CASSIAR MINING CORPORATION

CONSOLIDATED STATEMENT OF EARNINGS

Year ended December 31, 1986

REVENUE
Fibre
Investments and other

Total revenue

EXPENSES
Production
Transportation and warehousing
Mineral exploration
General and administration

Total expenses
GENERATED FROM OPERATIONS

Interest
Depreciation

EARNINGS BEFORE INCOME AND MINING TAXES
INCOME AND MINING TAXES (Note 6}

DIVIDENDS ON PREFERRED SHARES OF SUBSIDIARY
EARNINGS (LOSS) FROM CONTINUING OPERATIONS
INSURANCE RECOVERY OF LITIGATION COSTS
DISCONTINUED OPERATIONS (LOSS) (Note 10}

EARNINGS (LOSS) BEFORE EXTRAORDINARY ITEM

EXTRAORDINARY ITEM (Note 11)

NET EARNINGS (LOSS}] FOR THE YEAR

EARNING (LOSS) PER COMMON SHARE, after deducting
dividend requirements on Preferred Shares (Note 12)

Before extraordinary item
After extraordinary item

See accompanying notes

2,

1986

985

1
(Restated Note 2)

(in thousands)

$ 48,446 $ 60,770

293 547
48,739 61,317
28,854 36,515
7,299 8,130
40 269
3,967 3,829
40,160 48,743
8,579 12,574
= 3,573
5,411 6,776
5,411 10,349
3,168 2,225
1,688 889
1,480 1,336
2,927 932
(1,447) 404
= 400

(61) (26)
(61) 374
(1,508) 778
1,225 2,000
$. asl 65 776
$ (0.24. 3 Gia
$ (0.07) $° 0.66