星空传媒 Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

INVENTORIES

INVENTORIES

6 Months Ended

Jun. 30, 2014

Inventory Disclosure [Abstract]

听

Inventories

NOTE 4 - INVENTORIES

The following table presents the detail of our Inventories in the Statements of Unaudited Condensed Consolidated Financial Position as of June听30, 2014 and December 31, 2013:



听	(In Millions)
听	June 30, 2014								听	December 31, 2013
Segment	Finished Goods		听	Work-in Process		听	Total Inventory		听	Finished Goods		听	Work-in Process		听	Total Inventory
U.S. Iron Ore	$	361.5	听	$	24.4	听	$	385.9	听	$	92.1	听	$	13.0	听	$	105.1
Eastern Canadian Iron Ore	34.4		听	51.9		听	86.3		听	65.3		听	48.1		听	113.4
Asia Pacific Iron Ore	39.6		听	75.9		听	115.5		听	39.7		听	50.6		听	90.3
North American Coal	45.0		听	16.1		听	61.1		听	59.4		听	23.2		听	82.6
Total	$	480.5	听	$	168.3	听	$	648.8	听	$	256.5	听	$	134.9	听	$	391.4

We recorded lower-of-cost-or-market inventory charges of $15.0 million and $37.1 million in Cost of goods sold and operating expenses in the Statements of Unaudited Condensed Consolidated Operations for the three and six months ended June听30, 2014, respectively, for our North American Coal operations. The charges at North American Coal were a result of market pricing declines during the periods. For the three and six months ended June听30, 2013, we recorded lower-of-cost-or-market inventory charges of $0.7 million and $2.7 million, respectively, for our North American Coal operations. These charges were a result of market declines and costs associated with operational and geological issues.

We recorded lower-of-cost-or-market inventory charges of $2.6 million and $16.0 million in Cost of goods sold and operating expenses in the Statements of Unaudited Condensed Consolidated Operations for the three and six months ended June听30, 2014, respectively, for our Eastern Canadian Iron Ore operations. The $2.6 million charge in the second quarter of 2014 relates to an adjustment of the remaining Wabush mine inventory to estimated net realizable value. The charges in the first quarter of 2014 at Eastern Canadian Iron Ore were a result of declines in Platts pricing and higher inventory costs at both Bloom Lake and Wabush.听 Bloom Lake鈥檚 higher inventory costs were driven by the timing of maintenance activities and mine development, whereas Wabush鈥檚 higher costs were driven by unfavorable production performance up to the idling of the Scully mine operation.

We recorded a lower-of-cost-or-market inventory charge during the second quarter of 2013 of $11.1 million relating to Wabush pellets that were contractually committed tons. We additionally recorded a lower-of-cost-or-market inventory charge during the second quarter of 2013 of $4.7 million relating to the Wabush sinter feed caused by higher costs as a result of the transition of product being produced and the forest fire that temporarily idled the mine in June. An unsaleable inventory impairment charge was recorded in the second quarter of 2013 relating to Wabush pellets of $10.6 million as a result of our idling of the Wabush pellet plant during the second quarter of 2013. All of these charges recorded during the second quarter were recorded in Cost of goods sold and operating expenses in the Statements of Unaudited Condensed Consolidated Operations for the three and six months ended June听30, 2013 for our Eastern Canadian Iron Ore operations.

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

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