Guarantor Financial Statements (Tables)

3 Months Ended

Mar. 31, 2019

CONDENSED CONSOLIDATING BALANCE SHEET

March 31, 2019



	FCX			FM O&G LLC			Non-guarantor					Consolidated
	Issuer			Guarantor			Subsidiaries		Eliminations			FCX
ASSETS
Current assets	$	253		$	516		$	8,801	$	(525	)	$	9,045
Property, plant, equipment and mine development costs, net	19			6			28,470		2			28,497
Investments in consolidated subsidiaries	17,935			—			—		(17,935		)	—
Other assets	977			23			3,250		(733		)	3,517
Total assets	$	19,184		$	545		$	40,521	$	(19,191	)	$	41,059

LIABILITIES AND EQUITY
Current liabilities	$	199		$	30		$	3,579	$	(561	)	$	3,247
Long-term debt, less current portion	8,595			7,005			5,563		(11,261		)	9,902
Deferred income taxes	519		^a	—			3,548		—			4,067
Environmental and asset retirement obligations, less current portion	—			230			3,402		—			3,632
Investments in consolidated subsidiaries	—			574			10,634		(11,208		)	—
Other liabilities	88			3,340			2,428		(3,486		)	2,370
Total liabilities	9,401			11,179			29,154		(26,516		)	23,218

Equity:
Stockholders’ equity	9,783			(10,634		)	8,721		1,913			9,783
Noncontrolling interests	—			—			2,646		5,412			8,058
Total equity	9,783			(10,634		)	11,367		7,325			17,841
Total liabilities and equity	$	19,184		$	545		$	40,521	$	(19,191	)	$	41,059


a.	All U.S.-related deferred income taxes are recorded at the parent company.

CONDENSED CONSOLIDATING BALANCE SHEET

December 31, 2018



	FCX			FM O&G LLC			Non-guarantor					Consolidated
	Issuer			Guarantor			Subsidiaries		Eliminations			FCX
ASSETS
Current assets	$	309		$	620		$	10,376	$	(585	)	$	10,720
Property, plant, equipment and mine development costs, net	19			7			27,984		—			28,010
Investments in consolidated subsidiaries	19,064			—			—		(19,064		)	—
Other assets	880			23			3,218		(635		)	3,486
Total assets	20,272			650			41,578		(20,284		)	42,216

LIABILITIES AND EQUITY
Current liabilities	$	245		$	34		$	3,667	$	(617	)	$	3,329
Long-term debt, less current portion	9,594			6,984			5,649		(11,103		)	11,124
Deferred income taxes	524		^a	—			3,508		—			4,032
Environmental and asset retirement obligations, less current portion	—			227			3,382		—			3,609
Investments in consolidated subsidiaries	—			578			10,513		(11,091		)	—
Other liabilities	111			3,340			2,265		(3,486		)	2,230
Total liabilities	10,474			11,163			28,984		(26,297		)	24,324

Equity:
Stockholders’ equity	9,798			(10,513		)	9,912		601			9,798
Noncontrolling interests	—			—			2,682		5,412			8,094
Total equity	9,798			(10,513		)	12,594		6,013			17,892
Total liabilities and equity	20,272			650			41,578		(20,284		)	42,216

All U.S.-related deferred income taxes are recorded at the parent company.

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (LOSS)




Three Months Ended March 31, 2019
	FCX			FM O&G LLC			Non-guarantor						Consolidated
	Issuer			Guarantor			Subsidiaries			Eliminations			FCX
Revenues	$	—		$	3		$	3,789		$	—		$	3,792
Total costs and expenses	13			—			3,460			(2		)	3,471
Operating (loss) income	(13		)	3			329			2			321
Interest expense, net	(90		)	(86		)	(109		)	139			(146		)
Other income (expense), net	65			—			16			(73		)	8
Income (loss) before income taxes and equity in affiliated companies’ net earnings (losses)	(38		)	(83		)	236			68			183
(Provision for) benefit from income taxes	(1		)	18			(122		)	—			(105		)
Equity in affiliated companies’ net earnings (losses)	70			5			(63		)	(15		)	(3		)
Net income (loss) from continuing operations	31			(60		)	51			53			75
Net income from discontinued operations	—			—			1			—			1
Net income (loss)	31			(60		)	52			53			76
Net income attributable to noncontrolling interests	—			—			(34		)	(11		)	(45		)
Net income (loss) attributable to common stockholders	$	31		$	(60	)	$	18		$	42		$	31

Other comprehensive income (loss)	11			—			11			(11		)	11
Total comprehensive income (loss)	$	42		$	(60	)	$	29		$	31		$	42




Three Months Ended March 31, 2018
	FCX			FM O&G LLC			Non-guarantor						Consolidated
	Issuer			Guarantor			Subsidiaries			Eliminations			FCX
Revenues	$	—		$	15		$	4,853		$	—		$	4,868
Total costs and expenses	9			8			3,393			(1		)	3,409
Operating (loss) income	(9		)	7			1,460			1			1,459
Interest expense, net	(104		)	(64		)	(85		)	102			(151		)
Other income (expense), net	101			—			29			(102		)	28
(Loss) income before income taxes and equity in affiliated companies’ net earnings (losses)	(12		)	(57		)	1,404			1			1,336
(Provision for) benefit from income taxes	(83		)	12			(435		)	—			(506		)
Equity in affiliated companies’ net earnings (losses)	787			(6		)	(34		)	(749		)	(2		)
Net income (loss) from continuing operations	692			(51		)	935			(748		)	828
Net loss from discontinued operations	—			—			(11		)	—			(11		)
Net income (loss)	692			(51		)	924			(748		)	817
Net income attributable to noncontrolling interests	—			—			(71		)	(54		)	(125		)
Net income (loss) attributable to common stockholders	$	692		$	(51	)	$	853		$	(802	)	$	692

Other comprehensive income (loss)	12			—			12			(12		)	12
Total comprehensive income (loss)	$	704		$	(51	)	$	865		$	(814	)	$	704

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS



Three Months Ended March 31, 2019
	FCX			FM O&G LLC			Non-guarantor						Consolidated
	Issuer			Guarantor			Subsidiaries			Eliminations			FCX
Net cash provided by (used in) operating activities	$	19		$	(106	)	$	621		$	—		$	534

Cash flow from investing activities:
Capital expenditures	—			—			(622		)	—			(622		)
Intercompany loans	(159		)	—			—			159			—
Dividends from (investments in) consolidated subsidiaries	1,224			—			25			(1,251		)	(2		)
Asset sales and other, net	(1		)	84			(5		)	—			78
Net cash provided by (used in) investing activities	1,064			84			(602		)	(1,092		)	(546		)

Cash flow from financing activities:
Proceeds from debt	—			—			114			—			114
Repayments of debt	(1,003		)	—			(353		)	—			(1,356		)
Intercompany loans	—			22			137			(159		)	—
Cash dividends paid and contributions received, net	(73		)	—			(1,242		)	1,233			(82		)
Other, net	(7		)	—			(18		)	18			(7		)
Net cash (used in) provided by financing activities	(1,083		)	22			(1,362		)	1,092			(1,331		)

Net decrease in cash, cash equivalents, restricted cash and restricted cash equivalents	—			—			(1,343		)	—			(1,343		)
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year	—			—			4,455			—			4,455
Cash, cash equivalents, restricted cash and restricted cash equivalents at end of period	$	—		$	—		$	3,112		$	—		$	3,112



Three Months Ended March 31, 2018
	FCX			FM O&G LLC			Non-guarantor						Consolidated
	Issuer			Guarantor			Subsidiaries			Eliminations			FCX
Net cash (used in) provided by operating activities	$	(156	)	$	(70	)	$	1,595		$	—		$	1,369

Cash flow from investing activities:
Capital expenditures	—			—			(402		)	—			(402		)
Intercompany loans	(184		)	—			—			184			—
Dividends from (investments in) consolidated subsidiaries	1,746			—			23			(1,769		)	—
Asset sales and other, net	—			—			(90		)	—			(90		)
Net cash provided by (used in) investing activities	1,562			—			(469		)	(1,585		)	(492		)

Cash flow from financing activities:
Proceeds from debt	—			—			122			—			122
Repayments of debt	(1,409		)	—			(224		)	—			(1,633		)
Intercompany loans	—			62			122			(184		)	—
Cash dividends paid and contributions received, net	—			—			(1,835		)	1,755			(80		)
Other, net	3			—			(14		)	14			3
Net cash (used in) provided by financing activities	(1,406		)	62			(1,829		)	1,585			(1,588		)

Net decrease in cash, cash equivalents, restricted cash and restricted cash equivalents	—			(8		)	(703		)	—			(711		)
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year	—			8			4,702			—			4,710
Cash, cash equivalents, restricted cash and restricted cash equivalents at end of period	$	—		$	—		$	3,999		$	—		$	3,999