Derivatives (Tables)

9 Months Ended

Sep. 30, 2020

Derivatives

Schedule of Price Risk Derivatives

(Tons in thousands)	2020	2021	Total
Coal sales	255	33	288
Coal purchases	238	—	238

Disclosure of Fair Value of Derivatives

	September 30, 2020						December 31, 2019
Fair Value of Derivatives	Asset		Liability				Asset		Liability
(In thousands)	Derivative		Derivative				Derivative		Derivative
Derivatives Designated as Hedging Instruments
Coal	$	453	$	(355)			$	1,351	$	(962)
Derivatives Not Designated as Hedging Instruments
Heating oil -- diesel purchases		105		—				133		(112)
Coal -- held for trading purposes		5,128		(4,965)				18,467		(18,940)
Coal -- risk management		4,736		(2,490)				11,662		(5,856)
Natural gas		—		—				3		—
Total	$	9,969	$	(7,455)			$	30,265	$	(24,908)
Total derivatives	$	10,422	$	(7,810)			$	31,616	$	(25,870)
Effect of counterparty netting		(7,757)		7,757				(25,759)		25,759
Net derivatives as classified in the balance sheets	$	2,665	$	(53)	$	2,612	$	5,857	$	(111)	$	5,746

		September 30,		December 31,
		2020		2019
Net derivatives as reflected on the balance sheets (in thousands)
Heating oil and coal	Other current assets	$	2,665	$	5,857
Coal	Accrued expenses and other current liabilities		(53)		(111)
		$	2,612	$	5,746

Effects of Derivatives on Measures of Financial Performance

Derivatives used in Cash Flow Hedging Relationships (in thousands)

Three Months Ended September 30,

		Gain (Loss) Recognized in Other Comprehensive Income				Gains (Losses) Reclassified from Other Comprehensive Income into Income
		2020		2019		2020		2019
Coal sales	(1)	$	(25)	$	225	$	(569)	$	2,963
Coal purchases	(2)		25		(34)		471		—
Totals		$	—	$	191	$	(98)	$	2,963

Derivatives Not Designated as Hedging Instruments (in thousands)

Three Months Ended September 30,

		Gain (Loss) Recognized
			2020		2019
Coal  trading — realized and unrealized	(3)	$	1	$	(127)
Coal risk management — unrealized	(3)		(2,650)		(1,417)
Natural gas  trading— realized and unrealized	(3)		—		14
Change in fair value of coal derivatives and coal trading activities, net total		$	(2,649)	$	(1,530)
Coal risk management— realized	(4)	$	2,593	$	3,216
Heating oil — diesel purchases	(4)	$	(184)	$	(1,670)

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) expense, net

Derivatives used in Cash Flow Hedging Relationships (in thousands)

Nine Months Ended September 30,

		Gain (Loss) Recognized in Other Comprehensive Income				Gains (Losses) Reclassified from Other Comprehensive Income into Income
		2020		2019		2020		2019
Coal sales	(1)	$	574	$	9,472	$	(1,471)	$	5,750
Coal purchases	(2)		(570)		(940)		1,177		(686)
Totals		$	4	$	8,532	$	(294)	$	5,064

Derivatives Not Designated as Hedging Instruments (in thousands)

Nine Months Ended September 30,

		Gain (Loss) Recognized
		2020		2019
Coal trading— realized and unrealized	(3)	$	222	$	(1,228)
Coal risk management— unrealized	(3)		(3,561)		21,145
Natural gas trading — realized and unrealized	(3)		76		(66)
Change in fair value of coal derivatives and coal trading activities, net total		$	(3,263)	$	19,851
Coal risk management — realized	(4)	$	6,950	$	(2,076)
Heating oil — diesel purchases	(4)	$	(889)	$	(2,402)

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) expense, net