DISPOSITIONS AND ACQUISITIONS (Tables)

12 Months Ended

Dec. 31, 2018

Dispositions And Acquisitions [Abstract]

Allocation of Purchase Price

The following table summarizes the allocation of the purchase price:

Current assets	$	25
Property, plant, equipment and mine development costs:
Mineral reserves	3,056
Mine development, infrastructure and other	1,559
Liabilities other than taxes	(77		)
Deferred income taxes, net	(1,063		)	a
Total purchase price	$	3,500

a. Deferred income taxes have been recognized on the fair value adjustments to net assets using an Indonesia corporate income tax rate of 25 percent.

Consolidated Impact of Transaction

The following table summarizes the consolidated impact of the transaction discussed above on FCX’s consolidated balance sheet as of December 21, 2018:

Cash	$	458
Other current assets	23
Property, plant, equipment and mine development costs:
Mineral reserves	3,056
Mine development, infrastructure and other	1,559
Liabilities other than taxes	(77		)
Deferred income taxes, net	(788		)
Noncontrolling interests	(4,762		)	a
Capital in excess of par value	531

Carrying Amounts of Freeport Cobalt's Major Classes of Assets and Liabilities

The carrying amounts of Freeport Cobalt’s major classes of assets and liabilities, which were reclassified from held for sale in the consolidated balance sheet at December 31, 2017, follow:

Assets
Cash and cash equivalents	$	79
Trade receivables	76
Inventories	256
Other receivables and current assets	20
Property, plant, equipment and mine development costs, net	60
Other assets	3
Total previously included in current assets held for sale	$	494
Liabilities
Accounts payable and accrued liabilities	$	176
Accrued income taxes	18
Long-term debt	112
Deferred income taxes and asset retirement obligations	17
Total previously included in current liabilities held for sale	$	323

Schedule of Disposal

Net (loss) income from discontinued operations in the consolidated statements of operations consists of the following:

	Years Ended December 31,
	2018				2017				2016
Revenuesa	$	—			$	13			$	959
Costs and expenses:
Production and delivery costs	—				—				833
Depreciation, depletion and amortization	—				—				80			b
Interest expense allocated from parent	—				—				39			c
Other costs and expenses, net	—				—				10
Income (loss) before income taxes and net (loss) gain on disposal	—				13				(3		)
Net (loss) gain on disposal	(15		)	d	57			d	(198		)	e
Net (loss) income before income taxes	(15		)		70				(201		)
(Provision for) benefit from income taxes	—				(4		)		8
Net (loss) income from discontinued operations	$	(15	)		$	66			$	(193	)

a. In accordance with accounting guidance, amounts are net of recognition (eliminations) of intercompany sales totaling $13 million in 2017 and $(157) million in 2016.

b. In accordance with accounting guidance, depreciation, depletion and amortization was suspended subsequent to classification as assets held for sale, which occurred in May 2016.

c. In accordance with accounting guidance, interest associated with FCX’s unsecured bank term loan that was required to be repaid as a result of the sale of TFHL has been allocated to discontinued operations.

d. Includes a (loss) gain of $(17) million in 2018 and $61 million in 2017 associated with the change in the fair value of contingent consideration.

e. Includes a charge of $33 million associated with the settlement agreement entered into with Gécamines, partly offset by a gain of $13 million for the fair value of contingent consideration.

Cash flows from discontinued operations included in the consolidated statements of cash flows for the year ended December 31, 2016, follow:

Net cash provided by operating activities	$	241
Net cash used in investing activities	(73		)
Net cash used in financing activities	(123		)
Increase in cash and cash equivalents	$	45