Freeport-McMoRan 2006 Annual Report Download - page 32

Download and view the complete annual report

Please find page 32 of the 2006 Freeport-McMoRan annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 88

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88

MANAGEMENT’S฀DISCUSSION฀AND฀ANALYSIS

































Years฀Ended฀December฀31,฀ 2006฀ 2005฀ 2004
Mining฀and฀explorationa฀ $฀2,709.7฀ $฀2,248.3฀ $฀744.8
Smelting฀and฀refining฀ ฀ 74.5฀ ฀ 34.8฀ ฀ (83.5)
Intercompany฀eliminations฀and฀othera,b฀ ฀ 84.5฀ ฀ (105.8)฀ ฀ 42.3
Years฀Ended฀December฀31,฀ ฀ 2006฀ 2005฀ 2004
Mining฀and฀exploration฀segment฀operating฀incomea฀ ฀ ฀ ฀ ฀ $฀2,797,963฀ $฀2,312,771฀ $฀832,112
Mining฀and฀exploration฀segment฀interest฀expense,฀net฀ ฀ ฀ ฀ ฀ ฀ (19,833)฀ ฀ (22,386)฀ ฀ (22,209)
Intercompany฀operating฀profit฀recognized฀(deferred)฀ ฀ ฀ ฀ ฀ ฀ 32,426฀ ฀ (144,986)฀ ฀ (24,683)
฀ Income฀before฀taxes฀ ฀ ฀ ฀ ฀ ฀ ฀2,810,556฀ ฀2,145,399฀ ฀785,220
Indonesian฀corporate฀income฀tax฀rate฀(35%)฀plus฀U.S.฀alternative฀minimum฀tax฀rate฀(2%)฀for฀2004฀ ฀ 35%฀ ฀ 35%฀ ฀ 37%
฀ Corporate฀income฀taxes฀ ฀ ฀ ฀ ฀ ฀ ฀ 983,695฀ ฀ 750,890฀ ฀ 290,531
Approximate฀PT฀Freeport฀Indonesia฀net฀income฀ ฀ ฀ ฀ ฀ ฀1,826,861฀ ฀1,394,509฀ ฀494,689
Withholding฀tax฀on฀FCX’s฀equity฀share฀ ฀ ฀ ฀ ฀ ฀ 9.064%฀ ฀ 9.064%฀ ฀ 9.064%
฀ Withholding฀taxes฀ ฀ ฀ ฀ ฀ ฀ ฀ 165,587฀ ฀ 126,398฀ ฀ 44,839
PT฀Indocopper฀Investama฀corporate฀income฀tax฀ ฀ ฀ ฀ ฀ ฀ 47,797฀ ฀ 36,544฀ ฀ 3,005
Other,฀net฀ ฀฀ ฀ ฀ ฀ ฀ ฀ ฀ 4,096฀ ฀ 1,236฀ ฀ (7,695)
FCX฀consolidated฀provision฀for฀income฀taxes฀ ฀ ฀ ฀ ฀ $฀1,201,175฀ $฀ 915,068฀ $฀330,680
FCX฀consolidated฀effective฀tax฀rate฀ ฀ ฀ ฀ ฀ ฀ ฀ 43%฀ ฀ 45%฀ ฀ 58%
 

฀ FCX฀operating฀income฀ $฀2,868.7฀ $฀2,177.3฀ $฀703.6
 



 









30 FREEPORT-McMoRan฀COPPER฀&฀GOLD฀INC.฀฀2006฀Annual฀Report