Coeur d'Alene Mines reports first quarter results.COEUR D'ALENE Coeur d'Alene, city, United States Coeur d'Alene (kûrdəlān`), city (1990 pop. 24,563), seat of Kootenai co., N Idaho, near the Wash. line; inc. 1907. , Idaho--(BUSINESS WIRE)--May 14, 1996--Coeur d'Alene Mines Corp. (NYSE NYSE See: New York Stock Exchange :CDE (1) (Computer Desktop Encyclopedia) What you are reading at this very moment. See About this product. (2) (Common Desktop Environment) A user interface for desktop computing from The Open Group. ) today reported first quarter 1996 net income of $133,000, or $0.01 per share, compared to a loss of $3.2 million, or $0.20 per share, in the first quarter of last year. The stronger results for the recent quarter were due largely to record gold and silver production, increased metals prices as well as a reduction in interest expense from the conversion in late 1995 of certain debentures sold previously to grow the company. Gold production for the first quarter rose to a quarterly record 45,201 ounces, an increase of 24 percent over the 36,571 ounces produced the prior years first quarter. The record production was due to the additional ounces from the new Fachinal mine in southern Chile Southern Chile is one of the five natural regions of Chile defined by the CONAMA. Southern Chile stretches from below the Río Bío-Bío at about 38° south latitude to below Isla de Chiloé at about 43.4° south latitude. , and increased production at two other properties. Fachinal also contributed to a 43 percent increase in first quarter silver production compared to last year. This year the company achieved a quarterly record for silver with a total production of 2,191,685 ounces, compared to 1,528,817 ounces produced during the first quarter a year ago. Average metals prices realized in the first quarter were $401.40 per ounce ounce, in zoology ounce, in zoology: see leopard. ounce, unit of measurement ounce: see English units of measurement. for gold and $5.57 per ounce for silver compared to $379.36 per ounce of gold and $4.70 per ounce of silver during the comparable period in 1995. Coeur coeur (ker) [Fr.] heart. coeur en sabot (on sa-bo´) a heart whose shape on a radiograph resembles that of a wooden shoe; seen in tetralogy of Fallot. further strengthened its balance sheet by successfully raising $150 million through the sale of Mandatory Peremptory; obligatory; required; that which must be subscribed to or obeyed. Mandatory statutes are those that require, as opposed to permit, a particular course of action. Adjustable Redeemable Redeemable Eligible for redemption under the terms of an indenture. Convertible Securities (MARCS MARCS Multi Agency Radio Communications System ), which will be mandatorily Adv. 1. mandatorily - in a manner that cannot be evaded; "the ministry considers that contributions to such a fund should be met from voluntary donations rather than from rates compulsorily levied." compulsorily, obligatorily convertible into common stock four years after issuance, unless earlier converted by the holder into common stock or redeemed re·deem tr.v. re·deemed, re·deem·ing, re·deems 1. To recover ownership of by paying a specified sum. 2. To pay off (a promissory note, for example). 3. for common stock by the company. Both Standard & Poor's and Moody's Moody's Corporation (NYSE: MCO) is the holding company for Moody's Investors Service which performs financial research and analysis on commercial and government entities. The company also ranks the credit-worthiness of borrowers using a standardized ratings scale. rating agencies upgraded their rating outlook on the company to positive following registration of the MARCS, which are valued as equity. In December December: see month. 1995, the company converted into equity all $75 million principal amount of its 7% Convertible Subordinated Debentures subordinated debenture An unsecured bond with a claim to assets that is subordinate to all existing and future debt. Thus, in the event that the issuer encounters financial difficulties and must be liquidated, all other claims must be satisfied before , which significantly reduced its 1996 interest obligations. Rochester Rochester (rŏch`ĕstər, –ĭstər). 1 City (1990 pop. 70,745), seat of Olmsted co., SE Minn.; inc. 1858. Mine - Nevada Nevada (nəvăd`ə, –vä–), far western state of the United States. It is bordered by Utah (E), Arizona (SE), California (SW, W), and Oregon and Idaho (N). Rochester became the largest primary silver mine in the history of the state of Nevada when it passed an historical production milestone “Milemarker” redirects here. For the American indie rock band, see Milemarker (band). A milestone or kilometre sign is one of a series of numbered markers placed along a road at regular intervals, typically at the side of the road or in a median. of 50 million total ounces of silver produced since operations began in 1986. The mine is also a substantial gold producer, surpassing 500,000 ounces of gold production since operations began. First quarter 1996 production increased from year earlier levels, with 1,541,202 ounces of silver and 15,826 ounces of gold produced during the period, compared to 1,429,821 ounces of silver and 12,991 ounces of gold during the same quarter of the previous year. Cash operating costs operating costs npl → gastos mpl operacionales at Rochester were $3.72 per ounce of silver equivalent in the first quarter of 1996, compared to $3.76 per ounce in the same period a year ago. Full costs were $4.31 per silver equivalent ounce in the 1996 period compared to $4.37 in the year earlier period. Fachinal Mine - Chile Chile (chĭl`ē, Span. chē`lā), officially Republic of Chile, republic (2005 est. pop. 15,981,000), 292,256 sq mi (756,945 sq km), S South America, west of the continental divide of the Andes Mts. The new Fachinal mine in Chile produced 6,435 ounces of gold and 575,400 ounces of silver in its initial first quarter of production. During the first quarter, the mine was still considered to be in its startup (STARTing UP) "At startup" means when the computer is first turned on or when a program is first loaded. See Startup folder. , or pre-commercial phase, with capitalized Capitalized Recorded in asset accounts and then depreciated or amortized, as is appropriate for expenditures for items with useful lives longer than one year. mine costs to be offset by the sale of silver and gold produced during that period. Fachinal is expected to reach its full commercial production status in the second quarter of 1996. El Bronce Mine - Chile El Bronce continued to show its steady, planned increases in gold production, along with lowered costs, as the mining improvements implemented by Coeur since gaining 51 percent operating control continued to take effect. During the first quarter, El Bronce produced 6,307 ounces of gold and 13,248 ounces of silver compared to 4,978 ounces of gold and 21,611 ounces of silver a year ago. Cash operating costs at El Bronce were lowered to $244.05 per ounce of gold during the first quarter 1996 from $267.82 per ounce in the previous years period. Full costs were $263.83 per ounce compared to $288.82 in the year earlier period. Golden Cross Mine - New Zealand New Zealand (zē`lənd), island country (2005 est. pop. 4,035,000), 104,454 sq mi (270,534 sq km), in the S Pacific Ocean, over 1,000 mi (1,600 km) SE of Australia. The capital is Wellington; the largest city and leading port is Auckland. Golden Cross produced 16,633 ounces of gold and 61,835 ounces of silver during the first quarter of 1996, compared to 18,602 ounces of gold and 77,385 ounces of silver in the first quarter last year. The reduced production was due to anticipated lower grades in the open pit portion of the mine. These temporary grade changes also impacted cash operating costs, which were $322.35 per ounce of gold in the first quarter, compared to $240.05 during the same period a year ago. Full costs were $391.79 per ounce of gold in the 1996 first quarter compared to $321.66 per ounce in the year earlier period. Gasgoyne Gold Mines - Australia Australia (ôstrāl`yə), smallest continent, between the Indian and Pacific oceans. With the island state of Tasmania to the south, the continent makes up the Commonwealth of Australia, a federal parliamentary state (2005 est. pop. Coeur has acquired an interest in Gasgoyne Gold Mines, a profitable gold producer with operations in western Australia Western Australia, state (1991 pop. 1,409,965), 975,920 sq mi (2,527,633 sq km), Australia, comprising the entire western part of the continent. It is bounded on the N, W, and S by the Indian Ocean. Perth is the capital. . Presently, Coeur's interest in Gasgoyne stands at 35.4 percent, following an initial tender offer completed in April. During its recently completed quarter, Gasgoyne recorded a record 15,912 ounces of gold production at a cash operating cost of US$185 per ounce. Commencing in the second quarter, Coeur will begin reporting its share of Gasgoynes net results of operations in Coeur's financial results. -0-
COEUR D'ALENE MINES CORP.
(Unaudited)
(In thousands except per share data)
Year-to-Date
Ended March 31
1996 1995
Total Revenues $24,540 $ 20,278 Total Income $ 4,944 $ 4,237 Net Income (Loss) $ 133 $ (3,175) Net Income (Loss) Per Share $ .01 $ (.20) Net Income (Loss) Per Share Attributable to Common Shareholders (.02) $ (.20) Weighted average shares Outstanding 20,502 15,578
Operating Highlights
1996 1995
ROCHESTER MINE
Gold ozs. 15,826 12,991
Silver ozs. 1,541,202 1,429,821 Cash Costs per oz./silver $3.72 $3.76 Full Costs per oz./silver $4.31 $4.37 GOLDEN CROSS MINE Gold ozs. 16,633 18,602 Silver ozs. 61,835 77,385 Cash Costs per oz./gold $322.35 $240.05 Full Costs per oz./gold $391.79 $321.66 FACHINAL MINE Gold ozs. 6,435 N/A Silver ozs. 575,400 N/A Cash Costs per oz. N/A N/A Full Costs per oz. N/A N/A EL BRONCE MINE Gold ozs. 6,307 4,978 Silver ozs. 13,248 21,611 Cash Costs per oz./gold $244.05 $267.82 Full Costs per oz./gold $263.83 $288.82 CONSOLIDATED TOTALS Gold ozs. 45,201 36,571 Silver ozs. 2,191,685 1,528,817 REALIZED METALS PRICES Gold ozs. $401.40 $379.60 Silver ozs. $ 5.57 $ 4.70
COEUR D'ALENE MINES CORP. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
UNAUDITED
ASSETS March 31, Dec. 31,
1996 1995
(In Thousands)
CURRENT ASSETS
Cash and cash equivalents $ 83,918 $ 16,485
Funds held in escrow 2,271 2,271
Short term investments 98,122 63,076
Receivables 21,459 13,809
Inventories 29,432 30,981
Total Current Assets 235,202 126,622
PROPERTY, PLANT AND EQUIPMENT
Property, plant and equipment 119,271 118,083
Less accumulated depreciation 35,468 34,152
83,803 83,931
MINING PROPERTIES
Operational mining properties 159,436 150,656
Less accumulated depletion 40,000 38,529
119,436 112,127
Developmental properties 110,908 108,820
230,344 220,947
OTHER ASSETS
Notes receivable 5,000 5,000
Debt issuance costs, net of
accumulated amortization 4,548 4,703
Marketable securities 18,137 4,390
Other 1,487 53
29,172 14,146
$578,521 $445,646
COEUR D'ALENE MINES CORP. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
UNAUDITED
LIABILITIES AND STOCKHOLDERS' EQUITY
March 31, Dec. 31,
1996 1995
(In Thousands)
CURRENT LIABILITIES
Accounts payable $ 3,434 $ 5,743
Accrued liabilities 7,207 3,525
Accrued interest payable 3,624 4,526
Accrued salaries and wages 3,959 5,039
Cash dividends payable 3,071
Current portion of obligations
under capital leases 1,659 2,193
Total Current Liabilities 22,954 21,026
OTHER LIABILITIES
6% Subordinated Convertible
Debentures 50,000 50,000
6 3/8% Subordinated Convertible
Debentures 100,000 100,000
Limited recourse project
financing 24,000 24,000
Other long-term liabilities 9,695 9,386
Deferred income taxes 1,399 1,402
Total Long-Term Liabilities 185,094 184,788
COMMITMENTS AND CONTINGENCIES:
SHAREHOLDERS' EQUITY
Mandatory Adjustable Redeemable
Convertible Securities (MARCS),
par value $1.00 per share, (a
class of preferred stock) -
authorized 10,000,000 shares,
6,588,235 issued and outstanding 6,588
Common Stock, par value $1.00 per
share - authorized 60,000,000
shares, issued 16,655,051 and
16,633,163 shares (including
1,059,211 shares held in
treasury stock) 21,524 21,524
Capital surplus 372,090 247,100
Accumulated deficit (15,756) (15,889)
Unrealized gains (losses) on
short-term investments (729) 361
Repurchased and Nonvested Shares (13,244) (13,264)
370,473 239,832
$578,521 $445,646
COEUR D'ALENE MINES CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
UNAUDITED
Three Months Ended March 31, 1996 and 1995
1996 1995
(In thousands except per share amounts)
INCOME
Sale of concentrates and dore' $ 22,609 $ 17,891
Less cost of mine operations 19,596 16,041
Gross Profits 3,013 1,850
OTHER INCOME
Interest and other 1,931 2,387
Total Income 4,944 4,237
EXPENSES
Administration 1,088 964
Accounting and legal 274 368
General corporate 1,650 1,463
Interest 684 2,982
Mining exploration 1,039 1,136
Idle facilities 541
Total Expenses 4,735 7,454
NET INCOME (LOSS) FROM CONTINUING
OPERATIONS BEFORE TAXES 209 (3,217)
Provision for income taxes (76) (150)
NET INCOME (LOSS) FROM CONTINUING
OPERATIONS $ 133 $ (3,367)
INCOME FROM DISCONTINUED OPERATIONS 192
NET INCOME (LOSS) $ 133 $ (3,175)
EARNINGS PER SHARE DATA Earnings per share data:
Weighted average number
of shares of Common Stock
and equivalents used in
calculation 20,502 15,578
Net Income (Loss) from Continuing Operations $ .01 $ (.21) Net Income From Discontinued Operations .01 Net Income (Loss) Per Share $ .01 $ (.20) Net Loss per share attributable to Common Shareholders $ (.02) $ (.20) Dividends per Common Shareholders $ .15 $ .15
COEUR D'ALENE MINES CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
UNAUDITED
Three months ended March 31, 1996 and 1995
1996 1995
(In Thousands)
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss) from continuing operations $ 133 $(3,367)
Adjustments to reconcile net loss
from continuing operations to net
cash provided by (used in) operating
activities:
Depreciation, depletion and
amortization 3,179 3,679
Accrued reclamation 347 280
Deferred income taxes (3) (1,120)
Gain (loss) on disposition of assets (315) 290
Gain (loss) on foreign currency
transactions 103 (392)
Loss on sale of short-term investments 13 341
Change in operating assets and liabilities:
Accounts receivable (666) (937)
Inventories 1,549 17
Accounts payable and accrued
liabilities (2,170) (2,842)
Interest payable (902) 397
Net cash provided by (used in)
continuing operations 1,268 (3,654)
Income from discontinued operations $ 192
Adjustments to reconcile income from
discontinued operations to net cash provided
by operating activities 124
316
NET CASH PROVIDED BY (USED IN)
OPERATING ACTIVITIES 1,268 (3,338)
CASH FLOWS FROM INVESTING ACTIVITIES Investment in unconsolidated subsidiary (1,418) Purchase of property, plant, and equipment (580) (646) Purchase of short-term investments (81,007) (2,399) Proceeds from sales of marketable securities 30,936 19,955 Expenditures on developmental properties (2,668) (10,428) Expenditures on operational mining properties (14,453) (1,627) Proceeds from (investment in) other assets 189 82
NET CASH PROVIDED BY (USED IN)
INVESTING ACTIVITIES (69,001) 4,937
COEUR D'ALENE MINES CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
UNAUDITED
Three months ended March 31, 1996 and 1995
1996 1995
(In Thousands)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from preferred stock issuance
(net of costs) 135,700
Proceeds from bank loans 5,000
Retirement of obligations under
capital leases (534) (1,032)
NET CASH PROVIDED BY
FINANCING ACTIVITIES 135,166 3,968
INCREASE IN CASH AND CASH EQUIVALENTS 67,433 5,567 Cash and cash equivalents at beginning of year 16,485 15,148
CASH AND CASH EQUIVALENTS AT
MARCH 31, 1996 AND 1995 $ 83,918 $ 20,715
CONTACT: Coeur d'Alene Mines Corp. Anthony R. Ebersole Ebersole may refer to:
This page or section lists people with the surname Ebersole , 208/667-3511 |
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