Arab Today, arab today largest us coal miner peabody warns of bankruptcy
Last Updated : GMT 14:19:58
Arab Today, arab today
Arab Today, arab today

Largest US coal miner Peabody warns of bankruptcy

Arab Today, arab today

Arab Today, arab today Largest US coal miner Peabody warns of bankruptcy

Around two dozen US coal companies have sought bankruptcy protection or closed in the past 3 years
Washington - AFP

Peabody Energy, the largest US coal miner, warned Wednesday that it may be forced to seek bankruptcy protection after missing a key debt payment.

Just two months after the number-two miner Arch Coal fell into bankruptcy, Peabody said that due to operating losses and negative cash flows, it risked falling into default on its loans.

The company said it had invoked a 30-day grace period on debt payments of $71 million due on Tuesday.

While that did not yet constitute a default, it said in a securities filing, with its $6.3 billion debt load at the end of 2015, "there exists substantial doubt whether we will be able to continue as a going concern."

"We may not have sufficient liquidity to sustain operations," the St. Louis, Missouri-based company said, adding: "We may need to voluntarily seek protection under Chapter 11 of the US Bankruptcy Code."

Peabody shares plunged 42.6 percent to $2.30 in opening trade on Wednesday. The shares were trading above $80 a year ago.

Peabody lost $2.04 billion last year on $5.6 billion in revenues, as both coal prices and volumes shipped sank.

The company, like the entire US coal industry, has been hit hard by the plunge in coal prices as energy users from power plants to steel factories turn away to more environmentally friendly, and also very cheap, natural gas and other alternatives.

It said it also faced stagnant economic growth in major international coal importers, and the rising costs of environmental regulations.

Around two dozen US coal companies have sought bankruptcy protection or closed in the past three years due to the fall in coal demand.

Peabody's financial weakness  has been well-known and the company has sought to lighten its current debt burden in talks with lenders.

At least one lender though has been urging the company to enter Chapter 11 bankruptcy for a court-supervised debt restructuring.
 

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today largest us coal miner peabody warns of bankruptcy Arab Today, arab today largest us coal miner peabody warns of bankruptcy

 



Arab Today, arab today
Arab Today, arab today Saudis await visitors but will they come?

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today Blind sheikh buried in Egypt

GMT 06:32 2017 Thursday ,23 February

Blind sheikh buried in Egypt
Arab Today, arab today Media host Mona Iraqi stresses her show's success

GMT 15:32 2017 Wednesday ,22 February

Media host Mona Iraqi stresses her show's success
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today To hold social dialogue over secondary school

GMT 07:43 2017 Wednesday ,22 February

To hold social dialogue over secondary school
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Salma Rashid happy for 'A Whisper of Love'

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 06:41 2017 Monday ,20 February

Janat pleased for issuing 'Good Morning'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 17:46 2017 Saturday ,18 February

Tourist guide reveals methods of tourist attractions

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 19:10 2017 Friday ,17 February

Hats, scarves add beauty to women
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday