Acquisitions (Tables)

12 Months Ended

Dec. 31, 2012

Acquisitions

Summary of consolidated financial statements amounts as previously reported with preliminary purchase price allocation and as recast with refinements to purchase price allocation

The following table summarizes the Company's recast and previously reported December 31, 2011 Consolidated Balance Sheet amounts (in thousands):

	Recast December 31, 2011(1)		December 31, 2011(2)
ASSETS
Inventories	$	240,437	$	242,607
Other current assets	$	45,649	$	45,627
Mineral interests, net	$	3,056,258	$	2,946,113
Property, plant and equipment, net	$	1,631,333	$	1,637,182
Goodwill	$	1,066,754	$	1,124,597
LIABILITIES AND STOCKHOLDERS' EQUITY
Other current liabilities	$	63,757	$	59,827
Deferred income taxes	$	1,029,336	$	1,003,383
Retained earnings	$	744,939	$	730,517

(1)

As presented in the accompanying consolidated financial statements contained herein within this Form 10-K.

(2)

As previously presented in the 2011 consolidated financial statements in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2011.

        The following table summarizes the Company's recast and previously reported December 31, 2011 Consolidated Statement of Operations amounts (in thousands):

	Recast December 31, 2011(1)		December 31, 2011(2)
For the year ended:
Depreciation and depletion	$	230,681	$	245,509
Operating income		573,431		558,603
Income from continuing operations before income tax expense		494,823		479,995
Income tax expense		131,225		130,819
Income from continuing operations		363,598		349,176
Net income		363,598		349,176
Net income per share:
Basic	$	6.03	$	5.79
Diluted	$	6.00	$	5.76

(1)

As presented in the accompanying consolidated financial statements contained herein within this Form 10-K.

(2)

As previously presented in the 2011 consolidated financial statements in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2011.

        The following table summarizes the Company's recast and previously reported December 31, 2011 Consolidated Statement of Cash Flows amounts (in thousands):

	For the year ended December 31,
	Recast 2011(1)		2011(2)
Net Income	$	363,598	$	349,176
Adjustments to reconcile net income to net cash flows provided by (used in) operating activities:
Depreciation and depletion	$	230,681	$	245,509
Deferred income tax credit	$	66,803	$	66,397

(1)

As presented in the accompanying consolidated financial statements contained herein within this Form 10-K.

(2)

As previously presented in the 2011 consolidated financial statements in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2011.

Western Coal Corp

Acquisitions

Purchase consideration and fair value of assets acquired and liabilities assumed

The following tables summarize the purchase consideration, the preliminary purchase price allocation reported in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2011, the final purchase price allocation, and the applicable recast adjustments made upon finalization during the quarter ended March 31, 2012 (in thousands):

Purchase consideration:
Cash	$	2,173,080
Fair value of shares of common stock issued		1,224,126
Fair value of stock options issued and warrants		34,765
Fair value of consideration transferred		3,431,971
Fair value of equity interest in Western Coal held before the acquisition		314,231
Total consideration	$	3,746,202

	Preliminary December 31, 2011		Recast Adjustments			Final
Fair value of assets acquired and liabilities assumed:
Cash and cash equivalents	$	34,065	$	—		$	34,065
Receivables		163,668		—			163,668
Inventories		121,229		—			121,229
Other current assets		86,475		23			86,498
Mineral interests		2,992,000		94,000			3,086,000
Property, plant and equipment		560,894		(6,702	)		554,192
Goodwill		1,122,884		(57,844	)		1,065,040
Other long-term assets		54,150		—			54,150
Total assets		5,135,365		29,477			5,164,842
Accounts payable and accrued liabilities		184,983		—			184,983
Other current liabilities		82,175		3,930			86,105
Deferred tax liability		1,021,161		25,547			1,046,708
Other long-term liabilities		100,844		—			100,844
Total liabilities		1,389,163		29,477			1,418,640
Net assets acquired	$	3,746,202	$	—		$	3,746,202

Schedule of unaudited pro forma financial information

Accordingly, the following unaudited pro forma financial information should not be considered indicative of either future results or results that might have occurred had the acquisition been consummated as of January 1, 2010 (in thousands):

	For the years ended December 31,
	Recast 2011		2010
Total revenues
As reported(1)	$	2,571,358	$	1,587,730
Pro forma	$	2,795,566	$	2,358,040
Income (loss) from continuing operations
As reported(1)	$	363,598	$	389,425
Pro forma	$	418,419	$	342,693

(1)

As presented in the accompanying consolidated financial statements contained herein within this Form 10-K.

HighMount Exploration and Production Alabama, LLC

Acquisitions

Purchase consideration and fair value of assets acquired and liabilities assumed

The following table summarizes the fair value of the assets acquired and liabilities assumed at the acquisition date (in thousands):

Fair value of assets acquired and liabilities assumed:
Receivables	$	5,439
Other current assets		340
Property, plant and equipment		210,323
Identifiable intangible asset		1,505
Total assets		217,607
Accounts payable & accrued liabilities		(4,282	)
Asset retirement obligations		(3,361	)
Total liabilities		(7,643	)
Net assets acquired	$	209,964