Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | 6-May-14 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'Molycorp, Inc. | ' |
Entity Central Index Key | '0001489137 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 244,712,409 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $236,050 | $314,317 |
Trade accounts receivable, net | 51,591 | 61,757 |
Inventory (Note 4) | 166,630 | 171,783 |
Prepaid expenses and other current assets | 34,854 | 29,210 |
Total current assets | 489,125 | 577,067 |
Non-current assets: | ' | ' |
Deposits | 26,005 | 25,997 |
Property, plant and equipment, net (Note 5) | 1,756,090 | 1,762,874 |
Inventory (Note 4) | 24,996 | 25,329 |
Intangible assets, net | 324,964 | 330,867 |
Investments | 47,152 | 48,875 |
Goodwill | 228,750 | 228,750 |
Other non-current assets | 6,554 | 7,043 |
Total non-current assets | 2,414,511 | 2,429,735 |
Total assets | 2,903,636 | 3,006,802 |
Current liabilities: | ' | ' |
Trade accounts payable | 63,670 | 84,449 |
Accrued expenses | 55,426 | 48,501 |
Debt and capital lease obligations (Note 6) | 16,885 | 16,362 |
Other current liabilities | 3,582 | 4,063 |
Total current liabilities | 139,563 | 153,375 |
Non-current liabilities: | ' | ' |
Asset retirement obligation | 16,218 | 16,966 |
Deferred tax liabilities (Note 7) | 79,284 | 85,481 |
Debt and capital lease obligations (Note 6) | 1,371,924 | 1,363,916 |
Other non-current liabilities | 9,850 | 10,002 |
Total non-current liabilities | 1,477,276 | 1,476,365 |
Total liabilities | 1,616,839 | 1,629,740 |
Commitments and contingencies (Note 11) | ' | ' |
Stockholders’ equity: | ' | ' |
Common stock, $0.001 par value; 350,000,000 shares authorized at March 31, 2014 and December 31, 2013 (Note 8) | 245 | 241 |
Common stock, $0.001 par value; 350,000,000 shares authorized at March 31, 2014 and December 31, 2013 (Note 8) | 0 | 2 |
Additional paid-in capital | 2,191,404 | 2,194,405 |
Accumulated other comprehensive loss | -7,303 | -6,451 |
Accumulated deficit | -926,535 | -840,474 |
Total Molycorp stockholders’ equity | 1,257,811 | 1,347,723 |
Noncontrolling interests | 28,986 | 29,339 |
Total stockholders’ equity | 1,286,797 | 1,377,062 |
Total liabilities and stockholders’ equity | $2,903,636 | $3,006,802 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Statement of Financial Position [Abstract] | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, authorized | 350,000,000 | 350,000,000 |
Preferred stock, par value | ' | $0.00 |
Preferred stock, authorized | ' | 5,000,000 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations and Comprehensive Income (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Income Statement [Abstract] | ' | ' |
Revenues | $118,526 | $145,398 |
Costs of sales: | ' | ' |
Costs excluding depreciation and amortization | -125,473 | -135,531 |
Depreciation and amortization | -16,147 | -14,172 |
Gross loss | -23,094 | -4,305 |
Operating expenses: | ' | ' |
Selling, general and administrative | -17,956 | -26,551 |
Depreciation, amortization and accretion | -7,201 | -8,210 |
Research and development | -2,766 | -6,405 |
Operating loss | -51,017 | -45,471 |
Other expenses: | ' | ' |
Other income (expense) | 474 | -451 |
Interest expense, net of capitalized interest | -35,639 | -11,649 |
Loss before income taxes and equity earnings | -86,182 | -57,571 |
Income tax benefit | 1,907 | 22,490 |
Equity in loss of affiliates | -1,723 | -3,072 |
Net loss | -85,998 | -38,153 |
Net income attributable to noncontrolling interests | -63 | -818 |
Net loss attributable to Molycorp stockholders | -86,061 | -38,971 |
Other comprehensive loss: | ' | ' |
Foreign currency translation adjustments | -852 | -3,294 |
Comprehensive loss | -86,850 | -41,447 |
Comprehensive loss attributable to: | ' | ' |
Molycorp stockholders | -86,787 | -40,629 |
Noncontrolling interest | -63 | -818 |
Comprehensive loss | -86,850 | -41,447 |
Earnings per share of common stock (Note 9): | ' | ' |
Dividends on Convertible Preferred Stock | -2,846 | -2,846 |
Loss attributable to common stockholders | ($88,907) | ($41,817) |
Weighted average common shares outstanding—basic | 221,374,589 | 153,314,081 |
Basic earnings (loss) per share: (in dollars per share) | ($0.40) | ($0.27) |
Weighted average common shares outstanding—diluted | 221,374,589 | 153,314,081 |
Diluted earnings (loss) per share: (in dollars per share) | ($0.40) | ($0.27) |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Stockholders' Equity (USD $) | Total | Series A Mandatory Convertible Preferred Stock | Total Molycorp Stockholders' Equity | Total Molycorp Stockholders' Equity | Common Stock | Common Stock | Series A Mandatory Convertible Preferred Stock | Series A Mandatory Convertible Preferred Stock | Additional Paid-In Capital | Additional Paid-In Capital | Accumulated Other Comprehensive Loss | Accumulated deficit | Non controlling interests |
In Thousands, except Share data, unless otherwise specified | Series A Mandatory Convertible Preferred Stock | Series A Mandatory Convertible Preferred Stock | Series A Mandatory Convertible Preferred Stock | ||||||||||
Balance at beginning of period at Dec. 31, 2012 | $1,251,258 | ' | $1,216,046 | ' | $139 | ' | $2 | ' | $1,691,429 | ' | ($9,433) | ($466,091) | $35,212 |
Balance at beginning of period (in shares) at Dec. 31, 2012 | ' | ' | ' | ' | 138,773,538 | ' | 2,070,000 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation | -325 | ' | -325 | ' | 0 | ' | ' | ' | -325 | ' | ' | ' | ' |
Stock-based compensation (in shares) | ' | ' | ' | ' | -7,749 | ' | ' | ' | ' | ' | ' | ' | ' |
Component of 5.50% convertible debt | 21,815 | ' | 21,815 | ' | ' | ' | ' | ' | 21,815 | ' | ' | ' | ' |
Deferred taxes on component of convertible debt | -8,508 | ' | -8,508 | ' | ' | ' | ' | ' | -8,508 | ' | ' | ' | ' |
Conversion of Exchangeable Shares (in shares) | ' | ' | ' | ' | 10,476 | ' | ' | ' | ' | ' | ' | ' | ' |
Conversion of shares (in shares) | ' | ' | ' | ' | 1,253 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of Primary Shares | 248,140 | ' | 248,140 | ' | 43 | ' | ' | ' | 248,097 | ' | ' | ' | ' |
Issuance of Primary Shares (in shares) | ' | ' | ' | ' | 43,125,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of Borrowed Shares | 7 | ' | 7 | ' | 7 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of Borrowed Shares (in shares) | ' | ' | ' | ' | 6,666,666 | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | -38,153 | ' | -38,971 | ' | ' | ' | ' | ' | ' | ' | ' | -38,971 | 818 |
Preferred dividends | -2,846 | ' | -2,846 | ' | ' | ' | ' | ' | -2,846 | ' | ' | ' | ' |
Distribution to noncontrolling interests | -1,286 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,286 |
Other comprehensive loss | -3,294 | ' | -3,294 | ' | ' | ' | ' | ' | ' | ' | -3,294 | ' | ' |
Balance at end of period at Mar. 31, 2013 | 1,466,808 | ' | 1,432,064 | ' | 189 | ' | 2 | ' | 1,949,662 | ' | -12,727 | -505,062 | 34,744 |
Balance at end of period (in shares) at Mar. 31, 2013 | ' | ' | ' | ' | 188,569,184 | ' | 2,070,000 | ' | ' | ' | ' | ' | ' |
Balance at beginning of period at Dec. 31, 2013 | 1,377,062 | ' | 1,347,723 | ' | 241 | ' | 2 | ' | 2,194,405 | ' | -6,451 | -840,474 | 29,339 |
Balance at beginning of period (in shares) at Dec. 31, 2013 | ' | ' | ' | ' | 240,380,094 | ' | 2,070,000 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation | 103 | ' | 103 | ' | ' | ' | ' | ' | 103 | ' | ' | ' | ' |
Stock-based compensation (in shares) | ' | ' | ' | ' | 177,491 | ' | ' | ' | ' | ' | ' | ' | ' |
Conversion of Exchangeable Shares (in shares) | ' | ' | ' | ' | 392 | ' | ' | ' | ' | ' | ' | ' | ' |
Conversion of shares (in shares) | ' | ' | ' | ' | 1,281 | 4,140,000 | ' | -2,070,000 | ' | ' | ' | ' | ' |
Conversion of shares | 7 | 0 | 7 | 0 | ' | 4 | ' | -2 | 7 | -2 | ' | ' | ' |
Net loss | -85,998 | ' | -86,061 | ' | ' | ' | ' | ' | ' | ' | ' | -86,061 | 63 |
Preferred dividends | -2,846 | ' | -2,846 | ' | ' | ' | ' | ' | -2,846 | ' | ' | ' | ' |
Distribution to noncontrolling interests | -435 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -435 |
Other comprehensive loss | -852 | ' | -852 | ' | ' | ' | ' | ' | ' | ' | -852 | ' | ' |
Other | -244 | ' | -263 | ' | ' | ' | ' | ' | -263 | ' | ' | ' | 19 |
Balance at end of period at Mar. 31, 2014 | $1,286,797 | ' | $1,257,811 | ' | $245 | ' | $0 | ' | $2,191,404 | ' | ($7,303) | ($926,535) | $28,986 |
Balance at end of period (in shares) at Mar. 31, 2014 | ' | ' | ' | ' | 244,699,258 | ' | 0 | ' | ' | ' | ' | ' | ' |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Cash flows from operating activities: | ' | ' |
Net loss | ($85,998) | ($38,153) |
Adjustments to reconcile net loss to net cash from operating activities: | ' | ' |
Depreciation, amortization and accretion | 23,348 | 22,532 |
Deferred income tax benefit | -6,097 | -29,475 |
Inventory write-downs | 17,371 | 22,125 |
Release of inventory step-up value | 577 | 2,497 |
Stock-based compensation | 822 | -325 |
Foreign exchange loss | 4 | 2,197 |
Equity in results of affiliates | 1,723 | 3,072 |
Other operating adjustments | 250 | -5,221 |
Net change in operating assets and liabilities (Note 14) | 2,215 | -15,877 |
Net cash used in operating activities | -45,785 | -36,628 |
Cash flows from investing activities: | ' | ' |
Investment in joint ventures | 0 | -3,423 |
Capital expenditures | -29,752 | -181,103 |
Other investing activities | 493 | -90 |
Net cash used in investing activities | -29,259 | -184,616 |
Cash flows from financing activities: | ' | ' |
Repayments of debt | -489 | -11,108 |
Net proceeds from sale of common stock | 0 | 248,147 |
Issuance of 5.50% Convertible Notes | 0 | 165,600 |
Payments of preferred dividends | -2,846 | -2,846 |
Dividend paid to noncontrolling interests | -435 | -1,286 |
Other financing activities | 1,323 | -79 |
Net cash (used in) provided by financing activities | -2,447 | 398,428 |
Effect of exchange rate changes on cash | -776 | -140 |
Net change in cash and cash equivalents | -78,267 | 177,044 |
Cash and cash equivalents at beginning of the period | 314,317 | 227,790 |
Cash and cash equivalents at end of period | 236,050 | 404,834 |
Non-cash financing activities and investing activities: | ' | ' |
Change in accrued capital expenditures | ($19,415) | ($82,646) |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with GAAP for interim financial information and Regulation S-X promulgated under the Exchange Act, and reflect all adjustments that are normal and recurring in nature, which, in the opinion of management, are necessary for the fair presentation of our financial position, results of operations and cash flows at March 31, 2014, and for all periods presented. While the December 31, 2013 balance sheet information was derived from our audited financial statements, for interim periods, GAAP and Regulation S-X do not require all information and related disclosures that are required in the annual financial statements and, as a result, all disclosures required by GAAP and Regulation S-X for annual financial statements have not been included in this report. Therefore, the accompanying unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes for the year ended December 31, 2013 included in our Annual Report on Form 10-K filed with the SEC on March 3, 2014. | |
The unaudited condensed consolidated financial statements include our accounts and the accounts of our wholly-owned and majority-owned subsidiaries. Intercompany balances and transactions have been eliminated in consolidation. Investments in joint ventures where we do not exert control, but have the ability to exercise significant influence over the operating and financial policies of the investee, are accounted for under the equity method of investment. All other investments are accounted at cost. | |
The prior period amount of "Equity in results of affiliates" in the unaudited condensed consolidated statements of cash flows has been broken out from "Other operating adjustments" to conform to the current period presentation. Additionally, nominal prior period revenues and expenses related to an asset disposal that we finalized in the first quarter of 2014, have been reclassified to "Other expense" in the condensed consolidated statement of operations and comprehensive income. Such reclassifications did not affect our results of operations. | |
Use of Estimates | |
The preparation of the financial statements, in accordance with GAAP, requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at 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 we believe to be reasonable under the circumstances. Actual results may differ significantly from these estimates under different assumptions and conditions. Significant estimates we made in the accompanying financial statements include the collectability of accounts receivable, the recoverability of inventory, the useful lives and recoverability of long-lived assets such as property, plant and equipment, intangible assets, goodwill and investments, capital leases, uncertain tax positions, the realizability of deferred tax assets, and the adequacy of the asset retirement obligation. | |
Significant Accounting Policies | |
A summary of our significant accounting policies can be found in Item 8, Note 2 of the audited consolidated financial statements for the year ended December 31, 2013 included in our Annual Report on Form 10-K filed with the SEC on March 3, 2014. | |
Recent Accounting Pronouncements | |
In July 2013, the FASB issued ASU 2013-11, Income Taxes (Topic 740), Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (a consensus of the FASB Emerging Issues Task Force). Based on this update, an entity is required to present unrecognized tax benefits as a decrease in a net operating loss, similar tax loss or tax credit carryforward if certain criteria are met. The determination of whether a deferred tax asset is available is based on the unrecognized tax benefit and the deferred tax asset that exists at the reporting date and presumes disallowance of the tax position at the reporting date. This guidance will eliminate the diversity in practice in the presentation of unrecognized tax benefits but will not alter the way in which entities assess deferred tax assets for realizability. The amendments are effective for public companies for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2013. The amendments were applied prospectively to unrecognized tax benefits that exist at the effective date. The adoption of this updated guidance did not have a material impact on our financial statements and related disclosures. | |
In March 2013, the FASB issued ASU 2013-05, Foreign Currency Matters (Topic 830), Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity (a consensus of the FASB Emerging Issues Task Force). The amendments specify that a cumulative translation adjustment ("CTA") should be released into earnings when an entity ceases to have a controlling financial interest in a subsidiary or group of assets within a consolidated foreign entity and the sale or transfer results in the complete or substantially complete liquidation of the foreign entity. For sales of an equity method investment that is a foreign entity, a pro rata portion of CTA attributable to the investment would be recognized in earnings when the investment is sold. When an entity sells either a part or all of its investment in a consolidated foreign entity, CTA would be recognized in earnings only if the sale results in the parent no longer having a controlling financial interest in the foreign entity. In addition, CTA should be recognized in earnings in a business combination achieved in stages (i.e., a step acquisition). The amendments are effective for public companies for fiscal years, and interim periods within those years, beginning after December 15, 2013. The amendments were to be applied prospectively to derecognition events occurring after the effective date. However, since we did not have any derecognition events in the three months ended March 31, 2014, the adoption of this updated guidance did not impact on our financial statements and related disclosures. |
Liquidity_and_Capital_Requirem
Liquidity and Capital Requirements | 3 Months Ended |
Mar. 31, 2014 | |
Capital Requirements [Abstract] | ' |
Liquidity and Capital Requirements | ' |
Liquidity and Capital Requirements | |
We expect to use our cash balances of $236.1 million as of March 31, 2014, as well as cash generated from operations in certain business units to fund our capital expenditures, debt service and other cash requirements. Capital expenditures for our Molycorp Mountain Pass facility are expected to total approximately $41.0 million for the remainder of 2014, including remaining payments for certain capital expenditures incurred as of March 31, 2014, and $50.0 million in 2015. Additionally, we expect to spend approximately $20.0 million on maintenance and expansion capital expenditures across all other business units for the remainder of 2014. While our cash balances as of March 31, 2014, cash generated from operations in certain business units, and available and planned financing are expected to be sufficient to satisfy our cash needs throughout the next twelve months, the amount of our cash requirements continues to be dependent on (i) the accuracy of our cost estimates for capital expenditures, (ii) our ability to ramp-up run rates at our Molycorp Mountain Pass facility pursuant to our expectations without further delays, and to achieve lower cash costs of production as a result of further optimization of operations at our Molycorp Mountain Pass facility, (iii) stable or improved market conditions, (iv) our ability to sell our production of rare earths (including our ability to sell our cerium through market acceptance of SorbX® or otherwise), (v) our ability to repatriate cash generated from our global operations, and (vi) the absence of payments on current and future contingent liabilities. If these assumptions prove inaccurate, our estimates could prove incorrect and we may need additional financing. | |
As part of our cash management procedures, we continue to evaluate opportunities to reduce costs and improve our liquidity, including potential proceeds from additional revolving credit facilities or other financing arrangements, although we do not have any firm commitments for such financing. Additionally, we have utilized and will continue to utilize lease financing for certain heavy mobile equipment and vehicles. |
Segment_Information
Segment Information | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||||||
Segment Information | ' | |||||||||||||||||||||||||||
Segment Information | ||||||||||||||||||||||||||||
Our operations are organized into four reportable segments, each reflecting a unique combination of product lines and technologies: Resources, Chemicals and Oxides, Magnetic Materials and Alloys, and Rare Metals. The primary measurement we use to measure the financial performance of each reportable segment is OIBDA (Operating income before depreciation, amortization and accretion). | ||||||||||||||||||||||||||||
Three months ended March 31, 2014 | Resources | Chemicals and Oxides | Magnetic Materials and Alloys | Rare Metals | Corporate and other (a) | Eliminations(b) | Total Molycorp, Inc. | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||||
External | $ | 3,111 | $ | 40,271 | $ | 54,720 | $ | 20,424 | $ | — | $ | 118,526 | ||||||||||||||||
Inter-segment | 12,453 | 6,285 | 1,218 | — | (19,956 | ) | — | |||||||||||||||||||||
Total revenues | $ | 15,564 | $ | 46,556 | $ | 55,938 | $ | 20,424 | $ | (19,956 | ) | $ | 118,526 | |||||||||||||||
OIBDA | $ | (36,445 | ) | $ | 3,299 | $ | 13,676 | $ | (70 | ) | ||||||||||||||||||
Depreciation, amortization and accretion | (13,091 | ) | (3,872 | ) | (4,237 | ) | (2,093 | ) | ||||||||||||||||||||
Operating (loss) income | $ | (49,536 | ) | $ | (573 | ) | $ | 9,439 | $ | (2,163 | ) | $ | (7,109 | ) | $ | (1,075 | ) | $ | (51,017 | ) | ||||||||
Other income | 474 | |||||||||||||||||||||||||||
Interest expense, net of capitalized interest | (35,639 | ) | ||||||||||||||||||||||||||
Loss before income taxes and equity earnings | $ | (86,182 | ) | |||||||||||||||||||||||||
Three months ended March 31, 2013 | Resources | Chemicals and Oxides | Magnetic Materials and Alloys | Rare Metals | Corporate and other (a) | Eliminations(b) | Total Molycorp, Inc. | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||||
External | $ | 14,658 | $ | 49,600 | $ | 54,678 | $ | 26,462 | $ | — | $ | 145,398 | ||||||||||||||||
Inter-segment | 2,645 | 14,610 | — | — | (17,255 | ) | — | |||||||||||||||||||||
Total revenues | $ | 17,303 | $ | 64,210 | $ | 54,678 | $ | 26,462 | $ | (17,255 | ) | $ | 145,398 | |||||||||||||||
OIBDA | $ | (31,073 | ) | $ | 2,231 | $ | 12,243 | $ | 5,553 | |||||||||||||||||||
Depreciation, amortization and accretion | (9,053 | ) | (5,537 | ) | (5,480 | ) | (2,253 | ) | ||||||||||||||||||||
Operating (loss) income | $ | (40,126 | ) | $ | (3,306 | ) | $ | 6,763 | $ | 3,300 | $ | (11,564 | ) | $ | (538 | ) | $ | (45,471 | ) | |||||||||
Other expense | (451 | ) | ||||||||||||||||||||||||||
Interest expense, net of capitalized interest | (11,649 | ) | ||||||||||||||||||||||||||
Loss before income taxes and equity earnings | $ | (57,571 | ) | |||||||||||||||||||||||||
(a) | Includes business development costs, personnel costs, stock-based compensation, accounting and legal fees, occupancy expense, information technology costs and interest expense. | |||||||||||||||||||||||||||
(b) | Consist of inter-segment sales and gross profits elimination as well as eliminations of lower of cost or market adjustments related to inter-segment inventory. |
Inventory
Inventory | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Inventory | ' | |||||||
Inventory | ||||||||
At March 31, 2014 and December 31, 2013, our inventory consisted of the following: | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(In thousands) | ||||||||
Current: | ||||||||
Concentrate stockpiles | $ | 30 | $ | 24 | ||||
Raw materials | 49,613 | 42,627 | ||||||
Work in process | 38,340 | 41,962 | ||||||
Finished goods | 56,672 | 65,662 | ||||||
Materials and supplies | 21,975 | 21,508 | ||||||
Total current | $ | 166,630 | $ | 171,783 | ||||
Long-term: | ||||||||
Concentrate stockpiles | $ | 4 | $ | 4 | ||||
Raw materials | 24,992 | 25,325 | ||||||
Total long-term | $ | 24,996 | $ | 25,329 | ||||
Assessment of normal production levels | ||||||||
For the three months ended March 31, 2014 and 2013, we determined that an additional $25.0 million and $22.0 million, respectively, of production costs would have been inventoriable had we been operating at normal production levels. These costs were excluded from inventory and included in costs of sales as incurred. In both periods, the large majority of these production costs related to lower than anticipated production volumes and abnormal consumption of the primary chemical reagents used during the optimization phase of our new separation processes at the Resources segment. | ||||||||
Write-downs of inventory | ||||||||
Due to the decline in some rare earths prices and low inventory turnover, we recognized write-downs of $16.2 million and $19.7 million for the three months ended March 31, 2014 and 2013, respectively, to reduce some of our inventory to the lower of cost or market. During the same interim periods, we recognized write-downs of stockpile inventory totaling $1.2 million and $2.4 million, respectively, due to adjustments of the estimated REO content in the stockpile. Our Resources segment was mostly affected by these charges, which were recorded in costs of sales in both interim periods. |
Property_Plant_and_Equipment_n
Property, Plant and Equipment, net | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Plant and Equipment, net | ' | |||||||
Property, Plant and Equipment, net | ||||||||
We capitalized expenditures of $12.3 million and $120.9 million for the three months ended March 31, 2014 and 2013, respectively, the majority of which related to the expansion and modernization efforts, and certain other capital projects at our Molycorp Mountain Pass facility (Resources segment). In the first quarter of 2014, there was no interest capitalized on assets under construction. For the three months ended March 31, 2013, the expenditures above included capitalized interest of $21.5 million. Capitalized interest is typically added to "Construction in progress" until the asset is complete and ready for its intended use. Subsequently, capitalized interest is allocated to the pertinent asset class, generally "Land improvements", "Building and improvements" or "Plant and equipment", and amortized over the estimated useful life of the asset. | ||||||||
At March 31, 2014 and December 31, 2013, our property, plant and equipment consisted of the following: | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(In thousands) | ||||||||
Land | $ | 12,841 | $ | 12,822 | ||||
Land improvements | 304,372 | 327,029 | ||||||
Buildings and improvements | 557,839 | 418,510 | ||||||
Plant and equipment | 448,774 | 288,603 | ||||||
Vehicles | 2,968 | 2,986 | ||||||
Computer software | 12,424 | 12,424 | ||||||
Furniture and fixtures | 1,044 | 1,044 | ||||||
Construction in progress (a) | 486,913 | 755,107 | ||||||
Natural gas delivery facility under capital lease | 15,658 | 15,658 | ||||||
Mining equipment under capital lease | 9,287 | 7,370 | ||||||
Mineral properties | 23,912 | 23,999 | ||||||
Property, plant and equipment at cost | 1,876,032 | 1,865,552 | ||||||
Less accumulated depreciation | (119,942 | ) | (102,678 | ) | ||||
Property, plant and equipment, net | $ | 1,756,090 | $ | 1,762,874 | ||||
(a) | Primarily related to expenditures at the Molycorp Mountain Pass facility. | |||||||
Mineral properties and development costs, which are referred to collectively as mineral properties, include acquisition costs, drilling costs, and the cost of other development work associated with our Molycorp Mountain Pass facility, all of which are capitalized. |
Debt_and_Capital_Lease_Obligat
Debt and Capital Lease Obligations | 3 Months Ended | ||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||||||||||||
Debt and Capital Lease Obligations | ' | ||||||||||||||||||||||||||
Debt and Capital Lease Obligations | |||||||||||||||||||||||||||
The following table provides a summary of the current and non-current portions of our debt outstanding and capital lease obligations at March 31, 2014 and December 31, 2013: | |||||||||||||||||||||||||||
March 31, 2014 | 31-Dec-13 | ||||||||||||||||||||||||||
Current | Non-Current | Current | Non-Current | ||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Bank loans due May 2014 - September 2017 | $ | 14,140 | $ | 2,344 | $ | 14,128 | $ | 2,699 | |||||||||||||||||||
3.25% Convertible Notes, net of discount, due June 2016 | — | 209,211 | — | 207,028 | |||||||||||||||||||||||
6.00% Convertible Notes, net of discount, due June 2017 | — | 350,594 | — | 346,708 | |||||||||||||||||||||||
5.00% Debentures, net of discount, due December 2017 | — | 2,349 | — | 2,493 | |||||||||||||||||||||||
5.50% Convertible Notes, net of discount, due February 2018 | — | 149,471 | — | 148,198 | |||||||||||||||||||||||
10% Senior Notes, net of discount, due June 2020 | — | 637,788 | — | 637,435 | |||||||||||||||||||||||
Total debt | 14,140 | 1,351,757 | 14,128 | 1,344,561 | |||||||||||||||||||||||
Capital lease obligations | 2,745 | 20,167 | 2,234 | 19,355 | |||||||||||||||||||||||
Total debt and capital lease obligations | $ | 16,885 | $ | 1,371,924 | $ | 16,362 | $ | 1,363,916 | |||||||||||||||||||
Weighted average interest rate on the bank loans was 3.29% and 3.59% at March 31, 2014 and December 31, 2013, respectively. Scheduled minimum debt repayments, excluding capital lease obligations, are $13.8 million for the remainder of 2014, $1.5 million in 2015, $230.8 million in 2016, $416.7 million in 2017, $172.5 million in 2018 and $650.0 million thereafter. As of March 31, 2014, we were in compliance with all applicable covenants related to our indebtedness, which are all affirmative in nature and contain customary "Change of control" provisions. | |||||||||||||||||||||||||||
The following table presents a reconciliation of the principal amount to the net carrying value for each of our Convertible Notes and our Senior Notes at March 31, 2014 and December 31, 2013, and provides the interest cost of each instrument for the three months ended March 31, 2014 and 2013: | |||||||||||||||||||||||||||
3.25% Convertible Notes | 6.00% Convertible Notes | 5.50% Convertible Notes | 10% Senior Notes | ||||||||||||||||||||||||
March 31, | December 31, | March 31, | December 31, | March 31, | December 31, | March 31, | December 31, | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Principal amount | $ | 230,000 | $ | 230,000 | $ | 414,000 | $ | 414,000 | $ | 172,500 | 172,500 | $ | 650,000 | $ | 650,000 | ||||||||||||
Unamortized debt discount | (20,789 | ) | (22,972 | ) | (63,406 | ) | (67,292 | ) | (23,029 | ) | (24,302 | ) | (12,212 | ) | (12,565 | ) | |||||||||||
Net carrying amount | $ | 209,211 | $ | 207,028 | $ | 350,594 | $ | 346,708 | $ | 149,471 | 148,198 | $ | 637,788 | $ | 637,435 | ||||||||||||
Three Months Ended March 31, | |||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
Interest cost (a) | $ | 4,058 | $ | 3,920 | $ | 10,150 | $ | 9,813 | $ | 3,659 | 2,297 | $ | 16,639 | $ | 16,605 | ||||||||||||
(a) Interest cost includes the coupon interest, accretion of the initial equity component of the convertible notes (3.25% - $36,227; 6.00% - $68,695; and 5.50% - $21,815), accretion of the underwriting discounts and amortization of the issuance costs allocated to the liability component. | |||||||||||||||||||||||||||
Senior Secured Obligations | |||||||||||||||||||||||||||
The 10% Senior Secured Notes due 2020 ("Senior Notes") are our senior secured obligations and are guaranteed by certain of our domestic subsidiaries ("Guarantors"). The Senior Notes are secured by a first-priority security interest on substantially all of our property and assets and those of the Guarantors, subject to some exceptions for certain "Excluded Assets," such as: | |||||||||||||||||||||||||||
• | Leasehold interests in real property; | ||||||||||||||||||||||||||
• | Certain capital leases that constitute permitted liens; | ||||||||||||||||||||||||||
• | Certain motor vehicles; | ||||||||||||||||||||||||||
• | Assets owned by foreign subsidiaries or, subject to certain limitations, MMA; | ||||||||||||||||||||||||||
• | Assets with a fair market value of less than $15.0 million as to which the board of directors determine in good faith (and certify to the collateral agent) that the costs of obtaining or perfecting such security interest are excessive in relation to the practical benefit to the holder of the Notes of the security afforded thereby (based on the value of such asset); | ||||||||||||||||||||||||||
• | Cash collateral for letters of credit or hedging obligations (up to 105% of the underlying obligations); | ||||||||||||||||||||||||||
• | Certain deposit accounts; | ||||||||||||||||||||||||||
• | The equity interests of immaterial subsidiaries and, subject to certain limitations, MMA; | ||||||||||||||||||||||||||
• | Voting stock of foreign subsidiaries in excess of 65.0% of the voting stock; and | ||||||||||||||||||||||||||
• | Other pledges of stock of a guarantor to the extent that Rule 3-16 of Regulation S-X under the Securities Act would require the filing of separate financial statements of such guarantor. | ||||||||||||||||||||||||||
Capital Leases | |||||||||||||||||||||||||||
We lease certain mining and other equipment under agreements with various durations that have been determined to be capital leases. Those agreements contain purchase options at the end of the lease term and are generally at market interest rates. At March 31, 2014, total future minimum payments on our capital leases were $50.4 million and are due as follows: $5.7 million for the remainder of 2014, $7.6 million in 2015, $7.6 million in 2016, $6.5 million in 2017, $5.1 million in 2018 and $17.8 million thereafter. The aggregate amount of future minimum lease payments at March 31, 2014 includes total executory costs of $1.6 million and imputed interest of $25.8 million. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Income Taxes | |
Our effective income tax rate can vary significantly quarter-to-quarter for various reasons, including the mix and volume of business in lower tax jurisdictions, in jurisdictions with tax holidays and tax incentives, and in jurisdictions for which no deferred tax assets have been recognized because management believed it was not more likely than not that future taxable profit would be available against which tax losses and deductible temporary differences could be utilized. Our effective income tax rate can also vary due to the impact of foreign exchange fluctuations, operating losses, changes in our provisions related to tax uncertainties, and changes in our assertion relating to indefinitely reinvesting undistributed earnings of certain foreign subsidiaries. | |
For the three months ended March 31, 2014 and 2013, our effective tax rate was 2.2% and 39.1%, respectively. The March 31, 2014 effective tax rate was impacted primarily by valuation allowance required in the U.S. as a result of tax losses generated during the quarter. |
Stockholders_Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2014 | |
Equity [Abstract] | ' |
Stockholders' Equity | ' |
Stockholders’ Equity | |
At March 31, 2014 and December 31, 2013, we had 244,838,060 and 240,380,138 shares of common stock issued and outstanding, respectively, and at December 31, 2013, we also had 2,070,000 shares of our 5.50% Series A Mandatory Convertible Preferred Stock (“Convertible Preferred Stock”) issued and outstanding. | |
On March 1, 2014, each share of our Convertible Preferred Stock automatically converted into two shares of our common stock based on the “maximum conversion rate”, as defined in our Amended and Restated Certificate of Incorporation. As a result, we issued 4,140,000 shares of our common stock in connection with the automatic conversion of the 2,070,000 shares of the Convertible Preferred Stock. Also on March 1, 2014, we paid the final $2.8 million of the aggregate preferred dividends on the Convertible Preferred Stock to holders of record at the close of business on February 15, 2014. |
Earnings_per_Share
Earnings per Share | 3 Months Ended |
Mar. 31, 2014 | |
Earnings Per Share [Abstract] | ' |
Earnings per Share | ' |
Earnings per Share | |
For the three months ended March 31, 2014 and 2013, the dividends on the Convertible Preferred Stock were subtracted from net loss attributable to Molycorp stockholders for the purpose of computing the basic and diluted earnings per share. | |
Diluted earnings per share reflect the dilutive impact of potential common stock and unvested restricted shares of common stock in the weighted average number of common shares outstanding during the period, if dilutive. For this purpose, the “treasury stock method” and “if-converted method,” as applicable, are used. Under the treasury stock method, assumed proceeds upon the exercise of stock options are considered to be used to purchase common stock at the average market price of the shares during the period. Also under the treasury stock method, fixed awards and non-vested shares, such as restricted stock units, are deemed options for purposes of computing diluted earnings per share. At March 31, 2014 and 2013, all potential common stock under the treasury stock method were antidilutive in nature; consequently, we did not have any adjustments between earnings per share and diluted earnings per share related to stock options and restricted stock units. In applying the if-converted method, conversion is not assumed for purposes of computing diluted earnings per share if the effect would be antidilutive. Convertible preferred stock is antidilutive whenever the amount of the dividend declared in or accumulated for the current period per common share obtainable on conversion, including the deemed dividend in the period from a beneficial conversion feature, exceeds basic earnings per share. Our Convertible Preferred Stock was antidilutive at March 31, 2014 and 2013. Also, under the if-converted method, convertible debt is antidilutive whenever its interest per common share obtainable on conversion, including any deemed interest from a beneficial conversion feature and nondiscretionary adjustments, net of tax, exceeds basic earnings per share. At March 31, 2014 and 2013, our convertible notes were all antidilutive. |
StockBased_Compensation
Stock-Based Compensation | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||
Stock-Based Compensation | ' | ||||||
Stock-Based Compensation | |||||||
The following tables summarize the stock-based awards with significant activity for the quarter ended March 31, 2014: | |||||||
PBRSUs | Number of | Weighted Average | |||||
Shares | Grant-Date | ||||||
Price | |||||||
Unvested at December 31, 2013 | 697,797 | $ | 7.45 | ||||
Granted | 744,540 | $ | 4.99 | ||||
Forfeited | — | — | |||||
Vested | — | — | |||||
Unvested at March 31, 2014 | 1,442,337 | $ | 6.18 | ||||
RSUs | Number of | Weighted Average | |||||
Shares | Grant-Date | ||||||
Price | |||||||
Unvested at December 31, 2013 | 1,076,385 | $ | 9.81 | ||||
Granted | 714,797 | $ | 4.96 | ||||
Forfeited | (14,265 | ) | $ | 10.34 | |||
Vested | (27,553 | ) | $ | 31.35 | |||
Unvested at March 31, 2014 | 1,749,364 | $ | 7.48 | ||||
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||||||
Commitments and Contingencies | ' | |||||||||||||||||||
Commitments and Contingencies | ||||||||||||||||||||
(a) | Future Operating Lease Commitments | |||||||||||||||||||
We lease certain office space, trailers and equipment pursuant to lease agreements that have been determined to be operating lease. Remaining annual minimum payments under these leases at March 31, 2014 were as follows: | ||||||||||||||||||||
Total | Less Than | 1 - 3 Years | 4 - 5 Years | More Than | ||||||||||||||||
1 Year | 5 Years | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Operating lease obligations | $ | 6,000 | $ | 2,576 | $ | 1,992 | $ | 515 | $ | 917 | ||||||||||
(b) | Purchase Commitments | |||||||||||||||||||
We entered into contractual commitments for the purchase of materials and services from various vendors, primarily in connection with the modernization and expansion efforts at our Molycorp Mountain Pass facility. Future payments for all purchase commitments at March 31, 2014 were as follows: | ||||||||||||||||||||
Total | Less Than | 1 - 3 Years | 4 - 5 Years | More Than | ||||||||||||||||
1 Year | 5 Years | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Purchase obligations and other commitment | $ | 154,932 | $ | 133,530 | $ | 12,387 | $ | 5,988 | $ | 3,027 | ||||||||||
(c) | Labor Contract | |||||||||||||||||||
Certain of our employees at our Molycorp Mountain Pass facility are covered by a collective bargaining agreement with the United Steelworkers of America that expires on March 15, 2015. At March 31, 2014, 238 employees, or approximately 61% of the workforce at our Molycorp Mountain Pass facility, were covered by this collective bargaining agreement. | ||||||||||||||||||||
At March 31, 2014, 170 employees, or approximately 30% of the workforce at our Molycorp Silmet facility, were unionized employees. The contract with the labor union in Estonia is automatically renewed each year unless either party desires to make an amendment. The contract was last amended in February 2012. | ||||||||||||||||||||
(d) | Reclamation Surety Bonds | |||||||||||||||||||
At March 31, 2014, we had placed $28.8 million of surety bonds with California state and regional agencies to secure our Mountain Pass facility closure and reclamation obligations. | ||||||||||||||||||||
(e) | Purported Class Action and Derivative Lawsuits | |||||||||||||||||||
In February 2012, a purported class action lawsuit was filed in the U.S. District Court for the District of Colorado against us and certain of our current and former executive officers alleging violations of the federal securities laws. The Consolidated Class Action Complaint filed on July 31, 2012 also names most of our Board members and some of our stockholders as defendants, along with other persons and entities. That Complaint alleges 18 claims for relief arising out of alleged: (1) securities fraud in violation of the Securities Exchange Act of 1934, or the Exchange Act, during the proposed class period from February 11, 2011 through November 10, 2011; and (2) materially untrue or misleading statements in registration statements and prospectuses for our public offering of preferred stock in February 2011 and of common stock in June 2011, in violation of the Securities Act of 1933. Our motion to dismiss that Complaint was filed in October 2012 and is pending. We believe that this lawsuit is without merit, and we intend to vigorously defend ourselves against these claims. | ||||||||||||||||||||
A consolidated shareholder derivative lawsuit filed purportedly on our behalf against us (as a nominal defendant) and certain of our current and former directors, executive officers and shareholders is pending in the Delaware Court of Chancery. In August 2012, a consolidated amended shareholder derivative complaint was filed, asserting causes of action for alleged: (1) breach of fiduciary duty, including the duties of loyalty and due care; (2) breach of fiduciary duty not to trade on or misuse material non-public information; (3) unjust enrichment; and (4) aiding and abetting a breach of fiduciary duty. On our behalf, the plaintiffs in the consolidated derivative action seek, among other things, monetary damages, restitution, and an accounting. The defendants filed motions to dismiss and motions to stay that action in October 2012. Pursuant to an order dated May 15, 2013, the Delaware Court of Chancery stayed the derivative lawsuit pending final disposition of the purported class action lawsuit. On October 9, 2013, certain plaintiffs, on our behalf, filed a Motion to Lift the Stay and for Leave to File an Amended Complaint. All briefs in respect of this motion have been filed, and a hearing on the motion was held on February 7, 2014. Two additional shareholder derivative lawsuits that were filed in the U.S. District Court in Colorado have been dismissed, but the plaintiffs in those cases pursued an appeal of that ruling in the U.S. Court of Appeals for the Tenth Circuit. On August 20, 2013, the Tenth Circuit remanded these cases back to the Colorado District Court. Both we and the plaintiffs have filed their respective briefs in the remanded proceeding and the decision of the Colorado District Court is pending. Subsequently, a different shareholder filed purportedly on our behalf a new shareholder derivative lawsuit in the U.S. District Court in Colorado on November 20, 2013. On December 11, 2013, the Colorado District Court sua sponte consolidated the new derivative lawsuit with the two remanded lawsuits, and permitted the plaintiff in the new derivative lawsuit to file a brief in the remanded proceeding. On December 27, 2013, the plaintiff in the new derivative lawsuit filed its brief in the remanded proceeding, and filed a motion to vacate the consolidation order. The decision of the Colorado District Court on each of the remanded proceeding and the motion to vacate the consolidation order is pending. Pursuant to an order the Colorado District Court entered on January 7, 2014, the defendants need not respond to the new derivative lawsuit until the Colorado District Court decides the defendants’ motion to dismiss or stay the remanded proceeding. | ||||||||||||||||||||
In August 2013, two purported class action lawsuits were filed in the U.S. District Court for the Southern District of New York against us and certain of our current and former executive officers, alleging violations of the federal securities laws. The purported class action lawsuits allege claims for relief arising out of alleged securities fraud in violation of the Exchange Act during the proposed class period from August 2, 2012 through August 7, 2013. Pursuant to stipulations and orders of the court dated September 25, 2013 and September 27, 2013, among other things, the deadlines for us and our current and former executive officers to respond to the lawsuits were stayed pending appointment of a lead plaintiff under the Private Securities Litigation Reform Act. Pursuant to an order dated April 2, 2014, the U.S. District Court for the Southern District of New York consolidated the two purported class action lawsuits and appointed a lead plaintiff. The lead plaintiff has until May 19, 2014 to file its consolidated amended complaint in its consolidated claims. We believe that the lawsuits are without merit, and we intend to vigorously defend ourselves against these claims. | ||||||||||||||||||||
Due to the inherent uncertainties of litigation and regulatory proceedings, including the current purported class action lawsuit and derivative lawsuits, we cannot determine with certainty the ultimate outcome of any such litigation or proceedings. If the final resolution of any such litigation or proceedings is unfavorable, our financial condition, operating results and cash flows could be materially affected. |
Concentrations
Concentrations | 3 Months Ended |
Mar. 31, 2014 | |
Risks and Uncertainties [Abstract] | ' |
Concentrations | ' |
Concentrations | |
Resources Segment | |
There were no significant sales by customer or by product during the first quarter of 2014 and 2013 at the Resources segment. | |
Chemicals and Oxides Segment | |
Sales of cerium products within the Chemicals and Oxides segment accounted for approximately 10.1% and 11.6% of consolidated revenues in the first quarter of 2014 and 2013, respectively. There were no significant sales by customer in this segment in the same interim periods. | |
Magnetic Materials and Alloys Segment | |
Sales of Neo Powders™ within the Magnetic Materials and Alloys segment were approximately 44.6% and 34.0% of consolidated revenues for the three months ended March 31, 2014 and 2013. For the same comparative interim periods, sales of Neo Powders™ to Daido Electronics, a subsidiary of one of IMJ’s shareholders, totaled $12.2 million and $8.9 million, respectively. At March 31, 2014 and December 31, 2013, we had accounts receivable from Daido Electronics of $4.1 million and $7.5 million, respectively. | |
Rare Metals Segment | |
There were no significant sales by product and by customer at the Rare Metals segment in the first quarter of 2014. Sales of tantalum in this segment were approximately 16% of consolidated revenues during the first quarter of 2013. |
RelatedParty_Transactions
Related-Party Transactions | 3 Months Ended |
Mar. 31, 2014 | |
Related Party Transactions [Abstract] | ' |
Related-Party Transactions | ' |
Related-Party Transactions | |
We supply Neo Powders™ to Toda Magnequench Magnetic Materials Co. Ltd. (“TMT”), an equity method investee of ours, to produce rare earth magnetic compounds. We then purchase these compounds back from TMT in its normal course of business. There are two other equity method investees with whom we regularly buy and sell products: Keli, which processes rare earth oxides into metals for inclusion in our Neo Powders™, and Ingal Stade, which sells gallium to our rare metals facilities located in Canada and the U.S. We also provide rare metal recycling services to Plansee Holding AG, a privately held Austrian company that is wholly-owned by an Austrian trust, of which one of our Board's directors and other members of his family are beneficiaries. | |
During the first quarter of 2014 and 2013, we purchased metals and received services from Keli for a total of $16.9 million and $9.6 million, respectively. Transactions with all other related parties described above were nominal in both interim periods. |
Net_Change_in_Operating_Assets
Net Change in Operating Assets and Liabilities | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Net Change in Operating Assets and Liabilities | ' | |||||||
Net Change in Operating Assets and Liabilities | ' | |||||||
Net Change in Operating Assets and Liabilities | ||||||||
Net change in operating assets and liabilities, net of the effects of acquisitions and dispositions, consisted of the following in the first quarter of 2014 and 2013: | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(In thousands) | ||||||||
Decrease (increase) in operating assets: | ||||||||
Accounts receivable | $ | 10,171 | $ | (10,928 | ) | |||
Inventory | (12,157 | ) | 14,367 | |||||
Prepaid expenses and other assets | (6,968 | ) | 1,850 | |||||
Increase (decrease) in operating liabilities: | ||||||||
Accounts payable | (2,065 | ) | (15,835 | ) | ||||
Income tax payable | (52 | ) | 5,092 | |||||
Interest payable | 17,233 | (3,746 | ) | |||||
Asset retirement obligation | (1,125 | ) | (308 | ) | ||||
Accrued expenses | (2,822 | ) | (6,369 | ) | ||||
$ | 2,215 | $ | (15,877 | ) | ||||
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 3 Months Ended | |||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||||||
For assets and liabilities that are required under GAAP to be measured at fair value on a recurring or nonrecurring basis, we refer to a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into the following three broad levels: | ||||||||||||||||||
• | Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |||||||||||||||||
• | Level 2 - Observable inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data by correlation or other means. | |||||||||||||||||
• | Level 3 - Prices or valuation techniques requiring inputs that are both significant to the fair value measurement and unobservable. | |||||||||||||||||
Our assets and liabilities measured at fair value on a recurring basis were as follows at March 31, 2014 and December 31, 2013: | ||||||||||||||||||
31-Mar-14 | ||||||||||||||||||
Quoted Prices in Active Markets for Identical Assets/Liabilities | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | |||||||||||||||
(In thousands) | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash equivalents | $ | 117,195 | — | — | $ | 117,195 | ||||||||||||
Liabilities: | ||||||||||||||||||
Derivative liability | — | — | $ | 5,964 | $ | 5,964 | ||||||||||||
31-Dec-13 | ||||||||||||||||||
Quoted Prices in Active Markets for Identical Assets/Liabilities | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | |||||||||||||||
(In thousands) | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash equivalents | $ | 179,052 | — | — | $ | 179,052 | ||||||||||||
Liabilities: | ||||||||||||||||||
Derivative liability | — | — | $ | 6,089 | $ | 6,089 | ||||||||||||
The financial assets classified in Level 1 at March 31, 2014 and December 31, 2013 consist of money market funds valued based on quoted prices for identical assets in active markets. The derivative liability relates to a share purchase agreement (“SPA”) between NMT Holding GmbH, one of our wholly-owned German subsidiary, and the shareholders of Buss & Buss, a majority-owned subsidiary of ours. The SPA includes a call and a put option on shares of the remaining shareholder and his legal successors. If the call option is exercised by us, a premium is added to the consideration to purchase the underlying shares in Buss & Buss. If the put option is exercised by the remaining shareholder of Buss & Buss or his legal successors, a discount will reduce the cost basis of the securities sold to us. We account for the put option at fair value with changes in fair value recognized currently in earnings. The change in fair value of the put option resulted in a nominal unrealized gain for the three months ended March 31, 2014 and 2013, which was recognized in "Interest expense" in the condensed consolidated statements of operations and comprehensive income. The technique used to fair value the derivative liability classified in Level 3 is the income approach based on a discounted cash flow model. | ||||||||||||||||||
The following table presents the fair value of financial liabilities we report at their carrying value: | ||||||||||||||||||
31-Mar-14 | 31-Dec-13 | |||||||||||||||||
Classification | Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||
(In thousands) | ||||||||||||||||||
Long-term debt | ||||||||||||||||||
3.25% Convertible Notes due June 2016 | (Level 1) | $ | 209,211 | $ | 179,515 | $ | 207,028 | $ | 161,771 | |||||||||
6.00% Convertible Notes due September 2017 | (Level 1) | 350,594 | 339,273 | 346,708 | 312,570 | |||||||||||||
5.50% Convertible Notes due February 2018 | (Level 1) | 149,471 | 153,503 | 148,198 | 164,015 | |||||||||||||
10% Senior Secured Notes due June 2020 | (Level 1) | 637,788 | 643,500 | 637,435 | 646,750 | |||||||||||||
Total long-term debt | $ | 1,347,064 | $ | 1,315,791 | $ | 1,339,369 | $ | 1,285,106 | ||||||||||
The fair value of the long-term debt listed above is based on the last available market trade of each reporting period. The Debentures are not actively traded, and the difference between their carrying value and fair value is impractical to estimate. The carrying amount of certain other financial instruments, such as trade accounts receivables, trade accounts payable, accrued expenses and bank loans approximate fair value and, therefore, have been excluded from the table above. |
Subsidiary_Guarantor_Financial
Subsidiary Guarantor Financial Information | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||||||||||||||
Subsidiary Guarantor Financial Information | ' | |||||||||||||||||||
Subsidiary Guarantor Financial Information | ||||||||||||||||||||
The Senior Notes are jointly, severally and unconditionally guaranteed by all of Molycorp, Inc.'s existing and future domestic material subsidiaries, as defined in the indenture governing the Senior Notes. The Senior Notes guarantee of a guarantor will automatically terminate, and the obligations of such guarantor under the Senior Notes guarantee will be unconditionally released and discharged, upon (all terms as defined in the indenture governing the Senior Notes): | ||||||||||||||||||||
-1 | any sale, exchange, transfer or other disposition of a majority of the capital stock of (including by way of consolidation or merger) such guarantor by Molycorp or any restricted subsidiary to any person or persons, as a result of which such guarantor is no longer a direct or indirect subsidiary of Molycorp; | |||||||||||||||||||
-2 | any sale, exchange, transfer or other disposition of all or substantially all assets of such guarantor that results in such guarantor having no assets; | |||||||||||||||||||
-3 | the designation by Molycorp of such guarantor as an unrestricted subsidiary; or | |||||||||||||||||||
-4 | defeasance or discharge of the Senior Notes; | |||||||||||||||||||
provided that any such event occurs in accordance with all other applicable provisions of the indenture. | ||||||||||||||||||||
Presented below are the condensed consolidating financial statements of Molycorp, Inc. (“Parent”) as issuer, its combined guarantor subsidiaries and its combined non-guarantor subsidiaries, which are presented as an alternative to providing separate financial statements for the guarantors. The accounts of the Parent, the guarantor and non-guarantor subsidiaries are presented using the equity method of accounting for investments in subsidiaries for purposes of these condensed consolidating financial statements only. Certain of the prior periods separate financial information has been reclassified to conform to the presentation of the most recent period herein disclosed. | ||||||||||||||||||||
At March 31, 2014 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Balance Sheets | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 110,169 | $ | 4,256 | $ | 121,625 | $ | — | $ | 236,050 | ||||||||||
Trade accounts receivable, net | — | 2,103 | 49,488 | — | 51,591 | |||||||||||||||
Inventory | — | 30,985 | 135,645 | — | 166,630 | |||||||||||||||
Prepaid expenses and other current assets | — | 18,119 | 16,735 | — | 34,854 | |||||||||||||||
Total current assets | 110,169 | 55,463 | 323,493 | — | 489,125 | |||||||||||||||
Non-current assets: | ||||||||||||||||||||
Deposits | 2,062 | 23,943 | — | — | 26,005 | |||||||||||||||
Property, plant and equipment, net | — | 1,616,807 | 139,283 | — | 1,756,090 | |||||||||||||||
Inventory | — | 24,996 | — | — | 24,996 | |||||||||||||||
Intangible assets, net | — | 426 | 324,538 | — | 324,964 | |||||||||||||||
Investments | — | 32,427 | 14,725 | — | 47,152 | |||||||||||||||
Goodwill | — | — | 228,750 | — | 228,750 | |||||||||||||||
Investments in consolidated subsidiaries | 488,565 | 122,172 | — | (610,737 | ) | — | ||||||||||||||
Intercompany accounts receivable | 2,031,773 | — | 37,083 | (2,068,856 | ) | — | ||||||||||||||
Other non-current assets | — | 756 | 5,798 | — | 6,554 | |||||||||||||||
Total non-current assets | 2,522,400 | 1,821,527 | 750,177 | (2,679,593 | ) | 2,414,511 | ||||||||||||||
Total assets | $ | 2,632,569 | $ | 1,876,990 | $ | 1,073,670 | $ | (2,679,593 | ) | $ | 2,903,636 | |||||||||
Current liabilities: | ||||||||||||||||||||
Trade accounts payable | $ | — | $ | 31,147 | $ | 32,523 | $ | — | $ | 63,670 | ||||||||||
Accrued expenses | 27,694 | 13,014 | 14,718 | — | 55,426 | |||||||||||||||
Debt and capital lease obligations | — | 2,744 | 14,141 | — | 16,885 | |||||||||||||||
Other current liabilities | — | 530 | 3,052 | — | 3,582 | |||||||||||||||
Total current liabilities | 27,694 | 47,435 | 64,434 | — | 139,563 | |||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Asset retirement obligation | — | 16,218 | — | — | 16,218 | |||||||||||||||
Deferred tax liabilities | — | — | 79,284 | — | 79,284 | |||||||||||||||
Debt and capital lease obligations | 1,347,064 | 20,167 | 4,693 | — | 1,371,924 | |||||||||||||||
Intercompany accounts payable | — | 2,068,856 | — | (2,068,856 | ) | — | ||||||||||||||
Other non-current liabilities | — | 1,408 | 8,442 | — | 9,850 | |||||||||||||||
Total non-current liabilities | 1,347,064 | 2,106,649 | 92,419 | (2,068,856 | ) | 1,477,276 | ||||||||||||||
Total liabilities | $ | 1,374,758 | $ | 2,154,084 | $ | 156,853 | $ | (2,068,856 | ) | $ | 1,616,839 | |||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 245 | — | — | — | 245 | |||||||||||||||
Additional paid-in capital | 2,191,404 | 149,857 | 1,315,426 | (1,465,283 | ) | 2,191,404 | ||||||||||||||
Accumulated other comprehensive loss | (7,303 | ) | — | (7,303 | ) | 7,303 | (7,303 | ) | ||||||||||||
Accumulated deficit | (926,535 | ) | (426,951 | ) | (420,292 | ) | 847,243 | (926,535 | ) | |||||||||||
Total Molycorp stockholders’ equity | 1,257,811 | (277,094 | ) | 887,831 | (610,737 | ) | 1,257,811 | |||||||||||||
Noncontrolling interests | — | — | 28,986 | — | 28,986 | |||||||||||||||
Total stockholders’ equity | 1,257,811 | (277,094 | ) | 916,817 | (610,737 | ) | 1,286,797 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 2,632,569 | $ | 1,876,990 | $ | 1,073,670 | $ | (2,679,593 | ) | $ | 2,903,636 | |||||||||
At December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Condensed Consolidating Balance Sheets | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 169,145 | $ | 6,467 | $ | 138,705 | $ | — | $ | 314,317 | ||||||||||
Trade accounts receivable, net | — | 4,990 | 56,767 | — | 61,757 | |||||||||||||||
Inventory | — | 32,307 | 139,476 | — | 171,783 | |||||||||||||||
Prepaid expenses and other current assets | — | 15,833 | 13,377 | — | 29,210 | |||||||||||||||
Total current assets | 169,145 | 59,597 | 348,325 | — | 577,067 | |||||||||||||||
Non-current assets: | ||||||||||||||||||||
Deposits | 1,754 | 24,243 | — | — | 25,997 | |||||||||||||||
Property, plant and equipment, net | — | 1,620,851 | 142,023 | — | 1,762,874 | |||||||||||||||
Inventory | — | 25,329 | — | — | 25,329 | |||||||||||||||
Intangible assets, net | — | 442 | 330,425 | — | 330,867 | |||||||||||||||
Investments | — | 34,134 | 14,741 | — | 48,875 | |||||||||||||||
Goodwill | — | — | 228,750 | — | 228,750 | |||||||||||||||
Investments in consolidated subsidiaries | 532,767 | 121,849 | — | (654,616 | ) | — | ||||||||||||||
Intercompany accounts receivable | 2,001,583 | — | — | (2,001,583 | ) | — | ||||||||||||||
Other non-current assets | — | 771 | 6,272 | — | 7,043 | |||||||||||||||
Total non-current assets | 2,536,104 | 1,827,619 | 722,211 | (2,656,199 | ) | 2,429,735 | ||||||||||||||
Total assets | $ | 2,705,249 | $ | 1,887,216 | $ | 1,070,536 | $ | (2,656,199 | ) | $ | 3,006,802 | |||||||||
Current liabilities: | ||||||||||||||||||||
Trade accounts payable | $ | — | $ | 49,702 | $ | 34,747 | $ | — | $ | 84,449 | ||||||||||
Accrued expenses | 18,158 | 13,782 | 16,561 | — | 48,501 | |||||||||||||||
Debt and capital lease obligations | — | 2,234 | 14,128 | — | 16,362 | |||||||||||||||
Other current liabilities | — | 617 | 3,446 | — | 4,063 | |||||||||||||||
Total current liabilities | 18,158 | 66,335 | 68,882 | — | 153,375 | |||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Asset retirement obligation | — | 16,966 | — | — | 16,966 | |||||||||||||||
Deferred tax liabilities | — | — | 85,481 | — | 85,481 | |||||||||||||||
Debt and capital lease obligations | 1,339,368 | 19,355 | 5,193 | — | 1,363,916 | |||||||||||||||
Intercompany accounts payable | — | 1,999,562 | 2,021 | (2,001,583 | ) | — | ||||||||||||||
Other non-current liabilities | — | 1,393 | 8,609 | — | 10,002 | |||||||||||||||
Total non-current liabilities | 1,339,368 | 2,037,276 | 101,304 | (2,001,583 | ) | 1,476,365 | ||||||||||||||
Total liabilities | $ | 1,357,526 | $ | 2,103,611 | $ | 170,186 | $ | (2,001,583 | ) | $ | 1,629,740 | |||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 241 | — | — | — | 241 | |||||||||||||||
Preferred stock | 2 | — | — | — | 2 | |||||||||||||||
Additional paid-in capital | 2,194,405 | 149,857 | 1,315,426 | (1,465,283 | ) | 2,194,405 | ||||||||||||||
Accumulated other comprehensive loss | (6,451 | ) | — | (6,451 | ) | 6,451 | (6,451 | ) | ||||||||||||
Accumulated deficit | (840,474 | ) | (366,252 | ) | (437,964 | ) | 804,216 | (840,474 | ) | |||||||||||
Total Molycorp stockholders’ equity | 1,347,723 | (216,395 | ) | 871,011 | (654,616 | ) | 1,347,723 | |||||||||||||
Noncontrolling interests | — | — | 29,339 | — | 29,339 | |||||||||||||||
Total stockholders’ equity | 1,347,723 | (216,395 | ) | 900,350 | (654,616 | ) | 1,377,062 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 2,705,249 | $ | 1,887,216 | $ | 1,070,536 | $ | (2,656,199 | ) | $ | 3,006,802 | |||||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Operations and Comprehensive Income | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Revenues | $ | — | $ | 17,230 | $ | 113,733 | $ | (12,437 | ) | $ | 118,526 | |||||||||
Costs of sales: | ||||||||||||||||||||
Costs excluding depreciation and amortization | — | (53,379 | ) | (84,531 | ) | 12,437 | (125,473 | ) | ||||||||||||
Depreciation and amortization | — | (12,127 | ) | (4,020 | ) | — | (16,147 | ) | ||||||||||||
Gross (loss) profit | — | (48,276 | ) | 25,182 | — | (23,094 | ) | |||||||||||||
Operating expenses: | ||||||||||||||||||||
Selling, general and administrative | (240 | ) | (8,158 | ) | (9,558 | ) | — | (17,956 | ) | |||||||||||
Depreciation, amortization and accretion | — | (1,045 | ) | (6,156 | ) | — | (7,201 | ) | ||||||||||||
Research and development | — | (143 | ) | (2,623 | ) | — | (2,766 | ) | ||||||||||||
Operating (loss) income | (240 | ) | (57,622 | ) | 6,845 | — | (51,017 | ) | ||||||||||||
Other (expense) income: | ||||||||||||||||||||
Other (expense) income | (18,271 | ) | 16 | 18,729 | — | 474 | ||||||||||||||
Interest (expense) income, net of capitalized interest | (34,555 | ) | (1,205 | ) | 121 | — | (35,639 | ) | ||||||||||||
Interest income (expense) from intercompany notes | 10,355 | (504 | ) | (9,851 | ) | — | — | |||||||||||||
Equity (loss) income from consolidated subsidiaries | (43,350 | ) | 323 | — | 43,027 | — | ||||||||||||||
(Loss) income before income taxes and equity earnings | (86,061 | ) | (58,992 | ) | 15,844 | 43,027 | (86,182 | ) | ||||||||||||
Income tax benefit | — | — | 1,907 | — | 1,907 | |||||||||||||||
Equity in loss of affiliates | — | (1,707 | ) | (16 | ) | — | (1,723 | ) | ||||||||||||
Net (loss) income | (86,061 | ) | (60,699 | ) | 17,735 | 43,027 | (85,998 | ) | ||||||||||||
Net income attributable to noncontrolling interest | — | — | (63 | ) | — | (63 | ) | |||||||||||||
Net (loss) income attributable to Molycorp stockholders | $ | (86,061 | ) | $ | (60,699 | ) | $ | 17,672 | $ | 43,027 | $ | (86,061 | ) | |||||||
Net (loss) income | $ | (86,061 | ) | $ | (60,699 | ) | $ | 17,735 | $ | 43,027 | $ | (85,998 | ) | |||||||
Other comprehensive (loss) income: | ||||||||||||||||||||
Foreign currency translation adjustments | — | — | (852 | ) | — | (852 | ) | |||||||||||||
Comprehensive (loss) income | $ | (86,061 | ) | $ | (60,699 | ) | $ | 16,883 | $ | 43,027 | $ | (86,850 | ) | |||||||
Comprehensive (loss) income attributable to: | ||||||||||||||||||||
Molycorp stockholders | (86,061 | ) | (60,699 | ) | 16,946 | 43,027 | (86,787 | ) | ||||||||||||
Noncontrolling interest | — | — | (63 | ) | — | (63 | ) | |||||||||||||
$ | (86,061 | ) | $ | (60,699 | ) | $ | 16,883 | $ | 43,027 | $ | (86,850 | ) | ||||||||
Three Months Ended March 31, 2013 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Operations and Comprehensive Income | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Revenues | $ | — | $ | 21,609 | $ | 134,147 | $ | (10,358 | ) | $ | 145,398 | |||||||||
Costs of sales: | ||||||||||||||||||||
Costs excluding depreciation and amortization | — | (45,329 | ) | (100,560 | ) | 10,358 | (135,531 | ) | ||||||||||||
Depreciation and amortization | — | (7,430 | ) | (6,742 | ) | — | (14,172 | ) | ||||||||||||
Gross (loss) profit | — | (31,150 | ) | 26,845 | — | (4,305 | ) | |||||||||||||
Operating expenses: | ||||||||||||||||||||
Selling, general and administrative | — | (17,016 | ) | (9,535 | ) | — | (26,551 | ) | ||||||||||||
Depreciation, amortization and accretion | — | (1,709 | ) | (6,501 | ) | — | (8,210 | ) | ||||||||||||
Research and development | — | (1,960 | ) | (4,445 | ) | — | (6,405 | ) | ||||||||||||
Operating (loss) income | — | (51,835 | ) | 6,364 | — | (45,471 | ) | |||||||||||||
Other (expense) income: | ||||||||||||||||||||
Other expense | — | — | (451 | ) | — | (451 | ) | |||||||||||||
Interest (expense) income, net of capitalized interest | (11,139 | ) | (2,060 | ) | 1,550 | — | (11,649 | ) | ||||||||||||
Interest income (expense) from intercompany notes | 9,651 | 1,644 | (11,295 | ) | — | — | ||||||||||||||
Equity (loss) income from consolidated subsidiaries | (43,367 | ) | 1,078 | — | 42,289 | — | ||||||||||||||
Loss before income taxes and equity earnings | (44,855 | ) | (51,173 | ) | (3,832 | ) | 42,289 | (57,571 | ) | |||||||||||
Income tax benefit (loss) | 5,884 | 19,450 | (2,844 | ) | — | 22,490 | ||||||||||||||
Equity in loss of affiliates | — | (1,998 | ) | (1,074 | ) | — | (3,072 | ) | ||||||||||||
Net loss | (38,971 | ) | (33,721 | ) | (7,750 | ) | 42,289 | (38,153 | ) | |||||||||||
Net income attributable to noncontrolling interest | — | — | (818 | ) | — | (818 | ) | |||||||||||||
Net loss attributable to Molycorp stockholders | $ | (38,971 | ) | $ | (33,721 | ) | $ | (8,568 | ) | $ | 42,289 | $ | (38,971 | ) | ||||||
Net loss | $ | (38,971 | ) | $ | (33,721 | ) | $ | (7,750 | ) | $ | 42,289 | $ | (38,153 | ) | ||||||
Other comprehensive income: | ||||||||||||||||||||
Foreign currency translation adjustments | — | — | (3,294 | ) | — | (3,294 | ) | |||||||||||||
Comprehensive loss | $ | (38,971 | ) | $ | (33,721 | ) | $ | (11,044 | ) | $ | 42,289 | $ | (41,447 | ) | ||||||
Comprehensive loss attributable to: | ||||||||||||||||||||
Molycorp stockholders | (38,971 | ) | (33,721 | ) | (10,226 | ) | 42,289 | (40,629 | ) | |||||||||||
Noncontrolling interest | — | — | (818 | ) | — | (818 | ) | |||||||||||||
$ | (38,971 | ) | $ | (33,721 | ) | $ | (11,044 | ) | $ | 42,289 | $ | (41,447 | ) | |||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Cash Flows | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Net cash used in operating activities | $ | (33,089 | ) | $ | (829 | ) | $ | (11,867 | ) | $ | — | $ | (45,785 | ) | ||||||
Cash flows from investing activities: | ||||||||||||||||||||
Intercompany advances made | (55,041 | ) | — | — | 55,041 | — | ||||||||||||||
Repayments from non-guarantor | 32,000 | — | — | (32,000 | ) | — | ||||||||||||||
Capital expenditures | — | (27,943 | ) | (1,809 | ) | — | (29,752 | ) | ||||||||||||
Other investing activities | — | — | 493 | — | 493 | |||||||||||||||
Net cash used in investing activities | (23,041 | ) | (27,943 | ) | (1,316 | ) | 23,041 | (29,259 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of debt | — | — | (489 | ) | — | (489 | ) | |||||||||||||
Payments of preferred dividends | (2,846 | ) | — | — | — | (2,846 | ) | |||||||||||||
Dividend paid to noncontrolling interests | — | — | (435 | ) | — | (435 | ) | |||||||||||||
Repayments to parent | — | — | (32,000 | ) | 32,000 | — | ||||||||||||||
Intercompany advances owed | — | 25,238 | 29,803 | (55,041 | ) | — | ||||||||||||||
Other financing activities | — | 1,323 | — | — | 1,323 | |||||||||||||||
Net cash (used in) provided by financing activities | (2,846 | ) | 26,561 | (3,121 | ) | (23,041 | ) | (2,447 | ) | |||||||||||
Effect of exchange rate changes on cash | — | — | (776 | ) | — | (776 | ) | |||||||||||||
Net change in cash and cash equivalents | (58,976 | ) | (2,211 | ) | (17,080 | ) | — | (78,267 | ) | |||||||||||
Cash and cash equivalents at beginning of the period | 169,145 | 6,467 | 138,705 | — | 314,317 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 110,169 | $ | 4,256 | $ | 121,625 | $ | — | $ | 236,050 | ||||||||||
Three Months Ended March 31, 2013 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Cash Flows | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Net cash provided by (used in) operating activities | $ | 17,211 | $ | (58,035 | ) | $ | 4,196 | $ | — | $ | (36,628 | ) | ||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Loans to guarantor | — | — | (40,000 | ) | 40,000 | — | ||||||||||||||
Intercompany advances made | (193,454 | ) | — | — | 193,454 | — | ||||||||||||||
Loans to non-guarantor | — | (1,300 | ) | — | 1,300 | — | ||||||||||||||
Investment in joint ventures | — | (3,423 | ) | — | — | (3,423 | ) | |||||||||||||
Capital expenditures | — | (174,703 | ) | (6,400 | ) | — | (181,103 | ) | ||||||||||||
Other investing activities | — | — | (90 | ) | — | (90 | ) | |||||||||||||
Net cash used in investing activities | (193,454 | ) | (179,426 | ) | (46,490 | ) | 234,754 | (184,616 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of debt | — | — | (11,108 | ) | — | (11,108 | ) | |||||||||||||
Net proceeds from sale of common stock | 248,147 | — | — | — | 248,147 | |||||||||||||||
Issuance of 5.50% Convertible Notes | 165,600 | — | — | — | 165,600 | |||||||||||||||
Payments of preferred dividends | (2,846 | ) | — | — | — | (2,846 | ) | |||||||||||||
Dividend paid to noncontrolling interests | — | — | (1,286 | ) | — | (1,286 | ) | |||||||||||||
Borrowings from non-guarantor | — | 40,000 | — | (40,000 | ) | — | ||||||||||||||
Borrowing from guarantor | — | — | 1,300 | (1,300 | ) | — | ||||||||||||||
Intercompany advances owed | — | 182,491 | 10,963 | (193,454 | ) | — | ||||||||||||||
Other financing activities | — | (79 | ) | — | — | (79 | ) | |||||||||||||
Net cash provided by (used in) financing activities | 410,901 | 222,412 | (131 | ) | (234,754 | ) | 398,428 | |||||||||||||
Effect of exchange rate changes on cash | — | — | (140 | ) | — | (140 | ) | |||||||||||||
Net change in cash and cash equivalents | 234,658 | (15,049 | ) | (42,565 | ) | — | 177,044 | |||||||||||||
Cash and cash equivalents at beginning of the period | 16,560 | 18,020 | 193,210 | — | 227,790 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 251,218 | $ | 2,971 | $ | 150,645 | $ | — | $ | 404,834 | ||||||||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with GAAP for interim financial information and Regulation S-X promulgated under the Exchange Act, and reflect all adjustments that are normal and recurring in nature, which, in the opinion of management, are necessary for the fair presentation of our financial position, results of operations and cash flows at March 31, 2014, and for all periods presented. While the December 31, 2013 balance sheet information was derived from our audited financial statements, for interim periods, GAAP and Regulation S-X do not require all information and related disclosures that are required in the annual financial statements and, as a result, all disclosures required by GAAP and Regulation S-X for annual financial statements have not been included in this report. Therefore, the accompanying unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes for the year ended December 31, 2013 included in our Annual Report on Form 10-K filed with the SEC on March 3, 2014. | |
The unaudited condensed consolidated financial statements include our accounts and the accounts of our wholly-owned and majority-owned subsidiaries. Intercompany balances and transactions have been eliminated in consolidation. Investments in joint ventures where we do not exert control, but have the ability to exercise significant influence over the operating and financial policies of the investee, are accounted for under the equity method of investment. All other investments are accounted at cost. | |
The prior period amount of "Equity in results of affiliates" in the unaudited condensed consolidated statements of cash flows has been broken out from "Other operating adjustments" to conform to the current period presentation. Additionally, nominal prior period revenues and expenses related to an asset disposal that we finalized in the first quarter of 2014, have been reclassified to "Other expense" in the condensed consolidated statement of operations and comprehensive income. Such reclassifications did not affect our results of operations. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of the financial statements, in accordance with GAAP, requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at 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 we believe to be reasonable under the circumstances. Actual results may differ significantly from these estimates under different assumptions and conditions. Significant estimates we made in the accompanying financial statements include the collectability of accounts receivable, the recoverability of inventory, the useful lives and recoverability of long-lived assets such as property, plant and equipment, intangible assets, goodwill and investments, capital leases, uncertain tax positions, the realizability of deferred tax assets, and the adequacy of the asset retirement obligation. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In July 2013, the FASB issued ASU 2013-11, Income Taxes (Topic 740), Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (a consensus of the FASB Emerging Issues Task Force). Based on this update, an entity is required to present unrecognized tax benefits as a decrease in a net operating loss, similar tax loss or tax credit carryforward if certain criteria are met. The determination of whether a deferred tax asset is available is based on the unrecognized tax benefit and the deferred tax asset that exists at the reporting date and presumes disallowance of the tax position at the reporting date. This guidance will eliminate the diversity in practice in the presentation of unrecognized tax benefits but will not alter the way in which entities assess deferred tax assets for realizability. The amendments are effective for public companies for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2013. The amendments were applied prospectively to unrecognized tax benefits that exist at the effective date. The adoption of this updated guidance did not have a material impact on our financial statements and related disclosures. | |
In March 2013, the FASB issued ASU 2013-05, Foreign Currency Matters (Topic 830), Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity (a consensus of the FASB Emerging Issues Task Force). The amendments specify that a cumulative translation adjustment ("CTA") should be released into earnings when an entity ceases to have a controlling financial interest in a subsidiary or group of assets within a consolidated foreign entity and the sale or transfer results in the complete or substantially complete liquidation of the foreign entity. For sales of an equity method investment that is a foreign entity, a pro rata portion of CTA attributable to the investment would be recognized in earnings when the investment is sold. When an entity sells either a part or all of its investment in a consolidated foreign entity, CTA would be recognized in earnings only if the sale results in the parent no longer having a controlling financial interest in the foreign entity. In addition, CTA should be recognized in earnings in a business combination achieved in stages (i.e., a step acquisition). The amendments are effective for public companies for fiscal years, and interim periods within those years, beginning after December 15, 2013. The amendments were to be applied prospectively to derecognition events occurring after the effective date. However, since we did not have any derecognition events in the three months ended March 31, 2014, the adoption of this updated guidance did not impact on our financial statements and related disclosures. |
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of segment information | ' | |||||||||||||||||||||||||||
Three months ended March 31, 2014 | Resources | Chemicals and Oxides | Magnetic Materials and Alloys | Rare Metals | Corporate and other (a) | Eliminations(b) | Total Molycorp, Inc. | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||||
External | $ | 3,111 | $ | 40,271 | $ | 54,720 | $ | 20,424 | $ | — | $ | 118,526 | ||||||||||||||||
Inter-segment | 12,453 | 6,285 | 1,218 | — | (19,956 | ) | — | |||||||||||||||||||||
Total revenues | $ | 15,564 | $ | 46,556 | $ | 55,938 | $ | 20,424 | $ | (19,956 | ) | $ | 118,526 | |||||||||||||||
OIBDA | $ | (36,445 | ) | $ | 3,299 | $ | 13,676 | $ | (70 | ) | ||||||||||||||||||
Depreciation, amortization and accretion | (13,091 | ) | (3,872 | ) | (4,237 | ) | (2,093 | ) | ||||||||||||||||||||
Operating (loss) income | $ | (49,536 | ) | $ | (573 | ) | $ | 9,439 | $ | (2,163 | ) | $ | (7,109 | ) | $ | (1,075 | ) | $ | (51,017 | ) | ||||||||
Other income | 474 | |||||||||||||||||||||||||||
Interest expense, net of capitalized interest | (35,639 | ) | ||||||||||||||||||||||||||
Loss before income taxes and equity earnings | $ | (86,182 | ) | |||||||||||||||||||||||||
Three months ended March 31, 2013 | Resources | Chemicals and Oxides | Magnetic Materials and Alloys | Rare Metals | Corporate and other (a) | Eliminations(b) | Total Molycorp, Inc. | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||||
External | $ | 14,658 | $ | 49,600 | $ | 54,678 | $ | 26,462 | $ | — | $ | 145,398 | ||||||||||||||||
Inter-segment | 2,645 | 14,610 | — | — | (17,255 | ) | — | |||||||||||||||||||||
Total revenues | $ | 17,303 | $ | 64,210 | $ | 54,678 | $ | 26,462 | $ | (17,255 | ) | $ | 145,398 | |||||||||||||||
OIBDA | $ | (31,073 | ) | $ | 2,231 | $ | 12,243 | $ | 5,553 | |||||||||||||||||||
Depreciation, amortization and accretion | (9,053 | ) | (5,537 | ) | (5,480 | ) | (2,253 | ) | ||||||||||||||||||||
Operating (loss) income | $ | (40,126 | ) | $ | (3,306 | ) | $ | 6,763 | $ | 3,300 | $ | (11,564 | ) | $ | (538 | ) | $ | (45,471 | ) | |||||||||
Other expense | (451 | ) | ||||||||||||||||||||||||||
Interest expense, net of capitalized interest | (11,649 | ) | ||||||||||||||||||||||||||
Loss before income taxes and equity earnings | $ | (57,571 | ) | |||||||||||||||||||||||||
(a) | Includes business development costs, personnel costs, stock-based compensation, accounting and legal fees, occupancy expense, information technology costs and interest expense. | |||||||||||||||||||||||||||
(b) | Consist of inter-segment sales and gross profits elimination as well as eliminations of lower of cost or market adjustments related to inter-segment inventory. |
Inventory_Tables
Inventory (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Schedule of inventory | ' | |||||||
At March 31, 2014 and December 31, 2013, our inventory consisted of the following: | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(In thousands) | ||||||||
Current: | ||||||||
Concentrate stockpiles | $ | 30 | $ | 24 | ||||
Raw materials | 49,613 | 42,627 | ||||||
Work in process | 38,340 | 41,962 | ||||||
Finished goods | 56,672 | 65,662 | ||||||
Materials and supplies | 21,975 | 21,508 | ||||||
Total current | $ | 166,630 | $ | 171,783 | ||||
Long-term: | ||||||||
Concentrate stockpiles | $ | 4 | $ | 4 | ||||
Raw materials | 24,992 | 25,325 | ||||||
Total long-term | $ | 24,996 | $ | 25,329 | ||||
Property_Plant_and_Equipment_n1
Property, Plant and Equipment, net (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Schedule of property, plant and equipment | ' | |||||||
At March 31, 2014 and December 31, 2013, our property, plant and equipment consisted of the following: | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
(In thousands) | ||||||||
Land | $ | 12,841 | $ | 12,822 | ||||
Land improvements | 304,372 | 327,029 | ||||||
Buildings and improvements | 557,839 | 418,510 | ||||||
Plant and equipment | 448,774 | 288,603 | ||||||
Vehicles | 2,968 | 2,986 | ||||||
Computer software | 12,424 | 12,424 | ||||||
Furniture and fixtures | 1,044 | 1,044 | ||||||
Construction in progress (a) | 486,913 | 755,107 | ||||||
Natural gas delivery facility under capital lease | 15,658 | 15,658 | ||||||
Mining equipment under capital lease | 9,287 | 7,370 | ||||||
Mineral properties | 23,912 | 23,999 | ||||||
Property, plant and equipment at cost | 1,876,032 | 1,865,552 | ||||||
Less accumulated depreciation | (119,942 | ) | (102,678 | ) | ||||
Property, plant and equipment, net | $ | 1,756,090 | $ | 1,762,874 | ||||
(a) | Primarily related to expenditures at the Molycorp Mountain Pass facility. |
Debt_and_Capital_Lease_Obligat1
Debt and Capital Lease Obligations (Tables) | 3 Months Ended | ||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||||||||||||
Schedule of Long-term Debt Instruments | ' | ||||||||||||||||||||||||||
The following table provides a summary of the current and non-current portions of our debt outstanding and capital lease obligations at March 31, 2014 and December 31, 2013: | |||||||||||||||||||||||||||
March 31, 2014 | 31-Dec-13 | ||||||||||||||||||||||||||
Current | Non-Current | Current | Non-Current | ||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Bank loans due May 2014 - September 2017 | $ | 14,140 | $ | 2,344 | $ | 14,128 | $ | 2,699 | |||||||||||||||||||
3.25% Convertible Notes, net of discount, due June 2016 | — | 209,211 | — | 207,028 | |||||||||||||||||||||||
6.00% Convertible Notes, net of discount, due June 2017 | — | 350,594 | — | 346,708 | |||||||||||||||||||||||
5.00% Debentures, net of discount, due December 2017 | — | 2,349 | — | 2,493 | |||||||||||||||||||||||
5.50% Convertible Notes, net of discount, due February 2018 | — | 149,471 | — | 148,198 | |||||||||||||||||||||||
10% Senior Notes, net of discount, due June 2020 | — | 637,788 | — | 637,435 | |||||||||||||||||||||||
Total debt | 14,140 | 1,351,757 | 14,128 | 1,344,561 | |||||||||||||||||||||||
Capital lease obligations | 2,745 | 20,167 | 2,234 | 19,355 | |||||||||||||||||||||||
Total debt and capital lease obligations | $ | 16,885 | $ | 1,371,924 | $ | 16,362 | $ | 1,363,916 | |||||||||||||||||||
Schedule of Long-term Debt Conversions | ' | ||||||||||||||||||||||||||
The following table presents a reconciliation of the principal amount to the net carrying value for each of our Convertible Notes and our Senior Notes at March 31, 2014 and December 31, 2013, and provides the interest cost of each instrument for the three months ended March 31, 2014 and 2013: | |||||||||||||||||||||||||||
3.25% Convertible Notes | 6.00% Convertible Notes | 5.50% Convertible Notes | 10% Senior Notes | ||||||||||||||||||||||||
March 31, | December 31, | March 31, | December 31, | March 31, | December 31, | March 31, | December 31, | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Principal amount | $ | 230,000 | $ | 230,000 | $ | 414,000 | $ | 414,000 | $ | 172,500 | 172,500 | $ | 650,000 | $ | 650,000 | ||||||||||||
Unamortized debt discount | (20,789 | ) | (22,972 | ) | (63,406 | ) | (67,292 | ) | (23,029 | ) | (24,302 | ) | (12,212 | ) | (12,565 | ) | |||||||||||
Net carrying amount | $ | 209,211 | $ | 207,028 | $ | 350,594 | $ | 346,708 | $ | 149,471 | 148,198 | $ | 637,788 | $ | 637,435 | ||||||||||||
Three Months Ended March 31, | |||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
Interest cost (a) | $ | 4,058 | $ | 3,920 | $ | 10,150 | $ | 9,813 | $ | 3,659 | 2,297 | $ | 16,639 | $ | 16,605 | ||||||||||||
(a) Interest cost includes the coupon interest, accretion of the initial equity component of the convertible notes (3.25% - $36,227; 6.00% - $68,695; and 5.50% - $21,815), accretion of the underwriting discounts and amortization of the issuance costs allocated to the liability component. |
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
PBRSUs | ' | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ||||||
Summary of Activity Related to Stock-based Awards | ' | ||||||
The following tables summarize the stock-based awards with significant activity for the quarter ended March 31, 2014: | |||||||
PBRSUs | Number of | Weighted Average | |||||
Shares | Grant-Date | ||||||
Price | |||||||
Unvested at December 31, 2013 | 697,797 | $ | 7.45 | ||||
Granted | 744,540 | $ | 4.99 | ||||
Forfeited | — | — | |||||
Vested | — | — | |||||
Unvested at March 31, 2014 | 1,442,337 | $ | 6.18 | ||||
RSUs | ' | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ||||||
Summary of Activity Related to Stock-based Awards | ' | ||||||
RSUs | Number of | Weighted Average | |||||
Shares | Grant-Date | ||||||
Price | |||||||
Unvested at December 31, 2013 | 1,076,385 | $ | 9.81 | ||||
Granted | 714,797 | $ | 4.96 | ||||
Forfeited | (14,265 | ) | $ | 10.34 | |||
Vested | (27,553 | ) | $ | 31.35 | |||
Unvested at March 31, 2014 | 1,749,364 | $ | 7.48 | ||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||||||
Schedule of future minimum rental payments for operating leases | ' | |||||||||||||||||||
. Remaining annual minimum payments under these leases at March 31, 2014 were as follows: | ||||||||||||||||||||
Total | Less Than | 1 - 3 Years | 4 - 5 Years | More Than | ||||||||||||||||
1 Year | 5 Years | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Operating lease obligations | $ | 6,000 | $ | 2,576 | $ | 1,992 | $ | 515 | $ | 917 | ||||||||||
Schedule of minimum payments for purchase obligations | ' | |||||||||||||||||||
Future payments for all purchase commitments at March 31, 2014 were as follows: | ||||||||||||||||||||
Total | Less Than | 1 - 3 Years | 4 - 5 Years | More Than | ||||||||||||||||
1 Year | 5 Years | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Purchase obligations and other commitment | $ | 154,932 | $ | 133,530 | $ | 12,387 | $ | 5,988 | $ | 3,027 | ||||||||||
Net_Change_in_Operating_Assets1
Net Change in Operating Assets and Liabilities (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Net Change in Operating Assets and Liabilities | ' | |||||||
Schedule of changes in operating assets and liabilities, net of the effects of acquisitions and dispositions | ' | |||||||
Net change in operating assets and liabilities, net of the effects of acquisitions and dispositions, consisted of the following in the first quarter of 2014 and 2013: | ||||||||
Three Months Ended March 31, | ||||||||
2014 | 2013 | |||||||
(In thousands) | ||||||||
Decrease (increase) in operating assets: | ||||||||
Accounts receivable | $ | 10,171 | $ | (10,928 | ) | |||
Inventory | (12,157 | ) | 14,367 | |||||
Prepaid expenses and other assets | (6,968 | ) | 1,850 | |||||
Increase (decrease) in operating liabilities: | ||||||||
Accounts payable | (2,065 | ) | (15,835 | ) | ||||
Income tax payable | (52 | ) | 5,092 | |||||
Interest payable | 17,233 | (3,746 | ) | |||||
Asset retirement obligation | (1,125 | ) | (308 | ) | ||||
Accrued expenses | (2,822 | ) | (6,369 | ) | ||||
$ | 2,215 | $ | (15,877 | ) | ||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 3 Months Ended | |||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||
Fair Value Measurements, Recurring and Nonrecurring | ' | |||||||||||||||||
Our assets and liabilities measured at fair value on a recurring basis were as follows at March 31, 2014 and December 31, 2013: | ||||||||||||||||||
31-Mar-14 | ||||||||||||||||||
Quoted Prices in Active Markets for Identical Assets/Liabilities | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | |||||||||||||||
(In thousands) | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash equivalents | $ | 117,195 | — | — | $ | 117,195 | ||||||||||||
Liabilities: | ||||||||||||||||||
Derivative liability | — | — | $ | 5,964 | $ | 5,964 | ||||||||||||
31-Dec-13 | ||||||||||||||||||
Quoted Prices in Active Markets for Identical Assets/Liabilities | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | |||||||||||||||
(In thousands) | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash equivalents | $ | 179,052 | — | — | $ | 179,052 | ||||||||||||
Liabilities: | ||||||||||||||||||
Derivative liability | — | — | $ | 6,089 | $ | 6,089 | ||||||||||||
Fair Value, by Balance Sheet Grouping | ' | |||||||||||||||||
The following table presents the fair value of financial liabilities we report at their carrying value: | ||||||||||||||||||
31-Mar-14 | 31-Dec-13 | |||||||||||||||||
Classification | Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||
(In thousands) | ||||||||||||||||||
Long-term debt | ||||||||||||||||||
3.25% Convertible Notes due June 2016 | (Level 1) | $ | 209,211 | $ | 179,515 | $ | 207,028 | $ | 161,771 | |||||||||
6.00% Convertible Notes due September 2017 | (Level 1) | 350,594 | 339,273 | 346,708 | 312,570 | |||||||||||||
5.50% Convertible Notes due February 2018 | (Level 1) | 149,471 | 153,503 | 148,198 | 164,015 | |||||||||||||
10% Senior Secured Notes due June 2020 | (Level 1) | 637,788 | 643,500 | 637,435 | 646,750 | |||||||||||||
Total long-term debt | $ | 1,347,064 | $ | 1,315,791 | $ | 1,339,369 | $ | 1,285,106 | ||||||||||
Subsidiary_Guarantor_Financial1
Subsidiary Guarantor Financial Information (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||||||||||||||
Schedule of Condensed Balance Sheet | ' | |||||||||||||||||||
At March 31, 2014 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Balance Sheets | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 110,169 | $ | 4,256 | $ | 121,625 | $ | — | $ | 236,050 | ||||||||||
Trade accounts receivable, net | — | 2,103 | 49,488 | — | 51,591 | |||||||||||||||
Inventory | — | 30,985 | 135,645 | — | 166,630 | |||||||||||||||
Prepaid expenses and other current assets | — | 18,119 | 16,735 | — | 34,854 | |||||||||||||||
Total current assets | 110,169 | 55,463 | 323,493 | — | 489,125 | |||||||||||||||
Non-current assets: | ||||||||||||||||||||
Deposits | 2,062 | 23,943 | — | — | 26,005 | |||||||||||||||
Property, plant and equipment, net | — | 1,616,807 | 139,283 | — | 1,756,090 | |||||||||||||||
Inventory | — | 24,996 | — | — | 24,996 | |||||||||||||||
Intangible assets, net | — | 426 | 324,538 | — | 324,964 | |||||||||||||||
Investments | — | 32,427 | 14,725 | — | 47,152 | |||||||||||||||
Goodwill | — | — | 228,750 | — | 228,750 | |||||||||||||||
Investments in consolidated subsidiaries | 488,565 | 122,172 | — | (610,737 | ) | — | ||||||||||||||
Intercompany accounts receivable | 2,031,773 | — | 37,083 | (2,068,856 | ) | — | ||||||||||||||
Other non-current assets | — | 756 | 5,798 | — | 6,554 | |||||||||||||||
Total non-current assets | 2,522,400 | 1,821,527 | 750,177 | (2,679,593 | ) | 2,414,511 | ||||||||||||||
Total assets | $ | 2,632,569 | $ | 1,876,990 | $ | 1,073,670 | $ | (2,679,593 | ) | $ | 2,903,636 | |||||||||
Current liabilities: | ||||||||||||||||||||
Trade accounts payable | $ | — | $ | 31,147 | $ | 32,523 | $ | — | $ | 63,670 | ||||||||||
Accrued expenses | 27,694 | 13,014 | 14,718 | — | 55,426 | |||||||||||||||
Debt and capital lease obligations | — | 2,744 | 14,141 | — | 16,885 | |||||||||||||||
Other current liabilities | — | 530 | 3,052 | — | 3,582 | |||||||||||||||
Total current liabilities | 27,694 | 47,435 | 64,434 | — | 139,563 | |||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Asset retirement obligation | — | 16,218 | — | — | 16,218 | |||||||||||||||
Deferred tax liabilities | — | — | 79,284 | — | 79,284 | |||||||||||||||
Debt and capital lease obligations | 1,347,064 | 20,167 | 4,693 | — | 1,371,924 | |||||||||||||||
Intercompany accounts payable | — | 2,068,856 | — | (2,068,856 | ) | — | ||||||||||||||
Other non-current liabilities | — | 1,408 | 8,442 | — | 9,850 | |||||||||||||||
Total non-current liabilities | 1,347,064 | 2,106,649 | 92,419 | (2,068,856 | ) | 1,477,276 | ||||||||||||||
Total liabilities | $ | 1,374,758 | $ | 2,154,084 | $ | 156,853 | $ | (2,068,856 | ) | $ | 1,616,839 | |||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 245 | — | — | — | 245 | |||||||||||||||
Additional paid-in capital | 2,191,404 | 149,857 | 1,315,426 | (1,465,283 | ) | 2,191,404 | ||||||||||||||
Accumulated other comprehensive loss | (7,303 | ) | — | (7,303 | ) | 7,303 | (7,303 | ) | ||||||||||||
Accumulated deficit | (926,535 | ) | (426,951 | ) | (420,292 | ) | 847,243 | (926,535 | ) | |||||||||||
Total Molycorp stockholders’ equity | 1,257,811 | (277,094 | ) | 887,831 | (610,737 | ) | 1,257,811 | |||||||||||||
Noncontrolling interests | — | — | 28,986 | — | 28,986 | |||||||||||||||
Total stockholders’ equity | 1,257,811 | (277,094 | ) | 916,817 | (610,737 | ) | 1,286,797 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 2,632,569 | $ | 1,876,990 | $ | 1,073,670 | $ | (2,679,593 | ) | $ | 2,903,636 | |||||||||
At December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Condensed Consolidating Balance Sheets | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 169,145 | $ | 6,467 | $ | 138,705 | $ | — | $ | 314,317 | ||||||||||
Trade accounts receivable, net | — | 4,990 | 56,767 | — | 61,757 | |||||||||||||||
Inventory | — | 32,307 | 139,476 | — | 171,783 | |||||||||||||||
Prepaid expenses and other current assets | — | 15,833 | 13,377 | — | 29,210 | |||||||||||||||
Total current assets | 169,145 | 59,597 | 348,325 | — | 577,067 | |||||||||||||||
Non-current assets: | ||||||||||||||||||||
Deposits | 1,754 | 24,243 | — | — | 25,997 | |||||||||||||||
Property, plant and equipment, net | — | 1,620,851 | 142,023 | — | 1,762,874 | |||||||||||||||
Inventory | — | 25,329 | — | — | 25,329 | |||||||||||||||
Intangible assets, net | — | 442 | 330,425 | — | 330,867 | |||||||||||||||
Investments | — | 34,134 | 14,741 | — | 48,875 | |||||||||||||||
Goodwill | — | — | 228,750 | — | 228,750 | |||||||||||||||
Investments in consolidated subsidiaries | 532,767 | 121,849 | — | (654,616 | ) | — | ||||||||||||||
Intercompany accounts receivable | 2,001,583 | — | — | (2,001,583 | ) | — | ||||||||||||||
Other non-current assets | — | 771 | 6,272 | — | 7,043 | |||||||||||||||
Total non-current assets | 2,536,104 | 1,827,619 | 722,211 | (2,656,199 | ) | 2,429,735 | ||||||||||||||
Total assets | $ | 2,705,249 | $ | 1,887,216 | $ | 1,070,536 | $ | (2,656,199 | ) | $ | 3,006,802 | |||||||||
Current liabilities: | ||||||||||||||||||||
Trade accounts payable | $ | — | $ | 49,702 | $ | 34,747 | $ | — | $ | 84,449 | ||||||||||
Accrued expenses | 18,158 | 13,782 | 16,561 | — | 48,501 | |||||||||||||||
Debt and capital lease obligations | — | 2,234 | 14,128 | — | 16,362 | |||||||||||||||
Other current liabilities | — | 617 | 3,446 | — | 4,063 | |||||||||||||||
Total current liabilities | 18,158 | 66,335 | 68,882 | — | 153,375 | |||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Asset retirement obligation | — | 16,966 | — | — | 16,966 | |||||||||||||||
Deferred tax liabilities | — | — | 85,481 | — | 85,481 | |||||||||||||||
Debt and capital lease obligations | 1,339,368 | 19,355 | 5,193 | — | 1,363,916 | |||||||||||||||
Intercompany accounts payable | — | 1,999,562 | 2,021 | (2,001,583 | ) | — | ||||||||||||||
Other non-current liabilities | — | 1,393 | 8,609 | — | 10,002 | |||||||||||||||
Total non-current liabilities | 1,339,368 | 2,037,276 | 101,304 | (2,001,583 | ) | 1,476,365 | ||||||||||||||
Total liabilities | $ | 1,357,526 | $ | 2,103,611 | $ | 170,186 | $ | (2,001,583 | ) | $ | 1,629,740 | |||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 241 | — | — | — | 241 | |||||||||||||||
Preferred stock | 2 | — | — | — | 2 | |||||||||||||||
Additional paid-in capital | 2,194,405 | 149,857 | 1,315,426 | (1,465,283 | ) | 2,194,405 | ||||||||||||||
Accumulated other comprehensive loss | (6,451 | ) | — | (6,451 | ) | 6,451 | (6,451 | ) | ||||||||||||
Accumulated deficit | (840,474 | ) | (366,252 | ) | (437,964 | ) | 804,216 | (840,474 | ) | |||||||||||
Total Molycorp stockholders’ equity | 1,347,723 | (216,395 | ) | 871,011 | (654,616 | ) | 1,347,723 | |||||||||||||
Noncontrolling interests | — | — | 29,339 | — | 29,339 | |||||||||||||||
Total stockholders’ equity | 1,347,723 | (216,395 | ) | 900,350 | (654,616 | ) | 1,377,062 | |||||||||||||
Total liabilities and stockholders’ equity | $ | 2,705,249 | $ | 1,887,216 | $ | 1,070,536 | $ | (2,656,199 | ) | $ | 3,006,802 | |||||||||
Schedule of Condensed Income Statement and Comprehensive Income | ' | |||||||||||||||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Operations and Comprehensive Income | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Revenues | $ | — | $ | 17,230 | $ | 113,733 | $ | (12,437 | ) | $ | 118,526 | |||||||||
Costs of sales: | ||||||||||||||||||||
Costs excluding depreciation and amortization | — | (53,379 | ) | (84,531 | ) | 12,437 | (125,473 | ) | ||||||||||||
Depreciation and amortization | — | (12,127 | ) | (4,020 | ) | — | (16,147 | ) | ||||||||||||
Gross (loss) profit | — | (48,276 | ) | 25,182 | — | (23,094 | ) | |||||||||||||
Operating expenses: | ||||||||||||||||||||
Selling, general and administrative | (240 | ) | (8,158 | ) | (9,558 | ) | — | (17,956 | ) | |||||||||||
Depreciation, amortization and accretion | — | (1,045 | ) | (6,156 | ) | — | (7,201 | ) | ||||||||||||
Research and development | — | (143 | ) | (2,623 | ) | — | (2,766 | ) | ||||||||||||
Operating (loss) income | (240 | ) | (57,622 | ) | 6,845 | — | (51,017 | ) | ||||||||||||
Other (expense) income: | ||||||||||||||||||||
Other (expense) income | (18,271 | ) | 16 | 18,729 | — | 474 | ||||||||||||||
Interest (expense) income, net of capitalized interest | (34,555 | ) | (1,205 | ) | 121 | — | (35,639 | ) | ||||||||||||
Interest income (expense) from intercompany notes | 10,355 | (504 | ) | (9,851 | ) | — | — | |||||||||||||
Equity (loss) income from consolidated subsidiaries | (43,350 | ) | 323 | — | 43,027 | — | ||||||||||||||
(Loss) income before income taxes and equity earnings | (86,061 | ) | (58,992 | ) | 15,844 | 43,027 | (86,182 | ) | ||||||||||||
Income tax benefit | — | — | 1,907 | — | 1,907 | |||||||||||||||
Equity in loss of affiliates | — | (1,707 | ) | (16 | ) | — | (1,723 | ) | ||||||||||||
Net (loss) income | (86,061 | ) | (60,699 | ) | 17,735 | 43,027 | (85,998 | ) | ||||||||||||
Net income attributable to noncontrolling interest | — | — | (63 | ) | — | (63 | ) | |||||||||||||
Net (loss) income attributable to Molycorp stockholders | $ | (86,061 | ) | $ | (60,699 | ) | $ | 17,672 | $ | 43,027 | $ | (86,061 | ) | |||||||
Net (loss) income | $ | (86,061 | ) | $ | (60,699 | ) | $ | 17,735 | $ | 43,027 | $ | (85,998 | ) | |||||||
Other comprehensive (loss) income: | ||||||||||||||||||||
Foreign currency translation adjustments | — | — | (852 | ) | — | (852 | ) | |||||||||||||
Comprehensive (loss) income | $ | (86,061 | ) | $ | (60,699 | ) | $ | 16,883 | $ | 43,027 | $ | (86,850 | ) | |||||||
Comprehensive (loss) income attributable to: | ||||||||||||||||||||
Molycorp stockholders | (86,061 | ) | (60,699 | ) | 16,946 | 43,027 | (86,787 | ) | ||||||||||||
Noncontrolling interest | — | — | (63 | ) | — | (63 | ) | |||||||||||||
$ | (86,061 | ) | $ | (60,699 | ) | $ | 16,883 | $ | 43,027 | $ | (86,850 | ) | ||||||||
Three Months Ended March 31, 2013 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Operations and Comprehensive Income | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Revenues | $ | — | $ | 21,609 | $ | 134,147 | $ | (10,358 | ) | $ | 145,398 | |||||||||
Costs of sales: | ||||||||||||||||||||
Costs excluding depreciation and amortization | — | (45,329 | ) | (100,560 | ) | 10,358 | (135,531 | ) | ||||||||||||
Depreciation and amortization | — | (7,430 | ) | (6,742 | ) | — | (14,172 | ) | ||||||||||||
Gross (loss) profit | — | (31,150 | ) | 26,845 | — | (4,305 | ) | |||||||||||||
Operating expenses: | ||||||||||||||||||||
Selling, general and administrative | — | (17,016 | ) | (9,535 | ) | — | (26,551 | ) | ||||||||||||
Depreciation, amortization and accretion | — | (1,709 | ) | (6,501 | ) | — | (8,210 | ) | ||||||||||||
Research and development | — | (1,960 | ) | (4,445 | ) | — | (6,405 | ) | ||||||||||||
Operating (loss) income | — | (51,835 | ) | 6,364 | — | (45,471 | ) | |||||||||||||
Other (expense) income: | ||||||||||||||||||||
Other expense | — | — | (451 | ) | — | (451 | ) | |||||||||||||
Interest (expense) income, net of capitalized interest | (11,139 | ) | (2,060 | ) | 1,550 | — | (11,649 | ) | ||||||||||||
Interest income (expense) from intercompany notes | 9,651 | 1,644 | (11,295 | ) | — | — | ||||||||||||||
Equity (loss) income from consolidated subsidiaries | (43,367 | ) | 1,078 | — | 42,289 | — | ||||||||||||||
Loss before income taxes and equity earnings | (44,855 | ) | (51,173 | ) | (3,832 | ) | 42,289 | (57,571 | ) | |||||||||||
Income tax benefit (loss) | 5,884 | 19,450 | (2,844 | ) | — | 22,490 | ||||||||||||||
Equity in loss of affiliates | — | (1,998 | ) | (1,074 | ) | — | (3,072 | ) | ||||||||||||
Net loss | (38,971 | ) | (33,721 | ) | (7,750 | ) | 42,289 | (38,153 | ) | |||||||||||
Net income attributable to noncontrolling interest | — | — | (818 | ) | — | (818 | ) | |||||||||||||
Net loss attributable to Molycorp stockholders | $ | (38,971 | ) | $ | (33,721 | ) | $ | (8,568 | ) | $ | 42,289 | $ | (38,971 | ) | ||||||
Net loss | $ | (38,971 | ) | $ | (33,721 | ) | $ | (7,750 | ) | $ | 42,289 | $ | (38,153 | ) | ||||||
Other comprehensive income: | ||||||||||||||||||||
Foreign currency translation adjustments | — | — | (3,294 | ) | — | (3,294 | ) | |||||||||||||
Comprehensive loss | $ | (38,971 | ) | $ | (33,721 | ) | $ | (11,044 | ) | $ | 42,289 | $ | (41,447 | ) | ||||||
Comprehensive loss attributable to: | ||||||||||||||||||||
Molycorp stockholders | (38,971 | ) | (33,721 | ) | (10,226 | ) | 42,289 | (40,629 | ) | |||||||||||
Noncontrolling interest | — | — | (818 | ) | — | (818 | ) | |||||||||||||
$ | (38,971 | ) | $ | (33,721 | ) | $ | (11,044 | ) | $ | 42,289 | $ | (41,447 | ) | |||||||
Schedule of Condensed Cash Flow Statement | ' | |||||||||||||||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Cash Flows | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Net cash used in operating activities | $ | (33,089 | ) | $ | (829 | ) | $ | (11,867 | ) | $ | — | $ | (45,785 | ) | ||||||
Cash flows from investing activities: | ||||||||||||||||||||
Intercompany advances made | (55,041 | ) | — | — | 55,041 | — | ||||||||||||||
Repayments from non-guarantor | 32,000 | — | — | (32,000 | ) | — | ||||||||||||||
Capital expenditures | — | (27,943 | ) | (1,809 | ) | — | (29,752 | ) | ||||||||||||
Other investing activities | — | — | 493 | — | 493 | |||||||||||||||
Net cash used in investing activities | (23,041 | ) | (27,943 | ) | (1,316 | ) | 23,041 | (29,259 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of debt | — | — | (489 | ) | — | (489 | ) | |||||||||||||
Payments of preferred dividends | (2,846 | ) | — | — | — | (2,846 | ) | |||||||||||||
Dividend paid to noncontrolling interests | — | — | (435 | ) | — | (435 | ) | |||||||||||||
Repayments to parent | — | — | (32,000 | ) | 32,000 | — | ||||||||||||||
Intercompany advances owed | — | 25,238 | 29,803 | (55,041 | ) | — | ||||||||||||||
Other financing activities | — | 1,323 | — | — | 1,323 | |||||||||||||||
Net cash (used in) provided by financing activities | (2,846 | ) | 26,561 | (3,121 | ) | (23,041 | ) | (2,447 | ) | |||||||||||
Effect of exchange rate changes on cash | — | — | (776 | ) | — | (776 | ) | |||||||||||||
Net change in cash and cash equivalents | (58,976 | ) | (2,211 | ) | (17,080 | ) | — | (78,267 | ) | |||||||||||
Cash and cash equivalents at beginning of the period | 169,145 | 6,467 | 138,705 | — | 314,317 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 110,169 | $ | 4,256 | $ | 121,625 | $ | — | $ | 236,050 | ||||||||||
Three Months Ended March 31, 2013 | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Condensed Consolidating Statements of Cash Flows | Parent | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Molycorp, Inc. consolidated | |||||||||||||||
Net cash provided by (used in) operating activities | $ | 17,211 | $ | (58,035 | ) | $ | 4,196 | $ | — | $ | (36,628 | ) | ||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Loans to guarantor | — | — | (40,000 | ) | 40,000 | — | ||||||||||||||
Intercompany advances made | (193,454 | ) | — | — | 193,454 | — | ||||||||||||||
Loans to non-guarantor | — | (1,300 | ) | — | 1,300 | — | ||||||||||||||
Investment in joint ventures | — | (3,423 | ) | — | — | (3,423 | ) | |||||||||||||
Capital expenditures | — | (174,703 | ) | (6,400 | ) | — | (181,103 | ) | ||||||||||||
Other investing activities | — | — | (90 | ) | — | (90 | ) | |||||||||||||
Net cash used in investing activities | (193,454 | ) | (179,426 | ) | (46,490 | ) | 234,754 | (184,616 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of debt | — | — | (11,108 | ) | — | (11,108 | ) | |||||||||||||
Net proceeds from sale of common stock | 248,147 | — | — | — | 248,147 | |||||||||||||||
Issuance of 5.50% Convertible Notes | 165,600 | — | — | — | 165,600 | |||||||||||||||
Payments of preferred dividends | (2,846 | ) | — | — | — | (2,846 | ) | |||||||||||||
Dividend paid to noncontrolling interests | — | — | (1,286 | ) | — | (1,286 | ) | |||||||||||||
Borrowings from non-guarantor | — | 40,000 | — | (40,000 | ) | — | ||||||||||||||
Borrowing from guarantor | — | — | 1,300 | (1,300 | ) | — | ||||||||||||||
Intercompany advances owed | — | 182,491 | 10,963 | (193,454 | ) | — | ||||||||||||||
Other financing activities | — | (79 | ) | — | — | (79 | ) | |||||||||||||
Net cash provided by (used in) financing activities | 410,901 | 222,412 | (131 | ) | (234,754 | ) | 398,428 | |||||||||||||
Effect of exchange rate changes on cash | — | — | (140 | ) | — | (140 | ) | |||||||||||||
Net change in cash and cash equivalents | 234,658 | (15,049 | ) | (42,565 | ) | — | 177,044 | |||||||||||||
Cash and cash equivalents at beginning of the period | 16,560 | 18,020 | 193,210 | — | 227,790 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 251,218 | $ | 2,971 | $ | 150,645 | $ | — | $ | 404,834 | ||||||||||
Liquidity_and_Capital_Requirem1
Liquidity and Capital Requirements (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 |
Capital Expenditures [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | $236,050,000 | $314,317,000 | $404,834,000 | $227,790,000 |
Molycorp Mountain Pass facility | ' | ' | ' | ' |
Capital Expenditures [Line Items] | ' | ' | ' | ' |
Estimated future capital expenditures remainder of 2014 | 41,000,000 | ' | ' | ' |
Estimated capital expenditures in 2015 | 50,000,000 | ' | ' | ' |
Maintenance and Other Expansion Capital Expenditures | ' | ' | ' | ' |
Capital Expenditures [Line Items] | ' | ' | ' | ' |
Estimated future capital expenditures remainder of 2014 | $20,000,000 | ' | ' | ' |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
segment | ||||
Segment Information | ' | ' | ||
Number of reportable segments | 4 | ' | ||
Revenues | $118,526 | $145,398 | ||
Revenues | 118,526 | 145,398 | ||
Operating (loss) income | -51,017 | -45,471 | ||
Other income (expense) | 474 | -451 | ||
Interest expense, net of capitalized interest | -35,639 | -11,649 | ||
Loss before income taxes and equity earnings | -86,182 | -57,571 | ||
Eliminations | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 0 | [1] | 0 | [1] |
Revenues | -19,956 | [1] | -17,255 | [1] |
Operating (loss) income | -1,075 | [1] | -538 | [1] |
Reportable Segments | Resources | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 3,111 | 14,658 | ||
Revenues | 15,564 | 17,303 | ||
OIBDA | -36,445 | -31,073 | ||
Depreciation, amortization and accretion | -13,091 | -9,053 | ||
Operating (loss) income | -49,536 | -40,126 | ||
Reportable Segments | Chemicals and Oxides | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 40,271 | 49,600 | ||
Revenues | 46,556 | 64,210 | ||
OIBDA | 3,299 | 2,231 | ||
Depreciation, amortization and accretion | -3,872 | -5,537 | ||
Operating (loss) income | -573 | -3,306 | ||
Reportable Segments | Magnetic Materials and Alloys | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 54,720 | 54,678 | ||
Revenues | 55,938 | 54,678 | ||
OIBDA | 13,676 | 12,243 | ||
Depreciation, amortization and accretion | -4,237 | -5,480 | ||
Operating (loss) income | 9,439 | 6,763 | ||
Reportable Segments | Rare Metals | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 20,424 | 26,462 | ||
Revenues | 20,424 | 26,462 | ||
OIBDA | -70 | 5,553 | ||
Depreciation, amortization and accretion | -2,093 | -2,253 | ||
Operating (loss) income | -2,163 | 3,300 | ||
Corporate | Corporate and other | ' | ' | ||
Segment Information | ' | ' | ||
Operating (loss) income | -7,109 | [2] | -11,564 | [2] |
Eliminations | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 0 | 0 | ||
Eliminations | Resources | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 12,453 | 2,645 | ||
Eliminations | Chemicals and Oxides | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 6,285 | 14,610 | ||
Eliminations | Magnetic Materials and Alloys | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 1,218 | 0 | ||
Eliminations | Rare Metals | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | 0 | 0 | ||
Eliminations | Eliminations | ' | ' | ||
Segment Information | ' | ' | ||
Revenues | ($19,956) | [1] | ($17,255) | [1] |
[1] | Consist of inter-segment sales and gross profits elimination as well as eliminations of lower of cost or market adjustments related to inter-segment inventory. | |||
[2] | Includes business development costs, personnel costs, stock-based compensation, accounting and legal fees, occupancy expense, information technology costs and interest expense. |
Inventory_Details
Inventory (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |
Current: | ' | ' | ' |
Concentrate stockpiles | $30,000 | ' | $24,000 |
Raw materials | 49,613,000 | ' | 42,627,000 |
Work in process | 38,340,000 | ' | 41,962,000 |
Finished goods | 56,672,000 | ' | 65,662,000 |
Materials and supplies | 21,975,000 | ' | 21,508,000 |
Total current | 166,630,000 | ' | 171,783,000 |
Long-term: | ' | ' | ' |
Concentrate stockpiles | 4,000 | ' | 4,000 |
Raw materials | 24,992,000 | ' | 25,325,000 |
Total long-term | 24,996,000 | ' | 25,329,000 |
Inventory [Line Items] | ' | ' | ' |
Production costs expensed that would have been allocated to additional tons produced, assuming operations at normal production rates | 25,000,000 | 22,000,000 | ' |
Inventory write-downs | 17,371,000 | 22,125,000 | ' |
Rare earth metals | ' | ' | ' |
Inventory [Line Items] | ' | ' | ' |
Inventory write-downs | 16,200,000 | 19,700,000 | ' |
Stockpile | ' | ' | ' |
Inventory [Line Items] | ' | ' | ' |
Inventory write-downs | $1,200,000 | $2,400,000 | ' |
Property_Plant_and_Equipment_n2
Property, Plant and Equipment, net (Details) (USD $) | 3 Months Ended | ||||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Capitalized expenditures related to plant modernization and other capitalized costs | $12,300,000 | $120,900,000 | ' | ||
Interest costs capitalized | ' | 21,500,000 | ' | ||
Property, plant and equipment at cost | 1,876,032,000 | ' | 1,865,552,000 | ||
Less accumulated depreciation | -119,942,000 | ' | -102,678,000 | ||
Property, plant and equipment, net | 1,756,090,000 | ' | 1,762,874,000 | ||
Land | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 12,841,000 | ' | 12,822,000 | ||
Land improvements | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 304,372,000 | ' | 327,029,000 | ||
Buildings and improvements | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 557,839,000 | ' | 418,510,000 | ||
Plant and equipment | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 448,774,000 | ' | 288,603,000 | ||
Vehicles | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 2,968,000 | ' | 2,986,000 | ||
Computer software | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 12,424,000 | ' | 12,424,000 | ||
Furnitures and fixtures | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 1,044,000 | ' | 1,044,000 | ||
Construction in progress | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 486,913,000 | [1] | ' | 755,107,000 | [1] |
Natural gas delivery facility under capital lease | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Natural gas delivery facility under capital lease | 15,658,000 | ' | 15,658,000 | ||
Mining equipment under capital lease | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | 9,287,000 | ' | 7,370,000 | ||
Mineral properties | ' | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ||
Property, plant and equipment at cost | $23,912,000 | ' | $23,999,000 | ||
[1] | Primarily related to expenditures at the Molycorp Mountain Pass facility. |
Debt_and_Capital_Lease_Obligat2
Debt and Capital Lease Obligations (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Long-term Debt, Current and Noncurrent [Abstract] | ' | ' |
Current portion of debt outstanding | $14,140,000 | $14,128,000 |
Noncurrent portion of debt outstanding | 1,351,757,000 | 1,344,561,000 |
Capital lease obligations, current | 2,745,000 | 2,234,000 |
Capital lease obligations, Noncurrent | 20,167,000 | 19,355,000 |
Total debt and Capital lease obligations, Current | 16,885,000 | 16,362,000 |
Total debt and Capital lease obligations, Non-Current | 1,371,924,000 | 1,363,916,000 |
Long-term Debt, by Maturity [Abstract] | ' | ' |
Remainder of 2014 | 13,800,000 | ' |
2015 | 1,500,000 | ' |
2016 | 230,800,000 | ' |
2017 | 416,700,000 | ' |
2018 | 172,500,000 | ' |
Thereafter | 650,000,000 | ' |
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | ' | ' |
Total capital leases payments due | 50,400,000 | ' |
Due in remainder of 2014 | 5,700,000 | ' |
Due in 2015 | 7,600,000 | ' |
Due in 2016 | 7,600,000 | ' |
Due in 2017 | 6,500,000 | ' |
Due in 2018 | 5,100,000 | ' |
Due thereafter | 17,800,000 | ' |
Executory costs | 1,600,000 | ' |
Imputed interest | 25,800,000 | ' |
Notes Payable to Banks | ' | ' |
Long-term Debt, Current and Noncurrent [Abstract] | ' | ' |
Current portion of debt outstanding | 14,140,000 | 14,128,000 |
Noncurrent portion of debt outstanding | 2,344,000 | 2,699,000 |
Weighted average interest rate | 3.29% | 3.59% |
Convertible Debt | 3.25% Convertible Notes | ' | ' |
Long-term Debt, Current and Noncurrent [Abstract] | ' | ' |
Current portion of debt outstanding | 0 | 0 |
Noncurrent portion of debt outstanding | 209,211,000 | 207,028,000 |
Long-term Debt, by Maturity [Abstract] | ' | ' |
Interest rate | 3.25% | ' |
Convertible Debt | 6.00% Convertible Notes | ' | ' |
Long-term Debt, Current and Noncurrent [Abstract] | ' | ' |
Current portion of debt outstanding | 0 | 0 |
Noncurrent portion of debt outstanding | 350,594,000 | 346,708,000 |
Long-term Debt, by Maturity [Abstract] | ' | ' |
Interest rate | 6.00% | ' |
Convertible Debt | 5.50% Convertible Senior Notes due 2018 | ' | ' |
Long-term Debt, Current and Noncurrent [Abstract] | ' | ' |
Current portion of debt outstanding | 0 | 0 |
Noncurrent portion of debt outstanding | 149,471,000 | 148,198,000 |
Long-term Debt, by Maturity [Abstract] | ' | ' |
Interest rate | 5.50% | ' |
Convertible Subordinated Debt | 5.00% Debentures, net of discount | ' | ' |
Long-term Debt, Current and Noncurrent [Abstract] | ' | ' |
Current portion of debt outstanding | 0 | 0 |
Noncurrent portion of debt outstanding | 2,349,000 | 2,493,000 |
Long-term Debt, by Maturity [Abstract] | ' | ' |
Interest rate | 5.00% | ' |
Senior Notes | 10% Senior Securied Notes, net of discount, due June 2020 | ' | ' |
Long-term Debt, Current and Noncurrent [Abstract] | ' | ' |
Current portion of debt outstanding | 0 | 0 |
Noncurrent portion of debt outstanding | 637,788,000 | 637,435,000 |
Long-term Debt, by Maturity [Abstract] | ' | ' |
Interest rate | 10.00% | ' |
Fair market value of assets excluded from security interest, maximum | $15,000,000 | ' |
Cash collateral excluded from security interest, maximum | 105.00% | ' |
Voting stock of foreign subsidiaries excluded from security interest, minimum | 65.00% | ' |
Debt_and_Capital_Lease_Obligat3
Debt and Capital Lease Obligations Convertible notes other disclosures (Details) (USD $) | 3 Months Ended | ||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Net carrying amount | $1,351,757 | ' | $1,344,561 | ||
Equity component of convertible debt | ' | 21,815 | ' | ||
Convertible Debt | 3.25% Convertible Notes | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Principal amount | 230,000 | ' | 230,000 | ||
Unamortized debt discount | -20,789 | ' | -22,972 | ||
Net carrying amount | 209,211 | ' | 207,028 | ||
Interest cost | 4,058 | [1] | 3,920 | [1] | ' |
Interest rate | 3.25% | ' | ' | ||
Convertible Debt | 6.00% Convertible Notes | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Principal amount | 414,000 | ' | 414,000 | ||
Unamortized debt discount | -63,406 | ' | -67,292 | ||
Net carrying amount | 350,594 | ' | 346,708 | ||
Interest cost | 10,150 | [1] | 9,813 | [1] | ' |
Interest rate | 6.00% | ' | ' | ||
Convertible Debt | 5.50% Convertible Senior Notes due 2018 | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Principal amount | 172,500 | ' | 172,500 | ||
Unamortized debt discount | -23,029 | ' | -24,302 | ||
Net carrying amount | 149,471 | ' | 148,198 | ||
Interest cost | 3,659 | [1] | 2,297 | [1] | ' |
Interest rate | 5.50% | ' | ' | ||
Senior Notes | 10% Senior Securied Notes, net of discount, due June 2020 | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Principal amount | 650,000 | ' | 650,000 | ||
Unamortized debt discount | -12,212 | ' | -12,565 | ||
Net carrying amount | 637,788 | ' | 637,435 | ||
Interest cost | 16,639 | [1] | 16,605 | [1] | ' |
Interest rate | 10.00% | ' | ' | ||
Additional Paid-In Capital | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Equity component of convertible debt | ' | 21,815 | ' | ||
Additional Paid-In Capital | Convertible Debt | 3.25% Convertible Notes | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Equity component of convertible debt | 36,227 | ' | ' | ||
Additional Paid-In Capital | Convertible Debt | 6.00% Convertible Notes | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Equity component of convertible debt | 68,695 | ' | ' | ||
Additional Paid-In Capital | Convertible Debt | 5.50% Convertible Senior Notes due 2018 | ' | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ' | ||
Equity component of convertible debt | $21,815 | ' | ' | ||
[1] | Interest cost includes the coupon interest, accretion of the initial equity component of the convertible notes (3.25% - $36,227; 6.00% - $68,695; and 5.50% - $21,815), accretion of the underwriting discounts and amortization of the issuance costs allocated to the liability component. |
Income_Taxes_Narrative_Details
Income Taxes Narrative (Details) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' |
Effective income tax rate | 2.20% | 39.10% |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 3 Months Ended | 3 Months Ended | 12 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 01, 2014 |
Series A Mandatory Convertible Preferred Stock | Series A Mandatory Convertible Preferred Stock | Common Stock | ||||
Stockholders' Equity | ' | ' | ' | ' | ' | ' |
Common shares issued | 244,838,060 | ' | 240,380,138 | ' | ' | ' |
Common shares outstanding | 244,838,060 | ' | 240,380,138 | ' | ' | ' |
Preferred stock outstanding | ' | ' | ' | ' | 2,070,000 | ' |
Dividend rate | ' | ' | ' | ' | 5.50% | ' |
Conversion rate for preferred stock to common stock | ' | ' | ' | ' | ' | 2 |
Shares issued upon conversion of preferred stock | ' | ' | ' | ' | ' | 4,140,000 |
Cash dividend declared and paid | $2,846 | $2,846 | ' | $2,800 | ' | ' |
Activity_Related_to_Restricted
Activity Related to Restricted Stock-based Awards (Details) (USD $) | 3 Months Ended |
Mar. 31, 2014 | |
PBRSUs | ' |
Number of Shares | ' |
Unvested at the beginning of the period (in shares) | 697,797 |
Granted (in shares) | 744,540 |
Forfeited (in shares) | 0 |
Vested (in shares) | 0 |
Unvested at the end of the period (in shares) | 1,442,337 |
Weighted Average Grant-Date Price | ' |
Unvested shares at the beginning of the period (in dollars per share) | $7.45 |
Granted (in dollars per share) | $4.99 |
Forfeited (in dollars per share) | $0 |
Vested (in dollars per share) | $0 |
Unvested shares at the end of the period (in dollars per share) | $6.18 |
RSUs | ' |
Number of Shares | ' |
Unvested at the beginning of the period (in shares) | 1,076,385 |
Granted (in shares) | 714,797 |
Forfeited (in shares) | -14,265 |
Vested (in shares) | -27,553 |
Unvested at the end of the period (in shares) | 1,749,364 |
Weighted Average Grant-Date Price | ' |
Unvested shares at the beginning of the period (in dollars per share) | $9.81 |
Granted (in dollars per share) | $4.96 |
Forfeited (in dollars per share) | $10.34 |
Vested (in dollars per share) | $31.35 |
Unvested shares at the end of the period (in dollars per share) | $7.48 |
Commitments_and_Contingencies_1
Commitments and Contingencies Operating Leases (Details) (Office space, trailers and certain equipment, USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Office space, trailers and certain equipment | ' |
Remaining annual minimum payments under operating leases | ' |
Operating lease obligations, total minimum payments | $6,000 |
Operating lease obligations, Less Than 1 Year | 2,576 |
Operating lease obligations, 1 -3 Years | 1,992 |
Operating lease obligations, 4 - 5 Years | 515 |
Operating lease obligations, More Than 5 Years | $917 |
Commitments_and_Contingencies_2
Commitments and Contingencies Purchase Commitments (Details) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Purchase obligations and other commitment, Total | $154,932 |
Purchase obligations and other commitment, Less Than 1 Year | 133,530 |
Purchase obligations and other commitment, 1 - 3 Years | 12,387 |
Purchase obligations and other commitment, 4 - 5 Years | 5,988 |
Purchase obligations and other commitment, More Than Five Years | $3,027 |
Commitments_and_Contingencies_3
Commitments and Contingencies Narrative (Details) (USD $) | Mar. 31, 2014 | Aug. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 |
In Millions, unless otherwise specified | Class Action Lawsuits filed in US District Court for the Southern District of New York | Employees covered by collective bargaining agreement under facility | Employees covered by collective bargaining agreement under facility | |
lawsuit | Workforce | Molycorp Mountain Pass facility | ||
Molycorp Silmet | Workforce | |||
employee | employee | |||
Plant Modernization and Expansion Commitments | ' | ' | ' | ' |
Number of employees | ' | ' | 170 | 238 |
Concentration risk (as a percent) | ' | ' | 30.00% | 61.00% |
Surety bonds placed to secure the closure and reclamation obligations | $28.80 | ' | ' | ' |
Number of class action lawsuits filed | ' | 2 | ' | ' |
Concentrations_Details
Concentrations (Details) (USD $) | 3 Months Ended | 3 Months Ended | |||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | |
Daido Electronics | Daido Electronics | Neo Powders | Neo Powders | Product Concentration | Product Concentration | Product Concentration | Product Concentration | Product Concentration | |||
Daido Electronics | Daido Electronics | Cerium products | Cerium products | Neo Powders | Neo Powders | Tantalum Metal | |||||
Chemicals and Oxides | Chemicals and Oxides | Magnetic Materials and Alloys | Magnetic Materials and Alloys | Rare Metals | |||||||
Concentrations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Entity-wide revenue, major customers | ' | ' | ' | ' | ' | ' | 10.10% | 11.60% | 44.60% | 34.00% | 16.00% |
Sales, net of intercompany transactions | $118,526,000 | $145,398,000 | ' | ' | $12,200,000 | $8,900,000 | ' | ' | ' | ' | ' |
Accounts Receivable, Related Parties | ' | ' | $4,100,000 | $7,500,000 | ' | ' | ' | ' | ' | ' | ' |
RelatedParty_Transactions_Deta
Related-Party Transactions (Details) (Keli, Metals, USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Keli | Metals | ' | ' |
Related Party Transactions | ' | ' |
Purchases made from related party | $16.90 | $9.60 |
Net_Change_in_Operating_Assets2
Net Change in Operating Assets and Liabilities (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Decrease (increase) in operating assets: | ' | ' |
Accounts receivable | $10,171 | ($10,928) |
Inventory | -12,157 | 14,367 |
Prepaid expenses and other assets | -6,968 | 1,850 |
Increase (decrease) in operating liabilities: | ' | ' |
Accounts payable | -2,065 | -15,835 |
Income tax payable | -52 | 5,092 |
Interest payable | 17,233 | -3,746 |
Asset retirement obligation | -1,125 | -308 |
Accrued expenses | -2,822 | -6,369 |
Net change in operating assets and liabilities | $2,215 | ($15,877) |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (Fair Value, Measurements, Recurring, USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ' | ' |
Cash equivalents | $117,195 | $179,052 |
Liabilities: | ' | ' |
Derivative liability | 5,964 | 6,089 |
Level 1 | ' | ' |
Assets: | ' | ' |
Cash equivalents | 117,195 | 179,052 |
Liabilities: | ' | ' |
Derivative liability | 0 | 0 |
Level 2 | ' | ' |
Assets: | ' | ' |
Cash equivalents | 0 | 0 |
Liabilities: | ' | ' |
Derivative liability | 0 | 0 |
Level 3 | ' | ' |
Assets: | ' | ' |
Cash equivalents | 0 | 0 |
Liabilities: | ' | ' |
Derivative liability | $5,964 | $6,089 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments Liability Carrying and Fair Value (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Carrying Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | $1,347,064 | $1,339,369 |
Fair Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 1,315,791 | 1,285,106 |
Convertible Debt | Level 1 | 3.25% Convertible Notes | Carrying Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 209,211 | 207,028 |
Convertible Debt | Level 1 | 3.25% Convertible Notes | Fair Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 179,515 | 161,771 |
Convertible Debt | Level 1 | 6.00% Convertible Notes | Carrying Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 350,594 | 346,708 |
Convertible Debt | Level 1 | 6.00% Convertible Notes | Fair Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 339,273 | 312,570 |
Convertible Debt | Level 1 | 5.50% Convertible Senior Notes due 2018 | Carrying Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 149,471 | 148,198 |
Convertible Debt | Level 1 | 5.50% Convertible Senior Notes due 2018 | Fair Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 153,503 | 164,015 |
Senior Notes | Level 1 | 10% Senior Securied Notes, net of discount, due June 2020 | Carrying Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | 637,788 | 637,435 |
Senior Notes | Level 1 | 10% Senior Securied Notes, net of discount, due June 2020 | Fair Value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Long-term debt | $643,500 | $646,750 |
Condensed_Consolidating_Balanc
Condensed Consolidating Balance Sheet (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | $236,050 | $314,317 | $404,834 | $227,790 |
Trade accounts receivable, net | 51,591 | 61,757 | ' | ' |
Inventory | 166,630 | 171,783 | ' | ' |
Prepaid expenses and other current assets | 34,854 | 29,210 | ' | ' |
Total current assets | 489,125 | 577,067 | ' | ' |
Non-current assets: | ' | ' | ' | ' |
Deposits | 26,005 | 25,997 | ' | ' |
Property, plant and equipment, net | 1,756,090 | 1,762,874 | ' | ' |
Inventory | 24,996 | 25,329 | ' | ' |
Intangible assets, net | 324,964 | 330,867 | ' | ' |
Investments | 47,152 | 48,875 | ' | ' |
Goodwill | 228,750 | 228,750 | ' | ' |
Investments in consolidated subsidiaries | 0 | 0 | ' | ' |
Intercompany accounts receivable | 0 | 0 | ' | ' |
Other non-current assets | 6,554 | 7,043 | ' | ' |
Total non-current assets | 2,414,511 | 2,429,735 | ' | ' |
Total assets | 2,903,636 | 3,006,802 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Trade accounts payable | 63,670 | 84,449 | ' | ' |
Accrued expenses | 55,426 | 48,501 | ' | ' |
Debt and capital lease obligations | 16,885 | 16,362 | ' | ' |
Other current liabilities | 3,582 | 4,063 | ' | ' |
Total current liabilities | 139,563 | 153,375 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Asset retirement obligation | 16,218 | 16,966 | ' | ' |
Deferred tax liabilities | 79,284 | 85,481 | ' | ' |
Debt and capital lease obligations | 1,371,924 | 1,363,916 | ' | ' |
Intercompany accounts payable | 0 | 0 | ' | ' |
Other non-current liabilities | 9,850 | 10,002 | ' | ' |
Total non-current liabilities | 1,477,276 | 1,476,365 | ' | ' |
Total liabilities | 1,616,839 | 1,629,740 | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Common stock | 245 | 241 | ' | ' |
Preferred stock | 0 | 2 | ' | ' |
Additional paid-in capital | 2,191,404 | 2,194,405 | ' | ' |
Accumulated other comprehensive loss | -7,303 | -6,451 | ' | ' |
Accumulated deficit | -926,535 | -840,474 | ' | ' |
Total Molycorp stockholders’ equity | 1,257,811 | 1,347,723 | ' | ' |
Noncontrolling interests | 28,986 | 29,339 | ' | ' |
Total stockholders’ equity | 1,286,797 | 1,377,062 | 1,466,808 | 1,251,258 |
Total liabilities and stockholders’ equity | 2,903,636 | 3,006,802 | ' | ' |
Parent | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 110,169 | 169,145 | 251,218 | 16,560 |
Trade accounts receivable, net | 0 | 0 | ' | ' |
Inventory | 0 | 0 | ' | ' |
Prepaid expenses and other current assets | 0 | 0 | ' | ' |
Total current assets | 110,169 | 169,145 | ' | ' |
Non-current assets: | ' | ' | ' | ' |
Deposits | 2,062 | 1,754 | ' | ' |
Property, plant and equipment, net | 0 | 0 | ' | ' |
Inventory | 0 | 0 | ' | ' |
Intangible assets, net | 0 | 0 | ' | ' |
Investments | 0 | 0 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Investments in consolidated subsidiaries | 488,565 | 532,767 | ' | ' |
Intercompany accounts receivable | 2,031,773 | 2,001,583 | ' | ' |
Other non-current assets | 0 | 0 | ' | ' |
Total non-current assets | 2,522,400 | 2,536,104 | ' | ' |
Total assets | 2,632,569 | 2,705,249 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Trade accounts payable | 0 | 0 | ' | ' |
Accrued expenses | 27,694 | 18,158 | ' | ' |
Debt and capital lease obligations | 0 | 0 | ' | ' |
Other current liabilities | 0 | 0 | ' | ' |
Total current liabilities | 27,694 | 18,158 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Asset retirement obligation | 0 | 0 | ' | ' |
Deferred tax liabilities | 0 | 0 | ' | ' |
Debt and capital lease obligations | 1,347,064 | 1,339,368 | ' | ' |
Intercompany accounts payable | 0 | 0 | ' | ' |
Other non-current liabilities | 0 | 0 | ' | ' |
Total non-current liabilities | 1,347,064 | 1,339,368 | ' | ' |
Total liabilities | 1,374,758 | 1,357,526 | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Common stock | 245 | 241 | ' | ' |
Preferred stock | ' | 2 | ' | ' |
Additional paid-in capital | 2,191,404 | 2,194,405 | ' | ' |
Accumulated other comprehensive loss | -7,303 | -6,451 | ' | ' |
Accumulated deficit | -926,535 | -840,474 | ' | ' |
Total Molycorp stockholders’ equity | 1,257,811 | 1,347,723 | ' | ' |
Noncontrolling interests | 0 | 0 | ' | ' |
Total stockholders’ equity | 1,257,811 | 1,347,723 | ' | ' |
Total liabilities and stockholders’ equity | 2,632,569 | 2,705,249 | ' | ' |
Guarantor Subsidiaries | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 4,256 | 6,467 | 2,971 | 18,020 |
Trade accounts receivable, net | 2,103 | 4,990 | ' | ' |
Inventory | 30,985 | 32,307 | ' | ' |
Prepaid expenses and other current assets | 18,119 | 15,833 | ' | ' |
Total current assets | 55,463 | 59,597 | ' | ' |
Non-current assets: | ' | ' | ' | ' |
Deposits | 23,943 | 24,243 | ' | ' |
Property, plant and equipment, net | 1,616,807 | 1,620,851 | ' | ' |
Inventory | 24,996 | 25,329 | ' | ' |
Intangible assets, net | 426 | 442 | ' | ' |
Investments | 32,427 | 34,134 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Investments in consolidated subsidiaries | 122,172 | 121,849 | ' | ' |
Intercompany accounts receivable | 0 | 0 | ' | ' |
Other non-current assets | 756 | 771 | ' | ' |
Total non-current assets | 1,821,527 | 1,827,619 | ' | ' |
Total assets | 1,876,990 | 1,887,216 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Trade accounts payable | 31,147 | 49,702 | ' | ' |
Accrued expenses | 13,014 | 13,782 | ' | ' |
Debt and capital lease obligations | 2,744 | 2,234 | ' | ' |
Other current liabilities | 530 | 617 | ' | ' |
Total current liabilities | 47,435 | 66,335 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Asset retirement obligation | 16,218 | 16,966 | ' | ' |
Deferred tax liabilities | 0 | 0 | ' | ' |
Debt and capital lease obligations | 20,167 | 19,355 | ' | ' |
Intercompany accounts payable | 2,068,856 | 1,999,562 | ' | ' |
Other non-current liabilities | 1,408 | 1,393 | ' | ' |
Total non-current liabilities | 2,106,649 | 2,037,276 | ' | ' |
Total liabilities | 2,154,084 | 2,103,611 | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Common stock | 0 | 0 | ' | ' |
Preferred stock | ' | 0 | ' | ' |
Additional paid-in capital | 149,857 | 149,857 | ' | ' |
Accumulated other comprehensive loss | 0 | 0 | ' | ' |
Accumulated deficit | -426,951 | -366,252 | ' | ' |
Total Molycorp stockholders’ equity | -277,094 | -216,395 | ' | ' |
Noncontrolling interests | 0 | 0 | ' | ' |
Total stockholders’ equity | -277,094 | -216,395 | ' | ' |
Total liabilities and stockholders’ equity | 1,876,990 | 1,887,216 | ' | ' |
Non-Guarantor Subsidiaries | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 121,625 | 138,705 | 150,645 | 193,210 |
Trade accounts receivable, net | 49,488 | 56,767 | ' | ' |
Inventory | 135,645 | 139,476 | ' | ' |
Prepaid expenses and other current assets | 16,735 | 13,377 | ' | ' |
Total current assets | 323,493 | 348,325 | ' | ' |
Non-current assets: | ' | ' | ' | ' |
Deposits | 0 | 0 | ' | ' |
Property, plant and equipment, net | 139,283 | 142,023 | ' | ' |
Inventory | 0 | 0 | ' | ' |
Intangible assets, net | 324,538 | 330,425 | ' | ' |
Investments | 14,725 | 14,741 | ' | ' |
Goodwill | 228,750 | 228,750 | ' | ' |
Investments in consolidated subsidiaries | 0 | 0 | ' | ' |
Intercompany accounts receivable | 37,083 | 0 | ' | ' |
Other non-current assets | 5,798 | 6,272 | ' | ' |
Total non-current assets | 750,177 | 722,211 | ' | ' |
Total assets | 1,073,670 | 1,070,536 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Trade accounts payable | 32,523 | 34,747 | ' | ' |
Accrued expenses | 14,718 | 16,561 | ' | ' |
Debt and capital lease obligations | 14,141 | 14,128 | ' | ' |
Other current liabilities | 3,052 | 3,446 | ' | ' |
Total current liabilities | 64,434 | 68,882 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Asset retirement obligation | 0 | 0 | ' | ' |
Deferred tax liabilities | 79,284 | 85,481 | ' | ' |
Debt and capital lease obligations | 4,693 | 5,193 | ' | ' |
Intercompany accounts payable | 0 | 2,021 | ' | ' |
Other non-current liabilities | 8,442 | 8,609 | ' | ' |
Total non-current liabilities | 92,419 | 101,304 | ' | ' |
Total liabilities | 156,853 | 170,186 | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Common stock | 0 | 0 | ' | ' |
Preferred stock | ' | 0 | ' | ' |
Additional paid-in capital | 1,315,426 | 1,315,426 | ' | ' |
Accumulated other comprehensive loss | -7,303 | -6,451 | ' | ' |
Accumulated deficit | -420,292 | -437,964 | ' | ' |
Total Molycorp stockholders’ equity | 887,831 | 871,011 | ' | ' |
Noncontrolling interests | 28,986 | 29,339 | ' | ' |
Total stockholders’ equity | 916,817 | 900,350 | ' | ' |
Total liabilities and stockholders’ equity | 1,073,670 | 1,070,536 | ' | ' |
Eliminations | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Trade accounts receivable, net | 0 | 0 | ' | ' |
Inventory | 0 | 0 | ' | ' |
Prepaid expenses and other current assets | 0 | 0 | ' | ' |
Total current assets | 0 | 0 | ' | ' |
Non-current assets: | ' | ' | ' | ' |
Deposits | 0 | 0 | ' | ' |
Property, plant and equipment, net | 0 | 0 | ' | ' |
Inventory | 0 | 0 | ' | ' |
Intangible assets, net | 0 | 0 | ' | ' |
Investments | 0 | 0 | ' | ' |
Goodwill | 0 | 0 | ' | ' |
Investments in consolidated subsidiaries | -610,737 | -654,616 | ' | ' |
Intercompany accounts receivable | -2,068,856 | -2,001,583 | ' | ' |
Other non-current assets | 0 | 0 | ' | ' |
Total non-current assets | -2,679,593 | -2,656,199 | ' | ' |
Total assets | -2,679,593 | -2,656,199 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Trade accounts payable | 0 | 0 | ' | ' |
Accrued expenses | 0 | 0 | ' | ' |
Debt and capital lease obligations | 0 | 0 | ' | ' |
Other current liabilities | 0 | 0 | ' | ' |
Total current liabilities | 0 | 0 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Asset retirement obligation | 0 | 0 | ' | ' |
Deferred tax liabilities | 0 | 0 | ' | ' |
Debt and capital lease obligations | 0 | 0 | ' | ' |
Intercompany accounts payable | -2,068,856 | -2,001,583 | ' | ' |
Other non-current liabilities | 0 | 0 | ' | ' |
Total non-current liabilities | -2,068,856 | -2,001,583 | ' | ' |
Total liabilities | -2,068,856 | -2,001,583 | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Common stock | 0 | 0 | ' | ' |
Preferred stock | ' | 0 | ' | ' |
Additional paid-in capital | -1,465,283 | -1,465,283 | ' | ' |
Accumulated other comprehensive loss | 7,303 | 6,451 | ' | ' |
Accumulated deficit | 847,243 | 804,216 | ' | ' |
Total Molycorp stockholders’ equity | -610,737 | -654,616 | ' | ' |
Noncontrolling interests | 0 | 0 | ' | ' |
Total stockholders’ equity | -610,737 | -654,616 | ' | ' |
Total liabilities and stockholders’ equity | ($2,679,593) | ($2,656,199) | ' | ' |
Condensed_Consolidating_Statem
Condensed Consolidating Statement of Operations and Comprehensive Income (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Revenues | $118,526 | $145,398 |
Costs of sales: | ' | ' |
Costs excluding depreciation and amortization | -125,473 | -135,531 |
Depreciation and amortization | -16,147 | -14,172 |
Gross loss | -23,094 | -4,305 |
Operating expenses: | ' | ' |
Selling, general and administrative | -17,956 | -26,551 |
Depreciation, amortization and accretion | -7,201 | -8,210 |
Research and development | -2,766 | -6,405 |
Operating loss | -51,017 | -45,471 |
Other expenses: | ' | ' |
Other income (expense) | 474 | -451 |
Interest (expense) income, net of capitalized interest | -35,639 | -11,649 |
Interest income (expense) from intercompany notes | 0 | 0 |
Equity (loss) income from consolidated subsidiaries | 0 | 0 |
Loss before income taxes and equity earnings | -86,182 | -57,571 |
Income tax benefit | 1,907 | 22,490 |
Equity in loss of affiliates | -1,723 | -3,072 |
Net loss | -85,998 | -38,153 |
Net income attributable to noncontrolling interests | -63 | -818 |
Net loss attributable to Molycorp stockholders | -86,061 | -38,971 |
Other comprehensive loss: | ' | ' |
Foreign currency translation adjustments | -852 | -3,294 |
Comprehensive loss | -86,850 | -41,447 |
Comprehensive loss attributable to: | ' | ' |
Molycorp stockholders | -86,787 | -40,629 |
Noncontrolling interest | -63 | -818 |
Parent | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Revenues | 0 | 0 |
Costs of sales: | ' | ' |
Costs excluding depreciation and amortization | 0 | 0 |
Depreciation and amortization | 0 | 0 |
Gross loss | 0 | 0 |
Operating expenses: | ' | ' |
Selling, general and administrative | -240 | 0 |
Depreciation, amortization and accretion | 0 | 0 |
Research and development | 0 | 0 |
Operating loss | -240 | 0 |
Other expenses: | ' | ' |
Other income (expense) | -18,271 | 0 |
Interest (expense) income, net of capitalized interest | -34,555 | -11,139 |
Interest income (expense) from intercompany notes | 10,355 | 9,651 |
Equity (loss) income from consolidated subsidiaries | -43,350 | -43,367 |
Loss before income taxes and equity earnings | -86,061 | -44,855 |
Income tax benefit | 0 | 5,884 |
Equity in loss of affiliates | 0 | 0 |
Net loss | -86,061 | -38,971 |
Net income attributable to noncontrolling interests | 0 | 0 |
Net loss attributable to Molycorp stockholders | -86,061 | -38,971 |
Other comprehensive loss: | ' | ' |
Foreign currency translation adjustments | 0 | 0 |
Comprehensive loss | -86,061 | -38,971 |
Comprehensive loss attributable to: | ' | ' |
Molycorp stockholders | -86,061 | -38,971 |
Noncontrolling interest | 0 | 0 |
Guarantor Subsidiaries | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Revenues | 17,230 | 21,609 |
Costs of sales: | ' | ' |
Costs excluding depreciation and amortization | -53,379 | -45,329 |
Depreciation and amortization | -12,127 | -7,430 |
Gross loss | -48,276 | -31,150 |
Operating expenses: | ' | ' |
Selling, general and administrative | -8,158 | -17,016 |
Depreciation, amortization and accretion | -1,045 | -1,709 |
Research and development | -143 | -1,960 |
Operating loss | -57,622 | -51,835 |
Other expenses: | ' | ' |
Other income (expense) | 16 | 0 |
Interest (expense) income, net of capitalized interest | -1,205 | -2,060 |
Interest income (expense) from intercompany notes | -504 | 1,644 |
Equity (loss) income from consolidated subsidiaries | 323 | 1,078 |
Loss before income taxes and equity earnings | -58,992 | -51,173 |
Income tax benefit | 0 | 19,450 |
Equity in loss of affiliates | -1,707 | -1,998 |
Net loss | -60,699 | -33,721 |
Net income attributable to noncontrolling interests | 0 | 0 |
Net loss attributable to Molycorp stockholders | -60,699 | -33,721 |
Other comprehensive loss: | ' | ' |
Foreign currency translation adjustments | 0 | 0 |
Comprehensive loss | -60,699 | -33,721 |
Comprehensive loss attributable to: | ' | ' |
Molycorp stockholders | -60,699 | -33,721 |
Noncontrolling interest | 0 | 0 |
Non-Guarantor Subsidiaries | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Revenues | 113,733 | 134,147 |
Costs of sales: | ' | ' |
Costs excluding depreciation and amortization | -84,531 | -100,560 |
Depreciation and amortization | -4,020 | -6,742 |
Gross loss | 25,182 | 26,845 |
Operating expenses: | ' | ' |
Selling, general and administrative | -9,558 | -9,535 |
Depreciation, amortization and accretion | -6,156 | -6,501 |
Research and development | -2,623 | -4,445 |
Operating loss | 6,845 | 6,364 |
Other expenses: | ' | ' |
Other income (expense) | 18,729 | -451 |
Interest (expense) income, net of capitalized interest | 121 | 1,550 |
Interest income (expense) from intercompany notes | -9,851 | -11,295 |
Equity (loss) income from consolidated subsidiaries | 0 | 0 |
Loss before income taxes and equity earnings | 15,844 | -3,832 |
Income tax benefit | 1,907 | -2,844 |
Equity in loss of affiliates | -16 | -1,074 |
Net loss | 17,735 | -7,750 |
Net income attributable to noncontrolling interests | -63 | -818 |
Net loss attributable to Molycorp stockholders | 17,672 | -8,568 |
Other comprehensive loss: | ' | ' |
Foreign currency translation adjustments | -852 | -3,294 |
Comprehensive loss | 16,883 | -11,044 |
Comprehensive loss attributable to: | ' | ' |
Molycorp stockholders | 16,946 | -10,226 |
Noncontrolling interest | -63 | -818 |
Eliminations | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Revenues | -12,437 | -10,358 |
Costs of sales: | ' | ' |
Costs excluding depreciation and amortization | 12,437 | 10,358 |
Depreciation and amortization | 0 | 0 |
Gross loss | 0 | 0 |
Operating expenses: | ' | ' |
Selling, general and administrative | 0 | 0 |
Depreciation, amortization and accretion | 0 | 0 |
Research and development | 0 | 0 |
Operating loss | 0 | 0 |
Other expenses: | ' | ' |
Other income (expense) | 0 | 0 |
Interest (expense) income, net of capitalized interest | 0 | 0 |
Interest income (expense) from intercompany notes | 0 | 0 |
Equity (loss) income from consolidated subsidiaries | 43,027 | 42,289 |
Loss before income taxes and equity earnings | 43,027 | 42,289 |
Income tax benefit | 0 | 0 |
Equity in loss of affiliates | 0 | 0 |
Net loss | 43,027 | 42,289 |
Net income attributable to noncontrolling interests | 0 | 0 |
Net loss attributable to Molycorp stockholders | 43,027 | 42,289 |
Other comprehensive loss: | ' | ' |
Foreign currency translation adjustments | 0 | 0 |
Comprehensive loss | 43,027 | 42,289 |
Comprehensive loss attributable to: | ' | ' |
Molycorp stockholders | 43,027 | 42,289 |
Noncontrolling interest | $0 | $0 |
Condensed_Consolidating_Statem1
Condensed Consolidating Statements of Cash Flows (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by (used in) operating activities | ($45,785) | ($36,628) |
Cash flows from investing activities: | ' | ' |
Loans to guarantor | ' | 0 |
Intercompany advances made | 0 | 0 |
Repayments from non-guarantor | 0 | ' |
Loans to non-guarantor | ' | 0 |
Investment in joint ventures | 0 | -3,423 |
Capital expenditures | -29,752 | -181,103 |
Other investing activities | 493 | -90 |
Net cash used in investing activities | -29,259 | -184,616 |
Cash flows from financing activities: | ' | ' |
Repayments of debt | -489 | -11,108 |
Net proceeds from sale of common stock | 0 | 248,147 |
Issuance of 5.50% Convertible Notes | 0 | 165,600 |
Payments of preferred dividends | -2,846 | -2,846 |
Dividend paid to noncontrolling interests | -435 | -1,286 |
Borrowings from non-guarantor | ' | 0 |
Borrowing from guarantor | ' | 0 |
Repayments to parent | 0 | ' |
Intercompany advances owed | 0 | 0 |
Other financing activities | 1,323 | -79 |
Net cash (used in) provided by financing activities | -2,447 | 398,428 |
Effect of exchange rate changes on cash | -776 | -140 |
Net change in cash and cash equivalents | -78,267 | 177,044 |
Cash and cash equivalents at beginning of the period | 314,317 | 227,790 |
Cash and cash equivalents at end of period | 236,050 | 404,834 |
Parent | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by (used in) operating activities | -33,089 | 17,211 |
Cash flows from investing activities: | ' | ' |
Loans to guarantor | ' | 0 |
Intercompany advances made | -55,041 | -193,454 |
Repayments from non-guarantor | 32,000 | ' |
Loans to non-guarantor | ' | 0 |
Investment in joint ventures | ' | 0 |
Capital expenditures | 0 | 0 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | -23,041 | -193,454 |
Cash flows from financing activities: | ' | ' |
Repayments of debt | 0 | 0 |
Net proceeds from sale of common stock | ' | 248,147 |
Issuance of 5.50% Convertible Notes | ' | 165,600 |
Payments of preferred dividends | -2,846 | -2,846 |
Dividend paid to noncontrolling interests | 0 | 0 |
Borrowings from non-guarantor | ' | 0 |
Borrowing from guarantor | ' | 0 |
Repayments to parent | 0 | ' |
Intercompany advances owed | 0 | 0 |
Other financing activities | 0 | 0 |
Net cash (used in) provided by financing activities | -2,846 | 410,901 |
Effect of exchange rate changes on cash | 0 | 0 |
Net change in cash and cash equivalents | -58,976 | 234,658 |
Cash and cash equivalents at beginning of the period | 169,145 | 16,560 |
Cash and cash equivalents at end of period | 110,169 | 251,218 |
Guarantor Subsidiaries | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by (used in) operating activities | -829 | -58,035 |
Cash flows from investing activities: | ' | ' |
Loans to guarantor | ' | 0 |
Intercompany advances made | 0 | 0 |
Repayments from non-guarantor | 0 | ' |
Loans to non-guarantor | ' | -1,300 |
Investment in joint ventures | ' | -3,423 |
Capital expenditures | -27,943 | -174,703 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | -27,943 | -179,426 |
Cash flows from financing activities: | ' | ' |
Repayments of debt | 0 | 0 |
Net proceeds from sale of common stock | ' | 0 |
Issuance of 5.50% Convertible Notes | ' | 0 |
Payments of preferred dividends | 0 | 0 |
Dividend paid to noncontrolling interests | 0 | 0 |
Borrowings from non-guarantor | ' | 40,000 |
Borrowing from guarantor | ' | 0 |
Repayments to parent | 0 | ' |
Intercompany advances owed | 25,238 | 182,491 |
Other financing activities | 1,323 | -79 |
Net cash (used in) provided by financing activities | 26,561 | 222,412 |
Effect of exchange rate changes on cash | 0 | 0 |
Net change in cash and cash equivalents | -2,211 | -15,049 |
Cash and cash equivalents at beginning of the period | 6,467 | 18,020 |
Cash and cash equivalents at end of period | 4,256 | 2,971 |
Non-Guarantor Subsidiaries | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by (used in) operating activities | -11,867 | 4,196 |
Cash flows from investing activities: | ' | ' |
Loans to guarantor | ' | -40,000 |
Intercompany advances made | 0 | 0 |
Repayments from non-guarantor | 0 | ' |
Loans to non-guarantor | ' | 0 |
Investment in joint ventures | ' | 0 |
Capital expenditures | -1,809 | -6,400 |
Other investing activities | 493 | -90 |
Net cash used in investing activities | -1,316 | -46,490 |
Cash flows from financing activities: | ' | ' |
Repayments of debt | -489 | -11,108 |
Net proceeds from sale of common stock | ' | 0 |
Issuance of 5.50% Convertible Notes | ' | 0 |
Payments of preferred dividends | 0 | 0 |
Dividend paid to noncontrolling interests | -435 | -1,286 |
Borrowings from non-guarantor | ' | 0 |
Borrowing from guarantor | ' | 1,300 |
Repayments to parent | -32,000 | ' |
Intercompany advances owed | 29,803 | 10,963 |
Other financing activities | 0 | 0 |
Net cash (used in) provided by financing activities | -3,121 | -131 |
Effect of exchange rate changes on cash | -776 | -140 |
Net change in cash and cash equivalents | -17,080 | -42,565 |
Cash and cash equivalents at beginning of the period | 138,705 | 193,210 |
Cash and cash equivalents at end of period | 121,625 | 150,645 |
Eliminations | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by (used in) operating activities | 0 | 0 |
Cash flows from investing activities: | ' | ' |
Loans to guarantor | ' | 40,000 |
Intercompany advances made | 55,041 | 193,454 |
Repayments from non-guarantor | -32,000 | ' |
Loans to non-guarantor | ' | 1,300 |
Investment in joint ventures | ' | 0 |
Capital expenditures | 0 | 0 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | 23,041 | 234,754 |
Cash flows from financing activities: | ' | ' |
Repayments of debt | 0 | 0 |
Net proceeds from sale of common stock | ' | 0 |
Issuance of 5.50% Convertible Notes | ' | 0 |
Payments of preferred dividends | 0 | 0 |
Dividend paid to noncontrolling interests | 0 | 0 |
Borrowings from non-guarantor | ' | -40,000 |
Borrowing from guarantor | ' | -1,300 |
Repayments to parent | 32,000 | ' |
Intercompany advances owed | -55,041 | -193,454 |
Other financing activities | 0 | 0 |
Net cash (used in) provided by financing activities | -23,041 | -234,754 |
Effect of exchange rate changes on cash | 0 | 0 |
Net change in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents at beginning of the period | 0 | 0 |
Cash and cash equivalents at end of period | $0 | $0 |