Quarterly report pursuant to Section 13 or 15(d)

Commitments and Contingencies Related to Discontinued Operations

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Commitments and Contingencies Related to Discontinued Operations
6 Months Ended
Jun. 30, 2017
Discontinued Operations and Disposal Groups [Abstract]  
Commitments and Contingencies Related to Discontinued Operations
Commitments and Contingencies Related to Discontinued Operations
Discontinued operations represent former mining activities, the last of which ended in 2002. Pursuant to an agreement with the United States Environmental Protection Agency (the “EPA”), the Company performed certain remediation actions at a property sold over fifty years ago. This remediation work was completed by September 30, 2015. The Company has established a contingency provision related to discontinued operations, which was $182,000 and $215,000, as of June 30, 2017 and December 31, 2016, respectively. There was no change to the provision related to discontinued operations during the six months ended June 30, 2017. During the six months ended June 30, 2016, the Company increased the provision by $174,000 ($108,000, net of tax benefit of $66,000). This increase was related to costs associated with some corrective remediation efforts during the period. The remaining balance of the accrued remediation costs as of June 30, 2017, mainly represents estimated future charges for EPA response costs and monitoring of the property. The total costs to be incurred in future periods may vary from this estimate.
The provision will be reviewed periodically based upon facts and circumstances available at the time.