Segment Information

9 Months Ended

Sep. 30, 2013

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

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 or type 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 WBIT segment, with operations in Colorado; the Appalachia (APP) segment, with operations in West Virginia, Kentucky, Maryland and Virginia.  The “Other” operating segment includes primarily the Company’s Illinois operations and ADDCAR.

Operating segment results for the three and nine months ended September 30,2013 and 2012 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. Corporate, Other and Eliminations includes these charges, as well as 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 operating segment results for the WBIT segment for all periods presented reflect only continuing operations, since Canyon Fuel results are classified as discontinued operations in the condensed consolidated statements of operations.

The asset amounts below represent an allocation of assets consistent with the basis used for the Company’s incentive compensation plans. 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. Goodwill is allocated to the respective reporting units, even though it may not be reflected in the subsidiaries’ financial statements. Asset balances for the WBIT segment as of September 30, 2012 include the Canyon Fuel assets. Prior year asset amounts have been restated to reflect a change in how certain unassigned coal reserves and goodwill amounts are presented.

	PRB			APP			WBIT		Other Operating Segments			Corporate, Other and Eliminations			Consolidated
	(in thousands)
Three months ended September 30, 2013
Revenues	$	420,521		$	263,188		$	78,022	$	29,538		$	—		$	791,269
Income (loss) from operations	20,694			(157,883		)	9,287		(9,231		)	(97,620		)	(234,753		)
Depreciation, depletion and amortization	46,619			46,529			9,436		2,523			1,216			106,323
Amortization of acquired sales contracts, net	(864		)	(2,691		)	—		987			—			(2,568		)
Asset impairment and mine closure costs	—			126,449			—		16,280			57,668			200,397
Capital expenditures	1,695			44,624			5,859		1,263			663			54,104
Three months ended September 30, 2012
Revenues	$	406,719		$	436,409		$	105,515	$	26,527		$	—		$	975,170
Income (loss) from operations	38,873			88,695			24,110		(1,298		)	(31,138		)	119,242
Depreciation, depletion and amortization	43,944			61,596			9,985		2,594			823			118,942
Amortization of acquired sales contracts, net	(589		)	(3,711		)	—		207			—			(4,093		)
Asset impairment and mine closure costs	—			(1,801		)	—		(210		)	(133		)	(2,144		)
Capital expenditures	5,620			77,772			13,510		3,640			1,353			101,895
Nine months ended September 30, 2013
Revenues	$	1,135,892		$	883,484		$	187,374	$	88,221		$	—		$	2,294,971
Income (loss) from operations	53,244			(190,278		)	23,766		(407		)	(208,788		)	(322,463		)
Depreciation, depletion and amortization	130,993			157,866			26,528		7,792			4,422			327,601
Amortization of acquired sales contracts, net	(3,004		)	(7,975		)	—		3,392			—			(7,587		)
Asset impairment and mine closure costs	—			126,449			—		16,280			78,150			220,879
Total assets	1,897,218			4,141,072			146,947		137,941			3,208,277			9,531,455
Capital expenditures	5,671			137,390			13,147		4,776			62,184			223,168
Nine months ended September 30, 2012
Revenues	$	1,130,408		$	1,409,776		$	272,359	$	88,549		$	—		$	2,901,092
Income (loss) from operations	94,163			(388,563		)	34,937		(3,757		)	(186,634		)	(449,854		)
Depreciation, depletion and amortization	122,298			210,789			29,894		9,704			1,946			374,631
Amortization of acquired sales contracts, net	(1,374		)	(21,658		)	—		471			—			(22,561		)
Asset impairment and mine closure costs	—			524,115			—		(437		)	(239		)	523,439
Total assets	2,234,941			4,130,273			676,057		169,981			2,724,602			9,935,854
Capital expenditures	15,399			222,177			42,761		8,153			15,478			303,968

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

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(In thousands)
Income (loss) from operations	$	(234,753	)	$	119,242		$	(322,463	)	$	(449,854	)
Interest expense	(95,624		)	(75,710		)	(285,454		)	(229,210		)
Interest and investment income	697			1,459			4,749			3,568
Other nonoperating expense	$	—		$	—		$	—		$	(19,042	)
Income (loss) from continuing operations before income taxes	$	(329,680	)	$	44,991		$	(603,168	)	$	(694,538	)