Exhibit 99.1
Condensed Consolidated Statements of Operations (Unaudited) | |||||||||||||||||
For the Quarters and Years Ended Dec. 31, 2016 and 2015 | |||||||||||||||||
(In Millions, Except Per Share Data) | |||||||||||||||||
Quarter Ended | Year Ended | ||||||||||||||||
Dec. | Dec. | Dec. | Dec. | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||||
Tons Sold | 51.7 | 57.9 | 186.8 | 228.8 | |||||||||||||
Revenues | $ | 1,440.8 | $ | 1,313.1 | $ | 4,715.3 | $ | 5,609.2 | |||||||||
Operating Costs and Expenses (1) | 1,126.4 | 1,233.3 | 4,107.6 | 5,007.7 | |||||||||||||
Depreciation, Depletion and Amortization | 119.9 | 141.6 | 465.4 | 572.2 | |||||||||||||
Asset Retirement Obligation Expenses | 4.5 | 5.1 | 41.8 | 45.5 | |||||||||||||
Selling and Administrative Expenses | 38.8 | 47.6 | 131.9 | 176.4 | |||||||||||||
Selling and Administrative Expenses Related to Debt Restructuring | — | — | 21.5 | — | |||||||||||||
Restructuring Charges | — | 0.5 | 15.5 | 23.5 | |||||||||||||
Other Operating (Income) Loss: | |||||||||||||||||
Net Gain on Disposal of Assets | (5.8 | ) | (24.8 | ) | (23.2 | ) | (45.0 | ) | |||||||||
Asset Impairment | 230.7 | 377.0 | 247.9 | 1,277.8 | |||||||||||||
(Income) Loss from Equity Affiliates: | |||||||||||||||||
Results of Operations (1) | (21.9 | ) | 3.5 | (8.7 | ) | 12.0 | |||||||||||
Change in Deferred Tax Asset Valuation Allowance | (6.9 | ) | (0.6 | ) | (7.5 | ) | (1.0 | ) | |||||||||
Amortization of Basis Difference | — | 0.7 | — | 4.9 | |||||||||||||
(Income) Loss from Equity Affiliates | (28.8 | ) | 3.6 | (16.2 | ) | 15.9 | |||||||||||
Operating Loss | (44.9 | ) | (470.8 | ) | (276.9 | ) | (1,464.8 | ) | |||||||||
Interest Income | (1.7 | ) | (1.1 | ) | (5.7 | ) | (7.7 | ) | |||||||||
Reorganization Items, Net | 33.9 | — | 159.0 | — | |||||||||||||
Interest Expense: | |||||||||||||||||
Interest Expense | 54.9 | 121.4 | 298.6 | 465.4 | |||||||||||||
Loss on Debt Extinguishment | 29.5 | — | 29.5 | 67.8 | |||||||||||||
Interest Expense | 84.4 | 121.4 | 328.1 | 533.2 | |||||||||||||
Loss from Continuing Operations Before Income Taxes | (161.5 | ) | (591.1 | ) | (758.3 | ) | (1,990.3 | ) | |||||||||
Income Tax Provision (Benefit) | 24.7 | (93.2 | ) | (84.0 | ) | (176.4 | ) | ||||||||||
Loss from Continuing Operations, Net of Income Taxes | (186.2 | ) | (497.9 | ) | (674.3 | ) | (1,813.9 | ) | |||||||||
(Loss) Income from Discontinued Operations, Net of Income Taxes | (13.1 | ) | 27.7 | (57.6 | ) | (175.0 | ) | ||||||||||
Net Loss | (199.3 | ) | (470.2 | ) | (731.9 | ) | (1,988.9 | ) | |||||||||
Less: Net Income (Loss) Attributable to Noncontrolling Interests | 4.4 | (0.8 | ) | 7.9 | 7.1 | ||||||||||||
Net Loss Attributable to Common Stockholders | $ | (203.7 | ) | $ | (469.4 | ) | $ | (739.8 | ) | $ | (1,996.0 | ) | |||||
Adjusted EBITDA (4) | $ | 303.3 | $ | 53.0 | $ | 492.2 | $ | 434.6 | |||||||||
Diluted EPS - Loss from Continuing Operations (2)(3) | $ | (10.42 | ) | $ | (27.28 | ) | $ | (37.30 | ) | $ | (100.34 | ) | |||||
Diluted EPS - Net Loss Attributable to Common Stockholders (2) | $ | (11.13 | ) | $ | (25.76 | ) | $ | (40.45 | ) | $ | (109.98 | ) | |||||
(1) | Excludes items shown separately. | ||||||||||||||||
(2) | Weighted average diluted shares outstanding were 18.3 million and 18.2 million for the quarters ended Dec. 31, 2016 and 2015, respectively, and 18.3 million and 18.1 million for the years ended Dec. 31, 2016 and 2015. | ||||||||||||||||
(3) | Reflects loss from continuing operations, net of income taxes less net income (loss) attributable to noncontrolling interests. | ||||||||||||||||
(4) | Adjusted EBITDA is defined as (loss) income from continuing operations before deducting net interest expense, income taxes, asset retirement obligation expense, depreciation, depletion and amortization and reorganization items, net. Adjusted EBITDA is also adjusted for the discrete items that management excluded in analyzing the segments' operating performance. Adjusted EBITDA is not intended to serve as an alternative to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures presented by other companies. | ||||||||||||||||
This information is intended to be reviewed in conjunction with the company's filings with the SEC. | |||||||||||||||||
1
Supplemental Financial Data (Unaudited) | ||||||||||||||||||
For the Quarters and Years Ended Dec. 31, 2016 and 2015 | ||||||||||||||||||
Quarter Ended | Year Ended | |||||||||||||||||
Dec. | Dec. | Dec. | Dec. | |||||||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||||||||
Revenue Summary (In Millions) | ||||||||||||||||||
Powder River Basin Mining Operations | $ | 411.1 | $ | 472.0 | $ | 1,473.3 | $ | 1,865.9 | ||||||||||
Midwestern U.S. Mining Operations | 192.9 | 213.0 | 792.5 | 981.2 | ||||||||||||||
Western U.S. Mining Operations | 139.0 | 155.4 | 526.0 | 682.3 | ||||||||||||||
Australian Metallurgical Mining Operations | 407.6 | 257.3 | 1,090.4 | 1,181.9 | ||||||||||||||
Australian Thermal Mining Operations | 263.5 | 208.3 | 824.9 | 823.5 | ||||||||||||||
Trading and Brokerage Operations | 21.7 | 0.1 | (10.9 | ) | 42.8 | |||||||||||||
Other | 5.0 | 7.0 | 19.1 | 31.6 | ||||||||||||||
Total | $ | 1,440.8 | $ | 1,313.1 | $ | 4,715.3 | $ | 5,609.2 | ||||||||||
Tons Sold (In Millions) | ||||||||||||||||||
Powder River Basin Mining Operations | 33.1 | 35.7 | 113.1 | 138.8 | ||||||||||||||
Midwestern U.S. Mining Operations | 4.5 | 4.6 | 18.3 | 21.2 | ||||||||||||||
Western U.S. Mining Operations | 3.7 | 4.2 | 13.7 | 17.9 | ||||||||||||||
Australian Metallurgical Mining Operations | 3.3 | 4.0 | 13.4 | 15.7 | ||||||||||||||
Australian Thermal Mining Operations | 5.5 | 5.1 | 21.3 | 20.1 | ||||||||||||||
Trading and Brokerage Operations | 1.6 | 4.3 | 7.0 | 15.1 | ||||||||||||||
Total | 51.7 | 57.9 | 186.8 | 228.8 | ||||||||||||||
Revenues per Ton - Mining Operations | ||||||||||||||||||
Powder River Basin | $ | 12.40 | $ | 13.23 | $ | 13.02 | $ | 13.45 | ||||||||||
Midwestern U.S. | 43.18 | 45.59 | 43.39 | 46.18 | ||||||||||||||
Western U.S. | 37.18 | 37.30 | 38.30 | 38.09 | ||||||||||||||
Australian Metallurgical | 124.94 | 64.63 | 81.41 | 75.04 | ||||||||||||||
Australian Thermal | 47.94 | 40.71 | 38.79 | 41.00 | ||||||||||||||
Operating Costs per Ton - Mining Operations (1) | ||||||||||||||||||
Powder River Basin | $ | 9.34 | $ | 9.64 | $ | 9.66 | $ | 9.97 | ||||||||||
Midwestern U.S. | 33.12 | 34.64 | 31.49 | 33.49 | ||||||||||||||
Western U.S. | 32.26 | 28.43 | 30.90 | 27.78 | ||||||||||||||
Australian Metallurgical | 92.84 | 68.65 | 82.63 | 76.20 | ||||||||||||||
Australian Thermal | 33.32 | 32.95 | 28.56 | 31.36 | ||||||||||||||
Gross Margin per Ton - Mining Operations (1) | ||||||||||||||||||
Powder River Basin | $ | 3.06 | $ | 3.59 | $ | 3.36 | $ | 3.48 | ||||||||||
Midwestern U.S. | 10.06 | 10.95 | 11.90 | 12.69 | ||||||||||||||
Western U.S. | 4.92 | 8.87 | 7.40 | 10.31 | ||||||||||||||
Australian Metallurgical | 32.10 | (4.02 | ) | (1.22 | ) | (1.16 | ) | |||||||||||
Australian Thermal | 14.62 | 7.76 | 10.23 | 9.64 | ||||||||||||||
Other Supplemental Financial Data (In Millions) | ||||||||||||||||||
Adjusted EBITDA - Powder River Basin Mining Operations | 101.6 | 128.2 | 379.9 | 482.9 | ||||||||||||||
Adjusted EBITDA - Midwestern U.S. Mining Operations | 44.9 | 51.1 | 217.3 | 269.7 | ||||||||||||||
Adjusted EBITDA - Western U.S. Mining Operations | 18.4 | 36.9 | 101.6 | 184.6 | ||||||||||||||
Adjusted EBITDA - Australian Metallurgical Mining Operations | 104.7 | (16.0 | ) | (16.3 | ) | (18.2 | ) | |||||||||||
Adjusted EBITDA - Australian Thermal Mining Operations | 80.4 | 39.7 | 217.6 | 193.6 | ||||||||||||||
Adjusted EBITDA - Trading and Brokerage | 18.2 | (3.4 | ) | (72.2 | ) | 27.0 | ||||||||||||
Adjusted EBITDA - Resource Management (2) | 7.7 | 14.9 | 19.0 | 32.2 | ||||||||||||||
Corporate Hedging Results | (43.2 | ) | (110.2 | ) | (241.0 | ) | (436.8 | ) | ||||||||||
Selling and Administrative Expenses | (38.8 | ) | (47.6 | ) | (131.9 | ) | (176.4 | ) | ||||||||||
Restructuring Charges | — | (0.5 | ) | (15.5 | ) | (23.5 | ) | |||||||||||
Other Operating Costs, Net (3) | 9.4 | (40.1 | ) | 33.7 | (100.5 | ) | ||||||||||||
Adjusted EBITDA | 303.3 | 53.0 | 492.2 | 434.6 | ||||||||||||||
Operating Cash Flows | 224.0 | 76.2 | (52.8 | ) | (14.4 | ) | ||||||||||||
Acquisitions of Property, Plant and Equipment | 70.0 | 49.9 | 126.6 | 126.8 | ||||||||||||||
Coal Reserve Lease Expenditures | — | 187.4 | 249.0 | 277.2 | ||||||||||||||
(1) | Includes revenue-based production taxes and royalties; excludes depreciation, depletion and amortization; asset retirement obligation expenses; selling and administrative expenses; restructuring charges; asset impairment; and certain other costs related to post-mining activities. Gross margin per ton is approximately equivalent to segment Adjusted EBITDA divided by segment tons sold. | |||||||||||||||||
(2) | Includes certain asset sales, property management costs and revenues, and coal royalty expense. | |||||||||||||||||
(3) | Includes (income) loss from equity affiliates (before the impact of related changes in deferred tax asset valuation allowance and amortization of basis difference), costs associated with post-mining activities, minimum charges on certain transportation-related contracts, and the Q1 2016 gain of $68.1 million recognized in connection with the settlement of all Patriot and UMWA claims associated with the Patriot bankruptcy. | |||||||||||||||||
This information is intended to be reviewed in conjunction with the company's filings with the SEC. |
2
Condensed Consolidated Balance Sheets | ||||||||
As of Dec. 31, 2016 and 2015 | ||||||||
(In Millions) | ||||||||
(Unaudited) | ||||||||
Dec. 31, 2016 | Dec. 31, 2015 | |||||||
Cash and Cash Equivalents | $ | 872.3 | $ | 261.3 | ||||
Restricted Cash | 54.3 | — | ||||||
Accounts Receivable, Net | 473.0 | 228.8 | ||||||
Inventories | 203.7 | 307.8 | ||||||
Deferred Income Taxes | — | 53.5 | ||||||
Other Current Assets | 487.3 | 471.1 | ||||||
Total Current Assets | 2,090.6 | 1,322.5 | ||||||
Property, Plant, Equipment and Mine Development, Net | 8,776.7 | 9,258.5 | ||||||
Deferred Income Taxes | — | 2.2 | ||||||
Investments and Other Assets | 910.4 | 363.7 | ||||||
Total Assets | $ | 11,777.7 | $ | 10,946.9 | ||||
Current Portion of Long-Term Debt | $ | 20.2 | $ | 5,874.9 | ||||
Accounts Payable and Accrued Expenses | 990.4 | 1,446.3 | ||||||
Other Current Liabilities | 1.2 | 15.6 | ||||||
Total Current Liabilities | 1,011.8 | 7,336.8 | ||||||
Long-Term Debt, Less Current Portion | — | 366.3 | ||||||
Deferred Income Taxes | 17.6 | 69.1 | ||||||
Other Noncurrent Liabilities | 1,970.3 | 2,256.2 | ||||||
Total Liabilities Not Subject to Compromise | 2,999.7 | 10,028.4 | ||||||
Liabilities Subject to Compromise | 8,440.2 | — | ||||||
Total Liabilities | 11,439.9 | 10,028.4 | ||||||
Stockholders' Equity | 337.8 | 918.5 | ||||||
Total Liabilities and Stockholders' Equity | $ | 11,777.7 | $ | 10,946.9 | ||||
This information is intended to be reviewed in conjunction with the company's filings with the SEC. | ||||||||
3
Reconciliation of Non-GAAP Financial Measures (Unaudited) | |||||||||||||||||
For the Quarters and Years Ended Dec. 31, 2016 and 2015 | |||||||||||||||||
(In Millions) | Quarter Ended | Year Ended | |||||||||||||||
Dec. | Dec. | Dec. | Dec. | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||||
Loss from Continuing Operations, Net of Income Taxes | $ | (186.2 | ) | $ | (497.9 | ) | $ | (674.3 | ) | $ | (1,813.9 | ) | |||||
Depreciation, Depletion and Amortization | 119.9 | 141.6 | 465.4 | 572.2 | |||||||||||||
Asset Retirement Obligation Expenses | 4.5 | 5.1 | 41.8 | 45.5 | |||||||||||||
Selling and Administrative Expenses Related to Debt Restructuring | — | — | 21.5 | — | |||||||||||||
Asset Impairment | 230.7 | 377.0 | 247.9 | 1,277.8 | |||||||||||||
Change in Deferred Tax Asset Valuation Allowance Related to Equity Affiliates | (6.9 | ) | (0.6 | ) | (7.5 | ) | (1.0 | ) | |||||||||
Amortization of Basis Difference Related to Equity Affiliates | — | 0.7 | — | 4.9 | |||||||||||||
Interest Income | (1.7 | ) | (1.1 | ) | (5.7 | ) | (7.7 | ) | |||||||||
Interest Expense | 54.9 | 121.4 | 298.6 | 465.4 | |||||||||||||
Loss on Debt Extinguishment | 29.5 | — | 29.5 | 67.8 | |||||||||||||
Reorganization Items, Net | 33.9 | — | 159.0 | — | |||||||||||||
Income Tax Provision (Benefit) | 24.7 | (93.2 | ) | (84.0 | ) | (176.4 | ) | ||||||||||
Adjusted EBITDA | $ | 303.3 | $ | 53.0 | $ | 492.2 | $ | 434.6 | |||||||||
This information is intended to be reviewed in conjunction with the company's filings with the SEC. |
4