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): July 7, 2014

Walter Energy, Inc.

(Exact name of registrant as specified in its charter)

Delaware	001-13711	13-3429953
(State or other jurisdiction of	Commission File No.	(I.R.S. Employer Identification No.)
incorporation)

3000 Riverchase Galleria, Suite 1700

Birmingham, Alabama 35244

(205) 745-2000

(Address, including zip code, and telephone number, including area code, of registrant’s principal executive offices)

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:

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

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

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

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

Item 1.01 Entry into a Material Definitive Agreement.

Credit Agreement Amendments

On July 7, 2014, Walter Energy, Inc. (the “Company”) received the required consents to an amendment (the “Seventh Amendment”) to the Company’s $2.725 billion credit agreement, dated as of April 1, 2011, by and among Walter Energy, Inc., certain subsidiaries of Walter Energy, Inc., the lenders party thereto and Morgan Stanley Senior Funding, Inc., as Administrative Agent (as amended by the Seventh Amendment and the Eighth Amendment (as defined below), the “Credit Agreement”) from a majority of the lenders thereunder.  The Seventh Amendment, among other things, modifies the financial maintenance ratio to be unlimited for the quarter ended June 30, 2014 so long as the Company issues at least $275 million of additional first lien notes within seven days (or such longer period during the fiscal quarter ending September 30, 2014 as may be determined by the administrative agent of the Credit Agreement) of the effective date of the Seventh Amendment.

On July 8, 2014, the Company entered into an amendment (the “Eighth Amendment”) to the Credit Agreement with certain lenders thereunder.  The Eighth Amendment, among other things, provides the Company with an additional tranche of revolving loan commitments (the “New Revolving Credit Facility Tranche”) in the amount of $61.2 million, thereby increasing the total available commitments under the revolving credit facility in the Credit Agreement to $375 million.  The New Revolving Credit Facility Tranche will mature in 2017.  Effectiveness of the Eighth Amendment is conditioned upon the Company pricing a bond offering in an aggregate principal amount of no less than $275 million and certain other conditions, including making arrangements so that, immediately after giving effect to the funding of any loans under the New Revolving Credit Facility Tranche, proceeds of such bond issuance are applied to repay certain revolving loans and permanently terminate certain revolving commitments, required under the Credit Agreement.

The foregoing descriptions of the Seventh Amendment and the Eighth Amendment are qualified by the terms of the Seventh Amendment and the Eighth Amendment, copies of which are filed hereto as Exhibits 10.1 and 10.2, respectively, and incorporated herein by reference.

Item 9.01  Financial Statements and Exhibits.

(d)Exhibits.

Exhibit No.	Description
10.1	Seventh Amendment, dated as of July 7, 2014, to Credit Agreement, by and among Walter Energy, Inc., certain subsidiaries of Walter Energy, Inc., the lenders party thereto and Morgan Stanley Senior Funding, Inc., as Administrative Agent.
10.2	Eighth Amendment, dated as of July 8, 2014, to Credit Agreement, by and among Walter Energy, Inc., certain subsidiaries of Walter Energy, Inc., the lenders party thereto and Morgan Stanley Senior Funding, Inc., as Administrative Agent.

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SIGNATURES

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 hereunto duly authorized.

	WALTER ENERGY, INC.
Date: July 10, 2014	By:	/s/ Earl H. Doppelt
		Earl H. Doppelt, Executive Vice President
		General Counsel and Secretary

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EX-10.1

Exhibit 10.1

SEVENTH AMENDMENT TO CREDIT AGREEMENT

SEVENTH AMENDMENT TO CREDIT AGREEMENT (this “Seventh Amendment”) dated as of July 7, 2014, among Walter Energy, Inc., a Delaware corporation, Western Coal ULC, an unlimited liability corporation existing under the laws of the Canadian province of British Columbia, Walter Energy Canada Holdings, Inc., a corporation existing under the laws of the Canadian province of British Columbia (together with Walter Energy, Inc. and Western Coal ULC, collectively, the “Borrowers”), the Subsidiary Guarantors party hereto, the Lenders party hereto from time to time and Morgan Stanley Senior Funding, Inc., as Administrative Agent.  Unless otherwise indicated, all capitalized terms used herein and not otherwise defined herein shall have the respective meanings provided to such terms in the Credit Agreement referred to below.

W I T N E S S E T H :

WHEREAS, the Borrowers, the Lenders and Morgan Stanley Senior Funding, Inc., as Administrative Agent are parties to that certain Credit Agreement, dated as of April 1, 2011 (as amended by the First Amendment to Credit Agreement dated as of January 20, 2012, as further amended by the Second Amendment to Credit Agreement dated as of August 16, 2012, as further amended by the Third Amendment to Credit Agreement dated as of October 29, 2012, as further amended by the Fourth Amendment to Credit Agreement dated as of  March 21, 2013, as further amended by the Fifth Amendment to Credit Agreement dated as of  July 23, 2013, as further amended by the Sixth Amendment to Credit Agreement dated as of March 17, 2014 and as further amended, modified and/or supplemented to, but not including, the date hereof, the “Credit Agreement”);

WHEREAS, subject to the terms and conditions of this Seventh Amendment, the parties hereto wish to amend the Credit Agreement as herein provided;

NOW, THEREFORE, it is agreed:

I.         Amendments and Modifications to Credit Agreement.

1.     Section 1.01 of the Credit Agreement is hereby amended by inserting in the appropriate alphabetical order the following new definitions:

“Seventh Amendment” shall mean the Seventh Amendment to Credit Agreement dated as of July 7, 2014, among the Borrowers, the Subsidiary Guarantors party thereto, the Lenders party thereto and the Administrative Agent.

“Seventh Amendment Effective Date” shall have the meaning provided in the Seventh Amendment.

2.     Section 10.08 of the Credit Agreement is hereby amended by deleting the ratio “8.00:1.00” appearing opposite the Fiscal Quarter ending June 30, 2014 and inserting the following in lieu thereof:

“Unlimited, or in the event that the Borrowers have not received proceeds of Permitted First Lien Notes (issued as Permitted Refinancing Indebtedness pursuant to Section 10.04(i) in respect of the Total Revolving Loan Commitment) in an aggregate principal amount equal to at least $275,000,000 or such proceeds are not applied to a permanent reduction of the Total Revolving

Loan Commitment within 7 days (or such longer period during the Fiscal Quarter ending September 30, 2014 as may be determined by the Administrative Agent in its sole discretion) of the Seventh Amendment Effective Date, 8.00:1.00”.

II.        Miscellaneous Provisions.

1.     In order to induce the Lenders to enter into this Seventh Amendment, the Borrowers hereby represent and warrant that:

(a)           no Default or Event of Default exists as of the Seventh Amendment Effective Date (as defined below), both before and immediately after giving effect to this Seventh Amendment; and

(b)           all of the representations and warranties contained in the Credit Agreement and the other Credit Documents are true and correct in all material respects on the Seventh Amendment Effective Date, both before and after giving effect to this Seventh Amendment, with the same effect as though such representations and warranties had been made on and as of the Seventh Amendment Effective Date (it being understood and agreed that (x) any representation or warranty which by its terms is made as of a specified date shall be required to be true and correct in all material respects only as of such specified date and (y) any representation or warranty that is qualified as to “materiality,” “Material Adverse Effect” or similar language shall be true and correct in all respects on such date).

2.     This Seventh Amendment is limited precisely as written and shall not be deemed to (i) be a waiver of or a consent to the modification of or deviation from any other term or condition of the Credit Agreement, any other Credit Documents or any of the other instruments or agreements referred to therein or (ii) prejudice any right or rights which any of the Lenders or the Administrative Agent now have or may have in the future under or in connection with the Credit Agreement, any other Credit Documents or any of the other instruments or agreements referred to therein.

3.     By executing and delivering a counterpart hereof, the Borrowers and each Subsidiary Guarantor hereby agrees that all Loans shall be guaranteed and secured pursuant to and in accordance with the terms and provisions of each of the U.S. Guaranty and Collateral Agreement and the Canadian Guaranty and Collateral Agreement and the other Security Documents in accordance with the terms and provisions thereof.

4.     This Seventh Amendment may be executed in any number of counterparts (including by way of facsimile or other electronic transmission) and by the different parties hereto on separate counterparts, each of which counterparts when executed and delivered shall be an original, but all of which shall together constitute one and the same instrument.  A complete set of counterparts shall be lodged with the Borrowers and the Administrative Agent.

5.     THIS SEVENTH AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW YORK.

6.     The amendments set forth in this Seventh Amendment shall become effective on the date (the “Seventh Amendment Effective Date”) when each of the following conditions shall have been satisfied or waived by the applicable party:

(a)           no Default or Event of Default exists as of the Seventh Amendment Effective

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Date, both before and immediately after giving effect to this Seventh Amendment;

(b)           all of the representations and warranties contained in the Credit Agreement and the other Credit Documents are true and correct in all material respects on the Seventh Amendment Effective Date, both before and after giving effect to this Seventh Amendment, with the same effect as though such representations and warranties had been made on and as of the Seventh Amendment Effective Date (it being understood and agreed that (x) any representation or warranty which by its terms is made as of a specified date shall be required to be true and correct in all material respects only as of such specified date and (y) any representation or warranty that is qualified as to “materiality,” “Material Adverse Effect” or similar language shall be true and correct in all respects on such date);

(c)           the Borrowers, the Subsidiary Guarantors, the Administrative Agent and the Required Extended Revolving Lenders shall have signed a counterpart hereof (whether the same or different counterparts) and shall have delivered (including by way of facsimile or other electronic transmission) the same to the attention of Katherine Lim of White & Case LLP (facsimile number: 212-354-8113 / e-mail address: klim@whitecase.com); and

(d)           the Borrowers shall have paid to the Administrative Agent (or its applicable affiliate) all fees, costs and expenses (including, without limitation, reasonable legal fees and expenses) payable to the Administrative Agent (or its applicable affiliate) to the extent then due.

7.     This Seventh Amendment shall constitute a “Credit Document” for purposes of the Credit Agreement and the other Credit Documents.

8.     From and after the Seventh Amendment Effective Date, all references in the Credit Agreement and each of the other Credit Documents to the Credit Agreement shall be deemed to be references to the Credit Agreement as modified by each of the amendments effected on such respective dates, as the context may require.

*      *      *

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IN WITNESS WHEREOF, each of the parties hereto has caused a counterpart of this Seventh Amendment to be duly executed and delivered as of the date first above written.

WALTER ENERGY, INC.
By:	/s/ William G. Harvey
Name: William G. Harvey
Title: Executive Vice President, Chief Financial Officer
WESTERN COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER ENERGY CANADA HOLDINGS, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
PINE VALLEY COAL LTD.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
0541237 B.C. LTD.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

WOLVERINE COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER ENERGY HOLDINGS, LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
BLUE CREEK SALES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
J.W. WALTER, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
JIM WALTER RESOURCES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
TAFT COAL SALES & ASSOCIATES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

 [Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

TUSCALOOSA RESOURCES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER BLACK WARRIOR BASIN LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER COKE, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER EXPLORATION & PRODUCTION LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER LAND COMPANY
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER MINERALS, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

WALTER NATURAL GAS, LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER CANADIAN COAL PARTNERSHIP,
by its managing partner, Walter Canadian Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
CAMBRIAN ENERGYBUILD HOLDINGS ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WILLOW CREEK COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WILLOW CREEK COAL PARTNERSHIP,
by its managing partner, Willow Creek Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER CANADIAN COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

WOLVERINE COAL PARTNERSHIP,
by its managing partner, Wolverine Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
BRULE COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
BRULE COAL PARTNERSHIP,
by its managing partner, Brule Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

MORGAN STANLEY SENIOR FUNDING, INC.,
as Administrative Agent and Collateral Agent
By:	/s/ James R. Person
Name: James R. Pearson
Title: Authorized Signatory

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
Morgan Stanley Bank, N.A.
By:	/s/ John Durland
	Name: John Durland
	Title: Authorized Signatory

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
THE BANK OF NOVA SCOTIA
By:	/s/ Michael Eddy
	Name: Michael Eddy
	Title: Managing Director
By:	/s/ Bhiravi Ravichandran
	Name: Bhiravi Ravichandran
	Title: Associate Director

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
BARCLAYS BANK PLC
By:	/s/ Vanessa A. Kurbatskiy
	Name: Vanessa A. Kurbatskiy
	Title: Vice President

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
COMMONWEALTH BANK OF AUSTRALIA
By:	/s/ Nicholas Rees
	Name: NICHOLAS REES
	Title: DIRECTOR, MINING & METALS

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
Compass Bank,
By:	/s/ Susana Campuzano
	Name: Susana Campuzano
	Title: Sr. Vice President

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
CREDIT AGRICOLE CORPORATE AND INVESTMENT BANK
By:	/s/ Blake Wright
	Name: Blake Wright
	Title: Managing Director
By:	/s/ James Austin
	Name: James Austin
	Title: Vice President

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
ING Capital LLC
By:	/s/ Peter Clinton
	Name: Peter Clinton
	Title: Managing Director
By:	/s/ Reniko van de Water
	Name: Reniko van de Water
	Title: Director

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
JPMORGAN CHASE BANK, N.A.
By:	/s/ Peter S. Predun
	Name: Peter S. Predun
	Title: Executive Director

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
REGIONS BANK
By:	/s/ J. Richard Baker
	Name: J. Richard Baker
	Title: Senior Vice President

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

SIGNATURE PAGE TO SEVENTH AMENDMENT TO THE CREDIT AGREEMENT, DATED AS OF THE DATE FIRST WRITTEN ABOVE, AMONG WALTER ENERGY, INC., WESTERN COAL ULC, WALTER ENERGY CANADA HOLDINGS, INC., THE LENDERS PARTY HERETO, THE SUBSIDIARY GUARANTORS PARTY HERETO AND MORGAN STANLEY SENIOR FUNDING, INC., AS ADMINISTRATIVE AGENT
TD Bank, N.A.
By:	/s/ Vijay Prasad
	Name: Vijay Prasad
	Title: Senior Vice President

[Signature Page to Seventh Amendment to Walter Energy Credit Agreement]

EX-10.2

Exhibit 10.2

EIGHTH AMENDMENT TO CREDIT AGREEMENT

EIGHTH AMENDMENT TO CREDIT AGREEMENT (this “Eighth Amendment”) dated as of July 8, 2014, among Walter Energy, Inc., a Delaware corporation (the “U.S. Borrower”), Western Coal ULC, an unlimited liability corporation existing under the laws of the Canadian province of British Columbia, Walter Energy Canada Holdings, Inc., a corporation existing under the laws of the Canadian province of British Columbia (together with the U.S. Borrower and Western Coal ULC, collectively, the “Borrowers”), the Subsidiary Guarantors party hereto, the lenders party hereto as a Lender or Additional Lender of Revolving Commitment Increases (in such capacity, each a “2014 Revolving Commitment Increase Lender”) and Morgan Stanley Senior Funding, Inc., as Administrative Agent.  Unless otherwise indicated, all capitalized terms used herein and not otherwise defined herein shall have the respective meanings provided to such terms in the Credit Agreement referred to below.

W I T N E S S E T H :

WHEREAS, the Borrowers, the Lenders and Morgan Stanley Senior Funding, Inc., as Administrative Agent are parties to that certain Credit Agreement, dated as of April 1, 2011 (as amended by the First Amendment to Credit Agreement dated as of January 20, 2012, as further amended by the Second Amendment to Credit Agreement dated as of August 16, 2012, as further amended by the Third Amendment to Credit Agreement dated as of October 29, 2012, as further amended by the Fourth Amendment to Credit Agreement dated as of  March 21, 2013, as further amended by the Fifth Amendment to Credit Agreement dated as of  July 23, 2013, as further amended by the Sixth Amendment to Credit Agreement dated as of March 17, 2014, as further amended by the Seventh Amendment to Credit Agreement dated as of July 7, 2014 and as further amended, modified and/or supplemented to, but not including, the date hereof, the “Credit Agreement”);

WHEREAS, in accordance with Section 2.14(d) of the Credit Agreement, the U.S. Borrower has delivered a notice to the Administrative Agent requesting that each 2014 Revolving Commitment Increase Lender make a Revolving Commitment Increase in an aggregate principal amount of $61,200,000.00;

WHEREAS, pursuant to Section 2.14 of the Credit Agreement, this Eighth Amendment shall establish the 2014 Revolving Commitment Increase on the 2014 Incremental Facility Closing Date (each as defined below);

WHEREAS, this Eighth Amendment is an “Incremental Amendment” as defined in and for purposes of the Credit Agreement;

NOW, THEREFORE, it is agreed:

I.             Terms of the Revolving Commitment Increase.

1.     The U.S. Borrower confirms and agrees that it has requested to establish a new tranche of Revolving Loan Commitments (the “2014 Revolving Commitment Increase”) in the aggregate principal amount of $61,200,000.00 from the 2014 Revolving Commitment Increase Lenders in accordance with Section 2.14 of the Credit Agreement and herein, effective on the 2014 Incremental Facility Closing Date.

2.     Pursuant to Section 2.14 of the Credit Agreement, each 2014 Revolving Commitment Increase Lender, the Borrowers and the Administrative Agent acknowledge and agree that the 2014 Revolving Commitment Increase provided pursuant to this Eighth Amendment shall constitute Revolving Loan Commitments under the Credit Agreement, and shall have terms identical to the 2017 Revolving Loan Commitments except as set forth herein.

3.     Each 2014 Revolving Commitment Increase Lender agrees, except as set forth herein, that (i) effective on and at all times after the 2014 Incremental Facility Closing Date, in addition to all Revolving Loan Commitments of such Lender (if any) outstanding prior to the 2014 Incremental Facility Closing Date, such 2014 Revolving Commitment Increase Lender will be bound by all obligations of a Lender under the Credit Agreement in respect of the 2014 Revolving Commitment Increase in the amount set forth on Schedule A hereto and (ii) on the 2014 Incremental Facility Closing Date, subject to the satisfaction or waiver of the conditions set forth in Section II.6 of this Eighth Amendment, such 2014 Revolving Commitment Increase Lender will provide the 2014 Revolving Commitment Increase in the aggregate principal amount set forth opposite its name on Schedule A attached hereto and to fund Revolving Loans in the amount of such 2014 Revolving Commitment Increase Lender’s 2014 Incremental Revolving Loan Commitment, in accordance with the terms and subject to the conditions set forth herein. On the 2014 Incremental Facility Closing Date, each 2014 Revolving Commitment Increase Lender which was not a Lender prior to the 2014 Incremental Facility Closing Date will become a Lender for all purposes of the Credit Agreement and be bound by all obligations of a Lender under the Credit Agreement in respect of the 2014 Revolving Commitment Increase in the amount set forth on Schedule A hereto.

4.     The 2014 Revolving Commitment Increase Lenders will not acquire or otherwise share in any participations under the Credit Agreement in outstanding Letters of Credit or Swingline Loans. Any Borrowing of Revolving Loans from the 2014 Revolving Commitment Increase Lenders shall be of a separate Class and Tranche of Revolving Loans.

II.            Miscellaneous Provisions.

1.     In order to induce the 2014 Revolving Commitment Increase Lenders to enter into this Eighth Amendment and in accordance with Section 2.14 of the Credit Agreement, the Borrowers hereby represent and warrant that:

(a)           both at the time of request of the 2014 Revolving Commitment Increase and as of the 2014 Incremental Facility Closing Date, no Default or Event of Default exists, both before and immediately after giving effect to this Eighth Amendment; and

(b)           both at the time of request of the 2014 Revolving Commitment Increase and as of the 2014 Incremental Facility Closing Date, all of the representations and warranties contained in the Credit Agreement and the other Credit Documents are true and correct in all material respects, both before and after giving effect to this Eighth Amendment, with the same effect as though such representations and warranties had been made on and as of the 2014 Incremental Facility Closing Date (it being understood and agreed that (x) any representation or warranty which by its terms is made as of a specified date shall be required to be true and correct in all material respects only as of such specified date and (y) any representation or warranty that is qualified as to “materiality,” “Material Adverse Effect” or similar language shall be true and correct in all respects on such date).

2.     This Eighth Amendment is limited precisely as written and shall not be deemed to (i) be a waiver of or a consent to the modification of or deviation from any other term or condition of the Credit

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Agreement, any other Credit Documents or any of the other instruments or agreements referred to therein or (ii) prejudice any right or rights which any of the Lenders or the Administrative Agent now have or may have in the future under or in connection with the Credit Agreement, any other Credit Documents or any of the other instruments or agreements referred to therein.

3.     By executing and delivering a counterpart hereof, the Borrowers and each Subsidiary Guarantor hereby acknowledge and agree that all Loans made pursuant to the 2014 Revolving Commitment Increase shall be guaranteed and secured pursuant to and in accordance with the terms and provisions of each of the U.S. Guaranty and Collateral Agreement and the Canadian Guaranty and Collateral Agreement and the other Security Documents in accordance with the terms and provisions thereof.

4.     This Eighth Amendment may be executed in any number of counterparts (including by way of facsimile or other electronic transmission) and by the different parties hereto on separate counterparts, each of which counterparts when executed and delivered shall be an original, but all of which shall together constitute one and the same instrument.  A complete set of counterparts shall be lodged with the Borrowers and the Administrative Agent.

5.     THIS EIGHTH AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW YORK.

6.     The amendments set forth in this Eighth Amendment shall become effective on the date (the “2014 Incremental Facility Closing Date”) when each of the following conditions shall have been satisfied or waived by the applicable party:

(a)           both at the time of request of the 2014 Revolving Commitment Increase and as of the 2014 Incremental Facility Closing Date, no Default or Event of Default exists, both before and immediately after giving effect to this Eighth Amendment;

(b)           both at the time of request of the 2014 Revolving Commitment Increase and as of the 2014 Incremental Facility Closing Date, all of the representations and warranties contained in the Credit Agreement and the other Credit Documents are true and correct in all material respects, both before and after giving effect to this Eighth Amendment, with the same effect as though such representations and warranties had been made on and as of the 2014 Incremental Facility Closing Date (it being understood and agreed that (x) any representation or warranty which by its terms is made as of a specified date shall be required to be true and correct in all material respects only as of such specified date and (y) any representation or warranty that is qualified as to “materiality,” “Material Adverse Effect” or similar language shall be true and correct in all respects on such date);

(c)           the Borrowers, the Subsidiary Guarantors, the Administrative Agent and each 2014 Revolving Commitment Increase Lender shall have signed a counterpart hereof (whether the same or different counterparts) and shall have delivered (including by way of facsimile or other electronic transmission) the same to the attention of Katherine Lim of White & Case LLP (facsimile number: 212-354-8113 / e-mail address: klim@whitecase.com);

(d)           the U.S. Borrower is in compliance with the financial covenant set forth in Section 10.08 of the Credit Agreement, determined on a Pro Forma Basis as of June 30, 2014, as if Loans pursuant to the 2014 Revolving Commitment Increase had been outstanding on June 30, 2014;

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(e)           (i) the purchase agreement for the Permitted First Lien Notes in an aggregate principal amount equal to at least $275,000,000, shall have been entered into by the U.S. Borrower and the representative of the initial purchasers, (ii) such purchase agreement shall be reasonably satisfactory to the 2014 Revolving Commitment Increase Lenders, (iii) such purchase agreement shall not have been amended, waived, modified or otherwise terminated, and (iv) arrangements satisfactory to the Administrative Agent shall have been made so that immediately after giving effect to the funding of any Revolving Loans by the 2014 Revolving Commitment Increase Lenders, proceeds of the issuance of the Permitted First Lien Notes shall be applied to permanently terminate the 2014 Revolving Commitment Increase;

(f)            the Borrowers shall have paid to the Administrative Agent (or its applicable affiliate) all fees, costs and expenses (including, without limitation, reasonable legal fees and expenses) payable to the Administrative Agent (or its applicable affiliate) to the extent then due;

(g)           prior to the funding of Revolving Loans by the 2014 Revolving Commitment Increase Lenders, the Administrative Agent shall have received (A) a copy of the resolutions, in form and substance reasonably satisfactory to the Administrative Agent, of the board of directors, other managers or general partner of each Subsidiary Guarantor (or a duly authorized committee thereof) authorizing the execution, delivery and performance of this Eighth Amendment and the performance of the Credit Agreement and the other Credit Documents, in each case as modified by this Eighth Amendment, certified as of the 2014 Incremental Facility Closing Date by an Authorized Officer of each Subsidiary Guarantor as being in full force and effect without modification or amendment and (B) good standing certificates for each Borrower for each jurisdiction in which such Borrower is organized; and

(h)           prior to the funding of Revolving Loans by the 2014 Revolving Commitment Increase Lenders, the Administrative Agent shall have received from Simpson Thacher & Bartlett LLP, counsel to the Borrowers, executed legal opinions covering such matters as the Administrative Agent may reasonably request and otherwise reasonably satisfactory to the Administrative Agent.

7.     The U.S. Borrower is further deemed to be certifying, and the execution by an Authorized Officer of the U.S. Borrower hereto constitutes such certification, as to the satisfaction of the conditions set forth in clauses (a), (b) and (d) of Section II.6 hereof.

8.     This Eighth Amendment shall constitute a “Credit Document” for purposes of the Credit Agreement and the other Credit Documents.

9.     From and after the 2014 Incremental Facility Closing Date, all references in the Credit Agreement and each of the other Credit Documents to the Credit Agreement shall be deemed to be references to the Credit Agreement as modified by each of the amendments effected on such respective dates, as the context may require.

*      *      *

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IN WITNESS WHEREOF, each of the parties hereto has caused a counterpart of this Eighth Amendment to be duly executed and delivered as of the date first above written.

WALTER ENERGY, INC.
By:	/s/ William G. Harvey
Name: William G. Harvey
Title: Executive Vice President, Chief Financial Officer
WESTERN COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER ENERGY CANADA HOLDINGS, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
PINE VALLEY COAL LTD.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
0541237 B.C. LTD.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Eighth Amendment to Walter Energy Credit Agreement]

WOLVERINE COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER ENERGY HOLDINGS, LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
BLUE CREEK SALES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
J.W. WALTER, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
JIM WALTER RESOURCES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
TAFT COAL SALES & ASSOCIATES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Eighth Amendment to Walter Energy Credit Agreement]

TUSCALOOSA RESOURCES, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER BLACK WARRIOR BASIN LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER COKE, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER EXPLORATION & PRODUCTION LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER LAND COMPANY
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER MINERALS, INC.
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Eighth Amendment to Walter Energy Credit Agreement]

WALTER NATURAL GAS, LLC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER CANADIAN COAL PARTNERSHIP,
by its managing partner, Walter Canadian Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
CAMBRIAN ENERGYBUILD HOLDINGS ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WILLOW CREEK COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WILLOW CREEK COAL PARTNERSHIP,
by its managing partner, Willow Creek Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
WALTER CANADIAN COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Eighth Amendment to Walter Energy Credit Agreement]

WOLVERINE COAL PARTNERSHIP,
by its managing partner, Wolverine Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
BRULE COAL ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer
BRULE COAL PARTNERSHIP,
by its managing partner, Brule Coal ULC
By:	/s/ Michael Griffin
Name: Michael Griffin
Title: Treasurer

[Signature Page to Eighth Amendment to Walter Energy Credit Agreement]

MORGAN STANLEY SENIOR FUNDING, INC., as Administrative Agent, Collateral Agent, and a 2014 Revolving Commitment Increase Lender
By:	/s/ James R. Person
	Name: James R. Pearson
	Title: Authorized Signatory

[Signature Page to Eighth Amendment to Walter Energy Credit Agreement]

Schedule A

2014 Revolving Commitment Increase Lender	2014 Revolving Commitment Increase
Morgan Stanley Senior Funding, Inc.	$	61,200,000.00