Freeport-McMoRan 2014 Annual Report Download - page 40

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MANAGEMENT’S DISCUSSION AND ANALYSIS
38
CONSOLIDATED RESULTS
Years Ended December 31, 2014 2013
a
2012
SUMMARY FINANCIAL DATA (in millions, except per share amounts)
Revenues
b
$ 21,438
c,d
$ 20,921
c,d
$ 18,010
c
Operating income
b
$ 97
c,d,e,f,g,h
$ 5,351
c,d,g,h,i,j
$ 5,814
c,g,h,i,j
Net (loss) income attributable to common stockholders
k
$ (1,308)
c,d,e,f,g,h,l,m
$ 2,658
c,d,g,h,i,j,l,n
$ 3,041
c,g,h,i,j,l,m
Diluted net (loss) income per share attributable to common stockholders $ (1.26)
c,d,e,f,g,h,l,m
$ 2.64
c,d,g,h,i,j,l,n
$ 3.19
c,g,h,i,j,l,m
Diluted weighted-average common shares outstanding 1,039 1,006 954
Operating cash flows
o
$ 5,631 $ 6,139 $ 3,774
Capital expenditures $ 7,215 $ 5,286 $ 3,494
At December 31:
Cash and cash equivalents $ 464 $ 1,985 $ 3,705
Total debt, including current portion $ 18,970 $ 20,706 $ 3,527
a. Includes the results of FM O&G beginning June 1, 2013.
b. As further detailed in Note 16, following is a summary of revenues and operating income (loss) by operating division (in millions):
Years Ended December 31, 2014 2013 2012
Revenues
North America copper mines $ 5,616 $ 5,183 $ 5,486
South America mining 3,532 4,485 4,728
Indonesia mining 3,071 4,087 3,921
Africa mining 1,558 1,637 1,359
Molybdenum mines 587 522 529
Rod & Refining 4,655 5,022 5,016
Atlantic Copper Smelting & Refining 2,412 2,041 2,709
U.S. oil & gas operations 4,710 2,616 —
Other mining, corporate, other & eliminations (4,703) (4,672) (5,738)
Total revenues $ 21,438 $ 20,921 $ 18,010
Operating income (loss)
North America copper mines $ 1,698 $ 1,506 $ 2,204
South America mining 1,220 2,063 2,321
Indonesia mining 719 1,420 1,298
Africa mining 548 625 562
Molybdenum mines 167 123 150
Rod & Refining 12 23 14
Atlantic Copper Smelting & Refining (2) (75) 8
U.S. oil & gas operations (4,479) 450 —
Other mining, corporate, other & eliminations 214 (784) (743)
Total operating income $ 97 $ 5,351 $ 5,814
c. Includes (unfavorable) favorable adjustments to provisionally priced concentrate and cathode sales recognized in prior periods totaling $(118) million ($(65) million to net loss attributable to
common stockholders or $(0.06) per share) in 2014, $(26) million ($(12) million to net income attributable to common stockholders or $(0.01) per share) in 2013 and $101 million ($43 million to net
income attributable to common stockholders or $0.05 per share) in 2012. Refer to “Revenues“ for further discussion.
d. Includes net noncash mark-to-market gains (losses) associated with crude oil and natural gas derivative contracts totaling $627 million ($389 million to net loss attributable to common
stockholders or $0.37 per share) in 2014 and $(312) million ($(194) million to net income attributable to common stockholders or $(0.19) per share) for the seven-month period from June 1, 2013,
to December 31, 2013. Refer to “Revenues“ for further discussion.
e. Includes charges of $3.7 billion ($2.3 billion to net loss attributable to common stockholders or $2.24 per share) to reduce the carrying value of oil and gas properties pursuant to full cost
accounting rules and a goodwill impairment charge of $1.7 billion ($1.7 billion to net loss attributable to common stockholders or $1.65 per share) for the full carrying value of goodwill.
f. Includes gains of $717 million ($481 million to net loss attributable to common stockholders or $0.46 per share) primarily from the sale of Candelaria/Ojos.
g. Includes net (charges) credits for adjustments to environmental obligations and related litigation reserves totaling $(76) million ($(50) million to net loss attributable to common
stockholders or $(0.05) per share) in 2014, $(19) million ($(17) million to net income attributable to common stockholders or $(0.02) per share) in 2013 and $62 million ($40 million to net
income attributable to common stockholders or $0.04 per share) in 2012.
h. The year 2014 includes charges totaling $37 million ($23 million to net loss attributable to common stockholders or $0.02 per share) associated with early rig termination and inventory
write offs at our oil and gas operations. The year 2013 includes charges of (i) $76 million ($49 million to net income attributable to common stockholders or $0.05 per share) associated
with updated mine plans at Morenci that resulted in a loss in recoverable copper in leach stockpiles and (ii) $37 million ($23 million to net income attributable to common stockholders
or $0.02 per share) for restructuring an executive employment arrangement. The year 2012 includes a gain of $59 million ($31 million to net income attributable to
common stockholders or $0.03 per share) for the settlement of the insurance claim for business interruption and property damage relating to the 2011 incidents affecting PT Freeport
Indonesia's (PT-FI) concentrate pipelines.
i. Includes transaction and related costs totaling $80 million ($50 million to net income attributable to common stockholders or $0.05 per share) in 2013 and $9 million ($7 million to net
income attributable to common stockholders or $0.01 per share) in 2012 principally associated with the oil and gas acquisitions.