8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): September 11, 2012

SUNCOKE ENERGY, INC.

(Exact name of registrant as specified in its charter)

Delaware	001-35243	90-0640593
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)
1011 Warrenville Road, Suite 600 Lisle, Illinois		60532
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (630) 824-1000

N/A

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 7.01 Regulation FD Disclosure.

On September 11, 2012, representatives of SunCoke Energy, Inc. will participate in the KeyBanc 2012 Basic Materials & Packaging Conference in Boston, Massachusetts. Attached as Exhibit 99.1 are the slides that will be made available.

The information in this Current Report on Form 8-K being furnished pursuant to Items 7.01 and 9.01 shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, and is not incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits.

  (d)   Exhibits.

Exhibit No.	Exhibit
99.1	September 11, 2012 – KeyBanc Slides.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

SUNCOKE ENERGY, INC.
By:	/s/ Denise R. Cade
	Denise R. Cade
	Senior Vice President, General Counsel and Corporate Secretary

Date: September 11, 2012

EXHIBIT INDEX

Exhibit No.	Exhibit
99.1	September 11, 2012 – KeyBanc Slides.

EX-99.1

KeyBanc

2012 Basic Materials

& Packaging Conference

September 11, 2012

Exhibit 99.1

Safe Harbor Statement

Safe Harbor Statement

Some of the information included in this presentation contains “forward-looking statements”

(as defined in Section 27A of the

Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended). Such forward-looking

statements are based on management’s beliefs and assumptions and on information currently available. Forward-looking

statements include the information concerning SunCoke’s possible or assumed future results of operations, the planned Master

Limited Partnership, business strategies, financing plans, competitive position, potential growth opportunities, potential operating

performance improvements, the effects of competition and the effects of future legislation or regulations. Forward-looking

statements include all statements that are not historical facts and may be identified by the use of forward-looking terminology such

as the words “believe,”

“expect,”

“plan,”

“intend,”

“anticipate,”

“estimate,”

“predict,”

“potential,”

“continue,”

“may,”

“will,”

“should”

or the negative of these terms or similar expressions. Forward-looking statements involve risks, uncertainties and

assumptions. Actual results may differ materially from those expressed in these forward-looking statements. You should not put

undue reliance on any forward-looking statements.

In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, SunCoke has included in its

filings with the Securities and Exchange Commission cautionary language identifying important factors (but not necessarily all the

important factors) that could cause actual results to differ materially from those expressed in any forward-looking statement made

by SunCoke. For more information concerning these factors, see SunCoke's Securities and Exchange Commission filings.

All

forward-looking statements included in this presentation are expressly qualified in their entirety by such cautionary statements.

SunCoke does not have any intention or obligation to update publicly any forward-looking statement (or its associated cautionary

language) whether as a result of new information or future events or after the date of this presentation, except as required by

applicable law.

This presentation includes certain non-GAAP financial measures intended to supplement, not substitute for, comparable GAAP

measures. Reconciliations of non-GAAP financial measures to GAAP financial measures are provided in the Appendix at the end of

the presentation. Investors are urged to consider carefully the comparable GAAP measures and the reconciliations to those

measures provided in the Appendix, or on our website at www.suncoke.com.

KeyBanc 2012 Basic Materials Conference

2

Largest independent producer of

metallurgical coke in the Americas

Cokemaking business generates

~85% of Adjusted EBITDA

(1)

–

5.9 million tons of capacity in six facilities; five

in U.S. and one in Brazil

–

Four new plants since 2006 proves our ability

to permit, design, construct and start up

greenfield developments and work

internationally

–

Supply world class steelmakers: Arcelor

Mittal, US Steel and AK Steel

Coal mining operations represents

~15% of Adjusted EBITDA

(1)

–

2012 expected production of 1.6 million tons

–

114 million tons of primarily mid-vol.

metallurgical coal reserves in Virginia and

West Virginia

About SunCoke

About SunCoke

SunCoke

Cokemaking Capacity

(In thousands of tons)

KeyBanc 2012 Basic Materials Conference

3

(1)

For a definition and reconciliation of Adjusted EBITDA, please see the appendix.

2006

2007

2008

2009

2010

2011

Jewell Coke

(Virginia)

Indiana Harbor

(Indiana)

Haverhill I

(Ohio)

Vitória

(Brazil)

Haverhill II

(Ohio)

Granite City

(Illinois)

Middletown

(Ohio)

2,490

4,190

4,740

5,390

5,390

5,940

Blast Furnaces and Coke

Blast Furnaces and Coke

4

1 short ton

of hot metal (NTHM)

Top Gas

KeyBanc 2012 Basic Materials Conference

BEST IN CLASS in lbs/ST

BEST IN CLASS in lbs/ST

Iron

Iron

burden

burden

Iron ore/

Iron ore/

pellets

pellets

Scrap

Scrap

3100

3100

198

198

Flux

Flux

Limestone

Limestone

30

30

Fuel

Fuel

Coke

Coke

600

600

BEST IN CLASS in lbs/ST

BEST IN CLASS in lbs/ST

Fuel

Fuel

Nat Gas

Nat Gas

Coal

Coal

Most efficient blast

Most efficient blast

furnaces require

furnaces require

800-900 lbs/NTHM

800-900 lbs/NTHM

of fuel to produce

of fuel to produce

a ton of hot metal

a ton of hot metal

Blast furnaces are the most

Blast furnaces are the most

efficient and proven method of

efficient and proven method of

reducing iron oxides

reducing iron oxides

into liquid iron

into liquid iron

Coke is a vital material to

Coke is a vital material to

blast furnace steel making

blast furnace steel making

We believe stronger, larger

We believe stronger, larger

coke is becoming more

coke is becoming more

important as blast furnaces

important as blast furnaces

seek to optimize fuel needs

seek to optimize fuel needs

Up to

80-120

Up to

120-180

SunCoke’s Cokemaking Technology

SunCoke’s Cokemaking Technology

5

KeyBanc 2012 Basic Materials Conference

Our industry-leading cokemaking technology meets

U.S. EPA Maximum Achievable Control Technology (MACT) Standards

SunCoke’s Heat Recovery vs. By-Product Oven

SunCoke’s Heat Recovery vs. By-Product Oven

Pressurization

Negative pressure

Positive pressure

Air Emissions

Meets U.S. EPA MACT standards 

Potential for emission of hazardous

compounds

Power Generation

Cogenerates power

Power consuming process

Hazardous Inputs

None

Yes – sulfuric acid

Volatile Organic Compounds

Complete combustion

No combustion

Solid Wastes

No toxic solid wastes

Process produces toxic waste streams

SunCoke Heat Recovery             Traditional By-Product

6

KeyBanc 2012 Basic Materials Conference

SunCoke‘s Value Proposition

SunCoke‘s Value Proposition

Provide an assured supply of coke to steelmakers

Larger, stronger coke for improved blast furnace performance

Demonstrated sustained 15%-20% turndown

High quality coke with cheaper coal blends

Burn loss vs. by-product

Capital preservation and lower capacity cost per ton;

particularly relative to greenfield investment

Stringent U.S. regulatory environment

Power prices and reliability versus value of coke oven gas and

by-product "credits"

High Quality

& Reliable

Coke Supply

Turndown

Flexibility

Coal

Flexibility

Capital

Efficiency

& Flexibility

Environment

/Economic

Trade-offs

KeyBanc 2012 Basic Materials Conference

7

SunCoke’s Contract Proposition

SunCoke’s Contract Proposition

KeyBanc 2012 Basic Materials Conference

We deliver coke to customers through a competitive turnkey solution,

which produces a consistent stream of earnings

8

Capital Funding and Ownership

Permits and Approvals

Engineering, Procurement

& Construction

Plant Production and

Environmental Compliance

Reliable, High-Quality

Coke Supply

Take-Or-Pay

Fixed Fee

(Profit and Return on Capital)

Coal Cost Component

(Pass-Through)

Operating Cost Component

(Pass-Through)

Taxes, Transportation & Future

Environmental Costs

(Pass-Through)

What SunCoke Offers

Typical Key

Coke Contract Provisions

SunCoke

SunCoke

Energy

Energy

Customer

Customer

Q1 & Q2 2012 Earnings Overview

Results driven by strong Coke business

performance

–

Middletown startup has been a success

–

Continued improvement at Indiana Harbor

–

Strong operations at other facilities

Coal action plan progressing

–

Difficult demand/price environment

–

Taking action to reduce high cash

production costs

–

Achieved improved sequential quarter

performance

Strong liquidity position

–

Generated $66 million of free cash flow

(2)

in

first half 2012

–

Cash balance of $190 million and virtually

undrawn revolver of $150 million

(1)

For a definition and reconciliation of Adjusted EBITDA, please see the appendix.

(2)

For a definition and reconciliation of free cash flow, please see the appendix.

KeyBanc 2012 Basic Materials Conference

9

$26.6

$55.8

$37.7

$65.5

2011

2012

Q1

Q2

Adjusted EBITDA

(1)

(in millions)

$0.17

$0.24

$0.32

$0.32

2011

2012

Q1

Q2

Earnings Per Share

(diluted)

Domestic Coke Business Summary

Domestic Coke Business Summary

(Jewell Coke & Other Domestic Coke)

(Jewell Coke & Other Domestic Coke)

KeyBanc 2012 Basic Materials Conference

10

Domestic

Coke

Production

Domestic Coke Adjusted EBITDA

(1) 

Per Ton

(Tons in thousands)

($ in millions, except per ton amounts)

Strong  performance driven by Middletown, Indiana Harbor and other operations

/Ton

/Ton

/Ton

(3)

/Ton

(2)

Q2 '11

Q3 '11

Q4 '11

Q1 '12

Q2 '12

Jewell

Indiana Harbor

Haverhill

Granite City

Middletown

177 

179 

176 

174 

176 

301 

314 

309 

291 

299 

276 

293 

289 

286 

291 

168 

179 

172 

175 

177 

68 

142 

153 

922 

965 

1,014 

1,095 

1,068 

$ 39

$ 50

$ 34

$ 51

$ 57

($ 60)

($ 40)

($ 20)

$ 0

$ 20

$ 40

$ 60

$ 80

–

$10

$20

$30

$40

$50

$60

$70

$80

$90

Q2 '11

Q3 '11

Q4 '11

Q1 '12

Q2 '12

Jewell Coke Segment

Other Domestic Coke Segment

Adjusted EBITDA/ton

/ton

$11 

$14 

$11 

$15 

$13 

$25 

$34 

$21 

$40 

$49 

$36 

$48 

$32 

$55 

$61 

(1)

For a definition of EBITDA and Adjusted EBITDA/Ton and reconciliations, please see the appendix.

(2)

Includes Indiana Harbor contract billing adjustment of $6.0 million, net of NCI, and inventory

adjustment of $6.2 million, net of NCI, of which $3.1 million is attributable to Q3 2011.

(3)

Includes a $2.4 million, net of NCI, charge related to coke inventory reduction and a $1.3 million, net

of NCI,  lower cost or market adjustment on pad coal inventory and lower coal-to-coke yields related

to the startup at Middletown. 

Coal Mining Financial Summary

Coal Mining Financial Summary

KeyBanc 2012 Basic Materials Conference

11

(1)

For a definition and a reconciliation of Adjusted EBITDA, please see the appendix.

(2)

Average Sales Price is the weighted average sales price for all coal sales volumes, including sales to affiliates and sales to Jewell Coke.

(3)

Q4 2011 Adjusted EBITDA inclusive of Black Lung Liability charge of  $3.4 million and OPEB expense allocation of $1.8 million. 

Coal Sales, Production and Purchases

Cash production costs increasing in face of

difficult demand/price environment

Pricing up modestly, reflecting strong mid-vol.

pricing/volumes, offset by weak hi-vol. and thermal

pricing/volumes

Cash costs up $11/ton, reflecting decreased mix and

higher costs of hi-vol. and thermal production

Coal action plan implemented in Q1 2012

gaining traction

Focus on most productive mines to reduce costs

delivered sequential quarter improvement

Cash cost per ton at Jewell decreased from

$161  in Q1 2012 to $143 in Q2 2012

Jewell reject rates improved from 68% in Q1

2012 to 66% in Q2 2012

Expect further cash cost reductions for 2013

Intend to maintain cash neutral position in

2012

Reduced capital spending in line with outlook

Coal Mining Adjusted EBITDA

(1) 

and Avg. Sales

Price/Ton

(2)

($ in millions, except per ton amounts)

$11 

$9 

$2 

$7 

$9 

$162

$155

$159

$171

$167

$34 

$25 

$20 

$20 

$25 

$126 

$132 

$138 

$151 

$137 

Q2 '11

Q3 '11

Q4 '11(3)

Q1 '12

Q2 '12

Coal Adjusted EBITDA

Average Sales Price

Coal Adj EBITDA / ton

Coal Cash Cost / ton

Q2  '11

Q3  '11

Q4  '11

Q1  '12

Q2  '12

Coal Sales

334

371

363

373

365

Coal Producton

340

340

349

375

401

Purchased Coal

24

22

20

19

4

2012 Adjusted EBITDA

2012 Adjusted EBITDA

(1)

(1)

Outlook

Outlook

($ in millions)

KeyBanc 2012 Basic Materials Conference

12

(1)

For a definition of Adjusted EBITDA and reconciliation of Adjusted EBITDA, please see the appendix.

Strong U.S. cokemaking business expected to

drive increase in Adjusted EBITDA

(1)

in 2012

$141 

$250 -

$280 

$95 -

$110

$5 -

$15

$9 -

$14 

2011

Adjusted

EBITDA

Coke Business

Coal Mining

Corporate

Costs

2012 Adjusted

EBITDA

(1)

(1)

2012 Guidance

2012 Guidance

Metric

Expected 2012 Outlook

Adjusted EBITDA

(1)

$250 million –

$280 million

EPS* (at 22% tax rate)

$1.30 –

$1.65

Capital Expenditures

& Investments

Approximately $85 million

Free Cash Flow

(1)

$100 million +

Cash Tax Rate

10% –

15%

Effective Tax Rate

20% –

24%

Corporate Costs

$30 million –

$35 million

Coke Production

In excess of 4.3 million tons

Coal Production

Approximately 1.6 million tons

*Diluted

KeyBanc 2012 Basic Materials Conference

13

(1)

For a definition of Adjusted EBITDA and Free Cash Flow and their reconciliations, please see the appendix.

Strategies for Enhancing Shareholder Value

Strategies for Enhancing Shareholder Value

14

KeyBanc 2012 Basic Materials Conference

KeyBanc 2012 Basic Materials Conference

Source:  CRU, The Annual Outlook for Metallurgical Coke 2012.

Replace aging coke batteries operated by integrated steel producers

Source:  CRU, The Annual Outlook for Metallurgical Coke 2012

51% of coke capacity is at facilities >30 years old

Integrated

Integrated

Steel

Steel

Producers

Producers

63%

63%

SunCoke

18%

DTE

5%

Other Merchant

Other Merchant

& Foundry

& Foundry

6%

6%

Imports

Imports

8%

8%

Grow the Coke Business:

Grow the Coke Business:

U.S. and Canada

U.S. and Canada

15

Total 2011 Coke Demand: 19.5 million tons

9

37

27%

24%

SunCoke

U.S. &

Canada

(excl SXC)

30-40 years

40+ years

Aging Cokemaking Facilities

Average Age

%

of U.S. & Canada

coke production

U.S. & Canada Coke Supply

SunCoke believes it has the opportunity to displace higher cost coke imports

.

(US$/ton)

Source: Steel Business Briefing, 2012

(1)

Other Domestic Coke sales and other operating revenues less energy sales divided by

tons sold.

Grow the Coke Business:

Grow the Coke Business:

U.S. and Canada

U.S. and Canada

(1)

16

Source: CRU, Metallurgical Coke Market Outlook 2012

(Tons in millions)

KeyBanc 2012 Basic Materials Conference

Chinese Coke Price vs. Representative SunCoke Price

(1)

4.5 

4.8 

3.2 

5.2 

0.9 

2.0 

2.0 

2.0 

1.8 

1.6 

1.5 

1.7 

2005

2006

2007

2008

2009

2010

2011

2012E2013E2014E2015E2016E

Imports

SunCoke sales volumes

$250

$350

$450

Jan-09

Jan-10

Jan-11

Jan-12

SunCoke -

Other Domestic Coke

U.S. and Canada Coke Imports

Chinese Metallurgical Coke (FOB China port - adds $45 - $60/ton)

Coke Price Comparison

Coke Price Comparison

17

SunCoke’s coke is highly competitive on price,

quality and reliability versus imported coke

KeyBanc 2012 Basic Materials Conference

$529

Based on July 2012 prices

Representative

Delivered

Coke

Prices

-

$/ton

1

Includes approx. $50/ton freight and approx. $40/ton handling loss for shipping to Great Lakes region

2

Includes approx. $45/ton freight and approx. $30/ton handling loss for shipping to Great Lakes region

SunCoke Coke Price @ Spot Coal Price

SunCoke

Price

-

Contracted

Coal

Price

Differential

Chinese Coke Price

Chinese 40% Export Tax Premium (Tariff)

$348

$48

$331

$402

$127

Other Domestic Coke

Ukrainian

Coke (2)

Chinese

Coke (1)

$396

$331

Source:  World Price (DTC), Coke Market Report, CRU and  company estimates

Natural Gas in The Blast Furnace

Natural Gas in The Blast Furnace

Impact of Low Natural Gas Prices

•

Natural gas cannot completely replace

coke in blast furnace

–

We estimate natural gas and other

injectants can replace up to about 30%

–

The less coke used the more important

the coke’s quality

•

Alternative technologies take time to

implement, require significant capital

commitments and are energy intensive

•

Coke oven gases produced by

integrated steelmakers’

own coke

ovens is less valuable in low cost

natural gas environment, potentially

impacting steelmakers’

future

reinvest/rebuild decisions

Blast Furnace Fuel Pricing

18

Source:  CRU, SXC Analysis

US$/MMBtu

KeyBanc 2012 Basic Materials Conference

Grow the Coke Business:

Grow the Coke Business:

U.S. and Canada

U.S. and Canada

19

KeyBanc 2012 Basic Materials Conference

Permit a potential new

multi-customer

660k/TPY U.S. plant

SunCoke’s

North America

Strategy

Explore acquisition of

existing coke assets

U.S.  and Canada

Potential Coke Market 

Opportunity

Import displacement

and demand growth

Aging battery

replacement

Expected demand opportunity

by 2015

3

2

in millions of tons

5

Sources:  CRU, The Annual Outlook for

Metallurgical Coke 2011,  CIA World Factbook.

Grow the Coke Business:

Grow the Coke Business:

International -

International -

India

India

KeyBanc 2012 Basic Materials Conference

20

India

Steel/Coke

Market

Growing Steel

Market

Blast furnace to play a critical

role in growth

Coke supply

Deficit

Importing approximately           

2 million tons annually

Coke capacity investment lags

steel investment

Active

Merchant

Market

3.5 million tons merchant

production or 13% of total

17 active merchant

coke producers

Electric Power

Deficit

10% -

20% short power

Average wholesale price >$80

mwh (2x U.S. rate)

Projected

to

be

3rd

largest

steel

market by 2020

•

•

Committed to

Committed to

India entry

India entry

strategy

strategy

–

–

Discussing

Discussing

opportunities in

opportunities in

India

India

–

–

Targeting

Targeting

potential entry

potential entry

by early 2013

by early 2013

Master Limited Partnership

Master Limited Partnership

Filed S-1 on August 8, 2012

Expected Assets/Structure

–

At closing of offering, MLP will

own 60% interest in Haverhill

and Middletown

–

SXC to own General Partner,

incentive distribution rights and

a portion of the partnership

units

Proceeds to SXC

–

Expected uses will include paying

down debt, funding expansion

and other general corporate

purposes

Timing

–

Expect to close no sooner than

fourth quarter 2012

KeyBanc 2012 Basic Materials Conference

21

Middletown Operations

Haverhill Operations

Appendix

Definitions

•

Adjusted EBITDA

represents

earnings

before

interest,

taxes,

depreciation,

depletion

and

amortization

(“EBITDA”)

adjusted for sales discounts and the deduction of income attributable to non-controlling interests in our Indiana

Harbor

cokemaking

operations.

EBITDA

reflects

sales

discounts

included

as

a

reduction

in

sales

and

other

operating

revenue.

The

sales

discounts

represent

the

sharing

with

our

customers

of

a

portion

of

nonconventional

fuels

tax

credits,

which

reduce

our

income

tax

expense.

However,

we

believe

that

our

Adjusted

EBITDA

would

be

inappropriately penalized if these discounts were treated as a reduction of EBITDA since they represent sharing of a

tax benefit which is not included in EBITDA. Accordingly, in computing Adjusted EBITDA, we have added back these

sales

discounts.

Our

Adjusted

EBITDA

also

reflects

the

deduction

of

income

attributable

to

noncontrolling

interest

in

our Indiana Harbor cokemaking operations. EBITDA and  Adjusted EBITDA do not represent and should not be

considered alternatives to net income or operating income under United States generally accepted

accounting

principles

(GAAP)

and

may

not

be

comparable

to

other

similarly

titled

measures

of

other

businesses.

Management believes Adjusted EBITDA is an important measure of the operating performance of the Company’s

assets and is indicative of the Company’s ability to generate cash from operations.

•

Adjusted

EBITDA/Ton

represents

Adjusted

EBITDA

divided

by

tons

sold.

•

Free Cash Flow

equals cash from operations less cash used in investing activities less cash distributions to non-

controlling

interests.

Management

believes

Free

Cash

Flow

information

enhances

an

investor’s

understanding

of a

business’

ability to generate cash.  Free Cash Flow does not represent and should not be considered an alternative to

net

income

or

cash

flows

from

operating

activities

as

determined

under

GAAP

and

may

not

be

comparable

to

other

similarly titled measures of other businesses.

KeyBanc

2012 Basic Materials Conference

23

Reconciliations

KeyBanc 2012 Basic Materials Conference

24

$ in millions

Q2  2012

Q1  2012

FY  2011

Q4  2011

Q3  2011

Q2  2011

Q1  2011

Adjusted Operating Income

46.6

37.1

80.4

14.9

33.5

24.6

7.4

Net Income (Loss) attributable to Noncontrolling Interest

1.3

(0.3)

(1.7)

(0.5)

3.4

1.6

(6.2)

Subtract: Depreciation Expense

(20.2)

(18.4)

(58.4)

(16.0)

(14.7)

(14.7)

(13.0)

Adjusted EBITDA

65.5

55.8

140.5

31.4

44.8

37.7

26.6

Subtract: Depreciation, depletion and amortization

(20.2)

(18.4)

(58.4)

(16.0)

(14.7)

(14.7)

(13.0)

Subtract: Financing expense, net

(11.8)

(12.0)

(1.4)

(7.1)

(3.3)

4.5

4.5

Subtract: Income Tax

(7.0)

(5.3)

(7.2)

2.9

(5.1)

(1.9)

(3.1)

Subtract: Sales Discount

(3.8)

(3.2)

(12.9)

(3.2)

(3.5)

(3.1)

(3.1)

Add: Net Income attributable to NCI

1.3

(0.3)

(1.7)

(0.5)

3.4

1.6

(6.2)

Net Income

24.0

16.6

58.9

7.5

21.6

24.1

5.7

Reconciliations from Adjusted Operating Income and Adjusted EBITDA to Net Income

Reconciliations

KeyBanc 2012 Basic Materials Conference

25

$ in millions, except per ton data

Jewell Coke

Other

Domestic

Coke

International

Coke

Jewell Coal

Corporate

Combined

Domestic

Coke

Q2 2012

Adjusted EBITDA

12.5

48.6

0.7

9.3

(5.6)

65.5

61.1

Subtract: Depreciation, depletion and amortization

(1.3)

(13.7)

(0.1)

(4.3)

(0.8)

(20.2)

(15.0)

Add (Subtract): Net (Income) loss attributable

to noncontrolling interests

1.3

1.3

1.3

Adjusted Pre-Tax Operating Income

11.2

36.2

0.6

5.0

(6.4)

46.6

47.4

Adjusted EBITDA

12.5

48.6

0.7

9.3

(5.6)

65.5

61.1

Sales Volume (thousands of tons)

170

892

358

373

1,062

Adjusted EBITDA per Ton

73.5

54.5

2.0

24.9

57.5

Q1 2012

Adjusted EBITDA

15.0

40.1

0.1

7.4

(6.8)

55.8

55.1

Subtract: Depreciation, depletion and amortization

(1.3)

(12.6)

(0.1)

(4.1)

(0.3)

(18.4)

(13.9)

Add (Subtract): Net (Income) loss attributable

to noncontrolling interests

(0.3)

(0.3)

(0.3)

Adjusted Pre-Tax Operating Income

13.7

27.2

-

3.3

(7.1)

37.1

40.9

Adjusted EBITDA

15.0

40.1

0.1

7.4

(6.8)

55.8

55.1

Sales Volume (thousands of tons)

186

892

358

373

1,078

Adjusted EBITDA per Ton

80.6

45.0

0.3

19.8

51.1

Reconciliations from Adjusted EBITDA to Adjusted Pre-Tax Operating Income

Reconciliations

KeyBanc 2012 Basic Materials Conference

26

$ in millions, except per ton data

Jewell Coke

Other

Domestic

Coke

International

Coke

Jewell Coal

Corporate

Combined

Domestic

Coke

Q4 2011

Adjusted EBITDA

10.6

21.3

10.2

2.5

(13.2)

31.4

31.9

Subtract: Depreciation, depletion and amortization

(1.2)

(10.6)

(0.1)

(3.7)

(0.4)

(16.0)

(11.8)

Add (Subtract): Net (Income) loss attributable

to noncontrolling interests

(0.5)

(0.5)

(0.5)

Adjusted Pre-Tax Operating Income

9.4

10.2

10.1

(1.2)

(13.6)

14.9

19.6

Adjusted EBITDA

10.6

21.3

10.2

2.5

(13.2)

31.4

31.9

Sales Volume (thousands of tons)

166

837

295

363

1,003

Adjusted EBITDA per Ton

63.9

25.4

34.6

6.9

31.8

Q3 2011

Adjusted EBITDA

13.9

34.3

1.7

9.2

(14.3)

44.8

48.2

Subtract: Depreciation, depletion and amortization

(1.2)

(9.9)

-

(3.3)

(0.3)

(14.7)

(11.1)

Add (Subtract): Net (Income) loss attributable

to noncontrolling interests

3.4

3.4

3.4

Adjusted Pre-Tax Operating Income

12.7

27.8

1.7

5.9

(14.6)

33.5

40.5

Adjusted EBITDA

13.9

34.3

1.7

9.2

(14.3)

44.8

48.2

Sales Volume (thousands of tons)

191

777

373

371

968

Adjusted EBITDA per Ton

72.8

44.1

4.6

24.8

49.8

Reconciliations from Adjusted EBITDA to Adjusted Pre-Tax Operating Income

Reconciliations

KeyBanc 2012 Basic Materials Conference

27

$ in millions, except per ton data

Jewell Coke

Other

Domestic

Coke

International

Coke

Jewell Coal

Corporate

Combined

Domestic

Coke

Q2 2011

Adjusted EBITDA

10.6

25.3

0.8

11.5

(10.5)

37.7

35.9

Subtract: Depreciation, depletion and amortization

(1.4)

(9.6)

(0.1)

(3.2)

(0.4)

(14.7)

(11.0)

Add (Subtract): Net (Income) loss attributable

to noncontrolling interests

1.6

1.6

1.6

Adjusted Pre-Tax Operating Income

9.2

17.3

0.7

8.3

(10.9)

24.6

26.5

Adjusted EBITDA

10.6

25.3

0.8

11.5

(10.5)

37.7

35.9

Sales Volume (thousands of tons)

170

757

412

334

927

Adjusted EBITDA per Ton

62.4

33.4

1.9

34.4

38.7

Q1 2011

Adjusted EBITDA

11.0

8.5

1.0

12.3

(6.2)

26.6

19.5

Subtract: Depreciation, depletion and amortization

(1.1)

(8.6)

-

(2.7)

(0.6)

(13.0)

(9.7)

Add (Subtract): Net (Income) loss attributable

to noncontrolling interests

(6.2)

(6.2)

(6.2)

Adjusted Pre-Tax Operating Income

9.9

(6.3)

1.0

9.6

(6.8)

7.4

3.6

Adjusted EBITDA

11.0

8.5

1.0

12.3

(6.2)

26.6

19.5

Sales Volume (thousands of tons)

175

697

362

386

872

Adjusted EBITDA per Ton

62.9

12.2

2.8

31.9

22.4

Reconciliations from Adjusted EBITDA to Adjusted Pre-Tax Operating Income

(in millions)

       2012E

       Low 

       2012E

       High 

Net Income

$98

$122

Depreciation, Depletion and Amortization

74

72

Total financing costs, net

48

46

Income tax expense

25

37

EBITDA

$245

$277

Sales discounts

11

10

Noncontrolling interests

(6)

(7)

Adjusted EBITDA

$250

$280

Estimated EBITDA Reconciliation

2012E Net Income to Adjusted EBITDA Reconciliation

KeyBanc 2012 Basic Materials Conference

28

Free Cash Flow Reconciliations

2012E Estimated Free Cash Flow Reconciliation

KeyBanc 2012 Basic Materials Conference

29

(in millions)

1   Half

2012

Cash from operations

$   86.7

Less cash used for investing activities

(20.7)

Less payments to minority interest

( -

)

Free Cash Flow

$     66.0

(in millions)

2012

Cash from operations

In excess of

$   189

Less cash used for investing activities

Approx.

(85)

Less payments to minority interest

Approx.

(4)

Free Cash Flow

In excess of

$     100

First Half 2012 Free Cash Flow Reconciliation

st