COEUR D'ALENE MINES CORPORATION PRODUCTION STATISTICS THREE MONTHS ENDED March 31, -------------------------------------------------------------------------------- 2002 2001 --------- --------- ROCHESTER MINE Gold ozs. 16,423 19,457 Silver ozs. 1,415,767 1,501,649 Cash Costs per equiv. oz./silver $4.06 $3.88 Full Costs per equiv. oz./silver $4.56 $4.84 Galena Mine Silver ozs. 1,473,542 1,107,941 Cash Costs per oz./silver $3.97 $4.36 Full Costs per oz./silver $4.62 $5.01 PRIMARY SILVER MINES --------- --------- Consolidated Cash Costs per equivalent oz.of silver $4.02 $4.02 --------- --------- PETORCA MINE (Note A) Gold ozs. N/A 7,159 Silver ozs. N/A 22,127 Cash Costs per oz./gold N/A $354 Full Costs per oz./gold N/A $373 PRIMARY GOLD MINES --------- --------- Consolidated Cash Costs per equivalent oz.of gold N/A $354 --------- --------- CONSOLIDATED TOTAL METAL PRODUCTION Gold ozs. 16,423 26,678 Silver ozs. 2,889,309 2,631,717 Note A: The Company suspended operations at the Petorca Mine in the third quarter of 2001, and does not expect to re-open this mine in the foreseeable future. CONSOLIDATED BALANCE SHEETS COEUR D'ALENE MINES CORPORATION AND SUBSIDIARIES (Unaudited) March 31, December 31, 2002 2001 ----------- ----------- ASSETS (In Thousands) CURRENT ASSETS Cash and cash equivalents $ 8,707 $ 14,714 Short-term investments 2,024 3,437 Restricted short-term investments 11,469 11,219 Receivables 7,081 5,902 Inventories 46,289 46,286 --------- -------- TOTAL CURRENT ASSETS 75,570 81,558 PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment 99,429 99,096 Less accumulated depreciation (67,136) (63,017) --------- --------- 32,293 36,079 MINING PROPERTIES Operational mining properties 120,268 116,852 Less accumulated depletion (80,980) (79,697) --------- --------- 39,288 37,155 Properties acquired or in development 46,711 46,685 --------- -------- 85,999 83,840 OTHER ASSETS Debt issuance costs, net of accumulated amortization 2,582 3,262 Other 3,062 5,641 --------- -------- 5,644 8,903 --------- -------- $199,506 $210,380 ========= ======== CONSOLIDATED BALANCE SHEETS COEUR D'ALENE MINES CORPORATION AND SUBSIDIARIES (Unaudited) March 31, December 31, 2002 2001 ---------- ----------- (In Thousands) LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable $ 4,850 3,721 Accrued liabilities 4,043 5,503 Accrued interest payable 3,207 2,720 Accrued salaries and wages 4,005 4,542 Current portion of remediation costs 1,956 2,058 6% convertible subordinated debentures due 2002 19,767 23,171 ------ ------ TOTAL CURRENT LIABILITIES 37,828 41,715 LONG-TERM LIABILITIES 13 3/8% convertible senior subordinated notes due December 2003 35,670 41,399 6 3/8% convertible subordinated debentures due January 2004 66,270 66,270 7 1/4% convertible subordinated debentures due October 2005 14,650 14,650 Reclamation and mine closure 13,298 14,462 Other long-term liabilities 6,510 5,096 --------- -------- TOTAL LONG-TERM LIABILITIES 136,398 141,877 SHAREHOLDERS' EQUITY Common Stock, par value $1.00 per share -- authorized 125,000,000 shares, issued 57,846,960 and 49,278,232 shares in 2001 and 2000 (including 1,059,211 shares held in treasury) 57,847 49,278 Capital surplus 389,769 388,050 Accumulated deficit (409,895) (397,999) Repurchased and nonvested shares (13,190) (13,190) Accumulated other comprehensive loss: Unrealized gain (loss) on short-term investments 749 (649) --------- --------- 25,280 26,788 --------- --------- $199,506 $210,380 ========= ========= CONSOLIDATED STATEMENTS OF OPERATIONS COEUR D'ALENE MINES CORPORATION AND SUBSIDIARIES (Unaudited) THREE MONTHS ENDED March 31, -------------------------------------------------------------------------------- 2002 2001 --------- --------- (In Thousands, except for per share data) REVENUES Product sales $ 16,469 $ 18,006 Interest and other revenues 528 16 --------- --------- Total Revenues 16,997 18,022 COSTS and Expenses Production 18,014 18,257 Depreciation and depletion 1,878 2,817 Administrative and general 2,105 2,277 Exploration 628 1,392 Pre-feasibility 822 566 Interest 4,401 3,744 Other 1,045 217 --------- --------- Total Costs and Expenses 28,893 29,270 --------- --------- NET LOSS FROM CONTINUING OPERATIONS BEFORE TAXES AND EXTRAORDINARY ITEM (11,896) (11,248) Income tax provision -- 1 --------- --------- Net loss before extraordinary item (11,896) (11,249) Extraordinary item -- early retirement of debt (net of taxes) -- 3,181 --------- --------- NET LOSS (11,896) (8,068) Unrealized holding gain (loss) on securities 101 415 --------- --------- COMPREHENSIVE LOSS $(11,795) $ (7,653) ========= ========= BASIC AND DILUTED EARNINGS PER SHARE: Weighted average number of shares of Common Stock 52,389 37,308 ========= ========= Loss before extraordinary item $ (.23) $ (.31) Extraordinary item -- early retirement of debt (net of taxes) -- .09 -------- --------- Net loss per share attributable to common shareholders $ (.23) $ (.22) ========= ========= CONSOLIDATED STATEMENTS OF CASH FLOWS COEUR D'ALENE MINES CORPORATION AND SUBSIDIARIES (Unaudited) THREE MONTHS ENDED MARCH 31, 2002 2001 (In Thousands) CASH FLOWS FROM OPERATING ACTIVITIES Net loss $(11,896) $ (8,068) Add (deduct) noncash items: Depreciation and depletion 1,878 2,817 Loss (gain) on early retirement of debt (net of tax) 252 (3,181) Interest expense on Convertible Senior Subordinated Notes paid in Common Stock 895 -- Other 812 2,189 Unrealized loss (gain) on written call options 62 (379) Changes in Operating Assets and Liabilities: Receivables (1,299) 818 Inventories 2,721 1,041 Accounts payable and accrued liabilities 1,056 (1,208) --------- ---------- NET CASH USED IN OPERATING ACTIVITIES (5,519) (5,971) CASH FLOWS FROM INVESTING ACTIVITIES Purchases of short-term investments -- (1,255) Proceeds from sales of short-term investments 1,264 5,266 Proceeds from sale of assets -- 14,733 Expenditures on mining assets (1,554) (1,977) Other (137) (259) --------- ---------- NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES (427) 16,508 CASH FLOWS FROM FINANCING ACTIVITIES Other (61) (296) --------- ---------- NET CASH USED IN FINANCING ACTIVITIES (61) (296) --------- ---------- INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS $ (6,007) $ 10,241 Cash and cash equivalents at beginning of period 14,714 35,227 --------- ---------- Cash and cash equivalents at end of period $ 8,807 $ 45,468 ========= ========== SUPPLEMENTAL CASH FLOW DISCLOSURE During the 1st quarter of 2002 the Company repurchased $3.5 million principal amount of its outstanding 6% Convertible Subordinated Debentures in exchange for approximately 3.5 million shares of common stock. In addition, holders of $5.7 principal amount of 13 3/8% Convertible Senior Subordinated Notes voluntarily converted their Notes for 5.1 million shares of common stock. During the 1st quarter of 2001 the Company repurchased $5.0 million principal amount of its outstanding 7 1/4% Convertible Subordinate Debentures in exchange for 1,787,500 shares of common stock.