Slide 1: Fourth Quarter and Full-Year Earnings 2017
2017 Fourth Quarter and Full-Year Earnings 11:00am ET, February 8, 2018 NYSE: CDE NYSE: CDE 1 JC 2016
Slide 2: Cautionary Statements
Cautionary Statements This presentation contains forward‐looking statements within the meaning of securities legislation in the United States and Canada, including statements regarding the timing and anticipated benefits of the anticipated sale of the San Bartolomé mine, anticipated benefits of the
Slide 3: 2017: A Year of Significant Accomplishments
2017: A Year of Significant Accomplishments Positive free cash flow1 driven by multi-year portfolio Incremental transformation Improved cost balance sheet performance from strength and continuing flexibility operations Announced divestiture of highest cost mine We Pursue a Completion of Palmarejo ra
Slide 4: 2017 Financial Highlights
2017 Financial Highlights1 • Reported net income of $10.9 million, or $0.06 per share • Cash flow from operating activities more than doubled from $96.5 million in 2016 to $197.2 million in 2017 • Generated positive free cash flow2 of $60.4 million, up over $85 million compared to 2016 • Adjusted EB
Slide 5: 4Q 2017 Financial Highlights
4Q 2017 Financial Highlights1 • Net income of $14.3 million, or $0.08 per share, increased approximately $26 million quarter-over-quarter and $25 million year-over-year • Cash flow from operating activities of $91.9 million, increased nearly $55 million compared to 3Q 2017 and over $70 million compa
Slide 6: Summary of Results
Summary of Results Years Quarters ($M) 2017 2016 YoY Δ 4Q 2017 3Q 2017 QoQ Δ 4Q 2016 YoY Δ Silver ounces sold (M oz) 12.7 8.9 42% 3.8 2.9 33% 2.2 71% Gold ounces sold (oz) 410,604 338,131 21% 123,564 89,972 37% 87,108 42% Revenue $709.6 $571.9 24% $214.6 $159.9 34% $139.2 54% Costs applicable to sal
Slide 7: Another Year of Record Production
Another Year of Record Production Silver equivalent1 production from the Company’s continuing operations increased 14% compared to 2016. Higher expected production in 2018 reflects the commencement of production at Silvertip anticipated late 1Q Silver Equivalent1 Production (M oz) 37.7 35.1 30.1 30.
Slide 8: Costs Improved in 2017; Outlook Reflects Transitions
Costs Improved in 2017; Outlook Reflects Transitions Lower 2017 companywide costs driven primarily by higher production and lower unit costs at Palmarejo. Higher anticipated costs in 2018 reflect (i) elevated costs at Silvertip during ramp-up period, (ii) lower grades and higher stripping costs at W
Slide 9: Positive Free Cash Flow After Multi-Year Investments
Positive Free Cash Flow1 After Multi-Year Investments Positive free cash flow1 in 2017 driven by Palmarejo and Wharf, with Rochester contributing to a particularly strong 4Q LTM FCF1,2 Adjusted EBITDA2 ($M) ($M) $60.4 34% 29% 21% 11% $203.3 $194.9 ($25.1) $117.7 ($40.8) $58.9 Adjusted EBITDA2 Adjust
Slide 10: Solid Execution of Key Capital Projects
Solid Execution of Key Capital Projects Coeur completed multi-year capital projects at Palmarejo and Rochester, and made significant progress at Kensington’s Jualin deposit Palmarejo Rochester Kensington Average mining rates reached Commissioned the Stage IV pad Mined and stockpiled development long
Slide 11: Wharf: A Case Study for Successful M&A
Wharf: A Case Study for Successful M&A Acquired in early 2015, Wharf has already generated a return on investment of approximately 20%1. Substantial cash generation and growth in reserves have resulted primarily from Coeur’s operational improvements, targeted investments, exploration, and several te
Slide 12: Continued Portfolio Enhancements
Continued Portfolio Enhancements The Silvertip acquisition and anticipated sale of San Bartolomé reflect meaningful upgrades to the Company’s asset mix Improved geographic risk profile Additional metal diversity Silvertip K e n s ingto n Significant exploration upside W h arf Lower expected
Slide 13: Disciplined, Near-Mine Exploration
Disciplined, Near-Mine Exploration… Coeur has accelerated its exploration activity as a result of encouraging drill results, particularly at Palmarejo and Kensington. Aggressive drilling efforts commenced at Silvertip during 4Q Total Exploration Investment 2018E1 Exploration Investment By Site ($M)
Slide 14: Generating Significant Reserve & Resource Additions
…Generating Significant Reserve & Resource Additions Each of the Company’s operations has shown year-over-year growth in reserves. Companywide measured and indicated resources grew 42% and inferred resources expanded 45% year-over-year +13.8 335.8 Proven and Probable Reserves N/A (M AgEqOz1) +2.9 +1
Slide 15: Building on 2017's Exploration Success
Building on 2017’s Exploration Success 2017 exploration program highlights: 2018 expected exploration priorities include: • $41.9M of total exploration investment • Targeting $40M - $50M2 – $30.3M of expense, $11.6M of capitalized – $20M - $25M of both exploration expense and capitalized exploration
Slide 16: Capital Expenditures Outlook
Capital Expenditures Outlook Capital Expenditures by Mine 2018 capital expenditures are expected to total (% companywide total) $120M - $140M1 • $90M - $100M of sustaining capital expenditures, 13% 22% including $20M - $25M of capitalized exploration 25% 6% 32% • Palmarejo ($30M - $35M), Kensington
Slide 17: Incremental Balance Sheet Strength and Flexibility
Incremental Balance Sheet Strength and Flexibility Coeur successfully refinanced its 7.875% senior notes due 2021 with 5.875% senior notes due 2024 Interest Expense1 Industry Debt Maturities2 ($M) ($B) $36.9 7.875% notes 55% $80 $60 5.875% notes $16.4 $40 $20 $0 2016 2017 Significant Liquidity Other
Slide 18: Looking Ahead
Looking Ahead • Sale of San Bartolomé mine expected to close later this month • Rochester PEA and updated technical report for Kensington planned during 1Q • Commencement of production at Silvertip expected by the end of 1Q • Technical report for Silvertip anticipated during 3Q • Commercial producti
Slide 19: 2018 Guidance
2018 Guidance1 2018 Production Outlook Silver (K oz) Gold (oz) Zinc (K lbs) Lead (K lbs) AgEqOz2 (K oz) Palmarejo 6,500 – 7,100 110,000 – 115,000 - - 13,100 – 14,000 Rochester 4,200 – 4,700 45,000 – 50,000 - - 6,900 – 7,700 Kensington - 115,000 – 120,000 - - 6,900 – 7,200 Wharf - 85,000 – 90,000 - -
Slide 20: Executive Compensation and Governance
Executive Compensation and Governance NYSE: CDE 20 JC 2016
Slide 21: 2017 CEO Compensation Tied to Stockholder Returns
2017 CEO Compensation Tied to Stockholder Returns 60% of compensation linked to stock performance (Based 100% on Company Performance) NYSE: CDE 21 JC 2016
Slide 22: 2017 Incentive Plan Aligned with Strategic Objectives
2017 Incentive Plan Aligned with Strategic Objectives Zero Fatalities PROTECT TRIFR1 % Reduction AIP3 15% No NOVs2 % Reduction in Reportable Spills DEVELOP Three-Year Growth in Reserves and LTIP4 25% Measured & Indicated Resources/Share All-in Sustaining Costs Operating Cash Flow AIP 60% DELIVER Thr
Slide 23: Diverse Board Led by Independent Chair
Diverse Board Led by Independent Chair • Nine out of ten Directors are independent (all except CEO); all four main committees comprised of independent directors only • Two new directors appointed in February 2018 having skills and experiences that complement other directors • Balance of newer and lo
Slide 24: Other Governance Highlights
Other Governance Highlights Governance Practices Board Refreshment and • Two new independent directors added to the Board in February 2018 and Succession Planning five directors – or 50% of the Board – added in last five years • In 2017, the Board engaged a third party to consult on refreshment and
Slide 25: Appendix
Appendix NYSE: CDE 25 JC 2016
Slide 26: Discontinued Operations Reconciliation
Discontinued Operations Reconciliation Net Income (Loss) ($ thousands) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 Revenue $73,065 $12,624 $16,043 $23,814 $20,584 Costs applicable to sales 74,074 15,095 17,365 23,392 18,222 Amortization 5,899 846 1,430 2,212 1,411 General and administrative 172 80 67 17 8
Slide 27: 4Q 2017 Pro Forma Discontinued Operations
4Q 2017 Pro Forma Discontinued Operations Net Income (Loss) ($ thousands) Continuing Operations Discontinued Total Revenue $214,585 $12,624 $227,209 Costs applicable to sales 121,982 15,095 137,077 Amortization 44,722 846 45,568 General and administrative 9,120 80 9,200 Exploration 7,454 - 7,454 Inv
Slide 28: Impact of Select U.S. Tax Reforms
Impact of Select U.S. Tax Reforms Recent U.S. tax reform is not expected to meaningfully impact near-term cash flows. In the long-term, Coeur expects to benefit from these reforms Once U.S. NOLs are used, Coeur expects to benefit Lower statutory corporate tax rate from a lower tax rate on future tax
Slide 29: Non-Core Asset Divestitures
Non-Core Asset Divestitures Coeur opportunistically divested assets for total consideration of $41.3 million in 2017 and $65.1 million since the beginning of 2016 • Strengthens balance sheet • Non-core assets • Attractive valuation environment for streams and royalties • Proceeds allocated to higher
Slide 30: Palmarejo
Palmarejo Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) $14.43 $139.9 Operating cash flow $13.03 $13.77 Capital expenditures $10.55 $10.75 $11.80 $9.36 $9.57 $9.75 $8.38 7,242 122 6,558 6,800 113 $54.6 $52.7 87 5,149 71 4,442 74 $36.0 $35.8 $29.9 $26.1 $26.7 2014
Slide 31: Palmarejo Gold Stream Agreement Driving FCF Growth
Palmarejo Gold Stream Agreement Driving FCF1 Growth • More favorable gold stream agreement with Franco‐Nevada took effect in August 2016 – Applies to 50% of gold production from legacy Palmarejo land package – Franco‐Nevada to pay $800 per ounce vs. $416 per ounce under the old royalty agreement – N
Slide 32: Financial Statement Impacts of FNV Agreement
Financial Statement Impacts of FNV Agreement Previous Royalty Agreement Stream Agreement Income • 100% of gold sales recorded at spot • Gold sales to FNV recorded at $800 Statement prices per ounce plus deferred revenue • Fair value adjustments recorded to reflect changing gold prices on minimum oun
Slide 33: Rochester
Rochester Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) $13.77 Operating cash flow $13.50 $13.08 Capital expenditures $40.9 $14.31 $12.36 $11.86 $12.50 $11.97 $32.1 $32.3 $11.28 $10.93 $28.4 $25.3 4,631 4,564 4,714 4,450 4,189 $16.4 53 51 51 $13.7 45 48 $11.9 2014
Slide 34: Kensington
Kensington Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) Operating cash flow $50.8 Capital expenditures $940 $920 $925 $37.7 $36.8 $37.6 $798 $790 $36.2 126 124 $26.6 118 115 118 $23.8 $16.2 2014 2015 2016 2017 2018E1 2014 2015 2016 2017 Gold production (K oz) Adj
Slide 35: Wharf
Wharf Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) Operating cash flow Capital expenditures $875 $62.4 $706 $700 $575 $49.6 109 $32.0 95 90 88 $8.8 $4.8 $3.2 20151 2016 2017 2018E 2 2015 1 2016 2017 Gold production (K oz) Adj. CAS / AuEqOz1,3 Costs Per Ton 2Q 201
Slide 36: Non-GAAP to U.S. GAAP Reconciliation
Non-GAAP to U.S. GAAP Reconciliation Unaudited Adjusted Net Income (Loss) ($ thousands) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016 2015 2014 Net income (loss) ($1,319) $7,625 ($16,652) ($10,955) $18,663 $55,352 ($8,306) ($367,183) ($1,186,874) Income (loss) from discont. ops., net of tax 12,2
Slide 37: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Unaudited Adjusted EBITDA ($ thousands) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016 2015 2014 Net income (loss) ($1,319) $7,625 ($16,652) ($10,955) $18,663 $55,352 ($8,306) ($367,183) ($1,186,874) Income (loss) from discont. ops., net of tax 12,244
Slide 38: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Unaudited Consolidated Free Cash Flow ($ thousands) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016 2015 2014 Cash flow from operating activities $197,160 $91,811 $37,308 $24,103 $43,938 $96,461 $21,423 $87,412 $15,579 Capital expenditures (136,734) (47
Slide 39: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2017 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $219,920 $13
Slide 40: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended December 31, 2017 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $58,775
Slide 41: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended September 30, 2017 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $49,669
Slide 42: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended June 30, 2017 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $48,325 $29,
Slide 43: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended March 31, 2017 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $63,151 $32
Slide 44: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2016 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $117,419 $11
Slide 45: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended December 31, 2016 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $29,667
Slide 46: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2015 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.S. GAAP) $170,899 $12
Slide 47: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2014 Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Endeavor Total Kensington Total Costs applicable to sales, including amortization (U.S. GAAP) $256,707 $112,252 $8,514
Slide 48: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Unaudited All-in Sustaining Costs ($ thousands, except per ounce amounts) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016 2015 2014 Costs applicable to sales $440,260 $121,983 $101,557 $102,229 $114,490 $335,375 $84,901 $403,827 $388,286 Treatment and r
Slide 49: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) All-in Sustaining Costs for 2018 Guidance Unaudited Per 60:1 Silver Equivalent Ounce Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Silvertip Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.
Slide 50: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) All-in Sustaining Costs for 2018 Guidance Unaudited Per Spot Silver Equivalent Ounce Silver Gold ($ thousands, except per ounce amounts) Palmarejo Rochester Silvertip Total Kensington Wharf Total Total Costs applicable to sales, including amortization (U.
Slide 51: Average Spot Equivalence
Average Spot Equivalence Average Spot Prices 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016 2015 2014 Average silver spot price per ounce $17.05 $16.73 $16.84 $17.21 $17.42 $17.14 $17.19 $15.68 $19.08 Average gold spot price per ounce $1,257 $1,275 $1,278 $1,257 $1,219 $1,251 $1,222 $1,160 $1,266
Slide 52: Reserves and Resources
Reserves and Resources 2017 Proven and Probable Mineral Reserves Grade Contained Location Short tons Silver (oz/t) Gold (oz/t) Lead (%) Zinc (%) Silver (oz) Gold (oz) Lead (lbs) Zinc (lbs) PROVEN RESERVES Palmarejo Mexico 1,571,000 3.81 0.073 5,978,000 115,000 Rochester Nevada, USA 195,724,000 0.45
Slide 53: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2017 Measured and Indicated Mineral Resources (excluding Reserves) Grade Contained Location Short tons Silver (oz/t) Gold (oz/t) Lead (%) Zinc (%) Silver (oz) Gold (oz) Lead (lbs) Zinc (lbs) MEASURED RESOURCES Palmarejo Mexico 629,000 3.07 0.051 1,928,000 32,000 Roches
Slide 54: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2017 Inferred Mineral Resources Grade Contained Location Short tons Silver (oz/t) Gold (oz/t) Lead (%) Zinc (%) Silver (oz) Gold (oz) Lead (lbs) Zinc (lbs) INFERRED RESOURCES Palmarejo Mexico 7,336,000 4.23 0.050 31,061,000 369,000 Rochester Nevada, USA 131,570,000 0.4
Slide 55: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2016 Proven and Probable Mineral Reserves Grade (oz/ton) Ounces (contained) Location Short tons Silver Gold Silver Gold PROVEN RESERVES Palmarejo Mexico 1,569,000 4.44 0.080 6,971,000 126,000 Rochester Nevada, USA 143,686,000 0.48 0.004 68,369,000 503,000 Kensington Al
Slide 56: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2016 Measured and Indicated Mineral Resources (excluding Reserves) Grade (oz/ton) Ounces (contained) Location Short tons Silver Gold Silver Gold MEASURED RESOURCES Palmarejo Mexico 818,000 3.20 0.061 2,618,000 50,000 Rochester Nevada, USA 39,732,000 0.59 0.003 23,281,0
Slide 57: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2016 Inferred Mineral Resources Grade (oz/ton) Ounces (contained) Location Short tons Silver Gold Silver Gold INFERRED RESOURCES Palmarejo Mexico 4,726,000 4.35 0.055 20,540,000 258,000 Rochester Nevada, USA 67,778,000 0.52 0.003 35,554,000 178,000 Kensington Alaska, U
Slide 58: Reserves and Resources (cont.)
Reserves and Resources (cont.) Wharf’s Historical Mineral Reserves and Resources Grade (oz/ton) Ounces (contained) Short tons Silver Gold Silver Gold PROVEN AND PROBABLE RESERVES Proven Reserves 15,179,000 0.078 0.022 1,190,000 340,000 Probable Reserves 8,245,000 0.108 0.026 890,000 220,000 Total Pr
Slide 59: Executive Leadership
Executive Leadership Mitchell J. Krebs – President and Chief Executive Officer. During his twenty-year tenure with Coeur, Mr. Krebs has led nearly $2 billion in capital raising and debt restructuring activities and has facilitated over $2 billion of acquisitions and divestitures. Mr. Krebs was previ
Slide 60: Board of Directors
Board of Directors Robert E. Mellor – Former Chairman, Chief Executive Officer, and President of Building Materials Holding Corporation (distribution, manufacturing, and sales of building materials and component products) from 1997 to January 2010, director from 1991 to January 2010; member of the b
Slide 61: Contact Information
Contact Information Corporate Office Coeur Mining, Inc. 104 S. Michigan Ave., Suite 900 Chicago, IL 60603 Main Telephone +1 (312) 489-5800 Stock Ticker CDE: NYSE Website www.coeur.com Contact Courtney R. B. Lynn VP, Investor Relations & Treasurer investors@coeur.com NYSE: CDE 61 JC 2016