Segment Information

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company reports its results of operations primarily through the following reportable segments: Seaborne Thermal Mining, Seaborne Metallurgical Mining, Powder River Basin Mining, Other U.S. Thermal Mining and Corporate and Other. The Company’s chief operating decision maker, defined as its Chief Executive Officer, uses Adjusted EBITDA as the primary metric to measure the segments’ operating performance and allocate resources.

Adjusted EBITDA is a non-GAAP financial measure defined as income (loss) from continuing operations before deducting net interest expense, income taxes, asset retirement obligation expenses and depreciation, depletion and amortization. Adjusted EBITDA is also adjusted for the discrete items that management excluded in analyzing the segments’ operating performance, as displayed in the reconciliation below. Management believes non-GAAP performance measures are used by investors to measure the Company’s operating performance and lenders to measure the Company’s ability to incur and service debt. Adjusted EBITDA is not intended to serve as an alternative to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures presented by other companies.

Reportable segment results were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(Dollars in millions)
Revenue:
Seaborne Thermal Mining	$	354.9	$	194.1	$	606.1	$	370.5
Seaborne Metallurgical Mining	533.8		121.0		855.1		208.5
Powder River Basin Mining	229.7		248.6		480.9		477.0
Other U.S. Thermal Mining	224.9		162.1		428.0		311.4
Corporate and Other	(21.4)		(2.4)		(356.8)		7.3
Total	$	1,321.9	$	723.4	$	2,013.3	$	1,374.7
Adjusted EBITDA:
Seaborne Thermal Mining	$	176.8	$	71.4	$	267.3	$	99.9
Seaborne Metallurgical Mining	299.7		(26.4)		480.7		(48.8)
Powder River Basin Mining	(2.0)		45.5		5.6		75.6
Other U.S. Thermal Mining	61.9		44.3		111.9		80.5
Corporate and Other	41.4		(12.7)		39.8		(24.0)
Total	$	577.8	$	122.1	$	905.3	$	183.2

A reconciliation of consolidated income (loss) from continuing operations, net of income taxes to Adjusted EBITDA follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(Dollars in millions)
Income (loss) from continuing operations, net of income taxes	$	411.3	$	(23.0)	$	291.5	$	(100.7)
Depreciation, depletion and amortization	73.8		77.1		146.7		145.4
Asset retirement obligation expenses	12.7		15.1		27.7		31.0
Restructuring charges	0.2		2.1		1.8		4.2
Changes in deferred tax asset valuation allowance and reserves and amortization of basis difference related to equity affiliates	(0.6)		(0.5)		(1.2)		(2.0)
Interest expense	37.6		45.4		77.0		97.8
Net loss (gain) on early debt extinguishment	2.3		(11.8)		25.8		(15.3)
Interest income	(0.9)		(1.3)		(1.4)		(2.8)
Unrealized losses on derivative contracts related to forecasted sales	24.5		23.7		325.5		25.6
Unrealized losses on foreign currency option contracts	6.3		1.2		3.0		8.8
Take-or-pay contract-based intangible recognition	(0.7)		(1.1)		(1.4)		(2.2)
Income tax provision (benefit)	11.3		(4.8)		10.3		(6.6)
Adjusted EBITDA	$	577.8	$	122.1	$	905.3	$	183.2