XML 36 R28.htm IDEA: XBRL DOCUMENT v2.4.0.8
Derivatives (Tables)
 3 Months Ended
Mar. 31, 2014
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Price Risk Derivatives
At March 31, 2014, the Company held derivatives for risk management purposes that are expected to settle in the following years:
 
(Tons in thousands)
 
2014
 
2015
 
Total
Coal sales
 
3,991

 
1,380

 
5,371

Coal purchases
 
1,778

 
—

 
1,778
Disclosure Of Fair Value Of Derivatives
The fair value and location of derivatives reflected in the accompanying condensed consolidated balance sheets are as follows:
 
 
 
March 31, 2014
 
 
 
December 31, 2013
 
 
Fair Value of Derivatives
 
Asset
 
Liability
 
 
 
Asset
 
Liability
 
 
(In thousands)
 
Derivative
 
Derivative
 
 
 
Derivative
 
Derivative
 
 
Derivatives Designated as Hedging Instruments
 
 

 
 

 
 

 
 

 
 

 
 

Coal
 
$
1,101

 
$
(215
)
 
 

 
$
909

 
$
(26
)
 
 

 
 


 


 
 
 


 


 
 

Derivatives Not Designated as Hedging Instruments
 
 

 
 

 
 

 
 

 
 

 
 

Heating oil -- diesel purchases
 
2,683

 
—

 
 

 
4,681

 
—

 
 

Heating oil -- fuel surcharges
 
152

 
—

 
 

 
422

 
—

 
 

Coal -- held for trading purposes
 
75,886

 
(67,944
)
 
 

 
55,327

 
(45,763
)
 
 

Coal -- risk management
 
4,543

 
(1,453
)
 
 

 
6,342

 
(1,950
)
 
 

Natural gas
 
398

 
—

 
 
 
—

 
—

 
 
Total
 
83,662

 
(69,397
)
 
 

 
66,772

 
(47,713
)
 
 

Total derivatives
 
84,763

 
(69,612
)
 
 

 
67,681

 
(47,739
)
 
 

Effect of counterparty netting
 
(69,612
)
 
69,612

 
 

 
(47,727
)
 
47,727

 
 

Net derivatives as classified in the balance sheets
 
$
15,151

 
$
—

 
$
15,151

 
$
19,954

 
$
(12
)
 
$
19,942

 
 
 
 
 
March 31, 2014
 
December 31, 2013
Net derivatives as reflected on the balance sheets
 
 
 
2835

 
 

Heating oil
 
Other current assets
 
$
2,835

 
$
5,103

Coal
 
Coal derivative assets
 
12,316

 
14,851

 
 
Accrued expenses and other current liabilities
 
—

 
(12
)
 
 
 
 
$
15,151

 
$
19,942
Effects Of Derivatives On Measures Of Financial Performance
The effects of derivatives on measures of financial performance are as follows:
 
Derivatives used in Cash Flow Hedging Relationships (in thousands)
For the Three Months Ended March 31,  
 
 
Gain (Loss) Recognized in Other Comprehensive Income(Effective Portion)
 
Gains (Losses) Reclassified from Other Comprehensive Income into Income
(Effective Portion)
 
 
2014
 
2013
 
2014
 
2013
Coal sales
(1) 
$
(515
)
 
$
(176
)
 
$
706

 
$
1,221

Coal purchases
(2) 
589

 
(182
)
 
(404
)
 
(362
)
Totals
 
$
74

 
$
(358
)
 
$
302

 
$
859

 
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 March 31, 2014 and 2013.  
 
Derivatives Not Designated as Hedging Instruments (in thousands)
For the Three Months Ended March 31,
 
 
Gain (Loss) Recognized
 
 
2014
 
2013
Coal — unrealized
(3) 
$
(1,302
)
 
$
1,470

Coal — realized
(4) 
$
2,879

 
$
9,217

Natural gas  — unrealized
(3) 
$
8

 
$
—

Heating oil — diesel purchases
(4) 
$
(2,963
)
 
$
(4,261
)
Heating oil — fuel surcharges
(4) 
$
(254
)
 
$
(565
)
 
 
 
 
 
____________________________________________________________
Location in statement of operations:
(1) — Revenues
(2) — Cost of sales
(3) — Change in fair value of coal derivatives and coal trading activities, net
(4) — Other operating income, net