Asset Impairment and Restructuring

12 Months Ended

Dec. 31, 2021

Asset Impairment and Restructuring

Asset Impairment and Restructuring

5. Asset impairment and restructuring

During the third quarter of 2020, the Company determined that indicators of impairment existed with respect to certain of its thermal long-lived assets. As a result, the Company recorded impairment charges of $51.8 million related to the Coal Creek Mine, $33.5 million related to the Viper Mine, $41.6 million related to the West Elk Mine, and $36.2 million related to the Company’s equity method investment in Knight Hawk Holdings, LLC.

In the fourth quarter of 2020, the Company recorded additional charges of $32.8 million related to the

Company’s Coal Creek Mine due to accelerating the mine closing date and the associated reclamation work to be

performed and $10.0 million related to a land lease obligation from a prior equity investment.

The Company recorded $13.4 million of employee severance expense related to a voluntary separation plan during the year ended December 31, 2020. During the first and second quarters of 2020, 254 employees from the Company’s thermal operations and the corporate staff accepted the voluntary separation package. No amounts related to the employee severance expense were incurred for year ended December 31, 2021. As of December 31, 2021, there were no indicators of impairment.