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GUARANTOR FINANCIAL STATEMENTS (Tables)
 12 Months Ended
Dec. 31, 2017
Guarantor Financial Statements [Abstract]  
Condensed Balance Sheet
CONDENSED CONSOLIDATING BALANCE SHEET
December 31, 2017

 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
ASSETS
 
 
 
 
 
 
 
 
 
Current assets
$
75

 
$
671

 
$
10,823

 
$
(790
)
 
$
10,779

Property, plant, equipment and mine development costs, net
14

 
11

 
22,821

 
(10
)
 
22,836

 Oil and gas properties subject to amortization, less accumulated amortization and impairments
—

 
—

 
8

 
—

 
8

Investments in consolidated subsidiaries
19,570

 
—

 
—

 
(19,570
)
 
—

Other assets
943

 
48

 
3,179

 
(491
)
 
3,679

Total assets
$
20,602

 
$
730

 
$
36,831

 
$
(20,861
)
 
$
37,302

 
 
 
 
 
 
 
 
 
 
LIABILITIES AND EQUITY
 
 
 
 
 
 
 
 
 
Current liabilities
$
1,683

 
$
220

 
$
4,073

 
$
(938
)
 
$
5,038

Long-term debt, less current portion
10,021

 
6,512

 
5,440

 
(10,270
)
 
11,703

Deferred income taxes
748

a 
—

 
2,874

 
—

 
3,622

Environmental and asset retirement obligations, less current portion
—

 
201

 
3,430

 
—

 
3,631

Investments in consolidated subsidiary
—

 
853

 
10,397

 
(11,250
)
 
—

Other liabilities
173

 
3,340

 
1,987

 
(3,488
)
 
2,012

Total liabilities
12,625

 
11,126

 
28,201

 
(25,946
)
 
26,006

 
 
 
 
 
 
 
 
 
 
Equity:
 
 
 
 
 
 
 
 
 
Stockholders’ equity
7,977

 
(10,396
)
 
5,916

 
4,480

 
7,977

Noncontrolling interests
—

 
—

 
2,714

 
605

 
3,319

Total equity
7,977

 
(10,396
)
 
8,630

 
5,085

 
11,296

Total liabilities and equity
$
20,602

 
$
730

 
$
36,831

 
$
(20,861
)
 
$
37,302

a.
All U.S.-related deferred income taxes are recorded at the parent company.
CONDENSED CONSOLIDATING BALANCE SHEET
December 31, 2016

 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
ASSETS
 
 
 
 
 
 
 
 
 
Current assets
$
230

 
$
1,790

 
$
11,675

 
$
(3,260
)
 
$
10,435

Property, plant, equipment and mine development costs, net
19

 
24

 
23,176

 
—

 
23,219

 Oil and gas properties subject to amortization, less accumulated amortization and impairments
—

 
—

 
74

 
—

 
74

Investments in consolidated subsidiaries
21,110

 
—

 
—

 
(21,110
)
 
—

Other assets
1,985

 
47

 
3,522

 
(1,965
)
 
3,589

Total assets
$
23,344

 
$
1,861

 
$
38,447

 
$
(26,335
)
 
$
37,317

 
 
 
 
 
 
 
 
 
 
LIABILITIES AND EQUITY
 
 
 
 
 
 
 
 
 
Current liabilities
$
3,895

 
$
308

 
$
3,306

 
$
(3,244
)
 
$
4,265

Long-term debt, less current portion
12,517

 
6,062

 
11,297

 
(15,081
)
 
14,795

Deferred income taxes
826

a 
—

 
2,942

 
—

 
3,768

Environmental and asset retirement obligations, less current portion
—

 
200

 
3,287

 
—

 
3,487

Investments in consolidated subsidiary
—

 
893

 
8,995

 
(9,888
)
 
—

Other liabilities
55

 
3,393

 
1,784

 
(3,487
)
 
1,745

Total liabilities
17,293

 
10,856

 
31,611

 
(31,700
)
 
28,060

 
 
 
 
 
 
 
 
 
 
Equity:
 
 
 
 
 
 
 
 
 
Stockholders’ equity
6,051

 
(8,995
)
 
4,237

 
4,758

 
6,051

Noncontrolling interests
—

 
—

 
2,599

 
607

 
3,206

Total equity
6,051

 
(8,995
)
 
6,836

 
5,365

 
9,257

Total liabilities and equity
$
23,344

 
$
1,861

 
$
38,447

 
$
(26,335
)
 
$
37,317

a.
All U.S.-related deferred income taxes are recorded at the parent company.
Condensed Income Statement
CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

Year Ended December 31, 2017
 
 
 
 
 
 
 
 
 
 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
Revenues
$
—

 
$
52

 
$
16,351

 
$
—

 
$
16,403

Total costs and expenses
42

 
78


12,640


10

 
12,770

Operating (loss) income
(42
)
 
(26
)
 
3,711

 
(10
)
 
3,633

Interest expense, net
(467
)
 
(227
)
 
(455
)
 
348

 
(801
)
Net gain (loss) on early extinguishment of debt
22

 
5

 
(6
)
 
—

 
21

Other income (expense), net
339

 
—

 
58

 
(348
)
 
49

(Loss) income before income taxes and equity in affiliated companies’ net earnings (losses)
(148
)
 
(248
)
 
3,308

 
(10
)
 
2,902

Benefit from (provision for) income taxes
220

 
(108
)
 
(998
)
 
3

 
(883
)
Equity in affiliated companies’ net earnings (losses)
1,745

 
10

 
(337
)
 
(1,408
)
 
10

Net income (loss) from continuing operations
1,817

 
(346
)
 
1,973

 
(1,415
)
 
2,029

Net income from discontinued operations
—

 
—

 
66

 
—

 
66

Net income (loss)
1,817

 
(346
)
 
2,039

 
(1,415
)
 
2,095

Net income attributable to noncontrolling interests:
 
 
 
 
 
 
 
 
 
Continuing operations
—

 
—

 
(150
)
 
(124
)
 
(274
)
Discontinued operations
—

 
—

 
(4
)
 
—

 
(4
)
Net income (loss) attributable to common stockholders
$
1,817

 
$
(346
)
 
$
1,885

 
$
(1,539
)
 
$
1,817

 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
61

 
—

 
61

 
(61
)
 
61

Total comprehensive income (loss)
$
1,878

 
$
(346
)
 
$
1,946

 
$
(1,600
)
 
$
1,878



Year Ended December 31, 2016
 
 
 
 
 
 
 
 
 
 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
Revenues
$
—

 
$
379

 
$
14,451

 
$
—

 
$
14,830

Total costs and expenses
75

 
3,074

a 
14,463

a 
10

 
17,622

Operating loss
(75
)
 
(2,695
)
 
(12
)
 
(10
)
 
(2,792
)
Interest expense, net
(534
)
 
(56
)
 
(498
)
 
333

 
(755
)
Net gain on early extinguishment and exchanges of debt
26

 
—

 
—

 
—

 
26

Other income (expense), net
271

 
—

 
70

 
(292
)
 
49

(Loss) income before income taxes and equity in affiliated companies’ net (losses) earnings
(312
)
 
(2,751
)
 
(440
)
 
31

 
(3,472
)
(Provision for) benefit from income taxes
(2,233
)
 
1,053

 
821

 
(12
)
 
(371
)
Equity in affiliated companies’ net (losses) earnings
(1,609
)
 
(3,101
)
 
(4,790
)
 
9,511

 
11

Net (loss) income from continuing operations
(4,154
)
 
(4,799
)
 
(4,409
)
 
9,530

 
(3,832
)
Net loss from discontinued operations
—

 
—

 
(154
)
 
(39
)
 
(193
)
Net (loss) income
(4,154
)
 
(4,799
)
 
(4,563
)
 
9,491

 
(4,025
)
Net income, and gain on redemption and preferred dividends attributable to noncontrolling interests:
 
 
 
 
 
 
 
 
 
Continuing operations
—

 
—

 
—

 
(66
)
 
(66
)
Discontinued operations
—

 
—

 
(63
)
 
—

 
(63
)
Net (loss) income attributable to common stockholders
$
(4,154
)
 
$
(4,799
)
 
$
(4,626
)
 
$
9,425

 
$
(4,154
)
 
 
 
 
 
 
 
 
 
 
Other comprehensive (loss) income
(45
)
 
—

 
(45
)
 
45

 
(45
)
Total comprehensive (loss) income
$
(4,199
)
 
$
(4,799
)
 
$
(4,671
)
 
$
9,470

 
$
(4,199
)
a.
Includes impairment charges totaling $1.5 billion at the FM O&G LLC Guarantor and $2.8 billion at the non-guarantor subsidiaries related to FCX’s oil and gas properties pursuant to full cost accounting rules.


CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

Year Ended December 31, 2015
 
 
 
 
 
 
 
 
 
 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
Revenues
$
—

 
$
613

 
$
13,994

 
$
—

 
$
14,607

Total costs and expenses
60

 
5,150

a 
22,920

a 
(11
)
 
28,119

Operating (loss) income
(60
)
 
(4,537
)
 
(8,926
)
 
11

 
(13,512
)
Interest expense, net
(489
)
 
(8
)
 
(272
)
 
152

 
(617
)
Other income (expense), net
225

 
1

 
(86
)
 
(139
)
 
1

(Loss) income before income taxes and equity in affiliated companies’ net (losses) earnings
(324
)
 
(4,544
)
 
(9,284
)
 
24

 
(14,128
)
(Provision for) benefit from income taxes
(3,227
)
 
1,718

 
3,469

 
(9
)
 
1,951

Equity in affiliated companies’ net (losses) earnings
(8,685
)
 
(9,976
)
 
(12,838
)
 
31,496

 
(3
)
Net (loss) income from continuing operations
(12,236
)
 
(12,802
)
 
(18,653
)
 
31,511

 
(12,180
)
Net income from discontinued operations
—

 
—

 
91

 
—

 
91

Net (loss) income
(12,236
)
 
(12,802
)
 
(18,562
)
 
31,511

 
(12,089
)
Net income and preferred dividends attributable to noncontrolling interests:
 
 
 
 
 
 
 
 
 
Continuing operations
—

 
—

 
(35
)
 
(33
)
 
(68
)
Discontinued operations
—

 
—

 
(79
)
 
—

 
(79
)
Net (loss) income attributable to common stockholders
$
(12,236
)
 
$
(12,802
)
 
$
(18,676
)
 
$
31,478

 
$
(12,236
)
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
41

 
—

 
41

 
(41
)
 
41

Total comprehensive (loss) income
$
(12,195
)
 
$
(12,802
)
 
$
(18,635
)
 
$
31,437

 
$
(12,195
)

a.
Includes impairment charges totaling $4.2 billion at the FM O&G LLC Guarantor and $8.9 billion at the non-guarantor subsidiaries related to ceiling test impairment charges for FCX’s oil and gas properties pursuant to full cost accounting rules and a goodwill impairment charge.
Condensed Cash Flow Statement
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

Year Ended December 31, 2017
 
 
 
 
 
 
 
 
 
 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
Net cash (used in) provided by operating activities
$
(156
)
 
$
(467
)
 
$
5,305

 
$
—

 
$
4,682

 
 
 
 
 
 
 
 
 
 
Cash flow from investing activities:
 
 
 
 
 
 
 
 
 
Capital expenditures
—

 
(25
)
 
(1,385
)
 
—

 
(1,410
)
Intercompany loans
(777
)
 
—

 
—

 
777

 
—

Dividends from (investments in) consolidated subsidiaries
3,226

 
(15
)
 
120

 
(3,331
)
 
—

Asset sales and other, net
—

 
57

 
(10
)
 
—

 
47

Net cash provided by (used in) investing activities
2,449

 
17

 
(1,275
)
 
(2,554
)
 
(1,363
)
 
 
 
 
 
 
 
 
 
 
Cash flow from financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from debt
—

 
—

 
955

 
—

 
955

Repayments of debt
(2,281
)
 
(205
)
 
(1,326
)
 
—

 
(3,812
)
Intercompany loans
—

 
663

 
114

 
(777
)
 
—

Cash dividends paid and distributions received, net
(2
)
 
—

 
(3,440
)
 
3,266

 
(176
)
Other, net
(10
)
 
(10
)
 
(67
)
 
65

 
(22
)
Net cash (used in) provided by financing activities
(2,293
)
 
448

 
(3,764
)
 
2,554

 
(3,055
)
 
 
 
 
 
 
 
 
 
 
Net (decrease) increase in cash and cash equivalents
—

 
(2
)
 
266

 
—

 
264

Increase in cash and cash equivalents in assets held for sale
—

 
—

 
(62
)
 
—

 
(62
)
Cash and cash equivalents at beginning of year
—

 
2

 
4,243

 
—

 
4,245

Cash and cash equivalents at end of year
$
—

 
$
—

 
$
4,447

 
$
—

 
$
4,447


CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS


Year Ended December 31, 2016
 
 
 
 
 
 
 
 
 
 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
Net cash (used in) provided by operating activities
$
(137
)
 
$
(271
)
 
$
4,135

 
$
2

 
$
3,729

 
 
 
 
 
 
 
 
 
 
Cash flow from investing activities:
 
 
 
 
 
 
 
 
 
Capital expenditures
—

 
(567
)
 
(2,248
)
 
2

 
(2,813
)
Intercompany loans
481

 
(346
)
 
—

 
(135
)
 
—

Dividends from (investments in) consolidated subsidiaries
1,469

 
(45
)
 
176

 
(1,600
)
 
—

Asset sales and other, net
2

 
1,673

 
4,692

 
(4
)
 
6,363

Net cash provided by (used in) investing activities
1,952

 
715

 
2,620

 
(1,737
)
 
3,550

 
 
 
 
 
 
 
 
 
 
Cash flow from financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from debt
1,721

 
—

 
1,960

 
—

 
3,681

Repayments of debt
(5,011
)
 
—

 
(2,614
)
 
—

 
(7,625
)
Intercompany loans
—

 
(332
)
 
197

 
135

 
—

Net proceeds from sale of common stock
1,515

 
—

 
3,388

 
(3,388
)
 
1,515

Cash dividends and distributions paid, including redemption
(6
)
 
(107
)
 
(5,555
)
 
4,969

 
(699
)
Other, net
(34
)
 
(3
)
 
(20
)
 
19

 
(38
)
Net cash (used in) provided by financing activities
(1,815
)
 
(442
)
 
(2,644
)
 
1,735

 
(3,166
)
 
 
 
 
 
 
 
 
 
 
Net increase in cash and cash equivalents
—

 
2

 
4,111

 
—

 
4,113

Increase in cash and cash equivalents in assets held for sale
—

 
—

 
(45
)
 
—

 
(45
)
Cash and cash equivalents at beginning of year
—

 
—

 
177

 
—

 
177

Cash and cash equivalents at end of year
$
—

 
$
2

 
$
4,243

 
$
—

 
$
4,245



Year Ended December 31, 2015
 
 
 
 
 
 
 
 
 
 
FCX
 
FM O&G LLC
 
Non-guarantor
 
 
 
Consolidated
 
Issuer
 
Guarantor
 
Subsidiaries
 
Eliminations
 
FCX
Net cash (used in) provided by operating activities
$
(167
)
 
$
262

 
$
3,112

 
$
13

 
$
3,220

 
 
 
 
 
 
 
 
 
 
Cash flow from investing activities:
 
 
 
 
 
 
 
 
 
Capital expenditures
(7
)
 
(847
)
 
(5,486
)
 
(13
)
 
(6,353
)
Intercompany loans
(1,812
)
 
(1,310
)
 
—

 
3,122

 
—

Dividends from (investments in) consolidated subsidiaries
852

 
(71
)
 
130

 
(913
)
 
(2
)
Asset sales and other, net
(21
)
 
(2
)
 
111

 
21

 
109

Net cash (used in) provided by investing activities
(988
)
 
(2,230
)
 
(5,245
)
 
2,217

 
(6,246
)
 
 
 
 
 
 
 
 
 
 
Cash flow from financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from debt
4,503

 
—

 
3,769

 
—

 
8,272

Repayments of debt
(4,660
)
 
—

 
(2,017
)
 
—

 
(6,677
)
Intercompany loans
—

 
2,038

 
1,084

 
(3,122
)
 
—

Net proceeds from sale of common stock

1,936

 
—

 
—

 
—

 
1,936

Cash dividends and distributions paid
(605
)
 
—

 
(924
)
 
804

 
(725
)
Other, net
(19
)
 
(71
)
 
(18
)
 
88

 
(20
)
Net cash provided by (used in) financing activities
1,155

 
1,967

 
1,894

 
(2,230
)
 
2,786

 
 
 
 
 
 
 
 
 
 
Net decrease in cash and cash equivalents
—

 
(1
)
 
(239
)
 
—

 
(240
)
Decrease in cash and cash equivalents in assets held for sale
—

 
—

 
119

 
—

 
119

Cash and cash equivalents at beginning of year
—

 
1

 
297

 
—

 
298

Cash and cash equivalents at end of year
$
—

 
$
—

 
$
177

 
$
—

 
$
177