Freeport-McMoRan 2007 Annual Report Download - page 69

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Financial & Operating Information 67
Report of Independent Registered Public Accounting Firm
TO THE BOARD OF DIRECTORS AND STOCKHOLDERS OF
FREEPORT-MCMORA N COPPER & GOLD INC.
We have audited the accompanying consolidated balance sheets of
Freeport-McMoRan Copper & Gold Inc. as of December 31, 2007 and
2006, and the related consolidated statements of income, stockholders’
equity and cash flows for each of the three years in the period ended
December 31, 2007. These financial statements are the responsibility of
the Company’s management. Our responsibility is to express an opinion
on these financial statements based on our audits.
We conducted our audits in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those
standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An
audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits
provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly,
in all material respects, the consolidated financial position of Freeport-
McMoRan Copper & Gold Inc. at December 31, 2007 and 2006, and the
consolidated results of its operations and its cash flows for each of the
three years in the period ended December 31, 2007, in conformity with
U.S. generally accepted accounting principles.
As discussed in Note 1 to the consolidated financial statements,
effective January 1, 2007, the Company adopted FASB Interpretation
No. 48, “Accounting for Uncertainty in Income Taxes – an interpretation of
FASB Statement No. 109,” and effective January 1, 2006, the Company
adopted Statement of Financial Accounting Standards (SFAS) No. 123
(revised 2004), “Share-Based Payment,” and effective January 1, 2006,
the Company adopted Emerging Issues Task Force Issue No. 04-6,
“Accounting for Stripping Costs Incurred during Production in the Mining
Industry”, and effective December 31, 2006, the Company adopted
SFAS No. 158, “Employers’ Accounting for Defined Benefit Pension and
Other Postretirement Plans – an amendment of FASB Statements No. 87,
88, 106 and 132R.”
We also have audited, in accordance with the standards of the
Public Company Accounting Oversight Board (United States), Freeport-
McMoRan Copper & Gold Inc.’s internal control over financial reporting
as of December 31, 2007, based on criteria established in Internal
Control-Integrated Framework issued by the Committee of Sponsoring
Organizations of the Treadway Commission and our report dated
February 29, 2008, expressed an unqualified opinion thereon.
ERNST & YOUNG LLP
Phoenix, Arizona
February 29, 2008