Derivatives (Tables)

6 Months Ended

Jun. 30, 2012

Derivatives [Abstract]

Schedule of Price Risk Derivatives

(Tons in thousands)
	2012	2013	2014	2015
Coal sales	3,821	3,517	3,240	720
Coal purchases	1,168	420	720	-

Disclosure Of Fair Value Of Derivatives

	June 30, 2012			December 31, 2011
Fair Value of Derivatives	Asset	Liability		Asset	Liability
(In thousands)	Derivative	Derivative		Derivative	Derivative
Derivatives Designated as Hedging Instruments
Heating oil — diesel purchases	$              -	$              -		$        8,997	$              -
Coal	5,156	(1,284)		1,109	-
Total	5,156	(1,284)		10,106	-
Derivatives Not Designated as Hedging Instruments
Heating oil — diesel purchases	5,534	-		-	-
Heating oil — fuel surcharges	1,310	-		1,797	-
Coal — held for trading purposes	37,492	(38,921)		15,505	(19,927)
Coal – risk management	56,125	(12,307)		14,855	(6,035)
Total	100,461	(51,228)		32,157	(25,962)
Total derivatives	105,617	(52,512)		42,263	(25,962)
Effect of counterparty netting	(45,422)	45,422		(18,134)	18,134
Net derivatives as classified in the balance sheets	$    60,195	$     (7,090)	$     53,105	$      24,129	$     (7,828)	$     16,301

		June 30,	December 31,
		2012	2011
Net derivatives as reflected on the balance sheets
Heating oil	Other current assets	$              6,844	$         10,794
Coal	Coal derivative assets	53,351	13,335
	Coal derivative liabilities	(7,090)	(7,828)
		$            53,105	$         16,301

Effects Of Derivatives On Measures Of Financial Performance

Derivatives used in Cash Flow Hedging Relationships (in thousands)
						Gains (Losses) Reclassified
		Gain (Loss) Recognized in OCI				from OCI into Income
		(Effective Portion)				(Effective Portion)
		2012		2011		2012		2011
Heating oil — diesel purchases	$	-	$	(6,337)	$	-	$	6,654	(2)
Coal sales		2,231		1,344		809		237	(1)
Coal purchases		(742)		97		-		—	(2)
Totals	$	1,489	$	(4,896)	$	809	$	6,891

No ineffectiveness or amounts excluded from effectiveness testing relating to the Company’s cash flow hedging relationships were recognized in the results of operations in the three month periods ended June 30, 2012 and 2011.

Derivatives Not Designated as Hedging Instruments (in thousands)
		Gain (Loss) Recognized
		2012		2011
Coal — unrealized	$	27,446	$	(374)	(3)
Coal — realized		8,671		147	(4)
Heating oil — diesel purchases		(22,509)		-	(4)
Heating oil — fuel surcharges	$	(2,599)	$	-	(4)

Location in Statement of Income:

(1) — Revenues

(2) — Cost of sales

(3) — Change in fair value of coal derivatives and coal trading activities, net

(4) — Other operating income, net

The effects of derivatives on measures of financial performance are as follows for the six month periods ended June 30:

Derivatives used in Cash Flow Hedging Relationships (in thousands)

						Gains (Losses) Reclassified from
		Gain (Loss) Recognized in OCI				OCI into Income
		(Effective Portion)				(Effective Portion)
		2012		2011		2012		2011
Heating oil — diesel purchases	$	-	$	7,921	$	-	$	9,824	(2)
Coal sales		4,724		2,750		1,010		324	(1)
Coal purchases		(944)		(779)		-		—	(2)
Totals	$	3,780	$	9,892	$	1,010	$	10,148

No ineffectiveness or amounts excluded from effectiveness testing relating to the Company’s cash flow hedging relationships were recognized in the results of operations in the three month periods ended June 30, 2012 and 2011.

Derivatives Not Designated as Hedging Instruments (in thousands)
		Gain (Loss) Recognized
		2012		2011
Coal — unrealized	$	34,998	$	(1,419)	(3)
Coal — realized		11,829		147	(4)
Heating oil — diesel purchases		(22,086)		-	(4)
Heating oil — fuel surcharges	$	(2,232)	$	-	(4)

Location in Statement of Income:

(1) — Revenues

(2) — Cost of sales

(3) — Change in fair value of coal derivatives and coal trading activities, net

(4) — Other operating income, net