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Segment Reporting | 12 Months Ended
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Dec. 31, 2017
Segment Reporting [Abstract] |
SEGMENT REPORTING | SEGMENT REPORTING The Company’s operating segments include the Palmarejo complex, and the Rochester, Kensington, Wharf and Silvertip mines. Except for the Silvertip mine, which was acquired in the fourth quarter of 2017, all operating segments are engaged in the discovery, mining, and production of gold and/or silver. Silvertip is engaged in the discovery, mining, and production of silver, zinc and lead. Other includes the La Preciosa project, other mineral interests, strategic equity investments, corporate office, elimination of intersegment transactions, and other items necessary to reconcile to consolidated amounts. The Company eliminated Coeur Capital as a standalone reportable segment in the first quarter and has classified the operating performance, segment assets, and capital expenditures of the Endeavor Silver Stream and other remaining non-core assets in Other. All prior period amounts have been adjusted to conform to the current presentation. At December 31, 2017, we determined that the expected disposition of Manquiri and the San Bartolomé mine represents a strategic shift to a North America-focused mining portfolio that is expected to have a major effect on the entity's results and operations, therefore, the applicable assets and liabilities for all periods presented are included in the consolidated balance sheets as held for sale and the results of operations as discontinued operations for all periods. Financial information relating to the Company’s segments is as follows (in thousands):
Year ended December 31, 2017 | Palmarejo |  | Rochester |  | Silvertip |  | Kensington |  | Wharf |  | Other |  | Total
Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
Metal sales | $ | 274,809 |  |  | $ | 152,680 |  |  | $ | — |  |  | $ | 154,469 |  |  | $ | 125,901 |  |  | $ | 1,739 |  |  | $ | 709,598 |
Costs and Expenses |  |  |  |  |  |  |  |  |  |  |  |  |  |
Costs applicable to sales(1) | 146,176 |  |  | 107,921 |  |  | — |  |  | 116,096 |  |  | 69,322 |  |  | 745 |  |  | 440,260 |
Amortization | 73,744 |  |  | 22,306 |  |  | — |  |  | 36,022 |  |  | 13,012 |  |  | 1,465 |  |  | 146,549 |
Exploration | 11,924 |  |  | 1,352 |  |  | — |  |  | 8,604 |  |  | 320 |  |  | 8,111 |  |  | 30,311 |
Other operating expenses | 1,263 |  |  | 3,394 |  |  | 153 |  |  | 1,412 |  |  | 2,468 |  |  | 43,862 |  |  | 52,552 |
Other income (expense) |  |  |  |  |  |  |  |  |  |  |  |  |
Loss on debt extinguishment | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (9,342 | ) |  | (9,342 | )
Fair value adjustments, net | — |  |  | (864 | ) |  | — |  |  | — |  |  | — |  |  | — |  |  | (864 | )
Interest expense, net | (487 | ) |  | (496 | ) |  | (2,212 | ) |  | (413 | ) |  | (66 | ) |  | (12,766 | ) |  | (16,440 | )
Other, net | (851 | ) |  | 2,193 |  |  | 1,142 |  |  | (922 | ) |  | 172 |  |  | 24,909 |  |  | 26,643 |
Income and mining tax (expense) benefit | (24,330 | ) |  | (1,028 | ) |  | (932 | ) |  | — |  |  | (3,936 | ) |  | 1,228 |  |  | (28,998 | )
Income (loss) from continuing operations | $ | 16,034 |  |  | $ | 17,512 |  |  | $ | (2,155 | ) |  | $ | (9,000 | ) |  | $ | 36,949 |  |  | $ | (48,415 | ) |  | $ | 10,925 |
Income (loss) from discontinued operations | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (12,244 | ) |  | $ | (12,244 | )
Segment assets(2) | $ | 377,621 |  |  | $ | 239,223 |  |  | $ | 339,369 |  |  | $ | 212,588 |  |  | $ | 104,010 |  |  | $ | 71,742 |  |  | $ | 1,344,553 |
Capital expenditures | $ | 29,902 |  |  | $ | 40,874 |  |  | $ | 17,684 |  |  | $ | 36,248 |  |  | $ | 8,844 |  |  | $ | 3,182 |  |  | $ | 136,734 |
(1) Excludes amortization (2) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests
Year ended December 31, 2016 | Palmarejo |  | Rochester |  | Kensington |  | Wharf |  | Other |  | Total
Revenue |  |  |  |  |  |  |  |  |  |  |
Metal sales | $ | 141,273 |  |  | $ | 139,945 |  |  | $ | 146,593 |  |  | $ | 136,678 |  |  | $ | 4,128 |  |  | $ | 568,617 |
Royalties | — |  |  | — |  |  | — |  |  | — |  |  | 3,280 |  |  | 3,280 |
| 141,273 |  |  | 139,945 |  |  | 146,593 |  |  | 136,678 |  |  | 7,408 |  |  | 571,897 |
Costs and Expenses |  |  |  |  |  |  |  |  |  |  |
Costs applicable to sales(1) | 80,820 |  |  | 89,726 |  |  | 96,731 |  |  | 66,379 |  |  | 1,719 |  |  | 335,375 |
Amortization | 36,599 |  |  | 21,838 |  |  | 34,787 |  |  | 20,621 |  |  | 2,683 |  |  | 116,528 |
Exploration | 5,063 |  |  | 841 |  |  | 3,487 |  |  | 2 |  |  | 3,537 |  |  | 12,930 |
Write-downs | — |  |  | — |  |  | — |  |  | — |  |  | 4,446 |  |  | 4,446 |
Other operating expenses | 1,213 |  |  | 2,801 |  |  | 1,038 |  |  | 2,238 |  |  | 36,396 |  |  | 43,686 |
Other income (expense) |  |  |  |  |  |  |  |  |  |  |  |
Loss on debt extinguishment | — |  |  | — |  |  | — |  |  | — |  |  | (21,365 | ) |  | (21,365 | )
Fair value adjustments, net | (5,814 | ) |  | (4,133 | ) |  | — |  |  | — |  |  | (1,634 | ) |  | (11,581 | )
Interest expense, net | (1,187 | ) |  | (664 | ) |  | (128 | ) |  | (69 | ) |  | (34,848 | ) |  | (36,896 | )
Other, net | (12,125 | ) |  | (3,859 | ) |  | (25 | ) |  | 17 |  |  | 16,090 |  |  | 98 |
Income and mining tax (expense) benefit | 45,085 |  |  | (2,785 | ) |  | — |  |  | (4,293 | ) |  | (4,760 | ) |  | 33,247 |
Income (loss) from continuing operations | $ | 43,537 |  |  | $ | 13,298 |  |  | $ | 10,397 |  |  | $ | 43,093 |  |  | $ | (87,890 | ) |  | $ | 22,435 |
Income (loss) from discontinued operations | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 32,917 |  |  | $ | 32,917 |
Segment assets(2) | $ | 436,642 |  |  | $ | 219,009 |  |  | $ | 199,232 |  |  | $ | 105,901 |  |  | $ | 84,938 |  |  | $ | 1,045,722 |
Capital expenditures | $ | 35,810 |  |  | $ | 16,446 |  |  | $ | 36,826 |  |  | $ | 4,812 |  |  | $ | 488 |  |  | $ | 94,382 |
(1) Excludes amortization (2) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests
Year ended December 31, 2015 | Palmarejo |  | Rochester |  | Kensington |  | Wharf |  | Other |  | Total
Revenue |  |  |  |  |  |  |  |  |  |  |
Metal sales | 169,133 |  |  | 143,930 |  |  | 148,710 |  |  | 84,052 |  |  | 8,732 |  |  | $ | 554,557 |
Royalties | — |  |  | — |  |  | — |  |  | — |  |  | 6,850 |  |  | 6,850 |
| 169,133 |  |  | 143,930 |  |  | 148,710 |  |  | 84,052 |  |  | 15,582 |  |  | 561,407 |
Costs and Expenses |  |  |  |  |  |  |  |  |  |  |
Costs applicable to sales(1) | 138,476 |  |  | 103,994 |  |  | 105,640 |  |  | 52,197 |  |  | 3,520 |  |  | 403,827 |
Amortization | 32,423 |  |  | 23,906 |  |  | 42,240 |  |  | 16,378 |  |  | 11,006 |  |  | 125,953 |
Exploration | 4,533 |  |  | 1,324 |  |  | 2,596 |  |  | 134 |  |  | 2,934 |  |  | 11,521 |
Write-downs | 224,507 |  |  | — |  |  | — |  |  | — |  |  | 22,118 |  |  | 246,625 |
Other operating expenses | 1,293 |  |  | 2,948 |  |  | 1,301 |  |  | 1,717 |  |  | 41,581 |  |  | 48,840 |
Other income (expense) |  |  |  |  |  |  |  |  |  |  |
Loss on debt extinguishment | — |  |  | — |  |  | — |  |  | — |  |  | 15,916 |  |  | 15,916 |
Fair value adjustments, net | 3,160 |  |  | 818 |  |  | — |  |  | — |  |  | 1,224 |  |  | 5,202 |
Interest expense, net | (4,269 | ) |  | (748 | ) |  | (218 | ) |  | — |  |  | (39,743 | ) |  | (44,978 | )
Other, net | (10,968 | ) |  | (13 | ) |  | 7 |  |  | 143 |  |  | (6,836 | ) |  | (17,667 | )
Income and mining tax (expense) benefit | 37,597 |  |  | (1,497 | ) |  | — |  |  | (857 | ) |  | (6,168 | ) |  | 29,075 |
Income (loss) from continuing operations | (206,579 | ) |  | 10,318 |  |  | (3,278 | ) |  | 12,912 |  |  | (101,184 | ) |  | (287,811 | )
Income (loss) from discontinued operations | — |  |  | — |  |  | — |  |  | — |  |  | (79,372 | ) |  | (79,372 | )
Segment assets(2) | 406,648 |  |  | 190,714 |  |  | 197,873 |  |  | 113,305 |  |  | 103,629 |  |  | 1,012,169 |
Capital expenditures | 35,991 |  |  | 25,330 |  |  | 23,834 |  |  | 3,211 |  |  | 607 |  |  | 88,973 |
(1) Excludes amortization (2) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests
Assets | December 31, 2017 |  | December 31, 2016
Total assets for reportable segments | $ | 1,344,553 |  |  | $ | 1,045,722 |
Cash and cash equivalents | 192,032 |  |  | 118,312 |
Other assets | 164,590 |  |  | 154,875 |
Total consolidated assets | $ | 1,701,175 |  |  | $ | 1,318,909 |
Geographic Information
Long-Lived Assets | December 31, 2017 |  | December 31, 2016
Mexico | $ | 370,188 |  |  | $ | 397,697 |
United States | 377,768 |  |  | 338,897 |
Canada | 331,440 |  |  | — |
Argentina | 229 |  |  | 10,228 |
Other | 4,681 |  |  | 8,547 |
Total | $ | 1,084,306 |  |  | $ | 755,369 |
Revenue | Year ended December 31,
2017 |  | 2016 |  | 2015
United States | $ | 433,050 |  |  | $ | 423,216 |  |  | $ | 376,692 |
Mexico | 274,809 |  |  | 142,198 |  |  | 171,911 |
Australia | 1,739 |  |  | 4,128 |  |  | 8,732 |
Other | — |  |  | 2,355 |  |  | 4,072 |
Total | $ | 709,598 |  |  | $ | 571,897 |  |  | $ | 561,407 |
The Company's doré, as well as the concentrate product produced by the Wharf mine, is refined into gold and silver bullion according to benchmark standards set by the LBMA, which regulates the acceptable requirements for bullion traded in the London precious metals markets. The Company then sells its silver and gold bullion to multi-national banks, bullion trading houses, and refiners across the globe. The Company has eight trading counterparties at December 31, 2017. The Company's sales of doré or concentrate product produced by the Palmarejo, Rochester, and Wharf mines amounted to approximately 78%, 74%, and 72% of total metal sales for the years ended December 31, 2017, 2016, and 2015, respectively. Generally, the loss of a single bullion trading counterparty would not adversely affect the Company due to the liquidity of the markets and availability of alternative trading counterparties. The Company's gold concentrate products from the Kensington mine are primarily sold to one smelter under a purchase and sale agreement, and the smelter pays the Company for the metals recovered from the concentrates. The Company’s sales of concentrate produced by the Kensington mine amounted to approximately 22%, 26%, and 27% of total metal sales for the years ended December 31, 2017, 2016, and 2015, respectively. While the loss of a smelter may have a material adverse effect if alternate smelters are not available or if the failure to engage a new smelter results in a delay in the sale or purchase of Kensington concentrate, the Company believes that there is sufficient global capacity available to address the loss of a smelter. The following table indicates customers that represent 10% or more of total sales of metal for at least one of the years December 31, 2017, 2016, and 2015 (in millions):
|  | Year ended December 31, |  |
Customer |  | 2017 |  | 2016 |  | 2015 |  | Segments reporting revenue
China National Gold |  | $ | 137.5 |  |  | $ | 126.6 |  |  | $ | 126.2 |  |  | Kensington
Republic Metal Corporation |  | 132.4 |  |  | 47.3 |  |  | 0.6 |  |  | Palmarejo,Wharf
Asahi (formerly Johnson Matthey) |  | 124.1 |  |  | 62.6 |  |  | 84.2 |  |  | Palmarejo, Wharf, Rochester
Techemet Metal Trading |  | 104.8 |  |  | 40.7 |  |  | — |  |  | Rochester, Wharf
TD Securities |  | — |  |  | 15.5 |  |  | 81.3 |  |  | Palmarejo, Rochester
INTL Commodities |  | 9.6 |  |  | 76.6 |  |  | 33.1 |  |  | Palmarejo, Rochester, Wharf
Mitsui & Co. |  | — |  |  | — |  |  | 137.7 |  |  | Palmarejo, Rochester

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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