(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, 2018
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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
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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 has operated the Palmarejo complex in the State of Chihuahua in Northern Mexico since 2009. The processing facility on the Palmarejo complex is fed by the Palmarejo, Guadalupe and Independencia underground mines. The Company also has several exploration targets at the Palmarejo complex. The Palmarejo complex produced
122,722
ounces of gold and
7.5 million
ounces of silver in 2018. The proven and probable reserves at the Palmarejo complex totaled
693,000
ounces of gold and
50.2 million
ounces of silver as of December 31, 2018.
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•
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Coeur owns 100% of Coeur Rochester, Inc. (“Coeur Rochester”), which has operated the Rochester mine, an open-pit silver and gold mine located in northwestern Nevada, since 1986. The Rochester mine produced
54,388
ounces of gold and
5.0 million
ounces of silver in 2018. The proven and probable reserves at the Rochester mine totaled
684,000
ounces of gold and
106.2 million
ounces of silver as of December 31, 2018. Coeur Rochester acquired the Lincoln Hill and related assets adjacent to its Rochester mine in November 2018 from Alio Gold for
$19.0 million
.
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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. The Kensington mine produced a total of 113,778 ounces of gold in 2018. The proven and probable reserves at the Kensington mine totaled
552,000
ounces of gold as of December 31, 2018.
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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 in the Black Hills mining district of South Dakota near Lead, South Dakota. The Wharf mine has been in production for over 30 years, during which it has produced over 2.3 million ounces of gold. Coeur acquired Wharf in February 2015. The Wharf mine produced
76,840
ounces of gold in 2018. The proven and probable reserves at the Wharf mine totaled
882,000
ounces of gold as of December 31, 2018.
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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 and commenced commercial production in September 2018. In 2018, the Silvertip mine produced a total of
0.3 million
ounces of silver,
6.8 million
pounds of zinc and
3.9 million
pounds of lead. The proven and probable reserves at the Silvertip mine totaled
14.9 million
ounces of silver reserves,
291.2 million
pounds of zinc reserves and
197.5 million
pounds of lead as of December 31, 2018.
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•
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Coeur owns 100% of Coeur Sterling, Inc. (“Coeur Sterling”), whose principal asset is the Sterling gold project and the Crown Block of deposits consisting of the Daisy, Secret Pass and SNA historic resources located in the Walker Lane trend in Nevada. Coeur acquired Northern Empire, which owns 100% of the entity that has since been renamed Coeur Sterling, for $73.6 million.
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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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•
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Coeur formerly owned 100% of Empresa Minera Manquiri, S.A. (“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. In February 2018, the Company and certain of its subsidiaries sold all of the outstanding capital stock of Manquiri, which is the operator of the San Bartolomé mine and processing facility (the “Manquiri Divestiture”). The terms of the Manquiri Divestiture were modified in September 2018 as disclosed in Note 7 - Other, Net in the notes to the Consolidated Financial Statements.
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Year Ended December 31,
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||||||||||||||||||||||||||
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2018
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2017
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2016
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||||||||||||||||||||||
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High
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Average
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Low
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High
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Average
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Low
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High
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Average
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Low
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||||||||||||||||
Gold (per oz.)
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$
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1,355
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$1,268
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$
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1,178
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$
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1,346
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|
$1,257
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$
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1,151
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$
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1,366
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$1,251
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$
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1,077
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||||
Silver (per oz.)
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$
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17.52
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$15.71
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$
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13.97
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$
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18.56
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$17.05
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$
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15.22
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$
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20.71
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$17.14
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$
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13.58
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||||
Zinc (per lb.)
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$
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1.64
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$1.33
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$
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1.04
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$
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1.53
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$
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1.31
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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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0.95
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$
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0.66
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Lead (per lb.)
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$
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1.22
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$1.02
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$
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0.85
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$
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1.17
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$
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1.05
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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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0.85
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$
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0.73
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Palmarejo Complex
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860
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Rochester Mine
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290
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Kensington Mine
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383
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Wharf Mine
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208
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Silvertip Mine
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247
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Sterling Project
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12
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U.S. Corporate and Other
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75
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Total
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2,075
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•
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Focus geographically on North America;
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•
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Concentrate on precious metals;
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•
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Focus on disciplined capital allocation including portfolio optimization, prioritizing near mine growth opportunities;
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•
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Bolstering a high performing organization and culture;
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•
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Achieve investable level of scale and relevance through its unique portfolio of operating and growth assets;
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•
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Deliver low cost production;
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•
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Sustain balance sheet flexibility to provide financial flexibility through cycles and inherent volatility;
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•
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Engage in leading Environmental, Social and Governance (“ESG”) programs, priorities and initiatives; and
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•
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Maintain peer leading levels of trading liquidity.
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Item 1A.
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Risk Factors
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Palmarejo
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Rochester
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||||||||||||||||||||
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2018
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2017
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2016
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2018
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2017
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2016
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||||||||||||
Ore tons milled/placed
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1,382,471
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1,498,421
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1,078,888
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16,169,807
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16,440,270
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19,555,998
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Ore grade gold (oz./ton)
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0.10
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0.09
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0.08
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0.004
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0.003
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0.003
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Ore grade silver (oz./ton)
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6.49
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5.62
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4.66
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0.52
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0.53
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0.57
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||||||
Recovery/Au oz. (%)
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88.9
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90.0
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86.5
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—
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—
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—
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||||||
Recovery/Ag oz. (%)
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83.8
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|
|
86.0
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88.4
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—
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—
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—
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||||||
Gold produced (oz.)
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122,722
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|
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121,569
|
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73,913
|
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54,388
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|
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51,051
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|
|
50,751
|
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||||||
Silver produced (oz.)
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7,516,390
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7,242,082
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4,442,164
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5,037,983
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4,713,574
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4,564,138
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||||||
Costs applicable to sales per silver equivalent oz.
(1)
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$
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8.48
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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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13.17
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$
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13.15
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$
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11.90
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Costs applicable to sales per average spot silver equivalent oz.
(1)
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$
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7.25
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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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11.59
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|
$
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12.04
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|
|
$
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10.97
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|
|
Kensington
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Wharf
|
||||||||||||||||||||
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2018
|
|
2017
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|
2016
|
|
2018
|
|
2017
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|
2016
|
||||||||||||
Ore tons milled/placed
|
641,058
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|
|
668,727
|
|
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620,209
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4,923,774
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4,560,441
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4,268,105
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||||||
Ore grade gold (oz./ton)
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0.18
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|
0.18
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0.21
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0.02
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0.03
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|
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0.03
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||||||
Recovery/Au oz. (%)
|
92.3
|
|
|
93.5
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|
|
94.8
|
|
|
—
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|
|
—
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|
|
—
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|
||||||
Gold produced (oz.)
(2)
|
105,570
|
|
|
115,094
|
|
|
124,331
|
|
|
76,840
|
|
|
95,372
|
|
|
109,175
|
|
||||||
Costs applicable to sales per gold equivalent oz.
(1)
|
$
|
1,055
|
|
|
$
|
922
|
|
|
$
|
795
|
|
|
$
|
880
|
|
|
$
|
697
|
|
|
$
|
606
|
|
|
Silvertip
|
|
Endeavor
|
||||||||||||||||||||
|
2018
|
|
2017
|
|
2016
|
|
2018
|
|
2017
|
|
2016
|
||||||||||||
Ore tons milled
|
49,454
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
133,904
|
|
|
219,430
|
|
||||||
Ore grade silver (oz./ton)
|
6.19
|
|
|
—
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|
|
—
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|
|
—
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|
|
1.58
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|
|
2.48
|
|
||||||
Ore grade zinc
|
6.2
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|
|
—
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|
|
—
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|
|
—
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|
|
—
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|
|
—
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|
||||||
Ore grade lead
|
4.0
|
|
|
—
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|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
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|
||||||
Recovery/Ag oz. (%)
|
59.6
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
50.6
|
|
|
45.6
|
|
||||||
Recovery/Zn lb. (%)
|
67.8
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Recovery/Pb lb. (%)
|
52.5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Silver produced (oz.)
(3)
|
182,254
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
107,026
|
|
|
247,998
|
|
||||||
Zinc produced (lb.)
(3)
|
4,181,033
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Lead produced (lb.)
(3)
|
2,072,013
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Costs applicable to sales per silver equivalent oz.
(1)
|
$
|
57.64
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6.96
|
|
|
$
|
6.56
|
|
Costs applicable to sales per average spot silver equivalent oz.
(1)
|
$
|
48.66
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
San Bartolomé
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Ore tons milled
|
221,171
|
|
|
1,509,708
|
|
|
1,666,787
|
|
|||
Ore grade silver (oz./ton)
|
3.36
|
|
|
3.17
|
|
|
3.69
|
|
|||
Recovery/Ag oz. (%)
|
86.5
|
|
|
89.3
|
|
|
88.8
|
|
|||
Silver produced (oz.)
|
643,078
|
|
|
4,269,649
|
|
|
5,468,898
|
|
|||
Costs applicable to sales per silver equivalent oz.
(1)
|
$
|
16.99
|
|
|
$
|
17.44
|
|
|
$
|
13.71
|
|
|
Silver Reserves at December 31, 2018
(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)
|
1,283
|
|
|
4.97
|
|
|
6,376
|
|
|
8,118
|
|
|
5.39
|
|
|
43,788
|
|
|
9,401
|
|
|
5.34
|
|
|
50,164
|
|
|
84%
|
Rochester
(5)
|
228,413
|
|
|
0.44
|
|
|
101,058
|
|
|
13,166
|
|
|
0.39
|
|
|
5,141
|
|
|
241,579
|
|
|
0.44
|
|
|
106,199
|
|
|
70%
|
Silvertip
(6)
|
280
|
|
|
10.81
|
|
|
3,026
|
|
|
1,489
|
|
|
7.98
|
|
|
11,885
|
|
|
1,769
|
|
|
8.43
|
|
|
14,911
|
|
|
81%
|
Total Silver
|
229,976
|
|
|
|
|
110,460
|
|
|
22,773
|
|
|
|
|
60,814
|
|
|
252,749
|
|
|
|
|
171,274
|
|
|
|
|
Gold Reserves at December 31, 2018
(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
(7)
|
1,600
|
|
|
0.186
|
|
|
298
|
|
|
986
|
|
|
0.258
|
|
|
254
|
|
|
2,586
|
|
|
0.213
|
|
|
552
|
|
|
95%
|
Palmarejo
(4)
|
1,283
|
|
|
0.084
|
|
|
108
|
|
|
8,118
|
|
|
0.072
|
|
|
585
|
|
|
9,401
|
|
|
0.074
|
|
|
693
|
|
|
90%
|
Rochester
(5)
|
228,413
|
|
|
0.003
|
|
|
657
|
|
|
13,166
|
|
|
0.002
|
|
|
27
|
|
|
241,579
|
|
|
0.003
|
|
|
684
|
|
|
92%
|
Wharf
(8)
|
34,043
|
|
|
0.026
|
|
|
877
|
|
|
153
|
|
|
0.035
|
|
|
5
|
|
|
34,196
|
|
|
0.026
|
|
|
882
|
|
|
79%
|
Total Gold
|
265,339
|
|
|
|
|
1,940
|
|
|
22,423
|
|
|
|
|
871
|
|
|
287,762
|
|
|
|
|
2,811
|
|
|
|
|
Zinc Reserves at December 31, 2018
(1)(2)(3)
|
|||||||||||||||||||||||||||
|
Proven Reserves
|
|
Probable Reserves
|
|
Proven and Probable Reserves
|
|
|
|||||||||||||||||||||
|
Tons (000s)
|
|
Grade (%)
|
|
Pounds
(000s)
|
|
Tons (000s)
|
|
Grade (%)
|
|
Pounds
(000s)
|
|
Tons (000s)
|
|
Grade (%)
|
|
Pounds
(000s)
|
|
Metallurgical Recovery
|
|||||||||
Silvertip
(6)
|
280
|
|
|
9.83
|
|
|
55,039
|
|
|
1,489
|
|
|
7.93
|
|
|
236,200
|
|
|
1,769
|
|
|
8.23
|
|
|
291,239
|
|
|
82%
|
|
Lead Reserves at December 31, 2018
(1)(2)(3)
|
|||||||||||||||||||||||||||
|
Proven Reserves
|
|
Probable Reserves
|
|
Proven and Probable Reserves
|
|
|
|||||||||||||||||||||
|
Tons (000s)
|
|
Grade (%)
|
|
Pounds
(000s)
|
|
Tons (000s)
|
|
Grade (%)
|
|
Pounds
(000s)
|
|
Tons (000s)
|
|
Grade (%)
|
|
Pounds
(000s)
|
|
Metallurgical Recovery
|
|||||||||
Silvertip
(6)
|
280
|
|
|
7.53
|
|
|
42,156
|
|
|
1,489
|
|
|
5.22
|
|
|
155,305
|
|
|
1,769
|
|
|
5.58
|
|
|
197,461
|
|
|
88%
|
|
Silver 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
|
|||||||||
Palmarejo
(4)
|
1,571
|
|
|
3.81
|
|
|
5,978
|
|
|
9,414
|
|
|
4.36
|
|
|
41,033
|
|
|
10,985
|
|
|
4.28
|
|
|
47,011
|
|
|
88%
|
Rochester
(5)
|
195,724
|
|
|
0.45
|
|
|
87,518
|
|
|
77,703
|
|
|
0.39
|
|
|
30,105
|
|
|
273,427
|
|
|
0.43
|
|
|
117,623
|
|
|
61%
|
San Bartolomé
(9)
|
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
(7)
|
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
(8)
|
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
|
|
|
|
(1)
|
Certain definitions:
|
(2)
|
Assumed metal prices for Mineral Reserves were $17.00 per ounce of silver, $1,250 per ounce of gold, $1.25 per pound zinc, $1.00 per pound lead.
|
(3)
|
Mineral reserve estimates were prepared by the Company’s technical staff.
|
(4)
|
The cutoff grade for mineral reserves is 2.5 to 2.6 g/tonne AuEq.
|
(5)
|
The cutoff grade for mineral reserves is 0.53 oz/ton AgEq.
|
(6)
|
The cutoff grade for mineral reserves is $130 to $160 net smelter return.
|
(7)
|
The cutoff grade for mineral reserves is 0.15 to 0.23 oz/ton Au.
|
(8)
|
The cutoff grade for mineral reserves is 0.012 oz/ton Au.
|
(9)
|
The cutoff grades for mineral reserves range from 81 to 107 g/tonne Ag based on material.
|
|
Mineralized Material at December 31, 2018
(1)(2)(3)(4)
|
|||||||||||||
|
Tons (000s)
|
|
Silver Grade (oz./ton)
|
|
Gold Grade (oz./ton)
|
|
Lead Grade (percent)
|
|
Zinc Grade (percent)
|
|||||
Palmarejo Mine, Mexico
(5)
|
8,149
|
|
|
4.30
|
|
|
0.056
|
|
|
—
|
|
|
—
|
|
Kensington Mine, USA
(7)
|
2,681
|
|
|
—
|
|
|
0.250
|
|
|
—
|
|
|
—
|
|
Wharf Mine, USA
(8)
|
8,696
|
|
|
—
|
|
|
0.034
|
|
|
—
|
|
|
—
|
|
Rochester Mine, USA
(9)
|
198,994
|
|
|
0.35
|
|
|
0.002
|
|
|
—
|
|
|
—
|
|
Silvertip Mine, Canada
(10)
|
1,292
|
|
|
6.47
|
|
|
—
|
|
|
4.07
|
|
|
8.58
|
|
La Preciosa Project, Mexico
(11)
|
28,677
|
|
|
3.67
|
|
|
0.006
|
|
|
—
|
|
|
—
|
|
Lincoln Hill Project, USA
(12)
|
32,310
|
|
|
0.32
|
|
|
0.011
|
|
|
—
|
|
|
—
|
|
Total Mineralized Material
|
280,799
|
|
|
|
|
|
|
|
|
|
|
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)
|
8,074
|
|
|
3.35
|
|
|
0.046
|
|
|
—
|
|
|
—
|
|
San Bartolomé Mine, Bolivia
(6)
|
4,087
|
|
|
3.42
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Kensington Mine, USA
(7)
|
2,878
|
|
|
—
|
|
|
0.271
|
|
|
—
|
|
|
—
|
|
Wharf Mine, USA
(8)
|
7,710
|
|
|
—
|
|
|
0.023
|
|
|
—
|
|
|
—
|
|
Rochester Mine, USA
(9)
|
179,885
|
|
|
0.36
|
|
|
0.002
|
|
|
—
|
|
|
—
|
|
Silvertip Mine, Canada
(10)
|
2,589
|
|
|
10.26
|
|
|
—
|
|
|
6.74
|
|
|
9.41
|
|
La Preciosa Project, Mexico
(11)
|
28,677
|
|
|
3.67
|
|
|
0.006
|
|
|
—
|
|
|
—
|
|
Total Mineralized Material
|
233,900
|
|
|
|
|
|
|
|
|
|
(1)
|
Assumed metal prices for estimated mineralized material were $20.00 per ounce of silver, $1,400 per ounce of gold, $1.30 per pound zinc, $1.05 per pound lead, and Sterling at $1,200 per ounce of gold.
|
(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 2.4 to 2.5 g/tonne AuEq.
|
(6)
|
Cutoff grades for mineralized material is 95 g/tonne.
|
(7)
|
The cutoff grade for mineralized material is 0.13 to 0.20 oz/ton Au.
|
(8)
|
The cutoff grade for mineralized material is 0.010 oz/ton Au.
|
(9)
|
The cutoff grade for mineralized material is 0.45 oz/ton AgEq.
|
(10)
|
The cutoff grade for mineralized material is $130 net smelter return.
|
(11)
|
The cutoff grade for mineralized material is 121.71 g/ton AgEq for underground, and 71.86 g/t for surface mining.
|
(12)
|
The cutoff grade for mineralized material 0.10 g/t AuEq for oxide and 0.20 g/t AuEg for sulfide material.
|
Item 5.
|
Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
|
|
Dec.
2014
|
Dec.
2015
|
Dec.
2016
|
Dec.
2017
|
Dec.
2018
|
|||||
Coeur Mining
|
47.10
|
|
22.86
|
|
83.78
|
|
69.12
|
|
41.20
|
|
S&P 500 Index
|
113.69
|
|
115.26
|
|
129.05
|
|
157.22
|
|
150.33
|
|
Peer Group
|
97.15
|
|
86.21
|
|
132.61
|
|
146.04
|
|
141.08
|
|
|
Dec. 2016
|
Dec. 2017
|
Dec. 2018
|
|||
Coeur Mining
|
366.53
|
|
302.42
|
|
180.24
|
|
S&P 500 Index
|
111.96
|
|
136.40
|
|
130.42
|
|
Peer Group
|
180.12
|
|
210.45
|
|
183.35
|
|
Item 6.
|
Selected Financial Data
|
|
Year ended December 31,
|
||||||||||||||||||
In thousands except share data
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
||||||||||
Revenue
|
$
|
625,904
|
|
|
$
|
709,598
|
|
|
$
|
571,897
|
|
|
$
|
561,407
|
|
|
$
|
517,993
|
|
Costs applicable to sales
|
440,950
|
|
|
440,260
|
|
|
335,375
|
|
|
403,827
|
|
|
388,286
|
|
|||||
Income (loss) from continuing operations
|
(48,955
|
)
|
|
10,925
|
|
|
22,435
|
|
|
(287,811
|
)
|
|
(1,097,650
|
)
|
|||||
Income (loss) from discontinued operations
|
550
|
|
|
(12,244
|
)
|
|
32,917
|
|
|
(79,372
|
)
|
|
(89,224
|
)
|
|||||
Net income (loss)
|
$
|
(48,405
|
)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
$
|
(367,183
|
)
|
|
$
|
(1,186,874
|
)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic income (loss) per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Income (loss) from continuing operations
|
$
|
(0.26
|
)
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
|
$
|
(10.72
|
)
|
Income (loss) from discontinued operations
|
$
|
—
|
|
|
$
|
(0.07
|
)
|
|
$
|
0.21
|
|
|
$
|
(0.61
|
)
|
|
$
|
(0.87
|
)
|
Basic
|
$
|
(0.26
|
)
|
|
$
|
(0.01
|
)
|
|
$
|
0.35
|
|
|
$
|
(2.83
|
)
|
|
$
|
(11.59
|
)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted income (loss) per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Income (loss) from continuing operations
|
$
|
(0.26
|
)
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
|
$
|
(2.22
|
)
|
|
$
|
(10.72
|
)
|
Income (loss) from discontinued operations
|
$
|
—
|
|
|
$
|
(0.07
|
)
|
|
$
|
0.20
|
|
|
$
|
(0.61
|
)
|
|
$
|
(0.87
|
)
|
Diluted
|
$
|
(0.26
|
)
|
|
$
|
(0.01
|
)
|
|
$
|
0.34
|
|
|
$
|
(2.83
|
)
|
|
$
|
(11.59
|
)
|
|
At December 31,
|
||||||||||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
||||||||||
Total assets
|
$
|
1,712,500
|
|
|
$
|
1,701,175
|
|
|
$
|
1,318,909
|
|
|
$
|
1,332,489
|
|
|
$
|
1,436,569
|
|
Reclamation and mine closure liabilities
|
$
|
135,546
|
|
|
$
|
120,832
|
|
|
$
|
88,701
|
|
|
$
|
74,958
|
|
|
$
|
63,042
|
|
Debt, including current portion
|
$
|
458,826
|
|
|
$
|
411,322
|
|
|
$
|
210,637
|
|
|
$
|
485,505
|
|
|
$
|
453,358
|
|
Stockholders’ equity
|
$
|
852,512
|
|
|
$
|
814,977
|
|
|
$
|
768,487
|
|
|
$
|
421,476
|
|
|
$
|
554,328
|
|
•
|
Higher gold and silver grades contributed to increased gold and silver production and lower costs applicable to sales per ounce at Palmarejo. Palmarejo’s higher grade La Nacion deposit, located between the Independencia and Guadalupe underground mines, is expected to commence production in the second half of 2019.
|
•
|
Rochester gold and silver production increased in 2018 driven by higher gold grades and the timing of recoveries. Rochester commenced construction of crushing system upgrades which includes the addition of a high-pressure grinding roll, or HPGR, that are expected to increase the timing and overall recovery of silver from heap leach activities, while lowering operating costs. Construction will be completed in the second quarter of 2019 with improved recoveries positively impacting production in the second half of 2019.
|
•
|
Kensington production declined and costs applicable to sales per gold ounce increased in the year primarily driven by lower throughput and recoveries. The higher grade Jualin mine reached commercial production in December and will supplement existing ore sources at Kensington in 2019 and is expected to contribute to increased production and lower costs applicable to sales per gold ounce in 2019.
|
•
|
Wharf gold production decreased and costs applicable to sales per gold ounce increased in 2018 as a result of unplanned weather-related downtime in the third quarter, the timing of leach pad recoveries and lower gold grades. Increased tons placed in 2018 are expected to increase production levels in 2019.
|
•
|
Silvertip achieved commercial production in September 2018, however, lower than expected production levels, grades and recovery rates as well as reduced plant availability contributed to unfavorable operating results at Silvertip and resulted in $26.7 million write-down of metal inventory. Progress towards a 1,100 ton per day (1,000 metric tonne per day) continues as the company is focused on improvements in four key areas: mill projects targeting higher availability, maintenance procedures and systems, supply chain and procurement and employee training and development. Recovery rates continued to improve throughout the fourth quarter and are expected to trend higher as mill consistency improves and the flotation circuit is optimized.
|
•
|
In October 2018, the Company acquired all of the issued and outstanding securities of Northern Empire not owned by the Company, for total consideration valued at approximately
$73.6 million
based on the issuance of approximately
12.1 million
shares of Coeur common stock. Northern Empire’s principal asset is the Sterling Gold Project located in Nevada.
|
•
|
In November 2018, Coeur Rochester, Inc. acquired Lincoln Hill and related assets. Approximately 4.3 million Coeur shares were issued to Alio Gold shareholders upon closing of the acquisition, representing total consideration of approximately
$19.0 million
.
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
Financial Results from Continuing Operations:
|
|
|
|
|
|
||||||
Metal sales
|
$
|
625,904
|
|
|
$
|
709,598
|
|
|
$
|
568,617
|
|
Net income (loss)
|
$
|
(48,955
|
)
|
|
$
|
10,925
|
|
|
$
|
22,435
|
|
Net income (loss) per share, diluted
|
$
|
(0.26
|
)
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
Adjusted net income (loss)
(1)
|
$
|
(2,165
|
)
|
|
$
|
4,223
|
|
|
$
|
15,601
|
|
Adjusted net income (loss) per share, diluted
(1)
|
$
|
(0.01
|
)
|
|
$
|
0.02
|
|
|
$
|
0.10
|
|
EBITDA
(1)
|
$
|
87,102
|
|
|
$
|
202,912
|
|
|
$
|
142,612
|
|
Adjusted EBITDA
(1)
|
$
|
157,309
|
|
|
$
|
203,340
|
|
|
$
|
194,880
|
|
Operating Results from Continuing Operations:
|
|
|
|
|
|
||||||
Gold ounces produced
(4)
|
359,520
|
|
|
383,086
|
|
|
358,170
|
|
|||
Silver ounces produced
(3)
|
12,787,203
|
|
|
12,126,217
|
|
|
9,359,444
|
|
|||
Zinc pounds produced
(3)
|
4,181,033
|
|
|
—
|
|
|
—
|
|
|||
Lead pounds produced
(3)
|
2,072,013
|
|
|
—
|
|
|
—
|
|
|||
Silver equivalent ounces produced
|
34,712,866
|
|
|
35,111,377
|
|
|
30,849,644
|
|
|||
Silver equivalent ounces produced (average spot price)
|
42,284,437
|
|
|
40,374,979
|
|
|
35,498,691
|
|
|||
Gold ounces sold
|
350,508
|
|
|
410,604
|
|
|
338,131
|
|
|||
Silver ounces sold
|
12,354,817
|
|
|
12,698,635
|
|
|
8,933,749
|
|
|||
Zinc pounds sold
|
4,375,995
|
|
|
—
|
|
|
—
|
|
|||
Lead pounds sold
|
2,648,920
|
|
|
—
|
|
|
—
|
|
|||
Silver equivalent ounces sold
|
33,780,278
|
|
|
37,334,889
|
|
|
29,221,609
|
|
|||
Silver equivalent ounces sold (average spot price)
|
41,174,363
|
|
|
42,976,574
|
|
|
33,610,549
|
|
|||
Average realized price per gold ounce
|
$
|
1,218
|
|
|
$
|
1,204
|
|
|
$
|
1,230
|
|
Average realized price per silver ounce
|
$
|
15.65
|
|
|
$
|
16.96
|
|
|
$
|
17.08
|
|
Average realized price per zinc pound
|
$
|
1.12
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Average realized price per lead pound
|
$
|
0.90
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Costs applicable to sales per silver equivalent ounce
(1)
|
$
|
11.46
|
|
|
$
|
10.70
|
|
|
$
|
11.23
|
|
Costs applicable to sales per average spot silver equivalent ounce
(1)
|
$
|
9.89
|
|
|
$
|
9.66
|
|
|
$
|
10.29
|
|
Costs applicable to sales per gold equivalent ounce
(1)
|
$
|
982
|
|
|
$
|
822
|
|
|
$
|
705
|
|
All-in sustaining costs per silver equivalent ounce
(1)
|
$
|
18.59
|
|
|
$
|
15.95
|
|
|
$
|
16.16
|
|
All-in sustaining costs per average spot silver equivalent ounce
(1)
|
$
|
15.25
|
|
|
$
|
13.86
|
|
|
$
|
14.05
|
|
Financial and Operating Results from Discontinued Operations:
(2)
|
|
|
|
|
|
||||||
Income (loss) from discontinued operations
|
$
|
550
|
|
|
$
|
(12,244
|
)
|
|
$
|
32,917
|
|
Silver ounces produced
|
643,078
|
|
|
4,269,649
|
|
|
5,468,898
|
|
|||
Gold ounces produced
|
78
|
|
|
358
|
|
|
—
|
|
|||
Silver equivalent ounces produced
|
647,758
|
|
|
4,291,129
|
|
|
5,468,898
|
|
|||
Silver ounces sold
|
704,479
|
|
|
4,240,901
|
|
|
5,411,057
|
|
|||
Gold ounces sold
|
292
|
|
|
111
|
|
|
—
|
|
|||
Silver equivalent ounces sold
|
721,999
|
|
|
4,247,561
|
|
|
5,411,057
|
|
(1)
|
See “Non-GAAP Financial Performance Measures.”
|
(2)
|
Reported production and financial results include operations through February 28, 2018.
|
(3)
|
Prior to September 2018 commercial production date the Silvertip mine produced 0.2 million ounces of silver, 2.6 million pounds of zinc, and 1.8 million pounds of lead which are excluded from production numbers presented, unless otherwise noted.
|
(4)
|
Prior to December 2018 commercial production date the Jualin deposit at the Kensington mine produced
8,208
ounces of gold which are excluded from the production numbers presented, unless otherwise noted.
|
|
Year ended December 31,
|
||||||
In thousands
|
2018
|
|
2017
|
||||
Income and mining tax (expense) benefit at statutory rate
|
$
|
14,052
|
|
|
$
|
(14,037
|
)
|
State tax provision from continuing operations
|
2,284
|
|
|
26
|
|
||
Change in valuation allowance
|
2,471
|
|
|
86,712
|
|
||
Effect of tax legislation
|
—
|
|
|
(88,174
|
)
|
||
Percentage depletion
|
89
|
|
|
703
|
|
||
Uncertain tax positions
|
1,830
|
|
|
2,596
|
|
||
U.S. and foreign permanent differences
|
3,314
|
|
|
2,348
|
|
||
Foreign exchange rates
|
(3,973
|
)
|
|
(14,180
|
)
|
||
Foreign inflation and indexing
|
(2,374
|
)
|
|
(2,346
|
)
|
||
Foreign tax rate differences
|
(24
|
)
|
|
2,929
|
|
||
Mining, foreign withholding, and other taxes
|
(3,857
|
)
|
|
(11,274
|
)
|
||
Other, net
|
2,968
|
|
|
5,699
|
|
||
Income and mining tax (expense) benefit
|
$
|
16,780
|
|
|
$
|
(28,998
|
)
|
|
Year ended December 31,
|
||||||||||||
|
2018
|
|
2017
|
||||||||||
In thousands
|
Income (loss) before tax
|
Tax (expense) benefit
|
|
Income (loss) before tax
|
Tax (expense) benefit
|
||||||||
United States
|
$
|
(50,522
|
)
|
$
|
16,819
|
|
|
$
|
10,099
|
|
$
|
(5,635
|
)
|
Canada
|
(43,793
|
)
|
16,436
|
|
|
(3,176
|
)
|
979
|
|
||||
Mexico
|
32,073
|
|
(16,092
|
)
|
|
28,631
|
|
(25,958
|
)
|
||||
Other jurisdictions
|
(3,493
|
)
|
(383
|
)
|
|
4,369
|
|
1,616
|
|
||||
|
$
|
(65,735
|
)
|
$
|
16,780
|
|
|
$
|
39,923
|
|
$
|
(28,998
|
)
|
|
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
|
|
•
|
Elimination of silver equivalence
- Production and unit cost guidance will focus on site-level figures by metal rather than silver equivalent units
|
•
|
Change in unit cost methodology
- Site-level unit cost figures will be presented on a co-product basis, with the exception of Wharf, which will be presented on a by-product basis
|
•
|
Elimination of all-in-sustaining costs (“AISC”)
- The Company will no longer provide guidance or financial reporting on AISC
|
•
|
Price and foreign exchange assumptions
- The Company will note key price and foreign exchange assumptions underpinning guidance ranges
|
|
Gold
|
Silver
|
Zinc
|
Lead
|
|
(oz)
|
(K oz)
|
(K lbs)
|
(K lbs)
|
Palmarejo
|
95,000 - 105,000
|
6,500 - 7,200
|
—
|
—
|
Rochester
|
40,000 - 50,000
|
4,200 - 5,000
|
—
|
—
|
Kensington
|
117,000 - 130,000
|
—
|
—
|
—
|
Wharf
|
82,000 - 87,000
|
—
|
—
|
—
|
Silvertip
|
—
|
1,500 - 2,500
|
25,000 - 40,000
|
20,000 - 35,000
|
Total
|
334,000 - 372,000
|
12,200 - 14,700
|
25,000 - 40,000
|
20,000 - 35,000
|
|
Gold
|
Silver
|
Zinc
|
Lead
|
|
($/oz)
|
($/oz)
|
($/lb)
|
($/lb)
|
Palmarejo (co-product)
|
$650 - $750
|
$9.00 - $10.00
|
—
|
—
|
Rochester (co-product)
|
$1,000 - $1,100
|
$12.50 - $13.50
|
—
|
—
|
Kensington
|
$950 - $1,050
|
—
|
—
|
—
|
Wharf (by-product)
|
$850 - $950
|
—
|
—
|
—
|
Silvertip (co-product)
|
—
|
$14.00 - $16.00
|
$1.00 - $1.25
|
$0.85 - $1.05
|
|
|
|
|
($M)
|
Capital Expenditures, Sustaining
|
|
|
|
$70 - $80
|
Capital Expenditures, Development
|
|
|
|
$30 - $40
|
Exploration, Expensed
|
|
|
|
$18 - $22
|
Exploration, Capitalized
|
|
|
|
$8 - $12
|
General & Administrative Expenses
|
|
|
|
$32 - $36
|
|
Year ended December 31,
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Tons milled
|
1,382,471
|
|
|
1,498,421
|
|
|
1,078,888
|
|
|||
Gold ounces produced
|
122,722
|
|
|
121,569
|
|
|
73,913
|
|
|||
Silver ounces produced
|
7,516,390
|
|
|
7,242,082
|
|
|
4,442,164
|
|
|||
Silver equivalent ounces produced
|
14,879,710
|
|
|
14,536,222
|
|
|
8,876,944
|
|
|||
Silver equivalent ounces produced (average spot price)
|
17,428,646
|
|
|
16,206,580
|
|
|
9,836,335
|
|
|||
Gold ounces sold
|
115,592
|
|
|
131,743
|
|
|
59,081
|
|
|||
Silver ounces sold
|
7,229,179
|
|
|
7,586,154
|
|
|
3,993,451
|
|
|||
Costs applicable to sales per silver equivalent oz
(1)
|
$
|
8.48
|
|
|
$
|
9.44
|
|
|
$
|
10.72
|
|
Costs applicable to sales per average spot silver equivalent oz
(1)
|
$
|
7.25
|
|
|
$
|
8.45
|
|
|
$
|
9.73
|
|
|
Year ended December 31,
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Tons placed
|
16,169,807
|
|
|
16,440,270
|
|
|
19,555,998
|
|
|||
Gold ounces produced
|
54,388
|
|
|
51,051
|
|
|
50,751
|
|
|||
Silver ounces produced
|
5,037,983
|
|
|
4,713,574
|
|
|
4,564,138
|
|
|||
Silver equivalent ounces produced
|
8,301,263
|
|
|
7,776,634
|
|
|
7,609,198
|
|
|||
Silver equivalent ounces produced (average spot price)
|
9,430,902
|
|
|
8,478,075
|
|
|
8,267,946
|
|
|||
Gold ounces sold
|
52,789
|
|
|
54,642
|
|
|
49,320
|
|
|||
Silver ounces sold
|
4,854,579
|
|
|
4,931,368
|
|
|
4,583,540
|
|
|||
Costs applicable to sales per silver equivalent oz
(1)
|
$
|
13.17
|
|
|
$
|
13.15
|
|
|
$
|
11.90
|
|
Costs applicable to sales per average spot silver equivalent oz
(1)
|
$
|
11.59
|
|
|
$
|
12.04
|
|
|
$
|
10.97
|
|
|
Year ended December 31,
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Tons milled
|
641,058
|
|
|
668,727
|
|
|
620,209
|
|
|||
Gold ounces produced
(2)
|
105,570
|
|
|
115,094
|
|
|
124,331
|
|
|||
Gold ounces sold
|
$
|
106,555
|
|
|
$
|
125,982
|
|
|
$
|
121,688
|
|
Costs applicable to sales/oz
(1)
|
$
|
1,055
|
|
|
$
|
922
|
|
|
$
|
795
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
(2)
|
Prior to declaring commercial production in December, 2018, the Kensington mine produced
8,208
ounces sourced from the Jualin deposit, which are excluded from production numbers presented, unless otherwise noted.
|
|
Year ended December 31,
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Tons placed
|
4,923,774
|
|
|
4,560,441
|
|
|
4,268,105
|
|
|||
Gold ounces produced
|
76,840
|
|
|
95,372
|
|
|
109,175
|
|
|||
Silver ounces produced
|
50,576
|
|
|
63,535
|
|
|
105,144
|
|
|||
Gold equivalent ounces produced
(1)
|
77,683
|
|
|
96,431
|
|
|
110,927
|
|
|||
Gold ounces sold
|
75,572
|
|
|
98,237
|
|
|
108,042
|
|
|||
Silver ounces sold
|
48,085
|
|
|
74,086
|
|
|
94,680
|
|
|||
Costs applicable to sales per gold equivalent oz
(1)
|
$
|
880
|
|
|
$
|
697
|
|
|
$
|
606
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
|||||||||
|
2018
|
|
2017
|
|
2016
|
|||||
Tons milled
|
49,454
|
|
|
—
|
|
|
|
|||
Silver ounces produced
(2)
|
182,254
|
|
|
—
|
|
|
|
|||
Zinc pounds produced
(2)
|
4,181,033
|
|
|
—
|
|
|
|
|||
Lead pounds produced
(2)
|
2,072,013
|
|
|
—
|
|
|
|
|||
Silver equivalent ounces produced
|
536,717
|
|
|
—
|
|
|
|
|||
Silver equivalent ounces produced (average spot price)
|
641,057
|
|
|
—
|
|
|
|
|||
Silver ounces sold
|
222,974
|
|
|
—
|
|
|
—
|
|
||
Zinc pounds sold
|
4,375,995
|
|
|
—
|
|
|
—
|
|
||
Lead pounds sold
|
2,648,920
|
|
|
—
|
|
|
—
|
|
||
Costs applicable to sales per silver equivalent oz
(1)
|
$
|
57.64
|
|
|
$
|
—
|
|
|
|
|
Costs applicable to sales per average spot silver equivalent oz
(1)
|
$
|
48.66
|
|
|
$
|
—
|
|
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
(2)
|
Prior to September 1, 2018 commercial production date the Silvertip mine produced 0.2 million ounces of silver, 2.6 million pounds of zinc, and 1.8 million pounds of lead which are excluded from production numbers presented, unless otherwise noted.
|
|
Year ended December 31,
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Tons milled
|
—
|
|
|
133,904
|
|
|
219,430
|
|
|||
Silver ounces produced
|
—
|
|
|
107,026
|
|
|
247,998
|
|
|||
Costs applicable to sales/oz
(1)
|
$
|
—
|
|
|
$
|
6.96
|
|
|
$
|
6.56
|
|
(1)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Consolidated silver equivalent ounces sold
|
33,780,278
|
|
|
37,334,889
|
|
|
29,221,609
|
|
|||
Average realized price per consolidated silver equivalent ounce
(1)
|
$
|
18.53
|
|
|
$
|
19.01
|
|
|
$
|
19.46
|
|
Costs applicable to sales per consolidated silver equivalent ounce
(2)
|
(13.05
|
)
|
|
(11.79
|
)
|
|
(11.48
|
)
|
|||
Operating margin per consolidated silver equivalent ounce
|
$
|
5.48
|
|
|
$
|
7.22
|
|
|
$
|
7.98
|
|
(1)
|
Calculated by dividing the Company’s total metal sales by total silver equivalent ounces (based on a historical 60:1 ratio of silver ounces to gold ounces, 0.06:1 ratio of silver ounces to zinc pounds and 0.05:1 ratio of silver ounces to lead pounds).
|
(2)
|
See Non-GAAP Financial Performance Measures.
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
Cash flow before changes in operating assets and liabilities
|
$
|
112,350
|
|
|
$
|
145,201
|
|
|
$
|
141,384
|
|
Changes in operating assets and liabilities:
|
|
|
|
|
|
||||||
Receivables
|
(9,260
|
)
|
|
18,895
|
|
|
(2,783
|
)
|
|||
Prepaid expenses and other
|
4,876
|
|
|
(2,015
|
)
|
|
(4,420
|
)
|
|||
Inventories
|
(44,488
|
)
|
|
23,517
|
|
|
(34,610
|
)
|
|||
Accounts payable and accrued liabilities
|
(43,370
|
)
|
|
11,562
|
|
|
(3,110
|
)
|
|||
Cash provided by continuing operating activities
|
$
|
20,108
|
|
|
$
|
197,160
|
|
|
$
|
96,461
|
|
|
|
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:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
2024 Senior Notes
|
|
$
|
250,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
250,000
|
|
Revolving Credit Facility
(1)
|
|
135,000
|
|
|
—
|
|
|
—
|
|
|
135,000
|
|
|
—
|
|
|||||
Interest on debt
|
|
111,447
|
|
|
23,006
|
|
|
46,013
|
|
|
36,308
|
|
|
6,120
|
|
|||||
|
|
496,447
|
|
|
23,006
|
|
|
46,013
|
|
|
171,308
|
|
|
256,120
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Capital lease obligations
(2)
|
|
94,668
|
|
|
28,433
|
|
|
45,592
|
|
|
19,620
|
|
|
1,023
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating lease obligations:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Hyak mining lease (Kensington mine)
|
|
879
|
|
|
291
|
|
|
588
|
|
|
—
|
|
|
—
|
|
|||||
Operating leases
|
|
102,760
|
|
|
15,941
|
|
|
30,169
|
|
|
28,964
|
|
|
27,686
|
|
|||||
|
|
103,639
|
|
|
16,232
|
|
|
30,757
|
|
|
28,964
|
|
|
27,686
|
|
|||||
Other long-term obligations:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Reclamation and mine closure
(3)
|
|
334,743
|
|
|
6,552
|
|
|
41,281
|
|
|
16,239
|
|
|
270,671
|
|
|||||
Severance payments
(4)
|
|
6,706
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,706
|
|
|||||
Unrecognized tax benefits
(5)
|
|
6,048
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
|
|
347,497
|
|
|
6,552
|
|
|
41,281
|
|
|
16,239
|
|
|
277,377
|
|
|||||
Total
|
|
$
|
1,042,251
|
|
|
$
|
74,223
|
|
|
$
|
163,643
|
|
|
$
|
236,131
|
|
|
$
|
562,206
|
|
(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 2018 due to uncertainties in the timing of the effective settlement of tax positions.
|
1.
|
Identify the contract with the customer
|
2.
|
Identify the performance obligations
|
3.
|
Determine the transaction price
|
4.
|
Allocate the transaction price to the performance obligations
|
5.
|
Recognize revenue when (or as) the entity satisfies a performance obligation
|
|
Year ended December 31,
|
||||||||||
In thousands except per share amounts
|
2018
|
|
2017
|
|
2016
|
||||||
Net income (loss)
|
$
|
(48,405
|
)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
(Income) loss from discontinued operations, net of tax
|
(550
|
)
|
|
12,244
|
|
|
(32,917
|
)
|
|||
Fair value adjustments, net
|
(3,638
|
)
|
|
864
|
|
|
11,581
|
|
|||
Impairment of equity and debt securities
|
—
|
|
|
426
|
|
|
703
|
|
|||
Write-downs
|
—
|
|
|
—
|
|
|
4,446
|
|
|||
Inventory write-downs
|
—
|
|
|
—
|
|
|
3,689
|
|
|||
Gain on sale of Joaquin project
|
—
|
|
|
(21,138
|
)
|
|
—
|
|
|||
(Gain) loss on sale of assets and securities
|
(19
|
)
|
|
1
|
|
|
(11,334
|
)
|
|||
Gain on repurchase of Rochester royalty
|
—
|
|
|
(2,332
|
)
|
|
—
|
|
|||
(Gain) loss on debt extinguishment
|
—
|
|
|
9,342
|
|
|
21,365
|
|
|||
Mexico inflation adjustment
|
(1,939
|
)
|
|
—
|
|
|
—
|
|
|||
Transaction costs
|
5
|
|
|
3,757
|
|
|
1,199
|
|
|||
Deferred tax on reorganization (gain)
|
—
|
|
|
—
|
|
|
(40,767
|
)
|
|||
Interest income on notes receivables
|
(1,776
|
)
|
|
—
|
|
|
—
|
|
|||
Manquiri sale consideration write-down
|
18,599
|
|
|
—
|
|
|
—
|
|
|||
Silvertip start-up write-down
|
26,720
|
|
|
—
|
|
|
—
|
|
|||
Rochester In-Pit crusher write-down
|
3,441
|
|
|
—
|
|
|
—
|
|
|||
Receivable write-down
|
6,536
|
|
|
—
|
|
|
—
|
|
|||
Foreign exchange loss (gain)
|
8,611
|
|
|
1,562
|
|
|
(299
|
)
|
|||
Tax effect of adjustments
(1)
|
(9,750
|
)
|
|
816
|
|
|
2,583
|
|
|||
Adjusted net income (loss)
|
$
|
(2,165
|
)
|
|
$
|
4,223
|
|
|
$
|
15,601
|
|
|
|
|
|
|
|
||||||
Adjusted net income (loss) per share - Basic
|
$
|
(0.01
|
)
|
|
$
|
0.02
|
|
|
$
|
0.10
|
|
Adjusted net income (loss) per share - Diluted
|
$
|
(0.01
|
)
|
|
$
|
0.02
|
|
|
$
|
0.10
|
|
(1)
|
For the year ended December 31, 2018, tax effect of adjustments of
$9.8 million
(-20%) is primarily related to the write-down of Silvertip start-up costs.
|
|
Year ended December 31,
|
||||||||||
In thousands except per share amounts
|
2018
|
|
2017
|
|
2016
|
||||||
Net income (loss)
|
$
|
(48,405
|
)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
(Income) loss from discontinued operations, net of tax
|
(550
|
)
|
|
12,244
|
|
|
(32,917
|
)
|
|||
Interest expense, net of capitalized interest
|
24,364
|
|
|
16,440
|
|
|
36,896
|
|
|||
Income tax provision (benefit)
|
(16,780
|
)
|
|
28,998
|
|
|
(33,247
|
)
|
|||
Amortization
|
128,473
|
|
|
146,549
|
|
|
116,528
|
|
|||
EBITDA
|
87,102
|
|
|
202,912
|
|
|
142,612
|
|
|||
Fair value adjustments, net
|
(3,638
|
)
|
|
864
|
|
|
11,581
|
|
|||
Impairment of equity and debt securities
|
—
|
|
|
426
|
|
|
703
|
|
|||
Foreign exchange (gain) loss
|
9,069
|
|
|
(1,281
|
)
|
|
11,455
|
|
|||
Gain on sale of Joaquin project
|
—
|
|
|
(21,138
|
)
|
|
—
|
|
|||
(Gain) loss on sale of assets and securities
|
(19
|
)
|
|
1
|
|
|
(11,334
|
)
|
|||
Gain on repurchase of Rochester royalty
|
—
|
|
|
(2,332
|
)
|
|
—
|
|
|||
Loss on debt extinguishment
|
—
|
|
|
9,342
|
|
|
21,365
|
|
|||
Mexico inflation adjustment
|
(1,939
|
)
|
|
—
|
|
|
—
|
|
|||
Transaction costs
|
5
|
|
|
3,757
|
|
|
1,199
|
|
|||
Interest income on notes receivables
|
(1,776
|
)
|
|
—
|
|
|
—
|
|
|||
Manquiri sale consideration write-down
|
18,599
|
|
|
—
|
|
|
—
|
|
|||
Silvertip start-up write-down
|
26,720
|
|
|
—
|
|
|
—
|
|
|||
Rochester In-Pit crusher write-down
|
3,441
|
|
|
—
|
|
|
—
|
|
|||
Receivable write-down
|
6,536
|
|
|
—
|
|
|
—
|
|
|||
Asset retirement obligation accretion
|
11,116
|
|
|
8,983
|
|
|
7,263
|
|
|||
Inventory adjustments and write-downs
|
2,093
|
|
|
1,806
|
|
|
5,590
|
|
|||
Write-downs
|
—
|
|
|
—
|
|
|
4,446
|
|
|||
Adjusted EBITDA
|
$
|
157,309
|
|
|
$
|
203,340
|
|
|
$
|
194,880
|
|
|
|
Silver
|
|
Gold
|
|
Total
|
||||||||||||||||||||||||||
In thousands except per ounce amounts
|
|
Palmarejo
|
|
Rochester
|
|
Silvertip
|
|
Total
|
|
Kensington
|
|
Wharf
|
|
Total
|
|
|||||||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP)
|
|
$
|
180,832
|
|
|
$
|
126,586
|
|
|
$
|
40,855
|
|
|
$
|
348,273
|
|
|
$
|
141,872
|
|
|
$
|
78,273
|
|
|
$
|
220,145
|
|
|
$
|
568,418
|
|
Amortization
|
|
60,744
|
|
|
20,909
|
|
|
5,235
|
|
|
86,888
|
|
|
29,508
|
|
|
11,072
|
|
|
40,580
|
|
|
127,468
|
|
||||||||
Costs applicable to sales
|
|
$
|
120,088
|
|
|
$
|
105,677
|
|
|
$
|
35,620
|
|
|
$
|
261,385
|
|
|
$
|
112,364
|
|
|
$
|
67,201
|
|
|
$
|
179,565
|
|
|
$
|
440,950
|
|
Silver equivalent ounces sold
|
|
14,164,699
|
|
|
8,021,919
|
|
|
617,980
|
|
|
22,804,598
|
|
|
|
|
|
|
|
|
33,780,278
|
|
|||||||||||
Gold equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
106,555
|
|
|
76,373
|
|
|
182,928
|
|
|
|
|||||||||||||
Costs applicable to sales per ounce
|
|
$
|
8.48
|
|
|
$
|
13.17
|
|
|
$
|
57.64
|
|
|
$
|
11.46
|
|
|
$
|
1,055
|
|
|
$
|
880
|
|
|
$
|
982
|
|
|
$
|
13.05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales per average spot ounce
|
|
$
|
7.25
|
|
|
$
|
11.59
|
|
|
$
|
48.66
|
|
|
$
|
9.89
|
|
|
|
|
|
|
|
|
$
|
10.71
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Costs applicable to sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
440,950
|
|
||||||||||||||
Treatment and refining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5,469
|
|
|||||||||||||||
Sustaining capital
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100,871
|
|
|||||||||||||||
General and administrative
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
31,345
|
|
|||||||||||||||
Exploration
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
25,397
|
|
|||||||||||||||
Reclamation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
18,668
|
|
|||||||||||||||
Project/pre-development costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5,266
|
|
|||||||||||||||
All-in sustaining costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
627,966
|
|
||||||||||||||
Silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
22,804,598
|
|
|||||||||||||||
Kensington and Wharf silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
10,975,680
|
|
|||||||||||||||||||
Consolidated silver equivalent ounces sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
33,780,278
|
|
|||||||||||||||||
All-in sustaining costs per silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
18.59
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Consolidated silver equivalent ounces sold (average spot)
|
|
|
|
|
|
|
|
|
|
|
|
41,178,098
|
|
|||||||||||||||||||
All-in sustaining costs per average spot silver equivalent ounce
|
|
|
|
|
|
|
|
|
|
|
|
$
|
15.25
|
|
(1)
|
Excludes development capital for Jualin 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)
|
|
$
|
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.
|
In thousands except per ounce amounts
|
|
Palmarejo
|
|
Rochester
|
|
Kensington
|
|
Wharf
|
|
Silvertip
|
|
Total
|
||||||||||||
Costs applicable to sales, including amortization (U.S. GAAP)
|
|
$
|
196,310
|
|
|
$
|
131,918
|
|
|
$
|
154,285
|
|
|
$
|
90,299
|
|
|
$
|
156,417
|
|
|
$
|
729,229
|
|
Amortization
|
|
62,808
|
|
|
21,606
|
|
|
36,909
|
|
|
11,583
|
|
|
57,177
|
|
|
190,083
|
|
||||||
Costs applicable to sales
|
|
$
|
133,502
|
|
|
$
|
110,312
|
|
|
$
|
117,376
|
|
|
$
|
78,716
|
|
|
$
|
99,240
|
|
|
$
|
539,146
|
|
By-Product Credit
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,167
|
)
|
|
—
|
|
|
(1,167
|
)
|
||||||
Adjusted costs applicable to sales
|
|
$
|
133,502
|
|
|
$
|
110,312
|
|
|
$
|
117,376
|
|
|
$
|
77,549
|
|
|
$
|
99,240
|
|
|
$
|
537,979
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Metal Sales
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Gold ounces
|
|
100,000
|
|
|
45,000
|
|
|
121,000
|
|
|
85,500
|
|
|
|
|
|
||||||||
Silver ounces
|
|
6,850,000
|
|
|
4,800,000
|
|
|
|
|
75,000
|
|
|
2,100,000
|
|
|
|
||||||||
Zinc pounds
|
|
|
|
|
|
|
|
|
|
35,000,000
|
|
|
|
|||||||||||
Lead pounds
|
|
|
|
|
|
|
|
|
|
28,500,000
|
|
|
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Revenue Split
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Gold
|
|
52
|
%
|
|
43
|
%
|
|
100
|
%
|
|
100
|
%
|
|
—
|
|
|
|
|||||||
Silver
|
|
48
|
%
|
|
57
|
%
|
|
—
|
|
|
—
|
|
|
32
|
%
|
|
|
|||||||
Zinc
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
40
|
%
|
|
|
|||||||
Lead
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
28
|
%
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Costs applicable to sales per ounce
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Gold
|
|
$650 - $750
|
|
|
$1,000 - $1,100
|
|
|
$950 - $1,050
|
|
|
$850 - $950
|
|
|
—
|
|
|
|
|||||||
Silver
|
|
$9.00 - $10.00
|
|
|
$12.50 - $13.50
|
|
|
—
|
|
|
—
|
|
|
$14.00 - $16.00
|
|
|
|
|||||||
Zinc
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$1.00 - $1.25
|
|
|
|
|||||||
Lead
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$0.85 - $1.05
|
|
|
|
|
|
December 31, 2018
|
|
December 31, 2017
|
||||
ASSETS
|
Notes
|
In thousands, except share data
|
||||||
CURRENT ASSETS
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
115,081
|
|
|
$
|
192,032
|
|
Receivables
|
14
|
29,744
|
|
|
19,069
|
|
||
Inventory
|
15
|
66,279
|
|
|
58,230
|
|
||
Ore on leach pads
|
15
|
75,122
|
|
|
73,752
|
|
||
Prepaid expenses and other
|
|
11,393
|
|
|
15,053
|
|
||
Assets held for sale
|
21
|
—
|
|
|
91,421
|
|
||
|
|
297,619
|
|
|
449,557
|
|
||
NON-CURRENT ASSETS
|
|
|
|
|
||||
Property, plant and equipment, net
|
16
|
298,451
|
|
|
254,737
|
|
||
Mining properties, net
|
17
|
971,567
|
|
|
829,569
|
|
||
Ore on leach pads
|
15
|
66,964
|
|
|
65,393
|
|
||
Restricted assets
|
|
12,133
|
|
|
20,847
|
|
||
Equity and debt securities
|
13
|
17,806
|
|
|
34,837
|
|
||
Receivables
|
14
|
31,151
|
|
|
28,750
|
|
||
Other
|
|
16,809
|
|
|
17,485
|
|
||
TOTAL ASSETS
|
|
$
|
1,712,500
|
|
|
$
|
1,701,175
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
|
||||
CURRENT LIABILITIES
|
|
|
|
|
||||
Accounts payable
|
|
$
|
47,210
|
|
|
$
|
48,592
|
|
Accrued liabilities and other
|
22
|
82,619
|
|
|
94,930
|
|
||
Debt
|
18
|
24,937
|
|
|
30,753
|
|
||
Reclamation
|
5
|
6,552
|
|
|
3,777
|
|
||
Liabilities held for sale
|
21
|
—
|
|
|
50,677
|
|
||
|
|
161,318
|
|
|
228,729
|
|
||
NON-CURRENT LIABILITIES
|
|
|
|
|
||||
Debt
|
18
|
433,889
|
|
|
380,569
|
|
||
Reclamation
|
5
|
128,994
|
|
|
117,055
|
|
||
Deferred tax liabilities
|
8
|
79,070
|
|
|
105,148
|
|
||
Other long-term liabilities
|
|
56,717
|
|
|
54,697
|
|
||
|
|
698,670
|
|
|
657,469
|
|
||
COMMITMENTS AND CONTINGENCIES
|
20
|
|
|
|
||||
STOCKHOLDERS’ EQUITY
|
|
|
|
|
||||
Common stock, par value $0.01 per share; authorized 300,000,000 shares, 203,310,443 issued and outstanding at December 31, 2018 and 185,637,724 at December 31, 2017
|
|
2,033
|
|
|
1,856
|
|
||
Additional paid-in capital
|
|
3,443,082
|
|
|
3,357,345
|
|
||
Accumulated other comprehensive income (loss)
|
|
(59
|
)
|
|
2,519
|
|
||
Accumulated deficit
|
|
(2,592,544
|
)
|
|
(2,546,743
|
)
|
||
|
|
852,512
|
|
|
814,977
|
|
||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
$
|
1,712,500
|
|
|
$
|
1,701,175
|
|
|
|
Year ended December 31,
|
||||||||||
|
|
2018
|
|
2017
|
|
2016
|
||||||
|
Notes
|
In thousands, except share data
|
||||||||||
Revenue
|
3
|
$
|
625,904
|
|
|
$
|
709,598
|
|
|
$
|
571,897
|
|
COSTS AND EXPENSES
|
|
|
|
|
|
|
||||||
Costs applicable to sales
(1)
|
3
|
440,950
|
|
|
440,260
|
|
|
335,375
|
|
|||
Amortization
|
|
128,473
|
|
|
146,549
|
|
|
116,528
|
|
|||
General and administrative
|
|
31,345
|
|
|
33,616
|
|
|
29,275
|
|
|||
Exploration
|
|
25,397
|
|
|
30,311
|
|
|
12,930
|
|
|||
Write-downs
|
|
—
|
|
|
—
|
|
|
4,446
|
|
|||
Pre-development, reclamation, and other
|
|
20,043
|
|
|
18,936
|
|
|
14,411
|
|
|||
Total costs and expenses
|
|
646,208
|
|
|
669,672
|
|
|
512,965
|
|
|||
OTHER INCOME (EXPENSE), NET
|
|
|
|
|
|
|
||||||
Loss on debt extinguishment
|
|
—
|
|
|
(9,342
|
)
|
|
(21,365
|
)
|
|||
Fair value adjustments, net
|
10
|
3,638
|
|
|
(864
|
)
|
|
(11,581
|
)
|
|||
Interest expense, net of capitalized interest
|
18
|
(24,364
|
)
|
|
(16,440
|
)
|
|
(36,896
|
)
|
|||
Other, net
|
7
|
(24,705
|
)
|
|
26,643
|
|
|
98
|
|
|||
Total other income (expense), net
|
|
(45,431
|
)
|
|
(3
|
)
|
|
(69,744
|
)
|
|||
Income (loss) before income and mining taxes
|
|
(65,735
|
)
|
|
39,923
|
|
|
(10,812
|
)
|
|||
Income and mining tax (expense) benefit
|
8
|
16,780
|
|
|
(28,998
|
)
|
|
33,247
|
|
|||
Income (loss) from continuing operations
|
|
$
|
(48,955
|
)
|
|
$
|
10,925
|
|
|
$
|
22,435
|
|
Income (loss) from discontinued operations
|
21
|
550
|
|
|
(12,244
|
)
|
|
32,917
|
|
|||
NET INCOME (LOSS)
|
|
$
|
(48,405
|
)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
OTHER COMPREHENSIVE INCOME (LOSS), net of tax:
|
|
|
|
|
|
|
||||||
Unrealized gain (loss) on debt and equity securities
|
|
26
|
|
|
3,227
|
|
|
3,222
|
|
|||
Reclassification adjustments for impairment of equity securities
|
|
—
|
|
|
426
|
|
|
703
|
|
|||
Reclassification adjustments for realized (gain) loss on sale of equity securities
|
|
—
|
|
|
1,354
|
|
|
(2,691
|
)
|
|||
Other comprehensive income (loss)
|
|
26
|
|
|
5,007
|
|
|
1,234
|
|
|||
COMPREHENSIVE INCOME (LOSS)
|
|
$
|
(48,379
|
)
|
|
$
|
3,688
|
|
|
$
|
56,586
|
|
|
|
|
|
|
|
|
||||||
NET INCOME (LOSS) PER SHARE
|
9
|
|
|
|
|
|
||||||
Basic income (loss) per share:
|
|
|
|
|
|
|
||||||
Net income (loss) from continuing operations
|
|
$
|
(0.26
|
)
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
Net income (loss) from discontinued operations
|
|
0.00
|
|
|
(0.07
|
)
|
|
0.21
|
|
|||
Basic
(2)
|
|
$
|
(0.26
|
)
|
|
$
|
(0.01
|
)
|
|
$
|
0.35
|
|
Diluted income (loss) per share:
|
|
|
|
|
|
|
||||||
Net income (loss) from continuing operations
|
|
$
|
(0.26
|
)
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
Net income (loss) from discontinued operations
|
|
0.00
|
|
|
(0.07
|
)
|
|
0.20
|
|
|||
Diluted
(2)
|
|
$
|
(0.26
|
)
|
|
$
|
(0.01
|
)
|
|
$
|
0.34
|
|
|
|
Year ended December 31,
|
||||||||||
|
|
2018
|
|
2017
|
|
2016
|
||||||
|
Notes
|
In thousands
|
||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES:
|
|
|
|
|
|
|
||||||
Net income (loss)
|
|
$
|
(48,405
|
)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
(Income) loss from discontinued operations
|
|
(550
|
)
|
|
12,244
|
|
|
(32,917
|
)
|
|||
Adjustments:
|
|
|
|
|
|
|
||||||
Amortization
|
|
128,473
|
|
|
146,549
|
|
|
116,528
|
|
|||
Accretion
|
|
13,933
|
|
|
9,980
|
|
|
9,142
|
|
|||
Deferred taxes
|
|
(48,441
|
)
|
|
(13,888
|
)
|
|
(54,184
|
)
|
|||
Loss on debt extinguishment
|
|
—
|
|
|
9,342
|
|
|
21,365
|
|
|||
Fair value adjustments, net
|
10
|
(3,638
|
)
|
|
864
|
|
|
11,581
|
|
|||
Stock-based compensation
|
6
|
8,328
|
|
|
10,541
|
|
|
9,715
|
|
|||
Gain on sale of the Joaquin project
|
|
—
|
|
|
(21,138
|
)
|
|
—
|
|
|||
Write-downs
|
|
55,297
|
|
|
—
|
|
|
4,446
|
|
|||
Other
|
|
7,353
|
|
|
(7,974
|
)
|
|
356
|
|
|||
Changes in operating assets and liabilities:
|
|
|
|
|
|
|
||||||
Receivables
|
|
(9,260
|
)
|
|
18,895
|
|
|
(2,783
|
)
|
|||
Prepaid expenses and other current assets
|
|
4,876
|
|
|
(2,015
|
)
|
|
(4,420
|
)
|
|||
Inventory and ore on leach pads
|
|
(44,488
|
)
|
|
23,517
|
|
|
(34,610
|
)
|
|||
Accounts payable and accrued liabilities
|
|
(43,370
|
)
|
|
11,562
|
|
|
(3,110
|
)
|
|||
CASH PROVIDED BY OPERATING ACTIVITIES OF CONTINUING OPERATIONS
|
|
20,108
|
|
|
197,160
|
|
|
96,461
|
|
|||
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES OF DISCONTINUED OPERATIONS
|
|
(2,690
|
)
|
|
11,296
|
|
|
29,356
|
|
|||
CASH PROVIDED BY OPERATING ACTIVITIES
|
|
17,418
|
|
|
208,456
|
|
|
125,817
|
|
|||
CASH FLOWS FROM INVESTING ACTIVITIES:
|
|
|
|
|
|
|
||||||
Capital expenditures
|
|
(140,787
|
)
|
|
(136,734
|
)
|
|
(94,382
|
)
|
|||
Acquisitions, net
|
12
|
6,914
|
|
|
(156,248
|
)
|
|
(1,417
|
)
|
|||
Proceeds from the sale of assets
|
|
577
|
|
|
16,705
|
|
|
16,296
|
|
|||
Purchase of investments
|
|
(426
|
)
|
|
(15,058
|
)
|
|
(178
|
)
|
|||
Sale of investments
|
|
12,713
|
|
|
11,321
|
|
|
7,077
|
|
|||
Proceeds from notes receivable
|
|
19,000
|
|
|
—
|
|
|
—
|
|
|||
Other
|
|
11
|
|
|
2,864
|
|
|
1,756
|
|
|||
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES OF CONTINUING OPERATIONS
|
|
(101,998
|
)
|
|
(277,150
|
)
|
|
(70,848
|
)
|
|||
CASH USED IN INVESTING ACTIVITIES OF DISCONTINUED OPERATIONS
|
|
(28,470
|
)
|
|
(1,392
|
)
|
|
(6,631
|
)
|
|||
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES
|
|
(130,468
|
)
|
|
(278,542
|
)
|
|
(77,479
|
)
|
|||
CASH FLOWS FROM FINANCING ACTIVITIES:
|
|
|
|
|
|
|
||||||
Issuance of common stock
|
|
—
|
|
|
—
|
|
|
269,556
|
|
|||
Issuance of notes and bank borrowings, net of issuance costs
|
18
|
95,000
|
|
|
342,620
|
|
|
—
|
|
|||
Payments on debt, capital leases, and associated costs
|
18
|
(95,059
|
)
|
|
(203,045
|
)
|
|
(318,153
|
)
|
|||
Gold production royalty payments
|
|
—
|
|
|
—
|
|
|
(27,155
|
)
|
|||
Other
|
|
(5,160
|
)
|
|
(3,746
|
)
|
|
172
|
|
|||
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES OF CONTINUING OPERATIONS
|
|
(5,219
|
)
|
|
135,829
|
|
|
(75,580
|
)
|
|||
CASH USED IN FINANCING ACTIVITIES OF DISCONTINUED OPERATIONS
|
|
(22
|
)
|
|
(84
|
)
|
|
(4,648
|
)
|
|||
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
|
|
(5,241
|
)
|
|
135,745
|
|
|
(80,228
|
)
|
|||
Effect of exchange rate changes on cash and cash equivalents
|
|
28
|
|
|
203
|
|
|
(678
|
)
|
|||
INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH
|
|
(118,263
|
)
|
|
65,862
|
|
|
(32,568
|
)
|
|||
Less net cash provided by (used in) discontinued operations
(1)
|
|
(32,930
|
)
|
|
(10,939
|
)
|
|
1,576
|
|
|||
|
|
(85,333
|
)
|
|
76,801
|
|
|
(34,144
|
)
|
|||
Cash, cash equivalents and restricted cash at beginning of period
|
|
203,402
|
|
|
126,601
|
|
|
160,745
|
|
|||
Cash, cash equivalents and restricted cash at end of period
|
|
$
|
118,069
|
|
|
$
|
203,402
|
|
|
$
|
126,601
|
|
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, 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
|
|
|||||
Common stock issued for acquisitions
|
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
|
|
Net income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
(48,405
|
)
|
|
—
|
|
|
(48,405
|
)
|
|||||
Reclassification of unrealized gain (loss) on equity securities for ASU 2016-01
|
—
|
|
|
—
|
|
|
—
|
|
|
2,604
|
|
|
(2,604
|
)
|
|
—
|
|
|||||
Other comprehensive income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
26
|
|
|
26
|
|
|||||
Common stock issued for acquisitions
|
16,390
|
|
|
163
|
|
|
82,505
|
|
|
—
|
|
|
—
|
|
|
82,668
|
|
|||||
Common stock issued under stock-based compensation plans, net
|
1,282
|
|
|
14
|
|
|
3,232
|
|
|
—
|
|
|
—
|
|
|
3,246
|
|
|||||
Balances at December 31, 2018
|
203,310
|
|
|
$
|
2,033
|
|
|
$
|
3,443,082
|
|
|
$
|
(2,592,544
|
)
|
|
$
|
(59
|
)
|
|
$
|
852,512
|
|
1.
|
Identify the contract with the customer
|
2.
|
Identify the performance obligations
|
3.
|
Determine the transaction price
|
4.
|
Allocate the transaction price to the performance obligations
|
5.
|
Recognize revenue when (or as) the entity satisfies a performance obligation
|
|
Year ended December 31,
|
|||||||||
In thousands
|
2018
|
|
2017
|
2016
|
||||||
Opening Balance
|
$
|
14,883
|
|
|
$
|
19,281
|
|
$
|
20,000
|
|
Revenue Recognized
|
(1,965
|
)
|
|
(4,398
|
)
|
(719
|
)
|
|||
Closing Balance
|
$
|
12,918
|
|
|
$
|
14,883
|
|
$
|
19,281
|
|
Year ended December 31, 2018
|
Palmarejo
|
|
Rochester
|
|
Kensington
|
|
Wharf
|
|
Silvertip
|
|
Other
|
|
Total
|
||||||||||||||
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Gold sales
|
$
|
131,758
|
|
|
$
|
66,556
|
|
|
$
|
132,924
|
|
|
$
|
95,770
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
427,008
|
|
Silver sales
|
113,998
|
|
|
75,252
|
|
|
—
|
|
|
746
|
|
|
3,157
|
|
|
—
|
|
|
193,153
|
|
|||||||
Zinc sales
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,612
|
|
|
—
|
|
|
3,612
|
|
|||||||
Lead sales
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,131
|
|
|
—
|
|
|
2,131
|
|
|||||||
Metal sales
|
245,756
|
|
|
141,808
|
|
|
132,924
|
|
|
96,516
|
|
|
8,900
|
|
|
—
|
|
|
625,904
|
|
|||||||
Costs and Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Costs applicable to sales
(1)
|
120,088
|
|
|
105,677
|
|
|
112,364
|
|
|
67,201
|
|
|
35,620
|
|
|
—
|
|
|
440,950
|
|
|||||||
Amortization
|
60,744
|
|
|
20,909
|
|
|
29,508
|
|
|
11,072
|
|
|
5,235
|
|
|
1,005
|
|
|
128,473
|
|
|||||||
Exploration
|
10,516
|
|
|
332
|
|
|
5,871
|
|
|
104
|
|
|
2,748
|
|
|
5,826
|
|
|
25,397
|
|
|||||||
Other operating expenses
|
3,043
|
|
|
7,071
|
|
|
1,721
|
|
|
2,686
|
|
|
303
|
|
|
36,564
|
|
|
51,388
|
|
|||||||
Other income (expense)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Fair value adjustments, net
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,638
|
|
|
3,638
|
|
|||||||
Interest expense, net
|
(2,137
|
)
|
|
(466
|
)
|
|
(973
|
)
|
|
(40
|
)
|
|
(766
|
)
|
|
(19,982
|
)
|
|
(24,364
|
)
|
|||||||
Other, net
|
(8,308
|
)
|
|
(1,211
|
)
|
|
2,795
|
|
|
(834
|
)
|
|
(370
|
)
|
|
(16,777
|
)
|
|
(24,705
|
)
|
|||||||
Income and mining tax (expense) benefit
|
(15,724
|
)
|
|
(874
|
)
|
|
—
|
|
|
(1,063
|
)
|
|
16,057
|
|
|
18,384
|
|
|
16,780
|
|
|||||||
Income (loss) from continuing operations
|
$
|
25,196
|
|
|
$
|
5,268
|
|
|
$
|
(14,718
|
)
|
|
$
|
13,516
|
|
|
$
|
(20,085
|
)
|
|
$
|
(58,132
|
)
|
|
$
|
(48,955
|
)
|
Income (loss) from discontinued operations
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
550
|
|
|
$
|
550
|
|
Segment assets
(2)
|
$
|
363,024
|
|
|
$
|
269,903
|
|
|
$
|
224,460
|
|
|
$
|
102,246
|
|
|
$
|
415,998
|
|
|
$
|
175,040
|
|
|
$
|
1,550,671
|
|
Capital expenditures
|
$
|
29,425
|
|
|
$
|
9,919
|
|
|
$
|
44,738
|
|
|
$
|
3,382
|
|
|
$
|
52,932
|
|
|
$
|
391
|
|
|
$
|
140,787
|
|
Year ended December 31, 2017
|
Palmarejo
|
|
Rochester
|
|
Kensington
|
|
Wharf
|
|
Silvertip
|
|
Other
|
|
Total
|
||||||||||||||
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Gold sales
|
$
|
146,187
|
|
|
$
|
68,964
|
|
|
$
|
154,469
|
|
|
$
|
124,629
|
|
|
—
|
|
|
$
|
—
|
|
|
$
|
494,249
|
|
|
Silver sales
|
128,622
|
|
|
83,716
|
|
|
—
|
|
|
1,272
|
|
|
—
|
|
|
1,739
|
|
|
215,349
|
|
|||||||
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
|
|
|
1,412
|
|
|
2,468
|
|
|
153
|
|
|
44,015
|
|
|
52,552
|
|
|||||||
Other income (expense)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Loss on debt extinguishment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(9,342
|
)
|
|
(9,342
|
)
|
|||||||
Fair value adjustments, net
|
—
|
|
|
(864
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(864
|
)
|
|||||||
Interest expense, net
|
(487
|
)
|
|
(496
|
)
|
|
(413
|
)
|
|
(66
|
)
|
|
(2,212
|
)
|
|
(14,978
|
)
|
|
(16,440
|
)
|
|||||||
Other, net
|
(851
|
)
|
|
2,193
|
|
|
(922
|
)
|
|
172
|
|
|
1,142
|
|
|
26,051
|
|
|
26,643
|
|
|||||||
Income and mining tax (expense) benefit
|
(24,330
|
)
|
|
(1,028
|
)
|
|
—
|
|
|
(3,936
|
)
|
|
(932
|
)
|
|
296
|
|
|
(28,998
|
)
|
|||||||
Income (loss) from continuing operations
|
$
|
16,034
|
|
|
$
|
17,512
|
|
|
$
|
(9,000
|
)
|
|
$
|
36,949
|
|
|
$
|
(2,155
|
)
|
|
$
|
(50,570
|
)
|
|
$
|
10,925
|
|
Income (loss) from discontinued operations
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
(12,244
|
)
|
|
$
|
(12,244
|
)
|
|
Segment assets
(2)
|
$
|
377,621
|
|
|
$
|
239,223
|
|
|
$
|
212,588
|
|
|
$
|
104,010
|
|
|
339,369
|
|
|
$
|
411,111
|
|
|
$
|
1,344,553
|
|
|
Capital expenditures
|
$
|
29,902
|
|
|
$
|
40,874
|
|
|
$
|
36,248
|
|
|
$
|
8,844
|
|
|
17,684
|
|
|
$
|
20,866
|
|
|
$
|
136,734
|
|
Year ended December 31, 2016
|
Palmarejo
|
|
Rochester
|
|
Kensington
|
|
Wharf
|
|
Other
|
|
Total
|
||||||||||||
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Gold sales
|
$
|
72,612
|
|
|
$
|
61,724
|
|
|
$
|
146,593
|
|
|
$
|
135,061
|
|
|
$
|
—
|
|
|
$
|
415,990
|
|
Silver sales
|
68,661
|
|
|
78,221
|
|
|
—
|
|
|
1,617
|
|
|
4,128
|
|
|
152,627
|
|
||||||
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
|
|
Assets
|
December 31, 2018
|
|
December 31, 2017
|
||||
Total assets for reportable segments
|
$
|
1,550,671
|
|
|
$
|
1,344,553
|
|
Cash and cash equivalents
|
115,081
|
|
|
192,032
|
|
||
Other assets
|
46,748
|
|
|
164,590
|
|
||
Total consolidated assets
|
$
|
1,712,500
|
|
|
$
|
1,701,175
|
|
Long-Lived Assets
|
December 31, 2018
|
|
December 31, 2017
|
||||
Mexico
|
$
|
342,007
|
|
|
$
|
370,188
|
|
United States
|
515,649
|
|
|
377,768
|
|
||
Canada
|
404,185
|
|
|
331,440
|
|
||
Other
|
8,177
|
|
|
4,910
|
|
||
Total
|
$
|
1,270,018
|
|
|
$
|
1,084,306
|
|
|
|
Year ended December 31,
|
|
|
||||||||||
Customer
|
|
2018
|
|
2017
|
|
2016
|
|
Segments reporting revenue
|
||||||
Asahi (formerly Johnson Matthey)
|
|
$
|
213.0
|
|
|
$
|
124.1
|
|
|
$
|
62.6
|
|
|
Palmarejo, Wharf, Rochester
|
Techemet Metal Trading
|
|
83.3
|
|
|
104.8
|
|
|
40.7
|
|
|
Rochester, Wharf
|
|||
Ocean Partners
|
|
74.8
|
|
|
—
|
|
|
—
|
|
|
Silvertip, Kensington
|
|||
RMC
|
|
71.7
|
|
|
132.4
|
|
|
47.3
|
|
|
Palmarejo, Rochester
|
|||
China National Gold
|
|
54.1
|
|
|
137.5
|
|
|
126.6
|
|
|
Kensington
|
|||
INTL Commodities
|
|
—
|
|
|
9.6
|
|
|
76.6
|
|
|
Palmarejo, Rochester, Wharf
|
|
|
Year ended December 31,
|
||||||||||
|
|
2018
|
|
2017
|
|
2016
|
||||||
Mining properties
|
|
|
|
|
|
|
||||||
Coeur Capital
|
|
—
|
|
|
—
|
|
|
4,446
|
|
|||
Total
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
4,446
|
|
|
Year ended December 31,
|
||||||
In thousands
|
2018
|
|
2017
|
||||
Asset retirement obligation - Beginning
|
$
|
118,799
|
|
|
$
|
86,754
|
|
Accretion
|
11,037
|
|
|
8,769
|
|
||
Additions and changes in estimates
|
6,880
|
|
|
25,370
|
|
||
Settlements
|
(3,208
|
)
|
|
(2,094
|
)
|
||
Asset retirement obligation - Ending
|
$
|
133,508
|
|
|
$
|
118,799
|
|
|
Restricted Stock
|
|||||
|
Number of
Shares
|
|
Weighted
Average
Grant Date
Fair Value
|
|||
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
|
|
|
Granted
|
1,000,690
|
|
|
7.63
|
|
|
Vested
|
(1,277,076
|
)
|
|
5.30
|
|
|
Cancelled/Forfeited
|
(337,811
|
)
|
|
6.51
|
|
|
Outstanding at December 31, 2018
|
1,541,648
|
|
|
$
|
7.14
|
|
|
Performance Shares
|
|||||
|
Number of
Shares
|
|
Weighted
Average
Grant Date
Fair Value
|
|||
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
|
|
|
Granted
(1)
|
869,421
|
|
|
7.41
|
|
|
Vested
|
(1,086,058
|
)
|
|
6.83
|
|
|
Cancelled/Forfeited
|
(613,329
|
)
|
|
5.41
|
|
|
Outstanding at December 31, 2018
|
1,538,315
|
|
|
$
|
4.05
|
|
|
2018
|
|
2017
|
|
2016
|
||||||
Weighted average fair value of stock options granted
|
$
|
4.09
|
|
|
$
|
3.91
|
|
|
$
|
1.06
|
|
Volatility
|
66.86
|
%
|
|
67.07
|
%
|
|
61.75
|
%
|
|||
Expected life in years
|
4.00
|
|
|
4.00
|
|
|
3.99
|
|
|||
Risk-free interest rate
|
2.07
|
%
|
|
1.69
|
%
|
|
1.50
|
%
|
|||
Dividend yield
|
—
|
|
|
—
|
|
|
—
|
|
|
Stock Options
|
|
SARs
|
||||||||||
|
Shares
|
|
Weighted
Average
Exercise
Price
|
|
Shares
|
|
Weighted
Average Exercise Price |
||||||
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
|
|
||
Granted
|
14,310
|
|
|
7.91
|
|
|
—
|
|
|
—
|
|
||
Exercised
|
(159,069
|
)
|
|
3.35
|
|
|
—
|
|
|
—
|
|
||
Canceled/forfeited
|
(153,601
|
)
|
|
11.48
|
|
|
—
|
|
|
—
|
|
||
Outstanding at December 31, 2018
|
319,086
|
|
|
$
|
13.53
|
|
|
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
|
208,495
|
|
|
7.67
|
|
|
6.1
|
|
|
|||
$10.00-$20.00
|
14,634
|
|
|
16.28
|
|
|
3.9
|
|
|
|||
$20.00-$30.00
|
95,957
|
|
|
25.83
|
|
|
3.3
|
|
|
|||
Outstanding
|
319,086
|
|
|
$
|
13.53
|
|
|
5.2
|
|
$
|
—
|
|
Vested and expected to vest
|
315,834
|
|
|
$
|
13.59
|
|
|
5.1
|
|
$
|
—
|
|
Exercisable
|
288,972
|
|
|
$
|
14.17
|
|
|
4.8
|
|
$
|
—
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
Foreign exchange gain (loss)
|
$
|
(9,069
|
)
|
|
$
|
1,281
|
|
|
$
|
(11,456
|
)
|
Write-down of Manquiri consideration
|
(18,599
|
)
|
|
—
|
|
|
—
|
|
|||
RMC receivable write-down
|
(6,536
|
)
|
|
—
|
|
|
—
|
|
|||
Mexico inflation adjustment
|
1,939
|
|
|
—
|
|
|
—
|
|
|||
Interest income on notes receivable
|
1,776
|
|
|
—
|
|
|
—
|
|
|||
Gain (loss) on sale of assets and investments
|
19
|
|
|
(1,037
|
)
|
|
11,334
|
|
|||
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
|
)
|
|||
Other
|
5,765
|
|
|
2,319
|
|
|
923
|
|
|||
Other, net
|
$
|
(24,705
|
)
|
|
$
|
26,643
|
|
|
$
|
98
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
United States
|
$
|
(50,522
|
)
|
|
$
|
10,099
|
|
|
$
|
(13,299
|
)
|
Foreign
|
(15,213
|
)
|
|
29,824
|
|
|
2,487
|
|
|||
Total
|
$
|
(65,735
|
)
|
|
$
|
39,923
|
|
|
$
|
(10,812
|
)
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
Current:
|
|
|
|
|
|
|
|
|
|||
United States
|
$
|
1,188
|
|
|
$
|
1,428
|
|
|
$
|
—
|
|
United States — State mining taxes
|
(3,208
|
)
|
|
(6,016
|
)
|
|
(7,826
|
)
|
|||
United States — Foreign withholding tax
|
(5,617
|
)
|
|
(8,466
|
)
|
|
(1,838
|
)
|
|||
Canada
|
378
|
|
|
876
|
|
|
(1,841
|
)
|
|||
Mexico
|
(26,021
|
)
|
|
(30,763
|
)
|
|
(9,581
|
)
|
|||
Other
|
67
|
|
|
55
|
|
|
24
|
|
|||
Deferred:
|
|
|
|
|
|
||||||
United States
|
23,322
|
|
|
6,367
|
|
|
(1,610
|
)
|
|||
United States — State mining taxes
|
1,134
|
|
|
1,052
|
|
|
748
|
|
|||
Canada
|
16,057
|
|
|
104
|
|
|
1,338
|
|
|||
Mexico
|
9,929
|
|
|
4,805
|
|
|
55,383
|
|
|||
Other
|
(449
|
)
|
|
1,560
|
|
|
(1,550
|
)
|
|||
Income tax (expense) benefit
|
$
|
16,780
|
|
|
$
|
(28,998
|
)
|
|
$
|
33,247
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
Income and mining tax (expense) benefit at statutory rate
|
$
|
14,052
|
|
|
$
|
(14,037
|
)
|
|
$
|
3,718
|
|
State tax provision from continuing operations
|
2,284
|
|
|
26
|
|
|
336
|
|
|||
Change in valuation allowance
|
2,471
|
|
|
86,712
|
|
|
40,517
|
|
|||
Effect of tax legislation
|
—
|
|
|
(88,174
|
)
|
|
—
|
|
|||
Percentage depletion
|
89
|
|
|
703
|
|
|
983
|
|
|||
Uncertain tax positions
|
1,830
|
|
|
2,596
|
|
|
(8,829
|
)
|
|||
U.S. and foreign permanent differences
|
3,314
|
|
|
2,348
|
|
|
(2,652
|
)
|
|||
Foreign exchange rates
|
(3,973
|
)
|
|
(14,180
|
)
|
|
19,701
|
|
|||
Foreign inflation and indexing
|
(2,374
|
)
|
|
(2,346
|
)
|
|
(670
|
)
|
|||
Foreign tax rate differences
|
(24
|
)
|
|
2,929
|
|
|
120
|
|
|||
Mining, foreign withholding, and other taxes
|
(3,857
|
)
|
|
(11,274
|
)
|
|
(11,052
|
)
|
|||
Other, net
|
2,968
|
|
|
5,699
|
|
|
—
|
|
|||
Legal entity reorganization
|
—
|
|
|
—
|
|
|
(8,925
|
)
|
|||
Income and mining tax (expense) benefit
|
$
|
16,780
|
|
|
$
|
(28,998
|
)
|
|
$
|
33,247
|
|
|
Year ended December 31,
|
||||||
In thousands
|
2018
|
|
2017
|
||||
Deferred tax liabilities:
|
|
|
|
|
|
||
Mineral properties
|
$
|
118,852
|
|
|
$
|
102,573
|
|
Unrealized foreign currency loss and other
|
—
|
|
|
1,748
|
|
||
Inventory
|
4,513
|
|
|
8,258
|
|
||
Foreign subsidiaries - unremitted earnings
|
7
|
|
|
—
|
|
||
|
$
|
123,372
|
|
|
$
|
112,579
|
|
Deferred tax assets:
|
|
|
|
|
|
||
Net operating loss carryforwards
|
$
|
189,840
|
|
|
$
|
155,512
|
|
Property, plant, and equipment
|
7,779
|
|
|
19,086
|
|
||
Mining Royalty Tax
|
8,980
|
|
|
11,797
|
|
||
Capital loss carryforwards
|
23,003
|
|
|
19,881
|
|
||
Asset retirement obligation
|
27,980
|
|
|
25,309
|
|
||
Foreign subsidiaries - unremitted earnings
|
—
|
|
|
1,842
|
|
||
Unrealized foreign currency loss and other
|
8,387
|
|
|
218
|
|
||
Royalty and other long-term debt
|
3,821
|
|
|
—
|
|
||
Accrued expenses
|
14,247
|
|
|
13,512
|
|
||
Tax credit carryforwards
|
33,897
|
|
|
45,277
|
|
||
|
317,934
|
|
|
292,434
|
|
||
Valuation allowance
|
(272,839
|
)
|
|
(282,868
|
)
|
||
|
45,095
|
|
|
9,566
|
|
||
Net deferred tax liabilities
|
$
|
78,277
|
|
|
$
|
103,013
|
|
In thousands
|
U.S.
|
|
Canada
|
|
Mexico
|
|
New Zealand
|
|
Other
|
|
Total
|
||||||||||||
Regular net operating losses
|
$
|
423,572
|
|
|
$
|
82,383
|
|
|
$
|
58,688
|
|
|
$
|
82,378
|
|
|
$
|
3,915
|
|
|
$
|
650,936
|
|
Expiration years
|
2019-2038
|
|
2029-2037
|
|
2019-2027
|
|
Indefinite
|
|
2019-2022
|
|
|
||||||||||||
Capital losses
|
87,431
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
87,431
|
|
||||||
Alternative minimum tax credits
|
793
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
793
|
|
||||||
Foreign tax credits
|
30,358
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
30,358
|
|
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
|
|
Gross increase to current period tax positions
|
—
|
|
|
Gross increase to prior period tax positions
|
37
|
|
|
Reductions in unrecognized tax benefits resulting from a lapse of the applicable statute of limitations
|
(1,585
|
)
|
|
Unrecognized tax benefits at December 31, 2018
|
$
|
3,776
|
|
|
Year ended December 31,
|
||||||||||
In thousands except per share amounts
|
2018
|
|
2017
|
|
2016
|
||||||
Net income (loss) available to common stockholders:
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
$
|
(48,955
|
)
|
|
$
|
10,925
|
|
|
$
|
22,435
|
|
Income (loss) from discontinued operations
|
550
|
|
|
(12,244
|
)
|
|
32,917
|
|
|||
|
$
|
(48,405
|
)
|
|
$
|
(1,319
|
)
|
|
$
|
55,352
|
|
|
|
|
|
|
|
||||||
Weighted average shares:
|
|
|
|
|
|
||||||
Basic
|
188,606
|
|
|
180,096
|
|
|
159,853
|
|
|||
Effect of stock-based compensation plans
|
—
|
|
|
4,048
|
|
|
3,606
|
|
|||
Diluted
|
188,606
|
|
|
184,144
|
|
|
163,459
|
|
|||
|
|
|
|
|
|
||||||
Basic income (loss) per share:
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
$
|
(0.26
|
)
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
Income (loss) from discontinued operations
|
—
|
|
|
(0.07
|
)
|
|
0.21
|
|
|||
Basic
(1)
|
$
|
(0.26
|
)
|
|
$
|
(0.01
|
)
|
|
$
|
0.35
|
|
|
|
|
|
|
|
||||||
Diluted income (loss) per share:
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
$
|
(0.26
|
)
|
|
$
|
0.06
|
|
|
$
|
0.14
|
|
Income (loss) from discontinued operations
|
—
|
|
|
(0.07
|
)
|
|
0.20
|
|
|||
Diluted
(1)
|
$
|
(0.26
|
)
|
|
$
|
(0.01
|
)
|
|
$
|
0.34
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
Unrealized gain (loss) on equity securities
|
$
|
(5,019
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Realized gain (loss) on equity securities
|
7,964
|
|
|
—
|
|
|
—
|
|
|||
Zinc options
|
753
|
|
|
—
|
|
|
—
|
|
|||
Interest rate swap
|
(60
|
)
|
|
—
|
|
|
—
|
|
|||
Rochester royalty obligation
|
—
|
|
|
(864
|
)
|
|
(4,133
|
)
|
|||
Palmarejo royalty obligation embedded derivative
|
—
|
|
|
—
|
|
|
(5,866
|
)
|
|||
Silver and gold options
|
—
|
|
|
—
|
|
|
(1,582
|
)
|
|||
Fair value adjustments, net
|
$
|
3,638
|
|
|
$
|
(864
|
)
|
|
$
|
(11,581
|
)
|
|
Fair Value at December 31, 2018
|
||||||||||||||
In thousands
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
Assets:
|
|
|
|
|
|
|
|
||||||||
Equity and debt securities
|
$
|
17,806
|
|
|
$
|
15,589
|
|
|
$
|
—
|
|
|
$
|
2,217
|
|
Other derivative instruments, net
|
$
|
914
|
|
|
—
|
|
|
914
|
|
|
—
|
|
|||
|
$
|
18,720
|
|
|
$
|
15,589
|
|
|
$
|
914
|
|
|
$
|
2,217
|
|
Liabilities:
|
|
|
|
|
|
|
|
||||||||
Silvertip contingent consideration
|
$
|
49,276
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
49,276
|
|
Other derivative instruments, net
|
$
|
644
|
|
|
—
|
|
|
644
|
|
|
—
|
|
|||
|
$
|
49,920
|
|
|
$
|
—
|
|
|
$
|
644
|
|
|
$
|
49,276
|
|
|
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
|
|
|
Year Ended December 31, 2018
|
||||||||||||||||||
In thousands
|
Balance at the beginning of the period
|
|
Revaluation
|
|
Settlements
|
|
Accretion
|
|
Balance at the
end of the period |
||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
||||||||||
Equity and debt securities
|
$
|
6,891
|
|
|
$
|
(274
|
)
|
|
$
|
(4,400
|
)
|
|
$
|
—
|
|
|
$
|
2,217
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
||||||||||
Silvertip contingent consideration
|
$
|
47,965
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,311
|
|
|
$
|
49,276
|
|
|
Year Ended December 31, 2017
|
||||||||||||||||||||||||||
In thousands
|
Balance at the beginning of the period
|
|
Additions
|
|
Revaluation
|
|
Settlements
|
|
Accretion
|
|
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
|
|
|
December 31, 2018
|
||||||||||||||||||
In thousands
|
Book Value
|
|
Fair Value
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
||||||||||
Manquiri Notes Receivable
|
$
|
5,487
|
|
|
$
|
5,487
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5,487
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
||||||||||
5.875% Senior Notes due 2024
(1)
|
$
|
245,854
|
|
|
$
|
220,446
|
|
|
$
|
—
|
|
|
$
|
220,446
|
|
|
$
|
—
|
|
Revolving Credit Facility
(2)
|
$
|
135,000
|
|
|
$
|
135,000
|
|
|
$
|
—
|
|
|
$
|
135,000
|
|
|
$
|
—
|
|
|
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
|
|
|
$
|
—
|
|
In thousands except average prices and notional ounces
|
2019
|
|
Thereafter
|
||||
Provisional silver sales contracts
|
$
|
3,559
|
|
|
$
|
—
|
|
Average silver price per ounce
|
$
|
14.62
|
|
|
$
|
—
|
|
Notional ounces
|
243,383
|
|
|
—
|
|
||
|
|
|
|
||||
Provisional gold sales contracts
|
$
|
31,936
|
|
|
$
|
—
|
|
Average gold price per ounce
|
$
|
1,257
|
|
|
$
|
—
|
|
Notional ounces
|
25,411
|
|
|
—
|
|
||
|
|
|
|
||||
Provisional zinc sales contracts
|
$
|
6,334
|
|
|
$
|
—
|
|
Average zinc price per pound
|
$
|
1.20
|
|
|
$
|
—
|
|
Notional pounds
|
5,270,793
|
|
|
—
|
|
||
|
|
|
|
||||
Provisional lead sales contracts
|
$
|
2,360
|
|
|
$
|
—
|
|
Average lead price per pound
|
$
|
0.92
|
|
|
$
|
—
|
|
Notional pound
|
2,568,165
|
|
|
—
|
|
||
|
|
|
|
||||
Zinc put options purchased
|
$
|
2,700
|
|
|
$
|
—
|
|
Average zinc strike price per metric ton
|
$
|
3,000
|
|
|
$
|
—
|
|
Notional metric tons
|
900
|
|
|
—
|
|
||
|
|
|
|
||||
Zinc call options sold
|
$
|
(3,645
|
)
|
|
$
|
—
|
|
Average zinc strike price per metric ton
|
$
|
4,050
|
|
|
$
|
—
|
|
Notional metric tons
|
900
|
|
|
—
|
|
||
|
|
|
|
||||
Fixed interest rate swap payable
|
$
|
636
|
|
|
$
|
—
|
|
Fixed Interest rate
|
2.46
|
%
|
|
—
|
|
||
Notional dollars
|
$
|
50,000
|
|
|
$
|
—
|
|
|
|
|
|
||||
Variable interest rate swap receivable
|
$
|
653
|
|
|
$
|
—
|
|
Average variable interest rate
|
2.50
|
%
|
|
$
|
—
|
|
|
Notional dollars
|
$
|
50,000
|
|
|
$
|
—
|
|
|
December 31, 2018
|
||||||
In thousands
|
Prepaid expenses and other
|
|
Accrued liabilities and other
|
||||
Provisional metal sales contracts
|
$
|
784
|
|
|
$
|
644
|
|
Zinc options
|
113
|
|
|
—
|
|
||
Interest rate swaps
|
17
|
|
|
—
|
|
||
|
$
|
914
|
|
|
$
|
644
|
|
|
December 31, 2017
|
||||||
In thousands
|
Prepaid expenses and other
|
|
Accrued liabilities and other
|
||||
Provisional metal sales contracts
|
$
|
251
|
|
|
$
|
222
|
|
|
|
Year ended December 31,
|
||||||||||
Financial statement line
|
Derivative
|
2018
|
|
2017
|
|
2016
|
||||||
Revenue
|
Provisional metal sales contracts
|
$
|
111
|
|
|
$
|
631
|
|
|
$
|
(239
|
)
|
Fair value adjustments, net
|
Palmarejo gold production royalty
|
—
|
|
|
—
|
|
|
(5,866
|
)
|
|||
Fair value adjustments, net
|
Zinc options
|
753
|
|
|
—
|
|
|
—
|
|
|||
Fair value adjustments, net
|
Silver and gold options
|
—
|
|
|
—
|
|
|
(1,582
|
)
|
|||
Fair value adjustments, net
|
Interest rate swaps
|
(60
|
)
|
|
—
|
|
|
—
|
|
|||
|
|
$
|
804
|
|
|
$
|
631
|
|
|
$
|
(7,687
|
)
|
Common shares issued (4,268,703 at $4.40)
|
$
|
18,782
|
|
Transaction advisory fees and other acquisition costs
|
246
|
|
|
Total purchase price
|
$
|
19,028
|
|
Assets:
|
|
||
Prepaid expenses and other
|
527
|
|
|
Mining properties, net
|
18,501
|
|
|
Net assets acquired
|
$
|
19,028
|
|
Common shares issued (12,122,683 at $5.27)
|
$
|
63,887
|
|
Fair value of existing investment in Northern Empire
|
7,257
|
|
|
Transaction advisory fees and other acquisition costs
|
2,449
|
|
|
Total consideration
|
73,593
|
|
|
Assets:
|
|
||
Cash
|
5,309
|
|
|
Receivables and other current assets
|
465
|
|
|
Restricted assets
|
4,300
|
|
|
Property, plant, and equipment
|
1,351
|
|
|
Mining properties, net
|
99,515
|
|
|
Deferred income taxes
|
587
|
|
|
|
111,527
|
|
|
Liabilities:
|
|
||
Accounts payable and accrued liabilities
|
10,895
|
|
|
Reclamation liabilities
|
2,659
|
|
|
Deferred income taxes
|
24,380
|
|
|
|
37,934
|
|
|
Net assets acquired
|
$
|
73,593
|
|
Common shares issued (4,191,679 at $8.59)
|
$
|
36,007
|
|
Cash
|
153,194
|
|
|
Contingent consideration
|
47,705
|
|
|
Total purchase price
(1)
|
$
|
236,906
|
|
Assets:
|
|
||
Receivables and other assets
|
$
|
6,828
|
|
Property, plant, and equipment
|
36,568
|
|
|
Mining properties, net
|
285,054
|
|
|
|
328,450
|
|
|
Liabilities:
|
|
||
Accounts payable and accrued liabilities
|
13,068
|
|
|
Asset retirement obligation
|
6,982
|
|
|
Debt and capital lease
|
20,149
|
|
|
Deferred income taxes
|
51,345
|
|
|
|
91,544
|
|
|
Net assets acquired
|
$
|
236,906
|
|
|
At December 31, 2018
|
||||||||||||||
In thousands
|
Cost
|
|
Gross
Unrealized
Losses
|
|
Gross
Unrealized
Gains
|
|
Estimated
Fair Value
|
||||||||
Equity Securities
|
|
|
|
|
|
|
|
||||||||
Metalla Royalty & Streaming Ltd.
|
10,695
|
|
|
—
|
|
|
2,852
|
|
|
13,547
|
|
||||
Rockhaven Resources, Ltd.
|
2,064
|
|
|
(452
|
)
|
|
—
|
|
|
1,612
|
|
||||
Other
|
1,376
|
|
|
(946
|
)
|
|
—
|
|
|
430
|
|
||||
Equity securities
|
$
|
14,135
|
|
|
$
|
(1,398
|
)
|
|
$
|
2,852
|
|
|
$
|
15,589
|
|
|
|
|
|
|
|
|
|
||||||||
Debt Securities
|
|
|
|
|
|
|
|
||||||||
Metalla Royalty & Streaming Ltd.
|
$
|
2,271
|
|
|
$
|
(54
|
)
|
|
$
|
—
|
|
|
$
|
2,217
|
|
|
|
|
|
|
|
|
|
||||||||
Equity and debt securities
|
$
|
16,406
|
|
|
$
|
(1,452
|
)
|
|
$
|
2,852
|
|
|
$
|
17,806
|
|
|
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.
(1)
|
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
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
Net gain (loss)
|
$
|
2,945
|
|
|
$
|
1,356
|
|
|
$
|
(2,691
|
)
|
Less: Realized (gain) loss
|
(7,964
|
)
|
|
(1,356
|
)
|
|
2,691
|
|
|||
Unrealized gain (loss)
|
$
|
(5,019
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
Less than twelve months
|
|
Twelve months or more
|
|
Total
|
|||||||||
In thousands
|
Unrealized Losses
|
Fair Value
|
|
Unrealized Losses
|
Fair Value
|
|
Unrealized Losses
|
Fair Value
|
||||||
Debt securities
|
—
|
|
—
|
|
|
53
|
|
2,217
|
|
|
53
|
|
2,217
|
|
In thousands
|
December 31, 2018
|
|
December 31, 2017
|
||||
Current receivables:
|
|
|
|
||||
Trade receivables
|
$
|
5,147
|
|
|
$
|
5,883
|
|
Value added tax receivable
|
18,609
|
|
|
10,982
|
|
||
Manquiri Notes Receivable
|
5,487
|
|
|
—
|
|
||
Other
|
501
|
|
|
2,204
|
|
||
|
$
|
29,744
|
|
|
$
|
19,069
|
|
Non-current receivables:
|
|
|
|
||||
Value added tax receivable
1
|
$
|
26,817
|
|
|
$
|
28,750
|
|
RMC Receivable
|
4,334
|
|
|
—
|
|
||
|
31,151
|
|
|
28,750
|
|
||
Total receivables
|
$
|
60,895
|
|
|
$
|
47,819
|
|
In thousands
|
December 31, 2018
|
|
December 31, 2017
|
||||
Inventory:
|
|
|
|
||||
Concentrate
|
$
|
10,772
|
|
|
$
|
6,831
|
|
Precious metals
|
20,761
|
|
|
18,803
|
|
||
Supplies
|
34,746
|
|
|
32,596
|
|
||
|
66,279
|
|
|
58,230
|
|
||
Ore on leach pads:
|
|
|
|
||||
Current
|
75,122
|
|
|
73,752
|
|
||
Non-current
|
66,964
|
|
|
65,393
|
|
||
|
142,086
|
|
|
139,145
|
|
||
Total inventory and ore on leach pads
|
$
|
208,365
|
|
|
$
|
197,375
|
|
In thousands
|
December 31, 2018
|
|
December 31, 2017
|
||||
Land
|
$
|
10,082
|
|
|
$
|
9,408
|
|
Facilities and equipment
|
611,399
|
|
|
554,160
|
|
||
Assets under capital leases
|
107,445
|
|
|
82,753
|
|
||
|
728,926
|
|
|
646,321
|
|
||
Accumulated amortization
(1)
|
(486,371
|
)
|
|
(448,001
|
)
|
||
|
242,555
|
|
|
198,320
|
|
||
Construction in progress
|
55,896
|
|
|
56,417
|
|
||
Property, plant and equipment, net
|
$
|
298,451
|
|
|
$
|
254,737
|
|
December 31, 2018
|
Palmarejo
|
|
Rochester
|
|
Silvertip
|
|
Kensington
|
|
Wharf
|
|
Sterling
|
|
La Preciosa
|
|
Other
|
|
Total
|
||||||||||||||||||
Mine development
|
$
|
239,780
|
|
|
$
|
200,126
|
|
|
$
|
101,933
|
|
|
$
|
324,414
|
|
|
$
|
41,761
|
|
|
$
|
4,070
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
912,084
|
|
Accumulated amortization
|
(163,414
|
)
|
|
(151,141
|
)
|
|
(1,411
|
)
|
|
(198,456
|
)
|
|
(18,759
|
)
|
|
(14
|
)
|
|
—
|
|
|
—
|
|
|
(533,195
|
)
|
|||||||||
|
76,366
|
|
|
48,985
|
|
|
100,522
|
|
|
125,958
|
|
|
23,002
|
|
|
4,056
|
|
|
—
|
|
|
—
|
|
|
378,889
|
|
|||||||||
Mineral interests
|
629,303
|
|
|
18,521
|
|
|
252,899
|
|
|
—
|
|
|
45,837
|
|
|
95,499
|
|
|
49,085
|
|
|
5,171
|
|
|
1,096,315
|
|
|||||||||
Accumulated amortization
|
(472,448
|
)
|
|
—
|
|
|
(4,105
|
)
|
|
—
|
|
|
(26,667
|
)
|
|
—
|
|
|
—
|
|
|
(417
|
)
|
|
(503,637
|
)
|
|||||||||
|
156,855
|
|
|
18,521
|
|
|
248,794
|
|
|
—
|
|
|
19,170
|
|
|
95,499
|
|
|
49,085
|
|
|
4,754
|
|
|
592,678
|
|
|||||||||
Mining properties, net
|
$
|
233,221
|
|
|
$
|
67,506
|
|
|
$
|
349,316
|
|
|
$
|
125,958
|
|
|
$
|
42,172
|
|
|
$
|
99,555
|
|
|
$
|
49,085
|
|
|
$
|
4,754
|
|
|
$
|
971,567
|
|
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, 2018
|
|
December 31, 2017
|
||||||||||||
In thousands
|
Current
|
|
Non-Current
|
|
Current
|
|
Non-Current
|
||||||||
2024 Senior Notes, net
(1)
|
$
|
—
|
|
|
$
|
245,854
|
|
|
$
|
—
|
|
|
$
|
245,088
|
|
Revolving Credit Facility
(2)
|
—
|
|
|
135,000
|
|
|
—
|
|
|
100,000
|
|
||||
Capital lease obligations
|
24,937
|
|
|
53,035
|
|
|
16,559
|
|
|
35,481
|
|
||||
Silvertip debt obligation
|
—
|
|
|
—
|
|
|
14,194
|
|
|
—
|
|
||||
|
$
|
24,937
|
|
|
$
|
433,889
|
|
|
$
|
30,753
|
|
|
$
|
380,569
|
|
At December 31, (
In thousands)
|
|
|
||||
|
Operating leases
|
Capital leases
|
||||
2019
|
$
|
15,941
|
|
$
|
28,432
|
|
2020
|
15,394
|
|
23,459
|
|
||
2021
|
14,775
|
|
22,129
|
|
||
2022
|
14,722
|
|
12,987
|
|
||
2023
|
14,242
|
|
6,633
|
|
||
Thereafter
|
27,686
|
|
1,023
|
|
||
Total
|
$
|
102,760
|
|
$
|
94,663
|
|
Less: imputed interest
|
—
|
|
(16,691
|
)
|
||
Net lease obligation
|
$
|
102,760
|
|
$
|
77,972
|
|
|
Year ended December 31,
|
||||||||||
In thousands
|
2018
|
|
2017
|
|
2016
|
||||||
2024 Senior Notes
|
$
|
14,688
|
|
|
$
|
8,608
|
|
|
$
|
—
|
|
2021 Senior Notes
|
—
|
|
|
6,221
|
|
|
28,871
|
|
|||
Revolving Credit Facility
|
5,854
|
|
|
885
|
|
|
—
|
|
|||
3.25% Convertible Senior Notes due 2028
|
—
|
|
|
—
|
|
|
13
|
|
|||
Term Loan due 2020
|
—
|
|
|
—
|
|
|
4,939
|
|
|||
Capital lease obligations
|
2,270
|
|
|
1,621
|
|
|
1,422
|
|
|||
Accretion of Palmarejo gold production royalty obligation
|
—
|
|
|
—
|
|
|
1,211
|
|
|||
Amortization of debt issuance costs
|
1,302
|
|
|
809
|
|
|
1,933
|
|
|||
Accretion of debt premium
|
—
|
|
|
(71
|
)
|
|
(345
|
)
|
|||
Accretion of Silvertip contingent consideration
|
1,311
|
|
|
260
|
|
|
—
|
|
|||
Other debt obligations
|
176
|
|
|
42
|
|
|
58
|
|
|||
Capitalized interest
|
(1,237
|
)
|
|
(1,935
|
)
|
|
(1,206
|
)
|
|||
Total interest expense, net of capitalized interest
|
$
|
24,364
|
|
|
$
|
16,440
|
|
|
$
|
36,896
|
|
In thousands
|
Coeur Mining, Inc.
|
|
Guarantor Subsidiaries
|
|
Non-Guarantor Subsidiaries
|
|
Eliminations
|
|
Consolidated
|
||||||||||
Revenue
|
$
|
—
|
|
|
$
|
371,248
|
|
|
$
|
254,656
|
|
|
$
|
—
|
|
|
$
|
625,904
|
|
COSTS AND EXPENSES
|
|
|
|
|
|
|
|
|
|
||||||||||
Costs applicable to sales
(1)
|
—
|
|
|
285,242
|
|
|
155,708
|
|
|
—
|
|
|
440,950
|
|
|||||
Amortization
|
940
|
|
|
61,489
|
|
|
66,044
|
|
|
—
|
|
|
128,473
|
|
|||||
General and administrative
|
30,868
|
|
|
398
|
|
|
79
|
|
|
—
|
|
|
31,345
|
|
|||||
Exploration
|
1,496
|
|
|
9,294
|
|
|
14,607
|
|
|
—
|
|
|
25,397
|
|
|||||
Pre-development, reclamation, and other
|
1,246
|
|
|
11,351
|
|
|
7,446
|
|
|
—
|
|
|
20,043
|
|
|||||
Total costs and expenses
|
34,550
|
|
|
367,774
|
|
|
243,884
|
|
|
—
|
|
|
646,208
|
|
|||||
OTHER INCOME (EXPENSE), NET
|
|
|
|
|
|
|
|
|
|
||||||||||
Fair value adjustments, net
|
4,056
|
|
|
(418
|
)
|
|
—
|
|
|
—
|
|
|
3,638
|
|
|||||
Other, net
|
(403
|
)
|
|
617
|
|
|
(9,462
|
)
|
|
(15,457
|
)
|
|
(24,705
|
)
|
|||||
Interest expense, net of capitalized interest
|
(21,563
|
)
|
|
(1,479
|
)
|
|
(16,779
|
)
|
|
15,457
|
|
|
(24,364
|
)
|
|||||
Total other income (expense), net
|
(17,910
|
)
|
|
(1,280
|
)
|
|
(26,241
|
)
|
|
—
|
|
|
(45,431
|
)
|
|||||
Income (loss) from continuing operations before income and mining taxes
|
(52,460
|
)
|
|
2,194
|
|
|
(15,469
|
)
|
|
—
|
|
|
(65,735
|
)
|
|||||
Income and mining tax (expense) benefit
|
(548
|
)
|
|
(1,926
|
)
|
|
19,254
|
|
|
—
|
|
|
16,780
|
|
|||||
Income (loss) from continuing operations
|
(53,008
|
)
|
|
268
|
|
|
3,785
|
|
|
—
|
|
|
(48,955
|
)
|
|||||
Equity income (loss) in consolidated subsidiaries
|
3,593
|
|
|
(608
|
)
|
|
(74
|
)
|
|
(2,911
|
)
|
|
—
|
|
|||||
Income (loss) from discontinued operations
|
1,010
|
|
|
(284
|
)
|
|
(176
|
)
|
|
—
|
|
|
550
|
|
|||||
NET INCOME (LOSS)
|
$
|
(48,405
|
)
|
|
$
|
(624
|
)
|
|
$
|
3,535
|
|
|
$
|
(2,911
|
)
|
|
$
|
(48,405
|
)
|
OTHER COMPREHENSIVE INCOME (LOSS), net of tax:
|
|
|
|
|
|
|
|
|
|
||||||||||
Unrealized gain (loss) on debt securities, net of tax
|
26
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
26
|
|
|||||
COMPREHENSIVE INCOME (LOSS)
|
$
|
(48,379
|
)
|
|
$
|
(624
|
)
|
|
$
|
3,535
|
|
|
$
|
(2,911
|
)
|
|
$
|
(48,379
|
)
|
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
|
|
•
|
The NSR commencing immediately upon the closing of the Transaction, valued at
$7.1 million
.
|
•
|
Pre-closing VAT refunds valued at
$12.7 million
that will be collected or received by Manquiri in the future will be paid to Coeur (net of collection costs).
|
•
|
The Manquiri Notes Receivable valued at
$26.9 million
payable to Coeur and certain of its subsidiaries representing Manquiri’s cash and cash equivalents on the date of closing of the Manquiri Divestiture, and providing for repayment beginning in October 2018.
|
•
|
The Company recognized a liability of approximately
$5.7 million
for certain post-closing covenants, guaranties and indemnification obligations on the part of the Company pursuant to the Agreement
|
|
Year ended December 31,
|
||||||||||
|
2018
|
|
2017
|
|
2016
|
||||||
Revenue
|
$
|
12,346
|
|
|
$
|
73,065
|
|
|
$
|
93,880
|
|
COSTS AND EXPENSES
|
|
|
|
|
|
||||||
Costs applicable to sales
(1)
|
12,269
|
|
|
74,074
|
|
|
74,166
|
|
|||
Amortization
|
—
|
|
|
5,899
|
|
|
6,633
|
|
|||
General and administrative
|
41
|
|
|
172
|
|
|
101
|
|
|||
Exploration
|
—
|
|
|
23
|
|
|
—
|
|
|||
Write-downs
|
—
|
|
|
3,390
|
|
|
—
|
|
|||
Pre-development, reclamation, and other
|
265
|
|
|
4,664
|
|
|
2,808
|
|
|||
OTHER INCOME (EXPENSE), NET
|
|
|
|
|
|
||||||
Interest expense, net of capitalized interest
|
(3
|
)
|
|
(27
|
)
|
|
(24
|
)
|
|||
Other, net
|
(260
|
)
|
|
1,763
|
|
|
1,777
|
|
|||
Pretax profit (loss) on discontinued operations related to major classes of pretax profit (loss)
|
(492
|
)
|
|
(13,421
|
)
|
|
11,925
|
|
|||
Pretax gain on the disposal of the discontinued operation
|
1,525
|
|
|
—
|
|
|
—
|
|
|||
Total pretax gain or loss on discontinued operations
|
1,033
|
|
|
(13,421
|
)
|
|
11,925
|
|
|||
Income and mining tax (expense) benefit
|
(483
|
)
|
|
1,177
|
|
|
20,992
|
|
|||
Income (loss) from discontinued operations
|
$
|
550
|
|
|
$
|
(12,244
|
)
|
|
$
|
32,917
|
|
In thousands
|
December 31, 2018
|
|
December 31, 2017
|
||||
Accrued salaries and wages
|
$
|
22,229
|
|
|
$
|
26,559
|
|
Income and mining taxes
|
16,474
|
|
|
25,788
|
|
||
Silvertip contingent consideration
|
25,000
|
|
|
24,393
|
|
||
Accrued operating costs
|
13,688
|
|
|
12,323
|
|
||
Taxes other than income and mining
|
3,639
|
|
|
4,354
|
|
||
Accrued interest payable
|
1,589
|
|
|
1,513
|
|
||
Accrued liabilities and other
|
$
|
82,619
|
|
|
$
|
94,930
|
|
In thousands
|
December 31, 2018
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||
Cash and cash equivalents
|
$
|
115,081
|
|
|
$
|
192,032
|
|
|
$
|
118,312
|
|
Restricted cash equivalents
|
2,988
|
|
|
11,370
|
|
|
8,289
|
|
|||
Total cash, cash equivalents and restricted cash shown in the statement of cash flows
|
$
|
118,069
|
|
|
$
|
203,402
|
|
|
$
|
126,601
|
|
|
Year ended December 31,
|
||||||||||
Non-cash financing and investing activities:
|
2018
|
|
2017
|
|
2016
|
||||||
Capital lease obligations
|
$
|
45,813
|
|
|
$
|
34,604
|
|
|
$
|
32,243
|
|
Non-cash extinguishment of senior notes
|
—
|
|
|
—
|
|
|
10,616
|
|
|||
Non-cash acquisitions and related deferred taxes
|
110,273
|
|
|
131,833
|
|
|
—
|
|
|||
Other cash flow information:
|
|
|
|
|
|
||||||
Interest paid
|
$
|
22,916
|
|
|
$
|
21,943
|
|
|
$
|
41,919
|
|
Income taxes paid
|
50,400
|
|
|
13,000
|
|
|
17,181
|
|
|
Q1
|
|
Q2
|
|
Q3
|
|
Q4
|
||||||||
2018
|
|
|
|
|
|
|
|
|
|
|
|
||||
Revenues
|
$
|
163,267
|
|
|
$
|
169,987
|
|
|
$
|
148,795
|
|
|
$
|
143,855
|
|
Costs applicable to sales
|
99,340
|
|
|
108,246
|
|
|
116,857
|
|
|
116,507
|
|
||||
Amortization
|
30,777
|
|
|
29,459
|
|
|
31,184
|
|
|
37,053
|
|
||||
Gross Profit
|
33,150
|
|
|
32,282
|
|
|
754
|
|
|
(9,705
|
)
|
||||
Exploration
|
6,683
|
|
|
6,429
|
|
|
8,157
|
|
|
4,128
|
|
||||
Other operating expenses (General and administrative, Pre-development, reclamation, and other, and Write-downs)
|
13,029
|
|
|
11,270
|
|
|
15,850
|
|
|
11,239
|
|
||||
Income (loss) from continuing operations
|
691
|
|
|
2,930
|
|
|
(53,044
|
)
|
|
468
|
|
||||
Income (loss) from discontinued operations
|
550
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Net income (loss)
|
1,241
|
|
|
2,930
|
|
|
(53,044
|
)
|
|
468
|
|
||||
Cash provided by (used in) operating activities
|
15,541
|
|
|
(1,294
|
)
|
|
5,789
|
|
|
72
|
|
||||
Capital expenditures
|
42,345
|
|
|
41,165
|
|
|
39,472
|
|
|
17,805
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Basic income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income (loss) from continuing operations
|
$
|
0.00
|
|
|
$
|
0.02
|
|
|
$
|
(0.29
|
)
|
|
$
|
0.00
|
|
Net income (loss) from discontinued operations
|
0.00
|
|
|
0.00
|
|
|
0.00
|
|
|
0.00
|
|
||||
Basic
|
$
|
0.00
|
|
|
$
|
0.02
|
|
|
$
|
(0.29
|
)
|
|
$
|
0.00
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted income (loss) per share:
|
|
|
|
|
|
|
|
||||||||
Net income (loss) from continuing operations
|
$
|
0.00
|
|
|
$
|
0.02
|
|
|
$
|
(0.29
|
)
|
|
$
|
0.00
|
|
Net income (loss) from discontinued operations
|
0.00
|
|
|
0.00
|
|
|
0.00
|
|
|
0.00
|
|
||||
Diluted
|
$
|
0.00
|
|
|
$
|
0.02
|
|
|
$
|
(0.29
|
)
|
|
$
|
0.00
|
|
|
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
|
|
||||
Gross Profit
|
32,371
|
|
|
16,578
|
|
|
25,959
|
|
|
47,881
|
|
||||
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
|
|
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
|
|
319,086
|
|
|
$
|
13.53
|
|
|
8,989,359
|
|
Equity compensation plans not approved by security holders
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total
|
|
319,086
|
|
|
$
|
13.53
|
|
|
8,989,359
|
|
(1)
|
Amounts include 2,818,557 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
|
|
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
|
|
10.10
|
|
10.11
|
|
10.12
|
10.13
|
|
10.14
|
|
10.15
|
|
10.16
|
|
10.17
|
|
10.18
|
|
10.19
|
|
10.20
|
|
10.21
|
|
10.22
|
|
10.23
|
|
10.24
|
|
10.25
|
|
10.26
|
|
10.27
|
|
10.28
|
|
10.29
|
|
10.30
|
|
21
|
|
23.1
|
|
31.1
|
Item 16.
|
Form 10-K Summary
|
Date:
|
February 20, 2019
|
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 20, 2019
|
|
|
|
/s/ Thomas S.Whelan
_____________________
Thomas S. Whelan
|
Senior Vice President and Chief Financial Officer (Principal Financial Officer)
|
February 20, 2019
|
|
|
|
/s/ Ken Watkinson
______________________
Ken Watkinson
|
Vice President, Corporate Controller and Chief Accounting Officer (Principal Accounting Officer)
|
February 20, 2019
|
|
|
|
/s/ Linda L. Adamany
_____________________
Linda L. Adamany
|
Director
|
February 20, 2019
|
|
|
|
/s/ Kevin S. Crutchfield
___________________
Kevin S. Crutchfield |
Director
|
February 20, 2019
|
|
|
|
/s/ Sebastian Edwards
_____________________
Sebastian Edwards
|
Director
|
February 20, 2019
|
|
|
|
/s/ Randolph E. Gress
_____________________
Randolph E. Gress |
Director
|
February 20, 2019
|
|
|
|
/s/ Eduardo Luna
_______________________
Eduardo Luna |
Director
|
February 20, 2019
|
|
|
|
/s/ Jessica L. McDonald
___________________
Jessica L. McDonald |
Director
|
February 20, 2019
|
|
|
|
/s/ Robert E. Mellor
______________________
Robert E. Mellor
|
Director
|
February 20, 2019
|
|
|
|
/s/ John H. Robinson
______________________
John H. Robinson
|
Director
|
February 20, 2019
|
|
|
|
/s/ J. Kenneth Thompson
___________________
J. Kenneth Thompson |
Director
|
February 20, 2019
|
Coeur Mining, Inc.
By
/s/ Emilie C. Schouten
Name
Emilie C. Schouten
Title
Senior Vice President, Human Resources Officer
|
Peter C. Mitchell
/s/ Peter C. Mitchell
Signature
Print Name:
Peter C. Mitchell
Date:
December 19, 2018
|
|
EMPLOYEE
_________________________________
Peter C. Mitchell
Date: ____________________________
|
•
|
77,583 shares granted in 2016
|
•
|
24,545 shares granted in 2017
|
•
|
13,822 shares granted in 2018
|
•
|
pro rata portion of the target number of performance share units awarded in early 2017 for the three-year performance period from January 1, 2017 through December 31, 2019 (32,167 shares)
|
•
|
pro rata portion of the target number of performance share units awarded in early 2018 for the three-year performance period from January 1, 2018 through December 31, 2020 shares (20,730 shares)
|
Coeur Mining, Inc.
By:
/s/ Emilie C. Schouten
Name:
Emilie C. Schouten
Title:
Senior Vice President, Human Resources
|
Peter C. Mitchell
/s/ Peter C. Mitchell
Signature
|
1.
|
Consulting Fees
|
2.
|
Expenses and Reimbursable Rates
|
3.
|
All Notices under this Agreement shall be directed to the Agreement representatives, as appointed above, at the following address:
|
(a)
|
Consultant:
|
(b)
|
Coeur Mining, Inc.:
|
4.
|
Services
|
Name
|
State/Country of Incorporation
|
Ownership Percentage
|
Coeur Rochester, Inc.
|
Delaware
|
100%
|
Coeur Alaska, Inc.
|
Delaware
|
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%
|
Grizzly Acquisition LLC
|
Delaware
|
100%
|
Coeur Silvertip Holdings Ltd.
|
Canada
|
100%
|
Coeur Explorations, Inc.
|
Idaho
|
100%
|
San Francisco Exploraciones Holdings I, LLC
|
Delaware
|
100%
|
San Francisco Exploraciones Holdings II, LLC
|
Delaware
|
100%
|
San Francisco Exploraciones, S.A. de C.V.
|
Mexico
|
100%
|
Coeur Capital, Inc.
|
Delaware
|
100%
|
Coeur South America Corp.
|
Delaware
|
100%
|
CDE Australia Pty Ltd.
|
Australia
|
100%
|
Coeur Sub One, Inc.
|
Delaware
|
100%
|
Coeur Sub Two, Inc.
|
Delaware
|
100%
|
Coeur d'Alene Mines Australia Pty Ltd.
|
Australia
|
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%
|
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%
|
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%
|
Coeur Sterling Holdings LLC
|
Delaware
|
100%
|
Northern Empire Resources Corp.
|
Canada
|
100%
|
Bluestone Resources (Alaska) Inc.
|
Alaska
|
100%
|
Coeur Sterling, Inc.
|
Nevada
|
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.;
|
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/ Thomas S. Whelan
|
|
Thomas S. Whelan
Chief Financial Officer
|
/s/ Mitchell J. Krebs
|
Mitchell J. Krebs
|
February 20, 2019
|
/s/ Thomas S. Whelan
|
Thomas S. Whelan
|
February 20, 2019
|
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 (#)
|
Total Dollar Value of MSHA Assessments Proposed
1
($)
|
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
|
—
|
—
|
—
|
—
|
$16,401
|
—
|
NO
|
NO
|
—
|
—
|
5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Rochester
|
2
|
—
|
—
|
—
|
—
|
$16,742
|
—
|
NO
|
NO
|
—
|
—
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Wharf
|
4
|
—
|
—
|
—
|
—
|
$6,915
|
—
|
NO
|
NO
|
—
|
—
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sterling
|
—
|
—
|
—
|
—
|
—
|
$0
|
—
|
NO
|
NO
|
—
|
—
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Totals
|
18
|
—
|
—
|
—
|
—
|
$40,058
|
—
|
NO
|
NO
|
—
|
—
|
7
|
1.
|
The total dollar value of the Proposed Assessments includes all assessments received during the year.
|