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( X )
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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( )
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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Delaware
(State or other jurisdiction
of incorporation or organization)
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43-0921172
(I.R.S. Employer
Identification Number)
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One CityPlace Drive, Ste. 300, St. Louis, Missouri
(Address of principal executive offices)
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63141
(Zip code)
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Title of Each Class
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Name of Each Exchange on Which Registered
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Common Stock, $.01 par value
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New York Stock Exchange
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Large accelerated filer
x
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Accelerated filer
¨
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Non-accelerated filer
¨
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Smaller reporting company
¨
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Emerging growth company
¨
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Page
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3
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•
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our emergence from Chapter 11 bankruptcy protection;
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•
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market demand for coal, or a specific type of coal such as metallurgical, and electricity;
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•
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geologic conditions, weather and other inherent risks of coal mining that are beyond our control;
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•
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competition, both within our industry and with producers of competing energy sources, including the effects from any current or future legislation or regulations designed to support, promote or mandate renewable energy sources;
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•
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excess production and production capacity;
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•
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our ability to acquire or develop coal reserves in an economically feasible manner;
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•
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inaccuracies in our estimates of our coal reserves;
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•
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availability and price of mining and other industrial supplies;
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•
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availability of skilled employees and other workforce factors;
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•
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our ability to collect payments from our customers;
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•
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defects in title or the loss of a leasehold interest;
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•
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railroad, barge, truck, ocean vessel and other transportation performance and costs;
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•
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our ability to successfully integrate the operations that we acquire;
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•
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our ability to secure new coal supply arrangements or to renew existing coal supply arrangements;
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•
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our relationships with, and other conditions affecting our customers;
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•
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the loss of, or significant reduction in, purchases by our largest customers;
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•
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our ability to service our outstanding indebtedness;
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•
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our ability to comply with the restrictions imposed by our Term Loan Debt Facility, Securitization Facility or Inventory Facility (each as defined below), other financing arrangements or any subsequent financing or credit facilities;
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•
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the availability and cost of surety bonds;
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•
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our ability to manage the market and other risks associated with certain trading and other asset optimization strategies;
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4
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•
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risks due to our international operations;
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•
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cyber-attacks or other security breaches that disrupt our operations, or that result in the unauthorized release of proprietary or confidential information;
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•
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the loss of key personnel or the failure to attract additional qualified personnel;
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•
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our ability to pay dividends or repurchase shares of our common stock in accordance with our announced intent or at all;
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•
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the effects of foreign and domestic trade policies, actions or disputes on the level of trade among the countries and regions in which we operate, the competitiveness of our exports, or our ability to export;
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•
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terrorist attacks, military action or war;
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•
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our ability to obtain and renew various permits, including permits authorizing the disposition of certain mining waste;
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•
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existing and future legislation and regulations affecting both our coal mining operations and our customers’ coal usage, governmental policies and taxes, including those aimed at reducing emissions of elements such as mercury, sulfur dioxides, nitrogen oxides, particulate matter or greenhouse gases;
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•
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the accuracy of our estimates of reclamation and other mine closure obligations;
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•
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the existence of hazardous substances or other environmental contamination on property owned or used by us;
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•
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existing and future litigation based on the alleged effects of climate change; and
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•
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other factors, including those discussed in “Legal Proceedings”, set forth in Item 3 of this report and “Risk Factors,” set forth in Item 1A of this report.
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5
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6
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7
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8
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9
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10
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11
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12
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13
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Tons Sold
(1)
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|||||||||||
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Predecessor
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Successor
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||||||||||
Mining Complex
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Mines
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Mining Equipment
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Railroad
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Jan1-Oct1, 2016
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Oct2-Dec31, 2016
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2017
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2018
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Total Cost of Property, Plant and Equipment at December 31, 2018
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Total Assigned Recoverable Reserves
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||||||||
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(Million tons)
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($ millions)
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(Million tons)
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|||||||||||
Powder River Basin:
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||||||||
Black Thunder
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S
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D, S
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UP/BN
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49.0
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18.9
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70.5
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71.1
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$
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275.7
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816.5
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Coal Creek
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S
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D, S
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UP/BN
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5.5
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2.7
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9.0
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8.0
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43.9
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94.7
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Metallurgical:
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|
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||||||||
Mountain Laurel
|
U
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LW, CM
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CSX
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1.2
|
|
0.4
|
|
1.5
|
|
1.9
|
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30.1
|
|
11.1
|
|
||
Beckley
|
U
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CM
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CSX
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0.7
|
|
0.3
|
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1.0
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1.0
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54.5
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25.9
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|
||
Sentinel
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U
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CM
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CSX
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0.8
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0.3
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1.5
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1.2
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68.0
|
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5.0
|
|
||
Leer
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U
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LW, CM
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CSX
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3.1
|
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1.0
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3.2
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3.5
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228.7
|
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29.6
|
|
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Other Thermal:
|
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||||||||
West Elk
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U
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LW, CM
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UP
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2.4
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1.6
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4.9
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4.8
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42.2
|
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53.9
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Viper
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U
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CM
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—
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1.3
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0.3
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1.7
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1.8
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31.7
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43.2
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Coal‑Mac
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S
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L, E
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NS/CSX
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1.5
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0.5
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2.4
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2.5
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31.3
|
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19.6
|
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Totals
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|
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65.5
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26.0
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95.7
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95.8
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$
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806.1
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1,099.5
|
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S = Surface mine
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D = Dragline
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UP = Union Pacific Railroad
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U = Underground mine
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L = Loader/truck
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CSX = CSX Transportation
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S = Shovel/truck
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BN = Burlington Northern‑Santa Fe Railway
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E = Excavator/truck
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NS = Norfolk Southern Railroad
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LW = Longwall
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CM = Continuous miner
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(1)
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Tons of coal we purchased from third parties that were not processed through our loadout facilities are not included in the amounts shown in the table above.
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14
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15
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16
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17
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18
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19
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20
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21
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•
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Acid Rain.
Title IV of the Clean Air Act, promulgated in 1990, imposed a two‑phase reduction of sulfur dioxide emissions by electric utilities. Phase II became effective in 2000 and applies to all coal‑fueled power plants with a capacity of more than 25‑megawatts. Generally, the affected power plants have sought to comply with these requirements by switching to lower sulfur fuels, installing pollution control devices, reducing electricity generating levels or purchasing or trading sulfur dioxide emissions allowances. Although we cannot accurately predict the future effect of this Clean Air Act provision on our operations, we believe that implementation of Phase II has been factored into the pricing of the coal market.
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•
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Particulate Matter.
The Clean Air Act requires the EPA to set national ambient air quality standards, which we refer to as NAAQS, for certain pollutants associated with the combustion of coal, including sulfur dioxide, particulate matter, nitrogen oxides and ozone. Areas that are not in compliance with these standards, referred to as non‑attainment areas, must take steps to reduce emissions levels. For example, NAAQS currently exist for particulate matter measuring 10 micrometers in diameter or smaller (PM10) and for fine particulate matter measuring 2.5 micrometers in diameter or smaller (PM2.5), and the EPA revised the PM2.5 NAAQS on December 14, 2012, making it more stringent. The states were required to make recommendations on nonattainment designations for the new NAAQS in late 2013. The EPA issued final designations for most areas of the country in 2012 and made some revisions in 2015. Individual states must now identify the sources of emissions and develop emission reduction plans. These plans may be state‑specific or regional in scope. Under the Clean Air Act, individual states have up to 12 years from the date of designation to secure emissions reductions from sources contributing to the problem. Future regulation and enforcement of the new PM2.5 standard, as well as future revisions of PM standards, will affect many power plants, especially coal‑fueled power plants, and all plants in non‑attainment areas.
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•
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Ozone.
On October 26, 2015, the EPA published a final rule revising the existing primary and secondary NAAQS for ozone, reducing them to 70ppb on an 8-hour average. On November 17, 2016, the EPA issued a proposed implementation rule on non-attainment area classification an state implementation plans (SIPs). The EPA published a final rule in November 2017 that issued area designations with respect to ground-level ozone for approximately 35% of the U.S. counties, designating them as either “attainment/unclassifiable” or “unclassifiable.” In April 2018 and July 2018, the EPA issued ozone designations for all areas not addressed in the November 2017 rule. States with moderate or high nonattainment areas must submit SIPs by October 2021.
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•
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NOx SIP Call.
The Nitrogen Oxides State Implementation Plan (NOx SIP) Call program was established by the EPA in October 1998 to reduce the transport of ozone on prevailing winds from the Midwest and South to states in the Northeast, which said that they could not meet federal air quality standards because of migrating pollution. The program was designed to reduce nitrous oxide emissions by one million tons per year in 22 eastern states and the District of Columbia. Phase II reductions were required by May 2007. As a result of the program, many power plants were required to install additional emission control measures, such as selective catalytic reduction devices.
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22
|
•
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Interstate Transport.
The EPA finalized the Clean Air Interstate Rule, which we refer to as CAIR, in March 2005. CAIR called for power plants in 28 Eastern states and the District of Columbia to reduce emission levels of sulfur dioxide and nitrous oxide, which could lead to non-attainment of PM2.5 and ozone NAAQS in downwind states (interstate transport), pursuant to a cap and trade program similar to the system now in effect for acid deposition control. In July 2008, in
State of North Carolina v. EPA
and consolidated cases, the D.C. Circuit disagreed with the EPA’s reading of the Clean Air Act and vacated CAIR in its entirety. In December 2008, the D.C. Circuit revised its remedy and remanded the rule to the EPA. The EPA proposed a revised transport rule on August 2, 2010 (75 Fed. Reg. 45209) to address attainment of the 1997 ozone NAAQS and the 2006 PM2.5 NAAQS. The rule was finalized as the Cross State Air Pollution Rule (CSAPR) on July 6, 2011, with compliance required for SO2 reductions beginning January 1, 2012 and compliance with NOx reductions required by May 1, 2012. Numerous appeals of the rule were filed and, on August 21, 2012, the D.C. Circuit vacated the rule, leaving the EPA to continue implementation of the CAIR. Controls required under the CAIR, especially in conjunction with other rules may have affected the market for coal inasmuch as multiple existing coal fired units were being retired rather than having required controls installed.
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•
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Mercury.
In February 2008, the D.C. Circuit vacated the EPA’s Clean Air Mercury Rule (CAMR), which was promulgated to reduce mercury emissions from coal-fired power plants and remanded it to the EPA for reconsideration. In response, the EPA announced an Electric Generating Unit (EGU) Mercury and Air Toxics Standard (MATS) on December 16, 2011. The MATS was finalized April 16, 2012, and required compliance for most plants by 2015. In addition, before the court decision vacating the CAMR, some states had either adopted the CAMR or adopted state‑specific rules to regulate mercury emissions from power plants that are more stringent than the CAMR. MATS compliance, coupled with state mercury and air toxics laws and other factors have required many plants to install costly controls, re-fire with natural gas or to retire, which may adversely affect the demand for coal.
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23
|
•
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Regional Haze.
The EPA has initiated a regional haze program designed to protect and improve visibility at and around national parks, national wilderness areas and international parks, particularly those located in the southwest and southeast United States. Under the Regional Haze Rule, affected states were required to submit regional haze SIPs by December 17, 2007, that, among other things, were to identify facilities that would have to reduce emissions and comply with stricter emission limitations. The vast majority of states failed to submit their plans by December 17, 2007, and the EPA issued a Finding of Failure to Submit plans on January 15, 2009 (74 Fed. Reg. 2392). The EPA had taken no enforcement action against states to finalize implementation plans and was slowly dealing with the state Regional Haze SIPs that were submitted, which resulted in the National Parks Conservation Association commencing litigation in the D.C. Circuit on August 3, 2012, against the EPA for failure to enforce the rule
(National Parks Conservation Act v. EPA, D.C. Cir)
. Industry groups, including the Utility Air Regulatory Group intervened.
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•
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New Source Review.
A number of pending regulatory changes and court actions are affecting the scope of the EPA’s new source review program, which under certain circumstances requires existing coal‑fueled power plants to install the more stringent air emissions control equipment required of new plants. The new source review program is continually revised and such revisions may impact demand for coal nationally.
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24
|
25
|
•
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Water Discharge.
Section 402 of the Clean Water Act creates a process for establishing effluent limitations for discharges to streams that are protective of water quality standards through the National Pollutant Discharge Elimination System, which we refer to as the NPDES, or an equally stringent program delegated to a state regulatory agency. Regular monitoring, reporting and compliance with performance standards are preconditions for the issuance and renewal of NPDES permits that govern discharges into waters of the United States, especially on selenium, sulfate and specific conductance. Discharges that exceed the limits specified under NPDES permits can lead to the imposition of penalties, and persistent non‑compliance could lead to significant penalties, compliance costs and delays in coal production. In addition, the imposition of future restrictions on the discharge of certain pollutants into waters of the United States could increase the difficulty of obtaining and complying with
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26
|
•
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Dredge and Fill Permits.
Many mining activities, such as the development of refuse impoundments, fresh water impoundments, refuse fills, valley fills, and other similar structures, may result in impacts to waters of the United States, including wetlands, streams and, in certain instances, man‑made conveyances that have a hydrologic connection to such streams or wetlands. Under the Clean Water Act, coal companies are required to obtain a Section 404 permit from the Army Corps of Engineers, which we refer to as the Corps, prior to conducting such mining activities. The Corps is authorized to issue general “nationwide” permits for specific categories of activities that are similar in nature and that are determined to have minimal adverse effects on the environment. Permits issued pursuant to Nationwide Permit 21, which we refer to as NWP 21, generally authorize the disposal of dredged and fill material from surface coal mining activities into waters of the United States, subject to certain restrictions. Since March 2007, permits under NWP 21 were reissued for a five‑year period with new provisions intended to strengthen environmental protections. There must be appropriate mitigation in accordance with nationwide general permit conditions rather than less restricted state‑required mitigation requirements, and permit holders must receive explicit authorization from the Corps before proceeding with proposed mining activities.
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27
|
28
|
29
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Name
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Age
|
Position
|
||
Paul T. Demzik
|
57
|
|
Mr. Demzik has served as our Senior Vice President and Chief Commercial Officers since January 2019. From June 2013 to January 2019, Mr. Demzik served as Head of Thermal Coal Trading with Anglo American Marketing Limited in London and served as President of Peabody CoalTrade, LLC from July 2005 to July 2012.
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John T. Drexler
|
49
|
|
Mr. Drexler has served as our Senior Vice President and Chief Financial Officer since 2008. Mr. Drexler served as our Vice President-Finance and Accounting from 2006 to 2008. From 2005 to 2006, Mr. Drexler served as our Director of Planning and Forecasting. Prior to 2005, Mr. Drexler held several other positions within our finance and accounting department.
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John W. Eaves
|
61
|
|
Mr. Eaves has served as our Chief Executive Officer since 2012. Mr. Eaves served as our Chairman of the Board from 2015 to 2016 and our President and Chief Operating Officer from 2006 to 2012. From 2002 to 2006, Mr. Eaves served as our Executive Vice President and Chief Operating Officer. Mr. Eaves currently serves on the boards of the National Association of Manufacturers, the National Mining Association and CF Industries Holdings, Inc. Mr. Eaves was previously a director of Advanced Emissions Solutions, Inc. and former chairman of the National Coal Council.
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Robert G. Jones
|
62
|
|
Mr. Jones has served as our Senior Vice President-Law, General Counsel and Secretary since 2008. Mr. Jones served as Vice President-Law, General Counsel and Secretary from 2000 to 2008.
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Paul A. Lang
|
58
|
|
Mr. Lang was elected our President and Chief Operating Officer in April 2015. He has served as our Executive Vice President and Chief Operating Officer since April 2012 and as our Executive Vice President-Operations from August 2011 to April 2012. Mr. Lang served as Senior Vice President-Operations from 2006 through August 2011, as President of Western Operations from 2005 through 2006 and President and General Manager of Thunder Basin Coal Company from 1998 to 2005. Mr. Lang is a director of Knight Hawk Holdings, LLC. Mr. Lang also served on the development board of the Mining Department of the Missouri University of Science & Technology, and is the former chairman of the University of Wyoming’s School of Energy Resources Council.
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Deck S. Slone
|
55
|
|
Mr. Slone has served as our Senior Vice President-Strategy and Public Policy since June 2012. Mr. Slone served as our Vice President-Government, Investor and Public Affairs from 2008 to June 2012. Mr. Slone served as our Vice President-Investor Relations and Public Affairs from 2001 to 2008. Mr. Slone is the Chair of the National Coal Council, the immediate past co-chair of the Carbon Utilization Research Council, and the Chair of the National Mining Association’s Energy Policy Task Force.
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John A. Ziegler, Jr.
|
52
|
|
Mr. Ziegler was appointed Senior Vice President & Chief Administrative Officer in January 2019. Mr. Ziegler served as our Chief Commercial Officer since March 2014. Mr. Ziegler served as our Vice President-Human Resources from April 2012 to March 2014. From October 2011 to April 2012, Mr. Ziegler served as our Senior Director-Compensation and Benefits. From 2005 to October 2011 Mr. Ziegler served as Vice President-Contract Administration, President of Sales, then finally Senior Vice President, Sales and Marketing and Marketing Administration. Mr. Ziegler joined Arch Coal in 2002 as Director-Internal Audit. Prior to joining Arch Coal, Mr. Ziegler held various finance and accounting positions with bioMerieux and Ernst & Young.
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30
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31
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Assigned reserves
|
Recoverable reserves designated for mining by a specific operation.
|
Bituminous coal
|
Coal used primarily to generate electricity and to make coke for the steel industry with a heat value ranging between 10,500 and 15,500 Btus per pound.
|
Btu
|
A measure of the energy required to raise the temperature of one pound of water one degree of Fahrenheit.
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Coking coal
|
Coal used to produce coke, the primary source of carbon used in steelmaking.
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Compliance coal
|
Coal which, when burned, emits 1.2 pounds or less of sulfur dioxide per million Btus, requiring no blending or other sulfur dioxide reduction technologies in order to comply with the requirements of the Clean Air Act.
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Continuous miner
|
A machine used in underground mining to cut coal from the seam and load it onto conveyors or into shuttle cars in a continuous operation.
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Dragline
|
A large machine used in surface mining to remove the overburden, or layers of earth and rock, covering a coal seam. The dragline has a large bucket, suspended by cables from the end of a long boom, which is able to scoop up large amounts of overburden as it is dragged across the excavation area and redeposit the overburden in another area.
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Hard coal
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Coal of gross calorific value greater than 5700 kcal/kg on an ashfree but moist basis and further disaggregated into anthracite, coking coal and other bituminous coal.
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Lignite Coal
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Coal with the lowest carbon content and a heat value ranging between 4,000 and 8,300 Btus per pound.
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Longwall mining
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One of two major underground coal mining methods, generally employing two rotating drums pulled mechanically back and forth across a long face of coal.
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Low‑sulfur coal
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Coal which, when burned, emits 1.6 pounds or less of sulfur dioxide per million Btus.
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Metallurgical coal
|
Coal used in steel production either as coking coal or pulverized coal injection (PCI).
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Preparation plant
|
A facility used for crushing, sizing and washing coal to remove impurities and to prepare it for use by a particular customer.
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Probable reserves
|
Reserves for which quantity and grade and/or quality are computed from information similar to that used for proven reserves, but the sites for inspection, sampling and measurement are farther apart or are otherwise less adequately spaced.
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Proven reserves
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Reserves for which (a) quantity is computed from dimensions revealed in outcrops, trenches, workings or drill holes; grade and/or quality are computed from the results of detailed sampling and (b) the sites for inspection, sampling and measurement are spaced so closely and the geologic character is so well defined that size, shape, depth and mineral content of reserves are well established.
|
Pulverized coal injection coal (PCI)
|
Coal that is introduced directly into the blast furnace as a source of energy and carbon in the steelmaking process.
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Reclamation
|
The restoration of land and environmental values to a mining site after the coal is extracted. The process commonly includes “recontouring” or shaping the land to its approximate original appearance, restoring topsoil and planting native grass and ground covers.
|
Recoverable reserves
|
The amount of proven and probable reserves that can actually be recovered from the reserve base taking into account all mining and preparation losses involved in producing a saleable product using existing methods and under current law.
|
Reserves
|
That part of a mineral deposit which could be economically and legally extracted or produced at the time of the reserve determination.
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Subbituminous coal
|
Coal used primarily to generate electricity with a heat value ranging between 8,300 and 13,000 Btus per pound.
|
Room‑and‑pillar mining
|
One of two major underground coal mining methods, utilizing continuous miners creating a network of “rooms” within a coal seam, leaving behind “pillars” of coal used to support the roof of a mine.
|
Unassigned reserves
|
Recoverable reserves that have not yet been designated for mining by a specific operation.
|
32
|
•
|
the domestic and foreign supply of and demand for coal;
|
•
|
the domestic and foreign demand for electricity and steel;
|
•
|
the quantity and quality of coal available from competitors;
|
•
|
competition for production of electricity from non-coal sources, including the price and availability of alternative fuels;
|
•
|
domestic and foreign air emission standards for coal-fueled power plants and the ability of coal-fueled power plants to meet these standards;
|
•
|
adverse weather, climatic or other natural conditions, including unseasonable weather patterns;
|
•
|
domestic and foreign economic conditions, including economic slowdowns and the exchange rate of U.S. dollars for foreign currency;
|
•
|
domestic and foreign legislative, regulatory and judicial developments, environmental regulatory changes or changes in energy policy and energy conservation measures that would adversely affect the coal industry, such as legislation limiting carbon emissions or providing for increased funding and incentives for alternative energy sources;
|
•
|
the imposition of tariffs, quotas, trade barriers and other trade protection measures;
|
•
|
the proximity to, capacity of and cost of transportation and port facilities;
|
•
|
market price fluctuations for sulfur dioxide or nitric oxide emission allowances; and
|
•
|
technological advancements, including those related to alternative energy sources, those intended to convert coal-to-liquids or gas and those aimed at capturing, using and storing carbon dioxide.
|
33
|
34
|
•
|
poor mining conditions resulting from geological, hydrologic or other conditions that may cause instability of highwalls or spoil piles or cause damage to nearby infrastructure or mine personnel;
|
•
|
a major incident at the mine site that causes all or part of the operations of the mine to cease for some period of time;
|
•
|
mining, processing and plant equipment failures and unexpected maintenance problems;
|
•
|
adverse weather and natural disasters, such as heavy rains or snow, flooding and other natural events affecting operations, transportation or customers;
|
•
|
the unavailability of raw materials, equipment (including heavy mobile equipment) or other critical supplies such as tires, explosives, fuel, lubricants and other consumables of the type, quantity and/or size needed to meet production expectations;
|
•
|
unexpected or accidental surface subsidence from underground mining;
|
•
|
accidental mine water discharges, fires, explosions or similar mining accidents;
|
•
|
delays or closures by third-party transportation on coal shipments; and
|
•
|
competition and/or conflicts with other natural resource extraction activities and production within our operating areas, such as coalbed methane extraction or oil and gas development.
|
35
|
36
|
•
|
quality of the coal;
|
•
|
geological and mining conditions, which may not be fully identified by available exploration data and/or may differ from our experiences in areas where we currently mine;
|
•
|
the percentage of coal ultimately recoverable;
|
•
|
the assumed effects of regulation, including the issuance of required permits, taxes, including severance and excise taxes and royalties, and other payments to governmental agencies;
|
•
|
assumptions concerning the timing for the development of the reserves;
|
•
|
assumptions concerning physical access to the reserves; and
|
•
|
assumptions concerning equipment and productivity, future coal prices, operating costs, including for critical supplies such as fuel, tires and explosives, capital expenditures and development and reclamation costs.
|
37
|
38
|
39
|
40
|
41
|
42
|
•
|
limitations on land use;
|
•
|
mine permitting and licensing requirements;
|
•
|
reclamation and restoration of mining properties after mining is completed and required surety bonds or other instruments to secure those reclamation and restoration obligations;
|
•
|
management of materials generated by mining operations;
|
•
|
the storage, treatment and disposal of wastes;
|
•
|
remediation of contaminated soil and groundwater;
|
•
|
air quality standards;
|
•
|
water pollution;
|
•
|
protection of human health, plant‑life and wildlife, including endangered or threatened species;
|
•
|
protection of wetlands;
|
•
|
the discharge of materials into the environment;
|
•
|
the effects of mining on surface water and groundwater quality and availability; and
|
•
|
the management of electrical equipment containing polychlorinated biphenyls.
|
43
|
44
|
45
|
46
|
47
|
|
Total Assigned Recoverable Reserves
|
|
|
|
As Received Btus per lb. (1)
|
|
|
|
||||||||||||||||||
|
|
|
Sulfur Content (lbs. per million Btus)
|
|
Mining Method
|
Past Reserve Estimates
|
||||||||||||||||||||
|
|
|
Reserve Control
|
|
Under-
|
|||||||||||||||||||||
|
Proven
|
Probable
|
<1.2
|
1.2-2.5
|
>2.5
|
Leased
|
Owned
|
Surface
|
ground
|
2016
|
|
2017
|
|
|||||||||||||
Wyoming
|
911
|
|
906
|
|
5
|
|
867
|
|
44
|
|
—
|
|
8,844
|
|
911
|
|
|
911
|
|
—
|
|
1,115
|
|
1,025
|
|
|
Colorado
|
54
|
|
47
|
|
7
|
|
54
|
|
—
|
|
—
|
|
11,451
|
|
54
|
|
—
|
|
—
|
|
54
|
|
56
|
|
53
|
|
Central App.
|
57
|
|
52
|
|
5
|
|
17
|
|
40
|
|
—
|
|
13,061
|
|
56
|
|
1
|
|
20
|
|
37
|
|
70
|
|
69
|
|
Northern App.
|
73
|
|
63
|
|
10
|
|
3
|
|
70
|
|
—
|
|
13,243
|
|
11
|
|
62
|
|
—
|
|
73
|
|
48
|
|
35
|
|
Illinois
|
43
|
|
24
|
|
19
|
|
—
|
|
—
|
|
43
|
|
10,701
|
|
35
|
|
8
|
|
—
|
|
43
|
|
38
|
|
35
|
|
Total
|
1,138
|
|
1,092
|
|
46
|
|
941
|
|
154
|
|
43
|
|
9,529
|
|
1,067
|
|
71
|
|
931
|
|
207
|
|
1,327
|
|
1,217
|
|
(1)
|
As received Btus per lb. includes the weight of moisture in the coal on an as sold basis.
|
|
Total Unassigned Recoverable Reserves
|
|
|
|
|
|
|
|
|
|||||||||||||
|
|
|
Sulfur Content
|
|
|
Mining Method
|
||||||||||||||||
|
|
|
(lbs. per million Btus)
|
As Received
|
Reserve Control
|
|
Under‑
|
|||||||||||||||
|
Proven
|
Probable
|
<1.2
|
1.2-2.5
|
>2.5
|
Btus per lb.
(1)
|
Leased
|
Owned
|
Surface
|
ground
|
||||||||||||
Wyoming
|
271
|
|
225
|
|
46
|
|
224
|
|
47
|
|
—
|
|
8,437
|
|
271
|
|
—
|
|
271
|
|
—
|
|
Colorado
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
Central App.
|
59
|
|
48
|
|
11
|
|
23
|
|
24
|
|
12
|
|
12,650
|
|
7
|
|
52
|
|
32
|
|
27
|
|
Northern App.
|
149
|
|
78
|
|
71
|
|
—
|
|
147
|
|
2
|
|
12,964
|
|
3
|
|
146
|
|
—
|
|
149
|
|
Illinois
|
281
|
|
187
|
|
94
|
|
—
|
|
—
|
|
281
|
|
11,172
|
|
63
|
|
218
|
|
2
|
|
279
|
|
Total
|
760
|
|
538
|
|
222
|
|
247
|
|
218
|
|
295
|
|
10,663
|
|
344
|
|
416
|
|
305
|
|
455
|
|
(1)
|
As received Btus per lb. includes the weight of moisture in the coal on an as sold basis.
|
48
|
49
|
50
|
|
High
|
|
Low
|
|
Dividends per common share
|
||||||
Year Ended December 31, 2018
|
|
|
|
|
|
||||||
First quarter
|
$
|
101.84
|
|
|
$
|
83.84
|
|
|
$
|
0.40
|
|
Second quarter
|
102.61
|
|
|
76.00
|
|
|
0.40
|
|
|||
Third quarter
|
95.72
|
|
|
75.09
|
|
|
0.40
|
|
|||
Fourth quarter
|
98.25
|
|
|
78.05
|
|
|
0.40
|
|
|||
|
|
|
|
|
|
||||||
Year Ended December 31, 2017
|
|
|
|
|
|
||||||
First quarter
|
$
|
79.27
|
|
|
$
|
63.24
|
|
|
$
|
—
|
|
Second quarter
|
77.59
|
|
|
60.13
|
|
|
0.35
|
|
|||
Third quarter
|
81.09
|
|
|
67.39
|
|
|
0.35
|
|
|||
Fourth quarter
|
94.57
|
|
|
68.95
|
|
|
0.35
|
|
51
|
52
|
|
10/5/2016
|
12/31/16
|
12/31/17
|
12/31/18
|
||||
|
|
|
|
|
||||
Arch Coal, Inc.
|
100.00
|
|
123.89
|
|
149.93
|
|
136.01
|
|
S&P Midcap 400
|
100.00
|
|
107.42
|
|
124.87
|
|
111.03
|
|
2017 Peer Group
|
100.00
|
|
99.01
|
|
87.92
|
|
60.23
|
|
2018 Peer Group
|
100.00
|
|
104.66
|
|
114.27
|
|
94.17
|
|
|
|
|
|
|
Date
|
Total Number of Shares Purchased
|
Average Price Paid per Share
|
Total Number of Shares Purchased as Part of Publicly Announced Program
|
Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plan (in thousands)
|
||||||
October 1 through October 31, 2018
|
247,889
|
|
$
|
92.78
|
|
247,889
|
|
$
|
231,768
|
|
November 1 through November 30, 2018
|
449,180
|
|
$
|
89.39
|
|
449,180
|
|
$
|
191,615
|
|
December 1 through December 31, 2018
|
303,812
|
|
$
|
83.93
|
|
303,812
|
|
$
|
166,116
|
|
Total shares repurchased
|
1,000,881
|
|
$
|
88.57
|
|
1,000,881
|
|
|
53
|
|
Successor
|
Predecessor
|
||||||||||||||||
(In thousands, except per share data)
|
Year Ended December 31, 2018
|
Year Ended December 31, 2017
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
Year Ended December 31, 2015
|
Year Ended December 31, 2014
|
||||||||||||
Income Statement Data:
|
|
|
(1)
|
(1)
|
(2)
|
|
||||||||||||
Revenues
|
$
|
2,451,787
|
|
$
|
2,324,623
|
|
$
|
575,688
|
|
$
|
1,398,709
|
|
$
|
2,573,260
|
|
$
|
2,937,119
|
|
Asset impairment and mine closure costs
|
—
|
|
—
|
|
—
|
|
129,267
|
|
2,628,303
|
|
24,113
|
|
||||||
Income (loss) from operations
|
279,138
|
|
234,336
|
|
46,086
|
|
(255,423
|
)
|
(2,865,063
|
)
|
(149,531
|
)
|
||||||
Interest expense
|
(20,471
|
)
|
(26,905
|
)
|
(11,241
|
)
|
(135,888
|
)
|
(397,979
|
)
|
(390,946
|
)
|
||||||
Non-operating expenses
|
(5,348
|
)
|
(6,885
|
)
|
(727
|
)
|
1,626,113
|
|
(27,910
|
)
|
—
|
|
||||||
Income (loss) from continuing operations
|
312,577
|
|
238,450
|
|
33,449
|
|
1,242,081
|
|
(2,913,142
|
)
|
(558,353
|
)
|
||||||
Basic earnings (loss) per common share
|
$
|
15.90
|
|
$
|
10.05
|
|
$
|
1.34
|
|
$
|
58.33
|
|
$
|
(136.86
|
)
|
$
|
(26.31
|
)
|
Diluted earnings (loss) per common share
|
$
|
15.15
|
|
$
|
9.84
|
|
$
|
1.31
|
|
$
|
58.28
|
|
$
|
(136.86
|
)
|
$
|
(26.31
|
)
|
Balance Sheet Data:
|
|
|
|
|
|
|
||||||||||||
Total assets
|
$
|
1,887,060
|
|
$
|
1,979,632
|
|
$
|
2,136,597
|
|
$
|
2,123,829
|
|
$
|
5,041,881
|
|
$
|
8,346,362
|
|
Working capital
|
549,448
|
|
496,913
|
|
566,391
|
|
522,465
|
|
(4,361,009
|
)
|
1,023,357
|
|
||||||
Current maturities of debt
|
17,797
|
|
15,783
|
|
11,038
|
|
6,662
|
|
5,042,353
|
|
12,191
|
|
||||||
Long-term debt, less current maturities
|
300,186
|
|
310,134
|
|
351,841
|
|
353,272
|
|
30,953
|
|
5,064,818
|
|
||||||
Other long-term obligations
|
552,718
|
|
669,552
|
|
725,948
|
|
786,015
|
|
755,283
|
|
695,881
|
|
||||||
Noncurrent deferred income tax liability
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
422,809
|
|
||||||
Arch Coal stockholders’ equity
|
704,821
|
|
665,865
|
|
746,577
|
|
687,483
|
|
(1,244,289
|
)
|
1,668,154
|
|
||||||
Cash Flow Data:
|
|
|
|
|
|
|
||||||||||||
Cash provided by (used in) operating activities
|
417,963
|
|
396,474
|
|
84,192
|
|
(228,218
|
)
|
(44,367
|
)
|
(33,582
|
)
|
||||||
Depreciation, depletion and amortization, including amortization of sales contracts, net
|
130,670
|
|
176,449
|
|
33,400
|
|
190,853
|
|
370,534
|
|
405,561
|
|
||||||
Capital expenditures
|
95,272
|
|
59,205
|
|
15,214
|
|
82,434
|
|
119,024
|
|
147,286
|
|
||||||
Net proceeds from the issuance of long term debt
|
—
|
|
298,500
|
|
—
|
|
—
|
|
—
|
|
(4,519
|
)
|
||||||
Payments to retire debt, including redemption premium
|
—
|
|
(325,684
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||
Purchases of treasury stock
|
280,871
|
|
301,512
|
|
—
|
|
—
|
|
|
|
||||||||
Dividend payments
|
31,269
|
|
24,369
|
|
—
|
|
—
|
|
—
|
|
2,123
|
|
||||||
Operating Data:
|
|
|
|
|
|
|
||||||||||||
Tons sold
|
96,792
|
|
98,218
|
|
26,812
|
|
67,128
|
|
127,632
|
|
134,360
|
|
||||||
Tons produced
|
95,416
|
|
96,686
|
|
26,619
|
|
66,658
|
|
126,820
|
|
132,614
|
|
||||||
Tons purchased from third parties
|
1,140
|
|
1,532
|
|
193
|
|
481
|
|
1,287
|
|
1,182
|
|
(1)
|
Our 2016 results were impacted by the filing of bankruptcy, subsequent emergence and the application of fresh start accounting. See Note 3 to the Consolidated Financial Statements, “Emergence from Bankruptcy and Fresh Start Accounting” for additional information.
|
(2)
|
Our results in 2015 were impacted by further weakening of both the thermal and metallurgical coal markets. We incurred $2.6 billion of mine closure and asset impairment charges during the year; for additional information see Note 6 to the Consolidated Financial Statements, “Impairment Charges and Mine Closure Costs.”
|
54
|
55
|
|
|
Successor
|
||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
(Decrease) / Increase
|
||||||
|
|
(In thousands)
|
||||||||||
Coal sales
|
|
$
|
2,451,787
|
|
|
$
|
2,324,623
|
|
|
$
|
127,164
|
|
Tons sold
|
|
96,792
|
|
|
98,218
|
|
|
(1,426
|
)
|
56
|
|
|
Successor
|
|||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
Increase / (Decrease) in Net Income
|
|||||||
|
|
(In thousands)
|
|||||||||||
Cost of sales (exclusive of items shown separately below)
|
|
$
|
1,925,202
|
|
|
$
|
1,839,993
|
|
|
$
|
(85,209
|
)
|
|
Depreciation, depletion and amortization
|
|
119,563
|
|
|
122,464
|
|
|
2,901
|
|
||||
Accretion on asset retirement obligations
|
|
27,970
|
|
|
30,209
|
|
|
2,239
|
|
||||
Amortization of sales contracts, net
|
|
11,107
|
|
|
53,985
|
|
|
42,878
|
|
||||
Change in fair value of coal derivatives and coal trading activities, net
|
|
9,118
|
|
|
7,222
|
|
|
(1,896
|
)
|
||||
Selling, general and administrative expenses
|
149,314
|
|
100,300
|
|
|
87,952
|
|
|
(12,348
|
)
|
|||
Gain on sale of Lone Mountain Processing, Inc.
|
|
—
|
|
|
(21,297
|
)
|
|
(21,297
|
)
|
||||
Other operating income, net
|
|
(20,611
|
)
|
|
(30,241
|
)
|
|
(9,630
|
)
|
||||
Total costs, expenses and other
|
|
$
|
2,172,649
|
|
|
$
|
2,090,287
|
|
|
$
|
(82,362
|
)
|
57
|
|
Successor
|
||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
Increase / (Decrease) in Net Income
|
||||||
|
(In thousands)
|
||||||||||
Non-service related pension and postretirement benefit costs
|
$
|
(3,202
|
)
|
|
$
|
(1,940
|
)
|
|
$
|
(1,262
|
)
|
Net loss resulting from early retirement of debt and debt restructuring
|
(485
|
)
|
|
(2,547
|
)
|
|
2,062
|
|
|||
Reorganization income (loss), net
|
(1,661
|
)
|
|
(2,398
|
)
|
|
737
|
|
|||
Total nonoperating expense
|
$
|
(5,348
|
)
|
|
$
|
(6,885
|
)
|
|
$
|
1,537
|
|
|
Successor
|
||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
Increase / (Decrease) in Net Income
|
||||||
|
(In thousands)
|
||||||||||
Provision for (benefit from) income taxes
|
$
|
(52,476
|
)
|
|
$
|
(35,255
|
)
|
|
$
|
17,221
|
|
58
|
|
Successor
|
||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
Variance
|
||||||
Powder River Basin
|
|
|
|
|
|
|
|
||||
Tons sold (in thousands)
|
79,542
|
|
|
80,604
|
|
|
(1,062
|
)
|
|||
Coal sales per ton sold
|
$
|
12.03
|
|
|
$
|
12.49
|
|
|
$
|
(0.46
|
)
|
Cash cost per ton sold
|
$
|
10.45
|
|
|
$
|
10.53
|
|
|
$
|
0.08
|
|
Cash margin per ton sold
|
$
|
1.58
|
|
|
$
|
1.96
|
|
|
$
|
(0.38
|
)
|
Adjusted EBITDAR (in thousands)
|
$
|
126,525
|
|
|
$
|
158,882
|
|
|
$
|
(32,357
|
)
|
Metallurgical
|
|
|
|
|
|
||||||
Tons sold (in thousands)
|
7,747
|
|
|
8,192
|
|
|
(445
|
)
|
|||
Coal sales per ton sold
|
$
|
111.72
|
|
|
$
|
90.17
|
|
|
$
|
21.55
|
|
Cash cost per ton sold
|
$
|
66.85
|
|
|
$
|
60.76
|
|
|
$
|
(6.09
|
)
|
Cash margin per ton sold
|
$
|
44.87
|
|
|
$
|
29.41
|
|
|
$
|
15.46
|
|
Adjusted EBITDAR (in thousands)
|
$
|
349,524
|
|
|
$
|
243,616
|
|
|
$
|
105,908
|
|
Other Thermal
|
|
|
|
|
|
||||||
Tons sold (in thousands)
|
9,089
|
|
|
9,205
|
|
|
(116
|
)
|
|||
Coal sales per ton sold
|
$
|
36.06
|
|
|
$
|
34.85
|
|
|
$
|
1.21
|
|
Cash cost per ton sold
|
$
|
28.95
|
|
|
$
|
24.20
|
|
|
$
|
(4.75
|
)
|
Cash margin per ton sold
|
$
|
7.11
|
|
|
$
|
10.65
|
|
|
$
|
(3.54
|
)
|
Adjusted EBITDAR (in thousands)
|
$
|
68,620
|
|
|
$
|
102,006
|
|
|
$
|
(33,386
|
)
|
59
|
|
|
Successor
|
||
|
|
October 2 through December 31, 2016
|
||
|
|
(In thousands)
|
||
Coal sales
|
|
$
|
575,688
|
|
Tons sold
|
|
26,812
|
|
60
|
|
|
Successor
|
||
|
|
October 2 through December 31, 2016
|
||
|
|
|
||
Cost of sales (exclusive of items shown separately below)
|
|
$
|
470,319
|
|
Depreciation, depletion and amortization
|
|
32,604
|
|
|
Accretion on asset retirement obligations
|
|
7,634
|
|
|
Amortization of sales contracts, net
|
|
796
|
|
|
Change in fair value of coal derivatives and coal trading activities, net
|
|
396
|
|
|
Selling, general and administrative expenses
|
|
23,193
|
|
|
Other operating income, net
|
|
(5,340
|
)
|
|
Total costs, expenses and other
|
|
$
|
529,602
|
|
|
Successor
|
||
|
October 2 through December 31, 2016
|
||
|
(In thousands)
|
||
Non-service related pension and postretirement benefit costs
|
$
|
32
|
|
Reorganization income (loss), net
|
(759
|
)
|
|
Total nonoperating expense
|
$
|
(727
|
)
|
61
|
|
Successor
|
||
|
October 2 through December 31, 2016
|
||
|
(In thousands)
|
||
Provision for (benefit from) income taxes
|
$
|
1,156
|
|
|
Successor
|
||
|
October 2 through December 31, 2016
|
||
Powder River Basin
|
|
|
|
Tons sold (in thousands)
|
21,824
|
|
|
Coal sales per ton sold
|
$
|
12.41
|
|
Cash cost per ton sold
|
$
|
9.88
|
|
Cash margin per ton sold
|
$
|
2.53
|
|
Adjusted EBITDAR (in thousands)
|
$
|
55,765
|
|
Metallurgical
|
|
|
|
Tons sold (in thousands)
|
2,442
|
|
|
Coal sales per ton sold
|
$
|
65.61
|
|
Cash cost per ton sold
|
$
|
52.98
|
|
Cash margin per ton sold
|
$
|
12.63
|
|
Adjusted EBITDAR (in thousands)
|
$
|
30,819
|
|
Other Thermal
|
|
|
|
Tons sold (in thousands)
|
2,510
|
|
|
Coal sales per ton sold
|
$
|
34.01
|
|
Cash cost per ton sold
|
$
|
21.79
|
|
Cash margin per ton sold
|
$
|
12.22
|
|
Adjusted EBITDAR (in thousands)
|
$
|
31,159
|
|
62
|
|
|
Predecessor
|
||
|
|
January 1 through October 1, 2016
|
||
|
|
(In thousands)
|
||
Coal sales
|
|
$
|
1,398,709
|
|
Tons sold
|
|
67,128
|
|
63
|
|
|
Predecessor
|
||
|
|
January 1 through October 1, 2016
|
||
|
|
(In thousands)
|
||
Cost of sales (exclusive of items shown separately below)
|
|
$
|
1,262,174
|
|
Depreciation, depletion and amortization
|
|
191,581
|
|
|
Accretion on asset retirement obligations
|
|
24,321
|
|
|
Amortization of sales contracts, net
|
|
(728
|
)
|
|
Change in fair value of coal derivatives and coal trading activities, net
|
|
2,856
|
|
|
Asset impairment and mine closure costs
|
|
129,267
|
|
|
Selling, general and administrative expenses
|
|
59,918
|
|
|
Other operating income, net
|
|
(15,257
|
)
|
|
Total costs, expenses and other
|
|
$
|
1,654,132
|
|
|
Predecessor
|
||
|
January 1 through October 1, 2016
|
||
|
(In thousands)
|
||
Non-service related pension and postretirement benefit costs
|
$
|
(1,715
|
)
|
Net loss resulting from early retirement of debt and debt restructuring
|
(2,213
|
)
|
|
Reorganization income (loss), net
|
1,630,041
|
|
|
Total non-operating (expense) benefit
|
$
|
1,626,113
|
|
64
|
|
Predecessor
|
||
|
January 1 through October 1, 2016
|
||
|
(In thousands)
|
||
Benefit from income taxes
|
$
|
(4,626
|
)
|
65
|
|
Predecessor
|
||
|
January 1 through October 1, 2016
|
||
Powder River Basin
|
|
||
Tons sold (in thousands)
|
54,911
|
|
|
Coal sales per ton sold
|
$
|
13.01
|
|
Cash cost per ton sold
|
$
|
10.95
|
|
Cash margin per ton sold
|
$
|
2.06
|
|
Adjusted EBITDAR (in thousands)
|
$
|
113,185
|
|
Metallurgical
|
|
||
Tons sold (in thousands)
|
6,692
|
|
|
Coal sales per ton sold
|
$
|
53.15
|
|
Cash cost per ton sold
|
$
|
51.40
|
|
Cash margin per ton sold
|
$
|
1.75
|
|
Adjusted EBITDAR (in thousands)
|
$
|
11,851
|
|
Other Thermal
|
|
||
Tons sold (in thousands)
|
5,181
|
|
|
Coal sales per ton sold
|
$
|
36.16
|
|
Cash cost per ton sold
|
$
|
30.28
|
|
Cash margin per ton sold
|
$
|
5.88
|
|
Adjusted EBITDAR (in thousands)
|
$
|
31,448
|
|
66
|
|
Successor
|
||||||||||||||
Year Ended December 31, 2018
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Revenues in the Consolidated Income Statements
|
$
|
973,248
|
|
$
|
1,036,621
|
|
$
|
428,884
|
|
$
|
13,034
|
|
$
|
2,451,787
|
|
Less: Adjustments to reconcile to Non-GAAP Segment coal sales revenue
|
|
|
|
|
|
||||||||||
Coal risk management derivative settlements classified in "other income"
|
—
|
|
—
|
|
8,718
|
|
—
|
|
8,718
|
|
|||||
Coal sales revenues from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
13,034
|
|
13,034
|
|
|||||
Transportation costs
|
16,388
|
|
171,126
|
|
92,438
|
|
—
|
|
279,952
|
|
|||||
Non-GAAP Segment coal sales revenues
|
$
|
956,860
|
|
$
|
865,495
|
|
$
|
327,728
|
|
$
|
—
|
|
$
|
2,150,083
|
|
Tons sold
|
79,542
|
|
7,747
|
|
9,089
|
|
|
|
|||||||
Coal sales per ton sold
|
$
|
12.03
|
|
$
|
111.72
|
|
$
|
36.06
|
|
|
|
||||
|
Successor
|
||||||||||||||
Year Ended December 31, 2017
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Revenues in the Consolidated Income Statements
|
$
|
1,024,197
|
|
$
|
887,839
|
|
$
|
396,504
|
|
$
|
16,083
|
|
$
|
2,324,623
|
|
Less: Adjustments to reconcile to Non-GAAP Segment coal sales revenue
|
|
|
|
|
|
||||||||||
Coal risk management derivative settlements classified in "other income"
|
—
|
|
—
|
|
200
|
|
—
|
|
200
|
|
|||||
Coal sales revenues from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
15,061
|
|
15,061
|
|
|||||
Transportation costs
|
17,437
|
|
149,212
|
|
75,491
|
|
1,022
|
|
243,162
|
|
|||||
Non-GAAP Segment coal sales revenues
|
$
|
1,006,760
|
|
$
|
738,627
|
|
$
|
320,813
|
|
$
|
—
|
|
$
|
2,066,200
|
|
Tons sold
|
80,604
|
|
8,192
|
|
9,205
|
|
|
|
|||||||
Coal sales per ton sold
|
$
|
12.49
|
|
$
|
90.17
|
|
$
|
34.85
|
|
|
|
||||
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
67
|
|
|
|
|
|
|
||||||||||
|
Successor
|
||||||||||||||
October 2 through December 31, 2016
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Revenues in the Consolidated Income Statements
|
$
|
275,703
|
|
$
|
200,377
|
|
$
|
97,382
|
|
$
|
2,226
|
|
$
|
575,688
|
|
Less: Adjustments to reconcile to Non-GAAP Segment coal sales revenue
|
|
|
|
|
|
||||||||||
Coal risk management derivative settlements classified in "other income"
|
—
|
|
—
|
|
(112
|
)
|
—
|
|
(112
|
)
|
|||||
Coal sales revenues from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
2,181
|
|
2,181
|
|
|||||
Transportation costs
|
4,826
|
|
40,170
|
|
12,130
|
|
45
|
|
57,171
|
|
|||||
Non-GAAP Segment coal sales revenues
|
$
|
270,877
|
|
$
|
160,207
|
|
$
|
85,364
|
|
$
|
—
|
|
$
|
516,448
|
|
Tons sold
|
21,824
|
|
2,442
|
|
2,510
|
|
|
|
|||||||
Coal sales per ton sold
|
$
|
12.41
|
|
$
|
65.61
|
|
$
|
34.01
|
|
|
|
||||
|
Predecessor
|
||||||||||||||
January 1 through October 1, 2016
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Revenues in the Consolidated Income Statements
|
$
|
726,747
|
|
$
|
437,069
|
|
$
|
213,052
|
|
$
|
21,841
|
|
$
|
1,398,709
|
|
Less: Adjustments to reconcile to Non-GAAP Segment coal sales revenue
|
|
|
|
|
|
||||||||||
Coal risk management derivative settlements classified in "other income"
|
—
|
|
—
|
|
448
|
|
—
|
|
448
|
|
|||||
Coal sales revenues from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
19,368
|
|
19,368
|
|
|||||
Transportation costs
|
12,559
|
|
81,390
|
|
25,252
|
|
2,473
|
|
121,674
|
|
|||||
Non-GAAP Segment coal sales revenues
|
$
|
714,188
|
|
$
|
355,679
|
|
$
|
187,352
|
|
$
|
—
|
|
$
|
1,257,219
|
|
Tons sold
|
54,911
|
|
6,692
|
|
5,181
|
|
|
|
|||||||
Coal sales per ton sold
|
$
|
13.01
|
|
$
|
53.15
|
|
$
|
36.16
|
|
|
|
68
|
|
Successor
|
||||||||||||||
Year Ended December 31, 2018
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Cost of sales in the Consolidated Income Statements
|
$
|
851,414
|
|
$
|
689,053
|
|
$
|
355,544
|
|
$
|
29,191
|
|
$
|
1,925,202
|
|
Less: Adjustments to reconcile to Non-GAAP Segment cash cost of coal sales
|
|
|
|
|
|
||||||||||
Diesel fuel risk management derivative settlements classified in "other income"
|
4,056
|
|
—
|
|
—
|
|
—
|
|
4,056
|
|
|||||
Transportation costs
|
16,388
|
|
171,126
|
|
92,438
|
|
—
|
|
279,952
|
|
|||||
Cost of coal sales from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
18,884
|
|
18,884
|
|
|||||
Other (operating overhead, certain actuarial, etc.)
|
—
|
|
—
|
|
—
|
|
10,307
|
|
10,307
|
|
|||||
Non-GAAP Segment cash cost of coal sales
|
830,970
|
|
517,927
|
|
263,106
|
|
—
|
|
1,612,003
|
|
|||||
Tons sold
|
79,542
|
|
7,747
|
|
9,089
|
|
|
|
|||||||
Cash Cost Per Ton Sold
|
$
|
10.45
|
|
$
|
66.85
|
|
$
|
28.95
|
|
|
|
||||
|
Successor
|
||||||||||||||
Year Ended December 31, 2017
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Cost of sales in the Consolidated Income Statements
|
$
|
863,836
|
|
$
|
646,911
|
|
$
|
298,229
|
|
$
|
31,017
|
|
$
|
1,839,993
|
|
Less: Adjustments to reconcile to Non-GAAP Segment cash cost of coal sales
|
|
|
|
|
|
||||||||||
Diesel fuel risk management derivative settlements classified in "other income"
|
(2,645
|
)
|
—
|
|
—
|
|
—
|
|
(2,645
|
)
|
|||||
Transportation costs
|
17,437
|
|
149,212
|
|
75,491
|
|
1,022
|
|
243,162
|
|
|||||
Cost of coal sales from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
28,065
|
|
28,065
|
|
|||||
Other (operating overhead, certain actuarial, etc.)
|
—
|
|
—
|
|
—
|
|
1,930
|
|
1,930
|
|
|||||
Non-GAAP Segment cash cost of coal sales
|
$
|
849,044
|
|
$
|
497,699
|
|
$
|
222,738
|
|
$
|
—
|
|
$
|
1,569,481
|
|
Tons sold
|
80,604
|
|
8,192
|
|
9,205
|
|
|
|
|||||||
Cash Cost Per Ton Sold
|
$
|
10.53
|
|
$
|
60.76
|
|
$
|
24.20
|
|
|
|
||||
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
69
|
|
Successor
|
||||||||||||||
October 2 through December 31, 2016
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Cost of sales in the Consolidated Income Statements
|
$
|
220,714
|
|
$
|
169,532
|
|
$
|
66,811
|
|
$
|
13,262
|
|
$
|
470,319
|
|
Less: Adjustments to reconcile to Non-GAAP Segment cash cost of coal sales
|
|
|
|
|
|
||||||||||
Diesel fuel risk management derivative settlements classified in "other income"
|
363
|
|
—
|
|
—
|
|
—
|
|
363
|
|
|||||
Transportation costs
|
4,825
|
|
40,171
|
|
12,130
|
|
45
|
|
57,171
|
|
|||||
Cost of coal sales from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
5,853
|
|
5,853
|
|
|||||
Fresh start coal inventory fair value adjustment
|
—
|
|
—
|
|
—
|
|
7,345
|
|
7,345
|
|
|||||
Other (operating overhead, certain actuarial, etc.)
|
—
|
|
—
|
|
—
|
|
19
|
|
19
|
|
|||||
Non-GAAP Segment cash cost of coal sales
|
$
|
215,526
|
|
$
|
129,361
|
|
$
|
54,681
|
|
$
|
—
|
|
$
|
399,568
|
|
Tons sold
|
21,824
|
|
2,442
|
|
2,510
|
|
|
|
|||||||
Cash Cost Per Ton Sold
|
$
|
9.88
|
|
$
|
52.98
|
|
$
|
21.79
|
|
|
|
||||
|
Predecessor
|
||||||||||||||
January 1 through October 1, 2016
|
Powder River Basin
|
Metallurgical
|
Other Thermal
|
Idle and Other
|
Consolidated
|
||||||||||
(In thousands)
|
|
|
|
|
|
||||||||||
GAAP Cost of sales in the Consolidated Income Statements
|
$
|
610,734
|
|
$
|
425,345
|
|
$
|
181,872
|
|
$
|
44,223
|
|
$
|
1,262,174
|
|
Less: Adjustments to reconcile to Non-GAAP Segment cash cost of coal sales
|
|
|
|
|
|
||||||||||
Diesel fuel risk management derivative settlements classified in "other income"
|
(3,361
|
)
|
—
|
|
(276
|
)
|
(59
|
)
|
(3,696
|
)
|
|||||
Transportation costs
|
12,560
|
|
81,389
|
|
25,253
|
|
2,472
|
|
121,674
|
|
|||||
Cost of coal sales from idled or otherwise disposed operations not included in segments
|
—
|
|
—
|
|
—
|
|
42,513
|
|
42,513
|
|
|||||
Other (operating overhead, certain actuarial, etc.)
|
—
|
|
—
|
|
—
|
|
(703
|
)
|
(703
|
)
|
|||||
Non-GAAP Segment cash cost of coal sales
|
$
|
601,535
|
|
$
|
343,956
|
|
$
|
156,895
|
|
$
|
—
|
|
$
|
1,102,386
|
|
Tons sold
|
54,911
|
|
6,692
|
|
5,181
|
|
|
|
|||||||
Cash Cost Per Ton Sold
|
$
|
10.95
|
|
$
|
51.40
|
|
$
|
30.28
|
|
|
|
70
|
|
|
Successor
|
Predecessor
|
||||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
(In thousands)
|
|
|
|
|
|
|
|
||||||||
Net income
|
|
$
|
312,577
|
|
|
$
|
238,450
|
|
|
$
|
33,449
|
|
$
|
1,242,081
|
|
Income tax benefit (provision)
|
|
(52,476
|
)
|
|
(35,255
|
)
|
|
1,156
|
|
(4,626
|
)
|
||||
Interest expense, net
|
|
13,689
|
|
|
24,256
|
|
|
10,754
|
|
133,235
|
|
||||
Depreciation, depletion and amortization
|
|
119,563
|
|
|
122,464
|
|
|
32,604
|
|
191,581
|
|
||||
Accretion on asset retirement obligations
|
|
27,970
|
|
|
30,209
|
|
|
7,634
|
|
24,321
|
|
||||
Amortization of sales contracts, net
|
|
11,107
|
|
|
53,985
|
|
|
796
|
|
(728
|
)
|
||||
Asset impairment and mine closure costs
|
|
—
|
|
|
—
|
|
|
—
|
|
129,267
|
|
||||
Gain on sale of Lone Mountain Processing, Inc.
|
|
—
|
|
|
(21,297
|
)
|
|
—
|
|
—
|
|
||||
Net loss resulting from early retirement of debt and debt restructuring
|
|
485
|
|
|
2,547
|
|
|
—
|
|
2,213
|
|
||||
Non-service related postretirement benefit costs
|
|
3,202
|
|
|
1,940
|
|
|
(32
|
)
|
1,715
|
|
||||
Reorganization items, net
|
|
1,661
|
|
|
2,398
|
|
|
759
|
|
(1,630,041
|
)
|
||||
Fresh start coal inventory fair value adjustment
|
|
—
|
|
|
—
|
|
|
7,345
|
|
—
|
|
||||
Adjusted EBITDAR
|
|
437,778
|
|
|
419,697
|
|
|
94,465
|
|
89,018
|
|
||||
EBITDAR from idled or otherwise disposed operations
|
|
2,492
|
|
|
3,253
|
|
|
1,596
|
|
10,155
|
|
||||
Selling, general and administrative expenses
|
|
100,300
|
|
|
87,952
|
|
|
23,193
|
|
59,919
|
|
||||
Other
|
|
4,099
|
|
|
(6,398
|
)
|
|
(1,511
|
)
|
(2,608
|
)
|
||||
Segment Adjusted EBITDAR from coal operations
|
|
$
|
544,669
|
|
|
$
|
504,504
|
|
|
$
|
117,743
|
|
$
|
156,484
|
|
71
|
72
|
73
|
|
|
Successor
|
Predecessor
|
||||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
(In thousands)
|
|
|
|
|
|
|
|
||||||||
Cash provided by (used in):
|
|
|
|
|
|
|
|
|
|
||||||
Operating activities
|
|
$
|
417,963
|
|
|
$
|
396,474
|
|
|
$
|
84,192
|
|
$
|
(228,218
|
)
|
Investing activities
|
|
(103,952
|
)
|
|
(130,638
|
)
|
|
7,472
|
|
(845
|
)
|
||||
Financing activities
|
|
(322,676
|
)
|
|
(368,656
|
)
|
|
2,709
|
|
(37,210
|
)
|
74
|
|
Payments Due by Period
|
||||||||||||||||||
|
2019
|
|
2020-2021
|
|
2022-2023
|
|
after 2023
|
|
Total
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Long-term debt, including related interest
|
$
|
34,596
|
|
|
$
|
50,421
|
|
|
$
|
35,295
|
|
|
$
|
283,087
|
|
|
$
|
403,399
|
|
Operating leases
|
3,681
|
|
|
4,245
|
|
|
4,068
|
|
|
6,248
|
|
|
18,242
|
|
|||||
Coal lease rights
|
3,669
|
|
|
16,391
|
|
|
15,835
|
|
|
84,913
|
|
|
120,808
|
|
|||||
Coal purchase obligations
|
5,135
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,135
|
|
|||||
Unconditional purchase obligations
|
64,907
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
64,907
|
|
|||||
Total contractual obligations
|
$
|
111,988
|
|
|
$
|
71,057
|
|
|
$
|
55,198
|
|
|
$
|
374,248
|
|
|
$
|
612,491
|
|
75
|
|
|
|
|
|
Workers’
|
|
|
|
|
||||||||||
|
Reclamation
|
|
Lease
|
|
Compensation
|
|
|
|
|
||||||||||
|
Obligations
|
|
Obligations
|
|
Obligations
|
|
Other
|
|
Total
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Surety bonds
|
$
|
536,168
|
|
|
$
|
30,382
|
|
|
$
|
21,084
|
|
|
$
|
4,240
|
|
|
$
|
591,874
|
|
Letters of credit
|
—
|
|
|
—
|
|
|
95,570
|
|
|
1,354
|
|
|
96,924
|
|
|||||
Cash on deposit with others
|
593
|
|
|
—
|
|
|
5,000
|
|
|
—
|
|
|
5,593
|
|
76
|
77
|
•
|
The expected long-term rate of return on plan assets is an assumption reflecting the average rate of earnings expected on the funds invested or to be invested to provide for the benefits included in the projected benefit obligation. We establish the expected long-term rate of return at the beginning of each fiscal year based upon historical returns and projected returns on the underlying mix of invested assets. The pension plan’s investment targets are
35%
equity and
65%
fixed income securities. Investments are rebalanced on a periodic basis to approximate these targeted guidelines. The long-term rate of return assumptions are less than the plan’s actual life-to-date returns. The impact of lowering the expected long-term rate of return on plan assets 0.5% for
2018
would have been an increase in expense of approximately
$1.2 million
.
|
•
|
The discount rate represents our estimate of the interest rate at which pension benefits could be effectively settled. Assumed discount rates are used in the measurement of the projected, accumulated and vested benefit obligations and the service and interest cost components of the net periodic pension cost. The determination of the discount rate was updated from our actuary’s proprietary Yield Curve model, under which the expected benefit payments of the plan are matched against a series of spot rates from a market basket of high quality fixed income securities. The impact of lowering the discount rate 0.5% for
2018
would have been a decrease in expense of approximately
$0.9 million
.
|
78
|
79
|
|
|
2019
|
|||||
|
|
Tons
|
|
$ per ton
|
|||
Metallurgical
|
|
(in millions)
|
|
|
|
||
Committed, North America Priced Coking
|
|
0.7
|
|
|
$
|
119.45
|
|
Committed, North America Unpriced Coking
|
|
1.0
|
|
|
|
||
Committed, Seaborne Priced Coking
|
|
0.2
|
|
|
$
|
115.37
|
|
Committed, Seaborne Unpriced Coking
|
|
3.9
|
|
|
|
||
|
|
|
|
|
|||
Committed, Priced Thermal
|
|
0.8
|
|
|
$
|
32.64
|
|
Committed, Unpriced Thermal
|
|
—
|
|
|
|
||
|
|
|
|
|
|||
Powder River Basin
|
|
|
|
|
|||
Committed, Priced
|
|
56.6
|
|
|
$
|
12.13
|
|
Committed, Unpriced
|
|
1.8
|
|
|
|
||
|
|
|
|
|
|||
Other Thermal
|
|
|
|
|
|||
Committed, Priced
|
|
6.5
|
|
|
$
|
40.53
|
|
Committed, Unpriced
|
|
1.2
|
|
|
|
80
|
81
|
ITEM 10.
|
DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.
|
ITEM 11.
|
EXECUTIVE COMPENSATION.
|
ITEM 12.
|
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.
|
82
|
ITEM 15.
|
EXHIBITS AND FINANCIAL STATEMENT SCHEDULES.
|
|
Schedule
|
|
Page
|
Valuation and Qualifying Accounts
|
ITEM 16.
|
FORM 10-K SUMMARY.
|
83
|
|
|
Description
|
2.1
|
|
|
2.2
|
|
|
3.1
|
|
|
3.2
|
|
|
4.1
|
|
|
4.2
|
|
|
4.3
|
|
|
10.1
|
|
|
10.2
|
|
|
10.3
|
|
|
10.4
|
|
|
10.5
|
|
|
10.6
|
|
|
10.7
|
|
|
10.8
|
|
|
10.9
|
|
|
10.10
|
|
|
10.11
|
|
84
|
10.12
|
|
|
10.13
|
|
|
10.14
|
|
|
10.15
|
|
|
10.16
|
|
|
10.17
|
|
Coal Lease Agreement dated as of March 31, 1992, among Allegheny Land Company, as lessee, and UAC and Phoenix Coal Corporation, as lessors, and related guarantee (incorporated herein by reference to the Current Report on Form 8-K filed by Ashland Coal, Inc. on April 6, 1992).
|
10.18
|
|
|
10.19
|
|
|
10.20
|
|
|
10.21
|
|
|
10.22
|
|
|
10.23
|
|
|
10.24
|
|
|
10.25*
|
|
|
10.26*
|
|
|
10.27*
|
|
|
10.28
|
|
|
10.29*
|
|
|
10.30*
|
|
|
10.31*
|
|
|
10.32*
|
|
|
10.33*
|
|
85
|
10.34
|
|
|
10.35
|
|
|
10.36
|
|
|
10.37*
|
|
|
21.1
|
|
|
23.1
|
|
|
23.2
|
|
|
24.1
|
|
|
31.1
|
|
|
31.2
|
|
|
32.1
|
|
|
32.2
|
|
|
95
|
|
|
101
|
|
Interactive Data File (Form 10-K for the year ended December 31, 2018 filed in XBRL). The financial information contained in the XBRL-related documents is ''unaudited" and "unreviewed."
|
86
|
|
Arch Coal, Inc.
|
|
/s/ John W. Eaves
|
|
John W. Eaves
Chief Executive Officer, Director
|
|
February 14, 2019
|
87
|
|
Signatures
|
|
|
Capacity
|
|
|
Date
|
|
|
/s/ John W. Eaves
|
|
|
|||||||
John W. Eaves
|
Chief Executive Officer, Director (Principal Executive Officer)
|
February 14, 2019
|
|||||||
|
|
|
|||||||
/s/ John T. Drexler
|
|
|
|||||||
John T. Drexler
|
Senior Vice President and Chief Financial Officer (Principal Financial Officer)
|
February 14, 2019
|
|||||||
|
|
|
|||||||
/s/ John W. Lorson
|
|
|
|||||||
John W. Lorson
|
Vice President and Chief Accounting Officer (Principal Accounting Officer)
|
February 14, 2019
|
|||||||
|
|
|
|||||||
*
|
|
|
|||||||
James N. Chapman
|
Chairman
|
February 14, 2019
|
|||||||
|
|
|
|||||||
*
|
|
|
|||||||
Patrick J. Bartels, Jr.
|
Director
|
February 14, 2019
|
|||||||
|
|
|
|||||||
*
|
|
|
|||||||
Sherman K. Edmiston III
|
Director
|
February 14, 2019
|
|||||||
|
|
|
|||||||
*
|
|
|
|||||||
Patrick A. Kriegshauser
|
Director
|
February 14, 2019
|
|||||||
|
|
|
|||||||
*
|
|
|
|||||||
Richard A. Navarre
|
Director
|
February 14, 2019
|
|||||||
|
|
|
|||||||
*
|
|
|
|||||||
Scott D. Vogel
|
Director
|
February 14, 2019
|
|||||||
|
|
|
|
88
|
*By
|
/s/ Robert G. Jones
|
|
|
||||||
|
Robert G. Jones,
Attorney-in-Fact
|
|
|
89
|
|
|
Consolidated Income Statements:
|
|
|
|
Consolidated Statements of Comprehensive Income (loss):
|
|
|
|
|
|
Consolidated Statements of Cash Flows:
|
|
|
|
Consolidated Statements of Stockholders’ Equity (Deficit):
|
|
|
|
|
|
|
|
F- 1
|
F- 2
|
F- 3
|
F- 4
|
Arch Coal, Inc. and Subsidiaries
Consolidated Income Statements
(in thousands, except per share data)
|
|||||||||||||||
|
|
Successor
|
Predecessor
|
||||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Revenues
|
|
$
|
2,451,787
|
|
|
$
|
2,324,623
|
|
|
$
|
575,688
|
|
$
|
1,398,709
|
|
Costs, expenses and other operating
|
|
|
|
|
|
|
|
|
|
||||||
Cost of sales (exclusive of items shown separately below)
|
|
1,925,202
|
|
|
1,839,993
|
|
|
470,319
|
|
1,262,174
|
|
||||
Depreciation, depletion and amortization
|
|
119,563
|
|
|
122,464
|
|
|
32,604
|
|
191,581
|
|
||||
Accretion on asset retirement obligations
|
|
27,970
|
|
|
30,209
|
|
|
7,634
|
|
24,321
|
|
||||
Amortization of sales contracts, net
|
|
11,107
|
|
|
53,985
|
|
|
796
|
|
(728
|
)
|
||||
Change in fair value of coal derivatives and coal trading activities, net
|
|
9,118
|
|
|
7,222
|
|
|
396
|
|
2,856
|
|
||||
Asset impairment and mine closure costs
|
|
—
|
|
|
—
|
|
|
—
|
|
129,267
|
|
||||
Selling, general and administrative expenses
|
|
100,300
|
|
|
87,952
|
|
|
23,193
|
|
59,918
|
|
||||
Gain on sale of Lone Mountain Processing, Inc.
|
|
—
|
|
|
(21,297
|
)
|
|
—
|
|
—
|
|
||||
Other operating income, net
|
|
(20,611
|
)
|
|
(30,241
|
)
|
|
(5,340
|
)
|
(15,257
|
)
|
||||
|
|
2,172,649
|
|
|
2,090,287
|
|
|
529,602
|
|
1,654,132
|
|
||||
Income (loss) from operations
|
|
279,138
|
|
|
234,336
|
|
|
46,086
|
|
(255,423
|
)
|
||||
|
|
|
|
|
|
|
|
||||||||
Interest expense, net
|
|
|
|
|
|
|
|
||||||||
Interest expense
|
|
(20,471
|
)
|
|
(26,905
|
)
|
|
(11,241
|
)
|
(135,888
|
)
|
||||
Interest and investment income
|
|
6,782
|
|
|
2,649
|
|
|
487
|
|
2,653
|
|
||||
|
|
(13,689
|
)
|
|
(24,256
|
)
|
|
(10,754
|
)
|
(133,235
|
)
|
||||
|
|
|
|
|
|
|
|
||||||||
Income (loss) before nonoperating expenses
|
|
265,449
|
|
|
210,080
|
|
|
35,332
|
|
(388,658
|
)
|
||||
|
|
|
|
|
|
|
|
||||||||
Nonoperating income (expense)
|
|
|
|
|
|
|
|
||||||||
Non-service related pension and postretirement benefit costs
|
|
(3,202
|
)
|
|
(1,940
|
)
|
|
32
|
|
(1,715
|
)
|
||||
Net loss resulting from early retirement of debt and debt restructuring
|
|
(485
|
)
|
|
(2,547
|
)
|
|
—
|
|
(2,213
|
)
|
||||
Reorganization income (loss), net
|
|
(1,661
|
)
|
|
(2,398
|
)
|
|
(759
|
)
|
1,630,041
|
|
||||
|
|
(5,348
|
)
|
|
(6,885
|
)
|
|
(727
|
)
|
1,626,113
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Income before income taxes
|
|
260,101
|
|
|
203,195
|
|
|
34,605
|
|
1,237,455
|
|
||||
Provision for (benefit from) income taxes
|
|
(52,476
|
)
|
|
(35,255
|
)
|
|
1,156
|
|
(4,626
|
)
|
||||
Net income
|
|
$
|
312,577
|
|
|
$
|
238,450
|
|
|
$
|
33,449
|
|
$
|
1,242,081
|
|
|
|
|
|
|
|
|
|
||||||||
Earnings per common share
|
|
|
|
|
|
|
|
|
|
||||||
Basic earnings per common share
|
|
$
|
15.90
|
|
|
$
|
10.05
|
|
|
$
|
1.34
|
|
$
|
58.33
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per common share
|
|
$
|
15.15
|
|
|
$
|
9.84
|
|
|
$
|
1.31
|
|
$
|
58.28
|
|
|
|
|
|
|
|
|
|
||||||||
Weighted average shares outstanding
|
|
|
|
|
|
|
|
||||||||
Basic weighted average shares outstanding
|
|
19,663
|
|
|
23,725
|
|
|
25,002
|
|
21,293
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Diluted weighted average shares outstanding
|
|
20,629
|
|
|
24,240
|
|
|
25,469
|
|
21,313
|
|
F- 5
|
|
|
Successor
|
Predecessor
|
||||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Net income
|
|
$
|
312,577
|
|
|
$
|
238,450
|
|
|
$
|
33,449
|
|
$
|
1,242,081
|
|
|
|
|
|
|
|
|
|
||||||||
Derivative instruments
|
|
|
|
|
|
|
|
||||||||
Comprehensive income (loss) before tax
|
|
2,681
|
|
|
647
|
|
|
—
|
|
(532
|
)
|
||||
Income tax benefit (provision)
|
|
—
|
|
|
—
|
|
|
—
|
|
80
|
|
||||
|
|
2,681
|
|
|
647
|
|
|
—
|
|
(452
|
)
|
||||
Pension, postretirement and other post-employment benefits
|
|
|
|
|
|
|
|
||||||||
Comprehensive income (loss) before tax
|
|
20,591
|
|
|
(4,347
|
)
|
|
24,067
|
|
(1,848
|
)
|
||||
Income tax benefit (provision)
|
|
—
|
|
|
—
|
|
|
—
|
|
483
|
|
||||
|
|
20,591
|
|
|
(4,347
|
)
|
|
24,067
|
|
(1,365
|
)
|
||||
Available-for-sale securities
|
|
|
|
|
|
|
|
||||||||
Comprehensive income (loss) before tax
|
|
(343
|
)
|
|
(387
|
)
|
|
387
|
|
2,968
|
|
||||
Income tax benefit (provision)
|
|
—
|
|
|
—
|
|
|
—
|
|
(1,042
|
)
|
||||
|
|
(343
|
)
|
|
(387
|
)
|
|
387
|
|
1,926
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Total other comprehensive income (loss)
|
|
22,929
|
|
|
(4,087
|
)
|
|
24,454
|
|
109
|
|
||||
Total comprehensive income
|
|
$
|
335,506
|
|
|
$
|
234,363
|
|
|
$
|
57,903
|
|
$
|
1,242,190
|
|
F- 6
|
|
||||||
|
December 31, 2018
|
December 31, 2017
|
||||
Assets
|
|
|
||||
Current assets
|
|
|
|
|
||
Cash and cash equivalents
|
$
|
264,937
|
|
$
|
273,387
|
|
Short-term investments
|
162,797
|
|
155,846
|
|
||
Trade accounts receivable
|
200,904
|
|
172,604
|
|
||
Other receivables
|
48,926
|
|
29,771
|
|
||
Inventories
|
125,470
|
|
128,960
|
|
||
Other current assets
|
75,749
|
|
70,426
|
|
||
Total current assets
|
878,783
|
|
830,994
|
|
||
|
|
|
||||
Property, plant and equipment
|
|
|
||||
Coal lands and mineral rights
|
396,125
|
|
390,920
|
|
||
Plant and equipment
|
510,683
|
|
445,407
|
|
||
Deferred mine development
|
194,363
|
|
267,063
|
|
||
|
1,101,171
|
|
1,103,390
|
|
||
Less accumulated depreciation, depletion and amortization
|
(266,343
|
)
|
(147,442
|
)
|
||
Property, plant and equipment, net
|
834,828
|
|
955,948
|
|
||
Other assets
|
|
|
|
|
||
Prepaid royalties
|
600
|
|
4,280
|
|
||
Deferred income taxes
|
170
|
|
22,520
|
|
||
Equity investments
|
104,676
|
|
106,107
|
|
||
Other noncurrent assets
|
68,003
|
|
59,783
|
|
||
Total other assets
|
173,449
|
|
192,690
|
|
||
Total assets
|
$
|
1,887,060
|
|
$
|
1,979,632
|
|
Liabilities and Stockholders' Equity
|
|
|
||||
Current liabilities
|
|
|
|
|
||
Accounts payable
|
$
|
128,024
|
|
$
|
134,137
|
|
Accrued expenses and other current liabilities
|
183,514
|
|
184,161
|
|
||
Current maturities of debt
|
17,797
|
|
15,783
|
|
||
Total current liabilities
|
329,335
|
|
334,081
|
|
||
Long-term debt
|
300,186
|
|
310,134
|
|
||
Asset retirement obligations
|
230,304
|
|
308,855
|
|
||
Accrued pension benefits
|
16,147
|
|
14,036
|
|
||
Accrued postretirement benefits other than pension
|
83,163
|
|
102,369
|
|
||
Accrued workers’ compensation
|
174,303
|
|
184,835
|
|
||
Other noncurrent liabilities
|
48,801
|
|
59,457
|
|
||
Total liabilities
|
1,182,239
|
|
1,313,767
|
|
||
Stockholders' equity
|
|
|
|
|
||
Common stock, $0.01 par value, authorized 300,000 shares, issued 25,047 shares at December 31, 2018 and 2017, respectively
|
250
|
|
250
|
|
||
Paid-in capital
|
717,492
|
|
700,125
|
|
||
Treasury stock, 7,216 and 3,977 shares at December 31, 2018 and 2017, respectively, at cost
|
(583,883
|
)
|
(302,109
|
)
|
||
Retained earnings
|
527,666
|
|
247,232
|
|
||
Accumulated other comprehensive income
|
43,296
|
|
20,367
|
|
||
Total stockholders’ equity
|
704,821
|
|
665,865
|
|
||
Total liabilities and stockholders’ equity
|
$
|
1,887,060
|
|
$
|
1,979,632
|
|
F- 7
|
|
Successor
|
Predecessor
|
||||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
|
|
|
|
|
|
|
||||||||
Operating activities
|
|
|
|
|
|
|
|
|
||||||
Net income
|
$
|
312,577
|
|
|
$
|
238,450
|
|
|
$
|
33,449
|
|
$
|
1,242,081
|
|
Adjustments to reconcile net income to cash provided by (used in) operating activities:
|
|
|
|
|
|
|
|
|
|
|
||||
Depreciation, depletion and amortization
|
119,563
|
|
|
122,464
|
|
|
32,604
|
|
191,581
|
|
||||
Accretion on asset retirement obligations
|
27,970
|
|
|
30,209
|
|
|
7,634
|
|
24,321
|
|
||||
Amortization of sales contracts, net
|
11,107
|
|
|
53,985
|
|
|
796
|
|
(728
|
)
|
||||
Prepaid royalties expensed
|
134
|
|
|
2,905
|
|
|
2,587
|
|
4,791
|
|
||||
Deferred income taxes
|
18,701
|
|
|
(21,965
|
)
|
|
3
|
|
(419
|
)
|
||||
Employee stock-based compensation expense
|
17,519
|
|
|
10,437
|
|
|
1,032
|
|
2,096
|
|
||||
Gains on disposals and divestitures
|
(625
|
)
|
|
(24,327
|
)
|
|
(485
|
)
|
(6,628
|
)
|
||||
Asset impairment and noncash mine closure costs
|
—
|
|
|
—
|
|
|
—
|
|
119,194
|
|
||||
Amortization relating to financing activities
|
4,179
|
|
|
3,736
|
|
|
467
|
|
12,800
|
|
||||
Net loss resulting from early retirement of debt and debt restructuring
|
485
|
|
|
2,547
|
|
|
—
|
|
2,213
|
|
||||
Non-cash bankruptcy reorganization items
|
—
|
|
|
—
|
|
|
—
|
|
(1,775,910
|
)
|
||||
Changes in:
|
|
|
|
|
|
|
|
|
|
|
||||
Receivables
|
(22,903
|
)
|
|
8,370
|
|
|
(22,196
|
)
|
(42,786
|
)
|
||||
Inventories
|
3,490
|
|
|
(19,626
|
)
|
|
24,870
|
|
34,440
|
|
||||
Coal derivative assets and liabilities
|
7,716
|
|
|
6,040
|
|
|
1,662
|
|
5,678
|
|
||||
Accounts payable, accrued expenses and other current liabilities
|
(14,208
|
)
|
|
17,173
|
|
|
34,129
|
|
15,316
|
|
||||
Asset retirement obligations
|
(9,743
|
)
|
|
(20,584
|
)
|
|
(4,535
|
)
|
(12,041
|
)
|
||||
Pension, postretirement and other postemployment benefits
|
(4,703
|
)
|
|
(15,253
|
)
|
|
(5,625
|
)
|
(15,692
|
)
|
||||
Other
|
(53,296
|
)
|
|
1,913
|
|
|
(22,200
|
)
|
(28,525
|
)
|
||||
Cash provided by (used in) operating activities
|
417,963
|
|
|
396,474
|
|
|
84,192
|
|
(228,218
|
)
|
||||
Investing activities
|
|
|
|
|
|
|
|
|
||||||
Capital expenditures
|
(95,272
|
)
|
|
(59,205
|
)
|
|
(15,214
|
)
|
(82,434
|
)
|
||||
Minimum royalty payments
|
(584
|
)
|
|
(5,296
|
)
|
|
(63
|
)
|
(305
|
)
|
||||
Proceeds from (consideration paid for) disposals and divestiture
|
1,083
|
|
|
12,920
|
|
|
572
|
|
(2,921
|
)
|
||||
Purchases of short term investments
|
(143,328
|
)
|
|
(258,948
|
)
|
|
—
|
|
(98,750
|
)
|
||||
Proceeds from sales of short term investments
|
136,630
|
|
|
190,064
|
|
|
23,000
|
|
185,859
|
|
||||
Proceeds from sale of investments in equity investments and securities
|
—
|
|
|
—
|
|
|
—
|
|
1,147
|
|
||||
Investments in and advances to affiliates, net
|
(2,481
|
)
|
|
(10,173
|
)
|
|
(823
|
)
|
(3,441
|
)
|
||||
Cash provided by (used in) investing activities
|
(103,952
|
)
|
|
(130,638
|
)
|
|
7,472
|
|
(845
|
)
|
||||
Financing activities
|
|
|
|
|
|
|
|
|
||||||
Proceeds from issuance of term loan due 2024
|
—
|
|
|
298,500
|
|
|
—
|
|
—
|
|
||||
Payments to extinguish term loan due 2021
|
—
|
|
|
(325,684
|
)
|
|
—
|
|
—
|
|
||||
Payments on term loan
|
(3,000
|
)
|
|
(2,250
|
)
|
|
(816
|
)
|
—
|
|
||||
Net receipts (payments) on other debt
|
(6,077
|
)
|
|
(694
|
)
|
|
3,374
|
|
(11,986
|
)
|
||||
Debt financing costs
|
(1,257
|
)
|
|
(10,149
|
)
|
|
—
|
|
(23,011
|
)
|
||||
Dividends paid
|
(31,269
|
)
|
|
(24,369
|
)
|
|
—
|
|
—
|
|
||||
Purchases of treasury stock
|
(280,871
|
)
|
|
(301,512
|
)
|
|
—
|
|
—
|
|
||||
Expenses related to debt restructuring
|
(50
|
)
|
|
(2,360
|
)
|
|
—
|
|
(2,213
|
)
|
||||
Other
|
(152
|
)
|
|
(138
|
)
|
|
151
|
|
—
|
|
||||
Cash provided by (used in) financing activities
|
(322,676
|
)
|
|
(368,656
|
)
|
|
2,709
|
|
(37,210
|
)
|
||||
Increase (decrease) in cash and cash equivalents, including restricted cash
|
(8,665
|
)
|
|
(102,820
|
)
|
|
94,373
|
|
(266,273
|
)
|
||||
Cash and cash equivalents, including restricted cash, beginning of period
|
273,602
|
|
|
376,422
|
|
|
282,049
|
|
548,322
|
|
||||
Cash and cash equivalents, including restricted cash, end of period
|
$
|
264,937
|
|
|
$
|
273,602
|
|
|
$
|
376,422
|
|
$
|
282,049
|
|
SUPPLEMENTAL CASH FLOW INFORMATION
|
|
|
|
|
|
|
||||||||
Cash paid during the period for interest
|
$
|
17,493
|
|
|
$
|
34,691
|
|
|
$
|
39,620
|
|
$
|
79,979
|
|
Cash refunded during the period for income taxes, net
|
$
|
24,330
|
|
|
$
|
7,958
|
|
|
$
|
287
|
|
$
|
49
|
|
F- 8
|
|
|
|
|
|
Treasury
|
|
Retained Earnings
|
|
Accumulated Other
|
|
|
||||||||||||
|
Common
|
|
Paid-In
|
|
Stock, at
|
|
(Accumulated
|
|
Comprehensive
|
|
|
||||||||||||
|
Stock
|
|
Capital
|
|
Cost
|
|
Deficit)
|
|
Income (Loss)
|
|
Total
|
||||||||||||
|
(In thousands, except per share data)
|
||||||||||||||||||||||
Predecessor Company
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
BALANCE AT JANUARY 1, 2016
|
$
|
2,145
|
|
|
$
|
3,054,211
|
|
|
$
|
(53,863
|
)
|
|
$
|
(4,244,967
|
)
|
|
$
|
(1,815
|
)
|
|
$
|
(1,244,289
|
)
|
Total comprehensive income
|
—
|
|
|
—
|
|
|
—
|
|
|
1,242,081
|
|
|
109
|
|
|
1,242,190
|
|
||||||
Employee stock-based compensation expense
|
—
|
|
|
2,099
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,099
|
|
||||||
Elimination of predecessor equity
|
(2,145
|
)
|
|
(3,056,310
|
)
|
|
53,863
|
|
|
3,002,886
|
|
|
1,706
|
|
|
—
|
|
||||||
BALANCE AT OCTOBER 1, 2016
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Successor Company
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Issuance of successor equity
|
250
|
|
|
687,233
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
687,483
|
|
||||||
Employee stock-based compensation
|
—
|
|
|
1,032
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,032
|
|
||||||
Warrants exercised
|
—
|
|
|
159
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
159
|
|
||||||
Total comprehensive income
|
—
|
|
|
—
|
|
|
—
|
|
|
33,449
|
|
|
24,454
|
|
|
57,903
|
|
||||||
BALANCE AT DECEMBER 31, 2016
|
$
|
250
|
|
|
$
|
688,424
|
|
|
$
|
—
|
|
|
$
|
33,449
|
|
|
$
|
24,454
|
|
|
$
|
746,577
|
|
Dividends on common shares
|
—
|
|
|
—
|
|
|
—
|
|
|
(24,667
|
)
|
|
—
|
|
|
(24,667
|
)
|
||||||
Employee stock-based compensation
|
—
|
|
|
10,437
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,437
|
|
||||||
Issuance of 17,233 shares of common stock under long-term incentive plan
|
—
|
|
|
1,244
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,244
|
|
||||||
Warrants exercised
|
—
|
|
|
20
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
20
|
|
||||||
Purchase of 3,977,215 shares of common stock under share repurchase program
|
—
|
|
|
—
|
|
|
(302,109
|
)
|
|
—
|
|
|
—
|
|
|
(302,109
|
)
|
||||||
Total comprehensive income (loss)
|
—
|
|
|
—
|
|
|
—
|
|
|
238,450
|
|
|
(4,087
|
)
|
|
234,363
|
|
||||||
BALANCE AT DECEMBER 31, 2017
|
$
|
250
|
|
|
$
|
700,125
|
|
|
$
|
(302,109
|
)
|
|
$
|
247,232
|
|
|
$
|
20,367
|
|
|
$
|
665,865
|
|
Dividends on common shares
|
—
|
|
|
—
|
|
|
—
|
|
|
(32,143
|
)
|
|
—
|
|
|
(32,143
|
)
|
||||||
Employee stock-based compensation
|
—
|
|
|
17,519
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
17,519
|
|
||||||
Purchase of 3,238,615 shares of common stock under share repurchase program
|
—
|
|
|
—
|
|
|
(281,774
|
)
|
|
—
|
|
|
—
|
|
|
(281,774
|
)
|
||||||
Retirement of 1,968 shares for payment of employee taxes upon vesting
|
—
|
|
|
(161
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(161
|
)
|
||||||
Warrants exercised
|
—
|
|
|
9
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9
|
|
||||||
Total comprehensive income
|
—
|
|
|
—
|
|
|
—
|
|
|
312,577
|
|
|
22,929
|
|
|
335,506
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
BALANCE AT DECEMBER 31, 2018
|
$
|
250
|
|
|
$
|
717,492
|
|
|
$
|
(583,883
|
)
|
|
$
|
527,666
|
|
|
$
|
43,296
|
|
|
$
|
704,821
|
|
F- 9
|
F- 10
|
F- 11
|
F- 12
|
F- 13
|
F- 14
|
|
Successor
|
Predecessor
|
|||||||
(in thousands)
|
Year Ended December 31, 2017
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||
Cash provided by (used in) investing activities previously reported
|
$
|
(59,802
|
)
|
$
|
17,984
|
|
$
|
15,134
|
|
Less: Withdrawals of restricted cash
|
70,836
|
|
10,512
|
|
15,979
|
|
|||
|
|
|
|
||||||
Cash provided by (used in) investing activities
|
$
|
(130,638
|
)
|
$
|
7,472
|
|
$
|
(845
|
)
|
F- 15
|
|
Successor
|
Predecessor
|
|||||||
(in thousands)
|
Year Ended December 31, 2017
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||
Cost of sales previously reported
|
$
|
1,843,093
|
|
$
|
470,644
|
|
$
|
1,264,464
|
|
Reclassification
|
(3,100
|
)
|
(325
|
)
|
(2,290
|
)
|
|||
|
|
|
|
||||||
Cost of sales
|
$
|
1,839,993
|
|
$
|
470,319
|
|
$
|
1,262,174
|
|
|
|
|
|
||||||
Selling, general and administrative expenses previously reported
|
$
|
86,821
|
|
$
|
22,836
|
|
$
|
59,343
|
|
Reclassification
|
1,131
|
|
357
|
|
575
|
|
|||
|
|
|
|
||||||
Selling, general and administrative expenses
|
$
|
87,952
|
|
$
|
23,193
|
|
$
|
59,918
|
|
|
|
|
|
||||||
Other operating income, net previously reported
|
$
|
(30,270
|
)
|
$
|
(5,340
|
)
|
$
|
(15,257
|
)
|
Reclassification
|
29
|
|
—
|
|
—
|
|
|||
|
|
|
|
||||||
Other operating income, net
|
$
|
(30,241
|
)
|
$
|
(5,340
|
)
|
$
|
(15,257
|
)
|
F- 16
|
F- 17
|
|
Successor
|
Predecessor
|
||||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
(In thousands)
|
|
|
|
|
|
|
||||||||
Gain on settlement of claims
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
4,142,104
|
|
Fresh start adjustments, net
|
—
|
|
|
—
|
|
|
—
|
|
(2,466,010
|
)
|
||||
Professional fees
|
(1,661
|
)
|
|
(2,398
|
)
|
|
(759
|
)
|
(46,053
|
)
|
||||
|
|
|
|
|
|
|
||||||||
|
$
|
(1,661
|
)
|
|
$
|
(2,398
|
)
|
|
$
|
(759
|
)
|
$
|
1,630,041
|
|
F- 18
|
F- 19
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
Pension,
|
|
|
|
|
||||||||
|
|
|
Postretirement
|
|
|
|
Accumulated
|
||||||||
|
|
|
and Other Post-
|
|
|
|
Other
|
||||||||
|
Derivative
|
|
Employment
|
|
Available-for-
|
|
Comprehensive
|
||||||||
|
Instruments
|
|
Benefits
|
|
Sale Securities
|
|
Income (Loss)
|
||||||||
|
(In thousands)
|
||||||||||||||
January 1, 2017
|
$
|
—
|
|
|
$
|
24,067
|
|
|
$
|
387
|
|
|
$
|
24,454
|
|
Unrealized gains (losses)
|
497
|
|
|
(3,589
|
)
|
|
—
|
|
|
(3,092
|
)
|
||||
Amounts reclassified from accumulated other comprehensive income (loss)
|
150
|
|
|
(758
|
)
|
|
(387
|
)
|
|
(995
|
)
|
||||
December 31, 2017
|
$
|
647
|
|
|
$
|
19,720
|
|
|
$
|
—
|
|
|
$
|
20,367
|
|
Unrealized gains (losses)
|
(4,359
|
)
|
|
22,923
|
|
|
(319
|
)
|
|
18,245
|
|
||||
Amounts reclassified from accumulated other comprehensive income (loss)
|
7,040
|
|
|
(2,332
|
)
|
|
(24
|
)
|
|
4,684
|
|
||||
December 31, 2018
|
$
|
3,328
|
|
|
$
|
40,311
|
|
|
$
|
(343
|
)
|
|
$
|
43,296
|
|
F- 20
|
|
|
December 31, 2018
|
|
December 31, 2017
|
||||
(In thousands)
|
|
|
|
|
||||
Coal
|
|
$
|
40,982
|
|
|
$
|
54,692
|
|
Repair parts and supplies
|
|
84,488
|
|
|
74,268
|
|
||
|
|
$
|
125,470
|
|
|
$
|
128,960
|
|
F- 21
|
|
December 31, 2018
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
Balance Sheet
|
||||||||||||||
|
|
|
Gross
|
|
Gross
|
|
|
|
Classification
|
||||||||||||||
|
|
|
Unrealized
|
|
Unrealized
|
|
Fair
|
|
Short-Term
|
|
Other
|
||||||||||||
|
Cost Basis
|
|
Gains
|
|
Losses
|
|
Value
|
|
Investments
|
|
Assets
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. government and agency securities
|
$
|
100,003
|
|
|
$
|
11
|
|
|
$
|
(126
|
)
|
|
$
|
99,888
|
|
|
$
|
99,888
|
|
|
$
|
—
|
|
Corporate notes and bonds
|
63,137
|
|
|
4
|
|
|
(232
|
)
|
|
62,909
|
|
|
62,909
|
|
|
—
|
|
||||||
Total Investments
|
$
|
163,140
|
|
|
$
|
15
|
|
|
$
|
(358
|
)
|
|
$
|
162,797
|
|
|
$
|
162,797
|
|
|
$
|
—
|
|
|
December 31, 2017
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
Balance Sheet
|
||||||||||||||
|
|
|
Gross
|
|
Gross
|
|
|
|
Classification
|
||||||||||||||
|
|
|
Unrealized
|
|
Unrealized
|
|
Fair
|
|
Short-Term
|
|
Other
|
||||||||||||
|
Cost Basis
|
|
Gains
|
|
Losses
|
|
Value
|
|
Investments
|
|
Assets
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. government and agency securities
|
$
|
64,151
|
|
|
$
|
22
|
|
|
$
|
(73
|
)
|
|
$
|
64,100
|
|
|
$
|
64,100
|
|
|
$
|
—
|
|
Corporate notes and bonds
|
92,038
|
|
|
—
|
|
|
(292
|
)
|
|
91,746
|
|
|
91,746
|
|
|
—
|
|
||||||
Total Investments
|
$
|
156,189
|
|
|
$
|
22
|
|
|
$
|
(365
|
)
|
|
$
|
155,846
|
|
|
$
|
155,846
|
|
|
$
|
—
|
|
F- 22
|
(In thousands)
|
|
Knight Hawk
|
|
DTA
|
|
Millennium
|
|
Other
|
|
Total
|
||||||||||
Predecessor Company
|
|
|
|
|
|
|
|
|
|
|
||||||||||
January 1, 2016
|
|
$
|
151,592
|
|
|
$
|
13,239
|
|
|
$
|
37,589
|
|
|
$
|
(543
|
)
|
|
$
|
201,877
|
|
Advances to (distributions from) affiliates, net
|
|
(8,374
|
)
|
|
1,474
|
|
|
1,966
|
|
|
—
|
|
|
(4,934
|
)
|
|||||
Equity in comprehensive income (loss)
|
|
9,033
|
|
|
(2,095
|
)
|
|
(1,530
|
)
|
|
(94
|
)
|
|
5,314
|
|
|||||
Impairment of equity investment
|
|
—
|
|
|
—
|
|
|
(38,025
|
)
|
|
—
|
|
|
(38,025
|
)
|
|||||
Fresh start accounting adjustment
|
|
(58,251
|
)
|
|
(4,018
|
)
|
|
—
|
|
|
662
|
|
|
(61,607
|
)
|
|||||
October 1, 2016
|
|
$
|
94,000
|
|
|
$
|
8,600
|
|
|
$
|
—
|
|
|
$
|
25
|
|
|
$
|
102,625
|
|
Successor Company
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Advances to (distributions from) affiliates, net
|
|
(9,076
|
)
|
|
822
|
|
|
—
|
|
|
—
|
|
|
(8,254
|
)
|
|||||
Equity in comprehensive income (loss)
|
|
2,569
|
|
|
(841
|
)
|
|
—
|
|
|
—
|
|
|
1,728
|
|
|||||
December 31, 2016
|
|
$
|
87,493
|
|
|
$
|
8,581
|
|
|
$
|
—
|
|
|
$
|
25
|
|
|
$
|
96,099
|
|
Investments in affiliates
|
|
—
|
|
|
7,158
|
|
|
—
|
|
|
—
|
|
|
7,158
|
|
|||||
Advances to (distributions from) affiliates, net
|
|
(8,736
|
)
|
|
3,014
|
|
|
—
|
|
|
—
|
|
|
(5,722
|
)
|
|||||
Equity in comprehensive income (loss)
|
|
11,409
|
|
|
(2,812
|
)
|
|
—
|
|
|
(25
|
)
|
|
8,572
|
|
|||||
December 31, 2017
|
|
$
|
90,166
|
|
|
$
|
15,941
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
106,107
|
|
Advances to (distributions from) affiliates, net
|
|
(10,534
|
)
|
|
2,481
|
|
|
—
|
|
|
—
|
|
|
(8,053
|
)
|
|||||
Equity in comprehensive income (loss)
|
|
10,389
|
|
|
(3,767
|
)
|
|
—
|
|
|
—
|
|
|
6,622
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2018
|
|
$
|
90,021
|
|
|
$
|
14,655
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
104,676
|
|
F- 23
|
|
December 31, 2018
|
|
December 31, 2017
|
||||||||||||||||||||
|
Assets
|
|
Liabilities
|
|
Net Total
|
|
Assets
|
|
Liabilities
|
|
Net Total
|
||||||||||||
|
(In thousands)
|
|
|
|
(In thousands)
|
|
|
||||||||||||||||
Original fair value
|
$
|
97,196
|
|
|
$
|
31,742
|
|
|
|
|
$
|
97,196
|
|
|
$
|
31,742
|
|
|
|
||||
Accumulated amortization
|
(96,812
|
)
|
|
(30,924
|
)
|
|
|
|
(84,760
|
)
|
|
(29,979
|
)
|
|
|
||||||||
Total
|
$
|
384
|
|
|
$
|
818
|
|
|
$
|
(434
|
)
|
|
$
|
12,436
|
|
|
$
|
1,763
|
|
|
$
|
10,673
|
|
Balance Sheet classification:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Other current
|
$
|
384
|
|
|
$
|
570
|
|
|
|
|
$
|
12,432
|
|
|
$
|
934
|
|
|
|
||||
Other noncurrent
|
$
|
—
|
|
|
$
|
248
|
|
|
|
|
$
|
4
|
|
|
$
|
829
|
|
|
|
(Tons in thousands)
|
|
2019
|
|
2020
|
|
Total
|
|||
Coal sales
|
|
2,601
|
|
|
93
|
|
|
2,694
|
|
Coal purchases
|
|
1,368
|
|
|
93
|
|
|
1,461
|
|
F- 24
|
|
|
December 31, 2018
|
|
|
|
December 31, 2017
|
|
|
||||||||||||||||
Fair Value of Derivatives
|
|
Asset
|
|
Liability
|
|
|
|
Asset
|
|
Liability
|
|
|
||||||||||||
(In thousands)
|
|
Derivative
|
|
Derivative
|
|
|
|
Derivative
|
|
Derivative
|
|
|
||||||||||||
Derivatives Designated as Hedging Instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Coal
|
|
$
|
2,342
|
|
|
$
|
(805
|
)
|
|
|
|
|
$
|
942
|
|
|
$
|
(2,146
|
)
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Derivatives Not Designated as Hedging Instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Heating oil -- diesel purchases
|
|
532
|
|
|
—
|
|
|
|
|
|
5,354
|
|
|
—
|
|
|
|
|
||||||
Coal held for trading purposes, exchange traded swaps and futures
|
|
10,329
|
|
|
(10,701
|
)
|
|
|
|
|
44,088
|
|
|
(45,221
|
)
|
|
|
|
||||||
Coal -- risk management
|
|
5,672
|
|
|
(19,579
|
)
|
|
|
|
|
5,139
|
|
|
(9,892
|
)
|
|
|
|
||||||
Natural gas
|
|
4
|
|
|
(4
|
)
|
|
|
|
27
|
|
|
—
|
|
|
|
||||||||
Total
|
|
$
|
16,537
|
|
|
(30,284
|
)
|
|
|
|
|
$
|
54,608
|
|
|
$
|
(55,113
|
)
|
|
|
|
|||
Total derivatives
|
|
$
|
18,879
|
|
|
$
|
(31,089
|
)
|
|
|
|
|
$
|
55,550
|
|
|
$
|
(57,259
|
)
|
|
|
|
||
Effect of counterparty netting
|
|
(17,801
|
)
|
|
17,801
|
|
|
|
|
|
(50,042
|
)
|
|
50,042
|
|
|
|
|
||||||
Net derivatives as classified in the balance sheets
|
|
$
|
1,078
|
|
|
$
|
(13,288
|
)
|
|
$
|
(12,210
|
)
|
|
$
|
5,508
|
|
|
$
|
(7,217
|
)
|
|
$
|
(1,709
|
)
|
|
|
|
|
December 31, 2018
|
|
December 31, 2017
|
||||
Net derivatives as reflected on the balance sheets
|
|
|
|
|
|
|
|
|
||
Heating oil
|
|
Other current assets
|
|
$
|
532
|
|
|
$
|
5,354
|
|
Coal
|
|
Other current assets
|
|
546
|
|
|
154
|
|
||
|
|
Accrued expenses and other current liabilities
|
|
(13,288
|
)
|
|
(7,217
|
)
|
||
|
|
|
|
$
|
(12,210
|
)
|
|
$
|
(1,709
|
)
|
F- 25
|
|
|
Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion)
|
|||||||||||||
|
|
Successor
|
Predecessor
|
||||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
Coal sales
|
(1)
|
$
|
(7,517
|
)
|
|
$
|
(2,127
|
)
|
|
$
|
—
|
|
(672
|
)
|
|
Coal purchases
|
(2)
|
1,348
|
|
|
942
|
|
|
—
|
|
536
|
|
||||
|
|
$
|
(6,169
|
)
|
|
$
|
(1,185
|
)
|
|
$
|
—
|
|
$
|
(136
|
)
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
|
|
Gains (Losses) Reclassified from Other Comprehensive Income into Income
(Effective Portion) |
|||||||||||||
|
|
Successor
|
Predecessor
|
|
|||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
Coal sales
|
|
$
|
(10,912
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
1,634
|
|
Coal purchases
|
|
2,707
|
|
|
—
|
|
|
—
|
|
(1,237
|
)
|
||||
|
|
$
|
(8,205
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
397
|
|
|
|
Gain (Loss) Recognized
|
|||||||||||||
|
|
Successor
|
Predecessor
|
|
|||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
Coal trading— realized and unrealized
|
(3)
|
$
|
135
|
|
|
$
|
(2,047
|
)
|
|
$
|
(7
|
)
|
$
|
(891
|
)
|
Coal risk management— unrealized
|
(3)
|
(9,530
|
)
|
|
(4,648
|
)
|
|
(408
|
)
|
(1,662
|
)
|
||||
Natural gas trading — realized and unrealized
|
(3)
|
277
|
|
|
(527
|
)
|
|
19
|
|
(303
|
)
|
||||
Change in fair value of coal derivatives and coal trading activities, net total
|
|
$
|
(9,118
|
)
|
|
$
|
(7,222
|
)
|
|
$
|
(396
|
)
|
$
|
(2,856
|
)
|
|
|
|
|
|
|
|
|
||||||||
Coal risk management — realized
|
(4)
|
$
|
(8,734
|
)
|
|
$
|
—
|
|
|
$
|
116
|
|
$
|
(476
|
)
|
Heating oil — diesel purchases
|
(4)
|
$
|
(505
|
)
|
|
$
|
(1,057
|
)
|
|
$
|
827
|
|
$
|
826
|
|
Foreign currency
|
(4)
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(9
|
)
|
$
|
(451
|
)
|
F- 26
|
|
|
December 31, 2018
|
|
December 31, 2017
|
||||
(In thousands)
|
|
|
|
|
||||
Payroll and employee benefits
|
|
$
|
57,166
|
|
|
$
|
53,149
|
|
Taxes other than income taxes
|
|
75,017
|
|
|
77,017
|
|
||
Interest
|
|
156
|
|
|
246
|
|
||
Sales contracts
|
|
570
|
|
|
934
|
|
||
Workers’ compensation
|
|
20,044
|
|
|
18,782
|
|
||
Asset retirement obligations
|
|
13,113
|
|
|
19,840
|
|
||
Other
|
|
17,448
|
|
|
14,193
|
|
||
|
|
$
|
183,514
|
|
|
$
|
184,161
|
|
F- 27
|
|
|
December 31, 2018
|
|
December 31, 2017
|
||||
(In thousands)
|
|
|
||||||
Term loan due 2024 ($294.8 and $297.8 million face value, respectively)
|
|
$
|
293,626
|
|
|
$
|
296,435
|
|
Other
|
|
30,449
|
|
|
36,514
|
|
||
Debt issuance costs
|
|
(6,092
|
)
|
|
(7,032
|
)
|
||
|
|
$
|
317,983
|
|
|
$
|
325,917
|
|
Less current maturities of debt
|
|
17,797
|
|
|
15,783
|
|
||
Long-term debt
|
|
$
|
300,186
|
|
|
$
|
310,134
|
|
F- 28
|
F- 29
|
F- 30
|
Notional Amount (in millions)
|
Effective Date
|
Fixed Rate
|
Receive Rate
|
Expiration Date
|
|
|
|
|
|
$250.0
|
June 29, 2018
|
1.662%
|
1-month LIBOR
|
June 28, 2019
|
$200.0
|
June 28, 2019
|
1.952%
|
1-month LIBOR
|
June 30, 2020
|
$150.0
|
June 30, 2020
|
2.182%
|
1-month LIBOR
|
June 30, 2021
|
Year
|
|
(In thousands)
|
||
2019
|
|
$
|
18,863
|
|
2020
|
|
11,442
|
|
|
2021
|
|
8,853
|
|
|
2022
|
|
3,130
|
|
|
2023
|
|
3,161
|
|
|
Thereafter
|
|
279,750
|
|
|
|
|
$
|
325,199
|
|
F- 31
|
F- 32
|
|
Successor
|
Predecessor
|
||||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
(In thousands)
|
|
|
|
|
|
|
||||||||
Current:
|
|
|
|
|
|
|
||||||||
Federal
|
$
|
86
|
|
|
$
|
835
|
|
|
$
|
—
|
|
$
|
—
|
|
State
|
136
|
|
|
31
|
|
|
(252
|
)
|
7
|
|
||||
Total current
|
$
|
222
|
|
|
$
|
866
|
|
|
$
|
(252
|
)
|
$
|
7
|
|
Deferred:
|
|
|
|
|
|
|
||||||||
Federal
|
(52,309
|
)
|
|
(36,162
|
)
|
|
1,352
|
|
(4,720
|
)
|
||||
State
|
(389
|
)
|
|
41
|
|
|
56
|
|
87
|
|
||||
Total deferred
|
$
|
(52,698
|
)
|
|
$
|
(36,121
|
)
|
|
$
|
1,408
|
|
$
|
(4,633
|
)
|
|
$
|
(52,476
|
)
|
|
$
|
(35,255
|
)
|
|
$
|
1,156
|
|
$
|
(4,626
|
)
|
|
Successor
|
Predecessor
|
||||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
(In thousands)
|
|
|
|
|
|
|
||||||||
Income tax provision (benefit) at statutory rate
|
$
|
54,621
|
|
|
$
|
71,118
|
|
|
$
|
12,112
|
|
$
|
433,109
|
|
Percentage depletion allowance
|
(17,725
|
)
|
|
(31,255
|
)
|
|
(4,292
|
)
|
(3,681
|
)
|
||||
State taxes, net of effect of federal taxes
|
4,480
|
|
|
7,002
|
|
|
633
|
|
(46,122
|
)
|
||||
Reversal of cancellation of indebtedness income
|
—
|
|
|
—
|
|
|
—
|
|
(1,493,162
|
)
|
||||
Worthless stock deduction
|
—
|
|
|
—
|
|
|
—
|
|
(80,077
|
)
|
||||
Change in valuation allowance
|
(79,961
|
)
|
|
(410,983
|
)
|
|
(7,655
|
)
|
1,185,326
|
|
||||
Impact of Tax Cuts and Jobs Act of 2017
|
(17,645
|
)
|
|
332,345
|
|
|
—
|
|
—
|
|
||||
Other, net
|
3,754
|
|
|
(3,482
|
)
|
|
358
|
|
(19
|
)
|
||||
Provision for (benefit from) income taxes
|
$
|
(52,476
|
)
|
|
$
|
(35,255
|
)
|
|
$
|
1,156
|
|
$
|
(4,626
|
)
|
F- 33
|
|
December 31, 2018
|
|
December 31, 2017
|
||||
(In thousands)
|
|
|
|
||||
Deferred tax assets:
|
|
|
|
||||
Tax loss carryforwards
|
$
|
307,615
|
|
|
$
|
271,405
|
|
Tax credit carryforwards
|
5,394
|
|
|
29,736
|
|
||
Investment in partnerships
|
193,217
|
|
|
308,653
|
|
||
Other
|
28,747
|
|
|
28,321
|
|
||
Gross deferred tax assets
|
$
|
534,973
|
|
|
$
|
638,115
|
|
Valuation allowance
|
(530,612
|
)
|
|
(610,571
|
)
|
||
Total deferred tax assets
|
$
|
4,361
|
|
|
$
|
27,544
|
|
Deferred tax liabilities:
|
|
|
|
||||
Plant and equipment
|
3,037
|
|
|
3,674
|
|
||
Other
|
1,154
|
|
|
1,351
|
|
||
Total deferred tax liabilities
|
$
|
4,191
|
|
|
$
|
5,025
|
|
Net deferred tax asset
|
$
|
170
|
|
|
$
|
22,519
|
|
•
|
Remeasurement of deferred taxes: Deferred tax assets and liabilities attributable to the U.S. were remeasured from 35% to the reduced tax rate of 21%. The amount related to the remeasurement of certain deferred tax assets and liabilities based on the rates at which they are expected to reverse in the future was
$330.9 million
of income tax expense in 2017 and
$16.7 million
of income tax benefit in 2018, related to the 2016 amended return filing, with offsetting valuation allowance adjustments.
|
•
|
One-time transition tax on mandatory deemed repatriation of cumulative foreign earnings: The amount of income tax expense related to the mandatory deemed repatriation of foreign earnings was
$1.5 million
based on cumulative foreign earnings of
$4.2 million
. The deemed repatriation tax is completely offset with net operating loss carryforwards, with an offsetting valuation allowance adjustment and will not result in a cash tax liability.
|
•
|
Elimination of the corporate AMT regime: Existing AMT credits as of December 31, 2018 will be refunded during 2019 through 2022. The Company has determined that it will receive a refund of existing AMT credits of approximately
$45.0 million
, net of a
$26.6 million
uncertain tax position charge. The valuation allowance previously recorded against these credits was released in 2017. The credits were reflected as a deferred tax asset. In 2018, the credits have been reclassified from a deferred tax asset to short term and long term receivables.
|
•
|
Elimination of executive compensation exemptions: The Act made changes to the $1 million limit on deductible compensation paid to certain “covered” employees. The Act eliminated exemptions for qualified performance based compensation and compensation paid after termination and expanded the number of employees to which the limit applies. The Company recorded an amount of
$0.2 million
of tax expense in 2017 and
$6.1 million
of tax expense in 2018, with an offsetting valuation allowance adjustment.
|
F- 34
|
•
|
Other provisions in the Act such as global intangible low-taxed income “GILTI” rules covering foreign income earned in low-tax countries, base-erosion and anti-abuse tax “BEAT,” and the foreign derived intangible income “FDII” deduction will have no material impact on the company
|
F- 35
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
||||
(In thousands)
|
|
|
|
||||
Balance at beginning of period (including current portion)
|
$
|
328,695
|
|
|
$
|
356,742
|
|
Accretion expense
|
27,970
|
|
|
30,209
|
|
||
Obligations of divested operations
|
—
|
|
|
(12,569
|
)
|
||
Adjustments to the liability from changes in estimates
|
(100,728
|
)
|
|
(23,215
|
)
|
||
Liabilities settled
|
(12,520
|
)
|
|
(22,472
|
)
|
||
Fresh start accounting adjustment
|
—
|
|
|
—
|
|
||
Balance at period end
|
$
|
243,417
|
|
|
$
|
328,695
|
|
Current portion included in accrued expenses
|
(13,113
|
)
|
|
(19,840
|
)
|
||
Noncurrent liability
|
$
|
230,304
|
|
|
$
|
308,855
|
|
F- 36
|
|
|
Fair Value at
|
|
December 31, 2018
|
||||||||||||
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
|
|
(In thousands)
|
||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investments in marketable securities
|
|
$
|
162,797
|
|
|
$
|
99,888
|
|
|
$
|
62,909
|
|
|
$
|
—
|
|
Derivatives
|
|
3,554
|
|
|
—
|
|
|
3,022
|
|
|
532
|
|
||||
Total assets
|
|
$
|
166,351
|
|
|
$
|
99,888
|
|
|
$
|
65,931
|
|
|
$
|
532
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Derivatives
|
|
$
|
13,288
|
|
|
$
|
13,252
|
|
|
$
|
36
|
|
|
$
|
—
|
|
|
|
Fair Value at
|
|
December 31, 2017
|
||||||||||||
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
|
|
(In thousands)
|
||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investments in marketable securities
|
|
$
|
155,846
|
|
|
$
|
64,100
|
|
|
$
|
91,746
|
|
|
$
|
—
|
|
Derivatives
|
|
7,339
|
|
|
—
|
|
|
1,985
|
|
|
5,354
|
|
||||
Total assets
|
|
$
|
163,185
|
|
|
$
|
64,100
|
|
|
$
|
93,731
|
|
|
$
|
5,354
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Derivatives
|
|
$
|
7,217
|
|
|
$
|
7,263
|
|
|
$
|
26
|
|
|
$
|
(72
|
)
|
F- 37
|
|
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
||||
(In thousands)
|
|
|
|
|
|
||||
Balance, beginning of period
|
|
|
$
|
5,426
|
|
|
$
|
4,537
|
|
Realized and unrealized (gains) losses recognized in earnings, net
|
|
|
(302
|
)
|
|
(2,305
|
)
|
||
Purchases
|
|
|
3,420
|
|
|
4,910
|
|
||
Issuances
|
|
|
(724
|
)
|
|
(535
|
)
|
||
Settlements
|
|
|
(7,288
|
)
|
|
(1,181
|
)
|
||
Ending balance
|
|
|
$
|
532
|
|
|
$
|
5,426
|
|
2018:
|
Dividends per share
|
Amount (in thousands)
|
||||
1st quarter
|
$
|
0.40
|
|
$
|
8,335
|
|
2nd quarter
|
0.40
|
|
7,998
|
|
||
3rd quarter
|
0.40
|
|
7,633
|
|
||
4th quarter
|
0.40
|
|
7,303
|
|
||
Total cash dividends declared and paid
|
$
|
1.60
|
|
$
|
31,269
|
|
|
|
|
||||
2017:
|
Dividends per share
|
Amount (in thousands)
|
||||
1st quarter
|
$
|
—
|
|
$
|
—
|
|
2nd quarter
|
0.35
|
|
8,563
|
|
||
3rd quarter
|
0.35
|
|
8,200
|
|
||
4th quarter
|
0.35
|
|
7,606
|
|
||
Total cash dividends declared and paid
|
$
|
1.05
|
|
$
|
24,369
|
|
F- 38
|
2018:
|
Number of Shares
|
Average Repurchase Price per Share
|
Amount (in thousands)
|
|||||
1st quarter
|
407,091
|
|
$
|
94.79
|
|
$
|
38,588
|
|
2nd quarter
|
960,105
|
|
81.54
|
|
78,287
|
|
||
3rd quarter
|
870,538
|
|
87.59
|
|
76,248
|
|
||
4th quarter
|
1,000,881
|
|
88.57
|
|
88,651
|
|
||
Total shares repurchased
|
3,238,615
|
|
$
|
87.00
|
|
$
|
281,774
|
|
|
|
|
|
|||||
2017:
|
Number of Shares
|
Average Repurchase Price per Share
|
Amount (in thousands)
|
|||||
1st quarter
|
—
|
|
$
|
—
|
|
$
|
—
|
|
2nd quarter
|
710,701
|
|
71.82
|
|
51,043
|
|
||
3rd quarter
|
2,208,133
|
|
75.49
|
|
166,685
|
|
||
4th quarter
|
1,058,381
|
|
79.73
|
|
84,381
|
|
||
Total shares repurchased
|
3,977,215
|
|
$
|
75.96
|
|
$
|
302,109
|
|
F- 39
|
|
Time Based Awards
|
|
Performance Based Awards
|
||||||||
|
Restricted Stock Units
|
Weighted Average Grant-Date Fair Value
|
|
Restricted Stock Units
|
Weighted Average Grant-Date Fair Value
|
||||||
(Shares in thousands)
|
|
|
|
|
|
||||||
Outstanding at January 1, 2018
|
240
|
|
$
|
79.87
|
|
|
311
|
|
$
|
76.75
|
|
Granted
|
150
|
|
90.83
|
|
|
105
|
|
110.85
|
|
||
Forfeited/Canceled
|
(2
|
)
|
81.28
|
|
|
(1
|
)
|
135.34
|
|
||
Vested
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||
Unvested outstanding at December 31, 2018
|
388
|
|
$
|
84.11
|
|
|
415
|
|
$
|
85.30
|
|
F- 40
|
F- 41
|
|
|
Successor
|
Predecessor
|
||||||||||||
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
(In thousands)
|
|
|
|
|
|
|
|
||||||||
Self-insured occupational disease benefits:
|
|
|
|
|
|
|
|
||||||||
Service cost
|
|
$
|
7,440
|
|
|
$
|
6,320
|
|
|
$
|
1,583
|
|
$
|
3,465
|
|
Interest cost
(1)
|
|
4,365
|
|
|
4,651
|
|
|
1,126
|
|
3,184
|
|
||||
Net amortization
(1)
|
|
—
|
|
|
—
|
|
|
—
|
|
4,325
|
|
||||
Total occupational disease
|
|
$
|
11,805
|
|
|
$
|
10,971
|
|
|
$
|
2,709
|
|
$
|
10,974
|
|
Traumatic injury claims and assessments
|
|
5,395
|
|
|
3,208
|
|
|
3,162
|
|
6,628
|
|
||||
Total workers’ compensation expense
|
|
$
|
17,200
|
|
|
$
|
14,179
|
|
|
$
|
5,871
|
|
$
|
17,602
|
|
(In thousands)
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
||||
Beginning of period
|
$
|
122,426
|
|
|
$
|
111,159
|
|
Service cost
|
7,440
|
|
|
6,320
|
|
||
Interest cost
|
4,365
|
|
|
4,651
|
|
||
Curtailments
|
—
|
|
|
(5,433
|
)
|
||
Actuarial (gain) loss
|
(7,071
|
)
|
|
12,242
|
|
||
Benefit and administrative payments
|
(8,260
|
)
|
|
(6,513
|
)
|
||
|
$
|
118,900
|
|
|
$
|
122,426
|
|
F- 42
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
(Percentages)
|
|
|
|
Discount rate
|
4.26
|
|
3.66
|
Cost escalation rate
|
N/A
|
|
N/A
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
||||
(In thousands)
|
|
|
|
||||
Occupational disease costs
|
$
|
118,900
|
|
|
$
|
122,426
|
|
Traumatic and other workers’ compensation claims
|
75,447
|
|
|
81,191
|
|
||
Total obligations
|
194,347
|
|
|
203,617
|
|
||
Less amount included in accrued expenses
|
20,044
|
|
|
18,782
|
|
||
Noncurrent obligations
|
$
|
174,303
|
|
|
$
|
184,835
|
|
F- 43
|
|
Pension Benefits
|
|
Other Postretirement Benefits
|
||||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
||||||||
(In thousands)
|
|
|
|
|
|
|
|
||||||||
CHANGE IN BENEFIT OBLIGATIONS
|
|
|
|
|
|
|
|
||||||||
Benefit obligations at beginning of period
|
$
|
270,098
|
|
|
$
|
313,629
|
|
|
$
|
110,519
|
|
|
$
|
111,867
|
|
Service cost
|
—
|
|
|
—
|
|
|
558
|
|
|
671
|
|
||||
Interest cost
|
9,269
|
|
|
11,169
|
|
|
3,674
|
|
|
4,150
|
|
||||
Divestitures (see Note 5 to the Consolidated Financial Statements)
|
—
|
|
|
(29,097
|
)
|
|
—
|
|
|
—
|
|
||||
Settlement gain
|
(2,332
|
)
|
|
(1,532
|
)
|
|
—
|
|
|
—
|
|
||||
Curtailments
|
—
|
|
|
—
|
|
|
—
|
|
|
(520
|
)
|
||||
Benefits paid
|
(36,895
|
)
|
|
(38,197
|
)
|
|
(5,388
|
)
|
|
(8,152
|
)
|
||||
Other-primarily actuarial (gain) loss
|
(11,267
|
)
|
|
14,126
|
|
|
(20,800
|
)
|
|
2,503
|
|
||||
Benefit obligations at end of period
|
$
|
228,873
|
|
|
$
|
270,098
|
|
|
$
|
88,563
|
|
|
$
|
110,519
|
|
CHANGE IN PLAN ASSETS
|
|
|
|
|
|
|
|
||||||||
Value of plan assets at beginning of period
|
$
|
255,642
|
|
|
$
|
274,225
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Actual return on plan assets
|
(6,463
|
)
|
|
39,689
|
|
|
|
|
—
|
|
|||||
Employer contributions
|
222
|
|
|
429
|
|
|
5,388
|
|
|
8,152
|
|
||||
Benefits paid
|
(36,895
|
)
|
|
(38,197
|
)
|
|
(5,388
|
)
|
|
(8,152
|
)
|
||||
Divestitures
|
$
|
—
|
|
|
$
|
(20,504
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Value of plan assets at end of period
|
$
|
212,506
|
|
|
$
|
255,642
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Accrued benefit cost
|
$
|
(16,367
|
)
|
|
$
|
(14,456
|
)
|
|
$
|
(88,563
|
)
|
|
$
|
(110,519
|
)
|
ITEMS NOT YET RECOGNIZED AS A COMPONENT OF NET PERIODIC BENEFIT COST
|
|
|
|
|
|
|
|
||||||||
Accumulated gain
|
$
|
8,899
|
|
|
$
|
16,178
|
|
|
$
|
25,936
|
|
|
$
|
5,137
|
|
|
$
|
8,899
|
|
|
$
|
16,178
|
|
|
$
|
25,936
|
|
|
$
|
5,137
|
|
BALANCE SHEET AMOUNTS
|
|
|
|
|
|
|
|
||||||||
Current liability
|
$
|
(220
|
)
|
|
$
|
(420
|
)
|
|
$
|
(5,400
|
)
|
|
$
|
(8,150
|
)
|
Noncurrent liability
|
(16,147
|
)
|
|
(14,036
|
)
|
|
(83,163
|
)
|
|
(102,369
|
)
|
||||
|
$
|
(16,367
|
)
|
|
$
|
(14,456
|
)
|
|
$
|
(88,563
|
)
|
|
$
|
(110,519
|
)
|
F- 44
|
|
Pension Benefits
|
|
Other Postretirement Benefits
|
||||||||||||||||||||||||||
|
Successor
|
Predecessor
|
|
Successor
|
Predecessor
|
||||||||||||||||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||||||||||
(In thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Service cost
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
558
|
|
|
$
|
671
|
|
|
$
|
180
|
|
$
|
393
|
|
Interest cost
(1)
|
9,269
|
|
|
11,169
|
|
|
2,768
|
|
9,338
|
|
|
3,674
|
|
|
4,150
|
|
|
978
|
|
3,223
|
|
||||||||
Curtailments
|
—
|
|
|
—
|
|
|
—
|
|
454
|
|
|
—
|
|
|
(520
|
)
|
|
—
|
|
(970
|
)
|
||||||||
Settlements
(1)
|
(2,332
|
)
|
|
(1,532
|
)
|
|
(135
|
)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
—
|
|
||||||||
Expected return on plan assets
(1)
|
(12,083
|
)
|
|
(16,498
|
)
|
|
(4,770
|
)
|
(13,623
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
—
|
|
||||||||
Amortization of prior service credits
(1)
|
—
|
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
(7,854
|
)
|
||||||||
Amortization of other actuarial losses (gains)
(1)
|
—
|
|
|
—
|
|
|
—
|
|
3,973
|
|
|
—
|
|
|
—
|
|
|
—
|
|
(849
|
)
|
||||||||
Net benefit cost (credit)
|
$
|
(5,146
|
)
|
|
$
|
(6,861
|
)
|
|
$
|
(2,137
|
)
|
$
|
142
|
|
|
$
|
4,232
|
|
|
$
|
4,301
|
|
|
$
|
1,158
|
|
$
|
(6,057
|
)
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
(Percentages)
|
|
|
|
Pension Benefits
|
|
|
|
Discount rate
|
4.11/3.94
|
|
3.49/3.27
|
|
|
|
|
Other Postretirement Benefits
|
|
|
|
Discount rate
|
4.12
|
|
3.49
|
F- 45
|
|
Successor
|
Predecessor
|
||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
(Percentages)
|
|
|
|
|
|
|
Pension Benefits
|
|
|
|
|
|
|
Discount rate
|
3.82
|
|
3.77
|
|
3.39/3.95
|
4.59/3.80
|
Expected return on plan assets
|
5.3
|
|
6.2
|
|
6.85
|
6.85
|
|
|
|
|
|
|
|
Other Postretirement Benefits
|
|
|
|
|
|
|
Discount rate
|
3.49
|
|
3.85
|
|
3.37
|
4.57/3.80
|
F- 46
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||||||||||||||||||
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
||||||||||||||||
|
(In thousands)
|
||||||||||||||||||||||||||||||
Equity Securities:
(A)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
U.S. small-cap
|
$
|
2,751
|
|
|
$
|
4,692
|
|
|
$
|
2,751
|
|
|
$
|
4,692
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
U.S. mid-cap
|
1,182
|
|
|
6,017
|
|
|
1,182
|
|
|
6,017
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
U.S. large-cap
|
—
|
|
|
21,416
|
|
|
—
|
|
|
21,416
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
Non-U.S.
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
Fixed income securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
—
|
|
|||||||||||||||
U.S. government securities
(B)
|
43,829
|
|
|
66,922
|
|
|
38,436
|
|
|
60,286
|
|
|
5,393
|
|
|
6,636
|
|
|
—
|
|
|
—
|
|
||||||||
Non-U.S. government securities
(C)
|
2,092
|
|
|
4,050
|
|
|
—
|
|
|
—
|
|
|
2,092
|
|
|
4,050
|
|
|
—
|
|
|
—
|
|
||||||||
U.S. government asset and mortgage backed securities
(D)
|
7,667
|
|
|
2,440
|
|
|
—
|
|
|
—
|
|
|
7,667
|
|
|
2,440
|
|
|
—
|
|
|
—
|
|
||||||||
Corporate fixed income
(E)
|
68,762
|
|
|
54,679
|
|
|
—
|
|
|
—
|
|
|
68,762
|
|
|
54,679
|
|
|
—
|
|
|
—
|
|
||||||||
State and local government securities
(F)
|
3,480
|
|
|
3,829
|
|
|
—
|
|
|
—
|
|
|
3,480
|
|
|
3,829
|
|
|
—
|
|
|
—
|
|
||||||||
Other investments
(I)
|
5,223
|
|
|
8,457
|
|
|
—
|
|
|
—
|
|
|
5,223
|
|
|
8,457
|
|
|
—
|
|
|
—
|
|
||||||||
Total
|
$
|
134,986
|
|
|
$
|
172,502
|
|
|
$
|
42,369
|
|
|
$
|
92,411
|
|
|
$
|
92,617
|
|
|
$
|
80,091
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Assets at net asset value
(G)
|
82,765
|
|
|
84,172
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Short-term investments
(H)
|
7,003
|
|
|
8,573
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Other liabilities
(J)
|
(12,248
|
)
|
|
(9,605
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
|
$
|
212,506
|
|
|
$
|
255,642
|
|
|
|
|
|
|
|
|
|
|
|
|
|
F- 47
|
|
|
|
Other
|
||||
|
Pension
|
|
Postretirement
|
||||
|
Benefits
|
|
Benefits
|
||||
|
(In thousands)
|
||||||
2019
|
$
|
16,400
|
|
|
$
|
11,993
|
|
2020
|
17,363
|
|
|
12,125
|
|
||
2021
|
18,173
|
|
|
12,058
|
|
||
2022
|
18,532
|
|
|
12,253
|
|
||
2023
|
16,904
|
|
|
12,072
|
|
||
Next 5 years
|
73,508
|
|
|
57,896
|
|
||
|
$
|
160,880
|
|
|
$
|
118,397
|
|
|
Successor
|
Predecessor
|
||||||
|
Year Ended December 31, 2018
|
Year Ended December 31, 2017
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||
(In Thousands)
|
|
|
|
|
||||
Weighted average shares outstanding:
|
|
|
|
|
||||
Basic weighted average shares outstanding
|
19,663
|
|
23,725
|
|
25,002
|
|
21,293
|
|
Effect of dilutive securities
|
966
|
|
515
|
|
467
|
|
20
|
|
|
|
|
|
|
||||
Diluted weighted average shares outstanding
|
20,629
|
|
24,240
|
|
25,469
|
|
21,313
|
|
F- 48
|
|
Operating
|
|
|
||||
|
Leases
|
|
Royalties
|
||||
|
(In thousands)
|
||||||
2019
|
$
|
3,681
|
|
|
$
|
3,669
|
|
2020
|
2,260
|
|
|
8,096
|
|
||
2021
|
1,985
|
|
|
8,296
|
|
||
2022
|
2,024
|
|
|
8,086
|
|
||
2023
|
2,044
|
|
|
7,749
|
|
||
Thereafter
|
6,248
|
|
|
84,913
|
|
||
|
$
|
18,242
|
|
|
$
|
120,809
|
|
F- 49
|
|
Successor
|
Predecessor
|
||||||||||||
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
(In thousands)
|
|
|
|
|
|
|
||||||||
Europe
|
$
|
559,165
|
|
|
$
|
388,926
|
|
|
$
|
61,169
|
|
$
|
112,986
|
|
Asia
|
452,711
|
|
|
264,503
|
|
|
55,634
|
|
68,536
|
|
||||
Central and South America
|
79,085
|
|
|
30,982
|
|
|
13,224
|
|
41,861
|
|
||||
Africa
|
17,567
|
|
|
14,901
|
|
|
—
|
|
—
|
|
||||
Brokered Sales
|
2,372
|
|
|
3,150
|
|
|
—
|
|
—
|
|
||||
Total
|
$
|
1,110,900
|
|
|
$
|
702,462
|
|
|
$
|
130,027
|
|
$
|
223,383
|
|
F- 50
|
|
PRB
|
MET
|
Other
Thermal
|
Corporate,
Other and
Eliminations
|
Consolidated
|
||||||||||
|
(in thousands)
|
||||||||||||||
Year Ended December 31, 2018
|
|
|
|
|
|
||||||||||
North America revenues
|
$
|
971,337
|
|
$
|
160,969
|
|
$
|
195,547
|
|
$
|
13,034
|
|
$
|
1,340,887
|
|
Seaborne revenues
|
1,911
|
|
875,652
|
|
233,337
|
|
—
|
|
1,110,900
|
|
|||||
|
|
|
|
|
|
||||||||||
Total revenues
|
$
|
973,248
|
|
$
|
1,036,621
|
|
$
|
428,884
|
|
$
|
13,034
|
|
$
|
2,451,787
|
|
|
|
|
|
|
|
||||||||||
Year Ended December 31, 2017
|
|
|
|
|
|
||||||||||
North America revenues
|
$
|
1,024,197
|
|
$
|
312,874
|
|
$
|
269,007
|
|
$
|
16,083
|
|
$
|
1,622,161
|
|
Seaborne revenues
|
—
|
|
574,965
|
|
127,497
|
|
—
|
|
702,462
|
|
|||||
|
|
|
|
|
|
||||||||||
Total revenues
|
$
|
1,024,197
|
|
$
|
887,839
|
|
$
|
396,504
|
|
$
|
16,083
|
|
$
|
2,324,623
|
|
|
|
|
|
|
|
||||||||||
October 2 through December 31, 2016
|
|
|
|
|
|
||||||||||
North America revenues
|
$
|
275,703
|
|
$
|
91,086
|
|
$
|
76,646
|
|
$
|
2,226
|
|
$
|
445,661
|
|
Seaborne revenues
|
—
|
|
109,291
|
|
20,736
|
|
—
|
|
130,027
|
|
|||||
|
|
|
|
|
|
||||||||||
Total revenues
|
$
|
275,703
|
|
$
|
200,377
|
|
$
|
97,382
|
|
$
|
2,226
|
|
$
|
575,688
|
|
|
|
|
|
|
|
||||||||||
January 1 through October 1, 2016
|
|
|
|
|
|
||||||||||
North America revenues
|
$
|
726,747
|
|
$
|
215,585
|
|
$
|
211,153
|
|
$
|
21,841
|
|
$
|
1,175,326
|
|
Seaborne revenues
|
—
|
|
221,484
|
|
1,899
|
|
—
|
|
223,383
|
|
|||||
|
|
|
|
|
|
||||||||||
Total revenues
|
$
|
726,747
|
|
$
|
437,069
|
|
$
|
213,052
|
|
$
|
21,841
|
|
$
|
1,398,709
|
|
F- 51
|
F- 52
|
F- 53
|
(In thousands)
|
|
PRB
|
|
MET
|
|
Other Thermal
|
|
Corporate,
Other and
Eliminations
|
|
Consolidated
|
|||||||||||
Successor Year Ended
|
December 31, 2018
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Revenues
|
|
$
|
973,248
|
|
|
$
|
1,036,621
|
|
|
$
|
428,884
|
|
|
$
|
13,034
|
|
|
$
|
2,451,787
|
|
|
Adjusted EBITDAR
|
|
126,525
|
|
|
349,524
|
|
|
68,620
|
|
|
(106,891
|
)
|
|
437,778
|
|
||||||
Depreciation, depletion and amortization
|
|
33,120
|
|
|
69,560
|
|
|
14,699
|
|
|
2,184
|
|
|
119,563
|
|
||||||
Accretion on asset retirement obligation
|
|
19,541
|
|
|
1,874
|
|
|
2,261
|
|
|
4,294
|
|
|
27,970
|
|
||||||
Total Assets
|
|
278,314
|
|
|
545,061
|
|
|
125,333
|
|
|
938,352
|
|
|
1,887,060
|
|
||||||
Capital expenditures
|
|
12,140
|
|
|
64,307
|
|
|
11,999
|
|
|
6,826
|
|
|
95,272
|
|
||||||
Successor Year Ended
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Revenues
|
|
$
|
1,024,197
|
|
|
$
|
887,839
|
|
|
$
|
396,504
|
|
|
$
|
16,083
|
|
|
$
|
2,324,623
|
|
|
Adjusted EBITDAR
|
|
158,882
|
|
|
243,616
|
|
|
102,006
|
|
|
(84,807
|
)
|
|
419,697
|
|
||||||
Depreciation, depletion and amortization
|
|
36,349
|
|
|
70,896
|
|
|
13,588
|
|
|
1,631
|
|
|
122,464
|
|
||||||
Accretion on asset retirement obligation
|
|
20,160
|
|
|
2,000
|
|
|
2,161
|
|
|
5,888
|
|
|
30,209
|
|
||||||
Total assets
|
|
390,665
|
|
|
548,476
|
|
|
134,397
|
|
|
906,094
|
|
|
1,979,632
|
|
||||||
Capital expenditures
|
|
6,212
|
|
|
32,678
|
|
|
11,901
|
|
|
8,414
|
|
|
59,205
|
|
||||||
Successor Period
|
October 2 through December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Revenues
|
|
$
|
275,703
|
|
|
$
|
200,377
|
|
|
$
|
97,382
|
|
|
$
|
2,226
|
|
|
$
|
575,688
|
|
|
Adjusted EBITDAR
|
|
55,765
|
|
|
30,819
|
|
|
31,159
|
|
|
(23,278
|
)
|
|
94,465
|
|
||||||
Depreciation, depletion and amortization
|
|
9,949
|
|
|
18,287
|
|
|
3,911
|
|
|
457
|
|
|
32,604
|
|
||||||
Accretion on asset retirement obligation
|
|
5,049
|
|
|
528
|
|
|
540
|
|
|
1,517
|
|
|
7,634
|
|
||||||
Total assets
|
|
446,775
|
|
|
576,793
|
|
|
129,602
|
|
|
983,427
|
|
|
2,136,597
|
|
||||||
Capital expenditures
|
|
934
|
|
|
13,329
|
|
|
684
|
|
|
267
|
|
|
15,214
|
|
||||||
Predecessor Period
|
January 1 through October 1, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Revenues
|
|
|
$
|
726,747
|
|
|
$
|
437,069
|
|
|
$
|
213,052
|
|
|
$
|
21,841
|
|
|
$
|
1,398,709
|
|
Adjusted EBITDAR
|
|
113,185
|
|
|
11,851
|
|
|
31,448
|
|
|
(67,466
|
)
|
|
89,018
|
|
||||||
Depreciation, depletion and amortization
|
|
100,151
|
|
|
55,311
|
|
|
32,310
|
|
|
3,809
|
|
|
191,581
|
|
||||||
Accretion on asset retirement obligation
|
|
16,940
|
|
|
1,765
|
|
|
1,988
|
|
|
3,628
|
|
|
24,321
|
|
||||||
Total assets
|
|
456,711
|
|
|
619,154
|
|
|
131,173
|
|
|
916,791
|
|
|
2,123,829
|
|
||||||
Capital expenditures
|
|
612
|
|
|
17,296
|
|
|
3,895
|
|
|
60,631
|
|
|
82,434
|
|
F- 54
|
|
|
Successor
|
Predecessor
|
||||||||||||
(In thousands)
|
|
Year Ended December 31, 2018
|
|
Year Ended December 31, 2017
|
|
October 2 through December 31, 2016
|
January 1 through October 1, 2016
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Income before income taxes
|
|
$
|
260,101
|
|
|
$
|
203,195
|
|
|
$
|
34,605
|
|
$
|
1,237,455
|
|
Interest expense, net
|
|
13,689
|
|
|
24,256
|
|
|
10,754
|
|
133,235
|
|
||||
Depreciation, depletion and amortization
|
|
119,563
|
|
|
122,464
|
|
|
32,604
|
|
191,581
|
|
||||
Accretion on asset retirement obligations
|
|
27,970
|
|
|
30,209
|
|
|
7,634
|
|
24,321
|
|
||||
Amortization of sales contracts, net
|
|
11,107
|
|
|
53,985
|
|
|
796
|
|
(728
|
)
|
||||
Asset impairment and mine closure costs
|
|
—
|
|
|
—
|
|
|
—
|
|
129,267
|
|
||||
Gain on sale of Lone Mountain Processing, Inc.
|
|
—
|
|
|
(21,297
|
)
|
|
—
|
|
—
|
|
||||
Net loss resulting from early retirement of debt and debt restructuring
|
|
485
|
|
|
2,547
|
|
|
—
|
|
2,213
|
|
||||
Non-service related postretirement benefit costs
|
|
3,202
|
|
|
1,940
|
|
|
(32
|
)
|
1,715
|
|
||||
Reorganization items, net
|
|
1,661
|
|
|
2,398
|
|
|
759
|
|
(1,630,041
|
)
|
||||
Fresh start coal inventory fair value adjustment
|
|
—
|
|
|
—
|
|
|
7,345
|
|
—
|
|
||||
Adjusted EBITDAR
|
|
$
|
437,778
|
|
|
$
|
419,697
|
|
|
$
|
94,465
|
|
$
|
89,018
|
|
F- 55
|
|
Three Months Ended
|
||||||||||||||
Year Ended December 31, 2018
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
||||||||
|
|
|
|
|
|
|
|
||||||||
(In thousands, except per share data)
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Revenues
|
$
|
575,295
|
|
|
$
|
592,349
|
|
|
$
|
633,180
|
|
|
$
|
650,963
|
|
Gross profit
|
$
|
81,198
|
|
|
$
|
77,663
|
|
|
$
|
109,740
|
|
|
$
|
101,396
|
|
Income from operations
|
$
|
65,167
|
|
|
$
|
44,595
|
|
|
$
|
82,886
|
|
|
$
|
86,490
|
|
Reorganization items, net
|
$
|
(301
|
)
|
|
$
|
(740
|
)
|
|
$
|
(560
|
)
|
|
$
|
(60
|
)
|
Net income
|
$
|
59,985
|
|
|
$
|
43,306
|
|
|
$
|
123,192
|
|
|
$
|
86,094
|
|
Diluted income per common share
|
$
|
2.74
|
|
|
$
|
2.06
|
|
|
$
|
6.10
|
|
|
$
|
4.44
|
|
|
Three Months Ended
|
||||||||||||||
Year Ended December 31, 2017
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
||||||||
|
|
|
|
|
|
|
|
||||||||
(In thousands, except per share data)
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Revenues
|
$
|
600,975
|
|
|
$
|
549,866
|
|
|
$
|
613,538
|
|
|
$
|
560,244
|
|
Gross profit
|
$
|
86,707
|
|
|
$
|
63,150
|
|
|
$
|
66,145
|
|
|
$
|
63,460
|
|
Income from operations
|
$
|
66,985
|
|
|
$
|
42,924
|
|
|
$
|
73,310
|
|
|
$
|
51,117
|
|
Reorganization items, net
|
$
|
(2,828
|
)
|
|
$
|
(21
|
)
|
|
$
|
(43
|
)
|
|
$
|
494
|
|
Net income
|
$
|
51,668
|
|
|
$
|
37,160
|
|
|
$
|
68,351
|
|
|
$
|
81,271
|
|
Diluted income per common share
|
$
|
2.03
|
|
|
$
|
1.48
|
|
|
$
|
2.83
|
|
|
$
|
3.64
|
|
F- 56
|
|
|
|
Additions
|
|
|
|
|
|
|
||||||||||
|
|
|
(Reductions)
|
|
|
|
|
|
|
||||||||||
|
Balance at
|
|
Charged to
|
|
Charged to
|
|
|
|
Balance at
|
||||||||||
|
Beginning of
|
|
Costs and
|
|
Other
|
|
|
|
End of
|
||||||||||
|
Year
|
|
Expenses
|
|
Accounts
|
|
Deductions
(a)
|
|
Year
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Year Ended December 31, 2018
|
|
|
|
|
|
|
|
|
|
||||||||||
Reserves deducted from asset accounts:
|
|
|
|
|
|
|
|
|
|
||||||||||
Accounts receivable and other receivables
|
$
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
—
|
|
|||
Current assets — supplies and inventory
|
261
|
|
|
1,247
|
|
|
—
|
|
|
860
|
|
|
648
|
|
|||||
Deferred income taxes
|
610,571
|
|
|
(79,959
|
)
|
|
|
|
|
|
530,612
|
|
|||||||
Year Ended December 31, 2017
|
|
|
|
|
|
|
|
|
|
||||||||||
Reserves deducted from asset accounts:
|
|
|
|
|
|
|
|
|
|
||||||||||
Accounts receivable and other receivables
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Current assets — supplies and inventory
|
—
|
|
|
365
|
|
|
(17
|
)
|
(b)
|
87
|
|
|
261
|
|
|||||
Deferred income taxes
|
1,021,553
|
|
|
(410,982
|
)
|
|
—
|
|
|
—
|
|
|
610,571
|
|
|||||
October 2 through December 31, 2016
|
|
|
|
|
|
|
|
|
|
||||||||||
Reserves deducted from asset accounts:
|
|
|
|
|
|
|
|
|
|
||||||||||
Accounts receivable and other receivables
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Current assets — supplies and inventory
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Deferred income taxes
|
1,033,982
|
|
|
(12,429
|
)
|
|
|
|
|
—
|
|
|
1,021,553
|
|
|||||
Predecessor
|
|
|
|
|
|
|
|
|
|
||||||||||
January 1 through October 1, 2016
|
|
|
|
|
|
|
|
|
|
||||||||||
Reserves deducted from asset accounts:
|
|
|
|
|
|
|
|
|
|
||||||||||
Accounts receivable and other receivables
|
$
|
7,842
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
7,842
|
|
|
$
|
—
|
|
Current assets — supplies and inventory
|
5,991
|
|
|
844
|
|
|
(5,060
|
)
|
(c)
|
1,775
|
|
|
—
|
|
|||||
Deferred income taxes
|
1,135,399
|
|
|
(101,417
|
)
|
|
—
|
|
|
—
|
|
|
1,033,982
|
|
F- 57
|
Level
|
Liquidity
|
Loans
|
||
Base Rate
|
LIR
|
LIBOR
|
||
I
|
Less than or equal to $275,000,000
|
1.50%
|
2.50%
|
2.50%
|
II
|
Greater than $275,000,000
|
1.00%
|
2.00%
|
2.00%
|
|
|
|
|
|
|
By:
|
|
/s/ Fran X. Taglia
|
Name:
|
|
Fran X. Taglia
|
Title:
|
|
President & CEO
|
Date:
|
|
February 14, 2019
|
/s/ James N. Chapman
|
|
James N. Chapman
|
Chairman
|
/s/ Patrick J. Bartels, Jr.
|
|
Patrick J. Bartels, Jr.
|
Director
|
/s/ John W. Eaves
|
|
John W. Eaves
|
Director
|
/s/ Sherman Edmiston, III
|
|
Sherman Edmiston, III
|
Director
|
/s/ Patrick A. Kriegshauser
|
|
Patrick A. Kriegshauser
|
Director
|
/s/ Richard A. Navarre
|
|
Richard A. Navarre
|
Director
|
/s/ Scott D. Vogel
|
|
Scott D. Vogel
|
Director
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
(e)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
(f)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
|
/s/ John W. Eaves
|
|
John W. Eaves
|
|
Chief Executive Officer, Director
|
|
February 14, 2019
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
|
/s/ John T. Drexler
|
|
John T. Drexler
|
|
Senior Vice President and Chief Financial Officer
|
|
February 14, 2019
|
|
|
/s/ John W. Eaves
|
|
John W. Eaves
|
|
Chief Executive Officer, Director
|
|
February 14, 2019
|
|
(2)
|
information contained in the Periodic Report fairly presents, in all material respects, the financial condition and results of operations of Arch Coal, Inc.
|
|
/s/ John T. Drexler
|
|
John T. Drexler
|
|
Senior Vice President and Chief Financial Officer
|
|
February 14, 2019
|
|
Mine or Operating Name / MSHA Identification Number
|
Section 104 S&S Citations
(#)
|
Section 104(b) Orders
(#)
|
Section 104(d) Citations and Orders
(#)
|
Section 110(b)(2) Violations
(#)
|
Section 107(a) Orders
(#)
|
Total Dollar Value of MSHA Assessments Proposed
(in thousands)
($)
|
Total Number of Mining Related Fatalities
(#)
|
Received Notice of Pattern of Violations Under Section 104(e)
(Yes/No)
|
Received Notice of Potential to Have Pattern of Violations Under Section 104(e)
(Yes/No)
|
Legal Actions Initiated During Period
(#)
|
Legal Actions Resolved During Period
(#)
|
Legal Actions Pending as of Last Day of Period(1)
(#)
|
Active Operations
|
||||||||||||
Vindex Wolf Den Run /
18-00790
|
2
|
—
|
—
|
—
|
—
|
0.3
|
—
|
No
|
No
|
—
|
—
|
—
|
Beckley Pocahontas Mine /
46‑05252
|
97
|
—
|
7
|
—
|
—
|
563.2
|
—
|
No
|
No
|
28
|
22
|
16
|
Beckley Pocahontas Plant /
46‑09216
|
3
|
—
|
—
|
—
|
—
|
3.9
|
—
|
No
|
No
|
—
|
—
|
—
|
Coal Mac Holden #22 Prep Plant /
46‑05909
|
5
|
—
|
—
|
—
|
—
|
3.1
|
—
|
No
|
No
|
—
|
—
|
—
|
Coal Mac Ragland Loadout /
46‑08563
|
1
|
—
|
—
|
—
|
—
|
1.2
|
—
|
No
|
No
|
—
|
—
|
—
|
Coal Mac Holden #22 Surface /
46‑08984
|
7
|
1
|
—
|
—
|
—
|
15.9
|
—
|
No
|
No
|
—
|
—
|
—
|
Sentinel Mine /
46‑04168
|
57
|
—
|
—
|
—
|
—
|
113.4
|
1
|
No
|
No
|
2
|
2
|
—
|
Sentinel Prep Plant /
46‑08777
|
1
|
—
|
—
|
—
|
—
|
0.6
|
—
|
No
|
No
|
—
|
—
|
—
|
Mingo Logan Mountaineer II /
46‑09029
|
68
|
—
|
—
|
—
|
—
|
261.5
|
—
|
No
|
No
|
11
|
14
|
3
|
Mingo Logan Cardinal Prep Plant /
46‑09046
|
6
|
—
|
—
|
—
|
—
|
0.3
|
—
|
No
|
No
|
—
|
—
|
—
|
Mingo Logan Daniel Hollow /
46‑09047
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
No
|
No
|
—
|
—
|
—
|
Leer #1 Mine /
46‑09192
|
69
|
—
|
—
|
—
|
—
|
137.9
|
—
|
No
|
No
|
13
|
13
|
5
|
Arch of Wyoming Elk Mountain /
48‑01694
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
No
|
No
|
—
|
—
|
—
|
Black Thunder /
48‑00977
|
5
|
—
|
—
|
—
|
—
|
37.6
|
—
|
No
|
No
|
—
|
—
|
—
|
Coal Creek /
48‑01215
|
—
|
—
|
—
|
—
|
—
|
1.7
|
—
|
No
|
No
|
—
|
—
|
—
|
West Elk Mine /
05‑03672
|
17
|
1
|
—
|
—
|
1
|
87.8
|
—
|
No
|
No
|
—
|
—
|
—
|
Viper Mine /
11‑02664
|
21
|
—
|
—
|
—
|
—
|
46.7
|
—
|
No
|
No
|
—
|
—
|
—
|
Leer #1 Prep Plant /
46-09191
|
3
|
—
|
—
|
—
|
—
|
1.8
|
—
|
No
|
No
|
—
|
—
|
—
|
Wolf Run Mining – Sawmill Run
Prep Plant / 46-05544
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
No
|
No
|
—
|
—
|
—
|
Vindex Dobbin Ridge Prep Plant /
04607837
|
1
|
—
|
—
|
—
|
—
|
0.2
|
—
|
No
|
No
|
—
|
—
|
—
|
(1)
|
See table below for additional details regarding Legal Actions Pending as of December 31, 2018
|
Mine or Operating Name/MSHA Identification Number
|
Contests of Citations, Orders (as of December 31, 2018)
|
Contests of Proposed Penalties (as of December 31, 2018)
|
Complaints for Compensation (as of December 31, 2018)
|
Complaints of Discharge, Discrimination or Interference (as of December 31, 2018)
|
Applications for Temporary Relief (as of December 31, 2018)
|
Appeals of Judges’ Decisions or Orders (as of December 31, 2018)
|
Beckley Pocahontas Mine / 46-05252
|
9
|
7
|
—
|
—
|
—
|
—
|
Mingo Logan Mountaineer II / 46-09029
|
—
|
3
|
—
|
—
|
—
|
—
|
Leer #1 / 46‑09192
|
—
|
5
|
—
|
—
|
—
|
—
|