Investment in Marketable Securities

3 Months Ended

Mar. 31, 2012

Investment in Marketable Securities [Abstract]

INVESTMENT IN MARKETABLE SECURITIES

INVESTMENTS IN MARKETABLE SECURITIES

The Company classifies the marketable securities in which it invests as available-for-sale securities. Such securities are measured at fair market value in the financial statements with unrealized gains or losses recorded in other comprehensive income (loss). At the time securities are sold or otherwise disposed of, gains or losses are included in net income. The equity securities reflected in the table below consist of equity securities of silver exploration and development companies that the Company purchased. The following table summarizes the Company’s available-for-sale securities on hand as of March 31, 2012 and December 31, 2011 (in thousands):

	Investments in marketable securities
	Cost		Gross Unrealized Losses			Gross Unrealized Gains		Estimated Fair Value
Marketable securities at March 31, 2012	$	24,819	$	(4,551	)	$	—	$	20,268
Marketable securities at December 31, 2011	$	24,819	$	(4,975	)	$	—	$	19,844

In the three months ended March 31, 2012 and 2011, the Company recognized an unrealized gain of $0.4 million and nil, respectively, in other comprehensive income (loss). The Company performs a quarterly assessment on each of their marketable securities with unrealized losses to determine if the security is other than temporarily impaired. The Company has the intent and ability to hold these investments until they recover or increase in value. The Company’s management team uses industry knowledge and expertise and has determined that these unrealized losses are not other than temporary based on a review of the potential for each company in which it currently holds investments.

Gross realized gains and losses are based on cost, net of discount or premium of investments sold. There were no realized gains or losses in any of the periods presented.

In addition, the Company had $1.3 million and $20.3 million of short-term investments at March 31, 2012 and December 31, 2011, respectively. These investments are primarily in certificates of deposit with various banks and all have maturity dates of less that one year.