|
|
|||||||||||||||
Kensington and Wharf silver equivalent ounces sold
|
|
|
|
|
12,300,000
|
|
||||||||||||||||||
Consolidated silver equivalent ounces sold
|
|
|
|
|
|
|
37,800,000
|
|
||||||||||||||||
All-in sustaining costs per silver equivalent ounce
|
|
|
|
|
$17.50 - $18.00
|
|
|
Year ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
Notes
|
In thousands, except share data
|
||||||||||
Revenue
|
3
|
$
|
709,598
|
|
|
$
|
571,897
|
|
|
$
|
561,407
|
|
COSTS AND EXPENSES
|
|
|
|
|
|
|
||||||
Costs applicable to sales
(1)
|
3
|
440,260
|
|
|
335,375
|
|
|
403,827
|
|
|||
Amortization
|
|
146,549
|
|
|
116,528
|
|
|
125,953
|
|
|||
General and administrative
|
|
33,616
|
|
|
29,275
|
|
|
32,636
|
|
|||
Exploration
|
|
30,311
|
|
|
12,930
|
|
|
11,521
|
|
|||
Write-downs
|
|
—
|
|
|
4,446
|
|
|
246,625
|
|
|||
Pre-development, reclamation, and other
|
|
18,936
|
|
|
14,411
|
|
|
16,204
|
|
|||
Total costs and expenses
|
|
669,672
|
|
|
512,965
|
|
|
836,766
|
|
|||
OTHER INCOME (EXPENSE), NET
|
|
|
|
|
|
|
||||||
Gain (loss) on debt extinguishment
|
19
|
(9,342
|
)
|
|
(21,365
|
)
|
|
15,916
|
|
|||
Fair value adjustments, net
|
11
|
(864
|
)
|
|
(11,581
|
)
|
|
5,202
|
|
|||
Interest expense, net of capitalized interest
|
19
|
(16,440
|
)
|
|
(36,896
|
)
|
|
(44,978
|
)
|
|||
Other, net
|
8
|
26,643
|
|
|
98
|
|
|
(17,667
|
)
|
|||
Total other income (expense), net
|
|
(3
|
)
|
|
(69,744
|
)
|
|
(41,527
|
)
|
|||
Income (loss) before income and mining taxes
|
|
39,923
|
|
|
(10,812
|
)
|
|
(316,886
|
)
|
|||
Income and mining tax (expense) benefit
|
9
|
(28,998
|
)
|
|
33,247
|
|
|
29,075
|
|
|||
Income (loss) from continuing operations
|
|
$
|
10,925
|
|
|
$
|
22,435
|
|
|
$
|
(287,811
|
)
|
Income (loss) from discontinued operations
|
22
|
(12,244
|
)
|
|
32,917
|
|
|
(79,372
|
)
|
|||
NET INCOME (LOSS)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
$
|
(367,183
|
)
|
OTHER COMPREHENSIVE INCOME (LOSS), net of tax:
|
|
|
|
|
|
|
||||||
Unrealized gain (loss) on equity securities, net of tax of ($767) for the year ended December 31, 2016
|
|
3,227
|
|
|
3,222
|
|
|
(4,154
|
)
|
|||
Reclassification adjustments for impairment of equity securities
|
|
426
|
|
|
703
|
|
|
2,346
|
|
|||
Reclassification adjustments for realized (gain) loss on sale of equity securities
|
|
1,354
|
|
|
(2,691
|
)
|
|
894
|
|
|||
Other comprehensive income (loss)
|
|
5,007
|
|
|
1,234
|
|
|
(914
|
)
|
|||
COMPREHENSIVE INCOME (LOSS)
|
|
$
|
3,688
|
|
|
$
|
56,586
|
|
|
$
|
(368,097
|
)
|
|
|
|
|
|
|
|
||||||
NET INCOME (LOSS) PER SHARE
|
10
|
|
|
|
|
|
||||||
Basic income (loss) per share:
|
|
|
|
|
|
|
||||||
Net income (loss) from continuing operations
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
Net income (loss) from discontinued operations
|
|
(0.07
|
)
|
|
0.21
|
|
|
(0.61
|
)
|
|||
Basic
|
|
$
|
(0.01
|
)
|
|
$
|
0.35
|
|
|
$
|
(2.83
|
)
|
Diluted income (loss) per share:
|
|
|
|
|
|
|
||||||
Net income (loss) from continuing operations
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
Net income (loss) from discontinued operations
|
|
(0.07
|
)
|
|
0.20
|
|
|
(0.61
|
)
|
|||
Diluted
|
|
$
|
(0.01
|
)
|
|
$
|
0.34
|
|
|
$
|
(2.83
|
)
|
|
|
Years ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
|
Notes
|
In thousands
|
||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES:
|
|
|
|
|
|
|
||||||
Net (income) loss
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
$
|
(367,183
|
)
|
(Income) loss from discontinued operations
|
|
12,244
|
|
|
(32,917
|
)
|
|
79,372
|
|
|||
Adjustments:
|
|
|
|
|
|
|
||||||
Amortization
|
|
146,549
|
|
|
116,528
|
|
|
125,953
|
|
|||
Accretion
|
|
9,980
|
|
|
9,142
|
|
|
13,332
|
|
|||
Deferred taxes
|
|
(13,888
|
)
|
|
(54,184
|
)
|
|
(38,496
|
)
|
|||
Loss (gain) on debt extinguishment
|
|
9,342
|
|
|
21,365
|
|
|
(15,916
|
)
|
|||
Fair value adjustments, net
|
11
|
864
|
|
|
11,581
|
|
|
(5,202
|
)
|
|||
Stock-based compensation
|
6
|
10,541
|
|
|
9,715
|
|
|
9,272
|
|
|||
Gain on sale of the Joaquin project
|
|
(21,138
|
)
|
|
—
|
|
|
—
|
|
|||
Write-downs
|
|
—
|
|
|
4,446
|
|
|
246,625
|
|
|||
Other
|
|
(7,974
|
)
|
|
356
|
|
|
18,983
|
|
|||
Changes in operating assets and liabilities:
|
|
|
|
|
|
|
||||||
Receivables
|
|
18,895
|
|
|
(2,783
|
)
|
|
(5,022
|
)
|
|||
Prepaid expenses and other current assets
|
|
(2,015
|
)
|
|
(4,420
|
)
|
|
5,702
|
|
|||
Inventory and ore on leach pads
|
|
23,517
|
|
|
(34,610
|
)
|
|
15,578
|
|
|||
Accounts payable and accrued liabilities
|
|
11,562
|
|
|
(3,110
|
)
|
|
4,414
|
|
|||
CASH PROVIDED BY OPERATING ACTIVITIES OF CONTINUING OPERATIONS
|
|
197,160
|
|
|
96,461
|
|
|
87,412
|
|
|||
CASH PROVIDED BY OPERATING ACTIVITIES OF DISCONTINUED OPERATIONS
|
|
11,296
|
|
|
29,356
|
|
|
26,130
|
|
|||
CASH PROVIDED BY OPERATING ACTIVITIES
|
|
208,456
|
|
|
125,817
|
|
|
113,542
|
|
|||
CASH FLOWS FROM INVESTING ACTIVITIES:
|
|
|
|
|
|
|
||||||
Capital expenditures
|
|
(136,734
|
)
|
|
(94,382
|
)
|
|
(88,973
|
)
|
|||
Acquisitions, net
|
13
|
(156,248
|
)
|
|
(1,417
|
)
|
|
(110,846
|
)
|
|||
Proceeds from the sale of assets
|
|
16,705
|
|
|
16,296
|
|
|
607
|
|
|||
Purchase of investments
|
|
(15,058
|
)
|
|
(178
|
)
|
|
(1,880
|
)
|
|||
Sale of investments
|
|
11,321
|
|
|
7,077
|
|
|
605
|
|
|||
Other
|
|
(217
|
)
|
|
(4,208
|
)
|
|
(4,586
|
)
|
|||
CASH USED IN INVESTING ACTIVITIES OF CONTINUING OPERATIONS
|
|
(280,231
|
)
|
|
(76,812
|
)
|
|
(205,073
|
)
|
|||
CASH USED IN INVESTING ACTIVITIES OF DISCONTINUED OPERATIONS
|
|
(1,392
|
)
|
|
(6,631
|
)
|
|
(6,220
|
)
|
|||
CASH USED IN INVESTING ACTIVITIES
|
|
(281,623
|
)
|
|
(83,443
|
)
|
|
(211,293
|
)
|
|||
CASH FLOWS FROM FINANCING ACTIVITIES:
|
|
|
|
|
|
|
||||||
Issuance of common stock
|
|
—
|
|
|
269,556
|
|
|
—
|
|
|||
Issuance of notes and bank borrowings, net of issuance costs
|
19
|
342,620
|
|
|
—
|
|
|
150,000
|
|
|||
Payments on debt, capital leases, and associated costs
|
19
|
(203,045
|
)
|
|
(318,153
|
)
|
|
(70,603
|
)
|
|||
Gold production royalty payments
|
|
—
|
|
|
(27,155
|
)
|
|
(39,235
|
)
|
|||
Other
|
|
(3,746
|
)
|
|
172
|
|
|
(542
|
)
|
|||
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES OF CONTINUING OPERATIONS
|
|
135,829
|
|
|
(75,580
|
)
|
|
39,620
|
|
|||
CASH USED IN FINANCING ACTIVITIES OF DISCONTINUED OPERATIONS
|
|
(84
|
)
|
|
(4,648
|
)
|
|
(10,612
|
)
|
|||
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
|
|
135,745
|
|
|
(80,228
|
)
|
|
29,008
|
|
|||
Effect of exchange rate changes on cash and cash equivalents
|
|
203
|
|
|
(678
|
)
|
|
(1,404
|
)
|
|||
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
|
|
62,781
|
|
|
(38,532
|
)
|
|
(70,147
|
)
|
|||
Less net cash provided by (used in) discontinued operations
(1)
|
|
(10,939
|
)
|
|
1,576
|
|
|
11,552
|
|
|||
|
|
73,720
|
|
|
(40,108
|
)
|
|
(81,699
|
)
|
|||
Cash and cash equivalents at beginning of period
|
|
118,312
|
|
|
158,420
|
|
|
240,119
|
|
|||
Cash and cash equivalents at end of period
|
|
$
|
192,032
|
|
|
$
|
118,312
|
|
|
$
|
158,420
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||
ASSETS
|
Notes
|
In thousands, except share data
|
||||||
CURRENT ASSETS
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
192,032
|
|
|
$
|
118,312
|
|
Receivables
|
15
|
19,069
|
|
|
53,415
|
|
||
Inventory
|
16
|
58,230
|
|
|
93,436
|
|
||
Ore on leach pads
|
16
|
73,752
|
|
|
64,167
|
|
||
Prepaid expenses and other
|
|
15,053
|
|
|
10,015
|
|
||
Assets held for sale
|
22
|
91,421
|
|
|
71,442
|
|
||
|
|
449,557
|
|
|
410,787
|
|
||
NON-CURRENT ASSETS
|
|
|
|
|
||||
Property, plant and equipment, net
|
17
|
254,737
|
|
|
193,423
|
|
||
Mining properties, net
|
18
|
829,569
|
|
|
550,290
|
|
||
Ore on leach pads
|
16
|
65,393
|
|
|
67,231
|
|
||
Restricted assets
|
14
|
20,847
|
|
|
17,597
|
|
||
Equity and debt securities
|
14
|
34,837
|
|
|
4,488
|
|
||
Receivables
|
15
|
28,750
|
|
|
13,745
|
|
||
Other
|
|
17,485
|
|
|
12,585
|
|
||
Assets held for sale
|
22
|
—
|
|
|
48,763
|
|
||
TOTAL ASSETS
|
|
$
|
1,701,175
|
|
|
$
|
1,318,909
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
|
||||
CURRENT LIABILITIES
|
|
|
|
|
||||
Accounts payable
|
|
$
|
48,592
|
|
|
$
|
44,660
|
|
Accrued liabilities and other
|
23
|
94,930
|
|
|
36,445
|
|
||
Debt
|
19
|
30,753
|
|
|
11,955
|
|
||
Royalty obligations
|
11
|
—
|
|
|
4,995
|
|
||
Reclamation
|
5
|
3,777
|
|
|
3,109
|
|
||
Liabilities held for sale
|
22
|
50,677
|
|
|
15,470
|
|
||
|
|
228,729
|
|
|
116,634
|
|
||
NON-CURRENT LIABILITIES
|
|
|
|
|
||||
Debt
|
19
|
380,569
|
|
|
198,682
|
|
||
Royalty obligations
|
11
|
—
|
|
|
4,292
|
|
||
Reclamation
|
5
|
117,055
|
|
|
85,592
|
|
||
Deferred tax liabilities
|
|
105,148
|
|
|
69,811
|
|
||
Other long-term liabilities
|
|
54,697
|
|
|
41,654
|
|
||
Liabilities held for sale
|
22
|
—
|
|
|
33,757
|
|
||
|
|
657,469
|
|
|
433,788
|
|
||
STOCKHOLDERS’ EQUITY
|
|
|
|
|
||||
Common stock, par value $0.01 per share; authorized 300,000,000 shares, issued and outstanding 185,637,724 at December 31, 2017 and 180,933,287 at December 31, 2016
|
|
1,856
|
|
|
1,809
|
|
||
Additional paid-in capital
|
|
3,357,345
|
|
|
3,314,590
|
|
||
Accumulated other comprehensive income (loss)
|
|
2,519
|
|
|
(2,488
|
)
|
||
Accumulated deficit
|
|
(2,546,743
|
)
|
|
(2,545,424
|
)
|
||
|
|
814,977
|
|
|
768,487
|
|
||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
$
|
1,701,175
|
|
|
$
|
1,318,909
|
|
In thousands
|
Common
Stock
Shares
|
|
Common
Stock Par
Value
|
|
Additional
Paid-In Capital
|
|
Accumulated
Deficit
|
|
Accumulated
Other
Comprehensive
Income (Loss)
|
|
Total
|
|||||||||||
Balances at December 31, 2014
|
103,384
|
|
|
$
|
1,034
|
|
|
$
|
2,789,695
|
|
|
$
|
(2,233,593
|
)
|
|
$
|
(2,808
|
)
|
|
$
|
554,328
|
|
Net income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
(367,183
|
)
|
|
—
|
|
|
(367,183
|
)
|
|||||
Other comprehensive income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(914
|
)
|
|
(914
|
)
|
|||||
Common stock issued for the acquisition of Paramount Gold and Silver Corp.
|
32,667
|
|
|
327
|
|
|
188,490
|
|
|
—
|
|
|
—
|
|
|
188,817
|
|
|||||
Common stock issued for the extinguishment of Senior Notes
|
14,365
|
|
|
144
|
|
|
38,379
|
|
|
—
|
|
|
—
|
|
|
38,523
|
|
|||||
Common stock issued under stock-based compensation plans, net
|
923
|
|
|
8
|
|
|
7,897
|
|
|
—
|
|
|
—
|
|
|
7,905
|
|
|||||
Balances at December 31, 2015
|
151,339
|
|
|
$
|
1,513
|
|
|
$
|
3,024,461
|
|
|
$
|
(2,600,776
|
)
|
|
$
|
(3,722
|
)
|
|
$
|
421,476
|
|
Net income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
55,352
|
|
|
—
|
|
|
55,352
|
|
|||||
Other comprehensive income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,234
|
|
|
1,234
|
|
|||||
Common stock issued for the extinguishment of Senior Notes
|
739
|
|
|
7
|
|
|
11,806
|
|
|
—
|
|
|
—
|
|
|
11,813
|
|
|||||
Issuance of common stock
|
26,944
|
|
|
270
|
|
|
269,286
|
|
|
—
|
|
|
—
|
|
|
269,556
|
|
|||||
Common stock issued under stock-based compensation plans, net
|
1,911
|
|
|
19
|
|
|
9,037
|
|
|
—
|
|
|
—
|
|
|
9,056
|
|
|||||
Balances at December 31, 2016
|
180,933
|
|
|
$
|
1,809
|
|
|
$
|
3,314,590
|
|
|
$
|
(2,545,424
|
)
|
|
$
|
(2,488
|
)
|
|
$
|
768,487
|
|
Net income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,319
|
)
|
|
—
|
|
|
(1,319
|
)
|
|||||
Other comprehensive income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,007
|
|
|
5,007
|
|
|||||
Purchase of JDS Silver
|
4,192
|
|
|
42
|
|
|
35,965
|
|
|
—
|
|
|
—
|
|
|
36,007
|
|
|||||
Common stock issued under stock-based compensation plans, net
|
513
|
|
|
5
|
|
|
6,790
|
|
|
—
|
|
|
—
|
|
|
6,795
|
|
|||||
Balances at December 31, 2017
|
185,638
|
|
|
$
|
1,856
|
|
|
$
|
3,357,345
|
|
|
$
|
(2,546,743
|
)
|
|
$
|
2,519
|
|
|
$
|
814,977
|
|
Year ended December 31, 2017
|
Palmarejo
|
|
Rochester
|
|
Silvertip
|
|
Kensington
|
|
Wharf
|
|
Other
|
|
Total
|
||||||||||||||
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Metal sales
|
$
|
274,809
|
|
|
$
|
152,680
|
|
|
$
|
—
|
|
|
$
|
154,469
|
|
|
$
|
125,901
|
|
|
$
|
1,739
|
|
|
$
|
709,598
|
|
Costs and Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Costs applicable to sales
(1)
|
146,176
|
|
|
107,921
|
|
|
—
|
|
|
116,096
|
|
|
69,322
|
|
|
745
|
|
|
440,260
|
|
|||||||
Amortization
|
73,744
|
|
|
22,306
|
|
|
—
|
|
|
36,022
|
|
|
13,012
|
|
|
1,465
|
|
|
146,549
|
|
|||||||
Exploration
|
11,924
|
|
|
1,352
|
|
|
—
|
|
|
8,604
|
|
|
320
|
|
|
8,111
|
|
|
30,311
|
|
|||||||
Other operating expenses
|
1,263
|
|
|
3,394
|
|
|
153
|
|
|
1,412
|
|
|
2,468
|
|
|
43,862
|
|
|
52,552
|
|
|||||||
Other income (expense)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Loss on debt extinguishment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(9,342
|
)
|
|
(9,342
|
)
|
|||||||
Fair value adjustments, net
|
—
|
|
|
(864
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(864
|
)
|
|||||||
Interest expense, net
|
(487
|
)
|
|
(496
|
)
|
|
(2,212
|
)
|
|
(413
|
)
|
|
(66
|
)
|
|
(12,766
|
)
|
|
(16,440
|
)
|
|||||||
Other, net
|
(851
|
)
|
|
2,193
|
|
|
1,142
|
|
|
(922
|
)
|
|
172
|
|
|
24,909
|
|
|
26,643
|
|
|||||||
Income and mining tax (expense) benefit
|
(24,330
|
)
|
|
(1,028
|
)
|
|
(932
|
)
|
|
—
|
|
|
(3,936
|
)
|
|
1,228
|
|
|
(28,998
|
)
|
|||||||
Income (loss) from continuing operations
|
$
|
16,034
|
|
|
$
|
17,512
|
|
|
$
|
(2,155
|
)
|
|
$
|
(9,000
|
)
|
|
$
|
36,949
|
|
|
$
|
(48,415
|
)
|
|
$
|
10,925
|
|
Income (loss) from discontinued operations
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(12,244
|
)
|
|
$
|
(12,244
|
)
|
Segment assets
(2)
|
$
|
377,621
|
|
|
$
|
239,223
|
|
|
$
|
339,369
|
|
|
$
|
212,588
|
|
|
$
|
104,010
|
|
|
$
|
71,742
|
|
|
$
|
1,344,553
|
|
Capital expenditures
|
$
|
29,902
|
|
|
$
|
40,874
|
|
|
$
|
17,684
|
|
|
$
|
36,248
|
|
|
$
|
8,844
|
|
|
$
|
3,182
|
|
|
$
|
136,734
|
|
Year ended December 31, 2016
|
Palmarejo
|
|
Rochester
|
|
Kensington
|
|
Wharf
|
|
Other
|
|
Total
|
||||||||||||
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Metal sales
|
$
|
141,273
|
|
|
$
|
139,945
|
|
|
$
|
146,593
|
|
|
$
|
136,678
|
|
|
$
|
4,128
|
|
|
$
|
568,617
|
|
Royalties
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,280
|
|
|
3,280
|
|
||||||
|
141,273
|
|
|
139,945
|
|
|
146,593
|
|
|
136,678
|
|
|
7,408
|
|
|
571,897
|
|
||||||
Costs and Expenses
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Costs applicable to sales
(1)
|
80,820
|
|
|
89,726
|
|
|
96,731
|
|
|
66,379
|
|
|
1,719
|
|
|
335,375
|
|
||||||
Amortization
|
36,599
|
|
|
21,838
|
|
|
34,787
|
|
|
20,621
|
|
|
2,683
|
|
|
116,528
|
|
||||||
Exploration
|
5,063
|
|
|
841
|
|
|
3,487
|
|
|
2
|
|
|
3,537
|
|
|
12,930
|
|
||||||
Write-downs
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,446
|
|
|
4,446
|
|
||||||
Other operating expenses
|
1,213
|
|
|
2,801
|
|
|
1,038
|
|
|
2,238
|
|
|
36,396
|
|
|
43,686
|
|
||||||
Other income (expense)
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Loss on debt extinguishment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(21,365
|
)
|
|
(21,365
|
)
|
||||||
Fair value adjustments, net
|
(5,814
|
)
|
|
(4,133
|
)
|
|
—
|
|
|
—
|
|
|
(1,634
|
)
|
|
(11,581
|
)
|
||||||
Interest expense, net
|
(1,187
|
)
|
|
(664
|
)
|
|
(128
|
)
|
|
(69
|
)
|
|
(34,848
|
)
|
|
(36,896
|
)
|
||||||
Other, net
|
(12,125
|
)
|
|
(3,859
|
)
|
|
(25
|
)
|
|
17
|
|
|
16,090
|
|
|
98
|
|
||||||
Income and mining tax (expense) benefit
|
45,085
|
|
|
(2,785
|
)
|
|
—
|
|
|
(4,293
|
)
|
|
(4,760
|
)
|
|
33,247
|
|
||||||
Income (loss) from continuing operations
|
$
|
43,537
|
|
|
$
|
13,298
|
|
|
$
|
10,397
|
|
|
$
|
43,093
|
|
|
$
|
(87,890
|
)
|
|
$
|
22,435
|
|
Income (loss) from discontinued operations
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
32,917
|
|
|
$
|
32,917
|
|
Segment assets
(2)
|
$
|
436,642
|
|
|
$
|
219,009
|
|
|
$
|
199,232
|
|
|
$
|
105,901
|
|
|
$
|
84,938
|
|
|
$
|
1,045,722
|
|
Capital expenditures
|
$
|
35,810
|
|
|
$
|
16,446
|
|
|
$
|
36,826
|
|
|
$
|
4,812
|
|
|
$
|
488
|
|
|
$
|
94,382
|
|
Year ended December 31, 2015
|
Palmarejo
|
|
Rochester
|
|
Kensington
|
|
Wharf
|
|
Other
|
|
Total
|
|||||||
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Metal sales
|
169,133
|
|
|
143,930
|
|
|
148,710
|
|
|
84,052
|
|
|
8,732
|
|
|
$
|
554,557
|
|
Royalties
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,850
|
|
|
6,850
|
|
|
|
169,133
|
|
|
143,930
|
|
|
148,710
|
|
|
84,052
|
|
|
15,582
|
|
|
561,407
|
|
|
Costs and Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Costs applicable to sales
(1)
|
138,476
|
|
|
103,994
|
|
|
105,640
|
|
|
52,197
|
|
|
3,520
|
|
|
403,827
|
|
|
Amortization
|
32,423
|
|
|
23,906
|
|
|
42,240
|
|
|
16,378
|
|
|
11,006
|
|
|
125,953
|
|
|
Exploration
|
4,533
|
|
|
1,324
|
|
|
2,596
|
|
|
134
|
|
|
2,934
|
|
|
11,521
|
|
|
Write-downs
|
224,507
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
22,118
|
|
|
246,625
|
|
|
Other operating expenses
|
1,293
|
|
|
2,948
|
|
|
1,301
|
|
|
1,717
|
|
|
41,581
|
|
|
48,840
|
|
|
Other income (expense)
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Loss on debt extinguishment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15,916
|
|
|
15,916
|
|
|
Fair value adjustments, net
|
3,160
|
|
|
818
|
|
|
—
|
|
|
—
|
|
|
1,224
|
|
|
5,202
|
|
|
Interest expense, net
|
(4,269
|
)
|
|
(748
|
)
|
|
(218
|
)
|
|
—
|
|
|
(39,743
|
)
|
|
(44,978
|
)
|
|
Other, net
|
(10,968
|
)
|
|
(13
|
)
|
|
7
|
|
|
143
|
|
|
(6,836
|
)
|
|
(17,667
|
)
|
|
Income and mining tax (expense) benefit
|
37,597
|
|
|
(1,497
|
)
|
|
—
|
|
|
(857
|
)
|
|
(6,168
|
)
|
|
29,075
|
|
|
Income (loss) from continuing operations
|
(206,579
|
)
|
|
10,318
|
|
|
(3,278
|
)
|
|
12,912
|
|
|
(101,184
|
)
|
|
(287,811
|
)
|
|
Income (loss) from discontinued operations
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(79,372
|
)
|
|
(79,372
|
)
|
|
Segment assets
(2)
|
406,648
|
|
|
190,714
|
|
|
197,873
|
|
|
113,305
|
|
|
103,629
|
|
|
1,012,169
|
|
|
Capital expenditures
|
35,991
|
|
|
25,330
|
|
|
23,834
|
|
|
3,211
|
|
|
607
|
|
|
88,973
|
|
Assets
|
December 31, 2017
|
|
December 31, 2016
|
||||
Total assets for reportable segments
|
$
|
1,344,553
|
|
|
$
|
1,045,722
|
|
Cash and cash equivalents
|
192,032
|
|
|
118,312
|
|
||
Other assets
|
164,590
|
|
|
154,875
|
|
||
Total consolidated assets
|
$
|
1,701,175
|
|
|
$
|
1,318,909
|
|
Long-Lived Assets
|
December 31, 2017
|
|
December 31, 2016
|
||||
Mexico
|
$
|
370,188
|
|
|
$
|
397,697
|
|
United States
|
377,768
|
|
|
338,897
|
|
||
Canada
|
331,440
|
|
|
—
|
|
||
Argentina
|
229
|
|
|
10,228
|
|
||
Other
|
4,681
|
|
|
8,547
|
|
||
Total
|
$
|
1,084,306
|
|
|
$
|
755,369
|
|
|
|
Year ended December 31,
|
|
|
||||||||||
Customer
|
|
2017
|
|
2016
|
|
2015
|
|
Segments reporting revenue
|
||||||
China National Gold
|
|
$
|
137.5
|
|
|
$
|
126.6
|
|
|
$
|
126.2
|
|
|
Kensington
|
Republic Metal Corporation
|
|
132.4
|
|
|
47.3
|
|
|
0.6
|
|
|
Palmarejo,Wharf
|
|||
Asahi (formerly Johnson Matthey)
|
|
124.1
|
|
|
62.6
|
|
|
84.2
|
|
|
Palmarejo, Wharf, Rochester
|
|||
Techemet Metal Trading
|
|
104.8
|
|
|
40.7
|
|
|
—
|
|
|
Rochester, Wharf
|
|||
TD Securities
|
|
—
|
|
|
15.5
|
|
|
81.3
|
|
|
Palmarejo, Rochester
|
|||
INTL Commodities
|
|
9.6
|
|
|
76.6
|
|
|
33.1
|
|
|
Palmarejo, Rochester, Wharf
|
|||
Mitsui & Co.
|
|
—
|
|
|
—
|
|
|
137.7
|
|
|
Palmarejo, Rochester
|
|
|
Year ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
Mining properties
|
|
|
|
|
|
|
||||||
Palmarejo
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
205,803
|
|
Coeur Capital
|
|
—
|
|
|
4,446
|
|
|
22,118
|
|
|||
|
|
—
|
|
|
4,446
|
|
|
227,921
|
|
|||
|
|
|
|
|
|
|
||||||
Property, plant, and equipment
|
|
|
|
|
|
|
||||||
Palmarejo
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
18,704
|
|
|
|
|
|
|
|
|
||||||
Total
|
|
$
|
—
|
|
|
$
|
4,446
|
|
|
$
|
246,625
|
|
|
Year ended December 31,
|
||||||
In thousands
|
2017
|
|
2016
|
||||
Asset retirement obligation - Beginning
|
$
|
86,754
|
|
|
$
|
71,763
|
|
Accretion
|
8,769
|
|
|
7,030
|
|
||
Additions and changes in estimates
|
25,370
|
|
|
9,389
|
|
||
Settlements
|
(2,094
|
)
|
|
(1,428
|
)
|
||
Asset retirement obligation - Ending
|
$
|
118,799
|
|
|
$
|
86,754
|
|
|
2017
|
|
2016
|
|
2015
|
||||||
Weighted average fair value of stock options granted
|
$
|
3.91
|
|
|
$
|
1.06
|
|
|
$
|
2.65
|
|
Volatility
|
67.07
|
%
|
|
61.75
|
%
|
|
55.71
|
%
|
|||
Expected life in years
|
4.00
|
|
|
3.99
|
|
|
4.75
|
|
|||
Risk-free interest rate
|
1.69
|
%
|
|
1.50
|
%
|
|
1.51
|
%
|
|||
Dividend yield
|
—
|
|
|
—
|
|
|
—
|
|
|
Stock Options
|
|
SARs
|
||||||||||
|
Shares
|
|
Weighted
Average
Exercise
Price
|
|
Shares
|
|
Weighted
Average Exercise Price |
||||||
Outstanding at December 31, 2014
|
598,346
|
|
|
$
|
16.26
|
|
|
46,572
|
|
|
$
|
14.06
|
|
Granted
|
310,028
|
|
|
5.57
|
|
|
—
|
|
|
—
|
|
||
Canceled/forfeited
|
(238,365
|
)
|
|
12.69
|
|
|
—
|
|
|
—
|
|
||
Outstanding at December 31, 2015
|
670,009
|
|
|
12.58
|
|
|
46,572
|
|
|
14.06
|
|
||
Granted
|
183,251
|
|
|
2.19
|
|
|
—
|
|
|
—
|
|
||
Exercised
|
(170,897
|
)
|
|
7.81
|
|
|
—
|
|
|
—
|
|
||
Canceled/forfeited
|
(25,752
|
)
|
|
16.76
|
|
|
(4,420
|
)
|
|
13.31
|
|
||
Outstanding at December 31, 2016
|
656,611
|
|
|
10.76
|
|
|
42,152
|
|
|
14.14
|
|
||
Granted
|
14,820
|
|
|
7.60
|
|
|
—
|
|
|
—
|
|
||
Exercised
|
(26,966
|
)
|
|
3.28
|
|
|
—
|
|
|
—
|
|
||
Canceled/forfeited
|
(27,019
|
)
|
|
21.88
|
|
|
—
|
|
|
—
|
|
||
Outstanding at December 31, 2017
|
617,446
|
|
|
$
|
10.53
|
|
|
42,152
|
|
|
$
|
14.14
|
|
Range of
Exercise Price
|
Number
Outstanding
|
|
Weighted Average
Exercise
Price
|
|
Weighted
Average
Remaining
Contractual
Life (Years)
|
|
Aggregate Intrinsic Value (in thousands)
|
|||||
$ 0.00-$10.00
|
434,520
|
|
|
$
|
5.45
|
|
|
7.24
|
|
|
||
$10.00-$20.00
|
47,051
|
|
|
12.73
|
|
|
5.68
|
|
|
|||
$20.00-$30.00
|
133,692
|
|
|
25.64
|
|
|
4.33
|
|
|
|||
$30.00-$40.00
|
—
|
|
|
—
|
|
|
0.00
|
|
|
|||
$40.00-$50.00
|
2,183
|
|
|
48.50
|
|
|
0.03
|
|
|
|||
Outstanding
|
617,446
|
|
|
$
|
10.53
|
|
|
6.47
|
|
$
|
1,127
|
|
Vested and expected to vest
|
601,545
|
|
|
$
|
10.71
|
|
|
6.42
|
|
$
|
1,065
|
|
Exercisable
|
427,730
|
|
|
$
|
13.62
|
|
|
5.81
|
|
$
|
377
|
|
|
Restricted Stock
|
|||||
|
Number of
Shares
|
|
Weighted
Average
Grant Date
Fair Value
|
|||
Outstanding at December 31, 2014
|
901,999
|
|
|
$
|
12.19
|
|
Granted
|
1,180,384
|
|
|
5.49
|
|
|
Vested
|
(317,122
|
)
|
|
13.38
|
|
|
Cancelled/Forfeited
|
(257,849
|
)
|
|
7.59
|
|
|
Outstanding at December 31, 2015
|
1,507,412
|
|
|
7.49
|
|
|
Granted
|
1,768,746
|
|
|
3.72
|
|
|
Vested
|
(681,829
|
)
|
|
8.51
|
|
|
Cancelled/Forfeited
|
(160,414
|
)
|
|
7.16
|
|
|
Outstanding at December 31, 2016
|
2,433,915
|
|
|
4.48
|
|
|
Granted
|
799,165
|
|
|
8.78
|
|
|
Vested
|
(1,023,708
|
)
|
|
5.14
|
|
|
Cancelled/Forfeited
|
(53,527
|
)
|
|
5.90
|
|
|
Outstanding at December 31, 2017
|
2,155,845
|
|
|
$
|
5.72
|
|
|
Performance Shares
|
|||||
|
Number of
Shares
|
|
Weighted
Average
Grant Date
Fair Value
|
|||
Outstanding at December 31, 2014
|
516,830
|
|
|
$
|
17.61
|
|
Granted
|
809,293
|
|
|
6.97
|
|
|
Cancelled/Forfeited
|
(190,988
|
)
|
|
15.62
|
|
|
Outstanding at December 31, 2015
|
1,135,135
|
|
|
10.35
|
|
|
Granted
|
1,437,077
|
|
|
1.79
|
|
|
Cancelled/Forfeited
|
(199,580
|
)
|
|
17.98
|
|
|
Outstanding at December 31, 2016
|
2,372,632
|
|
|
4.53
|
|
|
Granted
|
316,213
|
|
|
11.58
|
|
|
Vested
|
(66,696
|
)
|
|
14.18
|
|
|
Cancelled/Forfeited
|
(253,868
|
)
|
|
11.56
|
|
|
Outstanding at December 31, 2017
|
2,368,281
|
|
|
$
|
4.44
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2017
|
|
2016
|
|
2015
|
||||||
Foreign exchange gain (loss)
|
$
|
1,281
|
|
|
$
|
(11,456
|
)
|
|
$
|
(16,021
|
)
|
Gain (loss) on sale of assets and investments
|
(1,037
|
)
|
|
11,334
|
|
|
(352
|
)
|
|||
Gain on sale of the Joaquin project
|
21,138
|
|
|
—
|
|
|
—
|
|
|||
Gain on repurchase of the Rochester royalty obligation
|
2,332
|
|
|
—
|
|
|
—
|
|
|||
Gain on sale of Endeavor stream and other royalties
|
1,036
|
|
|
—
|
|
|
—
|
|
|||
Impairment of equity securities
|
(426
|
)
|
|
(703
|
)
|
|
(2,346
|
)
|
|||
Other
|
2,319
|
|
|
923
|
|
|
1,052
|
|
|||
Other, net
|
$
|
26,643
|
|
|
$
|
98
|
|
|
$
|
(17,667
|
)
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2017
|
|
2016
|
|
2015
|
||||||
United States
|
$
|
10,099
|
|
|
$
|
(13,299
|
)
|
|
$
|
(44,101
|
)
|
Foreign
|
29,824
|
|
|
2,487
|
|
|
(272,785
|
)
|
|||
Total
|
$
|
39,923
|
|
|
$
|
(10,812
|
)
|
|
$
|
(316,886
|
)
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2017
|
|
2016
|
|
2015
|
||||||
Current:
|
|
|
|
|
|
|
|
|
|||
United States
|
$
|
1,428
|
|
|
$
|
—
|
|
|
$
|
49
|
|
United States — State mining taxes
|
(6,016
|
)
|
|
(7,826
|
)
|
|
(4,305
|
)
|
|||
United States — Foreign withholding tax
|
(8,466
|
)
|
|
(1,838
|
)
|
|
—
|
|
|||
Argentina
|
55
|
|
|
10
|
|
|
715
|
|
|||
Australia
|
—
|
|
|
14
|
|
|
130
|
|
|||
Canada
|
876
|
|
|
(1,841
|
)
|
|
(516
|
)
|
|||
Mexico
|
(30,763
|
)
|
|
(9,581
|
)
|
|
(476
|
)
|
|||
Deferred:
|
|
|
|
|
|
||||||
United States
|
6,367
|
|
|
(1,610
|
)
|
|
(564
|
)
|
|||
United States — State mining taxes
|
1,052
|
|
|
748
|
|
|
1,952
|
|
|||
Argentina
|
1,531
|
|
|
115
|
|
|
(1,197
|
)
|
|||
Australia
|
—
|
|
|
(1,638
|
)
|
|
3,223
|
|
|||
Canada
|
104
|
|
|
1,338
|
|
|
2,875
|
|
|||
Mexico
|
4,805
|
|
|
55,383
|
|
|
27,189
|
|
|||
New Zealand
|
29
|
|
|
(27
|
)
|
|
—
|
|
|||
Income tax (expense) benefit
|
$
|
(28,998
|
)
|
|
$
|
33,247
|
|
|
$
|
29,075
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2017
|
|
2016
|
|
2015
|
||||||
Income and mining tax (expense) benefit at statutory rate
|
$
|
(14,037
|
)
|
|
$
|
3,718
|
|
|
$
|
110,848
|
|
State tax provision from continuing operations
|
26
|
|
|
336
|
|
|
(2,075
|
)
|
|||
Change in valuation allowance
|
86,712
|
|
|
40,517
|
|
|
(70,457
|
)
|
|||
Effect of tax legislation
|
(88,174
|
)
|
|
—
|
|
|
—
|
|
|||
Percentage depletion
|
703
|
|
|
983
|
|
|
—
|
|
|||
Uncertain tax positions
|
2,596
|
|
|
(8,829
|
)
|
|
170
|
|
|||
U.S. and foreign permanent differences
|
2,348
|
|
|
(2,652
|
)
|
|
(3,376
|
)
|
|||
Mineral interest related
|
—
|
|
|
—
|
|
|
(18,318
|
)
|
|||
Foreign exchange rates
|
(14,180
|
)
|
|
19,701
|
|
|
21,461
|
|
|||
Foreign inflation and indexing
|
(2,346
|
)
|
|
(670
|
)
|
|
1,117
|
|
|||
Foreign tax rate differences
|
2,929
|
|
|
120
|
|
|
(14,062
|
)
|
|||
Mining, foreign withholding, and other taxes
|
(11,274
|
)
|
|
(11,052
|
)
|
|
8,141
|
|
|||
Other, net
|
5,699
|
|
|
—
|
|
|
(4,374
|
)
|
|||
Legal entity reorganization
|
—
|
|
|
(8,925
|
)
|
|
—
|
|
|||
Income and mining tax (expense) benefit
|
$
|
(28,998
|
)
|
|
$
|
33,247
|
|
|
$
|
29,075
|
|
|
Year ended December 31,
|
||||||
In thousands
|
2017
|
|
2016
|
||||
Deferred tax liabilities:
|
|
|
|
|
|
||
Mineral properties
|
$
|
143,773
|
|
|
$
|
60,199
|
|
Unrealized foreign currency loss and other
|
1,748
|
|
|
—
|
|
||
Inventory
|
8,258
|
|
|
4,629
|
|
||
Royalty and other long-term debt
|
—
|
|
|
8,685
|
|
||
|
$
|
153,779
|
|
|
$
|
73,513
|
|
Deferred tax assets:
|
|
|
|
|
|
||
Net operating loss carryforwards
|
$
|
155,512
|
|
|
$
|
186,005
|
|
Property, plant, and equipment
|
60,286
|
|
|
60,828
|
|
||
Mining Royalty Tax
|
11,797
|
|
|
6,359
|
|
||
Capital loss carryforwards
|
19,881
|
|
|
6,770
|
|
||
Asset retirement obligation
|
25,309
|
|
|
26,951
|
|
||
Foreign subsidiaries - unremitted earnings
|
1,842
|
|
|
3,685
|
|
||
Unrealized foreign currency loss and other
|
218
|
|
|
7,413
|
|
||
Accrued expenses
|
13,512
|
|
|
15,193
|
|
||
Tax credit carryforwards
|
45,277
|
|
|
29,227
|
|
||
|
333,634
|
|
|
342,431
|
|
||
Valuation allowance
|
(282,868
|
)
|
|
(338,539
|
)
|
||
|
50,766
|
|
|
3,892
|
|
||
Net deferred tax liabilities
|
$
|
103,013
|
|
|
$
|
69,621
|
|
In thousands
|
U.S.
|
|
Canada
|
|
Mexico
|
|
New Zealand
|
|
Other
|
|
Total
|
||||||||||||
Regular net operating losses
|
$
|
369,973
|
|
|
$
|
39,833
|
|
|
$
|
56,958
|
|
|
$
|
86,165
|
|
|
$
|
12,436
|
|
|
$
|
565,365
|
|
Expiration years
|
2019-2037
|
|
2029-2036
|
|
2017-2026
|
|
Indefinite
|
|
2017-2021
|
|
|
||||||||||||
Alternative minimum tax net operating losses
|
179,882
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
179,882
|
|
||||||
Capital losses
|
72,772
|
|
|
14,018
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
86,790
|
|
||||||
Alternative minimum tax credits
|
1,654
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,654
|
|
||||||
Foreign tax credits
|
41,730
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
41,730
|
|
Unrecognized tax benefits at December 31, 2015
|
$
|
2,131
|
|
Gross increase to current period tax positions
|
239
|
|
|
Gross increase to prior period tax positions
|
5,187
|
|
|
Reductions in unrecognized tax benefits resulting from a lapse of the applicable statute of limitations
|
(400
|
)
|
|
Unrecognized tax benefits at December 31, 2016
|
$
|
7,157
|
|
Gross increase to current period tax positions
|
202
|
|
|
Gross increase to prior period tax positions
|
316
|
|
|
Reductions in unrecognized tax benefits resulting from a lapse of the applicable statute of limitations
|
(2,351
|
)
|
|
Unrecognized tax benefits at December 31, 2017
|
$
|
5,324
|
|
|
Year ended December 31,
|
||||||||||
In thousands except per share amounts
|
2017
|
|
2016
|
|
2015
|
||||||
Net income (loss) available to common stockholders:
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
$
|
10,925
|
|
|
$
|
22,435
|
|
|
$
|
(287,811
|
)
|
Income (loss) from discontinued operations
|
(12,244
|
)
|
|
32,917
|
|
|
(79,372
|
)
|
|||
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
$
|
(367,183
|
)
|
|
|
|
|
|
|
||||||
Weighted average shares:
|
|
|
|
|
|
||||||
Basic
|
180,096
|
|
|
159,853
|
|
|
129,639
|
|
|||
Effect of stock-based compensation plans
|
4,048
|
|
|
3,606
|
|
|
—
|
|
|||
Diluted
|
184,144
|
|
|
163,459
|
|
|
129,639
|
|
|||
|
|
|
|
|
|
||||||
Basic income (loss) per share:
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
Income (loss) from discontinued operations
|
(0.07
|
)
|
|
0.21
|
|
|
(0.61
|
)
|
|||
Basic
|
$
|
(0.01
|
)
|
|
$
|
0.35
|
|
|
$
|
(2.83
|
)
|
|
|
|
|
|
|
||||||
Diluted income (loss) per share:
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
Income (loss) from discontinued operations
|
(0.07
|
)
|
|
0.20
|
|
|
(0.61
|
)
|
|||
Diluted
|
$
|
(0.01
|
)
|
|
$
|
0.34
|
|
|
$
|
(2.83
|
)
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2017
|
|
2016
|
|
2015
|
||||||
Rochester royalty obligation
|
$
|
(864
|
)
|
|
$
|
(4,133
|
)
|
|
$
|
818
|
|
Palmarejo royalty obligation embedded derivative
|
—
|
|
|
(5,866
|
)
|
|
3,101
|
|
|||
Silver and gold options
|
—
|
|
|
(1,582
|
)
|
|
1,283
|
|
|||
Fair value adjustments, net
|
$
|
(864
|
)
|
|
$
|
(11,581
|
)
|
|
$
|
5,202
|
|
|
Fair Value at December 31, 2017
|
||||||||||||||
In thousands
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
Assets:
|
|
|
|
|
|
|
|
||||||||
Equity and debt securities
|
$
|
34,837
|
|
|
$
|
27,946
|
|
|
$
|
—
|
|
|
$
|
6,891
|
|
Other derivative instruments, net
|
251
|
|
|
—
|
|
|
251
|
|
|
—
|
|
||||
|
$
|
35,088
|
|
|
$
|
27,946
|
|
|
$
|
251
|
|
|
$
|
6,891
|
|
Liabilities:
|
|
|
|
|
|
|
|
||||||||
Silvertip contingent consideration
|
$
|
47,965
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
47,965
|
|
Other derivative instruments, net
|
222
|
|
|
—
|
|
|
222
|
|
|
—
|
|
||||
|
$
|
48,187
|
|
|
$
|
—
|
|
|
$
|
222
|
|
|
$
|
47,965
|
|
|
Fair Value at December 31, 2016
|
||||||||||||||
In thousands
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
Assets:
|
|
|
|
|
|
|
|
||||||||
Equity securities
|
$
|
4,488
|
|
|
$
|
4,209
|
|
|
$
|
—
|
|
|
$
|
279
|
|
|
$
|
4,488
|
|
|
$
|
4,209
|
|
|
$
|
—
|
|
|
$
|
279
|
|
Liabilities:
|
|
|
|
|
|
|
|
||||||||
Rochester royalty obligation
|
$
|
9,287
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
9,287
|
|
Other derivative instruments, net
|
762
|
|
|
—
|
|
|
762
|
|
|
—
|
|
||||
|
$
|
10,049
|
|
|
$
|
—
|
|
|
$
|
762
|
|
|
$
|
9,287
|
|
|
Year Ended December 31, 2017
|
||||||||||||||||||||||
In thousands
|
Balance at the beginning of the period
|
|
Additions
|
|
Revaluation
|
|
Settlements
|
|
Gain on settlement
|
|
Balance at the
end of the
period
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Equity and debt securities
|
$
|
279
|
|
|
$
|
6,677
|
|
|
$
|
(65
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6,891
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Rochester royalty obligation
|
$
|
9,287
|
|
|
$
|
—
|
|
|
$
|
864
|
|
|
$
|
(7,819
|
)
|
|
$
|
(2,332
|
)
|
|
$
|
—
|
|
Silvertip contingent consideration
|
$
|
—
|
|
|
$
|
47,705
|
|
|
$
|
260
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
47,965
|
|
|
Year Ended December 31, 2016
|
||||||||||||||||||||||
In thousands
|
Balance at the beginning of the period
|
|
Additions
|
|
Revaluation
|
|
Settlements
|
|
Gain on settlement
|
|
Balance at the
end of the
period
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Equity and debt securities
|
$
|
10
|
|
|
$
|
—
|
|
|
$
|
272
|
|
|
$
|
(3
|
)
|
|
$
|
—
|
|
|
$
|
279
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Palmarejo royalty obligation embedded derivative
|
$
|
4,957
|
|
|
$
|
—
|
|
|
$
|
5,866
|
|
|
$
|
(10,823
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Rochester royalty obligation
|
$
|
9,593
|
|
|
$
|
—
|
|
|
$
|
4,133
|
|
|
$
|
(4,439
|
)
|
|
$
|
—
|
|
|
$
|
9,287
|
|
|
December 31, 2017
|
||||||||||||||||||
In thousands
|
Book Value
|
|
Fair Value
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||||
Liabilities:
|
|
|
|
|
|
|
|
|
|
||||||||||
5.875% Senior Notes due 2024
(1)
|
$
|
245,088
|
|
|
$
|
243,913
|
|
|
$
|
—
|
|
|
$
|
243,913
|
|
|
$
|
—
|
|
Revolving Credit Facility
(2)
|
$
|
100,000
|
|
|
$
|
100,000
|
|
|
$
|
—
|
|
|
$
|
100,000
|
|
|
$
|
—
|
|
(1)
|
Net of unamortized debt issuance costs of
$4.9 million
.
|
(2)
|
Unamortized debt issuance costs of
$1.9 million
at
December 31, 2017
included in
Other Non-Current Assets
.
|
|
December 31, 2016
|
||||||||||||||||||
In thousands
|
Book Value
|
|
Fair Value
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||||
Liabilities:
|
|
|
|
|
|
|
|
|
|
||||||||||
7.875% Senior Notes due 2021
(1)
|
$
|
175,991
|
|
|
$
|
184,373
|
|
|
$
|
—
|
|
|
$
|
184,373
|
|
|
$
|
—
|
|
(1)
|
Net of unamortized debt issuance costs and premium received of
$2.0 million
.
|
In thousands except average prices and notional ounces
|
2018
|
|
Thereafter
|
||||
|
|
|
|
||||
Provisional silver sales contracts
|
$
|
383
|
|
|
$
|
—
|
|
Average silver price
|
$
|
16.61
|
|
|
$
|
—
|
|
Notional ounces
|
23,065
|
|
|
—
|
|
||
|
|
|
|
||||
Provisional gold sales contracts
|
$
|
53,214
|
|
|
$
|
—
|
|
Average gold price
|
$
|
1,283
|
|
|
$
|
—
|
|
Notional ounces
|
41,476
|
|
|
—
|
|
|
December 31, 2017
|
||||||||||||||
In thousands
|
Prepaid expenses and other
|
|
Accrued liabilities and other
|
|
Current portion of royalty obligation
|
|
Non-current portion of royalty obligation
|
||||||||
Provisional silver and gold sales contracts
|
$
|
251
|
|
|
$
|
222
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
December 31, 2016
|
||||||||||||||
In thousands
|
Prepaid expenses and other
|
|
Accrued liabilities and other
|
|
Current portion of royalty obligation
|
|
Non-current portion of royalty obligation
|
||||||||
Provisional silver and gold sales contracts
|
$
|
—
|
|
|
$
|
762
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
Year ended December 31,
|
||||||||||
Financial statement line
|
Derivative
|
2017
|
|
2016
|
|
2015
|
||||||
Revenue
|
Provisional silver and gold sales contracts
|
$
|
631
|
|
|
$
|
(239
|
)
|
|
$
|
214
|
|
Fair value adjustments, net
|
Palmarejo gold production royalty
|
—
|
|
|
(5,866
|
)
|
|
3,101
|
|
|||
Fair value adjustments, net
|
Silver and gold options
|
—
|
|
|
(1,582
|
)
|
|
1,283
|
|
|||
|
|
$
|
631
|
|
|
$
|
(7,687
|
)
|
|
$
|
4,598
|
|
Common shares issued (4,191,679 at $8.59)
|
$
|
36,007
|
|
Cash
|
156,247
|
|
|
Contingent consideration
|
47,705
|
|
|
Total purchase price
|
$
|
239,959
|
|
Assets:
|
|
||
Receivables and other assets
|
$
|
9,881
|
|
Property, plant, and equipment
|
29,943
|
|
|
Mining properties, net
|
288,464
|
|
|
|
328,288
|
|
|
Liabilities:
|
|
||
Accounts payable and accrued liabilities
|
13,077
|
|
|
Asset retirement obligation
|
6,982
|
|
|
Debt and capital lease
|
20,149
|
|
|
Deferred income taxes
|
48,121
|
|
|
|
88,329
|
|
|
Net assets acquired
|
$
|
239,959
|
|
Common shares issued (32,667,327 at $5.78)
|
$
|
188,817
|
|
Cash
|
8,530
|
|
|
Transaction advisory fees and other acquisition costs
|
4,020
|
|
|
Total purchase price
|
$
|
201,367
|
|
|
|
||
Total assets acquired
|
$
|
307,193
|
|
Total liabilities assumed
|
105,826
|
|
|
Net assets acquired
|
$
|
201,367
|
|
Total assets acquired
|
133,269
|
|
|
Total liabilities assumed
|
33,873
|
|
|
Net assets acquired
|
$
|
99,396
|
|
|
At December 31, 2017
|
||||||||||||||
In thousands
|
Cost
|
|
Gross
Unrealized
Losses
|
|
Gross
Unrealized
Gains
|
|
Estimated
Fair Value
|
||||||||
Equity Securities
|
|
|
|
|
|
|
|
||||||||
Metalla Royalty & Streaming Ltd.
|
$
|
6,294
|
|
|
$
|
—
|
|
|
$
|
1,354
|
|
|
$
|
7,648
|
|
Corvus Gold Inc.
|
3,582
|
|
|
—
|
|
|
4,518
|
|
|
8,100
|
|
||||
Almaden Minerals, Ltd.
|
3,125
|
|
|
(235
|
)
|
|
—
|
|
|
2,890
|
|
||||
Northern Empire Resources Corp.
|
4,489
|
|
|
—
|
|
|
1,077
|
|
|
5,566
|
|
||||
Rockhaven Resources, Ltd.
|
2,064
|
|
|
(193
|
)
|
|
—
|
|
|
1,871
|
|
||||
Kootenay Silver, Inc.
|
738
|
|
|
—
|
|
|
1
|
|
|
739
|
|
||||
Other
|
1,479
|
|
|
(453
|
)
|
|
405
|
|
|
1,431
|
|
||||
Equity securities
|
$
|
21,771
|
|
|
$
|
(881
|
)
|
|
$
|
7,355
|
|
|
$
|
28,245
|
|
|
|
|
|
|
|
|
|
||||||||
Debt Securities
|
|
|
|
|
|
|
|
||||||||
Metalla Royalty & Streaming Ltd.
|
$
|
6,677
|
|
|
$
|
(85
|
)
|
|
$
|
—
|
|
|
$
|
6,592
|
|
|
|
|
|
|
|
|
|
||||||||
Equity and debt securities
|
$
|
28,448
|
|
|
$
|
(966
|
)
|
|
$
|
7,355
|
|
|
$
|
34,837
|
|
|
At December 31, 2016
|
||||||||||||||
In thousands
|
Cost
|
|
Gross
Unrealized
Losses
|
|
Gross
Unrealized
Gains
|
|
Estimated
Fair Value
|
||||||||
Kootenay Silver, Inc.
|
$
|
2,645
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2,645
|
|
Silver Bull Resources, Inc.
|
233
|
|
|
—
|
|
|
783
|
|
|
1,016
|
|
||||
Other
|
229
|
|
|
—
|
|
|
598
|
|
|
827
|
|
||||
Equity securities
|
$
|
3,107
|
|
|
$
|
—
|
|
|
$
|
1,381
|
|
|
$
|
4,488
|
|
|
Less than twelve months
|
|
Twelve months or more
|
|
Total
|
|||||||||||||||
In thousands
|
Unrealized Losses
|
Fair Value
|
|
Unrealized Losses
|
Fair Value
|
|
Unrealized Losses
|
Fair Value
|
||||||||||||
Equity securities
|
$
|
881
|
|
$
|
5,662
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
881
|
|
$
|
5,662
|
|
Debt securities
|
85
|
|
6,592
|
|
|
—
|
|
—
|
|
|
85
|
|
6,592
|
|
In thousands
|
December 31, 2017
|
|
December 31, 2016
|
||||
Current receivables:
|
|
|
|
||||
Trade receivables
|
$
|
5,883
|
|
|
$
|
5,973
|
|
Income tax receivable
|
7
|
|
|
1,038
|
|
||
Value added tax receivable
|
10,982
|
|
|
44,150
|
|
||
Other
|
2,197
|
|
|
2,254
|
|
||
|
$
|
19,069
|
|
|
$
|
53,415
|
|
Non-current receivables:
|
|
|
|
||||
Value added tax receivable
|
$
|
28,750
|
|
|
$
|
2,088
|
|
Income tax receivable
|
—
|
|
|
11,657
|
|
||
|
28,750
|
|
|
13,745
|
|
||
Total receivables
|
$
|
47,819
|
|
|
$
|
67,160
|
|
In thousands
|
December 31, 2017
|
|
December 31, 2016
|
||||
Inventory:
|
|
|
|
||||
Concentrate
|
$
|
6,831
|
|
|
$
|
17,994
|
|
Precious metals
|
18,803
|
|
|
41,955
|
|
||
Supplies
|
32,596
|
|
|
33,487
|
|
||
|
58,230
|
|
|
93,436
|
|
||
Ore on leach pads:
|
|
|
|
||||
Current
|
73,752
|
|
|
64,167
|
|
||
Non-current
|
65,393
|
|
|
67,231
|
|
||
|
139,145
|
|
|
131,398
|
|
||
Total inventory and ore on leach pads
|
$
|
197,375
|
|
|
$
|
224,834
|
|
In thousands
|
December 31, 2017
|
|
December 31, 2016
|
||||
Land
|
$
|
9,408
|
|
|
$
|
7,869
|
|
Facilities and equipment
|
554,160
|
|
|
532,122
|
|
||
Assets under capital leases
|
82,753
|
|
|
54,297
|
|
||
|
646,321
|
|
|
594,288
|
|
||
Accumulated amortization
(1)
|
(448,001
|
)
|
|
(423,361
|
)
|
||
|
198,320
|
|
|
170,927
|
|
||
Construction in progress
|
56,417
|
|
|
22,496
|
|
||
Property, plant and equipment, net
|
$
|
254,737
|
|
|
$
|
193,423
|
|
December 31, 2017
|
Palmarejo
|
|
Rochester
|
|
Silvertip
|
|
Kensington
|
|
Wharf
|
|
La Preciosa
|
|
Total
|
|||||||||||||||
Mine development
|
$
|
214,383
|
|
|
$
|
193,881
|
|
|
$
|
57,214
|
|
|
$
|
298,749
|
|
|
$
|
40,618
|
|
|
$
|
—
|
|
|
$
|
804,845
|
|
|
Accumulated amortization
|
(146,598
|
)
|
|
(144,390
|
)
|
|
—
|
|
|
(178,632
|
)
|
|
(15,748
|
)
|
|
—
|
|
|
(485,368
|
)
|
||||||||
|
67,785
|
|
|
49,491
|
|
|
57,214
|
|
|
120,117
|
|
|
24,870
|
|
|
—
|
|
|
319,477
|
|
||||||||
Mineral interests
|
629,303
|
|
|
—
|
|
|
245,116
|
|
|
—
|
|
|
45,837
|
|
|
49,085
|
|
|
969,341
|
|
||||||||
Accumulated amortization
|
(435,215
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(24,034
|
)
|
—
|
|
—
|
|
|
(459,249
|
)
|
|||||||
|
194,088
|
|
|
—
|
|
|
245,116
|
|
|
—
|
|
|
21,803
|
|
|
49,085
|
|
|
510,092
|
|
||||||||
Mining properties, net
|
$
|
261,873
|
|
|
$
|
49,491
|
|
|
$
|
302,330
|
|
|
$
|
120,117
|
|
|
$
|
46,673
|
|
|
$
|
49,085
|
|
|
$
|
829,569
|
|
December 31, 2016
|
Palmarejo
|
|
Rochester
|
|
Kensington
|
|
Wharf
|
|
La Preciosa
|
|
Joaquin
|
|
Other
|
|
Total
|
||||||||||||||||
Mine development
|
$
|
174,890
|
|
|
$
|
165,230
|
|
|
$
|
271,175
|
|
|
$
|
37,485
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
648,780
|
|
Accumulated amortization
|
(134,995
|
)
|
|
(138,244
|
)
|
|
(154,744
|
)
|
|
(11,699
|
)
|
|
—
|
|
|
|
|
|
—
|
|
|
(439,682
|
)
|
||||||||
|
39,895
|
|
|
26,986
|
|
|
116,431
|
|
|
25,786
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
209,098
|
|
||||||||
Mineral interests
|
629,303
|
|
|
—
|
|
|
—
|
|
|
45,837
|
|
|
49,085
|
|
|
10,000
|
|
|
37,272
|
|
|
771,497
|
|
||||||||
Accumulated amortization
|
(381,686
|
)
|
|
—
|
|
|
—
|
|
|
(19,249
|
)
|
|
—
|
|
|
—
|
|
|
(29,370
|
)
|
|
(430,305
|
)
|
||||||||
|
247,617
|
|
|
—
|
|
|
—
|
|
|
26,588
|
|
|
49,085
|
|
|
10,000
|
|
|
7,902
|
|
|
341,192
|
|
||||||||
Mining properties, net
|
$
|
287,512
|
|
|
$
|
26,986
|
|
|
$
|
116,431
|
|
|
$
|
52,374
|
|
|
$
|
49,085
|
|
|
$
|
10,000
|
|
|
$
|
7,902
|
|
|
$
|
550,290
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||
In thousands
|
Current
|
|
Non-Current
|
|
Current
|
|
Non-Current
|
||||||||
2024 Senior Notes, net
(1)
|
$
|
—
|
|
|
$
|
245,088
|
|
|
$
|
—
|
|
|
$
|
—
|
|
2021 Senior Notes, net
(2)
|
—
|
|
|
—
|
|
|
—
|
|
|
175,991
|
|
||||
Revolving Credit Facility
(3)
|
—
|
|
|
100,000
|
|
|
—
|
|
|
—
|
|
||||
Capital lease obligations
|
16,559
|
|
|
35,481
|
|
|
11,955
|
|
|
22,691
|
|
||||
Silvertip debt obligation
|
14,194
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
|
$
|
30,753
|
|
|
$
|
380,569
|
|
|
$
|
11,955
|
|
|
$
|
198,682
|
|
At December 31, (
In thousands)
|
|
|
||||
|
Operating leases
|
Capital leases
|
||||
2018
|
$
|
5,220
|
|
$
|
18,758
|
|
2019
|
5,154
|
|
13,938
|
|
||
2020
|
4,669
|
|
11,018
|
|
||
2021
|
3,798
|
|
9,646
|
|
||
2022
|
2,646
|
|
3,510
|
|
||
Thereafter
|
4,099
|
|
40
|
|
||
Total
|
$
|
25,586
|
|
$
|
56,910
|
|
Less: imputed interest
|
—
|
|
(4,696
|
)
|
||
Net lease obligation
|
$
|
25,586
|
|
$
|
52,214
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2017
|
|
2016
|
|
2015
|
||||||
2024 Senior Notes
|
$
|
8,608
|
|
|
$
|
—
|
|
|
$
|
—
|
|
2021 Senior Notes
|
6,221
|
|
|
28,871
|
|
|
$
|
33,437
|
|
||
Revolving Credit Facility
|
885
|
|
|
—
|
|
|
—
|
|
|||
3.25% Convertible Senior Notes due 2028
|
—
|
|
|
13
|
|
|
54
|
|
|||
Term Loan due 2020
|
—
|
|
|
4,939
|
|
|
4,715
|
|
|||
Capital lease obligations
|
1,621
|
|
|
1,422
|
|
|
999
|
|
|||
Accretion of Palmarejo gold production royalty obligation
|
—
|
|
|
1,211
|
|
|
6,567
|
|
|||
Amortization of debt issuance costs
|
809
|
|
|
1,933
|
|
|
2,257
|
|
|||
Accretion of debt premium
|
(71
|
)
|
|
(345
|
)
|
|
(409
|
)
|
|||
Accretion of Silvertip contingent consideration
|
260
|
|
|
—
|
|
|
—
|
|
|||
Other debt obligations
|
42
|
|
|
58
|
|
|
350
|
|
|||
Capitalized interest
|
(1,935
|
)
|
|
(1,206
|
)
|
|
(2,992
|
)
|
|||
Total interest expense, net of capitalized interest
|
$
|
16,440
|
|
|
$
|
36,896
|
|
|
$
|
44,978
|
|
In thousands
|
|
Coeur Mining, Inc.
|
|
Guarantor Subsidiaries
|
|
Non-Guarantor Subsidiaries
|
|
Eliminations
|
|
Consolidated
|
||||||||||
Revenue
|
|
$
|
—
|
|
|
$
|
433,050
|
|
|
$
|
276,548
|
|
|
$
|
—
|
|
|
$
|
709,598
|
|
COSTS AND EXPENSES
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Costs applicable to sales
(1)
|
|
—
|
|
|
293,340
|
|
|
146,920
|
|
|
—
|
|
|
440,260
|
|
|||||
Amortization
|
|
1,157
|
|
|
71,340
|
|
|
74,052
|
|
|
—
|
|
|
146,549
|
|
|||||
General and administrative
|
|
33,379
|
|
|
28
|
|
|
209
|
|
|
—
|
|
|
33,616
|
|
|||||
Exploration
|
|
1,592
|
|
|
13,689
|
|
|
15,030
|
|
|
—
|
|
|
30,311
|
|
|||||
Pre-development, reclamation, and other
|
|
4,705
|
|
|
7,497
|
|
|
6,734
|
|
|
—
|
|
|
18,936
|
|
|||||
Total costs and expenses
|
|
40,833
|
|
|
385,894
|
|
|
242,945
|
|
|
—
|
|
|
669,672
|
|
|||||
OTHER INCOME (EXPENSE), NET
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loss on debt extinguishments
|
|
(9,342
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(9,342
|
)
|
|||||
Fair value adjustments, net
|
|
—
|
|
|
(864
|
)
|
|
—
|
|
|
—
|
|
|
(864
|
)
|
|||||
Other, net
|
|
21,254
|
|
|
2,936
|
|
|
10,179
|
|
|
(7,726
|
)
|
|
26,643
|
|
|||||
Interest expense, net of capitalized interest
|
|
(14,657
|
)
|
|
(975
|
)
|
|
(8,534
|
)
|
|
7,726
|
|
|
(16,440
|
)
|
|||||
Total other income (expense), net
|
|
(2,745
|
)
|
|
1,097
|
|
|
1,645
|
|
|
—
|
|
|
(3
|
)
|
|||||
Income (loss) from continuing operations before income and mining taxes
|
|
(43,578
|
)
|
|
48,253
|
|
|
35,248
|
|
|
—
|
|
|
39,923
|
|
|||||
Income and mining tax (expense) benefit
|
|
2,170
|
|
|
(5,758
|
)
|
|
(25,410
|
)
|
|
—
|
|
|
(28,998
|
)
|
|||||
Income (loss) from continuing operations
|
|
(41,408
|
)
|
|
42,495
|
|
|
9,838
|
|
|
—
|
|
|
10,925
|
|
|||||
Equity income (loss) in consolidated subsidiaries
|
|
40,089
|
|
|
(577
|
)
|
|
4,416
|
|
|
(43,928
|
)
|
|
—
|
|
|||||
Income (loss) from discontinued operations
|
|
—
|
|
|
—
|
|
|
(12,244
|
)
|
|
—
|
|
|
(12,244
|
)
|
|||||
NET INCOME (LOSS)
|
|
$
|
(1,319
|
)
|
|
$
|
41,918
|
|
|
$
|
2,010
|
|
|
$
|
(43,928
|
)
|
|
$
|
(1,319
|
)
|
OTHER COMPREHENSIVE INCOME (LOSS), net of tax:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Unrealized gain (loss) on marketable securities, net of tax
|
|
3,227
|
|
|
915
|
|
|
—
|
|
|
(915
|
)
|
|
3,227
|
|
|||||
Reclassification adjustments for impairment of equity securities, net of tax
|
|
426
|
|
|
426
|
|
|
—
|
|
|
(426
|
)
|
|
426
|
|
|||||
Reclassification adjustments for realized gain (loss) on sale of equity securities, net of tax
|
|
1,354
|
|
|
486
|
|
|
—
|
|
|
(486
|
)
|
|
1,354
|
|
|||||
Other comprehensive income (loss)
|
|
5,007
|
|
|
1,827
|
|
|
—
|
|
|
(1,827
|
)
|
|
5,007
|
|
|||||
COMPREHENSIVE INCOME (LOSS)
|
|
$
|
3,688
|
|
|
$
|
43,745
|
|
|
$
|
2,010
|
|
|
$
|
(45,755
|
)
|
|
$
|
3,688
|
|
In thousands
|
|
Coeur Mining, Inc.
|
|
Guarantor Subsidiaries
|
|
Non-Guarantor Subsidiaries
|
|
Eliminations
|
|
Consolidated
|
||||||||||
Revenue
|
|
$
|
—
|
|
|
$
|
423,488
|
|
|
$
|
148,409
|
|
|
$
|
—
|
|
|
$
|
571,897
|
|
COSTS AND EXPENSES
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Costs applicable to sales
(1)
|
|
—
|
|
|
252,836
|
|
|
82,539
|
|
|
—
|
|
|
335,375
|
|
|||||
Amortization
|
|
1,558
|
|
|
77,392
|
|
|
37,578
|
|
|
—
|
|
|
116,528
|
|
|||||
COSTS AND EXPENSES
|
|
|
|
|
|
|
|
|
|
|
||||||||||
General and administrative
|
|
28,704
|
|
|
250
|
|
|
321
|
|
|
—
|
|
|
29,275
|
|
|||||
Exploration
|
|
1,596
|
|
|
6,127
|
|
|
5,207
|
|
|
—
|
|
|
12,930
|
|
|||||
Write-downs
|
|
—
|
|
|
—
|
|
|
4,446
|
|
|
—
|
|
|
4,446
|
|
|||||
Pre-development, reclamation, and other
|
|
2,044
|
|
|
5,839
|
|
|
6,528
|
|
|
—
|
|
|
14,411
|
|
|||||
Total costs and expenses
|
|
33,902
|
|
|
342,444
|
|
|
136,619
|
|
|
—
|
|
|
512,965
|
|
|||||
OTHER INCOME (EXPENSE), NET
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loss on debt extinguishments
|
|
(21,365
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(21,365
|
)
|
|||||
Fair value adjustments, net
|
|
(1,635
|
)
|
|
(4,133
|
)
|
|
(5,813
|
)
|
|
—
|
|
|
(11,581
|
)
|
|||||
Other, net
|
|
4,357
|
|
|
2,139
|
|
|
(1,314
|
)
|
|
(5,084
|
)
|
|
98
|
|
|||||
Interest expense, net of capitalized interest
|
|
(35,158
|
)
|
|
(861
|
)
|
|
(5,961
|
)
|
|
5,084
|
|
|
(36,896
|
)
|
|||||
Total other income (expense), net
|
|
(53,801
|
)
|
|
(2,855
|
)
|
|
(13,088
|
)
|
|
—
|
|
|
(69,744
|
)
|
|||||
Income (loss) from continuing operations before income and mining taxes
|
|
(87,703
|
)
|
|
78,189
|
|
|
(1,298
|
)
|
|
—
|
|
|
(10,812
|
)
|
|||||
Income and mining tax (expense) benefit
|
|
11,733
|
|
|
(7,517
|
)
|
|
29,031
|
|
|
—
|
|
|
33,247
|
|
|||||
Income (loss) from continuing operations
|
|
(75,970
|
)
|
|
70,672
|
|
|
27,733
|
|
|
—
|
|
|
22,435
|
|
|||||
Equity income (loss) in consolidated subsidiaries
|
|
131,322
|
|
|
(4,353
|
)
|
|
—
|
|
|
(126,969
|
)
|
|
—
|
|
|||||
Income (loss) from discontinued operations
|
|
—
|
|
|
—
|
|
|
32,917
|
|
|
—
|
|
|
32,917
|
|
|||||
NET INCOME (LOSS)
|
|
$
|
55,352
|
|
|
$
|
66,319
|
|
|
$
|
60,650
|
|
|
$
|
(126,969
|
)
|
|
$
|
55,352
|
|
OTHER COMPREHENSIVE INCOME (LOSS), net of tax:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Unrealized gain (loss) on marketable securities, net of tax
|
|
3,222
|
|
|
3,156
|
|
|
—
|
|
|
(3,156
|
)
|
|
3,222
|
|
|||||
Reclassification adjustments for impairment of equity securities, net of tax
|
|
703
|
|
|
703
|
|
|
—
|
|
|
(703
|
)
|
|
703
|
|
|||||
Reclassification adjustments for realized loss on sale of equity securities, net of tax
|
|
(2,691
|
)
|
|
(3,181
|
)
|
|
—
|
|
|
3,181
|
|
|
(2,691
|
)
|
|||||
Other comprehensive income (loss)
|
|
1,234
|
|
|
678
|
|
|
—
|
|
|
(678
|
)
|
|
1,234
|
|
|||||
COMPREHENSIVE INCOME (LOSS)
|
|
$
|
56,586
|
|
|
$
|
66,997
|
|
|
$
|
60,650
|
|
|
$
|
(127,647
|
)
|
|
$
|
56,586
|
|
In thousands
|
|
Coeur Mining, Inc.
|
|
Guarantor Subsidiaries
|
|
Non-Guarantor Subsidiaries
|
|
Eliminations
|
|
Consolidated
|
||||||||||
Revenue
|
|
$
|
—
|
|
|
$
|
378,278
|
|
|
$
|
183,129
|
|
|
$
|
—
|
|
|
$
|
561,407
|
|
COSTS AND EXPENSES
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Costs applicable to sales
(1)
|
|
—
|
|
|
261,830
|
|
|
141,997
|
|
|
—
|
|
|
403,827
|
|
|||||
Amortization
|
|
1,991
|
|
|
83,325
|
|
|
40,637
|
|
|
—
|
|
|
125,953
|
|
|||||
COSTS AND EXPENSES
|
|
|
|
|
|
|
|
|
|
|
||||||||||
General and administrative
|
|
32,405
|
|
|
35
|
|
|
196
|
|
|
—
|
|
|
32,636
|
|
|||||
Exploration
|
|
2,265
|
|
|
3,931
|
|
|
5,325
|
|
|
—
|
|
|
11,521
|
|
|||||
Write-downs
|
|
—
|
|
|
1,630
|
|
|
244,995
|
|
|
—
|
|
|
246,625
|
|
|||||
Pre-development, reclamation, and other
|
|
4,083
|
|
|
5,920
|
|
|
6,201
|
|
|
—
|
|
|
16,204
|
|
|||||
Total costs and expenses
|
|
40,744
|
|
|
356,671
|
|
|
439,351
|
|
|
—
|
|
|
836,766
|
|
|||||
OTHER INCOME (EXPENSE), NET
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Gain on debt extinguishments
|
|
15,916
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15,916
|
|
|||||
Fair value adjustments, net
|
|
1,224
|
|
|
818
|
|
|
3,160
|
|
|
—
|
|
|
5,202
|
|
|||||
Other, net
|
|
4,336
|
|
|
(3,106
|
)
|
|
(15,121
|
)
|
|
(3,776
|
)
|
|
(17,667
|
)
|
|||||
Interest expense, net of capitalized interest
|
|
(39,867
|
)
|
|
(966
|
)
|
|
(7,921
|
)
|
|
3,776
|
|
|
(44,978
|
)
|
|||||
Total other income (expense), net
|
|
(18,391
|
)
|
|
(3,254
|
)
|
|
(19,882
|
)
|
|
—
|
|
|
(41,527
|
)
|
|||||
Income (loss) from continuing operations before income and mining taxes
|
|
(59,135
|
)
|
|
18,353
|
|
|
(276,104
|
)
|
|
—
|
|
|
(316,886
|
)
|
|||||
Income and mining tax (expense) benefit
|
|
1,827
|
|
|
(2,354
|
)
|
|
29,602
|
|
|
—
|
|
|
29,075
|
|
|||||
Income (loss) from continuing operations
|
|
(57,308
|
)
|
|
15,999
|
|
|
(246,502
|
)
|
|
—
|
|
|
(287,811
|
)
|
|||||
Equity income (loss) in consolidated subsidiaries
|
|
(309,875
|
)
|
|
(14,814
|
)
|
|
—
|
|
|
324,689
|
|
|
—
|
|
|||||
Income (loss) from discontinued operations
|
|
—
|
|
|
—
|
|
|
(79,372
|
)
|
|
—
|
|
|
(79,372
|
)
|
|||||
NET INCOME (LOSS)
|
|
$
|
(367,183
|
)
|
|
$
|
1,185
|
|
|
$
|
(325,874
|
)
|
|
$
|
324,689
|
|
|
$
|
(367,183
|
)
|
OTHER COMPREHENSIVE INCOME (LOSS), net of tax:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Unrealized gain (loss) on equity securities, net of tax
|
|
(4,154
|
)
|
|
(3,118
|
)
|
|
—
|
|
|
3,118
|
|
|
(4,154
|
)
|
|||||
Reclassification adjustments for impairment of equity securities, net of tax
|
|
2,346
|
|
|
2,346
|
|
|
—
|
|
|
(2,346
|
)
|
|
2,346
|
|
|||||
Reclassification adjustments for realized loss on sale of equity securities, net of tax
|
|
894
|
|
|
894
|
|
|
—
|
|
|
(894
|
)
|
|
894
|
|
|||||
Other comprehensive income (loss)
|
|
(914
|
)
|
|
122
|
|
|
—
|
|
|
(122
|
)
|
|
(914
|
)
|
|||||
COMPREHENSIVE INCOME (LOSS)
|
|
$
|
(368,097
|
)
|
|
$
|
1,307
|
|
|
$
|
(325,874
|
)
|
|
$
|
324,567
|
|
|
$
|
(368,097
|
)
|
•
|
2.0%
net smelter returns royalty (the “NSR”) payable to Coeur on all metals processed through the San Bartolomé Mine’s processing facility, commencing on the first anniversary of the closing of the Transaction. Coeur estimates the value of this NSR to be approximately
$5.0 million
.
|
•
|
Approximately
$13.0 million
of pre-closing value added tax refunds that will be collected or received by Manquiri in the future will be paid to Coeur (net of collection costs).
|
•
|
One-year promissory note of approximately
$28.0 million
payable to Coeur with an aggregate principal amount equal to Manquiri’s cash and cash equivalents (the “Note”).
|
•
|
The Agreement includes certain post-closing covenants, guaranties and indemnification obligations on the part of the Company for which the Company is expected to recognize a liability of approximately
$6.0 million
when the Transaction closes.
|
|
December 31, 2017
|
|
December 31, 2016
|
||||
ASSETS
|
|
|
|
||||
CURRENT ASSETS
|
|
|
|
||||
Cash and cash equivalents
|
$
|
32,931
|
|
|
$
|
43,870
|
|
Receivables
|
7,295
|
|
|
7,016
|
|
||
Inventory
|
10,655
|
|
|
12,590
|
|
||
Prepaid expenses and other
|
13,415
|
|
|
7,966
|
|
||
Property, plant and equipment, net
|
20,240
|
|
|
—
|
|
||
Mining properties, net
|
6,885
|
|
|
—
|
|
||
|
91,421
|
|
|
71,442
|
|
||
|
|
|
|
||||
NON-CURRENT ASSETS
|
|
|
|
||||
Property, plant and equipment, net
|
—
|
|
|
23,373
|
|
||
Mining properties, net
|
—
|
|
|
8,165
|
|
||
Receivables
|
—
|
|
|
17,225
|
|
||
TOTAL ASSETS
|
$
|
91,421
|
|
|
$
|
120,205
|
|
LIABILITIES
|
|
|
|
||||
CURRENT LIABILITIES
|
|
|
|
||||
Accounts payable
|
$
|
10,974
|
|
|
$
|
8,675
|
|
Accrued liabilities and other
|
5,161
|
|
|
6,382
|
|
||
Reclamation
|
15,179
|
|
|
413
|
|
||
Other
|
19,363
|
|
|
—
|
|
||
|
50,677
|
|
|
15,470
|
|
||
NON-CURRENT LIABILITIES
|
|
|
|
||||
Reclamation
|
—
|
|
|
10,212
|
|
||
Deferred tax liabilities
|
—
|
|
|
4,987
|
|
||
Other
|
—
|
|
|
18,558
|
|
||
TOTAL LIABILITIES
|
$
|
50,677
|
|
|
$
|
49,227
|
|
|
Year ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Revenue
|
$
|
73,065
|
|
|
$
|
93,880
|
|
|
$
|
84,679
|
|
Costs applicable to sales
(1)
|
74,074
|
|
|
74,166
|
|
|
75,827
|
|
|||
Amortization
|
5,899
|
|
|
6,633
|
|
|
17,798
|
|
|||
General and administrative
|
172
|
|
|
101
|
|
|
198
|
|
|||
Exploration
|
23
|
|
|
—
|
|
|
126
|
|
|||
Write-downs
|
3,390
|
|
|
—
|
|
|
66,712
|
|
|||
Pre-development, reclamation, and other
|
4,664
|
|
|
2,808
|
|
|
1,589
|
|
|||
Interest expense, net of capitalized interest
|
(27
|
)
|
|
(24
|
)
|
|
(725
|
)
|
|||
Other, net
|
1,763
|
|
|
1,777
|
|
|
1,736
|
|
|||
Pretax profit or loss of discontinued operations related to major classes of pretax profit (loss)
|
(13,421
|
)
|
|
11,925
|
|
|
(76,560
|
)
|
|||
Pretax gain or loss on the disposal of the discontinued operation
|
—
|
|
|
—
|
|
|
—
|
|
|||
Total pretax gain or loss on discontinued operations
|
(13,421
|
)
|
|
11,925
|
|
|
(76,560
|
)
|
|||
Income and mining tax (expense) benefit
|
1,177
|
|
|
20,992
|
|
|
(2,812
|
)
|
|||
Income (loss) from discontinued operations.
|
$
|
(12,244
|
)
|
|
$
|
32,917
|
|
|
$
|
(79,372
|
)
|
|
December 31, 2017
|
|
December 31, 2016
|
||||
Accrued salaries and wages
|
$
|
26,559
|
|
|
$
|
20,895
|
|
Income and mining taxes
|
25,788
|
|
|
3,721
|
|
||
Silvertip contingent consideration
|
24,393
|
|
|
—
|
|
||
Accrued operating costs
|
12,323
|
|
|
3,199
|
|
||
Taxes other than income and mining
|
4,354
|
|
|
2,738
|
|
||
Accrued interest payable
|
1,513
|
|
|
5,892
|
|
||
Accrued liabilities and other
|
$
|
94,930
|
|
|
$
|
36,445
|
|
|
Year ended December 31,
|
||||||||||
Non-cash financing and investing activities:
|
2017
|
|
2016
|
|
2015
|
||||||
Capital lease obligations
|
$
|
34,604
|
|
|
$
|
32,243
|
|
|
$
|
4,123
|
|
Non-cash extinguishment of senior notes
|
—
|
|
|
10,616
|
|
|
53,373
|
|
|||
Non-cash acquisitions and related deferred taxes
|
131,833
|
|
|
—
|
|
|
297,821
|
|
|||
Other cash flow information:
|
|
|
|
|
|
||||||
Interest paid
|
$
|
21,943
|
|
|
$
|
41,919
|
|
|
$
|
41,442
|
|
Income taxes paid
|
13,000
|
|
|
17,181
|
|
|
1,937
|
|
|
Q1
|
|
Q2
|
|
Q3
|
|
Q4
|
||||||||
2017
|
|
|
|
|
|
|
|
|
|
|
|
||||
Revenues
|
$
|
185,554
|
|
|
$
|
149,540
|
|
|
$
|
159,919
|
|
|
$
|
214,585
|
|
Costs applicable to sales
|
114,490
|
|
|
102,229
|
|
|
101,559
|
|
|
121,982
|
|
||||
Amortization
|
38,693
|
|
|
30,733
|
|
|
32,401
|
|
|
44,722
|
|
||||
Exploration
|
5,252
|
|
|
7,813
|
|
|
9,792
|
|
|
7,454
|
|
||||
Other operating expenses (General and administrative, Pre-development, reclamation, and other, and Write-downs)
|
13,962
|
|
|
11,110
|
|
|
12,374
|
|
|
15,106
|
|
||||
Income (loss) from continuing operations
|
18,299
|
|
|
(9,995
|
)
|
|
(11,728
|
)
|
|
14,349
|
|
||||
Income (loss) from discontinued operations
|
364
|
|
|
(960
|
)
|
|
(4,924
|
)
|
|
(6,724
|
)
|
||||
Net income (loss)
|
18,663
|
|
|
(10,955
|
)
|
|
(16,652
|
)
|
|
7,625
|
|
||||
Cash provided by (used in) operating activities
|
43,938
|
|
|
24,103
|
|
|
37,308
|
|
|
91,811
|
|
||||
Capital expenditures
|
23,591
|
|
|
37,107
|
|
|
28,982
|
|
|
47,054
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Basic income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income (loss) from continuing operations
|
$
|
0.10
|
|
|
$
|
(0.05
|
)
|
|
$
|
(0.06
|
)
|
|
$
|
0.08
|
|
Net income (loss) from discontinued operations
|
—
|
|
|
(0.01
|
)
|
|
(0.03
|
)
|
|
(0.04
|
)
|
||||
Basic
|
$
|
0.10
|
|
|
$
|
(0.06
|
)
|
|
$
|
(0.09
|
)
|
|
$
|
0.04
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted income (loss) per share:
|
|
|
|
|
|
|
|
||||||||
Net income (loss) from continuing operations
|
$
|
0.10
|
|
|
$
|
(0.05
|
)
|
|
$
|
(0.06
|
)
|
|
$
|
0.08
|
|
Net income (loss) from discontinued operations
|
—
|
|
|
(0.01
|
)
|
|
(0.03
|
)
|
|
(0.04
|
)
|
||||
Diluted
|
$
|
0.10
|
|
|
$
|
(0.06
|
)
|
|
$
|
(0.09
|
)
|
|
$
|
0.04
|
|
|
Q1
|
|
Q2
|
|
Q3
|
|
Q4
|
||||||||
2016
|
|
|
|
|
|
|
|
|
|
|
|
||||
Revenues
|
$
|
127,109
|
|
|
$
|
156,822
|
|
|
$
|
148,762
|
|
|
$
|
139,204
|
|
Costs applicable to sales
|
84,058
|
|
|
81,820
|
|
|
84,594
|
|
|
84,903
|
|
||||
Amortization
|
26,210
|
|
|
35,653
|
|
|
26,040
|
|
|
28,625
|
|
||||
Exploration
|
1,731
|
|
|
2,233
|
|
|
3,706
|
|
|
5,260
|
|
||||
Other operating expenses (General and administrative, Pre-development, reclamation, and other, and Write-downs)
|
16,635
|
|
|
10,688
|
|
|
10,439
|
|
|
10,370
|
|
||||
Income (loss) from continuing operations
|
(21,640
|
)
|
|
8,280
|
|
|
46,123
|
|
|
(10,328
|
)
|
||||
Income (loss) from discontinued operations
|
1,244
|
|
|
6,217
|
|
|
23,436
|
|
|
2,020
|
|
||||
Net income (loss)
|
(20,396
|
)
|
|
14,497
|
|
|
69,559
|
|
|
(8,308
|
)
|
||||
Cash provided by (used in) operating activities
|
1,085
|
|
|
34,752
|
|
|
39,201
|
|
|
21,423
|
|
||||
Capital expenditures
|
21,651
|
|
|
21,971
|
|
|
22,626
|
|
|
28,134
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Basic income (loss) per share:
|
|
|
|
|
|
|
|
||||||||
Net income (loss) from continuing operations
|
$
|
(0.15
|
)
|
|
$
|
0.05
|
|
|
$
|
0.29
|
|
|
$
|
(0.06
|
)
|
Net income (loss) from discontinued operations
|
0.01
|
|
|
0.04
|
|
|
0.14
|
|
|
0.01
|
|
||||
Basic
|
$
|
(0.14
|
)
|
|
$
|
0.09
|
|
|
$
|
0.43
|
|
|
$
|
(0.05
|
)
|
|
|
|
|
|
|
|
|
||||||||
Diluted income (loss) per share:
|
|
|
|
|
|
|
|
||||||||
Net income (loss) from continuing operations
|
$
|
(0.15
|
)
|
|
$
|
0.05
|
|
|
$
|
0.28
|
|
|
$
|
(0.06
|
)
|
Net income (loss) from discontinued operations
|
0.01
|
|
|
0.04
|
|
|
0.14
|
|
|
0.01
|
|
||||
Diluted
|
$
|
(0.14
|
)
|
|
$
|
0.09
|
|
|
$
|
0.42
|
|
|
$
|
(0.05
|
)
|
Item 9.
|
Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
|
Item 9A.
|
Controls and Procedures
|
(a)
|
Disclosure Controls and Procedures
|
(b)
|
Management’s Report on Internal Control Over Financial Reporting
|
•
|
Pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the Company;
|
•
|
Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and
|
•
|
Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the consolidated financial statements.
|
(c)
|
Changes in Internal Control Over Financial Reporting
|
Item 10.
|
Directors, Executive Officers and Corporate Governance
|
Item 11.
|
Executive Compensation
|
Item 12.
|
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
|
Plan category
|
|
Number of shares to be
issued upon exercise of outstanding options, warrants and rights |
|
Weighted-average exercise
price of outstanding options,
warrants and rights
|
|
Number of shares remaining
available for future issuance under equity compensation plans (excluding securities reflected in column (a) (1) |
||||
|
|
(a)
|
|
(b)
|
|
(c)
|
||||
Equity compensation plans approved by security holders
|
|
617,446
|
|
|
$
|
10.53
|
|
|
2,014,703
|
|
Equity compensation plans not approved by security holders
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total
|
|
617,446
|
|
|
$
|
10.53
|
|
|
2,014,703
|
|
(1)
|
Amounts include 2,368,281 performance shares that cliff vest three years after the date of grant if certain market and performance criteria are met, if the recipient remains an employee of the Company and subject to approval of the Compensation Committee of the Board of Directors.
|
Item 13.
|
Certain Relationships and Related Transactions, and Director Independence
|
Item 14
.
|
Principal Accountant Fees and Services
|
2.1
|
|
2.2
|
|
2.3
|
|
2.4
|
|
3.1
|
|
3.2
|
|
3.3
|
|
3.4
|
|
4.1
|
|
4.2
|
|
4.3
|
|
10.1
|
|
10.2
|
|
10.3
|
|
10.4
|
|
10.5
|
|
10.6
|
|
10.7
|
|
10.8
|
|
10.9
|
Item 16.
|
Form 10-K Summary
|
Date:
|
February 7, 2018
|
By:
|
/s/ Mitchell J. Krebs
|
|
|
|
Mitchell J. Krebs
(Director, President, and Chief Executive Officer)
|
/s/ Mitchell J. Krebs
______________________
Mitchell J. Krebs
|
Director, President, and Chief Executive Officer
(Principal Executive Officer)
|
February 7, 2018
|
||
|
|
|
||
/s/ Peter C. Mitchell
______________________
Peter C. Mitchell
|
Senior Vice President and Chief Financial Officer (Principal Financial Officer)
|
February 7, 2018
|
||
|
|
|
||
/s/ Ken Watkinson
______________________
Ken Watkinson
|
Vice President, Corporate Controller and Chief Accounting Officer (Principal Accounting Officer)
|
February 7, 2018
|
||
|
|
|
||
/s/ Linda L. Adamany
_____________________
Linda L. Adamany
|
Director
|
February 7, 2018
|
||
|
|
|
||
/s/ Kevin S. Crutchfield
___________________
Kevin S. Crutchfield |
Director
|
February 7, 2018
|
||
|
|
|
||
/s/ Sebastian Edwards
_____________________
Sebastian Edwards
|
Director
|
February 7, 2018
|
||
|
|
|
||
/s/ Randolph E. Gress
_____________________
Randolph E. Gress |
Director
|
February 7, 2018
|
||
|
|
|
||
/s/ Robert E. Mellor
______________________
Robert E. Mellor
|
Director
|
February 7, 2018
|
||
|
|
|
||
/s/ John H. Robinson
______________________
John H. Robinson
|
Director
|
February 7, 2018
|
||
|
|
|
||
/s/ J. Kenneth Thompson
___________________
J. Kenneth Thompson
|
Director
|
February 7, 2018
|
1.
|
Employment
. The Company agrees to, and hereby does, employ Employee as President and Chief Executive Officer of Company, and Employee accepts such employment, on the terms and conditions of this Agreement. Employee is currently a member of the Board of Directors of the Company (the “Board”).
|
/s/ Hans Rasmussen
|
Mr. Hans Rasmussen
|
|
Year ended December 31,
|
||||||||||||||||||
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Fixed Charges:
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest expense
|
$
|
15,658
|
|
|
$
|
34,987
|
|
|
$
|
43,446
|
|
|
$
|
45,806
|
|
|
$
|
39,152
|
|
Capitalized interest
|
2,121
|
|
|
1,206
|
|
|
2,992
|
|
|
1,710
|
|
|
2,694
|
|
|||||
Amortization of public offering costs
|
809
|
|
|
1,933
|
|
|
2,257
|
|
|
4,775
|
|
|
2,143
|
|
|||||
Portion of rent expense representative of interest
|
5,415
|
|
|
4,692
|
|
|
3,998
|
|
|
3,303
|
|
|
4,864
|
|
|||||
Total fixed charges
|
$
|
24,003
|
|
|
$
|
42,818
|
|
|
$
|
52,693
|
|
|
$
|
55,594
|
|
|
$
|
48,853
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings available for fixed charges:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income (loss) from continuing operations before income taxes
|
$
|
40,105
|
|
|
$
|
(10,625
|
)
|
|
$
|
(316,707
|
)
|
|
$
|
(1,507,581
|
)
|
|
$
|
(840,661
|
)
|
Fixed charges above
|
24,003
|
|
|
42,818
|
|
|
52,693
|
|
|
55,594
|
|
|
48,853
|
|
|||||
Less interest capitalized
|
(2,121
|
)
|
|
(1,206
|
)
|
|
(2,992
|
)
|
|
(1,710
|
)
|
|
(2,694
|
)
|
|||||
Current period amortization of capitalized interest
|
1,996
|
|
|
1,985
|
|
|
2,472
|
|
|
4,526
|
|
|
6,519
|
|
|||||
Total earnings available for fixed charges
|
63,983
|
|
|
32,972
|
|
|
(264,534
|
)
|
|
(1,449,171
|
)
|
|
(787,983
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings sufficient (insufficient) to cover fixed charges
|
$
|
39,980
|
|
|
$
|
(9,846
|
)
|
|
$
|
(317,227
|
)
|
|
$
|
(1,504,765
|
)
|
|
$
|
(836,836
|
)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Ratio of earnings to fixed charges
|
2.67
|
x
|
|
0.77
|
x
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
Name
|
State/Country of Incorporation
|
Ownership Percentage
|
Coeur Rochester, Inc.
|
Delaware
|
100%
|
Coeur Alaska, Inc.
|
Delaware
|
100%
|
Coeur Capital, Inc.
|
Delaware
|
100%
|
Coeur South America Corp.
|
Delaware
|
100%
|
0986566 B.C. Unlimited Liability Company
|
Canada
|
100%
|
CDE Australia Pty Ltd.
|
Australia
|
100%
|
Empresa Minera Manquiri, S.A.
|
Bolivia
|
100%
|
Coeur Explorations, Inc.
|
Idaho
|
100%
|
Coeur Sub One, Inc.
|
Delaware
|
100%
|
Coeur Sub Two, Inc.
|
Delaware
|
100%
|
Coeur d'Alene Mines Australia Pty Ltd.
|
Australia
|
100%
|
Palmarejo Silver and Gold ULC
|
Canada
|
100%
|
Ocampo Resources, Inc.
|
Nevada
|
100%
|
Ocampo Services, Inc.
|
Nevada
|
100%
|
Coeur Mexicana, S.A. de C.V.
|
Mexico
|
100%
|
Mexco Holdings LLC
|
Nevada
|
100%
|
Mexco Resources LLC
|
Nevada
|
100%
|
Servicios Administrativos Palmarejo, S.A. de C.V.
|
Mexico
|
100%
|
Servicios Profesionales Palmarejo, S.A. de C.V.
|
Mexico
|
100%
|
Coeur La Preciosa Silver Corp.
|
Canada
|
100%
|
Proyectos Mineros La Preciosa, S.A. de C.V.
|
Mexico
|
100%
|
Coeur San Miguel Corp.
|
Delaware
|
100%
|
Magnetic Resources Ltd.
|
Canada
|
100%
|
Grizzly Acquisition LLC
|
Delaware
|
100%
|
Coeur Silvertip Holdings Ltd.
|
Canada
|
100%
|
Wharf Resources (U.S.A.), Inc.
|
Colorado
|
100%
|
Wharf Resources Management Inc.
|
Delaware
|
100%
|
Wharf Reward Mines Inc.
|
Delaware
|
100%
|
Wharf Gold Mines Inc.
|
Delaware
|
100%
|
Golden Reward Mining Company Limited Partnership
|
Delaware
|
100%
|
1.
|
I have reviewed this Annual Report on Form 10-K of Coeur Mining, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under the Company's supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report the Company's conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on the Company's most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
By:
|
/s/ Mitchell J. Krebs
|
|
Mitchell J. Krebs
Chief Executive Officer
|
1.
|
I have reviewed this Annual Report on Form 10-K of Coeur Mining, Inc.;
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2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
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3.
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Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
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4.
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The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
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(a)
|
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under the Company's supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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(b)
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designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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(c)
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evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report the Company's conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
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(d)
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disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
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5.
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The registrant's other certifying officer(s) and I have disclosed, based on the Company's most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
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(b)
|
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
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By:
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/s/ Peter C. Mitchell
|
|
Peter C. Mitchell
Chief Financial Officer
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/s/ Mitchell J. Krebs
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Mitchell J. Krebs
|
February 7, 2018
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/s/ Peter C. Mitchell
|
Peter C. Mitchell
|
February 7, 2018
|
Mine or Operating Name
|
Section 104 S&S Citation (#)
|
Section 104 (b) Orders (#)
|
Section 104 (d) Citations and Orders (#)
|
Section 110 (b) (2) Violations (#)
|
Section 107 (a) Orders
1
(#)
|
Total Dollar Value of MSHA Assessments Proposed
2
($)
|
Total Number of Mining Related Fatalities (#)
|
Received Notice of Pattern of Violations Under Section 104(e) (Yes/No)
|
Received Notice of Potential to Have Pattern Under Section 104(e) (Yes/No)
|
Legal Actions Pending as of Last Day of Period (#)
|
Legal Actions Initiated During Period
(#)
|
Legal Actions Resolved During Period
(#)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Kensington
|
12
|
—
|
1
|
—
|
1
|
$99,904
|
—
|
NO
|
NO
|
5
|
—
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Rochester
|
2
|
—
|
—
|
—
|
—
|
$7,415
|
—
|
NO
|
NO
|
1
|
1
|
2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Wharf
|
1
|
—
|
—
|
—
|
—
|
$1,898
|
—
|
NO
|
NO
|
1
|
1
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Totals
|
15
|
—
|
1
|
—
|
1
|
$109,217
|
—
|
NO
|
NO
|
7
|
2
|
3
|
1.
|
Following an investigation of the section 107(a) order, MSHA determined no violation under section 107(a) occurred and, accordingly, the order was vacated on June 26, 2017.
|
2.
|
The total dollar value of the Proposed Assessments includes all assessments received during the year.
|