Notes to Consolidated Financial Statements

For the years ended December 31, 2014 and 2013

  1. Cameco Corporation
  2. Significant accounting policies
  3. Accounting standards
  4. Determination of fair values
  5. Use of estimates and judgments
  6. Discontinued operation
  7. Accounts receivable
  8. Inventories
  9. Property, plant and equipment
  10. Goodwill and intangible assets
  11. Long-term receivables, investments and other
  12. Equity-accounted investees
  13. Accounts payable and accrued liabilities
  14. Short-term debt
  15. Long-term debt
  16. Other liabilities
  1. Provisions
  2. Share capital
  3. Employee benefit expense
  4. Finance costs
  5. Other income (expense)
  6. Income taxes
  7. Per share amounts
  8. Statements of cash flows
  9. Share-based compensation plans
  10. Pension and other post-retirement benefits
  11. Financial instruments and related risk management
  12. Capital management
  13. Segmented information
  14. Group entities
  15. Joint operations
  16. Related parties

12. Equity-accounted investees

Associates

  • i. GE-Hitachi Global Laser Enrichment LLC (GLE)

GLE primarily operates in North Carolina and is testing a third-generation technology that, if successful, will use lasers to commercially enrich uranium. Cameco owns a 24% interest in GLE and accounts for it under the equity method of accounting.

During 2014, a decision was made by the majority partner of GLE to significantly reduce funding of the project. Because the technology is unique to the industry and inherently risky, the significant reduction of funding introduced a further level of risk and jeopardized the viability of the project. As a result, Cameco determined the fair value less costs to sell to be nil and as such recognized an impairment charge of $183,615,000, which represented the full amount of Cameco’s investment. Future contributions to the project are being reflected in net earnings.

The following table summarizes the share of GLE’s earnings that Cameco has recognized:

  2015  2014 
Loss from operations and comprehensive loss $ —  $(55,279)
Cameco’s share of loss from operations and comprehensive loss (24%) $ —  $(13,267)

Following the impairment of the investment in 2014, Cameco discontinued recognizing its share of losses in GLE. Cameco’s contributions to GLE are recorded in earnings as research and development.

  • ii. Other associate

    Cameco has one other associate. The following table summarizes the carrying amount and share of loss and other comprehensive income of this associate:

  2015  2014 
Carrying amount of associates $2,472  $3,230 
Share of loss from operations and comprehensive loss $(758) $(3,874)

At December 31, 2015, the quoted value of the Company’s share in this associate that has shares listed on a recognized stock exchange was $7,503,000 (2014 – $14,256,000).