Document_and_Entity_Informatio
Document and Entity Information | 12 Months Ended |
Dec. 31, 2013 | |
Document and Entity Information | ' |
Entity Registrant Name | 'AGNICO EAGLE MINES LTD |
Entity Central Index Key | '0000002809 |
Document Type | '40-F |
Document Period End Date | 31-Dec-13 |
Amendment Flag | 'false |
Current Fiscal Year End Date | '--12-31 |
Entity Current Reporting Status | 'Yes |
Entity Common Stock, Shares Outstanding | 174,181,163 |
Document Fiscal Year Focus | '2013 |
Document Fiscal Period Focus | 'FY |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current | ' | ' |
Cash and cash equivalents | $139,101 | $298,068 |
Short-term investments | 2,217 | 8,490 |
Restricted cash (note 14) | 28,723 | 25,450 |
Trade receivables (notes 1 and 4) | 67,300 | 67,750 |
Inventories: | ' | ' |
Ore stockpiles | 39,941 | 52,342 |
Concentrates and dore bars | 58,543 | 69,695 |
Supplies | 253,160 | 222,630 |
Income taxes recoverable (note 9) | 18,682 | 19,313 |
Available-for-sale securities (notes 2(b) and 4) | 74,581 | 44,719 |
Fair value of derivative financial instruments (notes 4 and 15) | 5,590 | 2,112 |
Other current assets (note 2(a)) | 116,993 | 92,977 |
Total current assets | 804,831 | 903,546 |
Other assets (note 2(c)) | 66,394 | 55,838 |
Goodwill (notes 10 and 19) | 39,017 | 229,279 |
Property, plant and mine development (note 3) | 4,049,117 | 4,067,456 |
TOTAL ASSETS | 4,959,359 | 5,256,119 |
Current | ' | ' |
Accounts payable and accrued liabilities (note 11) | 173,374 | 185,329 |
Reclamation provision (note 6(a)) | 3,452 | 16,816 |
Dividends payable | ' | 37,905 |
Interest payable (note 5) | 13,803 | 13,602 |
Income taxes payable (note 9) | 7,523 | 10,061 |
Capital lease obligations (note 13(a)) | 12,035 | 12,955 |
Fair value of derivative financial instruments (notes 4 and 15) | 467 | 277 |
Total current liabilities | 210,654 | 276,945 |
Long-term debt (note 5) | 1,000,000 | 830,000 |
Reclamation provision and other liabilities (note 6) | 178,236 | 127,735 |
Deferred income and mining tax liabilities (note 9) | 593,320 | 611,227 |
SHAREHOLDERS' EQUITY | ' | ' |
Common shares (notes 7(a), 7(b) and 7(c)): Outstanding - 174,181,163 common shares issued, less 227,188 shares held in trust | 3,294,007 | 3,241,922 |
Stock options (note 8(a)) | 174,470 | 148,032 |
Warrants (note 7(b)) | ' | 24,858 |
Contributed surplus | 37,254 | 15,665 |
Retained earnings (deficit) | -513,441 | 7,046 |
Accumulated other comprehensive loss (note 7(d)) | -15,141 | -27,311 |
Total shareholders' equity | 2,977,149 | 3,410,212 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $4,959,359 | $5,256,119 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) | Dec. 31, 2013 | Dec. 31, 2012 |
CONSOLIDATED BALANCE SHEETS | ' | ' |
Common shares, issued | 174,181,163 | 172,296,610 |
Number of shares of common stock held in trust | 227,188 | 193,740 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) (USD $) | 12 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
REVENUES | ' | ' | ' | |||
Revenues from mining operations (note 1) | $1,638,406 | $1,917,714 | $1,821,799 | |||
COSTS, EXPENSES AND OTHER INCOME | ' | ' | ' | |||
Production | 924,927 | [1] | 897,712 | [1] | 876,078 | [1] |
Exploration and corporate development | 44,236 | 109,500 | 75,721 | |||
Amortization of property, plant and mine development (note 3) | 296,078 | 271,861 | 261,781 | |||
General and administrative (note 16) | 115,800 | 119,085 | 107,926 | |||
Impairment loss on available-for-sale securities (note 2(b) and 4) | 34,272 | 12,732 | 8,569 | |||
Provincial capital tax | -1,504 | 4,001 | 9,223 | |||
Interest expense (note 5) | 57,999 | 57,887 | 55,039 | |||
Interest and sundry expense | 8,824 | 2,389 | 5,188 | |||
(Gain) loss on derivative financial instruments (note 15) | -1,509 | 819 | -3,683 | |||
Gain on sale of available-for-sale securities (note 2(b)) | -74 | -9,733 | -4,907 | |||
Impairment loss (note 18) | 537,227 | ' | 907,681 | |||
Loss on Goldex mine (note 17) | ' | ' | 302,893 | |||
Foreign currency translation (gain) loss | -7,188 | 16,320 | -1,082 | |||
Income (loss) before income and mining taxes | -370,682 | 435,141 | -778,628 | |||
Income and mining taxes expense (recovery) (note 9) | 35,844 | 124,225 | -209,673 | |||
Net income (loss) for the year | -406,526 | 310,916 | -568,955 | |||
Attributed to non-controlling interest | ' | ' | -60 | |||
Attributed to common shareholders | -406,526 | 310,916 | -568,895 | |||
Net income (loss) per share - basic (note 7(e)) (in dollars per share) | ($2.35) | $1.82 | ($3.36) | |||
Net income (loss) per share - diluted (note 7(e)) (in dollars per share) | ($2.35) | $1.81 | ($3.36) | |||
Cash dividends declared per common share (note 7(a)) (in dollars per share) | $0.66 | $1.02 | ' | |||
COMPREHENSIVE INCOME (LOSS) | ' | ' | ' | |||
Net income (loss) for the year | -406,526 | 310,916 | -568,955 | |||
Available-for-sale securities and other investments: | ' | ' | ' | |||
Unrealized loss | -22,553 | -27,029 | -35,444 | |||
Reclassification to impairment loss on available-for-sale securities (notes 2(b) and 4) | 34,272 | 12,732 | 8,569 | |||
Reclassification to realized gain on sale of available-for-sale securities (note 2(b)) | -74 | -9,733 | -4,907 | |||
Derivative financial instruments (note 15): | ' | ' | ' | |||
Unrealized (loss) gain | -284 | 6,882 | -5,863 | |||
Reclassification to production costs | -117 | -2,738 | 1,459 | |||
Pension benefits (note 6(b)): | ' | ' | ' | |||
Unrealized gain (loss) | 375 | 531 | -1,595 | |||
Reclassification to general and administrative expense | 637 | 617 | 540 | |||
Income tax expense (recovery) impact of reclassification items (note 9) | -137 | 558 | -556 | |||
Income tax expense (recovery) impact of other comprehensive income (loss) items (note 9) | 51 | -2,025 | 2,301 | |||
Other comprehensive income (loss) for the year | 12,170 | -20,205 | -35,496 | |||
Comprehensive income (loss) for the year | -394,356 | 290,711 | -604,451 | |||
Attributed to non-controlling interest | ' | ' | -60 | |||
Attributed to common shareholders | ($394,356) | $290,711 | ($604,391) | |||
[1] | Exclusive of amortization, which is shown separately. |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $) | Total | Common Shares Outstanding | Stock Options | Warrants | Contributed Surplus | Retained Earnings (Deficit) | Accumulated Other Comprehensive Income (Loss) | Non-Controlling Interest |
In Thousands, except Share data, unless otherwise specified | ||||||||
Balance at Dec. 31, 2010 | ' | $3,078,217 | $78,554 | $24,858 | $15,166 | $440,265 | $28,390 | ' |
Balance (in shares) at Dec. 31, 2010 | ' | 168,720,355 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued under employee stock option plan (note 8(a)) | ' | 18,094 | -4,396 | ' | ' | ' | ' | ' |
Stock options (note 8(a)) | ' | ' | 43,536 | ' | ' | ' | ' | ' |
Shares issued under employee stock option plan (note 8(a)) (in shares) | ' | 308,688 | ' | ' | ' | ' | ' | ' |
Shares issued under the incentive share purchase plan (note 8(b)) | ' | 19,229 | ' | ' | ' | ' | ' | ' |
Shares issued under the incentive share purchase plan (note 8(b)) (in shares) | ' | 360,833 | ' | ' | ' | ' | ' | ' |
Shares issued under dividend reinvestment plan | ' | 10,130 | ' | ' | ' | ' | ' | ' |
Shares issued under dividend reinvestment plan (in shares) | ' | 176,110 | ' | ' | ' | ' | ' | ' |
Shares issued for purchase of mining property (notes 7(c) and 10) | ' | 56,146 | ' | ' | ' | ' | ' | ' |
Shares issued for purchase of mining property (notes 7(c) and 10) (in shares) | ' | 1,250,477 | ' | ' | ' | ' | ' | ' |
Non-controlling interest addition upon acquisition (note 10) | ' | ' | ' | ' | ' | ' | ' | 12,251 |
Net income (loss) for the year | -568,895 | ' | ' | ' | ' | -568,895 | ' | ' |
Net loss for the year attributed to non-controlling interest | -60 | ' | ' | ' | ' | ' | ' | -60 |
Dividends declared ($0.66, $1.02, and nil per share for the years 2013, 2012 and 2011, respectively) (note 7(a)) | ' | ' | ' | ' | ' | -391 | ' | ' |
Other comprehensive income (loss) for the year | -35,496 | ' | ' | ' | ' | ' | -35,496 | ' |
Restricted share unit plan (note 8(c)) | ' | -435 | ' | ' | ' | ' | ' | ' |
Restricted share unit plan (note 8(c)) (in shares) | ' | -2,727 | ' | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2011 | ' | 3,181,381 | 117,694 | 24,858 | 15,166 | -129,021 | -7,106 | 12,191 |
Balance (in shares) at Dec. 31, 2011 | ' | 170,813,736 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued under employee stock option plan (note 8(a)) | ' | 22,968 | -4,759 | ' | ' | ' | ' | ' |
Stock options (note 8(a)) | ' | ' | 35,097 | ' | ' | ' | ' | ' |
Shares issued under employee stock option plan (note 8(a)) (in shares) | ' | 416,275 | ' | ' | ' | ' | ' | ' |
Shares issued under the incentive share purchase plan (note 8(b)) | ' | 21,671 | ' | ' | ' | ' | ' | ' |
Shares issued under the incentive share purchase plan (note 8(b)) (in shares) | ' | 507,235 | ' | ' | ' | ' | ' | ' |
Shares issued under dividend reinvestment plan | ' | 18,907 | ' | ' | ' | ' | ' | ' |
Shares issued under dividend reinvestment plan (in shares) | ' | 444,555 | ' | ' | ' | ' | ' | ' |
Shares issued for purchase of mining property (notes 7(c) and 10) | ' | 2,447 | ' | ' | 499 | ' | ' | ' |
Shares issued for purchase of mining property (notes 7(c) and 10) (in shares) | ' | 68,941 | ' | ' | ' | ' | ' | ' |
Non-controlling interest eliminated upon acquisition (note 10) | ' | ' | ' | ' | ' | ' | ' | -12,191 |
Net income (loss) for the year | 310,916 | ' | ' | ' | ' | 310,916 | ' | ' |
Dividends declared ($0.66, $1.02, and nil per share for the years 2013, 2012 and 2011, respectively) (note 7(a)) | ' | ' | ' | ' | ' | -174,849 | ' | ' |
Other comprehensive income (loss) for the year | -20,205 | ' | ' | ' | ' | ' | -20,205 | ' |
Restricted share unit plan (note 8(c)) | ' | -5,452 | ' | ' | ' | ' | ' | ' |
Restricted share unit plan (note 8(c)) (in shares) | ' | -147,872 | ' | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | 3,410,212 | 3,241,922 | 148,032 | 24,858 | 15,665 | 7,046 | -27,311 | ' |
Balance (in shares) at Dec. 31, 2012 | ' | 172,102,870 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued under employee stock option plan (note 8(a)) | ' | 9,765 | -3,292 | ' | ' | ' | ' | ' |
Stock options (note 8(a)) | ' | ' | 29,730 | ' | ' | ' | ' | ' |
Shares issued under employee stock option plan (note 8(a)) (in shares) | ' | 213,500 | ' | ' | ' | ' | ' | ' |
Shares issued under the incentive share purchase plan (note 8(b)) | ' | 23,379 | ' | ' | ' | ' | ' | ' |
Shares issued under the incentive share purchase plan (note 8(b)) (in shares) | ' | 812,946 | ' | ' | ' | ' | ' | ' |
Shares issued under dividend reinvestment plan | ' | 25,837 | ' | ' | ' | ' | ' | ' |
Shares issued under dividend reinvestment plan (in shares) | ' | 858,107 | ' | ' | ' | ' | ' | ' |
Warrant expiry (note 7(b)) | ' | ' | ' | -24,858 | 21,589 | ' | ' | ' |
Net income (loss) for the year | -406,526 | ' | ' | ' | ' | -406,526 | ' | ' |
Dividends declared ($0.66, $1.02, and nil per share for the years 2013, 2012 and 2011, respectively) (note 7(a)) | ' | ' | ' | ' | ' | -114,118 | ' | ' |
Other comprehensive income (loss) for the year | 12,170 | ' | ' | ' | ' | ' | 12,170 | ' |
Restricted share unit plan (note 8(c)) | ' | -6,896 | ' | ' | ' | 157 | ' | ' |
Restricted share unit plan (note 8(c)) (in shares) | ' | -33,448 | ' | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2013 | $2,977,149 | $3,294,007 | $174,470 | ' | $37,254 | ($513,441) | ($15,141) | ' |
Balance (in shares) at Dec. 31, 2013 | ' | 173,953,975 | ' | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_SHA1
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY | ' | ' | ' |
Dividends declared (in dollars per share) | $0.66 | $1.02 | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Operating activities | ' | ' | ' |
Net income (loss) for the year | ($406,526) | $310,916 | ($568,955) |
Add (deduct) items not affecting cash: | ' | ' | ' |
Amortization of property, plant and mine development (note 3) | 296,078 | 271,861 | 261,781 |
Deferred income and mining taxes (note 9) | -16,550 | 72,145 | -275,773 |
Gain on sale of available-for-sale securities (note 2(b)) | -74 | -9,733 | -4,907 |
Stock-based compensation (note 8) | 44,904 | 47,632 | 51,873 |
Impairment loss on available-for-sale securities (note 2(b)) | 34,272 | 12,732 | 8,569 |
Impairment loss (note 18) | 537,227 | ' | 907,681 |
Loss on Goldex mine (note 17) | ' | ' | 302,893 |
Foreign currency translation (gain) loss | -7,188 | 16,320 | -1,082 |
Other | 23,817 | 16,048 | 22,992 |
Adjustment for settlement of environmental remediation | -9,081 | -21,449 | -7,616 |
Changes in non-cash working capital balances: | ' | ' | ' |
Trade receivables | 450 | 8,149 | 37,050 |
Income taxes | 717 | 13,304 | -29,867 |
Inventories | -23,232 | -44,145 | -43,066 |
Other current assets | -23,447 | 18,909 | -25,838 |
Accounts payable and accrued liabilities | -12,695 | -20,928 | 31,837 |
Interest payable | -376 | 4,246 | -387 |
Cash provided by operating activities | 438,296 | 696,007 | 667,185 |
Investing activities | ' | ' | ' |
Additions to property, plant and mine development (note 3) | -577,789 | -445,550 | -482,831 |
Acquisition of Urastar Gold Corporation, net (note 10) | -10,051 | ' | ' |
Acquisition of Grayd Resource Corporation (note 10) | ' | -9,322 | -163,047 |
Decrease (increase) in short-term investments | 6,273 | -1,920 | 5 |
Net proceeds from sale of available-for-sale securities (note 2(b)) | 171 | 73,358 | 9,435 |
Purchase of available-for-sale securities and warrants (note 2(b)) | -59,804 | -2,713 | -91,115 |
(Increase) decrease in restricted cash (note 14) | -3,273 | 9,991 | -32,931 |
Cash used in investing activities | -644,473 | -376,156 | -760,484 |
Financing activities | ' | ' | ' |
Dividends paid | -126,266 | -118,121 | -98,354 |
Repayment of capital lease obligations (note 13(a)) | -10,605 | -12,063 | -13,092 |
Sale-leaseback financing (note 13(a)) | 10,928 | ' | ' |
Proceeds from long-term debt (note 5) | 290,000 | 315,000 | 475,000 |
Repayment of long-term debt (note 5) | -120,000 | -605,000 | -205,000 |
Notes issuance (note 5) | ' | 200,000 | ' |
Long-term debt financing costs (note 5) | ' | -3,133 | -2,545 |
Repurchase of common shares for restricted share unit plan (note 8(c)) | -19,000 | -12,031 | -3,723 |
Common shares issued | 23,672 | 32,742 | 26,536 |
Cash provided by (used in) financing activities | 48,729 | -202,606 | 178,822 |
Effect of exchange rate changes on cash and cash equivalents | -1,519 | 1,376 | -1,636 |
Net (decrease) increase in cash and cash equivalents during the year | -158,967 | 118,621 | 83,887 |
Cash and cash equivalents, beginning of year | 298,068 | 179,447 | 95,560 |
Cash and cash equivalents, end of year | 139,101 | 298,068 | 179,447 |
Supplemental cash flow information | ' | ' | ' |
Interest paid | 58,152 | 52,213 | 52,833 |
Income and mining taxes paid | $56,478 | $56,962 | $110,889 |
TRADE_RECEIVABLES_AND_REVENUES
TRADE RECEIVABLES AND REVENUES FROM MINING OPERATIONS | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
TRADE RECEIVABLES AND REVENUES FROM MINING OPERATIONS | ' | |||||||
TRADE RECEIVABLES AND REVENUES FROM MINING OPERATIONS | ' | |||||||
1. TRADE RECEIVABLES AND REVENUES FROM MINING OPERATIONS | ||||||||
Agnico Eagle is a gold mining company with mining operations in Canada, Mexico and Finland. The Company earns a significant proportion of its revenues from the production and sale of gold in both dore bar and concentrate form. The remainder of revenue and cash flow is generated by the production and sale of byproduct metals. The revenue from byproduct metals is primarily generated by production at the LaRonde mine in Canada (silver, zinc and copper) and the Pinos Altos mine in Mexico (silver). | ||||||||
Revenues are generated from operations in Canada, Mexico and Finland. The cash flow and profitability of the Company's operations are significantly affected by the market price of gold and, to a lesser extent, silver, zinc, copper and lead. The prices of these metals can fluctuate significantly and are affected by numerous factors beyond the Company's control. | ||||||||
As gold can be sold through numerous gold market traders worldwide, the Company is not economically dependent on a limited number of customers for the sale of its product. | ||||||||
Trade receivables are recognized once the transfer of ownership for the metals sold has occurred and reflect the amounts owing to the Company in respect of its sales of dore bars or concentrates to third parties prior to the satisfaction in full of the payment obligations of the third parties. | ||||||||
Year Ended December 31, | ||||||||
2013 | 2012 | 2011 | ||||||
Revenues from mining operations: | ||||||||
Gold | $1,500,354 | $1,712,665 | $1,563,760 | |||||
Silver | 100,895 | 140,221 | 171,725 | |||||
Zinc | 16,685 | 45,797 | 70,522 | |||||
Copper | 20,653 | 19,019 | 14,451 | |||||
Lead(i) | (181 | ) | 12 | 1,341 | ||||
$1,638,406 | $1,917,714 | $1,821,799 | ||||||
Note: | ||||||||
(i) | ||||||||
In 2013, lead revenues of $0.9 million were nettled against lead concentrate direct fees of $1.1 million. Revenues from other metals contained in lead concentrate are included in their respective categories in the above table. | ||||||||
In 2013, precious metals (gold and silver) accounted for 98% of Agnico Eagle's revenues from mining operations (2012 – 97%; 2011 – 95%). The remaining revenues from mining operations consisted of net byproduct metals revenues. In 2013, these net byproduct metals revenues as a percentage of total revenues from mining operations were 1% from zinc (2012 – 2%; 2011 – 4%) and 1% from copper (2012 – 1%; 2011 – 1%). | ||||||||
OTHER_ASSETS
OTHER ASSETS | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
OTHER ASSETS | ' | ||||||||
OTHER ASSETS | ' | ||||||||
2. OTHER ASSETS | |||||||||
(a) | |||||||||
Other current assets | |||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
Federal, provincial and other sales taxes receivable | $ | 71,053 | $ | 36,400 | |||||
Prepaid expenses | 35,396 | 36,119 | |||||||
Insurance receivable | 1,369 | 6,553 | |||||||
Receivables from employees | 780 | 1,800 | |||||||
Retirement compensation arrangement plan refundable tax receivable | – | 4,044 | |||||||
Other | 8,395 | 8,061 | |||||||
$ | 116,993 | $ | 92,977 | ||||||
(b) | |||||||||
Available-for-sale securities | |||||||||
The Company's investments in available-for-sale securities consist primarily of investments in common shares of entities in the mining industry. The cost basis of available-for-sale securities is determined using the average cost method and they are carried at fair value. Detail on the Company's available-for-sale securities holdings is set out below: | |||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
Available-for-sale securities in an unrealized gain position: | |||||||||
Cost (net of impairments) | $ | 30,583 | $ | 4,352 | |||||
Unrealized gains in accumulated other comprehensive loss | 11,530 | 1,902 | |||||||
Estimated fair value | 42,113 | 6,254 | |||||||
Available-for-sale securities in an unrealized loss position: | |||||||||
Cost (net of impairments) | 39,933 | 48,047 | |||||||
Unrealized losses in accumulated other comprehensive loss | (7,465 | ) | (9,582 | ) | |||||
Estimated fair value | 32,468 | 38,465 | |||||||
Total estimated fair value of available-for-sale securities | $ | 74,581 | $ | 44,719 | |||||
In 2013, the Company received proceeds of $0.2 million (2012 – $73.4 million; 2011 – $9.4 million) and recognized a gain before income taxes of $0.1 million (2012 – $9.7 million; 2011 – $4.9 million) on the sale of certain available-for-sale securities. | |||||||||
During the course of the year, certain available-for-sale securities fell into an unrealized loss position. In each case, the Company evaluated the near-term prospects of the issuers in relation to the severity and duration of the impairment. During the year ended December 31, 2013, the Company recorded a $34.3 million (2012 – $12.7 million; 2011 – $8.6 million) impairment loss on certain available-for-sale securities that were determined to be other-than-temporarily impaired. | |||||||||
At December 31, 2013, the fair value of available-for-sale securities in an unrealized loss position was $32.5 million (December 31, 2012 – $38.5 million) with total unrealized losses in accumulated other comprehensive loss of $7.5 million (December 31, 2012 – $9.6 million). Based on an evaluation of the severity and duration of the impairment of these available-for-sale securities (less than three months) and on the Company's intent to hold the investments for a period of time sufficient for a recovery of fair value, the Company does not consider these available-for-sale securities to be other-than-temporarily impaired as at December 31, 2013. | |||||||||
(c) | |||||||||
Other assets | |||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
Deferred financing costs, less accumulated amortization of $11,420 (December 31, 2012 – $8,888) | $12,644 | $15,836 | |||||||
Long-term ore in stockpile(i) | 46,191 | 32,711 | |||||||
Other | 7,559 | 7,291 | |||||||
$66,394 | $55,838 | ||||||||
Note: | |||||||||
(i) | |||||||||
Due to the ore body structures at the Pinos Altos, Kittila and Meadowbank mines, the Creston Mascota deposit at Pinos Altos and the La India project, a significant amount of drilling and blasting was undertaken early in their mine lives, resulting in long-term ore in stockpile. At December 31, 2013, long-term ore in stockpile was valued at $2.5 million (December 31, 2012 – $4.1 million) at the Pinos Altos mine, $26.7 million (December 31, 2012 – $7.7 million) at the Kittila mine, $7.8 million (December 31, 2012 – $10.2 million) at the Meadowbank mine, $8.2 million (December 31, 2012 – $10.7 million) at the Creston Mascota deposit at Pinos Altos and $1.0 million (December 31, 2012 – nil) at the La India project. | |||||||||
PROPERTY_PLANT_AND_MINE_DEVELO
PROPERTY, PLANT AND MINE DEVELOPMENT | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
PROPERTY, PLANT AND MINE DEVELOPMENT | ' | |||||||||||||||||||
PROPERTY, PLANT AND MINE DEVELOPMENT | ' | |||||||||||||||||||
3. PROPERTY, PLANT AND MINE DEVELOPMENT | ||||||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | |||||||||||||||||||
Cost | Accumulated | Net Book | Cost | Accumulated | Net Book | |||||||||||||||
Amortization | Value | Amortization | Value | |||||||||||||||||
Mining properties | $ | 1,361,867 | $ | 89,700 | $ | 1,272,167 | $ | 1,356,227 | $ | 86,839 | $ | 1,269,388 | ||||||||
Plant and equipment | 2,286,887 | 662,394 | 1,624,493 | 2,538,328 | 617,826 | 1,920,502 | ||||||||||||||
Mine development costs | 1,038,564 | 239,898 | 798,666 | 918,482 | 237,967 | 680,515 | ||||||||||||||
Construction in progress: | ||||||||||||||||||||
Meliadine project | 192,413 | – | 192,413 | 133,840 | – | 133,840 | ||||||||||||||
La India project | 161,378 | – | 161,378 | 32,553 | – | 32,553 | ||||||||||||||
Goldex mine M and E Zones(i) | – | – | – | 30,658 | – | 30,658 | ||||||||||||||
$ | 5,041,109 | $ | 991,992 | $ | 4,049,117 | $ | 5,010,088 | $ | 942,632 | $ | 4,067,456 | |||||||||
Note: | ||||||||||||||||||||
(i) | ||||||||||||||||||||
Upon achieving commercial production at the Goldex mine M and E Zones in October 2013, related costs accumulated in construction in progress were reclassified to mine development costs within property, plant and mine development. | ||||||||||||||||||||
Geographic Information: | ||||||||||||||||||||
As at December 31, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Northern Business: | ||||||||||||||||||||
Canada | $2,312,166 | $2,543,171 | ||||||||||||||||||
Finland | 763,711 | 704,031 | ||||||||||||||||||
Southern Business: | ||||||||||||||||||||
Mexico | 962,971 | 809,556 | ||||||||||||||||||
United States | 10,269 | 10,698 | ||||||||||||||||||
Total | $4,049,117 | $4,067,456 | ||||||||||||||||||
In 2013, Agnico Eagle capitalized $2.5 million (2012 – $1.3 million) and expensed $1.4 million (2012 – $1.2 million) of computer software expenditures. The unamortized capitalized cost for computer software at December 31, 2013 was $6.8 million (December 31, 2012 – $5.7 million). | ||||||||||||||||||||
The unamortized capitalized cost for leasehold improvements at December 31, 2013 was $3.3 million (December 31, 2012 – $3.4 million), which is being amortized on a straight-line basis over the life term of the lease plus one renewal period. | ||||||||||||||||||||
The amortization of assets recorded under capital leases is included in the amortization of property, plant and mine development line item of the consolidated statements of income (loss) and comprehensive income (loss). | ||||||||||||||||||||
FAIR_VALUE_MEASUREMENT
FAIR VALUE MEASUREMENT | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
FAIR VALUE MEASUREMENT | ' | |||||||||||||
FAIR VALUE MEASUREMENT | ' | |||||||||||||
4. FAIR VALUE MEASUREMENT | ||||||||||||||
ASC 820 – Fair Value Measurement and Disclosure defines fair value, establishes a framework for measuring fair value under US GAAP, and requires expanded disclosures about fair value measurements including the following three fair value hierarchy levels: | ||||||||||||||
Level 1 – Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; | ||||||||||||||
Level 2 – Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and | ||||||||||||||
Level 3 – Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||||||||||||||
Fair value is the value at which a financial instrument could be closed out or sold in a transaction with a willing and knowledgeable counterparty over a period of time consistent with the Company's investment strategy. Fair value is based on quoted market prices, where available. If market quotes are not available, fair value is based on internally developed models that use market-based or independent information as inputs. These models could produce a fair value that may not be reflective of future fair value. | ||||||||||||||
The following table sets out the Company's financial assets and liabilities measured at fair value as at December 31, 2013 using the fair value hierarchy: | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Financial assets: | ||||||||||||||
Trade receivables(i) | $ | – | $ | 67,300 | $ | – | $ | 67,300 | ||||||
Available-for-sale securities(ii) | 74,581 | – | – | 74,581 | ||||||||||
Fair value of derivative financial instruments(iii) | – | 5,590 | – | 5,590 | ||||||||||
$ | 74,581 | $ | 72,890 | $ | – | $ | 147,471 | |||||||
Financial liabilities: | ||||||||||||||
Fair value of derivative financial instruments(iii) | $ | – | $ | 467 | $ | – | $ | 467 | ||||||
The following table sets out the Company's financial assets and liabilities measured at fair value as at December 31, 2012 using the fair value hierarchy: | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Financial assets: | ||||||||||||||
Trade receivables(i) | $ | – | $ | 67,750 | $ | – | $ | 67,750 | ||||||
Available-for-sale securities(ii) | 44,719 | – | – | 44,719 | ||||||||||
Fair value of derivative financial instruments(iii) | – | 2,112 | – | 2,112 | ||||||||||
$ | 44,719 | $ | 69,862 | $ | – | $ | 114,581 | |||||||
Financial liabilities: | ||||||||||||||
Fair value of derivative financial instruments(iii) | $ | – | $ | 277 | $ | – | $ | 277 | ||||||
Notes: | ||||||||||||||
(i) | ||||||||||||||
Trade receivables from provisional invoices for concentrate sales are valued using quoted forward rates derived from observable market data based on the month of expected settlement (classified within Level 2 of the fair value hierarchy). | ||||||||||||||
(ii) | ||||||||||||||
Available-for-sale securities are recorded at fair value using quoted market prices (classified within Level 1 of the fair value hierarchy). | ||||||||||||||
(iii) | ||||||||||||||
Derivative financial instruments are recorded at fair value using external broker-dealer quotations (classified within Level 2 of the fair value hierarchy). | ||||||||||||||
In the event that a decline in the fair value of an investment in available-for-sale securities occurs and the decline in value is considered to be other-than-temporary, an impairment charge is recorded in the consolidated statements of income (loss) and comprehensive income (loss) and a new cost basis for the investment is established. The Company assesses whether a decline in value is considered to be other-than-temporary by considering available evidence, including changes in general market conditions, specific industry and investee data, the length of time and the extent to which the fair value has been less than cost, the financial condition of the investee and the near-term prospects of the individual investment. New evidence may become available in future periods which would affect this assessment and thus could result in material impairment charges with respect to those investments in available-for-sale securities for which the cost basis exceeds its fair value. | ||||||||||||||
As at December 31, 2013, the Company recorded impairment losses related to property, plant and mine development and goodwill (see note 18 for details). The estimated fair values of property, plant and mine development and goodwill used in determining the impairment losses followed the discounted cash flow approach. The total impairment loss recorded during 2013 was $436.3 million, net of tax (2012 – nil; 2011 – $644.9 million). The discounted cash flow approach uses significant unobservable inputs and is therefore considered a Level 3 fair value measurement under the fair value hierarchy. | ||||||||||||||
LONGTERM_DEBT
LONG-TERM DEBT | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
LONG-TERM DEBT | ' | ||||||||
LONG-TERM DEBT | ' | ||||||||
5. LONG-TERM DEBT | |||||||||
Credit Facility | |||||||||
On June 22, 2010, the Company amended and restated one of its two unsecured revolving bank credit facilities (the "Credit Facility") and terminated its other unsecured revolving bank credit facility, increasing the amount available from an aggregate of $900.0 million to $1,200.0 million. | |||||||||
On July 20, 2012, the Company further amended the Credit Facility, extending the maturity date from June 22, 2016 to June 22, 2017 and amending pricing terms. | |||||||||
At December 31, 2013, the Credit Facility was drawn down by $200.0 million (December 31, 2012 – $30.0 million). Amounts drawn down, together with outstanding letters of credit under the Credit Facility, resulted in Credit Facility availability of $998.9 million at December 31, 2013. | |||||||||
2012 Notes | |||||||||
On July 24, 2012, the Company closed a $200.0 million private placement of guaranteed senior unsecured notes (the "2012 Notes") which, on issuance, had a weighted average maturity of 11.0 years and a weighted average yield of 4.95%. | |||||||||
The following table sets out details of the individual series of the 2012 Notes: | |||||||||
Principal | Interest Rate | Maturity Date | |||||||
Series A | $ | 100,000 | 4.87% | 7/23/22 | |||||
Series B | 100,000 | 5.02% | 7/23/24 | ||||||
$ | 200,000 | ||||||||
2010 Notes | |||||||||
On April 7, 2010, the Company closed a $600.0 million private placement of guaranteed senior unsecured notes (the "2010 Notes") which, on issuance, had a weighted average maturity of 9.84 years and a weighted average yield of 6.59%. | |||||||||
The following table sets out details of the individual series of the 2010 Notes: | |||||||||
Principal | Interest Rate | Maturity Date | |||||||
Series A | $ | 115,000 | 6.13% | 4/7/17 | |||||
Series B | 360,000 | 6.67% | 4/7/20 | ||||||
Series C | 125,000 | 6.77% | 4/7/22 | ||||||
$ | 600,000 | ||||||||
Covenants | |||||||||
Payment and performance of Agnico Eagle's obligations under the Credit Facility, 2012 Notes and 2010 Notes is guaranteed by each of its significant subsidiaries and certain of its other subsidiaries (the "Guarantors"). | |||||||||
The Credit Facility contains covenants that limit, among other things, the ability of the Company to incur additional indebtedness, make distributions in certain circumstances and sell material assets. | |||||||||
The 2012 Notes and 2010 Notes contain covenants that restrict, among other things, the ability of the Company to amalgamate or otherwise transfer its assets, sell material assets and carry on a business other than one related to mining and the ability of the Guarantors to incur indebtedness. | |||||||||
The Credit Facility, 2012 Notes and 2010 Notes also require the Company to maintain a total net debt to EBITDA ratio below a specified maximum value as well as a minimum tangible net worth. | |||||||||
The Company was in compliance with all covenants contained in the Credit Facility, 2012 Notes and 2010 Notes as at December 31, 2013. | |||||||||
Interest on long-term debt | |||||||||
For the year ended December 31, 2013, total interest expense was $58.0 million (2012 – $57.9 million; 2011 – $55.0 million) and total cash interest payments were $58.2 million (2012 – $52.2 million; 2011 – $52.8 million). In 2013, cash interest on the Credit Facility was $1.8 million (2012 – $3.6 million; 2011 – $1.7 million), cash standby fees on the Credit Facility were $4.8 million (2012 – $4.2 million; 2011 – $8.6 million) and cash interest on the 2010 Notes and 2012 Notes was $49.4 million (2012 – $39.5 million; 2011 – $39.5 million). In 2013, interest expenditures of $3.5 million (2012 – $1.5 million; 2011 – $1.0 million) were capitalized to construction in progress. | |||||||||
The Company's weighted average interest rate on all of its long-term debt as at December 31, 2013 was 5.37% (December 31, 2012 – 6.02%; December 31, 2011 – 5.02%). | |||||||||
RECLAMATION_PROVISION_AND_OTHE
RECLAMATION PROVISION AND OTHER LIABILITIES | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
RECLAMATION PROVISION AND OTHER LIABILITIES | ' | ||||||||||
RECLAMATION PROVISION AND OTHER LIABILITIES | ' | ||||||||||
6. RECLAMATION PROVISION AND OTHER LIABILITIES | |||||||||||
Reclamation provision and other liabilities consist of the following: | |||||||||||
As at December 31, | |||||||||||
2013 | 2012 | ||||||||||
Reclamation provision (note 6(a)) | $ | 150,849 | $ | 101,753 | |||||||
Long-term portion of capital lease obligations (note 13(a)) | 11,843 | 12,108 | |||||||||
Pension benefits (note 6(b)) | 15,278 | 13,734 | |||||||||
Other | 266 | 140 | |||||||||
Total | $ | 178,236 | $ | 127,735 | |||||||
(a) | |||||||||||
Reclamation provision | |||||||||||
Agnico Eagle's reclamation provision includes both asset retirement obligations and environmental remediation liabilities. Reclamation provision estimates are based on current legislation, third party estimates, management's estimates and feasibility study calculations. | |||||||||||
The following table reconciles the beginning and ending carrying amounts of the Company's asset retirement obligations: | |||||||||||
2013 | 2012 | ||||||||||
Asset retirement obligations – long-term, beginning of year | $ | 89,720 | $ | 86,386 | |||||||
Asset retirement obligations – current, beginning of year | 4,630 | – | |||||||||
Current year additions and changes in estimate, net | 44,898 | 1,495 | |||||||||
Current year accretion | 4,624 | 5,068 | |||||||||
Liabilities settled | (853 | ) | (254 | ) | |||||||
Foreign exchange revaluation | (3,678 | ) | 1,655 | ||||||||
Reclassification from long-term to current, end of year | (1,029 | ) | (4,630 | ) | |||||||
Asset retirement obligations – long-term, end of year | $ | 138,312 | $ | 89,720 | |||||||
Due to the suspension of mining operations on the Goldex Extension Zone ("GEZ") at the Goldex mine on October 19, 2011 (see note 17 for details), Agnico Eagle recognized an environmental remediation liability. The following table reconciles the beginning and ending carrying amounts of the Goldex mine's environmental remediation liability: | |||||||||||
2013 | 2012 | ||||||||||
Environmental remediation liability – long-term, beginning of year | $ | 12,033 | $ | 19,057 | |||||||
Environmental remediation liability – current, beginning of year | 12,186 | 26,069 | |||||||||
Current year additions and changes in estimate, net | 1,005 | (36 | ) | ||||||||
Liabilities settled | (9,045 | ) | (21,450 | ) | |||||||
Foreign exchange revaluation | (1,219 | ) | 579 | ||||||||
Reclassification from long-term to current, end of year | (2,423 | ) | (12,186 | ) | |||||||
Environmental remediation liability – long-term, end of year | $ | 12,537 | $ | 12,033 | |||||||
(b) | |||||||||||
Pension benefits | |||||||||||
Agnico Eagle provides the Executives Plan for certain senior officers. The funded status of the Executives Plan is based on actuarial valuations performed as of July 1, 2013, projected to December 31, 2013 and covering the period through June 30, 2014. | |||||||||||
The components of Agnico Eagle's net pension benefits expense relating to the Executives Plan are as follows: | |||||||||||
Year Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Service cost – benefits earned during the year | $ | 457 | $ | 650 | $ | 996 | |||||
Interest cost on projected benefit obligation | 431 | 489 | 663 | ||||||||
Amortization of net transition asset | 164 | 169 | 171 | ||||||||
Prior service cost | 25 | 26 | 26 | ||||||||
Loss due to settlement | – | 2,921 | – | ||||||||
Recognized net actuarial loss | 379 | 340 | 245 | ||||||||
Net pension benefits expense | $ | 1,456 | $ | 4,595 | $ | 2,101 | |||||
Assets for the Executives Plan consist of deposits on hand with regulatory authorities that are refundable when benefit payments are made or on the ultimate wind-up of the plan. The accumulated benefit obligation for the Executives Plan at December 31, 2013 was $9.6 million (December 31, 2012 – $9.7 million). | |||||||||||
The funded status of the Executives Plan for 2013 and 2012 is as follows: | |||||||||||
2013 | 2012 | ||||||||||
Reconciliation of the market value of plan assets: | |||||||||||
Fair value of plan assets, beginning of year | $ | 2,373 | $ | 2,952 | |||||||
Agnico Eagle's contribution | 374 | 839 | |||||||||
Benefit payments | (244 | ) | (520 | ) | |||||||
Settlements | – | (961 | ) | ||||||||
Effect of exchange rate changes | (157 | ) | 63 | ||||||||
Fair value of plan assets, end of year | 2,346 | 2,373 | |||||||||
Reconciliation of projected benefit obligation: | |||||||||||
Projected benefit obligation, beginning of year | 10,818 | 14,370 | |||||||||
Service cost | 456 | 650 | |||||||||
Interest cost | 431 | 489 | |||||||||
Net actuarial loss | 573 | 675 | |||||||||
Benefit payments | (244 | ) | (520 | ) | |||||||
Settlements | – | (5,148 | ) | ||||||||
Effect of exchange rate changes | (736 | ) | 302 | ||||||||
Projected benefit obligation, end of year | 11,298 | 10,818 | |||||||||
Deficiency of plan assets compared with projected benefit obligation | $ | (8,952 | ) | $ | (8,445 | ) | |||||
The Executives Plan is comprised of the following net amounts recognized in the consolidated balance sheets: | |||||||||||
As at December 31, | |||||||||||
2013 | 2012 | ||||||||||
Accrued employee benefit liability | $ | 5,733 | $ | 5,008 | |||||||
Accumulated other comprehensive loss: | |||||||||||
Transition obligation | 159 | 341 | |||||||||
Prior service cost | 24 | 52 | |||||||||
Net actuarial loss | 3,036 | 3,044 | |||||||||
Net liability | $ | 8,952 | $ | 8,445 | |||||||
Assumptions: | |||||||||||
Weighted average discount rate – net periodic pension cost | 4.00% | 4.45% | |||||||||
Weighted average discount rate – projected benefit obligation | 4.90% | 4.00% | |||||||||
Weighted average rate of compensation increase | 3.00% | 3.00% | |||||||||
Estimated average remaining service life for the plan (in years)(i) | 5 | 6 | |||||||||
Note: | |||||||||||
(i) | |||||||||||
Estimated average remaining service life for the Executives Plan was developed for individual senior officers. | |||||||||||
Executives Plan components expected to be recognized in accumulated other comprehensive loss in 2014: | |||||||||||
Transition obligation | $ | 159 | |||||||||
Prior service cost | 24 | ||||||||||
Net actuarial loss | 476 | ||||||||||
$ | 659 | ||||||||||
Estimated benefit payments from the Executives Plan over the next ten years are set out below: | |||||||||||
Year ended December 31,: | Estimated Executives Plan | ||||||||||
Benefit Payments | |||||||||||
2014 | $ | 109 | |||||||||
2015 | $ | 107 | |||||||||
2016 | $ | 105 | |||||||||
2017 | $ | 103 | |||||||||
2018 | $ | 102 | |||||||||
2019 – 2023 | $ | 5,295 | |||||||||
In addition to the Executives Plan, the Company maintains the Basic Plan and the Supplemental Plan. Under the Basic Plan, Agnico Eagle contributes 5% of certain employees' base employment compensation to a defined contribution plan. In 2013, $12.5 million (2012 – $11.9 million; 2011 – $10.7 million) was contributed to the Basic Plan. Effective January 1, 2008, the Company adopted the Supplemental Plan for designated executives at the level of Vice-President or above. The Supplemental Plan is funded by the Company through notional contributions equal to 10% of the designated executive's earnings for the year (including salary and short-term bonus). In 2013, the Company made $1.2 million (2012 – $0.8 million; 2011 – $0.9 million) in notional contributions to the Supplemental Plan. The Supplemental Plan is accounted for as a cash balance plan. | |||||||||||
SHAREHOLDERS_EQUITY
SHAREHOLDERS' EQUITY | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
SHAREHOLDERS' EQUITY | ' | ||||||||||||||||||
SHAREHOLDERS' EQUITY | ' | ||||||||||||||||||
7. SHAREHOLDERS' EQUITY | |||||||||||||||||||
(a) | |||||||||||||||||||
Common shares | |||||||||||||||||||
The Company's authorized share capital includes an unlimited number of common shares. As at December 31, 2013, Agnico Eagle's issued common shares totaled 174,181,163 (December 31, 2012 – 172,296,610), less 227,188 common shares held by a trust in connection with the Company's restricted share unit ("RSU") plan (December 31, 2012 – 193,740 common shares held in trust). The trust is treated as a variable interest entity and, as a result, its holdings of shares are offset against the Company's issued shares in its consolidated financial statements (see note 8(c) for details). | |||||||||||||||||||
In 2013, the Company declared dividends on its common shares of $0.66 per share (2012 – $1.02 per share; 2011 – nil per share). | |||||||||||||||||||
(b) | |||||||||||||||||||
Private placements and warrants | |||||||||||||||||||
On December 3, 2008, the Company closed a private placement of 9.2 million units, with each unit consisting of one common share and one-half of one common share purchase warrant. Each whole warrant entitled the holder to purchase one common share of the Company at a price of $47.25 per share at any time during the five-year term of the warrant. As consideration for the lead purchaser's commitment, the Company issued to the lead purchaser an additional 4.0 million warrants. The net proceeds of the private placement were approximately $281.0 million, after deducting share issue costs of $8.8 million. The warrants expired unexercised on December 3, 2013. | |||||||||||||||||||
(c) | |||||||||||||||||||
Issuance of common shares on take-over bid | |||||||||||||||||||
On November 18, 2011, the Company issued 1,250,477 common shares with a market value of $56.1 million in connection with the acquisition of 94.77% of the outstanding shares of Grayd Resource Corporation ("Grayd") under a take-over bid. On January 23, 2012, the Company issued an additional 68,941 common shares with a market value of $2.4 million in connection with the compulsory acquisition of the remaining outstanding shares of Grayd it did not already own (see note 10 for details). | |||||||||||||||||||
(d) | |||||||||||||||||||
Accumulated other comprehensive loss | |||||||||||||||||||
The following table sets out the changes in accumulated other comprehensive loss by component for the year ended December 31, 2013: | |||||||||||||||||||
Cumulative | Available-for-sale | Derivative | Pension | Total | |||||||||||||||
Translation | Securities and Other | Financial | Benefits | ||||||||||||||||
Adjustment | Investments | Instruments | |||||||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2012 | $ | (16,206 | ) | $ | (7,680 | ) | $ | 72 | $ | (3,497 | ) | $ | (27,311 | ) | |||||
Unrealized other comprehensive (loss) gain | – | (22,553 | ) | (284 | ) | 375 | (22,462 | ) | |||||||||||
Income tax expense (recovery) impact | – | – | 150 | (99 | ) | 51 | |||||||||||||
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | – | 34,198 | (117 | ) | 637 | 34,718 | |||||||||||||
Income tax expense (recovery) impact | – | – | 31 | (168 | ) | (137 | ) | ||||||||||||
Other comprehensive income (loss) for the year | – | 11,645 | (220 | ) | 745 | 12,170 | |||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2013 | $ | (16,206 | ) | $ | 3,965 | $ | (148 | ) | $ | (2,752 | ) | $ | (15,141 | ) | |||||
The following table sets out the changes in accumulated other comprehensive loss by component for the year ended December 31, 2012: | |||||||||||||||||||
Cumulative | Available-for-sale | Derivative | Pension | Total | |||||||||||||||
Translation | Securities and Other | Financial | Benefits | ||||||||||||||||
Adjustment | Investments | Instruments | |||||||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2011 | $ | (16,206 | ) | $ | 16,350 | $ | (2,913 | ) | $ | (4,337 | ) | $ | (7,106 | ) | |||||
Unrealized other comprehensive (loss) gain | – | (27,029 | ) | 6,882 | 531 | (19,616 | ) | ||||||||||||
Income tax recovery impact | – | – | (1,885 | ) | (140 | ) | (2,025 | ) | |||||||||||
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | – | 2,999 | (2,738 | ) | 617 | 878 | |||||||||||||
Income tax expense (recovery) impact | – | – | 721 | (163 | ) | 558 | |||||||||||||
Other comprehensive income (loss) for the year | – | (24,030 | ) | 2,985 | 840 | (20,205 | ) | ||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2012 | $ | (16,206 | ) | $ | (7,680 | ) | $ | 72 | $ | (3,497 | ) | $ | (27,311 | ) | |||||
(e) | |||||||||||||||||||
Net income (loss) per share | |||||||||||||||||||
The following table sets out the weighted average number of common shares used in the calculation of basic and diluted net income (loss) per share: | |||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||
Weighted average number of common shares outstanding – basic | 172,892,654 | 171,250,179 | 169,352,896 | ||||||||||||||||
Dilutive impact of shares related to RSU plan | – | 235,436 | – | ||||||||||||||||
Weighted average number of common shares outstanding – diluted | 172,892,654 | 171,485,615 | 169,352,896 | ||||||||||||||||
Diluted net income (loss) per share has been calculated using the treasury stock method. In applying the treasury stock method, employee stock options and warrants with an exercise price greater than the average quoted market price of the common shares for the period outstanding are not included in the calculation of diluted net income (loss) per share as the impact is anti-dilutive. In 2011, the impact of any additional shares issued under the employee stock option plan, as a result of the conversion of warrants or related to the RSU plan would have been anti-dilutive as a result of the net loss recorded for the year. Consequently, diluted net loss per share was calculated in the same manner as basic net loss per share in 2011. In 2012, 7,742,151 employee stock options and all warrants were excluded from the calculation of diluted net income per share as their impact would have been anti-dilutive. In 2013, the impact of any additional shares issued under the employee stock option plan or related to the RSU plan would have been anti-dilutive as a result of the net loss recorded for the year. Consequently, diluted net loss per share was calculated in the same manner as basic net loss per share in 2013. | |||||||||||||||||||
STOCKBASED_COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
STOCK-BASED COMPENSATION | ' | ||||||||||||||||
STOCK-BASED COMPENSATION | ' | ||||||||||||||||
8. STOCK-BASED COMPENSATION | |||||||||||||||||
(a) | |||||||||||||||||
Employee Stock Option Plan ("ESOP") | |||||||||||||||||
The Company's ESOP provides for the granting of stock options to directors, officers, employees and service providers to purchase common shares. Under the ESOP, stock options are granted at the fair market value of the underlying shares on the day prior to the date of grant. The number of common shares that may be reserved for issuance to any one person pursuant to stock options (under the ESOP or otherwise), warrants, share purchase plans or other arrangements may not exceed 5% of the Company's common shares issued and outstanding at the date of grant. | |||||||||||||||||
On April 24, 2001, the Compensation Committee of the Board of Directors adopted a policy pursuant to which stock options granted after that date have a maximum term of five years. In 2011, the shareholders approved a resolution to increase the number of common shares reserved for issuance under the ESOP by 3,000,000 to 23,300,000. In 2012 and 2013 the shareholders approved a further 2,500,000 and 2,000,000 common shares for issuance under the ESOP, respectively. | |||||||||||||||||
Of the 2,803,000 stock options granted under the ESOP in 2013, 700,750 stock options vested immediately. The remaining stock options, all of which expire in 2018, vest in equal installments on each anniversary date of the grant over a three year period. Of the 3,257,000 stock options granted under the ESOP in 2012, 814,250 stock options vested immediately. The remaining stock options, all of which expire in 2017, vest in equal installments on each anniversary date of the grant over a three year period. Of the 2,630,785 stock options granted under the ESOP in 2011, 657,696 stock options vested immediately. The remaining stock options, all of which expire in 2016, vest in equal installments on each anniversary date of the grant over a three year period. Upon the exercise of stock options under the ESOP, the Company issues new common shares to settle the obligation. | |||||||||||||||||
The following summary sets out activity with respect to Agnico Eagle's outstanding stock options: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Number of | Weighted | Number of | Weighted | Number of | Weighted | ||||||||||||
Stock Options | Average | Stock | Average | Stock | Average | ||||||||||||
Exercise | Options | Exercise | Options | Exercise | |||||||||||||
Price | Price | Price | |||||||||||||||
Outstanding, beginning of year | 10,587,126 | C$ | 56.6 | 8,959,051 | C$ | 62.88 | 6,762,704 | C$ | 56.94 | ||||||||
Granted | 2,803,000 | 52.13 | 3,257,000 | 36.99 | 2,630,785 | 76.12 | |||||||||||
Exercised | (213,500 | ) | 37.06 | (416,275 | ) | 43.51 | (308,688 | ) | 43.62 | ||||||||
Forfeited | (540,206 | ) | 58.15 | (731,000 | ) | 59.72 | (125,750 | ) | 67.47 | ||||||||
Expired | (1,352,885 | ) | 54.67 | (481,650 | ) | 47.49 | – | – | |||||||||
Outstanding, end of year | 11,283,535 | C$ | 56.02 | 10,587,126 | C$ | 56.6 | 8,959,051 | C$ | 62.88 | ||||||||
Options exercisable at end of year | 7,248,295 | 6,510,464 | 5,178,172 | ||||||||||||||
The following table sets out 2013 activity with respect to Agnico Eagle's non-vested stock options: | |||||||||||||||||
2013 | |||||||||||||||||
Number of | Weighted | ||||||||||||||||
Stock Options | Average Grant | ||||||||||||||||
Date Fair Value | |||||||||||||||||
Non-vested, beginning of year | 4,076,662 | C$13.33 | |||||||||||||||
Granted | 2,803,000 | 11.21 | |||||||||||||||
Vested | (2,661,216 | ) | 12.84 | ||||||||||||||
Forfeited (non-vested) | (183,206 | ) | 11.38 | ||||||||||||||
Non-vested, end of year | 4,035,240 | C$11.44 | |||||||||||||||
Cash received for stock options exercised in 2013 was $8.0 million (2012 – $18.2 million; 2011 – $13.6 million). | |||||||||||||||||
The total intrinsic value of stock options exercised in 2013 was C$3.1 million (2012 – C$3.6 million; 2011 – C$8.0 million). | |||||||||||||||||
The weighted average grant date fair value of stock options granted in 2013 was C$11.21 (2012 – C$8.29; 2011 – C$17.05). The total grant date fair value of stock options vested during 2013 was $34.2 million (2012 – $41.0 million; 2011 – $46.7 million). | |||||||||||||||||
The following table summarizes information about Agnico Eagle's stock options outstanding and exercisable at December 31, 2013: | |||||||||||||||||
Weighted | |||||||||||||||||
Weighted | Weighted | Number | Average | ||||||||||||||
Average | Average | Exercisable | Exercise Price | ||||||||||||||
Number | Remaining | Exercise Price | |||||||||||||||
Outstanding | Contractual Life | Stock Options Exercisable | |||||||||||||||
Range of Exercise Prices | Stock Options Outstanding | ||||||||||||||||
C$33.39 – C$59.71 | 7,341,556 | 2.81 years | C$48.28 | 3,851,056 | C$50.50 | ||||||||||||
C$60.72 – C$83.08 | 3,941,979 | 1.14 years | 70.43 | 3,397,239 | 69.46 | ||||||||||||
C$33.39 – C$83.08 | 11,283,535 | 2.23 years | C$56.02 | 7,248,295 | C$59.39 | ||||||||||||
The weighted average remaining contractual term of stock options exercisable at December 31, 2013 was 1.6 years. | |||||||||||||||||
The Company has reserved for issuance 11,283,535 common shares in the event that these stock options are exercised. | |||||||||||||||||
The number of common shares available for the granting of stock options under the ESOP as at December 31, 2013, December 31, 2012 and December 31, 2011 was 4,807,876, 3,717,785, and 3,262,135, respectively. | |||||||||||||||||
Subsequent to the year ended December 31, 2013, on January 2, 2014, 3,177,500 stock options were granted under the ESOP, of which 794,375 stock options vested immediately. The remaining stock options, all of which expire in 2019, vest in equal installments on each anniversary date of the grant over a three year period. | |||||||||||||||||
Agnico Eagle estimated the fair value of stock options under the Black-Scholes option pricing model using the following weighted average assumptions: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Risk-free interest rate | 1.50% | 1.26% | 1.95% | ||||||||||||||
Expected life of stock options (in years) | 2.6 | 2.8 | 2.5 | ||||||||||||||
Expected volatility of Agnico Eagle's share price | 35.00% | 37.50% | 34.70% | ||||||||||||||
Expected dividend yield | 1.82% | 2.14% | 0.89% | ||||||||||||||
The Company uses historical volatility to estimate the expected volatility of Agnico Eagle's share price. The expected term of stock options granted is derived from historical data on employee exercise and post-vesting employment termination experience. | |||||||||||||||||
The aggregate intrinsic value of stock options outstanding and exercisable at December 31, 2013 was nil. | |||||||||||||||||
The total compensation expense for the ESOP recorded in the general and administrative line item of the consolidated statements of income (loss) and comprehensive income (loss) for 2013 was $26.4 million (2012 – $33.8 million; 2011 – $42.2 million). The total compensation cost related to non- vested stock options not yet recognized is $21.2 million as at December 31, 2013 and the weighted average period over which it is expected to be recognized is 1.7 years. Of the total compensation cost for the ESOP, $3.3 million was capitalized as part of the property, plant and mine development line item of the consolidated balance sheets in 2013 (2012 – $1.3 million; 2011 – $1.4 million). | |||||||||||||||||
(b) | |||||||||||||||||
Incentive Share Purchase Plan | |||||||||||||||||
On June 26, 1997, the Company's shareholders approved an incentive share purchase plan (the "Purchase Plan") to encourage directors, officers and employees ("Participants") to purchase Agnico Eagle's common shares at market value. In 2009, the Purchase Plan was amended to remove non-executive directors as eligible Participants. | |||||||||||||||||
Under the Purchase Plan, Participants may contribute up to 10% of their basic annual salaries and the Company contributes an amount equal to 50% of each Participant's contribution. All common shares subscribed for under the Purchase Plan are issued by the Company. The total compensation cost recognized in 2013 related to the Purchase Plan was $7.8 million (2012 – $7.2 million; 2011 – $6.4 million). | |||||||||||||||||
In 2013, 812,946 common shares were subscribed for under the Purchase Plan (2012 – 507,235; 2011 – 360,833) for a value of $23.4 million (2012 – $21.7 million; 2011 – $19.2 million). In May 2008, the Company's shareholders approved an increase in the maximum number of common shares reserved for issuance under the Purchase Plan to 5,000,000 from 2,500,000. As at December 31, 2013, Agnico Eagle has reserved for issuance 829,907 common shares (2012 – 1,642,853; 2011 – 2,150,088) under the Purchase Plan. | |||||||||||||||||
(c) | |||||||||||||||||
Restricted Share Unit Plan | |||||||||||||||||
In 2009, the Company implemented the RSU plan for certain employees. Effective January 1, 2012, the RSU plan was amended to include directors and senior executives of the Company. | |||||||||||||||||
A deferred compensation balance is recorded for the total grant date value on the date of each RSU plan grant. The deferred compensation balance is recorded as a reduction of shareholders' equity and is amortized as compensation expense over the applicable vesting period. | |||||||||||||||||
In 2013, the Company funded the RSU plan by transferring $19.0 million (2012 – $12.0 million; 2011 – $3.7 million) to an employee benefit trust (the "Trust") that then purchased shares of the Company in the open market. The Trust is funded once per year during the first quarter of each year. For accounting purposes, the Trust is treated as a variable interest entity and consolidated in the accounts of the Company. The common shares purchased and held by the Trust are treated as not outstanding for the basic earnings per share ("EPS") calculations but are included in the basic EPS calculations once they have vested. All of the non-vested common shares held by the Trust are included in the diluted EPS calculations, unless the impact is anti-dilutive. | |||||||||||||||||
Compensation expense related to the RSU plan was $12.1 million in 2013 (2012 – $6.6 million; 2011 – $3.3 million). Compensation expense related to the RSU plan is included as part of the production, general and administrative and exploration and corporate development line items of the consolidated statements of income (loss) and comprehensive income (loss), consistent with the classification of other elements of compensation expense for those employees who held RSUs. | |||||||||||||||||
Subsequent to the year ended December 31, 2013, 293,041 RSUs were granted under the RSU plan which vest in 2017. | |||||||||||||||||
INCOME_AND_MINING_TAXES
INCOME AND MINING TAXES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
INCOME AND MINING TAXES | ' | ||||||||||||
INCOME AND MINING TAXES | ' | ||||||||||||
9. INCOME AND MINING TAXES | |||||||||||||
Income and mining taxes expense (recovery) is comprised of the following geographic components: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Current income and mining taxes: | |||||||||||||
Canada | $ | 7,934 | $ | 8,750 | $ | 62,382 | |||||||
Mexico | 29,968 | 33,531 | 3,496 | ||||||||||
Finland | 14,492 | 9,799 | 222 | ||||||||||
52,394 | 52,080 | 66,100 | |||||||||||
Deferred income and mining taxes: | |||||||||||||
Canada | (95,344 | ) | 26,041 | (341,038 | ) | ||||||||
Mexico | 93,665 | 25,284 | 54,996 | ||||||||||
Finland | (14,871 | ) | 20,820 | 10,269 | |||||||||
(16,550 | ) | 72,145 | (275,773 | ) | |||||||||
Income and mining taxes | $ | 35,844 | $ | 124,225 | $ | (209,673 | ) | ||||||
Cash income and mining taxes paid in 2013 were $56.5 million (2012 – $57.0 million; 2011 – $110.9 million). | |||||||||||||
The income and mining taxes expense (recovery) is different from the amount that would have been calculated by applying the Canadian statutory income tax rate as a result of the following: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Combined federal and composite provincial tax rates | 26.3 | % | 26.3 | % | 27.8 | % | |||||||
Increase (decrease) in tax rates resulting from: | |||||||||||||
Provincial mining duties | 1.4 | 3.6 | 5.9 | ||||||||||
Tax law changes | (13.6 | ) | – | (2.7 | ) | ||||||||
Impact of foreign tax rates | 2.4 | (1.5 | ) | (0.2 | ) | ||||||||
Permanent differences | (25.1 | ) | 1 | (1.6 | ) | ||||||||
Valuation allowances | (0.9 | ) | 1.2 | (0.3 | ) | ||||||||
Impact of changes in income tax rates | (0.2 | ) | (2.1 | ) | (2.0 | ) | |||||||
Actual rate as a percentage of pre-tax income | (9.7 | )% | 28.5 | % | 26.9 | % | |||||||
The following table sets out the components of Agnico Eagle's deferred income and mining tax liabilities (assets): | |||||||||||||
Liabilities (Assets) | |||||||||||||
as at December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
Mining properties | $ | 808,449 | $ | 761,508 | |||||||||
Net operating and capital loss carryforwards | (129,019 | ) | (102,005 | ) | |||||||||
Mining duties | (68,728 | ) | (36,158 | ) | |||||||||
Reclamation provisions | (44,242 | ) | (42,688 | ) | |||||||||
Valuation allowance | 26,860 | 30,570 | |||||||||||
Deferred income and mining tax liabilities | $ | 593,320 | $ | 611,227 | |||||||||
All of Agnico Eagle's deferred income and mining tax assets and liabilities are denominated in the local currency based on the jurisdiction in which the Company paid taxes, except for Canada, and were translated into US dollars using the exchange rate in effect at the applicable consolidated balance sheet dates. For Canadian income tax purposes, for December 31, 2008 and subsequent years, the Company elected to use the US dollar as its functional currency. | |||||||||||||
The Company operates in different jurisdictions and, accordingly, it is subject to income and other taxes under the various tax regimes in the countries in which it operates. The tax rules and regulations in many countries are highly complex and subject to interpretation. The Company may be subject in the future to a review of its historic income and other tax filings and in connection with such reviews, disputes can arise with the taxing authorities over the interpretation or application of certain tax rules and regulations to the Company's business conducted within the country involved. | |||||||||||||
A reconciliation of the beginning and ending amounts of the unrecognized tax benefits is set out below: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Unrecognized tax benefits, beginning of year | $ | 10,867 | $ | 1,200 | $ | 1,630 | |||||||
Additions (reductions) | – | 9,667 | (430 | ) | |||||||||
Unrecognized tax benefit, end of year | $ | 10,867 | $ | 10,867 | $ | 1,200 | |||||||
The full amount of unrecognized tax benefits, if recognized, would reduce the Company's annual effective tax rate. The Company does not expect its unrecognized tax benefits to change significantly over the next year. | |||||||||||||
The Company is subject to taxes in Canada, Mexico and Finland, each with varying statutes of limitations. The 2007 through 2013 taxation years generally remain subject to examination. | |||||||||||||
ACQUISITIONS
ACQUISITIONS | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
ACQUISITIONS | ' | |||||||
ACQUISITIONS | ' | |||||||
10. ACQUISITIONS | ||||||||
Urastar Gold Corporation | ||||||||
On May 16, 2013, the Company completed the acquisition of all of the issued and outstanding common shares of Urastar Gold Corporation ("Urastar") pursuant to a court-approved plan of arrangement under the Business Corporations Act (British Columbia) for cash consideration of $10.1 million. The Urastar acquisition was accounted for as a business combination and goodwill of $9.8 million was recognized on the Company's consolidated balance sheets. | ||||||||
The transaction costs associated with the acquisition totaling $0.7 million were expensed through the general and administrative line item of the consolidated statements of income (loss) and comprehensive income (loss) during the year ended December 31, 2013. | ||||||||
The following table sets out the allocation of the purchase price to assets acquired and liabilities assumed, based on management's estimates of fair value: | ||||||||
Total purchase price: | ||||||||
Cash paid for acquisition | $ | 10,127 | ||||||
Fair value of assets acquired and liabilities assumed: | ||||||||
Mining properties | $ | 1,994 | ||||||
Goodwill | 9,802 | |||||||
Cash and cash equivalents | 76 | |||||||
Trade receivables | 731 | |||||||
Other current assets | 12 | |||||||
Plant and equipment | 2 | |||||||
Accounts payable and accrued liabilities | (791 | ) | ||||||
Other liabilities | (1,573 | ) | ||||||
Deferred tax liability | (126 | ) | ||||||
Net assets acquired | $ | 10,127 | ||||||
The Company believes that goodwill for the Urastar acquisition arose principally because of the following factors: (1) the going concern value implicit in the Company's ability to sustain and/or grow its business by increasing mineral reserves and mineral resources through new discoveries; and (2) the requirement to record a deferred tax liability for the difference between the assigned values and the tax bases of assets acquired and liabilities assumed in a business combination at amounts that do not reflect fair value. | ||||||||
Pro forma results of operations for the Company assuming the acquisition of Urastar described above had occurred as of January 1, 2012 are detailed below. On a pro forma basis, there would have been no effect on the Company's consolidated revenues. | ||||||||
Year Ended | Year Ended | |||||||
December 31, | December 31, | |||||||
2013 | 2012 | |||||||
Unaudited | ||||||||
Pro forma net income (loss) for the period | $ | (409,020 | ) | $ | 307,274 | |||
Pro forma net income (loss) per share – basic | $ | (2.37 | ) | $ | 1.79 | |||
Grayd Resource Corporation | ||||||||
In September 2011, Agnico Eagle entered into an acquisition agreement with Grayd, a Canadian-based natural resource company listed on the TSX Venture Exchange, pursuant to which the Company agreed to make an offer to acquire all of the issued and outstanding common shares of Grayd. On October 13, 2011, the Company made the offer by way of a take-over bid circular, as amended and supplemented on October 21, 2011. | ||||||||
On November 18, 2011, Agnico Eagle acquired 94.77% of the outstanding shares of Grayd on a fully-diluted basis, under the take-over bid. The November 18, 2011 purchase price of $222.1 million was comprised of $166.0 million in cash and 1,250,477 Agnico Eagle common shares issued from treasury. | ||||||||
Transaction costs associated with the acquisition totalling $3.8 million were expensed through the interest and sundry expense (income) line item of the consolidated statements of income (loss) and comprehensive income (loss) during the fourth quarter of 2011. The Company has accounted for the purchase of Grayd as a business combination. | ||||||||
The following table sets out the allocation of the purchase price to assets acquired and liabilities assumed, based on management's estimates of fair value. | ||||||||
Total purchase price: | ||||||||
Cash paid for acquisition | $ | 165,954 | ||||||
Agnico Eagle common shares issued for acquisition | 56,146 | |||||||
Total purchase price to allocate | $ | 222,100 | ||||||
Fair value of assets acquired and liabilities assumed: | ||||||||
Mining properties | $ | 282,000 | ||||||
Goodwill | 29,215 | |||||||
Cash and cash equivalents | 2,907 | |||||||
Trade receivables | 469 | |||||||
Other current assets | 1,700 | |||||||
Equipment | 56 | |||||||
Accounts payable and accrued liabilities | (9,767 | ) | ||||||
Deferred tax liability | (72,229 | ) | ||||||
Non-controlling interest | (12,251 | ) | ||||||
Net assets acquired | $ | 222,100 | ||||||
The Company believes that goodwill for the Grayd acquisition arose principally because of the following factors: (1) the going concern value implicit in the Company's ability to sustain and/or grow its business by increasing mineral reserves and mineral resources through new discoveries; and (2) the requirement to record a deferred tax liability for the difference between the assigned values and the tax bases of assets acquired and liabilities assumed in a business combination at amounts that do not reflect fair value. | ||||||||
Pro forma results of operations for Agnico Eagle assuming the acquisition of Grayd described above had occurred as of January 1, 2011 are set out below. On a pro forma basis, there would have been no effect on Agnico Eagle's consolidated revenues: | ||||||||
Year Ended December 31, 2011 | ||||||||
Unaudited | ||||||||
Pro forma net loss attributed to common shareholders | $ | (582,762 | ) | |||||
Pro forma net loss per share – basic | $ | (3.42 | ) | |||||
On January 23, 2012, the Company acquired the remaining outstanding shares of Grayd it did not already own, pursuant to a previously announced compulsory acquisition carried out under the provisions of the Business Corporations Act (British Columbia). The January 23, 2012 purchase price of $11.8 million was comprised of $9.3 million in cash and 68,941 newly issued Agnico Eagle common shares. | ||||||||
Summit Gold Project | ||||||||
On December 20, 2011, the Company completed the acquisition of 100% of the Summit Gold project from Columbus Gold Corporation, subject to a 2% net smelter returns mineral production royalty reserved by Cordilleran Exploration Company. The Nevada based project's purchase price of $8.5 million, including transaction costs, was comprised entirely of cash. This transaction was accounted for as an asset acquisition. | ||||||||
ACCOUNTS_PAYABLE_AND_ACCRUED_L
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | ' | |||||||
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | ' | |||||||
11. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | ||||||||
As at December 31, | ||||||||
2013 | 2012 | |||||||
Trade payables | $ | 80,242 | $ | 89,289 | ||||
Wages payable | 35,881 | 35,752 | ||||||
Accrued liabilities | 16,366 | 27,372 | ||||||
Other liabilities | 40,885 | 32,916 | ||||||
$ | 173,374 | $ | 185,329 | |||||
In 2013 and 2012, the other liabilities balance consisted primarily of various employee payroll tax withholdings and other payroll taxes. | ||||||||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||
Dec. 31, 2013 | |||
COMMITMENTS AND CONTINGENCIES | ' | ||
COMMITMENTS AND CONTINGENCIES | ' | ||
12. COMMITMENTS AND CONTINGENCIES | |||
As part of its ongoing business and operations, the Company has been required to provide assurance in the form of letters of credit for environmental and site restoration costs, custom credits, government grants and other general corporate purposes. As at December 31, 2013, the total amount of these guarantees was $174.3 million. | |||
Certain of the Company's properties are subject to royalty arrangements. The following are the most significant royalty arrangements: | |||
The Company has a royalty agreement with the Finnish government relating to the Kittila mine. Starting 12 months after Kittila mine operations commenced, the Company is required to pay 2.0% on net smelter returns, defined as revenue less processing costs. The royalty is paid on a yearly basis the following year. | |||
The Company is committed to pay a royalty on production from certain properties in the Abitibi area. The type of royalty agreements include, but are not limited to, net profits interest royalties and net smelter return royalties, with percentages ranging from 2.5% to 5.0%. | |||
The Company is committed to pay a royalty on production from certain properties in the Pinos Altos mine area. The type of royalty agreements include, but are not limited to, net profits interest royalties and net smelter return royalties, with percentages ranging from 2.5% to 3.5%. | |||
The Company regularly enters into various earn-in and shareholder agreements, often with commitments to pay net smelter return and other royalties. | |||
The Company had the following purchase commitments as at December 31, 2013: | |||
Purchase | |||
Commitments | |||
2014 | $13,023 | ||
2015 | 8,373 | ||
2016 | 5,832 | ||
2017 | 4,290 | ||
2018 | 4,290 | ||
Thereafter | 7,272 | ||
Total | $43,080 | ||
LEASES
LEASES | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
LEASES | ' | |||||
LEASES | ' | |||||
13. LEASES | ||||||
(a) | ||||||
Capital leases | ||||||
The Company has entered into sale-leaseback agreements with third parties for various fixed and mobile equipment within Canada. These arrangements represent sale-leaseback transactions in accordance with ASC 840-40 – Sale-Leaseback Transactions. The sale-leaseback agreements have an average effective annual interest rate of 5.9% and the average length of the contracts is 4.7 years. | ||||||
All of the sale-leaseback agreements have end of lease clauses that qualify as bargain purchase options that the Company expects to execute. As at December 31, 2013, the total gross amount of assets recorded under sale-leaseback capital leases amounted to $37.6 million (2012 – $33.9 million). | ||||||
The Company has agreements with third party providers of mobile equipment that are used at the Meadowbank mine. These arrangements represent capital leases in accordance with the guidance in ASC 840-30 – Capital Leases. The leases for mobile equipment at the Meadowbank mine are for five years and the effective annual interest rate on these leases is 5.5%. | ||||||
The following is a schedule of future minimum lease payments under capital leases together with the present value of the net minimum lease payments as at December 31, 2013: | ||||||
Minimum | ||||||
Capital Lease | ||||||
Payments | ||||||
2014 | $12,776 | |||||
2015 | 5,678 | |||||
2016 | 2,268 | |||||
2017 | 2,268 | |||||
2018 | 2,268 | |||||
Thereafter | – | |||||
Total minimum lease payments | 25,258 | |||||
Less amount representing interest | 1,380 | |||||
Present value of net minimum lease payments | $23,878 | |||||
The Company's capital lease obligations are comprised of the following: | ||||||
As at December 31, | ||||||
2013 | 2012 | |||||
Total future lease payments | $25,258 | $ | 26,668 | |||
Less: interest | 1,380 | 1,605 | ||||
23,878 | 25,063 | |||||
Less: current portion | 12,035 | 12,955 | ||||
Long-term portion of capital lease obligations | $11,843 | $ | 12,108 | |||
At December 31, 2013, the gross amount of assets recorded under capital leases, including sale-leaseback capital leases was $51.8 million (2012 – $51.0 million; 2011 – $56.9 million). The charge to income resulting from the amortization of assets recorded under capital leases is included in the amortization of property, plant and mine development line item of the consolidated statements of income (loss) and comprehensive income (loss). | ||||||
(b) | ||||||
Operating leases | ||||||
The Company has a number of operating lease agreements involving office space. Some of the leases for office facilities contain escalation clauses for increases in operating costs and property taxes. Future minimum lease payments required to meet obligations that have initial or remaining non-cancellable lease terms in excess of one year as at December 31, 2013 are as follows: | ||||||
Minimum Operating | ||||||
Lease Payments | ||||||
2014 | $1,783 | |||||
2015 | 1,032 | |||||
2016 | 822 | |||||
2017 | 816 | |||||
2018 | 836 | |||||
Thereafter | 2,470 | |||||
Total | $7,759 | |||||
The portion of operating leases relating to rental expense was $1.6 million in 2013 (2012 – $1.1 million; 2011 – $0.9 million). | ||||||
RESTRICTED_CASH
RESTRICTED CASH | 12 Months Ended |
Dec. 31, 2013 | |
RESTRICTED CASH | ' |
RESTRICTED CASH | ' |
14. RESTRICTED CASH | |
As part of the Company's insurance programs fronted by a third party provider and reinsured through the Company's internal insurance program, the third party provider requires that cash of $6.9 million be restricted as at December 31, 2013 (December 31, 2012 – $4.7 million). | |
As part of the Company's tax planning, $32.0 million was contributed to a qualified environmental trust ("QET") in December 2011 to fulfill the requirement of financial security for costs related to the environmental remediation of the Goldex mine. During the year ended December 31, 2013, $2.8 million (2012 – $12.0 million) was withdrawn from the QET to fund the environmental remediation expenditures. As at December 31, 2013, $16.8 million (December 31, 2012 – $20.7 million) remained in the QET. | |
On December 30, 2013, the Company deposited $5.0 million into a restricted account in connection with a Subscription Agreement to acquire 5,000 shares of Tocqueville Bullion Reserve, Ltd. at a price of $1,000 per share. The acquisition was completed subsequent to year end on January 2, 2014. | |
FINANCIAL_INSTRUMENTS
FINANCIAL INSTRUMENTS | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
FINANCIAL INSTRUMENTS | ' | ||||||||
FINANCIAL INSTRUMENTS | ' | ||||||||
15. FINANCIAL INSTRUMENTS | |||||||||
From time to time, Agnico Eagle has entered into financial instruments with financial institutions in order to hedge underlying cash flow and fair value exposure arising from changes in commodity prices, interest rates, equity prices or foreign currency exchange rates. | |||||||||
Currency risk management | |||||||||
In 2013 and 2012, financial instruments that subjected Agnico Eagle to market risk and concentration of credit risk consisted primarily of cash and cash equivalents and short-term investments. Agnico Eagle places its cash and cash equivalents and short-term investments in high quality securities issued by government agencies, financial institutions and major corporations and limits the amount of credit exposure by diversifying its holdings. | |||||||||
Agnico Eagle generates almost all of its revenues in US dollars. The Company's Canadian operations, which include the LaRonde, Goldex, Lapa and Meadowbank mines and the Meliadine project have Canadian dollar requirements for capital, operating and exploration expenditures. | |||||||||
The Company uses foreign exchange hedges to reduce the variability in expected future cash flows arising from changes in foreign currency exchange rates. The hedged items represent a portion of the Canadian dollar denominated cash outflows arising from Canadian dollar denominated expenditures in 2013. | |||||||||
As at December 31, 2013, the Company had outstanding foreign exchange zero cost collars with a cash flow hedging relationship that did qualify for hedge accounting under ASC 815 – Derivatives and Hedging. The purchase of US dollar put options was financed through selling US dollar call options at a higher level such that the net premium payable to the different counterparties by the Company was nil. At December 31, 2013, the zero cost collars hedged $60.0 million of 2014 expenditures and the Company recognized mark-to-market adjustments in accumulated other comprehensive loss. | |||||||||
Amounts deferred in accumulated other comprehensive loss are reclassified to the production costs line item on the consolidated statements of income (loss) and comprehensive income (loss), as applicable, when the hedged transaction has occurred. Mark-to-market gains (losses) related to foreign exchange derivative financial instruments are recorded at fair value based on broker- dealer quotations that utilize period end forward pricing of the currency hedged. | |||||||||
The Company's other foreign currency derivative strategies in 2013 consisted mainly of writing US dollar call options with short maturities to generate premiums that would, in essence, enhance the spot transaction rate received when exchanging US dollars to Canadian dollars. All of these derivative transactions expired prior to year end such that no derivatives were outstanding as at December 31, 2013. The call option premiums were recognized in the loss (gain) on derivative financial instruments line item of the consolidated statements of income (loss) and comprehensive income (loss). | |||||||||
Commodity price risk management | |||||||||
The Company uses intra-quarter zinc, copper and silver derivative financial instruments associated with the timing of sales of the related products that were recognized in the (gain) loss on derivative financial instruments line item of the consolidated statements of income (loss) and comprehensive income (loss). There were no zinc, copper or silver intra-quarter derivative financial instruments outstanding at December 31, 2013 or December 31, 2012. | |||||||||
To mitigate the risks associated with fluctuating diesel fuel prices, the Company uses derivative financial instrument contracts to hedge the price on a portion of diesel fuel costs associated with the Meadowbank mine's diesel fuel exposure as it relates to operating costs. Financial contracts that expired in 2013 and totaled 10.5 million gallons of heating oil were entered into at an average price of $2.99 per gallon, which is approximately 55.0% of the Meadowbank mine's expected 2013 diesel fuel operating costs. These contracts did qualify for hedge accounting and the related market-to-market adjustments prior to settlement were recognized in accumulated other comprehensive loss. All heating oil derivative financial instrument contracts settled in 2013. | |||||||||
Amounts deferred in accumulated other comprehensive loss are reclassified to the production costs line item on the consolidated statements of income (loss) and comprehensive income (loss), as applicable, when the derivative financial instrument has settled. Mark-to-market gains (losses) related to heating oil derivative financial instruments are based on broker-dealer quotations that utilize period end forward pricing to calculate fair value. | |||||||||
As at December 31, 2013 and 2012, there were no metal derivative positions. The Company may from time to time utilize short-term (including intra-quarter) financial instruments as part of its strategy to minimize risks and optimize returns on its byproduct metal sales. | |||||||||
Other required derivative disclosures can be found in note 7(d), accumulated other comprehensive loss. | |||||||||
The following table provides a summary of the amounts recognized in the (gain) loss on derivative financial instruments line item of the consolidated statements of income (loss) and comprehensive income (loss): | |||||||||
Year Ended December 31, | |||||||||
2013 | 2012 | 2011 | |||||||
Premiums realized on written foreign exchange call options | $3,375 | $1,505 | $4,995 | ||||||
Realized loss on foreign exchange forwards | – | – | (1,407 | ) | |||||
Realized gain on zinc derivative financial instruments | 60 | 430 | 3,419 | ||||||
Realized gain on copper derivative financial instruments | – | 63 | 79 | ||||||
Realized loss on silver derivative financial instruments | – | – | (3,403 | ) | |||||
Mark-to-market gain on derivative equity contracts(i) | 1,389 | – | – | ||||||
Mark-to-market loss on warrants(i) | (488 | ) | (1,294 | ) | – | ||||
Realized loss on warrants | (2,827 | ) | – | – | |||||
Realized loss on heating oil derivative financial instruments | – | (1,523 | ) | – | |||||
Gain (loss) on derivative financial instruments | $1,509 | $(819 | ) | $3,683 | |||||
Note: | |||||||||
(i) | |||||||||
Mark-to-market gains and losses on financial instruments that did not qualify for hedge accounting are recognized through the (gain) loss on derivative financial instruments line item of the consolidated statements of income (loss) and comprehensive income (loss) and through the other line item of the consolidated statements of cash flow. | |||||||||
Agnico Eagle's exposure to interest rate risk at December 31, 2013 relates to its cash and cash equivalents, short-term investments and restricted cash totaling $170.0 million (2012 – $332.0 million) and the Credit Facility. The Company's short-term investments and cash equivalents have a fixed weighted average interest rate of 0.53% (2012 – 0.47%). | |||||||||
The fair values of Agnico Eagle's current financial assets and liabilities approximate their carrying values as at December 31, 2013. | |||||||||
GENERAL_AND_ADMINISTRATIVE
GENERAL AND ADMINISTRATIVE | 12 Months Ended |
Dec. 31, 2013 | |
GENERAL AND ADMINISTRATIVE | ' |
GENERAL AND ADMINISTRATIVE | ' |
16. GENERAL AND ADMINISTRATIVE | |
As a result of a kitchen fire at the Meadowbank mine in March 2011, the Company recognized a loss on disposal of the kitchen of $6.9 million, incurred related costs of $7.4 million and recognized an insurance receivable of $11.2 million. The difference of $3.1 million was recognized in the general and administrative line item of the consolidated statements of income (loss) and comprehensive income (loss) in the first quarter of 2011. | |
During the subsequent months of 2011, the Company received $2.4 million of insurance proceeds and had a remaining insurance receivable of $8.8 million recorded in the other current assets line item of the consolidated balance sheets as at December 31, 2011. During the year ended December 31, 2012, the Company received $2.2 million of insurance proceeds and had a remaining insurance receivable of $6.6 million as at December 31, 2012. During the year ended December 31, 2013, the Company received $5.2 million of insurance proceeds and had a remaining insurance receivable of $0.7 million as at December 31, 2013. | |
LOSS_ON_GOLDEX_MINE
LOSS ON GOLDEX MINE | 12 Months Ended | |||
Dec. 31, 2013 | ||||
LOSS ON GOLDEX MINE | ' | |||
LOSS ON GOLDEX MINE | ' | |||
17. LOSS ON GOLDEX MINE | ||||
On October 19, 2011, the Company announced that it was suspending mining operations and gold production at the Goldex mine in Quebec, Canada, effective immediately. This decision followed the receipt of an opinion from a second rock mechanics consulting firm which recommended that underground mining operations be halted. It appeared that a weak volcanic rock unit in the hanging wall above the GEZ of the Goldex mine deposit had failed. This rock failure was thought to extend between the top of the deposit and surface. As a result, this structure allowed an increase in ground water to flow into the mine. | ||||
As at September 30, 2011, Agnico Eagle had written off its investment in the Goldex mine (net of expected residual value), written off the underground ore stockpile and recorded a provision for the anticipated costs of environmental remediation. Given the amount of uncertainty in estimating the fair value of the Goldex mine property, plant, and mine development, the Company determined that the fair value was equal to the residual value. All of the remaining 1.6 million ounces of proven and probable mineral reserves at the Goldex mine, other than the ore stockpiled on surface, were reclassified as mineral resources effective September 30, 2011. | ||||
The mill processed feed from the remaining surface stockpile at the Goldex mine in October 2011. | ||||
Impairment loss on Goldex mine property, plant, and mine development | $ | 237,110 | ||
Loss on underground ore stockpile | 16,641 | |||
Supplies inventory obsolescence provision | 1,915 | |||
Increase in environmental remediation liability | 47,227 | |||
Loss on Goldex mine (before income and mining taxes) for the year ended December 31, 2011 | $ | 302,893 | ||
The environmental remediation liability for the anticipated costs of remediation associated with the suspension of operations at the Goldex mine has required management to make estimates and judgments that affect the reported amount. In making judgments in accordance with US GAAP, the Company uses estimates based on historical experience and various assumptions that are considered reasonable in the circumstances. Actual results may differ from these estimates. | ||||
In July 2012, the Company's Board approved the development of the M and E Zones at the Goldex mine. The operations in the GEZ remain suspended indefinitely. | ||||
IMPAIRMENT_LOSS
IMPAIRMENT LOSS | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
IMPAIRMENT LOSS | ' | |||||||||||
IMPAIRMENT LOSS | ' | |||||||||||
18. IMPAIRMENT LOSS | ||||||||||||
As at December 31, 2013 | ||||||||||||
As at December 31, 2013, the Company identified the continued decline in the market price of gold as an indicator of potential impairment for the Company's long-lived assets and goodwill. As a result of the identification of this indicator, the Company evaluated its long-lived assets and goodwill for impairment on an asset group and reporting unit basis, respectively, using updated assumptions and estimates. | ||||||||||||
The following impairment losses were recorded as at December 31, 2013 as a result of the impairment evaluation: | ||||||||||||
As at December 31, 2013 | ||||||||||||
Pre-impairment | Impairment | Post-impairment | Impairment Loss | |||||||||
Carrying Value | Loss | Carrying Value | (net of tax) | |||||||||
Property, plant and mine development: | ||||||||||||
Meadowbank mine | $732,499 | $(269,269 | ) | $463,230 | $(194,511 | ) | ||||||
Lapa mine | 136,766 | (67,894 | ) | 68,872 | (41,687 | ) | ||||||
$869,265 | $(337,163 | ) | $532,102 | $(236,198 | ) | |||||||
Goodwill: | ||||||||||||
Meliadine project | $200,064 | $(200,064 | ) | $– | $(200,064 | ) | ||||||
$(537,227 | ) | $(436,262 | ) | |||||||||
Estimated fair values for the Meadowbank mine and Lapa mine were calculated by discounting the estimated future net cash flows using discount rates of 6.5% and 5.5% (in nominal terms), respectively, commensurate with their individual estimated levels of risk. These calculations were based on estimates of future production levels applying gold prices of $1,238 to $1,300 per ounce (in real terms), foreign exchange rates of US$0.90:C$1.00 to US$0.93:C$1.00, inflation rates of 2.0% and capital, operating and reclamation costs based on updated life-of-mine plans. Average gold recovery rates applied were 92.3% and 78.3% for the Meadowbank mine and Lapa mine, respectively. | ||||||||||||
Estimated after-tax discounted future net cash flows of reporting units with goodwill were calculated as at December 31, 2013. These calculations were based on estimates of future production levels applying long-term gold prices of $1,238 to $1,300 per ounce (in real terms), foreign exchange rates of US$0.90:C$1.00 to US$0.93:C$1.00, inflation rates of 2.0% and capital, operating and reclamation costs based on updated life-of-mine plans. The average gold recovery rate applied to the Meliadine project was 95.1%. A discount rate of 8.0% was used to calculate the estimated after-tax discounted future net cash flows of the Meliadine project reporting unit, commensurate with its individual estimated level of risk. | ||||||||||||
Discount rates were based on each asset group's weighted average cost of capital, of which the two main components are the cost of equity and the after-tax cost of debt. Cost of equity was calculated based on the capital asset pricing model, incorporating the risk-free rate of return based on Government of Canada marketable bond yields as at the valuation date, the Company's beta coefficient adjustment to the market equity risk premium based on the volatility of the Company's return in relation to that of a comparable market portfolio, plus a size premium and Company-specific risk factor. Cost of debt was determined by applying an appropriate market indication of the Company's borrowing capabilities and the corporate income tax rate applicable to each asset group's jurisdiction. | ||||||||||||
Management's estimate of future net cash flows is subject to risk and uncertainties. Therefore, it is reasonably possible that changes could occur which may affect the recoverability of the Company's long-lived assets and goodwill. This may have a material effect on the Company's consolidated financial statements. | ||||||||||||
As at December 31, 2011 | ||||||||||||
As at December 31, 2011, the Company performed a full review of the Meadowbank mine operations and updated the related life-of-mine plan. This review considered the exploration potential of the area, the mineral reserves and resources, the projected operating costs in light of the persistently high operating costs experienced since commencement of commercial operations, metallurgical performance and gold price. These served as inputs into pit optimizations to determine which reserves and resources could be economically mined and be considered as mineable mineral reserves. As a result of these factors, an updated mine plan with a shorter mine life was developed and cash flows calculated, resulting in the following impairment losses being recorded as at December 31, 2011: | ||||||||||||
As at December 31, 2011 | ||||||||||||
Pre-impairment | Impairment | Post-impairment | Impairment Loss | |||||||||
Carrying Value | Loss | Carrying Value | (net of tax) | |||||||||
Property, plant and mine development: | ||||||||||||
Meadowbank mine | $1,670,838 | $(907,681 | ) | $763,157 | $(644,903 | ) | ||||||
The estimated fair value of the Meadowbank mine was calculated as at December 31, 2011 by discounting the estimated future net cash flows using a 7.0% discount rate (in nominal terms), commensurate with the estimated level of risk. This calculation was based on estimates of future gold production applying long-term gold prices of $1,250 to $1,553 per ounce (in real terms), foreign exchange rates of US$0.92:C$1.00 to US$0.97:C$1.00, an inflation rate of 2.0%, increased cost estimates based on revised operating levels and an average gold recovery of 92.9%. Future expected operating costs, capital expenditures and asset retirement obligations were based on the updated life-of-mine plan. | ||||||||||||
Management's estimate of future cash flows is subject to risk and uncertainties. Therefore, it is reasonably possible that changes could occur which may affect the recoverability of the Company's long-lived assets and may have a material effect on the Company's consolidated financial statements. | ||||||||||||
SEGMENTED_INFORMATION
SEGMENTED INFORMATION | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
SEGMENTED INFORMATION | ' | ||||||||||||||||||
SEGMENTED INFORMATION | ' | ||||||||||||||||||
19. SEGMENTED INFORMATION | |||||||||||||||||||
Agnico Eagle operates in a single industry, namely exploration for and production of gold. The Company's primary operations are in Canada, Mexico and Finland. The Company identifies its reportable segments as those operations whose operating results are reviewed by the Chief Executive Officer and that represent more than 10% of the combined revenue, profit or loss or total assets of all operating segments. Each of the Company's significant operating mines and projects are considered to be separate segments. Certain operating segments that do not meet the quantitative thresholds are still disclosed when the Company believes that the information is useful. Segment results for 2012 and 2011 have been retrospectively revised to reflect organizational changes in 2013 that created three business units consisting of the Northern business unit, the Southern business unit, and the Exploration business unit. However, under this revised organizational structure the Chief Executive Officer also reviews segment income (defined as revenues from mining operations less production costs, exploration and corporate development and impairment losses) on a mine-by-mine basis. The following are the Company's reportable segments organized according to their relationship with the Company's three business units and reflect how the Company manages its business and how it classifies its operations for planning and measuring performance: | |||||||||||||||||||
Northern Business: | LaRonde mine, Lapa mine, Goldex mine, Meadowbank mine, Meliadine project and Kittila mine | ||||||||||||||||||
Southern Business: | Pinos Altos mine, Creston Mascota deposit at Pinos Altos and La India project | ||||||||||||||||||
Exploration: | United States Exploration office, Europe Exploration office, Canada Exploration offices and Latin America Exploration office | ||||||||||||||||||
The accounting policies of the reportable segments are the same as those described in the accounting policies note. There are no transactions between the reportable segments affecting revenue. Production costs for the reportable segments are net of intercompany transactions. | |||||||||||||||||||
Corporate and other (including Urastar) assets and specific income and expense items are set out separately below. | |||||||||||||||||||
The Creston Mascota deposit at Pinos Altos achieved commercial production on March 1, 2011. The LaRonde mine extension achieved commercial production on December 1, 2011. The Goldex mine achieved commercial production on October 1, 2013. | |||||||||||||||||||
Year ended | Revenues | Production | Exploration | Impairment | Segment | ||||||||||||||
December 31, 2013 | from Mining | Costs | and Corporate | Loss | Income | ||||||||||||||
Operations | Development | (Loss) | |||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 329,900 | $ | (229,911 | ) | $ | — | $ | — | $ | 99,989 | ||||||||
Lapa mine | 141,167 | (69,532 | ) | — | (67,894 | ) | 3,741 | ||||||||||||
Goldex mine | 21,418 | (13,172 | ) | — | — | 8,246 | |||||||||||||
Meadowbank mine | 591,473 | (363,894 | ) | — | (269,269 | ) | (41,690 | ) | |||||||||||
Meliadine project | — | — | — | (200,064 | ) | (200,064 | ) | ||||||||||||
Kittila mine | 209,723 | (98,446 | ) | — | — | 111,277 | |||||||||||||
Total Northern Business | $ | 1,293,681 | $ | (774,955 | ) | $ | — | $ | (537,227 | ) | $ | (18,501 | ) | ||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 303,203 | $ | (130,129 | ) | $ | — | $ | — | $ | 173,074 | ||||||||
Creston Mascota deposit at Pinos Altos | 41,522 | (19,843 | ) | — | — | 21,679 | |||||||||||||
Total Southern Business | $ | 344,725 | $ | (149,972 | ) | $ | — | $ | — | $ | 194,753 | ||||||||
Exploration | $ | — | $ | — | $ | (44,236 | ) | $ | — | $ | (44,236 | ) | |||||||
Segment income (loss) | $ | 1,638,406 | $ | (924,927 | ) | $ | (44,236 | ) | $ | (537,227 | ) | $ | 132,016 | ||||||
Segment income | $ | 132,016 | |||||||||||||||||
Corporate and other: | |||||||||||||||||||
Foreign currency translation gain | 7,188 | ||||||||||||||||||
Amortization of property, plant and mine development | (296,078 | ) | |||||||||||||||||
Interest and sundry expense | (8,824 | ) | |||||||||||||||||
Gain on sale of available-for-sale securities | 74 | ||||||||||||||||||
Gain on derivative financial instruments | 1,509 | ||||||||||||||||||
General and administrative | (115,800 | ) | |||||||||||||||||
Impairment loss on available-for-sale securities | (34,272 | ) | |||||||||||||||||
Provincial capital tax | 1,504 | ||||||||||||||||||
Interest expense | (57,999 | ) | |||||||||||||||||
Loss before income and mining taxes | $ | (370,682 | ) | ||||||||||||||||
Year ended | Revenues | Production | Exploration | Segment | |||||||||||||||
December 31, 2012 | from Mining | Costs | and Corporate | Income | |||||||||||||||
Operations | Development | (Loss) | |||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 399,243 | $ | (225,647 | ) | $ | — | $ | 173,596 | ||||||||||
Lapa mine | 173,753 | (73,376 | ) | — | 100,377 | ||||||||||||||
Goldex mine | — | — | (37,627 | ) | (37,627 | ) | |||||||||||||
Meadowbank mine | 609,625 | (347,710 | ) | — | 261,915 | ||||||||||||||
Kittila mine | 284,429 | (98,037 | ) | — | 186,392 | ||||||||||||||
Total Northern Business | $ | 1,467,050 | $ | (744,770 | ) | $ | (37,627 | ) | $ | 684,653 | |||||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 363,113 | $ | (128,618 | ) | $ | — | $ | 234,495 | ||||||||||
Creston Mascota deposit at Pinos Altos | 87,551 | (24,324 | ) | — | 63,227 | ||||||||||||||
Total Southern Business | $ | 450,664 | $ | (152,942 | ) | $ | — | $ | 297,722 | ||||||||||
Exploration | $ | — | $ | — | $ | (71,873 | ) | $ | (71,873 | ) | |||||||||
Segment income (loss) | $ | 1,917,714 | $ | (897,712 | ) | $ | (109,500 | ) | $ | 910,502 | |||||||||
Segment income | $ | 910,502 | |||||||||||||||||
Corporate and other: | |||||||||||||||||||
Foreign currency translation loss | (16,320 | ) | |||||||||||||||||
Amortization of property, plant and mine development | (271,861 | ) | |||||||||||||||||
Interest and sundry expense | (2,389 | ) | |||||||||||||||||
Gain on sale of available-for-sale securities | 9,733 | ||||||||||||||||||
Loss on derivative financial instruments | (819 | ) | |||||||||||||||||
General and administrative | (119,085 | ) | |||||||||||||||||
Impairment loss on available-for-sale securities | (12,732 | ) | |||||||||||||||||
Provincial capital tax | (4,001 | ) | |||||||||||||||||
Interest expense | (57,887 | ) | |||||||||||||||||
Income before income and mining taxes | $ | 435,141 | |||||||||||||||||
Year ended | Revenues | Production | Exploration | Loss on | Impairment | Segment | |||||||||||||
December 31, 2011 | from Mining | Costs | and Corporate | Goldex | Loss | (Loss) | |||||||||||||
Operations | Development | Mine | Income | ||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 398,609 | $ | (209,947 | ) | $ | — | $ | — | $ | — | $ | 188,662 | ||||||
Lapa mine | 167,536 | (68,599 | ) | — | — | — | 98,937 | ||||||||||||
Goldex mine | 217,662 | (56,939 | ) | — | (302,893 | ) | — | (142,170 | ) | ||||||||||
Meadowbank mine | 434,051 | (284,502 | ) | — | — | (907,681 | ) | (758,132 | ) | ||||||||||
Kittila mine | 225,612 | (110,477 | ) | — | — | — | 115,135 | ||||||||||||
Total Northern Business | $ | 1,443,470 | $ | (730,464 | ) | $ | — | $ | (302,893 | ) | $ | (907,681 | ) | $ | (497,568 | ) | |||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 321,074 | $ | (131,044 | ) | $ | — | $ | — | $ | — | $ | 190,030 | ||||||
Creston Mascota deposit at Pinos Altos | 57,255 | (14,570 | ) | — | 42,685 | ||||||||||||||
Total Southern Business | $ | 378,329 | $ | (145,614 | ) | $ | — | $ | — | $ | — | $ | 232,715 | ||||||
Exploration | $ | — | $ | — | $ | (75,721 | ) | $ | — | $ | — | $ | (75,721 | ) | |||||
Segment income (loss) | $ | 1,821,799 | $ | (876,078 | ) | $ | (75,721 | ) | $ | (302,893 | ) | $ | (907,681 | ) | $ | (340,574 | ) | ||
Segment loss | $ | (340,574 | ) | ||||||||||||||||
Corporate and other: | |||||||||||||||||||
Foreign currency translation gain | 1,082 | ||||||||||||||||||
Amortization of property, plant and mine development | (261,781 | ) | |||||||||||||||||
Interest and sundry expense | (5,188 | ) | |||||||||||||||||
Gain on sale of available-for-sale securities | 4,907 | ||||||||||||||||||
Gain on derivative financial instruments | 3,683 | ||||||||||||||||||
General and administrative | (107,926 | ) | |||||||||||||||||
Impairment loss on available-for-sale securities | (8,569 | ) | |||||||||||||||||
Provincial capital tax | (9,223 | ) | |||||||||||||||||
Interest expense | (55,039 | ) | |||||||||||||||||
Loss before income and mining taxes | $ | (778,628 | ) | ||||||||||||||||
Total Assets as at December 31, | |||||||||||||||||||
2013 | 2012 | ||||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 878,719 | $ | 849,304 | |||||||||||||||
Lapa mine | 78,293 | 168,712 | |||||||||||||||||
Goldex mine | 120,601 | 56,819 | |||||||||||||||||
Meadowbank mine | 711,387 | 1,005,890 | |||||||||||||||||
Meliadine project | 877,923 | 1,015,485 | |||||||||||||||||
Kittila mine | 870,332 | 837,002 | |||||||||||||||||
Total Northern Business | $ | 3,537,255 | $ | 3,933,212 | |||||||||||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 537,560 | $ | 610,217 | |||||||||||||||
Creston Mascota deposit at Pinos Altos | 86,185 | 68,735 | |||||||||||||||||
La India project | 512,450 | 377,049 | |||||||||||||||||
Total Southern Business | 1,136,195 | 1,056,001 | |||||||||||||||||
Exploration | 19,838 | 19,225 | |||||||||||||||||
Corporate and other | 266,071 | 247,681 | |||||||||||||||||
Total | $ | 4,959,359 | $ | 5,256,119 | |||||||||||||||
Capital Expenditures | |||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 84,292 | $ | 75,214 | $ | 90,735 | |||||||||||||
Lapa mine | 22,738 | 18,475 | 18,397 | ||||||||||||||||
Goldex mine | 65,063 | 26,822 | 42,232 | ||||||||||||||||
Meadowbank mine | 76,811 | 105,095 | 116,860 | ||||||||||||||||
Meliadine project | 61,412 | 83,343 | 73,944 | ||||||||||||||||
Kittila mine | 83,770 | 60,036 | 86,514 | ||||||||||||||||
Total Northern Business | $ | 394,086 | $ | 368,985 | $ | 428,682 | |||||||||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 42,835 | $ | 24,212 | $ | 32,407 | |||||||||||||
Creston Mascota deposit at Pinos Altos | 17,582 | 5,777 | 7,559 | ||||||||||||||||
La India project | 116,786 | 39,236 | — | ||||||||||||||||
Total Southern Business | $ | 177,203 | $ | 69,225 | $ | 39,966 | |||||||||||||
Exploration | $ | — | $ | 55 | $ | 8,561 | |||||||||||||
Corporate and other | $ | 6,500 | $ | 7,285 | $ | 5,622 | |||||||||||||
Total | $ | 577,789 | $ | 445,550 | $ | 482,831 | |||||||||||||
The following table sets out the changes in the carrying amount of goodwill by segment: | |||||||||||||||||||
Meliadine project | La India project | Corporate | Total | ||||||||||||||||
and other | |||||||||||||||||||
Cost | |||||||||||||||||||
Balance at January 1, 2013 | $ | 200,064 | $ | 29,215 | $ | – | $ | 229,279 | |||||||||||
Purchase of Urastar Gold Corporation (note 10) | – | – | 9,802 | 9,802 | |||||||||||||||
Balance at December 31, 2013 | $ | 200,064 | $ | 29,215 | $ | 9,802 | $ | 239,081 | |||||||||||
Accumulated impairment | |||||||||||||||||||
Balance at January 1, 2013 | $ | – | $ | – | $ | – | $ | – | |||||||||||
Impairment loss | (200,064 | ) | – | – | (200,064 | ) | |||||||||||||
Balance at December 31, 2013 | $ | (200,064 | ) | $ | – | $ | – | $ | (200,064 | ) | |||||||||
Carrying amount | $ | – | $ | 29,215 | $ | 9,802 | $ | 39,017 | |||||||||||
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2013 | |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | ' |
20. SUBSEQUENT EVENTS | |
On January 13, 2014, the Company executed an Asset Purchase Agreement with Alexandria Minerals Corporation ("AMC") to purchase the Akasaba West Property in Quebec, Canada for cash consideration of C$5.0 million. Agnico Eagle assumes pre-existing underlying royalty obligations under the Asset Purchase Agreement relating to specific Akasaba West Property mining claims ranging from a 2% net smelter returns production royalty to a 20% net proceeds of production royalty. The Company also entered into a 2% Net Smelter Return Royalty ("Royalty") Agreement with AMC on January 13, 2014 relating to all Akasaba West Property mineral and metal production after 210,000 ounces of gold has been produced. The Company has the right to purchase one-half of the Royalty from AMC at any time for cash consideration of C$7.0 million. | |
On January 28, 2014, the Company purchased common shares and warrants in a mining industry entity for total consideration of C$9.3 million. | |
On February 12, 2014, Agnico Eagle announced that the Board approved the payment of a quarterly cash dividend of $0.08 per common share, payable on March 17, 2014 to holders of record of the common shares of the Company on March 3, 2014. | |
SECURITIES_CLASS_ACTION_LAWSUI
SECURITIES CLASS ACTION LAWSUITS | 12 Months Ended |
Dec. 31, 2013 | |
SECURITIES CLASS ACTION LAWSUITS | ' |
SECURITIES CLASS ACTION LAWSUITS | ' |
21. SECURITIES CLASS ACTION LAWSUITS | |
On November 7, 2011 and November 22, 2011, the Company and certain current and former senior officers, some of whom also are or were directors of the Company, were named as defendants in two putative class action lawsuits, styled Jerome Stone v. Agnico-Eagle Mines Ltd., et al., and Chris Hastings v. Agnico-Eagle Mines Limited, et al., respectively, which were filed in the United States District Court for the Southern District of New York. On February 6, 2012, the Court ordered that the two complaints be consolidated under the caption In re Agnico-Eagle Mines Ltd. Securities Litigation, and lead counsel was appointed. On April 6, 2012, a Consolidated Complaint was issued against the Company and certain of its current and former senior officers and directors. The Consolidated Complaint alleges that the Company had violated federal securities law in connection with its disclosure related to the Goldex mine. The Consolidated Complaint seeks, among other things, damages on behalf of persons who purchased or acquired securities of the Company during the period July 28, 2010 to October 19, 2011. The Consolidated Complaint has not been certified as a class action, and the Company intends to vigorously defend it. On January 14, 2013, Judge Oetken granted the Company's motion to dismiss the Consolidated Complaint and all claims therein and denied the plaintiffs' request for leave to amend the Consolidated Complaint. On February 12, 2013, the plaintiffs filed a Notice of Appeal to the United States Court for Appeals for the Second Circuit. The appeal was heard on September 23, 2013, and on October 3, 2013 the Court of Appeals for the Second Circuit affirmed the decision below dismissing the Consolidated Complaint. The time for the plaintiffs to file a petition for a writ of certiorari, requesting a review by the United States Supreme Court, has expired and the judgment dismissing the plaintiffs' Consolidated Complaint is now final and no longer appealable. | |
On March 8, 2012 and April 10, 2012, a Notice of Action and Statement of Claim (collectively, the "Ontario Claim") were issued by William Leslie, AFA Livforsakringsaktiebolag and certain other entities against the Company and certain of its current and former officers, some of whom also are or were directors of the Company. On September 27, 2012, the plaintiffs issued a Fresh as Amended Statement of Claim. The Fresh as Amended Statement of Claim alleges that the Company's public disclosure concerning water flow issues at its Goldex mine was misleading. The Ontario Claim was issued by the plaintiffs on behalf of all persons and entities who acquired securities of the Company during the period March 26, 2010 to October 19, 2011, excluding persons resident or domiciled in the Province of Quebec at the time they purchased or acquired such securities. The plaintiffs seek, among other things, damages of C$250.0 million and to certify the Ontario Claim as a class action. On April 17, 2013 an Order was granted on consent certifying a class action proceeding and granting leave for the claims under Section 138 of the Securities Act (Ontario) to proceed. The Company intends to vigorously defend the action on the merits. | |
On April 12, 2012, two senior officers of the Company, who also are or were directors of the Company, were served with a Motion for Leave to Institute a Class Action and for the Appointment of a Representative Plaintiff (the "Quebec Motion"). The action is on behalf of all persons and entities with fewer than 50 employees resident in Quebec who acquired securities of the Company between March 26, 2010 and October 19, 2011. The proposed class action is for damages of C$100.0 million arising as a result of allegedly misleading disclosure by the Company concerning its operations at the Goldex mine. On October 15, 2012, the plaintiffs served an amended Quebec Motion seeking leave to commence an action under the Securities Act (Quebec) in addition to seeking authorization to institute a class action. On October 1, 2013, the Quebec court certified the class action on terms identical to those set out in the consent Order granted in Ontario on April 17, 2013. No date has been set for the hearing to argue the class action on the merits. The Company intends to vigorously defend the action on the merits. | |
TRADE_RECEIVABLES_AND_REVENUES1
TRADE RECEIVABLES AND REVENUES FROM MINING OPERATIONS (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
TRADE RECEIVABLES AND REVENUES FROM MINING OPERATIONS | ' | |||||||
Revenues from mining operations | ' | |||||||
Year Ended December 31, | ||||||||
2013 | 2012 | 2011 | ||||||
Revenues from mining operations: | ||||||||
Gold | $1,500,354 | $1,712,665 | $1,563,760 | |||||
Silver | 100,895 | 140,221 | 171,725 | |||||
Zinc | 16,685 | 45,797 | 70,522 | |||||
Copper | 20,653 | 19,019 | 14,451 | |||||
Lead(i) | (181 | ) | 12 | 1,341 | ||||
$1,638,406 | $1,917,714 | $1,821,799 | ||||||
Note: | ||||||||
(i) | ||||||||
In 2013, lead revenues of $0.9 million were nettled against lead concentrate direct fees of $1.1 million. Revenues from other metals contained in lead concentrate are included in their respective categories in the above table. | ||||||||
OTHER_ASSETS_Tables
OTHER ASSETS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
OTHER ASSETS | ' | ||||||||
Schedule of other current assets | ' | ||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
Federal, provincial and other sales taxes receivable | $ | 71,053 | $ | 36,400 | |||||
Prepaid expenses | 35,396 | 36,119 | |||||||
Insurance receivable | 1,369 | 6,553 | |||||||
Receivables from employees | 780 | 1,800 | |||||||
Retirement compensation arrangement plan refundable tax receivable | – | 4,044 | |||||||
Other | 8,395 | 8,061 | |||||||
$ | 116,993 | $ | 92,977 | ||||||
Schedule of available-for-sale securities | ' | ||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
Available-for-sale securities in an unrealized gain position: | |||||||||
Cost (net of impairments) | $ | 30,583 | $ | 4,352 | |||||
Unrealized gains in accumulated other comprehensive loss | 11,530 | 1,902 | |||||||
Estimated fair value | 42,113 | 6,254 | |||||||
Available-for-sale securities in an unrealized loss position: | |||||||||
Cost (net of impairments) | 39,933 | 48,047 | |||||||
Unrealized losses in accumulated other comprehensive loss | (7,465 | ) | (9,582 | ) | |||||
Estimated fair value | 32,468 | 38,465 | |||||||
Total estimated fair value of available-for-sale securities | $ | 74,581 | $ | 44,719 | |||||
Schedule of other non-current assets | ' | ||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
Deferred financing costs, less accumulated amortization of $11,420 (December 31, 2012 – $8,888) | $12,644 | $15,836 | |||||||
Long-term ore in stockpile(i) | 46,191 | 32,711 | |||||||
Other | 7,559 | 7,291 | |||||||
$66,394 | $55,838 | ||||||||
Note: | |||||||||
(i) | |||||||||
Due to the ore body structures at the Pinos Altos, Kittila and Meadowbank mines, the Creston Mascota deposit at Pinos Altos and the La India project, a significant amount of drilling and blasting was undertaken early in their mine lives, resulting in long-term ore in stockpile. At December 31, 2013, long-term ore in stockpile was valued at $2.5 million (December 31, 2012 – $4.1 million) at the Pinos Altos mine, $26.7 million (December 31, 2012 – $7.7 million) at the Kittila mine, $7.8 million (December 31, 2012 – $10.2 million) at the Meadowbank mine, $8.2 million (December 31, 2012 – $10.7 million) at the Creston Mascota deposit at Pinos Altos and $1.0 million (December 31, 2012 – nil) at the La India project. | |||||||||
PROPERTY_PLANT_AND_MINE_DEVELO1
PROPERTY, PLANT AND MINE DEVELOPMENT (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
PROPERTY, PLANT AND MINE DEVELOPMENT | ' | |||||||||||||||||||
Schedule of property, plant and mine development | ' | |||||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | |||||||||||||||||||
Cost | Accumulated | Net Book | Cost | Accumulated | Net Book | |||||||||||||||
Amortization | Value | Amortization | Value | |||||||||||||||||
Mining properties | $ | 1,361,867 | $ | 89,700 | $ | 1,272,167 | $ | 1,356,227 | $ | 86,839 | $ | 1,269,388 | ||||||||
Plant and equipment | 2,286,887 | 662,394 | 1,624,493 | 2,538,328 | 617,826 | 1,920,502 | ||||||||||||||
Mine development costs | 1,038,564 | 239,898 | 798,666 | 918,482 | 237,967 | 680,515 | ||||||||||||||
Construction in progress: | ||||||||||||||||||||
Meliadine project | 192,413 | – | 192,413 | 133,840 | – | 133,840 | ||||||||||||||
La India project | 161,378 | – | 161,378 | 32,553 | – | 32,553 | ||||||||||||||
Goldex mine M and E Zones(i) | – | – | – | 30,658 | – | 30,658 | ||||||||||||||
$ | 5,041,109 | $ | 991,992 | $ | 4,049,117 | $ | 5,010,088 | $ | 942,632 | $ | 4,067,456 | |||||||||
Note: | ||||||||||||||||||||
(i) | ||||||||||||||||||||
Upon achieving commercial production at the Goldex mine M and E Zones in October 2013, related costs accumulated in construction in progress were reclassified to mine development costs within property, plant and mine development. | ||||||||||||||||||||
Schedule of property, plant and equipment, geographical information | ' | |||||||||||||||||||
As at December 31, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Northern Business: | ||||||||||||||||||||
Canada | $2,312,166 | $2,543,171 | ||||||||||||||||||
Finland | 763,711 | 704,031 | ||||||||||||||||||
Southern Business: | ||||||||||||||||||||
Mexico | 962,971 | 809,556 | ||||||||||||||||||
United States | 10,269 | 10,698 | ||||||||||||||||||
Total | $4,049,117 | $4,067,456 | ||||||||||||||||||
FAIR_VALUE_MEASUREMENT_Tables
FAIR VALUE MEASUREMENT (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
FAIR VALUE MEASUREMENT | ' | |||||||||||||
Financial assets and liabilities measured at fair value using the fair value hierarchy | ' | |||||||||||||
The following table sets out the Company's financial assets and liabilities measured at fair value as at December 31, 2013 using the fair value hierarchy: | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Financial assets: | ||||||||||||||
Trade receivables(i) | $ | – | $ | 67,300 | $ | – | $ | 67,300 | ||||||
Available-for-sale securities(ii) | 74,581 | – | – | 74,581 | ||||||||||
Fair value of derivative financial instruments(iii) | – | 5,590 | – | 5,590 | ||||||||||
$ | 74,581 | $ | 72,890 | $ | – | $ | 147,471 | |||||||
Financial liabilities: | ||||||||||||||
Fair value of derivative financial instruments(iii) | $ | – | $ | 467 | $ | – | $ | 467 | ||||||
The following table sets out the Company's financial assets and liabilities measured at fair value as at December 31, 2012 using the fair value hierarchy: | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Financial assets: | ||||||||||||||
Trade receivables(i) | $ | – | $ | 67,750 | $ | – | $ | 67,750 | ||||||
Available-for-sale securities(ii) | 44,719 | – | – | 44,719 | ||||||||||
Fair value of derivative financial instruments(iii) | – | 2,112 | – | 2,112 | ||||||||||
$ | 44,719 | $ | 69,862 | $ | – | $ | 114,581 | |||||||
Financial liabilities: | ||||||||||||||
Fair value of derivative financial instruments(iii) | $ | – | $ | 277 | $ | – | $ | 277 | ||||||
Notes: | ||||||||||||||
(i) | ||||||||||||||
Trade receivables from provisional invoices for concentrate sales are valued using quoted forward rates derived from observable market data based on the month of expected settlement (classified within Level 2 of the fair value hierarchy). | ||||||||||||||
(ii) | ||||||||||||||
Available-for-sale securities are recorded at fair value using quoted market prices (classified within Level 1 of the fair value hierarchy). | ||||||||||||||
(iii) | ||||||||||||||
Derivative financial instruments are recorded at fair value using external broker-dealer quotations (classified within Level 2 of the fair value hierarchy). | ||||||||||||||
LONGTERM_DEBT_Tables
LONG-TERM DEBT (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
2012 Notes | ' | ||||||||
LONG-TERM DEBT | ' | ||||||||
Individual series of issued Notes | ' | ||||||||
The following table sets out details of the individual series of the 2012 Notes: | |||||||||
Principal | Interest Rate | Maturity Date | |||||||
Series A | $ | 100,000 | 4.87% | 7/23/22 | |||||
Series B | 100,000 | 5.02% | 7/23/24 | ||||||
$ | 200,000 | ||||||||
2010 Notes | ' | ||||||||
LONG-TERM DEBT | ' | ||||||||
Individual series of issued Notes | ' | ||||||||
The following table sets out details of the individual series of the 2010 Notes: | |||||||||
Principal | Interest Rate | Maturity Date | |||||||
Series A | $ | 115,000 | 6.13% | 4/7/17 | |||||
Series B | 360,000 | 6.67% | 4/7/20 | ||||||
Series C | 125,000 | 6.77% | 4/7/22 | ||||||
$ | 600,000 | ||||||||
RECLAMATION_PROVISION_AND_OTHE1
RECLAMATION PROVISION AND OTHER LIABILITIES (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
RECLAMATION PROVISION AND OTHER LIABILITIES | ' | ||||||||||
Schedule of reclamation provision and other liabilities | ' | ||||||||||
As at December 31, | |||||||||||
2013 | 2012 | ||||||||||
Reclamation provision (note 6(a)) | $ | 150,849 | $ | 101,753 | |||||||
Long-term portion of capital lease obligations (note 13(a)) | 11,843 | 12,108 | |||||||||
Pension benefits (note 6(b)) | 15,278 | 13,734 | |||||||||
Other | 266 | 140 | |||||||||
Total | $ | 178,236 | $ | 127,735 | |||||||
Reconciliation of the beginning and ending carrying amounts of the Company's asset retirement obligations | ' | ||||||||||
2013 | 2012 | ||||||||||
Asset retirement obligations – long-term, beginning of year | $ | 89,720 | $ | 86,386 | |||||||
Asset retirement obligations – current, beginning of year | 4,630 | – | |||||||||
Current year additions and changes in estimate, net | 44,898 | 1,495 | |||||||||
Current year accretion | 4,624 | 5,068 | |||||||||
Liabilities settled | (853 | ) | (254 | ) | |||||||
Foreign exchange revaluation | (3,678 | ) | 1,655 | ||||||||
Reclassification from long-term to current, end of year | (1,029 | ) | (4,630 | ) | |||||||
Asset retirement obligations – long-term, end of year | $ | 138,312 | $ | 89,720 | |||||||
Components of net pension plan expense relating to the Executives Plan | ' | ||||||||||
Year Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Service cost – benefits earned during the year | $ | 457 | $ | 650 | $ | 996 | |||||
Interest cost on projected benefit obligation | 431 | 489 | 663 | ||||||||
Amortization of net transition asset | 164 | 169 | 171 | ||||||||
Prior service cost | 25 | 26 | 26 | ||||||||
Loss due to settlement | – | 2,921 | – | ||||||||
Recognized net actuarial loss | 379 | 340 | 245 | ||||||||
Net pension benefits expense | $ | 1,456 | $ | 4,595 | $ | 2,101 | |||||
Schedule of funded status of Executives plan | ' | ||||||||||
2013 | 2012 | ||||||||||
Reconciliation of the market value of plan assets: | |||||||||||
Fair value of plan assets, beginning of year | $ | 2,373 | $ | 2,952 | |||||||
Agnico Eagle's contribution | 374 | 839 | |||||||||
Benefit payments | (244 | ) | (520 | ) | |||||||
Settlements | – | (961 | ) | ||||||||
Effect of exchange rate changes | (157 | ) | 63 | ||||||||
Fair value of plan assets, end of year | 2,346 | 2,373 | |||||||||
Reconciliation of projected benefit obligation: | |||||||||||
Projected benefit obligation, beginning of year | 10,818 | 14,370 | |||||||||
Service cost | 456 | 650 | |||||||||
Interest cost | 431 | 489 | |||||||||
Net actuarial loss | 573 | 675 | |||||||||
Benefit payments | (244 | ) | (520 | ) | |||||||
Settlements | – | (5,148 | ) | ||||||||
Effect of exchange rate changes | (736 | ) | 302 | ||||||||
Projected benefit obligation, end of year | 11,298 | 10,818 | |||||||||
Deficiency of plan assets compared with projected benefit obligation | $ | (8,952 | ) | $ | (8,445 | ) | |||||
Net pension amount recognized in the consolidated balance sheet and valuation assumptions | ' | ||||||||||
As at December 31, | |||||||||||
2013 | 2012 | ||||||||||
Accrued employee benefit liability | $ | 5,733 | $ | 5,008 | |||||||
Accumulated other comprehensive loss: | |||||||||||
Transition obligation | 159 | 341 | |||||||||
Prior service cost | 24 | 52 | |||||||||
Net actuarial loss | 3,036 | 3,044 | |||||||||
Net liability | $ | 8,952 | $ | 8,445 | |||||||
Assumptions: | |||||||||||
Weighted average discount rate – net periodic pension cost | 4.00% | 4.45% | |||||||||
Weighted average discount rate – projected benefit obligation | 4.90% | 4.00% | |||||||||
Weighted average rate of compensation increase | 3.00% | 3.00% | |||||||||
Estimated average remaining service life for the plan (in years)(i) | 5 | 6 | |||||||||
Note: | |||||||||||
(i) | |||||||||||
Estimated average remaining service life for the Executives Plan was developed for individual senior officers. | |||||||||||
Components expected to be recognized in accumulated other comprehensive loss | ' | ||||||||||
Transition obligation | $ | 159 | |||||||||
Prior service cost | 24 | ||||||||||
Net actuarial loss | 476 | ||||||||||
$ | 659 | ||||||||||
Estimated benefit payments from Executives plan | ' | ||||||||||
Year ended December 31,: | Estimated Executives Plan | ||||||||||
Benefit Payments | |||||||||||
2014 | $ | 109 | |||||||||
2015 | $ | 107 | |||||||||
2016 | $ | 105 | |||||||||
2017 | $ | 103 | |||||||||
2018 | $ | 102 | |||||||||
2019 – 2023 | $ | 5,295 | |||||||||
Goldex mine | ' | ||||||||||
Environmental remediation liability | ' | ||||||||||
Reconciliation of the beginning and ending carrying amounts of the environmental remediation liability | ' | ||||||||||
2013 | 2012 | ||||||||||
Environmental remediation liability – long-term, beginning of year | $ | 12,033 | $ | 19,057 | |||||||
Environmental remediation liability – current, beginning of year | 12,186 | 26,069 | |||||||||
Current year additions and changes in estimate, net | 1,005 | (36 | ) | ||||||||
Liabilities settled | (9,045 | ) | (21,450 | ) | |||||||
Foreign exchange revaluation | (1,219 | ) | 579 | ||||||||
Reclassification from long-term to current, end of year | (2,423 | ) | (12,186 | ) | |||||||
Environmental remediation liability – long-term, end of year | $ | 12,537 | $ | 12,033 | |||||||
SHAREHOLDERS_EQUITY_Tables
SHAREHOLDERS' EQUITY (Tables) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
SHAREHOLDERS' EQUITY | ' | ||||||||||||||||||
Schedule of changes in accumulated other comprehensive loss by component | ' | ||||||||||||||||||
The following table sets out the changes in accumulated other comprehensive loss by component for the year ended December 31, 2013: | |||||||||||||||||||
Cumulative | Available-for-sale | Derivative | Pension | Total | |||||||||||||||
Translation | Securities and Other | Financial | Benefits | ||||||||||||||||
Adjustment | Investments | Instruments | |||||||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2012 | $ | (16,206 | ) | $ | (7,680 | ) | $ | 72 | $ | (3,497 | ) | $ | (27,311 | ) | |||||
Unrealized other comprehensive (loss) gain | – | (22,553 | ) | (284 | ) | 375 | (22,462 | ) | |||||||||||
Income tax expense (recovery) impact | – | – | 150 | (99 | ) | 51 | |||||||||||||
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | – | 34,198 | (117 | ) | 637 | 34,718 | |||||||||||||
Income tax expense (recovery) impact | – | – | 31 | (168 | ) | (137 | ) | ||||||||||||
Other comprehensive income (loss) for the year | – | 11,645 | (220 | ) | 745 | 12,170 | |||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2013 | $ | (16,206 | ) | $ | 3,965 | $ | (148 | ) | $ | (2,752 | ) | $ | (15,141 | ) | |||||
The following table sets out the changes in accumulated other comprehensive loss by component for the year ended December 31, 2012: | |||||||||||||||||||
Cumulative | Available-for-sale | Derivative | Pension | Total | |||||||||||||||
Translation | Securities and Other | Financial | Benefits | ||||||||||||||||
Adjustment | Investments | Instruments | |||||||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2011 | $ | (16,206 | ) | $ | 16,350 | $ | (2,913 | ) | $ | (4,337 | ) | $ | (7,106 | ) | |||||
Unrealized other comprehensive (loss) gain | – | (27,029 | ) | 6,882 | 531 | (19,616 | ) | ||||||||||||
Income tax recovery impact | – | – | (1,885 | ) | (140 | ) | (2,025 | ) | |||||||||||
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | – | 2,999 | (2,738 | ) | 617 | 878 | |||||||||||||
Income tax expense (recovery) impact | – | – | 721 | (163 | ) | 558 | |||||||||||||
Other comprehensive income (loss) for the year | – | (24,030 | ) | 2,985 | 840 | (20,205 | ) | ||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2012 | $ | (16,206 | ) | $ | (7,680 | ) | $ | 72 | $ | (3,497 | ) | $ | (27,311 | ) | |||||
Schedule of the weighted average number of common shares used in the calculation of basic and diluted net income (loss) per share | ' | ||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||
Weighted average number of common shares outstanding – basic | 172,892,654 | 171,250,179 | 169,352,896 | ||||||||||||||||
Dilutive impact of shares related to RSU plan | – | 235,436 | – | ||||||||||||||||
Weighted average number of common shares outstanding – diluted | 172,892,654 | 171,485,615 | 169,352,896 | ||||||||||||||||
STOCKBASED_COMPENSATION_Tables
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
STOCK-BASED COMPENSATION | ' | ||||||||||||||||
Stock option activity | ' | ||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Number of | Weighted | Number of | Weighted | Number of | Weighted | ||||||||||||
Stock Options | Average | Stock | Average | Stock | Average | ||||||||||||
Exercise | Options | Exercise | Options | Exercise | |||||||||||||
Price | Price | Price | |||||||||||||||
Outstanding, beginning of year | 10,587,126 | C$ | 56.6 | 8,959,051 | C$ | 62.88 | 6,762,704 | C$ | 56.94 | ||||||||
Granted | 2,803,000 | 52.13 | 3,257,000 | 36.99 | 2,630,785 | 76.12 | |||||||||||
Exercised | (213,500 | ) | 37.06 | (416,275 | ) | 43.51 | (308,688 | ) | 43.62 | ||||||||
Forfeited | (540,206 | ) | 58.15 | (731,000 | ) | 59.72 | (125,750 | ) | 67.47 | ||||||||
Expired | (1,352,885 | ) | 54.67 | (481,650 | ) | 47.49 | – | – | |||||||||
Outstanding, end of year | 11,283,535 | C$ | 56.02 | 10,587,126 | C$ | 56.6 | 8,959,051 | C$ | 62.88 | ||||||||
Options exercisable at end of year | 7,248,295 | 6,510,464 | 5,178,172 | ||||||||||||||
Activity of nonvested stock options | ' | ||||||||||||||||
2013 | |||||||||||||||||
Number of | Weighted | ||||||||||||||||
Stock Options | Average Grant | ||||||||||||||||
Date Fair Value | |||||||||||||||||
Non-vested, beginning of year | 4,076,662 | C$13.33 | |||||||||||||||
Granted | 2,803,000 | 11.21 | |||||||||||||||
Vested | (2,661,216 | ) | 12.84 | ||||||||||||||
Forfeited (non-vested) | (183,206 | ) | 11.38 | ||||||||||||||
Non-vested, end of year | 4,035,240 | C$11.44 | |||||||||||||||
Options outstanding and exercisable by exercise price ranges | ' | ||||||||||||||||
The following table summarizes information about Agnico Eagle's stock options outstanding and exercisable at December 31, 2013: | |||||||||||||||||
Weighted | |||||||||||||||||
Weighted | Weighted | Number | Average | ||||||||||||||
Average | Average | Exercisable | Exercise Price | ||||||||||||||
Number | Remaining | Exercise Price | |||||||||||||||
Outstanding | Contractual Life | Stock Options Exercisable | |||||||||||||||
Range of Exercise Prices | Stock Options Outstanding | ||||||||||||||||
C$33.39 – C$59.71 | 7,341,556 | 2.81 years | C$48.28 | 3,851,056 | C$50.50 | ||||||||||||
C$60.72 – C$83.08 | 3,941,979 | 1.14 years | 70.43 | 3,397,239 | 69.46 | ||||||||||||
C$33.39 – C$83.08 | 11,283,535 | 2.23 years | C$56.02 | 7,248,295 | C$59.39 | ||||||||||||
Schedule of weighted average assumptions under the Black-Scholes option pricing model | ' | ||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Risk-free interest rate | 1.50% | 1.26% | 1.95% | ||||||||||||||
Expected life of stock options (in years) | 2.6 | 2.8 | 2.5 | ||||||||||||||
Expected volatility of Agnico Eagle's share price | 35.00% | 37.50% | 34.70% | ||||||||||||||
Expected dividend yield | 1.82% | 2.14% | 0.89% | ||||||||||||||
INCOME_AND_MINING_TAXES_Tables
INCOME AND MINING TAXES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
INCOME AND MINING TAXES | ' | ||||||||||||
Income and mining taxes expense (recovery) as per geographic components | ' | ||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Current income and mining taxes: | |||||||||||||
Canada | $ | 7,934 | $ | 8,750 | $ | 62,382 | |||||||
Mexico | 29,968 | 33,531 | 3,496 | ||||||||||
Finland | 14,492 | 9,799 | 222 | ||||||||||
52,394 | 52,080 | 66,100 | |||||||||||
Deferred income and mining taxes: | |||||||||||||
Canada | (95,344 | ) | 26,041 | (341,038 | ) | ||||||||
Mexico | 93,665 | 25,284 | 54,996 | ||||||||||
Finland | (14,871 | ) | 20,820 | 10,269 | |||||||||
(16,550 | ) | 72,145 | (275,773 | ) | |||||||||
Income and mining taxes | $ | 35,844 | $ | 124,225 | $ | (209,673 | ) | ||||||
Reconciliation of income tax rates | ' | ||||||||||||
2013 | 2012 | 2011 | |||||||||||
Combined federal and composite provincial tax rates | 26.3 | % | 26.3 | % | 27.8 | % | |||||||
Increase (decrease) in tax rates resulting from: | |||||||||||||
Provincial mining duties | 1.4 | 3.6 | 5.9 | ||||||||||
Tax law changes | (13.6 | ) | – | (2.7 | ) | ||||||||
Impact of foreign tax rates | 2.4 | (1.5 | ) | (0.2 | ) | ||||||||
Permanent differences | (25.1 | ) | 1 | (1.6 | ) | ||||||||
Valuation allowances | (0.9 | ) | 1.2 | (0.3 | ) | ||||||||
Impact of changes in income tax rates | (0.2 | ) | (2.1 | ) | (2.0 | ) | |||||||
Actual rate as a percentage of pre-tax income | (9.7 | )% | 28.5 | % | 26.9 | % | |||||||
Future income and mining tax liabilities (assets) | ' | ||||||||||||
Liabilities (Assets) | |||||||||||||
as at December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
Mining properties | $ | 808,449 | $ | 761,508 | |||||||||
Net operating and capital loss carryforwards | (129,019 | ) | (102,005 | ) | |||||||||
Mining duties | (68,728 | ) | (36,158 | ) | |||||||||
Reclamation provisions | (44,242 | ) | (42,688 | ) | |||||||||
Valuation allowance | 26,860 | 30,570 | |||||||||||
Deferred income and mining tax liabilities | $ | 593,320 | $ | 611,227 | |||||||||
Reconciliation of the beginning and ending amount of unrecognized tax benefits | ' | ||||||||||||
2013 | 2012 | 2011 | |||||||||||
Unrecognized tax benefits, beginning of year | $ | 10,867 | $ | 1,200 | $ | 1,630 | |||||||
Additions (reductions) | – | 9,667 | (430 | ) | |||||||||
Unrecognized tax benefit, end of year | $ | 10,867 | $ | 10,867 | $ | 1,200 | |||||||
ACQUISITIONS_Tables
ACQUISITIONS (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Urastar | ' | |||||||
Business acquisition details | ' | |||||||
Schedule of the allocation of the purchase price to assets acquired and liabilities assumed | ' | |||||||
Total purchase price: | ||||||||
Cash paid for acquisition | $ | 10,127 | ||||||
Fair value of assets acquired and liabilities assumed: | ||||||||
Mining properties | $ | 1,994 | ||||||
Goodwill | 9,802 | |||||||
Cash and cash equivalents | 76 | |||||||
Trade receivables | 731 | |||||||
Other current assets | 12 | |||||||
Plant and equipment | 2 | |||||||
Accounts payable and accrued liabilities | (791 | ) | ||||||
Other liabilities | (1,573 | ) | ||||||
Deferred tax liability | (126 | ) | ||||||
Net assets acquired | $ | 10,127 | ||||||
Schedule of pro forma results of operations | ' | |||||||
Year Ended | Year Ended | |||||||
December 31, | December 31, | |||||||
2013 | 2012 | |||||||
Unaudited | ||||||||
Pro forma net income (loss) for the period | $ | (409,020 | ) | $ | 307,274 | |||
Pro forma net income (loss) per share – basic | $ | (2.37 | ) | $ | 1.79 | |||
Grayd | ' | |||||||
Business acquisition details | ' | |||||||
Schedule of the allocation of the purchase price to assets acquired and liabilities assumed | ' | |||||||
Total purchase price: | ||||||||
Cash paid for acquisition | $ | 165,954 | ||||||
Agnico Eagle common shares issued for acquisition | 56,146 | |||||||
Total purchase price to allocate | $ | 222,100 | ||||||
Fair value of assets acquired and liabilities assumed: | ||||||||
Mining properties | $ | 282,000 | ||||||
Goodwill | 29,215 | |||||||
Cash and cash equivalents | 2,907 | |||||||
Trade receivables | 469 | |||||||
Other current assets | 1,700 | |||||||
Equipment | 56 | |||||||
Accounts payable and accrued liabilities | (9,767 | ) | ||||||
Deferred tax liability | (72,229 | ) | ||||||
Non-controlling interest | (12,251 | ) | ||||||
Net assets acquired | $ | 222,100 | ||||||
Schedule of pro forma results of operations | ' | |||||||
Year Ended December 31, 2011 | ||||||||
Unaudited | ||||||||
Pro forma net loss attributed to common shareholders | $ | (582,762 | ) | |||||
Pro forma net loss per share – basic | $ | (3.42 | ) | |||||
ACCOUNTS_PAYABLE_AND_ACCRUED_L1
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | ' | |||||||
Schedule of accounts payable and accrued liabilities | ' | |||||||
As at December 31, | ||||||||
2013 | 2012 | |||||||
Trade payables | $ | 80,242 | $ | 89,289 | ||||
Wages payable | 35,881 | 35,752 | ||||||
Accrued liabilities | 16,366 | 27,372 | ||||||
Other liabilities | 40,885 | 32,916 | ||||||
$ | 173,374 | $ | 185,329 | |||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||
Dec. 31, 2013 | |||
COMMITMENTS AND CONTINGENCIES | ' | ||
Summary of purchase commitments by year | ' | ||
The Company had the following purchase commitments as at December 31, 2013: | |||
Purchase | |||
Commitments | |||
2014 | $13,023 | ||
2015 | 8,373 | ||
2016 | 5,832 | ||
2017 | 4,290 | ||
2018 | 4,290 | ||
Thereafter | 7,272 | ||
Total | $43,080 | ||
LEASES_Tables
LEASES (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
LEASES | ' | |||||
Schedule of future minimum lease payments under capital leases | ' | |||||
The following is a schedule of future minimum lease payments under capital leases together with the present value of the net minimum lease payments as at December 31, 2013: | ||||||
Minimum | ||||||
Capital Lease | ||||||
Payments | ||||||
2014 | $12,776 | |||||
2015 | 5,678 | |||||
2016 | 2,268 | |||||
2017 | 2,268 | |||||
2018 | 2,268 | |||||
Thereafter | – | |||||
Total minimum lease payments | 25,258 | |||||
Less amount representing interest | 1,380 | |||||
Present value of net minimum lease payments | $23,878 | |||||
Summary of information related to capital lease obligations | ' | |||||
As at December 31, | ||||||
2013 | 2012 | |||||
Total future lease payments | $25,258 | $ | 26,668 | |||
Less: interest | 1,380 | 1,605 | ||||
23,878 | 25,063 | |||||
Less: current portion | 12,035 | 12,955 | ||||
Long-term portion of capital lease obligations | $11,843 | $ | 12,108 | |||
Schedule of future minimum lease payments under operating leases | ' | |||||
Future minimum lease payments required to meet obligations that have initial or remaining non-cancellable lease terms in excess of one year as at December 31, 2013 are as follows: | ||||||
Minimum Operating | ||||||
Lease Payments | ||||||
2014 | $1,783 | |||||
2015 | 1,032 | |||||
2016 | 822 | |||||
2017 | 816 | |||||
2018 | 836 | |||||
Thereafter | 2,470 | |||||
Total | $7,759 | |||||
FINANCIAL_INSTRUMENTS_Tables
FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
FINANCIAL INSTRUMENTS | ' | ||||||||
Summary of the amounts recognized in the (gain) loss on derivative financial instruments line item of the consolidated statements of income (loss) and comprehensive income (loss) | ' | ||||||||
Year Ended December 31, | |||||||||
2013 | 2012 | 2011 | |||||||
Premiums realized on written foreign exchange call options | $3,375 | $1,505 | $4,995 | ||||||
Realized loss on foreign exchange forwards | – | – | (1,407 | ) | |||||
Realized gain on zinc derivative financial instruments | 60 | 430 | 3,419 | ||||||
Realized gain on copper derivative financial instruments | – | 63 | 79 | ||||||
Realized loss on silver derivative financial instruments | – | – | (3,403 | ) | |||||
Mark-to-market gain on derivative equity contracts(i) | 1,389 | – | – | ||||||
Mark-to-market loss on warrants(i) | (488 | ) | (1,294 | ) | – | ||||
Realized loss on warrants | (2,827 | ) | – | – | |||||
Realized loss on heating oil derivative financial instruments | – | (1,523 | ) | – | |||||
Gain (loss) on derivative financial instruments | $1,509 | $(819 | ) | $3,683 | |||||
Note: | |||||||||
(i) | |||||||||
Mark-to-market gains and losses on financial instruments that did not qualify for hedge accounting are recognized through the (gain) loss on derivative financial instruments line item of the consolidated statements of income (loss) and comprehensive income (loss) and through the other line item of the consolidated statements of cash flow. | |||||||||
LOSS_ON_GOLDEX_MINE_Tables
LOSS ON GOLDEX MINE (Tables) | 12 Months Ended | |||
Dec. 31, 2013 | ||||
LOSS ON GOLDEX MINE | ' | |||
Schedule of loss on Goldex Mine | ' | |||
Impairment loss on Goldex mine property, plant, and mine development | $ | 237,110 | ||
Loss on underground ore stockpile | 16,641 | |||
Supplies inventory obsolescence provision | 1,915 | |||
Increase in environmental remediation liability | 47,227 | |||
Loss on Goldex mine (before income and mining taxes) for the year ended December 31, 2011 | $ | 302,893 | ||
IMPAIRMENT_LOSS_Tables
IMPAIRMENT LOSS (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
IMPAIRMENT LOSS | ' | |||||||||||
Schedule of impairment losses | ' | |||||||||||
As at December 31, 2013 | ||||||||||||
Pre-impairment | Impairment | Post-impairment | Impairment Loss | |||||||||
Carrying Value | Loss | Carrying Value | (net of tax) | |||||||||
Property, plant and mine development: | ||||||||||||
Meadowbank mine | $732,499 | $(269,269 | ) | $463,230 | $(194,511 | ) | ||||||
Lapa mine | 136,766 | (67,894 | ) | 68,872 | (41,687 | ) | ||||||
$869,265 | $(337,163 | ) | $532,102 | $(236,198 | ) | |||||||
Goodwill: | ||||||||||||
Meliadine project | $200,064 | $(200,064 | ) | $– | $(200,064 | ) | ||||||
$(537,227 | ) | $(436,262 | ) | |||||||||
As at December 31, 2011 | ||||||||||||
Pre-impairment | Impairment | Post-impairment | Impairment Loss | |||||||||
Carrying Value | Loss | Carrying Value | (net of tax) | |||||||||
Property, plant and mine development: | ||||||||||||
Meadowbank mine | $1,670,838 | $(907,681 | ) | $763,157 | $(644,903 | ) | ||||||
SEGMENTED_INFORMATION_Tables
SEGMENTED INFORMATION (Tables) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
SEGMENTED INFORMATION | ' | ||||||||||||||||||
Segment reporting information | ' | ||||||||||||||||||
Northern Business: | LaRonde mine, Lapa mine, Goldex mine, Meadowbank mine, Meliadine project and Kittila mine | ||||||||||||||||||
Southern Business: | Pinos Altos mine, Creston Mascota deposit at Pinos Altos and La India project | ||||||||||||||||||
Exploration: | United States Exploration office, Europe Exploration office, Canada Exploration offices and Latin America Exploration office | ||||||||||||||||||
Segment revenue and assets by geographical area | ' | ||||||||||||||||||
Year ended | Revenues | Production | Exploration | Impairment | Segment | ||||||||||||||
December 31, 2013 | from Mining | Costs | and Corporate | Loss | Income | ||||||||||||||
Operations | Development | (Loss) | |||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 329,900 | $ | (229,911 | ) | $ | — | $ | — | $ | 99,989 | ||||||||
Lapa mine | 141,167 | (69,532 | ) | — | (67,894 | ) | 3,741 | ||||||||||||
Goldex mine | 21,418 | (13,172 | ) | — | — | 8,246 | |||||||||||||
Meadowbank mine | 591,473 | (363,894 | ) | — | (269,269 | ) | (41,690 | ) | |||||||||||
Meliadine project | — | — | — | (200,064 | ) | (200,064 | ) | ||||||||||||
Kittila mine | 209,723 | (98,446 | ) | — | — | 111,277 | |||||||||||||
Total Northern Business | $ | 1,293,681 | $ | (774,955 | ) | $ | — | $ | (537,227 | ) | $ | (18,501 | ) | ||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 303,203 | $ | (130,129 | ) | $ | — | $ | — | $ | 173,074 | ||||||||
Creston Mascota deposit at Pinos Altos | 41,522 | (19,843 | ) | — | — | 21,679 | |||||||||||||
Total Southern Business | $ | 344,725 | $ | (149,972 | ) | $ | — | $ | — | $ | 194,753 | ||||||||
Exploration | $ | — | $ | — | $ | (44,236 | ) | $ | — | $ | (44,236 | ) | |||||||
Segment income (loss) | $ | 1,638,406 | $ | (924,927 | ) | $ | (44,236 | ) | $ | (537,227 | ) | $ | 132,016 | ||||||
Segment income | $ | 132,016 | |||||||||||||||||
Corporate and other: | |||||||||||||||||||
Foreign currency translation gain | 7,188 | ||||||||||||||||||
Amortization of property, plant and mine development | (296,078 | ) | |||||||||||||||||
Interest and sundry expense | (8,824 | ) | |||||||||||||||||
Gain on sale of available-for-sale securities | 74 | ||||||||||||||||||
Gain on derivative financial instruments | 1,509 | ||||||||||||||||||
General and administrative | (115,800 | ) | |||||||||||||||||
Impairment loss on available-for-sale securities | (34,272 | ) | |||||||||||||||||
Provincial capital tax | 1,504 | ||||||||||||||||||
Interest expense | (57,999 | ) | |||||||||||||||||
Loss before income and mining taxes | $ | (370,682 | ) | ||||||||||||||||
Year ended | Revenues | Production | Exploration | Segment | |||||||||||||||
December 31, 2012 | from Mining | Costs | and Corporate | Income | |||||||||||||||
Operations | Development | (Loss) | |||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 399,243 | $ | (225,647 | ) | $ | — | $ | 173,596 | ||||||||||
Lapa mine | 173,753 | (73,376 | ) | — | 100,377 | ||||||||||||||
Goldex mine | — | — | (37,627 | ) | (37,627 | ) | |||||||||||||
Meadowbank mine | 609,625 | (347,710 | ) | — | 261,915 | ||||||||||||||
Kittila mine | 284,429 | (98,037 | ) | — | 186,392 | ||||||||||||||
Total Northern Business | $ | 1,467,050 | $ | (744,770 | ) | $ | (37,627 | ) | $ | 684,653 | |||||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 363,113 | $ | (128,618 | ) | $ | — | $ | 234,495 | ||||||||||
Creston Mascota deposit at Pinos Altos | 87,551 | (24,324 | ) | — | 63,227 | ||||||||||||||
Total Southern Business | $ | 450,664 | $ | (152,942 | ) | $ | — | $ | 297,722 | ||||||||||
Exploration | $ | — | $ | — | $ | (71,873 | ) | $ | (71,873 | ) | |||||||||
Segment income (loss) | $ | 1,917,714 | $ | (897,712 | ) | $ | (109,500 | ) | $ | 910,502 | |||||||||
Segment income | $ | 910,502 | |||||||||||||||||
Corporate and other: | |||||||||||||||||||
Foreign currency translation loss | (16,320 | ) | |||||||||||||||||
Amortization of property, plant and mine development | (271,861 | ) | |||||||||||||||||
Interest and sundry expense | (2,389 | ) | |||||||||||||||||
Gain on sale of available-for-sale securities | 9,733 | ||||||||||||||||||
Loss on derivative financial instruments | (819 | ) | |||||||||||||||||
General and administrative | (119,085 | ) | |||||||||||||||||
Impairment loss on available-for-sale securities | (12,732 | ) | |||||||||||||||||
Provincial capital tax | (4,001 | ) | |||||||||||||||||
Interest expense | (57,887 | ) | |||||||||||||||||
Income before income and mining taxes | $ | 435,141 | |||||||||||||||||
Year ended | Revenues | Production | Exploration | Loss on | Impairment | Segment | |||||||||||||
December 31, 2011 | from Mining | Costs | and Corporate | Goldex | Loss | (Loss) | |||||||||||||
Operations | Development | Mine | Income | ||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 398,609 | $ | (209,947 | ) | $ | — | $ | — | $ | — | $ | 188,662 | ||||||
Lapa mine | 167,536 | (68,599 | ) | — | — | — | 98,937 | ||||||||||||
Goldex mine | 217,662 | (56,939 | ) | — | (302,893 | ) | — | (142,170 | ) | ||||||||||
Meadowbank mine | 434,051 | (284,502 | ) | — | — | (907,681 | ) | (758,132 | ) | ||||||||||
Kittila mine | 225,612 | (110,477 | ) | — | — | — | 115,135 | ||||||||||||
Total Northern Business | $ | 1,443,470 | $ | (730,464 | ) | $ | — | $ | (302,893 | ) | $ | (907,681 | ) | $ | (497,568 | ) | |||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 321,074 | $ | (131,044 | ) | $ | — | $ | — | $ | — | $ | 190,030 | ||||||
Creston Mascota deposit at Pinos Altos | 57,255 | (14,570 | ) | — | 42,685 | ||||||||||||||
Total Southern Business | $ | 378,329 | $ | (145,614 | ) | $ | — | $ | — | $ | — | $ | 232,715 | ||||||
Exploration | $ | — | $ | — | $ | (75,721 | ) | $ | — | $ | — | $ | (75,721 | ) | |||||
Segment income (loss) | $ | 1,821,799 | $ | (876,078 | ) | $ | (75,721 | ) | $ | (302,893 | ) | $ | (907,681 | ) | $ | (340,574 | ) | ||
Segment loss | $ | (340,574 | ) | ||||||||||||||||
Corporate and other: | |||||||||||||||||||
Foreign currency translation gain | 1,082 | ||||||||||||||||||
Amortization of property, plant and mine development | (261,781 | ) | |||||||||||||||||
Interest and sundry expense | (5,188 | ) | |||||||||||||||||
Gain on sale of available-for-sale securities | 4,907 | ||||||||||||||||||
Gain on derivative financial instruments | 3,683 | ||||||||||||||||||
General and administrative | (107,926 | ) | |||||||||||||||||
Impairment loss on available-for-sale securities | (8,569 | ) | |||||||||||||||||
Provincial capital tax | (9,223 | ) | |||||||||||||||||
Interest expense | (55,039 | ) | |||||||||||||||||
Loss before income and mining taxes | $ | (778,628 | ) | ||||||||||||||||
Total Assets as at December 31, | |||||||||||||||||||
2013 | 2012 | ||||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 878,719 | $ | 849,304 | |||||||||||||||
Lapa mine | 78,293 | 168,712 | |||||||||||||||||
Goldex mine | 120,601 | 56,819 | |||||||||||||||||
Meadowbank mine | 711,387 | 1,005,890 | |||||||||||||||||
Meliadine project | 877,923 | 1,015,485 | |||||||||||||||||
Kittila mine | 870,332 | 837,002 | |||||||||||||||||
Total Northern Business | $ | 3,537,255 | $ | 3,933,212 | |||||||||||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 537,560 | $ | 610,217 | |||||||||||||||
Creston Mascota deposit at Pinos Altos | 86,185 | 68,735 | |||||||||||||||||
La India project | 512,450 | 377,049 | |||||||||||||||||
Total Southern Business | 1,136,195 | 1,056,001 | |||||||||||||||||
Exploration | 19,838 | 19,225 | |||||||||||||||||
Corporate and other | 266,071 | 247,681 | |||||||||||||||||
Total | $ | 4,959,359 | $ | 5,256,119 | |||||||||||||||
Schedule of capital expenditures | ' | ||||||||||||||||||
Capital Expenditures | |||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||
Northern Business: | |||||||||||||||||||
LaRonde mine | $ | 84,292 | $ | 75,214 | $ | 90,735 | |||||||||||||
Lapa mine | 22,738 | 18,475 | 18,397 | ||||||||||||||||
Goldex mine | 65,063 | 26,822 | 42,232 | ||||||||||||||||
Meadowbank mine | 76,811 | 105,095 | 116,860 | ||||||||||||||||
Meliadine project | 61,412 | 83,343 | 73,944 | ||||||||||||||||
Kittila mine | 83,770 | 60,036 | 86,514 | ||||||||||||||||
Total Northern Business | $ | 394,086 | $ | 368,985 | $ | 428,682 | |||||||||||||
Southern Business: | |||||||||||||||||||
Pinos Altos mine | $ | 42,835 | $ | 24,212 | $ | 32,407 | |||||||||||||
Creston Mascota deposit at Pinos Altos | 17,582 | 5,777 | 7,559 | ||||||||||||||||
La India project | 116,786 | 39,236 | — | ||||||||||||||||
Total Southern Business | $ | 177,203 | $ | 69,225 | $ | 39,966 | |||||||||||||
Exploration | $ | — | $ | 55 | $ | 8,561 | |||||||||||||
Corporate and other | $ | 6,500 | $ | 7,285 | $ | 5,622 | |||||||||||||
Total | $ | 577,789 | $ | 445,550 | $ | 482,831 | |||||||||||||
Schedule of changes in the carrying amount of goodwill by segment | ' | ||||||||||||||||||
Meliadine project | La India project | Corporate | Total | ||||||||||||||||
and other | |||||||||||||||||||
Cost | |||||||||||||||||||
Balance at January 1, 2013 | $ | 200,064 | $ | 29,215 | $ | – | $ | 229,279 | |||||||||||
Purchase of Urastar Gold Corporation (note 10) | – | – | 9,802 | 9,802 | |||||||||||||||
Balance at December 31, 2013 | $ | 200,064 | $ | 29,215 | $ | 9,802 | $ | 239,081 | |||||||||||
Accumulated impairment | |||||||||||||||||||
Balance at January 1, 2013 | $ | – | $ | – | $ | – | $ | – | |||||||||||
Impairment loss | (200,064 | ) | – | – | (200,064 | ) | |||||||||||||
Balance at December 31, 2013 | $ | (200,064 | ) | $ | – | $ | – | $ | (200,064 | ) | |||||||||
Carrying amount | $ | – | $ | 29,215 | $ | 9,802 | $ | 39,017 | |||||||||||
TRADE_RECEIVABLES_AND_REVENUES2
TRADE RECEIVABLES AND REVENUES FROM MINING OPERATIONS (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Product Information | ' | ' | ' |
Revenue from mining operation | $1,638,406,000 | $1,917,714,000 | $1,821,799,000 |
Gold | ' | ' | ' |
Product Information | ' | ' | ' |
Revenue from mining operation | 1,500,354,000 | 1,712,665,000 | 1,563,760,000 |
Silver | ' | ' | ' |
Product Information | ' | ' | ' |
Revenue from mining operation | 100,895,000 | 140,221,000 | 171,725,000 |
Zinc | ' | ' | ' |
Product Information | ' | ' | ' |
Revenue from mining operation | 16,685,000 | 45,797,000 | 70,522,000 |
Percentage of revenue from byproduct metals to total revenue from mining operations | 1.00% | 2.00% | 4.00% |
Copper | ' | ' | ' |
Product Information | ' | ' | ' |
Revenue from mining operation | 20,653,000 | 19,019,000 | 14,451,000 |
Percentage of revenue from byproduct metals to total revenue from mining operations | 1.00% | 1.00% | 1.00% |
Lead | ' | ' | ' |
Product Information | ' | ' | ' |
Revenue from mining operation | -181,000 | 12,000 | 1,341,000 |
Revenue that is nettled against concentrate direct fees | 900,000 | ' | ' |
Concentrate direct fees | $1,100,000 | ' | ' |
Gold & Silver | ' | ' | ' |
Product Information | ' | ' | ' |
Percentage of revenue from precious metal to total revenue from mining operations | 98.00% | 97.00% | 95.00% |
OTHER_ASSETS_Details
OTHER ASSETS (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Other current assets | ' | ' | ' |
Federal, provincial and other sales taxes receivable | $71,053,000 | $36,400,000 | ' |
Prepaid expenses | 35,396,000 | 36,119,000 | ' |
Insurance receivable | 1,369,000 | 6,553,000 | ' |
Receivables from employees | 780,000 | 1,800,000 | ' |
Retirement compensation arrangement plan refundable tax receivable | ' | 4,044,000 | ' |
Other | 8,395,000 | 8,061,000 | ' |
Other current assets, total | 116,993,000 | 92,977,000 | ' |
Schedule of Available-for-sale Securities | ' | ' | ' |
Proceeds from available-for-sale securities | 200,000 | 73,400,000 | 9,400,000 |
Gain on sale of available-for-sale securities | 100,000 | 9,700,000 | 4,900,000 |
Estimated fair value | 74,581,000 | 44,719,000 | ' |
Other than temporary impairment loss on available-for-sale securities | 34,272,000 | 12,732,000 | 8,569,000 |
Other assets | ' | ' | ' |
Deferred financing costs, less accumulated amortization | 12,644,000 | 15,836,000 | ' |
Accumulated amortization of non-current deferred financing costs | 11,420,000 | 8,888,000 | ' |
Other | 7,559,000 | 7,291,000 | ' |
Other assets non-current | 66,394,000 | 55,838,000 | ' |
Long-term ore in stockpile | 46,191,000 | 32,711,000 | ' |
Pinos Altos mine | ' | ' | ' |
Other assets | ' | ' | ' |
Long-term ore in stockpile | 2,500,000 | 4,100,000 | ' |
Creston Mascota deposit at Pinos Altos | ' | ' | ' |
Other assets | ' | ' | ' |
Long-term ore in stockpile | 8,200,000 | 10,700,000 | ' |
Kittila mine | ' | ' | ' |
Other assets | ' | ' | ' |
Long-term ore in stockpile | 26,700,000 | 7,700,000 | ' |
Meadowbank mine | ' | ' | ' |
Other assets | ' | ' | ' |
Long-term ore in stockpile | 7,800,000 | 10,200,000 | ' |
La India project | ' | ' | ' |
Other assets | ' | ' | ' |
Long-term ore in stockpile | 1,000,000 | ' | ' |
Available-for-sale securities in an unrealized gain position | ' | ' | ' |
Schedule of Available-for-sale Securities | ' | ' | ' |
Cost (net of impairments) | 30,583,000 | 4,352,000 | ' |
Unrealized gains (losses) in accumulated other comprehensive loss | 11,530,000 | 1,902,000 | ' |
Estimated fair value | 42,113,000 | 6,254,000 | ' |
Available-for-sale securities in an unrealized loss position | ' | ' | ' |
Schedule of Available-for-sale Securities | ' | ' | ' |
Cost (net of impairments) | 39,933,000 | 48,047,000 | ' |
Unrealized gains (losses) in accumulated other comprehensive loss | -7,465,000 | -9,582,000 | ' |
Estimated fair value | 32,468,000 | 38,465,000 | ' |
Other than temporary impairment loss on available-for-sale securities | $34,300,000 | $12,700,000 | $8,600,000 |
Maximum duration of impairment for investments in available-for-sale securities | '3 months | ' | ' |
PROPERTY_PLANT_AND_MINE_DEVELO2
PROPERTY, PLANT AND MINE DEVELOPMENT (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
item | ||
Property, Plant and Mine Development | ' | ' |
Cost | $5,041,109,000 | $5,010,088,000 |
Accumulated Amortization | 991,992,000 | 942,632,000 |
Net Book Value | 4,049,117,000 | 4,067,456,000 |
Capitalized costs of computer software | 2,500,000 | 1,300,000 |
Amortization expense of computer software | 1,400,000 | 1,200,000 |
Unamortized capitalized cost of computer software | 6,800,000 | 5,700,000 |
Unamortized capitalized cost for leasehold improvements | 3,300,000 | 3,400,000 |
Number of renewal periods after life of the lease that leasehold improvements are amortized over | 1 | ' |
Canada | ' | ' |
Property, Plant and Mine Development | ' | ' |
Net Book Value | 2,312,166,000 | 2,543,171,000 |
United States | ' | ' |
Property, Plant and Mine Development | ' | ' |
Net Book Value | 10,269,000 | 10,698,000 |
Finland | ' | ' |
Property, Plant and Mine Development | ' | ' |
Net Book Value | 763,711,000 | 704,031,000 |
Mexico | ' | ' |
Property, Plant and Mine Development | ' | ' |
Net Book Value | 962,971,000 | 809,556,000 |
Mining properties | ' | ' |
Property, Plant and Mine Development | ' | ' |
Cost | 1,361,867,000 | 1,356,227,000 |
Accumulated Amortization | 89,700,000 | 86,839,000 |
Net Book Value | 1,272,167,000 | 1,269,388,000 |
Plant and equipment | ' | ' |
Property, Plant and Mine Development | ' | ' |
Cost | 2,286,887,000 | 2,538,328,000 |
Accumulated Amortization | 662,394,000 | 617,826,000 |
Net Book Value | 1,624,493,000 | 1,920,502,000 |
Mine development costs | ' | ' |
Property, Plant and Mine Development | ' | ' |
Cost | 1,038,564,000 | 918,482,000 |
Accumulated Amortization | 239,898,000 | 237,967,000 |
Net Book Value | 798,666,000 | 680,515,000 |
Meliadine project | ' | ' |
Property, Plant and Mine Development | ' | ' |
Cost | 192,413,000 | 133,840,000 |
Net Book Value | 192,413,000 | 133,840,000 |
La India project | ' | ' |
Property, Plant and Mine Development | ' | ' |
Cost | 161,378,000 | 32,553,000 |
Net Book Value | 161,378,000 | 32,553,000 |
Goldex mine M and E zones | ' | ' |
Property, Plant and Mine Development | ' | ' |
Cost | ' | 30,658,000 |
Net Book Value | ' | $30,658,000 |
FAIR_VALUE_MEASUREMENT_Details
FAIR VALUE MEASUREMENT (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Other disclosure | ' | ' | ' |
Impairment losses related to property, plant and mine development and goodwill (net of tax) | $436,300,000 | ' | $644,900,000 |
Fair value measured on recurring basis | Level 1 | ' | ' | ' |
Financial assets: | ' | ' | ' |
Available-for-sale securities | 74,581,000 | 44,719,000 | ' |
Total financial assets | 74,581,000 | 44,719,000 | ' |
Fair value measured on recurring basis | Level 2 | ' | ' | ' |
Financial assets: | ' | ' | ' |
Trade receivables | 67,300,000 | 67,750,000 | ' |
Fair value of derivative financial instruments | 5,590,000 | 2,112,000 | ' |
Total financial assets | 72,890,000 | 69,862,000 | ' |
Financial liabilities: | ' | ' | ' |
Fair value of derivative financial instruments | 467,000 | 277,000 | ' |
Fair value measured on recurring basis | Total | ' | ' | ' |
Financial assets: | ' | ' | ' |
Trade receivables | 67,300,000 | 67,750,000 | ' |
Available-for-sale securities | 74,581,000 | 44,719,000 | ' |
Fair value of derivative financial instruments | 5,590,000 | 2,112,000 | ' |
Total financial assets | 147,471,000 | 114,581,000 | ' |
Financial liabilities: | ' | ' | ' |
Fair value of derivative financial instruments | $467,000 | $277,000 | ' |
LONGTERM_DEBT_Details
LONG-TERM DEBT (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | ||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 22, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Jul. 24, 2012 | Jul. 24, 2012 | Jul. 24, 2012 | Dec. 31, 2013 | Apr. 07, 2010 | Apr. 07, 2010 | Apr. 07, 2010 | Apr. 07, 2010 | |
Credit Facilities | Credit Facilities | Credit Facilities | Credit Facilities | Guaranteed senior unsecured notes | Guaranteed senior unsecured notes | Guaranteed senior unsecured notes | 2012 Notes | 2012 Notes | Series A maturing in 2022 | Series B maturing in 2024 | 2010 Notes | 2010 Notes | Series A maturing in 2017 | Series B maturing in 2020 | Series C maturing in 2022 | ||||
item | |||||||||||||||||||
Debt instrument | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of credit facilities | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity of line of credit | ' | ' | ' | $900,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount available under credit facilities after amendment | ' | ' | ' | 1,200,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount drawn down on the credit facility | ' | ' | ' | ' | 200,000,000 | 30,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Availability under credit facility | ' | ' | ' | ' | 998,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000,000 | 200,000,000 | ' | ' | 600,000,000 | 600,000,000 | ' | ' | ' |
Proceeds from private placement of guaranteed senior unsecured notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000,000 | 100,000,000 | ' | ' | 115,000,000 | 360,000,000 | 125,000,000 |
Interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.87% | 5.02% | ' | ' | 6.13% | 6.67% | 6.77% |
Weighted average maturity term on guaranteed senior unsecured notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '11 years | ' | ' | ' | '9 years 10 months 2 days | ' | ' | ' |
Guaranteed senior unsecured notes, weighted average yield (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.95% | ' | ' | ' | 6.59% | ' | ' | ' |
Interest expense | 57,999,000 | 57,887,000 | 55,039,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash interest payments | 58,152,000 | 52,213,000 | 52,833,000 | ' | 1,800,000 | 3,600,000 | 1,700,000 | 49,400,000 | 39,500,000 | 39,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash standby fees | ' | ' | ' | ' | 4,800,000 | 4,200,000 | 8,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest expenditures capitalized to construction property, plant and mine development | $3,500,000 | $1,500,000 | $1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average interest rate (as a percent) | 5.37% | 6.02% | 5.02% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
RECLAMATION_PROVISION_AND_OTHE2
RECLAMATION PROVISION AND OTHER LIABILITIES (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
RECLAMATION PROVISION AND OTHER LIABILITIES | ' | ' |
Reclamation provision (note 6(a)) | $150,849 | $101,753 |
Long-term portion of capital lease obligations (note 13(a)) | 11,843 | 12,108 |
Pension benefits (note 6(b)) | 15,278 | 13,734 |
Other | 266 | 140 |
Total | $178,236 | $127,735 |
RECLAMATION_PROVISION_AND_OTHE3
RECLAMATION PROVISION AND OTHER LIABILITIES (Details 2) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Reclamation provisions | ' | ' |
Asset retirement obligations, long-term, beginning of year | $89,720 | $86,386 |
Asset retirement obligations - current, beginning of year | 4,630 | ' |
Current year additions and changes in estimate, net | 44,898 | 1,495 |
Current year accretion | 4,624 | 5,068 |
Liabilities settled | -853 | -254 |
Foreign exchange revaluation | -3,678 | 1,655 |
Reclassification from long-term to current, end of year | -1,029 | -4,630 |
Asset retirement obligations - long-term, end of year | 138,312 | 89,720 |
Goldex mine | ' | ' |
Environmental remediation liability | ' | ' |
Environmental remediation liability - long-term, beginning of year | 12,033 | 19,057 |
Environmental remediation liability - current, beginning of year | 12,186 | 26,069 |
Current year additions and changes in estimate, net | 1,005 | -36 |
Liabilities settled | -9,045 | -21,450 |
Foreign exchange revaluation | -1,219 | 579 |
Reclassification from long-term to current | -2,423 | -12,186 |
Environmental remediation liability - long-term, end of year | $12,537 | $12,033 |
RECLAMATION_PROVISION_AND_OTHE4
RECLAMATION PROVISION AND OTHER LIABILITIES (Details 3) (Executives Plan, USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Executives Plan | ' | ' | ' |
Components of net pension benefits expense | ' | ' | ' |
Service cost - benefits earned during the year | $457,000 | $650,000 | $996,000 |
Interest cost on projected benefit obligation | 431,000 | 489,000 | 663,000 |
Amortization of net transition asset | 164,000 | 169,000 | 171,000 |
Prior service cost | 25,000 | 26,000 | 26,000 |
Loss due to settlement | ' | 2,921,000 | ' |
Recognized net actuarial loss | 379,000 | 340,000 | 245,000 |
Net pension benefits expense | 1,456,000 | 4,595,000 | 2,101,000 |
Accumulated benefit obligation | 9,600,000 | 9,700,000 | ' |
Reconciliation of the market value of plan assets: | ' | ' | ' |
Fair value of plan assets, beginning of year | 2,373,000 | 2,952,000 | ' |
Agnico Eagle's contribution | 374,000 | 839,000 | ' |
Benefit payments | -244,000 | -520,000 | ' |
Settlements | ' | -961,000 | ' |
Effect of exchange rate changes | -157,000 | 63,000 | ' |
Fair value of plan assets, end of year | 2,346,000 | 2,373,000 | 2,952,000 |
Reconciliation of projected benefit obligation: | ' | ' | ' |
Projected benefit obligation, beginning of year | 10,818,000 | 14,370,000 | ' |
Service cost | 456,000 | 650,000 | ' |
Interest cost | 431,000 | 489,000 | ' |
Net actuarial losses | 573,000 | 675,000 | ' |
Benefit payments | -244,000 | -520,000 | ' |
Settlements | ' | -5,148,000 | ' |
Effect of exchange rate changes | -736,000 | 302,000 | ' |
Projected benefit obligation, end of year | 11,298,000 | 10,818,000 | 14,370,000 |
Deficiency of plan assets compared with projected benefit obligation | -8,952,000 | -8,445,000 | ' |
Comprised of the following net amounts recognized in the consolidated balance sheets : | ' | ' | ' |
Accrued employee benefit liability | 5,733,000 | 5,008,000 | ' |
Accumulated other comprehensive loss | ' | ' | ' |
Transition obligation | 159,000 | 341,000 | ' |
Prior service cost | 24,000 | 52,000 | ' |
Net actuarial loss | 3,036,000 | 3,044,000 | ' |
Net liability | 8,952,000 | 8,445,000 | ' |
Assumptions: | ' | ' | ' |
Weighted average discount rate - net periodic pension cost (as a percent) | 4.00% | 4.45% | ' |
Weighted average discount rate - projected benefit obligation (as a percent) | 4.90% | 4.00% | ' |
Weighted average rate of compensation increase (as a percent) | 3.00% | 3.00% | ' |
Estimated average remaining service life for the plan | '5 years | '6 years | ' |
Components expected to be recognized in accumulated other comprehensive loss in 2014: | ' | ' | ' |
Transition obligation | 159,000 | ' | ' |
Prior service cost | 24,000 | ' | ' |
Net actuarial loss | 476,000 | ' | ' |
Expected recognition in 2014 of amounts in accumulated other comprehensive income (loss) | 659,000 | ' | ' |
Estimated future benefit payments from the plan | ' | ' | ' |
2014 | 109,000 | ' | ' |
2015 | 107,000 | ' | ' |
2016 | 105,000 | ' | ' |
2017 | 103,000 | ' | ' |
2018 | 102,000 | ' | ' |
2019 - 2023 | $5,295,000 | ' | ' |
RECLAMATION_PROVISION_AND_OTHE5
RECLAMATION PROVISION AND OTHER LIABILITIES (Details 4) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Basic defined contribution pension plan | ' | ' | ' |
Defined contribution plan | ' | ' | ' |
Employer contribution to defined contribution plan, percentage of base employment compensation | 5.00% | ' | ' |
Defined contribution pension plan amount contributed | $12.50 | $11.90 | $10.70 |
Supplemental defined contribution pension plan | ' | ' | ' |
Defined contribution plan | ' | ' | ' |
Additional contribution by employer to defined contribution plan (as a percent) | 10.00% | ' | ' |
Defined contribution pension plan amount contributed | $1.20 | $0.80 | $0.90 |
SHAREHOLDERS_EQUITY_Details
SHAREHOLDERS' EQUITY (Details) (USD $) | 0 Months Ended | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 03, 2008 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
warrantsperequityunit | ||||
SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Issued common shares including treasury shares | ' | 174,181,163 | 172,296,610 | ' |
Treasury shares related to restricted share unit plan | ' | 227,188 | 193,740 | ' |
Dividends declared (in dollars per share) | ' | $0.66 | $1.02 | ' |
Units issued in private placement (in units) | 9,200,000 | ' | ' | ' |
Common shares included in each unit of private placement | 1 | ' | ' | ' |
Common share purchase warrants included in each unit of private placement | 0.5 | ' | ' | ' |
Warrant exercise price (in dollars per share) | $47.25 | ' | ' | ' |
Warrant exercise period | '5 years | ' | ' | ' |
Additional warrants issued as consideration for the lead purchaser's commitment (in shares) | 4,000,000 | ' | ' | ' |
Net proceeds from private placement (in dollars) | $281 | ' | ' | ' |
Share issuance costs (in dollars) | $8.80 | ' | ' | ' |
SHAREHOLDERS_EQUITY_Details_2
SHAREHOLDERS' EQUITY (Details 2) (Grayd, USD $) | 0 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Jan. 23, 2012 | Nov. 18, 2011 |
Grayd | ' | ' |
Business and Properties Acquisition | ' | ' |
Number of shares issued for acquisition of mining claims and properties | 68,941 | 1,250,477 |
Newly issued Agnico Eagle shares value | $2,400 | $56,146 |
Percentage of outstanding shares acquired | 5.23% | 94.77% |
SHAREHOLDERS_EQUITY_Details_3
SHAREHOLDERS' EQUITY (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Changes in accumulated other comprehensive loss by component | ' | ' | ' |
Accumulated other comprehensive (loss) income, beginning of period | ($27,311) | ($7,106) | ' |
Unrealized other comprehensive (loss) gain | -22,462 | -19,616 | ' |
Income tax expense (recovery) impact | 51 | -2,025 | ' |
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | 34,718 | 878 | ' |
Income tax expense (recovery) impact | -137 | 558 | ' |
Other comprehensive income (loss) for the year | 12,170 | -20,205 | -35,496 |
Accumulated other comprehensive (loss) income, end of period | -15,141 | -27,311 | -7,106 |
Cumulative Translation Adjustment | ' | ' | ' |
Changes in accumulated other comprehensive loss by component | ' | ' | ' |
Accumulated other comprehensive (loss) income, end of period | -16,206 | -16,206 | -16,206 |
Available-for-sale Securities and Other Investments | ' | ' | ' |
Changes in accumulated other comprehensive loss by component | ' | ' | ' |
Accumulated other comprehensive (loss) income, beginning of period | -7,680 | 16,350 | ' |
Unrealized other comprehensive (loss) gain | -22,553 | -27,029 | ' |
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | 34,198 | 2,999 | ' |
Other comprehensive income (loss) for the year | 11,645 | -24,030 | ' |
Accumulated other comprehensive (loss) income, end of period | 3,965 | -7,680 | ' |
Derivative Financial Instruments | ' | ' | ' |
Changes in accumulated other comprehensive loss by component | ' | ' | ' |
Accumulated other comprehensive (loss) income, beginning of period | 72 | -2,913 | ' |
Unrealized other comprehensive (loss) gain | -284 | 6,882 | ' |
Income tax expense (recovery) impact | 150 | -1,885 | ' |
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | -117 | -2,738 | ' |
Income tax expense (recovery) impact | 31 | 721 | ' |
Other comprehensive income (loss) for the year | -220 | 2,985 | ' |
Accumulated other comprehensive (loss) income, end of period | -148 | 72 | ' |
Pension Benefits | ' | ' | ' |
Changes in accumulated other comprehensive loss by component | ' | ' | ' |
Accumulated other comprehensive (loss) income, beginning of period | -3,497 | -4,337 | ' |
Unrealized other comprehensive (loss) gain | 375 | 531 | ' |
Income tax expense (recovery) impact | -99 | -140 | ' |
Reclassifications from accumulated other comprehensive (loss) income to the Consolidated Statements of Income (Loss) | 637 | 617 | ' |
Income tax expense (recovery) impact | -168 | -163 | ' |
Other comprehensive income (loss) for the year | 745 | 840 | ' |
Accumulated other comprehensive (loss) income, end of period | ($2,752) | ($3,497) | ' |
SHAREHOLDERS_EQUITY_Details_4
SHAREHOLDERS' EQUITY (Details 4) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Net income (loss) per share | ' | ' | ' |
Weighted average number of common shares outstanding - basic (in shares) | 172,892,654 | 171,250,179 | 169,352,896 |
Dilutive impact of shares related to RSU plan (in shares) | ' | 235,436 | ' |
Weighted average number of common shares outstanding - diluted (in shares) | 172,892,654 | 171,485,615 | 169,352,896 |
Anti-dilutive shares | ' | ' | ' |
Employee stock options excluded from the computation of diluted weighted average common shares (in shares) | ' | 7,742,151 | ' |
STOCKBASED_COMPENSATION_Detail
STOCK-BASED COMPENSATION (Details) | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | ||||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Jan. 02, 2014 | 31-May-05 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | 31-May-08 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | Incentive Share Purchase Plan | Incentive Share Purchase Plan | Incentive Share Purchase Plan | Incentive Share Purchase Plan | Incentive Share Purchase Plan | Restricted Share Unit Plan | Restricted Share Unit Plan | Restricted Share Unit Plan | |
USD ($) | CAD | USD ($) | CAD | USD ($) | CAD | Subsequent Event | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||
Share-based compensation arrangements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum percentage of shares subject to options as a percentage of company's common shares issued and outstanding | 5.00% | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum term of options granted after April 24, 2001 under ESOP | '5 years | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares reserved for issuance before increase in the number of shares approved | ' | ' | ' | ' | ' | ' | ' | 2,500,000 | ' | ' | ' | ' | ' | ' | ' |
Additional number of shares reserved for issuance | 2,000,000 | 2,000,000 | 2,500,000 | 2,500,000 | 3,000,000 | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common shares reserved for issuance, authorized | ' | ' | ' | ' | 23,300,000 | 23,300,000 | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | ' |
Common shares reserved for issuance | 11,283,535 | 11,283,535 | ' | ' | ' | ' | ' | ' | 829,907 | 1,642,853 | 2,150,088 | ' | ' | ' | ' |
Stock options granted (in shares) | 2,803,000 | 2,803,000 | 3,257,000 | 3,257,000 | 2,630,785 | 2,630,785 | 3,177,500 | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options vested (in shares) | 700,750 | 700,750 | 814,250 | 814,250 | 657,696 | 657,696 | 794,375 | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options vesting period that are not vested immediately | '3 years | '3 years | '3 years | '3 years | '3 years | '3 years | '3 years | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options activity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding, beginning of period (in shares) | 10,587,126 | 10,587,126 | 8,959,051 | 8,959,051 | 6,762,704 | 6,762,704 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | 2,803,000 | 2,803,000 | 3,257,000 | 3,257,000 | 2,630,785 | 2,630,785 | 3,177,500 | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (in shares) | -213,500 | -213,500 | -416,275 | -416,275 | -308,688 | -308,688 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited (in shares) | -540,206 | -540,206 | -731,000 | -731,000 | -125,750 | -125,750 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expired (in shares) | -1,352,885 | -1,352,885 | -481,650 | -481,650 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding, end of period (in shares) | 11,283,535 | 11,283,535 | 10,587,126 | 10,587,126 | 8,959,051 | 8,959,051 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options exercisable at end of period (in shares) | 7,248,295 | 7,248,295 | 6,510,464 | 6,510,464 | 5,178,172 | 5,178,172 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding, beginning of period, weighted average exercise price (in Canadian dollars per share) | ' | 56.6 | ' | 62.88 | ' | 56.94 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, weighted average exercise price (in Canadian dollars per share) | ' | 52.13 | ' | 36.99 | ' | 76.12 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised, weighted average exercise price (in Canadian dollars per share) | ' | 37.06 | ' | 43.51 | ' | 43.62 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited, weighted average exercise price (in Canadian dollars per share) | ' | 58.15 | ' | 59.72 | ' | 67.47 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expired - weighted-average exercise price (in Canadian dollars per share) | ' | 54.67 | ' | 47.49 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding, end of period, weighted average exercise price (in Canadian dollars per share) | ' | 56.02 | ' | 56.6 | ' | 62.88 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Nonvested Stock Options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-vested, beginning of year (in shares) | 4,076,662 | 4,076,662 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | 2,803,000 | 2,803,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested (in shares) | -2,661,216 | -2,661,216 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited (non-vested) (in shares) | -183,206 | -183,206 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-vested, end of year (in shares) | 4,035,240 | 4,035,240 | 4,076,662 | 4,076,662 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Grant Date Fair Value - Non-Vested Stock Options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-vested, beginning of year (in Canadian dollars per share) | ' | 13.33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in Canadian dollars per share) | ' | 11.21 | ' | 8.29 | ' | 17.05 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested (in Canadian dollars per share) | ' | 12.84 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited (unvested) (in Canadian dollars per share) | ' | 11.38 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-vested, end of year (in Canadian dollars per share) | ' | 11.44 | ' | 13.33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash received for options exercised | $8 | ' | $18.20 | ' | $13.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of options exercised | ' | 3.1 | ' | 3.6 | ' | 8 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average grant-date fair value of options granted (in Canadian dollars per share) | ' | 11.21 | ' | 8.29 | ' | 17.05 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total grant date fair value of options vested | 34.2 | ' | 41 | ' | 46.7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contribution limit as a percentage of annual salary | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | ' | ' | ' | ' | ' | ' |
Company match, as a percentage of employee contribution | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' |
Share-based compensation cost recognized | 26.4 | ' | 33.8 | ' | 42.2 | ' | ' | ' | 7.8 | 7.2 | 6.4 | ' | 12.1 | 6.6 | 3.3 |
Number of common shares subscribed under the Purchase Plan | ' | ' | ' | ' | ' | ' | ' | ' | 812,946 | 507,235 | 360,833 | ' | ' | ' | ' |
Value of common shares subscribed under the Purchase Plan | ' | ' | ' | ' | ' | ' | ' | ' | 23.4 | 21.7 | 19.2 | ' | ' | ' | ' |
Contribution by the company to employee benefit trust | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $19 | $12 | $3.70 |
STOCKBASED_COMPENSATION_Detail1
STOCK-BASED COMPENSATION (Details 2) | 12 Months Ended | 0 Months Ended | 12 Months Ended | ||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Jan. 02, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | Restricted Share Unit Plan | Restricted Share Unit Plan | Restricted Share Unit Plan | Restricted Share Unit Plan | C$33.39 - C$59.71 | C$60.72 - C$83.08 | C$33.39 - C$83.08 | |
USD ($) | USD ($) | USD ($) | CAD | USD ($) | USD ($) | USD ($) | Employee Stock Option Plan | Employee Stock Option Plan | Employee Stock Option Plan | ||
CAD | CAD | CAD | |||||||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Range of exercise price, low end of the range (in Canadian dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | 33.39 | 60.72 | 33.39 |
Range of exercise price, high end of the range (in Canadian dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | 59.71 | 83.08 | 83.08 |
Options Outstanding, Number (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 7,341,556 | 3,941,979 | 11,283,535 |
Options Outstanding, Weighted Average Remaining Contractual Life | ' | ' | ' | ' | ' | ' | ' | ' | '2 years 9 months 22 days | '1 year 1 month 20 days | '2 years 2 months 23 days |
Options Outstanding, Weighted Average Exercise Price (in Canadian dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | 48.28 | 70.43 | 56.02 |
Options Exercisable, Number (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 3,851,056 | 3,397,239 | 7,248,295 |
Options Exercisable, Weighted Average Exercise Price (in Canadian dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | 50.5 | 69.49 | 59.39 |
Weighted average remaining contractual term of options exercisable | '1 year 7 months 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common shares reserved for issuance | 11,283,535 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of un-optioned shares available for granting of options | 4,807,876 | 3,717,785 | 3,262,135 | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | 293,041 | ' | ' | ' | ' | ' | ' |
Fair value of options weighted average assumptions: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pricing model used for valuation of options | 'Black-Scholes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate (as a percent) | 1.50% | 1.26% | 1.95% | ' | ' | ' | ' | ' | ' | ' | ' |
Expected life of stock options | '2 years 7 months 6 days | '2 years 9 months 18 days | '2 years 6 months | ' | ' | ' | ' | ' | ' | ' | ' |
Expected volatility of the Company's share price (as a percent) | 35.00% | 37.50% | 34.70% | ' | ' | ' | ' | ' | ' | ' | ' |
Expected dividend yield (as a percent) | 1.82% | 2.14% | 0.89% | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value of options outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value of options exercisable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
The total compensation expense for the ESOP recognized in the general and administrative line item of the consolidated statements of income (loss) and comprehensive income (loss) | 26.4 | 33.8 | 42.2 | ' | ' | 12.1 | 6.6 | 3.3 | ' | ' | ' |
Total compensation cost related to nonvested options not yet recognized | 21.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average period over which unrecognized compensation cost expected to be recognized | '1 year 8 months 12 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation cost capitalized as a part of the property, plant and mine development line item of the consolidated balance sheets | $3.30 | $1.30 | $1.40 | ' | ' | ' | ' | ' | ' | ' | ' |
INCOME_AND_MINING_TAXES_Detail
INCOME AND MINING TAXES (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income and mining taxes expense (recovery) | ' | ' | ' |
Current income and mining taxes | $52,394,000 | $52,080,000 | $66,100,000 |
Deferred income and mining taxes | -16,550,000 | 72,145,000 | -275,773,000 |
Total income and mining taxes | 35,844,000 | 124,225,000 | -209,673,000 |
Cash income and mining taxes paid | 56,500,000 | 57,000,000 | 110,900,000 |
Reconciliation of income tax rates | ' | ' | ' |
Combined federal and composite provincial tax rates (as a percent) | 26.30% | 26.30% | 27.80% |
Increase (decrease) in tax rates resulting from: | ' | ' | ' |
Provincial mining duties (as a percent) | 1.40% | 3.60% | 5.90% |
Tax law changes (US$ election) (as a percent) | -13.60% | ' | -2.70% |
Impact of foreign tax rates (as a percent) | 2.40% | -1.50% | -0.20% |
Permanent differences (as a percent) | -25.10% | 1.00% | -1.60% |
Valuation allowances (as a percent) | -0.90% | 1.20% | -0.30% |
Impact of changes in income tax rates (as a percent) | -0.20% | -2.10% | -2.00% |
Actual rate as a percentage of pre-tax income | -9.70% | 28.50% | 26.90% |
Deferred income and mining tax liabilities | ' | ' | ' |
Mining properties | 808,449,000 | 761,508,000 | ' |
Net operating and capital loss carryforwards | -129,019,000 | -102,005,000 | ' |
Mining duties | -68,728,000 | -36,158,000 | ' |
Reclamation provisions | -44,242,000 | -42,688,000 | ' |
Valuation allowance | 26,860,000 | 30,570,000 | ' |
Deferred income and mining tax liabilities | 593,320,000 | 611,227,000 | ' |
Reconciliation of the beginning and ending amount of unrecognized tax benefits | ' | ' | ' |
Unrecognized tax benefit, beginning of year | 10,867,000 | 1,200,000 | 1,630,000 |
Additions (reductions) | ' | 9,667,000 | -430,000 |
Unrecognized tax benefit, end of year | 10,867,000 | 10,867,000 | 1,200,000 |
Canada | ' | ' | ' |
Income and mining taxes expense (recovery) | ' | ' | ' |
Current income and mining taxes | 7,934,000 | 8,750,000 | 62,382,000 |
Deferred income and mining taxes | -95,344,000 | 26,041,000 | -341,038,000 |
Mexico | ' | ' | ' |
Income and mining taxes expense (recovery) | ' | ' | ' |
Current income and mining taxes | 29,968,000 | 33,531,000 | 3,496,000 |
Deferred income and mining taxes | 93,665,000 | 25,284,000 | 54,996,000 |
Finland | ' | ' | ' |
Income and mining taxes expense (recovery) | ' | ' | ' |
Current income and mining taxes | 14,492,000 | 9,799,000 | 222,000 |
Deferred income and mining taxes | ($14,871,000) | $20,820,000 | $10,269,000 |
ACQUISITIONS_Details
ACQUISITIONS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | 16-May-13 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 23, 2012 | Nov. 18, 2011 | Dec. 31, 2011 | Dec. 20, 2011 |
Urastar | Urastar | Urastar | Grayd | Grayd | Grayd | Summit Gold Project | |||
Total purchase price: | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash paid for acquisition | ' | ' | $10,127,000 | ' | ' | $9,300,000 | $165,954,000 | ' | $8,500,000 |
Transaction costs associated with the acquisition | ' | ' | ' | 700,000 | ' | ' | ' | 3,800,000 | ' |
Percentage of outstanding shares acquired | ' | ' | ' | ' | ' | ' | 94.77% | ' | 100.00% |
Newly issued Agnico Eagle shares value | ' | ' | ' | ' | ' | ' | 56,146,000 | ' | ' |
Total purchase price to allocate | ' | ' | ' | ' | ' | 11,800,000 | 222,100,000 | ' | ' |
Agnico Eagle common shares issued for acquisition | ' | ' | ' | ' | ' | 68,941 | 1,250,477 | ' | ' |
Percentage of net smelter return production royalty the company has to pay | ' | ' | ' | ' | ' | ' | ' | ' | 2.00% |
Fair value of assets acquired and liabilities assumed: | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Mining properties | ' | ' | 1,994,000 | ' | ' | ' | 282,000,000 | ' | ' |
Goodwill | 39,017,000 | 229,279,000 | 9,802,000 | ' | ' | ' | 29,215,000 | ' | ' |
Cash and cash equivalents | ' | ' | 76,000 | ' | ' | ' | 2,907,000 | ' | ' |
Trade receivables | ' | ' | 731,000 | ' | ' | ' | 469,000 | ' | ' |
Other current assets | ' | ' | 12,000 | ' | ' | ' | 1,700,000 | ' | ' |
Plant and equipment | ' | ' | 2,000 | ' | ' | ' | 56,000 | ' | ' |
Accounts payable and accrued liabilities | ' | ' | -791,000 | ' | ' | ' | -9,767,000 | ' | ' |
Other liabilities | ' | ' | -1,573,000 | ' | ' | ' | ' | ' | ' |
Deferred tax liability | ' | ' | -126,000 | ' | ' | ' | -72,229,000 | ' | ' |
Non-controlling interest | ' | ' | ' | ' | ' | ' | -12,251,000 | ' | ' |
Net assets acquired | ' | ' | 10,127,000 | ' | ' | ' | 222,100,000 | ' | ' |
Pro forma results of operations | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pro forma net loss attributed to common shareholders | ' | ' | ' | ($409,020,000) | $307,274,000 | ' | ' | ($582,762,000) | ' |
Pro forma net loss per share-basic (in dollars per share) | ' | ' | ' | ($2.37) | $1.79 | ' | ' | ($3.42) | ' |
ACCOUNTS_PAYABLE_AND_ACCRUED_L2
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | ' | ' |
Trade payables | $80,242 | $89,289 |
Wages payable | 35,881 | 35,752 |
Accrued liabilities | 16,366 | 27,372 |
Other liabilities | 40,885 | 32,916 |
Accounts payable and accrued liabilities | $173,374 | $185,329 |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | Dec. 31, 2013 |
COMMITMENTS AND CONTINGENCIES | ' |
Guarantees provided in the form of letters of credit | $174,300,000 |
Purchase commitments | ' |
2014 | 13,023,000 |
2015 | 8,373,000 |
2016 | 5,832,000 |
2017 | 4,290,000 |
2018 | 4,290,000 |
Thereafter | 7,272,000 |
Total | $43,080,000 |
Pinos Altos mine | Minimum | ' |
Payment of royalty | ' |
Percentage of net profits interest royalty and net smelter return royalty | 2.50% |
Pinos Altos mine | Maximum | ' |
Payment of royalty | ' |
Percentage of net profits interest royalty and net smelter return royalty | 3.50% |
Abitibi | Minimum | ' |
Payment of royalty | ' |
Percentage of net profits interest royalty and net smelter return royalty | 2.50% |
Abitibi | Maximum | ' |
Payment of royalty | ' |
Percentage of net profits interest royalty and net smelter return royalty | 5.00% |
Kittila mine | ' |
Payment of royalty | ' |
Percentage of net smelter return production royalty the company has to pay | 2.00% |
LEASES_Details
LEASES (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
LEASES | ' | ' |
Average Effective Annual Interest Rate (as a percent) | 5.90% | ' |
Average Length of Contract | '4 years 8 months 12 days | ' |
Gross amount of assets under sale-leaseback | $37.60 | $33.90 |
LEASES_Details_2
LEASES (Details 2) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Future minimum lease payment under capital lease | ' | ' | ' |
2014 | $12,776,000 | ' | ' |
2015 | 5,678,000 | ' | ' |
2016 | 2,268,000 | ' | ' |
2017 | 2,268,000 | ' | ' |
2018 | 2,268,000 | ' | ' |
Total minimum lease payments | 25,258,000 | 26,668,000 | ' |
Less amount representing interest | 1,380,000 | 1,605,000 | ' |
Present value of net minimum lease payments | 23,878,000 | 25,063,000 | ' |
Less: current portion | 12,035,000 | 12,955,000 | ' |
Long-term portion of capital lease obligations | 11,843,000 | 12,108,000 | ' |
Gross amount of assets under capital leases | 51,800,000 | 51,000,000 | 56,900,000 |
Minimum Lease Payment under operating leases | ' | ' | ' |
2014 | 1,783,000 | ' | ' |
2015 | 1,032,000 | ' | ' |
2016 | 822,000 | ' | ' |
2017 | 816,000 | ' | ' |
2018 | 836,000 | ' | ' |
Thereafter | 2,470,000 | ' | ' |
Total | 7,759,000 | ' | ' |
Total rental expense for operating leases | $1,600,000 | $1,100,000 | $900,000 |
Meadowbank mine | ' | ' | ' |
Capital lease of lessee | ' | ' | ' |
Capital lease period | '5 years | ' | ' |
Effective Annual Interest Rate (as a percent) | 5.50% | ' | ' |
RESTRICTED_CASH_Details
RESTRICTED CASH (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 29, 2013 | Jan. 02, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 |
Tocqueville Bullion Reserve, Ltd. | Tocqueville Bullion Reserve, Ltd. | Self-insurance deposit | Self-insurance deposit | Qualified environmental trust fund | Qualified environmental trust fund | Qualified environmental trust fund | |||
Subsequent Event | |||||||||
RESTRICTED CASH | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted cash | $28,723,000 | $25,450,000 | ' | ' | $6,900,000 | $4,700,000 | ' | $16,800,000 | $20,700,000 |
Contribution to qualified environmental trust ("QET") | ' | ' | ' | ' | ' | ' | 32,000,000 | ' | ' |
Amount withdrawn from the trust to fund the environmental remediation expenditures | ' | ' | ' | ' | ' | ' | ' | 2,800,000 | 12,000,000 |
Amount deposited into restricted account | ' | ' | $5,000,000 | ' | ' | ' | ' | ' | ' |
Number of shares acquired | ' | ' | ' | 5,000 | ' | ' | ' | ' | ' |
Purchase price (in dollars per shares) | ' | ' | ' | $1,000 | ' | ' | ' | ' | ' |
FINANCIAL_INSTRUMENTS_Details
FINANCIAL INSTRUMENTS (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Gain (loss) on derivative financial instruments | $1,509,000 | ($819,000) | $3,683,000 |
Warrants | ' | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Realized loss on derivative financial instruments | -2,827,000 | ' | ' |
Mark-to-market gain (loss) | -488,000 | -1,294,000 | ' |
Zinc | ' | ' | ' |
Financial instruments | ' | ' | ' |
Number of derivative instruments outstanding | 0 | 0 | ' |
Copper | ' | ' | ' |
Financial instruments | ' | ' | ' |
Number of derivative instruments outstanding | 0 | 0 | ' |
Silver | ' | ' | ' |
Financial instruments | ' | ' | ' |
Number of derivative instruments outstanding | 0 | 0 | ' |
Metal | ' | ' | ' |
Financial instruments | ' | ' | ' |
Number of derivative instruments outstanding | 0 | 0 | ' |
Designated as hedges | Zinc | ' | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Realized gain on derivative financial instruments | 60,000 | 430,000 | 3,419,000 |
Designated as hedges | Copper | ' | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Realized gain on derivative financial instruments | ' | 63,000 | 79,000 |
Designated as hedges | Silver | ' | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Realized loss on derivative financial instruments | ' | ' | -3,403,000 |
Designated as hedges | Heating oil | ' | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Realized loss on derivative financial instruments | ' | -1,523,000 | ' |
Foreign exchange zero cost collars | Designated as hedges | ' | ' | ' |
Financial instruments | ' | ' | ' |
Net premium payable to counterparty | ' | ' | ' |
Foreign exchange zero cost collars | Designated as hedges | 2014 expenditures | ' | ' | ' |
Financial instruments | ' | ' | ' |
Amount of expenditures hedged | 60,000,000 | ' | ' |
Call options | Sell | ' | ' | ' |
Financial instruments | ' | ' | ' |
Number of derivative instruments outstanding | 0 | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Premiums realized on written foreign exchange call options | 3,375,000 | 1,505,000 | 4,995,000 |
Exposure to interest rate risk | 170,000,000 | 332,000,000 | ' |
Fixed weighted average interest rate on short-term investments and cash equivalents (as a percent) | 0.53% | 0.47% | ' |
Expected 2013 diesel fuel exposure | Designated as hedges | Heating oil | ' | ' | ' |
Financial instruments | ' | ' | ' |
Notional amount | 10,500,000 | ' | ' |
Average price (in dollars per gallon) | 2.99 | ' | ' |
Percentage of Meadowbank's expected exposure | 55.00% | ' | ' |
Foreign exchange forwards | ' | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Realized loss on derivative financial instruments | ' | ' | -1,407,000 |
Equity derivative | ' | ' | ' |
(Gain) loss on derivative financial instruments | ' | ' | ' |
Mark-to-market gain (loss) | $1,389,000 | ' | ' |
GENERAL_AND_ADMINISTRATIVE_Det
GENERAL AND ADMINISTRATIVE (Details) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
GENERAL AND ADMINISTRATIVE | ' | ' | ' | ' | ' |
Insurance receivable | ' | ' | $1,369,000 | $6,553,000 | ' |
Meadowbank Mine Fire | ' | ' | ' | ' | ' |
GENERAL AND ADMINISTRATIVE | ' | ' | ' | ' | ' |
Loss on disposal due to kitchen fire at Meadowbank Mine | 6,900,000 | ' | ' | ' | ' |
Costs related to disposal of property | 7,400,000 | ' | ' | ' | ' |
Insurance receivable | 11,200,000 | 11,200,000 | 700,000 | 6,600,000 | 8,800,000 |
Loss due to fire recognized in the General and Administrative | ' | 3,100,000 | ' | ' | ' |
Insurance proceeds received | ' | ' | $5,200,000 | $2,200,000 | $2,400,000 |
LOSS_ON_GOLDEX_MINE_Details
LOSS ON GOLDEX MINE (Details) (Goldex mine, USD $) | 1 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2011 | Dec. 31, 2011 |
oz | ||
Goldex mine | ' | ' |
Loss on suspended operations | ' | ' |
Proven and probable gold reserves (in ounces) | 1,600,000 | ' |
Impairment loss on Goldex mine property, plant, and mine development | ' | $237,110 |
Loss on underground ore stockpile | ' | 16,641 |
Supplies inventory obsolescence provision | ' | 1,915 |
Increase in environmental remediation liability | ' | 47,227 |
Loss on Goldex mine (before income and mining taxes) | ' | $302,893 |
IMPAIRMENT_LOSS_Details
IMPAIRMENT LOSS (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2012 |
item | |||
Property, plant and mine development: | ' | ' | ' |
Pre-impairment Carrying Value | $4,049,117 | ' | $4,067,456 |
Impairment loss | -537,227 | -907,681 | ' |
Impairment Loss (net of tax) | -436,262 | ' | ' |
Goodwill: | ' | ' | ' |
Pre-impairment Carrying Value | 239,081 | ' | 229,279 |
Impairment loss | -200,064 | ' | ' |
Additional disclosures | ' | ' | ' |
Derivative inflation rates (as a percent) | 2.00% | ' | ' |
Number of components of weighted average cost of capital | 2 | ' | ' |
Meliadine project | ' | ' | ' |
Goodwill: | ' | ' | ' |
Pre-impairment Carrying Value | 200,064 | ' | ' |
Impairment loss | -200,064 | ' | ' |
Impairment Loss (net of tax) | -200,064 | ' | ' |
Additional disclosures | ' | ' | ' |
Percentage of discount rate used to calculated fair value by discounting the estimated future net cash flows | 8.00% | ' | ' |
Percentage of average gold recovery | 95.10% | ' | ' |
Meliadine project | Minimum | ' | ' | ' |
Additional disclosures | ' | ' | ' |
Gold prices (in dollars per ounce) | 1,238 | ' | ' |
Foreign exchange rate | 0.9 | ' | ' |
Meliadine project | Maximum | ' | ' | ' |
Additional disclosures | ' | ' | ' |
Gold prices (in dollars per ounce) | 1,300 | ' | ' |
Foreign exchange rate | 0.93 | ' | ' |
Property, plant and mine development | ' | ' | ' |
Property, plant and mine development: | ' | ' | ' |
Pre-impairment Carrying Value | 869,265 | ' | ' |
Impairment loss | -337,163 | ' | ' |
Post-impairment Carrying Value | 532,102 | ' | ' |
Impairment Loss (net of tax) | -236,198 | ' | ' |
Property, plant and mine development | Minimum | ' | ' | ' |
Additional disclosures | ' | ' | ' |
Gold prices (in dollars per ounce) | 1,238 | ' | ' |
Foreign exchange rate | 0.9 | ' | ' |
Property, plant and mine development | Maximum | ' | ' | ' |
Additional disclosures | ' | ' | ' |
Gold prices (in dollars per ounce) | 1,300 | ' | ' |
Foreign exchange rate | 0.93 | ' | ' |
Meadowbank mine | ' | ' | ' |
Property, plant and mine development: | ' | ' | ' |
Pre-impairment Carrying Value | 732,499 | 1,670,838 | ' |
Impairment loss | -269,269 | -907,681 | ' |
Post-impairment Carrying Value | 463,230 | 763,157 | ' |
Impairment Loss (net of tax) | -194,511 | -644,903 | ' |
Additional disclosures | ' | ' | ' |
Percentage of discount rate used to calculated fair value by discounting the estimated future net cash flows | 6.50% | 7.00% | ' |
Percentage of average gold recovery | 92.30% | 92.90% | ' |
Meadowbank mine | Minimum | ' | ' | ' |
Additional disclosures | ' | ' | ' |
Gold prices (in dollars per ounce) | ' | 1,250 | ' |
Foreign exchange rate | ' | 0.92 | ' |
Meadowbank mine | Maximum | ' | ' | ' |
Additional disclosures | ' | ' | ' |
Gold prices (in dollars per ounce) | ' | 1,553 | ' |
Foreign exchange rate | ' | 0.97 | ' |
Lapa mine | ' | ' | ' |
Property, plant and mine development: | ' | ' | ' |
Pre-impairment Carrying Value | 136,766 | ' | ' |
Impairment loss | -67,894 | ' | ' |
Post-impairment Carrying Value | 68,872 | ' | ' |
Impairment Loss (net of tax) | ($41,687) | ' | ' |
Additional disclosures | ' | ' | ' |
Percentage of discount rate used to calculated fair value by discounting the estimated future net cash flows | 5.50% | ' | ' |
Percentage of average gold recovery | 78.30% | ' | ' |
SEGMENTED_INFORMATION_Details
SEGMENTED INFORMATION (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
item | ||||||
SEGMENTED INFORMATION | ' | ' | ' | |||
Minimum required percentage of combined revenue, profit or loss or total assets of reported operating segments | 10.00% | ' | ' | |||
Number of business units | 3 | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | $1,638,406 | $1,917,714 | $1,821,799 | |||
Production Costs | -924,927 | [1] | -897,712 | [1] | -876,078 | [1] |
Exploration and Corporate Development | -44,236 | -109,500 | -75,721 | |||
Impairment loss | -537,227 | ' | -907,681 | |||
Loss on Goldex mine | ' | ' | -302,893 | |||
Segment Income (Loss) | 132,016 | 910,502 | -340,574 | |||
Foreign Currency Translation (Loss) Gain | 7,188 | -16,320 | 1,082 | |||
Amortization of Property, Plant and Mine Development | -296,078 | -271,861 | -261,781 | |||
Interest and sundry expense | -8,824 | -2,389 | -5,188 | |||
Gain on sale of available-for-sale securities | 74 | 9,733 | 4,907 | |||
Gain (loss) on derivative financial instruments | 1,509 | -819 | 3,683 | |||
General and administrative expenses | -115,800 | -119,085 | -107,926 | |||
Impairment loss on available-for-sale securities | -34,272 | -12,732 | -8,569 | |||
Provincial Capital Tax | 1,504 | -4,001 | -9,223 | |||
Interest expense | -57,999 | -57,887 | -55,039 | |||
Income (loss) before income and mining taxes | -370,682 | 435,141 | -778,628 | |||
Total Assets | 4,959,359 | 5,256,119 | ' | |||
Capital Expenditures | 577,789 | 445,550 | 482,831 | |||
Cost | ' | ' | ' | |||
Balance at the beginning of the period | 229,279 | ' | ' | |||
Purchase price | 9,802 | ' | ' | |||
Balance at the end of the period | 239,081 | 229,279 | ' | |||
Accumulated impairment | ' | ' | ' | |||
Impairment loss | -200,064 | ' | ' | |||
Balance at the end of the period | -200,064 | ' | ' | |||
Goodwill | 39,017 | 229,279 | ' | |||
Meadowbank | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Impairment loss | -269,269 | ' | -907,681 | |||
Meliadine Mine Project | ' | ' | ' | |||
Cost | ' | ' | ' | |||
Balance at the beginning of the period | 200,064 | ' | ' | |||
Balance at the end of the period | 200,064 | ' | ' | |||
Accumulated impairment | ' | ' | ' | |||
Impairment loss | -200,064 | ' | ' | |||
Balance at the end of the period | -200,064 | ' | ' | |||
La India Mine Project | ' | ' | ' | |||
Cost | ' | ' | ' | |||
Balance at the end of the period | 29,215 | 29,215 | ' | |||
Accumulated impairment | ' | ' | ' | |||
Goodwill | 29,215 | ' | ' | |||
Northern Business | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 1,293,681 | 1,467,050 | 1,443,470 | |||
Production Costs | -774,955 | -744,770 | -730,464 | |||
Exploration and Corporate Development | ' | -37,627 | ' | |||
Impairment loss | -537,227 | ' | -907,681 | |||
Loss on Goldex mine | ' | ' | -302,893 | |||
Segment Income (Loss) | -18,501 | 684,653 | -497,568 | |||
Total Assets | 3,537,255 | 3,933,212 | ' | |||
Capital Expenditures | 394,086 | 368,985 | 428,682 | |||
Northern Business | LaRonde mine | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 329,900 | 399,243 | 398,609 | |||
Production Costs | -229,911 | -225,647 | -209,947 | |||
Segment Income (Loss) | 99,989 | 173,596 | 188,662 | |||
Total Assets | 878,719 | 849,304 | ' | |||
Capital Expenditures | 84,292 | 75,214 | 90,735 | |||
Northern Business | Lapa mine | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 141,167 | 173,753 | 167,536 | |||
Production Costs | -69,532 | -73,376 | -68,599 | |||
Impairment loss | -67,894 | ' | ' | |||
Segment Income (Loss) | 3,741 | 100,377 | 98,937 | |||
Total Assets | 78,293 | 168,712 | ' | |||
Capital Expenditures | 22,738 | 18,475 | 18,397 | |||
Northern Business | Goldex mine | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 21,418 | ' | 217,662 | |||
Production Costs | -13,172 | ' | -56,939 | |||
Exploration and Corporate Development | ' | -37,627 | ' | |||
Loss on Goldex mine | ' | ' | -302,893 | |||
Segment Income (Loss) | 8,246 | -37,627 | -142,170 | |||
Total Assets | 120,601 | 56,819 | ' | |||
Capital Expenditures | 65,063 | 26,822 | 42,232 | |||
Northern Business | Meadowbank mine | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 591,473 | 609,625 | 434,051 | |||
Production Costs | -363,894 | -347,710 | -284,502 | |||
Impairment loss | -269,269 | ' | -907,681 | |||
Segment Income (Loss) | -41,690 | 261,915 | -758,132 | |||
Total Assets | 711,387 | 1,005,890 | ' | |||
Capital Expenditures | 76,811 | 105,095 | 116,860 | |||
Northern Business | Meliadine Mine Project | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Impairment loss | -200,064 | ' | ' | |||
Segment Income (Loss) | -200,064 | ' | ' | |||
Total Assets | 877,923 | 1,015,485 | ' | |||
Capital Expenditures | 61,412 | 83,343 | 73,944 | |||
Northern Business | Kittila mine | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 209,723 | 284,429 | 225,612 | |||
Production Costs | -98,446 | -98,037 | -110,477 | |||
Segment Income (Loss) | 111,277 | 186,392 | 115,135 | |||
Total Assets | 870,332 | 837,002 | ' | |||
Capital Expenditures | 83,770 | 60,036 | 86,514 | |||
Southern Business | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 344,725 | 450,664 | 378,329 | |||
Production Costs | -149,972 | -152,942 | -145,614 | |||
Segment Income (Loss) | 194,753 | 297,722 | 232,715 | |||
Total Assets | 1,136,195 | 1,056,001 | ' | |||
Capital Expenditures | 177,203 | 69,225 | 39,966 | |||
Southern Business | Pinos Altos mine | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 303,203 | 363,113 | 321,074 | |||
Production Costs | -130,129 | -128,618 | -131,044 | |||
Segment Income (Loss) | 173,074 | 234,495 | 190,030 | |||
Total Assets | 537,560 | 610,217 | ' | |||
Capital Expenditures | 42,835 | 24,212 | 32,407 | |||
Southern Business | Creston Mascota deposit at Pinos Altos | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Revenues from Mining Operations | 41,522 | 87,551 | 57,255 | |||
Production Costs | -19,843 | -24,324 | -14,570 | |||
Segment Income (Loss) | 21,679 | 63,227 | 42,685 | |||
Total Assets | 86,185 | 68,735 | ' | |||
Capital Expenditures | 17,582 | 5,777 | 7,559 | |||
Southern Business | La India Mine Project | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Total Assets | 512,450 | 377,049 | ' | |||
Capital Expenditures | 116,786 | 39,236 | ' | |||
Exploration | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Exploration and Corporate Development | -44,236 | -71,873 | -75,721 | |||
Segment Income (Loss) | -44,236 | -71,873 | -75,721 | |||
Total Assets | 19,838 | 19,225 | ' | |||
Capital Expenditures | ' | 55 | 8,561 | |||
Corporate and Other Income (Loss) | ' | ' | ' | |||
Segment reporting Information | ' | ' | ' | |||
Segment Income (Loss) | 132,016 | 910,502 | -340,574 | |||
Foreign Currency Translation (Loss) Gain | 7,188 | -16,320 | 1,082 | |||
Amortization of Property, Plant and Mine Development | -296,078 | -271,861 | -261,781 | |||
Interest and sundry expense | -8,824 | -2,389 | -5,188 | |||
Gain on sale of available-for-sale securities | 74 | 9,733 | 4,907 | |||
Gain (loss) on derivative financial instruments | 1,509 | -819 | 3,683 | |||
General and administrative expenses | -115,800 | -119,085 | -107,926 | |||
Impairment loss on available-for-sale securities | -34,272 | -12,732 | -8,569 | |||
Provincial Capital Tax | 1,504 | -4,001 | -9,223 | |||
Interest expense | -57,999 | -57,887 | -55,039 | |||
Income (loss) before income and mining taxes | -370,682 | 435,141 | -778,628 | |||
Total Assets | 266,071 | 247,681 | ' | |||
Capital Expenditures | 6,500 | 7,285 | 5,622 | |||
Cost | ' | ' | ' | |||
Balance at the end of the period | 9,802 | ' | ' | |||
Accumulated impairment | ' | ' | ' | |||
Goodwill | 9,802 | ' | ' | |||
Corporate and Other Income (Loss) | Urastar Gold Corporation | ' | ' | ' | |||
Cost | ' | ' | ' | |||
Purchase price | $9,802 | ' | ' | |||
[1] | Exclusive of amortization, which is shown separately. |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) | 0 Months Ended | 0 Months Ended | ||||
In Millions, except Per Share data, unless otherwise specified | Dec. 03, 2008 | Feb. 12, 2014 | Jan. 28, 2014 | Jan. 13, 2014 | Jan. 13, 2014 | Jan. 13, 2014 |
Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | ||
USD ($) | CAD | Akasaba West Property | Akasaba West Property | Akasaba West Property | ||
CAD | Minimum | Maximum | ||||
oz | ||||||
Subsequent Events | ' | ' | ' | ' | ' | ' |
Cash consideration paid to purchase property | ' | ' | ' | 5 | ' | ' |
Percentage of net smelter return production royalty the company has to pay | ' | ' | ' | 2.00% | 2.00% | ' |
Percentage of net proceeds of production royalty the company has to pay | ' | ' | ' | ' | ' | 20.00% |
Quantity of gold produced for payment of royalty | ' | ' | ' | ' | 210,000 | ' |
Right to purchase royalty interest in mining properties (as a percent) | ' | ' | ' | 50.00% | ' | ' |
Cash consideration paid to purchase royalty interest | ' | ' | ' | 7 | ' | ' |
Warrant exercise period | '5 years | ' | ' | ' | ' | ' |
Total consideration value | ' | ' | 9.3 | ' | ' | ' |
Payment of a quarterly cash dividend (in dollars per share) | ' | $0.08 | ' | ' | ' | ' |
SECURITIES_CLASS_ACTION_LAWSUI1
SECURITIES CLASS ACTION LAWSUITS (Details) (CAD) | 0 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Feb. 06, 2012 | Nov. 30, 2011 | Dec. 31, 2013 | Apr. 12, 2012 | Dec. 31, 2013 |
Goldex mine | Goldex mine | Goldex Mine Ontario Claim | Goldex Mine Claim 2 | Goldex Mine Claim 2 | |
item | item | item | |||
Securities class action lawsuits | ' | ' | ' | ' | ' |
Number of putative class actions against entity | ' | 2 | ' | ' | ' |
Number of complaints to be consolidated | 2 | ' | ' | ' | ' |
Number of directors served with motion regarding Class Action | ' | ' | ' | 2 | ' |
Damages sought | ' | ' | 250 | ' | 100 |
Maximum number of Quebec resident employees in entities on behalf of which the class action is pursued | ' | ' | ' | 50 | ' |