8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

____________________

FORM 8-K

CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): October 25, 2013

HECLA MINING COMPANY

(Exact Name of Registrant as Specified in Its Charter)

Delaware	1-8491	77-0664171
(State or Other Jurisdiction	(Commission File Number)	(IRS Employer Identification No.)
of Incorporation)

6500 North Mineral Drive, Suite 200

Coeur d'Alene, Idaho 83815-9408

(Address of Principal Executive Offices) (Zip Code)

(208) 769-4100

(Registrant's Telephone Number, Including Area Code)

N/A

(Former name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12(b))

☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01. Other Events.

As previously reported, on April 12, 2013, Hecla Mining Company (the “Company”) completed an offering of US $500 million in aggregate principal amount of its 6.875% Senior Notes due May 1, 2021 (the “Notes”), which are guaranteed on a senior unsecured basis by certain of the Company's subsidiaries (the "Subsidiary Guarantors"). In connection with the issuance of the Notes, the Company and the Subsidiary Guarantors agreed to file with the Securities and Exchange Commission (the "SEC") a registration statement on Form S-4 (the"Registration Statement") with respect to an offer to exchange the Notes and related guarantees for registered notes and guarantees with substantially identical terms.

Proceeds from the sale for the Notes were used to partially fund the acquisition of Aurizon Mines Ltd. ("Aurizon"), which acquisition was completed on June 1, 2013.     

In connection with the filing of the Registration Statement, the Company is filing this Current Report on Form 8-K for the purpose of including certain supplemental condensed consolidating financial information as required by Rule 3-10 of Regulation S-K with respect to the Subsidiary Guarantors. To provide this information, the Company is amending (i) Item 8 of Part II (Financial Statements and Supplementary Data) of its Annual Report on Form 10-K for the year ended December 31, 2012 (the"2012 Form 10-K") to include Note 17, as set forth in Exhibit 99.1 hereto, and (ii) Item 1 of Part I (Financial Statements) of its Quarterly Report on Form 10-Q for the quarter ended June 30, 2013 (the "June 2013 Form 10-Q") to include Note 14, as set forth in Exhibit 99.2 hereto.

The Company is also filing this Current Report on Form 8-K for the purpose of including in the Registration Statement the unaudited pro forma condensed combined financial statements of the Company giving effect to the acquisition of Aurizon and issuance of the Notes for the six-month period ended June 30, 2013, required by Regulation S-X to be included in the Registration Statement, as set forth in Exhibit 99.3 hereto.

As this Current Report on Form 8-K is being filed only for the purposes described above, and only affects the Items specified above, the other information in the Company’s 2012 Form 10-K and June 2013 Form 10-Q remains unchanged. No attempt has been made in this Current Report on Form 8-K to modify or update disclosures in the Company’s 2012 Form 10-K or June 2013 Form 10-Q except as described above. This Current Report on Form 8-K does not reflect events occurring after the filing of the Company’s 2012 Form 10-K or June 2013 Form 10-Q or modify or update any related disclosures. Information in the Company’s 2012 Form 10-K or June 2013 Form 10-Q not affected by this Current Report on Form 8-K is unchanged and reflects the disclosures made at the time of the filings. Accordingly, this Current Report on Form 8-K should be read in conjunction with the Company’s 2012 Form 10-K and June 2013 Form 10-Q and the Company’s other filings made with the SEC subsequent to the filings of the original reports.

Item 9.01. Financial Statements and Exhibits

	(d)	Exhibits.
23.1		Consent of BDO USA, LLP*
99.1		Audited consolidated financial statements of Hecla as of December 31, 2012 and 2011, and for the years ended December 31, 2012, 2011, and 2010, as revised for the addition of Note 17 thereto relating to Subsidiary Guarantors of the Notes*
99.2		Unaudited condensed consolidated financial statements of the Company as of and for the three-month periods ended June 30, 2013 and 2012, as revised for the addition of Note 14 thereto relating to Subsidiary Guarantors of the Notes*
99.3		Unaudited pro forma condensed combined financial statements of the Company giving effect to the acquisition of Aurizon and issuance of the Notes for the six-month period ended June 30, 2013*
101.INS		XBRL Instance Document.
101.SCH		XBRL Taxonomy Extension Schema.
101.CAL		XBRL Taxonomy Extension Calculation.
101.DEF		XBRL Taxonomy Extension Definition.
101.LAB		XBRL Taxonomy Extension Label.
101.PRE		XBRL Taxonomy Extension Presentation.

*       Filed herewith.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

HECLA MINING COMPANY
By:	/s/Daivd C. Sienko
	David C. Sienko
	Vice President & General Counsel

Dated: October 25, 2013

EX-23

Exhibit 23.1

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Hecla Mining Company

Coeur d'Alene, Idaho

We hereby consent to the incorporation by reference in the Registration Statements on Form S-3 (No. 333-159966 and 333-186861) and Form S-8 (No. 333-96995, 33-60095, 333-169030 and 333-176364) of Hecla Mining Company of our report dated February 25, 2013, except for Note 17 which is October 25, 2013, relating to the consolidated financial statements, which appears in this Form 8­K.

/s/ BDO USA, LLP

Spokane, Washington

October 25, 2013

EX-99

Exhibit 99.1

Report of Independent Registered Public Accounting Firm

Board of Directors and Shareholders

Hecla Mining Company

Coeur d'Alene, Idaho

We have audited the accompanying consolidated balance sheets of Hecla Mining Company as of December 31, 2012 and 2011 and the related consolidated statements of income and comprehensive income, stockholders' equity, and cash flows for each of the three years in the period ended December 31, 2012. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of Hecla Mining Company at December 31, 2012 and 2011, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2012, in conformity with accounting principles generally accepted in the United States of America.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), Hecla Mining Company's internal control over financial reporting as of December 31, 2012, based on criteria established in Internal Control - Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) and our report dated February 25, 2013 expressed an unqualified opinion thereon.

/s/ BDO USA, LLP

Spokane, Washington

February 25 2013, except for Note 17 as to which the date is October 25, 2013

Hecla Mining Company and Subsidiaries

 Consolidated Balance Sheets

(In thousands, except share and per share data)

	December 31,
	2012			2011
ASSETS
Current assets:
Cash and cash equivalents	$	190,984		$	266,463
Accounts receivable:
Trade		17,555			10,996
Other, net		7,466			9,313
Inventories:
Concentrates, doré, stockpiled ore, and metals in transit and in-process		15,073			13,692
Materials and supplies		13,564			12,503
Current deferred income taxes		29,398			27,810
Other current assets		8,858			21,967
Total current assets		282,898			362,744
Non-current investments		9,614			3,923
Non-current restricted cash and investments		871			866
Properties, plants, equipment and mineral interests, net		996,659			923,212
Non-current deferred income taxes		86,365			88,028
Other non-current assets		1,883			17,317
Total assets	$	1,378,290		$	1,396,090
LIABILITIES
Current liabilities:
Accounts payable and accrued liabilities	$	43,162		$	37,831
Accrued payroll and related benefits		10,760			12,878
Accrued taxes		12,321			10,354
Current portion of capital leases		5,564			4,005
Current portion of accrued reclamation and closure costs		19,845			42,248
Other current liabilities		3,335			—
Total current liabilities		94,987			107,316
Long-term capital leases		11,935			6,265
Accrued reclamation and closure costs		93,370			111,563
Other non-current liabilities		40,047			30,833
Total liabilities		240,339			255,977
Commitments and contingencies (Notes 2, 3, 4, 6, 7, 8, and 10)
SHAREHOLDERS’ EQUITY
Preferred stock, 5,000,000 shares authorized:
Series B preferred stock, $0.25 par value, 157,816 shares issued and outstanding, liquidation preference — $7,891		39			39
Common stock, $0.25 par value, authorized 500,000,000 shares; issued and outstanding 2012 — 285,209,848 shares and 2011 — 285,289,924 shares		71,499			71,420
Capital surplus		1,218,283			1,215,229
Accumulated deficit		(123,288	)		(120,557	)
Accumulated other comprehensive loss, net		(23,918	)		(23,498	)
Less treasury stock, at cost; 2012 — 788,288 shares and 2011 — 392,645 shares		(4,664	)		(2,520	)
Total shareholders’ equity		1,137,951			1,140,113
Total liabilities and shareholders’ equity	$	1,378,290		$	1,396,090

The accompanying notes are an integral part of the consolidated financial statements.

Hecla Mining Company and Subsidiaries

Consolidated Statements of Operations and Comprehensive Income

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

	Year Ended December 31,
	2012			2011			2010
Sales of products	$	321,143		$	477,634		$	418,813
Cost of sales and other direct production costs		134,105			165,573			163,983
Depreciation, depletion and amortization		43,522			47,066			60,011
Total cost of sales		177,627			212,639			223,994
Gross profit		143,516			264,995			194,819
Other operating expenses:
General and administrative		21,253			18,540			18,219
Exploration		31,822			26,959			21,605
Pre-development		17,916			4,446			—
Other operating expense		4,423			7,658			5,334
Loss on disposition of property, plants, equipment and mineral interests		275			—			80
Lucky Friday suspension-related costs		25,309			—			—
Provision for closed operations and environmental matters		4,652			9,747			201,136
Total other operating expense		105,650			67,350			246,374
Income (loss) from operations		37,866			197,645			(51,555	)
Other income (expense):
Gain (loss) on derivative contracts		(10,457	)		37,988			(20,758	)
Net gain on sale of investments		—			611			588
Loss on impairment of investments		(1,171	)		(140	)		(739	)
Interest and other income (expense)		22			(87	)		126
Interest expense		(2,427	)		(2,875	)		(2,211	)
Total other income (expense):		(14,033	)		35,497			(22,994	)
Income (loss) before income taxes		23,833			233,142			(74,549	)
Income tax benefit (provision)		(8,879	)		(81,978	)		123,532
Net income		14,954			151,164			48,983
Preferred stock dividends		(552	)		(552	)		(13,633	)
Income applicable to common shareholders	$	14,402		$	150,612		$	35,350
Comprehensive income:
Net income	$	14,954		$	151,164		$	48,983
Unrealized gain (loss) and amortization of prior service on pension plans		(1,644	)		(7,754	)		(1,653	)
Unrealized holding gains (losses) on investments		53			(767	)		(21	)
Reclassification of impairment of investments included in net income		1,171			140			739
Total change in accumulated other comprehensive loss, net	$	(420	)	$	(8,381	)	$	(935	)
Comprehensive income	$	14,534		$	142,783		$	48,048
Basic income per common share after preferred dividends	$	0.05		$	0.54		$	0.14
Diluted income per common share after preferred dividends	$	0.05		$	0.51		$	0.13
Weighted average number of common shares outstanding – basic		285,375			280,956			251,146
Weighted average number of common shares outstanding – diluted		297,566			297,033			269,601

The accompanying notes are an integral part of the consolidated financial statements.

Hecla Mining Company and Subsidiaries

Consolidated Statements of Cash Flows

(In thousands) 

	Year Ended December 31,
	2012			2011			2010
Operating activities:
Net income	$	14,954		$	151,164		$	48,983
Non-cash elements included in net income:
Depreciation, depletion and amortization		50,113			47,348			60,235
Net gain on sale of investments		—			(611	)		(588	)
Loss on impairment of investments		1,171			140			739
Loss on disposition of properties, plants, equipment and mineral interests		275			—			80
Provision for reclamation and closure costs		1,106			7,004			196,262
Deferred income taxes		546			76,944			(141,707	)
Stock compensation		3,101			2,073			3,446
Amortization of loan origination fees		460			598			621
Amortization of intangible asset		—			—			1,380
(Gain) loss on derivative contracts		29,627			(53,545	)		20,795
Other non-cash items		1,765			1,209			(495	)
Change in assets and liabilities:
Accounts receivable		(4,713	)		16,531			(9,404	)
Inventories		(2,442	)		(7,064	)		2,335
Other current and non-current assets		610			2,164			3,279
Accounts payable and accrued liabilities		4,927			1,466			10,896
Accrued payroll and related benefits		(2,118	)		2,090			(3,376	)
Accrued taxes		1,967			(5,688	)		9,802
Accrued reclamation and closure costs and other non-current liabilities		(32,333	)		(171,932	)		(5,474	)
Net cash provided by operating activities		69,016			69,891			197,809
Investing activities:
Additions to properties, plants, equipment and mineral interests		(113,096	)		(87,546	)		(67,414	)
Proceeds from sale of investments		—			1,366			1,138
Proceeds from disposition of properties, plants and equipment		886			113			29
Redemptions of restricted cash and investment balances		—			9,448			1,459
Increases in restricted cash and investment balances		(5	)		(3,200	)		—
Purchases of investments		(5,823	)		—			—
Net cash used by investing activities		(118,038	)		(79,819	)		(64,788	)
Financing activities:
Proceeds from exercise of warrants and stock options		—			5,786			53,093
Dividends paid to common shareholders		(17,121	)		(5,592	)		—
Dividend paid to preferred shareholders		(552	)		(3,822	)		(4,513	)
Loan origination fees paid		(750	)		(180	)		(200	)
Acquisition of treasury shares		(2,144	)		(469	)		(693	)
Repayments of capital leases		(5,890	)		(2,938	)		(1,780	)
Net cash provided by (used in) financing activities		(26,457	)		(7,215	)		45,907
Net increase (decrease) in cash and cash equivalents		(75,479	)		(17,143	)		178,928
Cash and cash equivalents at beginning of year		266,463			283,606			104,678
Cash and cash equivalents at end of year	$	190,984		$	266,463		$	283,606
Supplemental disclosure of cash flow information:
Cash paid during year for:
Interest	$	1,968		$	1,683		$	584
Income tax payments	$	3		$	17,874		$	11,075
Significant non-cash investing and financing activities:
Stock issued for acquisition of assets	$	—		$	33,831		$	—
Capital leases acquired	$	13,119		$	6,935		$	3,212
Accounts payable change relating to capital additions	$	3,727		$	8,687		$	3,488
Preferred stock dividends paid in common stock	$	—		$	—		$	22,891

See Notes 2 and 9 for additional non-cash investing and financing activities.

The accompanying notes are an integral part of the consolidated financial statements.

Hecla Mining Company and Subsidiaries

 Consolidated Statements of Changes in Shareholders’ Equity

For the Years Ended December 31, 2012, 2011 and 2010

(Dollars in thousands)

	Series B Preferred Stock		Series C Mandatory Convertible Preferred Stock			Common Stock		Additional Paid-In Capital			Accumulated Deficit			Accumulated Other Comprehensive Loss, net			Treasury Stock			Total
Balances, January 1, 2010	$	39	$	504		$	59,604	$	1,121,076		$	(300,915	)	$	(14,183	)	$	(640	)	$	865,485
Net income												48,983									48,983
Options granted									1,121												1,121
Options exercised (696,000 shares)							174		3,743									(718	)		3,199
Stock issued to directors (82,000 shares)							20		410												430
Series B deferred dividends declared												(552	)								(552	)
6.5% Mandatory Convertible Preferred Stock dividends declared												(13,093	)								(13,093	)
Restricted stock units granted									1,895												1,895
Restricted stock unit distributions (480,000 shares)							120		(120	)								(693	)		(693	)
Bonuses paid through stock issuances (1,046,000 shares)							262		(262	)											—
Warrants exercised (14,215,000 shares)							3,553		46,341												49,894
6.5% Mandatory Convertible Preferred Stock dividends paid in common stock (3,886,000 shares)							971		5,547												6,518
Other comprehensive income															(934	)					(934	)
Balances, December 31, 2010		39		504			64,704		1,179,751			(265,577	)		(15,117	)		(2,051	)		962,253
Net income												151,164									151,164
Options exercised (78,000 shares)							19		460												479
Stock issued to directors (43,000 shares)							11		331												342
Series B Preferred Stock dividends declared												(552	)								(552	)
Common stock dividends declared ($0.02 per common share)												(5,592	)								(5,592	)
Restricted stock units granted									1,671												1,671
Restricted stock unit distributions (321,000 shares)							80		(80	)								(469	)		(469	)
6.5% Mandatory Convertible Preferred Stock dividends paid in common stock (18,872,000 shares)				(504	)		4,719		(4,215	)											—
Bonuses and other compensation paid through stock issuances (8,000 shares)							2		58												60
Warrants exercised (2,147,000 shares)							536		4,771												5,307
Common stock issued for assets purchased (5,396,000 shares)							1,349		32,482												33,831
Other comprehensive loss															(8,381	)					(8,381	)
Balances, December 31, 2011		39		—			71,420		1,215,229			(120,557	)		(23,498	)		(2,520	)		1,140,113
Net income												14,954									14,954
Stock issued to directors (78,000 shares)							19		336												355
Series B Preferred Stock dividends declared												(552	)								(552	)
Common stock dividends declared (3,000 shares, $0.06 per common share)							1		11			(17,133	)								(17,121	)
Restricted stock units granted									2,746												2,746
Restricted stock unit distributions (235,000 shares)							59		(39	)								(203	)		(183	)
Repurchase of common shares (350,000 shares)																		(1,941	)		(1,941	)
Other comprehensive loss															(420	)					(420	)
Balances, December 31, 2012	$	39	$	—		$	71,499	$	1,218,283		$	(123,288	)	$	(23,918	)	$	(4,664	)	$	1,137,951

The accompanying notes are an integral part of the consolidated financial statements.

Hecla Mining Company and Subsidiaries

Notes to Consolidated Financial Statements

Note 1: Summary of Significant Accounting Policies

A. Principles of Consolidation — Our Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America, and include our accounts, our wholly-owned subsidiaries’ accounts and a proportionate share of the accounts of the joint ventures in which we participate. All significant inter-company balances and transactions have been eliminated in consolidation.

B.  Assumptions and Use of Estimates — Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts and related disclosure of assets, liabilities, revenue and expenses at the date of the consolidated financial statements and reporting periods. We consider our most critical accounting estimates to be future metals prices, obligations for environmental, reclamation and closure matters, mineral reserves, and valuation of business combinations. Other significant areas requiring the use of management assumptions and estimates relate to reserves for contingencies and litigation; asset impairments, including long-lived assets and investments; valuation of deferred tax assets; inventory net realizable value; and post-employment, post-retirement and other employee benefit assets and liabilities. We have based our estimates on historical experience and on various other assumptions that we believe to be reasonable. Accordingly, actual results may differ materially from these estimates under different assumptions or conditions.

C.  Cash and Cash Equivalents — Cash and cash equivalents consist of all cash balances and highly liquid investments with a remaining maturity of three months or less when purchased and are carried at fair value. Cash and cash equivalents are invested in money market funds, certificates of deposit, U.S. government and federal agency securities, municipal securities and corporate bonds.

D.  Investments and Securities Held for Sale — We determine the appropriate classification of our investments at the time of purchase and re-evaluate such determinations at each reporting date. Short-term investments include certificates of deposit and held-to-maturity securities, based on our intent and ability to hold the securities to maturity. Marketable equity securities are categorized as available for sale and carried at fair market value.

Realized gains and losses on the sale of securities are recognized on a specific identification basis. Unrealized gains and losses are included as a component of accumulated other comprehensive income (loss), unless an other than temporary impairment in value has occurred, which would then be charged to current period net income (loss).  Unrealized gains and losses originally included in accumulated other comprehensive income are reclassified to current period net income (loss) when the sale or determination of an other than temporary impairment of securities occurs.

E.  Inventories — Inventories are stated at the lower of average costs incurred or estimated net realizable value. Major types of inventories include materials and supplies and metals product inventory, which is determined by the stage at which the ore is in the production process (stockpiled ore and finished goods). Inventories are valued at the lower of full cost of production or net realizable value based on current metals prices.

Stockpiled ore inventory represents ore that has been mined, hauled to the surface, and is available for further processing. Stockpiles are measured by estimating the number of tons added and removed from the stockpile, the number of contained metal ounces or pounds (based on assay data) and the estimated metallurgical recovery rates (based on the expected processing method). Costs are allocated to a stockpile based on relative values of material stockpiled and processed using current mining costs incurred up to the point of stockpiling the ore, including applicable overhead, depreciation, depletion and amortization relating to mining operations, and removed at each stockpile’s average cost per recoverable unit.

Finished goods inventory includes doré and concentrates at our operations, doré in transit to refiners and bullion in our accounts at refineries.

F. Restricted Cash — Restricted cash and investments primarily represent investments in money market funds and bonds of U.S. government agencies and are restricted primarily for reclamation funding or surety bonds. Restricted cash balances are carried at fair value.

G. Properties, Plants and Equipment – Costs are capitalized when it has been determined an ore body can be economically developed.  The development stage begins at new projects when our management and/or Board of Directors makes the decision to bring a mine into commercial production, and ends when the production stage, or exploitation of reserves, begins.  Expenditures incurred during the development and production stages for new facilities or new assets that extend the useful lives of existing facilities and major mine development expenditures are capitalized, including primary development costs such as costs of building access ways, shaft sinking, lateral development, drift development, ramps and infrastructure developments.

Costs for exploration, pre-development, secondary development at operating mines, and maintenance and repairs on capitalized property, plant and equipment are charged to operations as incurred.  Exploration costs include those relating to activities carried out (a) in search of previously unidentified mineral deposits, (b) at undeveloped concessions, or (c) at operating mines already containing proven and probable reserves, where a determination remains pending as to whether new target deposits outside of the existing reserve areas can be economically developed.  Pre-development activities involve costs incurred in the exploration stage that may ultimately benefit production, such as underground ramp development, which are expensed due to the lack of evidence of economic development, which is necessary to demonstrate future recoverability of these expenses. Secondary development costs are incurred for preparation of an ore body for production in a specific ore block, stope or work area, providing a relatively short-lived benefit only to the mine area they relate to, and not to the ore body as a whole.

Drilling and related costs are either classified as exploration or secondary development, as defined above, and charged to operations as incurred, or capitalized, based on the following criteria:

• Whether the costs are incurred to further define mineralization at and adjacent to existing reserve areas or intended to assist with mine planning within a reserve area;

• Whether the drilling costs relate to an ore body that has been determined to be commercially mineable, and a decision has been made to put the ore body into commercial production; and

• Whether, at the time that the cost is incurred, the expenditure: (a) embodies a probable future benefit that involves a capacity, singly or in combination, with other assets to contribute directly or indirectly to future net cash inflows, (b) we can obtain the benefit and control others’ access to it, and (c) the transaction or event giving rise to our right to or control of the benefit has already occurred.

If all of these criteria are met, drilling and related costs are capitalized.  Drilling costs not meeting all of these criteria are expensed as incurred.  The following factors are considered in determining whether or not the criteria listed above have been met, and capitalization of drilling costs is appropriate:

• Completion of a favorable economic study and mine plan for the ore body targeted;

• Authorization of development of the ore body by management and/or the Board of Directors; and

• All permitting and/or contractual requirements necessary for us to have the right to or control of the future benefit from the targeted ore body have been met.

Drilling and related costs of approximately $5.0 million, $3.6 million, and $3.6 million for the years ended December 31, 2012, 2011 and 2010, respectively, met our criteria for capitalization listed above, at our properties that are in the production stage.

When assets are retired or sold, the costs and related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is reflected in current period net income (loss).  Idle facilities placed on standby basis are carried at the lower of net carrying value or estimated net realizable value.  The net carrying values of idle facilities on standby are written-down to salvage value upon reaching the end of the economic life.  Therefore, with the exception of depreciation recorded on mobile equipment used in ongoing exploration and reclamation efforts at such properties, we do not record depreciation on idle facilities when they are not in operation.

Included in property, plant and equipment on our consolidated financial statements are mineral interests, which are tangible assets that include acquired undeveloped mineral interests and royalty interests.  Undeveloped mineral interests include: (i) mineralized material and other resources which are measured, indicated or inferred with insufficient drill spacing or quality to qualify as proven and probable reserves; and (ii) inferred material not immediately adjacent to existing proven and probable reserves but accessible within the immediate mine infrastructure.  Residual values for undeveloped mineral interests represents the expected fair value of the interests at the time we plan to convert, develop, further explore or dispose of the interests and are evaluated at least annually.

H. Depreciation, Depletion and Amortization — Capitalized costs are depreciated or depleted using the straight-line method or unit-of-production method at rates sufficient to depreciate such costs over the shorter of estimated productive lives of such facilities or the useful life of the individual assets. Productive lives range from 1 to 26 years, but do not exceed the useful life of the individual asset. Determination of expected useful lives for amortization calculations are made on a property-by-property or asset-by-asset basis at least annually. Our estimates for reserves, mineralized material, and other resources are a key component in determining our units of production depreciation rates. Our estimates of proven and probable ore reserves, mineralized material, and other resources may change, possibly in the near term, resulting in changes to depreciation, depletion and amortization rates in future reporting periods.

Undeveloped mineral interests are not amortized until such time as there is proven and probable reserves.  At that time, the basis of the mineral interest is amortized on a units-of-production basis.  Pursuant to our policy on impairment of long-lived assets (discussed further below), if it is determined that an undeveloped mineral interest cannot be economically converted to proven and probable reserves, the basis of the mineral interest is reduced to its net realizable value and an impairment loss is recorded to expense in the period in which it is determined to be impaired.

I.  Impairment of Long-lived Assets — Management reviews and evaluates the net carrying value of all facilities, including idle facilities, for impairment upon the occurrence of other events or changes in circumstances that indicate that the related carrying amounts may not be recoverable. We estimate the net realizable value of each property based on the estimated undiscounted future cash flows that will be generated from operations at each property, the estimated salvage value of the surface plant and equipment, and the value associated with property interests.

Although management has made a reasonable estimate of factors based on current conditions and information, assumptions underlying future cash flows are subject to significant risks and uncertainties. Estimates of undiscounted future cash flows are dependent upon estimates of metals to be recovered from proven and probable ore reserves, and to some extent, identified resources beyond proven and probable reserves, future production and capital costs and estimated metals prices (considering current and historical prices, forward pricing curves and related factors) over the estimated remaining mine life. It is reasonably possible that changes could occur in the near term that could adversely affect our estimate of future cash flows to be generated from our operating properties. If undiscounted cash flows including an asset’s fair value are less than the carrying value of a property, an impairment loss is recognized.

J. Proven and Probable Ore Reserves — At least annually, management reviews the reserves used to estimate the quantities and grades of ore at our mines which we believe can be recovered and sold economically. Management’s calculations of proven and probable ore reserves are based on engineering and geological estimates, including future metals prices and operating costs. From time to time, management obtains external audits of reserves. A partial third-party audit of 2012 reserves at Greens Creek was concluded during 2012.

Reserve estimates will change as existing reserves are depleted through production and as production costs and/or metals prices change. A significant drop in metals prices may reduce reserves by making some portion of such ore uneconomic to develop and produce. Changes in reserves may also reflect that actual grades of ore processed may be different from stated reserve grades because of variation in grades in areas mined, mining dilution and other factors. Our reserve estimates may change based on actual production experience. It is reasonably possible that certain of our estimates of proven and probable ore reserves will change in the near term, which could result in a change to estimated future cash flows, associated carrying values of the asset and amortization rates in future reporting periods, among other things.

Declines in the market prices of metals, increased production or capital costs, reduction in the grade or tonnage of the deposit or an increase in the dilution of the ore or reduced recovery rates may render ore reserves uneconomic to exploit. If our realized price for the metals we produce were to decline substantially below the levels set for calculation of reserves for an extended period, there could be material delays in the development of new projects, net losses, reduced cash flow, restatements or reductions in reserves and asset write-downs in the applicable accounting periods. Reserves should not be interpreted as assurances of mine life or of the profitability of current or future operations. No assurance can be given that the estimate of the amount of metal or the indicated level of recovery of these metals will be realized.

K. Pension Plans and Other Post-retirement Benefits — We maintain pension plans covering substantially all U.S. employees and provide certain post-retirement benefits for qualifying retired employees. Pension benefits generally depend on length and level of service and age upon retirement. Substantially all benefits are paid through pension trusts. We contributed approximately $0.3 million related to our unfunded supplemental executive retirement plan in years 2012, 2011 and 2010, and expect to contribute $0.3 million related to this plan in 2013. We did not contribute to our other pension plans during 2011, but contributed approximately $1.1 million to the Hecla pension plan in 2012 and expect to contribute $1.0 million to our defined benefit plans in 2013.

Regulations regarding employers’ accounting for defined benefit pension and other post-retirement plans among other things, require us to:

• Recognize the funded status of our defined benefit plans in our consolidated financial statements; and

• Recognize as a component of other comprehensive income (loss) the actuarial gains and losses and prior service costs and credits that arise during the period but are not immediately recognized as components of net periodic benefit cost.

L. Income and Production Taxes — We provide for federal, state and foreign income taxes currently payable, as well as those deferred due to timing differences between reporting income and expenses for financial statement purposes versus tax purposes. Federal, state and foreign tax benefits are recorded as a reduction of income taxes, when applicable. We record deferred tax liabilities and assets for expected future tax consequences of temporary differences between the financial statement carrying amounts and the tax bases of those assets and liabilities, as well as operating loss and tax credit carryforwards, using enacted tax rates in effect in the years in which the differences are expected to reverse.

We evaluate uncertain tax positions in a two-step process, whereby (i) it is determined whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and (ii) for those tax positions that meet the more-likely-than-not recognition threshold, the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with the related tax authority would be recognized.

We classify mine license taxes incurred in the states of Alaska and Idaho as other direct production costs reported in our gross profits. Our costs for mine license taxes for the years ended December 31, 2012, December 31, 2011, and December 31, 2010 were $5.7 million, $6.4 million, and $9.6 million, respectively. Approximately 98% or more of the taxes accrued in all three periods were for the State of Alaska.

For additional information, see Note 5 — Income Taxes.

M. Reclamation and Remediation Costs (Asset Retirement Obligations)  — At our operating properties, we record a liability for the present value of our estimated environmental remediation costs, and the related asset created with it, in the period in which the liability is incurred. The liability is accreted and the asset is depreciated over the life of the related assets. Adjustments for changes resulting from the passage of time and changes to either the timing or amount of the original present value estimate underlying the obligation are made in the period incurred.

At our non-operating properties, we accrue costs associated with environmental remediation obligations when it is probable that such costs will be incurred and they are reasonably estimable. Accruals for estimated losses from environmental remediation obligations have historically been recognized no later than completion of the remedial feasibility study for such facility and are charged to current earnings to provision for closed operations and environmental matters. Costs of future expenditures for environmental remediation are not discounted to their present value unless subject to a contractually obligated fixed payment schedule. Such costs are based on management’s current estimate of amounts to be incurred when the remediation work is performed, within current laws and regulations.

Future closure, reclamation and environmental-related expenditures are difficult to estimate in many circumstances, due to the early stage nature of investigations, uncertainties associated with defining the nature and extent of environmental contamination, the application of laws and regulations by regulatory authorities, and changes in reclamation or remediation technology. We periodically review accrued liabilities for such reclamation and remediation costs as evidence becomes available indicating that our liabilities have potentially changed. Changes in estimates at our non-operating properties are reflected in current period net income (loss).

Accruals for closure costs, reclamation and environmental matters for operating and non-operating properties totaled $113.2 million at December 31, 2012, and the majority of these expenditures relating to these accruals will be made over the next two years. It is reasonably possible the ultimate cost of reclamation and remediation could change in the future, and that changes to these estimates could have a material effect on future operating results as new information becomes known.

N. Revenue Recognition and Smelter Accounts Receivable — Sales of all metals products sold directly to smelters, including by-product metals, are recorded as revenues and accounts receivable when title and risk of loss transfer to the smelter (generally at the time of shipment) at estimated forward prices for the anticipated month of settlement. Due to the time elapsed from shipment to the smelter and the final settlement with the smelter, we must estimate the prices at which sales of our metals will be settled. Previously recorded sales and accounts receivable are adjusted to estimated settlement metals prices until final settlement by the smelter.

Sales and accounts receivable for concentrate shipments to smelters are recorded net of charges by the smelters for treatment, refining, smelting losses, and other charges negotiated by us with the smelters. Charges are estimated by us upon shipment of concentrates based on contractual terms, and actual charges do not vary materially from our estimates. Costs charged by smelters include fixed treatment and refining costs per ton of concentrate, and also include price escalators which allow the smelters to participate in the increase of lead and zinc prices above a negotiated baseline.

Changes in metals prices between shipment and final settlement will result in adjustments to revenues and accounts receivable related to sales of concentrate previously recorded upon shipment. Our concentrate sales and accounts receivable are based on provisional sales prices containing an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrates at the forward price at the time of the sale. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through earnings each period prior to final settlement.

At December 31, 2012, metals contained in concentrates and exposed to future price changes totaled 0.8 million ounces of silver, 3,912 ounces of gold, 12,189 tons of zinc, and 3,887 tons of lead.  However, as discussed in P. Risk Management Contracts below, we utilize a program to mitigate the risk of negative price adjustments with limited mark-to-market financially settled forward contracts for our zinc and lead sales.

Sales of metals in products tolled by refiners and sold directly by us, rather than sold to smelters, are recorded at contractual amounts when title and risk of loss transfer to the buyer. We sell finished metals after refining, as well as doré produced at our locations.

Sales from our Greens Creek and Lucky Friday units include significant value from by-product metals mined along with net values of each unit’s primary metal.  We periodically review our proven and probable reserves to ensure that reporting of primary products and by-products is appropriate. Within our cost per ounce calculations, because we consider zinc, lead, and gold to be by-products of our silver production, the values of these metals offset operating costs.  While value from zinc, lead, and gold is significant at Greens Creek, and value from lead and zinc is significant at Lucky Friday, we believe identification of silver as the primary product, with the other metals we produce as by-product credits, is appropriate because (i) silver has historically accounted for a higher proportion of revenue than any other metal and is expected to do so in the future, (ii) our operations are situated in mining districts associated with silver production or have deposits containing unusually high portions of silver, (iii) our operations generally utilize selective mining methods to target silver and metallurgical treatment that maximize silver recovery, and (iv) we have historically presented our operations as primary producers of silver, based on the original analyses that justified putting them into production, and believe that consistency in disclosure is important to our investors regardless of the relationships of metals prices and production from year to year.

Changes in the market price of metals significantly affect our revenues, profitability, and cash flow. Metals prices can and often do fluctuate widely and are affected by numerous factors beyond our control, such as political and economic conditions, demand, forward selling by producers, aggregation by metals speculators and others, expectations for inflation, central bank sales, custom smelter activities, the relative exchange rate of the U.S. dollar, purchases and lending, investor sentiment, and global mine production levels. The aggregate effect of these factors is impossible to predict. Because our revenue is derived from the sale of silver, gold, lead, and zinc, our earnings are directly related to the prices of these metals.

O. Foreign Currency — The functional currency for our operations located in the U.S., Mexico and Canada was the U.S. dollar for all periods presented. Accordingly, for the San Sebastian unit in Mexico and our Canadian office, we have translated our monetary assets and liabilities at the period-end exchange rate, and non-monetary assets and liabilities at historical rates, with income and expenses translated at the average exchange rate for the current period. All translation gains and losses have been included in the current period net income (loss).

For the years ended December 31, 2012, 2011 and 2010, we recognized total net foreign exchange losses of $0.1 million, $0.2 million and $37,000, respectively.  

P. Risk Management Contracts — We use derivative financial instruments as part of an overall risk-management strategy that is used as a means of managing exposure to base metals prices and interest rates. We do not hold or issue derivative financial instruments for speculative trading purposes.

We measure derivative contracts as assets or liabilities based on their fair value. Gains or losses resulting from changes in the fair value of derivatives in each period are recorded either in current earnings or other comprehensive income (“OCI”), depending on the use of the derivative, whether it qualifies for hedge accounting and whether that hedge is effective. Amounts deferred in OCI are reclassified to sales of products (for metals price-related contracts) or interest expense (for interest rate-related contracts) when the hedged transaction has occurred. Ineffective portions of any change in fair value of a derivative are recorded in current period other operating income (expense).

In the second quarter of 2010 we began utilizing two financially-settled forward contract programs to manage the exposure to changes in prices of zinc and lead contained in (i) our concentrate shipments between the time of sale and final settlement and (ii) our forecasted future concentrate shipments.  The contracts under these programs do not qualify for hedge accounting, and are marked-to-market through earnings each period.  See Note 10 for additional information on base metal derivative contracts, including open positions as of December 31, 2012.

Q. Stock Based Compensation — The fair value of the equity instruments granted to employees are estimated on the date of grant using the Black-Scholes pricing model (see Note 9 for information on the methodologies and assumptions used).   We recognized stock-based compensation expense of approximately $3.1 million, $2.1 million, and $3.4 million, respectively, during 2012, 2011 and 2010, which was recorded to general and administrative expenses, exploration and cost of sales and other direct production costs.   As of December 31, 2012, the majority of the instruments outstanding were fully vested.

For additional information on our employee stock option and unit compensation, see Note 9.

R.  Legal Costs – Legal costs incurred in connection with a potential loss contingency are accrued and recorded to expense as incurred.

S. Basic and Diluted Income (Loss) Per Common Share — We calculate basic earnings per share on the basis of the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated using weighted average number of common shares outstanding during the period plus the effect of potential dilutive common shares during the period using the treasury stock and if-converted methods.

Potential dilutive common shares include outstanding stock options, unvested restricted stock awards, stock units, warrants and convertible preferred stock for periods in which we have reported net income. For periods in which we reported net losses, potential dilutive common shares are excluded, as their conversion and exercise would be anti-dilutive. See Note 13 for additional information.

T. Comprehensive Income (Loss) — In addition to net income (loss), comprehensive income (loss) includes certain changes in equity during a period, such as adjustments to minimum pension liabilities, adjustments to recognize the over-funded or underfunded status of our defined benefit pension plans, and cumulative unrecognized changes in the fair value of available for sale investments, net of tax, if applicable.

U.  Fair Value Measurements — We disclose the following information for each class of assets and liabilities that are measured at fair value:

a. the fair value measurement;

b. the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets or liabilities (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3);

c. for fair value measurements using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following:

(1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings, and a description of where those gains or losses included in earnings  are reported in the statement of operations;

(2) the amount of these gains or losses attributable to the change in unrealized gains or losses relating to those assets or liabilities still held at the reporting period date and a description of where those unrealized gains or losses are reported;

(3) purchases, sales, issuances, and settlements (net); and

(4) transfers into and/or out of Level 3.

d. the amount of the total gains or losses for the period in (c)(1) included in earnings  that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date and a description of where those unrealized gains or losses are reported in the statement of operations; and

e. in annual periods only, the valuation technique(s) used to measure fair value and a discussion of changes in valuation techniques, if any, during the period.

V. New Accounting Pronouncements — In June 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2011-05, which, among other things, amended Subtopic 220 with respect to the presentation of other comprehensive income and its components in the financial statements. The update amended Subtopic 220 so that a SEC filer may present other comprehensive income either in a single continuous statement or in two separate but consecutive statements. The filer is also required to present on the face of the financial statements reclassification adjustments for items that are reclassified from other comprehensive income to net income in the statements where the components of net income and the components of other comprehensive income are presented. The amendments in this update apply to both annual and interim periods beginning after December 15, 2011, with the exception of the amendment regarding presentation of reclassification adjustments, which has been deferred to a later date. Adoption of this guidance did not have a material impact on our consolidated financial statements.

In May 2011, the FASB issued ASU 2011-04, which amends Subtopic 820 to clarify the application of existing common fair value measurement and disclosure requirements. ASU 2011-04 provides clarification for the following:

1.     the application of the highest and best use of valuation premise concepts;

2.     measuring the fair value of an instrument classified in shareholders' equity; and

3.     disclosures about fair value measurements.

The amendments in this update became effective for interim and annual periods beginning after December 15, 2011. Adoption of this guidance did not have a material impact on our consolidated financial statements.

In December of 2011, the FASB issued ASU 2011-11, Disclosures about Offsetting Assets and Liabilities, which enhances disclosure requirements regarding an entity's financial instruments and derivative instruments that are offset or subject to a master netting arrangement. This information about offsetting and related netting arrangements will enable users of financial statements to understand the effect of those arrangements on the entity's financial position, including the effect of rights of setoff. The amendments are required for annual reporting periods beginning after January 1, 2013, and interim periods within those annual periods. We are evaluating the impact of this guidance, but do not anticipate it will have a material impact on our consolidated financial statements.

Note 2. Cash, Investments, and Restricted Cash

Cash

Our cash is maintained in various financial institutions, with a large majority of our cash balances at December 31, 2012 invested in either U.S. government paper (treasury or agency) or U.S. government or treasury money market funds which are not insured by the Federal Deposit Insurance Corporation (“FDIC”).  A small portion of our cash balances are held in bank accounts insured by the FDIC for up to $250,000 per institution .  On December 31, 2012, the unlimited insurance coverage for noninterest-bearing accounts provided under the Dodd-Frank Wall Street Reform and Consumer Protection Act expired. Deposits that were previously insured for unlimited amounts are now aggregated with our interest bearing accounts and insured up to $250,000.  We have not experienced losses on cash balances exceeding the federally insured limits, but there can be no assurance that we will not experience such losses in the future.

Investments

At December 31, 2012 and 2011, the fair value of our non-current investments was $9.6 million and $3.9 million, respectively. Marketable equity securities are carried at fair market value, as they are classified as “available-for-sale.”  The basis of our non-current investments, representing equity securities, was approximately $8.1 million and $3.5 million, respectively, at December 31, 2012 and 2011.  During the fourth quarters of 2012 and 2011, we recognized $1.2 million and $0.1 million losses, respectively, in current earnings on impairments of equity shares, as we determined the impairments to be other-than-temporary. In 2012, we acquired common stock in other mining companies for a total cost of $5.8 million. In February 2011 we sold stock having a cost basis of approximately $0.8 million for proceeds of $1.4 million, resulting in a pre-tax gain of approximately $0.6 million.

At December 31, 2012, total unrealized gains of $1.6 million for investments held having a net gain position and total unrealized losses of $137,000 for non-current investments held having a net loss position were included in accumulated other comprehensive income (loss).

Restricted Cash and Investments

Various laws and permits require that financial assurances be in place for certain environmental and reclamation obligations and other potential liabilities. Restricted investments primarily represent investments in money market funds and certificates of deposit. These investments (which included current and non-current balances) are restricted primarily for reclamation funding or surety bonds and were $0.9 million at December 31, 2012, and $0.9 million at December 31, 2011.

Note 3: Properties, Plants, Equipment and Mineral Interests, and Lease Commitments

Properties, Plants, Equipment and Mineral Interests

Our major components of properties, plants, equipment, and mineral interests are (in thousands):

	December 31,
	2012		2011
Mining properties, including asset retirement obligations	$	294,573	$	286,873
Development costs		151,504		123,772
Plants and equipment		419,377		383,045
Land		15,788		11,188
Mineral interests		375,028		383,491
Construction in progress		176,925		125,045
		1,433,195		1,313,414
Less accumulated depreciation, depletion and amortization		436,536		390,202
Net carrying value	$	996,659	$	923,212

During 2012, we incurred total capital expenditures, excluding additions acquired under capital leases and adjustments to asset retirement obligations, of approximately $116.8 million, which included $54.7 million at the Lucky Friday unit, and $50.4 million at the Greens Creek unit. During 2011 we had capital expenditures of $33.8 million related to the acquisition of the remaining 30% interest in the San Juan Silver project (see Note 16 for more information) .

Capital Leases

During 2012 and 2011 we entered into lease agreements for equipment at our Greens Creek and Lucky Friday units which we have determined to be capital leases.  As of December 31, 2012 and 2011, we have recorded $28.9 million and $15.8 million, respectively, for the gross amount of assets acquired under the capital leases and $5.3 million and $5.7 million, respectively, in accumulated depreciation, classified as plants and equipment in Properties, plants, equipment and mineral interests.  See Note 6 for information on future obligations related to our capital leases.

Operating Leases

We enter into operating leases during the normal course of business. During the years ended December 31, 2012, 2011 and 2010, we incurred expenses of $3.1 million, $3.0 million and $3.0 million, respectively, for these leases. At December 31, 2012, future obligations under our non-cancelable operating leases were as follows (in thousands):

Year ending December 31,
2013	$	3,087
2014		3,114
2015		1,434
2016		1,438
2017		1,056
Thereafter		3,848
Total	$	13,977

Note 4: Environmental and Reclamation Activities

The liabilities accrued for our reclamation and closure costs at December 31, 2012 and 2011, were as follows (in thousands):

	2012			2011
Operating properties:
Greens Creek	$	32,856		$	36,123
Lucky Friday		1,469			1,520
Non-operating properties:
San Sebastian		200			218
Grouse Creek		2,484			13,262
Coeur d’Alene Basin		70,786			95,081
Republic		3,538			3,538
All other sites		1,882			4,069
Total		113,215			153,811
Reclamation and closure costs, current		(19,845	)		(42,248	)
Reclamation and closure costs, long-term	$	93,370		$	111,563

The activity in our accrued reclamation and closure cost liability for the years ended December 31, 2012, 2011 and 2010, was as follows (in thousands):

Balance at January 1, 2010	$	131,201
Accruals for estimated costs		196,067
Payment of reclamation obligations		(8,471	)
Balance at December 31, 2010		318,797
Accruals for estimated costs		7,869
Payment of reclamation obligations		(172,855	)
Balance at December 31, 2011		153,811
Accruals for estimated costs		4,325
Revision of estimated cash flows due to changes in reclamation plans		(3,738	)
Payment of reclamation obligations		(41,183	)
Balance at December 31, 2012	$	113,215

During the fourth quarter of 2010, we recorded an additional $193.2 million provision for remediation of the Coeur d'Alene Basin based on an understanding reached among the United States, the Coeur d’Alene Indian Tribe (“Plaintiffs”), and the State of Idaho, bringing our accrual to $262.2 million as of December 31, 2010. On September 8, 2011, a Consent Decree (the “Consent Decree”) settling environmental litigation and related claims involving Hecla Limited pertaining to historic releases of mining wastes in the Coeur d'Alene Basin was approved and entered by the U.S. District Court in Idaho. The Consent Decree resolved all existing claims of the Plaintiffs against Hecla Limited and its affiliates under the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (“CERCLA”) (and certain other statutes) for past response costs, future environmental remediation costs, and natural resource damages related to historic releases of mining wastes in the Coeur d'Alene River Basin. The Consent Decree also resolved all remaining obligations of Hecla Limited under the 1994 Consent Decree relating to the “Box,” a rectangular 21-square-mile site located near Kellogg, Idaho within the Bunker Hill Superfund site. The Consent Decree contains comprehensive terms of settlement, including financial terms which require that Hecla Limited pay, in the aggregate, $264.4 million to the Plaintiffs over approximately three years following the settlement. Payments of approximately $168 million and $25 million (and related interest) were made in October 2011 and 2012, respectively, pursuant to the terms of the Consent Decree. Hecla Limited remains obligated under the Consent Decree to make the following payments:

• $15 million of cash by October 8, 2013; and

• Approximately $55.5 million by August 2014, in the form of quarterly payments of the proceeds from the exercise of any outstanding Series 1 and Series 3 warrants (which have an exercise price of between $2.41 and $2.52 per share) during the quarter, with the remaining balance, if any, due in August 2014, regardless of whether any of the remaining warrants are exercised.

The payments require third party surety for which Hecla Limited pays an annual maintenance fee which will decrease as payments are made according to the foregoing schedule. Annual maintenance fees of $0.6 million and $0.4 million were paid in October 2011 and 2012, respectively.   The $15 million payment accrues interest from the entry of the Consent Decree until payment at the Superfund rate (ranging from 0.69% to 0.78%).

In March 2010, Hecla Limited received an invoice for $5.3 million from the EPA to cover response costs incurred by the EPA in performing work required by the Bunker Hill Superfund Site Consent Decree.  Prior to this invoice, Hecla Limited determined its potential range of liability for these costs of between $2.7 and $6.8 million, and accrued $2.7 million (the minimum of this range), as we believed no amount within the range was more likely than any other.  Upon receiving the EPA’s March invoice, Hecla Limited increased its accrual to $5.3 million in the first quarter of 2010, and resolved the claim with payment of the invoice amount in May 2010.  

Asset Retirement Obligations

Below is a reconciliation as of December 31, 2012 and 2011 (in thousands) of the asset retirement obligations relating to our operating properties, which are included in our total accrued reclamation and closure costs of $113.2 million and $153.8 million, respectively, discussed above. The estimated reclamation and abandonment costs were discounted using credit adjusted, risk-free interest rates ranging from 6% to 8% from the time we incurred the obligation to the time we expect to pay the retirement obligation.

	2012			2011
Balance January 1	$	37,643		$	36,397
Changes in obligations due to changes in reclamation plans		(3,720	)		387
Accretion expense		1,128			1,119
Payment of reclamation obligations		(726	)		(260	)
Balance at December 31	$	34,325		$	37,643

The ARO for our Greens Creek mine of $36.1 million as of December 31, 2011 reflected a plan for reclamation and closure of the mine at the end of its life having estimated undiscounted costs of approximately $53.4 million.  In April 2012, the United States Forest Service issued a draft Environmental Impact Statement in connection with our proposal to increase tailings capacity at the Greens Creek mine. As part of that process and our regular (every 5 years) renewal of our Waste Management Permit with the State of Alaska, we have initiated work on an update of our reclamation and closure plan having estimated undiscounted closure costs of approximately $73.9 million. The expected increase in closure costs results primarily from the possible inclusion of long term water treatment on an increased scale compared to what was included as part of our prior permit renewals. This increase in scale is the result of new interpretations of model data by the State that were not included in our prior permit renewals. Although the revised closure plan is not final, we believe that we had sufficient information to make a reasonable estimate of the change in the fair value of the ARO as of December 31, 2012.  In spite of the anticipated increase in undiscounted costs discussed above, the ARO liability for Greens Creek was reduced by $4.4 million to a balance of $32.9 million as of December 31, 2012, on a discounted basis, as a result of the update in the fourth quarter of 2012. The ARO decrease is the result of (i) a large portion of the anticipated increase in overall undiscounted costs being related to long-term water treatment, which is scheduled to take place in years far out into the future, (ii) the effect of discounting the ARO layers associated with various plan updates using different discount rates, and (iii) a delay in the timing of some of the costs included in the previous reclamation and closure plan. We expect to again update our ARO and revise our closure plan in 2013 for tailings capacity expansion at Greens Creek.  Adjustments to the ARO liability are recorded with corresponding increases to the ARO asset balance, which is included in properties, plants, equipment, and mineral interests, net on our Consolidated Balance Sheets.  As a result, we do not anticipate future updates in the ARO for Greens Creek to have a material impact on our annual results of operations. However, as part of the revised closure plan, we may be required to increase our current $30 million reclamation bond for Greens Creek. Although we do not know the amount of such increase, it likely will be a material amount, and there can be no assurance that this bonding capacity will be available to us at that time.

Note 5: Income Taxes

Major components of our income tax provision (benefit) for the years ended December 31, 2012, 2011 and 2010 are as follows (in thousands):

	2012			2011		2010
Current:
Federal	$	7,411		$	3,823	$	10,063
State		(325	)		752		6,694
Foreign		459			459		459
Total current income tax provision		7,545			5,034		17,216
Federal and state deferred income tax (benefit) provision		1,334			76,944		(140,748	)
Total income tax (benefit) provision	$	8,879		$	81,978	$	(123,532	)

Domestic and foreign components of income (loss) before income taxes for the years ended December 31, 2012, 2011 and 2010, are as follows (in thousands): 

	2012			2011			2010
Domestic	$	37,025		$	244,833		$	(66,348	)
Foreign		(13,192	)		(11,691	)		(8,201	)
Total	$	23,833		$	233,142		$	(74,549	)

The annual tax provision (benefit) is different from the amount that would be provided by applying the statutory federal income tax rate to our pretax income (loss). The reasons for the difference are (in thousands):

	2012					2011					2010
Computed “statutory” (benefit) provision	$	8,342		35	%	$	81,600		35	%	$	(26,092	)	(35	)%
Percentage depletion		(5,575	)	(24	)		(13,751	)	(6	)		(8,858	)	(12	)
Net increase (utilization) of U.S. and foreign tax loss carryforwards		3,837		16			3,822		2			2,713		3
Change in valuation allowance other than utilization		—		—			—		—			(88,069	)	(118	)
State taxes, net of federal taxes		1,110		5			10,890		5			(4,717	)	(6	)
Effect of U.S. AMT, foreign taxes other		1,165		5			(583	)	(1	)		1,491		2
	$	8,879		37	%	$	81,978		35	%	$	(123,532	)	(13	)%

We evaluated the positive and negative evidence available to determine the amount of valuation allowance required on our deferred tax assets.  At December 31, 2012 and 2011, the balances of our valuation allowances were $23 million, primarily for foreign net operating loss carryforwards. For the year ended December 31, 2012, deferred tax assets remained constant, on a net basis, with utilization matching additions.  The individual components of our net deferred tax assets are reflected in the table below. For the year ended December 31, 2011, the U.S. federal and state deferred tax assets for tax loss carryforwards were reduced by utilization of approximately $71 million. Also, during the fourth quarter of 2010, due to increased gross profits and a favorable outlook for metal prices supporting future taxable income and our assessment that our deferred tax assets were more likely than not recoverable, we recorded a reduction in valuation allowance on U.S. deferred assets of $88 million. The amount of the deferred tax asset considered recoverable, however, could be reduced in the near term if estimates of future taxable income are reduced.

The components of the net deferred tax asset were as follows (in thousands):

	December 31,
	2012			2011
Deferred tax assets:
Accrued reclamation costs	$	45,653		$	62,225
Deferred exploration		32,396			18,585
Foreign net operating losses		20,247			20,234
Federal net operating losses		44,146			47,875
State net operating losses		668			2,445
AMT credit carryforwards		24,603			15,210
Pension and benefit obligation		12,488			9,940
Miscellaneous		17,437			16,002
Total deferred tax assets		197,638			192,516
Valuation allowance		(23,030	)		(22,895	)
Total deferred tax assets		174,608			169,621
Deferred tax liabilities:
Unrealized gain on derivatives contracts		(1,262	)		(13,293	)
Properties, plants and equipment		(57,583	)		(40,490	)
Total deferred tax liabilities		(58,845	)		(53,783	)
Net deferred tax asset	$	115,763		$	115,838

We plan to permanently reinvest earnings from foreign subsidiaries. For the years 2012, 2011 and 2010, we had no unremitted foreign earnings. Foreign net operating losses carried forward are shown above as a deferred tax asset, with a corresponding valuation allowance as discussed below.

We recorded a valuation allowance to reflect the estimated amount of deferred tax assets, which may not be realized principally due to the expiration of foreign net operating losses and foreign tax credit carryforwards. The changes in the valuation allowance for the years ended December 31, 2012, 2011 and 2010, are as follows (in thousands):

		2,012			2,011			2,010
Balance at beginning of year	$	(22,895	)	$	(19,073	)	$	(104,429	)
Increase related to non-utilization of net operating loss carryforwards and non-recognition of deferred tax assets due to uncertainty of recovery		(3,837	)		(3,822	)		(2,713	)
Decrease related to net recognition of deferred tax assets		—			—			88,069
Decrease related to utilization and expiration of deferred tax assets, other		3,702			—			—
Balance at end of year	$	(23,030	)	$	(22,895	)	$	(19,073	)

As of December 31, 2012, for U.S. income tax purposes, we have federal and state net operating loss carryforwards of $146 million and $25 million, respectively.  These net operating loss carryforwards have a 20 year expiration period, the earliest of which could expire in 2020.  We have foreign net operating loss carryforwards of approximately $68 million, which expire between 2013 and 2032. We have approximately $25 million in alternative minimum tax credit carryforwards which do not expire and are eligible to reduce future U.S. tax liabilities.  Our utilization of U.S. net operating loss carryforwards may be subject to annual limitations if there is a change in control as defined under Internal Revenue Code Section 382.

In addition, at December 31, 2012 and 2011 we had $19 million and $20 million, respectively, of additional federal net operating loss carryovers relating to excess tax benefits from the exercise of employee stock options and the vesting of restricted stock awards. These amounts are not reflected in our deferred tax asset for net operating loss carryovers. We recognize the excess tax benefits from the exercise of employee stock options and the vesting of restricted stock awards in the period in which these tax benefits reduce income taxes payable, after net operating loss carryforwards are fully utilized.

We file income tax returns in the U.S. federal jurisdiction, various state and foreign jurisdictions.  We are no longer subject to income tax examinations by U.S. federal and state tax authorities for years prior to 1996, or examinations by foreign tax authorities for years prior to 2006.  We currently have no tax years under examination.

We had no unrecognized tax benefits as of December 31, 2012 or December 31, 2011.  Due to the net operating loss carryover provision, coupled with the lack of any unrecognized tax benefits, we have not provided for any interest or penalties associated with any uncertain tax positions.  If interest and penalties were to be assessed, our policy is to charge interest to interest expense, and penalties to other operating expense.  It is not anticipated that there will be any significant changes to unrecognized tax benefits within the next 12 months.

Note 6: Credit Facilities and Capital Leases

Credit Facilities

We have a $150 million senior secured revolving credit facility, which is collateralized by the shares of common stock held in our material subsidiaries and by our joint venture interests in the Greens Creek mine, all of our rights and interests in the joint venture agreement, and all of our rights and interests in the assets of the joint venture.  This credit facility originated with a $60 million senior secured revolving credit agreement entered into in October 2009 that has been amended several times to its current form. Amounts borrowed under the credit agreement are available for general corporate purposes.  The interest rate on outstanding loans under the agreement is between 3.00% and 3.75% above the LIBOR or an alternative base rate plus an applicable margin of between 2.00% and 2.75%.  We are required to pay a standby fee of between 0.825% and 1.05% per annum on undrawn amounts under the revolving credit agreement.  The credit facility is effective until August 1, 2015. In 2012, we incurred $0.5 million in interest expense for the amortization of loan origination fees and $1.0 million in interest expense for commitment fees relating to the credit agreement.  

The credit agreement includes various covenants and other limitations related to our various financial ratios and indebtedness and investments, as well as other information and reporting requirements, including the following limitations:

• Leverage ratio (calculated as total debt divided by EBITDA) of not more than 3.0:1.

• Interest coverage ratio (calculated as EBITDA divided by interest expense) of not less than 3.0:1.

• Current ratio (calculated as current assets divided by current liabilities) of not less than 1.10:1.

• Tangible net worth of greater than $500 million.

We were in compliance with all covenants under the credit agreement as of December 31, 2012.  We have not drawn funds on the current revolving credit facility as of the filing date of this Form 10-K.

Capital Leases

Since 2009, we have entered into various lease agreements for equipment at our Greens Creek and Lucky Friday units, which we have determined to be capital leases.  At December 31, 2012, the total liability balance associated with capital leases, including purchase option amounts, was $17.5 million, with $5.6 million of the liability classified as current and $11.9 million classified as non-current. At December 31, 2011, the total liability balance associated with capital leases was $10.3 million, with $4.0 million of the liability classified as current and $6.3 million classified as non-current. The annual maturities of capital lease commitments, including interest, as of December 31, 2012 are:

Year ending December 31,
2013	$	6,049
2014		5,821
2015		4,618
2016		1,931
Total		18,419
Less: imputed interest		(920	)
Net capital lease obligation	$	17,499

Note 7: Commitments and Contingencies

Rio Grande Silver Guaranty

Our wholly-owned subsidiary, Rio Grande Silver Inc. (“Rio”), is party to a joint venture with Emerald Mining & Leasing, LLC (“EML”) and certain other parties with respect to a land package in the Creede Mining District of Colorado that is adjacent to other land held by Rio. Rio holds a 70% interest in the joint venture. In connection with the joint venture, we are required to guarantee certain environmental remediation-related obligations of EML to a third party up to a maximum liability to us of $2.5 million. As of December 31, 2012, we have not been required to make any payments pursuant to the guaranty. We may be required to make payments in the future, limited to the $2.5 million maximum liability, should EML fail to meet its obligations to the third party. However, to the extent that any payments are made by us under the guaranty, EML, in addition to other parties, have jointly and severally agreed to reimburse and indemnify us for any such payments. We have not recorded a liability relating to the guaranty as of December 31, 2012.

Lucky Friday Water Permit Exceedances

Over the last several years, the Lucky Friday unit has experienced several regulatory issues relating to its water discharge permits and water management more generally.

• In late 2008 and during 2009, Hecla Limited experienced a number of alleged water permit exceedances for water discharges at its Lucky Friday unit. These alleged violations resulted in Hecla Limited entering into a Consent Agreement and Final Order (“CAFO”) and a Compliance Order with the EPA in April 2009, which included an extended compliance timeline. In connection with the CAFO, Hecla Limited agreed to pay the maximum administrative penalty to the EPA of $177,500 to settle any liability for such alleged exceedances.

• In 2009, additional alleged permit exceedances for water discharges at the Lucky Friday unit occurred. In 2010, alleged unpermitted discharges of waste water occurred at the Lucky Friday unit. These alleged permit exceedances and some, but not all of the alleged unpermitted discharges were the subject of a December 2010 Notice of Violation (“2010 NOV”) from the EPA informing Hecla Limited that the EPA was prepared to seek civil penalties for these alleged violations. In the 2010 NOV, the EPA invited Hecla Limited to discuss these matters with them prior to filing a complaint. Hecla Limited disputes certain of the EPA's assertions, but initiated negotiations with the EPA in an attempt to resolve the matter, including performing additional water quality monitoring to better understand the quality and source of the alleged unpermitted discharge. There has not been any resolution of the 2010 NOV.

• In October 2012, the Lucky Friday had a weekly water sample which, when tested, exceeded the permit concentration limit for lead (but not the associated load limit). Also in October 2012, heavy rains resulted in alleged impacted storm water being discharged to a nearby river for which in February 2013, the EPA issued a NOV and request for information to Hecla Limited ("2013 NOV"). In the 2013 NOV, the EPA alleges that the October 2012 storm water incident was a violation of Hecla Limited's separate storm water permit.

• In November 2012, the Lucky Friday had a weekly water sample which, when tested, exceeded certain permit limits for zinc. Although they have not yet formally done so, it is possible that the EPA could issue a NOV for the 2012 permit exceedances. In addition, since the 2010 NOV is still unresolved, we believe it is likely that the EPA will refer the 2012 incidents, 2013 NOV, the 2010 NOV, and possibly some additional alleged unpermitted discharges from 2010 that were not included in the 2010 NOV, to the U.S. Department of Justice (“DOJ”) to file a civil complaint against Hecla Limited. There is the potential for larger civil penalties in the context of a DOJ complaint than in administrative actions by the EPA such as the 2009 CAFO.

Hecla Limited strives to maintain its water discharges and water management generally at the Lucky Friday unit in full compliance with its permits and applicable laws, however we cannot provide assurances that it will be able to fully comply with the permit limits and other regulatory requirements regarding water management in the future.

While we believe we may face some liability for the above water issues, we do not believe that any such liability will have a material adverse effect on our results from operations or financial position.

Johnny M Mine Area near San Mateo, McKinley County, New Mexico

In May 2011, the EPA made a formal request to Hecla Mining Company for information regarding the Johnny M Mine Area near San Mateo, McKinley County, New Mexico, and asserted that Hecla Mining Company may be responsible under CERCLA for environmental remediation and past costs the EPA has incurred at the site. Mining at the Johnny M was conducted for a limited period of time by a predecessor of our subsidiary, Hecla Limited. In August 2012, Hecla Limited and the EPA entered into a Settlement Agreement and Administrative Order on Consent for Removal Action (“Consent Decree”), pursuant to which Hecla Limited agreed to pay (i) $1.1 million to the EPA for its past response costs at the site and (ii) any future response costs at the site, in exchange for a covenant not to sue by the EPA. The Consent Decree also describes additional work at the site to be conducted by Hecla Limited. Hecla Limited paid the $1.1 million to the EPA for its past response costs in the fourth quarter of 2012, and our consolidated financial statements as of December 31, 2012 include an accrual balance by Hecla Limited of $0.3 million for investigation and planning costs. We cannot with any degree of certainty estimate the amount of any additional liability Hecla Limited may face at the site until, at a minimum, the amount and type of remediation required have been determined.

Carpenter Snow Creek Site, Cascade County, Montana

In July 2010, the EPA made a formal request to Hecla Mining Company for information regarding the Carpenter Snow Creek Superfund Site located in Cascade County, Montana. The Carpenter Snow Creek Site is located in a historic mining district, and in the early 1980s Hecla Limited leased 6 mining claims and performed limited exploration activities at the site. Hecla Limited terminated the mining lease in 1988.

In June 2011, the EPA informed Hecla Limited that it believes Hecla Limited, among several other viable companies, may be liable for cleanup of the site or for costs incurred by the EPA in cleaning up the site. The EPA stated in the June 2011 letter that it has incurred approximately $4.5 million in response costs and estimated that total remediation costs may exceed $100 million. Because Hecla Limited had very limited activity at the site, we do not believe that the outcome of the claim will have a material adverse effect on our results from operations or financial position. We have not recorded a liability relating to the site as of December 31, 2012.

States of South Dakota and Colorado Superfund Sites Related to CoCa Mines, Inc.

In 1991, Hecla Limited acquired all of the outstanding common stock of CoCa Mines, Inc. (“CoCa”). Coca is alleged to have engaged in exploration at the Gilt Edge Mine in South Dakota as well as in the area adjacent to the Nelson Tunnel property in Creede, Colorado.

Gilt Edge Mine Superfund Site

In August 2008, the EPA made a formal request to CoCa for information regarding the Gilt Edge Mine Site located in Lawrence County, South Dakota, and asserted that CoCa may be liable for environmental cleanup at the site. The Gilt Edge Mine Site was explored and/or mined beginning in the 1890s. In the early 1980s, CoCa was involved in a joint venture that conducted a limited program of exploration work at the site. This joint venture terminated in 1984, and by 1985 CoCa had divested itself of any interest in the property.

In July 2010 the United States informed CoCa that it intends to pursue CoCa and several other potentially responsible parties on a joint and several basis for liability for past and future response costs at Gilt Edge under CERCLA. Currently, the United States alleges that CoCa is liable based on participation in the joint venture, and that CoCa has succeeded to the liabilities of its predecessor at the site, Congdon & Carey, which may have held certain property interests at the site.

 As of January 2010, the EPA had allegedly incurred approximately $91 million in response costs to implement remedial measures at the Gilt Edge site, and estimated future response costs of $72 million. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its involvement with the Gilt Edge site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited.

We believe that Hecla Limited is not liable for any cleanup at the site, and if CoCa might be liable, it has limited assets with which to satisfy any such liability. Settlement negotiations with the EPA commenced in 2010 and are ongoing, but there can be no assurance such negotiations will be successful.

Nelson Tunnel/Commodore Waste Rock Pile Superfund Site

In August 2009, the EPA made a formal request to CoCa for information regarding the Nelson Tunnel/Commodore Waste Rock Pile Superfund Site in Creede, Colorado. A timely response was provided and the EPA later arranged to copy additional documents. CoCa was involved in exploration and mining activities in Creede during the 1970s and the 1980s. No formal claim for response costs under CERCLA has been made against CoCa for this site. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its historical activities in the vicinity of the site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited. Therefore, we believe that Hecla Limited is not liable for any cleanup, and if CoCa might be liable, it has limited assets with which to satisfy any such liability.

Other Commitments

Our contractual obligations as of December 31, 2012 included approximately $3.4 million for commitments relating to capital items, along with $0.5 million for various non-capital costs. In addition, our commitments relating to open purchase orders at December 31, 2012 included approximately $4.1 million and $0.9 million, respectively, for various capital items at the Greens Creek and Lucky Friday units, and approximately $0.5 million and $0.3 million, respectively, for various non-capital costs. We also have total commitments of approximately $18.4 million relating to scheduled payments on capital leases, including interest, primarily for equipment at our Greens Creek and Lucky Friday units (see Note 6 for more information).

We had letters of credit for approximately $1.2 million outstanding as of December 31, 2012 for workers' compensation insurance bonding.

Other Contingencies

On February 1, 2012, a purported Hecla stockholder filed a putative class action lawsuit in U.S. District Court for the District of Idaho against Hecla and certain of our officers, one of whom is also a director. The complaint, purportedly brought on behalf of all purchasers of Hecla common stock from October 26, 2010 through and including January 11, 2012, asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and seeks, among other things, damages and costs and expenses. Specifically, the complaint alleges that Hecla, under the authority and control of the individual defendants, made certain false and misleading statements and allegedly omitted certain material information related to operational issues at the Lucky Friday mine. The complaint alleges that these actions artificially inflated the market price of Hecla common stock during the class period, thus purportedly harming investors who purchased shares during that time. A second suit was filed on February 14, 2012, alleging virtually identical claims. These complaints have been consolidated into a single case, a lead plaintiff and lead counsel has been appointed by the Court (Bricklayers of Western Pennsylvania Pension Plan, et al. v. Hecla Mining Company et al., Case No. 12-0042 (D. Idaho)), and a consolidated amended complaint was filed on October 16, 2012. In January 2013, we filed a motion to dismiss the complaint. We cannot predict the outcome of this lawsuit or estimate damages if plaintiffs were to prevail. We believe that these claims are without merit and intend to defend them vigorously.

Related to the above described class action lawsuit, Hecla is named as a nominal defendant in two pending shareholder derivative lawsuits which name as defendants certain Hecla executives and members of Hecla's Board of Directors. The cases are: In Re Hecla Mining Company Derivative Shareholder Litigation, Case No. 2:12-cv-00097 (D. Idaho) and In Re Hecla Mining Inc. [sic] Shareholder Derivative Litigation, Case No. 12-1506 (Kootenai Cnty. Dist. Ct.).  In general terms, these lawsuits allege breaches of fiduciary duties by the individual defendants and seek damages, purportedly on behalf of Hecla. In January 2013, a consolidated amended complaint was filed in each of these lawsuits. In February 2013, we filed a motion to dismiss each of these complaints. A third derivative case, South, et al. v. Baker, et al., Case No. 7294-VCL (Del. Ch. Ct.), was dismissed with prejudice by the Delaware Court of Chancery on September 25, 2012. In addition, the Board of Directors has received two letters on behalf of purported shareholders demanding that Hecla commence litigation against certain executives and directors on substantially similar grounds. Hecla's board has concluded the actions requested by both demands would be contrary to the Company's best interest given the pendency of other, related litigation against the Company.

In March 2012, Hecla Limited received notice of a complaint filed against it by the United Steel Workers, Local 5114, with the Federal Mine Safety and Health Review Commission for compensation for bargaining unit workers at the Lucky Friday mine idled as a result of the previously-announced, temporary suspension of production at the mine. The complaint alleges the bargaining unit workers are entitled to compensation under Section 111 of Federal Mine Safety and Health Act of 1977 from November 16, 2011 - the date an order was issued by the Mine Safety Health Administration (“MSHA”) to Hecla Limited - until such time as the order is terminated. We submitted a motion for summary decision to the administrative law judge within the Federal Mine Safety and Health Review Commission which was denied in December 2012. Currently we are awaiting further proceedings. We believe the claim is without merit, and that all wages due under Section 111, which was an immaterial amount, have already been paid. We may face a liability as a result of the union's claim in the range of $0 to $10 million; however, we have not recorded a liability relating to the claim as of December 31, 2012.

We are subject to other legal proceedings and claims which arise from time to time. These can include, but are not limited to, legal proceedings and/or claims pertaining to environmental or safety matters. For example, in April 2011, a fatal accident occurred at the Lucky Friday Mine which was investigated by MSHA. In November 2011, an accident occurred as part of the construction of #4 Shaft which resulted in the fatality of one contractor employee. In an unrelated incident, in December 2011, a rock burst occurred in a primary access way at the Lucky Friday and injured seven employees, none fatally. At the end of 2011, MSHA began a special impact investigation at the Lucky Friday mine which resulted in an order to remove built-up cementitious material from the Silver Shaft, the primary access way from the surface at the Lucky Friday mine. As a result of MSHA's investigations related to these events, Hecla Limited has been issued monetary penalties (none of which are material, individually or in the aggregate), and may face additional enforcement actions, including additional monetary penalties from MSHA or other governmental agencies. Although there can be no assurance as to the ultimate disposition of these other matters, we believe they will not have a material adverse effect on our results from operations or financial position.

Note 8: Employee Benefit Plans

Pensions and Other Post-retirement Plans

We sponsor defined benefit pension plans covering substantially all U.S. employees and we provide certain post-retirement benefits for qualifying retired employees. The following tables provide a reconciliation of the changes in the plans’ benefit obligations and fair value of assets over the two-year period ended December 31, 2012, and the funded status as of December 31, 2012 and December 31, 2011 (in thousands):

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Change in benefit obligation:
Benefit obligation at beginning of year	$	87,895		$	76,925		$	65		$	68
Service cost		3,974			3,877			—			—
Interest cost		4,069			4,114			3			3
Participants' contributions		29			—			—			—
Amendments		—			396			—			—
Actuarial loss		7,450			6,476			7			4
Benefits paid		(4,050	)		(3,893	)		(12	)		(10	)
Benefit obligation at end of year		99,367			87,895			63			65
Change in fair value of plan assets:
Fair value of plan assets at beginning of year		65,082			70,462			—			—
Actual return (loss) on plan assets		6,007			(1,818	)		—			—
Employer contributions		1,447			331			12			10
Participants' contributions		29			—			—			—
Benefits paid		(4,050	)		(3,893	)		(12	)		(10	)
Fair value of plan assets at end of year		68,515			65,082			—			—
Funded status at end of year	$	(30,852	)	$	(22,813	)	$	(63	)	$	(65	)

We also sponsor post-retirement term life insurance benefits for substantially all retirees who retire from active service. The accumulated post-retirement benefit obligation under all such plans totaled $1.9 million at December 31, 2012 and $1.6 million at December 31, 2011. We are indemnified by insurance carriers for all retiree term life coverage.

The following table provides the amounts recognized in the consolidated balance sheets as of December 31, 2012 and December 31, 2011 (in thousands):

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Current liabilities:
Accrued benefit liability	$	(322	)	$	(330	)	$	(3	)	$	(3	)
Other non- current liabilities:
Accrued benefit liability		(30,530	)		(22,484	)		(60	)		(62	)
Accumulated other comprehensive (income) loss		33,545			30,747			(305	)		(340	)
Net amount recognized	$	2,693		$	7,933		$	(368	)	$	(405	)

The benefit obligation and prepaid benefit costs were calculated by applying the following weighted average assumptions:

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Discount rate: net periodic pension cost		4.75	%		5.50	%		—	%		—	%
Discount rate: projected benefit obligation		4.00	%		4.75	%		4.00	%		4.75	%
Expected rate of return on plan assets		7.20	%		8.00	%		—	%		—	%
Rate of compensation increase		4.00	%		4.00	%		—	%		—	%

The above assumptions were calculated based on information as of December 31, 2012 and December 31, 2011, the measurement dates for the plans. The discount rate is based on the yield curve for investment-grade corporate bonds as published by the U.S. Treasury Department. The expected rate of return on plan assets is based upon consideration of the plan’s current asset mix, historical long-term return rates and the plan’s historical performance. Our current expected rate on plan assets of 7.2% is based on historical returns over the past ten years.

Net periodic pension cost for the plans consisted of the following in 2012, 2011, and 2010 (in thousands):

	Pension Benefits									Other Benefits
	2012			2011			2010			2012			2011			2010
Service cost	$	3,974		$	3,877		$	2,203		$	—		$	—		$	—
Interest cost		4,068			4,114			3,724			3			4			4
Expected return on plan assets		(4,581	)		(5,481	)		(5,041	)		—			—			—
Amortization of prior service cost		401			403			602			—			—			—
Amortization of net gain (loss) from earlier periods		2,826			880			867			(28	)		(31	)		(33	)
Net periodic pension cost	$	6,688		$	3,793		$	2,355		$	(25	)	$	(27	)	$	(29	)

The allocations of investments at December 31, 2012 and December 31, 2011, the measurement dates of the plan, by asset category in the Hecla Mining Company Retirement Plan and the Lucky Friday Pension Plan are as follows:

	Hecla						Lucky Friday
	2012			2011			2012			2011
Cash		1	%		1	%		1	%		1	%
Large cap U.S. equities		11	%		13	%		9	%		12	%
Small cap U.S. equities		4	%		4	%		5	%		4	%
Non-U.S. equities		10	%		9	%		10	%		9	%
Fixed income		33	%		37	%		34	%		38	%
Real estate		18	%		13	%		17	%		13	%
Absolute return hedge funds		13	%		13	%		14	%		13	%
Real return		10	%		10	%		10	%		10	%
Total		100	%		100	%		100	%		100	%

The "Precious metals and other" asset category in the table above includes our common stock in the amounts of $2.9 million and $2.6 million at December 31, 2012 and December 31, 2011. These investments represent approximately 4% of the total combined assets of these plans at both December 31, 2012 and December 31, 2011.

Our statement of investment policy delineates the responsibilities of the board, the management investment committee, the investment manager(s), and investment adviser/consultant, and provides guidelines on investment management. Investment objectives are established for each of the asset categories included in the pension plans with comparisons of performance against appropriate benchmarks. Our policy calls for investments to be supervised by qualified investment managers. The investment managers are monitored on an ongoing basis by our outside consultant, with formal reporting to us and the consultant performed each quarter. The policy sets forth the following allocation of assets:

	Target			Minimum			Maximum
Large cap U.S. equities		10	%		7	%		13	%
Small cap U.S. equities		5	%		4	%		6	%
Non-U.S. equities		10	%		8	%		12	%
Fixed income		35	%		29	%		43	%
Real estate		15	%		12	%		18	%
Absolute return hedge funds		15	%		12	%		18	%
Real return		10	%		8	%		12	%

Our statement of investment policy and objectives aspires to achieve the assumed long term rate of return on plan assets established by the plan’s actuary plus one percent.

Accounting guidance has established a hierarchy of assets measured at fair value on a recurring basis. The three levels included in the hierarchy are:

Level 1: quoted prices in active markets for identical assets or liabilities

Level 2: significant other observable inputs

Level 3: significant unobservable inputs

The fair values by asset category in each plan, along with their hierarchy levels, are as follows as of December 31, 2012 (in thousands):

	Hecla								Lucky Friday
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Interest-bearing cash	$	683	$	—	$	—	$	683	$	198	$	—	$	—	$	198
Common stock		2,309		—		—		2,309		588		—		—		588
Real estate		—		—		9,611		9,611		—		—		2,513		2,513
Collective investment funds		—		10,095		7,251		17,346		—		2,469		1,978		4,447
Mutual funds		24,183		—		—		24,183		6,637		—		—		6,637
Total fair value	$	27,175	$	10,095	$	16,862	$	54,132	$	7,423	$	2,469	$	4,491	$	14,383

The following is a roll-forward of assets in Level 3 of the fair value hierarchy (in thousands):

	Hecla		Lucky Friday
Beginning balance at December 31, 2011	$	13,300	$	3,566
Net unrealized gains on assets held at the reporting date		838		187
Purchases		2,724		738
Ending balance at December 31, 2012	$	16,862	$	4,491

Of the $21.4 million in plan assets classified as Level 3, $12.1 million was invested in real estate, while $8.2 million was invested in collective investment funds.

The fair values by asset category in each plan, along with their hierarchy levels, were as follows as of December 31, 2011 (in thousands):

	Hecla								Lucky Friday
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Interest-bearing cash	$	609	$	—	$	—	$	609	$	166	$	—	$	—	$	166
Common stock		2,071		—		—		2,071		527		—		—		527
Real estate		—		—		6,497		6,497		—		—		1,709		1,709
Common collective funds		—		12,641		6,803		19,444		—		3,310		1,857		5,167
Mutual funds		22,667		—		—		22,667		6,225		—		—		6,225
Total fair value	$	25,347	$	12,641	$	13,300	$	51,288	$	6,918	$	3,310	$	3,566	$	13,794

The following is a roll-forward of assets in Level 3 of the fair value hierarchy (in thousands):

	Hecla		Lucky Friday
Beginning balance at December 31, 2010	$	12,508	$	3,356
Net unrealized gains on assets held at the reporting date		391		104
Purchases		401		106
Ending balance at December 31, 2011	$	13,300	$	3,566

Of the $16.9 million reported as level 3 assets above, $8.2 million was comprised of real estate funds, while the remainder was invested in common collective funds.

Generally, investments are valued based on information provided by fund managers to our trustee as reviewed by management and its investment advisers. Mutual funds and equities are valued based on available exchange data. Commingled equity funds consist of publicly-traded investments. Fair value for real estate and private equity partnerships is primarily based on valuation methodologies that include third-party appraisals, comparable transactions, and discounted cash flow valuation models.

Future benefit payments, which reflect expected future service as appropriate, are estimates of what will be paid in the following years (in thousands):

Year Ending December 31,	Pension Plans		Other Post- Employment Benefit Plans
2013	$	4,769	$	3
2014		4,951		8
2015		5,083		6
2016		5,320		8
2017		5,601		7
Years 2018-2022		34,011		26

We expect to contribute approximately $1.0 million to our funded pension plans and $0.3 million related to our unfunded supplemental executive retirement plan during 2013.

The following table describes plans for which accumulated benefit obligations ("ABO") were in excess of plan assets, and for which plan assets exceeded ABO (in thousands).

	December 31, 2012				December 31, 2011
	ABO Exceeds Plan Assets		Plan Assets Exceed ABO		ABO Exceeds Plan Assets		Plan Assets Exceed ABO
Projected benefit obligation	$	99,367	$	—	$	87,895	$	—
Accumulated benefit obligation		92,590		—		81,018		—
Fair value of plan assets		68,515		—		65,082		—

For the pension plans and other benefit plans, the following amounts are included in "Accumulated other comprehensive loss, net" on our balance sheet as of December 31, 2012, that have not yet been recognized as components of net periodic benefit cost (in thousands):

	Pension Benefits		Other Benefits
Unamortized net (gain)/loss	$	31,649	$	305
Unamortized prior service cost		1,896		—

The amounts in "Accumulated other comprehensive loss, net" expected to be recognized as components of net periodic benefit cost during 2013 are (in thousands):

	Pension Benefits		Other Benefits
Amortization of net (gain)/loss	$	3,103	$	25
Amortization of prior service cost		390		—

We do not expect to have any of the plans’ assets returned during 2013.

 Capital Accumulation Plans

Our employees’ Capital Accumulation (401(k)) Plan is available to all U.S. salaried and certain hourly employees and applies immediately upon employment. Employees may contribute from 1% to 50% of their annual compensation to the plan (subject to statutory limits). We make a matching contribution of 100% of an employee’s contribution up to 6% of the employee’s earnings. Our matching contributions were approximately $2.5 million in 2012, $2.2 million in 2011, and $2.1 million in 2010.

We also maintain an employees’ 401(k) plan, which is available to all hourly employees at the Lucky Friday unit after completion of six months of service. Employees may contribute from 2% to 50% of their compensation to the plan (subject to statutory limits). We make a matching contribution of 35% of an employee’s contribution up to 5% of the employee’s earnings. In May 2010, union contract negotiations resulted in a change to the matching contribution of 35%.  Starting after May 10, 2010 the matching contribution is 55% of an employee’s contribution up to, but not exceeding, 5% of the employee’s earnings.  Our contributions were approximately $407,000 in 2012, $246,000 in 2011, and $229,000 in 2010.

Note 9: Shareholders’ Equity

Common Stock

We are authorized to issue 500,000,000 shares of common stock, $0.25 par value per share, of which 285,998,136 shares of common stock were issued as of December 31, 2012. All of our currently outstanding shares of common stock are listed on the New York Stock Exchange under the symbol “HL”.

Subject to the rights of the holders of any outstanding shares of preferred stock, each share of common stock is entitled to: (i) one vote on all matters presented to the stockholders, with no cumulative voting rights; (ii) receive such dividends as may be declared by the Board of Directors out of funds legally available therefor; and (iii) in the event of our liquidation or dissolution, share ratably in any distribution of our assets.

Dividends

In September 2011 and February 2012, our Board of Directors adopted a common stock dividend policy that has two components: (1) a dividend that links the amount of dividends on our common stock to our average quarterly realized silver price in the preceding quarter, and (2) a minimum annual dividend of $0.01 per share of common stock, in each case, payable quarterly, when declared. For illustrative purposes only, the table below summarizes potential per share dividend amounts at different quarterly average realized price levels according to the first component of the policy:

Quarterly average realized silver price per ounce		Quarterly dividend per share		Annual dividend per share
$	30	$	0.01	$	0.04
$	35	$	0.02	$	0.08
$	40	$	0.03	$	0.12
$	45	$	0.04	$	0.16
$	50	$	0.05	$	0.20
$	55	$	0.06	$	0.24
$	60	$	0.07	$	0.28

The following table summarizes the common stock dividends declared by our Board of Directors under the policy described above:

	(A)		(B)		(A+B)
Declaration date	Silver-price-linked component per share		Minimum annual component per share		Total dividend per share		Total dividend amount (in millions)		Month of payment
November 8, 2011	$	0.02	$	0	$	0.02	$	5.6	December 2011
February 17, 2012	$	0.01	$	0.0025	$	0.0125	$	3.6	March 2012
May 8, 2012	$	0.02	$	0.0025	$	0.0225	$	6.4	June 2012
August 7, 2012	$	—	$	0.0025	$	0.0025	$	0.7	September 2012
November 2, 2012	$	0.02	$	0.0025	$	0.0225	$	6.4	December 2012
February 25, 2013	$	—	$	0.0025	$	0.0025	$	0.7	anticipated in March 2013

Because the average realized silver prices for the second and fourth quarters of 2012 were $27.05 and $29.20 per ounce, respectively, below the minimum threshold of $30 according to the policy, no silver-price-linked component was declared or paid. However, on February 25, 2013, our Board of Directors declared a special common stock dividend of $0.01 per share, in addition to the minimum dividend of $0.0025 per share, for an aggregate dividend of $3.6 million payable in March 2013. Prior to 2011, no dividends had been declared on our common stock since 1990. The declaration and payment of common stock dividends is at the sole discretion of our Board of Directors.

Common Stock Repurchase Program

On May 8, 2012, we announced that our Board of Directors approved a stock repurchase program.  Under the program, we are authorized to repurchase up to 20 million shares of our outstanding common stock from time to time in open market or privately negotiated transactions, depending on prevailing market conditions and other factors.    The repurchase program may be modified, suspended or discontinued by us at any time. As of December 31, 2012, 350,300 shares have been repurchased under the program, at an average price of $5.54 per share, leaving 19.65 million shares that may yet be purchased under the program. The closing price of our common stock at February 21, 2013, was $4.90 per share.

 Status of Warrants

In December 2008, we issued 10.2 million shares of common stock, Series 1 warrants to purchase 8.1 million shares of common stock, and Series 2 warrants to purchase 7.7 million shares of common stock. The Series 2 warrants expired in February 2009. In February 2009, we issued 36.8 million shares of common stock and Series 3 warrants to purchase 18.4 million shares of common stock. Each of these issuances were made pursuant to a shelf registration statement filed in September 2007, which became ineffective subsequent to the issuance in February 2009. The following table summarizes certain information about our stock purchase warrants at December 31, 2012:

Warrants Outstanding	Warrants		Exercise Price		Expiration Date
Series 1 warrants		5,200,519	$	2.41	June 2014
Series 1 warrants		460,976		2.52	June 2014
Series 3 warrants		16,671,128		2.46	August 2014
Total warrants outstanding		22,332,623

During 2011, warrants to purchase approximately 2.1 million shares of our common stock were exercised, resulting in net proceeds to us of approximately $5.3 million.  No warrants were exercised during 2012. Under the terms of the Consent Decree settling the Coeur d'Alene Basin litigation, the proceeds from the exercise of our outstanding warrants will be paid to the Plaintiffs within 30 days after the end of the quarter when exercised.  As such, proceeds from Series 1 and Series 3 warrant exercises totaling approximately $0.7 million and $9.8 million were paid to the Plaintiffs in 2012 and 2011, respectively.

Preferred Stock

Our certificate of incorporation authorizes us to issue 5,000,000 shares of preferred stock, par value $0.25 per share. The preferred stock is issuable in series with such voting rights, if any, designations, powers, preferences and other rights and such qualifications, limitations and restrictions as may be determined by our Board of Directors. The Board may fix the number of shares constituting each series and increase or decrease the number of shares of any series. As of December 31, 2012, 157,816 shares of Series B Preferred Stock were outstanding. Our Series B Preferred Stock is listed on the New York Stock Exchange under the symbol “HL PB.”

On January 1, 2011, all 2,012,500 outstanding shares of our 6.5% Mandatory Convertible Preferred Stock were automatically converted to shares of our common stock at a conversion rate of 9.3773 shares of Common Stock for each share of 6.5% Mandatory Convertible Preferred Stock.  We issued approximately 18.9 million shares of common stock in connection with the mandatory conversion.

Ranking

The Series B Preferred Stock ranks senior to our common stock and any shares of Series A Junior Participating Preferred shares (none of which have ever been issued) with respect to payment of dividends, and amounts upon liquidation, dissolution or winding up.

While any shares of Series B Preferred Stock are outstanding, we may not authorize the creation or issue of any class or series of stock that ranks senior to the Series B Preferred Stock as to dividends or upon liquidation, dissolution or winding up without the consent of the holders of 66 2/3% of the outstanding shares of Series B Preferred Stock and any other series of preferred stock ranking on a parity with respect to the Series B Preferred Stock as to dividends and upon liquidation, dissolution or winding up, voting as a single class without regard to series.

Dividends

Series B preferred stockholders are entitled to receive, when, as and if declared by the Board of Directors out of our assets legally available therefor, cumulative cash dividends at the rate per annum of $3.50 per share of Series B Preferred Stock. Dividends on the Series B Preferred Stock are payable quarterly in arrears on October 1, January 1, April 1 and July 1 of each year (and, in the case of any undeclared and unpaid dividends, at such additional times and for such interim periods, if any, as determined by the Board of Directors), at such annual rate. Dividends are cumulative from the date of the original issuance of the Series B Preferred Stock, whether or not in any dividend period or periods we have assets legally available for the payment of such dividends. Accumulations of dividends on shares of Series B Preferred Stock do not bear interest. We declared and paid our regular quarterly dividend of $0.875 per share on the outstanding Preferred B shares through the third quarter of 2008.

Dividends on our 6.5% Mandatory Convertible Preferred Stock were payable on a cumulative basis when, as, and if declared by our board of directors, at an annual rate of 6.5% per share on the liquidation preference of $100 per share in cash, common stock, or a combination thereof, on January 1, April 1, July 1, and October 1 of each year to, and including, January 1, 2011.  We declared and paid our quarterly dividends on the 6.5% Mandatory Convertible Preferred Stock through the third quarter of 2008. On August 29, 2008 the Board of Directors declared that the regular quarterly dividend on the outstanding 6.5% Mandatory Convertible Preferred Stock in the amount of $1.625 per share would be paid in common stock of Hecla, for a total amount of approximately $3.27 million in common stock (with cash for fractional shares). The value of the shares of common stock issued as dividends was calculated at 97% of the average of the closing prices of our common stock over the five consecutive trading day period ending on the second trading day immediately preceding the dividend payment date.

On December 5, 2008 the Board of Directors announced that in the interest of cash conservation, quarterly payment of dividends to the holders of both the Hecla Series B Preferred Stock and the 6.5% Mandatory Convertible Preferred Stock would be deferred.  On December 1, 2009, we announced that our Board of Directors elected to declare and pay all dividends in arrears and the dividend scheduled for the fourth quarter of 2009 for each of our outstanding series of preferred stock.  In January 2010, the $0.7 million in dividends declared and unpaid on our Series B Preferred Stock was paid in cash, and the dividends declared and unpaid on our 6.5% Mandatory Convertible Preferred stock were paid in common stock, for a total amount of approximately $16.4 million in our common stock (with cash for fractional shares).  We continued to declare and pay quarterly dividends on our Series B and 6.5% Mandatory Convertible Preferred Stock in 2010.  Each quarterly dividend declared for the Series B Preferred Stock through 2010 was paid in cash, for a total of $0.6 million in cash dividends declared in 2010, or $3.50 per share.  Dividends declared for the first and second quarters of 2010 for the 6.5% Mandatory Convertible Preferred Stock were paid in shares of common stock (with cash for fractional shares).  The value of the shares of common stock issued as dividends was calculated at 97% of the average of the closing prices of our common stock over the five consecutive trading day period ending on the second day immediately preceding the dividend payment date.  Dividends declared for the third and fourth quarters of 2010 for the 6.5% Mandatory Convertible Preferred Stock were paid in cash, for a total $6.5 million in cash dividends declared in 2010, or $3.25 per share.  The fourth quarter dividend, which was the final dividend to be paid on the 6.5% Mandatory Convertible Preferred Stock as a result of its mandatory conversion to common stock, was paid in cash in January 2011. All quarterly dividends on our Series B Preferred Stock for 2011 and 2012 were declared and paid in cash.

Redemption

The Series B Preferred Stock is redeemable at our option, in whole or in part, at $50 per share, plus, all dividends undeclared and unpaid on the Series B Preferred Stock up to the date fixed for redemption.

Liquidation Preference

The Series B preferred stockholders are entitled to receive, in the event that we are liquidated, dissolved or wound up, whether voluntary or involuntary, $50 per share of Series B Preferred Stock plus an amount per share equal to all dividends undeclared and unpaid thereon to the date of final distribution to such holders (the “Liquidation Preference”), and no more. Until the Series B preferred stockholders have been paid the Liquidation Preference in full, no payment will be made to any holder of Junior Stock upon our liquidation, dissolution or winding up. The term “Junior Stock” means our common stock and any other class of our capital stock issued and outstanding that ranks junior as to the payment of dividends or amounts payable upon liquidation, dissolution and winding up to the Series B Preferred Stock. As of December 31, 2012 and 2011, our Series B Preferred Stock had a liquidation preference of $7.9 million.

 Voting Rights

Except in certain circumstances and as otherwise from time to time required by applicable law, the Series B preferred stockholders have no voting rights and their consent is not required for taking any corporate action. When and if the Series B preferred stockholders are entitled to vote, each holder will be entitled to one vote per share.

Conversion

Each share of Series B Preferred Stock is convertible, in whole or in part at the option of the holders thereof, into shares of common stock at a conversion price of $15.55 per share of common stock (equivalent to a conversion rate of 3.2154 shares of common stock for each share of Series B Preferred Stock). The right to convert shares of Series B Preferred Stock called for redemption will terminate at the close of business on the day preceding a redemption date (unless we default in payment of the redemption price).

Each share of our 6.5% Mandatory Convertible Preferred Stock automatically converted on January 1, 2011, into 9.3773 shares of our Common Stock, representing approximately 18.9 million common shares.

Stock Award Plans

We use stock-based compensation plans to aid us in attracting, retaining and motivating our employees, as well as to provide us with the ability to provide incentives more directly linked to increases in stockholder value. These plans provide for the grant of options to purchase shares of our common stock and the issuance of restricted share units of our common stock.

Stock-based compensation expense amounts recognized for the years ended December 31, 2012, 2011 and 2010 were approximately $3.1 million, $2.1 million, and $3.4 million, respectively.  Over the next twelve months, we expect to recognize approximately $2.0 million in additional compensation expense as the remaining options and units vest.

Stock Incentive Plans

Our 1995 Stock Incentive Plan, as amended in 2004, authorized the issuance of up to 11.0 million shares of our common stock pursuant to the grant or exercise of awards under the plan. During 2009, 514,238 options to acquire shares expired under the 1995 plan, and such options became available for re-grant under the 1995 plan. However, the 1995 plan terminated in May 2010.  

 During the second quarter of 2010, our shareholders voted to approve the adoption of our 2010 Stock Incentive Plan and to reserve up to 20,000,000 shares of common stock for issuance under the plan.  The Board of Directors committee that administers the 2010 plan has broad authority to fix the terms and conditions of individual agreements with participants, including the duration of the award and any vesting requirements. As of December 31, 2012, there were 19,605,740 shares available for future grant under the 2010 plan.

Directors’ Stock Plan

In 1995, we adopted the Hecla Mining Company Stock Plan for non-employee Directors (the “Directors’ Stock Plan”), which may be terminated by our Board of Directors at any time. Each non-employee director is to be credited on May 30 of each year with that number of shares determined by dividing $24,000 by the average closing price for our common stock on the New York Stock Exchange for the prior calendar year. All credited shares are held in trust for the benefit of each director until delivered to the director. Delivery of the shares from the trust occurs upon the earliest of: (1) death or disability; (2) retirement; (3) a cessation of the director’s service for any other reason; or (4) a change in control. The shares of our common stock credited to non-employee directors pursuant to the Directors’ Stock Plan may not be sold until at least six months following the date they are delivered. A maximum of one million shares of common stock may be granted pursuant to the Directors’ Stock Plan. During 2012, 2011 and 2010, respectively, 18,492, 22,884 and 48,825 shares were credited to the non-employee directors. During 2012, 2011 and 2010, $80,000, $194,000 and $168,000, respectively, were charged to operations associated with the Directors’ Stock Plan. At December 31, 2012, there were 622,685 shares available for grant in the future under the plan.

In addition to the foregoing, commencing in 2010, in May of each year each non-employee director is also granted an additional $24,000 worth of our common stock under our 2010 Stock Incentive Plan (for a total of $48,000 in annual stock grants under the two plans). For 2012, 2011 and 2010, respectively, 59,484, 19,752 and 33,068 shares were credited to the non-employee directors, and $275,000, $147,000 and $263,000, respectively, were charged to operations associated with the 2010 Stock Incentive Plan.

 Status of Stock Options

The fair value of the options granted during the year ended December 31, 2010 were estimated on the date of grant using the Black-Scholes option-pricing model with the weighted average assumptions given below:

	2010
Weighted average fair value of options granted	$	3.18
Expected stock price volatility		92.00	%
Risk-free interest rate		1.43	%
Expected life of options (in years)		2.9

Options were not granted during the years ended December 31, 2012 and 2011.

We estimate forfeiture and volatility using historical information. The risk-free interest rate is based on the implied yield available on U.S. Treasury zero-coupon issues over the equivalent lives of the options. The expected life of the options represents the estimated period of time until exercise and is based on historical experience of similar awards, giving consideration to the contractual terms and vesting schedules. Prior to 2011, we had not paid dividends on common stock since 1990. Therefore, no assumption of dividend payment was made in the models used in the valuations of options granted in 2010.

During 2010, options to acquire 352,517 shares were granted to our officers and key employees, with no options granted during 2011 and 2012. Of the options granted in 2010, 322,854 were granted without vesting requirements.  The aggregate intrinsic value of options outstanding and exercisable as of December 31, 2012 before applicable income taxes was $0.9 million, based on our closing stock price of $5.83 per common share at December 31, 2012. All options outstanding were fully vested at December 31, 2012.

Transactions concerning stock options pursuant to our stock option plans are summarized as follows:

	Shares Subject to Options			Weighted Average Exercise Price
Outstanding, December 31, 2011		1,194,796		$	6.72
Expired		(256,388	)	$	8.56
Outstanding, December 31, 2012		938,408		$	6.23

All of the outstanding options above were exercisable at December 31, 2012. The weighted average remaining contractual term of options outstanding and exercisable at December 31, 2012 was one year.

There were no options exercised during 2012. The aggregate intrinsic values of options exercised during the years ended December 31, 2011 and 2010 were approximately $0.6 million and $1.5 million, respectively. We received cash proceeds of $0.5 million for options exercised in 2011 and $3.4 million for options exercised in 2010.

Restricted Stock Units

Unvested restricted stock units, for which the board of directors has approved grants to employees, are summarized as follows: 

	Shares			Weighted Average Grant Date Fair Value per Share
Unvested, January 1, 2012		561,276		$	6.39
Granted		723,669		$	4.51
Canceled		(16,461	)	$	7.29
Distributed		(231,338	)	$	6.65
Unvested, December 31, 2012		1,037,146		$	5.11

Of the 1,037,146 units unvested at December 31, 2012, 202,662 will vest in June 2013, 180,732 will vest in March 2014, and 145,952 will vest in June 2015 and June 2016, respectively.  Remaining units will be distributable based on predetermined dates as elected by the participants, unless participants forfeit their units through termination of employment in advance of vesting. We have recognized approximately $2.0 million in compensation expense since grant date, and will record an additional $3.3 million in compensation expense over the remaining vesting period related to these units.

54,870 stock units vested in 2012 and 314,826 stock units vested in 2011 were distributed or deferred as elected by the recipients under the provisions of the deferred compensation plan. We recognized approximately $0.2 million and $0.5 million in compensation expense related to these units in 2012 and 2011, respectively.

In connection with the vesting of restricted stock units, employees usually, at their election, choose to satisfy their tax withholding obligations through net share settlement, pursuant to which the Company withholds the number of shares necessary to satisfy such withholding obligations.  As a result, in 2012 we repurchased 45,341 shares for $0.2 million, or approximately $4.47 per share. 

Note 10: Derivative Instruments

At times, we use commodity forward sales commitments, commodity swap contracts and commodity put and call option contracts to manage our exposure to fluctuation in the prices of certain metals which we produce. Contract positions are designed to ensure that we will receive a defined minimum price for certain quantities of our production, thereby partially offsetting our exposure to fluctuations in the market. These instruments do, however, expose us to other risks, including the amount by which the contract price exceeds the spot price of a commodity, and nonperformance by the counterparties to these agreements.

We utilize financially-settled forward contracts to sell lead and zinc at fixed prices for settlement at approximately the same time that our unsettled concentrate sales contracts will settle.  The settlement of each concentrate contract is based on the average spot price of the metal during the month of settlement, which may differ from the prices used to record the sale when the sale takes place.  The objective of the contracts is to manage the exposure to changes in prices of zinc and lead contained in our concentrate shipments between the time of sale and final settlement.  These contracts do not qualify for hedge accounting and are marked-to-market through earnings each period.  At December 31, 2012, we recorded a current asset of $2.3 million, which is included in other current assets, for the fair value of the contracts.  We recognized a $1.3 million net loss on the contracts during 2012, which is included in sales of products.  The net loss recognized on the contracts offset price adjustments on our provisional concentrate sales related to changes to lead and zinc prices between the time of sale and final settlement.

In addition, we utilize financially-settled forward contracts to manage the exposure of changes in prices of zinc and lead contained in our forecasted future concentrate shipments.  These contracts also do not qualify for hedge accounting and are marked-to-market through earnings each period.  At December 31, 2012, we recorded a current asset of $5.6 million, which is included in other current assets, and a non-current liability of $2.5 million, which is included in other non-current liabilities, for the fair value of the contracts  The current asset balance is net of approximately $1.0 million for contracts that were in a fair value liability position at December 31, 2012. The non-current liability balance is net of approximately $0.1 million for contracts that were in a fair value asset position at December 31, 2012. We recognized a $10.5 million net loss on the contracts, which includes $18.4 million in gains realized on settled contracts, during 2012. The net loss on these contracts is included as a separate line item under other income (expense), as they relate to forecasted future shipments, as opposed to sales that have already taken place but are subject to final pricing.  The losses recognized during 2012 are the result of increasing lead and zinc prices during the end of 2012.  However, this program is designed to mitigate the impact of potential future declines in lead and zinc prices from the price levels established in the contracts (see average price information below).

The following tables summarize the quantities of base metals committed under forward sales contracts at December 31, 2012 and December 31, 2011:

December 31, 2012	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		14,991		6,945	$	0.95	$	1.00
Contracts on forecasted sales
2013 settlements		35,935		32,794	$	0.96	$	1.11
2014 settlements		30,203		33,069	$	0.98	$	1.03
2015 settlements		3,307		23,534	$	1.01	$	1.06

December 31, 2011	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2012 settlements		21,164		5,732	$	0.86	$	0.89
Contracts on forecasted sales
2012 settlements		45,195		35,053	$	1.12	$	1.12
2013 settlements		18,243		24,582	$	1.14	$	1.17

As further discussed in Note 18, production at the Lucky Friday mine was temporarily suspended due to the requirement to remove built-up cementitious material from the Silver Shaft. As a result, during the first quarter of 2012, we liquidated forward contracts related to forecasted Lucky Friday base metal sales for total net proceeds of $3.1 million.

Our concentrate sales are based on a provisional sales price containing an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrates at the forward price at the time of the sale. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through earnings each period prior to final settlement.

Note 11: Business Segments and Significant Customers

We discover, acquire, develop, produce, and market concentrates and doré containing silver, gold, lead and zinc.  Our products consist of both metal concentrates, which we sell to custom smelters, and unrefined bullion bars (doré), which may be sold as doré or further refined before sale to precious metals traders.  We are currently organized and managed by two segments, which represent our operating units: the Greens Creek unit and the Lucky Friday unit.

General corporate activities not associated with operating units and their various exploration activities, as well as discontinued operations and idle properties, are presented as “other.”  Interest expense, interest income and income taxes are considered general corporate items, and are not allocated to our segments.

Sales of metal concentrates and metal products are made principally to custom smelters and metals traders. The percentage of sales contributed by each segment is reflected in the following table:

	Year Ended December 31,
	2012			2011			2010
Greens Creek		100.0	%		71.8	%		74.8	%
Lucky Friday		—	%		28.2	%		25.2	%
		100	%		100	%		100	%

The tables below present information about reportable segments as of and for the years ended December 31, 2012, 2011 and 2010 (in thousands).

	2012			2011			2010
Net sales to unaffiliated customers:
Greens Creek	$	320,895		$	342,906		$	313,318
Lucky Friday		248			134,728			105,495
	$	321,143		$	477,634		$	418,813
Income (loss) from operations:
Greens Creek	$	138,245		$	181,116		$	138,973
Lucky Friday		(25,179	)		75,608			48,639
Other		(75,200	)		(59,079	)		(239,167	)
	$	37,866		$	197,645		$	(51,555	)
Capital additions (including non-cash additions):
Greens Creek	$	62,184		$	41,657		$	18,280
Lucky Friday		55,998			60,454			54,370
Other		11,760			35,274			2,089
	$	129,942		$	137,385		$	74,739
Depreciation, depletion and amortization:
Greens Creek	$	43,522		$	41,013		$	51,671
Lucky Friday		—			6,053			8,340
	$	43,522		$	47,066		$	60,011
Other significant non-cash items:
Greens Creek	$	4,037		$	2,326		$	17,829
Lucky Friday		92			14			5,053
Other		33,922			31,470			57,651
	$	38,051		$	33,810		$	80,533
Identifiable assets:
Greens Creek	$	741,666		$	729,289		$	740,573
Lucky Friday		226,196			213,285			170,928
Other		410,428			453,516			470,992
	$	1,378,290		$	1,396,090		$	1,382,493

The reductions in sales, income (loss) from operations,and depreciation, depletion, and amortization at the Lucky Friday segment for 2012 compared to 2011 and 2010 are due to the temporary suspension of production at the Lucky Friday mine during 2012. At the end of 2011, MSHA began a special impact inspection at the Lucky Friday mine which resulted in an order to remove built-up cementitious material from the Silver Shaft. In response, we submitted a plan to MSHA and received approval to remove the material, and this work commenced in the first quarter of 2012. In addition, the plan included removal of unused utilities, construction of a water ring to prevent ice from forming in the winter, the installation of a metal brattice, repair of shaft steel, and installation of a new power cable, all of which should improve the shaft's functionality and possibly improve the shaft's hoisting capacity. The Silver Shaft work was completed in early 2013, and limited production at the Lucky Friday has recommenced. We anticipate a ramp-up in mine output during the year, as additional productions areas of the mine come on line, until we return to full production levels in mid-2013. However, the timing of resuming full production levels may vary from our current estimates. The smelter contracts related to treatment of Lucky Friday concentrates have been suspended during the care-and-maintenance period based on force majeure. Once the Silver Shaft work was completed down to the 4900 foot level, we commenced work on a haulage way bypassing an area at the 5900 level impacted by a rock burst in December 2011, and the bypass was completed in early 2013. In addition to work on the Silver Shaft, other significant surface and underground capital programs have been planned, including restart of the #4 Shaft sinking in early 2013 and surface infrastructure and mill upgrades. During 2012, we incurred $25.3 million in non-capitalized expenses, including $6.3 million in depreciation, depletion, and amortization, which is reported in Lucky Friday suspension-related costs on the Consolidated Statements of Operations and Comprehensive Income.

The following is sales information by geographic area based on the location of smelters (for concentrate shipments) and the location of parent companies (for doré sales to metals traders) for the years ended December 31, 2012, 2011 and 2010 (in thousands):

	2012		2011		2010
United States	$	25,438	$	24,409	$	24,708
Canada		34,441		240,569		124,862
Mexico		—		—		16,258
Japan		70,371		60,963		62,740
Korea		120,106		92,919		94,114
China		72,133		51,635		73,257
Belgium		—		—		25,907
Total, excluding gains/losses on forward contracts	$	322,489	$	470,495	$	421,846

Sales of products for 2012 also include a net loss of $1.3 million on financially-settled forward contracts for lead and zinc contained in our concentrate sales.  2011 sales included a net gain of $7.1 million and 2010 sales included a net loss of $3.0 million on the contracts. See Note 10 for more information.

The following are our long-lived assets by geographic area as of December 31, 2012 and 2011 (in thousands):

	2012		2011
United States	$	996,405	$	923,040
Canada		198		99
Mexico		56		73
	$	996,659	$	923,212

Sales from continuing operations to significant metals customers as a percentage of total sales were as follows for the years ended December 31, 2012, 2011 and 2010:

	Year Ended December 31,
	2012			2011			2010
Teck Metals Ltd.		10.7	%		51.1	%		29.6	%
Korea Zinc		37.2	%		18.4	%		20.7	%
Trafigura AG		22.4	%		12.4	%		17.4	%
MS Zinc		12.3	%		6.9	%		7.0	%

Note 12: Fair Value Measurement

The table below sets forth our assets and liabilities (in thousands) that were accounted for at fair value on a recurring basis and the fair value calculation input hierarchy level that we have determined applies to each asset and liability category.  See Note 8 for information on the fair values of our defined benefit pension plan assets.

	Balance at December 31, 2012		Balance at December 31, 2011		Input Hierarchy Level
Assets:
Cash and cash equivalents:
Money market funds and other bank deposits	$	190,984	$	266,463	Level 1
Available for sale securities:
Equity securities – mining industry		9,614		3,923	Level 1
Trade accounts receivable:
Receivables from provisional concentrate sales		17,555		10,996	Level 2
Derivative contracts:
Base metal forward contracts		5,606		32,750	Level 2
Restricted cash balances:
Certificates of deposit and other bank deposits		871		866	Level 1
Total assets	$	224,630	$	314,998
Liabilities:
Derivative contracts:
Base metal forward contracts	$	2,483	$	—	Level 2

Cash and cash equivalents consist primarily of money market funds and are valued at cost, which approximates fair value.

Current and non-current restricted cash balances consist primarily of certificates of deposit and U.S. Treasury securities and are valued at cost, which approximates fair value.

Our current and non-current investments consist of marketable equity securities which are valued using quoted market prices for each security multiplied by the number shares held by us.

Trade accounts receivable consist of amounts due to us for shipments of concentrates and doré sold to smelters and refiners.  Revenues and the corresponding accounts receivable for sales of metals products are recorded when title and risk of loss transfer to the customer (generally at the time of shipment).  Sales of concentrates are recorded using estimated forward prices for the anticipated month of settlement applied to our estimate of payable metal quantities contained in each shipment.  Sales are recorded net of estimated treatment and refining charges, which are also impacted by changes in metals prices and quantities of contained metals.  We must estimate the prices at which sales of our concentrates will be settled due to the time elapsed between shipment and final settlement with the smelter.  Receivables for previously recorded concentrate sales are adjusted to reflect estimated settlement metals prices at the end of each period until final settlement by the smelter.  We obtain the forward metals prices used each period from a pricing service.  Changes in metal prices between shipment and final settlement will result in changes to revenues previously recorded upon shipment.  The embedded derivative contained in our concentrate sales is adjusted to fair market value through earnings each period prior to final settlement.

During the second quarter of 2010, we began utilizing financially-settled forward contracts to manage the exposure of changes in prices of zinc and lead contained in our concentrate shipments that have not reached final settlement.  We also began utilizing financially-settled forward contracts in the second quarter of 2010 to manage the exposure of changes in prices of zinc and lead contained in our forecasted future concentrate shipments (see Note 10 for more information).  These contracts do not qualify for hedge accounting, and are marked-to-market through earnings each period.  The fair value of each contract represents the difference between the forward metal price for the contract settlement period as of the measurement date and the contract settlement metal price, multiplied by the quantity of metal involved in the contract.

Note 13: Income per Common Share

We calculate basic earnings per share using, as the denominator, the weighted average number of common shares outstanding during the period. Diluted earnings per share uses, as its denominator, the weighted average number of common shares outstanding during the period plus the effect of potential dilutive common shares during the period using the treasury stock method for options, warrants, and restricted stock units, and if-converted method for convertible preferred shares.

Potential dilutive common shares include outstanding stock options, restricted stock awards, stock units, warrants and convertible preferred stock for periods in which we have reported net income. For periods in which we reported net losses, potential dilutive common shares are excluded, as their conversion and exercise would not reduce earnings per share. Under the if-converted method, preferred shares would not dilute earnings per share in any of the periods presented.

A total of 157,814 shares of preferred stock were outstanding at December 31, 2012.

The following table represents net income per common share – basic and diluted (in thousands, except earnings per share): 

	Year ended December 31,
	2012			2011			2010
Numerator
Net income	$	14,954		$	151,164		$	48,983
Preferred stock dividends		(552	)		(552	)		(13,633	)
Net income applicable to common shares	$	14,402		$	150,612		$	35,350
Denominator
Basic weighted average common shares		285,375			280,956			251,146
Dilutive stock options, restricted stock, and warrants		12,191			16,077			18,455
Diluted weighted average common shares		297,566			297,033			269,601
Basic earnings per common share	$	0.05		$	0.54		$	0.14
Diluted earnings per common share	$	0.05		$	0.51		$	0.13

For the years ended December 31, 2012, 2011 and 2010, we excluded options whose exercise prices exceeded the average prices of our stock during the periods, as their exercises would not have reduced earnings per share. The following options were excluded:

	Year ended December 31,
	2012		2011		2010
Stock options		570,005		552,388		596,388

Note 14: Other Comprehensive Income (Loss)

The following table lists the beginning balance, yearly activity and ending balance of each component of "Accumulated other comprehensive loss, net" (in thousands):

	Unrealized Gains (Losses) On Securities			Adjustments For Pension Plans			Total Accumulated Other Comprehensive Loss, Net
Balance January 1, 2010	$	744		$	(14,927	)	$	(14,183	)
2010 change		718			(1,652	)		(934	)
Balance December 31, 2010		1,462			(16,579	)		(15,117	)
2011 change		(627	)		(7,754	)		(8,381	)
Balance December 31, 2011		835			(24,333	)		(23,498	)
2012 change		1,224			(1,644	)		(420	)
Balance December 31, 2012	$	2,059		$	(25,977	)	$	(23,918	)

The $1.6 million change in adjustments for pension plans for 2012 is net of $1.1 million for the income tax effect of such adjustments.  The $1.2 million change in unrealized gains (losses) on securities is net of $1.2 million for the reclassification to current earnings of impairment of an equity security, as we deemed the impairment to be other-than-temporary. The 2012 change in unrealized gains (losses) on securities is also net of $0.3 million for the income tax effect of such adjustments, with some securities owned by our Mexican subsidiary.

See Note 2 for more information on our marketable securities and Note 8 for more information on our employee benefit plans.

Note 15: Related Party Transactions

During 2008, we established the Hecla Charitable Foundation to operate exclusively for charitable and educational purposes, with a particular emphasis in those communities in which we have employees or operations and donated 550,000 shares of our common stock, valued at $5.1 million.    Cash contributions totaling $2.0 million and $1.5 million were made by Hecla to the Hecla Charitable Foundation during 2011 and 2010, respectively.  The Hecla Charitable Foundation was established by Hecla as a not-for-profit organization which has obtained 501(c)(3) status from the Internal Revenue Service. Its financial statements are not consolidated by Hecla.

Note 16:  Acquisitions

San Juan Silver Mining Joint Venture 30% Acquisition

On December 12, 2011, we announced that our wholly-owned subsidiary, Rio Grande Silver Inc. (“Rio”), entered into a Purchase Sale Agreement with Emerald Mining & Leasing, LLC ("EML"), Golden 8 Mining, LLC ("G8"), and AgX Resources, Inc. ("AgX"), (EML, G8, and AgX are collectively referred to as the "Sellers"). Under the terms of the Agreement, Rio purchased the Sellers' remaining 30% undivided interest in certain properties that had been governed by a Joint Venture Agreement ("2008 JVA") entered into between EML, G8, and Rio on February 21, 2008, in return for the issuance of 5,395,683 shares of Hecla common stock valued at $33.8 million on the date that the transaction was completed. The number of common shares issued was based on 90% of the volume-weighted average price of our common shares on the New York Stock Exchange for the 20 trading days immediately preceding and including December 2, 2011.

The original 2008 JVA between EML, G8, and Rio was terminated and a new Joint Venture Agreement for the exploration, evaluation and possible development and mining of mineral resources on certain properties in Mineral County, Colorado was entered into. EML, G8, and Rio will manage and operate under the name San Juan Silver Mining Joint Venture, and Rio will be the initial operator.

Note 17: Guarantor Subsidiaries

Presented below are the Company’s condensed consolidating financial statements as required by Rule 3-10 of Regulation S-X of the Securities Exchange Act of 1934, as amended, resulting from the guarantees by certain of the Company's subsidiaries (the "Guarantors") of the $500 million aggregate principal amount of the Company's senior notes due on May 1, 2021 (the "Notes"). The Guarantors consist of the following of the Company's 100%-owned subsidiaries: Hecla Limited; Silver Hunter Mining Company; Rio Grande Silver, Inc.; RHL Holdings, Inc.; Hecla MC Subsidiary, LLC; Hecla Silver Valley, Inc.; Burke Trading, Inc.; Hecla Alaska LLC; Hecla Greens Creek Mining Company; Hecla Admiralty Company; and Hecla Juneau Mining Company. The Company completed the offering of the Notes on April 21, 2013.

The condensed consolidating financial statements below have been prepared from the Company’s financial information on the same basis of accounting as the consolidated financial statements. Investments in the subsidiaries are accounted for under the equity method. Accordingly, the entries necessary to consolidate the Company and the Guarantors are reflected in the intercompany eliminations column. In the course of preparing consolidated financial statements, we eliminate the effects of various transactions conducted between our subsidiaries. While valid at an individual subsidiary level, such activities are eliminated in consolidation because, when taken as a whole, they do not represent business activity with third-party customers, vendors, and other parties. Examples of such eliminations include the following.

• Investments in subsidiaries. The acquisition of a company results in an investment on the records of the parent company and a contribution of capital on the records of the subsidiary. Such investments and capital contributions are eliminated in consolidation.

• Capital contributions. Other of our subsidiaries do not generate cash flow, and their cash requirements are routinely met with inter-company advances from their parent companies. On an annual basis, the Boards of Directors of such parent companies declare contributions of capital to their subsidiary companies, which increase the parent's investment and the subsidiaries' additional paid-in capital. In consolidation, investments in subsidiaries and related additional paid-in capital are eliminated.

• Deferred taxes. Our ability to realize deferred tax assets and liabilities is considered on a consolidated basis for subsidiaries within the United States, with all subsidiaries' estimated future taxable income contributing to the ability to realize all such assets and liabilities. However, when our subsidiaries are viewed independently, we use the separate return method to assess the realizability of each subsidiary's deferred tax assets and whether a valuation allowance is required against such deferred tax assets. In some instances, a parent company or subsidiary may possess deferred tax assets whose realization depends on the future taxable incomes of other subsidiaries on a consolidated-return basis, but would not be considered realizable if such parent or subsidiary filed on a separate stand-alone basis. In such a situation, a valuation allowance is assessed on that subsidiary's deferred tax assets, with the resulting adjustment reported in the eliminations column of the guarantor or parent's financial statements. The separate return method can result in significant eliminations of deferred tax assets and liabilities and related income tax provisions and benefits. Non-current deferred tax asset balances are included in other non-current assets on the condensed consolidating balance sheets and make up a large portion of that item, particularly for the guarantor balances.

Condensed Consolidating Balance Sheets

	As of December 31, 2012
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	132,266	$	57,075		$	1,643		$	—		$	190,984
Other current assets		7,399		65,658			766			18,091			91,914
Properties, plants, and equipment - net		—		991,476			5,183			—			996,659
Intercompany receivable (payable)		113,234		(64,893	)		(74,450	)		26,109			—
Investments in subsidiaries		918,526		—			—			(918,526	)		—
Other non-current assets		3,059		164,913			7,600			(76,839	)		98,733
Total assets	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290
Liabilities and Shareholders' Equity
Current liabilities	$	3,726	$	121,221		$	1,016		$	(30,976	)	$	94,987
Long-term debt		—		11,875			60			—			11,935
Non-current portion of accrued reclamation		—		92,825			545			—			93,370
Other non-current liabilities		32,807		8,651			252			(1,663	)		40,047
Shareholders' equity		1,137,951		979,657			(61,131	)		(918,526	)		1,137,951
Total liabilities and shareholders' equity	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290

 

	As of December 31, 2011
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	97,850	$	168,433		$	180		$	—		$	266,463
Other current assets		18,177		63,822			1,131			13,151			96,281
Properties, plants, and equipment - net		538		922,502			172			—			923,212
Intercompany receivable (payable)		124,423		(74,026	)		(64,200	)		13,803			—
Investments in subsidiaries		910,646		—			—			(910,646	)		—
Other non-current assets		15,786		149,712			285			(55,649	)		110,134
Total assets	$	1,167,420	$	1,230,443		$	(62,432	)	$	(939,341	)	$	1,396,090
Liabilities and Shareholders' Equity
Current liabilities	$	5,642	$	129,958		$	411		$	(28,695	)	$	107,316
Long-term debt		—		6,192			73			—			6,265
Non-current portion of accrued reclamation		—		111,303			260			—			111,563
Other non-current liabilities		21,665		8,957			211			—			30,833
Shareholders' equity		1,140,113		974,033			(63,387	)		(910,646	)		1,140,113
Total liabilities and shareholders' equity	$	1,167,420	$	1,230,443		$	(62,432	)	$	(939,341	)	$	1,396,090

Condensed Consolidating Statements of Operations

	Year Ended December 31, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(1,346	)	$	322,489		$	—		$	—		$	321,143
Cost of sales		—			(134,105	)		—			—			(134,105	)
Depreciation, depletion, amortization		—			(43,522	)		—			—			(43,522	)
General and administrative		(11,519	)		(9,519	)		(215	)		—			(21,253	)
Exploration and pre-development		(1,262	)		(38,700	)		(9,776	)		—			(49,738	)
Loss on derivative contracts		(10,457	)		—			—			—			(10,457	)
Closed operations		—			(2,259	)		(2,393	)		—			(4,652	)
Equity in earnings of subsidiaries		21,246			—			—			(21,246	)		—
Other (expense) income		18,292			(27,747	)		(3,207	)		(20,921	)		(33,583	)
Income (loss) before income taxes		14,954			66,637			(15,591	)		(42,167	)		23,833
(Provision) benefit from income taxes		—			(29,802	)		—			20,923			(8,879	)
Net income (loss)		14,954			36,835			(15,591	)		(21,244	)		14,954
Preferred stock dividends		(552	)		—			—			—			(552	)
Income (loss) applicable to common shareholders		14,402			36,835			(15,591	)		(21,244	)		14,402
Net income (loss)		14,954			36,835			(15,591	)		(21,244	)		14,954
Changes in comprehensive income (loss)		(420	)		(911	)		1,438			(527	)		(420	)
Comprehensive income (loss)	$	14,534		$	35,924		$	(14,153	)	$	(21,771	)	$	14,534

 

	Year Ended December 31, 2011
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	7,140		$	470,494		$	—		$	—		$	477,634
Cost of sales		—			(165,573	)		—			—			(165,573	)
Depreciation, depletion, amortization		—			(47,066	)		—			—			(47,066	)
General and administrative		(10,355	)		(7,909	)		(276	)		—			(18,540	)
Exploration and pre-development		(407	)		(23,548	)		(7,450	)		—			(31,405	)
Gain on derivative contracts		37,988			—			—			—			37,988
Closed operations		—			(8,961	)		(786	)		—			(9,747	)
Equity in earnings of subsidiaries		254,902			—			—			(254,902	)		—
Other (expense) income		(138,104	)		4,920			(3,391	)		126,426			(10,149	)
Income (loss) before income taxes		151,164			222,357			(11,903	)		(128,476	)		233,142
(Provision) benefit from income taxes		—			44,448			—			(126,426	)		(81,978	)
Net income (loss)		151,164			266,805			(11,903	)		(254,902	)		151,164
Preferred stock dividends		(552	)		—			—			—			(552	)
Income (loss) applicable to common shareholders		150,612			266,805			(11,903	)		(254,902	)		150,612
Net income (loss)		151,164			266,805			(11,903	)		(254,902	)		151,164
Changes in comprehensive income (loss)		(8,381	)		(3,089	)		(679	)		3,768			(8,381	)
Comprehensive income (loss)	$	142,783		$	263,716		$	(12,582	)	$	(251,134	)	$	142,783

 

	Year Ended December 31, 2010
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(3,033	)	$	421,846		$	—		$	—		$	418,813
Cost of sales		—			(163,983	)		—			—			(163,983	)
Depreciation, depletion, amortization		—			(60,011	)		—			—			(60,011	)
General and administrative		(11,030	)		(7,023	)		(166	)		—			(18,219	)
Exploration and pre-development		(916	)		(16,249	)		(4,440	)		—			(21,605	)
Loss on derivative contracts		(20,758	)		—			—			—			(20,758	)
Closed operations		—			(200,458	)		(678	)		—			(201,136	)
Equity in losses of subsidiary		(9,618	)		—			—			9,618
Other (expense) income		94,338			7,073			(3,106	)		(105,955	)		(7,650	)
Income (loss) before income taxes		48,983			(18,805	)		(8,390	)		(96,337	)		(74,549	)
Benefit from income taxes		—			17,578			—			105,954			123,532
Net income (loss)		48,983			(1,227	)		(8,390	)		9,617			48,983
Preferred stock dividends		(13,633	)		—			—			—			(13,633	)
Income (loss) applicable to common shareholders		35,350			(1,227	)		(8,390	)		9,617			35,350
Net income (loss)		48,983			(1,227	)		(8,390	)		9,617			48,983
Changes in comprehensive income (loss)		(935	)		497			458			(955	)		(935	)
Comprehensive income (loss)	$	48,048		$	(730	)	$	(7,932	)	$	8,662		$	48,048

 

Condensed Consolidating Statements of Cash Flows

 

	Year Ended December 31, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	49,295		$	42,957		$	(14,296	)	$	(8,940	)	$	69,016
Cash flows from investing activities:
Additions to properties, plants, and equipment		(618	)		(107,425	)		(5,053	)		—			(113,096	)
Other investing activities, net		(48,815	)		891			(5,835	)		48,817			(4,942	)
Cash flows from financing activities:
Dividends paid to shareholders		(17,673	)		—			—			—			(17,673	)
Payments on debt		—			(5,878	)		(12	)		—			(5,890	)
Other financing activity		52,227			(41,903	)		26,659			(39,877	)		(2,894	)
Changes in cash and cash equivalents		34,416			(111,358	)		1,463			—			(75,479	)
Beginning cash and cash equivalents		97,850			168,433			180			—			266,463
Ending cash and cash equivalents	$	132,266		$	57,075		$	1,643		$	—		$	190,984

	Year Ended December 31, 2011
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	105,740		$	79,166		$	(12,449	)	$	(102,566	)	$	69,891
Cash flows from investing activities:
Additions to properties, plants, and equipment		(2	)		(87,454	)		(90	)		—			(87,546	)
Other investing activities		(38,356	)		(1,659	)		1			47,741			7,727
Cash flows from financing activities:
Dividends paid to shareholders		(9,414	)		—			—			—			(9,414	)
Payments on debt		—			(2,938	)		—			—			(2,938	)
Other financing activity		(150,118	)		88,193			12,237			54,825			5,137
Changes in cash and cash equivalents		(92,150	)		75,308			(301	)		—			(17,143	)
Beginning cash and cash equivalents		190,000			93,125			481			—			283,606
Ending cash and cash equivalents	$	97,850		$	168,433		$	180		$	—		$	266,463

 

	Year Ended December 31, 2010
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	81,676		$	194,716		$	(8,579	)	$	(70,004	)	$	197,809
Cash flows from investing activities:
Additions to properties, plants, and equipment		(340	)		(67,077	)		3			—			(67,414	)
Other investing activities		(4,019	)		1,150			—			5,495			2,626
Cash flows from financing activities:
Dividends paid to shareholders		(4,513	)		—			—			—			(4,513	)
Proceeds from exercise of stock warrants		53,093												53,093
Payments on debt		—			(1,780	)		—			—			(1,780	)
Other financing activity		21,135			(95,484	)		8,947			64,509			(893	)
Changes in cash and cash equivalents		147,032			31,525			371			—			178,928
Beginning cash and cash equivalents		42,968			61,600			110						104,678
Ending cash and cash equivalents	$	190,000		$	93,125		$	481		$	—		$	283,606

 

EX-99

Exhibit 99.2

Item 1. Financial Statements

Hecla Mining Company and Subsidiaries

Condensed Consolidated Balance Sheets (Unaudited)

(In thousands, except shares)

	June 30, 2013			December 31, 2012
ASSETS
Current assets:
Cash and cash equivalents	$	296,375		$	190,984
Accounts receivable:
Trade		8,306			17,555
Other, net		20,228			7,466
Inventories:
Concentrates, doré, and stockpiled ore		18,771			15,073
Materials and supplies		20,059			13,564
Current deferred income taxes		16,485			29,398
Other current assets		18,893			8,858
Total current assets		399,117			282,898
Non-current investments		8,766			9,614
Non-current restricted cash and investments		5,287			871
Properties, plants, equipment and mineral interests, net		1,742,696			996,659
Non-current deferred income taxes		99,144			86,365
Other non-current assets and deferred charges		17,445			1,883
Total assets	$	2,272,455		$	1,378,290
LIABILITIES
Current liabilities:
Accounts payable and accrued liabilities	$	60,864		$	43,162
Accrued payroll and related benefits		16,796			10,760
Accrued taxes		5,312			12,321
Current portion of capital leases		7,128			5,564
Other current liabilities		8,110			3,335
Current portion of accrued reclamation and closure costs		19,845			19,845
Total current liabilities		118,055			94,987
Capital leases		13,671			11,935
Accrued reclamation and closure costs		105,462			93,370
Long-term debt		490,104			—
Non-current deferred tax liability		169,030			—
Other noncurrent liabilities		41,407			40,047
Total liabilities		937,729			240,339
Commitments and contingencies
SHAREHOLDERS’ EQUITY
Preferred stock, 5,000,000 shares authorized:
Series B preferred stock, $0.25 par value, 157,816 shares issued and outstanding, liquidation preference — $7,891		39			39
Common stock, $0.25 par value, authorized 500,000,000 shares; issued and outstanding 2013 — 342,638,214 shares and 2012 — 285,209,848 shares		85,890			71,499
Capital surplus		1,424,198			1,218,283
Accumulated deficit		(141,627	)		(123,288	)
Accumulated other comprehensive loss		(28,694	)		(23,918	)
Less treasury stock, at cost; 2013 — 921,721 shares and 2012 — 788,288 shares		(5,080	)		(4,664	)
Total shareholders’ equity		1,334,726			1,137,951
Total liabilities and shareholders’ equity	$	2,272,455		$	1,378,290

The accompanying notes are an integral part of the interim condensed consolidated financial statements.

Hecla Mining Company and Subsidiaries

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited)

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

	Three Months Ended						Six Months Ended
	June 30, 2013			June 30, 2012			June 30, 2013			June 30, 2012
Sales of products	$	85,330		$	67,019		$	161,780		$	158,172
Cost of sales and other direct production costs		60,008			33,172			96,833			66,462
Depreciation, depletion and amortization		20,211			9,879			34,218			19,540
		80,219			43,051			131,051			86,002
Gross profit		5,111			23,968			30,729			72,170
Other operating expenses:
General and administrative		7,482			5,527			14,421			10,028
Exploration		6,221			7,146			12,714			12,757
Pre-development		4,512			3,471			9,303			6,837
Other operating expense		205			1,605			1,229			2,549
Provision for closed operations and environmental matters		1,845			2,235			3,639			4,413
Lucky Friday suspension-related (income) expense		(2,840	)		6,465			(1,342	)		12,631
Aurizon acquisition costs		20,308			—			25,600			—
		37,733			26,449			65,564			49,215
Income (loss) from operations		(32,622	)		(2,481	)		(34,835	)		22,955
Other income (expense):
Gain on sale of investments		197			—			197			—
Gain on derivative contracts		6,541			6,171			28,080			940
Interest and other income		685			32			572			181
Interest expense, net of amount capitalized		(6,454	)		(505	)		(7,158	)		(972	)
		969			5,698			21,691			149
Income (loss) before income taxes		(31,653	)		3,217			(13,144	)		23,104
Income tax benefit (provision)		6,795			(693	)		(620	)		(8,008	)
Net income (loss)		(24,858	)		2,524			(13,764	)		15,096
Preferred stock dividends		(138	)		(138	)		(276	)		(276	)
Income (loss) applicable to common shareholders	$	(24,996	)	$	2,386		$	(14,040	)	$	14,820
Comprehensive income (loss):
Net income (loss)	$	(24,858	)	$	2,524		$	(13,764	)	$	15,096
Reclassification of net gain on sale of marketable securities included in net income		(197	)		—			(197	)		—
Unrealized holding losses on investments		(1,747	)		(586	)		(4,578	)		(805	)
Comprehensive income (loss)	$	(26,802	)	$	1,938		$	(18,539	)	$	14,291
Basic income (loss) per common share after preferred dividends	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05
Diluted income (loss) per common share after preferred dividends	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05
Weighted average number of common shares outstanding - basic		303,566			285,312			294,317			285,303
Weighted average number of common shares outstanding - diluted		303,566			295,160			294,317			296,100
Cash dividends declared per common share	$	0.0025		$	0.0225		$	0.0050		$	0.0350

The accompanying notes are an integral part of the interim condensed consolidated financial statements.

Hecla Mining Company and Subsidiaries

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In thousands)

	Six Months Ended
	June 30, 2013			June 30, 2012
Operating activities:
Net income (loss)	$	(13,764	)	$	15,096
Non-cash elements included in net income (loss):
Depreciation, depletion and amortization		34,834			22,799
Gain on sale of investments		(195	)		—
(Gain) loss on disposition of properties, plants, equipment, and mineral interests		(125	)		660
Provision for reclamation and closure costs		1,190			2,908
Stock compensation		1,870			1,495
Deferred income taxes		(1,610	)		3,697
Amortization of loan origination fees		397			201
(Gain) loss on derivative contracts		(21,528	)		9,376
Other non-cash charges, net		(25	)		604
Change in assets and liabilities, net of amounts acquired:
Accounts receivable		9,117			(16,838	)
Inventories		3,601			3,013
Other current and non-current assets		4,254			1,756
Accounts payable and accrued liabilities		5,790			389
Accrued payroll and related benefits		(1,577	)		(3,696	)
Accrued taxes		(7,518	)		(6,618	)
Accrued reclamation and closure costs and other non-current liabilities		(4,436	)		(3,602	)
Cash provided by operating activities		10,275			31,240
Investing activities:
Additions to properties, plants, equipment and mineral interests		(60,291	)		(51,535	)
Acqusition of Aurizon, net of cash acquired		(321,117	)		—
Proceeds from sale of investments		1,771			—
Proceeds from disposition of properties, plants and equipment		126			116
Purchases of investments		(5,738	)		—
Changes in restricted cash and investment balances		55			—
Net cash used in investing activities		(385,194	)		(51,419	)
Financing activities:
Acquisition of treasury shares		(286	)		(203	)
Dividends paid to common shareholders		(4,277	)		(9,986	)
Dividends paid to preferred shareholders		(276	)		(276	)
Debt issuance fees		(1,426	)		—
Borrowings on debt		490,000			—
Repayments of capital leases		(3,425	)		(2,492	)
Net cash provided by (used in) financing activities		480,310			(12,957	)
Change in cash and cash equivalents:
Net increase (decrease) in cash and cash equivalents		105,391			(33,136	)
Cash and cash equivalents at beginning of period		190,984			266,463
Cash and cash equivalents at end of period	$	296,375		$	233,327
Significant non-cash investing and financing activities:
Addition of capital lease obligations	$	6,725		$	5,828
Accounts payable change relating to capital additions	$	(6,577	)	$	(3,632	)
Stock issued for the acquisition of Aurizon	$	218,302		$	—

The accompanying notes are an integral part of the interim condensed consolidated financial statements.

Note 1.    Basis of Preparation of Financial Statements

In the opinion of management, the accompanying unaudited interim condensed consolidated financial statements and notes to the interim condensed consolidated financial statements contain all adjustments, consisting of normal recurring items, necessary to present fairly, in all material respects, the financial position of Hecla Mining Company and its consolidated subsidiaries (“we” or “our” or “us”).  These unaudited interim condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and related footnotes as set forth in our annual report filed on Form 10-K for the year ended December 31, 2012, as it may be amended from time to time.

The results of operations for the periods presented may not be indicative of those which may be expected for a full year.  The unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission.  Certain information and footnote disclosures normally included in audited financial statements prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures are adequate for the information not to be misleading.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the financial statements, the reported amounts of revenues and expenses during the reporting period and the disclosures of contingent liabilities.  Accordingly, ultimate results could differ materially from those estimates.

On June 1, 2013, we completed the acquisition of Aurizon Mines Ltd. ("Aurizon"), as further discussed in Note 13. The condensed consolidated financial statements included herein reflect our results of operations for the second quarter and first six months of 2013, including those of Aurizon since the June 1, 2013 acquisition date. We have determined that the functional currency for our Canadian operations acquired from Aurizon is the U.S. dollar.

Note 2.    Investments and Restricted Cash

Investments

At June 30, 2013 and December 31, 2012, the fair value of our non-current investments was $8.8 million and $9.6 million, respectively.  Our non-current investments consist of marketable equity securities, which are carried at fair value as they are classified as “available-for-sale.” The cost basis of our non-current investments was approximately $12.7 million and $8.1 million, respectively, at June 30, 2013 and December 31, 2012. In the first half of 2013, we acquired securities having a cost of $5.7 million, and obtained additional securities having a value of $0.3 million through the acquisition of Aurizon Mines Ltd. (see Note 13). In addition, in the first half of 2013, we sold investments having a cost of $1.6 million for proceeds of $1.8 million .

At June 30, 2013, total unrealized loss positions of $3.9 million, net of unrealized gains of $53,000, for our non-current investments were included in accumulated other comprehensive loss.

Our non-current investments balance as of June 30, 2013 includes our ownership of approximately 29.4% of the outstanding common shares of Typhoon Exploration Inc. having a cost basis and fair value of $0.8 million. This investment would have been accounted for under the equity method; however, we chose to apply the fair value option to the investment upon it meeting the criteria for equity method accounting during the second quarter of 2013. We individually evaluate the accounting treatment of our investments based on whether we believe our ownership percentage and other factors indicate that we have the ability to exercise significant influence in the financial and/or operational decisions of the investee. As of June 30, 2013, we have no other investments that we have determined to qualify for equity method accounting.

Restricted Cash and Investments

Various laws, permits, and covenants require that financial assurances be in place for certain environmental and reclamation obligations and other potential liabilities.  These restricted investments are used primarily for reclamation funding or for funding surety bonds, and were $5.3 million at June 30, 2013 and $0.9 million at December 31, 2012. The increase during the first six months of 2013 is due to restricted reclamation deposits obtained in the acquisition of Aurizon (see Note 13 for more information). Restricted investments primarily represent investments in money market funds and certificates of deposit.  

Note 3.   Income Taxes

Major components of our income tax provision (benefit) for the three and six months ended June 30, 2013 and 2012 are as follows (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Current:
Federal	$	1,761		$	(144	)	$	3,992		$	3,528
State		(733	)		2			173			553
Foreign		115			115			230			230
Total current income tax provision (benefit)		1,143			(27	)		4,395			4,311
Deferred income tax provision (benefit)		(7,938	)		720			(3,775	)		3,697
Total income tax provision (benefit)	$	(6,795	)	$	693		$	620		$	8,008

With the acquisition of Aurizon, we added a wholly owned Canadian subsidiary . For Canadian tax purposes, the transaction was treated as an acquisition of Aurizon stock, resulting in carryover tax bases of acquired corporate assets. As a result, a net deferred tax liability was recorded for the tax impact of the excess fair market value of assets for GAAP reporting over the Canadian tax bases of those assets. We recorded an initial deferred tax liability of $177.2 million.

As of June 30, 2013 we have a net deferred tax asset in the U.S. of $115.6 million and a net deferred tax liability in Canada of $169.0 million for a consolidated worldwide net deferred tax liability of $53.4 million. Our ability to utilize our deferred tax assets depends on future taxable income generated from operations. For the six months ended June 30, 2013, there were no circumstances that caused us to change our assessment of the ability to generate future taxable income to realize our deferred tax assets.   It is possible that the valuation allowance on our deferred tax assets will change in the future as a result of the analysis of our long-range forecasts, with a resulting tax provision or benefit.

The current income tax provisions and benefits for the six months ended June 30, 2013 and 2012 vary from the amounts that would have resulted from applying the statutory income tax rate to pre-tax income primarily due to the effects of U.S. percentage depletion, non-deductible expenses, and the change in valuation allowance related to foreign operations during the six months ended June 30, 2013.

Note 4.    Commitments, Contingencies and Obligations

General

We follow the FASB Accounting Standards Codification guidance in determining our accruals and disclosures with respect to loss contingencies, and evaluate such accruals and contingencies for each reporting period. Accordingly, estimated losses from loss contingencies are accrued by a charge to income when information available prior to issuance of the financial statements indicates that it is probable that a liability could be incurred and the amount of the loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. If a loss contingency is not probable or reasonably estimable, disclosure of the loss contingency is made in the financial statements when it is at least reasonably possible that a material loss could be incurred.

Rio Grande Silver Guaranty

Our wholly-owned subsidiary, Rio Grande Silver Inc. (“Rio”), is party to a joint venture with Emerald Mining & Leasing, LLC (“EML”) and certain other parties with respect to a land package in the Creede Mining District of Colorado that is adjacent to other land held by Rio. Rio holds a 70% interest in the joint venture. In connection with the joint venture, we are required to guarantee certain environmental remediation-related obligations of EML to a third party up to a maximum liability to us of $2.5 million. As of June 30, 2013, we have not been required to make any payments pursuant to the guaranty. We may be required to make payments in the future, limited to the $2.5 million maximum liability, should EML fail to meet its obligations to the third party. However, to the extent that any payments are made by us under the guaranty, EML, in addition to other parties, have jointly and severally agreed to reimburse and indemnify us for any such payments. We have not recorded a liability relating to the guaranty as of June 30, 2013.

Lucky Friday Water Permit Exceedances

Over the last several years, the Lucky Friday unit has experienced several regulatory issues relating to its water discharge permits and water management more generally.

• In late 2008 and during 2009, Hecla Limited experienced a number of alleged water permit exceedances for water discharges at the Lucky Friday unit. These alleged violations resulted in Hecla Limited entering into a Consent Agreement and Final Order (“CAFO”) and a Compliance Order with the EPA in April 2009, which included an extended compliance time line. In connection with the CAFO, Hecla Limited agreed to pay the maximum administrative penalty to the EPA of $177,500 to settle any liability for such alleged exceedances.

• In 2009, additional alleged permit exceedances for water discharges at the Lucky Friday unit occurred. In 2010, alleged unpermitted discharges of pollutants occurred at the Lucky Friday unit. These alleged permit exceedances and certain alleged unpermitted discharges were the subject of a December 2010 Notice of Violation (“2010 NOV”) from the EPA informing Hecla Limited that the EPA was prepared to seek civil penalties for these alleged violations. In the 2010 NOV, the EPA invited Hecla Limited to discuss these matters with them prior to filing a complaint. Hecla Limited disputes many of EPA's assertions, but initiated negotiations with the EPA in an attempt to resolve the matter. There has not been any resolution of the 2010 NOV.

• In 2012, the Lucky Friday unit had two weekly water samples, one of which in October exceeded the permit concentration limit for lead (but not the associated load limit), and one of which in November exceeded permit limits for zinc. Also in October and November, heavy rains resulted in alleged impacted storm water being discharged to a nearby river. After these incidents, in February 2013, the EPA issued a notice of violation and request for information to Hecla Limited alleging that the October and November 2012 storm water incidents were each a violation of Hecla Limited's storm water permit.

The EPA referred the two alleged 2012 permit exceedances, along with the alleged violations in the 2010 NOV and some additional alleged unpermitted discharges from 2010 that were not included in the 2010 NOV, to the U.S. Department of Justice to possibly file a civil complaint by the United States against Hecla Limited. In addition, it is possible that the United States may include the 2012 storm water incidents in any complaint. There is the potential for larger civil penalties in the context of a United States complaint than in administrative actions by the EPA such as the 2009 CAFO.

Hecla Limited strives to maintain its water discharges and water management generally at the Lucky Friday unit in full compliance with its permits and applicable laws, however we cannot provide assurances that it will be able to fully comply with the permit limits and other regulatory requirements regarding water management in the future.

We believe that it is reasonably possible that Hecla Limited faces some liability for the above water issues; however, we cannot with reasonable certainty estimate the amount of any such liability.

Johnny M Mine Area near San Mateo, McKinley County, New Mexico

In May 2011, the EPA made a formal request to Hecla Mining Company for information regarding the Johnny M Mine Area near San Mateo, McKinley County, New Mexico, and asserted that Hecla Mining Company may be responsible under CERCLA for environmental remediation and past costs the EPA has incurred at the site. Mining at the Johnny M was conducted for a limited period of time by a predecessor of our subsidiary, Hecla Limited. In August 2012, Hecla Limited and the EPA entered into a Settlement Agreement and Administrative Order on Consent for Removal Action (“Consent Decree”), pursuant to which Hecla Limited agreed to pay (i) $1.1 million to the EPA for its past response costs at the site and (ii) any future response costs at the site, in exchange for a covenant not to sue by the EPA. The Consent Decree also describes additional work at the site to be conducted by Hecla Limited. Hecla Limited paid the $1.1 million to the EPA for its past response costs in the fourth quarter of 2012, and our consolidated financial statements as of June 30, 2013 include an accrual balance by Hecla Limited of $0.3 million for investigation and planning costs. Hecla Limited cannot reasonably estimate the amount of any additional liability Hecla Limited may face at the site until, at a minimum, the amount and type of remediation required have been determined.

Carpenter Snow Creek Site, Cascade County, Montana

In July 2010, the EPA made a formal request to Hecla Mining Company for information regarding the Carpenter Snow Creek Superfund Site located in Cascade County, Montana. The Carpenter Snow Creek Site is located in a historic mining district, and in the early 1980s Hecla Limited leased 6 mining claims and performed limited exploration activities at the site. Hecla Limited terminated the mining lease in 1988.

In June 2011, the EPA informed Hecla Limited that it believes Hecla Limited, among several other viable companies, may be liable for cleanup of the site or for costs incurred by the EPA in cleaning up the site. The EPA stated in the June 2011 letter that it has incurred approximately $4.5 million in response costs and estimated that total remediation costs may exceed $100 million. Because Hecla Limited had very limited activity at the site, we do not believe that the outcome of the claim will have a material adverse effect on our results from operations or financial position. Hecla Limited cannot with reasonable certainty estimate the ultimate liability, if any, relating to this matter.

States of South Dakota and Colorado Superfund Sites Related to CoCa Mines, Inc.

In 1991, Hecla Limited acquired all of the outstanding common stock of CoCa Mines, Inc. (“CoCa”). CoCa is alleged to have engaged in exploration at the Gilt Edge Mine in South Dakota as well as in the area adjacent to the Nelson Tunnel property in Creede, Colorado.

Gilt Edge Mine Superfund Site

In August 2008, the EPA made a formal request to CoCa for information regarding the Gilt Edge Mine Site located in Lawrence County, South Dakota, and asserted that CoCa may be liable for environmental cleanup at the site. The Gilt Edge Mine Site was explored and/or mined beginning in the 1890s. In the early 1980s, CoCa was involved in a joint venture that conducted a limited program of exploration work at the site. This joint venture terminated in 1984, and by 1985 CoCa had divested itself of any interest in the property.

In July 2010 the United States informed CoCa that it intends to pursue CoCa and several other potentially responsible parties on a joint and several basis for liability for past and future response costs at Gilt Edge under CERCLA. Currently, the United States alleges that CoCa is liable based on participation in the joint venture, and that CoCa has succeeded to the liabilities of its predecessor at the site, Congdon & Carey, which may have held certain property interests at the site.

 As of April 2013, the United States has alleged estimated total costs associated with the site of $200 million, including both past and future response costs. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its involvement with the Gilt Edge site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited. Therefore, we believe that Hecla Limited is not liable for any cleanup at the Gilt Edge site. We believe that it is reasonably possible that CoCa faces some liability for the site, however, we cannot with reasonable certainty estimate the ultimate amount of any such liability. Furthermore, in the event CoCa incurs a liability at this site, it has limited assets with which to satisfy any such liability. Because of CoCa's limited assets, we believe that it is possible that the United States will seek to recover some of the alleged $200 million in costs associated with the site from Hecla Limited, as the parent corporation of CoCa. We believe Hecla Limited would have strong defenses to such a claim and would vigorously defend against any such claims. Settlement negotiations with the United States commenced in 2010 and are ongoing, but there can be no assurance such negotiations will be successful, or that Hecla Limited will not incur a material liability with respect to this site.

Nelson Tunnel/Commodore Waste Rock Pile Superfund Site

In August 2009, the EPA made a formal request to CoCa for information regarding the Nelson Tunnel/Commodore Waste Rock Pile Superfund Site in Creede, Colorado. A timely response was provided and the EPA later arranged to copy additional documents. CoCa was involved in exploration and mining activities in Creede during the 1970s and the 1980s. No formal claim for response costs under CERCLA has been made against CoCa for this site. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its historical activities in the vicinity of the site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited. Therefore, we believe that Hecla Limited is not liable for any cleanup, and if CoCa might be liable, it has limited assets with which to satisfy any such liability. We cannot with reasonable certainty estimate the ultimate liability, if any, relating to this matter, and therefore we have not recorded a liability relating to the site as of June 30, 2013.

Senior Notes

On April 12, 2013, we completed the issuance of $500 million in senior notes ("Notes"), as further discussed in Note 9. The net proceeds from the offering of the Notes were used to partially fund the acquisition of Aurizon Mines Ltd. ("Aurizon") and for general corporate purposes, including expenses related to the Aurizon acquisition (see Note 13 for more information). The Notes bear interest at a rate of 6.875% per year from the date of original issuance or from the most recent payment date to which interest has been paid or provided for.  Interest on the Notes is payable on May 1 and November 1 of each year, commencing November 1, 2013.

Other Commitments

Our contractual obligations as of June 30, 2013 included approximately $13.0 million for commitments relating to capital items, along with $6.4 million for various non-capital costs. In addition, our open purchase orders at June 30, 2013 included approximately $18.9 million, $6.4 million, and $0.2 million, respectively, for various capital items at the Casa Berardi, Greens Creek, and Lucky Friday units, and approximately $6.1 million, $0.5 million, and $0.3 million, respectively, for various non-capital costs at such units. We also have total commitments of approximately $21.6 million relating to scheduled payments on capital leases, including interest, primarily for equipment at our Greens Creek and Lucky Friday units (see Note 9 for more information). In addition, in 2011, we settled Hecla Limited's Coeur d'Alene Basin environmental litigation and related claims pursuant to a Consent Decree entered by the Court on September 8, 2011.  Hecla Limited remains obligated under the Consent Decree to make payments totaling $15 million in October 2013 and $55.4 million by August 2014. The $55.4 million would be substantially funded by proceeds from our outstanding warrants, if exercised (see Note 8 for more information). Under the terms of the Consent Decree, the proceeds from the exercise of our outstanding warrants will be paid to the United States and the Coeur d'Alene Indian Tribe within 30 days after the end of the quarter when exercised. If the warrants are not exercised, the company is responsible for its final payment under the Consent Decree.

We had letters of credit for approximately $1.3 million outstanding as of June 30, 2013 for workers' compensation insurance bonding.

Other Contingencies

On February 1, 2012, a purported Hecla stockholder filed a putative class action lawsuit in U.S. District Court for the District of Idaho against Hecla and certain of our officers, one of whom is also a director. The complaint, purportedly brought on behalf of all purchasers of Hecla common stock from October 26, 2010 through and including January 11, 2012, asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and seeks, among other things, damages and costs and expenses. Specifically, the complaint alleges that Hecla, under the authority and control of the individual defendants, made certain false and misleading statements and allegedly omitted certain material information related to operational issues at the Lucky Friday mine. The complaint alleges that these actions artificially inflated the market price of Hecla common stock during the class period, thus purportedly harming investors who purchased shares during that time. A second suit was filed on February 14, 2012, alleging virtually identical claims. These complaints have been consolidated into a single case, a lead plaintiff and lead counsel have been appointed by the Court (Bricklayers of Western Pennsylvania Pension Plan, et al. v. Hecla Mining Company et al., Case No. 12-0042 (D. Idaho)), and a consolidated amended complaint was filed on October 16, 2012. In January 2013, we filed a motion to dismiss the complaint. We cannot predict the outcome of this lawsuit or estimate damages if plaintiffs were to prevail. We believe that these claims are without merit and intend to defend them vigorously.

Related to the above described class action lawsuit, Hecla is named as a nominal defendant in a pending shareholder derivative lawsuit which names as defendants certain Hecla executives and members of Hecla's Board of Directors. The case is In Re Hecla Mining Company Derivative Shareholder Litigation, Case No. 2:12-cv-00097 (D. Idaho).  In general terms, this lawsuit alleges breaches of fiduciary duties by the individual defendants and seeks damages, purportedly on behalf of Hecla. In January 2013, a consolidated amended complaint was filed and in February 2013, we filed a motion to dismiss the complaint. On September 25, 2012 and April 30, 2013, two other state court derivative actions were dismissed in Delaware and in Idaho, respectively. In addition, the Board of Directors has received two letters on behalf of purported shareholders demanding that Hecla commence litigation against certain executives and directors on substantially similar grounds. Hecla's board has concluded the actions requested by both demands would be contrary to the Company's best interest given the pendency of other, related litigation against the Company.

In March 2012, Hecla Limited received notice of a complaint filed against it by the United Steel Workers, Local 5114, with the Federal Mine Safety and Health Review Commission for compensation for bargaining unit workers at the Lucky Friday mine idled as a result of the previously-announced, temporary suspension of production at the mine. The complaint alleges the bargaining unit workers are entitled to compensation under Section 111 of Federal Mine Safety and Health Act of 1977 from November 16, 2011 - the date an order was issued by the Mine Safety Health Administration (“MSHA”) to Hecla Limited - until such time as the order is terminated. We submitted a motion for summary decision to the administrative law judge within the Federal Mine Safety and Health Review Commission, which was denied in December 2012. Currently we are awaiting further proceedings. We believe the claim is without merit, and that all wages due under Section 111, which was an immaterial amount, have already been paid. Therefore, we have not recorded a liability relating to the claim as of June 30, 2013. The amount of the union's claim is estimated to be in the range of $0 to $10 million.

We are subject to other legal proceedings and claims which arise from time to time. These can include, but are not limited to, legal proceedings and/or claims pertaining to environmental or safety matters. For example, in April 2011, a fatal accident occurred at the Lucky Friday mine which was investigated by MSHA. In November 2011, an accident occurred as part of the construction of #4 Shaft which resulted in the fatality of one contractor employee. In an unrelated incident, in December 2011, a rock burst occurred in a primary access way at the Lucky Friday mine and injured seven employees, none fatally. At the end of 2011, MSHA began a special impact investigation at the Lucky Friday mine which resulted in an order to remove built-up cementitious material from the Silver Shaft, the primary access way from the surface at the Lucky Friday mine. As a result of MSHA's investigations related to these events, Hecla Limited has been issued monetary penalties (none of which are material, individually or in the aggregate), and may face additional enforcement actions, including additional monetary penalties from MSHA or other governmental agencies. Although there can be no assurance as to the ultimate disposition of these other matters, we believe they will not have a material adverse effect on our results of operations or financial position.

On April 12, 2013, the family of Larry Marek, an employee of Hecla Limited who was fatally injured in the April 2011 accident, filed a lawsuit against us and certain of our officers and employees seeking damages for, among other claims, wrongful death and infliction of emotional distress. No dollar amount of damages is claimed in the complaint, which was filed in state court in Idaho (Kootenai County District Court). We cannot reasonably predict the outcome of this matter, however, we believe the case is without merit and intend to vigorously defend this lawsuit.

Note 5.    Earnings (Loss) Per Common Share

We are authorized to issue 500,000,000 shares of common stock, $0.25 par value per share, of which 342,638,214 shares were issued and outstanding at June 30, 2013.

The following table reconciles weighted average common shares used in the computations of basic and diluted earnings per share for the three- and six-month periods ended June 30, 2013 and 2012 (thousands, except per-share amounts):

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Numerator
Net income (loss)	$	(24,858	)	$	2,524		$	(13,764	)	$	15,096
Preferred stock dividends		(138	)		(138	)		(276	)		(276	)
Net income (loss) applicable to common shares for basic and diluted earnings per share	$	(24,996	)	$	2,386		$	(14,040	)	$	14,820
Denominator
Basic weighted average common shares		303,566			285,312			294,317			285,303
Dilutive stock options and restricted stock		—			9,848			—			10,797
Diluted weighted average common shares		303,566			295,160			294,317			296,100
Basic earnings (loss) per common share
Net income (loss) applicable to common shares	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05
Diluted earnings (loss) per common share
Net income (loss) applicable to common shares	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05

Diluted income (loss) per share for the three- and six-month periods ended June 30, 2013 and 2012 excludes the potential effects of outstanding shares of our convertible preferred stock, as their conversion and exercise would have no effect on the calculation of dilutive shares.

For the three-month and six-month periods ended June 30, 2013, all outstanding options, restricted share units, and warrants were excluded from the computation of diluted earnings (loss) per share, as our reported net losses for those periods would cause their conversion and exercise to have no effect on the calculation of earnings (loss) per share.  For the three-month and six-month periods ended June 30, 2012, options to purchase 605,005 shares of our common stock were excluded from the computation of diluted earnings per share, as the exercise price of the options not included in the computations of diluted earnings per share exceeded the average price of our stock during those periods and therefore would not affect the calculation of earnings per share.

Note 6.    Business Segments

We are currently organized and managed in three reporting segments: the Greens Creek unit, the Lucky Friday unit and the Casa Berardi unit. As further discussed in Note 13, we completed the acquisition of Aurizon on June 1, 2013, giving us 100% ownership of the Casa Berardi mine in Quebec, Canada. As a result, we have added a new reporting segment for the Casa Berardi unit.

General corporate activities not associated with operating units and their various exploration activities, as well as discontinued operations and idle properties, are presented as “other.”  Interest expense, interest income and income taxes are considered general corporate items, and are not allocated to our segments.

The following tables present information about reportable segments for the three and six months ended June 30, 2013 and 2012 (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Net sales to unaffiliated customers:
Greens Creek	$	70,082		$	67,023		$	142,731		$	157,923
Lucky Friday	$	5,128		$	(4	)	$	8,929		$	249
Casa Berardi	$	10,120		$	—		$	10,120		$	—
	$	85,330		$	67,019		$	161,780		$	158,172
Income (loss) from operations:
Greens Creek	$	9,802		$	23,313		$	36,991		$	70,695
Lucky Friday		(2,757	)		(6,498	)		(6,604	)		(12,441	)
Casa Berardi		(13,356	)		—			(13,356	)		—
Other		(26,311	)		(19,296	)		(51,866	)		(35,299	)
	$	(32,622	)	$	(2,481	)	$	(34,835	)	$	22,955

The increase in sales and income (loss) from operations at the Lucky Friday segment for the second quarter and first half of 2013 compared to the same periods in 2012 are due to the increase in production with the reopening of the Silver Shaft. At the end of 2011, MSHA began a special impact inspection at the Lucky Friday mine which resulted in an order to remove loose cementitious material from the Silver Shaft. In response, we submitted a plan to MSHA and received approval to remove the material, and this work commenced in the first quarter of 2012. In addition, the plan included removal of unused utilities, construction of a water ring to prevent ice from forming in the winter, the installation of a metal brattice, repair of shaft steel, and installation of a new power cable, all of which should improve the shaft's functionality and possibly improve the shaft's hoisting capacity. When the Silver Shaft work was completed down to the 4900 foot level, work commenced on a haulage way bypassing an area at the 5900 foot level impacted by a rock burst in December 2011. Work on the Silver Shaft and haulage way was completed in early 2013, and we recommenced limited production at the Lucky Friday mine in February 2013. For the second quarter and first six months of 2013, we have realized income of $2.8 million and $1.3 million, respectively,as a result of business interruption insurance proceeds, net of certain suspension-related costs, which is reported in Lucky Friday suspension-related income (expense) on the Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited).

The following table presents identifiable assets by reportable segment as of June 30, 2013 and December 31, 2012 (in thousands):

	June 30, 2013		December 31, 2012
Identifiable assets:
Greens Creek	$	747,813	$	741,666
Lucky Friday		217,413		226,196
Casa Berardi		891,194		—
Other		416,035		410,428
	$	2,272,455	$	1,378,290

Note 7.   Employee Benefit Plans

We sponsor defined benefit pension plans covering substantially all U.S. employees.  Net periodic pension cost for the plans consisted of the following for the three and six months ended June 30, 2013 and 2012 (in thousands):

	Three Months Ended June 30,
	2013			2012
Service cost	$	1,058		$	994
Interest cost		969			1,017
Expected return on plan assets		(1,205	)		(1,145	)
Amortization of prior service cost		98			100
Amortization of net (gain) loss		776			706
Net periodic benefit cost	$	1,696		$	1,672

	Six Months Ended June 30,
	2013			2012
Service cost	$	2,115		$	1,987
Interest cost		1,939			2,034
Expected return on plan assets		(2,409	)		(2,290	)
Amortization of prior service cost		195			200
Amortization of net (gain) loss		1,552			1,413
Net periodic benefit cost	$	3,392		$	3,344

The increased service costs in 2013 versus 2012 were driven primarily by higher staffing and compensation levels.

Effective July 1, 2013, we amended the Hecla Mining Company Retirement Plan (the "Hecla plan") to change the pension benefit formula and other plan provisions. The definition of pensionable compensation was changed to include an employee's base salary and other payments of compensation for services performed during the course of employment, elective deferrals not includable in the gross income of the Employee under the Internal Revenue Service Code Sections 125, 132(f)(4), 402(e)(3), 402(h), 403(b) and 457, one-half of any performance-based or annual incentive bonus, one-half of any cash safety incentive award, paid time off other than for disability leave, and compensation for overtime at the employee's regular hourly rate of pay for each hour worked. However, pensionable compensation now excludes fringe benefits, reimbursements or other expense allowances, moving expenses, health and welfare benefits, stock awards, income realized under a stock option or restricted stock or property arrangement, long term incentive awards, premium pay rates for overtime, contributions to or distributions from a nonqualified deferred compensation plan, shift or location differentials, and one-half of any performance-based or annual incentive bonus.

For new employees hired after June 30, 2013, pension benefits will be calculated based on the highest average of any five consecutive years (60 months) of pensionable compensation during the final ten years of service will be applied, instead of three consecutive years for employees hired before July 1, 2013.

Prior to July 1, 2013, we credited each participant's account annually with an amount equal to 6.0% of pensionable compensation, plus an additional 5.7% of the participant's pensionable compensation in excess of the Social Security taxable wage base ("the cash balance pay credit"). Beginning July 1, 2013, the cash balance pay credit will consist of the 6% of pensionable compensation without the 5.7% additional credit.

In addition, the Hecla plan was amended to limit access to cash balance accounts following a termination of employment prior to early or normal retirement age. Prior to the amendment, a cash balance participant could elect to receive a distribution of the vested portion of his or her account at any age following a termination of employment. This change applies only to amounts credited to a cash balance account after June 30, 2013.

For new employees hired after June 30, 2013, the cash balance pay credit will be earned based on years of plan participation: 3% for 1 through 5 years; 4.5% for 6 through 10 years; 6% after 10 years.

As of June 30, 2013, our current-year contributions to the pension plans totaled $0.7 million, and we expect to contribute an additional $0.3 million over the rest of 2013.

Note 8.    Shareholders’ Equity

Share-based Compensation Plans

We periodically grant restricted stock unit awards and/or shares of common stock to our employees and directors. Grants to individual executives upon hiring or retention vest over a defined service period, with cost amortized over that period. We measure compensation cost for restricted stock units and stock grants at the closing price of our stock at the time of grant. Restricted stock unit grants vest after a named period with compensation cost amortized over that period. Previously, we also granted stock options, but currently do not. Although we have no current plans to issue stock options, we may do so in the future.

On June 21, 2013, the Board of Directors granted 954,438 restricted stock units to employees, with one third of those vesting in June 2014, one third vesting in June 2015, and one third vesting in June 2016. The Board of Directors granted an additional 633,960 restricted stock units on June 21, 2013 that vest in June 2014. The $2.8 million in expense related to the unit awards vesting in 2014 will be recognized on a straight-line basis over the next twelve months, while the $2.9 million in expense related to awards vesting in each of 2015 and 2016 will be recognized over the next twenty-four and thirty-six month periods, respectively.

In the second quarter of 2013, a total of 122,250 common shares were issued to nonemployee directors. We issued a total of 77,976 common shares to nonemployee directors in the second quarter of 2012.

Stock-based compensation expense for restricted stock unit grants to employees and shares issued to nonemployee directors recorded in the first six months of 2013 totaled $1.9 million, compared to $1.5 million in the same period last year.

Under the terms of our equity compensation plans, we have permitted our employees' withholding tax obligations with respect to shares awarded thereunder which have vested to be satisfied by net share settlement. As a result, in the first half of 2013, we repurchased 83,433 shares for $0.1 million, or approximately $1.55 per share.

Common Stock Dividends

In September 2011 and February 2012, our Board of Directors adopted a common stock dividend policy that has two components: (1) a dividend that links the amount of dividends on our common stock to our average quarterly realized silver price in the preceding quarter, and (2) a minimum annual dividend of $0.01 per share of common stock, in each case, payable quarterly, when and if declared. For illustrative purposes only, the table below summarizes potential per share dividend amounts at different quarterly average realized price levels according to the first component of the policy:

Quarterly average realized silver price per ounce		Quarterly dividend per share		Annualized dividend per share
$	30	$	0.01	$	0.04
$	35	$	0.02	$	0.08
$	40	$	0.03	$	0.12
$	45	$	0.04	$	0.16
$	50	$	0.05	$	0.20
$	55	$	0.06	$	0.24
$	60	$	0.07	$	0.28

On August 6, 2013, our Board of Directors declared a common stock dividend, pursuant to the minimum annual dividend component of the policy described above, of $0.0025 per share, for a total dividend of $0.9 million payable in September 2013. Because the average realized silver price for the second quarter of 2013 was $16.27 per ounce, below the minimum threshold of $30 according to the policy, no silver-price-linked component was declared or paid. The declaration and payment of common stock dividends is at the sole discretion of our Board of Directors.

Status of Warrants

The following table summarizes certain information about our stock purchase warrants at June 30, 2013:

Warrants Outstanding	Warrants		Exercise Price		Expiration Date
Series 1 warrants		5,200,519	$	2.40	June 2014
Series 1 warrants		460,976		2.51	June 2014
Series 3 warrants		16,671,128		2.45	August 2014
Total warrants outstanding		22,332,623

No warrants were exercised during the first six months of 2013.  Under the financial terms of the Consent Decree settling the Coeur d'Alene Basin litigation, the proceeds from the exercise of our outstanding warrants will be paid to the United States and the Coeur d'Alene Indian Tribe within 30 days after the end of the quarter when exercised. If the warrants are not exercised, we are responsible for its final payment under the Consent Decree. 

Common Stock Repurchase Program

On May 8, 2012, we announced that our Board of Directors approved a stock repurchase program.  Under the program, we are authorized to repurchase up to 20 million shares of our outstanding common stock from time to time in open market or privately negotiated transactions, depending on prevailing market conditions and other factors.  The repurchase program may be modified, suspended or discontinued by us at any time. Whether or not we engage in repurchases from time to time may depend on a variety of factors, including not only price and cash resources, but customary black-out restrictions, whether we have any material inside information, limitations on share repurchases or cash usage that may be imposed by our credit agreement or in connection with issuances of securities, alternative uses for cash, applicable law, and other investment opportunities from time to time. As of June 30, 2013, 400,300 shares have been purchased at an average price of $5.56 per share, leaving 19.6 million shares that may yet be purchased under the program. The closing price of our common stock at August 6, 2013, was $2.95 per share.

Note 9.    Senior Notes, Credit Facilities, and Capital Leases

Senior Notes

On April 12, 2013, we completed an offering of $500 million in aggregate principal amount of our senior notes due May 1, 2021 (the “Notes”) in a private placement conducted pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended. The Notes are governed by the Indenture, dated as of April 12, 2013 (the “Indenture”), among us and certain of our subsidiaries and The Bank of New York Mellon Trust Company, N.A., as trustee.

The Notes are recorded net of a 2% initial purchaser discount totaling $10 million at the time of issuance and having an amortized balance of $9.9 million as of June 30, 2013. The Notes bear interest at a rate of 6.875% per year from the date of original issuance or from the most recent payment date to which interest has been paid or provided for.  Interest on the Notes is payable on May 1 and November 1 of each year, commencing November 1, 2013. During the six-month period ended June 30, 2013, interest expense related to the notes and amortization of the initial purchaser discount and fees related to the issuance of the notes, net of $1.7 million in capitalized interest, totaled $5.9 million.

The Notes are guaranteed on a senior unsecured basis by certain of our subsidiaries (the "Guarantors").   The Notes and the guarantees will be our general senior unsecured obligations and will be subordinated to all of our and the Guarantors' existing and future secured debt to the extent of the assets securing that secured debt.  In addition, the Notes will be effectively subordinated to all of the liabilities of our subsidiaries that are not guaranteeing the Notes, to the extent of the assets of those subsidiaries.

The net proceeds from the offering of the Notes ($490 million) were used to partially fund the acquisition of Aurizon and for general corporate purposes, including expenses related to the Aurizon acquisition. See Note 13 for more information.

The Notes will be redeemable in whole or in part, at any time and from time to time on or after May 1, 2016, on the redemption dates and at the redemption prices specified in the Indenture, plus accrued and unpaid interest, if any, to the date of redemption.  Prior to May 1, 2016, we may redeem some or all of the Notes at a redemption price of 100% of the principal amount, plus accrued and unpaid interest, if any, to the redemption date, plus a “make whole” premium.  We may redeem up to 35% of the Notes before May 1, 2016 with the net cash proceeds from certain equity offerings.

Upon the occurrence of a change of control (as defined in the Indenture), each holder of Notes will have the right to require us to purchase all or a portion of such holder's Notes pursuant to a change of control offer (as defined in the Indenture), at a purchase price equal to 101% of the principal amount thereof plus accrued and unpaid interest, if any, to the date of purchase, subject to the rights of holders of the Notes on the relevant record date to receive interest due on the relevant interest payment date.

In connection with the sale of the Notes, we entered into a Registration Rights Agreement, dated as of April 12, 2013, pursuant to which we and the Guarantors have agreed to (i) file an exchange offer registration statement within 270 days after the issue date of the Notes to exchange the Notes for a new issue of debt securities registered under the Securities Act, with terms substantially identical to those of the Notes (except with respect to certain transfer restrictions and certain obligations to pay special interest as described in the Notes); (ii) use our commercially reasonable efforts to cause the exchange offer registration statement to be declared effective under the Securities Act within 330 days after the issue date of the Notes; (iii) use our commercially reasonable efforts to consummate the exchange offer within 365 days after the issue date of the Notes; and (iv) in certain circumstances, file a shelf registration statement for the resale of the Notes. If we and the Guarantors fail to satisfy our registration obligations under the Registration Rights Agreement, then the annual interest rate on the Notes will increase by 0.25% per annum and by an additional 0.25% per annum for each subsequent 90-day period during which the registration default continues, up to a maximum additional interest rate of 1.0% per annum.

Credit Facilities

We have a $100 million senior secured revolving credit facility, which is collateralized by the shares of common stock held in our material domestic subsidiaries and by our joint venture interests in the Greens Creek mine, all of our rights and interests in the joint venture agreement, and all of our rights and interests in the assets of the joint venture.  This credit facility originated with a $60 million senior secured revolving credit agreement entered into in October 2009 that has been amended several times. On April 1, 2013 we amended the agreement to reduce the commitment amount from $150 million to $100 million while also adjusting certain covenants and limitations. Amounts borrowed under the credit agreement are available for general corporate purposes.  The interest rate on outstanding loans under the agreement is between 3.00% and 3.75% above the London Interbank Offered Rate or an alternative base rate plus an applicable margin of between 2.00% and 2.75%.  We are required to pay a standby fee of between 0.825% and 1.05% per annum on undrawn amounts under the revolving credit agreement.  The credit facility is effective until August 1, 2015. In the first six months of 2013, we incurred $0.3 million in interest expense for the amortization of loan origination fees and $0.6 million in interest expense for commitment fees relating to the credit agreement.  

The credit agreement includes various covenants and other limitations related to our various financial ratios and indebtedness and investments, as well as other information and reporting requirements, including the following limitations:

• Senior Leverage ratio (calculated as debt secured by liens divided by EBITDA) of not more than 2.50:1.

• Leverage ratio (calculated as total debt less unencumbered cash divided by EBITDA) of not more than 4.00:1 at all times prior to March 31, 2014, and not more than 3.50:1 at all times from and after March 31, 2014.

• Interest coverage ratio (calculated as EBITDA divided by interest expense) of not less than 3.0:1.

• Tangible net worth of greater than 80% of the Tangible Net Worth at completion of the acquisition of Aurizon, plus 50% of positive quarterly Net Income thereafter. (see Note 13 for more information on the acquisition of Aurizon).

We were in compliance with all covenants under the credit agreement as of June 30, 2013.  We have not drawn funds on the current revolving credit facility as of the filing date of this Form 10-Q.

Capital Leases

We have entered into various lease agreements primarily for equipment at our Greens Creek and Lucky Friday units, which we have determined to be capital leases.  At June 30, 2013, the total liability balance associated with capital leases, including certain purchase option amounts, was $20.8 million, with $7.1 million of the liability classified as current and $13.7 million classified as non-current. At December 31, 2012, the total liability balance associated with capital leases was $17.5 million, with $5.6 million of the liability classified as current and $11.9 million classified as non-current. The total obligation for future minimum lease payments was $21.6 million at June 30, 2013, with $1.0 million attributed to interest.

At June 30, 2013, the annual maturities of capital lease commitments, including interest, are (in thousands):

Twelve-month period ending June 30,
2014	$	6,970
2015		7,120
2016		5,476
2017		2,065
Total		21,631
Less: imputed interest		(960	)
Net capital lease obligation	$	20,671

Note 10.    Developments in Accounting Pronouncements

In December of 2011, the FASB issued Accounting Standards Update 2011-11, Disclosures about Offsetting Assets and Liabilities, which enhances disclosure requirements regarding an entity's financial instruments and derivative instruments that are offset or subject to a master netting arrangement. This information about offsetting and related netting arrangements will enable users of financial statements to understand the effect of those arrangements on the entity's financial position, including the effect of rights of setoff. The amendments are required for annual reporting periods beginning after January 1, 2013, and interim periods within those annual periods. Adoption of this guidance has not had a material impact on our consolidated financial statements.

Note 11.    Derivative Instruments

At times, we use commodity forward sales commitments and commodity swap contracts to manage our exposure to fluctuation in the prices of certain metals which we produce. Contract positions are designed to ensure that we will receive a defined minimum price for certain quantities of our production, thereby partially offsetting our exposure to fluctuations in the market. These instruments do, however, expose us to other risks, including the amount by which the contract price exceeds the spot price of a commodity, and nonperformance by the counterparties to these agreements.

We use financially-settled forward contracts to sell lead and zinc at fixed prices for settlement at approximately the same time that our unsettled concentrate sales contracts will settle.  The settlement of each concentrate contract is based on the average spot price of the metal during the month of settlement, which may differ from the prices used to record the sale when the sale takes place.  The objective of the contracts is to manage the exposure to changes in prices of zinc and lead contained in our concentrate shipments between the time of sale and final settlement.  These contracts do not qualify for hedge accounting and are marked-to-market through earnings each period.  At June 30, 2013, we recorded a current asset of approximately $0.2 million, which is included in other current assets, for the fair value of the contracts.  The current asset balance is net of approximately $0.2 million for contracts that were in a fair value liability position at June 30, 2013. We recognized a $2.8 million net gain on the contracts during the first six months of 2013, which is included in sales of products.  The net gain recognized on the contracts offsets price adjustments on our provisional concentrate sales related to changes to lead and zinc prices between the time of sale and final settlement.

In addition, we use financially-settled forward contracts to manage the exposure to changes in prices of zinc and lead contained in our forecasted future concentrate shipments.  These contracts also do not qualify for hedge accounting and are marked-to-market through earnings each period.  At June 30, 2013, we recorded a current asset of $9.8 million, which is included in other current assets, and a non-current asset of $14.6 million, which is included in other non-current assets, for the fair value of the contracts.  The current asset balance is net of approximately $0.3 million for contracts that were in a fair value liability position at June 30, 2013. We recognized a $28.1 million net gain on the contracts during the first six months of 2013, which included $7.2 million in gains realized on settled contracts. The net gain on these contracts is included as a separate line item under other income (expense), as they relate to forecasted future shipments, as opposed to sales that have already taken place but are subject to final pricing.  The gains recognized during the first six months of 2013 are mostly the result of declining lead prices during the beginning of June 2013.  This program is designed to mitigate the impact of potential future declines in lead and zinc prices from the price levels established in the contracts (see average price information below).

The following tables summarize the quantities of base metals committed under forward sales contracts at June 30, 2013 and December 31, 2012:

June 30, 2013	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		19,786		9,314	$	0.85	$	0.92
Contracts on forecasted sales
2013 settlements		15,046		14,936	$	0.96	$	1.05
2014 settlements		60,516		47,619	$	0.99	$	1.05
2015 settlements		26,896		39,628	$	0.98	$	1.07

December 31, 2012	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		14,991		6,945	$	0.95	$	1.00
Contracts on forecasted sales
2013 settlements		35,935		32,794	$	0.96	$	1.11
2014 settlements		30,203		33,069	$	0.98	$	1.03
2015 settlements		3,307		23,534	$	1.01	$	1.06

Our concentrate sales are based on a provisional sales price containing an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrates at the forward price at the time of the sale. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through earnings each period prior to final settlement.

Note 12.    Fair Value Measurement

The table below sets forth our assets and liabilities that were accounted for at fair value on a recurring basis and the fair value calculation input hierarchy level that we have determined applies to each asset and liability category (in thousands).  

Description	Balance at June 30, 2013		Balance at December 31, 2012		Input Hierarchy Level
Assets:
Cash and cash equivalents:
Money market funds and other bank deposits	$	296,375	$	190,984	Level 1
Available for sale securities:
Equity securities – mining industry		8,766		9,614	Level 1
Trade accounts receivable:
Receivables from provisional concentrate sales		8,306		17,555	Level 2
Restricted cash balances:
Certificates of deposit and other bank deposits		5,287		871	Level 1
Derivative contracts:
Base metal forward contracts		24,651		5,606	Level 2
Total assets	$	343,385	$	224,630
Liabilities:
Derivative contracts:
Base metal forward contracts		—		2,483	Level 2

Cash and cash equivalents consist primarily of money market funds and are valued at cost, which approximates fair value.

Current and non-current restricted cash balances consist primarily of certificates of deposit and U.S. Treasury securities and are valued at cost, which approximates fair value.

Our current and non-current investments consist of marketable equity securities which are valued using quoted market prices for each security.

Trade accounts receivable include amounts due to us for shipments of concentrates and doré sold to smelters and refiners.  Revenues and the corresponding accounts receivable for sales of metals products are recorded when title and risk of loss transfer to the customer (generally at the time of loading on truck or ship).  Sales of concentrates are recorded using estimated forward prices for the anticipated month of settlement applied to our estimate of payable metal quantities contained in each shipment.  Sales are recorded net of estimated treatment and refining charges, which are also impacted by changes in metals prices and quantities of contained metals.  We estimate the prices at which sales of our concentrates will be settled due to the time elapsed between shipment and final settlement with the smelter.  Receivables for previously recorded concentrate sales are adjusted to reflect estimated forward metals prices at the end of each period until final settlement by the smelter.  We obtain the forward metals prices used each period from a pricing service.  Changes in metal prices between shipment and final settlement result in changes to revenues previously recorded upon shipment.  The embedded derivative contained in our concentrate sales is adjusted to fair market value through earnings each period prior to final settlement.

We use financially-settled forward contracts to manage the exposure to changes in prices of zinc and lead contained in our concentrate shipments that have not reached final settlement.  We also use financially-settled forward contracts to manage the exposure to changes in prices of zinc and lead contained in our forecasted future concentrate shipments (see Note 11 for more information).  These contracts do not qualify for hedge accounting, and are marked-to-market through earnings each period.  The fair value of each contract represents the present value of the difference between the forward metal price for the contract settlement period as of the measurement date and the contract settlement metal price.

Our senior notes issued in April 2013, which are not measured at fair value, had a fair value of $466.6 million and a carrying value of $490.1 million, net of unamortized initial purchaser discount, at June 30, 2013. Third-party quotes, which we consider to be Level 2 inputs, are utilized to estimate fair values of the senior notes. See Note 9 for more information.

Note 13.    Acquisition of Aurizon Mines Ltd.

On June 1, 2013, Hecla and Aurizon consummated the Acquisition Agreement pursuant to which Hecla acquired all of the issued and outstanding common shares of Aurizon for consideration valued at US$4.32 (CAD$4.47) per share (the "Acquisition"). Under the terms of the Acquisition, each holder of Aurizon common shares (a “Shareholder”) had the option of electing to receive either CAD$4.75 in cash (the “Cash Alternative”) or 0.9953 of a Hecla share (the “Share Alternative”) per Aurizon share, subject in each case to proration. Each Shareholder received CAD$3.11 (US$3.00) in cash and 0.3442 of a Hecla share for each Aurizon share, with limited exceptions in which certain shareholders received 100% of their consideration in Hecla shares. Aurizon had 164,838,377 issued and outstanding common shares immediately prior to consummation of the Acquisition. An additional 747,132 Aurizon common shares were issued immediately prior to consummation of the Acquisition related to the conversion of in-the-money Aurizon stock options, resulting in a total of 165,585,509 issued and outstanding Aurizon common shares at the time of consummation of the Acquisition. Consideration transferred to consummate the Acquisition was comprised of cash paid by Hecla of CAD$514.5 million (US$496.4 million) and issuance of 56,997,790 shares of Hecla common stock valued at CAD$226.3 (US$218.3 million) for total consideration of CAD$740.8 million (US$714.5 million) based on the US$ to CAD$ exchange rate of 0.9645 at the time of consummation. The value of Hecla stock issued as consideration was based upon the closing price at the time of consummation of CAD$3.97 (US$3.83) per share.

The cash portion of the Acquisition was primarily funded by the issuance of senior notes in April 2013 for net proceeds of $490 million. See Note 9 for more information.

The following summarizes the preliminary allocation of purchase price to the fair value of assets acquired and liabilities assumed as of the date of acquisition (in thousands):

Consideration:
Cash payments	$	496,211
Hecla stock issued (56,997,790 shares at $3.83 per share)		218,302
Total consideration	$	714,513
Fair value of net assets acquired:
Assets:
Cash	$	177,587
Accounts receivable		14,307
Inventory - bullion and stockpiled ore		8,090
Inventory - supplies		5,704
Other current assets		7,036
Property, plants, equipment and mineral interests, net		715,391
Non-current restricted cash and investments		4,471
Other non-current assets		795
Total assets		933,381
Liabilities:
Accounts payable		22,227
Accrued payroll and related benefits		7,613
Accrued taxes		509
Non-current deferred tax liability		177,016
Non-current reclamation		11,113
Other non-current liabilities		390
Total liabilities		218,868
Net assets	$	714,513

The $715.4 million fair value for "Property, plants, equipment, and mineral interests, net" is comprised of $11.1 for the asset retirement obligation asset, $127.8 million for plant and equipment, and $576.5 million for development, value beyond proven and probable reserves, and other mineral interests. We are not aware of specific elements of the allocation of purchase price above that are subject to change. However, the overall allocation is preliminary, as the independent valuation report and review by management have not been finalized as of the date of this filing.

The unaudited pro forma financial information below represents the combined results of our operations as if the Acquisition had occurred at the beginning of the periods presented. The unaudited pro forma financial information is presented for informational purposes only and is not indicative of the results of operations that would have occurred if the acquisition had taken place at the beginning of the periods presented, nor is it indicative of future operating results.

	Three Months Ended June 30,					Six Months Ended June 30,
(in thousands, except per share amounts)	2013			2012		2013			2012
Sales of products	$	118,584		$	127,284	$	237,946		$	275,060
Net income (loss)		(13,168	)		2,844		(3,388	)		14,450
Income (loss) applicable to common shareholders		(13,306	)		2,706		(3,664	)		14,174
Basic and diluted income (loss) per common share		(0.04	)		0.01		(0.01	)		0.04

The pro forma financial information includes adjustments to reflect the depreciation and amortization of assets acquired, an estimate of interest expense related to the senior notes that would have been incurred, and the issuance of Hecla stock as consideration in the acquisition.

Note 14.    Guarantor Subsidiaries

Presented below are the Company’s condensed consolidating financial statements as required by Rule 3-10 of Regulation S-X of the Securities Exchange Act of 1934, as amended, resulting from the guarantees by certain of the Company's subsidiaries (the "Guarantors") of the $500 million aggregate principal amount of the Company's senior notes due on May 1, 2021 (the "Notes"). The Guarantors consist of the following of the Company's 100%-owned subsidiaries: Hecla Limited; Silver Hunter Mining Company; Rio Grande Silver, Inc.; RHL Holdings, Inc.; Hecla MC Subsidiary, LLC; Hecla Silver Valley, Inc.; Burke Trading, Inc.; Hecla Alaska LLC; Hecla Greens Creek Mining Company; Hecla Admiralty Company; and Hecla Juneau Mining Company. The Company completed the offering of the Notes on April 21, 2013.

The condensed consolidating financial statements below have been prepared from the Company’s financial information on the same basis of accounting as the consolidated financial statements. Investments in the subsidiaries are accounted for under the equity method. Accordingly, the entries necessary to consolidate the Company and the Guarantors are reflected in the intercompany eliminations column. In the course of preparing consolidated financial statements, we eliminate the effects of various transactions conducted between our subsidiaries. While valid at an individual subsidiary level, such activities are eliminated in consolidation because, when taken as a whole, they do not represent business activity with third-party customers, vendors, and other parties. Examples of such eliminations include the following.

• Investments in subsidiaries. The acquisition of a company results in an investment on the records of the parent company and a contribution of capital on the records of the subsidiary. Such investments and capital contributions are eliminated in consolidation.

• Capital contributions. Other of our subsidiaries do not generate cash flow, and their cash requirements are routinely met with inter-company advances from their parent companies. On an annual basis, the Boards of Directors of such parent companies declare contributions of capital to their subsidiary companies, which increase the parent's investment and the subsidiaries' additional paid-in capital. In consolidation, investments in subsidiaries and related additional paid-in capital are eliminated.

• Deferred taxes. Our ability to realize deferred tax assets and liabilities is considered on a consolidated basis for subsidiaries within the United States, with all subsidiaries' estimated future taxable income contributing to the ability to realize all such assets and liabilities. However, when our subsidiaries are viewed independently, we use the separate return method to assess the realizability of each subsidiary's deferred tax assets and whether a valuation allowance is required against such deferred tax assets. In some instances, a parent company or subsidiary may possess deferred tax assets whose realization depends on the future taxable incomes of other subsidiaries on a consolidated-return basis, but would not be considered realizable if such parent or subsidiary filed on a separate stand-alone basis. In such a situation, a valuation allowance is assessed on that subsidiary's deferred tax assets, with the resulting adjustment reported in the eliminations column of the guarantor and parent's financial statements. The separate return method can result in significant eliminations of deferred tax assets and liabilities and related income tax provisions and benefits. Non-current deferred tax asset balances are included in other non-current assets on the condensed consolidating balance sheets and make up a large portion of that item, particularly for the guarantor balances.

Condensed Consolidating Balance Sheets

	As of June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	108,549		$	55,453		$	132,373		$	—		$	296,375
Other current assets		15,822			47,956			33,344			5,620			102,742
Properties, plants, and equipment - net		(379	)		1,020,770			722,305			—			1,742,696
Intercompany receivable (payable)		515,528			(113,583	)		(464,729	)		62,784			—
Investments in subsidiaries		1,229,150			—			—			(1,229,150	)		—
Other non-current assets		16,596			185,984			13,211			(85,149	)		130,642
Total assets	$	1,885,266		$	1,196,580		$	436,504		$	(1,245,895	)	$	2,272,455
Liabilities and Shareholders' Equity
Current liabilities	$	27,997		$	78,659		$	15,289		$	(3,890	)	$	118,055
Long-term debt		490,104			13,622			49			—			503,775
Non-current portion of accrued reclamation		—			93,952			11,510			—			105,462
Non-current deferred tax liability		—			12,859			169,025			(12,854	)		169,030
Other non-current liabilities		32,439			8,279			689			—			41,407
Shareholders' equity		1,334,726			989,209			239,942			(1,229,151	)		1,334,726
Total liabilities and shareholders' equity	$	1,885,266		$	1,196,580		$	436,504		$	(1,245,895	)	$	2,272,455

 

	As of December 31, 2012
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	132,266	$	57,075		$	1,643		$	—		$	190,984
Other current assets		7,399		65,658			766			18,091			91,914
Properties, plants, and equipment - net		—		991,476			5,183			—			996,659
Intercompany receivable (payable)		113,234		(64,893	)		(74,450	)		26,109			—
Investments in subsidiaries		918,526		—			—			(918,526	)		—
Other non-current assets		3,059		164,913			7,600			(76,839	)		98,733
Total assets	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290
Liabilities and Shareholders' Equity
Current liabilities	$	3,726	$	121,221		$	1,016		$	(30,976	)	$	94,987
Long-term debt		—		11,875			60			—			11,935
Non-current portion of accrued reclamation		—		92,825			545			—			93,370
Other non-current liabilities		32,807		8,651			252			(1,663	)		40,047
Other shareholders' equity		1,137,951		979,657			(61,131	)		(918,526	)		1,137,951
Total liabilities and shareholders' equity	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290

 

Condensed Consolidating Statements of Operations

	Three Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	372		$	74,838		$	10,120		$	—		$	85,330
Cost of sales		—			(51,777	)		(8,231	)		—			(60,008	)
Depreciation, depletion, amortization		—			(16,887	)		(3,324	)		—			(20,211	)
General and administrative		(3,993	)		(3,137	)		(352	)		—			(7,482	)
Exploration and pre-development		(253	)		(8,553	)		(1,927	)		—			(10,733	)
Gain on derivative contracts		6,541			—			—			—			6,541
Aurizon acquisition costs		(14,148	)		1,422			(11,080	)		—			(23,806	)
Equity in losses of subsidiaries		(13,625	)		—			—			13,625			—
Other (expense) income		248			3,643			(3,225	)		(1,950	)		(1,284	)
Loss before income taxes		(24,858	)		(451	)		(18,019	)		11,675			(31,653	)
Benefit from income taxes		—			211			6,321			263			6,795
Net income (loss)		(24,858	)		(240	)		(11,698	)		11,938			(24,858	)
Preferred stock dividends		(138	)		—			—			—			(138	)
Income (loss) applicable to common shareholders		(24,996	)		(240	)		(11,698	)		11,938			(24,996	)
Net income (loss)		(24,858	)		(240	)		(11,698	)		11,938			(24,858	)
Changes in comprehensive income (loss)		(1,944	)		4,257			(1,425	)		(2,832	)		(1,944	)
Comprehensive income (loss)	$	(26,802	)	$	4,017		$	(13,123	)	$	9,106		$	(26,802	)

 

	Six Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	2,785		$	148,875		$	10,120		$	—		$	161,780
Cost of sales		—			(88,602	)		(8,231	)		—			(96,833	)
Depreciation, depletion, amortization		—			(30,894	)		(3,324	)		—			(34,218	)
General and administrative		(7,465	)		(6,547	)		(409	)		—			(14,421	)
Exploration and pre-development		(417	)		(16,748	)		(4,852	)		—			(22,017	)
Gain on derivative contracts		28,080			—			—			—			28,080
Aurizon acquisition costs		(14,148	)					(11,452	)					(25,600	)
Equity in losses of subsidiaries		(14,698	)		—			—			14,698
Other expense		(7,901	)		1,943			(3,957	)		—			(9,915	)
Income (loss) before income taxes		(13,764	)		8,027			(22,105	)		14,698			(13,144	)
(Provision) benefit from income taxes		—			(5,254	)		6,321			(1,687	)		(620	)
Net income (loss)		(13,764	)		2,773			(15,784	)		13,011			(13,764	)
Preferred stock dividends		(276	)		—			—			—			(276	)
Income (loss) applicable to common shareholders		(14,040	)		2,773			(15,784	)		13,011			(14,040	)
Net income (loss)		(13,764	)		2,773			(15,784	)		13,011			(13,764	)
Changes in comprehensive income (loss)		(4,775	)		3,830			(3,830	)		—			(4,775	)
Comprehensive income (loss)	$	(18,539	)	$	6,603		$	(19,614	)	$	13,011		$	(18,539	)

 

	Three Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	869		$	66,150		$	—		$	—		$	67,019
Cost of sales		—			(33,172	)		—			—			(33,172	)
Depreciation, depletion, amortization		—			(9,879	)		—			—			(9,879	)
General and administrative		(3,089	)		(2,455	)		17			—			(5,527	)
Exploration and pre-development		(268	)		(8,272	)		(2,077	)		—			(10,617	)
Gain on derivative contracts		6,171			—			—			—			6,171
Closed operations		—			(1,492	)		(743	)		—			(2,235	)
Equity in loss of subsidiaries		(2,740	)		—			—			2,740			—
Other expense		1,581			(7,310	)		(653	)		(2,161	)		(8,543	)
Income (loss) before income taxes		2,524			3,570			(3,456	)		579			3,217
(Provision) benefit from income taxes		—			(2,854	)		—			2,161			(693	)
Net income (loss)		2,524			716			(3,456	)		2,740			2,524
Preferred stock dividends		(138	)		—			—			—			(138	)
Income (loss) applicable to common shareholders		2,386			716			(3,456	)		2,740			2,386
Net income (loss)		2,524			716			(3,456	)		2,740			2,524
Changes in comprehensive income (loss)		586			(764	)		(132	)		896			(586	)
Comprehensive income (loss)	$	1,938		$	(48	)	$	(3,588	)	$	3,636		$	1,938

 

	Six Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(122	)	$	158,294		$	—		$	—		$	158,172
Cost of sales		—			(66,462	)		—			—			(66,462	)
Depreciation, depletion, amortization		—			(19,540	)		—			—			(19,540	)
General and administrative		(5,664	)		(4,248	)		(116	)		—			(10,028	)
Exploration and pre-development		(401	)		(15,042	)		(4,151	)		—			(19,594	)
Gain on derivative contracts		940			—			—			—			940
Closed operations		—			(2,692	)		(1,721	)		—			(4,413	)
Equity in earnings of subsidiaries		13,847			—			—			(13,847	)
Other expense		6,496			(13,269	)		(1,426	)		(7,772	)		(15,971	)
Income (loss) before income taxes		15,096			37,041			(7,414	)		(21,619	)		23,104
(Provision) benefit from income taxes		—			(15,780	)		—			7,772			(8,008	)
Net income (loss)		15,096			21,261			(7,414	)		(13,847	)		15,096
Preferred stock dividends		(276	)		—			—			—			(276	)
Income (loss) applicable to common shareholders		14,820			21,261			(7,414	)		(13,847	)		14,820
Net income (loss)		15,096			21,261			(7,414	)		(13,847	)		15,096
Changes in comprehensive income (loss)		(805	)		(1,135	)		(130	)		1,265			(805	)
Comprehensive income (loss)	$	14,291		$	20,126		$	(7,544	)	$	(12,582	)	$	14,291

 

Condensed Consolidating Statements of Cash Flows

 

	Six Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations		Consolidated
	(in thousands)
Cash flows from operating activities	$	(7,524	)	$	54,148		$	(36,349	)			$	10,275
Cash flows from investing activities:
Additions to properties, plants, and equipment		(229	)		(54,128	)		(5,934	)				(60,291	)
Acquisition of Aurizon Mines		(498,705	)					177,588					(321,117	)
Other investing activities, net		—			102			(3,888	)		—		(3,786	)
Cash flows from financing activities:
Dividends paid to shareholders		(4,553	)		—			—					(4,553	)
Borrowings on debt		490,000			—			—					490,000
Proceeds from (payments on) debt		—			(3,425	)		—					(3,425	)
Other financing activity, net		(2,706	)		1,681			(687	)		—		(1,712	)
Changes in cash and cash equivalents		(23,717	)		(1,622	)		130,730					105,391
Beginning cash and cash equivalents		132,266			57,075			1,643					190,984
Ending cash and cash equivalents	$	108,549		$	55,453		$	132,373				$	296,375

	Six Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	22,513		$	4,681		$	(5,773	)	$	9,819		$	31,240
Cash flows from investing activities:
Additions to properties, plants, and equipment		(264	)		(50,789	)		(482	)					(51,535	)
Other investing activities, net		—			116			—			—			116
Cash flows from financing activities:
Dividends paid to shareholders		(10,262	)		—			—						(10,262	)
Proceeds from (payments on) debt		—			(2,486	)		(6	)					(2,492	)
Other financing activity, net		6,467			(3,515	)		6,664			(9,819	)		(203	)
Changes in cash and cash equivalents		18,454			(51,993	)		403						(33,136	)
Beginning cash and cash equivalents		97,850			168,433			180						266,463
Ending cash and cash equivalents	$	116,304		$	116,440		$	583					$	233,327

 

EX-99

Exhibit 99.3

UNAUDITED PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS

As described more fully in Note 2 to these unaudited pro forma condensed combined financial statements, on June 1, 2013, we completed the acquisition of Aurizon pursuant to which we acquired all of the issued and outstanding common shares of Aurizon for consideration valued at CAD$4.47 per share ("the Acquisition").

On April 12, 2013, we completed an offering of $500 million in aggregate principal amount of our senior notes due May 1, 2021 (the “notes”). The net proceeds from the offering of the notes ($490 million) were used to partially fund the Acquisition.

The following unaudited pro forma condensed combined statement of operations for the six months ended June 30, 2013 gives effect to the Acquisition and the offering of the notes as if they had occurred on January 1, 2012. The unaudited pro forma condensed combined statement of operations for the year ended December 31, 2012 is included in Exhibit 99.4 to our Current Report on Form 8-K/A filed on July 25, 2013.

For purchase accounting, the valuation of the shares was based upon the price of Hecla's shares of CAD$3.97 at the time of closing the Acquisition. See Note 2 to these unaudited pro forma condensed combined financial statements for additional information on the Acquisition. The components of purchase consideration were translated from CAD$ to US$ using a rate of 0.9645 in effect as of May 31, 2013.

The unaudited pro forma condensed combined statement of operations should be read in conjunction with the historical financial statements of Hecla and Aurizon including the notes thereto. The historical financial statements of Hecla for the year ended December 31, 2012 and the six months ended June 30, 2013 are included in the Company's annual report on Form 10-K and the Company's quarterly report on Form 10-Q for the respective periods. The historical financial statements of Aurizon for the year ended December 31, 2012 and quarter ended March 31, 2013 are included as Exhibits 99.1 and 99.2 to our Current Report on Form 8-K/A filed on July 25, 2013.

The unaudited pro forma condensed combined statement of operations is not necessarily indicative of the operating results that would have been achieved if the Acquisition had been completed on the dates or for the periods presented, nor does it purport to project the results of operations of the combined entities for any future period. Actual amounts recorded subsequent to consummation of the Acquisition and upon completion of the allocation of consideration transferred will likely differ from those recorded in the unaudited pro forma condensed combined statement of operations. The unaudited pro forma condensed combined statement of operations does not reflect any special items such as integration costs or operating synergies that may be realized as a result of the Acquisition.

Hecla Mining Company

Unaudited Pro Forma Condensed Combined Statement of Operations

For the six months ended June 30, 2013

(US$, dollars and shares in thousands, except per share amounts)

	Six months ended June 30, 2013
	Hecla			Aurizon			Acquisition adjustments				Pro forma combined
				(Note 4)			(Notes 2 and 3)
Sales of products	$	161,780		$	76,166		$	-			$	237,946
Cost of sales and other direct production costs		96,833			42,399			-				139,232
Depreciation, depletion and amortization		34,218			18,410			2,553		(a)		55,181
		131,051			60,809			2,553				194,413
Gross profit		30,729			15,357			(2,553	)			43,533
General and administrative		14,421			15,447			(3,968	)	(d)		25,900
Exploration		12,714			2,703			-				15,417
Pre-developemnt		9,303			-			-				9,303
Lucky Friday suspension-related income		(1,342	)		-			-				(1,342	)
Aurizon acquisition costs		25,600			-			(25,600	)	(d)		-
Other operating expenses		4,868			674			-				5,542
Income (loss) from operations		(34,835	)		(3,467	)		27,015				(11,287	)
Other income (expense):
Other income (expense)		28,849			833			-				29,682
Interest expense, net of amounts capitalized		(7,158	)		(551	)		(8,043	)	(b)		(15,752	)
		21,691			282			(8,043	)			13,930
Income (loss) before income taxes		(13,144	)		(3,185	)		18,972				2,643
Income tax provision		(620	)		(1,221	)		(2,832	)	(c)		(4,673	)
Net income (loss)		(13,764	)		(4,406	)		16,140				(2,030	)
Preferred stock dividends		(276	)		-			-				(276	)
Income (loss) applicable to common shareholders	$	(14,040	)	$	(4,406	)	$	16,140			$	(2,306	)
Basic and diluted loss per common share after preferred stock dividends	$	(0.05	)								$	(0.01	)
Weighted average number of common shares outstanding - basic		294,317						47,866		(e)		342,183
Weighted average number of common shares outstanding - diluted		294,317						47,866				342,183

 

See accompanying notes to these unaudited pro forma condensed combined financial statements.

Notes to Unaudited Pro Forma Condensed Combined Financial Statements

Note 1. Basis of presentation

Hecla Mining Company (“Hecla”) and Aurizon Mines Ltd. (“Aurizon”) entered into a definitive arrangement agreement (“Acquisition” or “Acquisition Agreement”) pursuant to which Hecla acquired all of the issued and outstanding common shares of Aurizon (see Note 2 for more information). The Acquisition was completed on June 1, 2013, and is accounted for as a business combination. The unaudited pro forma condensed combined statement of operations is prepared on that basis, and is presented to give effect to the acquisition of all of the outstanding common shares of Aurizon by Hecla. The unaudited pro forma condensed combined statement of operations for the six months ended June 30, 2013 gives effect to the Acquisition as if it occurred on January 1, 2012.

The unaudited pro forma condensed combined statement of operations for the six months ended June 30, 2013 is based upon and derived from and should be read in conjunction with the historical unaudited condensed consolidated financial statements of Hecla for the six month period ended June 30, 2013. They are also based upon and derived from the historical financial results of Aurizon for the five month period ended May 31, 2013, and should be read in conjunction with the historical unaudited financial statements of Aurizon for the period ended March 31, 2013. Hecla's historical financial statements were prepared and are presented in accordance with United States Generally Accepted Accounting Principles (“GAAP”). Aurizon's historical financial statements are presented in Canadian dollars and were prepared in accordance with International Financial Reporting Standards (“IFRS”), as issued by the International Accounting Standards Board (“IASB”), which differs in certain respects from GAAP. As described in Note 4 and for the purposes of the preparation of this unaudited pro forma condensed combined statement of operations only, Aurizon's historical financial statements have been adjusted to be presented under GAAP, were translated from CAD$ to US$, and were adjusted to conform to Hecla's accounting policies and presentation. The IFRS-to-GAAP and conforming adjustments to Aurizon's historical financial statements are unaudited.

The unaudited pro forma condensed combined statement of operations is not necessarily indicative of the operating results that would have been achieved if the Acquisition had been completed on the date or for the period presented, nor does it purport to project the results of operations of the combined entities for any future period or as of any future date. Actual amounts recorded subsequent to consummation of the Acquisition and upon completion of the allocation of consideration transferred will likely differ from those recorded in the unaudited pro forma condensed combined statement of operations. The unaudited pro forma condensed combined statement of operations does not reflect any special items such as integration costs or operating synergies that may be realized as a result of the Acquisition.

In preparing the unaudited pro forma condensed combined statement of operations, the following historical information was used:

• Aurizon's statement of comprehensive income for the three months ended March 31, 2013 included in its unaudited financial statements for the first quarter of 2013 and prepared in accordance with IFRS as issued by the IASB;

• Aurizon's unaudited financial results for April and May 2013 prepared in accordance with IFRS as issued by the IASB; and

• Hecla's condensed consolidated statement of operations and comprehensive income (unaudited) for the six months ended June 30, 2013 filed on Form 10-Q for the three months ended June 30, 2013 and prepared in accordance with GAAP.

The unaudited pro forma condensed combined statement of operations should be read in conjunction with the historical financial statements including the notes thereto, as listed above.

The significant accounting policies used in preparing the unaudited pro forma condensed combined statement of operations are set out in Hecla's consolidated financial statements filed on Form 10-K for the year ended December 31, 2012.

Amounts in this unaudited pro forma condensed combined statement of operations and notes are presented in U.S. dollars (“US$” or “$”) unless otherwise indicated.

Note 2.   Summary of the acquisition of Aurizon

On June 1, 2013, Hecla and Aurizon consummated the Acquisition pursuant to which Hecla acquired all of the issued and outstanding common shares of Aurizon for consideration valued at CAD$4.47 per share. Under the terms of the Acquisition, each holder of Aurizon common shares (a “Shareholder”) had the option of electing to receive either CAD$4.75 in cash (the “Cash Alternative”) or 0.9953 of a Hecla share (the “Share Alternative”) per Aurizon share, subject in each case to proration. Each Shareholder received CAD$3.11 in cash and 0.3442 of a Hecla share for each Aurizon share, with limited exceptions in which certain shareholders received 100% of their consideration in Hecla shares. Aurizon had 164,838,377 issued and outstanding common shares immediately prior to consummation of the Acquisition. An additional 747,132 Aurizon common shares were issued immediately prior to consummation of the Acquisition related to the conversion of in-the-money Aurizon stock options, resulting in a total of 165,585,509 issued and outstanding Aurizon common shares at the time of consummation of the Acquisition. Consideration transferred to consummate the Acquisition was comprised of cash paid by Hecla of CAD$514.5 million (US$496.2 million) and issuance of 56,997,790 shares of Hecla common stock valued at CAD$226.3 (US$218.3 million) for total consideration of CAD$740.8 million (US$714.6 million) based on the US$ to CAD$ exchange rate of 0.9645 at the time of consummation. The value of Hecla stock issued as consideration was based upon the closing price at the time of consummation of CAD$3.97 (US$3.83) per share. For purposes of preparing this unaudited pro forma condensed combined statement of operations, the components of consideration and the allocation of assets acquired and liabilities assumed were translated from CAD$ to US$ using a rate of 0.9645 in effect as of May 31, 2013.

The following represents the preliminary estimated allocation of the consideration transferred:

Consideration:
Cash payments	$	496,211
Hecla stock issued (56,997,790 shares at $3.83 per share)		218,302
Total consideration	$	714,513
Fair value of net assets acquired:
Assets:
Cash	$	177,587
Accounts receivable		14,307
Inventory - bullion and stockpiled ore		8,090
Inventory - supplies		5,704
Other current assets		7,036
Property, plants, equipment and mineral interests, net		715,391
Non-current restricted cash and investments		4,471
Other non-current assets		795
Total assets		933,381
Liabilities:
Accounts payable		22,227
Accrued payroll and related benefits		7,613
Accrued taxes		509
Non-current deferred tax liability		177,016
Non-current reclamation		11,113
Other non-current liabilities		390
Total liabilities		218,868
Net assets	$	714,513

Note 3.   The effect of the Acquisition and offering of notes on the unaudited pro forma condensed combined statement of operations

The unaudited pro forma condensed combined statements of operations include the following adjustments:

(a) To record additional depreciation, depletion and amortization expense associated with the preliminary fair value adjustment of approximately $510 million allocated to properties, plants, equipment and mineral interests. Depreciation, depletion and amortization expense is based on an estimated life of mine for the Casa Berardi Mine of approximately ten years. A significant amount of the consideration is allocated to value beyond proven and probable reserves, which is not immediately depreciable. As the allocation of estimated consideration is preliminary, the estimate of depreciation, depletion and amortization expense is subject to change upon completion of the valuation of Aurizon's properties, plants, equipment, and mineral interests.

(b) To record pro forma interest expense, net of amounts capitalized related to projects under construction during the first half of 2013, in addition to interest expense already included in Hecla's historical operating results, as follows (in thousands):

Senior notes maturing in eight years after issuance	$	17,188
Accretion of senior notes discount and amortization of deferred financing costs		720
Less: interest capitalized		(3,980	)
Total pro forma interest expense, six months ended 6/30/2013		13,928
Less: interest included in Hecla's historical condensed combined statement of operations		(5,885	)
Pro forma adjustment	$	8,043

 

The annual interest rate on the senior notes is fixed at 6.875%.

(c) To record the estimated income tax effect of the pro forma adjustments. Hecla is a taxable entity; therefore, an adjustment is necessary to reflect an income tax provision as if Hecla had acquired Aurizon as of January 1, 2012. The current income tax provision applies a 44.55% effective tax rate, which varies from the amounts that would have resulted from applying the 39% blended statutory income tax rate to pre-tax income. In U.S. jurisdictions, this is primarily due to the effects of percentage depletion for all periods presented and the change in valuation allowance related to foreign operations. In Canadian jurisdictions, this is primarily due to the effects of non-operating costs that are not deductible for purposes of computing the Quebec Mining Tax.

(d) To eliminate costs directly related to the Acquisition incurred by Hecla and Aurizon during the first half of 2013, as they are non-recurring.

(e) To record the impact of issuance of 56,997,790 shares of Hecla common stock to Aurizon shareholders on the weighted average number of common shares outstanding. The shares issued were valued at CAD$3.97 per share or US$218.3 million, as discussed in Note 2 above.

Note 4.   Aurizon balances

The Aurizon balances presented in the unaudited pro forma condensed combined financial statements have been adjusted to reflect Hecla's GAAP accounting policies. The IFRS-to-GAAP and conforming adjustments to Aurizon's historical financial statements are unaudited. Revenues and expenses reflected in the statements of operations were translated at an average exchange rate of 0.9878 for the five months ended May 31, 2013. The source of this exchange rate is OANDA.com.

The following information illustrates the unaudited adjustments to conform the presentation of Aurizon's balances to GAAP and Hecla's presentation and the translation of the balances to U.S. dollars, as discussed above:

Aurizon Statement of Operations Data (Unaudited)

For the five months ended May 31, 2013

(CAD$ and US$, in thousands)

	IFRS, CAD$			U.S. GAAP Adjustments				Conforming Adjustments				U.S. GAAP CAD$			U.S. GAAP US$
Revenue	$	77,107										$	77,107		$	76,166
Less: Cost of sales		(62,422	)		861		(f)		18,637		(h)		(42,924	)		(42,399	)
Less: Depreciation, depletion, and amortization		-							(18,637	)	(h)		(18,637	)		(18,410	)
Gross profit	$	14,685		$	861			$	-			$	15,546		$	15,357
Other operating expenses
Exploration		(2,456	)		(281	)	(f)						(2,737	)		(2,703	)
General and administrative costs		(15,638	)										(15,638	)		(15,447	)
Other net losses		(682	)										(682	)		(674	)
Operating profit		(4,091	)		580				-				(3,511	)		(3,467	)
Finance income		842											842			833
Finance costs		(446	)		(111	)	(g)						(557	)		(551	)
Other derivative gains		-											-			-
Profit (loss) before income and resource taxes		(3,695	)		469				-				(3,226	)		(3,185	)
Income and resource tax expense		(1,150	)		(130	)	(f)						(1,237	)		(1,221	)
					43		(g)
Net profit (loss)	$	(4,845	)	$	382			$	-			$	(4,463	)	$	(4,406	)

 

(f) To conform Aurizon's amounts to GAAP, certain exploration costs capitalized under IFRS were reclassified to expense under GAAP, and were tax-effected at a 38% statutory rate. Costs that were reclassified to expense relate primarily to surface drilling to define an underground zone of mineralization where reserves have not yet been identified, and to clear, construct, and drill in areas that are not within or adjacent to existing mineral reserves.

(g) To adjust for the estimated difference in the value of the asset retirement obligation calculated under GAAP compared to the value calculated under IFRS, as different rates are used to discount estimated reclamation costs under each set of standards. The adjustment was tax-effected at a 38% statutory rate.

(h) To conform Aurizon's amounts to Hecla's accounting policies and presentation, depreciation and depletion expense was reclassified from “Cost of sales” to “Depreciation, depletion, and amortization.”

XML

Note 11 - Business Segments and Significant Customers (Details) - Percentage Of Sales To Major Customers	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Teck Metals Ltd. [Member]
Revenue, Major Customer [Line Items]
Major Customer	10.70%	51.10%	29.60%
Korea Zinc [Member]
Revenue, Major Customer [Line Items]
Major Customer	37.20%	18.40%	20.70%
Trafigura AG [Member]
Revenue, Major Customer [Line Items]
Major Customer	22.40%	12.40%	17.40%
MS Zinc [Member]
Revenue, Major Customer [Line Items]
Major Customer	12.30%	6.90%	7.00%

XML

Note 9 - Shareholders' Equity (Details) - Fair Value Of Options (USD $)	12 Months Ended
	Dec. 31, 2010
Fair Value Of Options [Abstract]
Weighted average fair value of options granted (in Dollars per share)	$ 3.18
Expected stock price volatility	92.00%
Risk-free interest rate	1.43%
Expected life of options (in years)	2 years 328 days

XML

Note 9 - Shareholders' Equity (Details) - Unvested Restricted Stock (USD $)	1 Months Ended	12 Months Ended
	Jun. 21, 2013	Dec. 31, 2012
Unvested Restricted Stock [Abstract]
Unvested, January 1, 2012		561,276
Unvested, January 1, 2012 (in Dollars per share)		$ 6.39
Unvested, December 31, 2012		1,037,146
Unvested, December 31, 2012 (in Dollars per share)		$ 5.11
Granted	954,438	723,669
Granted (in Dollars per share)		$ 4.51
Canceled		(16,461)
Canceled (in Dollars per share)		$ 7.29
Distributed		(231,338)
Distributed (in Dollars per share)		$ 6.65

XML

Note 9 - Senior Notes, Credit Facilities, and Capital Leases (Details) - Annual Maturities of Capital Lease Commitments, Including Interest (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Annual Maturities of Capital Lease Commitments, Including Interest [Abstract]0
2014	$ 6,970
2015	7,120	6,049
2016	5,476	5,821
2017	2,065	4,618
Total	21,631	18,419
Less: imputed interest	(960)	(920)
Net capital lease obligation	$ 20,671	$ 17,499	$ 10,300

XML

Note 14 - Other Comprehensive Income (Loss) (Details) (USD $)	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Disclosure Text Block [Abstract]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax	$ (1,644,000)	$ (7,754,000)	$ (1,652,000)
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Tax	1,100,000
Unrealized Gain (Loss) on Investments	1,200,000
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI for Write-down of Securities, before Tax	1,200,000
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax	$ 300,000

XML

Note 17 - Guarantor Subsidiaries (Details) - Condensed Consolidating Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	6 Months Ended		12 Months Ended			6 Months Ended		12 Months Ended			6 Months Ended		12 Months Ended			6 Months Ended		12 Months Ended			6 Months Ended	12 Months Ended			6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Jun. 30, 2013 Parent Company [Member]	Jun. 30, 2012 Parent Company [Member]	Dec. 31, 2012 Parent Company [Member]	Dec. 31, 2011 Parent Company [Member]	Dec. 31, 2010 Parent Company [Member]	Jun. 30, 2013 Guarantor Subsidiaries [Member]	Jun. 30, 2012 Guarantor Subsidiaries [Member]	Dec. 31, 2012 Guarantor Subsidiaries [Member]	Dec. 31, 2011 Guarantor Subsidiaries [Member]	Dec. 31, 2010 Guarantor Subsidiaries [Member]	Jun. 30, 2013 Non-Guarantor Subsidiaries [Member]	Jun. 30, 2012 Non-Guarantor Subsidiaries [Member]	Dec. 31, 2012 Non-Guarantor Subsidiaries [Member]	Dec. 31, 2011 Non-Guarantor Subsidiaries [Member]	Dec. 31, 2010 Non-Guarantor Subsidiaries [Member]	Jun. 30, 2012 Consolidation, Eliminations [Member]	Dec. 31, 2012 Consolidation, Eliminations [Member]	Dec. 31, 2011 Consolidation, Eliminations [Member]	Dec. 31, 2010 Consolidation, Eliminations [Member]	Jun. 30, 2013 Consolidated Entities [Member]	Jun. 30, 2012 Consolidated Entities [Member]	Dec. 31, 2012 Consolidated Entities [Member]	Dec. 31, 2011 Consolidated Entities [Member]	Dec. 31, 2010 Consolidated Entities [Member]
Condensed Cash Flow Statements, Captions [Line Items]
Cash flows from operating activities	$ 10,275	$ 31,240	$ 69,016	$ 69,891	$ 197,809	$ (7,524)	$ 22,513	$ 49,295	$ 105,740	$ 81,676	$ 54,148	$ 4,681	$ 42,957	$ 79,166	$ 194,716	$ (36,349)	$ (5,773)	$ (14,296)	$ (12,449)	$ (8,579)	$ 9,819	$ (8,940)	$ (102,566)	$ (70,004)	$ 10,275	$ 31,240	$ 69,016	$ 69,891	$ 197,809
Cash flows from investing activities:
Additions to properties, plants, and equipment	60,291	51,535	113,096	87,546	67,414	229	264	(618)	(2)	(340)	54,128	50,789	(107,425)	(87,454)	(67,077)	5,934	482	(5,053)	(90)	3					60,291	51,535	(113,096)	(87,546)	(67,414)
Other investing activities								(48,815)	(38,356)	(4,019)	(102)	(116)	891	(1,659)	1,150	3,888		(5,835)	1			48,817	47,741	5,495	3,786	(116)	(4,942)	7,727	2,626
Cash flows from financing activities:
Dividends paid to shareholders						4,553	10,262	(17,673)	(9,414)	(4,513)															4,553	10,262	(17,673)	(9,414)	(4,513)
Proceeds from exercise of stock warrants				500	3,400					53,093																			53,093
Payments on debt													(5,878)	(2,938)	(1,780)			(12)									(5,890)	(2,938)	(1,780)
Other financing activity						(2,706)	6,467	52,227	(150,118)	21,135	1,681	(3,515)	(41,903)	88,193	(95,484)	(687)	6,664	26,659	12,237	8,947	(9,819)	(39,877)	54,825	64,509	(1,712)	(203)	(2,894)	5,137	(893)
Changes in cash and cash equivalents	105,391	(33,136)	(75,479)	(17,143)	178,928	(23,717)	18,454	34,416	(92,150)	147,032	(1,622)	(51,993)	(111,358)	75,308	31,525	130,730	403	1,463	(301)	371					105,391	(33,136)	(75,479)	(17,143)	178,928
Cash and cash equivalents	$ 296,375	$ 233,327	$ 190,984	$ 266,463	$ 283,606	$ 108,549		$ 132,266	$ 97,850		$ 55,453		$ 57,075	$ 168,433		$ 132,373		$ 1,643	$ 180						$ 296,375		$ 190,984	$ 266,463

XML

Note 10 - Derivative Instruments

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities Disclosure [Text Block]

Note 11.    Derivative Instruments

At times, we use commodity forward sales commitments and commodity swap contracts to manage our exposure to fluctuation in the prices of certain metals which we produce. Contract positions are designed to ensure that we will receive a defined minimum price for certain quantities of our production, thereby partially offsetting our exposure to fluctuations in the market. These instruments do, however, expose us to other risks, including the amount by which the contract price exceeds the spot price of a commodity, and nonperformance by the counterparties to these agreements.

We use financially-settled forward contracts to sell lead and zinc at fixed prices for settlement at approximately the same time that our unsettled concentrate sales contracts will settle.  The settlement of each concentrate contract is based on the average spot price of the metal during the month of settlement, which may differ from the prices used to record the sale when the sale takes place.  The objective of the contracts is to manage the exposure to changes in prices of zinc and lead contained in our concentrate shipments between the time of sale and final settlement.  These contracts do not qualify for hedge accounting and are marked-to-market through earnings each period.  At June 30, 2013, we recorded a current asset of approximately $0.2 million, which is included in other current assets, for the fair value of the contracts.  The current asset balance is net of approximately $0.2 million for contracts that were in a fair value liability position at June 30, 2013. We recognized a $2.8 million net gain on the contracts during the first six months of 2013, which is included in sales of products.  The net gain recognized on the contracts offsets price adjustments on our provisional concentrate sales related to changes to lead and zinc prices between the time of sale and final settlement.

In addition, we use financially-settled forward contracts to manage the exposure to changes in prices of zinc and lead contained in our forecasted future concentrate shipments.  These contracts also do not qualify for hedge accounting and are marked-to-market through earnings each period.  At June 30, 2013, we recorded a current asset of $9.8 million, which is included in other current assets, and a non-current asset of $14.6 million, which is included in other non-current assets, for the fair value of the contracts.  The current asset balance is net of approximately $0.3 million for contracts that were in a fair value liability position at June 30, 2013. We recognized a $28.1 million net gain on the contracts during the first six months of 2013, which included $7.2 million in gains realized on settled contracts. The net gain on these contracts is included as a separate line item under other income (expense), as they relate to forecasted future shipments, as opposed to sales that have already taken place but are subject to final pricing.  The gains recognized during the first six months of 2013 are mostly the result of declining lead prices during the beginning of June 2013.  This program is designed to mitigate the impact of potential future declines in lead and zinc prices from the price levels established in the contracts (see average price information below).

The following tables summarize the quantities of base metals committed under forward sales contracts at June 30, 2013 and December 31, 2012:

June 30, 2013	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		19,786		9,314	$	0.85	$	0.92
Contracts on forecasted sales
2013 settlements		15,046		14,936	$	0.96	$	1.05
2014 settlements		60,516		47,619	$	0.99	$	1.05
2015 settlements		26,896		39,628	$	0.98	$	1.07

December 31, 2012	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		14,991		6,945	$	0.95	$	1.00
Contracts on forecasted sales
2013 settlements		35,935		32,794	$	0.96	$	1.11
2014 settlements		30,203		33,069	$	0.98	$	1.03
2015 settlements		3,307		23,534	$	1.01	$	1.06

Our concentrate sales are based on a provisional sales price containing an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrates at the forward price at the time of the sale. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through earnings each period prior to final settlement.

Note 10: Derivative Instruments

At times, we use commodity forward sales commitments, commodity swap contracts and commodity put and call option contracts to manage our exposure to fluctuation in the prices of certain metals which we produce. Contract positions are designed to ensure that we will receive a defined minimum price for certain quantities of our production, thereby partially offsetting our exposure to fluctuations in the market. These instruments do, however, expose us to other risks, including the amount by which the contract price exceeds the spot price of a commodity, and nonperformance by the counterparties to these agreements.

We utilize financially-settled forward contracts to sell lead and zinc at fixed prices for settlement at approximately the same time that our unsettled concentrate sales contracts will settle.  The settlement of each concentrate contract is based on the average spot price of the metal during the month of settlement, which may differ from the prices used to record the sale when the sale takes place.  The objective of the contracts is to manage the exposure to changes in prices of zinc and lead contained in our concentrate shipments between the time of sale and final settlement.  These contracts do not qualify for hedge accounting and are marked-to-market through earnings each period.  At December 31, 2012, we recorded a current asset of $2.3 million, which is included in other current assets, for the fair value of the contracts.  We recognized a $1.3 million net loss on the contracts during 2012, which is included in sales of products.  The net loss recognized on the contracts offset price adjustments on our provisional concentrate sales related to changes to lead and zinc prices between the time of sale and final settlement.

In addition, we utilize financially-settled forward contracts to manage the exposure of changes in prices of zinc and lead contained in our forecasted future concentrate shipments.  These contracts also do not qualify for hedge accounting and are marked-to-market through earnings each period.  At December 31, 2012, we recorded a current asset of $5.6 million, which is included in other current assets, and a non-current liability of $2.5 million, which is included in other non-current liabilities, for the fair value of the contracts  The current asset balance is net of approximately $1.0 million for contracts that were in a fair value liability position at December 31, 2012. The non-current liability balance is net of approximately $0.1 million for contracts that were in a fair value asset position at December 31, 2012. We recognized a $10.5 million net loss on the contracts, which includes $18.4 million in gains realized on settled contracts, during 2012. The net loss on these contracts is included as a separate line item under other income (expense), as they relate to forecasted future shipments, as opposed to sales that have already taken place but are subject to final pricing.  The losses recognized during 2012 are the result of increasing lead and zinc prices during the end of 2012.  However, this program is designed to mitigate the impact of potential future declines in lead and zinc prices from the price levels established in the contracts (see average price information below).

The following tables summarize the quantities of base metals committed under forward sales contracts at December 31, 2012 and December 31, 2011:

December 31, 2012	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		14,991		6,945	$	0.95	$	1.00
Contracts on forecasted sales
2013 settlements		35,935		32,794	$	0.96	$	1.11
2014 settlements		30,203		33,069	$	0.98	$	1.03
2015 settlements		3,307		23,534	$	1.01	$	1.06

December 31, 2011	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2012 settlements		21,164		5,732	$	0.86	$	0.89
Contracts on forecasted sales
2012 settlements		45,195		35,053	$	1.12	$	1.12
2013 settlements		18,243		24,582	$	1.14	$	1.17

As further discussed in Note 18, production at the Lucky Friday mine was temporarily suspended due to the requirement to remove built-up cementitious material from the Silver Shaft. As a result, during the first quarter of 2012, we liquidated forward contracts related to forecasted Lucky Friday base metal sales for total net proceeds of $3.1 million.

Our concentrate sales are based on a provisional sales price containing an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrates at the forward price at the time of the sale. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through earnings each period prior to final settlement.

XML

Note 5 - Income Taxes (Details) - Reconciliation of Statutory Federal Income Tax Rate to Annual Tax Provision (Benefit) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Reconciliation of Statutory Federal Income Tax Rate to Annual Tax Provision (Benefit) [Abstract]
Computed “statutory” (benefit) provision (in Dollars)					$ 8,342	$ 81,600	$ (26,092)
Computed “statutory” (benefit) provision					35.00%	35.00%	(35.00%)
Percentage depletion (in Dollars)					(5,575)	(13,751)	(8,858)
Percentage depletion					(24.00%)	(6.00%)	(12.00%)
Net increase (utilization) of U.S. and foreign tax loss carryforwards (in Dollars)					3,837	3,822	2,713
Net increase (utilization) of U.S. and foreign tax loss carryforwards					16.00%	2.00%	3.00%
Change in valuation allowance other than utilization (in Dollars)							(88,069)
Change in valuation allowance other than utilization							(118.00%)
State taxes, net of federal taxes (in Dollars)					1,110	10,890	(4,717)
State taxes, net of federal taxes					5.00%	5.00%	(6.00%)
Effect of U.S. AMT, foreign taxes other (in Dollars)					1,165	(583)	1,491
Effect of U.S. AMT, foreign taxes other					5.00%	(1.00%)	2.00%
(in Dollars)	$ (6,795)	$ 693	$ 620	$ 8,008	$ 8,879	$ 81,978	$ (123,532)
					37.00%	35.00%	(13.00%)

XML

Consolidated Statements of Operations and Comprehensive Income (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Sales of products	$ 85,330	$ 67,019	$ 161,780	$ 158,172	$ 321,143	$ 477,634	$ 418,813
Cost of sales and other direct production costs	60,008	33,172	96,833	66,462	134,105	165,573	163,983
Depreciation, depletion and amortization	20,211	9,879	34,218	19,540	43,522	47,066	60,011
Total cost of sales	80,219	43,051	131,051	86,002	177,627	212,639	223,994
Gross profit	5,111	23,968	30,729	72,170	143,516	264,995	194,819
Other operating expenses:
General and administrative	7,482	5,527	14,421	10,028	21,253	18,540	18,219
Exploration	6,221	7,146	12,714	12,757	31,822	26,959	21,605
Pre-development	4,512	3,471	9,303	6,837	17,916	4,446
Other operating expense	205	1,605	1,229	2,549	4,423	7,658	5,334
Loss on disposition of property, plants, equipment and mineral interests					275		80
Lucky Friday suspension-related costs	(2,840)	6,465	(1,342)	12,631	25,309
Provision for closed operations and environmental matters	1,845	2,235	3,639	4,413	4,652	9,747	201,136
Aurizon acquisition costs	20,308		25,600
Total other operating expense	37,733	26,449	65,564	49,215	105,650	67,350	246,374
Income (loss) from operations	(32,622)	(2,481)	(34,835)	22,955	37,866	197,645	(51,555)
Other income (expense):
Gain (loss) on derivative contracts	6,541	6,171	28,080	940	(10,457)	37,988	(20,758)
Net gain on sale of investments	197		197			611	588
Loss on impairment of investments					(1,171)	(140)	(739)
Interest and other income (expense)	685	32	572	181	22	(87)	126
Interest expense, net of amount capitalized	(6,454)	(505)	(7,158)	(972)	(2,427)	(2,875)	(2,211)
Total other income (expense):	969	5,698	21,691	149	(14,033)	35,497	(22,994)
Income (loss) before income taxes	(31,653)	3,217	(13,144)	23,104	23,833	233,142	(74,549)
Income tax benefit (provision)	6,795	(693)	(620)	(8,008)	(8,879)	(81,978)	123,532
Net income	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Unrealized gain (loss) and amortization of prior service on pension plans					(1,644)	(7,754)	(1,653)
Unrealized holding gains (losses) on investments	(1,747)	(586)	(4,578)	(805)	53	(767)	(21)
Reclassification of net gain on sale of marketable securities included in net income	(197)		(197)		1,171	140	739
Total change in accumulated other comprehensive loss, net					(420)	(8,381)	(935)
Comprehensive income (loss)	(26,802)	1,938	(18,539)	14,291	14,534	142,783	48,048
Basic income (loss) per common share after preferred dividends (in Dollars per share)	$ (0.08)	$ 0.01	$ (0.05)	$ 0.05	$ 0.05	$ 0.54	$ 0.14
Diluted income (loss) per common share after preferred dividends (in Dollars per share)	$ (0.08)	$ 0.01	$ (0.05)	$ 0.05	$ 0.05	$ 0.51	$ 0.13
Weighted average number of common shares outstanding – basic (in Shares)	303,566	285,312	294,317	285,303	285,375	280,956	251,146
Weighted average number of common shares outstanding – diluted (in Shares)	303,566	295,160	294,317	296,100	297,566	297,033	269,601
Cash dividends declared per common share (in Dollars per share)	$ 0.0025	$ 0.0225	$ 0.0050	$ 0.0350
Preferred stock dividends	(138)	(138)	(276)	(276)	(552)	(552)	(13,633)
Income applicable to common shareholders	$ (24,996)	$ 2,386	$ (14,040)	$ 14,820	$ 14,402	$ 150,612	$ 35,350

XML

Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments

12 Months Ended

Dec. 31, 2012

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment Disclosure [Text Block]

Note 3: Properties, Plants, Equipment and Mineral Interests, and Lease Commitments

Properties, Plants, Equipment and Mineral Interests

Our major components of properties, plants, equipment, and mineral interests are (in thousands):

	December 31,
	2012		2011
Mining properties, including asset retirement obligations	$	294,573	$	286,873
Development costs		151,504		123,772
Plants and equipment		419,377		383,045
Land		15,788		11,188
Mineral interests		375,028		383,491
Construction in progress		176,925		125,045
		1,433,195		1,313,414
Less accumulated depreciation, depletion and amortization		436,536		390,202
Net carrying value	$	996,659	$	923,212

During 2012, we incurred total capital expenditures, excluding additions acquired under capital leases and adjustments to asset retirement obligations, of approximately $116.8 million, which included $54.7 million at the Lucky Friday unit, and $50.4 million at the Greens Creek unit. During 2011 we had capital expenditures of $33.8 million related to the acquisition of the remaining 30% interest in the San Juan Silver project (see Note 16 for more information) .

Capital Leases

During 2012 and 2011 we entered into lease agreements for equipment at our Greens Creek and Lucky Friday units which we have determined to be capital leases.  As of December 31, 2012 and 2011, we have recorded $28.9 million and $15.8 million, respectively, for the gross amount of assets acquired under the capital leases and $5.3 million and $5.7 million, respectively, in accumulated depreciation, classified as plants and equipment in Properties, plants, equipment and mineral interests.  See Note 6 for information on future obligations related to our capital leases.

Operating Leases

We enter into operating leases during the normal course of business. During the years ended December 31, 2012, 2011 and 2010, we incurred expenses of $3.1 million, $3.0 million and $3.0 million, respectively, for these leases. At December 31, 2012, future obligations under our non-cancelable operating leases were as follows (in thousands):

Year ending December 31,
2013	$	3,087
2014		3,114
2015		1,434
2016		1,438
2017		1,056
Thereafter		3,848
Total	$	13,977

XML

Note 17 - Guarantor Subsidiaries

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Disclosure Text Block Supplement [Abstract]

Supplemental Balance Sheet Disclosures [Text Block]

Note 14.    Guarantor Subsidiaries

Presented below are the Company’s condensed consolidating financial statements as required by Rule 3-10 of Regulation S-X of the Securities Exchange Act of 1934, as amended, resulting from the guarantees by certain of the Company's subsidiaries (the "Guarantors") of the $500 million aggregate principal amount of the Company's senior notes due on May 1, 2021 (the "Notes"). The Guarantors consist of the following of the Company's 100%-owned subsidiaries: Hecla Limited; Silver Hunter Mining Company; Rio Grande Silver, Inc.; RHL Holdings, Inc.; Hecla MC Subsidiary, LLC; Hecla Silver Valley, Inc.; Burke Trading, Inc.; Hecla Alaska LLC; Hecla Greens Creek Mining Company; Hecla Admiralty Company; and Hecla Juneau Mining Company. The Company completed the offering of the Notes on April 21, 2013.

The condensed consolidating financial statements below have been prepared from the Company’s financial information on the same basis of accounting as the consolidated financial statements. Investments in the subsidiaries are accounted for under the equity method. Accordingly, the entries necessary to consolidate the Company and the Guarantors are reflected in the intercompany eliminations column. In the course of preparing consolidated financial statements, we eliminate the effects of various transactions conducted between our subsidiaries. While valid at an individual subsidiary level, such activities are eliminated in consolidation because, when taken as a whole, they do not represent business activity with third-party customers, vendors, and other parties. Examples of such eliminations include the following.

• Investments in subsidiaries. The acquisition of a company results in an investment on the records of the parent company and a contribution of capital on the records of the subsidiary. Such investments and capital contributions are eliminated in consolidation.

• Capital contributions. Other of our subsidiaries do not generate cash flow, and their cash requirements are routinely met with inter-company advances from their parent companies. On an annual basis, the Boards of Directors of such parent companies declare contributions of capital to their subsidiary companies, which increase the parent's investment and the subsidiaries' additional paid-in capital. In consolidation, investments in subsidiaries and related additional paid-in capital are eliminated.

• Deferred taxes. Our ability to realize deferred tax assets and liabilities is considered on a consolidated basis for subsidiaries within the United States, with all subsidiaries' estimated future taxable income contributing to the ability to realize all such assets and liabilities. However, when our subsidiaries are viewed independently, we use the separate return method to assess the realizability of each subsidiary's deferred tax assets and whether a valuation allowance is required against such deferred tax assets. In some instances, a parent company or subsidiary may possess deferred tax assets whose realization depends on the future taxable incomes of other subsidiaries on a consolidated-return basis, but would not be considered realizable if such parent or subsidiary filed on a separate stand-alone basis. In such a situation, a valuation allowance is assessed on that subsidiary's deferred tax assets, with the resulting adjustment reported in the eliminations column of the guarantor and parent's financial statements. The separate return method can result in significant eliminations of deferred tax assets and liabilities and related income tax provisions and benefits. Non-current deferred tax asset balances are included in other non-current assets on the condensed consolidating balance sheets and make up a large portion of that item, particularly for the guarantor balances.

Condensed Consolidating Balance Sheets

	As of June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	108,549		$	55,453		$	132,373		$	—		$	296,375
Other current assets		15,822			47,956			33,344			5,620			102,742
Properties, plants, and equipment - net		(379	)		1,020,770			722,305			—			1,742,696
Intercompany receivable (payable)		515,528			(113,583	)		(464,729	)		62,784			—
Investments in subsidiaries		1,229,150			—			—			(1,229,150	)		—
Other non-current assets		16,596			185,984			13,211			(85,149	)		130,642
Total assets	$	1,885,266		$	1,196,580		$	436,504		$	(1,245,895	)	$	2,272,455
Liabilities and Shareholders' Equity
Current liabilities	$	27,997		$	78,659		$	15,289		$	(3,890	)	$	118,055
Long-term debt		490,104			13,622			49			—			503,775
Non-current portion of accrued reclamation		—			93,952			11,510			—			105,462
Non-current deferred tax liability		—			12,859			169,025			(12,854	)		169,030
Other non-current liabilities		32,439			8,279			689			—			41,407
Shareholders' equity		1,334,726			989,209			239,942			(1,229,151	)		1,334,726
Total liabilities and shareholders' equity	$	1,885,266		$	1,196,580		$	436,504		$	(1,245,895	)	$	2,272,455

	As of December 31, 2012
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	132,266	$	57,075		$	1,643		$	—		$	190,984
Other current assets		7,399		65,658			766			18,091			91,914
Properties, plants, and equipment - net		—		991,476			5,183			—			996,659
Intercompany receivable (payable)		113,234		(64,893	)		(74,450	)		26,109			—
Investments in subsidiaries		918,526		—			—			(918,526	)		—
Other non-current assets		3,059		164,913			7,600			(76,839	)		98,733
Total assets	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290
Liabilities and Shareholders' Equity
Current liabilities	$	3,726	$	121,221		$	1,016		$	(30,976	)	$	94,987
Long-term debt		—		11,875			60			—			11,935
Non-current portion of accrued reclamation		—		92,825			545			—			93,370
Other non-current liabilities		32,807		8,651			252			(1,663	)		40,047
Other shareholders' equity		1,137,951		979,657			(61,131	)		(918,526	)		1,137,951
Total liabilities and shareholders' equity	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290

Condensed Consolidating Statements of Operations

	Three Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	372		$	74,838		$	10,120		$	—		$	85,330
Cost of sales		—			(51,777	)		(8,231	)		—			(60,008	)
Depreciation, depletion, amortization		—			(16,887	)		(3,324	)		—			(20,211	)
General and administrative		(3,993	)		(3,137	)		(352	)		—			(7,482	)
Exploration and pre-development		(253	)		(8,553	)		(1,927	)		—			(10,733	)
Gain on derivative contracts		6,541			—			—			—			6,541
Aurizon acquisition costs		(14,148	)		1,422			(11,080	)		—			(23,806	)
Equity in losses of subsidiaries		(13,625	)		—			—			13,625			—
Other (expense) income		248			3,643			(3,225	)		(1,950	)		(1,284	)
Loss before income taxes		(24,858	)		(451	)		(18,019	)		11,675			(31,653	)
Benefit from income taxes		—			211			6,321			263			6,795
Net income (loss)		(24,858	)		(240	)		(11,698	)		11,938			(24,858	)
Preferred stock dividends		(138	)		—			—			—			(138	)
Income (loss) applicable to common shareholders		(24,996	)		(240	)		(11,698	)		11,938			(24,996	)
Net income (loss)		(24,858	)		(240	)		(11,698	)		11,938			(24,858	)
Changes in comprehensive income (loss)		(1,944	)		4,257			(1,425	)		(2,832	)		(1,944	)
Comprehensive income (loss)	$	(26,802	)	$	4,017		$	(13,123	)	$	9,106		$	(26,802	)

	Six Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	2,785		$	148,875		$	10,120		$	—		$	161,780
Cost of sales		—			(88,602	)		(8,231	)		—			(96,833	)
Depreciation, depletion, amortization		—			(30,894	)		(3,324	)		—			(34,218	)
General and administrative		(7,465	)		(6,547	)		(409	)		—			(14,421	)
Exploration and pre-development		(417	)		(16,748	)		(4,852	)		—			(22,017	)
Gain on derivative contracts		28,080			—			—			—			28,080
Aurizon acquisition costs		(14,148	)					(11,452	)					(25,600	)
Equity in losses of subsidiaries		(14,698	)		—			—			14,698
Other expense		(7,901	)		1,943			(3,957	)		—			(9,915	)
Income (loss) before income taxes		(13,764	)		8,027			(22,105	)		14,698			(13,144	)
(Provision) benefit from income taxes		—			(5,254	)		6,321			(1,687	)		(620	)
Net income (loss)		(13,764	)		2,773			(15,784	)		13,011			(13,764	)
Preferred stock dividends		(276	)		—			—			—			(276	)
Income (loss) applicable to common shareholders		(14,040	)		2,773			(15,784	)		13,011			(14,040	)
Net income (loss)		(13,764	)		2,773			(15,784	)		13,011			(13,764	)
Changes in comprehensive income (loss)		(4,775	)		3,830			(3,830	)		—			(4,775	)
Comprehensive income (loss)	$	(18,539	)	$	6,603		$	(19,614	)	$	13,011		$	(18,539	)

	Three Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	869		$	66,150		$	—		$	—		$	67,019
Cost of sales		—			(33,172	)		—			—			(33,172	)
Depreciation, depletion, amortization		—			(9,879	)		—			—			(9,879	)
General and administrative		(3,089	)		(2,455	)		17			—			(5,527	)
Exploration and pre-development		(268	)		(8,272	)		(2,077	)		—			(10,617	)
Gain on derivative contracts		6,171			—			—			—			6,171
Closed operations		—			(1,492	)		(743	)		—			(2,235	)
Equity in loss of subsidiaries		(2,740	)		—			—			2,740			—
Other expense		1,581			(7,310	)		(653	)		(2,161	)		(8,543	)
Income (loss) before income taxes		2,524			3,570			(3,456	)		579			3,217
(Provision) benefit from income taxes		—			(2,854	)		—			2,161			(693	)
Net income (loss)		2,524			716			(3,456	)		2,740			2,524
Preferred stock dividends		(138	)		—			—			—			(138	)
Income (loss) applicable to common shareholders		2,386			716			(3,456	)		2,740			2,386
Net income (loss)		2,524			716			(3,456	)		2,740			2,524
Changes in comprehensive income (loss)		586			(764	)		(132	)		896			(586	)
Comprehensive income (loss)	$	1,938		$	(48	)	$	(3,588	)	$	3,636		$	1,938

	Six Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(122	)	$	158,294		$	—		$	—		$	158,172
Cost of sales		—			(66,462	)		—			—			(66,462	)
Depreciation, depletion, amortization		—			(19,540	)		—			—			(19,540	)
General and administrative		(5,664	)		(4,248	)		(116	)		—			(10,028	)
Exploration and pre-development		(401	)		(15,042	)		(4,151	)		—			(19,594	)
Gain on derivative contracts		940			—			—			—			940
Closed operations		—			(2,692	)		(1,721	)		—			(4,413	)
Equity in earnings of subsidiaries		13,847			—			—			(13,847	)
Other expense		6,496			(13,269	)		(1,426	)		(7,772	)		(15,971	)
Income (loss) before income taxes		15,096			37,041			(7,414	)		(21,619	)		23,104
(Provision) benefit from income taxes		—			(15,780	)		—			7,772			(8,008	)
Net income (loss)		15,096			21,261			(7,414	)		(13,847	)		15,096
Preferred stock dividends		(276	)		—			—			—			(276	)
Income (loss) applicable to common shareholders		14,820			21,261			(7,414	)		(13,847	)		14,820
Net income (loss)		15,096			21,261			(7,414	)		(13,847	)		15,096
Changes in comprehensive income (loss)		(805	)		(1,135	)		(130	)		1,265			(805	)
Comprehensive income (loss)	$	14,291		$	20,126		$	(7,544	)	$	(12,582	)	$	14,291

Condensed Consolidating Statements of Cash Flows

	Six Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations		Consolidated
	(in thousands)
Cash flows from operating activities	$	(7,524	)	$	54,148		$	(36,349	)			$	10,275
Cash flows from investing activities:
Additions to properties, plants, and equipment		(229	)		(54,128	)		(5,934	)				(60,291	)
Acquisition of Aurizon Mines		(498,705	)					177,588					(321,117	)
Other investing activities, net		—			102			(3,888	)		—		(3,786	)
Cash flows from financing activities:
Dividends paid to shareholders		(4,553	)		—			—					(4,553	)
Borrowings on debt		490,000			—			—					490,000
Proceeds from (payments on) debt		—			(3,425	)		—					(3,425	)
Other financing activity, net		(2,706	)		1,681			(687	)		—		(1,712	)
Changes in cash and cash equivalents		(23,717	)		(1,622	)		130,730					105,391
Beginning cash and cash equivalents		132,266			57,075			1,643					190,984
Ending cash and cash equivalents	$	108,549		$	55,453		$	132,373				$	296,375

	Six Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	22,513		$	4,681		$	(5,773	)	$	9,819		$	31,240
Cash flows from investing activities:
Additions to properties, plants, and equipment		(264	)		(50,789	)		(482	)					(51,535	)
Other investing activities, net		—			116			—			—			116
Cash flows from financing activities:
Dividends paid to shareholders		(10,262	)		—			—						(10,262	)
Proceeds from (payments on) debt		—			(2,486	)		(6	)					(2,492	)
Other financing activity, net		6,467			(3,515	)		6,664			(9,819	)		(203	)
Changes in cash and cash equivalents		18,454			(51,993	)		403						(33,136	)
Beginning cash and cash equivalents		97,850			168,433			180						266,463
Ending cash and cash equivalents	$	116,304		$	116,440		$	583					$	233,327

Note 17: Guarantor Subsidiaries

Presented below are the Company’s condensed consolidating financial statements as required by Rule 3-10 of Regulation S-X of the Securities Exchange Act of 1934, as amended, resulting from the guarantees by certain of the Company's subsidiaries (the "Guarantors") of the $500 million aggregate principal amount of the Company's senior notes due on May 1, 2021 (the "Notes"). The Guarantors consist of the following of the Company's 100%-owned subsidiaries: Hecla Limited; Silver Hunter Mining Company; Rio Grande Silver, Inc.; RHL Holdings, Inc.; Hecla MC Subsidiary, LLC; Hecla Silver Valley, Inc.; Burke Trading, Inc.; Hecla Alaska LLC; Hecla Greens Creek Mining Company; Hecla Admiralty Company; and Hecla Juneau Mining Company. The Company completed the offering of the Notes on April 21, 2013.

The condensed consolidating financial statements below have been prepared from the Company’s financial information on the same basis of accounting as the consolidated financial statements. Investments in the subsidiaries are accounted for under the equity method. Accordingly, the entries necessary to consolidate the Company and the Guarantors are reflected in the intercompany eliminations column. In the course of preparing consolidated financial statements, we eliminate the effects of various transactions conducted between our subsidiaries. While valid at an individual subsidiary level, such activities are eliminated in consolidation because, when taken as a whole, they do not represent business activity with third-party customers, vendors, and other parties. Examples of such eliminations include the following.

• Investments in subsidiaries. The acquisition of a company results in an investment on the records of the parent company and a contribution of capital on the records of the subsidiary. Such investments and capital contributions are eliminated in consolidation.

• Capital contributions. Other of our subsidiaries do not generate cash flow, and their cash requirements are routinely met with inter-company advances from their parent companies. On an annual basis, the Boards of Directors of such parent companies declare contributions of capital to their subsidiary companies, which increase the parent's investment and the subsidiaries' additional paid-in capital. In consolidation, investments in subsidiaries and related additional paid-in capital are eliminated.

• Deferred taxes. Our ability to realize deferred tax assets and liabilities is considered on a consolidated basis for subsidiaries within the United States, with all subsidiaries' estimated future taxable income contributing to the ability to realize all such assets and liabilities. However, when our subsidiaries are viewed independently, we use the separate return method to assess the realizability of each subsidiary's deferred tax assets and whether a valuation allowance is required against such deferred tax assets. In some instances, a parent company or subsidiary may possess deferred tax assets whose realization depends on the future taxable incomes of other subsidiaries on a consolidated-return basis, but would not be considered realizable if such parent or subsidiary filed on a separate stand-alone basis. In such a situation, a valuation allowance is assessed on that subsidiary's deferred tax assets, with the resulting adjustment reported in the eliminations column of the guarantor or parent's financial statements. The separate return method can result in significant eliminations of deferred tax assets and liabilities and related income tax provisions and benefits. Non-current deferred tax asset balances are included in other non-current assets on the condensed consolidating balance sheets and make up a large portion of that item, particularly for the guarantor balances.

Condensed Consolidating Balance Sheets

	As of December 31, 2012
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	132,266	$	57,075		$	1,643		$	—		$	190,984
Other current assets		7,399		65,658			766			18,091			91,914
Properties, plants, and equipment - net		—		991,476			5,183			—			996,659
Intercompany receivable (payable)		113,234		(64,893	)		(74,450	)		26,109			—
Investments in subsidiaries		918,526		—			—			(918,526	)		—
Other non-current assets		3,059		164,913			7,600			(76,839	)		98,733
Total assets	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290
Liabilities and Shareholders' Equity
Current liabilities	$	3,726	$	121,221		$	1,016		$	(30,976	)	$	94,987
Long-term debt		—		11,875			60			—			11,935
Non-current portion of accrued reclamation		—		92,825			545			—			93,370
Other non-current liabilities		32,807		8,651			252			(1,663	)		40,047
Shareholders' equity		1,137,951		979,657			(61,131	)		(918,526	)		1,137,951
Total liabilities and shareholders' equity	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290

	As of December 31, 2011
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	97,850	$	168,433		$	180		$	—		$	266,463
Other current assets		18,177		63,822			1,131			13,151			96,281
Properties, plants, and equipment - net		538		922,502			172			—			923,212
Intercompany receivable (payable)		124,423		(74,026	)		(64,200	)		13,803			—
Investments in subsidiaries		910,646		—			—			(910,646	)		—
Other non-current assets		15,786		149,712			285			(55,649	)		110,134
Total assets	$	1,167,420	$	1,230,443		$	(62,432	)	$	(939,341	)	$	1,396,090
Liabilities and Shareholders' Equity
Current liabilities	$	5,642	$	129,958		$	411		$	(28,695	)	$	107,316
Long-term debt		—		6,192			73			—			6,265
Non-current portion of accrued reclamation		—		111,303			260			—			111,563
Other non-current liabilities		21,665		8,957			211			—			30,833
Shareholders' equity		1,140,113		974,033			(63,387	)		(910,646	)		1,140,113
Total liabilities and shareholders' equity	$	1,167,420	$	1,230,443		$	(62,432	)	$	(939,341	)	$	1,396,090

Condensed Consolidating Statements of Operations

	Year Ended December 31, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(1,346	)	$	322,489		$	—		$	—		$	321,143
Cost of sales		—			(134,105	)		—			—			(134,105	)
Depreciation, depletion, amortization		—			(43,522	)		—			—			(43,522	)
General and administrative		(11,519	)		(9,519	)		(215	)		—			(21,253	)
Exploration and pre-development		(1,262	)		(38,700	)		(9,776	)		—			(49,738	)
Loss on derivative contracts		(10,457	)		—			—			—			(10,457	)
Closed operations		—			(2,259	)		(2,393	)		—			(4,652	)
Equity in earnings of subsidiaries		21,246			—			—			(21,246	)		—
Other (expense) income		18,292			(27,747	)		(3,207	)		(20,921	)		(33,583	)
Income (loss) before income taxes		14,954			66,637			(15,591	)		(42,167	)		23,833
(Provision) benefit from income taxes		—			(29,802	)		—			20,923			(8,879	)
Net income (loss)		14,954			36,835			(15,591	)		(21,244	)		14,954
Preferred stock dividends		(552	)		—			—			—			(552	)
Income (loss) applicable to common shareholders		14,402			36,835			(15,591	)		(21,244	)		14,402
Net income (loss)		14,954			36,835			(15,591	)		(21,244	)		14,954
Changes in comprehensive income (loss)		(420	)		(911	)		1,438			(527	)		(420	)
Comprehensive income (loss)	$	14,534		$	35,924		$	(14,153	)	$	(21,771	)	$	14,534

	Year Ended December 31, 2011
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	7,140		$	470,494		$	—		$	—		$	477,634
Cost of sales		—			(165,573	)		—			—			(165,573	)
Depreciation, depletion, amortization		—			(47,066	)		—			—			(47,066	)
General and administrative		(10,355	)		(7,909	)		(276	)		—			(18,540	)
Exploration and pre-development		(407	)		(23,548	)		(7,450	)		—			(31,405	)
Gain on derivative contracts		37,988			—			—			—			37,988
Closed operations		—			(8,961	)		(786	)		—			(9,747	)
Equity in earnings of subsidiaries		254,902			—			—			(254,902	)		—
Other (expense) income		(138,104	)		4,920			(3,391	)		126,426			(10,149	)
Income (loss) before income taxes		151,164			222,357			(11,903	)		(128,476	)		233,142
(Provision) benefit from income taxes		—			44,448			—			(126,426	)		(81,978	)
Net income (loss)		151,164			266,805			(11,903	)		(254,902	)		151,164
Preferred stock dividends		(552	)		—			—			—			(552	)
Income (loss) applicable to common shareholders		150,612			266,805			(11,903	)		(254,902	)		150,612
Net income (loss)		151,164			266,805			(11,903	)		(254,902	)		151,164
Changes in comprehensive income (loss)		(8,381	)		(3,089	)		(679	)		3,768			(8,381	)
Comprehensive income (loss)	$	142,783		$	263,716		$	(12,582	)	$	(251,134	)	$	142,783

	Year Ended December 31, 2010
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(3,033	)	$	421,846		$	—		$	—		$	418,813
Cost of sales		—			(163,983	)		—			—			(163,983	)
Depreciation, depletion, amortization		—			(60,011	)		—			—			(60,011	)
General and administrative		(11,030	)		(7,023	)		(166	)		—			(18,219	)
Exploration and pre-development		(916	)		(16,249	)		(4,440	)		—			(21,605	)
Loss on derivative contracts		(20,758	)		—			—			—			(20,758	)
Closed operations		—			(200,458	)		(678	)		—			(201,136	)
Equity in losses of subsidiary		(9,618	)		—			—			9,618
Other (expense) income		94,338			7,073			(3,106	)		(105,955	)		(7,650	)
Income (loss) before income taxes		48,983			(18,805	)		(8,390	)		(96,337	)		(74,549	)
Benefit from income taxes		—			17,578			—			105,954			123,532
Net income (loss)		48,983			(1,227	)		(8,390	)		9,617			48,983
Preferred stock dividends		(13,633	)		—			—			—			(13,633	)
Income (loss) applicable to common shareholders		35,350			(1,227	)		(8,390	)		9,617			35,350
Net income (loss)		48,983			(1,227	)		(8,390	)		9,617			48,983
Changes in comprehensive income (loss)		(935	)		497			458			(955	)		(935	)
Comprehensive income (loss)	$	48,048		$	(730	)	$	(7,932	)	$	8,662		$	48,048

Condensed Consolidating Statements of Cash Flows

	Year Ended December 31, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	49,295		$	42,957		$	(14,296	)	$	(8,940	)	$	69,016
Cash flows from investing activities:
Additions to properties, plants, and equipment		(618	)		(107,425	)		(5,053	)		—			(113,096	)
Other investing activities, net		(48,815	)		891			(5,835	)		48,817			(4,942	)
Cash flows from financing activities:
Dividends paid to shareholders		(17,673	)		—			—			—			(17,673	)
Payments on debt		—			(5,878	)		(12	)		—			(5,890	)
Other financing activity		52,227			(41,903	)		26,659			(39,877	)		(2,894	)
Changes in cash and cash equivalents		34,416			(111,358	)		1,463			—			(75,479	)
Beginning cash and cash equivalents		97,850			168,433			180			—			266,463
Ending cash and cash equivalents	$	132,266		$	57,075		$	1,643		$	—		$	190,984

	Year Ended December 31, 2011
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	105,740		$	79,166		$	(12,449	)	$	(102,566	)	$	69,891
Cash flows from investing activities:
Additions to properties, plants, and equipment		(2	)		(87,454	)		(90	)		—			(87,546	)
Other investing activities		(38,356	)		(1,659	)		1			47,741			7,727
Cash flows from financing activities:
Dividends paid to shareholders		(9,414	)		—			—			—			(9,414	)
Payments on debt		—			(2,938	)		—			—			(2,938	)
Other financing activity		(150,118	)		88,193			12,237			54,825			5,137
Changes in cash and cash equivalents		(92,150	)		75,308			(301	)		—			(17,143	)
Beginning cash and cash equivalents		190,000			93,125			481			—			283,606
Ending cash and cash equivalents	$	97,850		$	168,433		$	180		$	—		$	266,463

	Year Ended December 31, 2010
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	81,676		$	194,716		$	(8,579	)	$	(70,004	)	$	197,809
Cash flows from investing activities:
Additions to properties, plants, and equipment		(340	)		(67,077	)		3			—			(67,414	)
Other investing activities		(4,019	)		1,150			—			5,495			2,626
Cash flows from financing activities:
Dividends paid to shareholders		(4,513	)		—			—			—			(4,513	)
Proceeds from exercise of stock warrants		53,093												53,093
Payments on debt		—			(1,780	)		—			—			(1,780	)
Other financing activity		21,135			(95,484	)		8,947			64,509			(893	)
Changes in cash and cash equivalents		147,032			31,525			371			—			178,928
Beginning cash and cash equivalents		42,968			61,600			110						104,678
Ending cash and cash equivalents	$	190,000		$	93,125		$	481		$	—		$	283,606

XML

Note 13 - Acquisition of Aurizon Mines Ltd. (Details) - Unaudited Proforma Financial Information (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Unaudited Proforma Financial Information [Abstract]
Sales of products	$ 118,584	$ 127,284	$ 237,946	$ 275,060
Net income (loss)	(13,168)	2,844	(3,388)	14,450
Income (loss) applicable to common shareholders	$ (13,306)	$ 2,706	$ (3,664)	$ 14,174
Basic and diluted income (loss) per common share (in Dollars per share)	$ (0.04)	$ 0.01	$ (0.01)	$ 0.04

XML

Note 8 - Employee Benefit Plans (Details) - Reconciliation Of Level 3 Assets (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Reconciliation Of Level 3 Assets [Line Items]
Balance	$ 13,300	$ 12,508
Net unrealized gains on assets held at the reporting date	838	391
Purchases	2,724	401
Balance	16,862	13,300
Lucky Friday [Member]
Note 8 - Employee Benefit Plans (Details) - Reconciliation Of Level 3 Assets [Line Items]
Balance	3,566	3,356
Net unrealized gains on assets held at the reporting date	187	104
Purchases	738	106
Balance	$ 4,491	$ 3,566

XML

Note 6 - Credit Facilities and Capital Leases (Details) (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012	Apr. 30, 2013	Apr. 12, 2013	Dec. 31, 2011	Oct. 31, 2009
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 100,000,000		$ 150,000,000			$ 60,000,000
Long-term Line of Credit						60,000,000
Amortization of Deferred Charges		500,000
Interest Expense, Debt	5,900,000	1,000,000
Debt Instrument, Covenant Description	2.50
Capital Leases Including Purchase Option	20,800,000	17,500,000
Capital Lease Obligations, Current	7,128,000	5,564,000			4,005,000
Capital Lease Obligations, Noncurrent	13,671,000	11,935,000			6,265,000
Capital Lease Obligations	20,671,000	17,499,000			10,300,000
Debt Instrument, Face Amount				500,000,000
UnderwritingDiscountOnSeniorNotes				2.00%
Debt Instrument, Unamortized Discount	9,900,000			10,000,000
Debt Instrument, Interest Rate, Stated Percentage	6.875%
Interest Costs Capitalized	1,700,000
Proceeds from Issuance of Senior Long-term Debt	490,000,000
PercentageOfNotesRedeemable	35.00%
IncreaseInAnnualRateWhileInDefault	0.25%
IncreaseInAnnualInterestRate	1.00%
Capital Leases, Future Minimum Payments Due	21,631,000	18,419,000
Capital Leases, Future Minimum Payments, Interest Included in Payments	960,000	920,000
Leverage Ratio [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Covenant Description	4.00	Leverage ratio (calculated as total debt divided by EBITDA) of not more than 3.0:1.
Interest Coverage Ratio [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Covenant Description	3.0	Interest coverage ratio (calculated as EBITDA divided by interest expense) of not less than 3.0:1.
Current Ratio [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Covenant Description		Current ratio (calculated as current assets divided by current liabilities) of not less than 1.10:1.
Tangible Net Worth [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Covenant Description	80%	Tangible net worth of greater than $500 million.
Positive Quarterly Net Income [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Covenant Description	50%
LIBOR [Member] | Minimum [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate		3.00%
LIBOR [Member] | Maximum [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate		3.75%
Alternative Base Rate [Member] | Minimum [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate		2.00%
Alternative Base Rate [Member] | Maximum [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate		2.75%
Commitment Fees On Credit Agreement [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Interest Expense, Debt	300,000
Amortization Of Loan Origination Fees [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Interest Expense, Debt	600,000
Senior Secured Revolving Credit Facility [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity		$ 150,000,000
Minimum [Member] | LIBOR [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate	3.00%
Minimum [Member] | Alternative Base Rate [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate	2.00%
Minimum [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Standby Fee Percentage	0.825%	0.825%
Maximum [Member] | LIBOR [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate	3.75%
Maximum [Member] | Alternative Base Rate [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate	2.75%
Maximum [Member]
Note 6 - Credit Facilities and Capital Leases (Details) [Line Items]
Standby Fee Percentage	1.05%	1.05%

XML

Note 11 - Business Segments and Significant Customers

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Note 6.    Business Segments

We are currently organized and managed in three reporting segments: the Greens Creek unit, the Lucky Friday unit and the Casa Berardi unit. As further discussed in Note 13, we completed the acquisition of Aurizon on June 1, 2013, giving us 100% ownership of the Casa Berardi mine in Quebec, Canada. As a result, we have added a new reporting segment for the Casa Berardi unit.

General corporate activities not associated with operating units and their various exploration activities, as well as discontinued operations and idle properties, are presented as “other.”  Interest expense, interest income and income taxes are considered general corporate items, and are not allocated to our segments.

The following tables present information about reportable segments for the three and six months ended June 30, 2013 and 2012 (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Net sales to unaffiliated customers:
Greens Creek	$	70,082		$	67,023		$	142,731		$	157,923
Lucky Friday	$	5,128		$	(4	)	$	8,929		$	249
Casa Berardi	$	10,120		$	—		$	10,120		$	—
	$	85,330		$	67,019		$	161,780		$	158,172
Income (loss) from operations:
Greens Creek	$	9,802		$	23,313		$	36,991		$	70,695
Lucky Friday		(2,757	)		(6,498	)		(6,604	)		(12,441	)
Casa Berardi		(13,356	)		—			(13,356	)		—
Other		(26,311	)		(19,296	)		(51,866	)		(35,299	)
	$	(32,622	)	$	(2,481	)	$	(34,835	)	$	22,955

The increase in sales and income (loss) from operations at the Lucky Friday segment for the second quarter and first half of 2013 compared to the same periods in 2012 are due to the increase in production with the reopening of the Silver Shaft. At the end of 2011, MSHA began a special impact inspection at the Lucky Friday mine which resulted in an order to remove loose cementitious material from the Silver Shaft. In response, we submitted a plan to MSHA and received approval to remove the material, and this work commenced in the first quarter of 2012. In addition, the plan included removal of unused utilities, construction of a water ring to prevent ice from forming in the winter, the installation of a metal brattice, repair of shaft steel, and installation of a new power cable, all of which should improve the shaft's functionality and possibly improve the shaft's hoisting capacity. When the Silver Shaft work was completed down to the 4900 foot level, work commenced on a haulage way bypassing an area at the 5900 foot level impacted by a rock burst in December 2011. Work on the Silver Shaft and haulage way was completed in early 2013, and we recommenced limited production at the Lucky Friday mine in February 2013. For the second quarter and first six months of 2013, we have realized income of $2.8 million and $1.3 million, respectively,as a result of business interruption insurance proceeds, net of certain suspension-related costs, which is reported in Lucky Friday suspension-related income (expense) on the Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited).

The following table presents identifiable assets by reportable segment as of June 30, 2013 and December 31, 2012 (in thousands):

	June 30, 2013		December 31, 2012
Identifiable assets:
Greens Creek	$	747,813	$	741,666
Lucky Friday		217,413		226,196
Casa Berardi		891,194		—
Other		416,035		410,428
	$	2,272,455	$	1,378,290

Note 11: Business Segments and Significant Customers

We discover, acquire, develop, produce, and market concentrates and doré containing silver, gold, lead and zinc.  Our products consist of both metal concentrates, which we sell to custom smelters, and unrefined bullion bars (doré), which may be sold as doré or further refined before sale to precious metals traders.  We are currently organized and managed by two segments, which represent our operating units: the Greens Creek unit and the Lucky Friday unit.

General corporate activities not associated with operating units and their various exploration activities, as well as discontinued operations and idle properties, are presented as “other.”  Interest expense, interest income and income taxes are considered general corporate items, and are not allocated to our segments.

Sales of metal concentrates and metal products are made principally to custom smelters and metals traders. The percentage of sales contributed by each segment is reflected in the following table:

	Year Ended December 31,
	2012			2011			2010
Greens Creek		100.0	%		71.8	%		74.8	%
Lucky Friday		—	%		28.2	%		25.2	%
		100	%		100	%		100	%

The tables below present information about reportable segments as of and for the years ended December 31, 2012, 2011 and 2010 (in thousands).

	2012			2011			2010
Net sales to unaffiliated customers:
Greens Creek	$	320,895		$	342,906		$	313,318
Lucky Friday		248			134,728			105,495
	$	321,143		$	477,634		$	418,813
Income (loss) from operations:
Greens Creek	$	138,245		$	181,116		$	138,973
Lucky Friday		(25,179	)		75,608			48,639
Other		(75,200	)		(59,079	)		(239,167	)
	$	37,866		$	197,645		$	(51,555	)
Capital additions (including non-cash additions):
Greens Creek	$	62,184		$	41,657		$	18,280
Lucky Friday		55,998			60,454			54,370
Other		11,760			35,274			2,089
	$	129,942		$	137,385		$	74,739
Depreciation, depletion and amortization:
Greens Creek	$	43,522		$	41,013		$	51,671
Lucky Friday		—			6,053			8,340
	$	43,522		$	47,066		$	60,011
Other significant non-cash items:
Greens Creek	$	4,037		$	2,326		$	17,829
Lucky Friday		92			14			5,053
Other		33,922			31,470			57,651
	$	38,051		$	33,810		$	80,533
Identifiable assets:
Greens Creek	$	741,666		$	729,289		$	740,573
Lucky Friday		226,196			213,285			170,928
Other		410,428			453,516			470,992
	$	1,378,290		$	1,396,090		$	1,382,493

The reductions in sales, income (loss) from operations,and depreciation, depletion, and amortization at the Lucky Friday segment for 2012 compared to 2011 and 2010 are due to the temporary suspension of production at the Lucky Friday mine during 2012. At the end of 2011, MSHA began a special impact inspection at the Lucky Friday mine which resulted in an order to remove built-up cementitious material from the Silver Shaft. In response, we submitted a plan to MSHA and received approval to remove the material, and this work commenced in the first quarter of 2012. In addition, the plan included removal of unused utilities, construction of a water ring to prevent ice from forming in the winter, the installation of a metal brattice, repair of shaft steel, and installation of a new power cable, all of which should improve the shaft's functionality and possibly improve the shaft's hoisting capacity. The Silver Shaft work was completed in early 2013, and limited production at the Lucky Friday has recommenced. We anticipate a ramp-up in mine output during the year, as additional productions areas of the mine come on line, until we return to full production levels in mid-2013. However, the timing of resuming full production levels may vary from our current estimates. The smelter contracts related to treatment of Lucky Friday concentrates have been suspended during the care-and-maintenance period based on force majeure. Once the Silver Shaft work was completed down to the 4900 foot level, we commenced work on a haulage way bypassing an area at the 5900 level impacted by a rock burst in December 2011, and the bypass was completed in early 2013. In addition to work on the Silver Shaft, other significant surface and underground capital programs have been planned, including restart of the #4 Shaft sinking in early 2013 and surface infrastructure and mill upgrades. During 2012, we incurred $25.3 million in non-capitalized expenses, including $6.3 million in depreciation, depletion, and amortization, which is reported in Lucky Friday suspension-related costs on the Consolidated Statements of Operations and Comprehensive Income.

The following is sales information by geographic area based on the location of smelters (for concentrate shipments) and the location of parent companies (for doré sales to metals traders) for the years ended December 31, 2012, 2011 and 2010 (in thousands):

	2012		2011		2010
United States	$	25,438	$	24,409	$	24,708
Canada		34,441		240,569		124,862
Mexico		—		—		16,258
Japan		70,371		60,963		62,740
Korea		120,106		92,919		94,114
China		72,133		51,635		73,257
Belgium		—		—		25,907
Total, excluding gains/losses on forward contracts	$	322,489	$	470,495	$	421,846

Sales of products for 2012 also include a net loss of $1.3 million on financially-settled forward contracts for lead and zinc contained in our concentrate sales.  2011 sales included a net gain of $7.1 million and 2010 sales included a net loss of $3.0 million on the contracts. See Note 10 for more information.

The following are our long-lived assets by geographic area as of December 31, 2012 and 2011 (in thousands):

	2012		2011
United States	$	996,405	$	923,040
Canada		198		99
Mexico		56		73
	$	996,659	$	923,212

Sales from continuing operations to significant metals customers as a percentage of total sales were as follows for the years ended December 31, 2012, 2011 and 2010:

	Year Ended December 31,
	2012			2011			2010
Teck Metals Ltd.		10.7	%		51.1	%		29.6	%
Korea Zinc		37.2	%		18.4	%		20.7	%
Trafigura AG		22.4	%		12.4	%		17.4	%
MS Zinc		12.3	%		6.9	%		7.0	%

XML

Note 12 - Fair Value Measurement (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2013
Fair Value Disclosures [Abstract]
Notes Payable, Fair Value Disclosure	$ 466.6
Notes Payable	$ 490.1

XML

Note 4 - Environmental and Reclamation Activities (Details) - Accrued Reclamation and Closure Cost Liability Activity (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Accrued Reclamation and Closure Cost Liability Activity [Abstract]
Balance	$ 153,811	$ 318,797	$ 131,201
Accruals for estimated costs	4,325	7,869	196,067
Revision of estimated cash flows due to changes in reclamation plans	(3,738)
Payment of reclamation obligations	(41,183)	(172,855)	(8,471)
Balance	$ 113,215	$ 153,811	$ 318,797

XML

Note 10 - Derivative Instruments (Details) - Summary Of Forward Sales Contracts (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012 oz	Dec. 31, 2011 oz
Zinc [Member] | 2013 Settlements [Member]
Contracts on provisional sales
Metric Tonnes Under Contract		14,991
Average Price Per Pound (in Dollars)	$ 0.85	$ 0.95
Contracts on forecasted sales
Metric Tonnes Under Contract		35,935	18,243
Average Price Per Pound (in Dollars)	0.96	0.96	1.14
Zinc [Member] | 2014 Settlements [Member]
Contracts on forecasted sales
Metric Tonnes Under Contract		30,203
Average Price Per Pound (in Dollars)	0.99	0.98
Zinc [Member] | 2015 Settlements [Member]
Contracts on forecasted sales
Metric Tonnes Under Contract		3,307
Average Price Per Pound (in Dollars)	0.98	1.01
Zinc [Member] | 2012 Settlements [Member]
Contracts on provisional sales
Metric Tonnes Under Contract			21,164
Average Price Per Pound (in Dollars)			0.86
Contracts on forecasted sales
Metric Tonnes Under Contract			45,195
Average Price Per Pound (in Dollars)			1.12
Lead [Member] | 2013 Settlements [Member]
Contracts on provisional sales
Metric Tonnes Under Contract		6,945
Average Price Per Pound (in Dollars)	0.92	1.00
Contracts on forecasted sales
Metric Tonnes Under Contract		32,794	24,582
Average Price Per Pound (in Dollars)	1.05	1.11	1.17
Lead [Member] | 2014 Settlements [Member]
Contracts on forecasted sales
Metric Tonnes Under Contract		33,069
Average Price Per Pound (in Dollars)	1.05	1.03
Lead [Member] | 2015 Settlements [Member]
Contracts on forecasted sales
Metric Tonnes Under Contract		23,534
Average Price Per Pound (in Dollars)	1.07	1.06
Lead [Member] | 2012 Settlements [Member]
Contracts on provisional sales
Metric Tonnes Under Contract			5,732
Average Price Per Pound (in Dollars)			0.89
Contracts on forecasted sales
Metric Tonnes Under Contract			35,053
Average Price Per Pound (in Dollars)			$ 1.12

XML

Note 6 - Credit Facilities and Capital Leases (Details) - Annual Maturities of Capital Lease Commitments, Including Interest (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Annual Maturities of Capital Lease Commitments, Including Interest [Abstract]
2013	$ 7,120	$ 6,049
2014	5,476	5,821
2015	2,065	4,618
2016		1,931
Total	21,631	18,419
Less: imputed interest	(960)	(920)
Net capital lease obligation	$ 20,671	$ 17,499	$ 10,300

XML

Note 14 - Other Comprehensive Income (Loss) (Tables)

12 Months Ended

Dec. 31, 2012

Disclosure Text Block [Abstract]

Comprehensive Income (Loss) [Table Text Block]

	Unrealized Gains (Losses) On Securities			Adjustments For Pension Plans			Total Accumulated Other Comprehensive Loss, Net
Balance January 1, 2010	$	744		$	(14,927	)	$	(14,183	)
2010 change		718			(1,652	)		(934	)
Balance December 31, 2010		1,462			(16,579	)		(15,117	)
2011 change		(627	)		(7,754	)		(8,381	)
Balance December 31, 2011		835			(24,333	)		(23,498	)
2012 change		1,224			(1,644	)		(420	)
Balance December 31, 2012	$	2,059		$	(25,977	)	$	(23,918	)

XML

Accounting Policies, by Policy (Policies)

12 Months Ended

Dec. 31, 2012

Dec. 31, 2011

Accounting Policies [Abstract]

Consolidation, Policy [Policy Text Block]

A. Principles of Consolidation — Our Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America, and include our accounts, our wholly-owned subsidiaries’ accounts and a proportionate share of the accounts of the joint ventures in which we participate. All significant inter-company balances and transactions have been eliminated in consolidation.

Use of Estimates, Policy [Policy Text Block]

B.  Assumptions and Use of Estimates — Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts and related disclosure of assets, liabilities, revenue and expenses at the date of the consolidated financial statements and reporting periods. We consider our most critical accounting estimates to be future metals prices, obligations for environmental, reclamation and closure matters, mineral reserves, and valuation of business combinations. Other significant areas requiring the use of management assumptions and estimates relate to reserves for contingencies and litigation; asset impairments, including long-lived assets and investments; valuation of deferred tax assets; inventory net realizable value; and post-employment, post-retirement and other employee benefit assets and liabilities. We have based our estimates on historical experience and on various other assumptions that we believe to be reasonable. Accordingly, actual results may differ materially from these estimates under different assumptions or conditions.

Cash and Cash Equivalents, Policy [Policy Text Block]

C.  Cash and Cash Equivalents — Cash and cash equivalents consist of all cash balances and highly liquid investments with a remaining maturity of three months or less when purchased and are carried at fair value. Cash and cash equivalents are invested in money market funds, certificates of deposit, U.S. government and federal agency securities, municipal securities and corporate bonds.

Investment, Policy [Policy Text Block]

D.  Investments and Securities Held for Sale — We determine the appropriate classification of our investments at the time of purchase and re-evaluate such determinations at each reporting date. Short-term investments include certificates of deposit and held-to-maturity securities, based on our intent and ability to hold the securities to maturity. Marketable equity securities are categorized as available for sale and carried at fair market value.

Realized gains and losses on the sale of securities are recognized on a specific identification basis. Unrealized gains and losses are included as a component of accumulated other comprehensive income (loss), unless an other than temporary impairment in value has occurred, which would then be charged to current period net income (loss).  Unrealized gains and losses originally included in accumulated other comprehensive income are reclassified to current period net income (loss) when the sale or determination of an other than temporary impairment of securities occurs.

Inventory, Policy [Policy Text Block]

E.  Inventories — Inventories are stated at the lower of average costs incurred or estimated net realizable value. Major types of inventories include materials and supplies and metals product inventory, which is determined by the stage at which the ore is in the production process (stockpiled ore and finished goods). Inventories are valued at the lower of full cost of production or net realizable value based on current metals prices.

Stockpiled ore inventory represents ore that has been mined, hauled to the surface, and is available for further processing. Stockpiles are measured by estimating the number of tons added and removed from the stockpile, the number of contained metal ounces or pounds (based on assay data) and the estimated metallurgical recovery rates (based on the expected processing method). Costs are allocated to a stockpile based on relative values of material stockpiled and processed using current mining costs incurred up to the point of stockpiling the ore, including applicable overhead, depreciation, depletion and amortization relating to mining operations, and removed at each stockpile’s average cost per recoverable unit.

Finished goods inventory includes doré and concentrates at our operations, doré in transit to refiners and bullion in our accounts at refineries.

Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block]

F. Restricted Cash — Restricted cash and investments primarily represent investments in money market funds and bonds of U.S. government agencies and are restricted primarily for reclamation funding or surety bonds. Restricted cash balances are carried at fair value.

Property, Plant and Equipment, Policy [Policy Text Block]

G. Properties, Plants and Equipment – Costs are capitalized when it has been determined an ore body can be economically developed.  The development stage begins at new projects when our management and/or Board of Directors makes the decision to bring a mine into commercial production, and ends when the production stage, or exploitation of reserves, begins.  Expenditures incurred during the development and production stages for new facilities or new assets that extend the useful lives of existing facilities and major mine development expenditures are capitalized, including primary development costs such as costs of building access ways, shaft sinking, lateral development, drift development, ramps and infrastructure developments.

Costs for exploration, pre-development, secondary development at operating mines, and maintenance and repairs on capitalized property, plant and equipment are charged to operations as incurred.  Exploration costs include those relating to activities carried out (a) in search of previously unidentified mineral deposits, (b) at undeveloped concessions, or (c) at operating mines already containing proven and probable reserves, where a determination remains pending as to whether new target deposits outside of the existing reserve areas can be economically developed.  Pre-development activities involve costs incurred in the exploration stage that may ultimately benefit production, such as underground ramp development, which are expensed due to the lack of evidence of economic development, which is necessary to demonstrate future recoverability of these expenses. Secondary development costs are incurred for preparation of an ore body for production in a specific ore block, stope or work area, providing a relatively short-lived benefit only to the mine area they relate to, and not to the ore body as a whole.

Drilling and related costs are either classified as exploration or secondary development, as defined above, and charged to operations as incurred, or capitalized, based on the following criteria:

• Whether the costs are incurred to further define mineralization at and adjacent to existing reserve areas or intended to assist with mine planning within a reserve area;

• Whether the drilling costs relate to an ore body that has been determined to be commercially mineable, and a decision has been made to put the ore body into commercial production; and

• Whether, at the time that the cost is incurred, the expenditure: (a) embodies a probable future benefit that involves a capacity, singly or in combination, with other assets to contribute directly or indirectly to future net cash inflows, (b) we can obtain the benefit and control others’ access to it, and (c) the transaction or event giving rise to our right to or control of the benefit has already occurred.

If all of these criteria are met, drilling and related costs are capitalized.  Drilling costs not meeting all of these criteria are expensed as incurred.  The following factors are considered in determining whether or not the criteria listed above have been met, and capitalization of drilling costs is appropriate:

• Completion of a favorable economic study and mine plan for the ore body targeted;

• Authorization of development of the ore body by management and/or the Board of Directors; and

• All permitting and/or contractual requirements necessary for us to have the right to or control of the future benefit from the targeted ore body have been met.

Drilling and related costs of approximately $5.0 million, $3.6 million, and $3.6 million for the years ended December 31, 2012, 2011 and 2010, respectively, met our criteria for capitalization listed above, at our properties that are in the production stage.

When assets are retired or sold, the costs and related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is reflected in current period net income (loss).  Idle facilities placed on standby basis are carried at the lower of net carrying value or estimated net realizable value.  The net carrying values of idle facilities on standby are written-down to salvage value upon reaching the end of the economic life.  Therefore, with the exception of depreciation recorded on mobile equipment used in ongoing exploration and reclamation efforts at such properties, we do not record depreciation on idle facilities when they are not in operation.

Included in property, plant and equipment on our consolidated financial statements are mineral interests, which are tangible assets that include acquired undeveloped mineral interests and royalty interests.  Undeveloped mineral interests include: (i) mineralized material and other resources which are measured, indicated or inferred with insufficient drill spacing or quality to qualify as proven and probable reserves; and (ii) inferred material not immediately adjacent to existing proven and probable reserves but accessible within the immediate mine infrastructure.  Residual values for undeveloped mineral interests represents the expected fair value of the interests at the time we plan to convert, develop, further explore or dispose of the interests and are evaluated at least annually.

Regulatory Depreciation and Amortization, Policy [Policy Text Block]

H. Depreciation, Depletion and Amortization — Capitalized costs are depreciated or depleted using the straight-line method or unit-of-production method at rates sufficient to depreciate such costs over the shorter of estimated productive lives of such facilities or the useful life of the individual assets. Productive lives range from 1 to 26 years, but do not exceed the useful life of the individual asset. Determination of expected useful lives for amortization calculations are made on a property-by-property or asset-by-asset basis at least annually. Our estimates for reserves, mineralized material, and other resources are a key component in determining our units of production depreciation rates. Our estimates of proven and probable ore reserves, mineralized material, and other resources may change, possibly in the near term, resulting in changes to depreciation, depletion and amortization rates in future reporting periods.

Undeveloped mineral interests are not amortized until such time as there is proven and probable reserves.  At that time, the basis of the mineral interest is amortized on a units-of-production basis.  Pursuant to our policy on impairment of long-lived assets (discussed further below), if it is determined that an undeveloped mineral interest cannot be economically converted to proven and probable reserves, the basis of the mineral interest is reduced to its net realizable value and an impairment loss is recorded to expense in the period in which it is determined to be impaired.

Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block]

I.  Impairment of Long-lived Assets — Management reviews and evaluates the net carrying value of all facilities, including idle facilities, for impairment upon the occurrence of other events or changes in circumstances that indicate that the related carrying amounts may not be recoverable. We estimate the net realizable value of each property based on the estimated undiscounted future cash flows that will be generated from operations at each property, the estimated salvage value of the surface plant and equipment, and the value associated with property interests.

Although management has made a reasonable estimate of factors based on current conditions and information, assumptions underlying future cash flows are subject to significant risks and uncertainties. Estimates of undiscounted future cash flows are dependent upon estimates of metals to be recovered from proven and probable ore reserves, and to some extent, identified resources beyond proven and probable reserves, future production and capital costs and estimated metals prices (considering current and historical prices, forward pricing curves and related factors) over the estimated remaining mine life. It is reasonably possible that changes could occur in the near term that could adversely affect our estimate of future cash flows to be generated from our operating properties. If undiscounted cash flows including an asset’s fair value are less than the carrying value of a property, an impairment loss is recognized.

Proven And Probable Ore Reserves

J. Proven and Probable Ore Reserves — At least annually, management reviews the reserves used to estimate the quantities and grades of ore at our mines which we believe can be recovered and sold economically. Management’s calculations of proven and probable ore reserves are based on engineering and geological estimates, including future metals prices and operating costs. From time to time, management obtains external audits of reserves. A partial third-party audit of 2012 reserves at Greens Creek was concluded during 2012.

Reserve estimates will change as existing reserves are depleted through production and as production costs and/or metals prices change. A significant drop in metals prices may reduce reserves by making some portion of such ore uneconomic to develop and produce. Changes in reserves may also reflect that actual grades of ore processed may be different from stated reserve grades because of variation in grades in areas mined, mining dilution and other factors. Our reserve estimates may change based on actual production experience. It is reasonably possible that certain of our estimates of proven and probable ore reserves will change in the near term, which could result in a change to estimated future cash flows, associated carrying values of the asset and amortization rates in future reporting periods, among other things.

Declines in the market prices of metals, increased production or capital costs, reduction in the grade or tonnage of the deposit or an increase in the dilution of the ore or reduced recovery rates may render ore reserves uneconomic to exploit. If our realized price for the metals we produce were to decline substantially below the levels set for calculation of reserves for an extended period, there could be material delays in the development of new projects, net losses, reduced cash flow, restatements or reductions in reserves and asset write-downs in the applicable accounting periods. Reserves should not be interpreted as assurances of mine life or of the profitability of current or future operations. No assurance can be given that the estimate of the amount of metal or the indicated level of recovery of these metals will be realized.

Pension and Other Postretirement Plans, Policy [Policy Text Block]

K. Pension Plans and Other Post-retirement Benefits — We maintain pension plans covering substantially all U.S. employees and provide certain post-retirement benefits for qualifying retired employees. Pension benefits generally depend on length and level of service and age upon retirement. Substantially all benefits are paid through pension trusts. We contributed approximately $0.3 million related to our unfunded supplemental executive retirement plan in years 2012, 2011 and 2010, and expect to contribute $0.3 million related to this plan in 2013. We did not contribute to our other pension plans during 2011, but contributed approximately $1.1 million to the Hecla pension plan in 2012 and expect to contribute $1.0 million to our defined benefit plans in 2013.

Regulations regarding employers’ accounting for defined benefit pension and other post-retirement plans among other things, require us to:

• Recognize the funded status of our defined benefit plans in our consolidated financial statements; and

• Recognize as a component of other comprehensive income (loss) the actuarial gains and losses and prior service costs and credits that arise during the period but are not immediately recognized as components of net periodic benefit cost.

Income Tax, Policy [Policy Text Block]

L. Income and Production Taxes — We provide for federal, state and foreign income taxes currently payable, as well as those deferred due to timing differences between reporting income and expenses for financial statement purposes versus tax purposes. Federal, state and foreign tax benefits are recorded as a reduction of income taxes, when applicable. We record deferred tax liabilities and assets for expected future tax consequences of temporary differences between the financial statement carrying amounts and the tax bases of those assets and liabilities, as well as operating loss and tax credit carryforwards, using enacted tax rates in effect in the years in which the differences are expected to reverse.

We evaluate uncertain tax positions in a two-step process, whereby (i) it is determined whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and (ii) for those tax positions that meet the more-likely-than-not recognition threshold, the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with the related tax authority would be recognized.

We classify mine license taxes incurred in the states of Alaska and Idaho as other direct production costs reported in our gross profits. Our costs for mine license taxes for the years ended December 31, 2012, December 31, 2011, and December 31, 2010 were $5.7 million, $6.4 million, and $9.6 million, respectively. Approximately 98% or more of the taxes accrued in all three periods were for the State of Alaska.

For additional information, see Note 5— Income Taxes.

Asset Retirement Obligations, Policy [Policy Text Block]

M. Reclamation and Remediation Costs (Asset Retirement Obligations)  — At our operating properties, we record a liability for the present value of our estimated environmental remediation costs, and the related asset created with it, in the period in which the liability is incurred. The liability is accreted and the asset is depreciated over the life of the related assets. Adjustments for changes resulting from the passage of time and changes to either the timing or amount of the original present value estimate underlying the obligation are made in the period incurred.

At our non-operating properties, we accrue costs associated with environmental remediation obligations when it is probable that such costs will be incurred and they are reasonably estimable. Accruals for estimated losses from environmental remediation obligations have historically been recognized no later than completion of the remedial feasibility study for such facility and are charged to current earnings to provision for closed operations and environmental matters. Costs of future expenditures for environmental remediation are not discounted to their present value unless subject to a contractually obligated fixed payment schedule. Such costs are based on management’s current estimate of amounts to be incurred when the remediation work is performed, within current laws and regulations.

Future closure, reclamation and environmental-related expenditures are difficult to estimate in many circumstances, due to the early stage nature of investigations, uncertainties associated with defining the nature and extent of environmental contamination, the application of laws and regulations by regulatory authorities, and changes in reclamation or remediation technology. We periodically review accrued liabilities for such reclamation and remediation costs as evidence becomes available indicating that our liabilities have potentially changed. Changes in estimates at our non-operating properties are reflected in current period net income (loss).

Accruals for closure costs, reclamation and environmental matters for operating and non-operating properties totaled $113.2 million at December 31, 2012, and the majority of these expenditures relating to these accruals will be made over the next two years. It is reasonably possible the ultimate cost of reclamation and remediation could change in the future, and that changes to these estimates could have a material effect on future operating results as new information becomes known.

Revenue Recognition, Policy [Policy Text Block]

N. Revenue Recognition and Smelter Accounts Receivable — Sales of all metals products sold directly to smelters, including by-product metals, are recorded as revenues and accounts receivable when title and risk of loss transfer to the smelter (generally at the time of shipment) at estimated forward prices for the anticipated month of settlement. Due to the time elapsed from shipment to the smelter and the final settlement with the smelter, we must estimate the prices at which sales of our metals will be settled. Previously recorded sales and accounts receivable are adjusted to estimated settlement metals prices until final settlement by the smelter.

Sales and accounts receivable for concentrate shipments to smelters are recorded net of charges by the smelters for treatment, refining, smelting losses, and other charges negotiated by us with the smelters. Charges are estimated by us upon shipment of concentrates based on contractual terms, and actual charges do not vary materially from our estimates. Costs charged by smelters include fixed treatment and refining costs per ton of concentrate, and also include price escalators which allow the smelters to participate in the increase of lead and zinc prices above a negotiated baseline.

Changes in metals prices between shipment and final settlement will result in adjustments to revenues and accounts receivable related to sales of concentrate previously recorded upon shipment. Our concentrate sales and accounts receivable are based on provisional sales prices containing an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrates at the forward price at the time of the sale. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through earnings each period prior to final settlement.

At December 31, 2012, metals contained in concentrates and exposed to future price changes totaled 0.8 million ounces of silver, 3,912 ounces of gold, 12,189 tons of zinc, and 3,887 tons of lead.  However, as discussed in P. Risk Management Contracts below, we utilize a program to mitigate the risk of negative price adjustments with limited mark-to-market financially settled forward contracts for our zinc and lead sales.

Sales of metals in products tolled by refiners and sold directly by us, rather than sold to smelters, are recorded at contractual amounts when title and risk of loss transfer to the buyer. We sell finished metals after refining, as well as doré produced at our locations.

Sales from our Greens Creek and Lucky Friday units include significant value from by-product metals mined along with net values of each unit’s primary metal.  We periodically review our proven and probable reserves to ensure that reporting of primary products and by-products is appropriate. Within our cost per ounce calculations, because we consider zinc, lead, and gold to be by-products of our silver production, the values of these metals offset operating costs.  While value from zinc, lead, and gold is significant at Greens Creek, and value from lead and zinc is significant at Lucky Friday, we believe identification of silver as the primary product, with the other metals we produce as by-product credits, is appropriate because (i) silver has historically accounted for a higher proportion of revenue than any other metal and is expected to do so in the future, (ii) our operations are situated in mining districts associated with silver production or have deposits containing unusually high portions of silver, (iii) our operations generally utilize selective mining methods to target silver and metallurgical treatment that maximize silver recovery, and (iv) we have historically presented our operations as primary producers of silver, based on the original analyses that justified putting them into production, and believe that consistency in disclosure is important to our investors regardless of the relationships of metals prices and production from year to year.

Changes in the market price of metals significantly affect our revenues, profitability, and cash flow. Metals prices can and often do fluctuate widely and are affected by numerous factors beyond our control, such as political and economic conditions, demand, forward selling by producers, aggregation by metals speculators and others, expectations for inflation, central bank sales, custom smelter activities, the relative exchange rate of the U.S. dollar, purchases and lending, investor sentiment, and global mine production levels. The aggregate effect of these factors is impossible to predict. Because our revenue is derived from the sale of silver, gold, lead, and zinc, our earnings are directly related to the prices of these metals.

Foreign Currency Transactions and Translations Policy [Policy Text Block]

O. Foreign Currency — The functional currency for our operations located in the U.S., Mexico and Canada was the U.S. dollar for all periods presented. Accordingly, for the San Sebastian unit in Mexico and our Canadian office, we have translated our monetary assets and liabilities at the period-end exchange rate, and non-monetary assets and liabilities at historical rates, with income and expenses translated at the average exchange rate for the current period. All translation gains and losses have been included in the current period net income (loss).

For the years ended December 31, 2012, 2011 and 2010, we recognized total net foreign exchange losses of $0.1 million, $0.2 million and $37,000, respectively.

Risk Management Contracts Policy Text Block

P. Risk Management Contracts — We use derivative financial instruments as part of an overall risk-management strategy that is used as a means of managing exposure to base metals prices and interest rates. We do not hold or issue derivative financial instruments for speculative trading purposes.

We measure derivative contracts as assets or liabilities based on their fair value. Gains or losses resulting from changes in the fair value of derivatives in each period are recorded either in current earnings or other comprehensive income (“OCI”), depending on the use of the derivative, whether it qualifies for hedge accounting and whether that hedge is effective. Amounts deferred in OCI are reclassified to sales of products (for metals price-related contracts) or interest expense (for interest rate-related contracts) when the hedged transaction has occurred. Ineffective portions of any change in fair value of a derivative are recorded in current period other operating income (expense).

In the second quarter of 2010 we began utilizing two financially-settled forward contract programs to manage the exposure to changes in prices of zinc and lead contained in (i) our concentrate shipments between the time of sale and final settlement and (ii) our forecasted future concentrate shipments.  The contracts under these programs do not qualify for hedge accounting, and are marked-to-market through earnings each period.  See Note 10 for additional information on base metal derivative contracts, including open positions as of December 31, 2012.

Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]

Q. Stock Based Compensation — The fair value of the equity instruments granted to employees are estimated on the date of grant using the Black-Scholes pricing model (see Note 9 for information on the methodologies and assumptions used).   We recognized stock-based compensation expense of approximately $3.1 million, $2.1 million, and $3.4 million, respectively, during 2012, 2011 and 2010, which was recorded to general and administrative expenses, exploration and cost of sales and other direct production costs.   As of December 31, 2012, the majority of the instruments outstanding were fully vested.

For additional information on our employee stock option and unit compensation, see Note 9.

Legal Costs, Policy [Policy Text Block]

R.  Legal Costs – Legal costs incurred in connection with a potential loss contingency are accrued and recorded to expense as incurred.

Earnings Per Share, Policy [Policy Text Block]

S. Basic and Diluted Income (Loss) Per Common Share — We calculate basic earnings per share on the basis of the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated using weighted average number of common shares outstanding during the period plus the effect of potential dilutive common shares during the period using the treasury stock and if-converted methods.

Potential dilutive common shares include outstanding stock options, unvested restricted stock awards, stock units, warrants and convertible preferred stock for periods in which we have reported net income. For periods in which we reported net losses, potential dilutive common shares are excluded, as their conversion and exercise would be anti-dilutive. See Note 13 for additional information.

Comprehensive Income (Loss) Policy Text Block

T. Comprehensive Income (Loss) — In addition to net income (loss), comprehensive income (loss) includes certain changes in equity during a period, such as adjustments to minimum pension liabilities, adjustments to recognize the over-funded or underfunded status of our defined benefit pension plans, and cumulative unrecognized changes in the fair value of available for sale investments, net of tax, if applicable.

Fair Value of Financial Instruments, Policy [Policy Text Block]

U.  Fair Value Measurements — We disclose the following information for each class of assets and liabilities that are measured at fair value:

a. the fair value measurement;

b. the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets or liabilities (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3);

c. for fair value measurements using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following:

(1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings, and a description of where those gains or losses included in earnings  are reported in the statement of operations;

(2) the amount of these gains or losses attributable to the change in unrealized gains or losses relating to those assets or liabilities still held at the reporting period date and a description of where those unrealized gains or losses are reported;

(3) purchases, sales, issuances, and settlements (net); and

(4) transfers into and/or out of Level 3.

d. the amount of the total gains or losses for the period in (c)(1) included in earnings  that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date and a description of where those unrealized gains or losses are reported in the statement of operations; and

e. in annual periods only, the valuation technique(s) used to measure fair value and a discussion of changes in valuation techniques, if any, during the period.

Description of New Accounting Pronouncements Not yet Adopted [Text Block]

V. New Accounting Pronouncements — In June 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2011-05, which, among other things, amended Subtopic 220 with respect to the presentation of other comprehensive income and its components in the financial statements. The update amended Subtopic 220 so that a SEC filer may present other comprehensive income either in a single continuous statement or in two separate but consecutive statements. The filer is also required to present on the face of the financial statements reclassification adjustments for items that are reclassified from other comprehensive income to net income in the statements where the components of net income and the components of other comprehensive income are presented. The amendments in this update apply to both annual and interim periods beginning after December 15, 2011, with the exception of the amendment regarding presentation of reclassification adjustments, which has been deferred to a later date. Adoption of this guidance did not have a material impact on our consolidated financial statements.

In May 2011, the FASB issued ASU 2011-04, which amends Subtopic 820 to clarify the application of existing common fair value measurement and disclosure requirements. ASU 2011-04 provides clarification for the following:

1.     the application of the highest and best use of valuation premise concepts;

2.     measuring the fair value of an instrument classified in shareholders' equity; and

3.     disclosures about fair value measurements.

The amendments in this update became effective for interim and annual periods beginning after December 15, 2011. Adoption of this guidance did not have a material impact on our consolidated financial statements.

In December of 2011, the FASB issued ASU 2011-11, Disclosures about Offsetting Assets and Liabilities, which enhances disclosure requirements regarding an entity's financial instruments and derivative instruments that are offset or subject to a master netting arrangement. This information about offsetting and related netting arrangements will enable users of financial statements to understand the effect of those arrangements on the entity's financial position, including the effect of rights of setoff. The amendments are required for annual reporting periods beginning after January 1, 2013, and interim periods within those annual periods. We are evaluating the impact of this guidance, but do not anticipate it will have a material impact on our consolidated financial statements.

XML

Note 10 - Developments in Accounting Pronouncements

6 Months Ended

Jun. 30, 2013

Table Text Block [Abstract]

Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block]

Note 10.    Developments in Accounting Pronouncements

In December of 2011, the FASB issued Accounting Standards Update 2011-11, Disclosures about Offsetting Assets and Liabilities, which enhances disclosure requirements regarding an entity's financial instruments and derivative instruments that are offset or subject to a master netting arrangement. This information about offsetting and related netting arrangements will enable users of financial statements to understand the effect of those arrangements on the entity's financial position, including the effect of rights of setoff. The amendments are required for annual reporting periods beginning after January 1, 2013, and interim periods within those annual periods. Adoption of this guidance has not had a material impact on our consolidated financial statements.

XML

Note 17 - Guarantor Subsidiaries (Details) - Condensed Consolidating Statements of Operations (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Condensed Income Statements, Captions [Line Items]
Revenues	$ 85,330	$ 67,019	$ 161,780	$ 158,172	$ 321,143	$ 477,634	$ 418,813
Cost of sales	80,219	43,051	131,051	86,002	177,627	212,639	223,994
Depreciation, depletion, amortization	20,211	9,879	34,218	19,540	43,522	47,066	60,011
General and administrative	7,482	5,527	14,421	10,028	21,253	18,540	18,219
Exploration and pre-development	6,221	7,146	12,714	12,757	31,822	26,959	21,605
Gain on derivative contracts			7,200		10,500	7,100
Loss on derivative contracts					1,300		3,000
Income (loss) before income taxes	(31,653)	3,217	(13,144)	23,104	23,833	233,142	(74,549)
(Provision) benefit from income taxes	(6,795)	693	620	8,008	8,879	81,978	(123,532)
Net income (loss)	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Comprehensive income (loss)	(26,802)	1,938	(18,539)	14,291	14,534	142,783	48,048
Preferred stock dividends	138	138	276	276	552	552	13,633
Income (loss) applicable to common shareholders	(24,996)	2,386	(14,040)	14,820	14,402	150,612	35,350
Parent Company [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	372	869	2,785	(122)	(1,346)	7,140	(3,033)
General and administrative	3,993	3,089	7,465	5,664	(11,519)	(10,355)	(11,030)
Exploration and pre-development	253	268	417	401	(1,262)	(407)	(916)
Gain on derivative contracts	6,541	6,171	28,080	940		37,988
Loss on derivative contracts					(10,457)		(20,758)
Equity in earnings (losses) of subsidiary	(13,625)	(2,740)	(14,698)	13,847	21,246	254,902	(9,618)
Other (expense) income	248	1,581	(7,901)	6,496	18,292	(138,104)	94,338
Income (loss) before income taxes	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Net income (loss)	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Changes in comprehensive income (loss)	(1,944)	586	(4,775)	(805)	(420)	(8,381)	(935)
Comprehensive income (loss)	(26,802)	1,938	(18,539)	14,291	14,534	142,783	48,048
Preferred stock dividends	(138)	(138)	(276)	(276)	(552)	(552)	(13,633)
Income (loss) applicable to common shareholders	(24,996)	2,386	(14,040)	14,820	14,402	150,612	35,350
Guarantor Subsidiaries [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	74,838	66,150	148,875	158,294	322,489	470,494	421,846
Cost of sales	51,777	33,172	88,602	66,462	(134,105)	(165,573)	(163,983)
Depreciation, depletion, amortization	16,887	9,879	30,894	19,540	(43,522)	(47,066)	(60,011)
General and administrative	3,137	2,455	6,547	4,248	(9,519)	(7,909)	(7,023)
Exploration and pre-development	8,553	8,272	16,748	15,042	(38,700)	(23,548)	(16,249)
Closed operations		(1,492)		(2,692)	(2,259)	(8,961)	(200,458)
Other (expense) income	3,643	(7,310)	1,943	(13,269)	(27,747)	4,920	7,073
Income (loss) before income taxes	(451)	3,570	8,027	37,041	66,637	222,357	(18,805)
(Provision) benefit from income taxes	(211)	2,854	5,254	15,780	(29,802)	44,448	17,578
Net income (loss)	(240)	716	2,773	21,261	36,835	266,805	(1,227)
Changes in comprehensive income (loss)	4,257	(764)	3,830	(1,135)	(911)	(3,089)	497
Comprehensive income (loss)	4,017	(48)	6,603	20,126	35,924	263,716	(730)
Income (loss) applicable to common shareholders	(240)	716	2,773	21,261	36,835	266,805	(1,227)
Non-Guarantor Subsidiaries [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	10,120		10,120
Cost of sales	8,231		8,231
Depreciation, depletion, amortization	3,324		3,324
General and administrative	352	(17)	409	116	(215)	(276)	(166)
Exploration and pre-development	1,927	2,077	4,852	4,151	(9,776)	(7,450)	(4,440)
Closed operations		(743)		(1,721)	(2,393)	(786)	(678)
Other (expense) income	(3,225)	(653)	(3,957)	(1,426)	(3,207)	(3,391)	(3,106)
Income (loss) before income taxes	(18,019)	(3,456)	(22,105)	(7,414)	(15,591)	(11,903)	(8,390)
(Provision) benefit from income taxes	(6,321)		(6,321)
Net income (loss)	(11,698)	(3,456)	(15,784)	(7,414)	(15,591)	(11,903)	(8,390)
Changes in comprehensive income (loss)	(1,425)	(132)	(3,830)	(130)	1,438	(679)	458
Comprehensive income (loss)	(13,123)	(3,588)	(19,614)	(7,544)	(14,153)	(12,582)	(7,932)
Income (loss) applicable to common shareholders	(11,698)	(3,456)	(15,784)	(7,414)	(15,591)	(11,903)	(8,390)
Consolidation, Eliminations [Member]
Condensed Income Statements, Captions [Line Items]
Equity in earnings (losses) of subsidiary	13,625	2,740	14,698	(13,847)	(21,246)	(254,902)	9,618
Other (expense) income	(1,950)	(2,161)		(7,772)	(20,921)	126,426	(105,955)
Income (loss) before income taxes	11,675	579	14,698	(21,619)	(42,167)	(128,476)	(96,337)
(Provision) benefit from income taxes	(263)	(2,161)	1,687	(7,772)	20,923	(126,426)	105,954
Net income (loss)	11,938	2,740	13,011	(13,847)	(21,244)	(254,902)	9,617
Changes in comprehensive income (loss)	(2,832)	896		1,265	(527)	3,768	(955)
Comprehensive income (loss)	9,106	3,636	13,011	(12,582)	(21,771)	(251,134)	8,662
Income (loss) applicable to common shareholders	11,938	2,740	13,011	(13,847)	(21,244)	(254,902)	9,617
Consolidated Entities [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	85,330	67,019	161,780	158,172	321,143	477,634	418,813
Cost of sales	60,008	33,172	96,833	66,462	(134,105)	(165,573)	(163,983)
Depreciation, depletion, amortization	20,211	9,879	34,218	19,540	(43,522)	(47,066)	(60,011)
General and administrative	7,482	5,527	14,421	10,028	(21,253)	(18,540)	(18,219)
Exploration and pre-development	10,733	10,617	22,017	19,594	(49,738)	(31,405)	(21,605)
Gain on derivative contracts	6,541	6,171	28,080	940		37,988
Loss on derivative contracts					(10,457)		(20,758)
Closed operations		(2,235)		(4,413)	(4,652)	(9,747)	(201,136)
Other (expense) income	(1,284)	(8,543)	(9,915)	(15,971)	(33,583)	(10,149)	(7,650)
Income (loss) before income taxes	(31,653)	3,217	(13,144)	23,104	23,833	233,142	(74,549)
(Provision) benefit from income taxes	(6,795)	693	620	8,008	(8,879)	(81,978)	123,532
Net income (loss)	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Changes in comprehensive income (loss)	(1,944)	(586)	(4,775)	(805)	(420)	(8,381)	(935)
Comprehensive income (loss)	(26,802)	1,938	(18,539)	14,291	14,534	142,783	48,048
Preferred stock dividends	(138)	(138)	(276)	(276)	(552)	(552)	(13,633)
Income (loss) applicable to common shareholders	$ (24,996)	$ 2,386	$ (14,040)	$ 14,820	$ 14,402	$ 150,612	$ 35,350

XML

Note 4 - Environmental and Reclamation Activities (Details) (USD $)	1 Months Ended				3 Months Ended	12 Months Ended
	Oct. 31, 2012	Oct. 31, 2011	Jun. 30, 2011	Mar. 31, 2010	Dec. 31, 2010	Dec. 31, 2012	Apr. 30, 2012	Dec. 31, 2011	Dec. 31, 2009
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Increase Decrease In Accrued Reclamation					$ 193,200,000	$ 4,400,000
Liabilities Subject to Compromise, Provision for Expected and Allowed Claims					262,200,000		73,900,000	36,100,000
Other Accrued Liabilities					264,400,000
Payments for Legal Settlements	25,000,000	168,000,000
Litigation Settlement, Amount						15,000,000
Surety Bond Maintenance Fees	400,000	600,000
Incurred Response Costs				5,300,000
Estimated Response Costs			4,500,000	2,700,000
Accrued Reclamation And Closure Costs Total					318,797,000	113,215,000		153,811,000	131,201,000
Remaining Payment Obligation						32,900,000
Surety Bonds						30,000,000
Minimum Risk Free Interest Rate [Member]
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Risk Free Interest Rate						6.00%
Maximum Risk Free Interst Rate [Member]
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Risk Free Interest Rate						8.00%
Series 1 And 3 Warrants [Member]
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Liabilities Subject to Compromise, Provision for Expected and Allowed Claims						55,500,000
Maximum Potentail Liability [Member]
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Estimated Response Costs				6,800,000
Undiscounted Costs [Member]
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Liabilities Subject to Compromise, Provision for Expected and Allowed Claims								$ 53,400,000
Minimum [Member]
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Investment Warrants, Exercise Price (in Dollars per share)						$ 2.41
Legal Obligation Accrued Interest Rate						0.69%
Maximum [Member]
Note 4 - Environmental and Reclamation Activities (Details) [Line Items]
Investment Warrants, Exercise Price (in Dollars per share)						$ 2.52
Legal Obligation Accrued Interest Rate						0.78%

XML

Note 10 - Derivative Instruments (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block]

June 30, 2013	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		19,786		9,314	$	0.85	$	0.92
Contracts on forecasted sales
2013 settlements		15,046		14,936	$	0.96	$	1.05
2014 settlements		60,516		47,619	$	0.99	$	1.05
2015 settlements		26,896		39,628	$	0.98	$	1.07

December 31, 2012	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		14,991		6,945	$	0.95	$	1.00
Contracts on forecasted sales
2013 settlements		35,935		32,794	$	0.96	$	1.11
2014 settlements		30,203		33,069	$	0.98	$	1.03
2015 settlements		3,307		23,534	$	1.01	$	1.06

December 31, 2012	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2013 settlements		14,991		6,945	$	0.95	$	1.00
Contracts on forecasted sales
2013 settlements		35,935		32,794	$	0.96	$	1.11
2014 settlements		30,203		33,069	$	0.98	$	1.03
2015 settlements		3,307		23,534	$	1.01	$	1.06

December 31, 2011	Pounds under contract (in thousands)				Average price per pound
	Zinc		Lead		Zinc		Lead
Contracts on provisional sales
2012 settlements		21,164		5,732	$	0.86	$	0.89
Contracts on forecasted sales
2012 settlements		45,195		35,053	$	1.12	$	1.12
2013 settlements		18,243		24,582	$	1.14	$	1.17

XML

Note 13 - Acquisition of Aurizon Mines Ltd. (Tables)

6 Months Ended

Jun. 30, 2013

Business Combinations [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block]

Consideration:
Cash payments	$	496,211
Hecla stock issued (56,997,790 shares at $3.83 per share)		218,302
Total consideration	$	714,513
Fair value of net assets acquired:
Assets:
Cash	$	177,587
Accounts receivable		14,307
Inventory - bullion and stockpiled ore		8,090
Inventory - supplies		5,704
Other current assets		7,036
Property, plants, equipment and mineral interests, net		715,391
Non-current restricted cash and investments		4,471
Other non-current assets		795
Total assets		933,381
Liabilities:
Accounts payable		22,227
Accrued payroll and related benefits		7,613
Accrued taxes		509
Non-current deferred tax liability		177,016
Non-current reclamation		11,113
Other non-current liabilities		390
Total liabilities		218,868
Net assets	$	714,513

Business Acquisition, Pro Forma Information [Table Text Block]

	Three Months Ended June 30,					Six Months Ended June 30,
(in thousands, except per share amounts)	2013			2012		2013			2012
Sales of products	$	118,584		$	127,284	$	237,946		$	275,060
Net income (loss)		(13,168	)		2,844		(3,388	)		14,450
Income (loss) applicable to common shareholders		(13,306	)		2,706		(3,664	)		14,174
Basic and diluted income (loss) per common share		(0.04	)		0.01		(0.01	)		0.04

XML

Note 4 - Environmental and Reclamation Activities (Details) - Reconciliation of Asset Retirement Obligations (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Reconciliation of Asset Retirement Obligations [Abstract]
Balance January 1	$ 37,643	$ 36,397
Changes in obligations due to changes in reclamation plans	(3,720)	387
Accretion expense	1,128	1,119
Payment of reclamation obligations	(726)	(260)
Balance at December 31	$ 34,325	$ 37,643

XML

Note 6 - Credit Facilities and Capital Leases (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Debt Disclosure [Abstract]

Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block]

Twelve-month period ending June 30,
2014	$	6,970
2015		7,120
2016		5,476
2017		2,065
Total		21,631
Less: imputed interest		(960	)
Net capital lease obligation	$	20,671

Year ending December 31,
2013	$	6,049
2014		5,821
2015		4,618
2016		1,931
Total		18,419
Less: imputed interest		(920	)
Net capital lease obligation	$	17,499

XML

Note 13 - Acquisition of Aurizon Mines Ltd. (Details) - Preliminary Purchase Price Allocation In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2013 USD ($)	Jun. 30, 2013 CAD	Jun. 30, 2013 USD ($)	Jun. 30, 2013 Bullion And Stockpiled Ore [Member] USD ($)	Jun. 30, 2013 Supplies [Member] USD ($)	Jun. 30, 2013 Accrued Payroll And Related Benefits [Member] USD ($)	Jun. 30, 2013 Accrued Taxes [Member] USD ($)	Jun. 30, 2013 Non Current Deferred Tax Liability [Member] USD ($)	Jun. 30, 2013 Non Current Reclamation [Member] USD ($)	Jun. 30, 2013 Other Non Current Liabilities [Member] USD ($)
Consideration:
Cash payments	$ 496,400	514,500	$ 496,211
Hecla stock issued (56,997,790 shares at $3.83 per share)	218,300	226,300	218,302
Total consideration	714,500	740,800	714,513
Assets:
Cash	177,587		177,587
Accounts receivable	14,307		14,307
Inventory				8,090	5,704
Other current assets	7,036		7,036
Property, plants, equipment and mineral interests, net	715,391		715,391
Non-current restricted cash and investments	4,471		4,471
Other non-current assets	795		795
Total assets	933,381		933,381
Accounts payable	22,227		22,227
Accrued liabilities						7,613	509
Non-current liabilities								177,016	11,113	390
Total liabilities	218,868		218,868
Net assets	$ 714,513		$ 714,513

XML

Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category	Dec. 31, 2012	Dec. 31, 2011
Hecla [Member] | Cash [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	1.00%	1.00%
Hecla [Member] | Large Cap U.S. Equities [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	11.00%	13.00%
Hecla [Member] | Small Cap U.S. Equities [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	4.00%	4.00%
Hecla [Member] | Foreign Government Debt Securities [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	10.00%	9.00%
Hecla [Member] | Fixed Income Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	33.00%	37.00%
Hecla [Member] | Real Estate [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	18.00%	13.00%
Hecla [Member] | Hedge Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	13.00%	13.00%
Hecla [Member] | Real Return [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	10.00%	10.00%
Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	100.00%	100.00%
Lucky Friday [Member] | Cash [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	1.00%	1.00%
Lucky Friday [Member] | Large Cap U.S. Equities [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	9.00%	12.00%
Lucky Friday [Member] | Small Cap U.S. Equities [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	5.00%	4.00%
Lucky Friday [Member] | Foreign Government Debt Securities [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	10.00%	9.00%
Lucky Friday [Member] | Fixed Income Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	34.00%	38.00%
Lucky Friday [Member] | Real Estate [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	17.00%	13.00%
Lucky Friday [Member] | Hedge Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	14.00%	13.00%
Lucky Friday [Member] | Real Return [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	10.00%	10.00%
Lucky Friday [Member]
Note 8 - Employee Benefit Plans (Details) - Allocations Of Investments And Measurement Dates By Asset Category [Line Items]
Allocation Of Investment	100.00%	100.00%

XML

Note 11. Derivative Instruments (Details) - Summary Of Forward Sales Contracts (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013 oz	Dec. 31, 2012 oz	Dec. 31, 2011
Zinc [Member] | 2013 Settlements [Member]
Note 11. Derivative Instruments (Details) - Summary Of Forward Sales Contracts [Line Items]
Pounds Under Contract	19,786,000	14,991,000
Average Price Per Pound (in Dollars)	$ 0.85	$ 0.95
Pounds Under Contract	15,046,000	35,935,000
Average Price Per Pound (in Dollars)	0.96	0.96	1.14
Zinc [Member] | 2014 Settlements [Member]
Note 11. Derivative Instruments (Details) - Summary Of Forward Sales Contracts [Line Items]
Pounds Under Contract	60,516,000	30,203,000
Average Price Per Pound (in Dollars)	0.99	0.98
Zinc [Member] | 2015 Settlements [Member]
Note 11. Derivative Instruments (Details) - Summary Of Forward Sales Contracts [Line Items]
Pounds Under Contract	26,896,000	3,307,000
Average Price Per Pound (in Dollars)	0.98	1.01
Lead [Member] | 2013 Settlements [Member]
Note 11. Derivative Instruments (Details) - Summary Of Forward Sales Contracts [Line Items]
Pounds Under Contract	9,314,000	6,945,000
Average Price Per Pound (in Dollars)	0.92	1.00
Pounds Under Contract	14,936,000	32,794,000
Average Price Per Pound (in Dollars)	1.05	1.11	1.17
Lead [Member] | 2014 Settlements [Member]
Note 11. Derivative Instruments (Details) - Summary Of Forward Sales Contracts [Line Items]
Pounds Under Contract	47,619,000	33,069,000
Average Price Per Pound (in Dollars)	1.05	1.03
Lead [Member] | 2015 Settlements [Member]
Note 11. Derivative Instruments (Details) - Summary Of Forward Sales Contracts [Line Items]
Pounds Under Contract	39,628,000	23,534,000
Average Price Per Pound (in Dollars)	$ 1.07	$ 1.06

XML

Note 9 - Shareholders' Equity (Details) (USD $)	0 Months Ended	1 Months Ended						3 Months Ended				6 Months Ended		8 Months Ended	12 Months Ended			14 Months Ended				12 Months Ended					12 Months Ended						1 Months Ended			1 Months Ended		0 Months Ended	12 Months Ended		0 Months Ended		1 Months Ended	3 Months Ended	12 Months Ended		12 Months Ended				12 Months Ended			0 Months Ended	3 Months Ended
	Aug. 06, 2013	Jun. 21, 2013	Feb. 28, 2011	Jun. 30, 2009	Feb. 28, 2009	Dec. 31, 2008	Sep. 29, 2008	Jun. 30, 2013	Dec. 31, 2012	Jun. 30, 2012	Sep. 30, 2008	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Jun. 30, 2013	May 07, 2013	Feb. 22, 2013	Jun. 30, 2010	Dec. 31, 2012 2010 Stock Incentive Plan [Member]	Dec. 31, 2012 Compensation Expense Over Remaining Vesting Period [Member]	Dec. 31, 2012 Units Vesting in June 2012 [Member]	Dec. 31, 2012 Units Vesting in March 2014 [Member]	Dec. 31, 2012 Units Vesting In June 2015 [Member]	Dec. 31, 2012 Stock Award Plans [Member]	Dec. 31, 2011 Stock Award Plans [Member]	Dec. 31, 2010 Stock Award Plans [Member]	Dec. 31, 2011 Employee Stock Option [Member]	Dec. 31, 2010 Employee Stock Option [Member]	Dec. 31, 2011 Stock Units [Member]	Jun. 21, 2013 Vesting In 2014 [Member]	Jun. 30, 2013 Vesting In 2014 [Member]	Jun. 30, 2013 Vesting In 2015 And 2016 [Member]	Dec. 31, 2008 Series 2 [Member]	Feb. 28, 2009 Series 3 [Member]	May 08, 2012 Common Stock [Member]	Dec. 31, 2012 Common Stock [Member]	Dec. 31, 2011 Warrants Exercised [Member]	May 08, 2012 Common Stock [Member]	Dec. 31, 2012 Series B Preferred Stock [Member]	Jan. 31, 2011 Mandatory Convertible Preferred Stock [Member]	Sep. 30, 2008 Mandatory Convertible Preferred Stock [Member]	Dec. 31, 2011 Mandatory Convertible Preferred Stock [Member]	Jan. 02, 2011 Mandatory Convertible Preferred Stock [Member]	Dec. 31, 2012 Stock Units [Member]	Dec. 31, 2011 Stock Units [Member]	Dec. 31, 2012 2010 Stock Incentive Plan [Member]	Dec. 31, 2012 Directors Stock Plan [Member]	Dec. 31, 2012 Non-Employee Directors Stock Plan [Member]	Dec. 31, 2011 Non-Employee Directors Stock Plan [Member]	Dec. 31, 2010 Non-Employee Directors Stock Plan [Member]	Aug. 06, 2013 Minimum [Member]	Dec. 31, 2012 Minimum [Member]
Note 9 - Shareholders' Equity (Details) [Line Items]
Common Stock, Shares Authorized (in Shares)								500,000,000	500,000,000			500,000,000		500,000,000	500,000,000	500,000,000		500,000,000
Common Stock, Par or Stated Value Per Share (in Dollars per share)								$ 0.25	$ 0.25			$ 0.25		$ 0.25	$ 0.25	$ 0.25		$ 0.25
Common Stock, Shares, Issued (in Shares)								342,638,214	285,209,848			342,638,214		285,209,848	285,209,848	285,289,924		342,638,214
Average Realized Silver Price	$ 16.27								$ 29.20	$ 27.05																																												$ 30	$ 30
Common Stock, Dividends, Per Share, Declared (in Dollars per share)	$ 0.0025		$ 0.01					$ 0.0025		$ 0.0225		$ 0.0050	$ 0.0350
Dividends, Common Stock	900,000		3,600,000												(17,121,000)	(5,592,000)																							1,000
Stock Repurchase Program, Authorized Amount																																						20,000,000			20,000,000
Stock Repurchased During Period, Shares (in Shares)								83,433						350,300	45,341			400,300
Accelerated Share Repurchases, Final Price Paid Per Share (in Dollars per share)														$ 5.54				$ 5.56
Stock Repurchase Program, Remaining Authorized Repurchase Amount														19,650,000				19,600,000
Sale of Stock, Price Per Share (in Dollars per share)																			$ 2.95	$ 4.90
Stock Issued During Period, Shares, New Issues (in Shares)						10,200,000		122,250		77,976																														2,100,000
Warrants Issued To Purchase Common Stock (in Shares)						8,100,000																														7,700,000	18,400,000
Common Stock And Warrants Issued (in Shares)					36,800,000
Stock Issued During Period, Value, New Issues																																								5,300,000
Proceeds from Warrant Exercises															700,000	5,786,000	53,093,000																							9,800,000
Preferred Stock, Shares Authorized (in Shares)								5,000,000	5,000,000			5,000,000		5,000,000	5,000,000	5,000,000		5,000,000
Preferred Stock, Par or Stated Value Per Share (in Dollars per share)								$ 0.25	$ 0.25			$ 0.25		$ 0.25	$ 0.25	$ 0.25		$ 0.25
Preferred Stock, Shares Outstanding (in Shares)								157,816	157,816			157,816		157,816	157,816	157,816		157,816																								157,816
Conversion of Stock, Shares Converted (in Shares)																																											2,012,500
Stock Issued During Period, Shares, Conversion of Convertible Securities (in Shares)																																													18,900,000
Preferred Stock, Dividend Rate, Per-Dollar-Amount (in Dollars per share)																	$ 3.50
Preferred Stock, Dividends, Per Share, Cash Paid (in Dollars per share)											$ 0.875
Preferred Stock, Dividend Rate, Percentage																																												6.50%
Temporary Equity, Liquidation Preference Per Share (in Dollars per share)																	$ 100
Preferred Stock, Dividends Per Share, Declared (in Dollars per share)							$ 1.625
Dividends, Preferred Stock, Stock				3,270,000													22,891,000
Preferred Stock, Redemption Price Per Share (in Dollars per share)									$ 50					$ 50	$ 50
Preferred Stock, Liquidation Preference Per Share (in Dollars per share)									$ 50					$ 50	$ 50
Liquidation Preference Preferred Stock				7,900,000				7,891,000	7,891,000			7,891,000		7,891,000	7,891,000	7,891,000		7,891,000
Preferred Stock Conversion Price (in Dollars per share)																																										$ 15.55
Preferred Stock Conversion Rate (in Shares)																																										3.2154				9.3773
Conversion Of Convertible Preferred Stock To Common Stock																																											18,900,000
Share-based Compensation												1,870,000	1,495,000		3,101,000	2,073,000	3,446,000										3,100,000	2,100,000	3,400,000
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized																							3,300,000				2,000,000							2,800,000	2,900,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares)																					20,000,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant (in Shares)																																																	19,605,740	622,685
Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period (in Shares)																																																					48,825
Allocated Share-based Compensation Expense								1,900,000		1,500,000						147,000	263,000					275,000										500,000															200,000				80,000	194,000	168,000
Stock Issued During Period, Shares, Share-based Compensation, Gross (in Shares)																																																					33,068
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares)																	352,517
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value									900,000					900,000	900,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value																														600,000	1,500,000
Proceeds from Stock Options Exercised																500,000	3,400,000
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number (in Shares)									1,037,146					1,037,146	1,037,146	561,276								202,662	180,732	145,952
Employee Benefits and Share-based Compensation															2,000,000
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period (in Shares)															231,338																																54,870	314,826
Stock Repurchased During Period, Value								$ 100,000							$ (1,941,000)																																$ 200,000
Treasury Stock Acquired, Average Cost Per Share (in Dollars per share)								$ 1.55							$ 4.47
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in Shares)		954,438													723,669																		633,960

XML

Note 8 - Employee Benefit Plans (Details) - Net Periodic Pension Cost (Income) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012 Pension Benefits [Member]	Dec. 31, 2011 Pension Benefits [Member]	Dec. 31, 2010 Pension Benefits [Member]	Dec. 31, 2012 Other Benefits [Member]	Dec. 31, 2011 Other Benefits [Member]	Dec. 31, 2010 Other Benefits [Member]
Note 8 - Employee Benefit Plans (Details) - Net Periodic Pension Cost (Income) [Line Items]
Service cost	$ 1,058	$ 994	$ 2,115	$ 1,987	$ 3,974	$ 3,877	$ 2,203
Interest cost	969	1,017	1,939	2,034	4,068	4,114	3,724	3	4	4
Expected return on plan assets	1,205	1,145	2,409	2,290	(4,581)	(5,481)	(5,041)
Amortization of prior service cost	98	100	195	200	401	403	602
Amortization of net gain (loss) from earlier periods					2,826	880	867	(28)	(31)	(33)
Net periodic pension cost	$ 1,696	$ 1,672	$ 3,392	$ 3,344	$ 6,688	$ 3,793	$ 2,355	$ (25)	$ (27)	$ (29)

XML

Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Details) [Line Items]
Total Capital Expenditures Excluding Capital Leases	$ 116.8
Capital Leased Assets, Gross	28.9	15.8
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Accumulated Depreciation	5.3	5.7
Operating Leases, Rent Expense	3.1	3.0	3.0
Lucky Friday [Member]
Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Details) [Line Items]
Total Capital Expenditures Excluding Capital Leases	54.7
Greens Creek [Member]
Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Details) [Line Items]
Total Capital Expenditures Excluding Capital Leases	50.4
San Jan Silver Project [Member]
Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Details) [Line Items]
Total Capital Expenditures Excluding Capital Leases		$ 33.8

XML

Note 8 - Employee Benefit Plans (Details) - Accumulated Benefit Obligations (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Accumulated Benefit Obligations [Abstract]
Projected benefit obligation	$ 99,367	$ 87,895
Accumulated benefit obligation	92,590	81,018
Fair value of plan assets	$ 68,515	$ 65,082

XML

Note 14 - Other Comprehensive Income (Loss) (Details) - Comprehensive Income (Loss) Components (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Dec. 31, 2009
Comprehensive Income (Loss) Components [Abstract]
Unrealized Gains (Losses) On Securities	$ 2,059	$ 835	$ 1,462	$ 744
Adjustments For Pension Plans	(25,977)	(24,333)	(16,579)	(14,927)
Cumulative Translation Adjustment	(23,918)	(23,498)	(15,117)	(14,183)
Unrealized Gains (Losses) On Securities	1,224	(627)	718
Adjustments For Pension Plans	(1,644)	(7,754)	(1,652)
Cumulative Translation Adjustment	$ (420)	$ (8,381)	$ (934)

XML

Note 15 - Related Party Transactions (Details) (USD $) In Millions, except Share data, unless otherwise specified	12 Months Ended		8 Months Ended
	Dec. 31, 2011	Dec. 31, 2010	Aug. 31, 2008 Hecla Charitable Foundation [Member]
Note 15 - Related Party Transactions (Details) [Line Items]
Shares Contributed To Charitable Organization (in Shares)			550,000
Shares Contributed To Charitable Organization, Value			$ 5.1
Charitable Cash Contributions	$ 2.0	$ 1.5

XML

Note 14 - Guarantor Subsidiaries (Details) - Condensed Consolidating Balance Sheets (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Jun. 30, 2012	Dec. 31, 2011	Dec. 31, 2010	Dec. 31, 2009
Assets
Cash and cash equivalents	$ 296,375	$ 190,984	$ 233,327	$ 266,463	$ 283,606	$ 104,678
Other current assets	18,893	8,858		21,967
Properties, plants, and equipment - net	1,742,696	996,659		923,212
Other non-current assets	17,445	1,883		17,317
Total assets	2,272,455	1,378,290		1,396,090	1,382,493
Liabilities and Shareholders' Equity
Current liabilities	118,055	94,987		107,316
Long-term debt	490,104
Non-current deferred tax liability	169,030
Other non-current liabilities	41,407	40,047		30,833
Other shareholders' equity	1,334,726	1,137,951		1,140,113	962,253	865,485
Total liabilities and shareholders' equity	2,272,455	1,378,290		1,396,090
Parent Company [Member]
Assets
Cash and cash equivalents	108,549	132,266		97,850
Other current assets	15,822	7,399		18,177
Properties, plants, and equipment - net	(379)			538
Intercompany receivable (payable)	515,528	113,234		124,423
Investments in subsidiaries	1,229,150	918,526		910,646
Other non-current assets	16,596	3,059		15,786
Total assets	1,885,266	1,174,484		1,167,420
Liabilities and Shareholders' Equity
Current liabilities	27,997	3,726		5,642
Long-term debt	490,104
Other non-current liabilities	32,439	32,807		21,665
Other shareholders' equity	1,334,726	1,137,951		1,140,113
Total liabilities and shareholders' equity	1,885,266	1,174,484		1,167,420
Guarantor Subsidiaries [Member]
Assets
Cash and cash equivalents	55,453	57,075		168,433
Other current assets	47,956	65,658		63,822
Properties, plants, and equipment - net	1,020,770	991,476		922,502
Intercompany receivable (payable)	(113,583)	(64,893)		(74,026)
Other non-current assets	185,984	164,913		149,712
Total assets	1,196,580	1,214,229		1,230,443
Liabilities and Shareholders' Equity
Current liabilities	78,659	121,221		129,958
Long-term debt	13,622	11,875		6,192
Non-current portion of accrued reclamation	93,952	92,825		111,303
Non-current deferred tax liability	12,859
Other non-current liabilities	8,279	8,651		8,957
Other shareholders' equity	989,209	979,657		974,033
Total liabilities and shareholders' equity	1,196,580	1,214,229		1,230,443
Non-Guarantor Subsidiaries [Member]
Assets
Cash and cash equivalents	132,373	1,643		180
Other current assets	33,344	766		1,131
Properties, plants, and equipment - net	722,305	5,183		172
Intercompany receivable (payable)	(464,729)	(74,450)		(64,200)
Other non-current assets	13,211	7,600		285
Total assets	436,504	(59,258)		(62,432)
Liabilities and Shareholders' Equity
Current liabilities	15,289	1,016		411
Long-term debt	49	60		73
Non-current portion of accrued reclamation	11,510	545		260
Non-current deferred tax liability	169,025
Other non-current liabilities	689	252		211
Other shareholders' equity	239,942	(61,131)		(63,387)
Total liabilities and shareholders' equity	436,504	(59,258)		(62,432)
Consolidation, Eliminations [Member]
Assets
Other current assets	5,620	18,091		13,151
Intercompany receivable (payable)	62,784	26,109		13,803
Investments in subsidiaries	(1,229,150)	(918,526)		(910,646)
Other non-current assets	(85,149)	(76,839)		(55,649)
Total assets	(1,245,895)	(951,165)		(939,341)
Liabilities and Shareholders' Equity
Current liabilities	(3,890)	(30,976)		(28,695)
Non-current deferred tax liability	(12,854)
Other non-current liabilities		(1,663)
Other shareholders' equity	(1,229,151)	(918,526)		(910,646)
Total liabilities and shareholders' equity	(1,245,895)	(951,165)		(939,341)
Consolidated Entities [Member]
Assets
Cash and cash equivalents	296,375	190,984		266,463
Other current assets	102,742	91,914		96,281
Properties, plants, and equipment - net	1,742,696	996,659		923,212
Other non-current assets	130,642	98,733		110,134
Total assets	2,272,455	1,378,290		1,396,090
Liabilities and Shareholders' Equity
Current liabilities	118,055	94,987		107,316
Long-term debt	503,775	11,935		6,265
Non-current portion of accrued reclamation	105,462	93,370		111,563
Non-current deferred tax liability	169,030
Other non-current liabilities	41,407	40,047		30,833
Other shareholders' equity	1,334,726	1,137,951		1,140,113
Total liabilities and shareholders' equity	$ 2,272,455	$ 1,378,290		$ 1,396,090

XML

Note 17 - Guarantor Subsidiaries (Details) (USD $) In Millions, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012
Disclosure Text Block Supplement [Abstract]
Senior Notes	$ 500	$ 500

XML

Note 1 - Basis of Preparation of Financial Statements

6 Months Ended

Jun. 30, 2013

Accounting Policies [Abstract]

Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]

Note 1.    Basis of Preparation of Financial Statements

In the opinion of management, the accompanying unaudited interim condensed consolidated financial statements and notes to the interim condensed consolidated financial statements contain all adjustments, consisting of normal recurring items, necessary to present fairly, in all material respects, the financial position of Hecla Mining Company and its consolidated subsidiaries (“we” or “our” or “us”).  These unaudited interim condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and related footnotes as set forth in our annual report filed on Form 10-K for the year ended December 31, 2012, as it may be amended from time to time.

The results of operations for the periods presented may not be indicative of those which may be expected for a full year.  The unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission.  Certain information and footnote disclosures normally included in audited financial statements prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures are adequate for the information not to be misleading.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the financial statements, the reported amounts of revenues and expenses during the reporting period and the disclosures of contingent liabilities.  Accordingly, ultimate results could differ materially from those estimates.

On June 1, 2013, we completed the acquisition of Aurizon Mines Ltd. ("Aurizon"), as further discussed in Note 13. The condensed consolidated financial statements included herein reflect our results of operations for the second quarter and first six months of 2013, including those of Aurizon since the June 1, 2013 acquisition date. We have determined that the functional currency for our Canadian operations acquired from Aurizon is the U.S. dollar.

XML

Consolidated Statements of Changes in Shareholders' Equity (USD $) In Thousands	Series B Preferred Stock [Member]	Series C Mandatory Convertible Preferred Stock [Member]	Common Stock [Member] Stock Issued To Directors [Member]	Common Stock [Member] Bonuses Paid Through Stock Issuances [Member]	Common Stock [Member]	Additional Paid-in Capital [Member] Stock Issued To Directors [Member]	Additional Paid-in Capital [Member] Bonuses Paid Through Stock Issuances [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member] Series B Preferred Stock [Member]	Accumulated Deficit [Member] Mandatory Convertible Preferred Stock [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Treasury Stock [Member]	Stock Issued To Directors [Member]	Bonuses Paid Through Stock Issuances [Member]	Series B Preferred Stock [Member]	Mandatory Convertible Preferred Stock [Member]	Total
Balances at Dec. 31, 2009	$ 39	$ 504			$ 59,604			$ 1,121,076			$ (300,915)	$ (14,183)	$ (640)					$ 865,485
Net income											48,983							48,983
Options granted								1,121										1,121
Options exercised					174			3,743					(718)					3,199
Share based compensation			20	262		410	(262)							430
Warrants exercised					3,553			46,341										49,894
Mandatory Convertible Preferred Stock dividends paid in common stock					971			5,547										6,518
Other comprehensive income (loss)												(934)						(934)
Preferred stock dividends declared									(552)	(13,093)						(552)	(13,093)	13,633
Restricted stock units granted								1,895										1,895
Restricted stock unit distributions					120			(120)					(693)					(693)
Balances at Dec. 31, 2010	39	504			64,704			1,179,751			(265,577)	(15,117)	(2,051)					962,253
Net income											151,164							151,164
Options exercised					19			460										479
Share based compensation			11	2		331	58							342	60
Warrants exercised					536			4,771										5,307
Common stock issued for assets purchased (5,396,000 shares)					1,349			32,482										33,831
Mandatory Convertible Preferred Stock dividends paid in common stock		(504)			4,719			(4,215)
Other comprehensive income (loss)												(8,381)						(8,381)
Preferred stock dividends declared									(552)							(552)		552
Common stock dividends declared											(5,592)							(5,592)
Restricted stock units granted								1,671										1,671
Restricted stock unit distributions					80			(80)					(469)					(469)
Balances at Dec. 31, 2011	39				71,420			1,215,229			(120,557)	(23,498)	(2,520)					1,140,113
Net income											14,954							14,954
Share based compensation					19			336										355
Other comprehensive income (loss)												(420)						(420)
Preferred stock dividends declared									(552)							(552)		552
Common stock dividends declared					1			11			(17,133)							(17,121)
Restricted stock units granted								2,746										2,746
Restricted stock unit distributions					59			(39)					(203)					(183)
Repurchase of common shares (350,000 shares)													(1,941)					(1,941)
Balances at Dec. 31, 2012	$ 39				$ 71,499			$ 1,218,283			$ (123,288)	$ (23,918)	$ (4,664)					$ 1,137,951

XML

Note 8 - Shareholders' Equity (Details) - Stock Purchase Warrants (USD $)			6 Months Ended
	Jun. 30, 2013	Dec. 31, 2012	Jun. 30, 2013 $2.40 [Member] Series 1 [Member]	Jun. 30, 2013 $2.51 [Member] Series 1 [Member]	Jun. 30, 2013 $2.45 [Member] Series 3 [Member]
Class of Warrant or Right [Line Items]
Warrants	$ 22,332,623,000	$ 22,332,623	$ 5,200,519,000	$ 460,976,000	$ 16,671,128,000
Exercise Price (in Dollars per Item)			2.40	2.51	2.45
Expiration Date			Jun. 30, 2014	Jun. 30, 2014	Aug. 31, 2014

XML

Note 1 - Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2012

Accounting Policies [Abstract]

Significant Accounting Policies [Text Block]

Note 1: Summary of Significant Accounting Policies

A. Principles of Consolidation — Our Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America, and include our accounts, our wholly-owned subsidiaries’ accounts and a proportionate share of the accounts of the joint ventures in which we participate. All significant inter-company balances and transactions have been eliminated in consolidation.

B.  Assumptions and Use of Estimates — Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts and related disclosure of assets, liabilities, revenue and expenses at the date of the consolidated financial statements and reporting periods. We consider our most critical accounting estimates to be future metals prices, obligations for environmental, reclamation and closure matters, mineral reserves, and valuation of business combinations. Other significant areas requiring the use of management assumptions and estimates relate to reserves for contingencies and litigation; asset impairments, including long-lived assets and investments; valuation of deferred tax assets; inventory net realizable value; and post-employment, post-retirement and other employee benefit assets and liabilities. We have based our estimates on historical experience and on various other assumptions that we believe to be reasonable. Accordingly, actual results may differ materially from these estimates under different assumptions or conditions.

C.  Cash and Cash Equivalents — Cash and cash equivalents consist of all cash balances and highly liquid investments with a remaining maturity of three months or less when purchased and are carried at fair value. Cash and cash equivalents are invested in money market funds, certificates of deposit, U.S. government and federal agency securities, municipal securities and corporate bonds.

D.  Investments and Securities Held for Sale — We determine the appropriate classification of our investments at the time of purchase and re-evaluate such determinations at each reporting date. Short-term investments include certificates of deposit and held-to-maturity securities, based on our intent and ability to hold the securities to maturity. Marketable equity securities are categorized as available for sale and carried at fair market value.

Realized gains and losses on the sale of securities are recognized on a specific identification basis. Unrealized gains and losses are included as a component of accumulated other comprehensive income (loss), unless an other than temporary impairment in value has occurred, which would then be charged to current period net income (loss).  Unrealized gains and losses originally included in accumulated other comprehensive income are reclassified to current period net income (loss) when the sale or determination of an other than temporary impairment of securities occurs.

E.  Inventories — Inventories are stated at the lower of average costs incurred or estimated net realizable value. Major types of inventories include materials and supplies and metals product inventory, which is determined by the stage at which the ore is in the production process (stockpiled ore and finished goods). Inventories are valued at the lower of full cost of production or net realizable value based on current metals prices.

Stockpiled ore inventory represents ore that has been mined, hauled to the surface, and is available for further processing. Stockpiles are measured by estimating the number of tons added and removed from the stockpile, the number of contained metal ounces or pounds (based on assay data) and the estimated metallurgical recovery rates (based on the expected processing method). Costs are allocated to a stockpile based on relative values of material stockpiled and processed using current mining costs incurred up to the point of stockpiling the ore, including applicable overhead, depreciation, depletion and amortization relating to mining operations, and removed at each stockpile’s average cost per recoverable unit.

Finished goods inventory includes doré and concentrates at our operations, doré in transit to refiners and bullion in our accounts at refineries.

F. Restricted Cash — Restricted cash and investments primarily represent investments in money market funds and bonds of U.S. government agencies and are restricted primarily for reclamation funding or surety bonds. Restricted cash balances are carried at fair value.

G. Properties, Plants and Equipment – Costs are capitalized when it has been determined an ore body can be economically developed.  The development stage begins at new projects when our management and/or Board of Directors makes the decision to bring a mine into commercial production, and ends when the production stage, or exploitation of reserves, begins.  Expenditures incurred during the development and production stages for new facilities or new assets that extend the useful lives of existing facilities and major mine development expenditures are capitalized, including primary development costs such as costs of building access ways, shaft sinking, lateral development, drift development, ramps and infrastructure developments.

Costs for exploration, pre-development, secondary development at operating mines, and maintenance and repairs on capitalized property, plant and equipment are charged to operations as incurred.  Exploration costs include those relating to activities carried out (a) in search of previously unidentified mineral deposits, (b) at undeveloped concessions, or (c) at operating mines already containing proven and probable reserves, where a determination remains pending as to whether new target deposits outside of the existing reserve areas can be economically developed.  Pre-development activities involve costs incurred in the exploration stage that may ultimately benefit production, such as underground ramp development, which are expensed due to the lack of evidence of economic development, which is necessary to demonstrate future recoverability of these expenses. Secondary development costs are incurred for preparation of an ore body for production in a specific ore block, stope or work area, providing a relatively short-lived benefit only to the mine area they relate to, and not to the ore body as a whole.

Drilling and related costs are either classified as exploration or secondary development, as defined above, and charged to operations as incurred, or capitalized, based on the following criteria:

• Whether the costs are incurred to further define mineralization at and adjacent to existing reserve areas or intended to assist with mine planning within a reserve area;

• Whether the drilling costs relate to an ore body that has been determined to be commercially mineable, and a decision has been made to put the ore body into commercial production; and

• Whether, at the time that the cost is incurred, the expenditure: (a) embodies a probable future benefit that involves a capacity, singly or in combination, with other assets to contribute directly or indirectly to future net cash inflows, (b) we can obtain the benefit and control others’ access to it, and (c) the transaction or event giving rise to our right to or control of the benefit has already occurred.

If all of these criteria are met, drilling and related costs are capitalized.  Drilling costs not meeting all of these criteria are expensed as incurred.  The following factors are considered in determining whether or not the criteria listed above have been met, and capitalization of drilling costs is appropriate:

• Completion of a favorable economic study and mine plan for the ore body targeted;

• Authorization of development of the ore body by management and/or the Board of Directors; and

• All permitting and/or contractual requirements necessary for us to have the right to or control of the future benefit from the targeted ore body have been met.

Drilling and related costs of approximately $5.0 million, $3.6 million, and $3.6 million for the years ended December 31, 2012, 2011 and 2010, respectively, met our criteria for capitalization listed above, at our properties that are in the production stage.

When assets are retired or sold, the costs and related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is reflected in current period net income (loss).  Idle facilities placed on standby basis are carried at the lower of net carrying value or estimated net realizable value.  The net carrying values of idle facilities on standby are written-down to salvage value upon reaching the end of the economic life.  Therefore, with the exception of depreciation recorded on mobile equipment used in ongoing exploration and reclamation efforts at such properties, we do not record depreciation on idle facilities when they are not in operation.

Included in property, plant and equipment on our consolidated financial statements are mineral interests, which are tangible assets that include acquired undeveloped mineral interests and royalty interests.  Undeveloped mineral interests include: (i) mineralized material and other resources which are measured, indicated or inferred with insufficient drill spacing or quality to qualify as proven and probable reserves; and (ii) inferred material not immediately adjacent to existing proven and probable reserves but accessible within the immediate mine infrastructure.  Residual values for undeveloped mineral interests represents the expected fair value of the interests at the time we plan to convert, develop, further explore or dispose of the interests and are evaluated at least annually.

H. Depreciation, Depletion and Amortization — Capitalized costs are depreciated or depleted using the straight-line method or unit-of-production method at rates sufficient to depreciate such costs over the shorter of estimated productive lives of such facilities or the useful life of the individual assets. Productive lives range from 1 to 26 years, but do not exceed the useful life of the individual asset. Determination of expected useful lives for amortization calculations are made on a property-by-property or asset-by-asset basis at least annually. Our estimates for reserves, mineralized material, and other resources are a key component in determining our units of production depreciation rates. Our estimates of proven and probable ore reserves, mineralized material, and other resources may change, possibly in the near term, resulting in changes to depreciation, depletion and amortization rates in future reporting periods.

Undeveloped mineral interests are not amortized until such time as there is proven and probable reserves.  At that time, the basis of the mineral interest is amortized on a units-of-production basis.  Pursuant to our policy on impairment of long-lived assets (discussed further below), if it is determined that an undeveloped mineral interest cannot be economically converted to proven and probable reserves, the basis of the mineral interest is reduced to its net realizable value and an impairment loss is recorded to expense in the period in which it is determined to be impaired.

I.  Impairment of Long-lived Assets — Management reviews and evaluates the net carrying value of all facilities, including idle facilities, for impairment upon the occurrence of other events or changes in circumstances that indicate that the related carrying amounts may not be recoverable. We estimate the net realizable value of each property based on the estimated undiscounted future cash flows that will be generated from operations at each property, the estimated salvage value of the surface plant and equipment, and the value associated with property interests.

Although management has made a reasonable estimate of factors based on current conditions and information, assumptions underlying future cash flows are subject to significant risks and uncertainties. Estimates of undiscounted future cash flows are dependent upon estimates of metals to be recovered from proven and probable ore reserves, and to some extent, identified resources beyond proven and probable reserves, future production and capital costs and estimated metals prices (considering current and historical prices, forward pricing curves and related factors) over the estimated remaining mine life. It is reasonably possible that changes could occur in the near term that could adversely affect our estimate of future cash flows to be generated from our operating properties. If undiscounted cash flows including an asset’s fair value are less than the carrying value of a property, an impairment loss is recognized.

J. Proven and Probable Ore Reserves — At least annually, management reviews the reserves used to estimate the quantities and grades of ore at our mines which we believe can be recovered and sold economically. Management’s calculations of proven and probable ore reserves are based on engineering and geological estimates, including future metals prices and operating costs. From time to time, management obtains external audits of reserves. A partial third-party audit of 2012 reserves at Greens Creek was concluded during 2012.

Reserve estimates will change as existing reserves are depleted through production and as production costs and/or metals prices change. A significant drop in metals prices may reduce reserves by making some portion of such ore uneconomic to develop and produce. Changes in reserves may also reflect that actual grades of ore processed may be different from stated reserve grades because of variation in grades in areas mined, mining dilution and other factors. Our reserve estimates may change based on actual production experience. It is reasonably possible that certain of our estimates of proven and probable ore reserves will change in the near term, which could result in a change to estimated future cash flows, associated carrying values of the asset and amortization rates in future reporting periods, among other things.

Declines in the market prices of metals, increased production or capital costs, reduction in the grade or tonnage of the deposit or an increase in the dilution of the ore or reduced recovery rates may render ore reserves uneconomic to exploit. If our realized price for the metals we produce were to decline substantially below the levels set for calculation of reserves for an extended period, there could be material delays in the development of new projects, net losses, reduced cash flow, restatements or reductions in reserves and asset write-downs in the applicable accounting periods. Reserves should not be interpreted as assurances of mine life or of the profitability of current or future operations. No assurance can be given that the estimate of the amount of metal or the indicated level of recovery of these metals will be realized.

K. Pension Plans and Other Post-retirement Benefits — We maintain pension plans covering substantially all U.S. employees and provide certain post-retirement benefits for qualifying retired employees. Pension benefits generally depend on length and level of service and age upon retirement. Substantially all benefits are paid through pension trusts. We contributed approximately $0.3 million related to our unfunded supplemental executive retirement plan in years 2012, 2011 and 2010, and expect to contribute $0.3 million related to this plan in 2013. We did not contribute to our other pension plans during 2011, but contributed approximately $1.1 million to the Hecla pension plan in 2012 and expect to contribute $1.0 million to our defined benefit plans in 2013.

Regulations regarding employers’ accounting for defined benefit pension and other post-retirement plans among other things, require us to:

• Recognize the funded status of our defined benefit plans in our consolidated financial statements; and

• Recognize as a component of other comprehensive income (loss) the actuarial gains and losses and prior service costs and credits that arise during the period but are not immediately recognized as components of net periodic benefit cost.

L. Income and Production Taxes — We provide for federal, state and foreign income taxes currently payable, as well as those deferred due to timing differences between reporting income and expenses for financial statement purposes versus tax purposes. Federal, state and foreign tax benefits are recorded as a reduction of income taxes, when applicable. We record deferred tax liabilities and assets for expected future tax consequences of temporary differences between the financial statement carrying amounts and the tax bases of those assets and liabilities, as well as operating loss and tax credit carryforwards, using enacted tax rates in effect in the years in which the differences are expected to reverse.

We evaluate uncertain tax positions in a two-step process, whereby (i) it is determined whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and (ii) for those tax positions that meet the more-likely-than-not recognition threshold, the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with the related tax authority would be recognized.

We classify mine license taxes incurred in the states of Alaska and Idaho as other direct production costs reported in our gross profits. Our costs for mine license taxes for the years ended December 31, 2012, December 31, 2011, and December 31, 2010 were $5.7 million, $6.4 million, and $9.6 million, respectively. Approximately 98% or more of the taxes accrued in all three periods were for the State of Alaska.

For additional information, see Note 5— Income Taxes.

M. Reclamation and Remediation Costs (Asset Retirement Obligations)  — At our operating properties, we record a liability for the present value of our estimated environmental remediation costs, and the related asset created with it, in the period in which the liability is incurred. The liability is accreted and the asset is depreciated over the life of the related assets. Adjustments for changes resulting from the passage of time and changes to either the timing or amount of the original present value estimate underlying the obligation are made in the period incurred.

At our non-operating properties, we accrue costs associated with environmental remediation obligations when it is probable that such costs will be incurred and they are reasonably estimable. Accruals for estimated losses from environmental remediation obligations have historically been recognized no later than completion of the remedial feasibility study for such facility and are charged to current earnings to provision for closed operations and environmental matters. Costs of future expenditures for environmental remediation are not discounted to their present value unless subject to a contractually obligated fixed payment schedule. Such costs are based on management’s current estimate of amounts to be incurred when the remediation work is performed, within current laws and regulations.

Future closure, reclamation and environmental-related expenditures are difficult to estimate in many circumstances, due to the early stage nature of investigations, uncertainties associated with defining the nature and extent of environmental contamination, the application of laws and regulations by regulatory authorities, and changes in reclamation or remediation technology. We periodically review accrued liabilities for such reclamation and remediation costs as evidence becomes available indicating that our liabilities have potentially changed. Changes in estimates at our non-operating properties are reflected in current period net income (loss).

Accruals for closure costs, reclamation and environmental matters for operating and non-operating properties totaled $113.2 million at December 31, 2012, and the majority of these expenditures relating to these accruals will be made over the next two years. It is reasonably possible the ultimate cost of reclamation and remediation could change in the future, and that changes to these estimates could have a material effect on future operating results as new information becomes known.

N. Revenue Recognition and Smelter Accounts Receivable — Sales of all metals products sold directly to smelters, including by-product metals, are recorded as revenues and accounts receivable when title and risk of loss transfer to the smelter (generally at the time of shipment) at estimated forward prices for the anticipated month of settlement. Due to the time elapsed from shipment to the smelter and the final settlement with the smelter, we must estimate the prices at which sales of our metals will be settled. Previously recorded sales and accounts receivable are adjusted to estimated settlement metals prices until final settlement by the smelter.

Sales and accounts receivable for concentrate shipments to smelters are recorded net of charges by the smelters for treatment, refining, smelting losses, and other charges negotiated by us with the smelters. Charges are estimated by us upon shipment of concentrates based on contractual terms, and actual charges do not vary materially from our estimates. Costs charged by smelters include fixed treatment and refining costs per ton of concentrate, and also include price escalators which allow the smelters to participate in the increase of lead and zinc prices above a negotiated baseline.

Changes in metals prices between shipment and final settlement will result in adjustments to revenues and accounts receivable related to sales of concentrate previously recorded upon shipment. Our concentrate sales and accounts receivable are based on provisional sales prices containing an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the concentrates at the forward price at the time of the sale. The embedded derivative, which does not qualify for hedge accounting, is adjusted to market through earnings each period prior to final settlement.

At December 31, 2012, metals contained in concentrates and exposed to future price changes totaled 0.8 million ounces of silver, 3,912 ounces of gold, 12,189 tons of zinc, and 3,887 tons of lead.  However, as discussed in P. Risk Management Contracts below, we utilize a program to mitigate the risk of negative price adjustments with limited mark-to-market financially settled forward contracts for our zinc and lead sales.

Sales of metals in products tolled by refiners and sold directly by us, rather than sold to smelters, are recorded at contractual amounts when title and risk of loss transfer to the buyer. We sell finished metals after refining, as well as doré produced at our locations.

Sales from our Greens Creek and Lucky Friday units include significant value from by-product metals mined along with net values of each unit’s primary metal.  We periodically review our proven and probable reserves to ensure that reporting of primary products and by-products is appropriate. Within our cost per ounce calculations, because we consider zinc, lead, and gold to be by-products of our silver production, the values of these metals offset operating costs.  While value from zinc, lead, and gold is significant at Greens Creek, and value from lead and zinc is significant at Lucky Friday, we believe identification of silver as the primary product, with the other metals we produce as by-product credits, is appropriate because (i) silver has historically accounted for a higher proportion of revenue than any other metal and is expected to do so in the future, (ii) our operations are situated in mining districts associated with silver production or have deposits containing unusually high portions of silver, (iii) our operations generally utilize selective mining methods to target silver and metallurgical treatment that maximize silver recovery, and (iv) we have historically presented our operations as primary producers of silver, based on the original analyses that justified putting them into production, and believe that consistency in disclosure is important to our investors regardless of the relationships of metals prices and production from year to year.

Changes in the market price of metals significantly affect our revenues, profitability, and cash flow. Metals prices can and often do fluctuate widely and are affected by numerous factors beyond our control, such as political and economic conditions, demand, forward selling by producers, aggregation by metals speculators and others, expectations for inflation, central bank sales, custom smelter activities, the relative exchange rate of the U.S. dollar, purchases and lending, investor sentiment, and global mine production levels. The aggregate effect of these factors is impossible to predict. Because our revenue is derived from the sale of silver, gold, lead, and zinc, our earnings are directly related to the prices of these metals.

O. Foreign Currency — The functional currency for our operations located in the U.S., Mexico and Canada was the U.S. dollar for all periods presented. Accordingly, for the San Sebastian unit in Mexico and our Canadian office, we have translated our monetary assets and liabilities at the period-end exchange rate, and non-monetary assets and liabilities at historical rates, with income and expenses translated at the average exchange rate for the current period. All translation gains and losses have been included in the current period net income (loss).

For the years ended December 31, 2012, 2011 and 2010, we recognized total net foreign exchange losses of $0.1 million, $0.2 million and $37,000, respectively.  

P. Risk Management Contracts — We use derivative financial instruments as part of an overall risk-management strategy that is used as a means of managing exposure to base metals prices and interest rates. We do not hold or issue derivative financial instruments for speculative trading purposes.

We measure derivative contracts as assets or liabilities based on their fair value. Gains or losses resulting from changes in the fair value of derivatives in each period are recorded either in current earnings or other comprehensive income (“OCI”), depending on the use of the derivative, whether it qualifies for hedge accounting and whether that hedge is effective. Amounts deferred in OCI are reclassified to sales of products (for metals price-related contracts) or interest expense (for interest rate-related contracts) when the hedged transaction has occurred. Ineffective portions of any change in fair value of a derivative are recorded in current period other operating income (expense).

In the second quarter of 2010 we began utilizing two financially-settled forward contract programs to manage the exposure to changes in prices of zinc and lead contained in (i) our concentrate shipments between the time of sale and final settlement and (ii) our forecasted future concentrate shipments.  The contracts under these programs do not qualify for hedge accounting, and are marked-to-market through earnings each period.  See Note 10 for additional information on base metal derivative contracts, including open positions as of December 31, 2012.

Q. Stock Based Compensation — The fair value of the equity instruments granted to employees are estimated on the date of grant using the Black-Scholes pricing model (see Note 9 for information on the methodologies and assumptions used).   We recognized stock-based compensation expense of approximately $3.1 million, $2.1 million, and $3.4 million, respectively, during 2012, 2011 and 2010, which was recorded to general and administrative expenses, exploration and cost of sales and other direct production costs.   As of December 31, 2012, the majority of the instruments outstanding were fully vested.

For additional information on our employee stock option and unit compensation, see Note 9.

R.  Legal Costs – Legal costs incurred in connection with a potential loss contingency are accrued and recorded to expense as incurred.

S. Basic and Diluted Income (Loss) Per Common Share — We calculate basic earnings per share on the basis of the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated using weighted average number of common shares outstanding during the period plus the effect of potential dilutive common shares during the period using the treasury stock and if-converted methods.

Potential dilutive common shares include outstanding stock options, unvested restricted stock awards, stock units, warrants and convertible preferred stock for periods in which we have reported net income. For periods in which we reported net losses, potential dilutive common shares are excluded, as their conversion and exercise would be anti-dilutive. See Note 13 for additional information.

T. Comprehensive Income (Loss) — In addition to net income (loss), comprehensive income (loss) includes certain changes in equity during a period, such as adjustments to minimum pension liabilities, adjustments to recognize the over-funded or underfunded status of our defined benefit pension plans, and cumulative unrecognized changes in the fair value of available for sale investments, net of tax, if applicable.

U.  Fair Value Measurements — We disclose the following information for each class of assets and liabilities that are measured at fair value:

a. the fair value measurement;

b. the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets or liabilities (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3);

c. for fair value measurements using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following:

(1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings, and a description of where those gains or losses included in earnings  are reported in the statement of operations;

(2) the amount of these gains or losses attributable to the change in unrealized gains or losses relating to those assets or liabilities still held at the reporting period date and a description of where those unrealized gains or losses are reported;

(3) purchases, sales, issuances, and settlements (net); and

(4) transfers into and/or out of Level 3.

d. the amount of the total gains or losses for the period in (c)(1) included in earnings  that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date and a description of where those unrealized gains or losses are reported in the statement of operations; and

e. in annual periods only, the valuation technique(s) used to measure fair value and a discussion of changes in valuation techniques, if any, during the period.

V. New Accounting Pronouncements — In June 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2011-05, which, among other things, amended Subtopic 220 with respect to the presentation of other comprehensive income and its components in the financial statements. The update amended Subtopic 220 so that a SEC filer may present other comprehensive income either in a single continuous statement or in two separate but consecutive statements. The filer is also required to present on the face of the financial statements reclassification adjustments for items that are reclassified from other comprehensive income to net income in the statements where the components of net income and the components of other comprehensive income are presented. The amendments in this update apply to both annual and interim periods beginning after December 15, 2011, with the exception of the amendment regarding presentation of reclassification adjustments, which has been deferred to a later date. Adoption of this guidance did not have a material impact on our consolidated financial statements.

In May 2011, the FASB issued ASU 2011-04, which amends Subtopic 820 to clarify the application of existing common fair value measurement and disclosure requirements. ASU 2011-04 provides clarification for the following:

1.     the application of the highest and best use of valuation premise concepts;

2.     measuring the fair value of an instrument classified in shareholders' equity; and

3.     disclosures about fair value measurements.

The amendments in this update became effective for interim and annual periods beginning after December 15, 2011. Adoption of this guidance did not have a material impact on our consolidated financial statements.

In December of 2011, the FASB issued ASU 2011-11, Disclosures about Offsetting Assets and Liabilities, which enhances disclosure requirements regarding an entity's financial instruments and derivative instruments that are offset or subject to a master netting arrangement. This information about offsetting and related netting arrangements will enable users of financial statements to understand the effect of those arrangements on the entity's financial position, including the effect of rights of setoff. The amendments are required for annual reporting periods beginning after January 1, 2013, and interim periods within those annual periods. We are evaluating the impact of this guidance, but do not anticipate it will have a material impact on our consolidated financial statements.

XML

Note 4 - Environmental and Reclamation Activities

12 Months Ended

Dec. 31, 2012

Environmental Property Sale, Disposal or Abandonment Costs [Abstract]

Environmental Exit Costs by Cost [Table Text Block]

Note 4: Environmental and Reclamation Activities

The liabilities accrued for our reclamation and closure costs at December 31, 2012 and 2011, were as follows (in thousands):

	2012			2011
Operating properties:
Greens Creek	$	32,856		$	36,123
Lucky Friday		1,469			1,520
Non-operating properties:
San Sebastian		200			218
Grouse Creek		2,484			13,262
Coeur d’Alene Basin		70,786			95,081
Republic		3,538			3,538
All other sites		1,882			4,069
Total		113,215			153,811
Reclamation and closure costs, current		(19,845	)		(42,248	)
Reclamation and closure costs, long-term	$	93,370		$	111,563

The activity in our accrued reclamation and closure cost liability for the years ended December 31, 2012, 2011 and 2010, was as follows (in thousands):

Balance at January 1, 2010	$	131,201
Accruals for estimated costs		196,067
Payment of reclamation obligations		(8,471	)
Balance at December 31, 2010		318,797
Accruals for estimated costs		7,869
Payment of reclamation obligations		(172,855	)
Balance at December 31, 2011		153,811
Accruals for estimated costs		4,325
Revision of estimated cash flows due to changes in reclamation plans		(3,738	)
Payment of reclamation obligations		(41,183	)
Balance at December 31, 2012	$	113,215

During the fourth quarter of 2010, we recorded an additional $193.2 million provision for remediation of the Coeur d'Alene Basin based on an understanding reached among the United States, the Coeur d’Alene Indian Tribe (“Plaintiffs”), and the State of Idaho, bringing our accrual to $262.2 million as of December 31, 2010. On September 8, 2011, a Consent Decree (the “Consent Decree”) settling environmental litigation and related claims involving Hecla Limited pertaining to historic releases of mining wastes in the Coeur d'Alene Basin was approved and entered by the U.S. District Court in Idaho. The Consent Decree resolved all existing claims of the Plaintiffs against Hecla Limited and its affiliates under the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (“CERCLA”) (and certain other statutes) for past response costs, future environmental remediation costs, and natural resource damages related to historic releases of mining wastes in the Coeur d'Alene River Basin. The Consent Decree also resolved all remaining obligations of Hecla Limited under the 1994 Consent Decree relating to the “Box,” a rectangular 21-square-mile site located near Kellogg, Idaho within the Bunker Hill Superfund site. The Consent Decree contains comprehensive terms of settlement, including financial terms which require that Hecla Limited pay, in the aggregate, $264.4 million to the Plaintiffs over approximately three years following the settlement. Payments of approximately $168 million and $25 million (and related interest) were made in October 2011 and 2012, respectively, pursuant to the terms of the Consent Decree. Hecla Limited remains obligated under the Consent Decree to make the following payments:

• $15 million of cash by October 8, 2013; and

• Approximately $55.5 million by August 2014, in the form of quarterly payments of the proceeds from the exercise of any outstanding Series 1 and Series 3 warrants (which have an exercise price of between $2.41 and $2.52 per share) during the quarter, with the remaining balance, if any, due in August 2014, regardless of whether any of the remaining warrants are exercised.

The payments require third party surety for which Hecla Limited pays an annual maintenance fee which will decrease as payments are made according to the foregoing schedule. Annual maintenance fees of $0.6 million and $0.4 million were paid in October 2011 and 2012, respectively.   The $15 million payment accrues interest from the entry of the Consent Decree until payment at the Superfund rate (ranging from 0.69% to 0.78%).

In March 2010, Hecla Limited received an invoice for $5.3 million from the EPA to cover response costs incurred by the EPA in performing work required by the Bunker Hill Superfund Site Consent Decree.  Prior to this invoice, Hecla Limited determined its potential range of liability for these costs of between $2.7 and $6.8 million, and accrued $2.7 million (the minimum of this range), as we believed no amount within the range was more likely than any other.  Upon receiving the EPA’s March invoice, Hecla Limited increased its accrual to $5.3 million in the first quarter of 2010, and resolved the claim with payment of the invoice amount in May 2010.  

Asset Retirement Obligations

Below is a reconciliation as of December 31, 2012 and 2011 (in thousands) of the asset retirement obligations relating to our operating properties, which are included in our total accrued reclamation and closure costs of $113.2 million and $153.8 million, respectively, discussed above. The estimated reclamation and abandonment costs were discounted using credit adjusted, risk-free interest rates ranging from 6% to 8% from the time we incurred the obligation to the time we expect to pay the retirement obligation.

	2012			2011
Balance January 1	$	37,643		$	36,397
Changes in obligations due to changes in reclamation plans		(3,720	)		387
Accretion expense		1,128			1,119
Payment of reclamation obligations		(726	)		(260	)
Balance at December 31	$	34,325		$	37,643

The ARO for our Greens Creek mine of $36.1 million as of December 31, 2011 reflected a plan for reclamation and closure of the mine at the end of its life having estimated undiscounted costs of approximately $53.4 million.  In April 2012, the United States Forest Service issued a draft Environmental Impact Statement in connection with our proposal to increase tailings capacity at the Greens Creek mine. As part of that process and our regular (every 5 years) renewal of our Waste Management Permit with the State of Alaska, we have initiated work on an update of our reclamation and closure plan having estimated undiscounted closure costs of approximately $73.9 million. The expected increase in closure costs results primarily from the possible inclusion of long term water treatment on an increased scale compared to what was included as part of our prior permit renewals. This increase in scale is the result of new interpretations of model data by the State that were not included in our prior permit renewals. Although the revised closure plan is not final, we believe that we had sufficient information to make a reasonable estimate of the change in the fair value of the ARO as of December 31, 2012.  In spite of the anticipated increase in undiscounted costs discussed above, the ARO liability for Greens Creek was reduced by $4.4 million to a balance of $32.9 million as of December 31, 2012, on a discounted basis, as a result of the update in the fourth quarter of 2012. The ARO decrease is the result of (i) a large portion of the anticipated increase in overall undiscounted costs being related to long-term water treatment, which is scheduled to take place in years far out into the future, (ii) the effect of discounting the ARO layers associated with various plan updates using different discount rates, and (iii) a delay in the timing of some of the costs included in the previous reclamation and closure plan. We expect to again update our ARO and revise our closure plan in 2013 for tailings capacity expansion at Greens Creek.  Adjustments to the ARO liability are recorded with corresponding increases to the ARO asset balance, which is included in properties, plants, equipment, and mineral interests, net on our Consolidated Balance Sheets.  As a result, we do not anticipate future updates in the ARO for Greens Creek to have a material impact on our annual results of operations. However, as part of the revised closure plan, we may be required to increase our current $30 million reclamation bond for Greens Creek. Although we do not know the amount of such increase, it likely will be a material amount, and there can be no assurance that this bonding capacity will be available to us at that time.

XML

Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012
$30 [Member]
Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.01	$ 0.01
Annual dividend per share	$ 0.04	$ 0.04
$35 [Member]
Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.02	$ 0.02
Annual dividend per share	$ 0.08	$ 0.08
$40 [Member]
Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.03	$ 0.03
Annual dividend per share	$ 0.12	$ 0.12
$45 [Member]
Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.04	$ 0.04
Annual dividend per share	$ 0.16	$ 0.16
$50 [Member]
Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.05	$ 0.05
Annual dividend per share	$ 0.20	$ 0.20
$55 [Member]
Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.06	$ 0.06
Annual dividend per share	$ 0.24	$ 0.24
$60 [Member]
Note 9 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.07	$ 0.07
Annual dividend per share	$ 0.28	$ 0.28

XML

Note 2 - Cash, Investments, and Restricted Cash

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Cash Investments And Restricted Cash [Abstract]

Cash Investments And Restricted Cash

Note 2.    Investments and Restricted Cash

Investments

At June 30, 2013 and December 31, 2012, the fair value of our non-current investments was $8.8 million and $9.6 million, respectively.  Our non-current investments consist of marketable equity securities, which are carried at fair value as they are classified as “available-for-sale.” The cost basis of our non-current investments was approximately $12.7 million and $8.1 million, respectively, at June 30, 2013 and December 31, 2012. In the first half of 2013, we acquired securities having a cost of $5.7 million, and obtained additional securities having a value of $0.3 million through the acquisition of Aurizon Mines Ltd. (see Note 13). In addition, in the first half of 2013, we sold investments having a cost of $1.6 million for proceeds of $1.8 million .

At June 30, 2013, total unrealized loss positions of $3.9 million, net of unrealized gains of $53,000, for our non-current investments were included in accumulated other comprehensive loss.

Our non-current investments balance as of June 30, 2013 includes our ownership of approximately 29.4% of the outstanding common shares of Typhoon Exploration Inc. having a cost basis and fair value of $0.8 million. This investment would have been accounted for under the equity method; however, we chose to apply the fair value option to the investment upon it meeting the criteria for equity method accounting during the second quarter of 2013. We individually evaluate the accounting treatment of our investments based on whether we believe our ownership percentage and other factors indicate that we have the ability to exercise significant influence in the financial and/or operational decisions of the investee. As of June 30, 2013, we have no other investments that we have determined to qualify for equity method accounting.

Restricted Cash and Investments

Various laws, permits, and covenants require that financial assurances be in place for certain environmental and reclamation obligations and other potential liabilities.  These restricted investments are used primarily for reclamation funding or for funding surety bonds, and were $5.3 million at June 30, 2013 and $0.9 million at December 31, 2012. The increase during the first six months of 2013 is due to restricted reclamation deposits obtained in the acquisition of Aurizon (see Note 13 for more information). Restricted investments primarily represent investments in money market funds and certificates of deposit.  

Note 2. Cash, Investments, and Restricted Cash

Cash

Our cash is maintained in various financial institutions, with a large majority of our cash balances at December 31, 2012 invested in either U.S. government paper (treasury or agency) or U.S. government or treasury money market funds which are not insured by the Federal Deposit Insurance Corporation (“FDIC”).  A small portion of our cash balances are held in bank accounts insured by the FDIC for up to $250,000 per institution .  On December 31, 2012, the unlimited insurance coverage for noninterest-bearing accounts provided under the Dodd-Frank Wall Street Reform and Consumer Protection Act expired. Deposits that were previously insured for unlimited amounts are now aggregated with our interest bearing accounts and insured up to $250,000.  We have not experienced losses on cash balances exceeding the federally insured limits, but there can be no assurance that we will not experience such losses in the future.

Investments

At December 31, 2012 and 2011, the fair value of our non-current investments was $9.6 million and $3.9 million, respectively. Marketable equity securities are carried at fair market value, as they are classified as “available-for-sale.”  The basis of our non-current investments, representing equity securities, was approximately $8.1 million and $3.5 million, respectively, at December 31, 2012 and 2011.  During the fourth quarters of 2012 and 2011, we recognized $1.2 million and $0.1 million losses, respectively, in current earnings on impairments of equity shares, as we determined the impairments to be other-than-temporary. In 2012, we acquired common stock in other mining companies for a total cost of $5.8 million. In February 2011 we sold stock having a cost basis of approximately $0.8 million for proceeds of $1.4 million, resulting in a pre-tax gain of approximately $0.6 million.

At December 31, 2012, total unrealized gains of $1.6 million for investments held having a net gain position and total unrealized losses of $137,000 for non-current investments held having a net loss position were included in accumulated other comprehensive income (loss).

Restricted Cash and Investments

Various laws and permits require that financial assurances be in place for certain environmental and reclamation obligations and other potential liabilities. Restricted investments primarily represent investments in money market funds and certificates of deposit. These investments (which included current and non-current balances) are restricted primarily for reclamation funding or surety bonds and were $0.9 million at December 31, 2012, and $0.9 million at December 31, 2011.

XML

Note 1 - Summary of Significant Accounting Policies (Details) (USD $)	6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Capitalized Drilling Costs (in Dollars)				$ 5,000,000	$ 3,600,000	$ 3,600,000
Pension Contributions (in Dollars)			1,000,000		300,000
Percent Of Mine License Tax				98.00%
Foreign Currency Transaction Loss, before Tax (in Dollars)				100,000	200,000	37,000
Share-based Compensation (in Dollars)	1,870,000	1,495,000		3,101,000	2,073,000	3,446,000
Silver [Member]
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Metals Contained In Concentrates (in Ounces)				800,000
Metals Contained In Concentrates (in US Ton)				800,000
Gold [Member]
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Metals Contained In Concentrates (in Ounces)				3,912
Metals Contained In Concentrates (in US Ton)				3,912
Zinc [Member]
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Metals Contained In Concentrates (in Ounces)				12,189
Metals Contained In Concentrates (in US Ton)				12,189
Lead [Member]
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Metals Contained In Concentrates (in Ounces)				3,887
Metals Contained In Concentrates (in US Ton)				3,887
Mine License Taxes [Member]
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Taxes, Other (in Dollars)				5,700,000	6,400,000
Unfunded Supplemental Executive Retirement Plan [Member]
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Pension Contributions (in Dollars)				300,000
Hecla Pension Plan [Member]
Note 1 - Summary of Significant Accounting Policies (Details) [Line Items]
Pension Contributions (in Dollars)				$ 1,100,000

XML

Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Tables)

12 Months Ended

Dec. 31, 2012

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment [Table Text Block]

	December 31,
	2012		2011
Mining properties, including asset retirement obligations	$	294,573	$	286,873
Development costs		151,504		123,772
Plants and equipment		419,377		383,045
Land		15,788		11,188
Mineral interests		375,028		383,491
Construction in progress		176,925		125,045
		1,433,195		1,313,414
Less accumulated depreciation, depletion and amortization		436,536		390,202
Net carrying value	$	996,659	$	923,212

Operating Leases of Lessee Disclosure [Table Text Block]

Year ending December 31,
2013	$	3,087
2014		3,114
2015		1,434
2016		1,438
2017		1,056
Thereafter		3,848
Total	$	13,977

XML

Note 8 - Employee Benefit Plans (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Compensation and Retirement Disclosure [Abstract]

Schedule of Defined Benefit Plans Disclosures [Table Text Block]

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Change in benefit obligation:
Benefit obligation at beginning of year	$	87,895		$	76,925		$	65		$	68
Service cost		3,974			3,877			—			—
Interest cost		4,069			4,114			3			3
Participants' contributions		29			—			—			—
Amendments		—			396			—			—
Actuarial loss		7,450			6,476			7			4
Benefits paid		(4,050	)		(3,893	)		(12	)		(10	)
Benefit obligation at end of year		99,367			87,895			63			65
Change in fair value of plan assets:
Fair value of plan assets at beginning of year		65,082			70,462			—			—
Actual return (loss) on plan assets		6,007			(1,818	)		—			—
Employer contributions		1,447			331			12			10
Participants' contributions		29			—			—			—
Benefits paid		(4,050	)		(3,893	)		(12	)		(10	)
Fair value of plan assets at end of year		68,515			65,082			—			—
Funded status at end of year	$	(30,852	)	$	(22,813	)	$	(63	)	$	(65	)

Pension Benefits Recognized Balance Sheet Location Table Text Block

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Current liabilities:
Accrued benefit liability	$	(322	)	$	(330	)	$	(3	)	$	(3	)
Other non- current liabilities:
Accrued benefit liability		(30,530	)		(22,484	)		(60	)		(62	)
Accumulated other comprehensive (income) loss		33,545			30,747			(305	)		(340	)
Net amount recognized	$	2,693		$	7,933		$	(368	)	$	(405	)

Schedule of Assumptions Used [Table Text Block]

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Discount rate: net periodic pension cost		4.75	%		5.50	%		—	%		—	%
Discount rate: projected benefit obligation		4.00	%		4.75	%		4.00	%		4.75	%
Expected rate of return on plan assets		7.20	%		8.00	%		—	%		—	%
Rate of compensation increase		4.00	%		4.00	%		—	%		—	%

Schedule of Net Benefit Costs [Table Text Block]

	Three Months Ended June 30,
	2013			2012
Service cost	$	1,058		$	994
Interest cost		969			1,017
Expected return on plan assets		(1,205	)		(1,145	)
Amortization of prior service cost		98			100
Amortization of net (gain) loss		776			706
Net periodic benefit cost	$	1,696		$	1,672

	Six Months Ended June 30,
	2013			2012
Service cost	$	2,115		$	1,987
Interest cost		1,939			2,034
Expected return on plan assets		(2,409	)		(2,290	)
Amortization of prior service cost		195			200
Amortization of net (gain) loss		1,552			1,413
Net periodic benefit cost	$	3,392		$	3,344

	Pension Benefits									Other Benefits
	2012			2011			2010			2012			2011			2010
Service cost	$	3,974		$	3,877		$	2,203		$	—		$	—		$	—
Interest cost		4,068			4,114			3,724			3			4			4
Expected return on plan assets		(4,581	)		(5,481	)		(5,041	)		—			—			—
Amortization of prior service cost		401			403			602			—			—			—
Amortization of net gain (loss) from earlier periods		2,826			880			867			(28	)		(31	)		(33	)
Net periodic pension cost	$	6,688		$	3,793		$	2,355		$	(25	)	$	(27	)	$	(29	)

Schedule of Allocation of Plan Assets [Table Text Block]

	Hecla						Lucky Friday
	2012			2011			2012			2011
Cash		1	%		1	%		1	%		1	%
Large cap U.S. equities		11	%		13	%		9	%		12	%
Small cap U.S. equities		4	%		4	%		5	%		4	%
Non-U.S. equities		10	%		9	%		10	%		9	%
Fixed income		33	%		37	%		34	%		38	%
Real estate		18	%		13	%		17	%		13	%
Absolute return hedge funds		13	%		13	%		14	%		13	%
Real return		10	%		10	%		10	%		10	%
Total		100	%		100	%		100	%		100	%

Investment Policy Allocation [Table Text Block]

	Target			Minimum			Maximum
Large cap U.S. equities		10	%		7	%		13	%
Small cap U.S. equities		5	%		4	%		6	%
Non-U.S. equities		10	%		8	%		12	%
Fixed income		35	%		29	%		43	%
Real estate		15	%		12	%		18	%
Absolute return hedge funds		15	%		12	%		18	%
Real return		10	%		8	%		12	%

Fair Value Of Plan Assets By Category [Table Text Block]

	Hecla								Lucky Friday
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Interest-bearing cash	$	683	$	—	$	—	$	683	$	198	$	—	$	—	$	198
Common stock		2,309		—		—		2,309		588		—		—		588
Real estate		—		—		9,611		9,611		—		—		2,513		2,513
Collective investment funds		—		10,095		7,251		17,346		—		2,469		1,978		4,447
Mutual funds		24,183		—		—		24,183		6,637		—		—		6,637
Total fair value	$	27,175	$	10,095	$	16,862	$	54,132	$	7,423	$	2,469	$	4,491	$	14,383

	Hecla								Lucky Friday
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Interest-bearing cash	$	609	$	—	$	—	$	609	$	166	$	—	$	—	$	166
Common stock		2,071		—		—		2,071		527		—		—		527
Real estate		—		—		6,497		6,497		—		—		1,709		1,709
Common collective funds		—		12,641		6,803		19,444		—		3,310		1,857		5,167
Mutual funds		22,667		—		—		22,667		6,225		—		—		6,225
Total fair value	$	25,347	$	12,641	$	13,300	$	51,288	$	6,918	$	3,310	$	3,566	$	13,794

Schedule of Changes in Fair Value of Plan Assets [Table Text Block]

	Hecla		Lucky Friday
Beginning balance at December 31, 2011	$	13,300	$	3,566
Net unrealized gains on assets held at the reporting date		838		187
Purchases		2,724		738
Ending balance at December 31, 2012	$	16,862	$	4,491

	Hecla		Lucky Friday
Beginning balance at December 31, 2010	$	12,508	$	3,356
Net unrealized gains on assets held at the reporting date		391		104
Purchases		401		106
Ending balance at December 31, 2011	$	13,300	$	3,566

Schedule of Expected Benefit Payments [Table Text Block]

Year Ending December 31,	Pension Plans		Other Post- Employment Benefit Plans
2013	$	4,769	$	3
2014		4,951		8
2015		5,083		6
2016		5,320		8
2017		5,601		7
Years 2018-2022		34,011		26

Schedule of Net Funded Status [Table Text Block]

	December 31, 2012				December 31, 2011
	ABO Exceeds Plan Assets		Plan Assets Exceed ABO		ABO Exceeds Plan Assets		Plan Assets Exceed ABO
Projected benefit obligation	$	99,367	$	—	$	87,895	$	—
Accumulated benefit obligation		92,590		—		81,018		—
Fair value of plan assets		68,515		—		65,082		—

Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block]

	Pension Benefits		Other Benefits
Unamortized net (gain)/loss	$	31,649	$	305
Unamortized prior service cost		1,896		—

Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year [Table Text Block]

	Pension Benefits		Other Benefits
Amortization of net (gain)/loss	$	3,103	$	25
Amortization of prior service cost		390		—

XML

Note 8 - Employee Benefit Plans (Details) - Components Of Net Periodic Benefit Cost To Be Recognized Over Next Fiscal Year (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012
Pension Benefits [Member]
Note 8 - Employee Benefit Plans (Details) - Components Of Net Periodic Benefit Cost To Be Recognized Over Next Fiscal Year [Line Items]
Amortization of net (gain)/loss	$ 3,103
Amortization of prior service cost	390
Other Benefits [Member]
Note 8 - Employee Benefit Plans (Details) - Components Of Net Periodic Benefit Cost To Be Recognized Over Next Fiscal Year [Line Items]
Amortization of net (gain)/loss	$ 25

XML

Note 5 - Earnings (Loss) Per Common Share (Details) - Weighted Average Common Shares (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Numerator
Net income (loss)	$ (24,858)	$ 2,524	$ (13,764)	$ 15,096	$ 14,954	$ 151,164	$ 48,983
Preferred stock dividends	(138)	(138)	(276)	(276)	(552)	(552)	(13,633)
Net income (loss) applicable to common shares for basic and diluted earnings per share	$ (24,996)	$ 2,386	$ (14,040)	$ 14,820	$ 14,402	$ 150,612	$ 35,350
Denominator
Basic weighted average common shares (in Shares)	303,566	285,312	294,317	285,303	285,375	280,956	251,146
Dilutive stock options and restricted stock (in Shares)		9,848		10,797
Diluted weighted average common shares (in Shares)	303,566	295,160	294,317	296,100	297,566	297,033	269,601
Basic earnings (loss) per common share
Net income (loss) applicable to common shares (in Dollars per share)	$ (0.08)	$ 0.01	$ (0.05)	$ 0.05	$ 0.05	$ 0.54	$ 0.14
Diluted earnings (loss) per common share
Net income (loss) applicable to common shares (in Dollars per share)	$ (0.08)	$ 0.01	$ (0.05)	$ 0.05	$ 0.05	$ 0.51	$ 0.13

XML

Note 13 - Income (Loss) per Common Share (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Numerator
Net income (loss)	$	(24,858	)	$	2,524		$	(13,764	)	$	15,096
Preferred stock dividends		(138	)		(138	)		(276	)		(276	)
Net income (loss) applicable to common shares for basic and diluted earnings per share	$	(24,996	)	$	2,386		$	(14,040	)	$	14,820
Denominator
Basic weighted average common shares		303,566			285,312			294,317			285,303
Dilutive stock options and restricted stock		—			9,848			—			10,797
Diluted weighted average common shares		303,566			295,160			294,317			296,100
Basic earnings (loss) per common share
Net income (loss) applicable to common shares	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05
Diluted earnings (loss) per common share
Net income (loss) applicable to common shares	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05

	Year ended December 31,
	2012			2011			2010
Numerator
Net income	$	14,954		$	151,164		$	48,983
Preferred stock dividends		(552	)		(552	)		(13,633	)
Net income applicable to common shares	$	14,402		$	150,612		$	35,350
Denominator
Basic weighted average common shares		285,375			280,956			251,146
Dilutive stock options, restricted stock, and warrants		12,191			16,077			18,455
Diluted weighted average common shares		297,566			297,033			269,601
Basic earnings per common share	$	0.05		$	0.54		$	0.14
Diluted earnings per common share	$	0.05		$	0.51		$	0.13

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]

	Year ended December 31,
	2012		2011		2010
Stock options		570,005		552,388		596,388

XML

Note 8 - Employee Benefit Plans (Details) - Pension And Benefit Plan Amounts Included In Accumulated Other Comprehensive Income (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 8 - Employee Benefit Plans (Details) - Pension And Benefit Plan Amounts Included In Accumulated Other Comprehensive Income [Line Items]
Unamortized prior service cost	$ (1,644)	$ (7,754)	$ (1,653)
Pension Plan, Defined Benefit [Member]
Note 8 - Employee Benefit Plans (Details) - Pension And Benefit Plan Amounts Included In Accumulated Other Comprehensive Income [Line Items]
Unamortized net (gain)/loss	31,649
Unamortized prior service cost	1,896
Other Postretirement Benefit Plan, Defined Benefit [Member]
Note 8 - Employee Benefit Plans (Details) - Pension And Benefit Plan Amounts Included In Accumulated Other Comprehensive Income [Line Items]
Unamortized net (gain)/loss	$ 305

XML

Note 16 - Acquisitions (Details)	1 Months Ended	3 Months Ended		6 Months Ended							1 Months Ended	3 Months Ended
	Feb. 21, 2008 USD ($)	Jun. 30, 2013 USD ($)	Jun. 30, 2013 CAD	Jun. 30, 2013 USD ($)	May 31, 2013	Mar. 31, 2013	Dec. 31, 2011	Jun. 30, 2013 Asset Retirement Obligation [Member] USD ($)	Jun. 30, 2013 Plants And Equipment [Member] USD ($)	Jun. 30, 2013 Development and Other Mineral Interests [Member] USD ($)	Mar. 31, 2013 Aurizon Mines Ltd [Member]	Jun. 30, 2013 Aurizon Mines Ltd [Member] USD ($)	Jun. 30, 2013 Aurizon Mines Ltd [Member] CAD
Note 16 - Acquisitions (Details) [Line Items]
Business Acquisition, Percentage of Voting Interests Acquired					100.00%		30.00%
Stock Issued During Period, Shares, Acquisitions (in Shares)	5,395,683			56,997,790
Stock Issued During Period, Value, Acquisitions (in Dollars)	$ 33,800,000
Hecla stock issued, per share (in Dollars per share) (in Dollars per share and Dollars per share)		$ 3.83		$ 3.83								$ 4.32	4.47
Business Acquisition, Share Price (in Dollars per share)													4.75
BusinessAcquisitionPerShareIssued (in Shares)												0.9953	0.9953
PotentailBusinessAcquisitionPerSharePrice (in Dollars per share and Dollars per share)												$ 3.00	3.11
PotentailBusinessAcquitisionSharesIssued (in Shares)		0.3442	0.3442	0.3442
BusinessAcquisitionSharesOutstandingOfEntityAcquired (in Shares)		164,838,377	164,838,377	164,838,377
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in Shares)		56,997,790	56,997,790								747,132
BusinessAcquisitionSharesIssuedAndOutstandingOfAcquiredEntity (in Shares)						165,585,509
Payments to Acquire Businesses, Gross (in Dollars)		496,400,000	514,500,000	496,211,000
Payments to Acquire Businesses, Gross		496,400,000	514,500,000	496,211,000
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable (in Dollars)		218,300,000	226,300,000	218,302,000
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable		218,300,000	226,300,000	218,302,000
Business Combination, Consideration Transferred (in Dollars)		714,500,000	740,800,000	714,513,000
Business Combination, Consideration Transferred		714,500,000	740,800,000	714,513,000
ExchangeRate		0.9645%	0.9645%
Share Price (in Dollars per share and Dollars per share)		$ 3.83	3.97	$ 3.83
Proceeds from Notes Payable		490,000,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment		$ 715,391,000		$ 715,391,000				$ 11,100,000	$ 127,800,000	$ 576,500,000

XML

Note 5 - Income Taxes (Details) - Changes in the Valuation Allowance (USD $) In Thousands, unless otherwise specified	3 Months Ended	12 Months Ended			12 Months Ended
	Dec. 31, 2010	Dec. 31, 2011	Dec. 31, 2012	Dec. 31, 2009	Dec. 31, 2012 Increase Due To Uncertainty Of Recovery [Member]	Dec. 31, 2011 Increase Due To Uncertainty Of Recovery [Member]	Dec. 31, 2010 Increase Due To Uncertainty Of Recovery [Member]	Dec. 31, 2010 Decrease Related To Net Recognition Of Deferred Tax Assets [Member]	Dec. 31, 2012 Decrease Related To Utilization And Expiration [Member]	Dec. 31, 2012 Net Valuation Allowance Balance [Member]	Dec. 31, 2011 Net Valuation Allowance Balance [Member]	Dec. 31, 2010 Net Valuation Allowance Balance [Member]
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items]
Balance at beginning of year		$ (19,073)	$ (23,030)	$ (104,429)						$ (23,030)	$ (22,895)	$ (19,073)
Valuation Allowance, Deferred Tax Asset, Change In Amount	(88,000)	(71,000)			(3,837)	(3,822)	(2,713)	88,069	3,702
Balance at end of year	(19,073)	(22,895)	(23,030)	(104,429)						(23,030)	(22,895)	(19,073)
Valuation Allowance, Deferred Tax Asset, Change In Amount	$ (88,000)	$ (71,000)			$ (3,837)	$ (3,822)	$ (2,713)	$ 88,069	$ 3,702

XML

Note 5 - Income Taxes (Details) (USD $)	3 Months Ended	12 Months Ended
	Dec. 31, 2010	Dec. 31, 2011	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2009
Note 5 - Income Taxes (Details) [Line Items]
Deferred Tax Assets, Valuation Allowance	$ 19,073,000	$ 22,895,000		$ 23,030,000	$ 104,429,000
Valuation Allowance, Deferred Tax Asset, Change in Amount	88,000,000	71,000,000
Deferred Tax Assets, Tax Credit Carryforwards, Alternative Minimum Tax		15,210,000		24,603,000
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Compensation		20,000,000		19,000,000
Deferred Tax Liabilities, Gross		53,783,000	177,200,000	58,845,000
Deferred Tax Assets, Net		115,838,000	53,400,000	115,763,000
Domestic Tax Authority [Member]
Note 5 - Income Taxes (Details) [Line Items]
Operating Loss Carryforwards				146,000,000
State and Local Jurisdiction [Member]
Note 5 - Income Taxes (Details) [Line Items]
Operating Loss Carryforwards				25,000,000
Foreign Tax Authority [Member]
Note 5 - Income Taxes (Details) [Line Items]
Operating Loss Carryforwards				68,000,000
Deferred Tax Assets, Net			169,000,000
Internal Revenue Service (IRS) [Member]
Note 5 - Income Taxes (Details) [Line Items]
Deferred Tax Assets, Net			$ 115,600,000

XML

Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Details) - Future Obligations Under Non-Cancelable Operating Leases (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012
Future Obligations Under Non-Cancelable Operating Leases [Abstract]
2013	$ 3,087
2014	3,114
2015	1,434
2016	1,438
2017	1,056
Thereafter	3,848
Total	$ 13,977

XML

Consolidated Balance Sheets (Parentheticals) (USD $) In Thousands, except Share data, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Preferred stock, aggregate shares authorized (in Shares)	5,000,000	5,000,000	5,000,000
Series B preferred stock, par value (in Dollars per share) (in Dollars per share)	$ 0.25	$ 0.25	$ 0.25
Series B preferred stock, shares issued (in Shares)	157,816	157,816	157,816
Series B preferred stock, shares outstanding (in Shares)	157,816	157,816	157,816
Series B preferred stock, liquidation preference (in Dollars) (in Dollars)	$ 7,891	$ 7,891	$ 7,891
Common stock, par value (in Dollars per share) (in Dollars per share)	$ 0.25	$ 0.25	$ 0.25
Common stock, shares authorized (in Shares)	500,000,000	500,000,000	500,000,000
Common stock, shares issued (in Shares)	342,638,214	285,209,848	285,289,924
Common stock, shares outstanding (in Shares)	342,638,214	285,209,848	285,289,924
Treasury stock, common shares (in Shares)	921,721	788,288	392,645

XML

Note 7 - Commitments and Contingencies

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosure [Text Block]

Note 4.    Commitments, Contingencies and Obligations

General

We follow the FASB Accounting Standards Codification guidance in determining our accruals and disclosures with respect to loss contingencies, and evaluate such accruals and contingencies for each reporting period. Accordingly, estimated losses from loss contingencies are accrued by a charge to income when information available prior to issuance of the financial statements indicates that it is probable that a liability could be incurred and the amount of the loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. If a loss contingency is not probable or reasonably estimable, disclosure of the loss contingency is made in the financial statements when it is at least reasonably possible that a material loss could be incurred.

Rio Grande Silver Guaranty

Our wholly-owned subsidiary, Rio Grande Silver Inc. (“Rio”), is party to a joint venture with Emerald Mining & Leasing, LLC (“EML”) and certain other parties with respect to a land package in the Creede Mining District of Colorado that is adjacent to other land held by Rio. Rio holds a 70% interest in the joint venture. In connection with the joint venture, we are required to guarantee certain environmental remediation-related obligations of EML to a third party up to a maximum liability to us of $2.5 million. As of June 30, 2013, we have not been required to make any payments pursuant to the guaranty. We may be required to make payments in the future, limited to the $2.5 million maximum liability, should EML fail to meet its obligations to the third party. However, to the extent that any payments are made by us under the guaranty, EML, in addition to other parties, have jointly and severally agreed to reimburse and indemnify us for any such payments. We have not recorded a liability relating to the guaranty as of June 30, 2013.

Lucky Friday Water Permit Exceedances

Over the last several years, the Lucky Friday unit has experienced several regulatory issues relating to its water discharge permits and water management more generally.

• In late 2008 and during 2009, Hecla Limited experienced a number of alleged water permit exceedances for water discharges at the Lucky Friday unit. These alleged violations resulted in Hecla Limited entering into a Consent Agreement and Final Order (“CAFO”) and a Compliance Order with the EPA in April 2009, which included an extended compliance time line. In connection with the CAFO, Hecla Limited agreed to pay the maximum administrative penalty to the EPA of $177,500 to settle any liability for such alleged exceedances.

• In 2009, additional alleged permit exceedances for water discharges at the Lucky Friday unit occurred. In 2010, alleged unpermitted discharges of pollutants occurred at the Lucky Friday unit. These alleged permit exceedances and certain alleged unpermitted discharges were the subject of a December 2010 Notice of Violation (“2010 NOV”) from the EPA informing Hecla Limited that the EPA was prepared to seek civil penalties for these alleged violations. In the 2010 NOV, the EPA invited Hecla Limited to discuss these matters with them prior to filing a complaint. Hecla Limited disputes many of EPA's assertions, but initiated negotiations with the EPA in an attempt to resolve the matter. There has not been any resolution of the 2010 NOV.

• In 2012, the Lucky Friday unit had two weekly water samples, one of which in October exceeded the permit concentration limit for lead (but not the associated load limit), and one of which in November exceeded permit limits for zinc. Also in October and November, heavy rains resulted in alleged impacted storm water being discharged to a nearby river. After these incidents, in February 2013, the EPA issued a notice of violation and request for information to Hecla Limited alleging that the October and November 2012 storm water incidents were each a violation of Hecla Limited's storm water permit.

The EPA referred the two alleged 2012 permit exceedances, along with the alleged violations in the 2010 NOV and some additional alleged unpermitted discharges from 2010 that were not included in the 2010 NOV, to the U.S. Department of Justice to possibly file a civil complaint by the United States against Hecla Limited. In addition, it is possible that the United States may include the 2012 storm water incidents in any complaint. There is the potential for larger civil penalties in the context of a United States complaint than in administrative actions by the EPA such as the 2009 CAFO.

Hecla Limited strives to maintain its water discharges and water management generally at the Lucky Friday unit in full compliance with its permits and applicable laws, however we cannot provide assurances that it will be able to fully comply with the permit limits and other regulatory requirements regarding water management in the future.

We believe that it is reasonably possible that Hecla Limited faces some liability for the above water issues; however, we cannot with reasonable certainty estimate the amount of any such liability.

Johnny M Mine Area near San Mateo, McKinley County, New Mexico

In May 2011, the EPA made a formal request to Hecla Mining Company for information regarding the Johnny M Mine Area near San Mateo, McKinley County, New Mexico, and asserted that Hecla Mining Company may be responsible under CERCLA for environmental remediation and past costs the EPA has incurred at the site. Mining at the Johnny M was conducted for a limited period of time by a predecessor of our subsidiary, Hecla Limited. In August 2012, Hecla Limited and the EPA entered into a Settlement Agreement and Administrative Order on Consent for Removal Action (“Consent Decree”), pursuant to which Hecla Limited agreed to pay (i) $1.1 million to the EPA for its past response costs at the site and (ii) any future response costs at the site, in exchange for a covenant not to sue by the EPA. The Consent Decree also describes additional work at the site to be conducted by Hecla Limited. Hecla Limited paid the $1.1 million to the EPA for its past response costs in the fourth quarter of 2012, and our consolidated financial statements as of June 30, 2013 include an accrual balance by Hecla Limited of $0.3 million for investigation and planning costs. Hecla Limited cannot reasonably estimate the amount of any additional liability Hecla Limited may face at the site until, at a minimum, the amount and type of remediation required have been determined.

Carpenter Snow Creek Site, Cascade County, Montana

In July 2010, the EPA made a formal request to Hecla Mining Company for information regarding the Carpenter Snow Creek Superfund Site located in Cascade County, Montana. The Carpenter Snow Creek Site is located in a historic mining district, and in the early 1980s Hecla Limited leased 6 mining claims and performed limited exploration activities at the site. Hecla Limited terminated the mining lease in 1988.

In June 2011, the EPA informed Hecla Limited that it believes Hecla Limited, among several other viable companies, may be liable for cleanup of the site or for costs incurred by the EPA in cleaning up the site. The EPA stated in the June 2011 letter that it has incurred approximately $4.5 million in response costs and estimated that total remediation costs may exceed $100 million. Because Hecla Limited had very limited activity at the site, we do not believe that the outcome of the claim will have a material adverse effect on our results from operations or financial position. Hecla Limited cannot with reasonable certainty estimate the ultimate liability, if any, relating to this matter.

States of South Dakota and Colorado Superfund Sites Related to CoCa Mines, Inc.

In 1991, Hecla Limited acquired all of the outstanding common stock of CoCa Mines, Inc. (“CoCa”). CoCa is alleged to have engaged in exploration at the Gilt Edge Mine in South Dakota as well as in the area adjacent to the Nelson Tunnel property in Creede, Colorado.

Gilt Edge Mine Superfund Site

In August 2008, the EPA made a formal request to CoCa for information regarding the Gilt Edge Mine Site located in Lawrence County, South Dakota, and asserted that CoCa may be liable for environmental cleanup at the site. The Gilt Edge Mine Site was explored and/or mined beginning in the 1890s. In the early 1980s, CoCa was involved in a joint venture that conducted a limited program of exploration work at the site. This joint venture terminated in 1984, and by 1985 CoCa had divested itself of any interest in the property.

In July 2010 the United States informed CoCa that it intends to pursue CoCa and several other potentially responsible parties on a joint and several basis for liability for past and future response costs at Gilt Edge under CERCLA. Currently, the United States alleges that CoCa is liable based on participation in the joint venture, and that CoCa has succeeded to the liabilities of its predecessor at the site, Congdon & Carey, which may have held certain property interests at the site.

 As of April 2013, the United States has alleged estimated total costs associated with the site of $200 million, including both past and future response costs. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its involvement with the Gilt Edge site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited. Therefore, we believe that Hecla Limited is not liable for any cleanup at the Gilt Edge site. We believe that it is reasonably possible that CoCa faces some liability for the site, however, we cannot with reasonable certainty estimate the ultimate amount of any such liability. Furthermore, in the event CoCa incurs a liability at this site, it has limited assets with which to satisfy any such liability. Because of CoCa's limited assets, we believe that it is possible that the United States will seek to recover some of the alleged $200 million in costs associated with the site from Hecla Limited, as the parent corporation of CoCa. We believe Hecla Limited would have strong defenses to such a claim and would vigorously defend against any such claims. Settlement negotiations with the United States commenced in 2010 and are ongoing, but there can be no assurance such negotiations will be successful, or that Hecla Limited will not incur a material liability with respect to this site.

Nelson Tunnel/Commodore Waste Rock Pile Superfund Site

In August 2009, the EPA made a formal request to CoCa for information regarding the Nelson Tunnel/Commodore Waste Rock Pile Superfund Site in Creede, Colorado. A timely response was provided and the EPA later arranged to copy additional documents. CoCa was involved in exploration and mining activities in Creede during the 1970s and the 1980s. No formal claim for response costs under CERCLA has been made against CoCa for this site. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its historical activities in the vicinity of the site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited. Therefore, we believe that Hecla Limited is not liable for any cleanup, and if CoCa might be liable, it has limited assets with which to satisfy any such liability. We cannot with reasonable certainty estimate the ultimate liability, if any, relating to this matter, and therefore we have not recorded a liability relating to the site as of June 30, 2013.

Senior Notes

On April 12, 2013, we completed the issuance of $500 million in senior notes ("Notes"), as further discussed in Note 9. The net proceeds from the offering of the Notes were used to partially fund the acquisition of Aurizon Mines Ltd. ("Aurizon") and for general corporate purposes, including expenses related to the Aurizon acquisition (see Note 13 for more information). The Notes bear interest at a rate of 6.875% per year from the date of original issuance or from the most recent payment date to which interest has been paid or provided for.  Interest on the Notes is payable on May 1 and November 1 of each year, commencing November 1, 2013.

Other Commitments

Our contractual obligations as of June 30, 2013 included approximately $13.0 million for commitments relating to capital items, along with $6.4 million for various non-capital costs. In addition, our open purchase orders at June 30, 2013 included approximately $18.9 million, $6.4 million, and $0.2 million, respectively, for various capital items at the Casa Berardi, Greens Creek, and Lucky Friday units, and approximately $6.1 million, $0.5 million, and $0.3 million, respectively, for various non-capital costs at such units. We also have total commitments of approximately $21.6 million relating to scheduled payments on capital leases, including interest, primarily for equipment at our Greens Creek and Lucky Friday units (see Note 9 for more information). In addition, in 2011, we settled Hecla Limited's Coeur d'Alene Basin environmental litigation and related claims pursuant to a Consent Decree entered by the Court on September 8, 2011.  Hecla Limited remains obligated under the Consent Decree to make payments totaling $15 million in October 2013 and $55.4 million by August 2014. The $55.4 million would be substantially funded by proceeds from our outstanding warrants, if exercised (see Note 8 for more information). Under the terms of the Consent Decree, the proceeds from the exercise of our outstanding warrants will be paid to the United States and the Coeur d'Alene Indian Tribe within 30 days after the end of the quarter when exercised. If the warrants are not exercised, the company is responsible for its final payment under the Consent Decree.

We had letters of credit for approximately $1.3 million outstanding as of June 30, 2013 for workers' compensation insurance bonding.

Other Contingencies

On February 1, 2012, a purported Hecla stockholder filed a putative class action lawsuit in U.S. District Court for the District of Idaho against Hecla and certain of our officers, one of whom is also a director. The complaint, purportedly brought on behalf of all purchasers of Hecla common stock from October 26, 2010 through and including January 11, 2012, asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and seeks, among other things, damages and costs and expenses. Specifically, the complaint alleges that Hecla, under the authority and control of the individual defendants, made certain false and misleading statements and allegedly omitted certain material information related to operational issues at the Lucky Friday mine. The complaint alleges that these actions artificially inflated the market price of Hecla common stock during the class period, thus purportedly harming investors who purchased shares during that time. A second suit was filed on February 14, 2012, alleging virtually identical claims. These complaints have been consolidated into a single case, a lead plaintiff and lead counsel have been appointed by the Court (Bricklayers of Western Pennsylvania Pension Plan, et al. v. Hecla Mining Company et al., Case No. 12-0042 (D. Idaho)), and a consolidated amended complaint was filed on October 16, 2012. In January 2013, we filed a motion to dismiss the complaint. We cannot predict the outcome of this lawsuit or estimate damages if plaintiffs were to prevail. We believe that these claims are without merit and intend to defend them vigorously.

Related to the above described class action lawsuit, Hecla is named as a nominal defendant in a pending shareholder derivative lawsuit which names as defendants certain Hecla executives and members of Hecla's Board of Directors. The case is In Re Hecla Mining Company Derivative Shareholder Litigation, Case No. 2:12-cv-00097 (D. Idaho).  In general terms, this lawsuit alleges breaches of fiduciary duties by the individual defendants and seeks damages, purportedly on behalf of Hecla. In January 2013, a consolidated amended complaint was filed and in February 2013, we filed a motion to dismiss the complaint. On September 25, 2012 and April 30, 2013, two other state court derivative actions were dismissed in Delaware and in Idaho, respectively. In addition, the Board of Directors has received two letters on behalf of purported shareholders demanding that Hecla commence litigation against certain executives and directors on substantially similar grounds. Hecla's board has concluded the actions requested by both demands would be contrary to the Company's best interest given the pendency of other, related litigation against the Company.

In March 2012, Hecla Limited received notice of a complaint filed against it by the United Steel Workers, Local 5114, with the Federal Mine Safety and Health Review Commission for compensation for bargaining unit workers at the Lucky Friday mine idled as a result of the previously-announced, temporary suspension of production at the mine. The complaint alleges the bargaining unit workers are entitled to compensation under Section 111 of Federal Mine Safety and Health Act of 1977 from November 16, 2011 - the date an order was issued by the Mine Safety Health Administration (“MSHA”) to Hecla Limited - until such time as the order is terminated. We submitted a motion for summary decision to the administrative law judge within the Federal Mine Safety and Health Review Commission, which was denied in December 2012. Currently we are awaiting further proceedings. We believe the claim is without merit, and that all wages due under Section 111, which was an immaterial amount, have already been paid. Therefore, we have not recorded a liability relating to the claim as of June 30, 2013. The amount of the union's claim is estimated to be in the range of $0 to $10 million.

We are subject to other legal proceedings and claims which arise from time to time. These can include, but are not limited to, legal proceedings and/or claims pertaining to environmental or safety matters. For example, in April 2011, a fatal accident occurred at the Lucky Friday mine which was investigated by MSHA. In November 2011, an accident occurred as part of the construction of #4 Shaft which resulted in the fatality of one contractor employee. In an unrelated incident, in December 2011, a rock burst occurred in a primary access way at the Lucky Friday mine and injured seven employees, none fatally. At the end of 2011, MSHA began a special impact investigation at the Lucky Friday mine which resulted in an order to remove built-up cementitious material from the Silver Shaft, the primary access way from the surface at the Lucky Friday mine. As a result of MSHA's investigations related to these events, Hecla Limited has been issued monetary penalties (none of which are material, individually or in the aggregate), and may face additional enforcement actions, including additional monetary penalties from MSHA or other governmental agencies. Although there can be no assurance as to the ultimate disposition of these other matters, we believe they will not have a material adverse effect on our results of operations or financial position.

On April 12, 2013, the family of Larry Marek, an employee of Hecla Limited who was fatally injured in the April 2011 accident, filed a lawsuit against us and certain of our officers and employees seeking damages for, among other claims, wrongful death and infliction of emotional distress. No dollar amount of damages is claimed in the complaint, which was filed in state court in Idaho (Kootenai County District Court). We cannot reasonably predict the outcome of this matter, however, we believe the case is without merit and intend to vigorously defend this lawsuit.

Note 7: Commitments and Contingencies

Rio Grande Silver Guaranty

Our wholly-owned subsidiary, Rio Grande Silver Inc. (“Rio”), is party to a joint venture with Emerald Mining & Leasing, LLC (“EML”) and certain other parties with respect to a land package in the Creede Mining District of Colorado that is adjacent to other land held by Rio. Rio holds a 70% interest in the joint venture. In connection with the joint venture, we are required to guarantee certain environmental remediation-related obligations of EML to a third party up to a maximum liability to us of $2.5 million. As of December 31, 2012, we have not been required to make any payments pursuant to the guaranty. We may be required to make payments in the future, limited to the $2.5 million maximum liability, should EML fail to meet its obligations to the third party. However, to the extent that any payments are made by us under the guaranty, EML, in addition to other parties, have jointly and severally agreed to reimburse and indemnify us for any such payments. We have not recorded a liability relating to the guaranty as of December 31, 2012.

Lucky Friday Water Permit Exceedances

Over the last several years, the Lucky Friday unit has experienced several regulatory issues relating to its water discharge permits and water management more generally.

• In late 2008 and during 2009, Hecla Limited experienced a number of alleged water permit exceedances for water discharges at its Lucky Friday unit. These alleged violations resulted in Hecla Limited entering into a Consent Agreement and Final Order (“CAFO”) and a Compliance Order with the EPA in April 2009, which included an extended compliance timeline. In connection with the CAFO, Hecla Limited agreed to pay the maximum administrative penalty to the EPA of $177,500 to settle any liability for such alleged exceedances.

• In 2009, additional alleged permit exceedances for water discharges at the Lucky Friday unit occurred. In 2010, alleged unpermitted discharges of waste water occurred at the Lucky Friday unit. These alleged permit exceedances and some, but not all of the alleged unpermitted discharges were the subject of a December 2010 Notice of Violation (“2010 NOV”) from the EPA informing Hecla Limited that the EPA was prepared to seek civil penalties for these alleged violations. In the 2010 NOV, the EPA invited Hecla Limited to discuss these matters with them prior to filing a complaint. Hecla Limited disputes certain of the EPA's assertions, but initiated negotiations with the EPA in an attempt to resolve the matter, including performing additional water quality monitoring to better understand the quality and source of the alleged unpermitted discharge. There has not been any resolution of the 2010 NOV.

• In October 2012, the Lucky Friday had a weekly water sample which, when tested, exceeded the permit concentration limit for lead (but not the associated load limit). Also in October 2012, heavy rains resulted in alleged impacted storm water being discharged to a nearby river for which in February 2013, the EPA issued a NOV and request for information to Hecla Limited ("2013 NOV"). In the 2013 NOV, the EPA alleges that the October 2012 storm water incident was a violation of Hecla Limited's separate storm water permit.

• In November 2012, the Lucky Friday had a weekly water sample which, when tested, exceeded certain permit limits for zinc. Although they have not yet formally done so, it is possible that the EPA could issue a NOV for the 2012 permit exceedances. In addition, since the 2010 NOV is still unresolved, we believe it is likely that the EPA will refer the 2012 incidents, 2013 NOV, the 2010 NOV, and possibly some additional alleged unpermitted discharges from 2010 that were not included in the 2010 NOV, to the U.S. Department of Justice (“DOJ”) to file a civil complaint against Hecla Limited. There is the potential for larger civil penalties in the context of a DOJ complaint than in administrative actions by the EPA such as the 2009 CAFO.

Hecla Limited strives to maintain its water discharges and water management generally at the Lucky Friday unit in full compliance with its permits and applicable laws, however we cannot provide assurances that it will be able to fully comply with the permit limits and other regulatory requirements regarding water management in the future.

While we believe we may face some liability for the above water issues, we do not believe that any such liability will have a material adverse effect on our results from operations or financial position.

Johnny M Mine Area near San Mateo, McKinley County, New Mexico

In May 2011, the EPA made a formal request to Hecla Mining Company for information regarding the Johnny M Mine Area near San Mateo, McKinley County, New Mexico, and asserted that Hecla Mining Company may be responsible under CERCLA for environmental remediation and past costs the EPA has incurred at the site. Mining at the Johnny M was conducted for a limited period of time by a predecessor of our subsidiary, Hecla Limited. In August 2012, Hecla Limited and the EPA entered into a Settlement Agreement and Administrative Order on Consent for Removal Action (“Consent Decree”), pursuant to which Hecla Limited agreed to pay (i) $1.1 million to the EPA for its past response costs at the site and (ii) any future response costs at the site, in exchange for a covenant not to sue by the EPA. The Consent Decree also describes additional work at the site to be conducted by Hecla Limited. Hecla Limited paid the $1.1 million to the EPA for its past response costs in the fourth quarter of 2012, and our consolidated financial statements as of December 31, 2012 include an accrual balance by Hecla Limited of $0.3 million for investigation and planning costs. We cannot with any degree of certainty estimate the amount of any additional liability Hecla Limited may face at the site until, at a minimum, the amount and type of remediation required have been determined.

Carpenter Snow Creek Site, Cascade County, Montana

In July 2010, the EPA made a formal request to Hecla Mining Company for information regarding the Carpenter Snow Creek Superfund Site located in Cascade County, Montana. The Carpenter Snow Creek Site is located in a historic mining district, and in the early 1980s Hecla Limited leased 6 mining claims and performed limited exploration activities at the site. Hecla Limited terminated the mining lease in 1988.

In June 2011, the EPA informed Hecla Limited that it believes Hecla Limited, among several other viable companies, may be liable for cleanup of the site or for costs incurred by the EPA in cleaning up the site. The EPA stated in the June 2011 letter that it has incurred approximately $4.5 million in response costs and estimated that total remediation costs may exceed $100 million. Because Hecla Limited had very limited activity at the site, we do not believe that the outcome of the claim will have a material adverse effect on our results from operations or financial position. We have not recorded a liability relating to the site as of December 31, 2012.

States of South Dakota and Colorado Superfund Sites Related to CoCa Mines, Inc.

In 1991, Hecla Limited acquired all of the outstanding common stock of CoCa Mines, Inc. (“CoCa”). Coca is alleged to have engaged in exploration at the Gilt Edge Mine in South Dakota as well as in the area adjacent to the Nelson Tunnel property in Creede, Colorado.

Gilt Edge Mine Superfund Site

In August 2008, the EPA made a formal request to CoCa for information regarding the Gilt Edge Mine Site located in Lawrence County, South Dakota, and asserted that CoCa may be liable for environmental cleanup at the site. The Gilt Edge Mine Site was explored and/or mined beginning in the 1890s. In the early 1980s, CoCa was involved in a joint venture that conducted a limited program of exploration work at the site. This joint venture terminated in 1984, and by 1985 CoCa had divested itself of any interest in the property.

In July 2010 the United States informed CoCa that it intends to pursue CoCa and several other potentially responsible parties on a joint and several basis for liability for past and future response costs at Gilt Edge under CERCLA. Currently, the United States alleges that CoCa is liable based on participation in the joint venture, and that CoCa has succeeded to the liabilities of its predecessor at the site, Congdon & Carey, which may have held certain property interests at the site.

 As of January 2010, the EPA had allegedly incurred approximately $91 million in response costs to implement remedial measures at the Gilt Edge site, and estimated future response costs of $72 million. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its involvement with the Gilt Edge site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited.

We believe that Hecla Limited is not liable for any cleanup at the site, and if CoCa might be liable, it has limited assets with which to satisfy any such liability. Settlement negotiations with the EPA commenced in 2010 and are ongoing, but there can be no assurance such negotiations will be successful.

Nelson Tunnel/Commodore Waste Rock Pile Superfund Site

In August 2009, the EPA made a formal request to CoCa for information regarding the Nelson Tunnel/Commodore Waste Rock Pile Superfund Site in Creede, Colorado. A timely response was provided and the EPA later arranged to copy additional documents. CoCa was involved in exploration and mining activities in Creede during the 1970s and the 1980s. No formal claim for response costs under CERCLA has been made against CoCa for this site. Hecla Limited did not acquire CoCa until 1991, well after CoCa discontinued its historical activities in the vicinity of the site. In addition, CoCa is and always has been a separate corporate entity from Hecla Limited. Therefore, we believe that Hecla Limited is not liable for any cleanup, and if CoCa might be liable, it has limited assets with which to satisfy any such liability.

Other Commitments

Our contractual obligations as of December 31, 2012 included approximately $3.4 million for commitments relating to capital items, along with $0.5 million for various non-capital costs. In addition, our commitments relating to open purchase orders at December 31, 2012 included approximately $4.1 million and $0.9 million, respectively, for various capital items at the Greens Creek and Lucky Friday units, and approximately $0.5 million and $0.3 million, respectively, for various non-capital costs. We also have total commitments of approximately $18.4 million relating to scheduled payments on capital leases, including interest, primarily for equipment at our Greens Creek and Lucky Friday units (see Note 6 for more information).

We had letters of credit for approximately $1.2 million outstanding as of December 31, 2012 for workers' compensation insurance bonding.

Other Contingencies

On February 1, 2012, a purported Hecla stockholder filed a putative class action lawsuit in U.S. District Court for the District of Idaho against Hecla and certain of our officers, one of whom is also a director. The complaint, purportedly brought on behalf of all purchasers of Hecla common stock from October 26, 2010 through and including January 11, 2012, asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and seeks, among other things, damages and costs and expenses. Specifically, the complaint alleges that Hecla, under the authority and control of the individual defendants, made certain false and misleading statements and allegedly omitted certain material information related to operational issues at the Lucky Friday mine. The complaint alleges that these actions artificially inflated the market price of Hecla common stock during the class period, thus purportedly harming investors who purchased shares during that time. A second suit was filed on February 14, 2012, alleging virtually identical claims. These complaints have been consolidated into a single case, a lead plaintiff and lead counsel has been appointed by the Court (Bricklayers of Western Pennsylvania Pension Plan, et al. v. Hecla Mining Company et al., Case No. 12-0042 (D. Idaho)), and a consolidated amended complaint was filed on October 16, 2012. In January 2013, we filed a motion to dismiss the complaint. We cannot predict the outcome of this lawsuit or estimate damages if plaintiffs were to prevail. We believe that these claims are without merit and intend to defend them vigorously.

Related to the above described class action lawsuit, Hecla is named as a nominal defendant in two pending shareholder derivative lawsuits which name as defendants certain Hecla executives and members of Hecla's Board of Directors. The cases are: In Re Hecla Mining Company Derivative Shareholder Litigation, Case No. 2:12-cv-00097 (D. Idaho) and In Re Hecla Mining Inc. [sic] Shareholder Derivative Litigation, Case No. 12-1506 (Kootenai Cnty. Dist. Ct.).  In general terms, these lawsuits allege breaches of fiduciary duties by the individual defendants and seek damages, purportedly on behalf of Hecla. In January 2013, a consolidated amended complaint was filed in each of these lawsuits. In February 2013, we filed a motion to dismiss each of these complaints. A third derivative case, South, et al. v. Baker, et al., Case No. 7294-VCL (Del. Ch. Ct.), was dismissed with prejudice by the Delaware Court of Chancery on September 25, 2012. In addition, the Board of Directors has received two letters on behalf of purported shareholders demanding that Hecla commence litigation against certain executives and directors on substantially similar grounds. Hecla's board has concluded the actions requested by both demands would be contrary to the Company's best interest given the pendency of other, related litigation against the Company.

In March 2012, Hecla Limited received notice of a complaint filed against it by the United Steel Workers, Local 5114, with the Federal Mine Safety and Health Review Commission for compensation for bargaining unit workers at the Lucky Friday mine idled as a result of the previously-announced, temporary suspension of production at the mine. The complaint alleges the bargaining unit workers are entitled to compensation under Section 111 of Federal Mine Safety and Health Act of 1977 from November 16, 2011 - the date an order was issued by the Mine Safety Health Administration (“MSHA”) to Hecla Limited - until such time as the order is terminated. We submitted a motion for summary decision to the administrative law judge within the Federal Mine Safety and Health Review Commission which was denied in December 2012. Currently we are awaiting further proceedings. We believe the claim is without merit, and that all wages due under Section 111, which was an immaterial amount, have already been paid. We may face a liability as a result of the union's claim in the range of $0 to $10 million; however, we have not recorded a liability relating to the claim as of December 31, 2012.

We are subject to other legal proceedings and claims which arise from time to time. These can include, but are not limited to, legal proceedings and/or claims pertaining to environmental or safety matters. For example, in April 2011, a fatal accident occurred at the Lucky Friday Mine which was investigated by MSHA. In November 2011, an accident occurred as part of the construction of #4 Shaft which resulted in the fatality of one contractor employee. In an unrelated incident, in December 2011, a rock burst occurred in a primary access way at the Lucky Friday and injured seven employees, none fatally. At the end of 2011, MSHA began a special impact investigation at the Lucky Friday mine which resulted in an order to remove built-up cementitious material from the Silver Shaft, the primary access way from the surface at the Lucky Friday mine. As a result of MSHA's investigations related to these events, Hecla Limited has been issued monetary penalties (none of which are material, individually or in the aggregate), and may face additional enforcement actions, including additional monetary penalties from MSHA or other governmental agencies. Although there can be no assurance as to the ultimate disposition of these other matters, we believe they will not have a material adverse effect on our results from operations or financial position.

XML

Consolidated Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Operating activities:
Net income	$ (13,764)	$ 15,096	$ 14,954	$ 151,164	$ 48,983
Non-cash elements included in net income (loss):
Depreciation, depletion and amortization	34,834	22,799	50,113	47,348	60,235
Net gain on sale of investments	(197)			(611)	(588)
Loss on impairment of investments			1,171	140	739
(Gain) Loss on disposition of properties, plants, equipment and mineral interests	(125)	660	275		80
Provision for reclamation and closure costs	1,190	2,908	1,106	7,004	196,262
Deferred income taxes	(1,610)	3,697	546	76,944	(141,707)
Stock compensation	1,870	1,495	3,101	2,073	3,446
Amortization of loan origination fees	397	201	460	598	621
Amortization of intangible asset					1,380
(Gain) loss on derivative contracts	(21,528)	9,376	29,627	(53,545)	20,795
Other non-cash items	(25)	604	1,765	1,209	(495)
Change in assets and liabilities, net of amounts acquired:
Accounts receivable	9,117	(16,838)	(4,713)	16,531	(9,404)
Inventories	3,601	3,013	(2,442)	(7,064)	2,335
Other current and non-current assets	4,254	1,756	610	2,164	3,279
Accounts payable and accrued liabilities	5,790	389	4,927	1,466	10,896
Accrued payroll and related benefits	(1,577)	(3,696)	(2,118)	2,090	(3,376)
Accrued taxes	(7,518)	(6,618)	1,967	(5,688)	9,802
Accrued reclamation and closure costs and other non-current liabilities	(4,436)	(3,602)	(32,333)	(171,932)	(5,474)
Net cash provided by operating activities	10,275	31,240	69,016	69,891	197,809
Investing activities:
Additions to properties, plants, equipment and mineral interests	(60,291)	(51,535)	(113,096)	(87,546)	(67,414)
Acqusition of Aurizon, net of cash acquired	(321,117)
Proceeds from sale of investments	1,771			1,366	1,138
Proceeds from disposition of properties, plants and equipment	126	116	886	113	29
Redemptions of restricted cash and investment balances				9,448	1,459
Changes in restricted cash and investment balances	55		(5)	(3,200)
Purchases of investments	(5,738)		(5,823)
Net cash used by investing activities	(385,194)	(51,419)	(118,038)	(79,819)	(64,788)
Financing activities:
Proceeds from exercise of warrants and stock options			700	5,786	53,093
Dividends paid to common shareholders	(4,277)	(9,986)	(17,121)	(5,592)
Dividend paid to preferred shareholders	(276)	(276)	(552)	(3,822)	(4,513)
Debt issuance fees	(1,426)
Loan origination fees paid			(750)	(180)	(200)
Acquisition of treasury shares	(286)	(203)	(2,144)	(469)	(693)
Borrowings on debt	490,000
Repayments of capital leases	(3,425)	(2,492)	(5,890)	(2,938)	(1,780)
Net cash provided by (used in) financing activities	480,310	(12,957)	(26,457)	(7,215)	45,907
Net increase (decrease) in cash and cash equivalents	105,391	(33,136)	(75,479)	(17,143)	178,928
Cash and cash equivalents at beginning of period	190,984	266,463	266,463	283,606	104,678
Cash and cash equivalents at end of period	296,375	233,327	190,984	266,463	283,606
Cash paid during year for:
Interest			1,968	1,683	584
Income tax payments			3	17,874	11,075
Significant non-cash investing and financing activities:
Stock issued for acquisition of assets				33,831
Capital leases acquired	6,725	5,828	13,119	6,935	3,212
Accounts payable change relating to capital additions	(6,577)	(3,632)	3,727	8,687	3,488
Preferred stock dividends paid in common stock					22,891
Aurizon [Member]
Significant non-cash investing and financing activities:
Stock issued for acquisition of assets	$ 218,302

XML

Note 7 - Commitments and Contingencies (Details) (USD $)	1 Months Ended							3 Months Ended	6 Months Ended		12 Months Ended
	Aug. 30, 2014	Oct. 31, 2013	Apr. 30, 2013	Aug. 31, 2012	Jun. 30, 2011	Mar. 31, 2010	Jan. 31, 2010	Dec. 31, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Mar. 31, 2013	Apr. 30, 2009
Note 7 - Commitments and Contingencies (Details) [Line Items]
Maximum Environmental Remediation Obligation									$ 2,500,000		$ 2,500,000
Loss Contingency, Estimate of Possible Loss															177,500
Payment Of Response Costs				1,100,000				1,100,000
Other Accrued Liabilities, Noncurrent								300,000			300,000
Estimated Response Costs					4,500,000	2,700,000
Estimated Future Response Cost					100,000,000		72,000,000
Incurred Response Costs						5,300,000
Contractual Obligations								3,400,000	13,000,000		3,400,000
Noncapital Costs									6,100,000		25,300,000
Commitments For Capital Lease Payments								18,400,000	21,600,000		18,400,000
Letters of Credit Outstanding, Amount								1,200,000			1,200,000			1,300,000
Proceeds from Issuance of Debt			500,000,000
Debt Instrument, Interest Rate, Stated Percentage									6.875%
Environmental Expense and Liabilities	55,400,000	15,000,000							1,190,000	2,908,000	1,106,000	7,004,000	196,262,000
Greens Creek [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Open Purchase Orders								4,100,000	6,400,000		4,100,000
Noncapital Costs									500,000		300,000
Lucky Friday [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Open Purchase Orders								900,000	200,000		900,000
Noncapital Costs									300,000		500,000
Casa Berardi [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Noncapital Costs									18,900,000
Non-Capital Costs [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Contractual Obligations								500,000			500,000
Costs Incurred By The EPA [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Incurred Response Costs			200,000,000				91,000,000
Senior Notes [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Debt Instrument, Interest Rate, Stated Percentage			6.875%
Non-Capital Costs [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Contractual Obligations									6,400,000
Minimum [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Loss Contingency, Estimate of Possible Loss								0			0
Maximum [Member]
Note 7 - Commitments and Contingencies (Details) [Line Items]
Loss Contingency, Estimate of Possible Loss								$ 10,000,000			$ 10,000,000

XML

Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 296,375	$ 190,984	$ 266,463
Accounts receivable:
Trade	8,306	17,555	10,996
Other, net	20,228	7,466	9,313
Inventories:
Concentrates, doré, stockpiled ore, and metals in transit and in-process	18,771	15,073	13,692
Materials and supplies	20,059	13,564	12,503
Current deferred income taxes	16,485	29,398	27,810
Other current assets	18,893	8,858	21,967
Total current assets	399,117	282,898	362,744
Non-current investments	8,766	9,614	3,923
Non-current restricted cash and investments	5,287	871	866
Properties, plants, equipment and mineral interests, net	1,742,696	996,659	923,212
Non-current deferred income taxes	99,144	86,365	88,028
Other non-current assets and deferred charges	17,445	1,883	17,317
Total assets	2,272,455	1,378,290	1,396,090
Current liabilities:
Accounts payable and accrued liabilities	60,864	43,162	37,831
Accrued payroll and related benefits	16,796	10,760	12,878
Accrued taxes	5,312	12,321	10,354
Current portion of capital leases	7,128	5,564	4,005
Current portion of accrued reclamation and closure costs	19,845	19,845	42,248
Other current liabilities	8,110	3,335
Total current liabilities	118,055	94,987	107,316
Long-term capital leases	13,671	11,935	6,265
Accrued reclamation and closure costs	105,462	93,370	111,563
Long-term debt	490,104
Non-current deferred tax liability	169,030
Other non-current liabilities	41,407	40,047	30,833
Total liabilities	937,729	240,339	255,977
Commitments and contingencies (Notes 2, 3, 4, 6, 7, 8, and 10)
Preferred stock, 5,000,000 shares authorized:
Series B preferred stock, $0.25 par value, 157,816 shares issued and outstanding, liquidation preference — $7,891	39	39	39
Common stock, $0.25 par value, authorized 500,000,000 shares; issued and outstanding 2013 — 342,638,214 shares, 2012 — 285,209,848 shares and 2011 — 285,289,924 shares	85,890	71,499	71,420
Capital surplus	1,424,198	1,218,283	1,215,229
Accumulated deficit	(141,627)	(123,288)	(120,557)
Accumulated other comprehensive loss, net	(28,694)	(23,918)	(23,498)
Less treasury stock, at cost; 2013 — 921,721 shares, 2012 — 788,288 shares and 2011 — 392,645 shares	(5,080)	(4,664)	(2,520)
Total shareholders’ equity	1,334,726	1,137,951	1,140,113
Total liabilities and shareholders’ equity	$ 2,272,455	$ 1,378,290	$ 1,396,090

XML

Note 5 - Income Taxes (Details) - Major Components of Income Tax Provision (Benefit) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Current:
Federal	$ 1,761	$ (144)	$ 3,992	$ 3,528	$ 7,411	$ 3,823	$ 10,063
State	(733)	2	173	553	(325)	752	6,694
Foreign	115	115	230	230	459	459	459
Total current income tax provision	1,143	(27)	4,395	4,311	7,545	5,034	17,216
Federal and state deferred income tax (benefit) provision					1,334	76,944	(140,748)
Total income tax (benefit) provision	$ (6,795)	$ 693	$ 620	$ 8,008	$ 8,879	$ 81,978	$ (123,532)

XML

Note 10 - Derivative Instruments (Details) (USD $)	2 Months Ended	6 Months Ended	12 Months Ended
	Mar. 01, 2012	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Note 10 - Derivative Instruments (Details) [Line Items]
Derivative Asset, Current			$ 5,600,000
Derivative, Gain on Derivative		7,200,000	10,500,000	7,100,000
Derivative Liability, Noncurrent			2,500,000
Payments for (Proceeds from) Derivative Instrument, Financing Activities	3,100,000
Forecasted Future Concentrate Contracts [Member]
Note 10 - Derivative Instruments (Details) [Line Items]
Derivative Asset, Current		9,800,000	2,300,000
Derivative, Gain on Derivative		28,100,000
Derivative Liability, Current		300,000
Derivative Asset, Noncurrent		14,600,000
Unsettled Concentrate Sales Contracts [Member]
Note 10 - Derivative Instruments (Details) [Line Items]
Derivative Asset, Current		200,000
Derivative, Gain on Derivative		2,800,000	1,300,000
Derivative Liability, Current		200,000
Net From Current Asset Balance [Member]
Note 10 - Derivative Instruments (Details) [Line Items]
Derivative Liability, Fair Value, Amount Not Offset Against Collateral			1,000,000
Net From Non Current Liability Balance [Member]
Note 10 - Derivative Instruments (Details) [Line Items]
Derivative Liability, Fair Value, Amount Not Offset Against Collateral			100,000
Losses Realized On Settled Contracts [Member]
Note 10 - Derivative Instruments (Details) [Line Items]
Derivative, Gain on Derivative			$ 18,400,000

XML

Note 9 - Shareholders' Equity (Details) - Stock Purchase Warrants (USD $)			12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2012 Series 1 [Member] $2.40 [Member]	Dec. 31, 2012 Series 1 [Member] $2.51 [Member]	Dec. 31, 2012 Series 3 [Member] $2.45 [Member]
Class of Warrant or Right [Line Items]
Warrants	$ 22,332,623,000	$ 22,332,623	$ 5,200,519	$ 460,976	$ 16,671,128
Exercise Price (in Dollars per Item)			2.41	2.52	2.46
Expiration Date			Jun. 30, 2014	Jun. 30, 2014	Aug. 31, 2014

XML

Note 4 - Environmental and Reclamation Activities (Tables)

12 Months Ended

Dec. 31, 2012

Environmental Property Sale, Disposal or Abandonment Costs [Abstract]

Schedule of Accrued Liabilities [Table Text Block]

	2012			2011
Operating properties:
Greens Creek	$	32,856		$	36,123
Lucky Friday		1,469			1,520
Non-operating properties:
San Sebastian		200			218
Grouse Creek		2,484			13,262
Coeur d’Alene Basin		70,786			95,081
Republic		3,538			3,538
All other sites		1,882			4,069
Total		113,215			153,811
Reclamation and closure costs, current		(19,845	)		(42,248	)
Reclamation and closure costs, long-term	$	93,370		$	111,563

Accrued Reclamation And Closure Cost Liability Activity Table Text Block

Balance at January 1, 2010	$	131,201
Accruals for estimated costs		196,067
Payment of reclamation obligations		(8,471	)
Balance at December 31, 2010		318,797
Accruals for estimated costs		7,869
Payment of reclamation obligations		(172,855	)
Balance at December 31, 2011		153,811
Accruals for estimated costs		4,325
Revision of estimated cash flows due to changes in reclamation plans		(3,738	)
Payment of reclamation obligations		(41,183	)
Balance at December 31, 2012	$	113,215

Schedule of Change in Asset Retirement Obligation [Table Text Block]

	2012			2011
Balance January 1	$	37,643		$	36,397
Changes in obligations due to changes in reclamation plans		(3,720	)		387
Accretion expense		1,128			1,119
Payment of reclamation obligations		(726	)		(260	)
Balance at December 31	$	34,325		$	37,643

XML

Note 16 - Acquisitions

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Business Combinations [Abstract]

Business Combination Disclosure [Text Block]

Note 13.    Acquisition of Aurizon Mines Ltd.

On June 1, 2013, Hecla and Aurizon consummated the Acquisition Agreement pursuant to which Hecla acquired all of the issued and outstanding common shares of Aurizon for consideration valued at US$4.32 (CAD$4.47) per share (the "Acquisition"). Under the terms of the Acquisition, each holder of Aurizon common shares (a “Shareholder”) had the option of electing to receive either CAD$4.75 in cash (the “Cash Alternative”) or 0.9953 of a Hecla share (the “Share Alternative”) per Aurizon share, subject in each case to proration. Each Shareholder received CAD$3.11 (US$3.00) in cash and 0.3442 of a Hecla share for each Aurizon share, with limited exceptions in which certain shareholders received 100% of their consideration in Hecla shares. Aurizon had 164,838,377 issued and outstanding common shares immediately prior to consummation of the Acquisition. An additional 747,132 Aurizon common shares were issued immediately prior to consummation of the Acquisition related to the conversion of in-the-money Aurizon stock options, resulting in a total of 165,585,509 issued and outstanding Aurizon common shares at the time of consummation of the Acquisition. Consideration transferred to consummate the Acquisition was comprised of cash paid by Hecla of CAD$514.5 million (US$496.4 million) and issuance of 56,997,790 shares of Hecla common stock valued at CAD$226.3 (US$218.3 million) for total consideration of CAD$740.8 million (US$714.5 million) based on the US$ to CAD$ exchange rate of 0.9645 at the time of consummation. The value of Hecla stock issued as consideration was based upon the closing price at the time of consummation of CAD$3.97 (US$3.83) per share.

The cash portion of the Acquisition was primarily funded by the issuance of senior notes in April 2013 for net proceeds of $490 million. See Note 9 for more information.

The following summarizes the preliminary allocation of purchase price to the fair value of assets acquired and liabilities assumed as of the date of acquisition (in thousands):

Consideration:
Cash payments	$	496,211
Hecla stock issued (56,997,790 shares at $3.83 per share)		218,302
Total consideration	$	714,513
Fair value of net assets acquired:
Assets:
Cash	$	177,587
Accounts receivable		14,307
Inventory - bullion and stockpiled ore		8,090
Inventory - supplies		5,704
Other current assets		7,036
Property, plants, equipment and mineral interests, net		715,391
Non-current restricted cash and investments		4,471
Other non-current assets		795
Total assets		933,381
Liabilities:
Accounts payable		22,227
Accrued payroll and related benefits		7,613
Accrued taxes		509
Non-current deferred tax liability		177,016
Non-current reclamation		11,113
Other non-current liabilities		390
Total liabilities		218,868
Net assets	$	714,513

The $715.4 million fair value for "Property, plants, equipment, and mineral interests, net" is comprised of $11.1 for the asset retirement obligation asset, $127.8 million for plant and equipment, and $576.5 million for development, value beyond proven and probable reserves, and other mineral interests. We are not aware of specific elements of the allocation of purchase price above that are subject to change. However, the overall allocation is preliminary, as the independent valuation report and review by management have not been finalized as of the date of this filing.

The unaudited pro forma financial information below represents the combined results of our operations as if the Acquisition had occurred at the beginning of the periods presented. The unaudited pro forma financial information is presented for informational purposes only and is not indicative of the results of operations that would have occurred if the acquisition had taken place at the beginning of the periods presented, nor is it indicative of future operating results.

	Three Months Ended June 30,					Six Months Ended June 30,
(in thousands, except per share amounts)	2013			2012		2013			2012
Sales of products	$	118,584		$	127,284	$	237,946		$	275,060
Net income (loss)		(13,168	)		2,844		(3,388	)		14,450
Income (loss) applicable to common shareholders		(13,306	)		2,706		(3,664	)		14,174
Basic and diluted income (loss) per common share		(0.04	)		0.01		(0.01	)		0.04

The pro forma financial information includes adjustments to reflect the depreciation and amortization of assets acquired, an estimate of interest expense related to the senior notes that would have been incurred, and the issuance of Hecla stock as consideration in the acquisition.

Note 16:  Acquisitions

San Juan Silver Mining Joint Venture 30% Acquisition

On December 12, 2011, we announced that our wholly-owned subsidiary, Rio Grande Silver Inc. (“Rio”), entered into a Purchase Sale Agreement with Emerald Mining & Leasing, LLC ("EML"), Golden 8 Mining, LLC ("G8"), and AgX Resources, Inc. ("AgX"), (EML, G8, and AgX are collectively referred to as the "Sellers"). Under the terms of the Agreement, Rio purchased the Sellers' remaining 30% undivided interest in certain properties that had been governed by a Joint Venture Agreement ("2008 JVA") entered into between EML, G8, and Rio on February 21, 2008, in return for the issuance of 5,395,683 shares of Hecla common stock valued at $33.8 million on the date that the transaction was completed. The number of common shares issued was based on 90% of the volume-weighted average price of our common shares on the New York Stock Exchange for the 20 trading days immediately preceding and including December 2, 2011.

The original 2008 JVA between EML, G8, and Rio was terminated and a new Joint Venture Agreement for the exploration, evaluation and possible development and mining of mineral resources on certain properties in Mineral County, Colorado was entered into. EML, G8, and Rio will manage and operate under the name San Juan Silver Mining Joint Venture, and Rio will be the initial operator.

XML

Note 6 - Business Segments (Details) - Identifiable Assets by Reportable Segment (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 6 - Business Segments (Details) - Identifiable Assets by Reportable Segment [Line Items]
Identifiable assets	$ 2,272,455	$ 1,378,290	$ 1,396,090	$ 1,382,493
Greens Creek [Member]
Note 6 - Business Segments (Details) - Identifiable Assets by Reportable Segment [Line Items]
Identifiable assets	747,813	741,666	729,289	740,573
Lucky Friday [Member]
Note 6 - Business Segments (Details) - Identifiable Assets by Reportable Segment [Line Items]
Identifiable assets	217,413	226,196	213,285	170,928
Casa Berardi [Member]
Note 6 - Business Segments (Details) - Identifiable Assets by Reportable Segment [Line Items]
Identifiable assets	891,194
Other Segments [Member]
Note 6 - Business Segments (Details) - Identifiable Assets by Reportable Segment [Line Items]
Identifiable assets	$ 416,035	$ 410,428	$ 453,516	$ 470,992

XML

Note 3 - Properties, Plants, Equipment and Mineral Interests, and Lease Commitments (Details) - Major Components of Property, Plants, Equipment and Mineral Interests (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Property, Plant and Equipment [Line Items]
Cost		$ 1,433,195	$ 1,313,414
Less accumulated depreciation, depletion and amortization		436,536	390,202
Net carrying value	1,742,696	996,659	923,212
Mining Properties, Including Asset Retirement Obligations [Member]
Property, Plant and Equipment [Line Items]
Cost		294,573	286,873
Mine Development [Member]
Property, Plant and Equipment [Line Items]
Cost		151,504	123,772
Plants And Equipment [Member]
Property, Plant and Equipment [Line Items]
Cost		419,377	383,045
Land [Member]
Property, Plant and Equipment [Line Items]
Cost		15,788	11,188
Mineral Interests [Member]
Property, Plant and Equipment [Line Items]
Cost		375,028	383,491
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Cost		$ 176,925	$ 125,045

XML

Note 9 - Shareholders' Equity (Details) - Stock Option Transactions (USD $)	12 Months Ended
	Dec. 31, 2011
Stock Option Transactions [Abstract]
Outstanding, December 31, 2011	1,194,796
Outstanding, December 31, 2011 (in Dollars per share)	$ 6.72
Outstanding, December 31, 2012	938,408
Outstanding, December 31, 2012 (in Dollars per share)	$ 6.23
Expired	(256,388)
Expired (in Dollars per share)	$ 8.56

XML

Note 5 - Income Taxes (Details) - Components of the Net Deferred Tax Asset (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Dec. 31, 2009
Deferred tax assets:
Accrued reclamation costs		$ 45,653	$ 62,225
Deferred exploration		32,396	18,585
Foreign net operating losses		20,247	20,234
Federal net operating losses		44,146	47,875
State net operating losses		668	2,445
AMT credit carryforwards		24,603	15,210
Pension and benefit obligation		12,488	9,940
Miscellaneous		17,437	16,002
Total deferred tax assets		197,638	192,516
Valuation allowance		(23,030)	(22,895)	(19,073)	(104,429)
Total deferred tax assets		174,608	169,621
Deferred tax liabilities:
Unrealized gain on derivatives contracts		(1,262)	(13,293)
Properties, plants and equipment		(57,583)	(40,490)
Total deferred tax liabilities	(177,200)	(58,845)	(53,783)
Net deferred tax asset	$ 53,400	$ 115,763	$ 115,838

XML

Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation	12 Months Ended
	Dec. 31, 2012
Large Cap U.S. Equities [Member]
Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation [Line Items]
Target	10.00%
Minimum	7.00%
Maximum	13.00%
Small Cap U.S. Equities [Member]
Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation [Line Items]
Target	5.00%
Minimum	4.00%
Maximum	6.00%
Non-U.S. Equities [Member]
Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation [Line Items]
Target	10.00%
Minimum	8.00%
Maximum	12.00%
Fixed Income [Member]
Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation [Line Items]
Target	35.00%
Minimum	29.00%
Maximum	43.00%
Real Estate [Member]
Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation [Line Items]
Target	15.00%
Minimum	12.00%
Maximum	18.00%
Hedge Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation [Line Items]
Target	15.00%
Minimum	12.00%
Maximum	18.00%
Real Return [Member]
Note 8 - Employee Benefit Plans (Details) - Investment Policy Allocation [Line Items]
Target	10.00%
Minimum	8.00%
Maximum	12.00%

XML

Note 17 - Guarantor Subsidiaries (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Disclosure Text Block Supplement [Abstract]

Condensed Balance Sheet [Table Text Block]

	As of June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	108,549		$	55,453		$	132,373		$	—		$	296,375
Other current assets		15,822			47,956			33,344			5,620			102,742
Properties, plants, and equipment - net		(379	)		1,020,770			722,305			—			1,742,696
Intercompany receivable (payable)		515,528			(113,583	)		(464,729	)		62,784			—
Investments in subsidiaries		1,229,150			—			—			(1,229,150	)		—
Other non-current assets		16,596			185,984			13,211			(85,149	)		130,642
Total assets	$	1,885,266		$	1,196,580		$	436,504		$	(1,245,895	)	$	2,272,455
Liabilities and Shareholders' Equity
Current liabilities	$	27,997		$	78,659		$	15,289		$	(3,890	)	$	118,055
Long-term debt		490,104			13,622			49			—			503,775
Non-current portion of accrued reclamation		—			93,952			11,510			—			105,462
Non-current deferred tax liability		—			12,859			169,025			(12,854	)		169,030
Other non-current liabilities		32,439			8,279			689			—			41,407
Shareholders' equity		1,334,726			989,209			239,942			(1,229,151	)		1,334,726
Total liabilities and shareholders' equity	$	1,885,266		$	1,196,580		$	436,504		$	(1,245,895	)	$	2,272,455

	As of December 31, 2012
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	132,266	$	57,075		$	1,643		$	—		$	190,984
Other current assets		7,399		65,658			766			18,091			91,914
Properties, plants, and equipment - net		—		991,476			5,183			—			996,659
Intercompany receivable (payable)		113,234		(64,893	)		(74,450	)		26,109			—
Investments in subsidiaries		918,526		—			—			(918,526	)		—
Other non-current assets		3,059		164,913			7,600			(76,839	)		98,733
Total assets	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290
Liabilities and Shareholders' Equity
Current liabilities	$	3,726	$	121,221		$	1,016		$	(30,976	)	$	94,987
Long-term debt		—		11,875			60			—			11,935
Non-current portion of accrued reclamation		—		92,825			545			—			93,370
Other non-current liabilities		32,807		8,651			252			(1,663	)		40,047
Other shareholders' equity		1,137,951		979,657			(61,131	)		(918,526	)		1,137,951
Total liabilities and shareholders' equity	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290

	As of December 31, 2012
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	132,266	$	57,075		$	1,643		$	—		$	190,984
Other current assets		7,399		65,658			766			18,091			91,914
Properties, plants, and equipment - net		—		991,476			5,183			—			996,659
Intercompany receivable (payable)		113,234		(64,893	)		(74,450	)		26,109			—
Investments in subsidiaries		918,526		—			—			(918,526	)		—
Other non-current assets		3,059		164,913			7,600			(76,839	)		98,733
Total assets	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290
Liabilities and Shareholders' Equity
Current liabilities	$	3,726	$	121,221		$	1,016		$	(30,976	)	$	94,987
Long-term debt		—		11,875			60			—			11,935
Non-current portion of accrued reclamation		—		92,825			545			—			93,370
Other non-current liabilities		32,807		8,651			252			(1,663	)		40,047
Shareholders' equity		1,137,951		979,657			(61,131	)		(918,526	)		1,137,951
Total liabilities and shareholders' equity	$	1,174,484	$	1,214,229		$	(59,258	)	$	(951,165	)	$	1,378,290

	As of December 31, 2011
	Parent		Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Assets
Cash and cash equivalents	$	97,850	$	168,433		$	180		$	—		$	266,463
Other current assets		18,177		63,822			1,131			13,151			96,281
Properties, plants, and equipment - net		538		922,502			172			—			923,212
Intercompany receivable (payable)		124,423		(74,026	)		(64,200	)		13,803			—
Investments in subsidiaries		910,646		—			—			(910,646	)		—
Other non-current assets		15,786		149,712			285			(55,649	)		110,134
Total assets	$	1,167,420	$	1,230,443		$	(62,432	)	$	(939,341	)	$	1,396,090
Liabilities and Shareholders' Equity
Current liabilities	$	5,642	$	129,958		$	411		$	(28,695	)	$	107,316
Long-term debt		—		6,192			73			—			6,265
Non-current portion of accrued reclamation		—		111,303			260			—			111,563
Other non-current liabilities		21,665		8,957			211			—			30,833
Shareholders' equity		1,140,113		974,033			(63,387	)		(910,646	)		1,140,113
Total liabilities and shareholders' equity	$	1,167,420	$	1,230,443		$	(62,432	)	$	(939,341	)	$	1,396,090

Condensed Income Statement [Table Text Block]

	Three Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	372		$	74,838		$	10,120		$	—		$	85,330
Cost of sales		—			(51,777	)		(8,231	)		—			(60,008	)
Depreciation, depletion, amortization		—			(16,887	)		(3,324	)		—			(20,211	)
General and administrative		(3,993	)		(3,137	)		(352	)		—			(7,482	)
Exploration and pre-development		(253	)		(8,553	)		(1,927	)		—			(10,733	)
Gain on derivative contracts		6,541			—			—			—			6,541
Aurizon acquisition costs		(14,148	)		1,422			(11,080	)		—			(23,806	)
Equity in losses of subsidiaries		(13,625	)		—			—			13,625			—
Other (expense) income		248			3,643			(3,225	)		(1,950	)		(1,284	)
Loss before income taxes		(24,858	)		(451	)		(18,019	)		11,675			(31,653	)
Benefit from income taxes		—			211			6,321			263			6,795
Net income (loss)		(24,858	)		(240	)		(11,698	)		11,938			(24,858	)
Preferred stock dividends		(138	)		—			—			—			(138	)
Income (loss) applicable to common shareholders		(24,996	)		(240	)		(11,698	)		11,938			(24,996	)
Net income (loss)		(24,858	)		(240	)		(11,698	)		11,938			(24,858	)
Changes in comprehensive income (loss)		(1,944	)		4,257			(1,425	)		(2,832	)		(1,944	)
Comprehensive income (loss)	$	(26,802	)	$	4,017		$	(13,123	)	$	9,106		$	(26,802	)

	Six Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	2,785		$	148,875		$	10,120		$	—		$	161,780
Cost of sales		—			(88,602	)		(8,231	)		—			(96,833	)
Depreciation, depletion, amortization		—			(30,894	)		(3,324	)		—			(34,218	)
General and administrative		(7,465	)		(6,547	)		(409	)		—			(14,421	)
Exploration and pre-development		(417	)		(16,748	)		(4,852	)		—			(22,017	)
Gain on derivative contracts		28,080			—			—			—			28,080
Aurizon acquisition costs		(14,148	)					(11,452	)					(25,600	)
Equity in losses of subsidiaries		(14,698	)		—			—			14,698
Other expense		(7,901	)		1,943			(3,957	)		—			(9,915	)
Income (loss) before income taxes		(13,764	)		8,027			(22,105	)		14,698			(13,144	)
(Provision) benefit from income taxes		—			(5,254	)		6,321			(1,687	)		(620	)
Net income (loss)		(13,764	)		2,773			(15,784	)		13,011			(13,764	)
Preferred stock dividends		(276	)		—			—			—			(276	)
Income (loss) applicable to common shareholders		(14,040	)		2,773			(15,784	)		13,011			(14,040	)
Net income (loss)		(13,764	)		2,773			(15,784	)		13,011			(13,764	)
Changes in comprehensive income (loss)		(4,775	)		3,830			(3,830	)		—			(4,775	)
Comprehensive income (loss)	$	(18,539	)	$	6,603		$	(19,614	)	$	13,011		$	(18,539	)

	Three Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	869		$	66,150		$	—		$	—		$	67,019
Cost of sales		—			(33,172	)		—			—			(33,172	)
Depreciation, depletion, amortization		—			(9,879	)		—			—			(9,879	)
General and administrative		(3,089	)		(2,455	)		17			—			(5,527	)
Exploration and pre-development		(268	)		(8,272	)		(2,077	)		—			(10,617	)
Gain on derivative contracts		6,171			—			—			—			6,171
Closed operations		—			(1,492	)		(743	)		—			(2,235	)
Equity in loss of subsidiaries		(2,740	)		—			—			2,740			—
Other expense		1,581			(7,310	)		(653	)		(2,161	)		(8,543	)
Income (loss) before income taxes		2,524			3,570			(3,456	)		579			3,217
(Provision) benefit from income taxes		—			(2,854	)		—			2,161			(693	)
Net income (loss)		2,524			716			(3,456	)		2,740			2,524
Preferred stock dividends		(138	)		—			—			—			(138	)
Income (loss) applicable to common shareholders		2,386			716			(3,456	)		2,740			2,386
Net income (loss)		2,524			716			(3,456	)		2,740			2,524
Changes in comprehensive income (loss)		586			(764	)		(132	)		896			(586	)
Comprehensive income (loss)	$	1,938		$	(48	)	$	(3,588	)	$	3,636		$	1,938

	Six Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(122	)	$	158,294		$	—		$	—		$	158,172
Cost of sales		—			(66,462	)		—			—			(66,462	)
Depreciation, depletion, amortization		—			(19,540	)		—			—			(19,540	)
General and administrative		(5,664	)		(4,248	)		(116	)		—			(10,028	)
Exploration and pre-development		(401	)		(15,042	)		(4,151	)		—			(19,594	)
Gain on derivative contracts		940			—			—			—			940
Closed operations		—			(2,692	)		(1,721	)		—			(4,413	)
Equity in earnings of subsidiaries		13,847			—			—			(13,847	)
Other expense		6,496			(13,269	)		(1,426	)		(7,772	)		(15,971	)
Income (loss) before income taxes		15,096			37,041			(7,414	)		(21,619	)		23,104
(Provision) benefit from income taxes		—			(15,780	)		—			7,772			(8,008	)
Net income (loss)		15,096			21,261			(7,414	)		(13,847	)		15,096
Preferred stock dividends		(276	)		—			—			—			(276	)
Income (loss) applicable to common shareholders		14,820			21,261			(7,414	)		(13,847	)		14,820
Net income (loss)		15,096			21,261			(7,414	)		(13,847	)		15,096
Changes in comprehensive income (loss)		(805	)		(1,135	)		(130	)		1,265			(805	)
Comprehensive income (loss)	$	14,291		$	20,126		$	(7,544	)	$	(12,582	)	$	14,291

	Year Ended December 31, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(1,346	)	$	322,489		$	—		$	—		$	321,143
Cost of sales		—			(134,105	)		—			—			(134,105	)
Depreciation, depletion, amortization		—			(43,522	)		—			—			(43,522	)
General and administrative		(11,519	)		(9,519	)		(215	)		—			(21,253	)
Exploration and pre-development		(1,262	)		(38,700	)		(9,776	)		—			(49,738	)
Loss on derivative contracts		(10,457	)		—			—			—			(10,457	)
Closed operations		—			(2,259	)		(2,393	)		—			(4,652	)
Equity in earnings of subsidiaries		21,246			—			—			(21,246	)		—
Other (expense) income		18,292			(27,747	)		(3,207	)		(20,921	)		(33,583	)
Income (loss) before income taxes		14,954			66,637			(15,591	)		(42,167	)		23,833
(Provision) benefit from income taxes		—			(29,802	)		—			20,923			(8,879	)
Net income (loss)		14,954			36,835			(15,591	)		(21,244	)		14,954
Preferred stock dividends		(552	)		—			—			—			(552	)
Income (loss) applicable to common shareholders		14,402			36,835			(15,591	)		(21,244	)		14,402
Net income (loss)		14,954			36,835			(15,591	)		(21,244	)		14,954
Changes in comprehensive income (loss)		(420	)		(911	)		1,438			(527	)		(420	)
Comprehensive income (loss)	$	14,534		$	35,924		$	(14,153	)	$	(21,771	)	$	14,534

	Year Ended December 31, 2011
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	7,140		$	470,494		$	—		$	—		$	477,634
Cost of sales		—			(165,573	)		—			—			(165,573	)
Depreciation, depletion, amortization		—			(47,066	)		—			—			(47,066	)
General and administrative		(10,355	)		(7,909	)		(276	)		—			(18,540	)
Exploration and pre-development		(407	)		(23,548	)		(7,450	)		—			(31,405	)
Gain on derivative contracts		37,988			—			—			—			37,988
Closed operations		—			(8,961	)		(786	)		—			(9,747	)
Equity in earnings of subsidiaries		254,902			—			—			(254,902	)		—
Other (expense) income		(138,104	)		4,920			(3,391	)		126,426			(10,149	)
Income (loss) before income taxes		151,164			222,357			(11,903	)		(128,476	)		233,142
(Provision) benefit from income taxes		—			44,448			—			(126,426	)		(81,978	)
Net income (loss)		151,164			266,805			(11,903	)		(254,902	)		151,164
Preferred stock dividends		(552	)		—			—			—			(552	)
Income (loss) applicable to common shareholders		150,612			266,805			(11,903	)		(254,902	)		150,612
Net income (loss)		151,164			266,805			(11,903	)		(254,902	)		151,164
Changes in comprehensive income (loss)		(8,381	)		(3,089	)		(679	)		3,768			(8,381	)
Comprehensive income (loss)	$	142,783		$	263,716		$	(12,582	)	$	(251,134	)	$	142,783

	Year Ended December 31, 2010
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Revenues	$	(3,033	)	$	421,846		$	—		$	—		$	418,813
Cost of sales		—			(163,983	)		—			—			(163,983	)
Depreciation, depletion, amortization		—			(60,011	)		—			—			(60,011	)
General and administrative		(11,030	)		(7,023	)		(166	)		—			(18,219	)
Exploration and pre-development		(916	)		(16,249	)		(4,440	)		—			(21,605	)
Loss on derivative contracts		(20,758	)		—			—			—			(20,758	)
Closed operations		—			(200,458	)		(678	)		—			(201,136	)
Equity in losses of subsidiary		(9,618	)		—			—			9,618
Other (expense) income		94,338			7,073			(3,106	)		(105,955	)		(7,650	)
Income (loss) before income taxes		48,983			(18,805	)		(8,390	)		(96,337	)		(74,549	)
Benefit from income taxes		—			17,578			—			105,954			123,532
Net income (loss)		48,983			(1,227	)		(8,390	)		9,617			48,983
Preferred stock dividends		(13,633	)		—			—			—			(13,633	)
Income (loss) applicable to common shareholders		35,350			(1,227	)		(8,390	)		9,617			35,350
Net income (loss)		48,983			(1,227	)		(8,390	)		9,617			48,983
Changes in comprehensive income (loss)		(935	)		497			458			(955	)		(935	)
Comprehensive income (loss)	$	48,048		$	(730	)	$	(7,932	)	$	8,662		$	48,048

Condensed Cash Flow Statement [Table Text Block]

	Six Months Ended June 30, 2013
	Parent			Guarantor			Non- Guarantor			Eliminations		Consolidated
	(in thousands)
Cash flows from operating activities	$	(7,524	)	$	54,148		$	(36,349	)			$	10,275
Cash flows from investing activities:
Additions to properties, plants, and equipment		(229	)		(54,128	)		(5,934	)				(60,291	)
Acquisition of Aurizon Mines		(498,705	)					177,588					(321,117	)
Other investing activities, net		—			102			(3,888	)		—		(3,786	)
Cash flows from financing activities:
Dividends paid to shareholders		(4,553	)		—			—					(4,553	)
Borrowings on debt		490,000			—			—					490,000
Proceeds from (payments on) debt		—			(3,425	)		—					(3,425	)
Other financing activity, net		(2,706	)		1,681			(687	)		—		(1,712	)
Changes in cash and cash equivalents		(23,717	)		(1,622	)		130,730					105,391
Beginning cash and cash equivalents		132,266			57,075			1,643					190,984
Ending cash and cash equivalents	$	108,549		$	55,453		$	132,373				$	296,375

	Six Months Ended June 30, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	22,513		$	4,681		$	(5,773	)	$	9,819		$	31,240
Cash flows from investing activities:
Additions to properties, plants, and equipment		(264	)		(50,789	)		(482	)					(51,535	)
Other investing activities, net		—			116			—			—			116
Cash flows from financing activities:
Dividends paid to shareholders		(10,262	)		—			—						(10,262	)
Proceeds from (payments on) debt		—			(2,486	)		(6	)					(2,492	)
Other financing activity, net		6,467			(3,515	)		6,664			(9,819	)		(203	)
Changes in cash and cash equivalents		18,454			(51,993	)		403						(33,136	)
Beginning cash and cash equivalents		97,850			168,433			180						266,463
Ending cash and cash equivalents	$	116,304		$	116,440		$	583					$	233,327

	Year Ended December 31, 2012
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	49,295		$	42,957		$	(14,296	)	$	(8,940	)	$	69,016
Cash flows from investing activities:
Additions to properties, plants, and equipment		(618	)		(107,425	)		(5,053	)		—			(113,096	)
Other investing activities, net		(48,815	)		891			(5,835	)		48,817			(4,942	)
Cash flows from financing activities:
Dividends paid to shareholders		(17,673	)		—			—			—			(17,673	)
Payments on debt		—			(5,878	)		(12	)		—			(5,890	)
Other financing activity		52,227			(41,903	)		26,659			(39,877	)		(2,894	)
Changes in cash and cash equivalents		34,416			(111,358	)		1,463			—			(75,479	)
Beginning cash and cash equivalents		97,850			168,433			180			—			266,463
Ending cash and cash equivalents	$	132,266		$	57,075		$	1,643		$	—		$	190,984

	Year Ended December 31, 2011
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	105,740		$	79,166		$	(12,449	)	$	(102,566	)	$	69,891
Cash flows from investing activities:
Additions to properties, plants, and equipment		(2	)		(87,454	)		(90	)		—			(87,546	)
Other investing activities		(38,356	)		(1,659	)		1			47,741			7,727
Cash flows from financing activities:
Dividends paid to shareholders		(9,414	)		—			—			—			(9,414	)
Payments on debt		—			(2,938	)		—			—			(2,938	)
Other financing activity		(150,118	)		88,193			12,237			54,825			5,137
Changes in cash and cash equivalents		(92,150	)		75,308			(301	)		—			(17,143	)
Beginning cash and cash equivalents		190,000			93,125			481			—			283,606
Ending cash and cash equivalents	$	97,850		$	168,433		$	180		$	—		$	266,463

	Year Ended December 31, 2010
	Parent			Guarantor			Non- Guarantor			Eliminations			Consolidated
	(in thousands)
Cash flows from operating activities	$	81,676		$	194,716		$	(8,579	)	$	(70,004	)	$	197,809
Cash flows from investing activities:
Additions to properties, plants, and equipment		(340	)		(67,077	)		3			—			(67,414	)
Other investing activities		(4,019	)		1,150			—			5,495			2,626
Cash flows from financing activities:
Dividends paid to shareholders		(4,513	)		—			—			—			(4,513	)
Proceeds from exercise of stock warrants		53,093												53,093
Payments on debt		—			(1,780	)		—			—			(1,780	)
Other financing activity		21,135			(95,484	)		8,947			64,509			(893	)
Changes in cash and cash equivalents		147,032			31,525			371			—			178,928
Beginning cash and cash equivalents		42,968			61,600			110						104,678
Ending cash and cash equivalents	$	190,000		$	93,125		$	481		$	—		$	283,606

XML

Note 11 - Business Segments and Significant Customers (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Segment Reporting [Abstract]

Schedule Of Sales Contributed By Each Segment Table Text Block

	Year Ended December 31,
	2012			2011			2010
Greens Creek		100.0	%		71.8	%		74.8	%
Lucky Friday		—	%		28.2	%		25.2	%
		100	%		100	%		100	%

Schedule of Segment Reporting Information, by Segment [Table Text Block]

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Net sales to unaffiliated customers:
Greens Creek	$	70,082		$	67,023		$	142,731		$	157,923
Lucky Friday	$	5,128		$	(4	)	$	8,929		$	249
Casa Berardi	$	10,120		$	—		$	10,120		$	—
	$	85,330		$	67,019		$	161,780		$	158,172
Income (loss) from operations:
Greens Creek	$	9,802		$	23,313		$	36,991		$	70,695
Lucky Friday		(2,757	)		(6,498	)		(6,604	)		(12,441	)
Casa Berardi		(13,356	)		—			(13,356	)		—
Other		(26,311	)		(19,296	)		(51,866	)		(35,299	)
	$	(32,622	)	$	(2,481	)	$	(34,835	)	$	22,955

	2012			2011			2010
Net sales to unaffiliated customers:
Greens Creek	$	320,895		$	342,906		$	313,318
Lucky Friday		248			134,728			105,495
	$	321,143		$	477,634		$	418,813
Income (loss) from operations:
Greens Creek	$	138,245		$	181,116		$	138,973
Lucky Friday		(25,179	)		75,608			48,639
Other		(75,200	)		(59,079	)		(239,167	)
	$	37,866		$	197,645		$	(51,555	)
Capital additions (including non-cash additions):
Greens Creek	$	62,184		$	41,657		$	18,280
Lucky Friday		55,998			60,454			54,370
Other		11,760			35,274			2,089
	$	129,942		$	137,385		$	74,739
Depreciation, depletion and amortization:
Greens Creek	$	43,522		$	41,013		$	51,671
Lucky Friday		—			6,053			8,340
	$	43,522		$	47,066		$	60,011
Other significant non-cash items:
Greens Creek	$	4,037		$	2,326		$	17,829
Lucky Friday		92			14			5,053
Other		33,922			31,470			57,651
	$	38,051		$	33,810		$	80,533
Identifiable assets:
Greens Creek	$	741,666		$	729,289		$	740,573
Lucky Friday		226,196			213,285			170,928
Other		410,428			453,516			470,992
	$	1,378,290		$	1,396,090		$	1,382,493

Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]

	2012		2011		2010
United States	$	25,438	$	24,409	$	24,708
Canada		34,441		240,569		124,862
Mexico		—		—		16,258
Japan		70,371		60,963		62,740
Korea		120,106		92,919		94,114
China		72,133		51,635		73,257
Belgium		—		—		25,907
Total, excluding gains/losses on forward contracts	$	322,489	$	470,495	$	421,846

Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country [Table Text Block]

	2012		2011
United States	$	996,405	$	923,040
Canada		198		99
Mexico		56		73
	$	996,659	$	923,212

Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block]

	Year Ended December 31,
	2012			2011			2010
Teck Metals Ltd.		10.7	%		51.1	%		29.6	%
Korea Zinc		37.2	%		18.4	%		20.7	%
Trafigura AG		22.4	%		12.4	%		17.4	%
MS Zinc		12.3	%		6.9	%		7.0	%

	June 30, 2013		December 31, 2012
Identifiable assets:
Greens Creek	$	747,813	$	741,666
Lucky Friday		217,413		226,196
Casa Berardi		891,194		—
Other		416,035		410,428
	$	2,272,455	$	1,378,290

XML

Note 12 - Fair Value Measurement (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Fair Value Disclosures [Abstract]

Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block]

Description	Balance at June 30, 2013		Balance at December 31, 2012		Input Hierarchy Level
Assets:
Cash and cash equivalents:
Money market funds and other bank deposits	$	296,375	$	190,984	Level 1
Available for sale securities:
Equity securities – mining industry		8,766		9,614	Level 1
Trade accounts receivable:
Receivables from provisional concentrate sales		8,306		17,555	Level 2
Restricted cash balances:
Certificates of deposit and other bank deposits		5,287		871	Level 1
Derivative contracts:
Base metal forward contracts		24,651		5,606	Level 2
Total assets	$	343,385	$	224,630
Liabilities:
Derivative contracts:
Base metal forward contracts		—		2,483	Level 2

	Balance at December 31, 2012		Balance at December 31, 2011		Input Hierarchy Level
Assets:
Cash and cash equivalents:
Money market funds and other bank deposits	$	190,984	$	266,463	Level 1
Available for sale securities:
Equity securities – mining industry		9,614		3,923	Level 1
Trade accounts receivable:
Receivables from provisional concentrate sales		17,555		10,996	Level 2
Derivative contracts:
Base metal forward contracts		5,606		32,750	Level 2
Restricted cash balances:
Certificates of deposit and other bank deposits		871		866	Level 1
Total assets	$	224,630	$	314,998
Liabilities:
Derivative contracts:
Base metal forward contracts	$	2,483	$	—	Level 2

XML

Note 6 - Credit Facilities and Capital Leases

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Debt Disclosure [Abstract]

Debt Disclosure [Text Block]

Note 9.    Senior Notes, Credit Facilities, and Capital Leases

Senior Notes

On April 12, 2013, we completed an offering of $500 million in aggregate principal amount of our senior notes due May 1, 2021 (the “Notes”) in a private placement conducted pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended. The Notes are governed by the Indenture, dated as of April 12, 2013 (the “Indenture”), among us and certain of our subsidiaries and The Bank of New York Mellon Trust Company, N.A., as trustee.

The Notes are recorded net of a 2% initial purchaser discount totaling $10 million at the time of issuance and having an amortized balance of $9.9 million as of June 30, 2013. The Notes bear interest at a rate of 6.875% per year from the date of original issuance or from the most recent payment date to which interest has been paid or provided for.  Interest on the Notes is payable on May 1 and November 1 of each year, commencing November 1, 2013. During the six-month period ended June 30, 2013, interest expense related to the notes and amortization of the initial purchaser discount and fees related to the issuance of the notes, net of $1.7 million in capitalized interest, totaled $5.9 million.

The Notes are guaranteed on a senior unsecured basis by certain of our subsidiaries (the "Guarantors").   The Notes and the guarantees will be our general senior unsecured obligations and will be subordinated to all of our and the Guarantors' existing and future secured debt to the extent of the assets securing that secured debt.  In addition, the Notes will be effectively subordinated to all of the liabilities of our subsidiaries that are not guaranteeing the Notes, to the extent of the assets of those subsidiaries.

The net proceeds from the offering of the Notes ($490 million) were used to partially fund the acquisition of Aurizon and for general corporate purposes, including expenses related to the Aurizon acquisition. See Note 13 for more information.

The Notes will be redeemable in whole or in part, at any time and from time to time on or after May 1, 2016, on the redemption dates and at the redemption prices specified in the Indenture, plus accrued and unpaid interest, if any, to the date of redemption.  Prior to May 1, 2016, we may redeem some or all of the Notes at a redemption price of 100% of the principal amount, plus accrued and unpaid interest, if any, to the redemption date, plus a “make whole” premium.  We may redeem up to 35% of the Notes before May 1, 2016 with the net cash proceeds from certain equity offerings.

Upon the occurrence of a change of control (as defined in the Indenture), each holder of Notes will have the right to require us to purchase all or a portion of such holder's Notes pursuant to a change of control offer (as defined in the Indenture), at a purchase price equal to 101% of the principal amount thereof plus accrued and unpaid interest, if any, to the date of purchase, subject to the rights of holders of the Notes on the relevant record date to receive interest due on the relevant interest payment date.

In connection with the sale of the Notes, we entered into a Registration Rights Agreement, dated as of April 12, 2013, pursuant to which we and the Guarantors have agreed to (i) file an exchange offer registration statement within 270 days after the issue date of the Notes to exchange the Notes for a new issue of debt securities registered under the Securities Act, with terms substantially identical to those of the Notes (except with respect to certain transfer restrictions and certain obligations to pay special interest as described in the Notes); (ii) use our commercially reasonable efforts to cause the exchange offer registration statement to be declared effective under the Securities Act within 330 days after the issue date of the Notes; (iii) use our commercially reasonable efforts to consummate the exchange offer within 365 days after the issue date of the Notes; and (iv) in certain circumstances, file a shelf registration statement for the resale of the Notes. If we and the Guarantors fail to satisfy our registration obligations under the Registration Rights Agreement, then the annual interest rate on the Notes will increase by 0.25% per annum and by an additional 0.25% per annum for each subsequent 90-day period during which the registration default continues, up to a maximum additional interest rate of 1.0% per annum.

Credit Facilities

We have a $100 million senior secured revolving credit facility, which is collateralized by the shares of common stock held in our material domestic subsidiaries and by our joint venture interests in the Greens Creek mine, all of our rights and interests in the joint venture agreement, and all of our rights and interests in the assets of the joint venture.  This credit facility originated with a $60 million senior secured revolving credit agreement entered into in October 2009 that has been amended several times. On April 1, 2013 we amended the agreement to reduce the commitment amount from $150 million to $100 million while also adjusting certain covenants and limitations. Amounts borrowed under the credit agreement are available for general corporate purposes.  The interest rate on outstanding loans under the agreement is between 3.00% and 3.75% above the London Interbank Offered Rate or an alternative base rate plus an applicable margin of between 2.00% and 2.75%.  We are required to pay a standby fee of between 0.825% and 1.05% per annum on undrawn amounts under the revolving credit agreement.  The credit facility is effective until August 1, 2015. In the first six months of 2013, we incurred $0.3 million in interest expense for the amortization of loan origination fees and $0.6 million in interest expense for commitment fees relating to the credit agreement.  

The credit agreement includes various covenants and other limitations related to our various financial ratios and indebtedness and investments, as well as other information and reporting requirements, including the following limitations:

• Senior Leverage ratio (calculated as debt secured by liens divided by EBITDA) of not more than 2.50:1.

• Leverage ratio (calculated as total debt less unencumbered cash divided by EBITDA) of not more than 4.00:1 at all times prior to March 31, 2014, and not more than 3.50:1 at all times from and after March 31, 2014.

• Interest coverage ratio (calculated as EBITDA divided by interest expense) of not less than 3.0:1.

• Tangible net worth of greater than 80% of the Tangible Net Worth at completion of the acquisition of Aurizon, plus 50% of positive quarterly Net Income thereafter. (see Note 13 for more information on the acquisition of Aurizon).

We were in compliance with all covenants under the credit agreement as of June 30, 2013.  We have not drawn funds on the current revolving credit facility as of the filing date of this Form 10-Q.

Capital Leases

We have entered into various lease agreements primarily for equipment at our Greens Creek and Lucky Friday units, which we have determined to be capital leases.  At June 30, 2013, the total liability balance associated with capital leases, including certain purchase option amounts, was $20.8 million, with $7.1 million of the liability classified as current and $13.7 million classified as non-current. At December 31, 2012, the total liability balance associated with capital leases was $17.5 million, with $5.6 million of the liability classified as current and $11.9 million classified as non-current. The total obligation for future minimum lease payments was $21.6 million at June 30, 2013, with $1.0 million attributed to interest.

At June 30, 2013, the annual maturities of capital lease commitments, including interest, are (in thousands):

Twelve-month period ending June 30,
2014	$	6,970
2015		7,120
2016		5,476
2017		2,065
Total		21,631
Less: imputed interest		(960	)
Net capital lease obligation	$	20,671

Note 6: Credit Facilities and Capital Leases

Credit Facilities

We have a $150 million senior secured revolving credit facility, which is collateralized by the shares of common stock held in our material subsidiaries and by our joint venture interests in the Greens Creek mine, all of our rights and interests in the joint venture agreement, and all of our rights and interests in the assets of the joint venture.  This credit facility originated with a $60 million senior secured revolving credit agreement entered into in October 2009 that has been amended several times to its current form. Amounts borrowed under the credit agreement are available for general corporate purposes.  The interest rate on outstanding loans under the agreement is between 3.00% and 3.75% above the LIBOR or an alternative base rate plus an applicable margin of between 2.00% and 2.75%.  We are required to pay a standby fee of between 0.825% and 1.05% per annum on undrawn amounts under the revolving credit agreement.  The credit facility is effective until August 1, 2015. In 2012, we incurred $0.5 million in interest expense for the amortization of loan origination fees and $1.0 million in interest expense for commitment fees relating to the credit agreement.  

The credit agreement includes various covenants and other limitations related to our various financial ratios and indebtedness and investments, as well as other information and reporting requirements, including the following limitations:

• Leverage ratio (calculated as total debt divided by EBITDA) of not more than 3.0:1.

• Interest coverage ratio (calculated as EBITDA divided by interest expense) of not less than 3.0:1.

• Current ratio (calculated as current assets divided by current liabilities) of not less than 1.10:1.

• Tangible net worth of greater than $500 million.

We were in compliance with all covenants under the credit agreement as of December 31, 2012.  We have not drawn funds on the current revolving credit facility as of the filing date of this Form 10-K.

Capital Leases

Since 2009, we have entered into various lease agreements for equipment at our Greens Creek and Lucky Friday units, which we have determined to be capital leases.  At December 31, 2012, the total liability balance associated with capital leases, including purchase option amounts, was $17.5 million, with $5.6 million of the liability classified as current and $11.9 million classified as non-current. At December 31, 2011, the total liability balance associated with capital leases was $10.3 million, with $4.0 million of the liability classified as current and $6.3 million classified as non-current. The annual maturities of capital lease commitments, including interest, as of December 31, 2012 are:

Year ending December 31,
2013	$	6,049
2014		5,821
2015		4,618
2016		1,931
Total		18,419
Less: imputed interest		(920	)
Net capital lease obligation	$	17,499

XML

Note 8 - Employee Benefit Plans (Details) - Benefit Obligation And Prepaid Benefit Costs Assumptions	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Note 8 - Employee Benefit Plans (Details) - Benefit Obligation And Prepaid Benefit Costs Assumptions [Line Items]
Expected rate of return on plan assets	7.20%
Pension Plan, Defined Benefit [Member]
Note 8 - Employee Benefit Plans (Details) - Benefit Obligation And Prepaid Benefit Costs Assumptions [Line Items]
Discount rate: net periodic pension cost	4.75%	5.50%
Discount rate: projected benefit obligation	4.00%	4.75%
Expected rate of return on plan assets	7.20%	8.00%
Rate of compensation increase	4.00%	4.00%
Other Postretirement Benefit Plan, Defined Benefit [Member]
Note 8 - Employee Benefit Plans (Details) - Benefit Obligation And Prepaid Benefit Costs Assumptions [Line Items]
Discount rate: projected benefit obligation	4.00%	4.75%

XML

Note 13 - Income (Loss) per Common Share (Details) (USD $)	3 Months Ended
	Jun. 30, 2012	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Earnings Per Share [Abstract]
Preferred Stock, Shares Outstanding		157,816	157,816	157,816
Common Stock, Shares Authorized		500,000,000	500,000,000	500,000,000
Common Stock, Par or Stated Value Per Share (in Dollars per share)		$ 0.25	$ 0.25	$ 0.25
Common Stock, Shares, Outstanding		342,638,214	285,209,848	285,289,924
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	605,005

XML

Note 5 - Income Taxes (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Current:
Federal	$	1,761		$	(144	)	$	3,992		$	3,528
State		(733	)		2			173			553
Foreign		115			115			230			230
Total current income tax provision (benefit)		1,143			(27	)		4,395			4,311
Deferred income tax provision (benefit)		(7,938	)		720			(3,775	)		3,697
Total income tax provision (benefit)	$	(6,795	)	$	693		$	620		$	8,008

	2012			2011		2010
Current:
Federal	$	7,411		$	3,823	$	10,063
State		(325	)		752		6,694
Foreign		459			459		459
Total current income tax provision		7,545			5,034		17,216
Federal and state deferred income tax (benefit) provision		1,334			76,944		(140,748	)
Total income tax (benefit) provision	$	8,879		$	81,978	$	(123,532	)

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]

	2012			2011			2010
Domestic	$	37,025		$	244,833		$	(66,348	)
Foreign		(13,192	)		(11,691	)		(8,201	)
Total	$	23,833		$	233,142		$	(74,549	)

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

	2012					2011					2010
Computed “statutory” (benefit) provision	$	8,342		35	%	$	81,600		35	%	$	(26,092	)	(35	)%
Percentage depletion		(5,575	)	(24	)		(13,751	)	(6	)		(8,858	)	(12	)
Net increase (utilization) of U.S. and foreign tax loss carryforwards		3,837		16			3,822		2			2,713		3
Change in valuation allowance other than utilization		—		—			—		—			(88,069	)	(118	)
State taxes, net of federal taxes		1,110		5			10,890		5			(4,717	)	(6	)
Effect of U.S. AMT, foreign taxes other		1,165		5			(583	)	(1	)		1,491		2
	$	8,879		37	%	$	81,978		35	%	$	(123,532	)	(13	)%

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

	December 31,
	2012			2011
Deferred tax assets:
Accrued reclamation costs	$	45,653		$	62,225
Deferred exploration		32,396			18,585
Foreign net operating losses		20,247			20,234
Federal net operating losses		44,146			47,875
State net operating losses		668			2,445
AMT credit carryforwards		24,603			15,210
Pension and benefit obligation		12,488			9,940
Miscellaneous		17,437			16,002
Total deferred tax assets		197,638			192,516
Valuation allowance		(23,030	)		(22,895	)
Total deferred tax assets		174,608			169,621
Deferred tax liabilities:
Unrealized gain on derivatives contracts		(1,262	)		(13,293	)
Properties, plants and equipment		(57,583	)		(40,490	)
Total deferred tax liabilities		(58,845	)		(53,783	)
Net deferred tax asset	$	115,763		$	115,838

Summary of Positions for which Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Table Text Block]

		2,012			2,011			2,010
Balance at beginning of year	$	(22,895	)	$	(19,073	)	$	(104,429	)
Increase related to non-utilization of net operating loss carryforwards and non-recognition of deferred tax assets due to uncertainty of recovery		(3,837	)		(3,822	)		(2,713	)
Decrease related to net recognition of deferred tax assets		—			—			88,069
Decrease related to utilization and expiration of deferred tax assets, other		3,702			—			—
Balance at end of year	$	(23,030	)	$	(22,895	)	$	(19,073	)

XML

Note 2 - Cash, Investments, and Restricted Cash (Details) (USD $)	1 Months Ended	3 Months Ended	6 Months Ended	12 Months Ended				3 Months Ended					6 Months Ended
	Feb. 28, 2011	Dec. 31, 2011	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Dec. 31, 2009	Dec. 31, 2012 Equity Shares [Member]	Jun. 30, 2013 Non-Current Investments Held Having Net Gain Position [Member]	Dec. 31, 2012 Non-Current Investments Held Having Net Gain Position [Member]	Jun. 30, 2013 Non-Current Investments Held Having Net Loss Position [Member]	Dec. 31, 2012 Non-Current Investments Held Having Net Loss Position [Member]	Jun. 30, 2013 Aurizon Mines Ltd [Member]
Note 2 - Cash, Investments, and Restricted Cash (Details) [Line Items]
Long-term Investments		$ 3,923,000	$ 8,766,000	$ 9,614,000	$ 3,923,000
Tax Basis of Investments, Cost for Income Tax Purposes		3,500,000	12,700,000	8,100,000	3,500,000
Other than Temporary Impairment Losses, Investments		100,000		1,171,000	140,000	739,000		1,200,000
Payments to Acquire Investments			5,738,000	5,823,000									300,000
Cost Basis Of Short Term Investments	800,000
Proceeds from Sale of Short-term Investments	1,400,000
Gain (Loss) on Sale of Investments	600,000
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax		835,000		2,059,000	835,000	1,462,000	744,000		3,900,000	1,600,000	53,000	137,000,000
Restricted Investments		900,000	5,300,000	900,000	900,000
Cost Method Investments			1,600,000
Proceeds from Sale of Long-term Investments			1,800,000
Equity Method Investment, Ownership Percentage			29.40%
Equity Method Investments			$ 800,000

XML

Note 6 - Business Segments (Details) - Information About Reportable Segments (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Segment Reporting Information [Line Items]
Net sales to unaffiliated customers	$ 85,330	$ 67,019	$ 161,780	$ 158,172	$ 321,143	$ 477,634	$ 418,813
Income (loss) from operations	(32,622)	(2,481)	(34,835)	22,955	37,866	197,645	(51,555)
Greens Creek [Member]
Segment Reporting Information [Line Items]
Net sales to unaffiliated customers	70,082	67,023	142,731	157,923	320,895	342,906	313,318
Income (loss) from operations	9,802	23,313	36,991	70,695	138,245	181,116	138,973
Lucky Friday [Member]
Segment Reporting Information [Line Items]
Net sales to unaffiliated customers	5,128	(4)	8,929	249	248	134,728	105,495
Income (loss) from operations	(2,757)	(6,498)	(6,604)	(12,441)	(25,179)	75,608	48,639
Casa Berardi [Member]
Segment Reporting Information [Line Items]
Net sales to unaffiliated customers	10,120		10,120
Income (loss) from operations	(13,356)		(13,356)
Other Segments [Member]
Segment Reporting Information [Line Items]
Income (loss) from operations	$ (26,311)	$ (19,296)	$ (51,866)	$ (35,299)	$ (75,200)	$ (59,079)	$ (239,167)

XML

Note 9 - Shareholders' Equity

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Stockholders' Equity Note [Abstract]

Stockholders' Equity Note Disclosure [Text Block]

Note 8.    Shareholders’ Equity

Share-based Compensation Plans

We periodically grant restricted stock unit awards and/or shares of common stock to our employees and directors. Grants to individual executives upon hiring or retention vest over a defined service period, with cost amortized over that period. We measure compensation cost for restricted stock units and stock grants at the closing price of our stock at the time of grant. Restricted stock unit grants vest after a named period with compensation cost amortized over that period. Previously, we also granted stock options, but currently do not. Although we have no current plans to issue stock options, we may do so in the future.

On June 21, 2013, the Board of Directors granted 954,438 restricted stock units to employees, with one third of those vesting in June 2014, one third vesting in June 2015, and one third vesting in June 2016. The Board of Directors granted an additional 633,960 restricted stock units on June 21, 2013 that vest in June 2014. The $2.8 million in expense related to the unit awards vesting in 2014 will be recognized on a straight-line basis over the next twelve months, while the $2.9 million in expense related to awards vesting in each of 2015 and 2016 will be recognized over the next twenty-four and thirty-six month periods, respectively.

In the second quarter of 2013, a total of 122,250 common shares were issued to nonemployee directors. We issued a total of 77,976 common shares to nonemployee directors in the second quarter of 2012.

Stock-based compensation expense for restricted stock unit grants to employees and shares issued to nonemployee directors recorded in the first six months of 2013 totaled $1.9 million, compared to $1.5 million in the same period last year.

Under the terms of our equity compensation plans, we have permitted our employees' withholding tax obligations with respect to shares awarded thereunder which have vested to be satisfied by net share settlement. As a result, in the first half of 2013, we repurchased 83,433 shares for $0.1 million, or approximately $1.55 per share.

Common Stock Dividends

In September 2011 and February 2012, our Board of Directors adopted a common stock dividend policy that has two components: (1) a dividend that links the amount of dividends on our common stock to our average quarterly realized silver price in the preceding quarter, and (2) a minimum annual dividend of $0.01 per share of common stock, in each case, payable quarterly, when and if declared. For illustrative purposes only, the table below summarizes potential per share dividend amounts at different quarterly average realized price levels according to the first component of the policy:

Quarterly average realized silver price per ounce		Quarterly dividend per share		Annualized dividend per share
$	30	$	0.01	$	0.04
$	35	$	0.02	$	0.08
$	40	$	0.03	$	0.12
$	45	$	0.04	$	0.16
$	50	$	0.05	$	0.20
$	55	$	0.06	$	0.24
$	60	$	0.07	$	0.28

On August 6, 2013, our Board of Directors declared a common stock dividend, pursuant to the minimum annual dividend component of the policy described above, of $0.0025 per share, for a total dividend of $0.9 million payable in September 2013. Because the average realized silver price for the second quarter of 2013 was $16.27 per ounce, below the minimum threshold of $30 according to the policy, no silver-price-linked component was declared or paid. The declaration and payment of common stock dividends is at the sole discretion of our Board of Directors.

Status of Warrants

The following table summarizes certain information about our stock purchase warrants at June 30, 2013:

Warrants Outstanding	Warrants		Exercise Price		Expiration Date
Series 1 warrants		5,200,519	$	2.40	June 2014
Series 1 warrants		460,976		2.51	June 2014
Series 3 warrants		16,671,128		2.45	August 2014
Total warrants outstanding		22,332,623

No warrants were exercised during the first six months of 2013.  Under the financial terms of the Consent Decree settling the Coeur d'Alene Basin litigation, the proceeds from the exercise of our outstanding warrants will be paid to the United States and the Coeur d'Alene Indian Tribe within 30 days after the end of the quarter when exercised. If the warrants are not exercised, we are responsible for its final payment under the Consent Decree. 

Common Stock Repurchase Program

On May 8, 2012, we announced that our Board of Directors approved a stock repurchase program.  Under the program, we are authorized to repurchase up to 20 million shares of our outstanding common stock from time to time in open market or privately negotiated transactions, depending on prevailing market conditions and other factors.  The repurchase program may be modified, suspended or discontinued by us at any time. Whether or not we engage in repurchases from time to time may depend on a variety of factors, including not only price and cash resources, but customary black-out restrictions, whether we have any material inside information, limitations on share repurchases or cash usage that may be imposed by our credit agreement or in connection with issuances of securities, alternative uses for cash, applicable law, and other investment opportunities from time to time. As of June 30, 2013, 400,300 shares have been purchased at an average price of $5.56 per share, leaving 19.6 million shares that may yet be purchased under the program. The closing price of our common stock at August 6, 2013, was $2.95 per share.

Note 9: Shareholders’ Equity

Common Stock

We are authorized to issue 500,000,000 shares of common stock, $0.25 par value per share, of which 285,998,136 shares of common stock were issued as of December 31, 2012. All of our currently outstanding shares of common stock are listed on the New York Stock Exchange under the symbol “HL”.

Subject to the rights of the holders of any outstanding shares of preferred stock, each share of common stock is entitled to: (i) one vote on all matters presented to the stockholders, with no cumulative voting rights; (ii) receive such dividends as may be declared by the Board of Directors out of funds legally available therefor; and (iii) in the event of our liquidation or dissolution, share ratably in any distribution of our assets.

Dividends

In September 2011 and February 2012, our Board of Directors adopted a common stock dividend policy that has two components: (1) a dividend that links the amount of dividends on our common stock to our average quarterly realized silver price in the preceding quarter, and (2) a minimum annual dividend of $0.01 per share of common stock, in each case, payable quarterly, when declared. For illustrative purposes only, the table below summarizes potential per share dividend amounts at different quarterly average realized price levels according to the first component of the policy:

Quarterly average realized silver price per ounce		Quarterly dividend per share		Annual dividend per share
$	30	$	0.01	$	0.04
$	35	$	0.02	$	0.08
$	40	$	0.03	$	0.12
$	45	$	0.04	$	0.16
$	50	$	0.05	$	0.20
$	55	$	0.06	$	0.24
$	60	$	0.07	$	0.28

The following table summarizes the common stock dividends declared by our Board of Directors under the policy described above:

	(A)		(B)		(A+B)
Declaration date	Silver-price-linked component per share		Minimum annual component per share		Total dividend per share		Total dividend amount (in millions)		Month of payment
November 8, 2011	$	0.02	$	0	$	0.02	$	5.6	December 2011
February 17, 2012	$	0.01	$	0.0025	$	0.0125	$	3.6	March 2012
May 8, 2012	$	0.02	$	0.0025	$	0.0225	$	6.4	June 2012
August 7, 2012	$	—	$	0.0025	$	0.0025	$	0.7	September 2012
November 2, 2012	$	0.02	$	0.0025	$	0.0225	$	6.4	December 2012
February 25, 2013	$	—	$	0.0025	$	0.0025	$	0.7	anticipated in March 2013

Because the average realized silver prices for the second and fourth quarters of 2012 were $27.05 and $29.20 per ounce, respectively, below the minimum threshold of $30 according to the policy, no silver-price-linked component was declared or paid. However, on February 25, 2013, our Board of Directors declared a special common stock dividend of $0.01 per share, in addition to the minimum dividend of $0.0025 per share, for an aggregate dividend of $3.6 million payable in March 2013. Prior to 2011, no dividends had been declared on our common stock since 1990. The declaration and payment of common stock dividends is at the sole discretion of our Board of Directors.

Common Stock Repurchase Program

On May 8, 2012, we announced that our Board of Directors approved a stock repurchase program.  Under the program, we are authorized to repurchase up to 20 million shares of our outstanding common stock from time to time in open market or privately negotiated transactions, depending on prevailing market conditions and other factors.    The repurchase program may be modified, suspended or discontinued by us at any time. As of December 31, 2012, 350,300 shares have been repurchased under the program, at an average price of $5.54 per share, leaving 19.65 million shares that may yet be purchased under the program. The closing price of our common stock at February 21, 2013, was $4.90 per share.

 Status of Warrants

In December 2008, we issued 10.2 million shares of common stock, Series 1 warrants to purchase 8.1 million shares of common stock, and Series 2 warrants to purchase 7.7 million shares of common stock. The Series 2 warrants expired in February 2009. In February 2009, we issued 36.8 million shares of common stock and Series 3 warrants to purchase 18.4 million shares of common stock. Each of these issuances were made pursuant to a shelf registration statement filed in September 2007, which became ineffective subsequent to the issuance in February 2009. The following table summarizes certain information about our stock purchase warrants at December 31, 2012:

Warrants Outstanding	Warrants		Exercise Price		Expiration Date
Series 1 warrants		5,200,519	$	2.41	June 2014
Series 1 warrants		460,976		2.52	June 2014
Series 3 warrants		16,671,128		2.46	August 2014
Total warrants outstanding		22,332,623

During 2011, warrants to purchase approximately 2.1 million shares of our common stock were exercised, resulting in net proceeds to us of approximately $5.3 million.  No warrants were exercised during 2012. Under the terms of the Consent Decree settling the Coeur d'Alene Basin litigation, the proceeds from the exercise of our outstanding warrants will be paid to the Plaintiffs within 30 days after the end of the quarter when exercised.  As such, proceeds from Series 1 and Series 3 warrant exercises totaling approximately $0.7 million and $9.8 million were paid to the Plaintiffs in 2012 and 2011, respectively.

Preferred Stock

Our certificate of incorporation authorizes us to issue 5,000,000 shares of preferred stock, par value $0.25 per share. The preferred stock is issuable in series with such voting rights, if any, designations, powers, preferences and other rights and such qualifications, limitations and restrictions as may be determined by our Board of Directors. The Board may fix the number of shares constituting each series and increase or decrease the number of shares of any series. As of December 31, 2012, 157,816 shares of Series B Preferred Stock were outstanding. Our Series B Preferred Stock is listed on the New York Stock Exchange under the symbol “HL PB.”

On January 1, 2011, all 2,012,500 outstanding shares of our 6.5% Mandatory Convertible Preferred Stock were automatically converted to shares of our common stock at a conversion rate of 9.3773 shares of Common Stock for each share of 6.5% Mandatory Convertible Preferred Stock.  We issued approximately 18.9 million shares of common stock in connection with the mandatory conversion.

Ranking

The Series B Preferred Stock ranks senior to our common stock and any shares of Series A Junior Participating Preferred shares (none of which have ever been issued) with respect to payment of dividends, and amounts upon liquidation, dissolution or winding up.

While any shares of Series B Preferred Stock are outstanding, we may not authorize the creation or issue of any class or series of stock that ranks senior to the Series B Preferred Stock as to dividends or upon liquidation, dissolution or winding up without the consent of the holders of 66 2/3% of the outstanding shares of Series B Preferred Stock and any other series of preferred stock ranking on a parity with respect to the Series B Preferred Stock as to dividends and upon liquidation, dissolution or winding up, voting as a single class without regard to series.

Dividends

Series B preferred stockholders are entitled to receive, when, as and if declared by the Board of Directors out of our assets legally available therefor, cumulative cash dividends at the rate per annum of $3.50 per share of Series B Preferred Stock. Dividends on the Series B Preferred Stock are payable quarterly in arrears on October 1, January 1, April 1 and July 1 of each year (and, in the case of any undeclared and unpaid dividends, at such additional times and for such interim periods, if any, as determined by the Board of Directors), at such annual rate. Dividends are cumulative from the date of the original issuance of the Series B Preferred Stock, whether or not in any dividend period or periods we have assets legally available for the payment of such dividends. Accumulations of dividends on shares of Series B Preferred Stock do not bear interest. We declared and paid our regular quarterly dividend of $0.875 per share on the outstanding Preferred B shares through the third quarter of 2008.

Dividends on our 6.5% Mandatory Convertible Preferred Stock were payable on a cumulative basis when, as, and if declared by our board of directors, at an annual rate of 6.5% per share on the liquidation preference of $100 per share in cash, common stock, or a combination thereof, on January 1, April 1, July 1, and October 1 of each year to, and including, January 1, 2011.  We declared and paid our quarterly dividends on the 6.5% Mandatory Convertible Preferred Stock through the third quarter of 2008. On August 29, 2008 the Board of Directors declared that the regular quarterly dividend on the outstanding 6.5% Mandatory Convertible Preferred Stock in the amount of $1.625 per share would be paid in common stock of Hecla, for a total amount of approximately $3.27 million in common stock (with cash for fractional shares). The value of the shares of common stock issued as dividends was calculated at 97% of the average of the closing prices of our common stock over the five consecutive trading day period ending on the second trading day immediately preceding the dividend payment date.

On December 5, 2008 the Board of Directors announced that in the interest of cash conservation, quarterly payment of dividends to the holders of both the Hecla Series B Preferred Stock and the 6.5% Mandatory Convertible Preferred Stock would be deferred.  On December 1, 2009, we announced that our Board of Directors elected to declare and pay all dividends in arrears and the dividend scheduled for the fourth quarter of 2009 for each of our outstanding series of preferred stock.  In January 2010, the $0.7 million in dividends declared and unpaid on our Series B Preferred Stock was paid in cash, and the dividends declared and unpaid on our 6.5% Mandatory Convertible Preferred stock were paid in common stock, for a total amount of approximately $16.4 million in our common stock (with cash for fractional shares).  We continued to declare and pay quarterly dividends on our Series B and 6.5% Mandatory Convertible Preferred Stock in 2010.  Each quarterly dividend declared for the Series B Preferred Stock through 2010 was paid in cash, for a total of $0.6 million in cash dividends declared in 2010, or $3.50 per share.  Dividends declared for the first and second quarters of 2010 for the 6.5% Mandatory Convertible Preferred Stock were paid in shares of common stock (with cash for fractional shares).  The value of the shares of common stock issued as dividends was calculated at 97% of the average of the closing prices of our common stock over the five consecutive trading day period ending on the second day immediately preceding the dividend payment date.  Dividends declared for the third and fourth quarters of 2010 for the 6.5% Mandatory Convertible Preferred Stock were paid in cash, for a total $6.5 million in cash dividends declared in 2010, or $3.25 per share.  The fourth quarter dividend, which was the final dividend to be paid on the 6.5% Mandatory Convertible Preferred Stock as a result of its mandatory conversion to common stock, was paid in cash in January 2011. All quarterly dividends on our Series B Preferred Stock for 2011 and 2012 were declared and paid in cash.

Redemption

The Series B Preferred Stock is redeemable at our option, in whole or in part, at $50 per share, plus, all dividends undeclared and unpaid on the Series B Preferred Stock up to the date fixed for redemption.

Liquidation Preference

The Series B preferred stockholders are entitled to receive, in the event that we are liquidated, dissolved or wound up, whether voluntary or involuntary, $50 per share of Series B Preferred Stock plus an amount per share equal to all dividends undeclared and unpaid thereon to the date of final distribution to such holders (the “Liquidation Preference”), and no more. Until the Series B preferred stockholders have been paid the Liquidation Preference in full, no payment will be made to any holder of Junior Stock upon our liquidation, dissolution or winding up. The term “Junior Stock” means our common stock and any other class of our capital stock issued and outstanding that ranks junior as to the payment of dividends or amounts payable upon liquidation, dissolution and winding up to the Series B Preferred Stock. As of December 31, 2012 and 2011, our Series B Preferred Stock had a liquidation preference of $7.9 million.

 Voting Rights

Except in certain circumstances and as otherwise from time to time required by applicable law, the Series B preferred stockholders have no voting rights and their consent is not required for taking any corporate action. When and if the Series B preferred stockholders are entitled to vote, each holder will be entitled to one vote per share.

Conversion

Each share of Series B Preferred Stock is convertible, in whole or in part at the option of the holders thereof, into shares of common stock at a conversion price of $15.55 per share of common stock (equivalent to a conversion rate of 3.2154 shares of common stock for each share of Series B Preferred Stock). The right to convert shares of Series B Preferred Stock called for redemption will terminate at the close of business on the day preceding a redemption date (unless we default in payment of the redemption price).

Each share of our 6.5% Mandatory Convertible Preferred Stock automatically converted on January 1, 2011, into 9.3773 shares of our Common Stock, representing approximately 18.9 million common shares.

Stock Award Plans

We use stock-based compensation plans to aid us in attracting, retaining and motivating our employees, as well as to provide us with the ability to provide incentives more directly linked to increases in stockholder value. These plans provide for the grant of options to purchase shares of our common stock and the issuance of restricted share units of our common stock.

Stock-based compensation expense amounts recognized for the years ended December 31, 2012, 2011 and 2010 were approximately $3.1 million, $2.1 million, and $3.4 million, respectively.  Over the next twelve months, we expect to recognize approximately $2.0 million in additional compensation expense as the remaining options and units vest.

Stock Incentive Plans

Our 1995 Stock Incentive Plan, as amended in 2004, authorized the issuance of up to 11.0 million shares of our common stock pursuant to the grant or exercise of awards under the plan. During 2009, 514,238 options to acquire shares expired under the 1995 plan, and such options became available for re-grant under the 1995 plan. However, the 1995 plan terminated in May 2010.  

 During the second quarter of 2010, our shareholders voted to approve the adoption of our 2010 Stock Incentive Plan and to reserve up to 20,000,000 shares of common stock for issuance under the plan.  The Board of Directors committee that administers the 2010 plan has broad authority to fix the terms and conditions of individual agreements with participants, including the duration of the award and any vesting requirements. As of December 31, 2012, there were 19,605,740 shares available for future grant under the 2010 plan.

Directors’ Stock Plan

In 1995, we adopted the Hecla Mining Company Stock Plan for non-employee Directors (the “Directors’ Stock Plan”), which may be terminated by our Board of Directors at any time. Each non-employee director is to be credited on May 30 of each year with that number of shares determined by dividing $24,000 by the average closing price for our common stock on the New York Stock Exchange for the prior calendar year. All credited shares are held in trust for the benefit of each director until delivered to the director. Delivery of the shares from the trust occurs upon the earliest of: (1) death or disability; (2) retirement; (3) a cessation of the director’s service for any other reason; or (4) a change in control. The shares of our common stock credited to non-employee directors pursuant to the Directors’ Stock Plan may not be sold until at least six months following the date they are delivered. A maximum of one million shares of common stock may be granted pursuant to the Directors’ Stock Plan. During 2012, 2011 and 2010, respectively, 18,492, 22,884 and 48,825 shares were credited to the non-employee directors. During 2012, 2011 and 2010, $80,000, $194,000 and $168,000, respectively, were charged to operations associated with the Directors’ Stock Plan. At December 31, 2012, there were 622,685 shares available for grant in the future under the plan.

In addition to the foregoing, commencing in 2010, in May of each year each non-employee director is also granted an additional $24,000 worth of our common stock under our 2010 Stock Incentive Plan (for a total of $48,000 in annual stock grants under the two plans). For 2012, 2011 and 2010, respectively, 59,484, 19,752 and 33,068 shares were credited to the non-employee directors, and $275,000, $147,000 and $263,000, respectively, were charged to operations associated with the 2010 Stock Incentive Plan.

 Status of Stock Options

The fair value of the options granted during the year ended December 31, 2010 were estimated on the date of grant using the Black-Scholes option-pricing model with the weighted average assumptions given below:

	2010
Weighted average fair value of options granted	$	3.18
Expected stock price volatility		92.00	%
Risk-free interest rate		1.43	%
Expected life of options (in years)		2.9

Options were not granted during the years ended December 31, 2012 and 2011.

We estimate forfeiture and volatility using historical information. The risk-free interest rate is based on the implied yield available on U.S. Treasury zero-coupon issues over the equivalent lives of the options. The expected life of the options represents the estimated period of time until exercise and is based on historical experience of similar awards, giving consideration to the contractual terms and vesting schedules. Prior to 2011, we had not paid dividends on common stock since 1990. Therefore, no assumption of dividend payment was made in the models used in the valuations of options granted in 2010.

During 2010, options to acquire 352,517 shares were granted to our officers and key employees, with no options granted during 2011 and 2012. Of the options granted in 2010, 322,854 were granted without vesting requirements.  The aggregate intrinsic value of options outstanding and exercisable as of December 31, 2012 before applicable income taxes was $0.9 million, based on our closing stock price of $5.83 per common share at December 31, 2012. All options outstanding were fully vested at December 31, 2012.

Transactions concerning stock options pursuant to our stock option plans are summarized as follows:

	Shares Subject to Options			Weighted Average Exercise Price
Outstanding, December 31, 2011		1,194,796		$	6.72
Expired		(256,388	)	$	8.56
Outstanding, December 31, 2012		938,408		$	6.23

All of the outstanding options above were exercisable at December 31, 2012. The weighted average remaining contractual term of options outstanding and exercisable at December 31, 2012 was one year.

There were no options exercised during 2012. The aggregate intrinsic values of options exercised during the years ended December 31, 2011 and 2010 were approximately $0.6 million and $1.5 million, respectively. We received cash proceeds of $0.5 million for options exercised in 2011 and $3.4 million for options exercised in 2010.

Restricted Stock Units

Unvested restricted stock units, for which the board of directors has approved grants to employees, are summarized as follows: 

	Shares			Weighted Average Grant Date Fair Value per Share
Unvested, January 1, 2012		561,276		$	6.39
Granted		723,669		$	4.51
Canceled		(16,461	)	$	7.29
Distributed		(231,338	)	$	6.65
Unvested, December 31, 2012		1,037,146		$	5.11

Of the 1,037,146 units unvested at December 31, 2012, 202,662 will vest in June 2013, 180,732 will vest in March 2014, and 145,952 will vest in June 2015 and June 2016, respectively.  Remaining units will be distributable based on predetermined dates as elected by the participants, unless participants forfeit their units through termination of employment in advance of vesting. We have recognized approximately $2.0 million in compensation expense since grant date, and will record an additional $3.3 million in compensation expense over the remaining vesting period related to these units.

54,870 stock units vested in 2012 and 314,826 stock units vested in 2011 were distributed or deferred as elected by the recipients under the provisions of the deferred compensation plan. We recognized approximately $0.2 million and $0.5 million in compensation expense related to these units in 2012 and 2011, respectively.

In connection with the vesting of restricted stock units, employees usually, at their election, choose to satisfy their tax withholding obligations through net share settlement, pursuant to which the Company withholds the number of shares necessary to satisfy such withholding obligations.  As a result, in 2012 we repurchased 45,341 shares for $0.2 million, or approximately $4.47 per share. 

XML

Note 13 - Income (Loss) per Common Share (Details) - Potential Dilutive Common Shares	3 Months Ended	12 Months Ended
	Jun. 30, 2012	Dec. 31, 2012 Equity Option [Member]	Dec. 31, 2011 Equity Option [Member]	Dec. 31, 2010 Equity Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options	605,005	570,005	552,388	596,388

XML

Note 14 - Guarantor Subsidiaries (Details) - Condensed Consolidating Statements of Operations (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Condensed Income Statements, Captions [Line Items]
Revenues	$ 85,330	$ 67,019	$ 161,780	$ 158,172	$ 321,143	$ 477,634	$ 418,813
Cost of sales	(80,219)	(43,051)	(131,051)	(86,002)	(177,627)	(212,639)	(223,994)
Depreciation, depletion, amortization	(20,211)	(9,879)	(34,218)	(19,540)	(43,522)	(47,066)	(60,011)
General and administrative	(7,482)	(5,527)	(14,421)	(10,028)	(21,253)	(18,540)	(18,219)
Exploration and pre-development	(6,221)	(7,146)	(12,714)	(12,757)	(31,822)	(26,959)	(21,605)
Gain on derivative contracts			7,200		10,500	7,100
Aurizon acquisition costs	(20,308)		(25,600)
Income (loss) before income taxes	(31,653)	3,217	(13,144)	23,104	23,833	233,142	(74,549)
(Provision) benefit from income taxes	6,795	(693)	(620)	(8,008)	(8,879)	(81,978)	123,532
Net income (loss)	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Comprehensive income (loss)	(26,802)	1,938	(18,539)	14,291	14,534	142,783	48,048
Preferred stock dividends	138	138	276	276	552	552	13,633
Income (loss) applicable to common shareholders	(24,996)	2,386	(14,040)	14,820	14,402	150,612	35,350
Parent Company [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	372	869	2,785	(122)	(1,346)	7,140	(3,033)
General and administrative	(3,993)	(3,089)	(7,465)	(5,664)	11,519	10,355	11,030
Exploration and pre-development	(253)	(268)	(417)	(401)	1,262	407	916
Gain on derivative contracts	6,541	6,171	28,080	940		37,988
Aurizon acquisition costs	(14,148)		(14,148)
Equity in earnings (losses) of subsidiaries	(13,625)	(2,740)	(14,698)	13,847	21,246	254,902	(9,618)
Other	248	1,581	(7,901)	6,496	18,292	(138,104)	94,338
Income (loss) before income taxes	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Net income (loss)	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Changes in comprehensive income (loss)	(1,944)	586	(4,775)	(805)	(420)	(8,381)	(935)
Comprehensive income (loss)	(26,802)	1,938	(18,539)	14,291	14,534	142,783	48,048
Preferred stock dividends	(138)	(138)	(276)	(276)	(552)	(552)	(13,633)
Income (loss) applicable to common shareholders	(24,996)	2,386	(14,040)	14,820	14,402	150,612	35,350
Guarantor Subsidiaries [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	74,838	66,150	148,875	158,294	322,489	470,494	421,846
Cost of sales	(51,777)	(33,172)	(88,602)	(66,462)	134,105	165,573	163,983
Depreciation, depletion, amortization	(16,887)	(9,879)	(30,894)	(19,540)	43,522	47,066	60,011
General and administrative	(3,137)	(2,455)	(6,547)	(4,248)	9,519	7,909	7,023
Exploration and pre-development	(8,553)	(8,272)	(16,748)	(15,042)	38,700	23,548	16,249
Closed operations		(1,492)		(2,692)	(2,259)	(8,961)	(200,458)
Aurizon acquisition costs	1,422
Other	3,643	(7,310)	1,943	(13,269)	(27,747)	4,920	7,073
Income (loss) before income taxes	(451)	3,570	8,027	37,041	66,637	222,357	(18,805)
(Provision) benefit from income taxes	211	(2,854)	(5,254)	(15,780)	29,802	(44,448)	(17,578)
Net income (loss)	(240)	716	2,773	21,261	36,835	266,805	(1,227)
Changes in comprehensive income (loss)	4,257	(764)	3,830	(1,135)	(911)	(3,089)	497
Comprehensive income (loss)	4,017	(48)	6,603	20,126	35,924	263,716	(730)
Income (loss) applicable to common shareholders	(240)	716	2,773	21,261	36,835	266,805	(1,227)
Non-Guarantor Subsidiaries [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	10,120		10,120
Cost of sales	(8,231)		(8,231)
Depreciation, depletion, amortization	(3,324)		(3,324)
General and administrative	(352)	17	(409)	(116)	215	276	166
Exploration and pre-development	(1,927)	(2,077)	(4,852)	(4,151)	9,776	7,450	4,440
Closed operations		(743)		(1,721)	(2,393)	(786)	(678)
Aurizon acquisition costs	(11,080)		(11,452)
Other	(3,225)	(653)	(3,957)	(1,426)	(3,207)	(3,391)	(3,106)
Income (loss) before income taxes	(18,019)	(3,456)	(22,105)	(7,414)	(15,591)	(11,903)	(8,390)
(Provision) benefit from income taxes	6,321		6,321
Net income (loss)	(11,698)	(3,456)	(15,784)	(7,414)	(15,591)	(11,903)	(8,390)
Changes in comprehensive income (loss)	(1,425)	(132)	(3,830)	(130)	1,438	(679)	458
Comprehensive income (loss)	(13,123)	(3,588)	(19,614)	(7,544)	(14,153)	(12,582)	(7,932)
Income (loss) applicable to common shareholders	(11,698)	(3,456)	(15,784)	(7,414)	(15,591)	(11,903)	(8,390)
Consolidation, Eliminations [Member]
Condensed Income Statements, Captions [Line Items]
Equity in earnings (losses) of subsidiaries	13,625	2,740	14,698	(13,847)	(21,246)	(254,902)	9,618
Other	(1,950)	(2,161)		(7,772)	(20,921)	126,426	(105,955)
Income (loss) before income taxes	11,675	579	14,698	(21,619)	(42,167)	(128,476)	(96,337)
(Provision) benefit from income taxes	263	2,161	(1,687)	7,772	(20,923)	126,426	(105,954)
Net income (loss)	11,938	2,740	13,011	(13,847)	(21,244)	(254,902)	9,617
Changes in comprehensive income (loss)	(2,832)	896		1,265	(527)	3,768	(955)
Comprehensive income (loss)	9,106	3,636	13,011	(12,582)	(21,771)	(251,134)	8,662
Income (loss) applicable to common shareholders	11,938	2,740	13,011	(13,847)	(21,244)	(254,902)	9,617
Consolidated Entities [Member]
Condensed Income Statements, Captions [Line Items]
Revenues	85,330	67,019	161,780	158,172	321,143	477,634	418,813
Cost of sales	(60,008)	(33,172)	(96,833)	(66,462)	134,105	165,573	163,983
Depreciation, depletion, amortization	(20,211)	(9,879)	(34,218)	(19,540)	43,522	47,066	60,011
General and administrative	(7,482)	(5,527)	(14,421)	(10,028)	21,253	18,540	18,219
Exploration and pre-development	(10,733)	(10,617)	(22,017)	(19,594)	49,738	31,405	21,605
Gain on derivative contracts	6,541	6,171	28,080	940		37,988
Closed operations		(2,235)		(4,413)	(4,652)	(9,747)	(201,136)
Aurizon acquisition costs	(23,806)		(25,600)
Other	(1,284)	(8,543)	(9,915)	(15,971)	(33,583)	(10,149)	(7,650)
Income (loss) before income taxes	(31,653)	3,217	(13,144)	23,104	23,833	233,142	(74,549)
(Provision) benefit from income taxes	6,795	(693)	(620)	(8,008)	8,879	81,978	(123,532)
Net income (loss)	(24,858)	2,524	(13,764)	15,096	14,954	151,164	48,983
Changes in comprehensive income (loss)	(1,944)	(586)	(4,775)	(805)	(420)	(8,381)	(935)
Comprehensive income (loss)	(26,802)	1,938	(18,539)	14,291	14,534	142,783	48,048
Preferred stock dividends	(138)	(138)	(276)	(276)	(552)	(552)	(13,633)
Income (loss) applicable to common shareholders	$ (24,996)	$ 2,386	$ (14,040)	$ 14,820	$ 14,402	$ 150,612	$ 35,350

XML

Note 9 - Shareholders' Equity (Details) - Common Stock Dividends Declared by our Board of Directors (USD $)	Dec. 31, 2012
November 8, 2012 [Member]
Dividends Payable [Line Items]
Silver-price-linked component per share	$ 0.02
Minimum annual component per share	$ 0
Total dividend per share	$ 0.02
Total dividend amount (in Dollars)	$ 5.6
February 17, 2012 [Member]
Dividends Payable [Line Items]
Silver-price-linked component per share	$ 0.01
Minimum annual component per share	$ 0.0025
Total dividend per share	$ 0.0125
Total dividend amount (in Dollars)	3.6
May 8, 2012 [Member]
Dividends Payable [Line Items]
Silver-price-linked component per share	$ 0.02
Minimum annual component per share	$ 0.0025
Total dividend per share	$ 0.0225
Total dividend amount (in Dollars)	6.4
August 7, 2012 [Member]
Dividends Payable [Line Items]
Minimum annual component per share	$ 0.0025
Total dividend per share	$ 0.0025
Total dividend amount (in Dollars)	0.7
November 2, 2012 [Member]
Dividends Payable [Line Items]
Silver-price-linked component per share	$ 0.02
Minimum annual component per share	$ 0.0025
Total dividend per share	$ 0.0225
Total dividend amount (in Dollars)	6.4
February 00, 2013 [Member]
Dividends Payable [Line Items]
Minimum annual component per share	$ 0.0025
Total dividend per share	$ 0.0025
Total dividend amount (in Dollars)	$ 0.7

XML

Note 5 - Income Taxes

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

Note 3.   Income Taxes

Major components of our income tax provision (benefit) for the three and six months ended June 30, 2013 and 2012 are as follows (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Current:
Federal	$	1,761		$	(144	)	$	3,992		$	3,528
State		(733	)		2			173			553
Foreign		115			115			230			230
Total current income tax provision (benefit)		1,143			(27	)		4,395			4,311
Deferred income tax provision (benefit)		(7,938	)		720			(3,775	)		3,697
Total income tax provision (benefit)	$	(6,795	)	$	693		$	620		$	8,008

With the acquisition of Aurizon, we added a wholly owned Canadian subsidiary . For Canadian tax purposes, the transaction was treated as an acquisition of Aurizon stock, resulting in carryover tax bases of acquired corporate assets. As a result, a net deferred tax liability was recorded for the tax impact of the excess fair market value of assets for GAAP reporting over the Canadian tax bases of those assets. We recorded an initial deferred tax liability of $177.2 million.

As of June 30, 2013 we have a net deferred tax asset in the U.S. of $115.6 million and a net deferred tax liability in Canada of $169.0 million for a consolidated worldwide net deferred tax liability of $53.4 million. Our ability to utilize our deferred tax assets depends on future taxable income generated from operations. For the six months ended June 30, 2013, there were no circumstances that caused us to change our assessment of the ability to generate future taxable income to realize our deferred tax assets.   It is possible that the valuation allowance on our deferred tax assets will change in the future as a result of the analysis of our long-range forecasts, with a resulting tax provision or benefit.

The current income tax provisions and benefits for the six months ended June 30, 2013 and 2012 vary from the amounts that would have resulted from applying the statutory income tax rate to pre-tax income primarily due to the effects of U.S. percentage depletion, non-deductible expenses, and the change in valuation allowance related to foreign operations during the six months ended June 30, 2013.

Note 5: Income Taxes

Major components of our income tax provision (benefit) for the years ended December 31, 2012, 2011 and 2010 are as follows (in thousands):

	2012			2011		2010
Current:
Federal	$	7,411		$	3,823	$	10,063
State		(325	)		752		6,694
Foreign		459			459		459
Total current income tax provision		7,545			5,034		17,216
Federal and state deferred income tax (benefit) provision		1,334			76,944		(140,748	)
Total income tax (benefit) provision	$	8,879		$	81,978	$	(123,532	)

Domestic and foreign components of income (loss) before income taxes for the years ended December 31, 2012, 2011 and 2010, are as follows (in thousands): 

	2012			2011			2010
Domestic	$	37,025		$	244,833		$	(66,348	)
Foreign		(13,192	)		(11,691	)		(8,201	)
Total	$	23,833		$	233,142		$	(74,549	)

The annual tax provision (benefit) is different from the amount that would be provided by applying the statutory federal income tax rate to our pretax income (loss). The reasons for the difference are (in thousands):

	2012					2011					2010
Computed “statutory” (benefit) provision	$	8,342		35	%	$	81,600		35	%	$	(26,092	)	(35	)%
Percentage depletion		(5,575	)	(24	)		(13,751	)	(6	)		(8,858	)	(12	)
Net increase (utilization) of U.S. and foreign tax loss carryforwards		3,837		16			3,822		2			2,713		3
Change in valuation allowance other than utilization		—		—			—		—			(88,069	)	(118	)
State taxes, net of federal taxes		1,110		5			10,890		5			(4,717	)	(6	)
Effect of U.S. AMT, foreign taxes other		1,165		5			(583	)	(1	)		1,491		2
	$	8,879		37	%	$	81,978		35	%	$	(123,532	)	(13	)%

We evaluated the positive and negative evidence available to determine the amount of valuation allowance required on our deferred tax assets.  At December 31, 2012 and 2011, the balances of our valuation allowances were $23 million, primarily for foreign net operating loss carryforwards. For the year ended December 31, 2012, deferred tax assets remained constant, on a net basis, with utilization matching additions.  The individual components of our net deferred tax assets are reflected in the table below. For the year ended December 31, 2011, the U.S. federal and state deferred tax assets for tax loss carryforwards were reduced by utilization of approximately $71 million. Also, during the fourth quarter of 2010, due to increased gross profits and a favorable outlook for metal prices supporting future taxable income and our assessment that our deferred tax assets were more likely than not recoverable, we recorded a reduction in valuation allowance on U.S. deferred assets of $88 million. The amount of the deferred tax asset considered recoverable, however, could be reduced in the near term if estimates of future taxable income are reduced.

The components of the net deferred tax asset were as follows (in thousands):

	December 31,
	2012			2011
Deferred tax assets:
Accrued reclamation costs	$	45,653		$	62,225
Deferred exploration		32,396			18,585
Foreign net operating losses		20,247			20,234
Federal net operating losses		44,146			47,875
State net operating losses		668			2,445
AMT credit carryforwards		24,603			15,210
Pension and benefit obligation		12,488			9,940
Miscellaneous		17,437			16,002
Total deferred tax assets		197,638			192,516
Valuation allowance		(23,030	)		(22,895	)
Total deferred tax assets		174,608			169,621
Deferred tax liabilities:
Unrealized gain on derivatives contracts		(1,262	)		(13,293	)
Properties, plants and equipment		(57,583	)		(40,490	)
Total deferred tax liabilities		(58,845	)		(53,783	)
Net deferred tax asset	$	115,763		$	115,838

We plan to permanently reinvest earnings from foreign subsidiaries. For the years 2012, 2011 and 2010, we had no unremitted foreign earnings. Foreign net operating losses carried forward are shown above as a deferred tax asset, with a corresponding valuation allowance as discussed below.

We recorded a valuation allowance to reflect the estimated amount of deferred tax assets, which may not be realized principally due to the expiration of foreign net operating losses and foreign tax credit carryforwards. The changes in the valuation allowance for the years ended December 31, 2012, 2011 and 2010, are as follows (in thousands):

		2,012			2,011			2,010
Balance at beginning of year	$	(22,895	)	$	(19,073	)	$	(104,429	)
Increase related to non-utilization of net operating loss carryforwards and non-recognition of deferred tax assets due to uncertainty of recovery		(3,837	)		(3,822	)		(2,713	)
Decrease related to net recognition of deferred tax assets		—			—			88,069
Decrease related to utilization and expiration of deferred tax assets, other		3,702			—			—
Balance at end of year	$	(23,030	)	$	(22,895	)	$	(19,073	)

As of December 31, 2012, for U.S. income tax purposes, we have federal and state net operating loss carryforwards of $146 million and $25 million, respectively.  These net operating loss carryforwards have a 20 year expiration period, the earliest of which could expire in 2020.  We have foreign net operating loss carryforwards of approximately $68 million, which expire between 2013 and 2032. We have approximately $25 million in alternative minimum tax credit carryforwards which do not expire and are eligible to reduce future U.S. tax liabilities.  Our utilization of U.S. net operating loss carryforwards may be subject to annual limitations if there is a change in control as defined under Internal Revenue Code Section 382.

In addition, at December 31, 2012 and 2011 we had $19 million and $20 million, respectively, of additional federal net operating loss carryovers relating to excess tax benefits from the exercise of employee stock options and the vesting of restricted stock awards. These amounts are not reflected in our deferred tax asset for net operating loss carryovers. We recognize the excess tax benefits from the exercise of employee stock options and the vesting of restricted stock awards in the period in which these tax benefits reduce income taxes payable, after net operating loss carryforwards are fully utilized.

We file income tax returns in the U.S. federal jurisdiction, various state and foreign jurisdictions.  We are no longer subject to income tax examinations by U.S. federal and state tax authorities for years prior to 1996, or examinations by foreign tax authorities for years prior to 2006.  We currently have no tax years under examination.

We had no unrecognized tax benefits as of December 31, 2012 or December 31, 2011.  Due to the net operating loss carryover provision, coupled with the lack of any unrecognized tax benefits, we have not provided for any interest or penalties associated with any uncertain tax positions.  If interest and penalties were to be assessed, our policy is to charge interest to interest expense, and penalties to other operating expense.  It is not anticipated that there will be any significant changes to unrecognized tax benefits within the next 12 months.

XML

Consolidated Statements of Changes in Shareholders' Equity (Parentheticals) (USD $)	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Common stock dividends declared (in Dollars per share)		$ 0.02
Common Stock [Member] | Stock Issued To Directors [Member]
Shares issued, share based compensation (in Shares)		43,000	82,000
Common Stock [Member] | Bonuses Paid Through Stock Issuances [Member]
Shares issued, share based compensation (in Shares)		8,000	1,046,000
Common Stock [Member]
Options exercised, shares (in Shares)		78,000	696,000
Shares issued, share based compensation (in Shares)	78,000
Restricted stock unit distributions, shares (in Shares)	235,000	321,000	480,000
Warrants exercised, shares (in Shares)		2,147,000	14,215,000
6.5% Mandatory Convertible Preferred Stock dividends paid in common stock, shares (in Shares)	3,000	18,872,000	3,886,000
Common stock issued for assets purchased, shares (in Shares)		5,396,000
Treasury Stock [Member]
Repurchase of common shares (in Shares)	350,000

XML

Note 13 - Income (Loss) per Common Share (Details) - Weighted Average Common Shares (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Weighted Average Common Shares [Abstract]
Net income	$ (24,858)	$ 2,524	$ (13,764)	$ 15,096	$ 14,954	$ 151,164	$ 48,983
Preferred stock dividends	(138)	(138)	(276)	(276)	(552)	(552)	(13,633)
Net income applicable to common shares	(24,996)	2,386	(14,040)	14,820	14,402	150,612	35,350
Basic weighted average common shares (in Shares)	303,566	285,312	294,317	285,303	285,375	280,956	251,146
Dilutive stock options, restricted stock, and warrants					$ 12,191	$ 16,077	$ 18,455
Diluted weighted average common shares (in Shares)	303,566	295,160	294,317	296,100	297,566	297,033	269,601
Basic earnings per common share (in Dollars per share)	$ (0.08)	$ 0.01	$ (0.05)	$ 0.05	$ 0.05	$ 0.54	$ 0.14
Diluted earnings per common share (in Dollars per share)	$ (0.08)	$ 0.01	$ (0.05)	$ 0.05	$ 0.05	$ 0.51	$ 0.13

XML

Note 5 - Income Taxes (Details) - Domestic and Foreign Components of Income (Loss) from Operations Before Income Taxes (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 5 - Income Taxes (Details) - Domestic and Foreign Components of Income (Loss) from Operations Before Income Taxes [Line Items]
Income (loss) before income taxes	$ (31,653)	$ 3,217	$ (13,144)	$ 23,104	$ 23,833	$ 233,142	$ (74,549)
Domestic Tax Authority [Member]
Note 5 - Income Taxes (Details) - Domestic and Foreign Components of Income (Loss) from Operations Before Income Taxes [Line Items]
Income (loss) before income taxes					37,025	244,833	(66,348)
Foreign Tax Authority [Member]
Note 5 - Income Taxes (Details) - Domestic and Foreign Components of Income (Loss) from Operations Before Income Taxes [Line Items]
Income (loss) before income taxes					$ (13,192)	$ (11,691)	$ (8,201)

XML

Note 4 - Environmental and Reclamation Activities (Details) - Liabilities Accrued for Reclamation and Closure Costs (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Dec. 31, 2009
Operating properties:
Accrued reclemation and closure costs	$ 113,215	$ 153,811	$ 318,797	$ 131,201
Reclamation and closure costs, current	(19,845)	(42,248)
Reclamation and closure costs, long-term	93,370	111,563
Greens Creek [Member]
Operating properties:
Accrued reclemation and closure costs	32,856	36,123
Lucky Friday [Member]
Operating properties:
Accrued reclemation and closure costs	1,469	1,520
San Sebastian [Member]
Operating properties:
Accrued reclemation and closure costs	200	218
Grouse Creek [Member]
Operating properties:
Accrued reclemation and closure costs	2,484	13,262
Coeur d'Alene Basin [Member]
Operating properties:
Accrued reclemation and closure costs	70,786	95,081
Republic [Member]
Operating properties:
Accrued reclemation and closure costs	3,538	3,538
All Other Sites [Member]
Operating properties:
Accrued reclemation and closure costs	$ 1,882	$ 4,069

XML

Note 7 - Employee Benefit Plans (Details) - Net Periodic Pension Cost (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Net Periodic Pension Cost [Abstract]
Service cost	$ 1,058	$ 994	$ 2,115	$ 1,987
Interest cost	969	1,017	1,939	2,034
Expected return on plan assets	(1,205)	(1,145)	(2,409)	(2,290)
Amortization of prior service cost	98	100	195	200
Amortization of net (gain) loss	776	706	1,552	1,413
Net periodic benefit cost	$ 1,696	$ 1,672	$ 3,392	$ 3,344

XML

Note 11 - Business Segments and Significant Customers (Details) - Percentage Of Sales By Segment	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 11 - Business Segments and Significant Customers (Details) - Percentage Of Sales By Segment [Line Items]
Percentage Of Sales From Continuing Operations	100.00%	100.00%	100.00%
Greens Creek [Member]
Note 11 - Business Segments and Significant Customers (Details) - Percentage Of Sales By Segment [Line Items]
Percentage Of Sales From Continuing Operations	100.00%	71.80%	74.80%
Lucky Friday [Member]
Note 11 - Business Segments and Significant Customers (Details) - Percentage Of Sales By Segment [Line Items]
Percentage Of Sales From Continuing Operations		28.20%	25.20%

XML

Note 13 - Acquisition of Aurizon Mines Ltd. (Details) - Preliminary Purchase Price Allocation (Parentheticals) (USD $)	1 Months Ended	6 Months Ended
	Feb. 21, 2008	Jun. 30, 2013
Note 13 - Acquisition of Aurizon Mines Ltd. (Details) - Preliminary Purchase Price Allocation (Parentheticals) [Line Items]
Preferred stock par value (in Dollars per share)		$ 3.83
Preferred stock, shares issued (in Shares)	5,395,683	56,997,790

XML

Note 9 - Shareholders' Equity (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Stockholders' Equity Note [Abstract]

Dividend Payment Restrictions [Text Block]

Quarterly average realized silver price per ounce		Quarterly dividend per share		Annualized dividend per share
$	30	$	0.01	$	0.04
$	35	$	0.02	$	0.08
$	40	$	0.03	$	0.12
$	45	$	0.04	$	0.16
$	50	$	0.05	$	0.20
$	55	$	0.06	$	0.24
$	60	$	0.07	$	0.28

Quarterly average realized silver price per ounce		Quarterly dividend per share		Annual dividend per share
$	30	$	0.01	$	0.04
$	35	$	0.02	$	0.08
$	40	$	0.03	$	0.12
$	45	$	0.04	$	0.16
$	50	$	0.05	$	0.20
$	55	$	0.06	$	0.24
$	60	$	0.07	$	0.28

Schedule of Dividends Payable [Table Text Block]

	(A)		(B)		(A+B)
Declaration date	Silver-price-linked component per share		Minimum annual component per share		Total dividend per share		Total dividend amount (in millions)		Month of payment
November 8, 2011	$	0.02	$	0	$	0.02	$	5.6	December 2011
February 17, 2012	$	0.01	$	0.0025	$	0.0125	$	3.6	March 2012
May 8, 2012	$	0.02	$	0.0025	$	0.0225	$	6.4	June 2012
August 7, 2012	$	—	$	0.0025	$	0.0025	$	0.7	September 2012
November 2, 2012	$	0.02	$	0.0025	$	0.0225	$	6.4	December 2012
February 25, 2013	$	—	$	0.0025	$	0.0025	$	0.7	anticipated in March 2013

Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]

Warrants Outstanding	Warrants		Exercise Price		Expiration Date
Series 1 warrants		5,200,519	$	2.40	June 2014
Series 1 warrants		460,976		2.51	June 2014
Series 3 warrants		16,671,128		2.45	August 2014
Total warrants outstanding		22,332,623

Warrants Outstanding	Warrants		Exercise Price		Expiration Date
Series 1 warrants		5,200,519	$	2.41	June 2014
Series 1 warrants		460,976		2.52	June 2014
Series 3 warrants		16,671,128		2.46	August 2014
Total warrants outstanding		22,332,623

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]

	2010
Weighted average fair value of options granted	$	3.18
Expected stock price volatility		92.00	%
Risk-free interest rate		1.43	%
Expected life of options (in years)		2.9

Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]

	Shares Subject to Options			Weighted Average Exercise Price
Outstanding, December 31, 2011		1,194,796		$	6.72
Expired		(256,388	)	$	8.56
Outstanding, December 31, 2012		938,408		$	6.23

Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block]

	Shares			Weighted Average Grant Date Fair Value per Share
Unvested, January 1, 2012		561,276		$	6.39
Granted		723,669		$	4.51
Canceled		(16,461	)	$	7.29
Distributed		(231,338	)	$	6.65
Unvested, December 31, 2012		1,037,146		$	5.11

XML

Note 3 - Income Taxes (Details) - Major Components of Income Tax Provision (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Current:
Federal	$ 1,761	$ (144)	$ 3,992	$ 3,528	$ 7,411	$ 3,823	$ 10,063
State	(733)	2	173	553	(325)	752	6,694
Foreign	115	115	230	230	459	459	459
Total current income tax provision (benefit)	1,143	(27)	4,395	4,311	7,545	5,034	17,216
Deferred income tax provision (benefit)	(7,938)	720	(3,775)	3,697
Total income tax provision (benefit)	$ (6,795)	$ 693	$ 620	$ 8,008	$ 8,879	$ 81,978	$ (123,532)

XML

Note 17 - Guarantor Subsidiaries (Details) - Condensed Consolidating Balance Sheets (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Jun. 30, 2012	Dec. 31, 2011	Dec. 31, 2010	Dec. 31, 2009
Assets
Cash and cash equivalents	$ 296,375	$ 190,984	$ 233,327	$ 266,463	$ 283,606	$ 104,678
Other current assets	18,893	8,858		21,967
Properties, plants, and equipment - net	1,742,696	996,659		923,212
Other non-current assets	17,445	1,883		17,317
Total assets	2,272,455	1,378,290		1,396,090	1,382,493
Liabilities and Shareholders' Equity
Current liabilities	118,055	94,987		107,316
Long-term debt	490,104
Other non-current liabilities	41,407	40,047		30,833
Shareholders' equity	1,334,726	1,137,951		1,140,113	962,253	865,485
Total liabilities and shareholders' equity	2,272,455	1,378,290		1,396,090
Parent Company [Member]
Assets
Cash and cash equivalents	108,549	132,266		97,850
Other current assets	15,822	7,399		18,177
Properties, plants, and equipment - net	(379)			538
Intercompany receivable (payable)	515,528	113,234		124,423
Investments in subsidiaries	1,229,150	918,526		910,646
Other non-current assets	16,596	3,059		15,786
Total assets	1,885,266	1,174,484		1,167,420
Liabilities and Shareholders' Equity
Current liabilities	27,997	3,726		5,642
Long-term debt	490,104
Other non-current liabilities	32,439	32,807		21,665
Shareholders' equity	1,334,726	1,137,951		1,140,113
Total liabilities and shareholders' equity	1,885,266	1,174,484		1,167,420
Guarantor Subsidiaries [Member]
Assets
Cash and cash equivalents	55,453	57,075		168,433
Other current assets	47,956	65,658		63,822
Properties, plants, and equipment - net	1,020,770	991,476		922,502
Intercompany receivable (payable)	(113,583)	(64,893)		(74,026)
Other non-current assets	185,984	164,913		149,712
Total assets	1,196,580	1,214,229		1,230,443
Liabilities and Shareholders' Equity
Current liabilities	78,659	121,221		129,958
Long-term debt	13,622	11,875		6,192
Non-current portion of accrued reclamation	93,952	92,825		111,303
Other non-current liabilities	8,279	8,651		8,957
Shareholders' equity	989,209	979,657		974,033
Total liabilities and shareholders' equity	1,196,580	1,214,229		1,230,443
Non-Guarantor Subsidiaries [Member]
Assets
Cash and cash equivalents	132,373	1,643		180
Other current assets	33,344	766		1,131
Properties, plants, and equipment - net	722,305	5,183		172
Intercompany receivable (payable)	(464,729)	(74,450)		(64,200)
Other non-current assets	13,211	7,600		285
Total assets	436,504	(59,258)		(62,432)
Liabilities and Shareholders' Equity
Current liabilities	15,289	1,016		411
Long-term debt	49	60		73
Non-current portion of accrued reclamation	11,510	545		260
Other non-current liabilities	689	252		211
Shareholders' equity	239,942	(61,131)		(63,387)
Total liabilities and shareholders' equity	436,504	(59,258)		(62,432)
Consolidation, Eliminations [Member]
Assets
Other current assets	5,620	18,091		13,151
Intercompany receivable (payable)	62,784	26,109		13,803
Investments in subsidiaries	(1,229,150)	(918,526)		(910,646)
Other non-current assets	(85,149)	(76,839)		(55,649)
Total assets	(1,245,895)	(951,165)		(939,341)
Liabilities and Shareholders' Equity
Current liabilities	(3,890)	(30,976)		(28,695)
Other non-current liabilities		(1,663)
Shareholders' equity	(1,229,151)	(918,526)		(910,646)
Total liabilities and shareholders' equity	(1,245,895)	(951,165)		(939,341)
Consolidated Entities [Member]
Assets
Cash and cash equivalents	296,375	190,984		266,463
Other current assets	102,742	91,914		96,281
Properties, plants, and equipment - net	1,742,696	996,659		923,212
Other non-current assets	130,642	98,733		110,134
Total assets	2,272,455	1,378,290		1,396,090
Liabilities and Shareholders' Equity
Current liabilities	118,055	94,987		107,316
Long-term debt	503,775	11,935		6,265
Non-current portion of accrued reclamation	105,462	93,370		111,563
Other non-current liabilities	41,407	40,047		30,833
Shareholders' equity	1,334,726	1,137,951		1,140,113
Total liabilities and shareholders' equity	$ 2,272,455	$ 1,378,290		$ 1,396,090

XML

Note 11 - Business Segments and Significant Customers (Details) (USD $)	3 Months Ended	6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	May 31, 2013
Note 11 - Business Segments and Significant Customers (Details) [Line Items]
Noncapital Costs		$ 6,100,000		$ 25,300,000
Depreciation, Depletion and Amortization		34,834,000	22,799,000	50,113,000	47,348,000	60,235,000
Derivative, Loss on Derivative				1,300,000		3,000,000
Derivative, Gain on Derivative		7,200,000		10,500,000	7,100,000
Number of Reportable Segments		3
Business Acquisition, Percentage of Voting Interests Acquired					30.00%		100.00%
Insurance Recoveries (in Dollars)	2,800,000	1,300,000
Lucky Friday [Member]
Note 11 - Business Segments and Significant Customers (Details) [Line Items]
Noncapital Costs		300,000		500,000
Depreciation, Depletion and Amortization				$ 6,300,000

XML

Note 12 - Fair Value Measurement (Details) - Assets And Liabilities Accounted For At Fair Value (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Trade accounts receivable:
Receivables from provisional concentrate sales	$ 20,228	$ 7,466	$ 9,313
Restricted cash balances:
Total assets	343,385	224,630	314,998
Fair Value, Inputs, Level 1 [Member]
Cash and cash equivalents:
Money market funds and other bank deposits	296,375	190,984	266,463
Available for sale securities:
Equity securities – mining industry	8,766	9,614	3,923
Restricted cash balances:
Certificates of deposit and other bank deposits	5,287	871	866
Fair Value, Inputs, Level 2 [Member]
Trade accounts receivable:
Receivables from provisional concentrate sales	8,306	17,555	10,996
Derivative contracts:
Base metal forward contracts	24,651	5,606	32,750
Derivative contracts:
Base metal forward contracts		$ 2,483

XML

Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Hecla [Member] | Interest-bearing Deposits [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	$ 683	$ 609
Hecla [Member] | Interest-bearing Deposits [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value		609
Hecla [Member] | Common Stock [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	2,309	2,071
Hecla [Member] | Common Stock [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value		2,071
Hecla [Member] | Real Estate Investments [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	9,611	6,497
Hecla [Member] | Real Estate Investments [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value		6,497
Hecla [Member] | Common Collective Funds [Member] | Fair Value, Inputs, Level 2 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	10,095	12,641
Hecla [Member] | Common Collective Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	7,251	6,803
Hecla [Member] | Common Collective Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value		19,444
Hecla [Member] | Mutual Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	24,183	22,667
Hecla [Member] | Mutual Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value		22,667
Hecla [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	27,175	25,347
Hecla [Member] | Fair Value, Inputs, Level 2 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	10,095	12,641
Hecla [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	16,862	13,300
Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value		51,288
Lucky Friday [Member] | Interest-bearing Deposits [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	198	166
Lucky Friday [Member] | Interest-bearing Deposits [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	198	166
Lucky Friday [Member] | Common Stock [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	588	527
Lucky Friday [Member] | Common Stock [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	588	527
Lucky Friday [Member] | Real Estate Investments [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	2,513	1,709
Lucky Friday [Member] | Real Estate Investments [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	2,513	1,709
Lucky Friday [Member] | Common Collective Funds [Member] | Fair Value, Inputs, Level 2 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	2,469	3,310
Lucky Friday [Member] | Common Collective Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	1,978	1,857
Lucky Friday [Member] | Common Collective Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	4,447	5,167
Lucky Friday [Member] | Mutual Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	6,637	6,225
Lucky Friday [Member] | Mutual Funds [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	6,637	6,225
Lucky Friday [Member] | Fair Value, Inputs, Level 1 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	7,423	6,918
Lucky Friday [Member] | Fair Value, Inputs, Level 2 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	2,469	3,310
Lucky Friday [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	4,491	3,566
Lucky Friday [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	14,383	13,794
Interest-bearing Deposits [Member] | Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	683
Common Stock [Member] | Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	2,309
Real Estate Investments [Member] | Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	9,611
Common Collective Funds [Member] | Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	17,346
Mutual Funds [Member] | Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	24,183
Hecla [Member]
Note 8 - Employee Benefit Plans (Details) - Fair Value By Asset Category [Line Items]
Assets at fair value	$ 54,132

XML

Note 14 - Guarantor Subsidiaries (Details) - Condensed Consolidating Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	6 Months Ended		12 Months Ended			6 Months Ended		12 Months Ended			6 Months Ended		12 Months Ended			6 Months Ended		12 Months Ended			6 Months Ended	12 Months Ended			6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010	Jun. 30, 2013 Parent Company [Member]	Jun. 30, 2012 Parent Company [Member]	Dec. 31, 2012 Parent Company [Member]	Dec. 31, 2011 Parent Company [Member]	Dec. 31, 2010 Parent Company [Member]	Jun. 30, 2013 Guarantor Subsidiaries [Member]	Jun. 30, 2012 Guarantor Subsidiaries [Member]	Dec. 31, 2012 Guarantor Subsidiaries [Member]	Dec. 31, 2011 Guarantor Subsidiaries [Member]	Dec. 31, 2010 Guarantor Subsidiaries [Member]	Jun. 30, 2013 Non-Guarantor Subsidiaries [Member]	Jun. 30, 2012 Non-Guarantor Subsidiaries [Member]	Dec. 31, 2012 Non-Guarantor Subsidiaries [Member]	Dec. 31, 2011 Non-Guarantor Subsidiaries [Member]	Dec. 31, 2010 Non-Guarantor Subsidiaries [Member]	Jun. 30, 2012 Consolidation, Eliminations [Member]	Dec. 31, 2012 Consolidation, Eliminations [Member]	Dec. 31, 2011 Consolidation, Eliminations [Member]	Dec. 31, 2010 Consolidation, Eliminations [Member]	Jun. 30, 2013 Consolidated Entities [Member]	Jun. 30, 2012 Consolidated Entities [Member]	Dec. 31, 2012 Consolidated Entities [Member]	Dec. 31, 2011 Consolidated Entities [Member]	Dec. 31, 2010 Consolidated Entities [Member]
Condensed Cash Flow Statements, Captions [Line Items]
Cash flows from operating activities	$ 10,275	$ 31,240	$ 69,016	$ 69,891	$ 197,809	$ (7,524)	$ 22,513	$ 49,295	$ 105,740	$ 81,676	$ 54,148	$ 4,681	$ 42,957	$ 79,166	$ 194,716	$ (36,349)	$ (5,773)	$ (14,296)	$ (12,449)	$ (8,579)	$ 9,819	$ (8,940)	$ (102,566)	$ (70,004)	$ 10,275	$ 31,240	$ 69,016	$ 69,891	$ 197,809
Cash flows from investing activities:
Additions to properties, plants, and equipment	(60,291)	(51,535)	(113,096)	(87,546)	(67,414)	(229)	(264)	618	2	340	(54,128)	(50,789)	107,425	87,454	67,077	(5,934)	(482)	5,053	90	(3)					(60,291)	(51,535)	113,096	87,546	67,414
Acquisition of Aurizon Mines	(321,117)					(498,705)										177,588									(321,117)
Other investing activities, net								48,815	38,356	4,019	102	116	(891)	1,659	(1,150)	(3,888)		5,835	(1)			(48,817)	(47,741)	(5,495)	(3,786)	116	4,942	(7,727)	(2,626)
Cash flows from financing activities:
Dividends paid to shareholders						(4,553)	(10,262)	17,673	9,414	4,513															(4,553)	(10,262)	17,673	9,414	4,513
Borrowings on debt						490,000																			490,000
Proceeds from (payments on) debt											(3,425)	(2,486)					(6)								(3,425)	(2,492)
Other financing activity, net						(2,706)	6,467	52,227	(150,118)	21,135	1,681	(3,515)	(41,903)	88,193	(95,484)	(687)	6,664	26,659	12,237	8,947	(9,819)	(39,877)	54,825	64,509	(1,712)	(203)	(2,894)	5,137	(893)
Changes in cash and cash equivalents	105,391	(33,136)	(75,479)	(17,143)	178,928	(23,717)	18,454	34,416	(92,150)	147,032	(1,622)	(51,993)	(111,358)	75,308	31,525	130,730	403	1,463	(301)	371					105,391	(33,136)	(75,479)	(17,143)	178,928
Beginning cash and cash equivalents	$ 296,375	$ 233,327	$ 190,984	$ 266,463	$ 283,606	$ 108,549		$ 132,266	$ 97,850		$ 55,453		$ 57,075	$ 168,433		$ 132,373		$ 1,643	$ 180						$ 296,375		$ 190,984	$ 266,463

XML

Note 8 - Employee Benefit Plans (Details) (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Benefit Plan, Accumulated Benefit Obligation		$ 1,900,000	$ 1,600,000
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets		7.20%
Long-term Investments	8,766,000	9,614,000	3,923,000
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year	300,000
Deferred Compensation Arrangement with Individual, Employer Contribution		407,000	246,000	229,000
Defined Benefit Plans, Estimated Future Employer Contributions in Current Fiscal Year (in Dollars)	700,000
Pension Compensation [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent	6.00%
Pension Compensation In Excess Of Social Security Wages [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent	5.70%
Years One Through Five [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
CashBalancePayCreditPercentage	3.00%
Years Six Through Ten [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
CashBalancePayCreditPercentage	4.50%
After Ten Years [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
CashBalancePayCreditPercentage	6.00%
Hecla Common Stock [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Long-term Investments		2,900,000	2,600,000
Defined Benefit Plan, Actual Plan Asset Allocations		4.00%
Real Estate [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Benefit Plan, Fair Value of Plan Assets		12,100,000
Deferred Compensation Plan Assets			8,200,000
Collective Investment Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Benefit Plan, Fair Value of Plan Assets		8,200,000
Capital Accumulation Plans [Member] | Minimum [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent		1.00%
Capital Accumulation Plans [Member] | Maximum [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent		50.00%
Hecla Pension Plan [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year		1,000,000
Unfunded Supplemental Executive Retirement Plan [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year		300,000
Capital Accumulation Plans [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Benefit Plan, Contributions by Employer		2,500,000	2,200,000	2,100,000
Fair Value, Inputs, Level 3 [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Benefit Plan, Fair Value of Plan Assets		21,400,000
Deferred Compensation Plan Assets			$ 16,900,000
Minimum [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent		2.00%
Maximum [Member]
Note 8 - Employee Benefit Plans (Details) [Line Items]
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent		50.00%

XML

Note 11 - Business Segments and Significant Customers (Details) - Information About Reportable Segments (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Net sales to unaffiliated customers:
Net Sales From Continuing Operations To Unaffiliated Customers	$ 85,330	$ 67,019	$ 161,780	$ 158,172	$ 321,143	$ 477,634	$ 418,813
Income (loss) from operations:
Income (Loss) From Operations	(32,622)	(2,481)	(34,835)	22,955	37,866	197,645	(51,555)
Capital additions (including non-cash additions):
Capital Additions (Including Non-Cash Additions)					129,942	137,385	74,739
Depreciation, depletion and amortization:
Depreciation, Depletion And Amortization From Continuing Operations					43,522	47,066	60,011
Other significant non-cash items:
Other Significant Non-Cash Items From Continuing Operations					38,051	33,810	80,533
Identifiable assets:
Identifiable Assets	2,272,455		2,272,455		1,378,290	1,396,090	1,382,493
Greens Creek [Member]
Net sales to unaffiliated customers:
Net Sales From Continuing Operations To Unaffiliated Customers	70,082	67,023	142,731	157,923	320,895	342,906	313,318
Income (loss) from operations:
Income (Loss) From Operations	9,802	23,313	36,991	70,695	138,245	181,116	138,973
Capital additions (including non-cash additions):
Capital Additions (Including Non-Cash Additions)					62,184	41,657	18,280
Depreciation, depletion and amortization:
Depreciation, Depletion And Amortization From Continuing Operations					43,522	41,013	51,671
Other significant non-cash items:
Other Significant Non-Cash Items From Continuing Operations					4,037	2,326	17,829
Identifiable assets:
Identifiable Assets	747,813		747,813		741,666	729,289	740,573
Lucky Friday [Member]
Net sales to unaffiliated customers:
Net Sales From Continuing Operations To Unaffiliated Customers	5,128	(4)	8,929	249	248	134,728	105,495
Income (loss) from operations:
Income (Loss) From Operations	(2,757)	(6,498)	(6,604)	(12,441)	(25,179)	75,608	48,639
Capital additions (including non-cash additions):
Capital Additions (Including Non-Cash Additions)					55,998	60,454	54,370
Depreciation, depletion and amortization:
Depreciation, Depletion And Amortization From Continuing Operations						6,053	8,340
Other significant non-cash items:
Other Significant Non-Cash Items From Continuing Operations					92	14	5,053
Identifiable assets:
Identifiable Assets	217,413		217,413		226,196	213,285	170,928
Other Segments [Member]
Income (loss) from operations:
Income (Loss) From Operations	(26,311)	(19,296)	(51,866)	(35,299)	(75,200)	(59,079)	(239,167)
Capital additions (including non-cash additions):
Capital Additions (Including Non-Cash Additions)					11,760	35,274	2,089
Other significant non-cash items:
Other Significant Non-Cash Items From Continuing Operations					33,922	31,470	57,651
Identifiable assets:
Identifiable Assets	$ 416,035		$ 416,035		$ 410,428	$ 453,516	$ 470,992

XML

Note 12 - Fair Value Measurement

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Fair Value Disclosures [Abstract]

Fair Value Disclosures [Text Block]

Note 12.    Fair Value Measurement

The table below sets forth our assets and liabilities that were accounted for at fair value on a recurring basis and the fair value calculation input hierarchy level that we have determined applies to each asset and liability category (in thousands).  

Description	Balance at June 30, 2013		Balance at December 31, 2012		Input Hierarchy Level
Assets:
Cash and cash equivalents:
Money market funds and other bank deposits	$	296,375	$	190,984	Level 1
Available for sale securities:
Equity securities – mining industry		8,766		9,614	Level 1
Trade accounts receivable:
Receivables from provisional concentrate sales		8,306		17,555	Level 2
Restricted cash balances:
Certificates of deposit and other bank deposits		5,287		871	Level 1
Derivative contracts:
Base metal forward contracts		24,651		5,606	Level 2
Total assets	$	343,385	$	224,630
Liabilities:
Derivative contracts:
Base metal forward contracts		—		2,483	Level 2

Cash and cash equivalents consist primarily of money market funds and are valued at cost, which approximates fair value.

Current and non-current restricted cash balances consist primarily of certificates of deposit and U.S. Treasury securities and are valued at cost, which approximates fair value.

Our current and non-current investments consist of marketable equity securities which are valued using quoted market prices for each security.

Trade accounts receivable include amounts due to us for shipments of concentrates and doré sold to smelters and refiners.  Revenues and the corresponding accounts receivable for sales of metals products are recorded when title and risk of loss transfer to the customer (generally at the time of loading on truck or ship).  Sales of concentrates are recorded using estimated forward prices for the anticipated month of settlement applied to our estimate of payable metal quantities contained in each shipment.  Sales are recorded net of estimated treatment and refining charges, which are also impacted by changes in metals prices and quantities of contained metals.  We estimate the prices at which sales of our concentrates will be settled due to the time elapsed between shipment and final settlement with the smelter.  Receivables for previously recorded concentrate sales are adjusted to reflect estimated forward metals prices at the end of each period until final settlement by the smelter.  We obtain the forward metals prices used each period from a pricing service.  Changes in metal prices between shipment and final settlement result in changes to revenues previously recorded upon shipment.  The embedded derivative contained in our concentrate sales is adjusted to fair market value through earnings each period prior to final settlement.

We use financially-settled forward contracts to manage the exposure to changes in prices of zinc and lead contained in our concentrate shipments that have not reached final settlement.  We also use financially-settled forward contracts to manage the exposure to changes in prices of zinc and lead contained in our forecasted future concentrate shipments (see Note 11 for more information).  These contracts do not qualify for hedge accounting, and are marked-to-market through earnings each period.  The fair value of each contract represents the present value of the difference between the forward metal price for the contract settlement period as of the measurement date and the contract settlement metal price.

Our senior notes issued in April 2013, which are not measured at fair value, had a fair value of $466.6 million and a carrying value of $490.1 million, net of unamortized initial purchaser discount, at June 30, 2013. Third-party quotes, which we consider to be Level 2 inputs, are utilized to estimate fair values of the senior notes. See Note 9 for more information.

Note 12: Fair Value Measurement

The table below sets forth our assets and liabilities (in thousands) that were accounted for at fair value on a recurring basis and the fair value calculation input hierarchy level that we have determined applies to each asset and liability category.  See Note 8 for information on the fair values of our defined benefit pension plan assets.

	Balance at December 31, 2012		Balance at December 31, 2011		Input Hierarchy Level
Assets:
Cash and cash equivalents:
Money market funds and other bank deposits	$	190,984	$	266,463	Level 1
Available for sale securities:
Equity securities – mining industry		9,614		3,923	Level 1
Trade accounts receivable:
Receivables from provisional concentrate sales		17,555		10,996	Level 2
Derivative contracts:
Base metal forward contracts		5,606		32,750	Level 2
Restricted cash balances:
Certificates of deposit and other bank deposits		871		866	Level 1
Total assets	$	224,630	$	314,998
Liabilities:
Derivative contracts:
Base metal forward contracts	$	2,483	$	—	Level 2

Cash and cash equivalents consist primarily of money market funds and are valued at cost, which approximates fair value.

Current and non-current restricted cash balances consist primarily of certificates of deposit and U.S. Treasury securities and are valued at cost, which approximates fair value.

Our current and non-current investments consist of marketable equity securities which are valued using quoted market prices for each security multiplied by the number shares held by us.

Trade accounts receivable consist of amounts due to us for shipments of concentrates and doré sold to smelters and refiners.  Revenues and the corresponding accounts receivable for sales of metals products are recorded when title and risk of loss transfer to the customer (generally at the time of shipment).  Sales of concentrates are recorded using estimated forward prices for the anticipated month of settlement applied to our estimate of payable metal quantities contained in each shipment.  Sales are recorded net of estimated treatment and refining charges, which are also impacted by changes in metals prices and quantities of contained metals.  We must estimate the prices at which sales of our concentrates will be settled due to the time elapsed between shipment and final settlement with the smelter.  Receivables for previously recorded concentrate sales are adjusted to reflect estimated settlement metals prices at the end of each period until final settlement by the smelter.  We obtain the forward metals prices used each period from a pricing service.  Changes in metal prices between shipment and final settlement will result in changes to revenues previously recorded upon shipment.  The embedded derivative contained in our concentrate sales is adjusted to fair market value through earnings each period prior to final settlement.

During the second quarter of 2010, we began utilizing financially-settled forward contracts to manage the exposure of changes in prices of zinc and lead contained in our concentrate shipments that have not reached final settlement.  We also began utilizing financially-settled forward contracts in the second quarter of 2010 to manage the exposure of changes in prices of zinc and lead contained in our forecasted future concentrate shipments (see Note 10 for more information).  These contracts do not qualify for hedge accounting, and are marked-to-market through earnings each period.  The fair value of each contract represents the difference between the forward metal price for the contract settlement period as of the measurement date and the contract settlement metal price, multiplied by the quantity of metal involved in the contract.

XML

Note 8 - Employee Benefit Plans

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Compensation and Retirement Disclosure [Abstract]

Pension and Other Postretirement Benefits Disclosure [Text Block]

Note 7.   Employee Benefit Plans

We sponsor defined benefit pension plans covering substantially all U.S. employees.  Net periodic pension cost for the plans consisted of the following for the three and six months ended June 30, 2013 and 2012 (in thousands):

	Three Months Ended June 30,
	2013			2012
Service cost	$	1,058		$	994
Interest cost		969			1,017
Expected return on plan assets		(1,205	)		(1,145	)
Amortization of prior service cost		98			100
Amortization of net (gain) loss		776			706
Net periodic benefit cost	$	1,696		$	1,672

	Six Months Ended June 30,
	2013			2012
Service cost	$	2,115		$	1,987
Interest cost		1,939			2,034
Expected return on plan assets		(2,409	)		(2,290	)
Amortization of prior service cost		195			200
Amortization of net (gain) loss		1,552			1,413
Net periodic benefit cost	$	3,392		$	3,344

The increased service costs in 2013 versus 2012 were driven primarily by higher staffing and compensation levels.

Effective July 1, 2013, we amended the Hecla Mining Company Retirement Plan (the "Hecla plan") to change the pension benefit formula and other plan provisions. The definition of pensionable compensation was changed to include an employee's base salary and other payments of compensation for services performed during the course of employment, elective deferrals not includable in the gross income of the Employee under the Internal Revenue Service Code Sections 125, 132(f)(4), 402(e)(3), 402(h), 403(b) and 457, one-half of any performance-based or annual incentive bonus, one-half of any cash safety incentive award, paid time off other than for disability leave, and compensation for overtime at the employee's regular hourly rate of pay for each hour worked. However, pensionable compensation now excludes fringe benefits, reimbursements or other expense allowances, moving expenses, health and welfare benefits, stock awards, income realized under a stock option or restricted stock or property arrangement, long term incentive awards, premium pay rates for overtime, contributions to or distributions from a nonqualified deferred compensation plan, shift or location differentials, and one-half of any performance-based or annual incentive bonus.

For new employees hired after June 30, 2013, pension benefits will be calculated based on the highest average of any five consecutive years (60 months) of pensionable compensation during the final ten years of service will be applied, instead of three consecutive years for employees hired before July 1, 2013.

Prior to July 1, 2013, we credited each participant's account annually with an amount equal to 6.0% of pensionable compensation, plus an additional 5.7% of the participant's pensionable compensation in excess of the Social Security taxable wage base ("the cash balance pay credit"). Beginning July 1, 2013, the cash balance pay credit will consist of the 6% of pensionable compensation without the 5.7% additional credit.

In addition, the Hecla plan was amended to limit access to cash balance accounts following a termination of employment prior to early or normal retirement age. Prior to the amendment, a cash balance participant could elect to receive a distribution of the vested portion of his or her account at any age following a termination of employment. This change applies only to amounts credited to a cash balance account after June 30, 2013.

For new employees hired after June 30, 2013, the cash balance pay credit will be earned based on years of plan participation: 3% for 1 through 5 years; 4.5% for 6 through 10 years; 6% after 10 years.

As of June 30, 2013, our current-year contributions to the pension plans totaled $0.7 million, and we expect to contribute an additional $0.3 million over the rest of 2013.

Note 8: Employee Benefit Plans

Pensions and Other Post-retirement Plans

We sponsor defined benefit pension plans covering substantially all U.S. employees and we provide certain post-retirement benefits for qualifying retired employees. The following tables provide a reconciliation of the changes in the plans’ benefit obligations and fair value of assets over the two-year period ended December 31, 2012, and the funded status as of December 31, 2012 and December 31, 2011 (in thousands):

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Change in benefit obligation:
Benefit obligation at beginning of year	$	87,895		$	76,925		$	65		$	68
Service cost		3,974			3,877			—			—
Interest cost		4,069			4,114			3			3
Participants' contributions		29			—			—			—
Amendments		—			396			—			—
Actuarial loss		7,450			6,476			7			4
Benefits paid		(4,050	)		(3,893	)		(12	)		(10	)
Benefit obligation at end of year		99,367			87,895			63			65
Change in fair value of plan assets:
Fair value of plan assets at beginning of year		65,082			70,462			—			—
Actual return (loss) on plan assets		6,007			(1,818	)		—			—
Employer contributions		1,447			331			12			10
Participants' contributions		29			—			—			—
Benefits paid		(4,050	)		(3,893	)		(12	)		(10	)
Fair value of plan assets at end of year		68,515			65,082			—			—
Funded status at end of year	$	(30,852	)	$	(22,813	)	$	(63	)	$	(65	)

We also sponsor post-retirement term life insurance benefits for substantially all retirees who retire from active service. The accumulated post-retirement benefit obligation under all such plans totaled $1.9 million at December 31, 2012 and $1.6 million at December 31, 2011. We are indemnified by insurance carriers for all retiree term life coverage.

The following table provides the amounts recognized in the consolidated balance sheets as of December 31, 2012 and December 31, 2011 (in thousands):

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Current liabilities:
Accrued benefit liability	$	(322	)	$	(330	)	$	(3	)	$	(3	)
Other non- current liabilities:
Accrued benefit liability		(30,530	)		(22,484	)		(60	)		(62	)
Accumulated other comprehensive (income) loss		33,545			30,747			(305	)		(340	)
Net amount recognized	$	2,693		$	7,933		$	(368	)	$	(405	)

The benefit obligation and prepaid benefit costs were calculated by applying the following weighted average assumptions:

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Discount rate: net periodic pension cost		4.75	%		5.50	%		—	%		—	%
Discount rate: projected benefit obligation		4.00	%		4.75	%		4.00	%		4.75	%
Expected rate of return on plan assets		7.20	%		8.00	%		—	%		—	%
Rate of compensation increase		4.00	%		4.00	%		—	%		—	%

The above assumptions were calculated based on information as of December 31, 2012 and December 31, 2011, the measurement dates for the plans. The discount rate is based on the yield curve for investment-grade corporate bonds as published by the U.S. Treasury Department. The expected rate of return on plan assets is based upon consideration of the plan’s current asset mix, historical long-term return rates and the plan’s historical performance. Our current expected rate on plan assets of 7.2% is based on historical returns over the past ten years.

Net periodic pension cost for the plans consisted of the following in 2012, 2011, and 2010 (in thousands):

	Pension Benefits									Other Benefits
	2012			2011			2010			2012			2011			2010
Service cost	$	3,974		$	3,877		$	2,203		$	—		$	—		$	—
Interest cost		4,068			4,114			3,724			3			4			4
Expected return on plan assets		(4,581	)		(5,481	)		(5,041	)		—			—			—
Amortization of prior service cost		401			403			602			—			—			—
Amortization of net gain (loss) from earlier periods		2,826			880			867			(28	)		(31	)		(33	)
Net periodic pension cost	$	6,688		$	3,793		$	2,355		$	(25	)	$	(27	)	$	(29	)

The allocations of investments at December 31, 2012 and December 31, 2011, the measurement dates of the plan, by asset category in the Hecla Mining Company Retirement Plan and the Lucky Friday Pension Plan are as follows:

	Hecla						Lucky Friday
	2012			2011			2012			2011
Cash		1	%		1	%		1	%		1	%
Large cap U.S. equities		11	%		13	%		9	%		12	%
Small cap U.S. equities		4	%		4	%		5	%		4	%
Non-U.S. equities		10	%		9	%		10	%		9	%
Fixed income		33	%		37	%		34	%		38	%
Real estate		18	%		13	%		17	%		13	%
Absolute return hedge funds		13	%		13	%		14	%		13	%
Real return		10	%		10	%		10	%		10	%
Total		100	%		100	%		100	%		100	%

The "Precious metals and other" asset category in the table above includes our common stock in the amounts of $2.9 million and $2.6 million at December 31, 2012 and December 31, 2011. These investments represent approximately 4% of the total combined assets of these plans at both December 31, 2012 and December 31, 2011.

Our statement of investment policy delineates the responsibilities of the board, the management investment committee, the investment manager(s), and investment adviser/consultant, and provides guidelines on investment management. Investment objectives are established for each of the asset categories included in the pension plans with comparisons of performance against appropriate benchmarks. Our policy calls for investments to be supervised by qualified investment managers. The investment managers are monitored on an ongoing basis by our outside consultant, with formal reporting to us and the consultant performed each quarter. The policy sets forth the following allocation of assets:

	Target			Minimum			Maximum
Large cap U.S. equities		10	%		7	%		13	%
Small cap U.S. equities		5	%		4	%		6	%
Non-U.S. equities		10	%		8	%		12	%
Fixed income		35	%		29	%		43	%
Real estate		15	%		12	%		18	%
Absolute return hedge funds		15	%		12	%		18	%
Real return		10	%		8	%		12	%

Our statement of investment policy and objectives aspires to achieve the assumed long term rate of return on plan assets established by the plan’s actuary plus one percent.

Accounting guidance has established a hierarchy of assets measured at fair value on a recurring basis. The three levels included in the hierarchy are:

Level 1: quoted prices in active markets for identical assets or liabilities

Level 2: significant other observable inputs

Level 3: significant unobservable inputs

The fair values by asset category in each plan, along with their hierarchy levels, are as follows as of December 31, 2012 (in thousands):

	Hecla								Lucky Friday
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Interest-bearing cash	$	683	$	—	$	—	$	683	$	198	$	—	$	—	$	198
Common stock		2,309		—		—		2,309		588		—		—		588
Real estate		—		—		9,611		9,611		—		—		2,513		2,513
Collective investment funds		—		10,095		7,251		17,346		—		2,469		1,978		4,447
Mutual funds		24,183		—		—		24,183		6,637		—		—		6,637
Total fair value	$	27,175	$	10,095	$	16,862	$	54,132	$	7,423	$	2,469	$	4,491	$	14,383

The following is a roll-forward of assets in Level 3 of the fair value hierarchy (in thousands):

	Hecla		Lucky Friday
Beginning balance at December 31, 2011	$	13,300	$	3,566
Net unrealized gains on assets held at the reporting date		838		187
Purchases		2,724		738
Ending balance at December 31, 2012	$	16,862	$	4,491

Of the $21.4 million in plan assets classified as Level 3, $12.1 million was invested in real estate, while $8.2 million was invested in collective investment funds.

The fair values by asset category in each plan, along with their hierarchy levels, were as follows as of December 31, 2011 (in thousands):

	Hecla								Lucky Friday
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Interest-bearing cash	$	609	$	—	$	—	$	609	$	166	$	—	$	—	$	166
Common stock		2,071		—		—		2,071		527		—		—		527
Real estate		—		—		6,497		6,497		—		—		1,709		1,709
Common collective funds		—		12,641		6,803		19,444		—		3,310		1,857		5,167
Mutual funds		22,667		—		—		22,667		6,225		—		—		6,225
Total fair value	$	25,347	$	12,641	$	13,300	$	51,288	$	6,918	$	3,310	$	3,566	$	13,794

The following is a roll-forward of assets in Level 3 of the fair value hierarchy (in thousands):

	Hecla		Lucky Friday
Beginning balance at December 31, 2010	$	12,508	$	3,356
Net unrealized gains on assets held at the reporting date		391		104
Purchases		401		106
Ending balance at December 31, 2011	$	13,300	$	3,566

Of the $16.9 million reported as level 3 assets above, $8.2 million was comprised of real estate funds, while the remainder was invested in common collective funds.

Generally, investments are valued based on information provided by fund managers to our trustee as reviewed by management and its investment advisers. Mutual funds and equities are valued based on available exchange data. Commingled equity funds consist of publicly-traded investments. Fair value for real estate and private equity partnerships is primarily based on valuation methodologies that include third-party appraisals, comparable transactions, and discounted cash flow valuation models.

Future benefit payments, which reflect expected future service as appropriate, are estimates of what will be paid in the following years (in thousands):

Year Ending December 31,	Pension Plans		Other Post- Employment Benefit Plans
2013	$	4,769	$	3
2014		4,951		8
2015		5,083		6
2016		5,320		8
2017		5,601		7
Years 2018-2022		34,011		26

We expect to contribute approximately $1.0 million to our funded pension plans and $0.3 million related to our unfunded supplemental executive retirement plan during 2013.

The following table describes plans for which accumulated benefit obligations ("ABO") were in excess of plan assets, and for which plan assets exceeded ABO (in thousands).

	December 31, 2012				December 31, 2011
	ABO Exceeds Plan Assets		Plan Assets Exceed ABO		ABO Exceeds Plan Assets		Plan Assets Exceed ABO
Projected benefit obligation	$	99,367	$	—	$	87,895	$	—
Accumulated benefit obligation		92,590		—		81,018		—
Fair value of plan assets		68,515		—		65,082		—

For the pension plans and other benefit plans, the following amounts are included in "Accumulated other comprehensive loss, net" on our balance sheet as of December 31, 2012, that have not yet been recognized as components of net periodic benefit cost (in thousands):

	Pension Benefits		Other Benefits
Unamortized net (gain)/loss	$	31,649	$	305
Unamortized prior service cost		1,896		—

The amounts in "Accumulated other comprehensive loss, net" expected to be recognized as components of net periodic benefit cost during 2013 are (in thousands):

	Pension Benefits		Other Benefits
Amortization of net (gain)/loss	$	3,103	$	25
Amortization of prior service cost		390		—

We do not expect to have any of the plans’ assets returned during 2013.

 Capital Accumulation Plans

Our employees’ Capital Accumulation (401(k)) Plan is available to all U.S. salaried and certain hourly employees and applies immediately upon employment. Employees may contribute from 1% to 50% of their annual compensation to the plan (subject to statutory limits). We make a matching contribution of 100% of an employee’s contribution up to 6% of the employee’s earnings. Our matching contributions were approximately $2.5 million in 2012, $2.2 million in 2011, and $2.1 million in 2010.

We also maintain an employees’ 401(k) plan, which is available to all hourly employees at the Lucky Friday unit after completion of six months of service. Employees may contribute from 2% to 50% of their compensation to the plan (subject to statutory limits). We make a matching contribution of 35% of an employee’s contribution up to 5% of the employee’s earnings. In May 2010, union contract negotiations resulted in a change to the matching contribution of 35%.  Starting after May 10, 2010 the matching contribution is 55% of an employee’s contribution up to, but not exceeding, 5% of the employee’s earnings.  Our contributions were approximately $407,000 in 2012, $246,000 in 2011, and $229,000 in 2010.

XML

Note 8 - Employee Benefit Plans (Details) - Future Benefit Payments (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012
Pension Plan, Defined Benefit [Member]
Note 8 - Employee Benefit Plans (Details) - Future Benefit Payments [Line Items]
2013	$ 4,769
2014	4,951
2015	5,083
2016	5,320
2017	5,601
Years 2018-2022	34,011
Other Postretirement Benefit Plan, Defined Benefit [Member]
Note 8 - Employee Benefit Plans (Details) - Future Benefit Payments [Line Items]
2013	3
2014	8
2015	6
2016	8
2017	7
Years 2018-2022	$ 26

XML

Note 15 - Related Party Transactions

12 Months Ended

Dec. 31, 2012

Related Party Transactions [Abstract]

Related Party Transactions Disclosure [Text Block]

Note 15: Related Party Transactions

During 2008, we established the Hecla Charitable Foundation to operate exclusively for charitable and educational purposes, with a particular emphasis in those communities in which we have employees or operations and donated 550,000 shares of our common stock, valued at $5.1 million.    Cash contributions totaling $2.0 million and $1.5 million were made by Hecla to the Hecla Charitable Foundation during 2011 and 2010, respectively.  The Hecla Charitable Foundation was established by Hecla as a not-for-profit organization which has obtained 501(c)(3) status from the Internal Revenue Service. Its financial statements are not consolidated by Hecla.

XML

Note 13 - Income (Loss) per Common Share

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

Note 5.    Earnings (Loss) Per Common Share

We are authorized to issue 500,000,000 shares of common stock, $0.25 par value per share, of which 342,638,214 shares were issued and outstanding at June 30, 2013.

The following table reconciles weighted average common shares used in the computations of basic and diluted earnings per share for the three- and six-month periods ended June 30, 2013 and 2012 (thousands, except per-share amounts):

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Numerator
Net income (loss)	$	(24,858	)	$	2,524		$	(13,764	)	$	15,096
Preferred stock dividends		(138	)		(138	)		(276	)		(276	)
Net income (loss) applicable to common shares for basic and diluted earnings per share	$	(24,996	)	$	2,386		$	(14,040	)	$	14,820
Denominator
Basic weighted average common shares		303,566			285,312			294,317			285,303
Dilutive stock options and restricted stock		—			9,848			—			10,797
Diluted weighted average common shares		303,566			295,160			294,317			296,100
Basic earnings (loss) per common share
Net income (loss) applicable to common shares	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05
Diluted earnings (loss) per common share
Net income (loss) applicable to common shares	$	(0.08	)	$	0.01		$	(0.05	)	$	0.05

Diluted income (loss) per share for the three- and six-month periods ended June 30, 2013 and 2012 excludes the potential effects of outstanding shares of our convertible preferred stock, as their conversion and exercise would have no effect on the calculation of dilutive shares.

For the three-month and six-month periods ended June 30, 2013, all outstanding options, restricted share units, and warrants were excluded from the computation of diluted earnings (loss) per share, as our reported net losses for those periods would cause their conversion and exercise to have no effect on the calculation of earnings (loss) per share.  For the three-month and six-month periods ended June 30, 2012, options to purchase 605,005 shares of our common stock were excluded from the computation of diluted earnings per share, as the exercise price of the options not included in the computations of diluted earnings per share exceeded the average price of our stock during those periods and therefore would not affect the calculation of earnings per share.

Note 13: Income per Common Share

We calculate basic earnings per share using, as the denominator, the weighted average number of common shares outstanding during the period. Diluted earnings per share uses, as its denominator, the weighted average number of common shares outstanding during the period plus the effect of potential dilutive common shares during the period using the treasury stock method for options, warrants, and restricted stock units, and if-converted method for convertible preferred shares.

Potential dilutive common shares include outstanding stock options, restricted stock awards, stock units, warrants and convertible preferred stock for periods in which we have reported net income. For periods in which we reported net losses, potential dilutive common shares are excluded, as their conversion and exercise would not reduce earnings per share. Under the if-converted method, preferred shares would not dilute earnings per share in any of the periods presented.

A total of 157,814 shares of preferred stock were outstanding at December 31, 2012.

The following table represents net income per common share – basic and diluted (in thousands, except earnings per share): 

	Year ended December 31,
	2012			2011			2010
Numerator
Net income	$	14,954		$	151,164		$	48,983
Preferred stock dividends		(552	)		(552	)		(13,633	)
Net income applicable to common shares	$	14,402		$	150,612		$	35,350
Denominator
Basic weighted average common shares		285,375			280,956			251,146
Dilutive stock options, restricted stock, and warrants		12,191			16,077			18,455
Diluted weighted average common shares		297,566			297,033			269,601
Basic earnings per common share	$	0.05		$	0.54		$	0.14
Diluted earnings per common share	$	0.05		$	0.51		$	0.13

For the years ended December 31, 2012, 2011 and 2010, we excluded options whose exercise prices exceeded the average prices of our stock during the periods, as their exercises would not have reduced earnings per share. The following options were excluded:

	Year ended December 31,
	2012		2011		2010
Stock options		570,005		552,388		596,388

XML

Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012
$30 [Member]
Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.01	$ 0.01
Annual dividend per share	$ 0.04	$ 0.04
$35 [Member]
Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.02	$ 0.02
Annual dividend per share	$ 0.08	$ 0.08
$40 [Member]
Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.03	$ 0.03
Annual dividend per share	$ 0.12	$ 0.12
$45 [Member]
Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.04	$ 0.04
Annual dividend per share	$ 0.16	$ 0.16
$50 [Member]
Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.05	$ 0.05
Annual dividend per share	$ 0.20	$ 0.20
$55 [Member]
Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.06	$ 0.06
Annual dividend per share	$ 0.24	$ 0.24
$60 [Member]
Note 8 - Shareholders' Equity (Details) - Common Stock Dividend Policy [Line Items]
Quarterly dividend per share	$ 0.07	$ 0.07
Annual dividend per share	$ 0.28	$ 0.28

XML

Document And Entity Information	12 Months Ended
	Oct. 25, 2013	Aug. 06, 2013
Document and Entity Information [Abstract]
Entity Registrant Name	HECLA MINING CO/DE/
Document Type	8-K
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		342,638,215
Amendment Flag	false
Entity Central Index Key	0000719413
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Large Accelerated Filer
Entity Well-known Seasoned Issuer	Yes
Document Period End Date	Oct. 25, 2013
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	FY

XML

Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area	$ 322,489	$ 470,495	$ 421,846
United States [Member]
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area	25,438	24,409	24,708
Canada [Member]
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area	34,441	240,569	124,862
Mexico [Member]
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area			16,258
Japan [Member]
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area	70,371	60,963	62,740
Korea [Member]
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area	120,106	92,919	94,114
China [Member]
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area	72,133	51,635	73,257
Belgium [Member]
Note 11 - Business Segments and Significant Customers (Details) - Sales Information By Geographic Area [Line Items]
Sales by geographic area			$ 25,907

XML

Note 14 - Other Comprehensive Income (Loss)

12 Months Ended

Dec. 31, 2012

Disclosure Text Block [Abstract]

Comprehensive Income (Loss) Note [Text Block]

Note 14: Other Comprehensive Income (Loss)

The following table lists the beginning balance, yearly activity and ending balance of each component of "Accumulated other comprehensive loss, net" (in thousands):

	Unrealized Gains (Losses) On Securities			Adjustments For Pension Plans			Total Accumulated Other Comprehensive Loss, Net
Balance January 1, 2010	$	744		$	(14,927	)	$	(14,183	)
2010 change		718			(1,652	)		(934	)
Balance December 31, 2010		1,462			(16,579	)		(15,117	)
2011 change		(627	)		(7,754	)		(8,381	)
Balance December 31, 2011		835			(24,333	)		(23,498	)
2012 change		1,224			(1,644	)		(420	)
Balance December 31, 2012	$	2,059		$	(25,977	)	$	(23,918	)

The $1.6 million change in adjustments for pension plans for 2012 is net of $1.1 million for the income tax effect of such adjustments.  The $1.2 million change in unrealized gains (losses) on securities is net of $1.2 million for the reclassification to current earnings of impairment of an equity security, as we deemed the impairment to be other-than-temporary. The 2012 change in unrealized gains (losses) on securities is also net of $0.3 million for the income tax effect of such adjustments, with some securities owned by our Mexican subsidiary.

See Note 2 for more information on our marketable securities and Note 8 for more information on our employee benefit plans.

XML

Note 8 - Employee Benefit Plans (Details) - Amounts Recognized in the Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Other non- current liabilities:
Accrued benefit liability	$ (300)
Pension Benefits [Member]
Current liabilities:
Accrued benefit liability	(322)	(330)
Other non- current liabilities:
Accrued benefit liability	(30,530)	(22,484)
Accumulated other comprehensive (income) loss	33,545	30,747
Net amount recognized	2,693	7,933
Other Benefits [Member]
Current liabilities:
Accrued benefit liability	(3)	(3)
Other non- current liabilities:
Accrued benefit liability	(60)	(62)
Accumulated other comprehensive (income) loss	(305)	(340)
Net amount recognized	$ (368)	$ (405)

XML

Note 12 - Fair Value Measurement (Details) - Assets And Liabilities Accounted For At Fair Value (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Receivables from provisional concentrate sales	$ 20,228	$ 7,466	$ 9,313
Total assets	343,385	224,630	314,998
Fair Value, Inputs, Level 1 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Money market funds and other bank deposits	296,375	190,984	266,463
Equity securities – mining industry	8,766	9,614	3,923
Certificates of deposit and other bank deposits	5,287	871	866
Fair Value, Inputs, Level 2 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Receivables from provisional concentrate sales	8,306	17,555	10,996
Base metal forward contracts	24,651	5,606	32,750
Base metal forward contracts		$ 2,483

XML

Note 8 - Employee Benefit Plans (Details) - Change In Benefit Obligation (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012 Pension Plan, Defined Benefit [Member]	Dec. 31, 2011 Pension Plan, Defined Benefit [Member]	Dec. 31, 2012 Other Postretirement Benefit Plan, Defined Benefit [Member]	Dec. 31, 2011 Other Postretirement Benefit Plan, Defined Benefit [Member]
Change in benefit obligation:
Benefit obligation at beginning of year					$ 87,895	$ 76,925	$ 65	$ 68
Service cost	1,058	994	2,115	1,987	3,974	3,877
Interest cost	969	1,017	1,939	2,034	4,069	4,114	3	3
Participants' contributions					29
Amendments						396
Actuarial loss					7,450	6,476	7	4
Benefits paid					(4,050)	(3,893)	(12)	(10)
Benefit obligation at end of year					99,367	87,895	63	65
Change in fair value of plan assets:
Fair value of plan assets at beginning of year					65,082	70,462
Actual return (loss) on plan assets					6,007	(1,818)
Employer contributions					1,447	331	12	10
Participants' contributions					29
Benefits paid					(4,050)	(3,893)	(12)	(10)
Fair value of plan assets at end of year					68,515	65,082
Funded status at end of year					$ (30,852)	$ (22,813)	$ (63)	$ (65)

XML

Note 11 - Business Segments and Significant Customers (Details) - Long-Lived Assets By Geographic Area (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011
Note 11 - Business Segments and Significant Customers (Details) - Long-Lived Assets By Geographic Area [Line Items]
Long-lived assets	$ 1,742,696	$ 996,659	$ 923,212
United States [Member]
Note 11 - Business Segments and Significant Customers (Details) - Long-Lived Assets By Geographic Area [Line Items]
Long-lived assets		996,405	923,040
Canada [Member]
Note 11 - Business Segments and Significant Customers (Details) - Long-Lived Assets By Geographic Area [Line Items]
Long-lived assets		198	99
Mexico [Member]
Note 11 - Business Segments and Significant Customers (Details) - Long-Lived Assets By Geographic Area [Line Items]
Long-lived assets		$ 56	$ 73