Exhibit 99.3

Unaudited Pro Forma Condensed Combined Financial Statements

The following unaudited pro forma financial statements give effect to the disposition of El Callao and Drake-Bering to be accounted for as a discontinued operation. The unaudited pro forma condensed balance sheet assumes the disposition of El Callao and Drake-Bering on March 31, 2008. Such pro forma information is based upon the historical balance sheet data of Hecla Mining Company and El Callao and Drake-Bering as of that date. The unaudited pro forma condensed statements of income give effect to the disposition of El Callao and Drake-Bering for the quarters ended March 31, 2008 and 2007 and the years ended December 31, 2007, 2006 and 2005 as if the disposition occurred on January 1, 2005.

In addition, on April 16, 2008, Hecla Mining Company completed the acquisition of Hecla Greens Creek Mining Company and Hecla Juneau Mining Company, which together owned 70.3% of the Greens Creek Joint Venture (the “Venture”), in a transaction to be accounted for as a purchase. The unaudited pro forma statements of operations for the year ended December 31, 2007 and the quarter ended March 31, 2008 are based on the individual statements of income of Hecla Mining Company and the Venture as if the acquisition occurred on January 1, 2007.

These unaudited pro forma financial statements should be read in conjunction with the historical consolidated financial statements and notes thereto of Hecla Mining Company in the 2007 Form 10-K and the March 31, 2008 10-Q and the historical financial statements of the Venture on Form 8K/A filed June 13, 2008 for the year ended December 31, 2007 and attached in exhibit 99.2 for the quarter ended March 31, 2008.

The pro forma adjustments are based upon available information and assumptions that management of Hecla Mining Company believes are reasonable. The unaudited pro forma condensed combined financial statements are presented for illustrative purposes only and are based on the estimates and assumptions set forth in the notes accompanying those statements.

Hecla Mining Company

Pro Forma Combined Condensed Consolidated Balance Sheet (Unaudited)

March 31, 2008

(in thousands)

				Acquisition of Greens Creek									Disposition of El Callao and Drake-Bering
	Hecla			Greens Creek 70.30%		Acquisition Adjustments				ProForma Combined			Discontinued Operations Adjustment			Proforma Adjustment				Pro forma Combined
Assets:				(Note 4)		(Note 2)							(Note 7)			(Note 7)
Cash and cash equivalents	$	357,672		$	20,887	$	(700,000	)	(a)	$	27,354		$	(29,949	)	$	20,000		(m)	$	48,044
							360,000		(c)								37,639		(n)
							(11,205	)	(d)								(7,000	)	(p)
Short-term investments and securities held for sale		27,085									27,085			—			5,000		(m)		32,085
Inventories, net		25,216			17,716		15,153		(e)		58,085			(15,887	)		—				42,198
Deferred tax asset		8,980					4,500		(g)		13,480			—			(587	)	(o)		12,893
Other current assets		23,068			5,149		4,674		(d)		32,891			(4,930	)		—				27,961
Total current assets		442,021			43,752		(326,878	)			158,895			(50,766	)		55,052				163,181
Non-current restricted cash and investments		15,326			21,288		—				36,614			—			—				36,614
Properties, plants, equipment and mineral interests, net		147,734			108,104		591,612		(e)		819,069			(34,425	)		—				784,644
							(28,381	)	(e)		—
Identified intangible		—			—		5,973		(g)		5,973										5,973
Non-current deferred income taxes		18,201					23,881		(g)		42,082			—			(1,760	)	(o)		40,322
Other noncurrent assets		55,424			—		1,601		(d)		57,025			—			—				57,025
Total assets	$	678,706		$	173,144	$	267,808			$	1,119,658		$	(85,191	)	$	53,292			$	1,087,759
Liabilities:
Other current liabilities	$	44,436		$	15,440		—			$	59,876		$	(13,127	)		—			$	46,749
Note payable - current portion						$	275,000		(c)		275,000					$	(7,000	)	(p)		268,000
Current portion of accrued reclamation and closure costs		8,931					—				8,931			—			—				8,931
Total current liabilities		53,367			15,440		275,000				343,807			(13,127	)		(7,000	)			323,680
Notes payable							85,000		(c)		85,000										85,000
Accrued reclamation and closure costs		96,362			12,128		—				108,490			(4,498	)		—				103,992
Other noncurrent liabilities		8,631			—		—				8,631			(627	)		—				8,004
Total liabilities		158,360			27,568		360,000				545,928			(18,252	)		(7,000	)			520,676
Shareholders’ Equity:
Series B preferred stock		39									39			—			—				39
Mandatory convertible preferred stock		504									504			—			—				504
Common stock		30,767					1,091		(b)		31,858			—			—				31,858
Capital surplus		735,569					52,293		(b)		787,862			—			—				787,862
Accumulated deficit		(262,837	)		145,576		(145,576	)	(f)		(262,837	)		(74,086	)		60,292				(276,631	)
Accumulated other comprehensive income		16,944									16,944			7,147			—				24,091
Less treasury stock		(640	)								(640	)		—			—				(640	)
Total shareholders’ equity		520,346			145,576		(92,192	)			573,730			(66,939	)		60,292				567,083
Total liabilities and shareholders’ equity	$	678,706		$	173,144	$	267,808			$	1,119,658		$	(85,191	)	$	53,292			$	1,087,759

See accompanying notes to these pro forma financial statements.

Hecla Mining Company

Pro Forma Condensed Consolidated Statements of Operations (Unaudited)

(Dollars and shares in thousands, except per share amounts)

	Three months ended March 31, 2008
				Acquisition of Greens Creek													Disposition of El Callao and Drake-Bering Adjustment
	Hecla			Greens Creek 70.3%					Acquisition Adjustments					ProForma Combined								Proforma Combined
				(Note 4)					(Note 3)								(Note 8)
Sales of products	$	45,960		$	31,125				$	(299	)	(i	)	$	76,786		$	(9,334	)			$	67,452
Cost of sales and other direct production costs		18,157			12,150										30,307			(3,095	)				27,212
Depreciation, depletion and amortization		6,022			2,292					6,604		(h	)		14,918			(3,108	)				11,810
		24,179			14,442					6,604					45,225			(6,203	)				39,022
Gross profit		21,781			16,683					(6,903	)				31,561			(3,131	)				28,430
Other operating expenses
Exploration		6,079			369										6,448			(546	)				5,902
Provision for closed operations and environmental matters		946													946			(264	)				682
Other operating expenses (income)		5,488													5,488			100					5,588
		12,513			369					—					12,882			(710	)				12,172
Income (loss) from operations		9,268			16,314					(6,903	)				18,679			(2,421	)				16,258
Other income (expense):
Interest and other income		2,525			289										2,814			(12	)				2,802
Net foreign exchange loss		(12	)												(12	)		—					(12	)
Interest expense		(165	)		(11	)				(1,128	)	(j	)		(1,304	)		—		(p	)		(1,304	)
		2,348			278					(1,128	)				1,498			(12	)				1,486
Income before income taxes		11,616			16,592					(8,031	)				20,177			(2,433	)				17,744
Income tax benefit (provision)		3,866			(6,637	)	(k	)		6,637		(k	)		3,866			250					4,116
Net income (loss)		15,482			9,955					(1,394	)				24,043			(2,183	)				21,860
Preferred stock dividends		(3,408	)												(3,408	)		—					(3,408	)
Income (loss)applicable to common shareholders	$	12,074		$	9,955				$	(1,394	)			$	20,635		$	(2,183	)			$	18,452
Basic and diluted income per common share after preferred stock dividends	$	0.10							$	(0.32	)			$	0.16		$	(0.02	)			$	0.15
Weighted average number of common shares outstanding -basic		122,350								4,365		(b	)		126,715			126,715					126,715
Weighted average number of common shares outstanding - diluted		122,777								4,365					127,142			127,142					127,142

See accompanying notes to these pro forma financial statements.

Hecla Mining Company

Pro Forma Condensed Consolidated Statements of Operations (Unaudited)

(Dollars and shares in thousands, except per share amounts)

	Year ended December 31, 2007
				Acquisition of Greens Creek													Disposition of El Callao and Drake-Bering Adjustment					Proforma Combined
	Hecla			Greens Creek 70.3%					Acquisition Adjustments					ProForma Combined
				(Note 4)					(Note 3)								(Note 8)
Sales of products	$	222,622		$	171,950				$	(1,195	)	(i	)	$	393,377		$	(68,920	)			$	324,457
Cost of sales and other direct production costs		115,805			68,255										184,060			(52,212	)				131,848
Depreciation, depletion and amortization		26,880			11,869					26,416		(h	)		65,165			(14,557	)				50,608
		142,685			80,124					26,416					249,225			(66,769	)				182,456
Gross profit		79,937			91,826					(27,611	)				144,152			(2,151	)				142,001
Other operating expenses
Exploration		19,819			3,121										22,940			(3,885	)				19,055
Provision for closed operations and environmental matters		50,499													50,499			(1,347	)				49,152
Other operating expenses (income)		(39,166	)												(39,166	)		(1,175	)				(40,341	)
		31,152			3,121					—					34,273			(6,407	)				27,866
Income (loss) from operations		48,785			88,705					(27,611	)				109,879			4,256					114,135
Other income (expense):
Interest and other income		7,911			1,476										9,387			(890	)				8,497
Net foreign exchange loss		(12,095	)												(12,095	)		12,002					(93	)
Interest expense		(534	)		(72	)				(16,452	)	(j	)		(17,058	)		200		(p	)		(16,858	)
		(4,718	)		1,404					(16,452	)				(19,766	)		11,312					(8,454	)
Income before income taxes		44,067			90,109					(44,063	)				90,113			15,568					105,681
Income tax benefit (provision)		9,130			(36,043	)	(k	)		36,043		(k	)		9,130			(641	)				8,489
Net income (loss)		53,197			54,066					(8,020	)				99,243			14,927					114,170
Preferred stock dividends		(1,024	)							(12,608	)	(l	)		(13,632	)		—					(13,632	)
Income (loss)applicable to common shareholders	$	52,173		$	54,066				$	(20,628	)			$	85,611		$	14,927				$	100,538
Basic and diluted income per common share after preferred stock dividends	$	0.43							$	(4.73	)			$	0.69		$	0.12				$	0.81
Weighted average number of common shares outstanding - basic		120,420								4,365		(b	)		124,785			124,785					124,785
Weighted average number of common shares outstanding - diluted		121,071								4,365					125,436			125,436					125,436

See accompanying notes to these pro forma financial statements.

Hecla Mining Company

Pro Forma Condensed Consolidated Statements of Operations (Unaudited)

(Dollars and shares in thousands, except per share amounts)

	Year ended December 31, 2006
	Historical			Discontinued Operations Adjustment			Pro forma Continuing Operations
Sales of products	$	218,895		$	(96,310	)	$	122,585
Cost of sales and other direct production costs		105,203			(54,702	)		50,501
Depreciation, depletion and amortization		38,795			(27,050	)		11,745
		143,998			(81,752	)		62,246
Gross profit		74,897			(14,558	)		60,339
Other operating expenses
Exploration		20,266			(5,558	)		14,708
Provision for closed operations and environmental matters		3,556			(40	)		3,516
Other operating expenses		24,147			2,998			27,145
		47,969			(2,600	)		45,369
Income (loss) from operations		26,928			(11,958	)		14,970
Other income (expense):
Net foreign exchange loss		(4,962	)		4,851			(111	)
Net other income and expense		39,855			(765	)		39,090
		34,893			4,086			38,979
Income before income taxes		61,821			(7,872	)		53,949
Income tax benefit (provision)		7,301			2,275			9,576
Net income (loss)		69,122			(5,597	)		63,525
Preferred stock dividends		(552	)					(552	)
Income (loss)applicable to common shareholders	$	68,570		$	(5,597	)	$	62,973
Basic and diluted income per common share after preferred stock dividends	$	0.57		$	(0.05	)	$	0.52
Weighted average number of common shares outstanding - basic		119,255			119,255			119,255
Weighted average number of common shares outstanding - diluted		119,702			119,702			119,702

Hecla Mining Company

Pro Forma Condensed Consolidated Statements of Operations (Unaudited)

(Dollars and shares in thousands, except per share amounts)

	Year ended December 31, 2005
	Historical			Discontinued Operations Adjustment			Pro forma Continuing Operations
Sales of products	$	110,161		$	(39,009	)	$	71,152
Cost of sales and other direct production costs		75,192			(27,433	)		47,759
Depreciation, depletion and amortization		20,462			(9,622	)		10,840
		95,654			(37,055	)		58,599
Gross profit		14,507			(1,954	)		12,553
Other operating expenses
Exploration		16,777			(8,261	)		8,516
Provision for closed operations and environmental matters		1,618			(312	)		1,611
Other operating expenses		21,720			(166	)		21,249
		40,115			(8,739	)		31,376
Income (loss) from operations		(25,608	)		6,785			(18,823	)
Other income (expense):
Net foreign exchange loss		(736	)		829			93
Net other income and expense		1,644			(320	)		1,324
		908			509			1,417
Income before income taxes		(24,700	)		7,294			(17,406	)
Income tax benefit (provision)		(660	)		69			(591	)
Net income (loss)		(25,360	)		7,363			(17,997	)
Preferred stock dividends		(552	)					(552	)
Income (loss)applicable to common shareholders	$	(25,912	)	$	7,363		$	(18,549	)
Basic and diluted income per common share after preferred stock dividends	$	(0.22	)	$	0.06		$	(0.16	)
Weighted average number of common shares outstanding - basic		118,458			118,458			118,458
Weighted average number of common shares outstanding - diluted		118,458			118,458			118,458

Notes to Unaudited Pro Forma Condensed Combined Financial Statements

Note 1. Summary of the acquisition of 70.3% of the Greens Creek Joint Venture

The unaudited pro forma condensed combined financial statements contained herein assume that the acquisition had been completed on January 1, 2007 (for statement of operations purposes) and on March 31, 2008 (for balance sheet purposes).

The purchase price is based upon Hecla Mining Company paying cash of $700 million and issuing 4,365,000 shares of Hecla Mining Company common stock valued at $53.4 million, and estimated acquisition related costs of $4.9 million for a total acquisition price of $758 million.

The number of Hecla Mining Company shares issued, 4,365,000, was determined by dividing $50 million by the volume-weighted average trading price for the 20 trading days immediately prior to the second trading day immediately preceding the closing date. For purchase accounting, the valuation of the shares was based upon the average closing price of Hecla Mining Company shares a few days before and after April 14, 2008 (two days prior to the closing date of the acquisition on April 16, 2008).

The following represents the preliminary allocation of the purchase price if the Greens Creek acquisition had occurred on March 31, 2008:

	(In thousands)
Consideration:
Cash payments	$	700,000
Hecla stock issued (4,365,000 shares @ $12.23 per share)		53,384
Acquisition related costs		4,930
Total purchase price	$	758,314
Fair value of net assets acquired:
Cash	$	20,887
Product inventory		28,733
Other current assets		9,285
Property, plant, equipment and mineral interests, net		699,717
Identified intangible		5,973
Other assets		21,288
Total assets		785,883
Less liabilities		27,569
Net assets	$	758,314

Note 2. Pro forma adjustments made to unaudited pro forma condensed combined balance sheet for the acquisition of 70.3% of the Greens Creek Joint Venture

The unaudited pro forma condensed combined balance sheet includes the following adjustments:

(a) To record the cash consideration of $700 million paid to Kennecott.

(b) To record the issuance of 4,365,000 shares of Hecla Mining Company common stock to Kennecott, valued at $12.23 per share or $53,384,000.

(c) To record the issuance of $220 million in a bridge note payable maturing in six months and $140 million in a term note payable over a three year term. Of the total $360 million, $275 million is due within one year of the acquisition date.

(d) To record payment and deferral of financing fees related to the debt transaction ($6,275,000) and payment of acquisition related costs estimated to be as follows (in thousands):

Acquisition-related costs include:
Legal fees	$	903
Brokers’ fees		3,715
Accounting fees		24
Other acquisition-related costs		288
Total acquisition costs	$	4,930

(e) To record the portion of the purchase price allocated to 70.3% of the Venture’s assets, including non-operating mineral interests, and liabilities. This allocation is preliminary and is subject to change due to several factors including: valuations of assets and liabilities that may be required which have not been completed as of the date of this filing and the actual acquisition-related costs incurred.

(f) To eliminate the 70.3% of the Venture’s equity account as of March 31, 2008 of $145,576,000.

(g) To record an increase in current and noncurrent deferred tax assets and a corresponding decrease in mineral interest resulting from consideration of the Venture future net taxable income in Hecla Mining Company’s analysis of net operating loss utilization. See Note 5 Income Taxes below for additional information.

Note 3. Pro forma adjustments made to unaudited pro forma condensed combined statement of operations for the acquisition of 70.3% of the Greens Creek Joint Venture

The unaudited pro forma condensed combined statement of operations includes the following adjustments:

(h) To record additional depreciation and amortization expense resulting from the increased carrying value of depreciable assets acquired as a result of purchase accounting. Depreciation and amortization expense is based on estimated useful lives of 3 to 11 years for buildings and equipment and estimated life of mine of twelve years for mineral interests. No amortization for non-operating mineral interest is recognized.

No pro forma adjustment has been made in the statement of operations for the purchase accounting valuation adjustment for product inventory. Such adjustment, which would decrease pro forma net income by approximately $15.2 million, is nonrecurring and is not reflected in the pro forma statement of operations.

(i) To record amortization of identified intangible that consists of a favorable shipping contract that has a remaining contractual term of five years.

(j) To record interest charges as follows (in thousands):

	Quarter ended		Year ended
	March 31, 2008		December 31, 2007
Bridge note payable six months after acquisition date:
Interest charges based on interest rate of 5.710%	$	0	$	6,292
Amortization expense of the deferred financing costs		0		3,854
Term note payable:
Interest charges based on interest rate of 4.335%		923		5,486
Amortization expense of the deferred financing costs		205		820
	$	1,128	$	16,452

The interest rates on both the bridge note and the term note are variable and are based on LIBOR plus additional basis points. The rate used for pro forma financial statement purposes is based on LIBOR at the acquisition date (April 16, 2008) which was 2.80%. The effect of a 1/8% change in the variable interest rates for the quarter ended March 31, 2008 and the year ended December 31, 2007 would be $0 and $137,500, respectively on the bridge note and $27,000 and $158,000, respectively on the term note.

If the bridge loan is not fully repaid and cancelled within three months from the closing date, then an additional amount equal to 1.0% of the amount outstanding under the bridge loan on such date shall be due and payable on such date. If the original outstanding bridge loan amount of $220 million is still outstanding after three months, an additional fee of $2.2 million will be paid and expensed.

(k) To record the income tax provision for 70.3% of net income of the Venture. Because the Venture is a flow-through tax entity, its historical financial statements do not contain provision for income taxes. Hecla Mining Company is a taxable entity; therefore an adjustment is necessary to reflect an income tax provision as if the Greens Creek acquisition had occurred as of January 1, 2007. A tax rate of 40% is applied to Venture net income which is comprised of a federal rate of 34% and state tax rate of 6%. The tax provision is entirely reversed as a result of purchase accounting adjustments and utilization of net operating loss carryovers. Also see Note 5 Income Taxes for additional discussion.

(l) In December 2007, Hecla Mining Company sold 2,012,500 shares of 6.5% Mandatory Convertible Preferred Stock. For purposes of the pro forma statements of operations, it has been assumed that the preferred stock was sold on January 1, 2007. A pro forma adjustment has been made for the year ended 12/31/07 of $12,608 to reflect payments of dividends on the preferred stock.

Note 4. Greens Creek Joint Venture - 70.3% Balances

The Venture balances are based upon the Venture audited financial statements as of and for the year ended December 31, 2007, as restated, and interim financial statements as of and for the quarter ended March 31, 2008. The amounts presented in the “Greens Creek – 70.3%” columns reflect 70.3% of the total amounts presented in the Venture’s financial statements. The amounts have been adjusted to conform to Hecla Mining Company’s accounting policies and presentation. Conforming adjustments are as follows:

	Balance Sheet			Statement of Operations for the
	as of 3/31/08 Increase (decrease) to balance sheet line item			Quarter ended 3/31/08		Year ended 12/31/07
				Increase (decrease) to net income
	(in thousands)
Product inventory costs are adjusted based on Hecla Mining Company product costing accounting practices.	$	1,144		$	1,435	$	(489	)
Asset Retirement Obligation asset and related accumulated depreciation are adjusted to reflect Hecla Mining Company’s asset retirement obligation (“ARO”) calculation and amortization practices.		(2,608	)		42		300
ARO liability balance is adjusted based using Hecla Mining Company’s model and assumptions.		(7,890	)		159		590

In addition to acquiring 70.3% of the Venture, Hecla Mining Company will be assuming KJMC’s Bristol Bay royalty payment obligation. This royalty is reflected as an increase to the Venture’s accounts payable at March 31, 2008 by $166,000 and the Venture’s cost of sales for the quarters ended March 31, 2008, and the year ended December 31, 2007 by $166,000 and $1.8 million, respectively.

Note 5. Income taxes

The Venture has not been subject to income taxes due to its status as a joint venture. Rather, each member of the venture recognized its portion of Venture results from operations in their respective income tax returns.

Hecla Mining Company’s acquisition of the Venture is a taxable acquisition whereby the tax bases of the assets acquired and liabilities assumed equal their book bases. No deferred taxes (other than for an adjustment to the existing valuation allowance discussed below) will be recognized as a result of the acquisition. Subsequent to the acquisition date, deferred taxes related to Venture operations will be recorded for differences in tax and book treatment on a prospective basis.

Historically, Hecla Mining Company has recorded a valuation allowance on its net deferred tax assets to reflect the estimated amount of deferred tax assets, which may not be realized principally due to the expiration of net operating losses and tax credit carryforwards. Periodically, Hecla Mining Company reviews available evidence in future periods to determine whether more or less of its net deferred tax assets should be realized. Adjustments to the valuation allowance are made in the period for which the determination is made. See Note 6 – Income Taxes in the Hecla Mining Company consolidated financial statements contained in the December 31, 2007 Form 10-K.

Based upon preliminary calculations and purchase accounting assumptions, management has estimated that on the date of acquisition, the valuation allowance will be reduced as a result of the Venture acquisition. This reduction resulted in an increase in current deferred tax assets of $4,500,000, an increase in noncurrent deferred tax assets of $23,881,000, and a decrease in mineral interests of $28,381,000 on the acquisition date. In determining the reduction, management considered estimated future earnings of the Venture.

Note 6. Non-recurring charges resulting directly from the acquisition of the Greens Creek Joint Venture transaction.

The Company expects to recognize compensation expense of approximately $900,000 within the 12 months following consummation of the transaction. This expense is a result of absorbing the Venture employees into Hecla Mining Company’s Pension Plan.

Note 7. Pro forma adjustments made to unaudited pro forma condensed combined balance sheet for the disposal of the Venezuelan operations.

The pro forma condensed balance sheet as of March 31, 2008 gives effect to the disposition of El Callao and Drake-Bering for $20,000,000 in cash and 4,273,504 shares of common stock of Rusoro valued at $5,000,000. The pro forma nonrecurring loss on sale of approximately $13.8 million has been reflected in the pro forma balance sheet. Actual loss on the disposition of the El Callao and Drake-Bering is likely to be different because it will be based upon the segment’s balance sheet on the date of disposition (please refer to note 10, below).

(m) Adjustment for receipt of $20,000,000 in cash and 4,273,504 shares of common stock of Rusoro valued at $5,000,000 for the sale of El Callao and Drake-Bering.

(n) Pursuant to the stock purchase agreement, cash received from the sale of the El Callao and Drake-Bering is to be adjusted for net working capital on the date of sale. This Pro forma adjustment reflects net working capital as of March 31, 2008. See Note 10.

(o) Based upon preliminary calculations and assumptions, management has estimated that on the date of disposition, the deferred tax valuation allowance will increase as a result of the disposition of El Callao and Drake-Bering . This reduction resulted in a decrease in current and non-current deferred tax assets of $587,000 and $1,760,000, respectively.

(p) The bridge loan financing agreement (see item (c) in Note 2) requires that 35% of any cash proceeds from the sale of the Venezuelan unit be applied against the outstanding balance of the bridge loan. The amount of $7,000 (35% of $20,000) was applied against the loan as of the beginning of the year for pro forma purposes. This resulted in a reduction of interest expense for the quarter ended 3/31/08 and the year ended 12/31/07 of $0 and $200,000, respectively.

Note 8. Pro forma adjustments made to unaudited pro forma condensed combined statements of operations for the disposal of the Venezuelan operations.

The pro forma statements of operations give effect to the disposition of El Callao and Drake-Bering as if the transaction had occurred on January 1, 2005. The results of operations of El Callao and Drake-Bering have been removed from the pro forma statements of operations for all periods presented. A pro forma nonrecurring loss on the sale of $13.8 million has not been included in such pro forma statements of operations. The actual loss on the disposition of El Callao and Drake-Bering is likely to be different because it will be based upon the segment’s balance sheet on the date of disposition. This loss will be recognized in the quarterly financial statements filed with the Form 10-Q for the period ended June 30, 2008.

The pro forma statements of operations for the years ended December 31, 2006 and 2005 do not include pro forma adjustments for the acquisition of the Venture (see Note 1) because for pro forma purposes, the acquisition is assumed to occur on January 1, 2007.

(q) As a result of the paydown on the bridge note payable (see item (o) in Note 7), interest expense is reduced by $0 and $200,000, for the quarter ended March 31, 2008 and the year ended December 31, 2007, respectively. This assumes that borrowing under the bridge note occurred on January 1, 2007.

Note 9. Foreign Exchange Losses on Currency Exchange

In May of 2008, Hecla Mining Company converted and repatriated approximately $39 million in local currency cash measured using the official exchange rate from its Venezuelan subsidiary to the parent company. In connection with this transaction, Hecla Mining Company incurred approximately $14 million of foreign exchange losses since conversion to the U.S. dollar was based on a less favorable exchange rate available to Hecla, resulting in $25 million USD being transferred to the parent company. The foreign exchange loss was not a result of the sale transaction and is not included in the pro forma results of operations, and was consistent with repatriations of local currency we have experienced in prior periods. Cash in local currency was repatriated in May as a result of the strengthening of the Bolívare Fuerte (“BF”) against the dollar in the parallel market, which presented an opportunity to mitigate the scope of foreign exchange losses compared to those experienced in prior periods. As reported in our 2007 annual financial statements, we experienced a loss of 64% on repatriation of local currency in 2007, while in the May 2008 transactions described above, our losses were lower at 36%. The exchange loss will be recognized in the quarterly financial statements filed with the Form 10-Q for the period ended June 30, 2008

Note 10. Working Capital Adjustment

The stock purchase agreement contains a purchase price adjustment mechanism based on the cash and working capital balances of El Callao and Drake-Bering as of the closing date. The cash adjustment provides that the purchaser pay Hecla Mining Company (at a specific currency exchange rate of 2.15 BF per 1.00 USD) for the amount of cash remaining as of the closing. The working capital provision provides that to the extent net working capital exceeds zero, the purchaser will remit such excess to Hecla Mining Company and to the extent net working capital is negative, Hecla Mining Company will remit such negative amount to the purchaser. The cash adjustment was $0.9 million at the closing, and the working capital adjustment, estimated to be $0.8 million at closing, will be finalized within 60 days of closing. The estimated working capital adjustment at closing is significantly lower than the pro forma adjustment based on working capital at March 31, 2008 due to the repatriation described in Note 9. Because the working capital adjustment is not yet finalized, the pro forma financial statements do not include provision for any potential cash or working capital adjustment.