XML 42 R25.htm IDEA: XBRL DOCUMENT
v3.8.0.1

FAIR VALUE MEASUREMENT (Tables) | 3 Months Ended
--- | ---
Mar. 31, 2018
Fair Value Disclosures [Abstract] |
Fair Value Measurement Inputs Disclosure | A summary of the carrying amount and fair value of FCX’s financial instruments (including those measured at net asset value (NAV) as a practical expedient), other than cash and cash equivalents, accounts receivable, restricted cash, restricted cash equivalents, and accounts payable and accrued liabilities (refer to Note 6) follows (in millions):
| At March 31, 2018
| Carrying |  | Fair Value
| Amount |  | Total |  | NAV |  | Level 1 |  | Level 2 |  | Level 3
Assets |  |  |  |  |  |  |  |  |  |  |
Investment securities:a,b |  |  |  |  |  |  |  |  |  |  |
U.S. core fixed income fund | $ | 25 |  |  | $ | 25 |  |  | $ | 25 |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Equity securities | 5 |  |  | 5 |  |  | — |  |  | 5 |  |  | — |  |  | — |
Total | 30 |  |  | 30 |  |  | 25 |  |  | 5 |  |  | — |  |  | — |
Legally restricted funds:a |  |  |  |  |  |  |  |  |  |  |
U.S. core fixed income fund | 54 |  |  | 54 |  |  | 54 |  |  | — |  |  | — |  |  | — |
Government bonds and notes | 42 |  |  | 42 |  |  | — |  |  | — |  |  | 42 |  |  | — |
Corporate bonds | 29 |  |  | 29 |  |  | — |  |  | — |  |  | 29 |  |  | — |
Government mortgage-backed securities | 25 |  |  | 25 |  |  | — |  |  | — |  |  | 25 |  |  | — |
Asset-backed securities | 13 |  |  | 13 |  |  | — |  |  | — |  |  | 13 |  |  | — |
Money market funds | 8 |  |  | 8 |  |  | — |  |  | 8 |  |  | — |  |  | — |
Collateralized mortgage-backed securities | 7 |  |  | 7 |  |  | — |  |  | — |  |  | 7 |  |  | — |
Municipal bonds | 1 |  |  | 1 |  |  | — |  |  | — |  |  | 1 |  |  | — |
Total | 179 |  |  | 179 |  |  | 54 |  |  | 8 |  |  | 117 |  |  | — |
Derivatives: |  |  |  |  |  |  |  |  |  |  |
Embedded derivatives in provisional sales/ |  |  |  |  |  |  |  |  |  |  |
purchase contracts in a gross asset position c | 11 |  |  | 11 |  |  | — |  |  | — |  |  | 11 |  |  | — |
Copper futures and swap contracts c | 2 |  |  | 2 |  |  | — |  |  | 1 |  |  | 1 |  |  | — |
Contingent consideration for the sales of |  |  |  |  |  |  |  |  |  |  |
TF Holdings Limited (TFHL) and onshore |  |  |  |  |  |  |  |  |  |  |
California oil and gas properties a | 110 |  |  | 110 |  |  | — |  |  | — |  |  | 110 |  |  | — |
Total | 123 |  |  | 123 |  |  | — |  |  | 1 |  |  | 122 |  |  | — |
Contingent consideration for the sale of the |  |  |  |  |  |  |  |  |  |  |
Deepwater GOM oil and gas properties a | 150 |  |  | 132 |  |  | — |  |  | — |  |  | — |  |  | 132 |
Liabilities |  |  |  |  |  |  |  |  |  |  |
Derivatives:c |  |  |  |  |  |  |  |  |  |  |
Embedded derivatives in provisional sales/ |  |  |  |  |  |  |  |  |  |  |
purchase contracts in a gross liability position d | $ | 48 |  |  | $ | 48 |  |  | $ | — |  |  | $ | — |  |  | $ | 48 |  |  | $ | — |
Copper futures and swap contracts | 5 |  |  | 5 |  |  | — |  |  | 4 |  |  | 1 |  |  | — |
Total | 53 |  |  | 53 |  |  | — |  |  | 4 |  |  | 49 |  |  | — |
Long-term debt, including current portion e | 11,606 |  |  | 11,406 |  |  | — |  |  | — |  |  | 11,406 |  |  | — |
| At December 31, 2017
| Carrying |  | Fair Value
| Amount |  | Total |  | NAV |  | Level 1 |  | Level 2 |  | Level 3
Assets |  |  |  |  |  |  |  |  |  |  |
Investment securities:a,b |  |  |  |  |  |  |  |  |  |  |
U.S. core fixed income fund | $ | 25 |  |  | $ | 25 |  |  | $ | 25 |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Equity securities | 5 |  |  | 5 |  |  | — |  |  | 5 |  |  | — |  |  | — |
Total | 30 |  |  | 30 |  |  | 25 |  |  | 5 |  |  | — |  |  | — |
Legally restricted funds:a |  |  |  |  |  |  |  |  |  |  |
U.S. core fixed income fund | 55 |  |  | 55 |  |  | 55 |  |  | — |  |  | — |  |  | — |
Government bonds and notes | 40 |  |  | 40 |  |  | — |  |  | — |  |  | 40 |  |  | — |
Corporate bonds | 32 |  |  | 32 |  |  | — |  |  | — |  |  | 32 |  |  | — |
Government mortgage-backed securities | 27 |  |  | 27 |  |  | — |  |  | — |  |  | 27 |  |  | — |
Asset-backed securities | 15 |  |  | 15 |  |  | — |  |  | — |  |  | 15 |  |  | — |
Money market funds | 11 |  |  | 11 |  |  | — |  |  | 11 |  |  | — |  |  | — |
Collateralized mortgage-backed securities | 8 |  |  | 8 |  |  | — |  |  | — |  |  | 8 |  |  | — |
Municipal bonds | 1 |  |  | 1 |  |  | — |  |  | — |  |  | 1 |  |  | — |
Total | 189 |  |  | 189 |  |  | 55 |  |  | 11 |  |  | 123 |  |  | — |
Derivatives: |  |  |  |  |  |  |  |  |  |  |
Embedded derivatives in provisional sales/ |  |  |  |  |  |  |  |  |  |  |
purchase contracts in a gross asset position c | 155 |  |  | 155 |  |  | — |  |  | — |  |  | 155 |  |  | — |
Copper futures and swap contracts c | 11 |  |  | 11 |  |  | — |  |  | 9 |  |  | 2 |  |  | — |
Copper forward contracts c | 1 |  |  | 1 |  |  | — |  |  | — |  |  | 1 |  |  | — |
Contingent consideration for the sales of TFHL |  |  |  |  |  |  |  |  |  |  |
and onshore California oil and gas properties a | 108 |  |  | 108 |  |  | — |  |  | — |  |  | 108 |  |  | — |
Total | 275 |  |  | 275 |  |  | — |  |  | 9 |  |  | 266 |  |  | — |
Contingent consideration for the sale of the |  |  |  |  |  |  |  |  |  |  |
Deepwater GOM oil and gas properties a | 150 |  |  | 134 |  |  | — |  |  | — |  |  | — |  |  | 134 |
Liabilities |  |  |  |  |  |  |  |  |  |  |
Derivatives:c |  |  |  |  |  |  |  |  |  |  |
Embedded derivatives in provisional sales/ |  |  |  |  |  |  |  |  |  |  |
purchase contracts in a gross liability position d | $ | 31 |  |  | $ | 31 |  |  | $ | — |  |  | $ | — |  |  | $ | 31 |  |  | $ | — |
Copper forward contracts | 2 |  |  | 2 |  |  | — |  |  | 1 |  |  | 1 |  |  | — |
Total | 33 |  |  | 33 |  |  | — |  |  | 1 |  |  | 32 |  |  | — |
Long-term debt, including current portion e | 13,117 |  |  | 13,269 |  |  | — |  |  | — |  |  | 13,269 |  |  | — |
a. | Current portion included in other current assets and long-term portion included in other assets.
b. | Excludes time deposits (which approximated fair value) included in (i) other current assets of $123 million at March 31, 2018, and $52 million at December 31, 2017, primarily associated with PT-FI’s mine closure and reclamation guarantees and its disputed incremental export duty and (ii) other assets of $125 million at March 31, 2018, and $123 million at December 31, 2017, primarily associated with an assurance bond to support PT-FI’s commitment for smelter development in Indonesia.
c. | Refer to Note 6 for further discussion and balance sheet classifications.
d. | Excludes embedded derivatives in provisional cobalt purchase contracts of $30 million at March 31, 2018, and $24 million at December 31, 2017 (refer to Note 6 for further discussion).
e. | Recorded at cost except for debt assumed in acquisitions, which were recorded at fair value at the respective acquisition dates. In addition, debt excludes $112 million at March 31, 2018, and December 31, 2017, related to assets held for sale (which approximated fair value).
Summary of Unobservable Input Reconciliation | A summary of the changes in the fair value of FCX’s Level 3 instrument, contingent consideration for the sale of the Deepwater GOM oil and gas properties, during the first three months of 2018 follows (in millions):
Fair value at January 1, 2018 | $ | 134 |  |
Net unrealized loss related to assets still held at the end of the period | (2 | ) |
Fair value at March 31, 2018 | $ | 132 |  |

X
- Definition Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=77997519&loc=d3e13476-108611 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=77997519&loc=d3e13467-108611 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=75026489&loc=d3e13220-108610 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=75031198&loc=d3e14172-108612 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 10 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=77997519&loc=d3e13433-108611 + Details
Name: | us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_FairValueDisclosuresAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of financial instrument classified as a derivative asset (liability) after deduction of derivative liability (asset) using recurring unobservable inputs that reflect the entity's own assumption about the assumptions market participants would use in pricing. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19279-110258 + Details
Name: | us-gaap_FairValueNetDerivativeAssetLiabilityMeasuredOnRecurringBasisUnobservableInputReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration