| BASIS OF PRESENTATION | 1. BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements include accounts of Westmoreland Coal Company (the "Company" or "WCC"), and its subsidiaries and controlled entities including those of Westmoreland Resource Partners, LP ("WMLP"). All intercompany transactions and accounts have been eliminated in consolidation. The consolidated financial statements of the Company have been prepared in accordance with United States Generally Accepted Accounting Principles (“GAAP”) and require the use of management’s estimates. The financial information contained in this Quarterly Report on Form 10-Q ("Quarterly Report") is unaudited, but reflects all adjustments which, in the opinion of management, are necessary for a fair presentation of the financial information for the periods shown. Such adjustments are of a normal recurring nature. Certain prior period amounts have been reclassified to conform to current period presentation. The results of operations for the nine months ended September 30, 2018 are not necessarily indicative of results to be expected for the year ending December 31, 2018 . These unaudited quarterly consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017 (" 2017 Form 10-K"). There were no changes to our significant accounting policies from those disclosed in the audited consolidated financial statements and notes to the consolidated financial statements thereto contained in our 2017 Form 10-K, except as described below in the section titled "Recently Issued Accounting Pronouncements." Filing Under Chapter 11 of the United States Bankruptcy Code On October 9, 2018 (the “Petition Date”), the Company and certain of its subsidiaries, including WMLP (collectively, the “Debtors”), filed voluntary petitions (the “Bankruptcy Petitions”) for relief under Chapter 11 of Title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Southern District of Texas (the “Bankruptcy Court”). The Company’s Canadian entities and Westmoreland Risk Management, Inc. ("WRMI") are excluded from the Bankruptcy Petitions. The Bankruptcy Court has entered an order granting the Debtors motion seeking to jointly administer all of the Debtors’ Chapter 11 cases (the “Chapter 11 Cases”) under the caption "In re Westmoreland Coal Company, et al." and case number 18-35672 (DJR). The Debtors will continue to operate their businesses as “debtors-in-possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court. For the duration of the Chapter 11 Cases, the Company’s operations and its ability to develop and execute its business plan are subject to risks and uncertainties associated with the Chapter 11 Cases. As a result of these risks and uncertainties, the Company’s assets, liabilities, officers and/or directors could be significantly different following the outcome of the Chapter 11 Cases, and the description of its operations, properties and capital plans included in these financial statements may not accurately reflect its operations, properties and capital plans following the Chapter 11 Cases. The Debtors have filed a series of first day motions with the Bankruptcy Court that seek authorization to continue to conduct their business without interruption, and the Bankruptcy Court has entered orders approving these motions on an interim basis. The Bankruptcy Court hearing to consider approval of these motions on a final basis is currently scheduled for November 13, 2018. These motions are designed primarily to minimize the effect of bankruptcy on the Debtors’ operations, customers and employees. The Company expects ordinary-course operations to continue substantially uninterrupted during and after the commencement of the Chapter 11 Cases. Employees should expect no change in their daily responsibilities and to be paid in the ordinary course of business. Restructuring Support Agreement In connection with its Chapter 11 filing, on October 9, 2018, the Company executed a restructuring support agreement (the “RSA”), with members of an ad hoc group of noteholders and lenders (the “Ad Hoc Group”) under (i) the Company’s senior secured 8.75% notes due 2022 (such notes, collectively, the “Prepetition First Lien Notes”) governed by that certain Indenture, dated as of December 16, 2014 (as amended, restated, supplemented or otherwise modified from time to time, the “Prepetition First Lien Notes Indenture”), by and among the Company, the guarantors named therein, and U.S. Bank National Association, as trustee and collateral agent, (ii) the Company’s Credit Agreement, dated as of December 16, 2014 (as amended, restated, supplemented or otherwise modified from time to time, the “Prepetition First Lien Credit Agreement”, and the loan governed thereby, the “Prepetition First Lien Term Loan”), by and among the Company, as borrower, the guarantors and lenders named therein and Wilmington Savings Fund Society, FSB, as agent, and (iii) the Terms of Bridge Loans, attached as Exhibit L to the Prepetition First Lien Credit Agreement, dated as of May 21, 2018, among the Company, Westmoreland San Juan, LLC and Prairie Mines & Royalty ULC, as borrowers, the guarantors and lenders named therein, and Wilmington Savings Fund Society, FSB, as administrative agent and collateral agent (as amended, restated, supplemented or otherwise modified from time to time, the “Prepetition Bridge Loan Agreement”). Pursuant to the terms of the RSA, and the Sale Term Sheet and Plan Term Sheet attached as exhibits thereto, the Company and the Ad Hoc Group have agreed on the principal terms of a Chapter 11 plan of reorganization pursuant to which the holders of the Prepetition First Lien Notes and Prepetition First Lien Term Loan will credit bid for and acquire the Company’s core assets and, in the event that any of the Company’s non-core assets (as set forth on a schedule to the Sale Term Sheet) are not acquired by a third party, to credit bid for and acquire such non-core assets. On October 25, 2018, the Debtors filed the proposed Chapter 11 plan contemplated by the RSA with the Bankruptcy Court. No date is currently set for the Bankruptcy Court to consider confirmation of the Chapter 11 plan, but pursuant to the RSA, the Bankruptcy Court order confirming the Chapter 11 Plan must be entered on or before February 14, 2019. The RSA contemplates the approval by the Bankruptcy Court of the DIP Credit Agreement described below under the heading “Debtor-in-Possession Financing.” The RSA includes an agreed timeline for the Chapter 11 Cases that, if met, would result in the Company closing on a qualified bid and/or confirming a Chapter 11 plan and emerging from bankruptcy on or before February 28, 2019. The proposed terms of the DIP Credit Agreement and the proposed terms of the plan of reorganization set forth in the RSA are to be effectuated through the Chapter 11 Cases and remain subject to Bankruptcy Court approval. Debtor-in-Possession Financing In connection with the Chapter 11 Cases, on October 9, 2018, the Debtors filed a motion (the “DIP Motion”) seeking, among other things, interim and final approval of debtor-in-possession financing on terms and conditions set forth in a proposed Debtor-in-Possession Credit Agreement (the “DIP Credit Agreement”) among the Company, as borrower, the financial institutions or other entities from time to time parties thereto, as lenders (the “DIP Lenders”), and Wilmington Savings Fund Society, FSB, as administrative agent and collateral agent (the “Agent”). The initial lenders under the DIP Credit Agreement are expected to be one or more of the lenders under the Prepetition Bridge Loan Agreement or the affiliates of such lenders. The DIP Credit Agreement, if approved by the Court as proposed, would contain the following terms: • a $110 million super-priority senior debtor-in-possession term loan ("DIP Loan"); • following approval by the Bankruptcy Court, proceeds of the DIP Credit Agreement could be used by the Debtors to (i) refinance approximately $90 million in outstanding principal obligations, as well as any accrued but unpaid interest, fees, expenses and other costs, under the Prepetition Bridge Loan Agreement, (ii) pay certain costs, fees and expenses related to the Chapter 11 Cases, (iii) make payments in respect of certain “adequate protection” obligations and (iv) fund working capital needs, capital improvements and expenditures of the Company and its subsidiaries, in all cases subject to the terms of the DIP Credit Agreement and applicable orders of the Bankruptcy Court; • the maturity date of the DIP Credit Agreement is expected to be the earlier to occur of: (i) May 21, 2019 (as such date may be extended under the DIP Credit Agreement), (ii) the date of termination in whole of all of the commitments thereunder, (iii) November 8, 2018, if the final order has not been entered into prior to the expiration of such date (or such later date, but no longer than 90 days following the entry of the interim order), (iv) the sale of all or substantially all of the assets of the Debtors pursuant to Section 363 or 1123 of the Bankruptcy Code, and (v) the date of substantial consummation of an acceptable reorganization plan pursuant to an order of the Bankruptcy Court; • interest would accrue at a rate per year equal to (i) with respect to Base Rate loans, the Base Rate plus 7.25% and (ii) with respect to LIBOR loans, the LIBOR Rate plus 8.25%; • the Company would be required to pay the following fees pursuant to the terms of the DIP Credit Agreement: – Agent Fees: Separately agreed upon between the Company and the Administrative Agent. – Exit Yield Enhancement Fee: Upon any repayment of any principal amount of the loans, a fee equal to 0.75% of such principal amount repaid. – Undrawn Commitment Fee: a fee equal to the undrawn amount under the DIP Credit Agreement multiplied by the LIBOR Rate plus 2.00%. • the obligations and liabilities of the Company under the DIP Credit Agreement would be secured by a valid, binding, continuing, enforceable, fully perfected first priority, senior priming lien on, and security interest in, all of the Collateral (as defined in the DIP Credit Agreement), including prepetition Collateral; and • the proposed debtor-in-possession financing would be subject to customary covenants, prepayment events, events of default and other provisions. On October 10, 2018, the Bankruptcy Court entered an order approving the Debtors’ entry into the DIP Credit Agreement on an interim basis, and the Debtors promptly closed the DIP Credit Agreement following the entry of this order. The Bankruptcy Court hearing to consider approval of the DIP Credit Agreement on a final basis is currently scheduled for November 13, 2018. The foregoing description of the DIP Credit Agreement does not purport to be complete and is qualified in its entirety by reference to the final, executed DIP Credit Agreement, as approved by the Bankruptcy Court. For periods subsequent to filing the Bankruptcy Petitions, the Company will apply the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") 852, Reorganizations , in preparing its consolidated financial statements. ASC 852 requires that the financial statements distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain revenues, expenses, realized gains and losses and provisions for losses that are realized or incurred in the bankruptcy proceedings will be recorded in a reorganization line item on the consolidated statements of operations. In addition, the pre-petition obligations that may be impacted by the bankruptcy reorganization process will be classified on the consolidated balance sheet as liabilities subject to compromise. These liabilities are reported at the amounts expected to be allowed by the Bankruptcy Court, which may differ from the ultimate settlement amounts. Ability to Continue as a Going Concern We have significant cash requirements to fund our debt obligations, ongoing heritage health benefit costs, pension contributions and corporate overhead expenses. Our consolidated cash and cash equivalents balance as of September 30, 2018 was $93.6 million . However, this balance includes cash and cash equivalents of $25.8 million at WMLP as of September 30, 2018 that are restricted and unavailable to WCC. The cash and cash equivalents at WMLP is governed as described in Note 7 - Debt And Lines Of Credit . Our consolidated cash and cash equivalents balance includes proceeds of the initial draw on our Bridge Loan, which pursuant to such transaction we negotiated Forbearances of certain of our debt covenants and restrictions from greater than 75% of our lenders and note holders under our Term Loan and 8.75% Notes, respectively, as described below and further described in Note 7 - Debt And Lines Of Credit . The significant risks and uncertainties related to the Company’s liquidity and Chapter 11 Cases described above raise substantial doubt about the Company’s ability to continue as a going concern. As such, the accompanying consolidated financial statements (unaudited) are prepared on a going concern basis and do not include any adjustments that might result from uncertainty about our ability to continue as a going concern, other than the reclassification of certain long-term debt to current debt and the related debt issuance costs to current liabilities and current assets, respectively. If the Company cannot continue as a going concern, adjustments to the carrying values and classification of its assets and liabilities and the reported amounts of income and expenses could be required and could be material. On May 21, 2018, we entered into the Bridge Loan agreement, as described further in Note 7 - Debt And Lines Of Credit , which provided an additional $110 million term loan, consisting of an initial funding of $90 million and an undrawn delayed draw funding of up to $20 million . Approximately $48.5 million of the initial $90 million in proceeds of the Bridge Loan was used to extinguish in full the Company’s Revolver and San Juan Loan. The remaining proceeds will be used to fund working capital. The extinguishment of the San Juan Loan has eliminated certain previous restrictions and now operating cash flows generated at the San Juan mine are available for use by the Company. The Bridge Loan has a maturity date of May 21, 2019. Concurrently with the execution of the Bridge Loan on May 21, 2018, the Company entered into a forbearance agreement with greater than 75% of note holders ("Supporting Note Holders") of the Company’s 8.75% Notes in which the Supporting Note Holders agreed to forbear from exercising certain rights and remedies under the Indenture or the related security documents until the earlier of a) September 30, 2018, or b) a termination event (as defined in such agreement) ("Note Forbearance"). Additionally, the Company entered into a fourth amendment to its Term Loan Credit Agreement, greater than 75% of the lenders thereunder ("Supporting Lenders") agreed to forbear from exercising certain rights and remedies under the Term Loan Credit Agreement or the related security documents until the earlier of a) September 30, 2018, or b) a termination event (as defined in such agreement) ("Term Loan Forbearance," and together with the Note Forbearance, the "Forbearances"). As of November 1, 2018 , the Company was in default under certain of its debt instruments. The Company’s filing of the Chapter 11 Cases described above constitutes an event of default that accelerated the Company’s obligations under its Term Loan and 8.75% Notes. Additionally, the filing of the Chapter 11 Cases constituted a “termination event” under the Forbearances. Other events of default, including cross-defaults, are present, including the receipt of a going concern explanatory paragraph from the Company’s independent registered public accounting firm on the Company’s consolidated financial statements. Under the Bankruptcy Code, the creditors under these debt agreements are stayed from taking any action against the Company as a result of an event of default. See Note 7 - Debt And Lines Of Credit for additional details about the Company’s debt. As disclosed in our Current Report on Form 8-K filed April 16, 2018, we received a notification of deficiency from the Listing Qualifications Department of the Nasdaq Stock Market (“Nasdaq”) based on the Company’s failure to pay certain fees required by Listing Rule 5250(f). Nasdaq has informed the Company that as a result of this deficiency, the Company will be delisted unless the Company appeals Nasdaq’s decision. We have not appealed Nasdaq’s decision, resulting in the suspension of trading of our common stock effective April 25, 2018, and formal delisting of our common stock on June 6, 2018. The Company’s common stock currently trades over-the-counter under the ticker symbol "WLBA." Recently Adopted Accounting Pronouncements In March 2017, the FASB issued Accounting Standards Update ("ASU") 2017-07, Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Cost (“new benefit cost standard”), which requires separate presentation of service costs and all other components of net benefit costs in the Consolidated Statements of Operations. Under this ASU, service cost is included in the same line item as other compensation costs arising from services rendered by employees during the period, with all other components of net benefit costs in the Consolidated Statements of Operations (unaudited) outside of Operating (loss) income . The amendments in this update require retrospective application. Prior to the adoption of the new benefit cost standard, the service cost portion of net periodic benefit cost from pension and postretirement medical benefit were presented in Cost of sales (exclusive of depreciation, depletion and amortization, shown separately) and Selling and administrative while the remaining components of net period benefit cost were included in Selling and administrative and Heritage health benefit expenses . The Company adopted the new benefit cost standard effective January 1, 2018, at which point all of the service cost portion of net periodic benefit cost from pension and postretirement medical benefit are presented in Cost of sales (exclusive of depreciation, depletion and amortization, shown separately) with the remaining components of net periodic benefit cost are presented in Other expense outside of Operating (loss) income . Refer to "Impacts to Previously Reported Results" below for the impact of adoption of the new benefit cost standard on our consolidated financial statements. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“new cash flows standard”), which requires all entities that have restricted cash or restricted cash equivalents to explain the changes during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents in the Consolidated Statements of Cash Flows. As a result, amounts generally described as restricted cash and restricted cash equivalents that are included in other financial statement captions of the Consolidated Balance Sheets should be included with cash and cash equivalents when reconciling the beginning of period and end of period total amounts shown on the Consolidated Statements of Cash Flows. The ASU should be adopted using a retrospective transition method to each period presented. The Company adopted the new cash flows standard effective January 1, 2018 and applied the ASU retrospectively to the periods presented in the Company's Consolidated Statements of Cash Flows (unaudited). Refer to “Impacts to Previously Reported Results” below for the impact of adoption of the new cash flows standard on our consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) (“new revenue standard”), which supersedes all previously existing revenue recognition guidance. Under this guidance, an entity should recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard allows for initial application to be performed retrospectively to each period presented or as a cumulative effect adjustment as of the date of adoption. During 2016, the FASB clarified the implementation guidance on principal versus agent, identifying performance obligations and licensing, practical expedients, and made technical corrections on various topics. The Company adopted the new revenue standard effective January 1, 2018 using the full retrospective method. Accordingly, certain prior period balances have been restated to reflect the financial results of the Company in accordance with the new standard. This includes the cumulative effect of the adoption reflected as an adjustment to the opening balance of Accumulated deficit for the earliest balance sheet period presented. As a result of the adoption of the new revenue standard, the timing of the recognition of revenue related to certain long-term coal supply agreements that contain provisions for future payments from customers to reimburse our costs incurred during final reclamation is accelerated as compared to the recognition pattern under the previous revenue standard. The contract asset created from the accelerated recognition of revenue related to customer payments related to final reclamation is classified as Unbilled revenues and Unbilled revenues, less current portion in the Consolidated Balance Sheets (unaudited). See Note 2 - Revenue for a more detailed description of accounting for customer payments related to final reclamation. Additionally, upon adoption of the new revenue standard we revised the recognition period of certain deferred revenues from customer up-front payments that were previously being amortized to revenue over the full term of their respective coal supply agreements. Under the new revenue standard, we concluded that these payments provided the customer with a material right for a period shorter in duration than the full term of the coal supply agreements. Refer to "Impacts to Previously Reported Results" below for the impact of adoption of the new revenue standard on our consolidated financial statements (unaudited). Impacts to Previously Reported Results The adoption of the new benefit cost standard, new cash flows standard and new revenue standard resulted in the following adjustments to previously reported results, with no change to the Consolidated Statement of Comprehensive Loss for the three months ended September 30, 2017: Consolidated Balance Sheet as of December 31, 2017 As Reported Adjustments for New Revenue Standard Additional Reclassifications As Adjusted (In thousands) Assets Current assets: Cash and cash equivalents $ 103,247 $ — $ — $ 103,247 Receivables: Trade 103,611 — (14,300 ) 89,311 Other 17,697 — — 17,697 Total receivables 121,308 — (14,300 ) 107,008 Inventories 106,795 — — 106,795 Unbilled revenues — 49,574 14,300 63,874 Other current assets 11,517 — — 11,517 Total current assets 342,867 49,574 — 392,441 Land, mineral rights, property, plant and equipment 1,665,740 — — 1,665,740 Less accumulated depreciation, depletion and amortization (923,905 ) — — (923,905 ) Net land, mineral rights, property, plant and equipment 741,835 — — 741,835 Advanced coal royalties 21,404 — — 21,404 Restricted investments, reclamation deposits and bond collateral 200,194 — — 200,194 Unbilled revenues, less current portion — 225,245 — 225,245 Investment in joint venture 27,763 — — 27,763 Other assets 55,036 — — 55,036 Total Assets $ 1,389,099 $ 274,819 $ — $ 1,663,918 Liabilities and Shareholders’ Deficit Current liabilities: Current installments of long-term debt $ 983,427 $ — $ — $ 983,427 Accounts payable and accrued expenses: Trade and other accrued liabilities 121,489 — — 121,489 Interest payable 22,840 — — 22,840 Production taxes 41,688 — — 41,688 Postretirement medical benefits 14,734 — — 14,734 Deferred revenue 5,068 (1,867 ) — 3,201 Asset retirement obligations 48,429 — — 48,429 Other current liabilities 9,401 — — 9,401 Total current liabilities 1,247,076 (1,867 ) — 1,245,209 Long-term debt, less current installments 64,980 — — 64,980 Postretirement medical benefits, less current portion 317,407 — — 317,407 Pension and SERP obligations, less current portion 43,585 — — 43,585 Deferred revenue, less current portion 1,984 (1,984 ) — — Asset retirement obligations, less current portion 426,038 — — 426,038 Other liabilities 31,477 — — 31,477 Total liabilities 2,132,547 (3,851 ) — 2,128,696 Shareholders’ deficit: Common stock of $0.01 par value: Authorized 30,000,000 shares; Issued and outstanding 18,771,643 shares at December 31, 2017 188 — — 188 Other paid-in capital 250,494 — — 250,494 Accumulated other comprehensive loss (160,525 ) 1,826 — (158,699 ) Accumulated deficit (829,107 ) 276,844 — (552,263 ) Total shareholders’ deficit (738,950 ) 278,670 — (460,280 ) Noncontrolling interests in consolidated subsidiaries (4,498 ) — — (4,498 ) Total deficit (743,448 ) 278,670 — (464,778 ) Total Liabilities and Shareholders' Deficit $ 1,389,099 $ 274,819 $ — $ 1,663,918 Consolidated Statement of Operations for the three months ended September 30, 2017 As Reported Adjustments for New Revenue Standard Adjustments for New Net Periodic Benefit Cost Standard As Adjusted (In thousands, except per share data) Revenues $ 358,011 $ 7,003 $ — $ 365,014 Cost, expenses and other: Cost of sales (exclusive of depreciation, depletion and amortization, shown separately) 280,012 — 299 280,311 Depreciation, depletion and amortization 38,066 — — 38,066 Selling and administrative 28,115 — (1,717 ) 26,398 Heritage health benefit expenses 3,349 — (2,305 ) 1,044 Loss on sale/disposal of assets 236 — — 236 Derivative gain (4,667 ) — — (4,667 ) Income from equity affiliates (1,355 ) — — (1,355 ) 343,756 — (3,723 ) 340,033 Operating income 14,255 7,003 3,723 24,981 Other (expense) income: Interest expense (30,017 ) — — (30,017 ) Interest income 1,012 — — 1,012 Loss on foreign exchange (1,739 ) 6 — (1,733 ) Other expense (3,251 ) — (3,723 ) (6,974 ) (33,995 ) 6 (3,723 ) (37,712 ) Loss before income taxes (19,740 ) 7,009 — (12,731 ) Income tax benefit (440 ) 184 — (256 ) Net loss (19,300 ) 6,825 — (12,475 ) Less net loss attributable to noncontrolling interest (78 ) — — (78 ) Net loss applicable to common shareholders $ (19,222 ) $ 6,825 $ — $ (12,397 ) Net loss per share applicable to common shareholders: Basic and diluted $ (1.03 ) $ 0.37 $ — $ (0.66 ) Weighted average number of common shares outstanding: Basic and diluted 18,742 — — 18,742 Consolidated Statement of Operations for the nine months ended September 30, 2017 As Reported Adjustments for New Revenue Standard Adjustments for New Net Periodic Benefit Cost Standard As Adjusted (In thousands, except per share data) Revenues $ 1,020,772 $ 18,569 $ — $ 1,039,341 Cost, expenses and other: Cost of sales (exclusive of depreciation, depletion and amortization, shown separately) 836,525 — 1,126 837,651 Depreciation, depletion and amortization 114,131 — — 114,131 Selling and administrative 88,706 — (5,406 ) 83,300 Heritage health benefit expenses 9,953 — (6,917 ) 3,036 Loss on sale/disposal of assets 202 — — 202 Derivative gain (6,571 ) — — (6,571 ) Income from equity affiliates (4,274 ) — — (4,274 ) 1,038,672 — (11,197 ) 1,027,475 Operating (loss) income (17,900 ) 18,569 11,197 11,866 Other (expense) income: Interest expense (89,388 ) — — (89,388 ) Interest income 2,942 — — 2,942 Loss on foreign exchange (3,391 ) 54 — (3,337 ) Other expense (793 ) — (11,197 ) (11,990 ) (90,630 ) 54 (11,197 ) (101,773 ) Loss before income taxes (108,530 ) 18,623 — (89,907 ) Income tax benefit (1,406 ) 376 — (1,030 ) Net loss (107,124 ) 18,247 — (88,877 ) Less net loss attributable to noncontrolling interest (715 ) — — (715 ) Net loss applicable to common shareholders $ (106,409 ) $ 18,247 $ — $ (88,162 ) Net loss per share applicable to common shareholders: Basic and diluted $ (5.70 ) $ 0.98 $ — $ (4.72 ) Weighted average number of common shares outstanding: Basic and diluted 18,672 — — 18,672 Consolidated Statement of Comprehensive Loss for the nine months ended September 30, 2017 As Reported Adjustments for New Revenue Standard As Adjusted (In thousands) Net loss $ (107,124 ) $ 18,247 $ (88,877 ) Other comprehensive income (loss) Pension and other postretirement plans: Amortization of accumulated actuarial gains and prior service costs, pension 1,765 — 1,765 Adjustments to accumulated actuarial gains and transition obligations, pension 189 — 189 Amortization of accumulated actuarial gains, transition obligations, and prior service costs, postretirement medical benefits 2,893 — 2,893 Tax effect of other comprehensive income (2,503 ) (386 ) (2,889 ) Foreign currency translation adjustment gains 17,455 — 17,455 Unrealized and realized gains on available-for-sale debt securities 1,474 — 1,474 Other comprehensive income, net of income taxes 21,273 (386 ) 20,887 Comprehensive loss (85,851 ) 17,861 (67,990 ) Less: Comprehensive loss attributable to noncontrolling interest (715 ) — (715 ) Comprehensive loss attributable to common shareholders $ (85,136 ) $ 17,861 $ (67,275 ) Consolidated Statement of Cash Flows for the nine months ended September 30, 2017 As Reported Adjustments for New Revenue Standard Adjustments for New Cash Flows Standard As Adjusted (In thousands) Cash flows from operating activities: Net loss $ (107,124 ) $ 18,247 $ — $ (88,877 ) Adjustments to reconcile net loss to net cash provided by operating activities: Depreciation, depletion and amortization 114,131 — — 114,131 Accretion of asset retirement obligation 33,796 — — 33,796 Share-based compensation 3,846 — — 3,846 Non-cash interest expense 6,981 — — 6,981 Amortization of deferred financing costs 8,183 — — 8,183 Gain on derivative instruments (6,571 ) — — (6,571 ) Loss on foreign exchange 3,391 (54 ) — 3,337 Income from equity affiliates (4,274 ) — — (4,274 ) Distributions from equity affiliates 4,970 — — 4,970 Deferred income tax benefit (1,374 ) 376 — (998 ) Other 3,341 — — 3,341 Changes in operating assets and liabilities: Receivables (1,223 ) — — (1,223 ) Inventories 19,713 — — 19,713 Accounts payable and accrued expenses (26,965 ) — — (26,965 ) Interest payable (7,165 ) — — (7,165 ) Deferred revenue (7,475 ) 1,390 — (6,085 ) Unbilled revenues — (19,959 ) — (19,959 ) Other assets and liabilities 17,977 — — 17,977 Asset retirement obligations (33,004 ) — — (33,004 ) Net cash provided by operating activities 21,154 — — 21,154 Cash flows from investing activities: Additions to property, plant and equipment (25,365 ) — — (25,365 ) Proceeds from sales of restricted investments 33,686 — — 33,686 Purchases of restricted investments (37,945 ) — (649 ) (38,594 ) Cash payments related to acquisitions and other (3,580 ) — — (3,580 ) Proceeds from sales of assets 774 — — 774 Receipts from loan and lease receivables 50,488 — — 50,488 Other (1,384 ) — — (1,384 ) Net cash provided by investing activities 16,674 — (649 ) 16,025 Cash flows from financing activities: Repayments of long-term debt (64,078 ) — — (64,078 ) Borrowings on revolving lines of credit 236,100 — — 236,100 Repayments on revolving lines of credit (225,560 ) — — (225,560 ) Other (550 ) — — (550 ) Net cash used in financing activities (54,088 ) — — (54,088 ) Effect of exchange rate changes on cash 321 — — 321 Net decrease in cash and cash equivalents, including restricted cash (15,939 ) — (649 ) (16,588 ) Cash and cash equivalents, including restricted cash, beginning of period 60,082 — 69,533 129,615 Cash and cash equivalents, including restricted cash, end of period $ 44,143 $ — $ 68,884 $ 113,027 Supplemental disclosures of cash flow information: Cash paid for interest $ 81,478 $ — $ — $ 81,478 Non-cash transactions: Accrued purchases of property and equipment $ 3,508 $ — $ — $ 3,508 Capital leases and other financing sources 503 — — 503 Recently Issued Accounting Pronounceme |
