Peabody Energy says it will miss debt payments, moves closer to bankruptcy
Source: Casper Star-Tribune
Benjamin Storrow 307-335-5344, Benjamin.Storrow@trib.com | Updated 30 sec ago
Peabody Energy said in financial filings Thursday {sic} it will miss two interest payments due this week, in a sign America's largest coal company may be headed toward bankruptcy.
The Missouri-based firm officially invoked a 30-day grace period on two separate credit lines. The interest payments total $71 million. The move mirrors a similar step taken by Arch Coal before it filed for Chapter 11 protection in January.
"As a result of operating losses and negative cash flows from operations and our election to exercise a 30-day grace period with respect to certain interest payments, together with other factors, including the possibility that a covenant default or other event of default could cause certain of our indebtedness to become immediately due and payable (after the expiration of any applicable grace period), we may not have sufficient liquidity to sustain operations and to continue as a going concern," Peabody wrote in a filing to the S.EC.
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Read more: http://trib.com/business/energy/peabody-energy-says-it-will-miss-debt-payments-moves-closer/article_c93db5c7-c054-5e5a-adae-221120fb8c35.html
Previously at DU:
Peabody reports $2 billion loss in 2015, as bankruptcy rumors swirl
= new reply since forum marked as read
"During its four decades of operation, the Black Mesa mine has been the epicenter of some of the most controversial debates around coal and water resource extraction on tribal lands.
"Residents, local grassroots organizations, as well as national environmental and social justice organizations, have called for the end of PWCC's mining practices at Black Mesa from the start. Others have argued just as vehemently to protect the revenues and employment the mine generates for the reservations.
"Hopi, Diné, and other Native organizations as well as non-native groups have been working together to bring attention to the local, regional, and national concerns over mining Black Mesa's water and coal..."
https://www.culturalsurvival.org/publications/cultural-survival-quarterly/united-states/black-mesa-controversy
