Segment Information

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company's reportable business segments are based on the major coal producing basins in which the Company operates and may include a number of mine complexes. The Company manages its coal sales by coal basin, not by individual mining complex. Geology, coal transportation routes to customers, regulatory environments and coal quality or type are characteristic to a basin, and, accordingly, market and contract pricing have developed by coal basin. Mining operations are evaluated based on adjusted EBITDA, 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; and the Appalachia (APP) segment, with operations primarily in West Virginia.  The “Other” category combines other operating segments and includes the Company’s coal mining operations in Colorado and Illinois.

Operating segment results for the three and six months endedJune 30,2016 and 2015 are presented below. The Company uses Adjusted EBITDA to assess the operating segments’ performance and to allocate resources. The Company’s management believes that Adjusted EBITDA presents a useful measure of the Company's ability to service existing debt and incur additional debt based on ongoing operations.  Corporate, Other and Eliminations includes 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. 

	PRB			APP			Other Operating Segments			Corporate, Other and Eliminations			Consolidated
	(in thousands)
Three Months Ended June 30, 2016
Revenues	$	207,735		$	170,940		$	41,623		$	—		$	420,298
Adjusted EBITDA	15,932			(5,963		)	595			(18,924		)	(8,360		)
Depreciation, depletion and amortization	30,145			19,422			8,110			782			58,459
Amortization of acquired sales contracts, net	76			(75		)	—			—			1
Capital expenditures	489			6,740			949			60,033			68,211
Three Months Ended June 30, 2015
Revenues	$	342,480		$	224,298		$	77,684		$	—		$	644,462
Adjusted EBITDA	56,654			11,427			7,456			(30,209		)	45,328
Depreciation, depletion and amortization	42,711			42,203			10,834			1,624			97,372
Amortization of acquired sales contracts, net	(761		)	(883		)	—			—			(1,644		)
Capital expenditures	4,425			7,948			1,668			62,440			76,481
Six Months Ended June 30, 2016
Revenues	$	430,857		$	344,558		$	72,989		$	—		$	848,404
Adjusted EBITDA	22,942			1,645			(2,732		)	(40,241		)	(18,386		)
Depreciation, depletion and amortization	62,905			41,751			16,043			1,459			122,158
Amortization of acquired sales contracts, net	30			(862		)	—			—			(832		)
Capital expenditures	499			10,369			2,910			60,359			74,137
Six Months Ended June 30, 2015
Revenues	$	733,686		$	447,737		$	140,044		$	—		$	1,321,467
Adjusted EBITDA	128,716			51,234			9,147			(61,997		)	127,100
Depreciation, depletion and amortization	87,072			90,930			20,889			3,355			202,246
Amortization of acquired sales contracts, net	(2,046		)	(2,988		)	—			—			(5,034		)
Capital expenditures	21,394			11,333			4,310			62,324			99,361

A reconciliation of adjusted EBITDA to consolidated loss before income taxes follows:

	Three Months Ended June 30,						Six Months Ended June 30,
	2016			2015			2016			2015
	(In thousands)
Adjusted EBITDA	$	(8,360	)	$	45,328		$	(18,386	)	$	127,100
Depreciation, depletion and amortization	(58,459		)	(97,372		)	(122,158		)	(202,246		)
Amortization of acquired sales contracts, net	(1		)	1,644			832			5,034
Asset impairment and mine closure costs	(43,701		)	(19,146		)	(129,221		)	(19,146		)
Interest expense, net	(44,340		)	(98,612		)	(87,653		)	(195,491		)
Nonoperating expenses	(21,271		)	(4,016		)	(27,359		)	(4,016		)
Loss before income taxes	$	(176,132	)	$	(172,174	)	$	(383,945	)	$	(288,765	)