Slide 1: 2016 Proxy Statement Highlights April - May 2016
2016 Proxy Statement Highlights April - May 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 anticipated production, costs, and free cash flow. Such forward-looking statements involve known and unknown risks,
Slide 3: Cautionary Statements (continued)
Cautionary Statements (continued) Reserves, Resources and Mineralized Material Coeur is subject to the reporting requirements of the Exchange Act of 1934 and applicable Canadian securities laws, and as a result we report our mineral reserves according to two different standards. Canadian reporting r
Slide 4: Important Additional Information
Important Additional Information In connection with the solicitation of proxies, Coeur Mining, Inc. (“Coeur”) filed with the Securities and Exchange Commission (the “SEC”) and mailed to stockholders a definitive proxy statement dated March 29, 2016 (the “Proxy Statement”). The Proxy Statement contai
Slide 5: Relevant Terms
Relevant Terms We use the following terms in this presentation and in the Proxy Statement to describe our operations and results, some of which are non-GAAP financial measures. Please see non-GAAP reconciliation tables in the appendix to this presentation. Term Definition AISC1 All-in sustaining cos
Slide 6: 2015 Highlights and Early 2016 Achievements
2015 Highlights and Early 2016 Achievements 2015 silver and gold production by 11% year-over-year to 35.6M silver equivalent ounces1, at the high-end of guidance established at the beginning of 2015 Significantly reduced unit costs by 22%, which beat guidance established at the beginning of the year
Slide 7: Repositioning to Drive Significant Future Free Cash Flow and Stockholder Value
Repositioning to Drive Significant Future Free Cash Flow and Stockholder Value Reduced unit costs1 by 22% compared with 2014 and 30% compared with 2013Cut G&A by over 40% over the past two yearsExpect costs to decline further as we continue to optimize our mine plans Industry-Leading Cost Reductions
Slide 8: Industry-Leading Cost Reductions
Industry-Leading Cost Reductions See non-GAAP reconciliation tables in the appendix to this presentation. For purposes of silver and gold equivalence, a 60:1 ratio is assumed except where noted as average realized prices. Note: Wharf excluded from 1Q 2015 costs as no sales were recorded. Average rea
Slide 9: Coeur is Consistently and Aggressively Reducing Operating Costs
Coeur is Consistently and Aggressively Reducing Operating Costs Coeur is an Industry-Leader in Consistently Reducing Costs Note: Percentage decline or increase in primary per ounce cost metric as publicly reported by each company in their full-year 2015 financial results. % Decline 4Q 2015 vs 4Q 201
Slide 10: NEO Compensation Aligned with Stockholder Returns
NEO Compensation Aligned with Stockholder Returns Exercise of Negative Discretion; Significantly Lower Annual Incentive Payouts Compensation Committee reduced Company performance component of AIP from 135% of target to 110% despite strong operational performance against internal strategic goalsIndiv
Slide 11: Multiyear CEO Compensation Aligned with Stockholder Returns
Multiyear CEO Compensation Aligned with Stockholder Returns Realizable pay as of 12/31/201543% reduction primarily attributable to zero payout of 2013 grant of performance shares, sharp decrease in value of restricted stock and all stock options being significantly “underwater” Significant Reduction
Slide 12: Strong Link Between Realized Pay and Stockholder Returns
Strong Link Between Realized Pay and Stockholder Returns 97% decline in value of 2013 CEO equity grant due to:Zero payout of performance shares for the 2013-2015 periodSignificant decline in value of restricted stock and all stock options significantly underwater; in line with TSR (realized value of
Slide 13: Status of 2013-2015 CEO LTIP Grants
Status of 2013-2015 CEO LTIP Grants Significant loss in value of restricted stock and 0% of performance shares and options “in the money” as of 12/31/15, consistent with negative three-year TSR Grant Year Type of Award Value at Grant Realized or “In the Money” as of 12/31/15 Unvested or “At-Risk” as
Slide 14: 2015 AIP – Exercise of Negative Discretion
2015 AIP – Exercise of Negative Discretion Targets designed to drive progress toward multi-year strategic initiativesSilver equivalent production1: 35.2M (35.6M achieved)Cash operating costs per silver equivalent ounce1: $13.68 ($13.08 achieved)Operating cash flow: $87.5M ($113.5M achieved)Safety an
Slide 15: 2015 Stockholder Outreach
2015 Stockholder Outreach Increased stockholder engagement in 2015Reached out to largest 25 stockholders, representing 52% of outstanding shares and all stockholders holding at least 0.5% of outstanding sharesProductive and meaningful conversations led directly to changes in executive compensation p
Slide 16: Board Responded to Stockholder Feedback
Board Responded to Stockholder Feedback Stockholder Feedback Response Reduce AIP to account for negative TSR year Compensation committee exercised negative discretion to reduce NEO AIP payouts; payouts approximately 20% lower than 2014 for each NEO Variable rather than fixed LTIP grants Changed LTIP
Slide 17: Executive Compensation: Pay-for-Performance Philosophy
Executive Compensation: Pay-for-Performance Philosophy Guiding Principles Objectives Drive performance against critical strategic goals designed to create long-term stockholder valueMajority of executive compensation in the form of variable compensationAttract and retain highly skilled executives Pe
Slide 18: Leading Executive Compensation Practices
Leading Executive Compensation Practices What We Do What We Do Not Do Pay for performance with strong alignment of realized pay to TSR No excise tax gross-ups, tax gross-ups on perquisites or tax gross-ups applicable to change-in-control and severance payments Proactive stockholder outreach with mea
Slide 19: Leading Corporate Governance Practices
Independent Board chairmanAll directors independent other than CEO Leading Corporate Governance Practices Board Independence Board Refreshment & Succession Planning Robust Board and Committee Evaluations Board-Level Risk Oversight Active Stockholder Engagement Three new independent directors elected
Slide 20: Independent Board with Highly Relevant Experience
Independent Board with Highly Relevant Experience Leadership Experience Industry Experience Operations Experience Financial/Accounting Strategic Planning Capital Markets Experience Public Company Board Experience Robert E. Mellor Linda L. Adamany Kevin S. Crutchfield
Slide 21: 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 boa
Slide 22: 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 23: Appendix
Appendix
Slide 24: All-in sustaining costs reconciliation
in thousands except per ounce costs FY 2015 FY 2014 FY 2013 Costs applicable to sales, including amortization (U.S. GAAP) $617,938 $635,516 $691,969 Amortization 138,284 157,571 228,033 Costs applicable to sales 479,654 477,945 463,663 Treatment and refining costs 4,801 4,943 6,964 Sustaining capita
Slide 25: Corporate Office and Contact Information
Corporate Office: Coeur Mining, Inc. 104 S. Michigan Ave, Suite 900 Chicago, Illinois 60603Main Tel: (312) 489-5800Stock Ticker: CDE: NYSEWarrant Ticker: CDM.WT: TSXWebsite: coeur.comContact: Contact Information Rebecca HusseyManager, Investor Relationsrhussey@coeur.com