DISCONTINUED OPERATIONS

9 Months Ended

Sep. 30, 2015

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

NOTE 8     DISCONTINUED OPERATIONS

Discontinued operations includes a retained royalty obligation (“Holt”) to Holloway Mining Company. Holloway Mining Company, which owned the Holt-McDermott property, was sold to St. Andrew Goldfields Ltd. (“St. Andrew”) in 2006. The Company records adjustments based on short and long-term gold prices, discount rate assumptions and reserve and resource estimates published by St. Andrew.

During the third quarter and first nine months of 2015, the Company recorded a benefit of $17 and a benefit of $34, net of tax expense of $7 and expense of $15, respectively. During the third quarter and first nine months of 2014, the Company recorded a benefit of $3 and a charge of $16, net of tax expense of $2 and benefit of $7, respectively.

Net operating cash used in discontinued operations of $9 and $10 in the first nine monthsof 2015 and 2014 respectively, relates to payments on the Holt property royalty.