BUSINESS SEGMENTS (Tables)

12 Months Ended

Dec. 31, 2015

FCX revenues attributable to the products it produced for the years ended December 31 follow:



	2015		2014		2013
Refined copper products	$	6,699	$	8,187	$	7,751
Copper in concentrate^a	2,869		3,366		5,328
Gold	1,538		1,584		1,656
Molybdenum	783		1,207		1,110
Oil	1,694		4,233		2,310
Other	1,024		1,424		1,176
Total	$	14,607	$	20,001	$	19,331


a.	Amounts are net of treatment and refining charges totaling $485 million in 2015, $374 million in 2014 and $400 million in 2013.

Long-lived assets by geographic area

Information concerning financial data by geographic area follows:



	December 31,
	2015			2014			2013
Long-lived assets:^a
U.S.	$	16,569	^b	$	29,468		$	32,969
Indonesia	7,701			6,961			5,799
Peru	8,432			6,848			5,181
Chile	1,387			1,542		^c	2,699
Other^d	4,706			4,593			4,556
Total	$	38,795		$	49,412		$	51,204


a.	Long-lived assets exclude deferred tax assets, intangible assets and goodwill.


b.	Decreased from 2014 primarily because of impairment charges related to oil and gas properties (refer to Note 1 for further discussion).


c.	Decreased from 2013 primarily because of the sale of the Candelaria and Ojos del Salado mines.

Revenues by geographic area of customer



	Years Ended December 31,
	2015		2014		2013
Revenues:^a
U.S.	$	6,842	$	10,307	$	8,825
Japan	1,246		1,573		2,125
Indonesia	1,054		1,792		1,651
Spain	960		1,020		1,056
China	688		790		983
Switzerland	618		658		816
India	532		286		429
Chile	397		687		754
Turkey	200		327		231
Korea	177		203		198
Singapore	130		225		119
Other	1,763		2,133		2,144
Total	$	14,607	$	20,001	$	19,331


a.	Revenues are attributed to countries based on the location of the customer.

Schedule of Segment Reporting Information By Segment

Financial Information by Business Segment



	Mining Operations
	North America Copper Mines								South America								Indonesia
																								Atlantic			Other											Corporate,
																			Molyb-					Copper			Mining							U.S.				Other
			Other						Cerro		Other								denum			Rod &		Smelting			& Elimi-				Total			Oil & Gas				& Elimi-				FCX
	Morenci		Mines			Total			Verde		Mines^a				Total		Grasberg		Mines			Refining		& Refining			nations				Mining			Operations^b				nations				Total
Year Ended December 31, 2015
Revenues:
Unaffiliated customers	$	558	$	351		$	909		$	1,065	$	808			$	1,873	$	2,617	$	—		$	4,125	$	1,955		$	1,133		^c	$	12,612		$	1,994		^d	$	1			$	14,607
Intersegment	1,646		2,571			4,217			68		(7		)	^e	61		36		348			29		15			(4,706		)		—			—				—				—
Production and delivery^f,g	1,523		2,276			3,799			815		623				1,438		1,808		312			4,129		1,848			(3,851		)		9,483			1,211				(1		)		10,693
Depreciation, depletion and amortization	217		343			560			219		133				352		293		97			9		39			72				1,422			1,804				14				3,240
Impairment of oil and gas properties	—		—			—			—		—				—		—		—			—		—			—				—			12,980				164			^h	13,144
Copper and molybdenum inventory adjustments	—		142			142			—		73				73		—		11			—		—			112				338			—				—				338
Selling, general and administrative expenses	3		3			6			3		1				4		103		—			—		16			20				149			188				221				558
Mining exploration and research expenses	—		7			7			—		—				—		—		—			—		—			100				107			—				—				107
Environmental obligations and shutdown costs	—		3			3			—		—				—		—		—			—		—			74				77			—				1				78
Net gain on sales of assets	—		(39		)	(39		)	—		—				—		—		—			—		—			—				(39		)	—				—				(39		)
Operating income (loss)	461		187			648			96		(29		)		67		449		(72		)	16		67			(100		)		1,075			(14,189		)		(398		)		(13,512		)

Interest expense, net	2		2			4			16		—				16		—		—			—		10			75				105			186				326				617
Provision for (benefit from) income taxes	—		—			—			13		(9		)		4		195		—			—		—			—				199			—				(2,150		)		(1,951		)
Total assets at December 31, 2015	3,567		4,878			8,445			9,445		1,661				11,106		9,402		1,999			219		612			6,372			ⁱ	38,155			8,141				281				46,577
Capital expenditures	253		102			355			1,674		48				1,722		913		13			4		23			265			ⁱ	3,295			2,948			^j	110				6,353

Year Ended December 31, 2014
Revenues:
Unaffiliated customers	$	364	$	336		$	700		$	1,282	$	1,740			$	3,022	$	2,848	$	—		$	4,626	$	2,391		$	1,704		^c	$	15,291		$	4,710		^d	$	—			$	20,001
Intersegment	1,752		3,164			4,916			206		304				510		223		587			29		21			(6,286		)		—			—				—				—
Production and delivery	1,287		2,153			3,440			741		1,198				1,939		1,988		328			4,633		2,356			(4,807		)		9,877			1,237				2				11,116
Depreciation, depletion and amortization	168		316			484			159		208				367		266		92			10		41			70				1,330			2,291				14				3,635
Impairment of oil and gas properties	—		—			—			—		—				—		—		—			—		—			—				—			3,737				—				3,737
Copper and molybdenum inventory adjustments	—		—			—			—		—				—		—		—			—		—			6				6			—				—				6
Selling, general and administrative expenses	2		3			5			3		3				6		98		—			—		17			25				151			207				222				580
Mining exploration and research expenses	—		8			8			—		—				—		—		—			—		—			98				106			—				—				106
Environmental obligations and shutdown costs	—		(5		)	(5		)	—		—				—		—		—			—		—			123				118			—				1				119
Goodwill impairment	—		—			—			—		—				—		—		—			—		—			—				—			1,717				—				1,717
Net gain on sales of assets	—		(14		)	(14		)	—		—				—		—		—			—		—			(703		)	^k	(717		)	—				—				(717		)
Operating income (loss)	659		1,039			1,698			585		635				1,220		719		167			12		(2		)	606				4,420			(4,479		)		(239		)		(298		)

Interest expense, net	3		1			4			1		—				1		—		—			—		13			84				102			241				263				606
Provision for (benefit from) income taxes	—		—			—			265		266				531		293		—			—		—			221			^k	1,045			—				(820		)		225
Total assets at December 31, 2014	3,780		5,611			9,391			7,490		1,993				9,483		8,626		2,095			235		898			6,392			ⁱ	37,120			20,834				720				58,674
Capital expenditures	826		143			969			1,691		94				1,785		948		54			4		17			204			ⁱ	3,981			3,205			^j	29				7,215


a.	Includes the results of the Candelaria and Ojos del Salado mines prior to their sale in November 2014.


b.	Includes the results of Eagle Ford prior to its sale in June 2014.


c.	Includes revenues from FCX's molybdenum sales company, which includes sales of molybdenum produced by the Molybdenum mines and by certain of the North and South America copper mines.


d.	Includes net mark-to-market gains associated with crude oil and natural gas derivative contracts totaling $87 million in 2015 and $505 million in 2014.


e.	Reflects net reductions for provisional pricing adjustments to prior period open sales.


f.	Includes impairment, restructuring and other net charges for mining operations totaling $145 million, including $99 million at North America copper mines, $13 million at South America mines, $7 million at Molybdenum mines, $3 million at Rod & Refining, $20 million at Other Mining & Eliminations and $3 million for restructuring at Corporate, Other & Eliminations.


g.	Includes charges at U.S. Oil & Gas operations totaling $188 million in 2015 primarily for other asset impairments and inventory write-downs, idle/terminated rig costs and prior year non-income tax assessments at the California properties and $46 million in 2014 primarily for idle/terminated rig costs and inventory write-downs.


h.	Reflects impairment charges for international oil and gas properties primarily related to Morocco.


i.	Includes (i) assets held for sale totaling $4.9 billion at December 31, 2015, and $4.8 billion at December 31, 2014, and (ii) capital expenditures totaling $229 million in 2015 and $159 million in 2014 associated with discontinued operations. Refer to Note 2 for a summary of the results of discontinued operations.


j.	Excludes international oil and gas capital expenditures totaling $100 million in 2015 and $19 million in 2014, primarily related to the Morocco oil and gas properties, which are included in Corporate, Other & Eliminations.


k.	Includes the gain and related income tax provision associated with the sale of the Candelaria and Ojos del Salado mines.



	Mining Operations
	North America Copper Mines								South America						Indonesia
																					Atlantic				Other									Corporate,
																	Molyb-				Copper				Mining						U.S.			Other
			Other						Cerro		Other						denum		Rod &		Smelting				& Elimi-				Total		Oil & Gas			& Elimi-				FCX
	Morenci		Mines			Total			Verde		Mines		Total		Grasberg		Mines		Refining		& Refining				nations				Mining		Operations			nations				Total
Year Ended December 31, 2013
Revenues:
Unaffiliated customers	$	244	$	326		$	570		$	1,473	$	2,379	$	3,852	$	3,751	$	—	$	4,995	$	2,027			$	1,516		^a	$	16,711	$	2,616	^b	$	4			$	19,331
Intersegment	1,673		2,940			4,613			360		273		633		336		522		27		14				(6,145		)		—		—			—				—
Production and delivery	1,233		2,033			3,266			781		1,288		2,069		2,309		317		4,990		2,054				(4,616		)		10,389		682			7				11,078
Depreciation, depletion and amortization	133		269			402			152		194		346		247		82		9		42				48				1,176		1,364			11				2,551
Copper and molybdenum inventory adjustments	—		—			—			—		—		—		—		—		—		—				3				3		—			—				3
Selling, general and administrative expenses	2		3			5			3		4		7		110		—		—		20				29				171		120			354				645
Mining exploration and research expenses	—		5			5			—		—		—		1		—		—		—				151				157		—			11				168
Environmental obligations and shutdown costs	—		(1		)	(1		)	—		—		—		—		—		—		—				67				66		—			—				66
Operating income (loss)	549		957			1,506			897		1,166		2,063		1,420		123		23		(75		)	^c	(311		)		4,749		450			(379		)		4,820

Interest expense, net	3		1			4			2		1		3		12		—		—		16				80				115		181			205				501
Provision for income taxes	—		—			—			316		404		720		603		—		—		—				—				1,323		—			17			^d	1,340
Total assets at December 31, 2013	3,110		5,810			8,920			6,584		3,996		10,580		7,437		2,107		239		1,039				5,852			^e	36,174		26,252			959				63,385
Capital expenditures	737		329			1,066			960		185		1,145		1,030		164		4		67				318			^e	3,794		1,436			56				5,286


a.	Includes revenues from FCX's molybdenum sales company, which included sales of molybdenum produced by the Molybdenum mines and by certain of the North and South America copper mines.


b.	Includes net mark-to-market losses associated with crude oil and natural gas derivative contracts totaling $334 million for the period from June 1, 2013, to December 31, 2013


c.	Includes $50 million for shutdown costs associated with Atlantic Copper's scheduled 68-day maintenance turnaround, which was completed in fourth-quarter 2013.


d.	Includes $199 million of net benefits resulting from oil and gas acquisitions.


e.	Includes (i) assets held for sale totaling $4.6 billion at December 31, 2013, and (ii) capital expenditures totaling $205 million in 2013 associated with discontinued operations. Refer to Note 2 for a summary of the results of discontinued operations.