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SEGMENTED INFORMATION
9 Months Ended
Sep. 30, 2013
SEGMENTED INFORMATION  
SEGMENTED INFORMATION

12.   SEGMENTED INFORMATION

  • Agnico Eagle operates in a single industry, the exploration for and production of gold. The Company's primary operations are in Canada, Mexico and Finland. The Company identifies its reportable segments as those operations whose operating results are reviewed by the Chief Executive Officer and that represent more than 10% of the combined revenue, profit or loss or total assets of all operating segments. The following are the reportable segments of the Company and reflect how the Company manages its business and how it classifies its operations for planning and measuring performance:

 

Canada:

  LaRonde mine, Lapa mine, Goldex mine, Meadowbank mine, Meliadine project and the Regional office
 

Latin America:

  Pinos Altos mine, Creston Mascota deposit at Pinos Altos, the La India project and the Urastar properties
 

Europe:

  Kittila mine
 

Exploration:

  United States Exploration office, Europe Exploration office, Canada Exploration offices and the Latin America Exploration office
  • The accounting policies of the reportable segments are the same as those described in the accounting policies note. There are no transactions between the reportable segments affecting revenue. Production costs for the reportable segments are net of intercompany transactions. Of the $235.4 million of goodwill reflected on the interim unaudited consolidated balance sheets at September 30, 2013, $200.1 million relates to the Meliadine project which is a component of the Canada segment, $29.2 million relates to the La India project which is a component of the Latin America segment and $6.1 million relates to the May 16, 2013 acquisition of Urastar Gold Corporation which is a component of the Latin America segment.

    Corporate head office assets are included in the Canada segment and specific corporate income and expense items are noted separately below.

 
Three Months Ended
September 30, 2013
  Revenues
from
Mining
Operations
  Production
Costs
  Exploration and
Corporate
Development
  Amortization of
Property, Plant
and Mine
Development
  Foreign
Currency
Translation
(Loss) Gain
  Segment
Income
(Loss)
 
 

Canada

  $ 291,438   $ (166,537 ) $   $ (57,576 ) $ (4,617 ) $ 62,708  
 

Latin America

    88,449     (39,584 )       (11,275 )   2,578     40,168  
 

Europe

    64,433     (25,414 )       (7,203 )   (12,153 )   19,663  
 

Exploration

            (15,550 )       7,685     (7,865 )
                             
 

 

  $ 444,320   $ (231,535 ) $ (15,550 ) $ (76,054 ) $ (6,507 ) $ 114,674  
                             
 

Segment income

  $ 114,674  
 

Corporate and other:

       
 

Interest and sundry income

    141  
 

Impairment loss on available-for-sale securities

    (299 )
 

Gain on derivative financial instruments

    3,404  
 

General and administrative

    (24,205 )
 

Interest expense

    (14,924 )
                                       
 

Income before income and mining taxes

  $ 78,791  
                                       


 

 
Three Months Ended
September 30, 2012
  Revenues
from
Mining
Operations
  Production
Costs
  Exploration and
Corporate
Development
  Amortization of
Property, Plant
and Mine
Development
  Foreign
Currency
Translation
Loss
  Segment
Income
(Loss)
 
 

Canada

  $ 336,011   $ (160,405 ) $ (11,947 ) $ (51,656 ) $ (11,215 ) $ 100,788  
 

Latin America

    124,084     (36,917 )       (8,816 )   (4,177 )   74,174  
 

Europe

    75,741     (23,086 )       (7,846 )   (561 )   44,248  
 

Exploration

            (24,076 )       (312 )   (24,388 )
                             
 

 

  $ 535,836   $ (220,408 ) $ (36,023 ) $ (68,318 ) $ (16,265 ) $ 194,822  
                             
 

Segment income

  $ 194,822  
 

Corporate and other:

       
 

Interest and sundry expense

    (3,200 )
 

Impairment loss on available-for-sale securities

    (600 )
 

Gain on derivative financial instruments

    1,674  
 

General and administrative

    (25,416 )
 

Interest expense

    (14,933 )
                                       
 

Income before income and mining taxes

  $ 152,347  
                                       


 

 
Nine Months Ended
September 30, 2013
  Revenues
from
Mining
Operations
  Production
Costs
  Exploration and
Corporate
Development
  Amortization of
Property, Plant
and Mine
Development
  Foreign
Currency
Translation
Gain (Loss)
  Segment
Income
(Loss)
 
 

Canada

  $ 783,377   $ (503,493 ) $   $ (164,768 ) $ 3,405   $ 118,521  
 

Latin America

    263,171     (113,291 )       (32,103 )   1,851     119,628  
 

Europe

    154,618     (70,755 )       (19,382 )   (8,730 )   55,751  
 

Exploration

            (35,447 )       4,429     (31,018 )
                             
 

 

  $ 1,201,166   $ (687,539 ) $ (35,447 ) $ (216,253 ) $ 955   $ 262,882  
                             
 

Segment income

  $ 262,882  
 

Corporate and other:

       
 

Interest and sundry expense

    (3,805 )
 

Impairment loss on available-for-sale securities

    (28,607 )
 

Gain on derivative financial instruments

    4,450  
 

General and administrative

    (89,910 )
 

Provincial Capital Tax

    1,504  
 

Interest expense

    (42,575 )
                                       
 

Income before income and mining taxes

  $ 103,939  
                                       


 

 
Nine Months Ended
September 30, 2012
  Revenues
from
Mining
Operations
  Production
Costs
  Exploration and
Corporate
Development
  Amortization of
Property, Plant
and Mine
Development
  Foreign
Currency
Translation
Loss
  Segment
Income
(Loss)
 
 

Canada

  $ 913,421   $ (469,821 ) $ (35,910 ) $ (147,560 ) $ (12,882 ) $ 247,248  
 

Latin America

    349,086     (112,897 )       (29,324 )   (5,968 )   200,897  
 

Europe

    205,824     (72,631 )       (22,297 )   (1,777 )   109,119  
 

Exploration

            (57,507 )       (146 )   (57,653 )
                             
 

 

  $ 1,468,331   $ (655,349 ) $ (93,417 ) $ (199,181 ) $ (20,773 ) $ 499,611  
                             
 

Segment income

  $ 499,611  
 

Corporate and other:

       
 

Interest and sundry expense

    (2,954 )
 

Impairment loss on available-for-sale securities

    (12,181 )
 

Loss on sale of available-for-sale securities

    (6,731 )
 

Loss on derivative financial instruments

    (1,752 )
 

General and administrative

    (91,359 )
 

Provincial Capital Tax

    (4,001 )
 

Interest expense

    (43,600 )
                                       
 

Income before income and mining taxes

  $ 337,033  
                                       


 

   
  Total Assets as at  
   
  September 30,
2013
  December 31,
2012
 
 

Canada

  $ 3,391,818   $ 3,280,158  
 

Latin America

    1,137,903     1,069,379  
 

Europe

    844,650     846,941  
 

Exploration

    65,699     59,641  
             
 

 

  $ 5,440,070   $ 5,256,119