Media Briefing on Major Developments in Patriot Bankruptcy Case

[Omaha Steve]

(I'm sorry I didn't get this posted before the start time)


Advisory for Monday 3-18 @ 11 am Central

Media Briefing on Major Developments in

Patriot Bankruptcy Case

Mine Workers President Cecil Roberts and Faith Leaders to Present Evidence of Exorbitant Legal Fees;

Discuss Company’s Demand for $7 million in Bonuses while Cutting Pay and Benefits for Active and Retired Workers


St. Louis – The United Mine Workers will host a media briefing this morning Monday, March 18, to discuss major new developments in the Patriot Coal bankruptcy case, which threatens health care benefits for thousands of retired miners and their families.

Who: UMWA International President Cecil Roberts

Kim Bobo, Director of Interfaith Worker Justice, Chicago

When: 11 a.m. Central Time (12 noon Eastern) Monday March 18th

Where: Lower Missouri Room, Crowne Plaza Hotel, 4th and Pine Streets, St. Louis. Call-in number for out-of- town media is: 866-285-7778, access code 4590156.

What: Detailed briefing in advance of critical hearing in Patriot Coal bankruptcy case, which will take place Monday at 1 pm at the U.S. Bankruptcy Court in St. Louis. Topics include:

· Patriot’s motion under Section 1113 and 1114 of the U.S. Bankruptcy Code, to impose severe wage and benefit cuts on active miners and to eliminate company-paid health care for retirees.



· UMWA’s objection to Patriot’s $7 million “Critical Employee Retention Plan” providing bonuses to executives while active and retired miners are facing pay and benefit cuts;



· Evidence of millions in exorbitant legal bills run up by Patriot’s law firm, Davis and Polk, including nearly $1,000-an-hour attorneys and $400 per hour paralegals;



· Announcement of Interfaith Worker Justice hearing and investigation on the impact of the retirement benefit cuts on seniors, families and communities in the coalfields.



“This is a whole new chapter in one of the most outrageous corporate crimes our members have ever seen,” said Roberts. “Peabody Energy spun off Patriot Coal and set it up to fail. Arch Coal did the same, and now all these well-paid executives want desperately sick retired miners to foot the bill.



“And now Patriot Coal is following through on the script Peabody and Arch wrote years ago, with these new demands to eliminate retiree health care and gut our contract,” Roberts said. “At the same time the company seeks to get approval for nearly $7 million in bonuses. I don’t know that I’ve ever seen a clearer demonstration of the 1% versus the rest of us.”



“People need to know what the impact of this action will be,” said Kim Bobo, Executive Director of Interfaith Workers Justice (IWJ), a network of faith leaders who assist working Americans all across the country. “What happens if retired miners who can barely breathe do not get the health care they worked for and were promised? What happens to their communities when the tens of millions of dollars that annually flow into the coalfields in retiree health care and pension benefits is cut off?



“These are critical questions,” said Bobo. “Our investigation will inform community leaders, faith leaders, politicians and the general public about the entire scope of what’s at stake here.”



Additional information about the UMWA campaign to preserve health care benefits is at FairnessAtPatriot.org.

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