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North American Palladium's All-In Sustaining Cash Costs

|Includes: Dean Foods Company (DF)

North American Palladium (PAL) just released up-dated Operating Guidance. In that release they announced cash costs for 2014 were expected to come in at $550/oz. This is no improvement over 2013's cash cost number. What PAL's management did not provide is a calculation of their all-in sustaining cash costs. This figure includes overheads, interest and sustaining capex. I compute it as follows:

NAP All-In Sustaining Cash Costs    
Cash costs/oz as reported by PAL   550
SG&A 11,000,000  
Interest 34,500,000  
Capex, exploration 34,000,000  
Total Other cash costs 79,500,000  
Other cash costs/oz   454.29
All-in Sustaining Cash Costs   $ 1,004.29

Not a pretty picture.

Disclosure: I am short PAL, .