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EXHIBIT 99.1
FALCONBRIDGE LIMITED
CONSOLIDATED STATEMENT OF INCOME
(US$ millions, unaudited)
| Three months ended March 31 | |||||||
---|---|---|---|---|---|---|---|---|
| 2006 | 2005 | ||||||
Revenues | $ | 2,858 | $ | 1,894 | ||||
Operating expenses | ||||||||
Mining, processing and refining costs | 743 | 595 | ||||||
Purchased raw materials | 1,207 | 722 | ||||||
Depreciation, amortization and accretion | 169 | 118 | ||||||
2,119 | 1,435 | |||||||
Income generated by operating assets | 739 | 459 | ||||||
Interest expense, net | 32 | 28 | ||||||
Corporate and general administration | 24 | 17 | ||||||
Research, development and exploration | 11 | 11 | ||||||
Minority interest in earnings of subsidiaries | 2 | 94 | ||||||
Income before undernoted | 670 | 309 | ||||||
Other expense (income) | (14 | ) | 1 | |||||
Tax expense | 222 | 124 | ||||||
Net income from continuing operations | $ | 462 | $ | 184 | ||||
Discontinued operations, net of tax | — | 8 | ||||||
Net income | $ | 462 | $ | 176 | ||||
Dividends on preferred shares | 6 | 3 | ||||||
Net income attributable to common shares | $ | 456 | $ | 173 | ||||
Net income per common share — Basic | ||||||||
Continuing operations | $ | 1.23 | $ | 0.61 | ||||
Discontinued operations | — | (0.03 | ) | |||||
Net income | $ | 1.23 | $ | 0.58 | ||||
Net income per common share — Diluted | ||||||||
Continuing operations | $ | 1.21 | $ | 0.60 | ||||
Discontinued operations | — | (0.03 | ) | |||||
Net income | $ | 1.21 | $ | 0.57 | ||||
Basic weighted average number of shares — 000s | 371,729 | 296,856 | ||||||
Diluted weighted average number of shares — 000s | 378,694 | 304,815 |
FALCONBRIDGE LIMITED
CONSOLIDATED BALANCE SHEETS
(US$ millions, unaudited)
| Mar. 31 2006 | Dec. 31 2005 | |||||
---|---|---|---|---|---|---|---|
Assets | |||||||
Current assets | |||||||
Cash and cash equivalents | $ | 1,000 | $ | 886 | |||
Accounts receivable | 1,269 | 1,007 | |||||
Metals and other inventories | 1,788 | 1,708 | |||||
4,057 | 3,601 | ||||||
Operating capital assets | 6,728 | 6,803 | |||||
Development projects | 1,794 | 1,707 | |||||
Investments and other assets | 297 | 307 | |||||
$ | 12,876 | $ | 12,418 | ||||
Liabilities and Shareholders' Equity | |||||||
Current Liabilities | |||||||
Accounts and taxes payable | $ | 1,668 | $ | 1,691 | |||
Debt due within one year (Note 8) | 853 | 353 | |||||
2,521 | 2,044 | ||||||
Long-term debt | 2,534 | 2,598 | |||||
Preferred share liabilities | 376 | 876 | |||||
Future income taxes | 1,264 | 1,156 | |||||
Asset retirement obligation, pension and other provisions | 651 | 659 | |||||
Stockholders' interests: | |||||||
Interests of other shareholders | 56 | 54 | |||||
Shareholders' equity (Note 9) | 5,474 | 5,031 | |||||
$ | 12,876 | $ | 12,418 | ||||
FALCONBRIDGE LIMITED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(US$ millions, unaudited)
| Three months ended March 31 | ||||||||
---|---|---|---|---|---|---|---|---|---|
| 2006 | 2005 | |||||||
Cash realized from (used for): | |||||||||
Operations | |||||||||
Net income | $ | 462 | $ | 176 | |||||
Charges (credits) not affecting cash: | |||||||||
Depreciation and amortization | 158 | 125 | |||||||
Future taxes | 63 | 75 | |||||||
Minority interest | 2 | 94 | |||||||
Foreign exchange, and other | (17 | ) | (19 | ) | |||||
668 | 451 | ||||||||
Net change in accounts receivable, inventories and payables | (322 | ) | (66 | ) | |||||
Cash from operations | 346 | 385 | |||||||
Investment activities | |||||||||
Capital investments | (156 | ) | (110 | ) | |||||
Investments and advances | — | (3 | ) | ||||||
Proceeds on dispositions | 11 | 3 | |||||||
Cash used in investment activities | (145 | ) | (110 | ) | |||||
Financing activities | |||||||||
Long-term debt, including current portion | |||||||||
Issued | 1 | 13 | |||||||
Repaid | (57 | ) | (154 | ) | |||||
Issue of shares — common | 14 | 8 | |||||||
Dividends paid | (45 | ) | (33 | ) | |||||
Issue of shares — minority shareholders | — | 16 | |||||||
Dividends paid to minority shareholders | — | (9 | ) | ||||||
(87 | ) | (159 | ) | ||||||
Increase in cash and cash equivalents | 114 | 116 | |||||||
Cash and cash equivalents, beginning of period | 886 | 884 | |||||||
Cash and cash equivalents, end of period | $ | 1,000 | $ | 1,000 | |||||
FALCONBRIDGE PRODUCTION AND SALES VOLUMES SUMMARY FOR THREE MONTHS ENDING MARCH 31
| Copper Bus. Unit | Nickel Bus. Unit | Zinc Bus. Unit | Aluminum Bus. Unit | | | ||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2006 Q1 | 2005 Q1 | 2006 Q1 | 2005 Q1 | 2006 Q1 | 2005 Q1 | 2006 Q1 | 2005 Q1 | TOTAL 2006 Q1 | TOTAL 2005 Q1 | ||||||||||||
| (tonnes or thousands of ounces) | |||||||||||||||||||||
PRODUCTION (contained basis) | ||||||||||||||||||||||
Mine | ||||||||||||||||||||||
Copper | 104,834 | 106,938 | 8,900 | 8,561 | 2,306 | 1,335 | — | — | 116,040 | 116,834 | ||||||||||||
Nickel | — | — | 12,639 | 14,050 | — | — | — | — | 12,639 | 14,050 | ||||||||||||
Ferronickel | — | — | 6,879 | 6,474 | — | — | — | — | 6,879 | 6,474 | ||||||||||||
Zinc | 37,563 | 47,598 | — | — | 64,810 | 67,067 | — | — | 102,373 | 114,665 | ||||||||||||
Lead | — | — | — | — | 19,005 | 18,893 | — | — | 19,005 | 18,893 | ||||||||||||
Bauxite (tonnes of bauxite) | — | — | — | — | — | — | 627,531 | 462,917 | 627,531 | 462,917 | ||||||||||||
Alumina (contained Al) | — | — | — | — | — | — | 145,931 | 150,876 | 145,931 | 150,876 | ||||||||||||
Molybdenum | 842 | 431 | — | — | — | — | — | — | 842 | 431 | ||||||||||||
Cobalt | — | — | 287 | 305 | — | — | — | — | 287 | 305 | ||||||||||||
Silver | 1,868 | 1,749 | — | — | 1,707 | 1,638 | — | — | 3,575 | 3,387 | ||||||||||||
Smelter | ||||||||||||||||||||||
Copper — anodes | 151,167 | 125,611 | — | — | — | — | — | — | 151,167 | 125,611 | ||||||||||||
Refined | ||||||||||||||||||||||
Copper — cathodes | 143,070 | 121,585 | 10,079 | 8,952 | — | — | — | — | 153,149 | 130,537 | ||||||||||||
Nickel | — | — | 21,547 | 21,456 | — | — | — | — | 21,547 | 21,456 | ||||||||||||
Ferronickel | — | — | 6,879 | 6,474 | — | — | — | — | 6,879 | 6,474 | ||||||||||||
Zinc | 37,336 | 37,965 | — | — | 15,421 | 16,713 | — | — | 52,757 | 54,678 | ||||||||||||
Lead | — | — | — | — | 22,399 | 21,594 | — | — | 22,399 | 21,594 | ||||||||||||
Aluminum | — | — | — | — | — | — | 62,334 | 61,373 | 62,334 | 61,373 | ||||||||||||
Molybdenum | — | — | — | — | — | — | — | — | — | — | ||||||||||||
Cobalt | — | — | 1,310 | 1,330 | — | — | — | — | 1,310 | 1,330 | ||||||||||||
Silver | 8,940 | 8,210 | — | — | — | — | — | — | 8,940 | 8,210 | ||||||||||||
Gold | 228 | 213 | — | — | — | — | — | — | 228 | 213 | ||||||||||||
Fabricated Products | ||||||||||||||||||||||
Aluminum Sheet and Foil | — | — | — | — | — | — | 46,413 | 45,614 | 46,413 | 45,614 |
| Copper Bus. Unit | Nickel Bus. Unit | Zinc Bus. Unit | Aluminum Bus. Unit | | | ||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2006 Q1 | 2005 Q1 | 2006 Q1 | 2005 Q1 | 2006 Q1 | 2005 Q1 | 2006 Q1 | 2005 Q1 | TOTAL 2006 Q1 | TOTAL 2005 Q1 | ||||||||||||
| (tonnes or thousands of ounces) | |||||||||||||||||||||
SALES1 (payable basis) | ||||||||||||||||||||||
Mine | ||||||||||||||||||||||
Copper | 70,027 | 59,645 | 2,516 | 6,679 | — | — | — | — | 72,543 | 66,324 | ||||||||||||
Nickel | — | — | — | — | — | — | — | — | — | — | ||||||||||||
Zinc | 6,335 | 15,150 | — | — | 68,359 | 94,823 | — | — | 74,694 | 109,973 | ||||||||||||
Lead | — | — | — | — | 6,631 | 4,751 | — | — | 6,631 | 4,751 | ||||||||||||
Bauxite (tonnes of bauxite) | — | — | — | — | — | — | 251,221 | 207,552 | 251,221 | 207,552 | ||||||||||||
Alumina (contained Al) | — | — | — | — | — | — | 86,841 | 89,656 | 86,841 | 89,656 | ||||||||||||
Molybdenum | 939 | 592 | — | — | — | — | — | — | 939 | 592 | ||||||||||||
Cobalt | — | — | — | — | — | — | — | — | — | — | ||||||||||||
Silver | 459 | 380 | — | — | 398 | 328 | — | — | 857 | 708 | ||||||||||||
Smelter | ||||||||||||||||||||||
Copper — anodes | 60,420 | 31,198 | — | — | — | — | — | — | 60,420 | 31,198 | ||||||||||||
Refined | ||||||||||||||||||||||
Copper — cathodes | 150,373 | 119,951 | 10,653 | 8,798 | — | — | — | — | 161,026 | 128,749 | ||||||||||||
Nickel | — | — | 21,372 | 21,266 | — | — | — | — | 21,372 | 21,266 | ||||||||||||
Ferronickel | — | — | 8,234 | 6,515 | — | — | — | — | 8,234 | 6,515 | ||||||||||||
Zinc | 35,152 | 40,932 | — | — | — | — | — | — | 35,152 | 40,932 | ||||||||||||
Lead | — | — | — | — | 23,030 | 21,723 | — | — | 23,030 | 21,723 | ||||||||||||
Aluminum | — | — | — | — | — | — | 56,419 | 56,628 | 56,419 | 56,628 | ||||||||||||
Cobalt | — | — | 1,072 | 874 | — | — | — | — | 1,072 | 874 | ||||||||||||
Silver | 8,571 | 8,314 | — | — | — | — | — | — | 8,571 | 8,314 | ||||||||||||
Gold | 158 | 184 | — | — | — | — | — | — | 158 | 184 | ||||||||||||
Fabricated Products | ||||||||||||||||||||||
Aluminum Sheet and Foil | — | — | — | — | — | — | 46,413 | 45,614 | 46,413 | 45,614 |
REALIZED PRICES2 | 2006 Q1 | 2005 Q1 | |||
---|---|---|---|---|---|
Copper (US$/lb) | 2.29 | 1.54 | |||
Nickel (US$/lb) | 6.84 | 7.03 | |||
Ferronickel (US$/lb) | 6.63 | 6.70 | |||
Zinc (US$/lb) | 1.07 | 0.63 | |||
Lead (US$/lb) | 0.63 | 0.49 | |||
Aluminum (US$/lb) | 1.13 | 0.92 | |||
Molybdenum (US$/lb) | 22.25 | 30.43 | |||
Cobalt (US$/lb) | 12.41 | 17.44 | |||
Silver (US$/oz) | 9.33 | 7.17 | |||
Gold (US$/oz) | 551.88 | 434.59 | |||
REALIZED EXCHANGE RATE | |||||
US$ equivalent of Cdn$1.00 | 0.87 | 0.82 |
Note: 2005 production and sales figures have been restated to conform to the current year's presentation.
Note 1: Sales are defined as sales to third parties and are net of all intra-company transfers.
Note 2: Realized prices are the average from all sales across all business units
Detailed production and sales volume reports by business unit are available in the Supplemental Slides presentation accessible on Falconbridge's website at www.falconbridge.com in the Investor Relations >> Quarterly Earnings section.
Louvicourt Mine Production — 2005
Not included in the above totals are Falconbridge's share of production from the now closed Louvicourt copper/ zinc mine. The Louvicourt mine produced the following volumes of metal contained in concentrate that was transferred to the Horne smelter.
(Falconbridge's equity share of contained tonnes or millions of ounces)
Production: | Q1 - 2005 | |
---|---|---|
Copper | 3,321 | |
Zinc | 2,588 | |
Silver | 66 |
FALCONBRIDGE LIMITED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Millions of US dollars, except per share amounts and as otherwise indicated)
(Unaudited)
1. ACCOUNTING POLICIES
These unaudited interim consolidated financial statements have been prepared using disclosure standards appropriate for interim financial statements and do not contain all the explanatory notes, descriptions of accounting policies or other disclosures required by Canadian generally accepted accounting principles for annual financial statements. Such notes, descriptions of accounting policies and other disclosures have been included in Falconbridge Limited's 2005 annual consolidated financial statements. Accordingly, these unaudited interim consolidated financial statements should be read in conjunction with Falconbridge's audited annual consolidated financial statements and the accompanying notes included in the 2005 Annual Report.
As is further described in Note 2, during 2005 Noranda Inc. ("Noranda") acquired all of the issued and outstanding common shares of Falconbridge Limited ("the former Falconbridge") that it did not previously own. On June 30, 2005, Noranda amalgamated with the former Falconbridge and the newly amalgamated company ("Falconbridge" or the "Company") was continued under the name Falconbridge Limited.
2. BUSINESS COMBINATION
On June 30, 2005, the Company completed the two-step acquisition of 41.5% of all the issued and outstanding common shares of the former Falconbridge that it did not previously own, pursuant to the offer to purchase dated March 9, 2005. The acquisition was completed by way of an amalgamation of Noranda Inc. and the former Falconbridge Limited ("the Amalgamation") and the newly amalgamated company is continued under the name, Falconbridge Limited. The acquisition was done on a share-exchange basis with one common share of the former Falconbridge exchanged for 1.77 common shares of the Company. The former Falconbridge is a producer of nickel, copper, cobalt and platinum and has mining and metallurgical operations mainly in Canada and South America.
The first step of the acquisition was completed on May 5, 2005 when the Company successfully acquired 32.3% of all the issued and outstanding common shares of the former Falconbridge, increasing its ownership to 90.8% of the outstanding former Falconbridge common shares. On June 30, 2005, the Company completed the second step of the acquisition by proceeding with its intent to acquire the remaining 9.2% of the former Falconbridge common shares and assumed 100% of the preferred shares and stock options obligations of the former Falconbridge. The results of operation of the former Falconbridge from January 1, 2005 to May 4, 2005 have been included in the Company's consolidated statements of earnings at 58.5% and from May 5, 2005 to June 30, 2005 at 90.8%. Beginning July 1, 2005, 100% of the results from operations have been included in the Company's consolidated statement of earnings.
The acquisition has been accounted for using the purchase method, whereby the purchase consideration was allocated to the estimated fair values of the assets acquired and liabilities assumed on the date of acquisition. The Company has not yet finalized the allocation of the purchase cost for the acquisition. The allocation of the purchase price related to this acquisition is preliminary and will be refined as information relating to the valuation of operating capital assets and development projects is finalized.
3. STOCK-BASED COMPENSATION
The Company has a stock option plan through which options may be granted to directors, officers and employees for the purchase of common shares. On the date of grant, the value associated with granted stock options is established using the Black-Scholes valuation model. The value is being charged to net income over its vesting periods.
No new stock options were granted by the Company during the three months ended March 31, 2006. Corporate and general administration, for the three months ended March 31, 2006, include compensation costs of $2 (2005 — $1), relating to outstanding options.
4. EXCHANGE GAINS AND LOSSES ON HEDGES OF FOREIGN-DENOMINATED EXPOSURES
The majority of the Company's products are denominated in US dollars or indexed to US dollar prices. In addition, operating costs of the Company's assets are also denominated in their local currency and exposed to exchange volatility. From time to time, the Company may hedge its local currency costs using foreign currency exchange contracts.
The Company's operating costs for the three months ended March 31, 2006 include realized exchange losses of $1 (2005 — gains of $20) from the settlement of various cost hedge contracts.
Hedges of the foreign currency denominated monetary assets and liabilities, generated a gain of $13 (2005 — $1) for the three months ended March 31, 2006.
5. CAPITALIZED INTEREST
During the three months ended March 31, 2006, the Company capitalized $18 of interest costs associated with projects under development (2005 — $9).
6. POST — EMPLOYMENT BENEFITS
Post-employment benefit expenses for the three months ended March 31, 2006 and 2005 are summarized as follows:
Three months ended March 31, | 2006 | 2005 | ||
---|---|---|---|---|
Defined benefit plans | 8 | 14 | ||
Defined contribution plans | 4 | 3 | ||
Other benefits plans | 9 | 7 | ||
21 | 24 | |||
7. SHAREHOLDERS' RIGHTS PLAN
On March 21, 2006, the Company enacted a new shareholder rights plan, designed to prevent a bidder from acquiring control of the Company in a manner detrimental to shareholders. The rights issued under the rights plan become exercisable when a person, together with any parties related to it, acquires or announces its intention to acquire 20% or more of the Company's outstanding common shares without complying with the "Permitted Bid" provisions of the rights plan or without approval of the Board of Directors of the Corporation. Should such an acquisition occur, rights holders (other than the acquiring person and related persons) can purchase common shares of the Corporation at half the prevailing market price at the time the rights become exercisable. Under the rights plan, a Permitted Bid is a bid made to all holders of the Corporation's common shares for all of their shares. If at the expiry of the bid at least 50% of the outstanding shares, other than those owned by the offeror and certain related parties have been tendered, the offeror may take up and pay for the shares. The rights plan will not prevent an offer made to all shareholders for all of their shares.
8. PREFERRED SHARES LIABILITIES
On March 16, 2006, the Company announced that it will redeem a total of 20 million or $500, of its outstanding Junior Preference Shares on April 26, 2006 based upon shareholders of record on March 22, 2006. The Company will redeem 8 million Junior Preference Shares, Series 1, 8 million Junior Preference Shares, Series 2, and 4 million Junior Preference Shares, Series 3. Each Junior Preference Share will be redeemed at a price of $25.25 plus accrued and unpaid dividends for the period from April 1, 2006 to and including April 25, 2006. The Company will use cash balances to fund the redemption. This amount has been classified as a current liability as at March 31, 2006.
9. SHAREHOLDERS' EQUITY
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
(US$ millions)
| For the three month period ended March 31, 2006 | For the year ended December 31, 2005 | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Shares (000) | Amount | Shares (000) | Amount | |||||||||||
Share capital | |||||||||||||||
Authorized — an unlimited number of: | |||||||||||||||
Preferred, Common and Participating shares | |||||||||||||||
Issued: | |||||||||||||||
Common Shares | |||||||||||||||
Balance, beginning of period | 370,688 | $ | 4,264 | 296,970 | $ | 2,107 | |||||||||
Issued on exercise of stock options | 1,171 | 20 | 3,486 | 52 | |||||||||||
Issued under dividend re-investment | — | — | 65 | 1 | |||||||||||
Issued upon conversion of debentures | 421 | 12 | 703 | 21 | |||||||||||
Repurchased | — | — | (63,377 | ) | (451 | ) | |||||||||
Issued under amalgamation (Note 2) | — | — | 132,841 | 2,534 | |||||||||||
Balance, end of period | 372,280 | $ | 4,296 | 370,688 | $ | 4,264 | |||||||||
Preferred Shares, Series F | |||||||||||||||
Balance beginning and end of period | 3,246 | 59 | 3,246 | 59 | |||||||||||
Preferred Shares, Series G | |||||||||||||||
Balance beginning and end of period | 8,754 | 137 | 8,754 | 137 | |||||||||||
Preferred Shares, Series 1 | |||||||||||||||
Balance, beginning of period | 90 | 1 | — | — | |||||||||||
Assumed through amalgamation (Note 2) | — | — | 90 | 1 | |||||||||||
Balance, end of period | 90 | 1 | 90 | 1 | |||||||||||
Preferred Shares, Series 2 | |||||||||||||||
Balance, beginning of period | 4,787 | 78 | — | — | |||||||||||
Assumed through amalgamation (Note 2) | — | — | 4,787 | 78 | |||||||||||
Balance, end of period | 4,787 | 78 | 4,787 | 78 | |||||||||||
Preferred Shares, Series 3 | |||||||||||||||
Balance, beginning of period | 3,123 | 51 | — | — | |||||||||||
Assumed through amalgamation (Note 2) | — | — | 3,123 | 51 | |||||||||||
Balance, end of period | 3,123 | 51 | 3,123 | 51 | |||||||||||
Contributed Surplus | |||||||||||||||
Equity component of the convertible debentures | 34 | 37 | |||||||||||||
Stock option valuation | 7 | 10 | |||||||||||||
41 | 47 | ||||||||||||||
Basic weighted average number of shares — 000s | 371,729 | 339,756 | |||||||||||||
Diluted weighted average number of shares — 000s | 378,694 | 346,174 | |||||||||||||
Retained earnings: | |||||||||||||||
Balance beginning of period | $ | 154 | $ | 231 | |||||||||||
Net income | 462 | 872 | |||||||||||||
Dividends: Common | (39 | ) | (133 | ) | |||||||||||
Preferred | (6 | ) | (17 | ) | |||||||||||
Cost of shares repurchased in excess of their stated values | — | (799 | ) | ||||||||||||
Balance, end of period | 571 | 154 | |||||||||||||
Currency translation at end of period | 240 | 240 | |||||||||||||
Total shareholders' equity | $ | 5,474 | $ | 5,031 | |||||||||||
10. SEGMENTED INFORMATION
The Company has four operating segments: Copper, Nickel, Zinc and Aluminum. Inter-segment sales and purchases are made at market prices and trade terms. Operating results and identifiable assets are presented below:
| Three Months ended March 31, 2006 | ||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Copper | Nickel | Zinc | Aluminum | Other | Total | |||||||||
Revenues | $ | 1,768 | 581 | 199 | 310 | — | $ | 2,858 | |||||||
Operating expenses | |||||||||||||||
Mining, processing and refining costs | 320 | 214 | 52 | 156 | 1 | 743 | |||||||||
Purchase of raw materials | 871 | 166 | 76 | 94 | — | 1,207 | |||||||||
Depreciation, amortization and accretion | 88 | 53 | 7 | 13 | 8 | 169 | |||||||||
$ | 1,279 | 433 | 135 | 263 | 9 | $ | 2,119 | ||||||||
Income (loss) generated by operating assets | $ | 489 | 148 | 64 | 47 | (9 | ) | $ | 739 | ||||||
Interest expense, net | (32 | ) | |||||||||||||
Corporate and general administration | (24 | ) | |||||||||||||
Research, development and exploration | (11 | ) | |||||||||||||
Minority interest in earnings of subsidiaries | (2 | ) | |||||||||||||
Income before undernoted | $ | 670 | |||||||||||||
Other income | 14 | ||||||||||||||
Tax expense | (222 | ) | |||||||||||||
Net Income | $ | 462 | |||||||||||||
Total assets,excluding cash and cash equivalents | $ | 6,306 | 3,395 | 416 | 1,065 | 694 | $ | 11,876 | |||||||
Capital investments | $ | 56 | 84 | 3 | 7 | 6 | $ | 156 | |||||||
| Three Months ended March 31, 2005 | ||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Copper | Nickel | Zinc | Aluminum | Other | Total | |||||||||
Revenues | $ | 968 | 535 | 119 | 271 | 1 | $ | 1,894 | |||||||
Operating expenses | |||||||||||||||
Mining, processing and refining costs | 242 | 170 | 50 | 139 | (6 | ) | 595 | ||||||||
Purchase of raw materials | 440 | 142 | 54 | 85 | 1 | 722 | |||||||||
Depreciation, amortization and accretion | 55 | 29 | 9 | 12 | 13 | 118 | |||||||||
$ | 737 | 341 | 113 | 236 | 8 | $ | 1,435 | ||||||||
Income (loss) generated by operating assets | $ | 231 | 194 | 6 | 35 | (7 | ) | $ | 459 | ||||||
Interest expense, net | (28 | ) | |||||||||||||
Corporate and general administration | (17 | ) | |||||||||||||
Research, development and exploration | (11 | ) | |||||||||||||
Minority interest in earnings of subsidiaries | (94 | ) | |||||||||||||
Income before undernoted | $ | 309 | |||||||||||||
Other expense | (9 | ) | |||||||||||||
Tax expense | (124 | ) | |||||||||||||
Gain on sale of investment | |||||||||||||||
Net income | $ | 176 | |||||||||||||
Total assets,excluding cash and cash equivalents | $ | 4,550 | 2,047 | 394 | 1,008 | 783 | $ | 8,782 | |||||||
Capital investments | $ | 48 | 48 | 1 | 7 | 6 | $ | 110 | |||||||
11. Comparative Figures
The comparative consolidated financial statements have been reclassified from statements previously presented to conform to the presentation of the 2006 consolidated statements.
FALCONBRIDGE LIMITED CONSOLIDATED STATEMENT OF INCOME (US$ millions, unaudited)
FALCONBRIDGE LIMITED CONSOLIDATED BALANCE SHEETS (US$ millions, unaudited)
FALCONBRIDGE LIMITED CONSOLIDATED STATEMENTS OF CASH FLOWS (US$ millions, unaudited)
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (US$ millions)