David Erb's questions to MIL leadership • Q2 2015
Question
David Erb from Merrion Investment Management sought to clarify if the Pea Ridge mine investment was included in the balance sheet adjustment for iron ore assets and asked about the status of royalty payments from Cliffs for the Wabush mine, which could trigger MFC's rights.
Answer
CFO Sam Morrow clarified that the Pea Ridge investment was not in the adjustment and was categorized under 'other long term assets.' He confirmed that Cliffs had missed the Q2 minimum royalty payment for Wabush, but a cure period exists and the CCAA process complicates the timing of exercising their contractual rights. He also stated the company would disclose if a cure payment is made.