Slide 1: 2010 4th Quarter & Year-end Results
2010 4th Quarter & Year-end Results February 25, 2011
Slide 2: Management Participants
Management Participants STEVE LETWIN President & Chief Executive Officer GORD STOTHART Executive Vice President & Chief Operating Officer CAROL BANDUCCI Executive Vice President & Chief Financial Officer JEFF SNOW Senior Vice President, General Counsel & Corporate Secretary MIKE DONNELLY Senior Vice
Slide 3: Cautionary Statement
Cautionary Statement This presentation contains forward-looking statements. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements rega
Slide 4: Q4 2010 Highlights
Q4 2010 Highlights 9 RECORD quarterly gold production of 315,000 attributable ounces 9 Net earnings of $144.5M ($0.39/sh), an increase of $191.9M vs. Q4’09 9 Operating cash flow of $221.3M ($0.59/sh), an increase of 228% vs. Q4’09 9 Announced 33% increase in dividend 4
Slide 5: Full year 2010 Highlights
Full year 2010 Highlights 9 Corporate Social Responsibility 9 RECORD revenues of $1.17 billion, +28% 9 RECORD net earnings of $280 million, +145% 9 RECORD operating cash flow of $415 million, +62% 5
Slide 6: 2010 Attributable Gold Production and Sales
2010 Attributable Gold Production and Sales 000s oz 331 350 315 300 256 250 206 216 210 200 190 188 150 100 50 0 Q1'10 Q2'10 Q3'10 Q4'10 Gold Produced Gold sold 2010 Attributable Production: 967,000 oz 2010 Attributable Sales: 945,000 oz Difference mostly due to gold in process at Essakane 6
Slide 7: 2010 Record Revenues
2010 Record Revenues millions $ Revenues Q4’10 revenues up 73% vs. Q4’09 $1,200 $1,167 Due to: 56% increase in gold sales $1,000 +28% $914 459 26% increase in realized gold prices +73% $800 265 Q4 Q3 FY’10 revenues up 28% vs. FY’09 $600 Q2 254 Due to: 235 Q1 2% increase in gold sales $400 225
Slide 8: Margins
Margins $/oz $/oz Gold Gold margin Operating Q4 ’09 Q4 ’10 FY’09 FY’10 $1,600 Results $1,200 805 678 Gold production 608 234 315 939 967 $800 499 (000 oz) $400 488 574 574 Gold price 461 realized 1,096 1,379 960 1,252 $0 ($/oz) Q4 '09 Q4 '10 FY'09 FY'10 Cash cost cost margin 488 574 461 574 ($/oz) N
Slide 9: 2010 Adjusted Net Earnings
2010 Adjusted Net Earnings millions $ Adjusted net earnings Q4’10 FY’10 millions $ $/sh $285.7M Net earnings 144.5 279.8 $300 $0.77/sh $0.80 Changes in asset retirement 12.0 12.0 obligations for closed properties $225 +68% $0.60 Unrealized derivative loss on gold 3.4 11.8 $170.0 M Mupane hedging $0.
Slide 10: 2010 Operating Cash Flow
2010 Operating Cash Flow millions $ Operating cash flow $/sh Operating cash flow per share $415.1 $1.20 $420 $1.12 $360 $1.00 +62% $300 221.3 +53% +228% $0.80 0.59 $257.0 $0.73 +228% Q4 Q4 $240 67.5 Q3 0.18 Q3 $0.60 Q2 Q2 $180 Q1 Q1 64.9 0.24 0.17 89.3 $0.40 $120 51.4 0.14 0.11 38.9 $0.20 $60 61.3 7
Slide 11: Solid Financial Position
Solid Financial Position Financial Position Millions $ Dec. 31, Dec. 31, millions $ 2010 2009 $800 $761 Cash & Cash $700 270.8 191.4 Equivalents $613 $593 $600 $578 350 Gold Bullion at 140.5 108.7 $500 market 332 $400 350 350 Unused credit 350.0 122.6 facility $300 $200 411 Subsequent events in Febr
Slide 12: 2010 Operational Highlights
2010 Operational Highlights 9 ESSAKANE start-up July 16, 2010 9 NIOBEC paste backfill & mill expansion completed 9 ROSEBEL leach tank capacity increased by 25% 9 WESTWOOD shaft sinking achieved 1,063 m 9 Increased gold reserves to 16.4 Moz, +13%; Increased niobium Nb2O5 reserves to 243.8 Mkg, +34% 1
Slide 13: Planned Capital Expenditures
Planned Capital Expenditures 3-Year Capital Expenditures Profile 2011 Planned Capital Expenditures $460M Westwood - $146M millions $ Deepening shaft $500 Developing drift levels for future mining $500 Start mill refurbishment $460 132 Essakane - $139M Expansion construction to start in Q4’11
Slide 14: 2011 Guidance
2011 Guidance 2010 Actual 2011 Guidance Gold Production (000 oz) 967 1,100-1,200 Cash Costs (US$/oz) 574 565-595 Niobium Production (Mkg) 4.4 4.5-5.0 Niobium Operating Margin (US$/kg) 18 15-17 14
Slide 15: Exploration Highlights
2010 Exploration Highlights 2010 EXPLORATION spend totaled $86.3M NEAR MINE & DEVELOPMENT PROJECTS Rosebel drill program of >94,000 m Essakane drill program >40,000 m resource delineation drilling >30,000 m near-mine exploration Westwood drill program of >74,000 m GREENFIELDS EXPLORATION
Slide 16: 2011 Exploration Outlook
2011 Exploration Outlook 2011 greenfields budget: $43.5M 118,000 m drilling 46,425 m AC drilling at Essakane Essakane New drill targets and potential expansion of Essakane’s reserves & resources High priority target identifed south of Falagountou deposit Rosebel Regional Extensive explorat
Slide 17: Strategic Focus
Strategic Focus BROWNFIELD GREENFIELD OPPORTUNITIES OPPORTUNITIES ESSAKANE (90%), EXPLORATION AT MINES WE OPERATE ROSEBEL (95%) & & FUTURE WESTWOOD (100%) ACQUISITIONS TARKWA & NIOBEC (100%) DAMANG (18.9%) SADIOLA (41%) NIOBIUM MINE & YATELA (40%) WORKING INTERESTS IN GHANA JOINT VENTURES IN MALI OP
Slide 18: 2010 4th Quarter & Year-end Results
2010 4th Quarter & Year-end Results February 25, 2011 Investor Relations: Bob Tait VP, Investor Relations T: 416 360 4743 E: bob_tait@iamgold.com