Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Mar. 05, 2019 | Jun. 29, 2018 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | Intrepid Potash, Inc. | ||
Entity Central Index Key | 0001421461 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2018 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Shell Company | false | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Filer Category | Accelerated Filer | ||
Entity Public Float | $ 390 | ||
Entity Common Stock, Shares Outstanding | 130,840,813 | ||
Document Fiscal Year Focus | 2018 | ||
Document Fiscal Period Focus | FY |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
ASSETS | ||
Cash and cash equivalents | $ 33,222 | $ 1,068 |
Accounts receivable: | ||
Trade, net | 25,161 | 17,777 |
Other receivables, net | 597 | 762 |
Refundable income taxes | 0 | 2,663 |
Inventory, net | 82,046 | 83,126 |
Other current assets | 4,332 | 6,088 |
Total current assets | 145,358 | 111,484 |
Property, plant, equipment, and mineral properties, net | 346,209 | 364,542 |
Long-term parts inventory, net | 30,031 | 30,611 |
Other assets, net | 3,633 | 3,955 |
Total Assets | 525,231 | 510,592 |
Accounts payable: | ||
Trade | 9,107 | 11,103 |
Related parties | 28 | 28 |
Income taxes payable | 914 | 0 |
Accrued liabilities | 8,717 | 8,074 |
Accrued employee compensation and benefits | 4,124 | 4,317 |
Other current liabilities | 11,891 | 65 |
Advances on credit facility | 0 | 3,900 |
Current portion of long-term debt | 0 | 10,000 |
Total current liabilities | 34,781 | 37,487 |
Long-term debt, net | 49,642 | 49,437 |
Asset retirement obligation | 23,125 | 21,476 |
Other non-current liabilities | 420 | 102 |
Total Liabilities | 107,968 | 108,502 |
Commitments and Contingencies | ||
Common stock, $0.001 par value; 400,000,000 shares authorized; and 128,716,595 and 127,646,530 shares outstanding at December 31, 2018, and 2017, respectively | 129 | 128 |
Additional paid-in capital | 649,202 | 645,813 |
Accumulated other comprehensive loss | 0 | 0 |
Retained deficit | (232,068) | (243,851) |
Total Stockholders' Equity | 417,263 | 402,090 |
Total Liabilities and Stockholders' Equity | $ 525,231 | $ 510,592 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares outstanding | 128,716,595 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Less: | ||||
Lower of cost or net realizable value inventory adjustments | $ 1,711 | $ 6,379 | $ 20,374 | |
Costs associated with abnormal production and other | 1,707 | |||
Gross Margin (Deficit) | 38,271 | 11,888 | (26,797) | |
Selling and administrative | 20,438 | 18,915 | 20,034 | |
Debt restructuring expense | 3,072 | |||
Accretion of asset retirement obligation | 1,668 | 1,558 | 1,768 | |
Restructuring expense | 266 | 2,723 | ||
Care and maintenance expense | 530 | 1,687 | 2,603 | |
Other operating (income) expense | 141 | 3,523 | (1,666) | |
Operating Income (Loss) | 15,494 | (14,061) | (55,331) | |
Other Income (Expense) | ||||
Interest expense, net | (3,855) | (11,692) | (11,622) | |
Interest income | 110 | 6 | 286 | |
Other income | 142 | 397 | 1,122 | |
Income (Loss) Before Income Taxes | 11,891 | (25,350) | (65,545) | |
Income Tax (Expense) Benefit | 108 | (2,783) | (1,362) | |
Net Income (Loss) | $ 11,783 | $ (22,567) | $ (64,183) | |
Weighted Average Shares Outstanding: | ||||
Basic (in shares) | 128,071,000 | 115,709,000 | 75,819,000 | |
Diluted (in shares) | 130,986,000 | 115,708,859 | 75,818,735 | |
Income (Loss) Per Share: | ||||
Basic (dollar per share) | $ 0.09 | $ (0.20) | $ (0.85) | |
Diluted (dollar per share) | $ 0.09 | $ (0.20) | $ (0.85) | |
Mineral [Member] | ||||
Sales | [1] | $ 208,270 | $ 177,915 | $ 212,097 |
Cost of goods and services sold | 121,955 | 117,962 | 169,745 | |
Freight costs [Member] | ||||
Cost of goods and services sold | 37,052 | 32,016 | 36,062 | |
Warehouse and handling costs [Member] | ||||
Cost of goods and services sold | $ 9,281 | $ 9,670 | $ 11,006 | |
[1] | Segment sales include the sales of byproducts generated during the production of potash and Trio®. Prior to the adoption of ASC 606, sales of byproducts were accounted for as a credit to cost of goods sold for potash and Trio®. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net Income (Loss) | $ 11,783 | $ (22,567) | $ (64,183) |
Net change in unrealized gains (losses) on investments available for sale | 52 | ||
Other Comprehensive Income | 52 | ||
Comprehensive Income (Loss) | $ 11,783 | $ (22,567) | $ (64,131) |
CONSOLIDATED STATEMENT OF STOCK
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Loss [Member] | Retained Deficit [Member] |
Increase (Decrease) in Stockholders' Equity | |||||
Adjustment/Adoption | Accounting Standards Update 2014-09 [Member] | $ (3,255) | $ (3,255) | |||
Balance (in shares) at Dec. 31, 2015 | 75,702,700 | ||||
Balance at Dec. 31, 2015 | 426,525 | $ 76 | $ 580,227 | $ (52) | (153,726) |
Increase (Decrease) in Stockholders' Equity | |||||
Net change in other comprehensive loss | 52 | 52 | |||
Net Income (Loss) | (64,183) | (64,183) | |||
Stock-based compensation | 3,599 | 3,599 | |||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting | (173) | (173) | |||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting (shares) | 137,298 | ||||
Balance (in shares) at Dec. 31, 2016 | 75,839,998 | ||||
Balance at Dec. 31, 2016 | 362,565 | $ 76 | 583,653 | 0 | (221,164) |
Increase (Decrease) in Stockholders' Equity | |||||
Adjustment/Adoption | 0 | 120 | (120) | ||
Net Income (Loss) | (22,567) | (22,567) | |||
Issuance of common stock (shares) | 50,612,027 | ||||
Issuance of common stock | 59,130 | $ 51 | 59,079 | ||
Stock-based compensation | 3,622 | 3,622 | |||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting | (781) | (782) | |||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting | $ 1 | ||||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting (shares) | 1,077,292 | ||||
Exercise of stock options (in shares) | 117,213 | ||||
Exercise of stock option | 121 | 121 | |||
Balance (in shares) at Dec. 31, 2017 | 127,646,530 | ||||
Balance at Dec. 31, 2017 | 402,090 | $ 128 | 645,813 | (243,851) | |
Increase (Decrease) in Stockholders' Equity | |||||
Net Income (Loss) | 11,783 | 11,783 | |||
Stock-based compensation | 4,179 | 4,179 | |||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting | (903) | (904) | |||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting | $ 1 | ||||
Vesting of restricted common stock, net of restricted common stock used to fund employee income tax withholding due upon vesting (shares) | 975,061 | ||||
Exercise of stock options (in shares) | 95,004 | ||||
Exercise of stock option | 114 | 114 | |||
Balance (in shares) at Dec. 31, 2018 | 128,716,595 | ||||
Balance at Dec. 31, 2018 | $ 417,263 | $ 129 | $ 649,202 | $ 0 | $ (232,068) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||
Net Income (Loss) | $ 11,783 | $ (22,567) | $ (64,183) | |
Depreciation and depletion | [1] | 32,215 | 33,209 | 40,913 |
Accretion of asset retirement obligation | 1,668 | 1,558 | 1,768 | |
Amortization of deferred financing costs | 732 | 1,778 | 2,113 | |
Stock-based compensation | 4,179 | 3,622 | 3,598 | |
Reserve for obsolescence | 15 | 1,073 | 349 | |
Allowance for doubtful accounts | 100 | 865 | ||
(Gain) loss on disposal of assets | (87) | 1,830 | 262 | |
Lower of cost or net realizable value inventory adjustments | 1,711 | 6,379 | 20,374 | |
Other | (19) | 481 | ||
Changes in operating assets and liabilities: | ||||
Trade accounts receivable, net | (7,484) | (6,870) | 4,419 | |
Other receivables, net | 165 | (270) | 977 | |
Refundable income taxes | 2,663 | (1,284) | (1,163) | |
Inventory, net | (67) | (1,263) | (16,771) | |
Other current assets | 1,762 | (3,207) | 4,797 | |
Accounts payable, accrued liabilities and accrued employee compensation and benefits | 1,740 | 1,738 | (11,222) | |
Income taxes payable | 914 | |||
Other liabilities | 12,247 | 102 | (1,453) | |
Net cash provided by (used in) operating activities | 64,237 | 16,693 | (14,741) | |
Cash Flows from Investing Activities: | ||||
Additions to property, plant, equipment, and mineral properties | (16,891) | (13,505) | (17,892) | |
Proceeds from sale of property, plant, equipment, and mineral properties | 110 | 5,651 | ||
Purchases of investments | (10,325) | |||
Proceeds from sale of investments | 60,727 | |||
Net cash (used in) provided by investing activities | (16,781) | (7,854) | 32,510 | |
Cash Flows from Financing Activities: | ||||
Issuance of common stock, net of transaction expense | 59,130 | |||
Repayments of long-term debt | (10,000) | (75,000) | (15,000) | |
Debt prepayment costs | (402) | (3,001) | 0 | |
Proceeds from from short-term borrowings on credit facility | 13,500 | 22,000 | ||
Repayments of short-term borrowings on credit facility | (17,400) | (18,100) | ||
Debt issuance costs | (210) | (129) | (3,910) | |
Employee tax withholding paid for restricted stock upon vesting | (903) | (781) | (173) | |
Proceeds from exercise of stock options | 114 | 121 | ||
Net cash used in financing activities | (15,301) | (15,760) | (19,083) | |
Net Change in Cash, Cash Equivalents, and Restricted Cash | 32,155 | (6,921) | (1,314) | |
Cash, Cash Equivalents, and Restricted Cash, beginning of period | 1,549 | 8,470 | 9,784 | |
Cash, Cash Equivalents, and Restricted Cash, end of period | 33,704 | 1,549 | 8,470 | |
Supplemental disclosure of cash flow information | ||||
Interest, net of $0.1 million, $0.1 million, and $0.4 million of capitalized interest | 3,470 | 11,639 | 8,966 | |
Income taxes | (3,469) | (1,499) | (100) | |
Accrued purchases for property, plant, equipment, mineral properties, and development costs | $ 1,082 | $ 4,068 | $ 793 | |
[1] | Depreciation and depletion incurred for potash and Trio® excludes depreciation and depletion absorbed in or (relieved from) inventory. |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Interest Costs Capitalized Adjustment | $ 128 | $ 130 | $ 449 |
COMPANY BACKGROUND
COMPANY BACKGROUND | 12 Months Ended |
Dec. 31, 2018 | |
Company Background [Abstract] | |
COMPANY BACKGROUND | COMPANY BACKGROUND We are a diversified mineral company that delivers potassium, magnesium, sulfur, salt, and water products essential for customer success in agriculture, animal feed and the oil and gas industry. We are the only U.S. producer of muriate of potash (sometimes referred to as potassium chloride or potash), which is applied as an essential nutrient for healthy crop development, utilized in several industrial applications, and used as an ingredient in animal feed. In addition, we produce a specialty fertilizer, Trio ® , which delivers three key nutrients, potassium, magnesium, and sulfate, in a single particle. We also provide water, magnesium chloride, brine and various oilfield products and services. Our extraction and production operations are conducted entirely in the continental United States. We produce potash from three solution mining facilities: our HB solution mine in Carlsbad, New Mexico, our solution mine in Moab, Utah and our brine recovery mine in Wendover, Utah. We also operate our North compaction facility in Carlsbad, New Mexico, which compacts and granulates product from the HB mine. We produce Trio ® from our conventional underground East mine in Carlsbad, New Mexico. Until mid-2016, we also produced potash from our East and West mines in Carlsbad, New Mexico. In April 2016, we converted our East facility from a mixed-ore facility that produced both potash and Trio ® to a Trio ® ‑only facility. In addition, in early July 2016, we idled mining operations at our West facility and transitioned the facility into care and maintenance. These changes were designed to increase our production of Trio ® , a product that had traditionally shown more resilience to pricing pressure than potash, and to lower costs in a time of declining potash prices. We have water rights in New Mexico under which we sell water primarily to support oil and gas development in the Permian Basin near our Carlsbad facilities. We continue to work to expand our sales of water. On February 5, 2019, we and Sherbrooke Partners (together, the "buyers") entered into a purchase and sale agreement with Dinwiddie Cattle Company under which the buyers will purchase certain Dinwiddie Jal Ranch assets located in Lea County, New Mexico, consisting primarily of land, water rights and other related assets. The aggregate consideration for the purchase will be $65 million , subject to customary purchase price adjustments. Further, as additional consideration for the sale, buyers will grant certain royalties on saltwater disposal revenue relating to the purchased assets or properties located near the assets. We and Sherbrooke will pay 51% and 49% of the purchase price, or approximately $33.2 million and $31.8 million , respectively, for a 51% and 49% undivided interest in the assets, respectively. We expect to close the purchase in the first quarter of 2019, subject to the satisfaction of customary closing conditions. The buyers expect to enter into a joint development agreement with respect to the assets, pursuant to which the buyers will agree, among other things, that Intrepid will operate the assets. We have three segments: potash, Trio ® , and oilfield solutions. Prior to the fourth quarter of 2018, we had two reporting segments; potash and Trio ® . As a result of the growth of our water business and other oilfield products and services, we reevaluated our segments and determined that, beginning in the fourth quarter of 2018, we have an additional segment for oilfield solutions. We account for the sales of byproducts as revenue in the potash or Trio ® segment, base on which segment generates the byproduct. Prior to the adoption of Accounting Standards Codification ("ASC") Topic 606 Revenue from Contract with Customers (ASC 606"), we accounted for the sale of byproducts as a credit to cost of goods sold. A majority of our byproduct sales were accounted for in the potash segment. We have recast the financial information for our segments for the years ended December 31, 2017, and 2016, to show the oilfield solutions segment and reclassification of byproduct sales to revenue. We manage sales and marketing operations centrally. This allows us to evaluate the product needs of our customers and then centrally determine which of our production facilities to use to fill customer orders in a manner designed to realize the highest average net realized sales price per ton. Average net realized sales price per ton is a non-GAAP measure that we calculate for each of potash and Trio as segment sales less segment byproduct sales and segment freight costs, divided by the number of tons of product sold in the period. We also monitor product inventory levels and overall production costs centrally. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation —Our consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Use of Estimates —The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Accordingly, actual results may differ significantly from these estimates under different assumptions or conditions. Significant estimates include, but are not limited to, those for proven and probable mineral reserves, the related present value of estimated future net cash flows, useful lives of plant assets, asset retirement obligations, normal inventory production levels, inventory valuations, the valuation of equity awards, revenue from products we sell to customers where the price is variable, the valuation of receivables, estimated future net cash flows used in long-lived assets impairment analysis, the related valuation of our long-lived assets, valuation of our deferred tax assets and estimated blended income tax rates utilized in the current and deferred income tax calculations. There are numerous uncertainties inherent in estimating quantities of proven and probable reserves, projecting future rates of production, and the timing of development expenditures. Future mineral prices may vary significantly from the prices in effect at the time the estimates are made, as may estimates of future operating costs. The estimate of proven and probable mineral reserves, the related present value of estimated future cash flows, and useful lives of plant assets can affect various other items including depletion, the net carrying value of our mineral properties, the useful lives of related property, plant, and equipment, depreciation expense, and estimates associated with recoverability of long-lived assets and asset retirement obligations. Specific to income tax items, we experience fluctuations in the valuation of the deferred tax assets and liabilities due to changing income tax rates and the blend of state tax rates. Revenue Recognition —We account for revenue in accordance with Accounting Standards Codification ("ASC") Topic 606 Revenue from Contracts with Customers ("ASC 606"), which we adopted on January 1, 2018 using the full retrospective method. See Note 3 "Recently Adopted Accounting Standards" for further discussion of the adoption of ASC 606, including the adjustments made to our previously reported 2017 and 2016 financial statements. Under ASC 606, we recognize revenue when control of the promised goods or services is transferred to customers in an amount that reflects the consideration we expect to be entitled in exchange for those goods or services. Performance Obligations: A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in ASC 606. The contract's transaction price is allocated to the performance obligations and recognized as revenue when the performance obligations are satisfied. Substantially all of our contracts are of a short-term nature and contain a single performance obligation because the sale is for one type of product and shipping and handling charges are accounted for as a fulfillment cost and are not considered to be a separate performance obligation. The performance obligation is satisfied when control of the product is transferred to the customer, which typically occurs when we ship mineral products or deliver water from our facility to the customer. We account for substantially all of our revenue from sales to customers at a single point in time. Contract Estimates: In certain circumstances, we may sell product to customers where the sales price is variable. For such sales, we estimate the sales price we expect to realize based on the facts and circumstances for each sale, including historical experience, and recognize revenue to the extent it is probable that a subsequent change in estimate will not result in a significant revenue reversal compared to the cumulative revenue recognized under the contract. Contract Balances: The timing of revenue recognition, billings, and cash collection may result in contract assets or contract liabilities. For certain contracts, the customer has agreed to pay us before we have satisfied our performance obligations. Customer payments received before we have satisfied our performance obligations are accounted for as a contract liability. As of December 31, 2018, we had $11.7 million of contract liabilities, which are included in "Other current liabilities" on the consolidated balance sheet. Our contract liability relates to payments received from customers for water purchases for which we have not yet delivered the water. Our contract liability activity for the year ended December 31, 2018, is shown below (in thousands): Year Ended December 31, 2018 Beginning balance $ — Additions 17,558 Recognized as revenue during period (5,880 ) Ending Balance $ 11,678 Disaggregation of Revenue: We generated revenue from the following products for the last three years. We believe the disaggregation of revenue by products best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic conditions. Amounts presented are in thousands: Year Ended December 31, Product 2018 2017 2016 Potash $ 107,471 $ 95,540 $ 149,335 Trio ® 64,139 63,338 52,884 Water 19,797 7,042 — Salt 6,877 6,334 2,947 Magnesium Chloride 6,804 5,432 6,931 Brines 1,777 229 — Other 1,405 — — Total Revenue $ 208,270 $ 177,915 $ 212,097 Inventory and Long-Term Parts Inventory —Inventory consists of product and byproduct stocks that are ready for sale; mined ore; potash in evaporation ponds, which is considered work-in-process; and parts and supplies inventory. Product and byproduct inventory cost is determined using the lower of weighted average cost or estimated net realizable value and includes direct costs, maintenance, operational overhead, depreciation, depletion, and equipment lease costs applicable to the production process. Direct costs, maintenance, and operational overhead include labor and associated benefits. We evaluate our production levels and costs to determine if any should be deemed abnormal and therefore excluded from inventory costs and expensed directly during the applicable period. The assessment of normal production levels is judgmental and unique to each period. We model normal production levels and evaluate historical ranges of production by operating plant in assessing what is deemed to be normal. Parts inventory, including critical spares, that is not expected to be used within a period of one year is classified as non-current. Parts and supply inventory cost is determined using the lower of average acquisition cost or estimated replacement cost. Detailed reviews are performed related to the net realizable value of parts inventory, giving consideration to quality, slow-moving items, obsolescence, excessive levels, and other factors. Parts inventories that have not turned over in more than a year, excluding parts classified as critical spares, are reviewed for obsolescence and, if deemed appropriate, are included in the determination of an allowance for obsolescence. Property, Plant, Equipment, Mineral Properties, and Development Costs —Property, plant, and equipment are stated at historical cost. Expenditures for property, plant, and equipment relating to new assets or improvements are capitalized, provided the expenditure extends the useful life of an asset or extends the asset's functionality. Property, plant, and equipment are depreciated under the straight-line method using estimated useful lives. The estimated useful lives of property, plant, and equipment are evaluated periodically as changes in estimates occur. No depreciation is taken on assets classified as construction in progress until the asset is placed into service. Gains and losses are recorded upon retirement, sale, or disposal of assets. Maintenance and repair costs are recognized as period costs when incurred. Capitalized interest, to the extent of debt outstanding, is calculated and capitalized on assets that are being constructed, drilled, or built or that are otherwise classified as construction in progress. Mineral properties and development costs, which are referred to collectively as mineral properties, include acquisition costs, the cost of drilling production wells, and the cost of other development work, all of which are capitalized. Depletion of mineral properties is calculated using the units-of-production method over the estimated life of the relevant ore body. The lives of reserves used for accounting purposes are shorter than current reserve life determinations due to uncertainties inherent in long-term estimates. These reserve life estimates have been prepared by us and reviewed and independently determined by mine consultants. Tons of potash and langbeinite in the proven and probable reserves are expressed in terms of expected finished tons of product to be realized, net of estimated losses. Market price fluctuations of potash or Trio ® , as well as increased production costs or reduced recovery rates, could render proven and probable reserves containing relatively lower grades of mineralization uneconomic to exploit and might result in a reduction of reserves. In addition, the provisions of our mineral leases, including royalty provisions, are subject to periodic readjustment by the state and federal government, which could affect the economics of our reserve estimates. Significant changes in the estimated reserves could have a material impact on our results of operations and financial position. Recoverability of Long-Lived Assets —We evaluate our long-lived assets for impairment when events or changes in circumstances indicate that the related carrying amount may not be recoverable. An impairment is potentially considered to exist if an asset group's total estimated net future cash flows on an undiscounted basis are less than the carrying amount of the related asset. An impairment loss is measured and recorded based on the excess of the carrying amount of long-lived assets over its estimated fair value. Changes in significant assumptions underlying future cash flow estimates or fair values of asset groups may have a material effect on our financial position and results of operations. Sales price is a significant element of any cash flow estimate, particularly for higher cost operations. Other assumptions we estimate include, among other things, the economic life of the asset, sales volume, inflation, raw materials costs, cost of capital, tax rates, and capital spending. Factors we generally will consider important and which could trigger an impairment review of the carrying value of long-lived assets include the following: • significant underperformance relative to expected operating results or operating losses • significant changes in the manner of use of assets or the strategy for our overall business • the denial or delay of necessary permits or approvals that would affect the utilization of our tangible assets • underutilization of our tangible assets • discontinuance of certain products by us or our customers • a decrease in estimated mineral reserves • significant negative industry or economic trends Exploration Costs —Exploration costs include geological and geophysical work performed on areas that do not yet have proven and probable reserves declared. These costs are expensed as incurred. Asset Retirement Obligation —Reclamation costs are initially recorded as a liability associated with the asset to be reclaimed or abandoned, based on applicable inflation assumptions and discount rates. The accretion of this discounted liability is recognized as expense over the life of the related assets, and the liability is periodically adjusted to reflect changes in the estimates of either the timing or amount of the reclamation and abandonment costs. Planned Turnaround Maintenance —Each production operation typically shuts down periodically for planned maintenance activities. The costs of maintenance turnarounds at our facilities are considered part of production costs and are absorbed into inventory in the period incurred. Leases —Upon entering into leases, we evaluate whether leases are operating or capital leases. Operating lease expense is recognized as incurred. If lease payments change over the contractual term or involve contingent amounts, the total estimated cost over the term is recognized on a straight-line basis. Income Taxes —We are a subchapter C corporation and, therefore, are subject to U.S. federal and state income taxes. We recognize income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the periods in which the deferred tax liability or asset is expected to be settled or realized. We record a valuation allowance if it is deemed more likely than not that our deferred income tax assets will not be realized in full. These determinations are subject to ongoing assessment. Cash and Cash Equivalents —Cash and cash equivalents consist of cash and liquid investments with an original maturity of three months or less. Fair Value of Financial Instruments —Our financial instruments include cash and cash equivalents, restricted cash, accounts receivable, refundable income taxes, accounts payable and current accrued liabilities. These instruments are carried at cost, which approximates fair value due to the short-term maturities of the instruments. Allowances for doubtful accounts are recorded against the accounts receivable balance to estimate net realizable value. The fair value of the long-term debt is estimated using discounted cash flow analysis based on current borrowing rates for debt with similar remaining maturities and ratings. Amounts outstanding under our secured credit facility are carried at cost, which approximates fair value, due to the short-term nature of the borrowings. Earnings per Share —Basic net income or loss per common share of stock is calculated by dividing net income or loss available to common stockholders by the weighted average basic common shares outstanding for the respective period. Diluted net income per common share of stock is calculated by dividing net income by the weighted average diluted common shares outstanding, which includes the effect of potentially dilutive securities. Potentially dilutive securities for the diluted earnings or loss per share calculation consist of awards of restricted shares, performance units, and non‑qualified stock options. The dilutive effect of stock-based compensation arrangements is computed using the treasury‑stock method. Following the lapse of the vesting period of restricted shares, the shares are considered issued and therefore are included in the number of issued and outstanding shares for purposes of these calculations. When we report a net loss, all potentially dilutive securities are considered anti-dilutive and are excluded from the dilutive loss per share calculation. Stock‑Based Compensation —We account for stock-based compensation by recording expense using the fair value of the awards at the time of grant. We have recorded compensation expense associated with the issuance of restricted shares, performance units, and non-qualified stock options, all of which are subject to service conditions and in some cases subject to operational performance or market-based conditions. The expense associated with such awards is recognized over the service period associated with each grant. Expense associated with awards with service only conditions is recognized using the straight-line recognition method over the requisite service period of the award, which is generally the vesting period of the award. Expense associated with awards that contain both a service condition and a market condition is recognized using the accelerated recognition method over the requisite service period of the award, which is generally the longest of the explicit service period or the derived service period (expected date the market condition is estimated to be achieved). Reclassification of Prior Period Presentation —Certain prior period amounts have been reclassified in order to conform to the current period presentation. These reclassifications had no effect on the reported results of operations. Pronouncements Issued But Not Yet Adopted —In February 2016, the FASB issued Accounting Standards Update ("ASU") No. 2016-02, Leases (Topic 842) , which requires, among other things, lessees to recognize lease assets and liabilities on their balance sheets for those leases classified as operating leases under previous generally accepted accounting principles. These assets and liabilities must be recorded generally at the present value of the contracted lease payments, and the cost of the lease must be allocated over the lease term on a straight-line basis. This guidance is effective for us for annual and interim periods in fiscal years beginning after December 15, 2018. A modified retrospective transition method is required, applying the new standard to all leases existing at the date of initial application. We will adopt the new standard on January 1, 2019, and use the effective date as our date of initial application. Consequently, financial information will not be updated, and disclosures required under the new standard will not be provided for dates before January 1, 2019. The new standard provides a number of optional practical expedients in transition. We have elected the use the package of practical expedients, which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. We have elected not to use the hindsight practical expedient nor the practical expedient pertaining to land easements. On adoption, we will recognize additional lease liabilities and right-of-use ("ROU") assets of approximately $6.0 million . The new standard also provides practical expedients for our ongoing accounting. We have elected the short-term lease recognition exemption for all leases with an original term of 12 months or less. For leases that qualify for this exemption, we will not recognize ROU assets or lease liabilities. We have also elected the practical expedient which permits us to not separate lease and non-lease components for all our leases. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - (Topic 326): Measurement of Credit Losses on Financial Instruments , which changes the way entities recognize impairment of many financial assets by requiring immediate recognition of estimated credit losses expected to occur over their remaining life. This guidance is effective for us for annual and interim periods in fiscal years beginning after December 15, 2018. Because we have historically experienced minimal bad debt expense related to our trade receivables, we do not believe the adoption of this new standard will have a material impact on our condensed consolidated financial statements. |
RECENTLY ADOPTED ACCOUNTING STA
RECENTLY ADOPTED ACCOUNTING STANDARDS RECENTLY ADOPTED ACCOUNTING STANDARDS | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Recently Adopted Accounting Standard | RECENTLY ADOPTED ACCOUNTING STANDARDS In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, as amended by ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606), which requires revenue to be recognized based on the amount an entity is expected to be entitled to for promised goods or services provided to customers. Topic 606 also requires expanded disclosures regarding contracts with customers and became effective for us beginning January 1, 2018. We adopted the new standard using the full retrospective method, restating all prior periods, and recorded a $3.3 million increase to retained deficit as of January 1, 2016 due to the cumulative effect of adopting Topic 606. The transition adjustment is related to electing the practical expedient for contracts that had variable consideration that were completed by the date of initial application. Under this practical expedient, we recorded revenue using the final transaction price from inception of the contract, rather than estimating and constraining the variable consideration for contracts that were not complete at the end of a reporting period. Our revenue predominantly continues to be recognized when products are shipped from our manufacturing facilities. Under the new revenue standard, for certain sales where revenue was previously deferred, such as sales in which the final price was not fixed and determinable, we now recognize revenue when the product is shipped using the sales price we expect to realize. Adoption of ASC 606 also resulted in different income statement classification for sales of byproducts generated during the production of potash and Trio ® . Prior to the fourth quarter of 2018, we accounted for byproduct sales as a credit to cost of goods sold. Our recast of comparative periods presented reflects this change. In August 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-15, "Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern," which describes how an entity should assess its ability to meet obligations and sets rules for how this information should be disclosed in the financial statements. The new standard applies to all entities for the first annual period in fiscal years ending after December 15, 2016, with early application permitted. We adopted this guidance in 2016 and it did not have a material impact on the disclosures included in our consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, "Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting," which became effective for us beginning January 1, 2017. This standard changes several aspects of how we account for share-based payment award transactions, including income tax consequences, classification of awards as either equity or liabilities, classification of excess tax benefits on the statement of cash flows, forfeitures, minimum statutory tax withholding payments, and classification of employee taxes paid on the statement of cash flows when an employer withholds shares for tax-withholding purposes. In accordance with adoption of this standard share-based payment award forfeiture expense will no longer be estimated and will be recorded as forfeitures occur and we have recorded a $0.1 million adjustment to beginning retained earnings for the impact of this cumulative change. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230) which is intended to clarify and align how certain cash receipts and cash payments are presented and classified in the statement of cash flows where there is currently diversity in practice. ASU No. 2016-15 specifically addresses eight classification issues within the statement of cash flows including debt prepayments or debt extinguishment costs; proceeds from the settlement of insurance claims; and separately identifiable cash flows and application of the predominance principle. This standard became effective for us beginning January 1, 2018. In accordance with the adoption of this standard, principal prepayment costs of $3.0 million for the year ended December 31, 2017, which were previously included in Cash Flows from Operating Activities, are included in Cash Flows from Financing Activities in the statement of cash flows. In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740) which became effective for us beginning January 1, 2018. This standard requires us to recognize at the transaction date the income tax consequences of intercompany asset transfers other than inventory. The adoption of this standard did not have a material impact on our condensed consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (ASU 2016-18") which became effective for us beginning January 1, 2018. This standard requires us to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows and will no longer require transfers between cash and cash equivalents and restricted cash and restricted cash equivalents in the statement of cash flows. As a result of including restricted cash with cash and cash equivalents when reconciling the beginning-of-period and end-of period total amounts presented on the condensed consolidated statements of cash flows, net cash flows for the year ended December 31, 2017, decreased by $3.5 million and increased by $3.5 million , for the year ended December 31, 2016. The impacts of adopting ASC 606 on the Consolidated Balance Sheet for the year ended December 31, 2017 are as follows (amounts in thousands): Balance as of December 31, 2017 As Previously Reported Adoption of ASC 606 As Reported Trade receivables, net $ 15,076 $ 2,701 $ 17,777 Prepaid expenses and other current assets 9,252 (3,164 ) 6,088 Retained deficit $ (243,388 ) $ 463 $ (243,851 ) The impacts of adopting ASC 606, including accounting for byproduct sales as revenue instead of as a credit to cost of goods sold, on the Consolidated Statement of Operations for the years ended December 31, 2017 and 2016, are as follows (amounts in thousands): Year ended December 31, 2017 As Previously Reported Adoption of ASC 606 As Reported Sales $ 163,919 $ 13,996 $ 177,915 Freight costs 29,039 2,977 32,016 Cost of goods sold 106,341 11,621 117,962 Lower of cost or NRV adjustments inventory adjustments 7,324 (945 ) 6,379 Gross Margin 11,545 343 11,888 Net Loss $ (22,910 ) $ 343 $ (22,567 ) Year ended December 31, 2016 As Previously Reported Adoption of ASC 606 As Reported Sales $ 210,948 $ 1,149 $ 212,097 Freight costs 36,256 (194 ) 36,062 Cost of goods sold 170,852 (1,107 ) 169,745 Gross Deficit (29,247 ) 2,450 (26,797 ) Net Loss $ (66,633 ) $ 2,450 $ (64,183 ) The impacts of adopting ASC 606 and ASU 2016-18 on the Consolidated Statement of Cash Flows for the years ended December 31, 2017 and 2016, are as follows: Year ended December 31, 2017 As Previously Reported Adoption of ASC 606 Adoption of ASU 2016-15 Adoption of ASU 2016-18 As Reported Net loss $ (22,910 ) $ 343 $ — $ — $ (22,567 ) Lower of cost or NRV inventory adjustments 7,324 (945 ) — — 6,379 Changes in certain assets and liabilities (9,681 ) 602 3,001 (3,525 ) (9,603 ) Net cash provided by (used in) operating activities 17,217 — 3,001 (3,525 ) 16,693 Debt prepayment costs — — (3,001 ) — (3,001 ) Net cash used in financing activities (12,759 ) — (3,001 ) — (15,760 ) Net decrease in cash, cash equivalents and restricted cash (3,396 ) — — (3,525 ) (6,921 ) Cash, cash equivalents and restricted cash, beginning of the period 4,464 — — 4,006 8,470 Cash, cash equivalents and restricted cash, end of the period $ 1,068 $ — $ — $ 481 $ 1,549 Year ended December 31, 2016 As Previously Reported Adoption of ASC 606 Adoption of ASU 2016-15 Adoption of ASU 2016-18 As Reported Net loss $ (66,633 ) $ 2,450 $ — $ — $ (64,183 ) Changes in certain assets and liabilities (19,856 ) (2,450 ) — 3,530 (18,776 ) Net cash (used in) provided by operating activities (18,271 ) — — 3,530 (14,741 ) Net (decrease) increase in cash, cash equivalents and restricted cash (4,844 ) — — 3,530 (1,314 ) Cash, cash equivalents and restricted cash, beginning of the period 9,308 — — 476 9,784 Cash, cash equivalents and restricted cash, end of the period $ 4,464 $ — $ — $ 4,006 $ 8,470 |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE Basic earnings per share is computed by dividing net income or loss by the weighted-average number of shares of common stock outstanding during the period. For purposes of determining diluted earnings per share, basic weighted-average common shares outstanding is adjusted to include potentially dilutive securities, including restricted stock, stock options, and performance units. The treasury-stock method is used to measure the dilutive impact of potentially dilutive shares. Potentially dilutive shares are excluded from the diluted weighted-average shares outstanding computation in periods in which they have an anti-dilutive effect. The following table shows the calculation of basic and diluted earnings (loss) per share (in thousands, except per share amounts): Year Ended December 31, 2018 2017 2016 Net income (loss) $ 11,783 $ (22,567 ) $ (64,183 ) Basic weighted average common shares outstanding 128,071 115,709 75,819 Add: Dilutive effect restricted common stock 1,982 — — Add: Dilutive effect of stock options outstanding 933 — — Diluted weighted average common shares outstanding 130,986 115,709 75,819 Earnings per share: Basic 0.09 $ (0.20 ) $ (0.85 ) Diluted 0.09 $ (0.20 ) $ (0.85 ) The following table shows anti-dilutive shares excluded from the calculation of diluted loss per share (in thousands): Year Ended December 31, 2018 2017 2016 Anti-dilutive effect of restricted shares — 3,328 993 Anti-dilutive effect of stock options outstanding 1,452 1,711 469 Anti-dilutive effect of performance units — 63 127 |
CASH, CASH EQUIVALENTS, AND RES
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH | 12 Months Ended |
Dec. 31, 2018 | |
Cash and Cash Equivalents [Abstract] | |
Cash, Cash Equivalents, And Restricted Cash | ASH, CASH EQUIVALENTS AND RESTRICTED CASH Total cash, cash equivalents and restricted cash, as shown on the consolidated statements of cash flows are included in the following accounts at December 31, 2018, 2017, and 2016 (in thousands): Year Ended December 31, 2018 2017 2016 Cash and cash equivalents 33,222 $ 1,068 $ 4,464 Restricted cash included in "Other current assets" — — 525 Restricted cash included in "Other assets, net" 482 481 3,481 Total cash, cash equivalents, and restricted cash shown in the statement of cash flows $ 33,704 $ 1,549 $ 8,470 Restricted cash included in "Other assets, net" on the balance sheet at December 31, 2018, 2017, and 2016 represents amounts whose use is restricted by contractual agreements with the Bureau of Land Management or the State of Utah as security to fund future reclamation obligations at our sites. Restricted cash included in "Other current assets" on the balance sheet at December 31, 2016 was pledged as collateral for an outstanding letter of credit. |
INVENTORY AND LONG-TERM PARTS I
INVENTORY AND LONG-TERM PARTS INVENTORY | 12 Months Ended |
Dec. 31, 2018 | |
Inventory Disclosure [Abstract] | |
INVENTORY AND LONG-TERM PARTS INVENTORY | INVENTORY AND LONG-TERM PARTS INVENTORY The following summarizes our inventory, recorded at the lower of weighted average cost or estimated net realizable value as of December 31, 2018 , and 2017 , respectively (in thousands): December 31, 2018 2017 Finished goods product inventory $ 48,370 $ 54,577 In-process mineral inventory 24,325 19,822 Total product inventory 72,695 74,399 Current parts inventory, net 9,351 8,727 Total current inventory, net 82,046 83,126 Long-term parts inventory, net 30,031 30,611 Total inventory, net $ 112,077 $ 113,737 Parts inventories are shown net of any required allowances. During the years ended December 31, 2018 , 2017 , and 2016 , we recorded charges of approximately $1.7 million , $6.4 million , and $20.4 million , respectively, as a result of routine assessments of the lower of weighted average cost or estimated NRV on our finished goods product inventory. During the conversion of the East plant to a Trio ® -only facility in 2016, we suspended potash production at our East facility for a total of seven days. As a result, approximately $1.7 million of production costs at our East facility that would have been allocated to additional tons produced, were excluded from our inventory values and instead expensed as period production costs in the year ended December 31, 2016. |
PROPERTY, PLANT, EQUIPMENT AND
PROPERTY, PLANT, EQUIPMENT AND MINERAL PROPERTIES | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT, EQUIPMENT AND MINERAL PROPERTIES | PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES "Property, plant, equipment, and mineral properties, net" were comprised of the following (in thousands): December 31, 2018 2017 Buildings and plant $ 81,429 $ 79,757 Machinery and equipment 241,977 234,861 Vehicles 5,669 4,835 Office equipment and improvements 13,779 12,637 Ponds and land improvements 58,961 56,194 Total depreciable assets 401,815 388,284 Accumulated depreciation $ (167,168 ) $ (141,818 ) Total depreciable assets, net $ 234,647 $ 246,466 Mineral properties and development costs 139,418 138,841 Accumulated depletion (31,197 ) (26,840 ) Total depletable assets, net 108,221 112,001 Land $ 519 $ 519 Construction in progress 2,822 5,556 Total property, plant, equipment, and mineral properties, net $ 346,209 $ 364,542 We incurred the following expenses for depreciation and depletion, including expenses capitalized into inventory, for the following periods (in thousands): Year Ended December 31, 2018 2017 2016 Depreciation $ 27,858 $ 28,323 $ 36,169 Depletion 4,357 4,886 4,744 Total incurred $ 32,215 $ 33,209 $ 40,913 |
DEBT
DEBT | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Senior Notes —As of December 31, 2018, we had outstanding $50 million of senior notes (the "Notes") consisting of the following series: • $20 million of Senior Notes, Series A, due April 16, 2020 • $15 million of Senior Notes, Series B, due April 14, 2023 • $15 million of Senior Notes, Series C, due April 16, 2025 The agreement governing the Notes contains certain financial covenants, including those discussed below: • We are required to maintain a minimum fixed charge coverage ratio of 0.25 to 1.0 for the quarter ending December 31, 2018. Our fixed charge coverage ratio as of December 31, 2018, was 12.0 to 1.0, therefore we were in compliance with this covenant. Going forward we are required to maintain a minimum fixed charge coverage ratio of 0.75 to 1.0 for the quarter ending March 31, 2019, 1.0 to 1.0 for the quarter ending June 30, 2019, and 1.3 to 1.0 for each quarter ending on or after September 30, 2019. • For the quarter ended December 31, 2018, we were allowed a maximum leverage ratio of 7.0 to 1.0. Our leverage ratio was 0.9 to 1.0 as of December 31, 2018, therefore we were in compliance with this covenant. Going forward, we are allowed a maximum leverage ratio of 5.5 to 1.0 for the quarter ending March 31, 2019, 4.5 to 1.0 for the quarter ending June 30, 2019, and 3.5 to 1.0 for each quarter ending on or after September 30, 2019. Fixed charge coverage ratio and leverage ratio are calculated in accordance with the agreement governing the Notes. For the year ended December 31, 2018, the interest rates on the Notes were 3.73% for the Series A Notes, 4.63% for the Series B Notes and 4.78% for the Series C Notes. These rates represent the lowest interest rates available under the Notes. The interest rates may adjust upward if we do not continue to meet certain financial covenants. For the ten months ended October 31, 2017, the interest rates on the Notes were 7.73% for the Series A Notes, 8.63% for the Series B Notes and 8.78% for the Series C Notes. Beginning November 1, 2017, the interest rates on the Notes were reduced to 3.73% for the Series A Notes, 4.63% for the Series B Notes and 4.78% for the Series C Notes. We have granted to the collateral agent for the noteholders a first lien on substantially all of our non-current assets and a second lien on substantially all of our current assets. We are required to offer to prepay the Notes with proceeds of dispositions of certain specified property and with the proceeds of certain equity issuances, as set forth in the agreement. The obligations under the Notes are unconditionally guaranteed by several of our subsidiaries. We were in compliance with the applicable covenants under the agreement governing the Notes as of December 31, 2018. Our outstanding long-term debt, net, was as follows (in thousands): December 31, 2018 December 31, 2017 Notes, at carrying value $ 50,000 $ 60,000 Less current portion of Notes — (10,000 ) Less deferred financing costs (358 ) (563 ) Long-term portion of Notes, net $ 49,642 $ 49,437 Credit Facility —We maintain an asset-based revolving credit facility with Bank of Montreal. In October 2018, we amended the credit facility to extend its maturity date from October 2019, to October 2023, to increase the amount available to be borrowed from $35 million to $50 million , and to make certain other changes. The credit facility now allows us to borrow up to $50 million subject to monthly limits based on our inventory and receivables. Borrowings under the credit facility bear interest at LIBOR (London Interbank Offered Rate) plus an applicable margin of 1.50% to 2.00% per annum, based on average availability under the credit facility. We have granted to Bank of Montreal a first lien on substantially all of our current assets and a second lien on substantially all of our non-current assets. The obligations under the credit facility are unconditionally guaranteed by several of our subsidiaries. We occasionally borrow and repay amounts under the facility for near-term working capital needs or other purposes and may do so in the future. For the years ended December 31, 2018, and 2017, we borrowed $13.5 million and $22.0 million , respectively, and repaid $17.4 million and $18.1 million , respectively, under the facility. As of December 31, 2018, we had no borrowings outstanding and $1.0 million in an outstanding letter of credit under the facility. As of December 31, 2017, we had $3.9 million of borrowings outstanding and $3.1 million in outstanding letters of credit under the facility. We have $49.0 million available under the facility as of December 31, 2018. We were in compliance with the applicable covenants under the facility as of December 31, 2018. Interest Expense —Interest expense is recorded net of any capitalized interest associated with investments in capital projects. We incurred gross interest expense of $4.0 million , $11.8 million , and $12.1 million for the years ended December 31, 2018, 2017, and 2016, respectively. Amounts included in interest expense for the years ended December 31, 2018, 2017, and 2016 (in thousands) are as follows: Year ended December 31, 2018 2017 2016 Interest on notes and credit facility $ 2,849 $ 7,043 $ 9,152 Make-whole payments 402 3,001 806 Amortization of deferred financing costs 732 1,778 2,113 Gross interest expense 3,983 11,822 12,071 Less capitalized interest 128 130 449 Interest expense, net $ 3,855 $ 11,692 $ 11,622 |
ASSET RETIREMENT OBLIGATION
ASSET RETIREMENT OBLIGATION | 12 Months Ended |
Dec. 31, 2018 | |
Asset Retirement Obligation Disclosure [Abstract] | |
ASSET RETIREMENT OBLIGATION | ASSET RETIREMENT OBLIGATION We recognize an estimated liability for future costs associated with the abandonment and reclamation of our mining properties. A liability for the fair value of an asset retirement obligation and a corresponding increase to the carrying value of the related long-lived asset are recorded as the mining operations occur or the assets are acquired. Our asset retirement obligation is based on the estimated cost to abandon and reclaim the mining operations, the economic life of the properties, and federal and state regulatory requirements. The liability is discounted using credit adjusted risk-free rate estimates at the time the liability is incurred or when there are upward revisions to estimated costs. The credit adjusted risk-free rates used to discount our abandonment liabilities range from 6.9% to 9.7% . Revisions to the liability occur due to construction of new or expanded facilities, changes in estimated abandonment costs or economic lives, changes in the estimated timing of the reclamation activities or if federal or state regulators enact new requirements regarding the abandonment or reclamation of mines. In the fourth quarter of 2016, we extended our estimate of when the majority of our reclamation activities would occur by five years. This longer period of time resulted in a decrease in our asset retirement obligation. Following is a table of the changes to our asset retirement obligations for the following periods (in thousands): Year Ended December 31, 2018 2017 2016 Asset retirement obligation, at beginning of period $ 21,476 $ 19,976 $ 22,951 Liabilities settled (19 ) — (3 ) Liabilities incurred — 29 — Changes in estimated obligations — (87 ) (4,740 ) Accretion of discount 1,668 1,558 1,768 Total asset retirement obligation, at end of period $ 23,125 $ 21,476 $ 19,976 The undiscounted amount of asset retirement obligation is $59.5 million as of December 31, 2018 , of which we estimate approximately $6.6 million in payments may occur in the next five years. |
COMMON STOCK
COMMON STOCK | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
COMMON STOCK | COMMON STOCK In March 2017, we completed an underwritten public offering of our common stock and issued 50.1 million shares of common stock for net cash proceeds of $57.2 million . The net proceeds from the offering were used to partially repay indebtedness. In May 2017, we established an at-the-market offering program, which gives us the capacity to issue up to $40 million of our common stock. In September 2017, we issued 0.5 million shares of common stock for net cash proceeds of $1.9 million . The net proceeds were used for general corporate purposes. We may offer additional shares under the at-the-market offering program and we intend to use the net proceeds from any additional offerings under this program for general corporate purposes, which may include, among other things, the repayment of indebtedness under our senior notes or revolving credit facility, acquisitions, and funding capital expenditures. |
COMPENSATION PLANS
COMPENSATION PLANS | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
COMPENSATION PLANS | COMPENSATION PLANS Cash Bonus Programs —At times, we use cash bonus programs under which employees may receive cash bonuses based on corporate, department, location, or individual performance or other events or accomplishments. We accrue cash bonus expense related to the current year's performance. We did not meet our performance metrics related to the 2018 cash bonus program, and accordingly, we will not be paying cash bonuses for 2018 under the program. We did not implement a cash bonus program for 2017 or 2016. Equity Incentive Compensation Plan —Our Board of Directors and stockholders adopted a long-term incentive compensation plan called the Intrepid Potash, Inc. Amended and Restated Equity Incentive Plan (the "Plan"). We have issued restricted shares, common stock, performance units, and non-qualified stock option awards under the Plan. As of December 31, 2018 , 1,953,305 restricted shares and options to purchase 3,351,684 shares of common stock were outstanding. As of December 31, 2018 , approximately 3.0 million shares of common stock remained available for issuance under the Plan. Total compensation expense related to the Plan was $4.2 million , $3.6 million , and $3.6 million , for the years ended December 31, 2018 , 2017 , and 2016 , respectively. As of December 31, 2018 , there was $5.0 million of total remaining unrecognized compensation expense that is expected to be recognized through 2020 related to share-based awards. When restricted shares and performance units vest and when stock options are exercised, new shares are issued and considered outstanding for financial statement purposes. Restricted Shares • Restricted Shares with Service Conditions —Under the Plan, the Compensation Committee of the Board of Directors (the "Compensation Committee") has granted restricted shares of common stock to members of the Board of Directors, executive officers, and other key employees. The restricted shares contain service conditions associated with continued employment or service. The restricted shares provide voting and regular dividend rights to the holders of the awards. In 2018 the Compensation Committee granted 187,296 restricted shares to executives and key employees under the Plan as part of our annual equity award program. The awards vest over two years, subject to continued employment or service. In 2018, the Compensation Committee granted 90,615 restricted shares to non-employee members of the Board of Directors and one employee member of the Board of Directors under the Plan for their annual service as directors. The restricted shares vest one year after the date of grant, subject to continued service. We use the closing price of our common stock on the grant date as the grant date fair value for these awards. We record compensation expense monthly using the straight-line recognition method over the vesting period of the award. The weighted-average grant date fair value per share for restricted shares with service conditions issued in 2018, 2017, and 2016 was $4.16 , $2.27 , and $1.07 , respectively. • Restricted Shares with Service and Market Conditions —In 2017 and 2016, the Compensation Committee granted restricted shares of common stock to a member of our executive team as part of his annual compensation package. These restricted share grants contain service and market conditions, with the 2017 grant vesting over three years and the 2016 grant vesting over four years . The market condition for both awards has been met. We used a Monte Carlo simulation valuation model to estimate the fair value of these awards on the grant date. We record compensation expense monthly using the accelerated recognition method over the longer of the explicit or derived service period of the award. The weighted-average grant date fair value per share of restricted shares with service and market conditions issued in 2017, and 2016, was $2.10 , and $0.91 , respectively. Valuation models require the input of highly subjective assumptions, including the expected volatility of the price of the underlying stock. We used the following assumptions to compute the weighted-average grant date fair market value of restricted stock with service and market conditions granted in 2017 and 2016: 2017 2016 Closing stock price on grant date $ 2.29 $ 1.03 Risk free interest rate 1.7 % 1.3 % Dividend yield — % — % Estimated volatility 81.7 % 86.2 % Expected life 5.00 years 5.00 years Restricted Shares with Service and Performance Conditions —In 2018 the Compensation Committee granted 187,296 restricted shares of common stock to executive officers, and other key employees. These restricted share grants would have vested one year after the grant date, subject to continued service and the company meeting certain performance goals. We did not meet the performance goals and 187,296 restricted shares were canceled. A summary of all activity relating to our restricted shares for the year ended December 31, 2018 , is presented below: Weighted Average Shares Restricted shares of common stock, beginning of period 3,163,903 $ 1.73 Granted with service only condition 277,911 $ 4.16 Granted with service and performance conditions 187,296 $ 3.91 Vested, service only condition (1,112,256 ) $ 2.14 Vested, service and market conditions (71,251 ) $ 2.10 Forfeited, service only condition (305,002 ) $ 1.67 Forfeited, service and market conditions — $ — Forfeited, service and performance conditions (187,296 ) $ 3.91 Restricted shares of common stock, end of period 1,953,305 $ 1.87 Performance Units In 2015, the Compensation Committee granted at-risk performance units under the Plan to a member of our executive team as part of his annual compensation package. The performance units vested in February 2018, and payout, was based on market-based conditions relating to one-, two- and three-year performance periods beginning on the grant date. No shares were earned under the first one-year performance period, the second two-year performance period, or the third three-year performance period. The estimated fair value of the award was determined using a Monte Carlo simulation valuation model. Compensation cost was recognized monthly using the accelerated recognition method over the vesting period of the award. The weighted-average fair value per performance unit issued in 2015 was $13.84 . Non-qualified Stock Options • Non-qualified Stock Options with Service-Based Vesting —In 2018, the Compensation Committee granted 623,274 non-qualified stock options under the Plan to a member of our executive team as part of his annual compensation package. The stock options have a ten -year term from the grant date and vest over three years. In measuring compensation expense for options, we estimated the fair value of the award on the grant date using the Black‑Scholes option valuation model. We record compensation expense monthly using the straight-line recognition method over the vesting period of the award. Option valuation models require the input of highly subjective assumptions, including the expected volatility of the price of the underlying stock. We used the following assumptions to compute the weighted average fair market value of options with service-based vesting granted in 2018, 2017 and 2016: 2018 2017 2016 Closing stock price on grant date $ 3.90 $ 2.29 $ 1.03 Risk free interest rate 1.1 % 1.6 % 1.8 % Dividend yield — % — % — % Estimated volatility 72.8 % 71.5 % 63.8 % Expected option life 6.00 years 6.00 years 6.25 years Our estimate of volatility was based on the historic volatility of our common stock over a period comparable to the expected life of the option. The estimate of expected option life was determined based on the "simplified method," giving consideration to the overall vesting period and the contractual terms of the award. This method was used because we have very little option exercise history for options issued under the Plan. The risk-free interest rate for the period that matched the option awards' expected life was based on the U.S. Treasury constant maturity yield at the time of grant. • Non-qualified Stock Options with Service and Market Conditions —In 2018, the Compensation Committee granted 934,911 non-qualified stock options with service and market conditions under the Plan to a member of our executive team as part of his annual compensation package. The stock options vest in three equal annual installments, subject to continued employment; provided, however, that no vesting would occur unless and until the volume-weighted average closing market price or our common stock equals or exceeds $5.85 for 20 consecutive trading days on or before the five -year anniversary of the grant date. As of December 31, 2018, the market condition has not been met. We used a Monte Carlo simulation valuation model to estimate the fair value of these awards on their grant dates. We record compensation expense monthly using the accelerated recognition method over the longer of the explicit or derived service period of the award. Valuation models require the input of highly subjective assumptions, including the expected volatility of the price of the underlying stock. We used the following assumptions to compute the weighted average fair market value of options with service and market conditions granted in 2018 and 2017: 2018 2017 2016 Closing stock price on grant date $ 3.90 $ 2.29 $ 1.03 Risk free interest rate 2.9 % 2.2 % 1.9 % Dividend yield — % — % — % Estimated volatility 75.0 % 81.7 % 86.2 % Expected life 10.00 years 10.00 years 10.00 years Non-Qualified Stock Option Activity A summary of all stock option activity for the year ended December 31, 2018 , is as follows: Shares Weighted Average Exercise Price Aggregate Intrinsic Value 1 Weighted Average Remaining Contractual Life Outstanding non-qualified stock 2,075,821 $3.74 Granted 1,558,185 $3.90 Exercised (95,004 ) $1.20 Forfeited (174,025 ) $1.21 Expired (13,293 ) $30.49 Outstanding non-qualified stock 3,351,684 $3.91 $1,810,165 8.2 Vested or expected to vest, 3,351,684 $3.91 $1,810,165 8.2 Exercisable non-qualified 876,084 $6.44 $845,691 6.4 1 The intrinsic value of a stock option is the amount by which the market value exceeds the exercise price as of the end of the period presented. The weighted-average fair value per share of options to purchase stock granted during 2018, 2017 and 2016 was $2.33 , $1.38 and $0.61 per share, respectively. The total intrinsic value of exercised options to purchase stock during 2018 and 2017 was $0.3 million . There were no options exercised to purchase stock in 2016. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES We account for income taxes in accordance with ASC 740, Income Taxes. This standard requires the recognition of deferred tax assets and liabilities for the tax effect of temporary differences between the financial statement and tax basis of recorded assets and liabilities at enacted tax rates in effect when the related taxes are expected to be settled or realized. We recognize income taxes in each of the tax jurisdictions where we conduct business. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A summary of the provision for income taxes is as follows (in thousands): Year Ended December 31, 2018 2017 2016 Current portion of income tax expense (benefit): Federal $ 23 $ (2,793 ) $ (1,365 ) State 85 10 3 Deferred portion of income tax expense: Federal — — — State — — — Total income tax expense (benefit) $ 108 $ (2,783 ) $ (1,362 ) A reconciliation of the federal statutory income tax rate of 21% for 2018 and 35% for 2017 and 2016 to our effective rate is as follows (in thousands, except percentages): Year Ended December 31, 2018 2017 2016 Federal taxes at statutory rate $ 2,497 $ (8,873 ) $ (22,941 ) Add: State taxes, net of federal benefit 1,663 (1,414 ) (4,982 ) Change in valuation allowance (3,330 ) (104,710 ) 24,522 Change in federal and state tax rates 634 115,545 — Percentage depletion (656 ) (598 ) (552 ) Other (700 ) (2,733 ) 2,591 Net expense (benefit) as calculated $ 108 $ (2,783 ) $ (1,362 ) Effective tax rate 0.9 % 11.0 % 2.1 % During the year ended December 31, 2018, our effective tax rate was impacted by the decrease in our valuation allowance of $3.3 million . During the year ended December 31, 2017, our effective tax rate was impacted by the decrease in our expected future rate at which our deferred tax assets will reverse due to newly enacted federal tax legislation, which reduced the value of our deferred tax assets by $115.5 million . Since we have a full valuation allowance against our deferred tax assets, a corresponding decrease in our valuation allowance was also required. The net decrease in our valuation allowance was $104.7 million for the year ended December 31, 2017. Finally, our effective tax rate was impacted by a benefit of $2.7 million related to our ability to monetize existing alternative minimum tax credits through a carryback as well as an election available to taxpayers in 2017. During the year ended December 31, 2016, our effective tax rate was impacted by the increase in our valuation allowance of $24.5 million , as well as an election to monetize a portion of our existing alternative minimum tax credits in the amount of $1.4 million . As of December 31, 2018 , and 2017 , we had gross deferred tax assets of $218.4 million and $221.7 million , respectively. During the year ended December 31, 2018, our deferred tax assets decreased primarily due to varying business conditions for normal business transactions and operations as well as changes to state tax rates and apportionment laws. Included in gross deferred tax assets as of December 31, 2018 were approximately $240.0 million of federal net operating loss carryforwards, which expire beginning in 2033, and approximately $296.5 million of state net operating loss carry forwards, the majority of which begin to expire in 2033. Gross deferred tax assets also include $1.9 million of federal research and development credits which begin to expire in 2031. The federal loss carryforward could be subject to examination by the tax authorities within three years after the carryforward is utilized, while the state net operating loss carry forwards could be subject to examination by the tax authorities generally within three and four years after the carry forward is utilized, depending on jurisdiction. Significant components of our deferred tax assets and liabilities were as follows (in thousands): December 31, 2018 2017 Deferred tax assets (liabilities): Property, plant, equipment and mineral properties, net $ 138,855 $ 139,656 Federal and state net operating loss carryforwards 65,779 68,733 Other 2,888 5,976 Asset retirement obligation 5,950 5,472 R&D credits 1,870 1,870 Deferred revenue 3,035 — Total deferred tax assets 218,377 221,707 Valuation allowance (218,377 ) (221,707 ) Deferred tax asset, net $ — $ — In assessing the need for a valuation allowance, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. We evaluate our ability to realize the tax benefits associated with deferred tax assets by analyzing the relative impact of all the available positive and negative evidence regarding our forecasted taxable income using both historical and projected future operating results, the reversal of existing taxable temporary differences, and the availability of tax planning strategies. The ultimate realization of deferred tax assets is dependent upon the generation of certain types of future taxable income during the periods in which those temporary differences become deductible. In making this assessment, we consider the scheduled reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies. As of December 31, 2018, and 2017, we have a full valuation allowance against our deferred tax assets because we do not believe it is more likely than not that we will fully realize the benefit of the deferred tax assets. During 2018, our valuation allowance decreased $3.3 million . The decrease was mainly due to changes in operations in the various states we conduct business which decreased our expected future effective tax rate at which our deferred tax assets will reverse. Our deferred tax asset, net of the valuation allowance, at both December 31, 2018, and 2017, is zero . The estimated statutory income tax rates that are applied to our current and deferred income tax calculations are impacted most significantly by the tax jurisdictions in which we conduct business. Changing business conditions for normal business transactions and operations, as well as changes to state tax rates and apportionment laws, potentially alter the apportionment of income among the states for income tax purposes. These changes to apportionment laws result in changes in the calculation of our current and deferred income taxes, including the valuation of our deferred tax assets and liabilities. The effects of any such changes are recorded in the period of the adjustment. Such adjustments can increase or decrease the net deferred tax asset on the balance sheet and impact the corresponding deferred tax benefit or deferred tax expense on the statement of operations. A decrease of our state tax rate decreases the value of its deferred tax asset, resulting in additional deferred tax expense being recorded in the income statement. Conversely, an increase in our state income tax rate would increase the value of the deferred tax asset, resulting in an increase in our deferred tax benefit. Because of the magnitude of the temporary differences between our book and tax basis in the assets, relatively small changes in the state tax rate may have a pronounced impact on the value of our net deferred tax asset. Each quarter we evaluate the need for a liability for uncertain tax positions. At December 31, 2018, and 2017, there were no items that required disclosure in accordance with FASB guidance on accounting for uncertainty in income taxes. We operate, and accordingly file income tax returns, in the U.S. federal jurisdiction and various U.S. state jurisdictions. With few exceptions, we are no longer subject to income tax examinations for years prior to 2015. The Tax Cuts and Jobs Act was enacted on December 22, 2017. Significant changes to the Internal Revenue Code including reducing the U.S. corporate tax rate were included in the legislation. As a result, the reduced tax rate caused a $115.5 million decrease to our deferred tax asset and related valuation allowance. As the deferred tax asset is subject to a full valuation allowance, the change in rates had no financial statement impact. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Reclamation Deposits and Surety Bonds —As of December 31, 2018 , and 2017 , we had $19.0 million and $18.8 million , respectively, of security placed principally with the State of Utah and the Bureau of Land Management for eventual reclamation of its various facilities. Of this total requirement, as of December 31, 2018 , and 2017 , $0.5 million and $0.5 million , respectively, consisted of long-term restricted cash deposits reflected in "Other" long-term assets on the balance sheet, and $18.5 million and $18.3 million , respectively, was secured by surety bonds issued by an insurer. The surety bonds are held in place by an annual fee paid to the issuer. We may be required to post additional security to fund future reclamation obligations as reclamation plans are updated or as governmental entities change requirements. Legal —In February 2015, Mosaic Potash Carlsbad Inc. (“Mosaic”) filed a complaint and application for preliminary injunction and permanent injunction against Steve Gamble and us in the Fifth Judicial District Court for the County of Eddy in the State of New Mexico. Mr. Gamble is a former employee of Intrepid and Mosaic. In August 2015, the court denied Mosaic’s application for preliminary injunction. In July 2016, Mosaic filed a second complaint against Mr. Gamble and us in U.S. District Court for the District of New Mexico. In January 2018, the two lawsuits were consolidated into one lawsuit pending in the U.S. District Court for the District of New Mexico. Mosaic alleges against us violations of the New Mexico Uniform Trade Secrets Act, tortious interference with contract relating to Mr. Gamble’s separation of employment from Mosaic, violations of the Computer Fraud and Abuse Act, conversion, and civil conspiracy relating to the alleged misappropriation of Mosaic’s confidential information and related actions. Mosaic seeks monetary relief, including damages for actual loss and unjust enrichment, exemplary damages, attorneys' fees, and injunctive relief and has alleged damages of at least $22 million to $28 million plus other uncalculated damages. The lawsuit is progressing through discovery. A trial date has been set for September 2019. We are vigorously defending against the lawsuit. We have recorded no loss contingency in our statements of operations related to this legal matter. We are subject to other claims and legal actions in the ordinary course of business. Legal costs are expensed as incurred. While there are uncertainties in predicting the outcome of any claim or legal action, we believe that the ultimate resolution of these other claims or actions is not reasonably likely to have a material adverse effect on our financial condition, results of operations, or cash flows. Future Operating Lease Commitments —We have certain operating leases for land, mining and other operating equipment, offices, and railcars, with original terms ranging up to 20 years. The annual minimum lease payments for the next five years and thereafter are presented below (in thousands): Years Ending December 31, 2019 $ 2,266 2020 1,874 2021 1,602 2022 1,083 2023 172 Thereafter 1,343 Total $ 8,340 Rental and lease expenses follow for the indicated periods (in thousands): For the year ended December 31, 2018 $ 3,850 For the year ended December 31, 2017 $ 5,693 For the year ended December 31, 2016 $ 6,591 |
RESTRUCTURING EXPENSE
RESTRUCTURING EXPENSE | 12 Months Ended |
Dec. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Expense | RESTRUCTURING EXPENSE During 2017 and 2016, in response to declining product prices, we undertook several cost saving actions that were intended to better align our cost structure with the business environment. These initiatives included workforce reductions, bonus plan curtailments, and temporary salary decreases for most employees. For the years ended December 31, 2017, and 2016 we recorded restructuring expense of $0.3 million and $2.7 million , respectively, related to these initiatives. For the year ended December 31, 2018, we recorded no restructuring expenses. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS We measure our financial assets and liabilities in accordance with Accounting Standards Codification™ ("ASC") Topic 820, Fair Value Measurements and Disclosures. ASC Topic 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. The topic establishes market or observable inputs as the preferred sources of values, followed by assumptions based on hypothetical transactions in the absence of market inputs. The topic also establishes a hierarchy for grouping these assets and liabilities based upon the lowest level of input that is significant to the fair value measurement. The definition of each input is described below: • Level 1—Quoted prices in active markets for identical assets and liabilities • Level 2—Quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar instruments in markets that are not active, and model‑derived valuations whose inputs are observable or whose significant value drivers are observable • Level 3—Significant inputs to the valuation model are unobservable As of December 31, 2018, and 2017, our cash consisted of bank deposits. Other financial assets and liabilities including, accounts receivable, refundable income taxes, accounts payable, accrued liabilities, and advances on credit facility are carried at cost which approximates fair value because of the short-term nature of these instruments. As of December 31, 2018, and 2017, the estimated fair value of our outstanding Notes was $48.1 million and $58.8 million , respectively. The fair value of our Notes is estimated using a discounted cash flow analysis based on current borrowing rates for debt with similar remaining maturities and ratings (a Level 2 input) and is designed to approximate the amount at which the instruments could be exchanged in an arm's-length transaction between knowledgeable willing parties. |
EMPLOYEE BENEFITS
EMPLOYEE BENEFITS | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFITS | EMPLOYEE BENEFITS 401(k) Plan We maintain a savings plan qualified under Internal Revenue Code Sections 401(a) and 401(k). The 401(k) Plan is available to eligible employees of our consolidated entities. Employees may contribute amounts as allowed by the U.S. Internal Revenue Service to the 401(k) Plan (subject to certain restrictions) in before-tax contributions. In January 2016, we elected to suspend matching employee contributions to the 401(k) Plan and resumed contributions to the 401(k) Plan in August 2016, matching employee contributions on a dollar-for-dollar basis up to a maximum of 2% of the employee's base compensation. In January 2018, we increased the matching contributions on a dollar-for-dollar basis up to a maximum of 5% of the employee's base compensation. Our contributions to the 401(k) Plan in the following periods were (in thousands): Contributions Year Ended December 31, 2018 $ 1,410 Year Ended December 31, 2017 $ 685 Year Ended December 31, 2016 $ 176 |
BUSINESS SEGMENTS
BUSINESS SEGMENTS | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENTS | BUSINESS SEGMENTS Our operations are organized into three segments: potash, Trio ® and oilfield solutions. The reportable segments are determined by management based on several factors including the types of products and services sold, production processes, markets served and the financial information available for our chief operating decision maker. We evaluate performance based on the gross margins of the respective business segments and do not allocate corporate selling and administrative expenses, among others, to the respective segments. Information for each segment is provided in the tables that follow (in thousands). Year Ended December 31, 2018 Potash Trio ® Oilfield Solutions Other Consolidated Sales 1 $ 124,058 $ 66,808 $ 17,404 $ — $ 208,270 Less: Freight costs 17,682 19,370 — — 37,052 Warehousing and handling costs 5,046 4,225 10 — 9,281 Cost of goods sold 72,322 45,284 4,349 — 121,955 Lower of cost or NRV inventory adjustments — 1,711 — — 1,711 Gross Margin (Deficit) $ 29,008 $ (3,782 ) $ 13,045 $ — $ 38,271 Depreciation and depletion 2 $ 25,134 $ 6,343 $ 343 $ 395 $ 32,215 Year Ended December 31, 2017 Potash Trio ® Oilfield Solutions Other Consolidated Sales 1 $ 107,917 $ 63,686 $ 6,312 $ — $ 177,915 Less: Freight costs 13,912 18,104 — — 32,016 Warehousing and handling costs 5,556 4,114 — — 9,670 Cost of goods sold 72,229 45,187 546 — 117,962 Lower of cost or NRV inventory adjustments 550 5,829 — — 6,379 Gross Margin (Deficit) $ 15,670 $ (9,548 ) $ 5,766 $ — $ 11,888 Depreciation, depletion and accretion incurred 2 $ 26,485 $ 6,576 $ 19 $ 129 $ 33,209 Year Ended December 31, 2016 Potash Trio ® Oilfield Solutions Other Consolidated Sales 1 $ 159,207 $ 52,890 $ — $ — $ 212,097 Less: Freight costs 25,732 10,330 — — 36,062 Warehousing and handling costs 8,438 2,568 — — 11,006 Cost of goods sold 131,406 38,339 — — 169,745 Lower of cost or NRV inventory adjustments 18,379 1,995 — — 20,374 Costs associated with abnormal production and other 650 1,057 — — 1,707 Gross (Deficit) Margin $ (25,398 ) $ (1,399 ) $ — $ — $ (26,797 ) Depreciation, depletion and accretion incurred 2 $ 30,708 $ 9,296 $ — $ 909 $ 40,913 1 Segment sales include the sales of byproducts generated during the production of potash and Trio ® . Prior to the adoption of ASC 606, sales of byproducts were accounted for as a credit to cost of goods sold for potash and Trio ® . 2 Depreciation and depletion incurred for potash and Trio ® excludes depreciation and depletion absorbed in or (relieved from) inventory. Total assets are not presented for each reportable segment as they are not reviewed by, nor otherwise regularly provided to, the chief operating decision maker. All segment sales are to external customers. During the year ended December 31, 2016, we recorded restructuring charges of $2.7 million , of which $2.1 million was attributable to the potash segment, $0.4 million was attributable to the Trio ® segment, and $0.2 million was attributable to other. |
CONCENTRATION OF CREDIT RISK
CONCENTRATION OF CREDIT RISK | 12 Months Ended |
Dec. 31, 2018 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATION OF CREDIT RISK | CONCENTRATION OF CREDIT RISK Credit risk represents the loss that would be recognized at the reporting date if counterparties failed completely to perform as contracted. Concentrations of credit risk, whether on- or off-balance sheet, that arise from financial instruments exist for counterparties when they have similar economic characteristics that would cause their ability to meet contractual obligations to be similarly affected by changes in economic or other conditions. Our products are marketed for sale into three primary markets. These markets are the agricultural market as a fertilizer, the industrial market as a component in drilling fluids for oil and gas exploration, and the animal feed market as a nutrient. Credit risks associated with the collection of accounts receivable are primarily related to the impact of external factors on our customers. Our customers are distributors and end-users whose credit worthiness and ability to meet their payment obligations will be affected by factors in their industries and markets. Those factors include soil nutrient levels, crop prices, weather, the type of crops planted, changes in diets, growth in population, the amount of land under cultivation, fuel prices and consumption, oil and gas drilling and completion activity, the demand for biofuels, government policy, and the relative value of currencies. Our industrial sales are significantly influenced by oil and gas drilling activity. In 2018 , 2017, and 2016, no customer accounted for more than 10% of our sales. Because of the size of our company compared to the overall size of the North American market and the regional demands for our products, we believe that a decline in a specific customer's purchases would not have a material adverse long-term effect on our financial results. In each of the last three years ended December 31, 2018 , 2017 , and 2016 , 95% , 88% , and 97% , respectively, of our total sales were sold to customers located in the United States. All of our long-lived assets are located in the United States. We maintain cash accounts with several financial institutions. At times, the balances in the accounts may exceed the $250,000 balance insured by the Federal Deposit Insurance Corporation. |
FINANCIAL INFORMATION FOR SUBSI
FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT | FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT Intrepid Potash, Inc., as the parent company, has no independent assets or operations, and operations are conducted solely through its subsidiaries. Cash generated from operations is held at the parent company level as cash on hand and short- and long-term investments. Cash on hand totaled $33.2 million and $1.1 million at December 31, 2018, and 2017, respectively. In the event that one or more of our wholly-owned operating subsidiaries guarantee public debt securities in the future, those guarantees will be full and unconditional and will constitute the joint and several obligations of the subsidiary guarantors. Our other subsidiaries are minor. There are no restrictions on our ability to obtain cash dividends or other distributions of funds from the subsidiary guarantors, except those imposed by applicable law. |
QUARTERLY FINANCIAL DATA
QUARTERLY FINANCIAL DATA | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Data [Abstract] | |
QUARTERLY FINANCIAL DATA (UNAUDITED) | QUARTERLY FINANCIAL DATA (UNAUDITED) (in thousands, except per share amounts) Three Months Ended December 31, 2018 September 30, 2018 June 30, 2018 March 31, 2018 Sales $ 54,364 $ 41,410 $ 55,176 $ 57,320 Cost of Goods Sold $ 26,504 $ 23,370 $ 35,426 $ 36,655 Lower of cost or NRV inventory adjustments $ 930 $ — $ 76 $ 705 Gross Margin $ 14,826 $ 8,959 $ 7,286 $ 7,200 Net Income (Loss) $ 7,634 $ 3,350 $ (958 ) $ 1,757 Basic and Diluted Earnings $ 0.06 $ 0.03 $ (0.01 ) $ 0.01 Three Months Ended December 31, 2017 September 30, 2017 June 30, 2017 March 31, 2017 Sales $ 42,582 $ 36,484 $ 47,347 $ 51,502 Cost of Goods Sold $ 26,481 $ 21,414 $ 31,735 $ 38,332 Lower of cost or NRV inventory adjustments $ 1,571 $ 666 $ 317 $ 3,825 Gross Margin (Deficit) $ 3,628 $ 6,062 $ 4,803 $ (2,605 ) Net Loss $ (1,636 ) $ (1,445 ) $ (5,819 ) $ (13,667 ) Basic and Diluted $ (0.01 ) $ (0.01 ) $ (0.05 ) $ (0.17 ) Certain prior period amounts have been reclassified in order to conform to the current period presentation. These reclassifications had no effect on the reported gross margin (deficit) or net income (loss). |
SCHEDULE II - VALUATION AND QUA
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2018 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (In thousands) Description Balance at Beginning of Year Charged to Costs and Expenses Deductions Balance at End of Year For the Year Ended December 31, 2016 Allowances deducted from assets Deferred tax assets - valuation allowance $ 301,896 $ 24,521 $ — $ 326,417 Reserve for parts inventory obsolescence 2,760 349 — 3,109 Allowance for doubtful accounts and other receivables 407 — (407 ) — Total allowances deducted from assets $ 305,063 $ 24,870 $ (407 ) $ 329,526 For the Year Ended December 31, 2017 Allowances deducted from assets Deferred tax assets - valuation allowance $ 326,417 $ — $ (104,710 ) $ 221,707 Reserve for parts inventory obsolescence 3,109 1,073 — 4,182 Allowance for doubtful accounts and other receivables — 865 — 865 Total allowances deducted from assets $ 329,526 $ 1,938 $ (104,710 ) $ 226,754 For the Year Ended December 31, 2018 Allowances deducted from assets Deferred tax assets - valuation allowance $ 221,707 $ — $ (3,330 ) $ 218,377 Reserve for parts inventory obsolescence 4,182 15 (2,454 ) 1,743 Allowance for doubtful accounts and other receivables 865 100 (500 ) 465 Total allowances deducted from assets $ 226,754 $ 115 $ (6,284 ) $ 220,585 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Disaggregation of Revenue [Policy Text Block] | We generated revenue from the following products for the last three years. We believe the disaggregation of revenue by products best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic conditions. Amounts presented are in thousands: Year Ended December 31, Product 2018 2017 2016 Potash $ 107,471 $ 95,540 $ 149,335 Trio ® 64,139 63,338 52,884 Water 19,797 7,042 — Salt 6,877 6,334 2,947 Magnesium Chloride 6,804 5,432 6,931 Brines 1,777 229 — Other 1,405 — — Total Revenue $ 208,270 $ 177,915 $ 212,097 |
Basis of Presentation | Our consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates | The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Accordingly, actual results may differ significantly from these estimates under different assumptions or conditions. Significant estimates include, but are not limited to, those for proven and probable mineral reserves, the related present value of estimated future net cash flows, useful lives of plant assets, asset retirement obligations, normal inventory production levels, inventory valuations, the valuation of equity awards, revenue from products we sell to customers where the price is variable, the valuation of receivables, estimated future net cash flows used in long-lived assets impairment analysis, the related valuation of our long-lived assets, valuation of our deferred tax assets and estimated blended income tax rates utilized in the current and deferred income tax calculations. There are numerous uncertainties inherent in estimating quantities of proven and probable reserves, projecting future rates of production, and the timing of development expenditures. Future mineral prices may vary significantly from the prices in effect at the time the estimates are made, as may estimates of future operating costs. The estimate of proven and probable mineral reserves, the related present value of estimated future cash flows, and useful lives of plant assets can affect various other items including depletion, the net carrying value of our mineral properties, the useful lives of related property, plant, and equipment, depreciation expense, and estimates associated with recoverability of long-lived assets and asset retirement obligations. Specific to income tax items, we experience fluctuations in the valuation of the deferred tax assets and liabilities due to changing income tax rates and the blend of state tax rates. |
Revenue Recognition | We account for revenue in accordance with Accounting Standards Codification ("ASC") Topic 606 Revenue from Contracts with Customers ("ASC 606"), which we adopted on January 1, 2018 using the full retrospective method. See Note 3 "Recently Adopted Accounting Standards" for further discussion of the adoption of ASC 606, including the adjustments made to our previously reported 2017 and 2016 financial statements. Under ASC 606, we recognize revenue when control of the promised goods or services is transferred to customers in an amount that reflects the consideration we expect to be entitled in exchange for those goods or services. |
Performance Obligation | A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in ASC 606. The contract's transaction price is allocated to the performance obligations and recognized as revenue when the performance obligations are satisfied. Substantially all of our contracts are of a short-term nature and contain a single performance obligation because the sale is for one type of product and shipping and handling charges are accounted for as a fulfillment cost and are not considered to be a separate performance obligation. The performance obligation is satisfied when control of the product is transferred to the customer, which typically occurs when we ship mineral products or deliver water from our facility to the customer. We account for substantially all of our revenue from sales to customers at a single point in time. |
Contract Estimates | In certain circumstances, we may sell product to customers where the sales price is variable. For such sales, we estimate the sales price we expect to realize based on the facts and circumstances for each sale, including historical experience, and recognize revenue to the extent it is probable that a subsequent change in estimate will not result in a significant revenue reversal compared to the cumulative revenue recognized under the contract. |
Contract Balances | The timing of revenue recognition, billings, and cash collection may result in contract assets or contract liabilities. For certain contracts, the customer has agreed to pay us before we have satisfied our performance obligations. Customer payments received before we have satisfied our performance obligations are accounted for as a contract liability. As of December 31, 2018, we had $11.7 million of contract liabilities, which are included in "Other current liabilities" on the consolidated balance sheet. Our contract liability relates to payments received from customers for water purchases for which we have not yet delivered the water. Our contract liability activity for the year ended December 31, 2018, is shown below (in thousands): Year Ended December 31, 2018 Beginning balance $ — Additions 17,558 Recognized as revenue during period (5,880 ) Ending Balance $ 11,678 |
Inventory and Long-Term Parts Inventory | Inventory consists of product and byproduct stocks that are ready for sale; mined ore; potash in evaporation ponds, which is considered work-in-process; and parts and supplies inventory. Product and byproduct inventory cost is determined using the lower of weighted average cost or estimated net realizable value and includes direct costs, maintenance, operational overhead, depreciation, depletion, and equipment lease costs applicable to the production process. Direct costs, maintenance, and operational overhead include labor and associated benefits. We evaluate our production levels and costs to determine if any should be deemed abnormal and therefore excluded from inventory costs and expensed directly during the applicable period. The assessment of normal production levels is judgmental and unique to each period. We model normal production levels and evaluate historical ranges of production by operating plant in assessing what is deemed to be normal. Parts inventory, including critical spares, that is not expected to be used within a period of one year is classified as non-current. Parts and supply inventory cost is determined using the lower of average acquisition cost or estimated replacement cost. Detailed reviews are performed related to the net realizable value of parts inventory, giving consideration to quality, slow-moving items, obsolescence, excessive levels, and other factors. Parts inventories that have not turned over in more than a year, excluding parts classified as critical spares, are reviewed for obsolescence and, if deemed appropriate, are included in the determination of an allowance for obsolescence. |
Property, Plant, Equipment, Mineral Properties and Development Costs | Property, plant, and equipment are stated at historical cost. Expenditures for property, plant, and equipment relating to new assets or improvements are capitalized, provided the expenditure extends the useful life of an asset or extends the asset's functionality. Property, plant, and equipment are depreciated under the straight-line method using estimated useful lives. The estimated useful lives of property, plant, and equipment are evaluated periodically as changes in estimates occur. No depreciation is taken on assets classified as construction in progress until the asset is placed into service. Gains and losses are recorded upon retirement, sale, or disposal of assets. Maintenance and repair costs are recognized as period costs when incurred. Capitalized interest, to the extent of debt outstanding, is calculated and capitalized on assets that are being constructed, drilled, or built or that are otherwise classified as construction in progress. Mineral properties and development costs, which are referred to collectively as mineral properties, include acquisition costs, the cost of drilling production wells, and the cost of other development work, all of which are capitalized. Depletion of mineral properties is calculated using the units-of-production method over the estimated life of the relevant ore body. The lives of reserves used for accounting purposes are shorter than current reserve life determinations due to uncertainties inherent in long-term estimates. These reserve life estimates have been prepared by us and reviewed and independently determined by mine consultants. Tons of potash and langbeinite in the proven and probable reserves are expressed in terms of expected finished tons of product to be realized, net of estimated losses. Market price fluctuations of potash or Trio ® , as well as increased production costs or reduced recovery rates, could render proven and probable reserves containing relatively lower grades of mineralization uneconomic to exploit and might result in a reduction of reserves. In addition, the provisions of our mineral leases, including royalty provisions, are subject to periodic readjustment by the state and federal government, which could affect the economics of our reserve estimates. Significant changes in the estimated reserves could have a material impact on our results of operations and financial position. |
Recoverability of Long-Lived Assets | We evaluate our long-lived assets for impairment when events or changes in circumstances indicate that the related carrying amount may not be recoverable. An impairment is potentially considered to exist if an asset group's total estimated net future cash flows on an undiscounted basis are less than the carrying amount of the related asset. An impairment loss is measured and recorded based on the excess of the carrying amount of long-lived assets over its estimated fair value. Changes in significant assumptions underlying future cash flow estimates or fair values of asset groups may have a material effect on our financial position and results of operations. Sales price is a significant element of any cash flow estimate, particularly for higher cost operations. Other assumptions we estimate include, among other things, the economic life of the asset, sales volume, inflation, raw materials costs, cost of capital, tax rates, and capital spending. Factors we generally will consider important and which could trigger an impairment review of the carrying value of long-lived assets include the following: • significant underperformance relative to expected operating results or operating losses • significant changes in the manner of use of assets or the strategy for our overall business • the denial or delay of necessary permits or approvals that would affect the utilization of our tangible assets • underutilization of our tangible assets • discontinuance of certain products by us or our customers • a decrease in estimated mineral reserves • significant negative industry or economic trends |
Exploration Costs | Exploration costs include geological and geophysical work performed on areas that do not yet have proven and probable reserves declared. These costs are expensed as incurred. |
Asset Retirement Obligation | Reclamation costs are initially recorded as a liability associated with the asset to be reclaimed or abandoned, based on applicable inflation assumptions and discount rates. The accretion of this discounted liability is recognized as expense over the life of the related assets, and the liability is periodically adjusted to reflect changes in the estimates of either the timing or amount of the reclamation and abandonment costs. |
Planned Turnaround Maintenance | Each production operation typically shuts down periodically for planned maintenance activities. The costs of maintenance turnarounds at our facilities are considered part of production costs and are absorbed into inventory in the period incurred. |
Leases | Upon entering into leases, we evaluate whether leases are operating or capital leases. Operating lease expense is recognized as incurred. If lease payments change over the contractual term or involve contingent amounts, the total estimated cost over the term is recognized on a straight-line basis. |
Income Taxes | We are a subchapter C corporation and, therefore, are subject to U.S. federal and state income taxes. We recognize income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the periods in which the deferred tax liability or asset is expected to be settled or realized. We record a valuation allowance if it is deemed more likely than not that our deferred income tax assets will not be realized in full. These determinations are subject to ongoing assessment. |
Cash and Cash Equivalents | Cash and cash equivalents consist of cash and liquid investments with an original maturity of three months or less. |
Fair Value of Financial Instruments | Our financial instruments include cash and cash equivalents, restricted cash, accounts receivable, refundable income taxes, accounts payable and current accrued liabilities. These instruments are carried at cost, which approximates fair value due to the short-term maturities of the instruments. Allowances for doubtful accounts are recorded against the accounts receivable balance to estimate net realizable value. The fair value of the long-term debt is estimated using discounted cash flow analysis based on current borrowing rates for debt with similar remaining maturities and ratings. Amounts outstanding under our secured credit facility are carried at cost, which approximates fair value, due to the short-term nature of the borrowings. |
Earnings per Share | Basic net income or loss per common share of stock is calculated by dividing net income or loss available to common stockholders by the weighted average basic common shares outstanding for the respective period. Diluted net income per common share of stock is calculated by dividing net income by the weighted average diluted common shares outstanding, which includes the effect of potentially dilutive securities. Potentially dilutive securities for the diluted earnings or loss per share calculation consist of awards of restricted shares, performance units, and non‑qualified stock options. The dilutive effect of stock-based compensation arrangements is computed using the treasury‑stock method. Following the lapse of the vesting period of restricted shares, the shares are considered issued and therefore are included in the number of issued and outstanding shares for purposes of these calculations. |
Stock-Based Compensation | We account for stock-based compensation by recording expense using the fair value of the awards at the time of grant. We have recorded compensation expense associated with the issuance of restricted shares, performance units, and non-qualified stock options, all of which are subject to service conditions and in some cases subject to operational performance or market-based conditions. The expense associated with such awards is recognized over the service period associated with each grant. Expense associated with awards with service only conditions is recognized using the straight-line recognition method over the requisite service period of the award, which is generally the vesting period of the award. Expense associated with awards that contain both a service condition and a market condition is recognized using the accelerated recognition method over the requisite service period of the award, which is generally the longest of the explicit service period or the derived service period (expected date the market condition is estimated to be achieved). |
Reclassification of Prior Period Presentation | Certain prior period amounts have been reclassified in order to conform to the current period presentation. These reclassifications had no effect on the reported results of operations. |
Pronouncements Issued But Not Yet Adopted | n February 2016, the FASB issued Accounting Standards Update ("ASU") No. 2016-02, Leases (Topic 842) , which requires, among other things, lessees to recognize lease assets and liabilities on their balance sheets for those leases classified as operating leases under previous generally accepted accounting principles. These assets and liabilities must be recorded generally at the present value of the contracted lease payments, and the cost of the lease must be allocated over the lease term on a straight-line basis. This guidance is effective for us for annual and interim periods in fiscal years beginning after December 15, 2018. A modified retrospective transition method is required, applying the new standard to all leases existing at the date of initial application. We will adopt the new standard on January 1, 2019, and use the effective date as our date of initial application. Consequently, financial information will not be updated, and disclosures required under the new standard will not be provided for dates before January 1, 2019. The new standard provides a number of optional practical expedients in transition. We have elected the use the package of practical expedients, which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. We have elected not to use the hindsight practical expedient nor the practical expedient pertaining to land easements. On adoption, we will recognize additional lease liabilities and right-of-use ("ROU") assets of approximately $6.0 million . The new standard also provides practical expedients for our ongoing accounting. We have elected the short-term lease recognition exemption for all leases with an original term of 12 months or less. For leases that qualify for this exemption, we will not recognize ROU assets or lease liabilities. We have also elected the practical expedient which permits us to not separate lease and non-lease components for all our leases. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - (Topic 326): Measurement of Credit Losses on Financial Instruments , which changes the way entities recognize impairment of many financial assets by requiring immediate recognition of estimated credit losses expected to occur over their remaining life. This guidance is effective for us for annual and interim periods in fiscal years beginning after December 15, 2018. Because we have historically experienced minimal bad debt expense related to our trade receivables, we do not believe the adoption of this new standard will have a material impact on our condensed consolidated financial statements. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Contract Balances | The timing of revenue recognition, billings, and cash collection may result in contract assets or contract liabilities. For certain contracts, the customer has agreed to pay us before we have satisfied our performance obligations. Customer payments received before we have satisfied our performance obligations are accounted for as a contract liability. As of December 31, 2018, we had $11.7 million of contract liabilities, which are included in "Other current liabilities" on the consolidated balance sheet. Our contract liability relates to payments received from customers for water purchases for which we have not yet delivered the water. Our contract liability activity for the year ended December 31, 2018, is shown below (in thousands): Year Ended December 31, 2018 Beginning balance $ — Additions 17,558 Recognized as revenue during period (5,880 ) Ending Balance $ 11,678 |
Disaggregation of Revenue | We generated revenue from the following products for the last three years. We believe the disaggregation of revenue by products best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic conditions. Amounts presented are in thousands: Year Ended December 31, Product 2018 2017 2016 Potash $ 107,471 $ 95,540 $ 149,335 Trio ® 64,139 63,338 52,884 Water 19,797 7,042 — Salt 6,877 6,334 2,947 Magnesium Chloride 6,804 5,432 6,931 Brines 1,777 229 — Other 1,405 — — Total Revenue $ 208,270 $ 177,915 $ 212,097 |
RECENTLY ADOPTED ACCOUNTING S_2
RECENTLY ADOPTED ACCOUNTING STANDARDS RECENTLY ADOPTED ACCOUNTING STANDARDS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Recently adopted accounting standards | The impacts of adopting ASC 606 on the Consolidated Balance Sheet for the year ended December 31, 2017 are as follows (amounts in thousands): Balance as of December 31, 2017 As Previously Reported Adoption of ASC 606 As Reported Trade receivables, net $ 15,076 $ 2,701 $ 17,777 Prepaid expenses and other current assets 9,252 (3,164 ) 6,088 Retained deficit $ (243,388 ) $ 463 $ (243,851 ) The impacts of adopting ASC 606, including accounting for byproduct sales as revenue instead of as a credit to cost of goods sold, on the Consolidated Statement of Operations for the years ended December 31, 2017 and 2016, are as follows (amounts in thousands): Year ended December 31, 2017 As Previously Reported Adoption of ASC 606 As Reported Sales $ 163,919 $ 13,996 $ 177,915 Freight costs 29,039 2,977 32,016 Cost of goods sold 106,341 11,621 117,962 Lower of cost or NRV adjustments inventory adjustments 7,324 (945 ) 6,379 Gross Margin 11,545 343 11,888 Net Loss $ (22,910 ) $ 343 $ (22,567 ) Year ended December 31, 2016 As Previously Reported Adoption of ASC 606 As Reported Sales $ 210,948 $ 1,149 $ 212,097 Freight costs 36,256 (194 ) 36,062 Cost of goods sold 170,852 (1,107 ) 169,745 Gross Deficit (29,247 ) 2,450 (26,797 ) Net Loss $ (66,633 ) $ 2,450 $ (64,183 ) The impacts of adopting ASC 606 and ASU 2016-18 on the Consolidated Statement of Cash Flows for the years ended December 31, 2017 and 2016, are as follows: Year ended December 31, 2017 As Previously Reported Adoption of ASC 606 Adoption of ASU 2016-15 Adoption of ASU 2016-18 As Reported Net loss $ (22,910 ) $ 343 $ — $ — $ (22,567 ) Lower of cost or NRV inventory adjustments 7,324 (945 ) — — 6,379 Changes in certain assets and liabilities (9,681 ) 602 3,001 (3,525 ) (9,603 ) Net cash provided by (used in) operating activities 17,217 — 3,001 (3,525 ) 16,693 Debt prepayment costs — — (3,001 ) — (3,001 ) Net cash used in financing activities (12,759 ) — (3,001 ) — (15,760 ) Net decrease in cash, cash equivalents and restricted cash (3,396 ) — — (3,525 ) (6,921 ) Cash, cash equivalents and restricted cash, beginning of the period 4,464 — — 4,006 8,470 Cash, cash equivalents and restricted cash, end of the period $ 1,068 $ — $ — $ 481 $ 1,549 Year ended December 31, 2016 As Previously Reported Adoption of ASC 606 Adoption of ASU 2016-15 Adoption of ASU 2016-18 As Reported Net loss $ (66,633 ) $ 2,450 $ — $ — $ (64,183 ) Changes in certain assets and liabilities (19,856 ) (2,450 ) — 3,530 (18,776 ) Net cash (used in) provided by operating activities (18,271 ) — — 3,530 (14,741 ) Net (decrease) increase in cash, cash equivalents and restricted cash (4,844 ) — — 3,530 (1,314 ) Cash, cash equivalents and restricted cash, beginning of the period 9,308 — — 476 9,784 Cash, cash equivalents and restricted cash, end of the period $ 4,464 $ — $ — $ 4,006 $ 8,470 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table shows the calculation of basic and diluted earnings (loss) per share (in thousands, except per share amounts): Year Ended December 31, 2018 2017 2016 Net income (loss) $ 11,783 $ (22,567 ) $ (64,183 ) Basic weighted average common shares outstanding 128,071 115,709 75,819 Add: Dilutive effect restricted common stock 1,982 — — Add: Dilutive effect of stock options outstanding 933 — — Diluted weighted average common shares outstanding 130,986 115,709 75,819 Earnings per share: Basic 0.09 $ (0.20 ) $ (0.85 ) Diluted 0.09 $ (0.20 ) $ (0.85 ) |
Schedule of Anti-Dilutive Shares Excluded From The Calculation of Diluted Loss Per Share | The following table shows anti-dilutive shares excluded from the calculation of diluted loss per share (in thousands): Year Ended December 31, 2018 2017 2016 Anti-dilutive effect of restricted shares — 3,328 993 Anti-dilutive effect of stock options outstanding 1,452 1,711 469 Anti-dilutive effect of performance units — 63 127 |
CASH, CASH EQUIVALENTS, AND R_2
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Cash and Cash Equivalents [Abstract] | |
Cash, Cash Equivalents, And Restricted Cash | Total cash, cash equivalents and restricted cash, as shown on the consolidated statements of cash flows are included in the following accounts at December 31, 2018, 2017, and 2016 (in thousands): Year Ended December 31, 2018 2017 2016 Cash and cash equivalents 33,222 $ 1,068 $ 4,464 Restricted cash included in "Other current assets" — — 525 Restricted cash included in "Other assets, net" 482 481 3,481 Total cash, cash equivalents, and restricted cash shown in the statement of cash flows $ 33,704 $ 1,549 $ 8,470 |
INVENTORY AND LONG-TERM PARTS_2
INVENTORY AND LONG-TERM PARTS INVENTORY (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Summary of Inventory | The following summarizes our inventory, recorded at the lower of weighted average cost or estimated net realizable value as of December 31, 2018 , and 2017 , respectively (in thousands): December 31, 2018 2017 Finished goods product inventory $ 48,370 $ 54,577 In-process mineral inventory 24,325 19,822 Total product inventory 72,695 74,399 Current parts inventory, net 9,351 8,727 Total current inventory, net 82,046 83,126 Long-term parts inventory, net 30,031 30,611 Total inventory, net $ 112,077 $ 113,737 |
PROPERTY, PLANT, EQUIPMENT AN_2
PROPERTY, PLANT, EQUIPMENT AND MINERAL PROPERTIES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | |
Schedule of Property, Plant, Equipment, And Mineral Properties | Property, plant, equipment, and mineral properties, net" were comprised of the following (in thousands): December 31, 2018 2017 Buildings and plant $ 81,429 $ 79,757 Machinery and equipment 241,977 234,861 Vehicles 5,669 4,835 Office equipment and improvements 13,779 12,637 Ponds and land improvements 58,961 56,194 Total depreciable assets 401,815 388,284 Accumulated depreciation $ (167,168 ) $ (141,818 ) Total depreciable assets, net $ 234,647 $ 246,466 Mineral properties and development costs 139,418 138,841 Accumulated depletion (31,197 ) (26,840 ) Total depletable assets, net 108,221 112,001 Land $ 519 $ 519 Construction in progress 2,822 5,556 Total property, plant, equipment, and mineral properties, net $ 346,209 $ 364,542 |
Schedule of Depreciation, Depletion Amortization and Accretion | We incurred the following expenses for depreciation and depletion, including expenses capitalized into inventory, for the following periods (in thousands): Year Ended December 31, 2018 2017 2016 Depreciation $ 27,858 $ 28,323 $ 36,169 Depletion 4,357 4,886 4,744 Total incurred $ 32,215 $ 33,209 $ 40,913 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Long Term Debt | Our outstanding long-term debt, net, was as follows (in thousands): December 31, 2018 December 31, 2017 Notes, at carrying value $ 50,000 $ 60,000 Less current portion of Notes — (10,000 ) Less deferred financing costs (358 ) (563 ) Long-term portion of Notes, net $ 49,642 $ 49,437 |
Schedule Of Interest Expense Debt | Amounts included in interest expense for the years ended December 31, 2018, 2017, and 2016 (in thousands) are as follows: Year ended December 31, 2018 2017 2016 Interest on notes and credit facility $ 2,849 $ 7,043 $ 9,152 Make-whole payments 402 3,001 806 Amortization of deferred financing costs 732 1,778 2,113 Gross interest expense 3,983 11,822 12,071 Less capitalized interest 128 130 449 Interest expense, net $ 3,855 $ 11,692 $ 11,622 |
ASSET RETIREMENT OBLIGATION (Ta
ASSET RETIREMENT OBLIGATION (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of changes to asset retirement obligations | Following is a table of the changes to our asset retirement obligations for the following periods (in thousands): Year Ended December 31, 2018 2017 2016 Asset retirement obligation, at beginning of period $ 21,476 $ 19,976 $ 22,951 Liabilities settled (19 ) — (3 ) Liabilities incurred — 29 — Changes in estimated obligations — (87 ) (4,740 ) Accretion of discount 1,668 1,558 1,768 Total asset retirement obligation, at end of period $ 23,125 $ 21,476 $ 19,976 |
COMPENSATION PLANS (Tables)
COMPENSATION PLANS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of non-vested restricted shares of common stock | A summary of all activity relating to our restricted shares for the year ended December 31, 2018 , is presented below: Weighted Average Shares Restricted shares of common stock, beginning of period 3,163,903 $ 1.73 Granted with service only condition 277,911 $ 4.16 Granted with service and performance conditions 187,296 $ 3.91 Vested, service only condition (1,112,256 ) $ 2.14 Vested, service and market conditions (71,251 ) $ 2.10 Forfeited, service only condition (305,002 ) $ 1.67 Forfeited, service and market conditions — $ — Forfeited, service and performance conditions (187,296 ) $ 3.91 Restricted shares of common stock, end of period 1,953,305 $ 1.87 |
Summary of stock option activity | A summary of all stock option activity for the year ended December 31, 2018 , is as follows: Shares Weighted Average Exercise Price Aggregate Intrinsic Value 1 Weighted Average Remaining Contractual Life Outstanding non-qualified stock 2,075,821 $3.74 Granted 1,558,185 $3.90 Exercised (95,004 ) $1.20 Forfeited (174,025 ) $1.21 Expired (13,293 ) $30.49 Outstanding non-qualified stock 3,351,684 $3.91 $1,810,165 8.2 Vested or expected to vest, 3,351,684 $3.91 $1,810,165 8.2 Exercisable non-qualified 876,084 $6.44 $845,691 6.4 |
Service And Market Condition Based Vesting [Member] | Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of stock options, valuation assumptions | Valuation models require the input of highly subjective assumptions, including the expected volatility of the price of the underlying stock. We used the following assumptions to compute the weighted average fair market value of options with service and market conditions granted in 2018 and 2017: 2018 2017 2016 Closing stock price on grant date $ 3.90 $ 2.29 $ 1.03 Risk free interest rate 2.9 % 2.2 % 1.9 % Dividend yield — % — % — % Estimated volatility 75.0 % 81.7 % 86.2 % Expected life 10.00 years 10.00 years 10.00 years |
Service And Market Condition Based Vesting [Member] | Restricted Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of stock options, valuation assumptions | Valuation models require the input of highly subjective assumptions, including the expected volatility of the price of the underlying stock. We used the following assumptions to compute the weighted-average grant date fair market value of restricted stock with service and market conditions granted in 2017 and 2016: 2017 2016 Closing stock price on grant date $ 2.29 $ 1.03 Risk free interest rate 1.7 % 1.3 % Dividend yield — % — % Estimated volatility 81.7 % 86.2 % Expected life 5.00 years 5.00 years |
Service Based Vesting [Member] | Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of stock options, valuation assumptions | Option valuation models require the input of highly subjective assumptions, including the expected volatility of the price of the underlying stock. We used the following assumptions to compute the weighted average fair market value of options with service-based vesting granted in 2018, 2017 and 2016: 2018 2017 2016 Closing stock price on grant date $ 3.90 $ 2.29 $ 1.03 Risk free interest rate 1.1 % 1.6 % 1.8 % Dividend yield — % — % — % Estimated volatility 72.8 % 71.5 % 63.8 % Expected option life 6.00 years 6.00 years 6.25 years |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Provision | A summary of the provision for income taxes is as follows (in thousands): Year Ended December 31, 2018 2017 2016 Current portion of income tax expense (benefit): Federal $ 23 $ (2,793 ) $ (1,365 ) State 85 10 3 Deferred portion of income tax expense: Federal — — — State — — — Total income tax expense (benefit) $ 108 $ (2,783 ) $ (1,362 ) |
Reconciliation of The Statutory Rate to The Effective Rate | A reconciliation of the federal statutory income tax rate of 21% for 2018 and 35% for 2017 and 2016 to our effective rate is as follows (in thousands, except percentages): Year Ended December 31, 2018 2017 2016 Federal taxes at statutory rate $ 2,497 $ (8,873 ) $ (22,941 ) Add: State taxes, net of federal benefit 1,663 (1,414 ) (4,982 ) Change in valuation allowance (3,330 ) (104,710 ) 24,522 Change in federal and state tax rates 634 115,545 — Percentage depletion (656 ) (598 ) (552 ) Other (700 ) (2,733 ) 2,591 Net expense (benefit) as calculated $ 108 $ (2,783 ) $ (1,362 ) Effective tax rate 0.9 % 11.0 % 2.1 % |
Schedule of Net Deferred Tax Assets | Significant components of our deferred tax assets and liabilities were as follows (in thousands): December 31, 2018 2017 Deferred tax assets (liabilities): Property, plant, equipment and mineral properties, net $ 138,855 $ 139,656 Federal and state net operating loss carryforwards 65,779 68,733 Other 2,888 5,976 Asset retirement obligation 5,950 5,472 R&D credits 1,870 1,870 Deferred revenue 3,035 — Total deferred tax assets 218,377 221,707 Valuation allowance (218,377 ) (221,707 ) Deferred tax asset, net $ — $ — |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum lease payments | The annual minimum lease payments for the next five years and thereafter are presented below (in thousands): Years Ending December 31, 2019 $ 2,266 2020 1,874 2021 1,602 2022 1,083 2023 172 Thereafter 1,343 Total $ 8,340 |
Schedule of rental and lease expense | Rental and lease expenses follow for the indicated periods (in thousands): For the year ended December 31, 2018 $ 3,850 For the year ended December 31, 2017 $ 5,693 For the year ended December 31, 2016 $ 6,591 |
EMPLOYEE BENEFITS (Tables)
EMPLOYEE BENEFITS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Contributions to the 401K Plan | We maintain a savings plan qualified under Internal Revenue Code Sections 401(a) and 401(k). The 401(k) Plan is available to eligible employees of our consolidated entities. Employees may contribute amounts as allowed by the U.S. Internal Revenue Service to the 401(k) Plan (subject to certain restrictions) in before-tax contributions. In January 2016, we elected to suspend matching employee contributions to the 401(k) Plan and resumed contributions to the 401(k) Plan in August 2016, matching employee contributions on a dollar-for-dollar basis up to a maximum of 2% of the employee's base compensation. In January 2018, we increased the matching contributions on a dollar-for-dollar basis up to a maximum of 5% of the employee's base compensation. Our contributions to the 401(k) Plan in the following periods were (in thousands): Contributions Year Ended December 31, 2018 $ 1,410 Year Ended December 31, 2017 $ 685 Year Ended December 31, 2016 $ 176 |
BUSINESS SEGMENTS (Tables)
BUSINESS SEGMENTS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Year Ended December 31, 2018 Potash Trio ® Oilfield Solutions Other Consolidated Sales 1 $ 124,058 $ 66,808 $ 17,404 $ — $ 208,270 Less: Freight costs 17,682 19,370 — — 37,052 Warehousing and handling costs 5,046 4,225 10 — 9,281 Cost of goods sold 72,322 45,284 4,349 — 121,955 Lower of cost or NRV inventory adjustments — 1,711 — — 1,711 Gross Margin (Deficit) $ 29,008 $ (3,782 ) $ 13,045 $ — $ 38,271 Depreciation and depletion 2 $ 25,134 $ 6,343 $ 343 $ 395 $ 32,215 Year Ended December 31, 2017 Potash Trio ® Oilfield Solutions Other Consolidated Sales 1 $ 107,917 $ 63,686 $ 6,312 $ — $ 177,915 Less: Freight costs 13,912 18,104 — — 32,016 Warehousing and handling costs 5,556 4,114 — — 9,670 Cost of goods sold 72,229 45,187 546 — 117,962 Lower of cost or NRV inventory adjustments 550 5,829 — — 6,379 Gross Margin (Deficit) $ 15,670 $ (9,548 ) $ 5,766 $ — $ 11,888 Depreciation, depletion and accretion incurred 2 $ 26,485 $ 6,576 $ 19 $ 129 $ 33,209 Year Ended December 31, 2016 Potash Trio ® Oilfield Solutions Other Consolidated Sales 1 $ 159,207 $ 52,890 $ — $ — $ 212,097 Less: Freight costs 25,732 10,330 — — 36,062 Warehousing and handling costs 8,438 2,568 — — 11,006 Cost of goods sold 131,406 38,339 — — 169,745 Lower of cost or NRV inventory adjustments 18,379 1,995 — — 20,374 Costs associated with abnormal production and other 650 1,057 — — 1,707 Gross (Deficit) Margin $ (25,398 ) $ (1,399 ) $ — $ — $ (26,797 ) Depreciation, depletion and accretion incurred 2 $ 30,708 $ 9,296 $ — $ 909 $ 40,913 1 Segment sales include the sales of byproducts generated during the production of potash and Trio ® . Prior to the adoption of ASC 606, sales of byproducts were accounted for as a credit to cost of goods sold for potash and Trio ® . 2 Depreciation and depletion incurred for potash and Trio ® excludes depreciation and depletion absorbed in or (relieved from) inventory. |
QUARTERLY FINANCIAL DATA (Table
QUARTERLY FINANCIAL DATA (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Information | QUARTERLY FINANCIAL DATA (UNAUDITED) (in thousands, except per share amounts) Three Months Ended December 31, 2018 September 30, 2018 June 30, 2018 March 31, 2018 Sales $ 54,364 $ 41,410 $ 55,176 $ 57,320 Cost of Goods Sold $ 26,504 $ 23,370 $ 35,426 $ 36,655 Lower of cost or NRV inventory adjustments $ 930 $ — $ 76 $ 705 Gross Margin $ 14,826 $ 8,959 $ 7,286 $ 7,200 Net Income (Loss) $ 7,634 $ 3,350 $ (958 ) $ 1,757 Basic and Diluted Earnings $ 0.06 $ 0.03 $ (0.01 ) $ 0.01 Three Months Ended December 31, 2017 September 30, 2017 June 30, 2017 March 31, 2017 Sales $ 42,582 $ 36,484 $ 47,347 $ 51,502 Cost of Goods Sold $ 26,481 $ 21,414 $ 31,735 $ 38,332 Lower of cost or NRV inventory adjustments $ 1,571 $ 666 $ 317 $ 3,825 Gross Margin (Deficit) $ 3,628 $ 6,062 $ 4,803 $ (2,605 ) Net Loss $ (1,636 ) $ (1,445 ) $ (5,819 ) $ (13,667 ) Basic and Diluted $ (0.01 ) $ (0.01 ) $ (0.05 ) $ (0.17 ) |
COMPANY BACKGROUND (Details)
COMPANY BACKGROUND (Details) $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018Reporting_Segments | Dec. 31, 2018Reporting_SegmentsFacility | Feb. 09, 2019USD ($) | |
Business Acquisition [Line Items] | |||
Number of mining facilities | Facility | 3 | ||
Number of reportable segments | Reporting_Segments | 2 | 3 | |
Dinwiddie Jal Ranch [Member] | Subsequent Event [Member] | |||
Business Acquisition [Line Items] | |||
Aggregate purchase consideration, amount | $ 65 | ||
Aggregate purchase consideration, percentage | 51.00% | ||
Aggregate purchase price allocated | $ 33.2 | ||
Undivided interest | 51.00% | ||
Sherbrooke [Member] | Dinwiddie Jal Ranch [Member] | Subsequent Event [Member] | |||
Business Acquisition [Line Items] | |||
Aggregate purchase consideration, percentage | 49.00% | ||
Aggregate purchase price allocated | $ 31.8 | ||
Undivided interest | 49.00% |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Contract liabilities | $ 11,678 | $ 0 |
Accounting Standards Update 2016-02 [Member] | ||
Additional lease liabilities | $ 6,000 |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES CONTRACT BALANCES (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Beginning balance | $ 0 |
Additions | 17,558 |
Recognized as revenue during period | (5,880) |
Ending Balances | $ 11,678 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES DISAGGREGATION OF REVENUE (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Mineral [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | $ 54,364 | $ 41,410 | $ 55,176 | $ 57,320 | $ 42,582 | $ 36,484 | $ 47,347 | $ 51,502 | $ 208,270 | [1] | $ 177,915 | [1] | $ 212,097 | [1] |
Potash [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | 107,471 | 95,540 | 149,335 | |||||||||||
Trio [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | 64,139 | 63,338 | 52,884 | |||||||||||
Water [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | 19,797 | 7,042 | 0 | |||||||||||
Salt [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | 6,877 | 6,334 | 2,947 | |||||||||||
Magnesium Chloride [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | 6,804 | 5,432 | 6,931 | |||||||||||
Brines [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | 1,777 | 229 | 0 | |||||||||||
Other [Member] | ||||||||||||||
Disaggregation of Revenue [Line Items] | ||||||||||||||
Sales | $ 1,405 | $ 0 | $ 0 | |||||||||||
[1] | Segment sales include the sales of byproducts generated during the production of potash and Trio®. Prior to the adoption of ASC 606, sales of byproducts were accounted for as a credit to cost of goods sold for potash and Trio®. |
RECENTLY ADOPTED ACCOUNTING S_3
RECENTLY ADOPTED ACCOUNTING STANDARDS RECENTLY ADOPTED ACCOUNING STANDARDS (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adjustment to opening balance | $ 0 | ||||
Debt prepayment costs | $ 3,001 | $ 402 | $ 3,001 | 0 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | 32,155 | (6,921) | (1,314) | ||
Cash, Cash Equivalents, and Restricted Cash | $ 33,704 | 1,549 | 8,470 | $ 9,784 | |
Accounting Standards Update 2014-09 [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adjustment to opening balance | (3,255) | ||||
Accounting Standards Update 2014-09 [Member] | Restatement Adjustment [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Debt prepayment costs | 0 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | 0 | 0 | |||
Cash, Cash Equivalents, and Restricted Cash | 0 | 0 | 0 | ||
Accounting Standards Update 2016-15 [Member] | Restatement Adjustment [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Debt prepayment costs | 3,001 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | 0 | 0 | |||
Cash, Cash Equivalents, and Restricted Cash | 0 | 0 | 0 | ||
Accounting Standards Update 2016-18 [Member] | Restatement Adjustment [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Debt prepayment costs | 0 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | 3,525 | 3,530 | |||
Cash, Cash Equivalents, and Restricted Cash | $ 481 | 4,006 | 476 | ||
Retained Earnings [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adjustment to opening balance | $ (120) | ||||
Retained Earnings [Member] | Accounting Standards Update 2014-09 [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adjustment to opening balance | $ (3,255) |
RECENTLY ADOPTED ACCOUNTING S_4
RECENTLY ADOPTED ACCOUNTING STANDARDS IMPACTS OF ADOPTON ASC 606 ON THE CONSOLIDATED BALANCE SHEET (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Trade receivables, net | $ 25,161 | $ 17,777 |
Prepaid expenses and other current assets | 4,332 | 6,088 |
Retained deficit | $ (232,068) | (243,851) |
Previously Reported [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Trade receivables, net | 15,076 | |
Prepaid expenses and other current assets | 9,252 | |
Retained deficit | (243,388) | |
Accounting Standards Update 2014-09 [Member] | Restatement Adjustment [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Trade receivables, net | 2,701 | |
Prepaid expenses and other current assets | (3,164) | |
Retained deficit | $ 463 |
RECENTLY ADOPTED ACCOUNTING S_5
RECENTLY ADOPTED ACCOUNTING STANDARDS IMPACTS OF ADOPTING ASC 606 ON THE CONSOLIDATED STATEMENT OF OPERATIONS (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Lower of cost or net realizable value inventory adjustments | $ 930 | $ 0 | $ 76 | $ 705 | $ 1,571 | $ 666 | $ 317 | $ 3,825 | $ 1,711 | $ 6,379 | $ 20,374 | |||
Gross Margin (Deficit) | 14,826 | 8,959 | 7,286 | 7,200 | 3,628 | 6,062 | 4,803 | (2,605) | 38,271 | 11,888 | (26,797) | |||
Net Income (Loss) | 7,634 | 3,350 | (958) | 1,757 | (1,636) | (1,445) | (5,819) | (13,667) | 11,783 | (22,567) | (64,183) | |||
Previously Reported [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Lower of cost or net realizable value inventory adjustments | 7,324 | |||||||||||||
Gross Margin (Deficit) | 11,545 | (29,247) | ||||||||||||
Net Income (Loss) | (22,910) | (66,633) | ||||||||||||
Accounting Standards Update 2014-09 [Member] | Restatement Adjustment [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Lower of cost or net realizable value inventory adjustments | (945) | |||||||||||||
Gross Margin (Deficit) | 343 | 2,450 | ||||||||||||
Net Income (Loss) | 343 | 2,450 | ||||||||||||
Mineral [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Sales | 54,364 | 41,410 | 55,176 | 57,320 | 42,582 | 36,484 | 47,347 | 51,502 | 208,270 | [1] | 177,915 | [1] | 212,097 | [1] |
Cost of goods and services sold | $ 26,504 | $ 23,370 | $ 35,426 | $ 36,655 | $ 26,481 | $ 21,414 | $ 31,735 | $ 38,332 | 121,955 | 117,962 | 169,745 | |||
Mineral [Member] | Previously Reported [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Sales | 163,919 | 210,948 | ||||||||||||
Cost of goods and services sold | 106,341 | 170,852 | ||||||||||||
Mineral [Member] | Accounting Standards Update 2014-09 [Member] | Restatement Adjustment [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Sales | 13,996 | 1,149 | ||||||||||||
Cost of goods and services sold | 11,621 | (1,107) | ||||||||||||
Freight costs [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Cost of goods and services sold | $ 37,052 | 32,016 | 36,062 | |||||||||||
Freight costs [Member] | Previously Reported [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Cost of goods and services sold | 29,039 | 36,256 | ||||||||||||
Freight costs [Member] | Accounting Standards Update 2014-09 [Member] | Restatement Adjustment [Member] | ||||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||||
Cost of goods and services sold | $ 2,977 | $ (194) | ||||||||||||
[1] | Segment sales include the sales of byproducts generated during the production of potash and Trio®. Prior to the adoption of ASC 606, sales of byproducts were accounted for as a credit to cost of goods sold for potash and Trio®. |
RECENTLY ADOPTED ACCOUNTING S_6
RECENTLY ADOPTED ACCOUNTING STANDARDS IMPACTS OF ADOPTING ASC 606 AND ASU 2016-18 ON THE CONSOLIDATED STATEMENT OF CASH FLOWS (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Net loss | $ 7,634 | $ 3,350 | $ (958) | $ 1,757 | $ (1,636) | $ (1,445) | $ (5,819) | $ (13,667) | $ 11,783 | $ (22,567) | $ (64,183) |
Lower of cost or net realizable value inventory adjustments | 930 | $ 0 | $ 76 | 705 | 1,571 | $ 666 | $ 317 | 3,825 | 1,711 | 6,379 | 20,374 |
Changes in certain assets and liabilities | (9,603) | (18,776) | |||||||||
Net cash provided by (used in) operating activities | 64,237 | 16,693 | (14,741) | ||||||||
Debt prepayment costs | (3,001) | (402) | (3,001) | 0 | |||||||
Net cash used in financing activities | (15,760) | (15,301) | (15,760) | (19,083) | |||||||
Net (decrease) increase in cash, cash equivalents and restricted cash | 32,155 | (6,921) | (1,314) | ||||||||
Cash, Cash Equivalents, and Restricted Cash, beginning of period | 1,549 | 8,470 | 1,549 | 8,470 | 9,784 | ||||||
Cash, Cash Equivalents, and Restricted Cash, end of period | $ 33,704 | 1,549 | 33,704 | 1,549 | 8,470 | ||||||
Previously Reported [Member] | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Net loss | (22,910) | (66,633) | |||||||||
Lower of cost or net realizable value inventory adjustments | 7,324 | ||||||||||
Changes in certain assets and liabilities | (9,681) | (19,856) | |||||||||
Net cash provided by (used in) operating activities | 17,217 | (18,271) | |||||||||
Debt prepayment costs | 0 | ||||||||||
Net cash used in financing activities | (12,759) | ||||||||||
Net (decrease) increase in cash, cash equivalents and restricted cash | (3,396) | (4,844) | |||||||||
Cash, Cash Equivalents, and Restricted Cash, beginning of period | 1,068 | 4,464 | 1,068 | 4,464 | 9,308 | ||||||
Cash, Cash Equivalents, and Restricted Cash, end of period | 1,068 | 1,068 | 4,464 | ||||||||
Accounting Standards Update 2014-09 [Member] | Restatement Adjustment [Member] | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Net loss | 343 | 2,450 | |||||||||
Lower of cost or net realizable value inventory adjustments | (945) | ||||||||||
Changes in certain assets and liabilities | 602 | (2,450) | |||||||||
Net cash provided by (used in) operating activities | 0 | 0 | |||||||||
Debt prepayment costs | 0 | ||||||||||
Net cash used in financing activities | 0 | ||||||||||
Net (decrease) increase in cash, cash equivalents and restricted cash | 0 | 0 | |||||||||
Cash, Cash Equivalents, and Restricted Cash, beginning of period | 0 | 0 | 0 | 0 | 0 | ||||||
Cash, Cash Equivalents, and Restricted Cash, end of period | 0 | 0 | 0 | ||||||||
Accounting Standards Update 2016-15 [Member] | Restatement Adjustment [Member] | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Net loss | 0 | 0 | |||||||||
Lower of cost or net realizable value inventory adjustments | 0 | ||||||||||
Changes in certain assets and liabilities | (3,001) | 0 | |||||||||
Net cash provided by (used in) operating activities | 3,001 | 0 | |||||||||
Debt prepayment costs | (3,001) | ||||||||||
Net cash used in financing activities | (3,001) | ||||||||||
Net (decrease) increase in cash, cash equivalents and restricted cash | 0 | 0 | |||||||||
Cash, Cash Equivalents, and Restricted Cash, beginning of period | 0 | 0 | 0 | 0 | 0 | ||||||
Cash, Cash Equivalents, and Restricted Cash, end of period | 0 | 0 | 0 | ||||||||
Accounting Standards Update 2016-18 [Member] | Restatement Adjustment [Member] | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Net loss | 0 | 0 | |||||||||
Lower of cost or net realizable value inventory adjustments | 0 | ||||||||||
Changes in certain assets and liabilities | (3,525) | 3,530 | |||||||||
Net cash provided by (used in) operating activities | (3,525) | 3,530 | |||||||||
Debt prepayment costs | 0 | ||||||||||
Net cash used in financing activities | 0 | ||||||||||
Net (decrease) increase in cash, cash equivalents and restricted cash | 3,525 | 3,530 | |||||||||
Cash, Cash Equivalents, and Restricted Cash, beginning of period | $ 481 | $ 4,006 | $ 481 | 4,006 | 476 | ||||||
Cash, Cash Equivalents, and Restricted Cash, end of period | $ 481 | $ 481 | $ 4,006 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Calculation of basic and diluted earnings per share | |||||||||||
Net Income (Loss) | $ 7,634 | $ 3,350 | $ (958) | $ 1,757 | $ (1,636) | $ (1,445) | $ (5,819) | $ (13,667) | $ 11,783 | $ (22,567) | $ (64,183) |
Basic weighted average common shares outstanding | 128,071,000 | 115,709,000 | 75,819,000 | ||||||||
Add: Dilutive effect restricted common stock | 1,982,000 | ||||||||||
Add: Dilutive effect of stock options oustanding | 933,000 | ||||||||||
Diluted weighted average common shares outstanding | 130,986,000 | 115,708,859 | 75,818,735 | ||||||||
Earnings per share: | |||||||||||
Basic | $ 0.09 | $ (0.20) | $ (0.85) | ||||||||
Diluted | $ 0.09 | $ (0.20) | $ (0.85) | ||||||||
Restricted Shares [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Antidilutive shares | 0 | 3,328,000 | 993,000 | ||||||||
Stock Options [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Antidilutive shares | 1,452,000 | 1,711,000 | 469,000 | ||||||||
Performance Shares [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Antidilutive shares | 0 | 63,000 | 127,000 |
CASH, CASH EQUIVALENTS, AND INV
CASH, CASH EQUIVALENTS, AND INVESTMENTS (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Cash and Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 33,222 | $ 1,068 | $ 4,464 | |
Restricted cash included in Other current assets | 0 | 0 | 525 | |
Restricted cash included in Other current, net | 482 | 481 | 3,481 | |
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows | $ 33,704 | $ 1,549 | $ 8,470 | $ 9,784 |
INVENTORY AND LONG-TERM PARTS_3
INVENTORY AND LONG-TERM PARTS INVENTORY (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Inventory [Line Items] | |||||||||||
Lower of cost or net realizable value inventory adjustments | $ 930 | $ 0 | $ 76 | $ 705 | $ 1,571 | $ 666 | $ 317 | $ 3,825 | $ 1,711 | $ 6,379 | $ 20,374 |
Costs associated with abnormal production and other | 1,707 | ||||||||||
East Facility [Member] | |||||||||||
Inventory [Line Items] | |||||||||||
Costs associated with abnormal production and other | $ 1,707 |
INVENTORY AND LONG-TERM PARTS_4
INVENTORY AND LONG-TERM PARTS INVENTORY (Summary of Inventory) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Finished goods product inventory | $ 48,370 | $ 54,577 |
In-process mineral inventory | 24,325 | 19,822 |
Total product inventory | 72,695 | 74,399 |
Current parts inventory, net | 9,351 | 8,727 |
Total current inventory, net | 82,046 | 83,126 |
Long-term parts inventory, net | 30,031 | 30,611 |
Total inventory, net | $ 112,077 | $ 113,737 |
PROPERTY, PLANT, EQUIPMENT AN_3
PROPERTY, PLANT, EQUIPMENT AND MINERAL PROPERTIES (Schedule of Property, Plant, Equipment and Mineral Properties) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | $ 401,815 | $ 388,284 |
Accumulated depreciation | (167,168) | (141,818) |
Total depreciable assets, net | 234,647 | 246,466 |
Mineral properties and development costs | 139,418 | 138,841 |
Accumulated Depletion | (31,197) | (26,840) |
Total depletable assets, net | 108,221 | 112,001 |
Total property, plant, equipment, and mineral properties, net | 346,209 | 364,542 |
Buildings and Plant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | 81,429 | 79,757 |
Machinery and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | 241,977 | 234,861 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | 5,669 | 4,835 |
Office equipment and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | 13,779 | 12,637 |
Ponds and land improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | 58,961 | 56,194 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | 519 | 519 |
Construction in progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total depreciable assets | $ 2,822 | $ 5,556 |
PROPERTY, PLANT, EQUIPMENT AN_4
PROPERTY, PLANT, EQUIPMENT AND MINERAL PROPERTIES (Schedule of Depreciation, Depletion, and Accretion) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Property, Plant and Equipment [Abstract] | ||||
Depreciation | $ 27,858 | $ 28,323 | $ 36,169 | |
Depletion | 4,357 | 4,886 | 4,744 | |
Total | [1] | $ 32,215 | $ 33,209 | $ 40,913 |
[1] | Depreciation and depletion incurred for potash and Trio® excludes depreciation and depletion absorbed in or (relieved from) inventory. |
DEBT (Narrative) (Details)
DEBT (Narrative) (Details) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Oct. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Oct. 31, 2017 | |
Debt Instrument [Line Items] | ||||||
Proceeds from from short-term borrowings on credit facility | $ 13,500 | $ 22,000 | ||||
Repayments of short-term borrowings on credit facility | 17,400 | 18,100 | ||||
Interest costs incurred | 3,983 | 11,822 | $ 12,071 | |||
Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior notes | $ 50,000 | 60,000 | ||||
Fixed charge coverage ratio | 12 | |||||
Leverage ratio | 0.9 | |||||
Bank Of Montreal [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit | $ 0 | 3,900 | ||||
Credit facility, borrowing capacity | $ 50,000 | $ 35,000 | ||||
Proceeds from from short-term borrowings on credit facility | 13,500 | 22,000 | ||||
Repayments of short-term borrowings on credit facility | 17,400 | 18,100 | ||||
Line of credit, current borrowing capacity | 49,000 | |||||
Letters of credit | $ 1,000 | $ 3,100 | ||||
Minimum [Member] | Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Minimum fixed charge ratio | 0.25 | |||||
Fixed charge coverage ratio for the quarter ending March 31, 2019 | 0.75 | |||||
Fixed charge coverage ratio for the quarter ending June 30, 2019 | 1 | |||||
Fixed charge coverage ratio for the quarter ending September 30, 2019 | 1.30 | |||||
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread credit facility | 1.50% | |||||
Maximum [Member] | Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maximum leverage ratio | 7 | |||||
Leverage ratio for the quarter ending March 31, 2019 | 5.5 | |||||
Leverage for the quarter ending June 30, 2019 | 4.5 | |||||
Leverage ratio for the quarter ending September 30, 2019 | 3.5 | |||||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread credit facility | 2.00% | |||||
Series A Senior Notes [Member] | Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior notes | $ 20,000 | |||||
Interest rate | 3.73% | 3.73% | 7.73% | |||
Series B Senior Notes [Member] | Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior notes | $ 15,000 | |||||
Interest rate | 4.63% | 4.63% | 8.63% | |||
Series C Senior Notes [Member] | Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior notes | $ 15,000 | |||||
Interest rate | 4.78% | 4.78% | 8.78% |
SCHEDULE OF LONG TERM DEBT (Det
SCHEDULE OF LONG TERM DEBT (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
Less current portion of notes | $ 0 | $ (10,000) |
Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Notes, at carrying value | 50,000 | 60,000 |
Less current portion of notes | 0 | (10,000) |
Less deferred financing costs | (358) | (563) |
Long-term portion of Notes, net | $ 49,642 | $ 49,437 |
SCHEDULE OF INTEREST EXPENSE (D
SCHEDULE OF INTEREST EXPENSE (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |||
Interest on notes and credit facility | $ 2,849 | $ 7,043 | $ 9,152 |
Make-whole payment | 402 | 3,001 | 806 |
Amortization of deferred financing costs | 732 | 1,778 | 2,113 |
Gross interest expense | 3,983 | 11,822 | 12,071 |
Less capitalized interest | 128 | 130 | 449 |
Interest expense, net | $ 3,855 | $ 11,692 | $ 11,622 |
ASSET RETIREMENT OBLIGATION (Na
ASSET RETIREMENT OBLIGATION (Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Undiscounted amount of asset retirement obligation | $ 59.5 |
Asset retirement obligation payments expected to be made | $ 6.6 |
Period in which no significant payments related to asset retirement obligation are expected (in years) | 5 years |
Measurement Input, Risk Free Interest Rate [Member] | Minimum [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Credit risk free rate | 0.069 |
Measurement Input, Risk Free Interest Rate [Member] | Maximum [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Credit risk free rate | 0.097 |
ASSET RETIREMENT OBLIGATION (Sc
ASSET RETIREMENT OBLIGATION (Schedule of Changes to Asset Retirement Obligations) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Changes to asset retirement obligations | |||
Asset retirement obligation, at beginning of period | $ 21,476 | $ 19,976 | $ 22,951 |
Liabilities settled | (19) | 0 | (3) |
Liabilities incurred | 0 | 29 | |
Changes in estimated obligations | 0 | (87) | (4,740) |
Accretion of discount | 1,668 | 1,558 | 1,768 |
Total asset retirement obligation, at end of period | $ 23,125 | $ 21,476 | $ 19,976 |
COMMON STOCK (Details)
COMMON STOCK (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2017 | May 31, 2017 | |
Issuance of common stock, net of transaction expense | $ 1,900 | $ 57,200 | $ 59,130 | |
At the market offering common stock offering capacity | $ 40,000 | |||
Common Stock [Member] | ||||
Issuance of common stock (shares) | 500,000 | 50,100,000 | 50,612,027 |
COMPENSATION PLANS (Narrative)
COMPENSATION PLANS (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock available for issuance | 3,000,000 | ||
Total compensation expense | $ 4.2 | $ 3.6 | $ 3.6 |
Total unrecognized compensation expense | $ 5 | ||
Restricted Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Awards, outstanding | 1,953,305 | 3,163,903 | |
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise in the period | 95,004 | 0 | |
Awards, outstanding | 3,351,684 | 2,075,821 | |
Non Qualified Stock Options [Abstract] | |||
Options granted, weighted average fair value | $ 2.33 | $ 1.38 | $ 0.61 |
Options exercised, intrinsic value | $ 0.3 | $ 0.3 | |
2015 [Member] | Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares, earned | 0 | ||
Restricted Stock [Abstract] | |||
Granted in period, weighted average fair value | $ 13.84 | ||
Service Based Vesting [Member] | Restricted Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares, earned | 1,112,256 | ||
Shares granted | 277,911 | ||
Restricted Stock [Abstract] | |||
Granted in period, weighted average fair value | $ 4.16 | $ 2.27 | $ 1.07 |
Shares canceled | 305,002 | ||
Service Based Vesting [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility | 72.80% | 71.50% | 63.80% |
Service Based Vesting [Member] | Key Employees [Member] | Restricted Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares granted | 187,296 | ||
Restricted Stock [Abstract] | |||
Vesting period | 2 years | ||
Service Based Vesting [Member] | Key Employees [Member] | Stock Options [Member] | |||
Restricted Stock [Abstract] | |||
Vesting period | 3 years | ||
Non Qualified Stock Options [Abstract] | |||
Options granted in the period | 623,274 | ||
Grant term | 10 years | ||
Service Based Vesting [Member] | Director [Member] | Restricted Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares granted | 90,615 | ||
Restricted Stock [Abstract] | |||
Vesting period | 1 year | ||
Service And Market Condition Based Vesting [Member] | Restricted Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility | 81.70% | 86.20% | |
Shares, earned | 71,251 | ||
Restricted Stock [Abstract] | |||
Granted in period, weighted average fair value | $ 2.10 | $ 0.91 | |
Shares canceled | 0 | ||
Service And Market Condition Based Vesting [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility | 75.00% | 81.70% | 86.20% |
Service And Market Condition Based Vesting [Member] | Key Employees [Member] | Stock Options [Member] | |||
Restricted Stock [Abstract] | |||
Vesting period | 3 years | ||
Non Qualified Stock Options [Abstract] | |||
Options granted in the period | 934,911 | ||
Grant term | 5 years | ||
Closing market value of common stock for vesting | $ 5.85 | ||
Minimum consecutive trading days | 20 days | ||
Service And Market Condition Based Vesting [Member] | 2017 [Member] | Restricted Shares [Member] | |||
Restricted Stock [Abstract] | |||
Vesting period | 3 years | ||
Service And Market Condition Based Vesting [Member] | 2016 [Member] | Restricted Shares [Member] | |||
Restricted Stock [Abstract] | |||
Vesting period | 4 years | ||
Service And Performance Based Vesting [Member] | Restricted Shares [Member] | |||
Restricted Stock [Abstract] | |||
Granted in period, weighted average fair value | $ 3.91 | ||
Service And Performance Based Vesting [Member] | Key Employees [Member] | Restricted Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares granted | 187,296 | ||
Restricted Stock [Abstract] | |||
Vesting period | 1 year | ||
Shares canceled | 187,296 |
COMPENSATION PLANS (Schedule of
COMPENSATION PLANS (Schedule of Fair Value Assumptions) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Service And Market Condition Based Vesting [Member] | Restricted Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing stock price on grant date | $ 2.29 | $ 1.03 | |
Risk free interest rate | 1.70% | 1.30% | |
Dividend yield | 0.00% | 0.00% | |
Expected volatility | 81.70% | 86.20% | |
Expected life | 5 years | 5 years | |
Service And Market Condition Based Vesting [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing stock price on grant date | $ 3.90 | $ 2.29 | $ 1.03 |
Risk free interest rate | 2.90% | 2.20% | 1.90% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Expected volatility | 75.00% | 81.70% | 86.20% |
Expected life | 10 years | 10 years | 10 years |
Service Based Vesting [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing stock price on grant date | $ 3.90 | $ 2.29 | $ 1.03 |
Risk free interest rate | 1.10% | 1.60% | 1.80% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Expected volatility | 72.80% | 71.50% | 63.80% |
Expected life | 6 years | 6 years | 6 years 3 months |
COMPENSATION PLANS (Schedule _2
COMPENSATION PLANS (Schedule of Restricted Shares) (Details) - Restricted Shares [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted common stock, at beginning of period (in shares) | 3,163,903 | ||
Restricted common stock, at beginning of period (in dollars per share) | $ 1.73 | ||
Restricted common stock, at end of period (in shares) | 1,953,305 | 3,163,903 | |
Restricted common stock, at end of period (in dollars per share) | $ 1.87 | $ 1.73 | |
Service Based Vesting [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted (in shares) | 277,911 | ||
Granted (in dollars per share) | $ 4.16 | 2.27 | $ 1.07 |
Vested (in shares) | (1,112,256) | ||
Vested (in dollars per share) | $ 2.14 | ||
Forfeited (in shares) | (305,002) | ||
Forfeited (in dollars per share) | $ 1.67 | ||
Service And Market Condition Based Vesting [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted (in dollars per share) | $ 2.10 | $ 0.91 | |
Vested (in shares) | (71,251) | ||
Vested (in dollars per share) | $ 2.10 | ||
Forfeited (in shares) | 0 | ||
Forfeited (in dollars per share) | $ 0 | ||
Service And Performance Based Vesting [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted (in dollars per share) | 3.91 | ||
Forfeited (in dollars per share) | $ 3.91 |
COMPENSATION PLANS (Summary of
COMPENSATION PLANS (Summary of Stock Option Activity) (Details) - Stock Options [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2016 | ||
Stock option activity, number of shares | |||
Outstanding non-qualified stock options, at beginning of period (in shares) | 2,075,821 | ||
Granted (in shares) | 1,558,185 | ||
Exercised (in shares) | (95,004) | 0 | |
Forfeited (in shares) | (174,025) | ||
Expired (in Shares) | (13,293) | ||
Outstanding non-qualified stock options, at end of period (in shares) | 3,351,684 | ||
Vested or expected to vest, end of period (in shares) | 3,351,684 | ||
Exercisable non-qualified stock options, at end of period (in shares) | 876,084 | ||
Stock Options, Weighted Average Exercise Price | |||
Outstanding non-qualified stock options, at beginning of period (in dollars per share) | $ 3.74 | ||
Granted (in dollars per share) | 3.90 | ||
Exercised (in dollars per share) | 1.20 | ||
Forfeited (in dollars per share) | 1.21 | ||
Expired (in dollars per share) | 30.49 | ||
Outstanding non-qualified stock options, at end of period (in dollars per share) | 3.91 | ||
Vested or expected to vest, weighted average exercise price end of period (in dollars per share) | 3.91 | ||
Exercisable non-qualified stock options, at end of period (in dollars per share) | $ 6.44 | ||
Outstanding non-qualified stock options, aggregate intrinsic value at end of period (in dollars per share) | [1] | $ 1,810,165 | |
Vested or expected to vest, aggregate intrinsic value at end of period (in dollars per share) | [1] | 1,810,165 | |
Exercisable non-qualified stock options, aggregate intrinsic value at end of period (in dollars per share) | [1] | $ 845,691 | |
Outstanding non-qualified stock options, weighted average contractual life | 8 years 2 months 12 days | ||
Vested or expected to vest, end of period, weighted average contractual life | 8 years 2 months 12 days | ||
Exercisable non-qualified stock options, aggregate intrinsic value at end of period, weighted average contractual life | 6 years 4 months 24 days | ||
[1] | The intrinsic value of a stock option is the amount by which the market value exceeds the exercise price as of the end of the period presented. |
INCOME TAXES (Narrative) (Detai
INCOME TAXES (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||||
Federal statutory income tax rate, percentage | 21.00% | 35.00% | ||
Change in enacted tax rate | $ 634 | $ 115,545 | ||
Change in valuation allowance | (3,330) | (104,710) | $ 24,522 | |
Benefit to tax rate | $ 1,400 | 2,700 | ||
Deferred tax assets, gross | 221,707 | 218,377 | 221,707 | |
Deferred tax assets, operating loss carry forwards, federal | 240,000 | |||
Deferred tax assets, 0perating loss carry forwards, state | 296,500 | |||
Deferred tax assets, federal research and development credits | 1,870 | 1,870 | 1,870 | |
Deferred tax assets, net | $ 0 | $ 0 | $ 0 |
INCOME TAXES (Components of Inc
INCOME TAXES (Components of Income Tax Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current portion of income tax expense (benefit): | |||
Federal | $ 23 | $ (2,793) | $ (1,365) |
State | 85 | 10 | 3 |
Deferred portion of income tax expense: | |||
Federal | 0 | ||
State | 0 | ||
Total income tax expense (benefit) | $ 108 | $ (2,783) | $ (1,362) |
INCOME TAXES (Reconciliation of
INCOME TAXES (Reconciliation of Statutory Rate) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
Federal taxes at statutory rate | $ 2,497 | $ (8,873) | $ (22,941) |
State taxes, net of federal benefit | 1,663 | (1,414) | (4,982) |
Change in valuation allowance | (3,330) | (104,710) | 24,522 |
Change in federal and state tax rate | 634 | 115,545 | |
Percentage depletion | (656) | (598) | (552) |
Other | (700) | (2,733) | 2,591 |
Total income tax expense (benefit) | $ 108 | $ (2,783) | $ (1,362) |
Effective tax rate | 0.90% | 11.00% | 2.10% |
INCOME TAXES (Deferred Tax Asse
INCOME TAXES (Deferred Tax Assets Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets (liabilities): | ||
Property, plant, equipment and mineral properties, net | $ 138,855 | $ 139,656 |
Federal and state net operating loss carryforwards | 65,779 | 68,733 |
Other | 2,888 | 5,976 |
Asset retirement obligation | 5,950 | 5,472 |
R&D Credits | 1,870 | 1,870 |
Deferred revenue | 3,035 | 0 |
Total Deferred Tax Assets | 218,377 | 221,707 |
Valuation allowance | (218,377) | (221,707) |
Deferred tax asset, net | $ 0 | $ 0 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Loss Contingencies [Line Items] | |||
loss contingency recorded | $ 0 | ||
Future Operating Lease Commitments | |||
Operating Lease, Contract Term, Maximum (in years) | 20 years | ||
Reclamation Deposits and Surety Bonds | |||
Security placed with the State of Utah and the BLM | $ 19,000,000 | $ 18,800,000 | |
Long-term restricted cash deposits | 482,000 | 481,000 | $ 3,481,000 |
Surety bonds issued by an insurer | 18,500,000 | $ 18,300,000 | |
Minimum [Member] | |||
Loss Contingencies [Line Items] | |||
Estimate of possible Loss | 22,000,000 | ||
Maximum [Member] | |||
Loss Contingencies [Line Items] | |||
Estimate of possible Loss | $ 28,000,000 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES (Annual Minimum Lease Payments) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Future Operating Lease Commitments | |
2019 | $ 2,266 |
2020 | 1,874 |
2021 | 1,602 |
2022 | 1,083 |
2023 | 172 |
Thereafter | 1,343 |
Total | $ 8,340 |
COMMITMENTS AND CONTINGENCIES_4
COMMITMENTS AND CONTINGENCIES (Schedule of Rental and Lease Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Rental and lease expenses | $ 3,850 | $ 5,693 | $ 6,591 |
RESTRUCTURING EXPENSE (Narrativ
RESTRUCTURING EXPENSE (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Restructuring and Related Activities [Abstract] | ||
Restructuring charge | $ 266 | $ 2,723 |
FAIR VALUE MEASUREMENTS FAIR VA
FAIR VALUE MEASUREMENTS FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value Disclosures [Abstract] | ||
Estimated fair value of outstanding notes | $ 48.1 | $ 58.8 |
EMPLOYEE BENEFITS (Details)
EMPLOYEE BENEFITS (Details) - USD ($) $ in Thousands | 12 Months Ended | 17 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2017 | |
Defined Contribution Plan Disclosure [Line Items] | ||||
Employer matching contribution, percent of employees' gross pay | 5.00% | 2.00% | ||
Contributions to 401K Plan | $ 1,410 | $ 685 | $ 176 |
BUSINESS SEGMENTS (Narrative) (
BUSINESS SEGMENTS (Narrative) (Details) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018Reporting_Segments | Dec. 31, 2018Reporting_Segments | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Segment Reporting [Abstract] | ||||
Number of reportable segments | Reporting_Segments | 2 | 3 | ||
Segment Reporting Information [Line Items] | ||||
Restructuring charges | $ 266 | $ 2,723 | ||
Operating Segments [Member] | Potash [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Restructuring charges | 2,100 | |||
Operating Segments [Member] | Trio [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Restructuring charges | 400 | |||
Corporate [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Restructuring charges | $ 200 |
BUSINESS SEGMENTS (Information
BUSINESS SEGMENTS (Information by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||||
Segment Reporting Information [Line Items] | |||||||||||||||
Lower of cost or NRV | $ 930 | $ 0 | $ 76 | $ 705 | $ 1,571 | $ 666 | $ 317 | $ 3,825 | $ 1,711 | $ 6,379 | $ 20,374 | ||||
Costs associated with abnormal production and other | 1,707 | ||||||||||||||
Gross Margin (Deficit) | 14,826 | 8,959 | 7,286 | 7,200 | 3,628 | 6,062 | 4,803 | (2,605) | 38,271 | 11,888 | (26,797) | ||||
Depreciation, depletion and amortization expense | [1] | 32,215 | 33,209 | 40,913 | |||||||||||
Operating Segments [Member] | Potash [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Lower of cost or NRV | 0 | 550 | 18,379 | ||||||||||||
Costs associated with abnormal production and other | 650 | ||||||||||||||
Gross Margin (Deficit) | 29,008 | 15,670 | (25,398) | ||||||||||||
Depreciation, depletion and amortization expense | [1] | 25,134 | 26,485 | 30,708 | |||||||||||
Operating Segments [Member] | Trio [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Lower of cost or NRV | 1,711 | 5,829 | 1,995 | ||||||||||||
Costs associated with abnormal production and other | 1,057 | ||||||||||||||
Gross Margin (Deficit) | (3,782) | (9,548) | (1,399) | ||||||||||||
Depreciation, depletion and amortization expense | [1] | 6,343 | 6,576 | 9,296 | |||||||||||
Operating Segments [Member] | Oil Field Solutions [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Lower of cost or NRV | 0 | 0 | 0 | ||||||||||||
Costs associated with abnormal production and other | 0 | ||||||||||||||
Gross Margin (Deficit) | 13,045 | 5,766 | 0 | ||||||||||||
Depreciation, depletion and amortization expense | [1] | 343 | 19 | 0 | |||||||||||
Corporate/Other [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Depreciation, depletion and amortization expense | [1] | 395 | 129 | 909 | |||||||||||
Freight costs [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 37,052 | 32,016 | 36,062 | ||||||||||||
Freight costs [Member] | Operating Segments [Member] | Potash [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 17,682 | 13,912 | 25,732 | ||||||||||||
Freight costs [Member] | Operating Segments [Member] | Trio [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 19,370 | 18,104 | 10,330 | ||||||||||||
Freight costs [Member] | Operating Segments [Member] | Oil Field Solutions [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 0 | 0 | 0 | ||||||||||||
Warehouse and handling costs [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 9,281 | 9,670 | 11,006 | ||||||||||||
Warehouse and handling costs [Member] | Operating Segments [Member] | Potash [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 5,046 | 5,556 | 8,438 | ||||||||||||
Warehouse and handling costs [Member] | Operating Segments [Member] | Trio [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 4,225 | 4,114 | 2,568 | ||||||||||||
Warehouse and handling costs [Member] | Operating Segments [Member] | Oil Field Solutions [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | 10 | 0 | 0 | ||||||||||||
Warehouse and handling costs [Member] | Corporate/Other [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Cost of goods and services sold | |||||||||||||||
Mineral [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Sales | 54,364 | 41,410 | 55,176 | 57,320 | 42,582 | 36,484 | 47,347 | 51,502 | 208,270 | [2] | 177,915 | [2] | 212,097 | [2] | |
Cost of goods and services sold | $ 26,504 | $ 23,370 | $ 35,426 | $ 36,655 | $ 26,481 | $ 21,414 | $ 31,735 | $ 38,332 | 121,955 | 117,962 | 169,745 | ||||
Mineral [Member] | Operating Segments [Member] | Potash [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Sales | [2] | 124,058 | 107,917 | 159,207 | |||||||||||
Cost of goods and services sold | 72,322 | 72,229 | 131,406 | ||||||||||||
Mineral [Member] | Operating Segments [Member] | Trio [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Sales | [2] | 66,808 | 63,686 | 52,890 | |||||||||||
Cost of goods and services sold | 45,284 | 45,187 | 38,339 | ||||||||||||
Mineral [Member] | Operating Segments [Member] | Oil Field Solutions [Member] | |||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||
Sales | [2] | 17,404 | 6,312 | 0 | |||||||||||
Cost of goods and services sold | $ 4,349 | $ 546 | $ 0 | ||||||||||||
[1] | Depreciation and depletion incurred for potash and Trio® excludes depreciation and depletion absorbed in or (relieved from) inventory. | ||||||||||||||
[2] | Segment sales include the sales of byproducts generated during the production of potash and Trio®. Prior to the adoption of ASC 606, sales of byproducts were accounted for as a credit to cost of goods sold for potash and Trio®. |
CONCENTRATION OF CREDIT RISK (N
CONCENTRATION OF CREDIT RISK (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($)markets | Dec. 31, 2017 | Dec. 31, 2016 | |
Concentration Risk [Line Items] | |||
FDIC insured amount | $ | $ 250,000 | ||
Number of primary markets (in markets) | markets | 3 | ||
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 0.00% | 0.00% | 0.00% |
UNITED STATES | Sales Revenue, Net [Member] | Customers located in the United States | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 95.00% | 88.00% | 97.00% |
FINANCIAL INFORMATION FOR SUB_2
FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Cash and cash equivalents | $ 33,222 | $ 1,068 | $ 4,464 |
QUARTERLY FINANCIAL DATA (Detai
QUARTERLY FINANCIAL DATA (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Lower of cost or NRV | $ 930 | $ 0 | $ 76 | $ 705 | $ 1,571 | $ 666 | $ 317 | $ 3,825 | $ 1,711 | $ 6,379 | $ 20,374 | |||
Costs associated with abnormal production and other | 1,707 | |||||||||||||
Gross Margin (Deficit) | 14,826 | 8,959 | 7,286 | 7,200 | 3,628 | 6,062 | 4,803 | (2,605) | 38,271 | 11,888 | (26,797) | |||
Net Income (Loss) | $ 7,634 | $ 3,350 | $ (958) | $ 1,757 | $ (1,636) | $ (1,445) | $ (5,819) | $ (13,667) | 11,783 | (22,567) | (64,183) | |||
Basic and Diluted Earnings(Loss) Per Share | $ 0.06 | $ 0.03 | $ (0.01) | $ 0.01 | $ (0.01) | $ (0.01) | $ (0.05) | $ (0.17) | ||||||
Mineral [Member] | ||||||||||||||
Sales | $ 54,364 | $ 41,410 | $ 55,176 | $ 57,320 | $ 42,582 | $ 36,484 | $ 47,347 | $ 51,502 | 208,270 | [1] | 177,915 | [1] | 212,097 | [1] |
Cost of Goods Sold | $ 26,504 | $ 23,370 | $ 35,426 | $ 36,655 | $ 26,481 | $ 21,414 | $ 31,735 | $ 38,332 | $ 121,955 | $ 117,962 | $ 169,745 | |||
[1] | Segment sales include the sales of byproducts generated during the production of potash and Trio®. Prior to the adoption of ASC 606, sales of byproducts were accounted for as a credit to cost of goods sold for potash and Trio®. |
SCHEDULE II - VALUATION AND Q_2
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2016 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||
Valuation allowance, at beginning of year | $ 226,754 | $ 305,063 |
Charged to costs and expenses | 115 | 24,870 |
Deductions | (6,284) | (407) |
Valuation allowance, at end of year | 220,585 | 329,526 |
SEC Schedule, 12-09, Valuation Allowance, Deferred Tax Asset [Member] | ||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||
Valuation allowance, at beginning of year | 221,707 | 301,896 |
Charged to costs and expenses | 0 | 24,521 |
Deductions | (3,330) | 0 |
Valuation allowance, at end of year | 218,377 | 326,417 |
SEC Schedule, 12-09, Reserve, Inventory [Member] | ||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||
Valuation allowance, at beginning of year | 4,182 | 2,760 |
Charged to costs and expenses | 15 | 349 |
Deductions | (2,454) | 0 |
Valuation allowance, at end of year | 1,743 | 3,109 |
SEC Schedule, 12-09, Allowance, Credit Loss [Member] | ||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||
Valuation allowance, at beginning of year | 865 | 407 |
Charged to costs and expenses | 100 | 0 |
Deductions | (500) | (407) |
Valuation allowance, at end of year | $ 465 | $ 0 |