For a full explanation of results, the Financial Statements and Management Discussion & Analysis, and mine statistics please see the Company’s website,
FIRST QUARTER REPORT 2010 For a full explanation of results, the Financial Statements and Management Discussion & Analysis, and mine APRIL 28, 2010 statistics please see the Company’s website, Based on US GAAP and expressed in US dollars www.barrick.com.
Barrick Reports Q1 2010 Financial and Operating Results
| Highlights | |
| • Reported Q1 net income was a record $758 million ($0.77 per share). Adjusted Q1 net income rose 149% to $741 million ($0.75 per share)1 from $298 million ($0.34 per share) in Q1 2009, reflecting higher production and sales in conjunction with lower total cash costs and higher realized prices for both gold and copper. Operating cash flow more than tripled to a record $1.05 billion from $349 million in the same prior year period. • Q1 gold production was up 19% to 2.08 million ounces at total cash costs of $442 per ounce or net cash costs of $342 per ounce1, which were $42 per ounce and $62 per ounce below prior year period total cash costs and net cash costs, respectively. The Company is on track with its guidance to increase production in 2010 to 7.6-8.0 million ounces at lower total cash costs of $425-$455 per ounce or net cash costs of $345-$375 per ounce2. • The Cortez Hills project was completed during the quarter on time and budget and contributed strongly to Q1 results. The entire Cortez property continues to be on track to achieve its original production guidance of 1.08-1.12 million ounces of gold in 2010 at total cash costs of $295-$315 per ounce. In mid-April, the U.S. District Court issued a decision allowing mining to continue at Cortez Hills (subject to certain restrictions on ore transportation and dewatering) pending completion of a Supplemental Environmental Impact Statement. The Company anticipates a Record of Decision will be issued by the Bureau of Land Management by year-end, at which point it is expected that the operation will revert to its original scope. • Construction of the Pueblo Viejo and Pascua-Lama projects is on schedule and expected to be in line with their respective pre-production capital budgets. At full capacity and combined with Cortez Hills, these projects are forecast to contribute about 2.4 million ounces3 of annual production at low cash costs. • Barrick completed its acquisition of an additional 25% interest in the Cerro Casale project in Chile during the quarter for consideration of approximately $474 million and now owns a 75% interest in and has control of one of the world’s largest undeveloped gold-copper deposits. • The initial public offering for African Barrick Gold plc (“ABG”), which holds Barrick’s previously held African gold mining operations and exploration properties, closed in March and the shares of ABG were admitted to trading on the London Stock Exchange’s main market for listed securities. Total net proceeds of the offering were $882 million. Barrick currently holds an approximate 74% interest in ABG. • Barrick continues to maintain a strong financial position and the industry’s only ‘A’ credit rating with quarter-end cash of $3.5 billion, an undrawn credit facility of $1.5 billion, robust operating cash flow and excellent access to debt markets. |
Q1 production of 2.08 million ounces of gold was performances from Lagunas Norte, Veladero and 19% higher at total cash costs of $442 per ounce Cortez Hills. Net cash costs of $342 per ounce were which were 9% or $42 per ounce lower than the 15% or $62 per ounce below the prior year period. same prior year period, primarily due to strong The realized gold price for the quarter was $1,114
1 Adjusted net income, total cash costs per ounce, and net cash costs per ounce are non-GAAP financial measures. See pages 32-37 of Barrick’s First Quarter 2010 Report.
2 Based on a copper price assumption of $3.25 per pound.
3 2.4 million ounces of production is based on the estimated cumulative average annual production in the first full 5 years once all are at full capacity, with the Cortez Complex including Pipeline.
BARRICK FIRST QUARTER 2010 PRESS RELEASE
per ounce4, $5 per ounce above the average spot year 2010 guidance of 1.08-1.12 million ounces at price of $1,109 per ounce. Cash margins increased total cash costs of $295-$315 per ounce following a to 60% or $672 per ounce4 from 47% or $431 per U.S. District Court decision allowing mining to ounce in Q1 2009. Net cash margins increased to continue while the Bureau of Land Management 69% or $772 per ounce4 from 56% or $511 per (BLM) completes a Supplemental Environmental ounce in the same prior year period. Impact Study (SEIS) incorporating further study on Q1 adjusted net income rose 149% to $741 three aspects identified in a 2009 ruling by the million ($0.75 per share), reflecting higher United States 9th Circuit Court of Appeals. As the production and sales in conjunction with lower total Company proposed in its request for a tailored cash costs and higher realized prices for both gold injunction, Barrick will not ship a portion of Cortez and copper, compared to adjusted net income of Hills ore off site for processing while the SEIS is $298 million ($0.34 per share) in Q1 2009. prepared and made available for public comment. Reported Q1 net income of $758 million ($0.77 per Mine dewatering during this period will also be share) before net adjustments of $17 million was a limited to rates and volumes allowed under permits Company record. Q1 operating cash flow more than granted prior to the 2008 approval of the project. tripled to a record $1.05 billion compared to $0.35 The third aspect of the SEIS concerns new billion in the same period a year ago. modeling protocols that evolved while the Cortez “We had a good start to the year with our Hills case was in litigation which the BLM will apply operations performing well, and when combined in assessing PM (particulate matter) 2.5 emissions. with higher metal prices, the result was record Barrick expects completion of the SEIS and a earnings and operating cash flow for the quarter,” Record of Decision by the BLM to be issued by said Aaron Regent, Barrick’s President and CEO. year-end, at which point the operation is expected “We are particularly pleased with the performance to revert to its original scope.
of our Cortez property. The Cortez Hills project was The Goldstrike operation also performed ahead completed on time and budget, and the recent of expectations, contributing 0.28 million ounces at decision of the District Court in Nevada will allow it total cash costs of $581 per ounce on better than to continue operating. Cortez Hills is an impressive expected open pit and underground grades, and deposit and in 2010 the Cortez property will higher roaster throughput.
produce about 1.1 million ounces of gold at total The South American business unit produced cash costs of about $300 per ounce. We are also 0.66 million ounces at total cash costs of $200 per on track with the development of the other projects ounce in Q1. The Lagunas Norte mine exceeded in our pipeline.” plan, producing 0.33 million ounces at total cash costs of $147 per ounce on recovery of higher PRODUCTION AND COSTS grade leach pad inventory. The Veladero mine The North America region performed ahead of produced 0.27 million ounces at total cash costs of expectations in Q1, producing 0.73 million ounces at $247 per ounce, reflecting mining of higher grades total cash costs of $519 per ounce on strong and the positive impact of the crusher expansion performances from Cortez and Goldstrike. The which reached full capacity of 85,000 tons per day Cortez operation was ahead of plan with production in March.
of 0.28 million ounces at total cash costs of $346 The Australia Pacific business unit contributed per ounce on better than expected grades from production of 0.51 million ounces at total cash costs Cortez Hills and Pipeline. of $598 per ounce in Q1. The Porgera mine The Cortez Hills project was completed during performed on plan with production of 0.15 million the quarter in line with its $500 million pre- ounces at total cash costs of $493 per ounce. production capital budget, and is the seventh mine Production from African Barrick Gold plc in Q1 in five years which Barrick has delivered on time. was 0.18 million ounces at total cash costs of $616 The Cortez property is on track to meet original full per ounce5 as the Buzwagi mine worked through an area of transition ore. ABG is on track with its 4 Realized price, cash margins and net cash margins are non-GAAP financial measures. See pages 32-37 of Barrick’s First Quarter 2010 Report. 5 US GAAP basis. ABG reports under an IFRS basis.
BARRICK FIRST QUARTER 2010 2 PRESS RELEASE
previously announced full year guidance of over 90% complete. Significant long lead time 800,000-850,000 ounces (100% basis) of which items such as the autoclaves and oxygen plant 650,000-690,000 ounces is expected to be are on schedule, site preparation earthworks are attributable to Barrick at total cash costs of $500- essentially complete, and about 57,300 cubic $550 per ounce5. meters of concrete or about 40% of the total have Barrick expects to meet its full year copper been poured. Barrick’s 60% share of annual gold production guidance of 340-365 million pounds at production in the first full five years of operation is total cash costs of $1.10-$1.20 per pound. Q1 copper expected to average 625,000-675,000 ounces at production was 100 million pounds at total cash total cash costs of $250-$275 per ounce7.
costs of $1.05 per pound, which were 20% lower The Company is pleased to announce the than the prior year period. The Company realized a signing of $1.035 billion (100%) in non-recourse8 copper price of $3.29 per pound in Q1, in line with project financing for Pueblo Viejo subsequent to the average spot price. quarter end. The lending syndicate is comprised of Utilizing option collar strategies, the Company international financial institutions including export has put in place floor protection on approximately credit agencies and commercial banks. The amount 75% of expected copper production for the is divided into two tranches of $775 million and remainder of 2010 at an average price of $2.18 per $260 million with tenors of 15 and 12 years, pound and can fully participate in copper price respectively, at attractive rates.
upside on approximately 95% of expected At the Pascua-Lama project on the border of remaining 2010 copper production to a maximum Chile and Argentina, detailed engineering is average price of $3.67 per pound. Approximately approximately 95% complete and the project is on one-third of expected 2011 production is hedged track to enter production in the first quarter of through the use of collars with an average floor 2013. In Chile, the Barriales camp is about 50% price of $3.00 per pound and an average ceiling complete, the crusher and workshop platforms price of $4.14 per pound. have been cleared and mobilization of the Barrick’s production base is underpinned by the tunneling contractor is moving ahead with industry’s largest, fully unhedged gold reserves of access to the portal established. On the 139.8 million ounces, plus measured and indicated Argentina side, modules for the Amarillos camp gold resources of 61.8 million ounces and inferred are being fabricated off site and the early gold resources of 31.6 million ounces6. earthworks contractor has mobilized to site. The project remains in line with its pre-production PROJECTS UPDATE capital budget of $2.8-$3.0 billion with Barrick’s two projects in construction remain on approximately one-third of the capital committed. schedule and in line with their respective capital Average annual gold production is expected to be budgets. 750,000–800,000 ounces in the first full five years The Pueblo Viejo project in the Dominican of operation at total cash costs of $20-$50 per Republic is advancing on schedule and in line with ounce9 assuming a silver price of $12 per ounce. its $3.0 billion pre-production capital budget (100% For every $1 per ounce increase in the silver price, basis), with overall construction nearly 20% total cash costs are expected to decrease by about complete and initial production anticipated in the $35 per ounce over this period.
fourth quarter of 2011. At the end of the first At the Cerro Casale project in Chile, the quarter, approximately two-thirds of the capital selection process is underway for an EPCM had been committed and engineering and contractor to advance basic engineering. Preprocurement by major EPCM contractors was production capital is expected to be about $4.2 billion (100% basis) and Barrick’s 75% share of 6 Calculated in accordance with National Instrument 43-101 as required by Canadian securities regulatory average annual production is anticipated to be authorities. For United States reporting purposes, Industry Guide 7 (under the Securities Exchange Act of 1934), as interpreted by the Staff of the SEC, applies different standards in order to classify mineralization as a reserve. Accordingly, for U.S. reporting purposes, Cerro Casale is classified as mineralized material. For a breakdown of reserves and resources by category and additional information relating to reserves and 7 Based on gold price and oil price assumptions of $950 per ounce and $75 per barrel, respectively. resources, see pages 23 to 33 of Barrick’s 2009 Form 40-F/Annual Information Form on file with the U.S. 8 Subject to Pueblo Viejo meeting certain completion tests.
Securities and Exchange Commission and Canadian provincial securities regulatory authorities. 9 Total cash costs are calculated net of silver credits assuming silver, gold, and oil prices of $12 per ounce, $950 per ounce, $75 per barrel, respectively.
BARRICK FIRST QUARTER 2010 3 PRESS RELEASE
about 750,000-825,000 ounces of gold and 170- overallotment option was partially exercised in 190 million pounds of copper in the first full five respect of 5.8 million shares for net proceeds of years of operation at total cash costs of about $48 million to ABG, bringing total net proceeds of $240-$260 per ounce10 assuming a copper price the offering to $882 million. Barrick currently holds of $2.50 per pound. A $0.25 per pound change in a 73.9% equity interest in ABG.
the copper price would result in an approximate $50 per ounce impact on the expected total cash FINANCIAL POSITION cost per ounce over this period. At March 31, 2010, Barrick had the gold industry’s highest credit rating, a cash balance of $3.5 billion, CORPORATE DEVELOPMENT a $1.5 billion undrawn credit facility, and a net debt Barrick completed its acquisition of an additional to total capitalization ratio of approximately 0.14. 25% interest in the Cerro Casale project in Chile The Company is positioned to generate significant from Kinross Gold Corporation (“Kinross”) and now operating cash flow in 2010 in what is expected to owns a 75% interest in and has control of one of be a positive gold price environment.
the world’s largest undeveloped gold-copper deposits. The Company acquired the additional * * * * 25% interest in the Cerro Casale project for consideration of approximately $474 million, Barrick’s vision is to be the world’s best gold comprised of $454 million cash and the elimination company by finding, acquiring, developing and of a $20 million contingent obligation which was producing quality reserves in a safe, profitable payable by Kinross to Barrick on a production and socially responsible manner. Barrick’s shares decision. are traded on the Toronto and New York The initial public offering for ABG closed in stock exchanges.
March and its shares were admitted to trading on the London Stock Exchange's main market for listed securities. On April 12, 2010, the
10 Based on gold price, copper price, and oil price assumptions of $950 per ounce, $2.50 per pound and $75 per barrel, respectively, and assuming a Chilean peso foreign exchange rate of 525:1.
BARRICK FIRST QUARTER 2010 4 PRESS RELEASE
Key Statistics
Barrick Gold Corporation Three months ended (in United States dollars) March 31, (Unaudited) 2010 2009 Operating Results Gold production (thousands of ounces)1 2,084 1,755 Gold sold (thousands of ounces)1 2,073 1,714 Per ounce data Average spot gold price $ 1,109 $ Average realized gold price2 $ 1,114 $ Net cash costs5 342 404
| Total cash costs3 | 442 | 484 | |
| Amortization and other4 | 122 | 111 | |
| Copper credits | 100 | 80 | |
| Total production costs | 564 | 595 | |
| Copper production (millions of pounds) | 100 | 95 | |
| Copper sold (millions of pounds) | 93 | 86 |
Per pound data Average spot copper price $ 3.29 $ 1.56 Average realized copper price2 3.29 2.93
| Total cash costs3 | 1.05 | 1.32 |
| Amortization and other4 | 0.20 | 0.24 |
| Total production costs | 1.25 | 1.56 |
Financial Results (millions)
Sales $ 2,561 $ 1,775
| Net income | 758 | 371 |
| Adjusted net income6 | 741 | 298 |
| Operating cash flow | 1,051 | 349 |
| Adjusted operating cash flow7 | 1,051 | 349 |
Per Share Data (dollars)
| Net income (basic) | 0.77 | 0.42 |
| Adjusted net income (basic)6 | 0.75 | 0.34 |
| Net income (diluted) | 0.76 | 0.42 |
| Weighted average basic common shares (millions) | 984 | 873 |
Weighted average diluted common shares (millions)8 996 885 As at As at March 31, December 31, 2010 2009 Financial Position (millions)
Cash and equivalents $ 3,468 $ 2,564
| Non-cash working capital | 591 | 655 |
| Debt9 | 6,999 | 6,982 |
| Equity | 17,771 | 15,547 |
1 Production includes equity gold ounces in Highland Gold.
2 Realized price is a non-GAAP financial performance measure with no standard meaning under US GAAP. See page 36 of the Company's MD&A.
3 Total cash costs is a non-GAAP financial performance measure with no standard meaning under US GAAP. See page 33 of the Company's MD&A.
4 Represents equity amortization expense, unrealized losses on non-hedge currency and commodity contracts and inventory purchase accounting adjustments at the Company's producing mines, divided by equity ounces of gold sold or pounds of copper sold.
5 Net cash costs is a non-GAAP financial performance measure with no standard meaning under US GAAP. See page 33 of the Company's MD&A.
6 Adjusted net income is a non-GAAP financial performance measure with no standard meaning under US GAAP. See page 32 of the Company's MD&A.
7 Adjusted operating cash flow is a non-GAAP financial performance measure with no standard meaning under US GAAP. See page 33 of the Company's MD&A.
8 Fully diluted, includes dilutive effect of stock options and convertible debt.
9 Debt includes the current and long term portions of our outstanding debt instruments (2010: $6,344, 2009: $6,335) as well as the remaining settlement obligation attributable to the gold sales contracts (2010: $655, 2009: $647).
BARRICK FIRST QUARTER 2010 5 SUMMARY INFORMATION
Production and Cost Summary
Gold Production Total Cash Costs (attributable ounces) (000's) (US$/oz)
Three months ended Three months ended March 31, March 31, (Unaudited) 2010 2009 2010 2009 North America 1 729 735 $ 519 $ 498
| South America | 659 | 396 | 200 | 291 |
| Australia Pacific | 512 | 489 | 598 | 610 |
| African Barrick Gold | 177 | 127 | 616 | 561 |
| Other | 7 | 8 | 494 | 494 |
| Total | 2,084 | 1,755 | $ |
442 $ 484
Copper Production Total Cash Costs (attributable pounds) (Millions) (US$/lb)
Three months ended Three months ended March 31, March 31, (Unaudited) 2010 2009 2010 2009 South America 80 75 $ 1.05 $ 1.30 Australia Pacific 20 20 1.06 1.48 Total 100 95 $ 1.05 $ 1.32
Total Gold Production Costs (US$/oz)
Three months ended March 31, (Unaudited) 2010 2009 Direct mining costs at market foreign exchange rates $ 430 $ 413
| (Gains) losses realized on currency hedge and commodity hedge/economic hedge contracts | (11) | 45 | |
| Adjustments to direct mining costs3 | (5) | 1 | |
| By-product credits | (15) | (8) | |
| Copper credits | (100) | (80) | |
| Cash operating costs, net basis | 299 | 371 | |
| Royalties | 34 | 27 | |
| Production taxes | 9 | 6 | |
| Net cash costs2 | 342 | 404 | |
| Copper credits | 100 | 80 | |
| Total cash costs2 | 442 | 484 | |
| Amortization | 117 | 112 |
Adjustments to direct mining costs3 5 (1) 564 $ 595 Total production costs $
Total Copper Production Costs (US$/lb)
Three months ended March 31, (Unaudited) 2010 2009 1.03 $ 1.32 Cash operating costs $
| Royalties | 0.02 | - |
| Total cash costs2 | 1.05 | 1.32 |
| Amortization | 0.20 | 0.24 |
1.25 $ 1.56 Total production costs $ 1 Production includes an additional 50% interest in Hemlo from January 1, 2009 onwards and Barrick's share of Hemlo total cash costs increased to 100% effective May 1, 2009.
2 Total cash costs and net cash costs are non-GAAP financial measures with no standard meaning under US GAAP. See page 33 of the Company's MD&A.
3 Represents unrealized losses on non-hedge currency and commodity contracts and the impact of Barrick Energy.
BARRICK FIRST QUARTER 2010 6 SUMMARY INFORMATION
Consolidated Statements of Income
Barrick Gold Corporation Three months ended (in millions of United States dollars, except per share data) (Unaudited) March 31,
Sales (notes 4 and 5) $ 2,561 $ 1,775 Costs and expenses
| Cost of sales (notes 4 and 6)1 | 1,017 | 928 |
| Amortization and accretion (notes 4 and 14B) | 295 | 255 |
| Corporate administration | 32 | 35 |
| Exploration (note 7) | 32 | 30 |
| Project development expense (note 7) | 20 | 24 |
| Other expense (note 8A) | 102 | 72 |
1,498 1,344
| Interest income | 4 | 3 |
| Interest expense (note 15B) | (35) | (2) |
| Other income (note 8C) | 33 | 4 |
| Write-down of investments (note 8B) | - | (1) |
2 4
| Income from continuing operations before income taxes and other items | 1,065 | 435 |
| Income tax expense (note 9) | (322) | (37) |
| Loss from equity investees (note 12) | (20) | (28) |
| Income from continuing operations before non-controlling interests | 723 | 370 |
| Income from discontinued operations | 35 | 3 |
| Income before non-controlling interests | 758 | 373 |
| Non-controlling interests (note 20) | - | (2) |
758 $ Net income $ Earnings per share data (note 10)
Income from continuing operations Basic $ 0.73 $ 0.42 Diluted $ 0.73 $ 0.42 Income from discontinued operations Basic $ 0.04 $ - Diluted $ 0.03 $ - Net income Basic $ 0.77 $ 0.42 Diluted $ 0.76 $ 0.42
1 Exclusive of amortization.
The notes to these unaudited interim consolidated financial statements, which are contained in the First Quarter Report 2010 available on our website, are an integral part of these consolidated financial statements.
BARRICK FIRST QUARTER 2010 7 FINANCIAL STATEMENTS (UNAUDITED)
Consolidated Statements of Cash Flow
Barrick Gold Corporation Three months ended (in millions of United States dollars) (Unaudited) March 31, 2010 2009 OPERATING ACTIVITIES Net income $ 758 $ 371
| Amortization and accretion (notes 4 and 14B) | 295 | 255 |
| Impairment charges and write-down of investments (note 8B) | - | 1 |
| Income tax expense (note 9) | 322 | 37 |
| Income taxes paid | (101) | (100) |
| Net proceeds tax | (72) | (18) |
| Increase in inventory | (50) | (76) |
| Gain on sale/acquisition of long-lived assets (note 8C) | (33) | (2) |
| Income from discontinued operations | (35) | (3) |
| Operating cash flows of discontinued operations | (3) | 3 |
| Other items (note 11A) | (30) | (119) |
| Net cash provided by operating activities | 1,051 | 349 |
INVESTING ACTIVITIES Property, plant and equipment
| Capital expenditures (note 4) | (630) | (466) |
| Sales proceeds | 5 | 3 |
| Acquisitions (note 3) | (447) | - |
Investments
| Purchases | (1) | (2) |
| Investing cash flows of discontinued operations | - | (4) |
| Other investing activities (note 11B) | (18) | (17) |
| Net cash used in investing activities | (1,091) | (486) |
FINANCING ACTIVITIES Capital stock Proceeds on exercise of stock options 5 10 Proceeds from public issuance of common shares by a subsidiary (note 3C) 834 - Long-term debt
| Proceeds | - | 805 |
| Repayments | (6) | (87) |
| Funding from non-controlling interests | 94 | 86 |
| Financing cash flows of discontinued operations | - | - |
| Other financing activities (note 11C) | 14 | (7) |
| Net cash provided by financing activities | 941 | 807 |
| Effect of exchange rate changes on cash and equivalents | 3 | (3) |
| Net increase in cash and equivalents | 904 | 667 |
| Cash and equivalents at beginning of period(note 15A) | 2,564 | 1,437 |
Cash and equivalents at end of period (note 15A) $ 3,468 $ 2,104
The notes to these unaudited interim consolidated financial statements, which are contained in the First Quarter Report 2010 available on our website, are an integral part of these consolidated financial statements.
BARRICK FIRST QUARTER 2010 8 FINANCIAL STATEMENTS (UNAUDITED)
Consolidated Balance Sheets
(in millions of United States dollars) (Unaudited) As at March 31, As at December 31,
| 2010 | 2009 |
| ASSETS Current assets Cash and equivalents (note 15A) $ 3,468 Accounts receivable 281 Inventories (note 13) 1,535 Other current assets 585 Assets of discontinued operations 62 | $ 2,564 251 1,540 524 59 |
| 5,931 Non-current assets Equity in investees (note 12A) 271 Other investments (note 12B) 90 Property, plant and equipment (note 14) 15,347 Goodwill 5,197 Intangible assets 71 Deferred income tax assets 930 Other assets 1,648 Assets of discontinued operations 38 | 4,938 1,136 92 13,125 5,197 66 949 1,531 41 |
| Total assets $ 29,523 | $ 27,075 |
| LIABILITIES AND EQUITY Current liabilities Accounts payable 1,295 Short-term debt 48 Other current liabilities 555 Liabilities of discontinued operations 22 | 1,221 54 475 23 |
| 1,920 Non-current liabilities Long-term debt (note 15B) 6,296 Asset retirement obligations 1,132 Deferred income tax liabilities 1,225 Other liabilities (note 17) 1,156 Liabilities of discontinued operations 23 | 1,773 6,281 1,122 1,184 1,145 23 |
| Total liabilities 11,752 | 11,528 |
| Equity Capital stock (note 18) 17,396 Additional paid-in capital 213 Deficit (1,624) Accumulated other comprehensive income (note 19) 134 | 17,390 - (2,382) 55 |
| Total shareholders’ equity 16,119 Non-controlling interests (note 20) 1,652 | 15,063 484 |
| Total equity 17,771 | 15,547 |
| Contingencies and commitments (notes 14 and 21) | |
| Total liabilities and equity $ 29,523 | $ 27,075 |
The notes to these unaudited interim consolidated financial statements, which are contained in the First Quarter Report 2010 available on our website, are an integral part of these consolidated financial statements.
BARRICK FIRST QUARTER 2010 9 FINANCIAL STATEMENTS (UNAUDITED)
Consolidated Statements of Equity
For the three months ended March 31 (in millions of United States dollars) (Unaudited)
Common shares (number in thousands)
| At January 1 | 984,328 | 872,739 | ||
| Issued on exercise of stock options | 191 | 221 | ||
| Issued on redemption of exchangeable shares (note 18B) | - | 267 | ||
| At March 31 | 984,519 | 873,227 |
Common shares At January 1 $ 17,390 $ 13,372
| Issued on exercise of stock options | 5 | 11 |
| Recognition of stock option expense | 1 | 4 |
| At March 31 | 17,396 | 13,387 |
Additional paid-in capital
| At January 1 | - | - |
| Recognized on initial public offering of African Barrick Gold (note 3C) | 213 | - |
| At March 31 | 213 | - |
Retained earnings (deficit)
| At January 1 | (2,382) | 2,261 |
| Net income | 758 | 371 |
| At March 31 | (1,624) | 2,632 |
| Accumulated other comprehensive income (loss) (note 19) | 134 | (468) |
| Total shareholders’ equity | 16,119 | 15,551 |
Non-controlling interests (note 20)
| At January 1 | 484 | 182 |
| Net income attributable to non-controlling interests | - | 2 |
| Funding from non-controlling interests | 94 | 85 |
| Other increase (decrease) in non-controlling interests | 1,074 | - |
| At March 31 | 1,652 | 269 |
17,771 $ 15,820 Total equity at March 31 $
Consolidated Statements of Comprehensive Income
Barrick Gold Corporation Three months ended (in millions of United States dollars) (Unaudited) March 31, 2010 2009 Net income $ 758 $ Other comprehensive income (loss), net of tax (note 19) 79 (112) 837 $ Comprehensive income $
The notes to these unaudited interim consolidated financial statements, which are contained in the First Quarter Report 2010 available on our website, are an integral part of these consolidated financial statements.
BARRICK FIRST QUARTER 2010 10 FINANCIAL STATEMENTS (UNAUDITED)
CORPORATE OFFICE TRANSFER AGENTS AND REGISTRARS Barrick Gold Corporation CIBC Mellon Trust Company Brookfield Place, TD Canada Trust Tower P.O. Box 7010, Adelaide Street Postal Station Suite 3700 Toronto, Canada M5C 2W9 161 Bay Street, P.O. Box 212 Tel: (416) 643-5500 Toronto, Canada M5J 2S1 Toll-free throughout North America: 1-800-387-0825 Tel: (416) 861-9911 Fax: (416) 861-0727 Fax: (416) 643-5501 Toll-free throughout North America: 1-800-720-7415 Email: [email protected] Email: [email protected] Website: www.cibcmellon.com Website: www.barrick.com BNY MELLON SHAREOWNER SERVICES 480 Washington Blvd. – 27th Floor SHARES LISTED Jersey City, NJ 07310 ABX – The New York Stock Exchange Tel: 1-800-589-9836 Fax: (201) 680-4665 The Toronto Stock Exchange Email: [email protected] Website: www.melloninvestor.com
INVESTOR CONTACT MEDIA CONTACT Deni Nicoski Vincent Borg Vice President, Investor Relations Executive Vice President, Corporate Communications Tel: (416) 307-7410 Tel: (416) 307-7477 Email: [email protected] Email: [email protected]
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION
Certain information contained in this First Quarter Report 2010, including any information as to our strategy, projects, plans or future financial or operating performance and other statements that express management's expectations or estimates of future performance, constitute "forward-looking statements”. All statements, other than statements of historical fact, are forward-looking statements. The words “believe”, "expect", "will", “anticipate”, “contemplate”, “target”, “plan”, “continue”, “budget”, “may”, “intend”, “estimate” and similar expressions identify forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. The Company cautions the reader that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual financial results, performance or achievements of Barrick to be materially different from the Company's estimated future results, performance or achievements expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance. These risks, uncertainties and other factors include, but are not limited to: the impact of global liquidity and credit availability on the timing of cash flows and the values of assets and liabilities based on projected future cash flows; changes in the worldwide price of gold, copper or certain other commodities (such as silver, fuel and electricity); fluctuations in currency markets; changes in U.S. dollar interest rates; risks arising from holding derivative instruments; ability to successfully complete announced transactions and integrate acquired assets; legislative, political or economic developments in the jurisdictions in which the Company carries on business; operating or technical difficulties in connection with mining or development activities; employee relations; availability and costs associated with mining inputs and labor; the speculative nature of exploration and development, including the risks of obtaining necessary licenses and permits and diminishing quantities or grades of reserves; changes in costs and estimates associated with our projects; adverse changes in our credit rating, level of indebtedness and liquidity, contests over title to properties, particularly title to undeveloped properties; the risks involved in the exploration, development and mining business. Certain of these factors are discussed in greater detail in the Company’s most recent Form 40-F/Annual Information Form on file with the U.S. Securities and Exchange Commission and Canadian provincial securities regulatory authorities.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.