Segment Information

12 Months Ended

Dec. 31, 2011

Segment Information [Abstract]

Segment Information

24.  Segment Information

The Company has three reportable business segments, which are based on the major coal producing basins in which the Company operates. Each of these reportable business segments includes a number of mine complexes. The Company manages its coal sales by coal basin, not by individual mine complex. Geology, coal transportation routes to customers, regulatory environments and coal quality are characteristic to a basin. Accordingly, market and contract pricing have developed by coal basin. Mine operations are evaluated based on their per-ton operating costs (defined as including all mining costs but excluding pass-through transportation expenses), as well as on other non-financial measures, such as safety and environmental performance. The Company's reportable segments are the Powder River Basin (PRB) segment, with operations in Wyoming; the Western Bituminous (WBIT) segment, with operations in Utah, Colorado and southern Wyoming; the Appalachia (APP) segment, with operations in West Virginia, Kentucky, Maryland and Virginia. The Appalachia segment includes the acquired ICG operations in Appalachia, as well as the Company's previous Central Appalachia segment. The "Other" operating segment represents primarily the Company's Illinois operations and ADDCAR subsidiary, which manufactures and sells its patented highwall mining system.

Operating segment results for the years ended December 31, 2011, 2010 and 2009 are presented below. Results for the reportable segments include all direct costs of mining, including all depreciation, depletion and amortization related to the mining operations, even if the assets are not recorded at the operating segment level. See discussion of segment assets below. Corporate, Other and Eliminations includes the change in fair value of coal derivatives and coal trading activities, net; corporate overhead; land management; other support functions; and the elimination of intercompany transactions.

The asset amounts below represent an allocation of assets used in the segments' cash-generating activities. The amounts in Corporate, Other and Eliminations represent primarily corporate assets (cash, receivables, investments, plant, property and equipment) as well as unassigned coal reserves, above-market acquired sales contracts and other unassigned assets.

	PRB	APP	WBIT		Other Operating Segments		Corporate, Other and Eliminations		Consolidated
	(In thousands)
December 31, 2011
Revenues	$  1,646,947	$  1,915,090		$  672,766		$   51,092		$                —		$  4,285,895
Income (loss) from operations	180,730	283,404		119,665		(4,685)		(165,538)		413,576
Total assets	2,307,783	4,740,723		681,393		581,040		1,903,020		10,213,959
Depreciation, depletion and amortization	171,693	203,759		81,235		7,876		2,024		466,587
Amortization of acquired sales contracts, net	19,458	(39,988)		—		(1,539)		—		(22,069)
Capital expenditures	110,999	217,435		66,356		28,243		117,903		540,936
December 31, 2010
Revenues	$  1,606,236	$  1,042,490		$  537,542		$                —		$               —		$  3,186,268
Income from operations	146,555	193,943		58,082		—		(74,596)		323,984
Total assets	2,295,786	706,624		677,611		—		1,200,748		4,880,769
Depreciation, depletion and amortization	185,218	97,764		80,497		—		1,587		365,066
Amortization of acquired sales contracts, net	35,606	—		—		—		—		35,606
Capital expenditures	38,142	70,839		65,470		—		140,206		314,657
December 31, 2009
Revenues	$  1,205,492	$      829,895		$  540,694		$                —		$                —		$  2,576,081
Income from operations	82,341	105,241		29,722		—		(93,590)		123,714
Total assets	2,421,917	734,309		687,873		—		996,497		4,840,596
Depreciation, depletion and amortization	127,378	88,409		83,781		—		2,040		301,608
Amortization of acquired sales contracts, net	19,934	—		(311)		—		—		19,623
Capital expenditures	58,275	48,673		67,299		—		148,903		323,150

A reconciliation of segment income from operations to consolidated income before income taxes follows:

	Year Ended December 31
	2011	2010	2009
	(In thousands)
Income from operations	$    413,576	$    323,984	$  123,714
Interest expense	(230,186)	(142,549)	(105,932)
Interest income	3,309	2,449	7,622
Bridge financing costs related to ICG	(49,490)	—	—
Loss on early extinguishment of debt	(1,958)	(6,776)	—
Income before income taxes	$      135,251	$      177,108	$     25,404