Document and Entity Information
Document and Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 16, 2018 | Jun. 30, 2017 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | ARCH COAL INC | ||
Entity Central Index Key | 1,037,676 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 20,986,812 | ||
Entity Well known seasoned issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current reporting status | Yes | ||
Entity Public Float | $ 1.7 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Revenues | $ 575,688 | $ 2,324,623 | ||
Costs, expenses and other operating | ||||
Cost of sales (exclusive of items shown separately below) | 470,644 | 1,843,093 | ||
Depreciation, depletion and amortization | 32,604 | 122,464 | ||
Accretion on asset retirement obligations | 7,634 | 30,209 | ||
Amortization of sales contracts, net | 796 | 53,985 | ||
Change in fair value of coal derivatives and coal trading activities, net | 396 | 7,222 | ||
Asset impairment and mine closure costs | 0 | 0 | ||
Losses from disposed operations resulting from Patriot Coal bankruptcy | 0 | 0 | ||
Selling, general and administrative expenses | 22,836 | 86,821 | ||
Gain on sale of Lone Mountain Processing, Inc. | 0 | (21,297) | ||
Other operating (income) expense, net | (5,340) | (30,270) | ||
Total operating expenses | 529,570 | 2,092,227 | ||
Income (loss) from operations | 46,118 | 232,396 | ||
Interest expense, net | ||||
Interest expense | (11,241) | (26,905) | ||
Interest and investment income | 487 | 2,649 | ||
Interest expense, net | (10,754) | (24,256) | ||
Income (loss) before nonoperating expenses | 35,364 | 208,140 | ||
Nonoperating income (expense) | ||||
Net loss resulting from early retirement of debt and debt restructuring | 0 | (2,547) | ||
Reorganization income (loss), net | (759) | (2,398) | ||
Nonoperating Income (Expense) | (759) | (4,945) | ||
Income (loss) before income taxes | 34,605 | 203,195 | ||
Provision for (benefit from) income taxes | 1,156 | (35,255) | ||
Net income (loss) | $ 33,449 | $ 238,450 | ||
Earnings (loss) per common share | ||||
Basic earnings (loss) per common share (in dollars per share) | $ 1.34 | $ 10.05 | ||
Diluted earnings (loss) per common share (in dollars per share) | $ 1.31 | $ 9.84 | ||
Weighted average shares outstanding | ||||
Basic weighted average shares outstanding (in shares) | 25,002 | 23,725 | ||
Diluted weighted average shares outstanding (in shares) | 25,469 | 24,240 | ||
Predecessor | ||||
Revenues | $ 1,398,709 | $ 2,573,260 | ||
Costs, expenses and other operating | ||||
Cost of sales (exclusive of items shown separately below) | 1,264,464 | 2,172,753 | ||
Depreciation, depletion and amortization | 191,581 | 379,345 | ||
Accretion on asset retirement obligations | 24,321 | 33,680 | ||
Amortization of sales contracts, net | (728) | (8,811) | ||
Change in fair value of coal derivatives and coal trading activities, net | 2,856 | (1,583) | ||
Asset impairment and mine closure costs | 129,267 | 2,628,303 | ||
Losses from disposed operations resulting from Patriot Coal bankruptcy | 0 | 116,343 | ||
Selling, general and administrative expenses | 59,343 | 98,783 | ||
Gain on sale of Lone Mountain Processing, Inc. | 0 | 0 | ||
Other operating (income) expense, net | (15,257) | 19,510 | ||
Total operating expenses | 1,655,847 | 5,438,323 | ||
Income (loss) from operations | (257,138) | (2,865,063) | ||
Interest expense, net | ||||
Interest expense | (135,888) | (397,979) | ||
Interest and investment income | 2,653 | 4,430 | ||
Interest expense, net | (133,235) | (393,549) | ||
Income (loss) before nonoperating expenses | (390,373) | (3,258,612) | ||
Nonoperating income (expense) | ||||
Net loss resulting from early retirement of debt and debt restructuring | (2,213) | (27,910) | ||
Reorganization income (loss), net | 1,630,041 | 0 | ||
Nonoperating Income (Expense) | 1,627,828 | (27,910) | ||
Income (loss) before income taxes | 1,237,455 | (3,286,522) | ||
Provision for (benefit from) income taxes | (4,626) | (373,380) | ||
Net income (loss) | $ 1,242,081 | $ (2,913,142) | ||
Earnings (loss) per common share | ||||
Basic earnings (loss) per common share (in dollars per share) | $ 58.33 | $ (136.86) | ||
Diluted earnings (loss) per common share (in dollars per share) | $ 58.28 | $ (136.86) | ||
Weighted average shares outstanding | ||||
Basic weighted average shares outstanding (in shares) | 21,293 | 21,285 | ||
Diluted weighted average shares outstanding (in shares) | 21,313 | 21,285 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Net income (loss) | $ 33,449 | $ 238,450 | ||
Derivative instruments | ||||
Comprehensive income (loss) before tax | 0 | 647 | ||
Income tax benefit (provision) | 0 | 0 | ||
Derivatives Qualifying as Hedges, Adjustment, Net of Tax | 0 | 647 | ||
Pension, postretirement and other post-employment benefits | ||||
Comprehensive income (loss) before tax | 24,067 | (4,347) | ||
Income tax benefit (provision) | 0 | 0 | ||
Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | 24,067 | (4,347) | ||
Available-for-sale securities | ||||
Comprehensive income (loss) before tax | 387 | (387) | ||
Income tax benefit (provision) | 0 | 0 | ||
Available-for-sale Securities Adjustment, Net of Tax | 387 | (387) | ||
Total other comprehensive income (loss) | 24,454 | (4,087) | ||
Total comprehensive income (loss) | $ 57,903 | $ 234,363 | ||
Predecessor | ||||
Net income (loss) | $ 1,242,081 | $ (2,913,142) | ||
Derivative instruments | ||||
Comprehensive income (loss) before tax | (532) | (3,477) | ||
Income tax benefit (provision) | 80 | 1,252 | ||
Derivatives Qualifying as Hedges, Adjustment, Net of Tax | (452) | (2,225) | ||
Pension, postretirement and other post-employment benefits | ||||
Comprehensive income (loss) before tax | (1,848) | (5,592) | ||
Income tax benefit (provision) | 483 | 2,011 | ||
Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | (1,365) | (3,581) | ||
Available-for-sale securities | ||||
Comprehensive income (loss) before tax | 2,968 | 1,185 | ||
Income tax benefit (provision) | (1,042) | (435) | ||
Available-for-sale Securities Adjustment, Net of Tax | 1,926 | 750 | ||
Total other comprehensive income (loss) | 109 | (5,056) | ||
Total comprehensive income (loss) | $ 1,242,190 | $ (2,918,198) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets | ||
Cash and cash equivalents | $ 273,387 | $ 305,372 |
Short term investments | 155,846 | 88,072 |
Restricted cash | 71,050 | |
Trade accounts receivable | 172,604 | 184,483 |
Other receivables | 29,771 | 19,877 |
Inventories | 128,960 | 113,462 |
Other current assets | 70,426 | 96,306 |
Total current assets | 830,994 | 878,622 |
Property, plant and equipment | ||
Coal lands and mineral rights | 390,920 | 387,591 |
Plant and equipment | 445,407 | 418,182 |
Deferred mine development | 267,063 | 280,323 |
Property, plant and equipment, gross | 1,103,390 | 1,086,096 |
Less accumulated depreciation, depletion and amortization | (147,442) | (32,493) |
Property, plant and equipment, net | 955,948 | 1,053,603 |
Other assets | ||
Prepaid royalties | 4,280 | 0 |
Deferred income taxes | 22,520 | 0 |
Equity investments | 106,107 | 96,074 |
Other noncurrent assets | 59,783 | 108,298 |
Total other assets | 192,690 | 204,372 |
Total assets | 1,979,632 | 2,136,597 |
Current liabilities | ||
Accounts payable | 134,137 | 95,953 |
Accrued expenses and other current liabilities | 184,161 | 205,240 |
Current maturities of debt | 15,783 | 11,038 |
Total current liabilities | 334,081 | 312,231 |
Long-term debt | 310,134 | 351,841 |
Asset retirement obligations | 308,855 | 337,227 |
Accrued pension benefits | 14,036 | 38,884 |
Accrued postretirement benefits other than pension | 102,369 | 101,445 |
Accrued workers’ compensation | 184,835 | 184,568 |
Other noncurrent liabilities | 59,457 | 63,824 |
Total liabilities | 1,313,767 | 1,390,020 |
Stockholders' equity | ||
Common stock, $0.01 par value, authorized 300,000 shares, issued 25,047 and 25,002 shares at December 31, 2017 and 2016, respectively | 250 | 250 |
Paid-in capital | 700,125 | 688,424 |
Treasury stock, 3,977 shares at December 31, 2017, at cost | (302,109) | 0 |
Retained earnings | 247,232 | 33,449 |
Accumulated other comprehensive income (loss) | 20,367 | 24,454 |
Total stockholders’ equity | 665,865 | 746,577 |
Total liabilities and stockholders’ equity | $ 1,979,632 | $ 2,136,597 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 300,000,000 | 26,000,000 |
Common stock, shares issued | 25,047,000 | 25,002,000 |
Treasury stock, shares | 3,977,000 | 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Operating activties | ||||
Net income (loss) | $ 33,449 | $ 238,450 | ||
Adjustments to reconcile net income (loss) to cash provided by (used in) operating activities: | ||||
Depreciation, depletion and amortization | 32,604 | 122,464 | ||
Accretion on asset retirement obligations | 7,634 | 30,209 | ||
Amortization of sales contracts, net | 796 | 53,985 | ||
Prepaid royalties expensed | 2,587 | 2,905 | ||
Deferred income taxes | 3 | (21,965) | ||
Employee stock-based compensation expense | 1,032 | 10,437 | ||
Gains on disposals and divestitures | (485) | (24,327) | ||
Asset impairment and noncash mine closure costs | 0 | 0 | ||
Losses from disposed operations resulting from Patriot Coal bankruptcy | 0 | 0 | ||
Amortization relating to financing activities | 467 | 3,736 | ||
Net loss resulting from early retirement of debt and debt restructuring | 0 | 2,547 | ||
Non-cash bankruptcy reorganization items | 0 | 0 | ||
Changes in: | ||||
Receivables | (22,196) | 8,370 | ||
Inventories | 24,870 | (19,626) | ||
Coal derivative assets and liabilities | 1,662 | 6,040 | ||
Accounts payable, accrued expenses and other current liabilities | 34,129 | 17,173 | ||
Asset retirement obligations | (4,535) | (20,584) | ||
Pension, postretirement and other postemployment benefits | (5,625) | (15,253) | ||
Other | (22,200) | 1,912 | ||
Cash provided by (used in) operating activities | 84,192 | 396,473 | ||
Investing activities | ||||
Capital expenditures | (15,214) | (59,205) | ||
Minimum royalty payments | (63) | (5,296) | ||
Proceeds from disposals and divestitures | 572 | 12,920 | ||
Purchases of short term investments | 0 | (258,948) | ||
Proceeds from sales of short term investments | 23,000 | 190,064 | ||
Proceeds from sale of investments in equity investments and securities | 0 | 0 | ||
Investments in and advances to affiliates, net | (823) | (10,173) | ||
Withdrawals (deposits) of restricted cash | 10,512 | 70,836 | ||
Cash provided by (used in) investing activities | 17,984 | (59,802) | ||
Financing activities | ||||
Proceeds from issuance of term loan due 2024 | 0 | 298,500 | ||
Payments to extinguish term loan due 2021 | 0 | (325,684) | ||
Payments on term loan | (816) | (2,250) | ||
Net receipts (payments) on other debt | 3,374 | (694) | ||
Debt financing costs | 0 | (10,149) | ||
Dividends paid | 0 | (24,369) | ||
Purchases of treasury stock | 0 | (301,512) | ||
Expenses related to debt restructuring | 0 | (2,360) | ||
Other | 151 | (138) | ||
Cash provided by (used in) financing activities | 2,709 | (368,656) | ||
Increase (decrease) in cash and cash equivalents | 104,885 | (31,985) | ||
Cash and cash equivalents, beginning of period | 200,487 | 305,372 | ||
Cash and cash equivalents, end of period | 305,372 | $ 200,487 | 273,387 | |
SUPPLEMENTAL CASH FLOW INFORMATION | ||||
Cash paid during the period for interest | 39,620 | 34,691 | ||
Cash refunded during the period for income taxes, net | 287 | $ 7,958 | ||
Predecessor | ||||
Operating activties | ||||
Net income (loss) | 1,242,081 | $ (2,913,142) | ||
Adjustments to reconcile net income (loss) to cash provided by (used in) operating activities: | ||||
Depreciation, depletion and amortization | 191,581 | 379,345 | ||
Accretion on asset retirement obligations | 24,321 | 33,680 | ||
Amortization of sales contracts, net | (728) | (8,811) | ||
Prepaid royalties expensed | 4,791 | 8,109 | ||
Deferred income taxes | (419) | (367,210) | ||
Employee stock-based compensation expense | 2,096 | 5,760 | ||
Gains on disposals and divestitures | (6,628) | (2,270) | ||
Asset impairment and noncash mine closure costs | 119,194 | 2,613,345 | ||
Losses from disposed operations resulting from Patriot Coal bankruptcy | 0 | 116,343 | ||
Amortization relating to financing activities | 12,800 | 25,241 | ||
Net loss resulting from early retirement of debt and debt restructuring | 2,213 | 27,910 | ||
Non-cash bankruptcy reorganization items | (1,775,910) | 0 | ||
Changes in: | ||||
Receivables | (42,786) | 98,212 | ||
Inventories | 34,440 | (6,534) | ||
Coal derivative assets and liabilities | 5,678 | 973 | ||
Accounts payable, accrued expenses and other current liabilities | 15,316 | (15,532) | ||
Asset retirement obligations | (12,041) | (17,040) | ||
Pension, postretirement and other postemployment benefits | (15,692) | 4,800 | ||
Other | (28,525) | (27,546) | ||
Cash provided by (used in) operating activities | (228,218) | (44,367) | ||
Investing activities | ||||
Capital expenditures | (82,434) | (119,024) | ||
Minimum royalty payments | (305) | (5,871) | ||
Proceeds from disposals and divestitures | (2,921) | 2,191 | ||
Purchases of short term investments | (98,750) | (246,735) | ||
Proceeds from sales of short term investments | 185,859 | 290,205 | ||
Proceeds from sale of investments in equity investments and securities | 1,147 | 2,259 | ||
Investments in and advances to affiliates, net | (3,441) | (11,502) | ||
Withdrawals (deposits) of restricted cash | 15,979 | (91,864) | ||
Cash provided by (used in) investing activities | 15,134 | (180,341) | ||
Financing activities | ||||
Proceeds from issuance of term loan due 2024 | 0 | 0 | ||
Payments to extinguish term loan due 2021 | 0 | 0 | ||
Payments on term loan | 0 | (19,500) | ||
Net receipts (payments) on other debt | (11,986) | (11,332) | ||
Debt financing costs | (23,011) | 0 | ||
Dividends paid | 0 | 0 | ||
Purchases of treasury stock | 0 | 0 | ||
Expenses related to debt restructuring | (2,213) | (27,910) | ||
Other | 0 | 0 | ||
Cash provided by (used in) financing activities | (37,210) | (58,742) | ||
Increase (decrease) in cash and cash equivalents | (250,294) | (283,450) | ||
Cash and cash equivalents, beginning of period | $ 200,487 | 450,781 | 734,231 | |
Cash and cash equivalents, end of period | 200,487 | 450,781 | ||
SUPPLEMENTAL CASH FLOW INFORMATION | ||||
Cash paid during the period for interest | 79,979 | 283,337 | ||
Cash refunded during the period for income taxes, net | $ 49 | $ 4,138 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) $ in Thousands | Total | Common Stock | Paid-in Capital | Treasury Stock, at cost | Retained Earnings (Accumulated Deficit) | Accumulated Other Comprehensive Income (Loss) |
Beginning Balance (Predecessor) at Dec. 31, 2014 | $ 1,668,154 | $ 2,141 | $ 3,048,460 | $ (53,863) | $ (1,331,825) | $ 3,241 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Total comprehensive income (loss) | Predecessor | (2,918,198) | (2,913,142) | (5,056) | |||
Issuance of 64 shares of common stock under the stock incentive plan-restricted stock and restricted stock units, net of forfeitures | Predecessor | (5) | 4 | (9) | |||
Employee stock-based compensation expense | Predecessor | 5,760 | 5,760 | ||||
Ending Balance (Predecessor) at Dec. 31, 2015 | (1,244,289) | 2,145 | 3,054,211 | (53,863) | (4,244,967) | (1,815) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Total comprehensive income (loss) | Predecessor | 1,242,190 | 0 | 0 | 1,242,081 | 109 | |
Employee stock-based compensation expense | Predecessor | 2,099 | 2,099 | ||||
Elimination of predecessor equity | Predecessor | 0 | (2,145) | (3,056,310) | 53,863 | 3,002,886 | 1,706 |
Ending Balance (Predecessor) at Oct. 01, 2016 | 0 | 0 | 0 | 0 | 0 | 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Total comprehensive income (loss) | 57,903 | 33,449 | 24,454 | |||
Employee stock-based compensation expense | 1,032 | 1,032 | ||||
Issuance of successor equity | 687,483 | 250 | 687,233 | |||
Warrants exercised | 159 | 159 | ||||
Ending Balance at Dec. 31, 2016 | 746,577 | 250 | 688,424 | 0 | 33,449 | 24,454 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Total comprehensive income (loss) | 234,363 | 238,450 | (4,087) | |||
Issuance of 64 shares of common stock under the stock incentive plan-restricted stock and restricted stock units, net of forfeitures | 1,244 | 1,244 | ||||
Employee stock-based compensation expense | 10,437 | 10,437 | ||||
Dividends on common shares ($0.35/share) | (24,667) | (24,667) | ||||
Warrants exercised | 20 | 20 | ||||
Purchase of 3,977,215 shares of common stock under share repurchase program | (302,109) | (302,109) | ||||
Ending Balance at Dec. 31, 2017 | $ 665,865 | $ 250 | $ 700,125 | $ (302,109) | $ 247,232 | $ 20,367 |
Consolidated Statements of Sto8
Consolidated Statements of Stockholders' Equity (Deficit) (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2015 | |
Dividends (in dollars per share) | $ 1.05 | |
Predecessor | ||
shares issued stock plans RS and RSU | 64,000 | |
Successor | ||
shares issued stock plans RS and RSU | 17,233 | |
Dividends (in dollars per share) | $ 0.35 | |
Purchase of 3,977,215 shares of common stock under share repurchase program | 3,977,215 |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements include the accounts of Arch Coal, Inc. and its subsidiaries and controlled entities (the “Company”). Unless the context indicates otherwise, the terms “Arch” and the “Company” are used interchangeably in this Annual Report on Form 10-K refer to both the Predecessor and Successor Company. The Company’s primary business is the production of thermal and metallurgical coal from surface and underground mines located throughout the United States, for sale to utility, industrial and steel producers both in the United States and around the world. The Company currently operates mining complexes in West Virginia, Illinois, Wyoming and Colorado. All subsidiaries are wholly-owned. Intercompany transactions and accounts have been eliminated in consolidation. Chapter 11 Filing and Emergence from Bankruptcy On January 11, 2016 (the “Petition Date”), Arch and substantially all of its wholly owned domestic subsidiaries (the “Filing Subsidiaries” and, together with Arch, the “Debtors”) filed voluntary petitions for reorganization (collectively, the “Bankruptcy Petitions”) under Chapter 11 of Title 11 of the U.S. Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Eastern District of Missouri (the “Court”). The Debtor’s Chapter 11 Cases (collectively, the “Chapter 11 Cases”) were jointly administered under the caption In re Arch Coal, Inc., et al. Case No. 16-40120 (lead case). During the bankruptcy proceedings, each Debtor operated its business as a “debtor in possession” under the jurisdiction of the Court and in accordance with the applicable provisions of the Bankruptcy Code and the orders of the Court. For periods subsequent to filing the Bankruptcy Petitions, the Company applied the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 852, “Reorganizations”, in preparing its consolidated financial statements. ASC 852 requires that financial statements distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain revenues, expenses, realized gains and losses and provisions for losses that are realized or incurred in the bankruptcy proceedings have been recorded in a reorganization line item on the Consolidated Statement of Operations. In addition, the pre-petition obligations that may be impacted by the bankruptcy reorganization process were classified on the balance sheet as liabilities subject to compromise. On September 13, 2016, the Bankruptcy Court entered an order, Docket No. 1324, confirming the Debtors’ Fourth Amended Joint Plan of Reorganization under Chapter 11 of the Bankruptcy Code dated as of September 11, 2016 (the “Plan”), which order was amended on September 15, 2016, Docket No. 1334. On October 5, 2016, Arch Coal satisfied the closing conditions contemplated by the Plan, which became effective on that date (the “Effective Date”). On the Plan Effective Date, the Company applied fresh start accounting which required the Company to allocate its reorganization value to the fair value of assets and liabilities in conformity with the guidance for the acquisition method of accounting for business combinations. In addition to fresh start accounting, the Company’s consolidated financial statements reflect all impacts of the transactions contemplated by the Plan. Under the provisions of fresh start accounting, a new entity has been created for financial reporting purposes. The Company selected an accounting convenience date of October 1, 2016 for purposes of applying fresh start accounting as the activity between the convenience date and the Effective Date does not result in a material difference in the results. References to “Successor” in the financial statements and accompanying footnotes are in reference to reporting dates on or after October 2, 2016; references to “Predecessor” in the financial statements and accompanying footnotes are in reference to reporting dates through October 1, 2016 which includes the impact of the Plan provisions and the application of fresh start accounting. As such, the Company’s financial statements for the Successor will not be comparable in many respects to its financial statements for periods prior to the adoption of fresh start accounting and prior to the accounting for the effects of the Plan. |
Accounting Policies
Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Accounting Policies | Accounting Policies The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for financial reporting and U.S. Securities and Exchange Commission regulations. Accounting Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and revenues and expenses in the accompanying consolidated financial statements and the disclosure of contingent assets and liabilities. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents are stated at cost. Cash equivalents consist of highly-liquid investments with an original maturity of three months or less when purchased. Restricted cash Restricted cash represents cash collateral supporting letters of credit issued under the Company’s accounts receivable securitization program. Accounts Receivable Accounts receivable are recorded at amounts that are expected to be collected, based on past collection history, the economic environment and specified risks identified in the receivables portfolio. Inventories Coal and supplies inventories are valued at the lower of average cost or market. Coal inventory costs include labor, supplies, equipment costs, transportation costs incurred prior to the transfer of title to customers and operating overhead. The costs of removing overburden, called stripping costs, incurred during the production phase of the mine are considered variable production costs and are included in the cost of the coal extracted during the period the stripping costs are incurred. Investments and Membership Interests in Joint Ventures Investments and membership interests in joint ventures are accounted for under the equity method of accounting if the Company has the ability to exercise significant influence, but not control, over the entity. The Company’s share of the entity’s income or loss is reflected in “ Other operating expense (income), net ” in the consolidated statements of operations. Information about investment activity is provided in Note 10 to the Consolidated Financial Statements, “ Equity Method Investments and Membership Interests in Joint Ventures .” Investments in debt securities and marketable equity securities that do not qualify for equity method accounting are classified as available-for-sale and are recorded at their fair values. Unrealized gains and losses on these investments are recorded in other comprehensive income or loss. A decline in the value of an investment that is considered other-than-temporary would be recognized in operating expenses. Sales Contracts Coal supply agreements (sales contracts) valued during fresh start accounting or acquired in a business combination are capitalized at their fair value and amortized over the tons of coal shipped during the term of the contract. The fair value of a sales contract is determined by discounting the cash flows attributable to the difference between the contract price and the prevailing forward prices for the tons under contract at the date of acquisition. See Note 11 to the Consolidated Financial Statements, “ Sales Contracts ” for further information related to the Company’s sales contracts. Exploration Costs Costs to acquire permits for exploration activities are capitalized. Drilling and other costs related to locating coal deposits and evaluating the economic viability of such deposits are expensed as incurred. Prepaid Royalties Leased mineral rights are often acquired through royalty payments. When royalty payments represent prepayments recoupable against royalties owed on future revenues from the underlying coal, they are recorded as a prepaid asset, with amounts expected to be recouped within one year classified as current. When coal from these leases is sold, the royalties owed are recouped against the prepayment and charged to cost of sales. An impairment charge is recognized for prepaid royalties that are not expected to be recouped. Property, Plant and Equipment Plant and Equipment Plant and equipment were recorded at fair value at emergence during fresh start accounting; subsequent purchases of property, plant and equipment have been recorded at cost. Interest costs incurred during the construction period for major asset additions are capitalized. The Company did not capitalize any interest costs during years ended December 31, 2017 and 2016 , respectively. Expenditures that extend the useful lives of existing plant and equipment or increase the productivity of the asset are capitalized. The cost of maintenance and repairs that do not extend the useful life or increase the productivity of the asset is expensed as incurred. Preparation plants and loadouts are depreciated using the units-of-production method over the estimated recoverable reserves, subject to a minimum level of depreciation. Other plant and equipment are depreciated principally using the straight-line method over the estimated useful lives of the assets, limited by the remaining life of the mine. The useful lives of mining equipment, including longwalls, draglines and shovels, range from 7 to 18 years. The useful lives of buildings and leasehold improvements generally range from 1 to 21 years. Deferred Mine Development Costs of developing new mines or significantly expanding the capacity of existing mines are capitalized and amortized using the units-of-production method over the estimated recoverable reserves that are associated with the property being benefited. Costs may include construction permits and licenses; mine design; construction of access roads, shafts, slopes and main entries; and removing overburden to access reserves in a new pit. Additionally, deferred mine development includes the asset cost associated with asset retirement obligations. Coal sales revenue related to incidental production during the development phase will be recorded as coal sales revenue with an offset to cost of coal sales based on the estimated cost per ton sold for the mine when the asset is in place for its intended use. Coal Lands and Mineral Rights Rights to coal reserves may be acquired directly through governmental or private entities. A significant portion of the Company’s coal reserves are controlled through leasing arrangements. Lease agreements are generally long-term in nature (original terms range from 10 to 50 years), and substantially all of the leases contain provisions that allow for automatic extension of the lease term providing certain requirements are met. The net book value of the Company’s coal interests was $361.2 million and $381.0 million at December 31, 2017 and 2016 , respectively. Payments to acquire royalty lease agreements and lease bonus payments are capitalized as a cost of the underlying mineral reserves and depleted over the life of proven and probable reserves. Coal lease rights are depleted using the units-of-production method, and the rights are assumed to have no residual value. The Company currently does not have any future lease bonus payments. Depreciation, depletion and amortization The depreciation, depletion and amortization related to long-lived assets is reflected in the statement of operations as a separate line item. No depreciation, depletion or amortization is included in any other operating cost categories. Impairment If facts and circumstances suggest that the carrying value of a long-lived asset or asset group may not be recoverable, the asset or asset group is reviewed for potential impairment. If this review indicates that the carrying amount of the asset will not be recoverable through projected undiscounted cash flows generated by the asset and its related asset group over its remaining life, then an impairment loss is recognized by reducing the carrying value of the asset to its fair value. The Company may, under certain circumstances, idle mining operations in response to market conditions or other factors. Because an idling is not a permanent closure, it is not considered an automatic indicator of impairment. See additional discussion in Note 6 to the Consolidated Financial Statements, “ Impairment Charges and Mine Closure Costs .” Deferred Financing Costs The Company capitalizes costs incurred in connection with new borrowings, the establishment or enhancement of credit facilities and the issuance of debt securities. These costs are amortized as an adjustment to interest expense over the life of the borrowing or term of the credit facility using the interest method. Debt issuance costs related to a recognized liability are presented in the balance sheet as a direct reduction from the carrying amount of that liability whereas debt issuance costs related to a credit facility with no balance outstanding are shown as an asset. The unamortized balance of deferred financing costs shown as an asset was $5.3 million at December 31, 2017 , with $2.3 million classified as current; the unamortized balance of deferred financing costs shown as an asset at December 31, 2016 was $5.2 million with $1.9 million classified as current. The current amounts are classified within “Other current assets” and the noncurrent amounts are classified within “Other noncurrent assets.” For information on the unamortized balance of deferred financing fees related to outstanding debt, see Note 14 to the Consolidated Financial Statements, “ Debt and Financing Arrangements .” Revenue Recognition Revenues include sales to customers of coal produced at Company operations and coal purchased from third parties. The Company recognizes revenue at the time risk of loss passes to the customer at contracted amounts. Transportation costs are included in cost of sales and amounts billed by the Company to its customers for transportation are included in revenues. Other Operating Expense (Income), net Other operating expense (income), net in the accompanying consolidated statements of operations reflects income and expense from sources other than physical coal sales, including: bookouts, or the practice of offsetting purchase and sale contracts for shipping convenience purposes; contract settlements; liquidated damage charges related to unused terminal and port capacity; royalties earned from properties leased to third parties; income from equity investments (Note 10 , “ Equity Method Investments and Membership Interests in Joint Ventures ”); non-material gains and losses from divestitures and dispositions of assets; and realized gains and losses on derivatives that do not qualify for hedge accounting and are not held for trading purposes (Note 12 , “ Derivatives ”). Asset Retirement Obligations The Company’s legal obligations associated with the retirement of long-lived assets are recognized at fair value at the time the obligations are incurred. Accretion expense is recognized through the expected settlement date of the obligation. Obligations are incurred at the time development of a mine commences for underground and surface mines or construction begins for support facilities, refuse areas and slurry ponds. The obligation’s fair value is determined using a discounted cash flow technique and is based upon permit requirements and various estimates and assumptions that would be used by market participants, including estimates of disturbed acreage, reclamation costs and assumptions regarding equipment productivity. Upon initial recognition of a liability, a corresponding amount is capitalized as part of the carrying value of the related long-lived asset. The Company reviews its asset retirement obligation at least annually and makes necessary adjustments for permit changes as granted by state authorities and for revisions of estimates of the amount and timing of costs. For ongoing operations, adjustments to the liability result in an adjustment to the corresponding asset. For idle operations, adjustments to the liability are recognized as income or expense in the period the adjustment is recorded. Any difference between the recorded obligation and the actual cost of reclamation is recorded in profit or loss in the period the obligation is settled. See additional discussion in Note 16 , “ Asset Retirement Obligations .” Loss Contingencies The Company accrues for cost related to contingencies when a loss is probable and the amount is reasonably determinable. Disclosure of contingencies is included in the financial statements when it is at least reasonably possible that a material loss or an additional material loss in excess of amounts already accrued may be incurred. The amount accrued represents the Company’s best estimate of the loss, or, if no best estimate within a range of outcomes exists, the minimum amount in the range. Derivative Instruments The Company generally utilizes derivative instruments to manage exposures to commodity prices and interest rate risk on long-term debt. Additionally, the Company may hold certain coal derivative instruments for trading purposes. Derivative financial instruments are recognized in the balance sheet at fair value. Certain coal contracts may meet the definition of a derivative instrument, but because they provide for the physical purchase or sale of coal in quantities expected to be used or sold by the Company over a reasonable period in the normal course of business, they are not recognized on the balance sheet. Certain derivative instruments are designated as the hedge instrument in a hedging relationship. In a fair value hedge, the Company hedges the risk of changes in the fair value of a firm commitment, typically a fixed-price coal sales contract. Changes in both the hedged firm commitment and the fair value of a derivative used as a hedge instrument in a fair value hedge are recorded in earnings. In a cash flow hedge, the Company hedges the risk of changes in future cash flows related to the underlying item being hedged. Changes in the fair value of the derivative instrument used as a hedge instrument in a cash flow hedge are recorded in other comprehensive income or loss. Amounts in other comprehensive income or loss are reclassified to earnings when the hedged transaction affects earnings and are classified in a manner consistent with the transaction being hedged. The Company formally documents the relationships between hedging instruments and the respective hedged items, as well as its risk management objectives for hedge transactions. The Company evaluates the effectiveness of its hedging relationships both at the hedge’s inception and on an ongoing basis. Any ineffective portion of the change in fair value of a derivative instrument used as a hedge instrument in a fair value or cash flow hedge is recognized immediately in earnings. The ineffective portion is based on the extent to which exact offset is not achieved between the change in fair value of the hedge instrument and the cumulative change in expected future cash flows on the hedged transaction from inception of the hedge in a cash flow hedge or the change in the fair value. Ineffectiveness was insignificant for the periods disclosed within. See Note 12 , “ Derivatives ” for further disclosures related to the Company’s derivative instruments. Fair Value Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly hypothetical transaction between market participants at a given measurement date. Valuation techniques used must maximize the use of observable inputs and minimize the use of unobservable inputs. See Note 17 , “ Fair Value Measurements ” for further disclosures related to the Company’s recurring fair value estimates. Income Taxes Deferred income taxes are provided for temporary differences arising from differences between the financial statement and tax basis of assets and liabilities existing at each balance sheet date using enacted tax rates anticipated to be in effect when the related taxes are expected to be paid or recovered. A valuation allowance is established if it is more likely than not that a deferred tax asset will not be realized. Management reassesses the ability to realize its deferred tax assets annually in the fourth quarter or when circumstances indicate that the ability to realize deferred tax assets has changed. In determining the need for a valuation allowance, the Company considers projected realization of tax benefits based on expected levels of future taxable income, available tax planning strategies and the reversal of temporary differences. Benefits from tax positions that are uncertain are not recognized unless the Company concludes that it is more likely than not that the position would be sustained in a dispute with taxing authorities, should the dispute be taken to the court of last resort. The Company would measure any such benefit at the largest amount of benefit that is greater than 50 percent likely of being realized upon settlement with taxing authorities. See Note 15 , “ Taxes ” for further disclosures about income taxes. Benefit Plans The Company has non-contributory defined benefit pension plans covering most of its salaried and hourly employees. On January 1, 2015 the Company’s cash balance and excess pension plans were amended to freeze new service credits for any new or active employee. The Company also currently provides certain postretirement medical and life insurance coverage for eligible employees. The cost of providing these benefits is determined on an actuarial basis and accrued over the employee’s period of active service. The Company recognizes the overfunded or underfunded status of these plans as determined on an actuarial basis on the balance sheet and the changes in the funded status are recognized in other comprehensive income. The Company amortizes actuarial gains and losses over the remaining service attribution periods of the employees using the corridor method. See Note 21 , “ Employee Benefit Plans ” for additional disclosures relating to these obligations. Stock-Based Compensation The compensation cost of all stock-based awards is determined based on the grant-date fair value of the award, and is recognized over the requisite service period. The grant-date fair value of option awards and restricted stock awards with a market condition is determined using a Monte Carlo simulation. Compensation cost for an award with performance conditions is accrued if it is probable that the conditions will be met. The Company accounts for forfeitures as they occur. See further discussion in Note 19 , “ Stock-Based Compensation and Other Incentive Plans .” Recently Adopted Accounting Guidance In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Compensation - Stock Compensation (Topic 718) ("ASU 2016-09"). ASU 2016-09 identifies areas for simplification involving several aspects of accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, an option to recognize gross stock compensation expense with actual forfeitures recognized as they occur, as well as certain classifications on the statement of cash flows. The Company adopted all provisions of this new accounting standard in the first quarter of 2017 and changed its forfeiture policy to recognize the impact of forfeitures when they occur from estimating expected forfeitures in determining stock-based compensation expense. There was no material impact to the Company's financial statements. Recent Accounting Guidance Issued Not Yet Effective In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers.” ASU 2014-09 is a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. ASU 2014-09 requires that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017. The Company’s primary source of revenue is from the sale of coal through both short-term and long-term contracts with utilities, industrial customers and steel producers whereby revenue is currently recognized when risk of loss has passed to the customer. During the fourth quarter of 2017, the Company finalized its assessment related to the new standard by analyzing certain contracts representative of the majority of the Company’s coal sales and determined that the timing of revenue recognition related to the Company’s coal sales will remain consistent between the new standard and the current standard. The Company also reviewed other sources of revenue, and concluded the current basis of accounting for these items is in accordance with the new standard. The Company has concluded its adoption, using the modified retrospective method, will not have a material impact on its consolidated financial statements and there will be no cumulative adjustment to retained earnings. The Company also reviewed the disclosure requirements under the new standard and is compiling information needed for the expanded disclosures required during the first quarter of 2018. In February 2016, the FASB issued ASU No. 2016-02, “Leases” which, for operating leases, requires a lessee to recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in its balance sheet. The standard also requires a lessee to recognize a single lease cost, calculated so that the cost of the lease is allocated over the term of the lease, on a generally straight line basis. The ASU is effective for public companies for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years; early adoption is permitted. The Company has both operating and capital leases. We expect the adoption of this standard to result in the recognition of right-of-use assets and lease liabilities not currently recorded on the Company’s financial statements. The Company is currently in the process of accumulating all contractual lease arrangements in order to determine the impact on its financial statements. In August 2016, the FASB issued ASU No. 2016-15, “Classification of Certain Cash Receipts and Cash Payments.” The amendment requires the classification of certain cash receipts and cash payments in the statement of cash flows to reduce diversity in practice. The new guidance will be effective for fiscal years beginning after December 15, 2017 and the interim periods therein, with early adoption permitted. The amendments in the classification should be applied retrospectively to all periods presented, unless deemed impracticable, in which case, the prospective application is permitted. The Company plans to adopt the guidance in this standard during the first quarter of 2018. In October 2016, the FASB issued ASU No. 2016-18, “Statement of Cash Flows-Restricted Cash.” The amendment requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning period and end of period total amounts shown on the statement of cash flows. ASU 2016-18 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years; early adoption is permitted. The Company plans to adopt the guidance in this standard during the first quarter of 2018. In March 2017, the FASB issued ASU No. 2017-07, “Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost.” Under the new guidance, employers will present the service cost component of the net periodic benefit cost in the same income statement line item(s) as other employee compensation costs arising from services rendered during the period. Employers will present the other components separately from the line item(s) that includes the service cost and outside of any subtotal of operating income, if one is presented. Employers will have to disclose the line(s) used to present the other components of net periodic benefit cost, if the components are not presented separately in the income statement. Additionally, only the service cost component will be eligible for capitalization in assets. ASU 2017-07 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal year; early adoption is permitted. The Company plans to adopt the guidance in this standard during the first quarter of 2018. In August 2017, the FASB issued ASU No. 2017-12, “Targeted Improvements to Accounting for Hedging Activities.” The new guidance provides targeted improvements to the accounting for hedging activities to better align an entity’s risk management activities and financial reporting for hedging relationships through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedging results. ASU 2017-12 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years; early adoption is permitted. The Company anticipates early adopting the standard in the first quarter of 2018, although we do not expect a significant impact to the Company’s financial results. |
Emergence from Bankruptcy and F
Emergence from Bankruptcy and Fresh Start Accounting | 12 Months Ended |
Dec. 31, 2017 | |
Reorganizations [Abstract] | |
Emergence from Bankruptcy and Fresh Start Accounting | Emergence from Bankruptcy and Fresh Start Accounting On January 11, 2016 (the “Petition Date”), Arch and substantially all of its wholly owned domestic subsidiaries (the “Filing Subsidiaries” and, together with Arch, the “Debtors”) filed voluntary petitions for reorganization (collectively, the “Bankruptcy Petitions”) under Chapter 11 of Title 11 of the U.S. Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Eastern District of Missouri (the “Court”). The Debtor’s Chapter 11 Cases (collectively, the “Chapter 11 Cases”) were jointly administered under the caption In re Arch Coal, Inc., et al. Case No. 16-40120 (lead case). During the bankruptcy proceedings, each Debtor operated its business as a “debtor in possession” under the jurisdiction of the Court and in accordance with the applicable provisions of the Bankruptcy Code and the orders of the Court. For periods subsequent to filing the Bankruptcy Petitions, the Company applied the FASB Accounting Standards Codification (“ASC”) 852, “Reorganizations”, in preparing its consolidated financial statements. ASC 852 requires that financial statements distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain revenues, expenses, realized gains and losses and provisions for losses that are realized or incurred in the bankruptcy proceedings have been recorded in a reorganization line item on the Consolidated Statement of Operations. In addition, the pre-petition obligations that may be impacted by the bankruptcy reorganization process were classified on the balance sheet as liabilities subject to compromise. On September 13, 2016, the Bankruptcy Court entered an order, Docket No. 1324, confirming the Debtors’ Fourth Amended Joint Plan of Reorganization under Chapter 11 of the Bankruptcy Code dated as of September 11, 2016 (the “Plan”), which order was amended on September 15, 2016, Docket No. 1334. On October 5, 2016, Arch Coal satisfied the closing conditions contemplated by the Plan, which became effective on that date (the “Effective Date”). On the Plan Effective Date, the Company applied fresh start accounting which required the Company to allocate its reorganization value to the fair value of assets and liabilities in conformity with the guidance for the acquisition method of accounting for business combinations. In addition to fresh start accounting, the Company’s consolidated financial statements reflect all impacts of the transactions contemplated by the Plan. Under the provisions of fresh start accounting, a new entity has been created for financial reporting purposes. The Company selected an accounting convenience date of October 1, 2016 for purposes of applying fresh start accounting as the activity between the convenience date and the Effective Date does not result in a material difference in the results. References to “Successor” in the financial statements and accompanying footnotes are in reference to reporting dates on or after October 2, 2016; references to “Predecessor” in the financial statements and accompanying footnotes are in reference to reporting dates through October 1, 2016 which includes the impact of the Plan provisions and the application of fresh start accounting. As such, the Company’s financial statements for the Successor will not be comparable in many respects to its financial statements for periods prior to the adoption of fresh start accounting and prior to the accounting for the effects of the Plan. The following is a summary of certain provisions of the Plan, as confirmed by the Bankruptcy Court pursuant to the Confirmation Order, and is not intended to be a complete description of the Plan. Treatment of Claims The Plan contemplates that: • Holders of allowed administrative expense claims, priority claims (other than administrative expense claims and priority tax claims) and secured claims (other than claims arising under priority claims, the prepetition first lien credit facility and prepetition second lien notes) will be paid in full. • Holders of allowed claims arising under the Debtors’ prepetition first lien credit facility (“First Lien Credit Facility”) will receive their pro rata distribution of (i) total cash payments equal to the greater of (A) $144.8 million less the amount of the adequate protection payments and (B) $30 million ; (ii) $326.5 million in principal amount of New First Lien Debt Facility; and (iii) 94% of the common stock of Reorganized Arch Coal (the “New Common Stock”), subject to dilution on account of (a) any Class A Common Stock (as defined below) issued upon exercise of the warrants (the “New Warrants”) issued pursuant to the Plan to purchase up to 12% of the fully diluted Class A Common Stock as of the Effective Date and exercisable at any time for a period of 7 years from the Effective Date at a strike price calculated based on a total equity capitalization of $1.425 billion ( $57 per share) and (b) the issuance of New Common Stock in an amount of up to 10% of the New Common Stock, on a fully diluted basis, pursuant to a management incentive plan (the “Management Incentive Plan”). • Holders of allowed claims on account of prepetition second lien or unsecured notes (the “Prepetition Notes”) will receive their pro rata distribution of (i) $22.636 million in cash, (ii) at such holder’s election, either (A) such holder’s pro rata share of the New Warrants or (B) such holder’s pro rata share of $25 million in cash and (iii) 6% of the New Common Stock (subject to dilution on account of any exercise of the New Warrants and pursuant to the Management Incentive Plan). • Holders of allowed general unsecured claims against Debtors (other than claims on account of the First Lien Credit Facility or Prepetition Notes) will receive their pro rata distribution of $7.364 million cash, less fees and expenses incurred by any professionals retained by a claims oversight committee up to $200,000 . • The Reorganized Debtors will waive and release any claims or causes of action that they have, had, or may have that are based on sections 502(d), 544, 545, 547, 548, 549, 550, 551, 553(b) and 724(a) of the Bankruptcy Code and analogous non-bankruptcy law for all purposes against (i) prepetition trade creditors and (ii) officers, directors, employees or representatives of the Debtors or the Reorganized Debtors and all agents and representatives of all of the foregoing. However, the Reorganized Debtors will retain the right to assert any said claims as defenses or counterclaims in any cause of action brought by any creditor. Warrant Agreement On the Effective Date, the Company entered into a warrant agreement (the “Warrant Agreement”) with American Stock Transfer & Trust Company, LLC as warrant agent and, pursuant to the terms of the Plan, issued warrants (“Warrants”) to purchase up to an aggregate of 1,914,856 shares of Class A Common Stock, par value $0.01 per share, of Arch Coal (the “Class A Common Stock”) to holders of claims arising under the Cancelled Notes (as defined below). Each Warrant expires on October 5, 2023, and is initially exercisable for one share of Class A Common Stock at an initial exercise price of $57.00 per share. The Warrants are exercisable by a holder paying the exercise price in cash or on a cashless basis, at the election of the holder. The Warrants contain anti-dilution adjustments for stock splits, reverse stock splits, stock dividends, dividends and distributions of cash, other securities or other property, spin-offs and tender and exchange offers by Arch Coal or its subsidiaries to purchase Class A Common Stock at above-market prices. If, in connection with a merger, recapitalization, business combination, transfer to a third party of substantially all of Arch Coal’s consolidated assets or other transaction that results in a change to the Class A Common Stock (each, a “Transaction”), (i) the Transaction is consummated prior to the fifth anniversary of the Effective Date and the Transaction consideration to holders of Class A Common Stock is 90% or more listed common stock or common stock of a company that provides publicly available financial reporting, and holds management calls regarding the same, no less than quarterly (“Reporting Stock”) or (ii) regardless of the consideration, the Transaction is consummated on or after the fifth anniversary of the Effective Date, the Warrants will be assumed by the surviving company and will become exercisable for the consideration that the holders of Class A Common Stock receive in such Transaction; provided that if the consideration such holders receive consists solely of cash, then upon the consummation of such Transaction, Arch Coal will pay for each Warrant an amount of cash equal to the greater of (i) (x) the amount of cash payable with respect to the number of shares of Class A Common Stock underlying the Warrant minus (y) the exercise price per share then in effect multiplied by the number of shares of Class A Common Stock underlying the Warrant and (ii) $0 . If a Transaction is consummated prior to the fifth anniversary of the Effective Date in which the Transaction consideration is less than 90% Reporting Stock, a portion of the Warrants corresponding to the portion of the Transaction consideration that is Reporting Stock will be assumed by the surviving company and will become exercisable for the Reporting Stock consideration that the holders of Class A Common Stock receive in such Transaction, and the portion of the Warrants corresponding to the portion of the Transaction consideration that is not Reporting Stock will, at the option of each holder, (i) be assumed by the surviving company and will become exercisable for the consideration that the holders of Class A Common Stock receive in such Transaction or (ii) be redeemed by Arch Coal for cash in an amount equal to the Black Scholes Payment (as defined in the Warrant Agreement). Termination of Material Definitive Agreements On the Effective Date, by operation of the Plan, all outstanding obligations under the following notes issued by Arch Coal and guaranteed by certain subsidiary guarantors, (collectively, the “Cancelled Notes”) were cancelled and the indentures governing such obligations were cancelled except as necessary to (a) enforce the rights, claims and interests of the applicable trustee vis-a-vis any parties other than the Debtors, (b) allow each trustee to receive distributions under the Plan and to distribute them to the holders of the Cancelled Notes in accordance with the terms of the applicable indenture, (c) preserve any rights of the applicable trustee to compensation, reimbursement and indemnification under each of the applicable indentures solely as against any money or property distributable to holders of Cancelled Notes, (iv) permit each of the trustees to enforce any obligation owed to them under the Plan and (v) permit each of the trustees to appear in the Chapter 11 cases or in any proceeding in the Bankruptcy Court or any other court: • 7.000% Senior Notes due 2019, issued pursuant to an indenture dated as of June 14, 2011, by and among Arch Coal, as issuer, UMB Bank National Association, as trustee, and the guarantors named therein, as amended, supplemented or revised thereafter; • 7.250% Senior Notes due 2020, issued pursuant to an indenture dated as of August 9, 2010, by and among Arch Coal, as issuer, U.S. Bank National Association, as trustee, and the guarantors named therein, as amended, supplemented or revised thereafter; • 7.250% Senior Notes due 2021, issued pursuant to an indenture dated as of June 14, 2011, by and among Arch Coal, as issuer, UMB Bank National Association, as trustee, and the guarantors named therein, as amended, supplemented or revised thereafter; • 9.875% Senior Notes due 2019, issued pursuant to an indenture dated as of November 21, 2012, by and among Arch Coal, as issuer, UMB Bank National Association, as trustee, and the guarantors named therein, as amended, supplemented or revised thereafter; and • 8.000% Second Lien notes due 2019, issued pursuant to an indenture dated as of December 17, 2013, by and among Arch Coal, as issuer, Wilmington Savings Fund Society, as trustee and collateral agent as successor to UMB Bank National Association, and the guarantors named therein, as amended, supplemented or revised thereafter. On the Effective Date, by operation of the Plan, all outstanding obligations under the following credit agreement (the “Prepetition Credit Agreement”) entered into by Arch Coal and guaranteed by certain of Arch Coal’s subsidiaries and the related collateral, guaranty and other definitive agreements relating to the Prepetition Credit Agreement were cancelled and the Prepetition Credit Agreement was cancelled except as necessary to (i) enforce the rights, claims and interests of the Prepetition Agent (as defined below) and any predecessor thereof vis-a-vis the Lenders and any parties other than the Debtors, (ii) to allow the Prepetition Agent to receive distributions under the Plan and to distribute them to the lenders under the Prepetition Credit Agreement and (iii) preserve any rights of the Prepetition Agent and any predecessor thereof as against any money or property distributable to holders of claims arising out of the Prepetition Credit Agreement or any related transaction documents, including any priority in respect of payment and the right to exercise any charging lien: • Amended and Restated Credit Agreement, dated as of June 14, 2011 (as amended by the First Amendment, dated as of May 16, 2012, the Second Amendment, dated as of November 20, 2012, the Third Amendment, dated as of November 21, 2012 and the Fourth Amendment, dated as of December 17, 2013), among Arch Coal, Inc., as borrower, the lenders from time to time party thereto, Wilmington Trust, National Association, in its capacities as term loan facility administrative agent (as successor to Bank of America, N.A. in such capacity) and collateral agent (as successor to PNC Bank, National Association in such capacity) (in such capacities, the “Prepetition Agent”) On the Effective Date, all outstanding obligations under the following credit agreement (the “DIP Credit Agreement”) other than contingent and/or unliquidated obligations were paid in cash in full, all commitments under the DIP Credit Agreement and the related transaction documents referred to therein as the “Loan Documents” were terminated, all liens on property of the Debtors arising out of or related to the DIP Facility terminated and the Loan Documents were cancelled except with respect to (a) contingent and and/or unliquidated obligations under the Loan Documents which survive the Effective Date and continue to be governed by the Loan Documents and (b) the relationships among the DIP Agent (as defined below) and the lenders under the DIP Credit Agreement, as applicable, including but not limited to, those provisions relating to the rights of the DIP Agent and the lenders to expense reimbursement, indemnification and other similar amounts, certain reinstatement obligations set forth in the DIP Credit Agreement and any provisions that may survive termination or maturity of the credit facility governed by the DIP Credit Agreement in accordance with the terms thereof: • Superpriority Secured Debtor-In-Possession Credit Agreement, dated as of January 21, 2016 (as amended by the Waiver and Consent and Amendment No. 1, dated as of March 4, 2016, Amendment No. 2, dated as of March 28, 2016, Amendment No. 3, dated as of April 26, 2016, Amendment No. 4, dated as of June 10, 2016, Amendment No. 5, dated as of June 23, 2016, Amendment No. 6, dated as of July 20, 2016, and Amendment No. 7, dated as of September 28, 2016) among Arch Coal, Inc., as borrower, certain subsidiaries of Arch Coal, Inc., as guarantors, the lenders from time to time party there and Wilmington Trust, National Association, in its capacity as administrative agent and as collateral agent (in such capacities, the “DIP Agent”). Equity Securities Under the Plan, 24,589,834 shares of Class A Common Stock and 410,166 shares of Class B Common Stock, par value $.01 per share, (“Class B Common Stock” and together with Class A Common Stock, “Common Stock”) were distributed to the secured lenders and to certain holders of general unsecured claims under the Plan on the Effective Date. In addition, on the Effective Date, Arch Coal issued Warrants to purchase up to an aggregate of 1,914,856 shares of Class A Common Stock. Arch Coal relied, based on the confirmation order it received from the Bankruptcy Court, on Section 1145(a)(1) of the U.S. Bankruptcy Code to exempt from the registration requirements of the Securities Act of 1933, as amended (i) the offer and sale of Common Stock to the secured lenders and to the general unsecured creditors, (ii) the offer and sale of the Warrants to the holders of claims arising under the Cancelled Notes and (iii) the offer and sale of the Class A Common Stock issuable upon exercise of the Warrants. Section 1145(a)(1) of the Bankruptcy Code exempts the offer and sale of securities under a plan of reorganization from registration under Section 5 of the Securities Act and state laws if three principal requirements are satisfied: • the securities must be offered and sold under a plan of reorganization and must be securities of the debtor, of an affiliate participating in a joint plan of reorganization with the debtor or of a successor to the debtor under the plan of reorganization; • the recipients of the securities must hold claims against or interests in the debtor; and • the securities must be issued in exchange, or principally in exchange, for the recipient’s claim against or interest in the debtor. Reorganization Value Fresh start accounting provides, among other things, for a determination of the value to be assigned to the equity of the emerging company as of a date selected for financial reporting purposes. In conjunction with the bankruptcy proceedings, a third party financial advisor provided an enterprise value of the Company of approximately $650 million to $950 million . The final equity value of $687.5 million was based upon the approximate high end of the enterprise value established by the third party valuation plus excess cash of $64 million less the fair value of debt related to the New First Lien Debt Facility of $326.5 million . The high end of the enterprise value assumed a minimum cash balance at emergence of $250 million . The enterprise value of the Company was estimated using various valuation methods including: (i) comparable public company analysis, (ii) discounted cash flow analysis (“DCF”) and (iii) sum-of-the-parts analysis. The comparable public company analysis is based on the enterprise value of selected publicly traded companies that have operating and financial characteristics comparable in certain respects to the Company, for example, operational requirements and risk and profitability characteristics. Selected companies are comprised of coal mining companies with primary operations in the United States. Under this methodology, certain financial multiples and ratios that measure financial performance and value are calculated for each selected company and then applied to the Company’s financials to imply an enterprise value for the Company. The DCF analysis is a forward-looking enterprise valuation methodology that estimates the value of an assets or business by calculating the present value of expected future cash flows by that asset or business. The basis of the DCF analysis was the Company’s prepared projections which included a variety of estimates and assumptions, such as pricing and demand for coal. The Company’s pricing was based on its view of the market taking into account third party forward pricing curves adjusted for the quality of products sold by the Company. While the Company considers such estimates and assumptions reasonable, they are inherently subject to significant business, economic and competitive uncertainties, many of which are beyond the Company’s control and, therefore, may not be realized. Changes in these estimates and assumptions may have a significant effect on the determination of the Company’s enterprise value. The assumptions used in the calculations for the DCF analysis included projected revenue, cost and cash flows for the years ending December 31, 2016 through each respective mine life and represented the Company’s best estimates at the time the analysis was prepared. The DCF analysis was completed using discount rates at a range of estimated weighted average costs of capital ranging from 13.25% to 15.25% . The DCF analysis involves complex considerations and judgments concerning appropriate discount rates. Due to the unobservable inputs to the valuation, the fair value would be considered Level 3 in the fair value hierarchy. The sum-of-the-parts analysis is a more detailed market multiples approach the values each part of a company’s business separately based upon the enterprise values of selected publicly traded companies that have operating and financial characteristics comparable in certain respects to each part of the reorganized Company. Under this methodology, certain financial multiples and ratios that measure financial performance and value are calculated for each selected comparable company and then applied to the relevant segment of the Company’s financials to imply an enterprise value for the Company. Accounting Impact of Emergence Upon emergence in accordance with ASC 852, the Company applied fresh start accounting to its consolidated financial statements as of October 1, 2016 because (i) the reorganization value of the assets of the emerging entity immediately before the date of confirmation was less than the total of all postpetition liabilities and allowed claims and (ii) the holders of the existing voting shares immediately before confirmation received less than 50 percent of the voting shares of the emerging entity. Upon adoption of fresh start accounting, the Company became a new entity for financial reporting purposes reflecting the Successor capital structure. As such, a new accounting basis in the identifiable assets and liabilities assumed was established with no retained earnings or accumulated other comprehensive income (loss) (“OCI”). The following balance sheet illustrates the impacts of the implementation of the Plan and the application of fresh start accounting, which results in the opening balance sheet of the Successor company. As of October 1, 2016 (In thousands) Predecessor (a) Effect of Plan (b) Fresh Start Adjustments (c) Successor Assets Current assets Cash and cash equivalents $ 400,205 $ (199,718 ) (d) $ — $ 200,487 Short term investments 111,451 — — 111,451 Restricted cash 81,563 — — 81,563 Trade accounts receivable 165,522 — — 165,522 Other receivables 17,227 — 779 (j) 18,006 Inventories 159,410 — (21,078 ) (k) 138,332 Prepaid royalties 4,805 — — 4,805 Deferred income taxes — — — — Coal derivative assets 2,180 — — 2,180 Other current assets 36,960 6,367 53,851 (l) 97,178 Total current assets 979,323 (193,351 ) 33,552 819,524 Property, plant and equipment, net 3,434,941 — (2,363,829 ) (m) 1,071,112 Other assets Prepaid royalties 20,997 — (20,997 ) (n) — Equity investments 164,232 — (61,606 ) (o) 102,626 Other noncurrent assets 58,569 34,495 (e) 37,503 (p) 130,567 Total other assets 243,798 34,495 (45,100 ) 233,193 Total assets $ 4,658,062 $ (158,856 ) $ (2,375,377 ) $ 2,123,829 Liabilities and Stockholders’ Equity (Deficit) Liabilities not subject to compromise Accounts payable $ 74,595 $ — $ (250 ) (q) $ 74,345 Accrued expenses and other current liabilities 225,739 (36,331 ) (f) 26,644 (r) 216,052 Current maturities of debt 3,397 3,265 (g) — 6,662 Total current liabilities 303,731 (33,066 ) 26,394 297,059 Long-term debt 30,037 323,235 (g) — 353,272 Asset retirement obligations 394,699 — (60,570 ) (s) 334,129 Accrued pension benefits 23,716 — 24,565 (t) 48,281 Accrued other postretirement benefits 87,123 — 24,836 (t) 111,959 Accrued workers’ compensation 119,828 — 74,520 (u) 194,348 Deferred income taxes — — — — Other noncurrent liabilities 96,410 — 888 (v) 97,298 Total liabilities not subject to compromise 1,055,544 290,169 90,633 1,436,346 Liabilities subject to compromise 5,278,612 (5,278,612 ) (h) — — Total liabilities 6,334,156 (4,988,443 ) 90,633 1,436,346 Stockholders’ equity (deficit) Common stock, predecessor 2,145 (2,145 ) (i) — — Common stock, successor — 250 (b) — 250 Paid-in capital, predecessor 3,056,307 (3,056,307 ) (i) — — Paid-in capital, successor — 687,233 (b) — 687,233 Treasury stock, at cost (53,863 ) 53,863 (i) — — Accumulated earnings (deficit) (4,678,977 ) 7,146,693 (i) (2,467,716 ) — Accumulated other comprehensive income (loss) (1,706 ) — 1,706 — Total stockholders’ equity (deficit) (1,676,094 ) 4,829,587 (2,466,010 ) 687,483 Total liabilities and stockholders’ equity (deficit) $ 4,658,062 $ (158,856 ) $ (2,375,377 ) $ 2,123,829 (a) Represents the Predecessor consolidated balance sheet as of October 1, 2016. (b) Represents amounts recorded for the implementation of the Plan on the Effective Date. This includes the settlement of liabilities subject to compromise through a combination of cash payments, the issuance of new common stock and warrants and the issuance of new debt. The following is the calculation of the total pre-tax gain on the settlement of the liabilities subject to compromise: In thousands Liabilities subject to compromise $ 5,278,612 Less amounts issued to settle claims: Common stock (at par) Successor (250 ) Warrants Successor (14,822 ) Paid-in capital Successor (672,411 ) Issuance of Term Loan Successor (326,500 ) Cash payment to settle claims and professional fees (122,525 ) Total pre-tax gain on plan effects $ 4,142,104 (c) Represents the fresh start accounting adjustments required to record the assets and liabilities of the Company at fair value. (d) The following table reflects the use of cash at emergence: In thousands Payment to secured lenders $ 43,496 Payments to unsecured creditors 42,399 Final adequate protection payment 36,331 Collateral requirements 31,665 Professional fees 31,630 Other 14,197 Total cash outflow at emergence $ 199,718 (e) Represents amounts paid for required collateral deposits. (f) Represents the final adequate protection payments made to the secured lenders. (g) Represents the fair value of the $326.5 million new term loan of which $3.3 million is shown within current maturities of debt. (h) Liabilities subject to compromise include unsecured or under-secured liabilities incurred prior to the Chapter 11 filing; and consists of the following: Previously Reported Balance Sheet Line In thousands Debt $ 5,026,806 Accrued expenses and other current liabilities 136,295 Accounts payable 106,297 Other noncurrent liabilities 9,214 Total liabilities subject to compromise $ 5,278,612 (i) Reflects the impacts of the reorganization adjustments: In thousands Total pre-tax gain on settlement of claims $ 4,142,104 Cancellation of predecessor common stock 2,145 Cancellation of predecessor paid-in capital 3,056,307 Cancellation of predecessor treasury stock (53,863 ) Net impact on accumulated earnings (deficit) $ 7,146,693 (j) Represents adjustments to record other receivables at fair value which includes an $0.8 million short-term receivable related to insurance coverage for self-insured workers’ compensation obligations. (k) Represents the following fair value adjustments: a $7.3 million increase related to coal inventory which was fair valued at estimated selling prices less the sum of selling costs, shipping costs and a reasonable profit allowance for the selling effort offset by a $28.4 million reduction in critical spare parts inventory. During fresh start accounting, the Company changed its accounting policy with respect to critical spare parts with long lead times; previously these items were valued within inventory, but prospectively, these items will be capitalized within property, plant and equipment when purchased and depreciated over the life of the related equipment. (l) Represents the short-term portion of above market coal sales contracts of $71.1 million offset by $11.3 million in reductions related to prepaid balances. The fair value of sales contracts was estimated using a discounted cash flow model and will be amortized into earnings as the coal is shipped throughout the term of the associated contracts. (m) Represents a $2.4 billion reduction in property, plant and equipment to estimated fair value as discussed below: Predecessor Fresh Start Adjustments Successor (in thousands) Net Coal Properties $ 2,358,779 $ (1,971,314 ) $ 387,465 Net Plant & Equipment 812,888 (405,259 ) 407,629 Net Deferred Charges 263,274 12,744 276,018 $ 3,434,941 $ (2,363,829 ) $ 1,071,112 The fair value of coal properties was established at $387.5 million utilizing a discounted cash flow model and the market approach. The market approach was used to provide a starting value of the coal mineral reserves without consideration for economic obsolescence. The DCF model was based on assumptions market participants would use in the pricing of these assets as well as projections of revenues and expenditures that would be incurred to mine or maintain these coal reserves through the life of mine. The basis of the DCF analysis was the Company’s prepared projections which included a variety of estimates and assumptions, such as pricing and demand for coal. The Company’s pricing was based on its view of the market taking into account third party forward pricing curves adjusted for the quality of products sold by the Company. The fair value of plant and equipment was set at $407.6 million utilizing both market and cost approaches. The market approach was used to estimate the value of assets where detailed information for the asset was available and an active market was identified with a sufficient number of sales of comparable property that could be independently verified through reliable sources. The cost approach was utilized where there were limitations in the secondary equipment market to derive values from. The first step in the cost approach is the estimation of the cost required to replace the asset via construction or purchasing a new asset with similar utility adjusting for depreciation due to physical deterioration, functional obsolescence due to technology changes and economic obsolescence due to external factors such as regulatory changes. Useful lives were assigned to all assets based on remaining future economic benefit of each asset. The fair value of deferred charges represents the corresponding asset related to the asset retirement obligation discussed in item (q) below. (n) Represents a fair value adjustment to a long-term prepaid royalty balance that the Company has concluded should not be assigned value based on market conditions and after considering economic obsolescence. (o) Represents a fair value adjustment to the Company’s equity investments in Knight Hawk Holdings, LLC, a coal producer in the Illinois Basin; and Dominion Terminal Associates which operates a ground storage-to-vessel coal trans-loading facility in Newport News, Virginia. Equity investments were fair valued in a manner similar to the Company’s wholly-owned subsidiaries using a discounted cash flow model and comparable company approach. The discount rate selected was 14% and due to the unobservable nature of the inputs, the fair values are considered Level 3 in the fair value hierarchy. (p) Represents the long-term portion of above market coal sales contracts of $26.0 million and $18.6 million related to a long-term insurance receivable related to insurance coverage for self-insured workers’ compensation obligations partially offset by $13.2 million in reductions related to prepaid balances. The fair value of sales contracts was estimated using a discounted cash flow model and will be amortized into earnings as the coal is shipped throughout the term of the associated contracts. (q) Represents a fair value adjustment to miscellaneous accounts payable. (r) Represents fair value adjustments for the following: a $27.8 million increase related to the short-term portion of below market sales contracts offset by fair value adjustments to establish the current portion of pension, postretirement and workers’ compensation liabilities. The fair value of sales contracts was estimated using a discounted cash flow model and will be amortized into earnings as the coal is shipped throughout the |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The following items are included in accumulated other comprehensive income (loss): Pension, Postretirement Accumulated and Other Post- Other Derivative Employment Available-for- Comprehensive Instruments Benefits Sale Securities Income (Loss) (In thousands) Predecessor Company January 1, 2016 $ 325 $ (721 ) $ (1,419 ) $ (1,815 ) Unrealized gains (losses) (138 ) — 701 563 Amounts reclassified from accumulated other comprehensive income (loss) (316 ) (1,363 ) 1,225 (454 ) Fresh start accounting adjustment 129 2,084 (507 ) 1,706 October 1, 2016 — — — — Successor Company Unrealized gains (losses) — 24,067 387 24,454 Amounts reclassified from accumulated other comprehensive income (loss) — — — — December 31, 2016 $ — $ 24,067 $ 387 $ 24,454 Unrealized gains (losses) 497 (3,589 ) — (3,092 ) Amounts reclassified from accumulated other comprehensive income (loss) 150 (758 ) (387 ) (995 ) December 31, 2017 $ 647 $ 19,720 $ — $ 20,367 The unrealized gain in the successor period ended December 31, 2016 is the result of changes in the discount rates used to calculate our pension, postretirement health and occupational disease obligations. The following amounts were reclassified out of accumulated other comprehensive income (loss) during the respective periods: Details about accumulated other comprehensive income components Successor Predecessor Line Item in the Consolidated Statement of Operations Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (in thousands) Derivative instruments Coal hedges $ — $ — $ 397 Revenues Interest rate hedges (150 ) — Interest expense — — (81 ) Provision for (benefit from) income taxes $ (150 ) $ — $ 316 Net of tax Pension, postretirement and other post-employment benefits Amortization of prior service credits 1 $ — $ — $ 7,854 Amortization of net actuarial gains (losses) 1 — — (6,010 ) Curtailments (773 ) — — Settlements 1,531 — — 758 — 1,844 Total before tax — — (481 ) Provision for (benefit from) income taxes $ 758 $ — $ 1,363 Net of tax Available-for-sale securities 2 $ 387 $ — $ (2,263 ) Interest and investment income — — 1,038 Provision for (benefit from) income taxes $ 387 $ — $ (1,225 ) Net of tax 1 Production-related benefits and workers’ compensation costs are included in costs to produce coal. 2 The gains and losses on sales of available-for-sale-securities are determined on a specific identification basis. |
Divestitures (Notes)
Divestitures (Notes) | 12 Months Ended |
Dec. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Divestitures | Divestitures On September 14, 2017, the Company closed on its’ definitive agreement to sell Lone Mountain Processing LLC, an operating mine complex within the Company’s metallurgical coal segment, and two idled mining companies, Cumberland River Coal LLC and Powell Mountain Energy LLC to Revelation Energy LLC. The Company received $8.3 million of proceeds offset by $1.4 million in disbursements related to landholder consent fees and professional fees; and recorded a gain of $21.3 million which is reflected as a separate line, “Gain on sale of Lone Mountain Processing, Inc.,” within the Consolidated Statement of Operations. The gain included a $4.7 million curtailment gain related to black lung liabilities accrued for active employees at these operations. Losses from disposed operations resulting from Patriot Coal bankruptcy On December 31, 2005, Arch entered into a purchase and sale agreement with Magnum to sell certain operations. On July 23, 2008, Patriot acquired Magnum. On May 12, 2015, Patriot and certain of its wholly owned subsidiaries (“Debtors”), including Magnum, filed voluntary petitions for reorganization under Chapter 11 of the U.S. Code in the U.S. Bankruptcy Court for the Eastern District of Virginia. Subsequently, on October 28, 2015, Patriot’s Plan of Reorganization was approved, including an authorization to reject their collective bargaining agreements and modify certain union-related retiree benefits. As a result of the Plan of Reorganization, the Company became statutorily responsible for retiree medical benefits pursuant to Section 9711 of the Coal Industry Retiree Health Benefit Act of 1992 for certain retirees of Magnum who retired prior to October 1, 1994. In addition, the Company had provided surety bonds to Patriot related to permits that were sold to an affiliate of Virginia Conservation Legacy Fund, Inc. (“VCLF”). The Company recognized $116.3 million in losses in 2015 related to the previously disposed operations as a result of the Patriot Coal bankruptcy. On November 22, 2016, Arch entered into a”Collateral Use Agreement” which caused the replacement, substitution and discharge of reclamation surety bonds related to the former Magnum properties placed by Arch in exchange for a collateral release of $20 million held by the bonding company to VCLF. |
Impairment Charges and Mine Clo
Impairment Charges and Mine Closure Costs | 12 Months Ended |
Dec. 31, 2017 | |
Impairment Charges and Mine Closure Costs [Abstract] | |
Impairment Charges and Mine Closure Costs | Impairment Charges and Mine Closure Costs The following table summarizes the amounts reflected on the line “ Asset impairment and mine closure costs ” in the consolidated statements of operations: Successor Predecessor Description Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Coal lands and mineral rights $ — $ — $ 74,144 $ 2,210,488 Plant and equipment — — — 199,107 Deferred development — — — 159,474 Prepaid royalties — — 3,406 41,990 Equity investments — — 40,920 21,325 Inventories — — — 66 Other — — 10,797 (4,147 ) Total $ — $ — $ 129,267 $ 2,628,303 January 1 Through October 1, 2016 Impairment Charges During the period January 1 through October 1, 2016, the Company recorded the following to “Asset impairment and mine closure costs” in the Consolidated Statements of Operations: $74.1 million recorded in the first quarter related to the impairment of coal reserves and surface land in Kentucky that are being leased to a mining company that idled its mining operations; $3.4 million recorded in the first quarter related to the impairment on the portion of an advance royalty balance on a reserve base mined at the Company’s Mountain Laurel operation that will not be recouped; $2.9 million recorded in the first quarter related to an other-than-temporary-impairment charge on an available-for-sale security; a $38.0 million impairment recorded in the second quarter related to the Company’s equity investment in a brownfield bulk commodity terminal on the Columbia River in Longview, Washington as the Company relinquished its ownership rights in exchange for future throughput rights; $7.2 million of severance expense related to headcount reductions during the first half of the year; a $3.6 million curtailment charge related to the Company’s pension, postretirement health and black lung actuarial liabilities due to headcount reductions in the first half of the year. 2015 Impairment Charges In 2015, as a result of the continued deterioration in thermal and metallurgical coal markets and projections for a muted pricing recovery, certain of the Company’s mine complexes have incurred and are expected to continue to incur operating losses. The Company determined that the further weakening of the pricing environment in the last half of the year and the projected operating losses represented indicators of impairment with respect to certain of its long-lived assets or assets groups. Using current pricing expectations which reflected marketplace participant assumptions, life of mine cash flows were used to determine if the undiscounted cash flows exceeded the current asset values for certain operating complexes in the Company’s Appalachia segment. For multiple operating complexes, the undiscounted cash flows did not exceed the carrying value of the long-lived assets. Discounted cash flows were utilized to reduce the carrying value of those assets to fair value. The discount rate used reflected the then current financial difficulties present in the commodities sector in general and coal mining specifically; the perceived risk of financing coal mining in light of industry defaults; and the lack of an active market for buying or selling coal mining assets. Additionally, the Company determined that the then current market conditions represented an indicator of impairment for certain undeveloped coal properties that were acquired in times of significantly higher coal prices. The then current prices and the significant capital outlay that would have been required to develop these reserves indicated that the carrying value was not recoverable. As a result the Company recorded a $2.6 billion asset impairment charge in the last two quarters of 2015 of which $2.1 billion was recorded during the third quarter and the remaining $0.5 billion was recorded in the fourth quarter. Of the total charge. $2.2 billion was recorded to the Company’s Appalachia segment, with the remaining $0.4 billion recorded to the Company’s Other operating segment. There is no fair value remaining related to the impaired assets. During the second quarter of 2015, the Company recorded $19.1 million to “Asset impairment and mine closure costs” in the Consolidated Statements of Operations. An impairment charge of $12.2 million related to the portion of an advance royalty balance on a reserve base mined at the Company’s Mountain Laurel, Spruce and Briar Branch operations that was determined would not be recouped based on estimates of sales volume and pricing through the March 2017 recoupment period. Additionally, the Company recorded a $5.6 million impairment charge related to the closure of a higher-cost mining complex serving the metallurgical coal markets. |
Losses from disposed operations
Losses from disposed operations resulting from Patriot Coal Bankruptcy | 12 Months Ended |
Dec. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Losses from disposed operations resulting from Patriot Coal Bankruptcy | Divestitures On September 14, 2017, the Company closed on its’ definitive agreement to sell Lone Mountain Processing LLC, an operating mine complex within the Company’s metallurgical coal segment, and two idled mining companies, Cumberland River Coal LLC and Powell Mountain Energy LLC to Revelation Energy LLC. The Company received $8.3 million of proceeds offset by $1.4 million in disbursements related to landholder consent fees and professional fees; and recorded a gain of $21.3 million which is reflected as a separate line, “Gain on sale of Lone Mountain Processing, Inc.,” within the Consolidated Statement of Operations. The gain included a $4.7 million curtailment gain related to black lung liabilities accrued for active employees at these operations. Losses from disposed operations resulting from Patriot Coal bankruptcy On December 31, 2005, Arch entered into a purchase and sale agreement with Magnum to sell certain operations. On July 23, 2008, Patriot acquired Magnum. On May 12, 2015, Patriot and certain of its wholly owned subsidiaries (“Debtors”), including Magnum, filed voluntary petitions for reorganization under Chapter 11 of the U.S. Code in the U.S. Bankruptcy Court for the Eastern District of Virginia. Subsequently, on October 28, 2015, Patriot’s Plan of Reorganization was approved, including an authorization to reject their collective bargaining agreements and modify certain union-related retiree benefits. As a result of the Plan of Reorganization, the Company became statutorily responsible for retiree medical benefits pursuant to Section 9711 of the Coal Industry Retiree Health Benefit Act of 1992 for certain retirees of Magnum who retired prior to October 1, 1994. In addition, the Company had provided surety bonds to Patriot related to permits that were sold to an affiliate of Virginia Conservation Legacy Fund, Inc. (“VCLF”). The Company recognized $116.3 million in losses in 2015 related to the previously disposed operations as a result of the Patriot Coal bankruptcy. On November 22, 2016, Arch entered into a”Collateral Use Agreement” which caused the replacement, substitution and discharge of reclamation surety bonds related to the former Magnum properties placed by Arch in exchange for a collateral release of $20 million held by the bonding company to VCLF. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consist of the following: December 31, 2017 December 31, 2016 (In thousands) Coal $ 54,692 $ 37,268 Repair parts and supplies 74,268 76,194 $ 128,960 $ 113,462 The repair parts and supplies are stated net of an allowance for slow-moving and obsolete inventories of $0.3 million at December 31, 2017 and $0.0 million at December 31, 2016 . |
Investments in Available-for-Sa
Investments in Available-for-Sale Securities | 12 Months Ended |
Dec. 31, 2017 | |
Available-for-sale Securities [Abstract] | |
Investments in Available-for-Sale Securities | Investments in Available-for-Sale Securities The Company has invested primarily in highly liquid investment-grade corporate bonds. These investments are held in the custody of a major financial institution. These securities, along with the Company’s investments in marketable equity securities, are classified as available-for-sale securities and, accordingly, the unrealized gains and losses are recorded through other comprehensive income. The Company’s investments in available-for-sale marketable securities are as follows: December 31, 2017 Balance Sheet Gross Gross Classification Unrealized Unrealized Fair Short-Term Other Cost Basis Gains Losses Value Investments Assets (In thousands) Available-for-sale: U.S. government and agency securities $ 64,151 $ 22 $ (73 ) $ 64,100 $ 64,100 $ — Corporate notes and bonds 92,038 — (292 ) 91,746 91,746 — Total Investments $ 156,189 $ 22 $ (365 ) $ 155,846 $ 155,846 $ — December 31, 2016 Balance Sheet Gross Gross Classification Unrealized Unrealized Fair Short-Term Other Cost Basis Gains Losses Value Investments Assets (In thousands) Available-for-sale: Corporate notes and bonds $ 88,161 $ — $ (89 ) $ 88,072 $ 88,072 $ — Equity securities 1,749 388 — 2,137 — 2,137 Total Investments $ 89,910 $ 388 $ (89 ) $ 90,209 $ 88,072 $ 2,137 The aggregate fair value of investments with unrealized losses that had been owned for less than a year was $132.0 million and $47.6 million at December 31, 2017 and 2016 , respectively. The aggregate fair value of investments with unrealized losses that have been owned for over a year was $0.0 million and $40.4 million at December 31, 2017 and 2016 , respectively. The debt securities outstanding at December 31, 2017 have maturity dates ranging from the first quarter of 2018 through the second quarter of 2019 . The Company classifies its investments as current based on the nature of the investments and their availability to provide cash for use in current operations, if needed. |
Equity Method Investments and M
Equity Method Investments and Membership Interests in Joint Ventures | 12 Months Ended |
Dec. 31, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments and Membership Interests in Joint Ventures | Equity Method Investments and Membership Interests in Joint Ventures The Company accounts for its investments and membership interests in joint ventures under the equity method of accounting if the Company has the ability to exercise significant influence, but not control, over the entity. Equity method investments are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the investments may not be recoverable. Below are the equity method investments reflected in the consolidated balance sheets: (In thousands) Knight Hawk DTA Millennium Tongue River Other Total Predecessor Company January 1, 2015 $ 158,477 $ 13,738 $ 40,223 $ 20,740 $ 2,664 $ 235,842 Advances to (distributions from) affiliates, net (29,862 ) 3,207 7,052 913 330 (18,360 ) Equity in comprehensive income (loss) 22,977 (3,706 ) (9,686 ) (328 ) (1,278 ) 7,979 Impairment of equity investment — — — (21,325 ) — (21,325 ) Sale of equity investment — — — — (2,259 ) (2,259 ) December 31, 2015 151,592 13,239 37,589 — (543 ) 201,877 Advances to (distributions from) affiliates, net (8,374 ) 1,474 1,966 — — (4,934 ) Equity in comprehensive income (loss) 9,033 (2,095 ) (1,530 ) — (94 ) 5,314 Impairment of equity investment — — (38,025 ) — — (38,025 ) Fresh start accounting adjustment (58,251 ) (4,018 ) — — 662 (61,607 ) October 1, 2016 94,000 8,600 — — 25 102,625 Successor Company Advances to (distributions from) affiliates, net (9,076 ) 822 — — — (8,254 ) Equity in comprehensive income (loss) 2,569 (841 ) — — (25 ) 1,703 December 31, 2016 $ 87,493 $ 8,581 $ — $ — $ — $ 96,074 Investments in affiliates — 7,158 — — — 7,158 Advances to (distributions from) affiliates, net (8,736 ) 3,014 — — — (5,722 ) Equity in comprehensive income (loss) 11,409 (2,812 ) — — — 8,597 December 31, 2017 $ 90,166 $ 15,941 $ — $ — $ — $ 106,107 The Company holds a 49% equity interest in Knight Hawk Holdings, LLC (“Knight Hawk”), a coal producer in the Illinois Basin. The Company holds a general partnership interest in Dominion Terminal Associates (“DTA”), which is accounted for under the equity method. In March 2017, the Company paid $7.2 million through an auction process held by one of the existing owners, increasing its ownership in DTA from 21.875% to 35% . DTA operates a ground storage-to-vessel coal transloading facility in Newport News, Virginia for use by the partners. Under the terms of a throughput and handling agreement with DTA, each partner is charged its share of cash operating and debt-service costs in exchange for the right to use the facility’s loading capacity and is required to make periodic cash advances to DTA to fund such costs. The Company previously held a 38% ownership interest in Millennium Bulk Terminals-Longview, LLC (“Millennium”), the owner of a brownfield bulk commodity terminal on the Columbia River near Longview, Washington. Millennium continues to work on obtaining the required approvals and necessary permits to complete dredging and other upgrades to ship coal, alumina and cementitious material from the terminal. During the second quarter of 2016, the Company recorded an impairment charge of $38.0 million representing the entire value of its equity investment as the Company relinquished its ownership rights in exchange for future throughput rights through the facility when completed. The Company previously held a 35% membership interest in the Tongue River Holding Company, LLC (“Tongue River”) joint venture. Tongue River was formed to develop and construct a railway line near Miles City, Montana and the Otter Creek reserves formerly controlled by the Company. The Company had the right, upon the receipt of permits and approval for construction or under other prescribed circumstances, to require the other investors to purchase all of the Company’s units in the venture at an amount equal to the capital contributions made by the Company at that time, less any distributions received. During the third quarter of 2015, the Company recorded an impairment charge of $21.3 million representing the entire value of the Company’s investment in the project; the impairment charge is included on the line “Asset impairment and mine closure costs.” The Company is not required to make any future contingent payments related to development financing for any of its equity investees. |
Sales Contracts
Sales Contracts | 12 Months Ended |
Dec. 31, 2017 | |
Acquired Sales Contracts [Abstract] | |
Sales Contracts | Sales Contracts The sales contracts reflected in the consolidated balance sheets are as follows: December 31, 2017 December 31, 2016 Assets Liabilities Net Total Assets Liabilities Net Total (In thousands) (In thousands) Original fair value $ 97,196 $ 31,742 $ 97,196 $ 31,742 Accumulated amortization (84,760 ) (29,979 ) (25,625 ) (24,829 ) Total $ 12,436 $ 1,763 $ 10,673 $ 71,571 $ 6,913 $ 64,658 Balance Sheet classification: Other current $ 12,432 $ 934 $ 59,702 $ 5,114 Other noncurrent $ 4 $ 829 $ 11,869 $ 1,799 The Company anticipates the majority of the remaining net book value of sales contracts to be amortized in 2018 based upon expected shipments. |
Derivatives
Derivatives | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives Interest rate risk management The Company has entered into some interest rate swaps to reduce the variability of cash outflows associated with interest payments on its variable rate term loan. These swaps have been designated as cash flow hedges. For additional information on these arrangements, see Note 14 , “ Debt and Financing Arrangements ” in the Consolidated Financial Statements. Diesel fuel price risk management The Company is exposed to price risk with respect to diesel fuel purchased for use in its operations. The Company anticipates purchasing approximately 42 to 46 million gallons of diesel fuel for use in its operations during 2018 . To protect the Company’s cash flows from increases in the price of diesel fuel for its operations, the Company uses forward physical diesel purchase contracts and purchased heating oil call options. At December 31, 2017 , the Company had heating oil call options for approximately 26.2 million gallons at an average strike price of $1.84 . Coal risk management positions The Company may sell or purchase forward contracts, swaps and options in the over-the-counter coal market in order to manage its exposure to coal prices. The Company has exposure to the risk of fluctuating coal prices related to forecasted sales or purchases of coal or to the risk of changes in the fair value of a fixed price physical sales contract. Certain derivative contracts may be designated as hedges of these risks. At December 31, 2017 , the Company held derivatives for risk management purposes that are expected to settle in the following years: (Tons in thousands) 2018 2019 Total Coal sales 1,706 159 1,865 Coal purchases 747 — 747 The Company may also enter into natural gas options to protect the Company from decreases in natural gas prices, which could impact thermal coal demand. These options are not designated as hedges. Additionally, the Company may enter into nominal quantities of foreign currency options protecting for decreases in the Australian to United States dollar exchange rate, which could impact metallurgical coal demand. These options are not designated as hedges. Coal trading positions The Company may sell or purchase forward contracts, swaps and options in the over-the-counter coal market for trading purposes. The Company is exposed to the risk of changes in coal prices on the value of its coal trading portfolio. The unrecognized losses of $1.2 million in the trading portfolio are expected to be realized in 2018 . Tabular derivatives disclosures The Company has master netting agreements with all of its counterparties which allow for the settlement of contracts in an asset position with contracts in a liability position in the event of default or termination. Such netting arrangements reduce the Company’s credit exposure related to these counterparties. For classification purposes, the Company records the net fair value of all the positions with a given counterparty as a net asset or liability in the consolidated balance sheets. The amounts shown in the table below represent the fair value position of individual contracts, and not the net position presented in the accompanying consolidated balance sheets. The fair value and location of derivatives reflected in the accompanying consolidated balance sheets are as follows: December 31, 2017 December 31, 2016 Fair Value of Derivatives Asset Liability Asset Liability (In thousands) Derivative Derivative Derivative Derivative Derivatives Designated as Hedging Instruments Coal $ 942 $ (2,146 ) $ — $ (15 ) Derivatives Not Designated as Hedging Instruments Heating oil -- diesel purchases 5,354 — 4,646 — Coal held for trading purposes, exchange traded swaps and futures 44,088 (45,221 ) 68,948 (68,740 ) Coal -- risk management 5,139 (9,892 ) 475 (580 ) Natural gas 27 — 86 (13 ) Total 54,608 (55,113 ) 74,155 (69,333 ) Total derivatives 55,550 (57,259 ) 74,155 (69,348 ) Effect of counterparty netting (50,042 ) 50,042 (69,247 ) 69,247 Net derivatives as classified in the balance sheets $ 5,508 $ (7,217 ) $ (1,709 ) $ 4,908 $ (101 ) $ 4,807 December 31, 2017 December 31, 2016 Net derivatives as reflected on the balance sheets Heating oil Other current assets $ 5,354 $ 4,646 Coal Other current assets 154 262 Accrued expenses and other current liabilities (7,217 ) (101 ) $ (1,709 ) $ 4,807 The Company had a current asset for the right to reclaim cash collateral of $16.2 million and $2.8 million at December 31, 2017 and 2016 , respectively. These amounts are not included with the derivatives presented in the table above and are included in “other current assets” in the accompanying consolidated balance sheets. The effects of derivatives on measures of financial performance are as follows: Derivatives used in Cash Flow Hedging Relationships (in thousands) For the noted periods, Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Coal sales (1) $ (2,127 ) $ — $ (672 ) 12,816 Coal purchases (2) 942 — 536 (6,718 ) $ (1,185 ) $ — $ (136 ) $ 6,098 Gains (Losses) Reclassified from Other Comprehensive Income into Income Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Coal sales $ — $ — $ 1,634 $ 18,635 Coal purchases — — (1,237 ) (9,060 ) $ — $ — $ 397 $ 9,575 No ineffectiveness or amounts excluded from effectiveness testing relating to the Company’s cash flow hedging relationships were recognized in the results of operations in the respective periods. Derivatives Not Designated as Hedging Instruments (in thousands) For the noted periods, Gain (Loss) Recognized Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Coal — unrealized (3) $ (4,648 ) $ (408 ) $ (1,662 ) $ (3,883 ) Coal — realized (4) $ — $ 116 $ (476 ) $ 3,236 Heating oil — diesel purchases (4) $ (1,057 ) $ 827 $ 826 $ (8,294 ) Natural gas $ (774 ) $ (91 ) $ (463 ) $ 878 Foreign currency $ — $ (9 ) $ (451 ) $ (867 ) Location in statement of operations: (1) — Revenues (2) — Cost of sales (3) — Change in fair value of coal derivatives and coal trading activities, net (4) — Other operating income, net The Company recognized net unrealized and realized losses of $2.0 million for the year ended December 31, 2017 ; an immaterial amount for the period October 2 through December 31, 2016 ; net unrealized and realized losses of $0.9 million for the period January 1 through October 1, 2016 ; and net unrealized and realized gains of $5.7 million during the year ended December 31, 2015 , respectively, related to its trading portfolio, which are included in the caption “Change in fair value of coal derivatives and coal trading activities, net” in the accompanying consolidated statements of operations, and are not included in the previous tables reflecting the effects of derivatives on measures of financial performance. Based on fair values at December 31, 2017 , amounts on derivative contracts designated as hedge instruments in cash flow hedges expected to be reclassified from other comprehensive income into earnings during the next twelve months are losses of $1.2 million . |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Accrued Expenses and Other Current Liabilities [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consist of the following: December 31, 2017 December 31, 2016 (In thousands) Payroll and employee benefits $ 53,149 $ 58,468 Taxes other than income taxes 77,017 92,733 Interest 246 8,032 Sales contracts 934 5,114 Workers’ compensation 18,782 15,184 Asset retirement obligations 19,840 19,515 Other 14,193 6,194 $ 184,161 $ 205,240 |
Debt and Financing Arrangements
Debt and Financing Arrangements | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt and Financing Arrangements | Debt and Financing Arrangements December 31, 2017 December 31, 2016 (In thousands) Term loan due 2024 ($297.8 million face value) $ 296,435 $ — Term loan due 2021 ($325.7 million face value) $ — $ 325,684 Other 36,514 37,195 Debt issuance costs (7,032 ) — 325,917 362,879 Less current maturities of debt 15,783 11,038 Long-term debt $ 310,134 $ 351,841 Term Loan Facility On March 7, 2017, the Company entered into a new senior secured term loan credit agreement in an aggregate principal amount of $300 million (the “New Term Loan Debt Facility”) with Credit Suisse AG, Cayman Islands Branch, as administrative agent and collateral agent (in such capacities, the “Agent”), and the other financial institutions from time to time party thereto (collectively, the “Lenders”). The New Term Loan Debt Facility was issued at 99.50% of the face amount and will mature on March 7, 2024. On September 25, 2017, the Company entered into the First Amendment (the “Amendment”) to its Credit Agreement, dated as of March 7, 2017, among Arch Coal as borrower, the lenders from time to time party thereto, and Credit Suisse AG, Cayman Islands Branch, as administrative agent and collateral agent. The Amendment reduces the interest rate on the $300 million term loan facility to, at the option of Arch Coal, either (i) the London interbank offered rate (“LIBOR”) plus an applicable margin of 3.25% , subject to a 1.00% LIBOR floor, or (ii) a base rate plus an applicable margin of 2.25% . The Amendment also resets the 1.00% call premium to apply to repricing events that occur on or prior to March 26, 2018. Borrowings under the New Term Loan Debt Facility bear interest at a per annum rate equal to, at the Company’s option, either (i) a London interbank offered rate plus an applicable margin of 4% , subject to a 1% LIBOR floor (the “LIBOR Rate”), or (ii) a base rate plus an applicable margin of 3% . The term loans provided under the New Term Loan Debt Facility (the “Term Loans”) are subject to quarterly principal amortization payments in an amount equal to $750,000 . The New Term Loan Debt Facility is guaranteed by all existing and future wholly owned domestic subsidiaries of the Company (collectively, the “Subsidiary Guarantors” and, together with Arch Coal, the “Loan Parties”), subject to customary exceptions, and is secured by first priority security interests on substantially all assets of the Loan Parties, including 100% of the voting equity interests of directly owned domestic subsidiaries and 65% of the voting equity interests of directly owned foreign subsidiaries, subject to customary exceptions. The Company has the right to prepay Term Loans at any time and from time to time in whole or in part without premium or penalty, upon written notice, except that any prepayment of Term Loans that bear interest at the LIBOR Rate other than at the end of the applicable interest periods therefor shall be made with reimbursement for any funding losses and redeployment costs of the Lenders resulting therefrom. The New Term Loan Debt Facility is subject to certain usual and customary mandatory prepayment events, including 100% of net cash proceeds of (i) debt issuances (other than debt permitted to be incurred under the terms of the New Term Loan Debt Facility) and (ii) non-ordinary course asset sales or dispositions, subject to customary thresholds, exceptions and reinvestment rights. The New Term Loan Debt Facility contains customary affirmative covenants and representations. The New Term Loan Debt Facility also contains customary negative covenants, which, among other things, and subject to certain exceptions, include restrictions on (i) indebtedness, (ii) liens, (iii) liquidations, mergers, consolidations and acquisitions, (iv) disposition of assets or subsidiaries, (v) affiliate transactions, (vi) creation or ownership of certain subsidiaries, partnerships and joint ventures, (vii) continuation of or change in business, (viii) restricted payments, (ix) prepayment of subordinated and junior lien indebtedness, (x) restrictions in agreements on dividends, intercompany loans and granting liens on the collateral, (xi) loans and investments, (xii) sale and leaseback transactions, (xiii) changes in organizational documents and fiscal year and (xiv) transactions with respect to bonding subsidiaries. The New Term Loan Debt Facility does not contain any financial maintenance covenant. The New Term Loan Debt Facility contains customary events of default, subject to customary thresholds and exceptions, including, among other things, (i) nonpayment of principal and nonpayment of interest and fees, (ii) a material inaccuracy of a representation or warranty at the time made, (iii) a failure to comply with any covenant, subject to customary grace periods in the case of certain affirmative covenants, (iv) cross-events of default to indebtedness of at least $50 million , (v) cross-events of default to surety, reclamation or similar bonds securing obligations with an aggregate face amount of at least $50 million , (vi) uninsured judgments in excess of $50 million , (vii) any loan document shall cease to be a legal, valid and binding agreement, (viii) uninsured losses or proceedings against assets with a value in excess of $50 million , (ix) certain ERISA events, (x) a change of control or (xi) bankruptcy or insolvency proceedings relating to the Company or any material subsidiary of the Company. On the effective date of the New Term Loan Debt Facility, all outstanding obligations under the Company’s previously existing term loan credit agreement, dated as of October 5, 2016, among the Company, as borrower, the lender party thereto and Wilmington Trust, National Association, as administrative agent and collateral agent (the “Previous First Lien Debt Facility”), other than indemnification and other contingent obligations, were paid in cash in full and the related transaction documents were terminated (other than with respect to certain provisions that customarily survive termination); there was no gain or loss recognized on the extinguishment of the previously existing term loan credit agreement. All liens on property of the Company and the guarantors thereunder arising out of or related to the Previous First Lien Debt Facility were terminated. Accounts Receivable Securitization Facility On April 27, 2017, the Company extended and amended its existing trade accounts receivable securitization facility provided to Arch Receivable Company, LLC, a special-purpose entity that is a wholly owned subsidiary of the Company (“Arch Receivable”) (the “Extended Securitization Facility”), which supports the issuance of letters of credit and requests for cash advances. The amendment to the Extended Securitization Facility decreases the borrowing capacity from $200 million to $160 million and extends the maturity date to the date that is three years after the Securitization Facility Closing Date. Pursuant to the Extended Securitization Facility, Arch Receivable also agreed to a revised schedule of fees payable to the administrator and the providers of the Extended Securitization Facility. The Extended Securitization Facility will terminate at the earliest of (i) three years from the Securitization Facility Closing Date, (ii) if the Liquidity (defined in the Extended Securitization Facility and consistent with the definition in the New Inventory Facility) is less than $175 million for a period of 60 consecutive days, the date that is the 364th day after the first day of such 60 consecutive day period and (iii) the occurrence of certain predefined events substantially consistent with the existing transaction documents. Under the Extended Securitization Facility, Arch Receivable, the Company and certain of its subsidiaries party to the Extended Securitization Facility have granted to the administrator of the Extended Securitization Facility a first priority security interest in eligible trade accounts receivable generated by such parties from the sale of coal and all proceeds thereof. As of December 31, 2017 , letters of credit totaling $85.0 million were outstanding under the facility with no additional availability for borrowings. Inventory-Based Revolving Credit Facility On April 27, 2017, the Company and certain subsidiaries of Arch Coal entered into a new senior secured inventory-based revolving credit facility in an aggregate principal amount of $40 million (the “New Inventory Facility”) with Regions Bank (“Regions”) as administrative agent and collateral agent (in such capacities, the “Agent”), as lender and swingline lender (in such capacities, the “ Lender ”) and as letter of credit issuer. Availability under the New Inventory Facility is subject to a borrowing base consisting of (i) 85% of the net orderly liquidation value of eligible coal inventory, (ii) the lesser of (x) 85% of the net orderly liquidation value of eligible parts and supplies inventory and (y) 35% of the amount determined pursuant to clause (i), and (iii) 100% of Arch Coal’s Eligible Cash (defined in the New Inventory Facility), subject to reduction for reserves imposed by Regions. The commitments under the New Inventory Facility will terminate on the date that is the earliest to occur of (i) the third anniversary of the Inventory Facility Closing Date, (ii) the date, if any, that is 364 days following the first day that Liquidity (defined in the New Inventory Facility and consistent with the definition in the Extended Securitization Facility (as defined below)) is less than $250 million for a period of 60 consecutive days and (iii) the date, if any, that is 60 days following the maturity, termination or repayment in full of the Extended Securitization Facility. Revolving loan borrowings under the New Inventory Facility bear interest at a per annum rate equal to, at the option of the Company, either at the base rate or the London interbank offered rate plus, in each case, a margin ranging from 2.25% to 2.50% (in the case of LIBOR loans) and 1.25% to 1.50% (in the case of base rate loans) determined using a Liquidity-based grid. Letters of credit under the New Inventory Facility are subject to a fee in an amount equal to the applicable margin for LIBOR loans, plus customary fronting and issuance fees. All existing and future direct and indirect domestic subsidiaries of the Company, subject to customary exceptions, will either constitute co-borrowers under or guarantors of the New Inventory Facility (collectively with the Company, the “Loan Parties”). The New Inventory Facility is secured by first priority security interests in the ABL Priority Collateral (defined in the New Inventory Facility) of the Loan Parties and second priority security interests in substantially all other assets of the Loan Parties, subject to customary exceptions (including an exception for the collateral that secures the Extended Securitization Facility). The Company has the right to prepay borrowings under the New Inventory Facility at any time and from time to time in whole or in part without premium or penalty, upon written notice, except that any prepayment of such borrowings that bear interest at the LIBOR rate other than at the end of the applicable interest periods therefore shall be made with reimbursement for any funding losses and redeployment costs of the Lender resulting therefrom. The New Inventory Facility is subject to certain usual and customary mandatory prepayment events, including non-ordinary course asset sales or dispositions, subject to customary thresholds, exceptions (including exceptions for required prepayments under the Company’s term loan facility) and reinvestment rights. The New Inventory Facility contains certain customary affirmative and negative covenants; events of default, subject to customary thresholds and exceptions; and representations, including certain cash management and reporting requirements that are customary for asset-based credit facilities. The New Inventory Facility also includes a requirement to maintain Liquidity equal to or exceeding $175 million at all times. As of December 31, 2017 , letters of credit totaling $29.0 million were outstanding under the facility with $1.1 million additional availability for borrowings. Interest Rate Swaps During the second quarter of 2017, the Company entered into a series of interest rate swaps to fix a portion of the LIBOR interest payments due under the term loan. The interest rate swaps qualify for cash flow hedge accounting treatment and as such, the change in the fair value of the interest rate swaps are recorded on the Company’s Consolidated Balance Sheet as an asset or liability with the effective portion of the gains or losses reported as a component of accumulated other comprehensive income and the ineffective portion reported in earnings. As interest payments are made on the term loan, amounts in accumulated other comprehensive income will be reclassified into earnings through interest expense to reflect a net interest on the term loan equal to the effective yield of the fixed rate of the swap plus 3.25% which is the spread on the revised LIBOR term loan. In the event that an interest rate swap is terminated prior to maturity, gains or losses in accumulated other comprehensive income will remain deferred and reclassified into earnings in the periods which the hedged forecasted transaction affects earnings. Below is a summary of the Company’s outstanding interest rate swap agreements designated as hedges as of December 31, 2017 : Notional Amount (in millions) Effective Date Fixed Rate Receive Rate Expiration Date $250.0 June 30, 2017 1.372% 1-month LIBOR June 29, 2018 $250.0 June 29, 2018 1.662% 1-month LIBOR June 28, 2019 $200.0 June 28, 2019 1.952% 1-month LIBOR June 30, 2020 $150.0 June 30, 2020 2.182% 1-month LIBOR June 30, 2021 The fair value of the interest rate swaps at December 31, 2017 is an asset of $1.8 million which is recorded within Other noncurrent assets with the offset to accumulated other comprehensive income on the Company’s Consolidated Balance Sheet. The Company realized $0.1 million of losses during the year ended December 31, 2017 related to settlements of the interest rate swaps which was recorded to interest expense on the Company’s Consolidated Statement of Operations. The interest rate swaps are classified as level 2 within the fair value hierarchy. Debt Maturities The contractual maturities of debt as of December 31, 2017 are as follows: Year (In thousands) 2018 $ 16,809 2019 11,119 2020 11,442 2021 8,853 2022 3,130 Thereafter 282,911 $ 334,264 Financing Costs The Company paid financing costs of $10.1 million during the year ended December 31, 2017 ; zero during the period October 2 through December 31, 2016 ; $23.0 million during the period January 1 through October 1, 2016 ; and zero during the year ended December 31, 2015 , respectively, in conjunction with its financing activities. The Company incurred $2.5 million and $2.2 million of legal fees and financial advisory fees associated with debt restructuring activities during the period ended December 31, 2017 and January 1 through October 1, 2016 , respectively. Additionally, the Company incurred $24.2 million of legal fees and financial advisory fees associated with debt restructuring activities during 2015. During the year ended December 31, 2015 the Company wrote off $3.7 million of deferred financing costs related to the termination of the revolver facility. All amounts have been reflected in the line, “ Net loss resulting from early retirement and refinancing of debt ” in the Consolidated Statement of Operations. |
Taxes
Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Taxes | Taxes In 2016, under the Plan of bankruptcy reorganization, the Company’s pre-petition equity, bank related debt and certain other obligations were cancelled and extinguished. Absent an exception, a debtor recognizes cancellation of debt income (CODI) upon discharge of its outstanding indebtedness for an amount of consideration that is less than its adjusted issue price. In accordance with Internal Revenue Code (IRC) Section 108, the Company excluded the amount of discharged indebtedness from taxable income since the IRC provides that a debtor in a bankruptcy case may exclude CODI from income but must reduce certain tax attributes by the amount of CODI realized as a result of the consummation of a plan of reorganization. The amount of CODI realized by a taxpayer is the adjusted issue price of any indebtedness discharged less than the sum of (i) the amount of cash paid, (ii) the issue price of any new indebtedness issued, and (iii) the fair market value of any other consideration, including equity, issued. CODI from the discharge of indebtedness was $3,414 million . As a result of the CODI and in accordance with IRC rules, the Company reduced its gross federal net operating loss (NOL) carryovers $3,185 million and its alternative minimum tax (AMT) credits $76 million . The Company was able to retain $957.1 million of gross federal NOLs, $25.6 million of AMT credit and $64.5 million of capital loss carryforwards following the bankruptcy. Due to changes in ownership that occurred in connection with the Company’s emergence from bankruptcy, there was a change in ownership for purposes of IRC Section 382. Section 382 provides a combined annual limitation with respect to the ability of a corporation to use its NOLs, AMT credits and capital loss carryforwards generated before the ownership change against future taxable income. The Company’s annual limit under IRC section 382 is estimated to be $29.8 million . The Company had a net unrealized built-in gain, based on comparing the fair value and carryover tax basis in assets, at the time of the ownership change, therefore, certain built-in gains recognized within five years after the ownership change will increase the annual IRC section 382 limit for the five year recognition period beginning October 1, 2016 through September 30, 2021. There is uncertainty surrounding which assets with built-in gain will be realized within the five year period following the Company’s emergence from bankruptcy and allow the Company to realize the incremental net operating losses and credit in excess of the base 382 limitation. The Company is reflecting a deferred tax asset for the full amount of the net operating losses and credit carryforwards. If at some point in time it becomes evident that some portion of the deferred tax assets will not be realizable, the deferred tax asset, and offsetting valuation allowance will be reduced. The Company is subject to U.S. federal income tax as well as income tax in multiple state jurisdictions. The tax years 2002 through 2017 remain open to examination for U.S. federal income tax matters and 2002 through 2017 remain open to examination for various state income tax matters. Significant components of the provision for (benefit from) income taxes are as follows: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Current: Federal $ 835 $ — $ — $ — State 31 (252 ) 7 3 Total current 866 (252 ) 7 3 Deferred: Federal (36,162 ) 1,352 (4,720 ) (329,393 ) State 41 56 87 (43,990 ) Total deferred (36,121 ) 1,408 (4,633 ) (373,383 ) $ (35,255 ) $ 1,156 $ (4,626 ) $ (373,380 ) A reconciliation of the statutory federal income tax provision (benefit) at the statutory rate to the actual provision for (benefit from) income taxes follows: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Income tax provision (benefit) at statutory rate $ 71,118 $ 12,112 $ 433,109 $ (1,150,283 ) Percentage depletion allowance (31,255 ) (4,292 ) (3,681 ) (19,035 ) State taxes, net of effect of federal taxes 7,002 633 (46,122 ) (76,445 ) Reversal of cancellation of indebtedness income — — (1,493,162 ) — Worthless stock deduction — — (80,077 ) — Change in valuation allowance (410,983 ) (7,655 ) 1,185,326 865,146 Impact of Tax Cuts and Jobs Act of 2017 332,345 — — — Other, net (3,482 ) 358 (19 ) 7,237 $ (35,255 ) $ 1,156 $ (4,626 ) $ (373,380 ) Significant components of the Company’s deferred tax assets and liabilities that result from carryforwards and temporary differences between the financial statement basis and tax basis of assets and liabilities are summarized as follows: December 31, 2017 December 31, 2016 (In thousands) Deferred tax assets: Tax loss carryforwards $ 271,405 $ 376,293 Tax credit carryforwards 29,736 22,798 Investment in tax partnerships & corporations 308,653 604,914 Other 28,321 39,251 Gross deferred tax assets 638,115 1,043,256 Valuation allowance (610,571 ) (1,021,553 ) Total deferred tax assets 27,544 21,703 Deferred tax liabilities: Plant and equipment 3,674 7,332 Other 1,351 14,258 Total deferred tax liabilities 5,025 21,590 Net deferred tax asset 22,519 113 The Company has gross federal net operating loss carryforwards for regular income tax purposes of $980.2 million at December 31, 2017 that will expire between 2022 and 2037 . The Company has an alternative minimum tax credit carryforward of $23.9 million at December 31, 2017 , which has no expiration date and can be used to offset future regular tax in excess of the alternative minimum tax. The future annual usage of NOLs and AMT credit will be limited under IRC section 382. As part of its efforts to create operational efficiency leading up to and through the bankruptcy process, the Company has consolidated its mining operations and land management into a partnership structure to match its legal form with the Company’s streamlined operations during 2016. As such, deferred taxes related to those operations are now reported based upon the book and tax outside basis difference in the partnership interests as provided in ASC 740-30-25-7, which results in a different basis of presentation than used in 2015 under the Company’s prior legal structure. Valuation allowances were established in prior years for federal and state net operating losses and tax credits that were not offset by the reversal of other net taxable temporary differences before the expiration of the attribute. At December 31, 2015, additional losses were realized relating primarily to financial conditions and asset impairment charges. As a result, the expected reversal of taxable temporary differences were not sufficient to support the future realization of the deferred tax assets and an additional $865.1 million valuation allowance was recorded. Net deferred tax assets of $1,135 million were completely offset by a valuation allowance. At December 31, 2016, additional tax losses were realized primarily as a result of the non-recognition of CODI under section 108 of the IRC by the Predecessor entity. As a result, the expected reversal of taxable temporary differences were not sufficient to support the future realization of the deferred tax assets and an additional $1,185 million valuation allowance was recorded to the provision. Offsetting this increase was a net reduction in the valuation allowance of $1,289 million which did not impact the provision. This reduction was primarily the result of a decrease in NOLs and AMT credits due to the IRC section 108 offset rules. Net deferred tax assets of $1,022 million were completely offset by a valuation allowance. On December 22, 2017 the Tax Cut and Jobs Act of 2017 (“the Act”) was signed into law making significant changes to the Internal Revenue Code. Changes include, but are not limited to, a corporate tax rate decrease from 35% to 21% effective for tax years beginning after December 31, 2017, the elimination of the corporate alternative minimum tax regime effective for tax years beginning after December 31, 2017, implementation of a process whereby corporations with unused alternative minimum tax credits will be refunded during 2018-2022, the transition of U.S. international taxation from a worldwide tax system to a territorial system, a one-time transition tax on the mandatory deemed repatriation of cumulative foreign earnings as of December 31, 2017, further limitation on the deductibility of certain executive compensation, allowance for immediate capital expensing of certain qualified property, and limitations on the amount of interest expense deductible beginning in 2018. The Company has not completed its analysis for the income tax effects of the Act but has provided its best estimate of the impact of the Act in its year-end income tax provision in accordance with the guidance and interpretations available as of the date of this filing for the items noted below. The Company anticipates finalizing the analysis for the estimate by December 31, 2018, within the one year measurement period under SAB 118, for the following items: • Remeasurement of deferred taxes: deferred tax assets and liabilities attributable to the U.S. were remeasured from 35% to the reduced tax rate of 21%. The provisional amount related to the remeasurement of certain deferred tax assets and liabilities based on the rates at which they are expected to reverse in the future was $330.9 million of income tax expense, with an offsetting valuation allowance adjustment. Finalization of the remeasurement of deferred taxes will occur upon finalization of 2017 taxable income and attribute carryback claims. • One-time transition tax on the mandatory deemed repatriation of cumulative foreign earnings: The provisional amount of income tax expense related to the mandatory deemed repatriation of foreign earnings was $1.5 million based on cumulative foreign earnings of $4.2 million . The deemed repatriation tax is completely offset with net operating loss carryforwards, with an offsetting valuation allowance adjustment and will not result in a cash tax liability. Finalization of 2017 earnings and profits calculations and receipt of further guidance in the form of Notices or Regulations may change the provisional calculation. • Elimination of the corporate AMT regime: Existing AMT credits as of December 31, 2017 will be refunded over the next four years. The refund may be subject to a sequestration reduction rate of approximately 6.6% . The Company has provisionally determined that it will receive a refund of existing AMT credits of approximately $22.4 million after an estimated sequestration reduction of $1.5 million . The valuation allowance previously recorded against these credits has been released and a tax benefit of $22.4 million was recorded. The Company’s accounting policy regarding the balance sheet presentation of the AMT credits is to record the balance as a deferred tax asset until a return is filed claiming a refund of a portion of the credit, at which time the amount will be presented as a tax receivable. Finalization of the AMT credit balance will occur upon finalization of 2017 taxable income and attribute carryback claims as well as the receipt of further guidance in the form of Notices or Regulations. • Elimination of executive compensation exemptions: The Act made changes to the $1 million limit on deductible compensation paid to certain “covered” employees. The Act eliminated exemptions for qualified performance based compensation and compensation paid after termination and expanded the number of employees to which the limit applies. The Company recorded a provisional amount of $0.2 million of tax expense, with an offsetting valuation allowance adjustment. The Act contains transitional rules, the implementation of which is uncertain at this time. The Company is still analyzing related aspects of the Act including the impact of the transitional rules. The provisional amount detailed above may change when further guidance is released that addresses these rules. Other provisions in the Act that may impact the company in future years include limitations on interest expense deductions and the global intangible low-taxed income “GILTI” rules covering foreign income earned in low-tax countries. There was no impact recorded for these changes in the 2017 provision. Additional work is necessary to do a more detailed review of the Act, but is anticipated to be completed by December 31, 2018. At December 31, 2017 additional tax losses were realized primarily as a result of the reversal of deductible temporary differences and percentage depletion. A $35.7 million benefit was recorded from the release of valuation allowance offsetting alternative minimum tax credits that have become refundable by the Act, as well as carryback claims filed in the fourth quarter related to specific liability losses that resulted in claims for refund of previously paid alternative minimum taxes. At December 31, 2017 a $610.5 million valuation allowance fully offsets all net deferred tax assets, other than alternative minimum tax credits. A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits follows: (In thousands) Balance at January 1, 2015 $ 34,709 Additions based on tax positions related to the current year 4,168 Balance at December 31, 2015 38,877 Additions based on tax positions related to the current year 2,979 Additions for tax positions of prior years 2,709 Reductions as a result of lapses in the statute of limitations (37,110 ) Balance at December 31, 2016 7,455 Additions for tax positions of prior years — Additions for tax positions related to the current year 3,928 Reductions as a result of bankruptcy — Balance at December 31, 2017 $ 11,383 If recognized, the entire amount of the gross unrecognized tax benefits at December 31, 2017 would affect the effective tax rate. As a result of the bankruptcy, federal and state governments are precluded from assessing additional tax in audits of tax periods ending prior to bankruptcy. As a result, the Company has released $37.1 million of gross unrecognized tax benefits for years 2015 and prior. These gross unrecognized tax benefits are fully offset by a corresponding release in valuation allowance. The Company recognizes interest and penalties related to unrecognized tax benefits in income tax expense. The Company had accrued interest and penalties of $0.6 million and $0.5 million at December 31, 2017 and 2016 , respectively. In the next 12 months, $3.3 million gross unrecognized tax benefits are expected to be reduced due to the expiration of the statute of limitations. |
Asset Retirement Obligations
Asset Retirement Obligations | 12 Months Ended |
Dec. 31, 2017 | |
Asset Retirement Obligation [Abstract] | |
Asset Retirement Obligations | Asset Retirement Obligations The Company’s asset retirement obligations arise from the Federal Surface Mining Control and Reclamation Act of 1977 and similar state statutes, which require that mine property be restored in accordance with specified standards and an approved reclamation plan. The required reclamation activities to be performed are outlined in the Company’s mining permits. These activities include reclaiming the pit and support acreage at surface mines, sealing portals at underground mines, reclaiming refuse areas and slurry ponds and water treatment. The following table describes the changes to the Company’s asset retirement obligation liability: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (In thousands) Balance at beginning of period (including current portion) $ 356,742 $ 354,326 $ 410,454 Accretion expense 30,209 7,634 24,321 Obligations of divested operations (12,569 ) — (14,702 ) Adjustments to the liability from changes in estimates (23,215 ) — 3,003 Liabilities settled (22,472 ) (5,218 ) (11,087 ) Fresh start accounting adjustment — — (57,663 ) Balance at period end $ 328,695 $ 356,742 $ 354,326 Current portion included in accrued expenses (19,840 ) (19,515 ) (17,290 ) Noncurrent liability $ 308,855 $ 337,227 $ 337,036 As of December 31, 2017 , the Company had $531.7 million in surety bonds outstanding and $7.4 million in letters of credit to secure reclamation bonding obligations. Additionally, the Company has posted $2.6 million in cash as collateral related to reclamation surety bonds; this amount is recorded within “Noncurrent assets” on the Consolidated Balance Sheet. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The hierarchy of fair value measurements assigns a level to fair value measurements based on the inputs used in the respective valuation techniques. The levels of the hierarchy, as defined below, give the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. · Level 1 is defined as observable inputs such as quoted prices in active markets for identical assets. Level 1 assets include available-for-sale equity securities, U.S. Treasury securities, and coal swaps and futures that are submitted for clearing on the New York Mercantile Exchange. · Level 2 is defined as observable inputs other than Level 1 prices. These include quoted prices for similar assets or liabilities in an active market, quoted prices for identical assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. The Company’s level 2 assets and liabilities include U.S. government agency securities, coal commodity contracts and interest rate swaps with fair values derived from quoted prices in over-the-counter markets or from prices received from direct broker quotes. · Level 3 is defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. These include the Company’s commodity option contracts (coal and heating oil) valued using modeling techniques, such as Black-Scholes, that require the use of inputs, particularly volatility, that are rarely observable. Changes in the unobservable inputs would not have had a significant impact on the reported Level 3 fair values at December 31, 2017 and 2016 . The table below sets forth, by level, the Company’s financial assets and liabilities that are recorded at fair value in the accompanying consolidated balance sheet: Fair Value at December 31, 2017 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investments in marketable securities $ 155,846 $ 64,100 $ 91,746 $ — Derivatives 7,339 — 1,985 5,354 Total assets $ 163,185 $ 64,100 $ 93,731 $ 5,354 Liabilities: Derivatives $ 7,217 $ 7,263 $ 26 $ (72 ) Fair Value at December 31, 2016 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investments in marketable securities $ 90,209 $ 2,137 $ 88,072 $ — Derivatives 4,908 262 — 4,646 Total assets $ 95,117 $ 2,399 $ 88,072 $ 4,646 Liabilities: Derivatives $ 101 $ (8 ) $ — $ 109 The Company’s contracts with its counterparties allow for the settlement of contracts in an asset position with contracts in a liability position in the event of default or termination. For classification purposes, the Company records the net fair value of all the positions with these counterparties as a net asset or liability. Each level in the table above displays the underlying contracts according to their classification in the accompanying consolidated balance sheet, based on this counterparty netting. The following table summarizes the change in the fair values of financial instruments categorized as level 3. Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (In thousands) Balance, beginning of period $ 4,537 $ 3,842 $ 2,432 Realized and unrealized (gains) losses recognized in earnings, net (2,305 ) 926 (1,686 ) Included in other comprehensive income — — — Purchases 4,910 1,225 5,021 Issuances (535 ) (34 ) (488 ) Settlements (1,181 ) (1,422 ) (1,437 ) Ending balance $ 5,426 $ 4,537 $ 3,842 Net unrealized gains of $2.3 million were recognized during the year ended December 31, 2017 related to level 3 financial instruments held on December 31, 2017 . Cash and Cash Equivalents At December 31, 2017 and 2016 , the carrying amounts of cash and cash equivalents approximate their fair value. Fair Value of Long-Term Debt At December 31, 2017 and 2016 , the fair value of the Company’s debt, including amounts classified as current, was $336.1 million and $362.9 million , respectively. Fair values are based upon observed prices in an active market, when available, or from valuation models using market information, which fall into Level 2 in the fair value hierarchy. |
Capital Stock
Capital Stock | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Capital Stock | Capital Stock Dividends The Company declared and paid cash dividends per share during the periods presented below: 2017: Dividends per share Amount (in thousands) 1st quarter $ — $ — 2nd quarter 0.35 8,563 3rd quarter 0.35 8,200 4th quarter 0.35 7,606 Total cash dividends declared and paid $ 1.05 $ 24,369 Future dividend declarations will be subject to ongoing Board review and authorization will be based on a number of factors, including business and market conditions, the Company’s future financial performance and other capital priorities. Share Repurchase Program During April 2017, the Board of Directors of Arch Coal, Inc. authorized a new share repurchase program for up to $300 million of its common stock. In October 2017, the Company’s Board of Directors approved an incremental $200 million increase to the share repurchase program bringing the total authorization to $500 million . Below is a table showing the share repurchase activity in 2017 : 2017: Number of Shares Average Repurchase Price per Share Amount (in thousands) 1st quarter — $ — $ — 2nd quarter 710,701 $ 71.82 51,043 3rd quarter 2,208,133 $ 75.49 166,685 4th quarter 1,058,381 $ 79.73 84,381 Total shares repurchased 3,977,215 $ 75.96 $ 302,109 The timing of any future share repurchases, and the ultimate number of shares purchased, will depend on a number of factors, including business and market conditions, the Company’s future financial performance and other capital priorities. The shares will be acquired in the open market or through private transactions in accordance with the Securities and Exchange Commission requirements. The share repurchase program has no termination date, but may be amended, suspended or discontinued at any time and does not commit the Company to repurchase shares of its common stock. The actual number and value of the shares to be purchased will depend on the performance of the Company’s stock price and other market conditions. Outstanding Warrants During 2017 , holders of warrants had exercised 65,499 of the warrants, leaving 1,846,158 warrants outstanding at December 31, 2017 . As provided in ASC 825-20, “Financial Instruments,” the warrants are considered equity because they can only be physically settled in Company shares, can be settled in unregistered shares, the Company has adequate authorized shares to settle the outstanding warrants and each warrant is fixed in terms of settlement to one share of Company stock subject only to remote contingency adjustment factors designed to assure the relative value in terms of shares remains fixed. |
Stock-Based Compensation and Ot
Stock-Based Compensation and Other Incentive Plans | 12 Months Ended |
Dec. 31, 2017 | |
Share-based Compensation [Abstract] | |
Stock-Based Compensation And Other Incentive Plans | Stock-Based Compensation and Other Incentive Plans Under the Company’s 2016 Omnibus Incentive Plan (the “Incentive Plan”), 3.0 million shares of the Company’s common stock were reserved for awards to officers and other selected key management employees of the Company. The Incentive Plan provides the Board of Directors with the flexibility to grant stock options, stock appreciation rights, restricted stock awards, restricted stock units, performance stock or units, phantom stock awards and rights to acquire stock through purchase under a stock purchase program (“Awards”). Awards the Board of Directors elects to pay out in cash do not impact the shares authorized in the Incentive Plan. Shares available for award under the plan were 2.4 million at December 31, 2017 . Restricted Stock Unit Awards The Company may issue restricted stock and restricted stock units, which require no payment from the employee. Restricted stock cliff-vests at various dates and restricted stock units either vest ratably over or vest at the end of the award’s stated vesting period. Compensation expense is based on the fair value on the grant date and is recorded ratably over the vesting period utilizing the straight-line recognition method. The employee receives cash compensation equal to the amount of dividends that would have been paid on the underlying shares. During 2017 , the Company granted both time based awards and performance based awards. The time based awards vest over either a one or three year period and the performance based awards vest over a three year period. The time based awards’ grant date fair value was determined based on the stock price at the date of grant. The performance awards grant date fair value was determined using a Black-Scholes Monte Carlo simulation. A volatility of 50% and 60% were selected for each of the performance-based awards based on comparator companies, and the three-year risk free rate was derived from yields on U.S. Government bonds. Information regarding the restricted stock units activity and weighted average grant-date fair value follows: Time Based Awards Performance Based Awards Restricted Stock Units Weighted Average Grant-Date Fair Value Restricted Stock Units Weighted Average Grant-Date Fair Value (Shares in thousands) Outstanding at January 1, 2017 159 $ 78.60 225 $ 67.34 Granted 92 81.91 86 101.38 Forfeited/Canceled (2 ) 78.60 — — Vested (9 ) 78.60 — — Unvested outstanding at December 31, 2017 240 $ 79.87 311 $ 76.75 The Company recognized expense related to restricted stock units of $10.4 million for the year ended December 31, 2017 and $1.0 million for the period October 2, 2016 through December 31, 2016. As of December 31, 2017 , there was $32.4 million of unrecognized share-based compensation expense which is expected to be recognized over a weighted-average period of approximately three years. Long-Term Incentive Compensation The Company has a long-term incentive program that allows for the award of performance units. The total number of units earned by a participant is based on financial and operational performance measures, and may be paid out in cash or in shares of the Company’s common stock. The Company recognizes compensation expense over the three year term of the grant. The liabilities are remeasured quarterly. The Company recognized expense of $0.7 million for the year ended December 31, 2017 , $1.6 million for the period October 2 through December 31, 2016 , $7.2 million for the period January 1 through October 1, 2016 and $7.9 million for the year ended December 31, 2015 , respectively. The expense is included primarily in “Selling, general and administrative expenses” in the accompanying consolidated statements of operations. Amounts accrued and unpaid for all grants under the plan totaled $8.7 million and $13.9 million as of December 31, 2017 and 2016 , respectively. |
Workers' Compensation Expense
Workers' Compensation Expense | 12 Months Ended |
Dec. 31, 2017 | |
Compensation Related Costs [Abstract] | |
Workers' Compensation Expense | Workers’ Compensation Expense The Company is liable under the Federal Mine Safety and Health Act of 1969, as subsequently amended, to provide for pneumoconiosis (occupational disease) benefits to eligible employees, former employees and dependents. The Company currently provides for federal claims principally through a self-insurance program. The Company is also liable under various state workers’ compensation statutes for occupational disease benefits. The occupational disease benefit obligation represents the present value of the of the actuarially computed present and future liabilities for such benefits over the employees’ applicable years of service. In addition, the Company is liable for workers’ compensation benefits for traumatic injuries which are calculated using actuarially-based loss rates, loss development factors and discounted based on a risk free rate of 2.43% . Traumatic workers’ compensation claims are insured with varying retentions/deductibles, or through state-sponsored workers’ compensation programs. Workers’ compensation expense consists of the following components: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Self-insured occupational disease benefits: Service cost $ 6,320 $ 1,583 $ 3,465 $ 4,282 Interest cost 4,651 1,126 3,184 3,944 Net amortization — — 4,325 6,973 Total occupational disease $ 10,971 $ 2,709 $ 10,974 $ 15,199 Traumatic injury claims and assessments 3,208 3,162 6,628 16,781 Total workers’ compensation expense $ 14,179 $ 5,871 $ 17,602 $ 31,980 The table below reconciles changes in the occupational disease liability for the respective period. Successor Predecessor (In thousands) Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Beginning of period $ 111,159 $ 119,710 $ 90,836 Service cost 6,320 1,583 3,465 Interest cost 4,651 1,126 3,184 Curtailments (5,433 ) — 4,156 Actuarial (gain) loss 12,242 (9,675 ) — Benefit and administrative payments (6,513 ) (1,585 ) (3,728 ) Fresh start accounting adjustment — — 21,797 $ 122,426 $ 111,159 $ 119,710 The following table provides the assumptions used to determine the projected occupational disease obligation: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (Percentages) Occupational Disease Benefit Discount rate 3.66 4.31 3.80 Cost escalation rate N/A N/A N/A Summarized below is information about the amounts recognized in the accompanying consolidated balance sheets for workers’ compensation benefits: Year Ended December 31, 2017 Year Ended December 31, 2016 (In thousands) Occupational disease costs $ 122,426 $ 111,159 Traumatic and other workers’ compensation claims 81,191 88,593 Total obligations 203,617 199,752 Less amount included in accrued expenses 18,782 15,184 Noncurrent obligations $ 184,835 $ 184,568 As of December 31, 2017 , the Company had $123.0 million in surety bonds and letters of credit outstanding to secure workers’ compensation obligations. The Company’s recorded liabilities include $20.3 million of obligations that are reimbursable under various insurance policies purchased by the company. These insurance receivables are recorded in the balance sheet line items “Other receivables” and “Other noncurrent assets” for $3.3 million and $17.0 million , respectively. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Defined Benefit Pension and Other Postretirement Benefit Plans The Company provides funded and unfunded non-contributory defined benefit pension plans covering certain of its salaried and hourly employees. Benefits are generally based on the employee’s age and compensation. The Company funds the plans in an amount not less than the minimum statutory funding requirements or more than the maximum amount that can be deducted for U.S. federal income tax purposes. The Company also currently provides certain postretirement medical and life insurance coverage for eligible employees. Generally, covered employees who terminate employment after meeting eligibility requirements are eligible for postretirement coverage for themselves and their dependents. The Company offers a subsidy to eligible retirees based on age and years of service at retirement and contain other cost-sharing features such as deductibles and coinsurance. The Company’s current funding policy is to fund the cost of all postretirement benefits as they are paid. On January 1, 2015, the Company’s cash balance and excess plans were amended to freeze new service credits for any new or active employee. Obligations and Funded Status. Summaries of the changes in the benefit obligations, plan assets and funded status of the plans are as follows: Pension Benefits Other Postretirement Benefits Successor Predecessor Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (In thousands) CHANGE IN BENEFIT OBLIGATIONS Benefit obligations at beginning of period $ 313,629 $ 341,427 $ 301,292 $ 111,867 $ 120,311 $ 103,460 Service cost — — — 671 180 393 Interest cost 11,169 2,768 9,338 4,150 978 3,223 Divestitures (see Note 5 to the Consolidated Financial Statements) (29,097 ) — — — — — Settlements (1,532 ) (135 ) — — — — Curtailments — — 454 (520 ) — 714 Benefits paid (38,197 ) (11,009 ) (8,699 ) (8,152 ) (1,962 ) (8,273 ) Other-primarily actuarial (gain) loss 14,126 (19,422 ) — 2,503 (7,640 ) — Fresh start accounting adjustments — — 39,042 — — $ 20,794 Benefit obligations at end of period $ 270,098 $ 313,629 $ 341,427 $ 110,519 $ 111,867 $ 120,311 CHANGE IN PLAN ASSETS Value of plan assets at beginning of period $ 274,225 $ 292,726 $ 273,499 $ — $ — $ — Actual return on plan assets 39,689 (7,899 ) 27,811 — — Employer contributions 429 407 115 8,152 1,962 8,273 Benefits paid (38,197 ) (11,009 ) (8,699 ) (8,152 ) (1,962 ) (8,273 ) Divestitures $ (20,504 ) $ — $ — $ — $ — $ — Value of plan assets at end of period $ 255,642 $ 274,225 $ 292,726 $ — $ — $ — Accrued benefit cost $ (14,456 ) $ (39,404 ) $ (48,701 ) $ (110,519 ) $ (111,867 ) $ (120,311 ) ITEMS NOT YET RECOGNIZED AS A COMPONENT OF NET PERIODIC BENEFIT COST Prior service credit (cost) $ — $ — $ — $ — $ — $ — Accumulated gain 16,178 6,751 — 5,137 7,640 — $ 16,178 $ 6,751 $ — $ 5,137 $ 7,640 $ — BALANCE SHEET AMOUNTS Current liability $ (420 ) $ (520 ) $ (420 ) $ (8,150 ) $ (10,422 ) $ (8,352 ) Noncurrent liability (14,036 ) (38,884 ) (48,281 ) (102,369 ) (101,445 ) (111,959 ) $ (14,456 ) $ (39,404 ) $ (48,701 ) $ (110,519 ) $ (111,867 ) $ (120,311 ) Pension Benefits The accumulated benefit obligation for all pension plans was $270.1 million and $313.6 million at December 31, 2017 and 2016 , respectively. Due to the Company adopting the corridor method of amortizing actuarial gains (losses) during fresh start accounting, it is anticipated there will be no amortization recorded into net periodic benefit cost during 2018 . Other Postretirement Benefits Due to the Company adopting the corridor method of amortizing actuarial gains (losses) during fresh start accounting, it is anticipated there will be no amortization recorded into net periodic benefit cost during 2018 . Components of Net Periodic Benefit Cost . The following table details the components of pension and postretirement benefit costs (credits): Pension Benefits Other Postretirement Benefits Successor Predecessor Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Service cost $ — $ — $ — $ 9 $ 671 $ 180 $ 393 $ 866 Interest cost 11,169 2,768 9,338 14,604 4,150 978 3,223 1,904 Curtailments — — 454 — (520 ) — (970 ) — Settlements (1,532 ) (135 ) — 2,656 — — — — Expected return on plan assets (16,498 ) (4,770 ) (13,623 ) (20,367 ) — — — — Amortization of prior service credits — — — — — — (7,854 ) (8,335 ) Amortization of other actuarial losses (gains) — — 3,973 8,850 — — (849 ) (2,109 ) Net benefit cost (credit) $ (6,861 ) $ (2,137 ) $ 142 $ 5,752 $ 4,301 $ 1,158 $ (6,057 ) $ (7,674 ) The differences generated from changes in assumed discount rates and returns on plan assets are amortized into earnings over the remaining service attribution periods of the employees using the corridor method. Assumptions. The following table provides the weighted average assumptions used to determine the actuarial present value of projected benefit obligations for the respective periods. Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (Percentages) Pension Benefits Discount rate 3.49/3.27 3.95 3.39 Rate of compensation increase N/A N/A N/A Other Postretirement Benefits Discount rate 3.49 3.93 3.37 Rate of compensation increase N/A N/A N/A The following table provides the weighted average assumptions used to determine net periodic benefit cost for the respective periods. Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (Percentages) Pension Benefits Discount rate 3.77 3.39/3.95 4.59/3.80 4.15/4.61/4.41/4.60 Rate of compensation increase N/A N/A N/A N/A Expected return on plan assets 6.20 6.85 6.85 7.00 Other Postretirement Benefits Discount rate 3.85 3.37 4.57/3.80 3.91 Rate of compensation increase N/A N/A N/A N/A Expected return on plan assets N/A N/A N/A N/A The discount rates used in 2017, 2016 and 2015 were reevaluated during the year for settlements and curtailments. The obligations are remeasured at an updated discount rate that impacts the benefit cost recognized subsequent to the remeasurement. The Company establishes the expected long-term rate of return at the beginning of each fiscal year based upon historical returns and projected returns on the underlying mix of invested assets. The Company utilizes modern portfolio theory modeling techniques in the development of its return assumptions. This technique projects rates of return that can be generated through various asset allocations that lie within the risk tolerance set forth by members of the Company’s pension committee (the “Pension Committee”). The risk assessment provides a link between a pension plan’s risk capacity, management’s willingness to accept investment risk and the asset allocation process, which ultimately leads to the return generated by the invested assets. The health care cost trend rate assumed for 2018 is 6.2% and is expected to reach an ultimate trend rate of 4.5% by 2038 . A one-percentage-point increase in the health care cost trend rate would increase the postretirement benefit obligation at December 31, 2017 by $11.6 million and the net periodic postretirement benefit cost for the year ended December 31, 2017 by $0.4 million . Plan Assets The Pension Committee is responsible for overseeing the investment of pension plan assets. The Pension Committee is responsible for determining and monitoring appropriate asset allocations and for selecting or replacing investment managers, trustees and custodians. The pension plan’s current investment targets are 39% equity and 61% fixed income securities. The Pension Committee reviews the actual asset allocation in light of these targets on a periodic basis and rebalances among investments as necessary. The Pension Committee evaluates the performance of investment managers as compared to the performance of specified benchmarks and peers and monitors the investment managers to ensure adherence to their stated investment style and to the plan’s investment guidelines. The Company’s pension plan assets at December 31, 2017 and 2016 , respectively, are categorized below according to the fair value hierarchy as defined in Note 17 , “ Fair Value Measurements ”: Total Level 1 Level 2 Level 3 2017 2016 2017 2016 2017 2016 2017 2016 (In thousands) Equity Securities: (A) U.S. small-cap $ 5,064 $ 13,520 $ 5,064 $ 13,520 $ — $ — $ — $ — U.S. mid-cap 22,640 29,687 6,017 9,422 16,623 20,265 — — U.S. large-cap 43,232 70,226 21,416 34,107 21,816 36,119 — — Non-U.S. 10,115 18,937 — — 10,115 18,937 — — Fixed income securities: — U.S. government securities (B) 66,922 26,519 60,286 19,973 6,636 6,546 — — Non-U.S. government securities (C) 4,050 1,567 — — 4,050 1,567 — — U.S. government asset and mortgage backed securities (D) 2,440 1,074 — — 2,440 1,074 — — Corporate fixed income (E) 54,679 58,191 — — 54,679 58,191 — — State and local government securities (F) 3,829 6,406 — — 3,829 6,406 — — Other investments (I) 27,057 26,151 — — 8,457 6,910 18,600 19,241 Total $ 240,028 $ 252,278 $ 92,783 $ 77,022 $ 128,645 $ 156,015 $ 18,600 $ 19,241 Other fixed income (G) 16,646 35,519 Short-term investments (H) 8,573 8,598 Other liabilities (J) (9,605 ) (22,170 ) $ 255,642 $ 274,225 (A) Equity securities includes investments in 1) common stock, 2) preferred stock and 3) mutual funds. Investments in common and preferred stocks are valued using quoted market prices multiplied by the number of shares owned. Investments in mutual funds are valued at the net asset value per share multiplied by the number of shares held as of the measurement date and are traded on listed exchanges. (B) U.S. government securities includes agency and treasury debt. These investments are valued using dealer quotes in an active market. (C) Non-U.S. government securities includes debt securities issued by foreign governments and are valued utilizing a price spread basis valuation technique with observable sources from investment dealers and research vendors. (D) U.S. government asset and mortgage backed securities includes government-backed mortgage funds which are valued utilizing an income approach that includes various valuation techniques and sources such as discounted cash flows models, benchmark yields and securities, reported trades, issuer trades and/or other applicable data. (E) Corporate fixed income is primarily comprised of corporate bonds and certain corporate asset-backed securities that are denominated in the U.S. dollar and are investment-grade securities. These investments are valued using dealer quotes. (F) State and local government securities include different U.S. state and local municipal bonds and asset backed securities, these investments are valued utilizing a market approach that includes various valuation techniques and sources such as value generation models, broker quotes, benchmark yields and securities, reported trades, issuer trades and/or other applicable data. (G) Other fixed income investments are actively managed fixed income vehicles that are valued at the net asset value per share multiplied by the number of shares held as of the measurement date. (H) Short-term investments include governmental agency funds, government repurchase agreements, commingled funds, and pooled funds and mutual funds. Governmental agency funds are valued utilizing an option adjusted spread valuation technique and sources such as interest rate generation processes, benchmark yields and broker quotes. Investments in governmental repurchase agreements, commingled funds and pooled funds and mutual funds are valued at the net asset value per share multiplied by the number of shares held as of the measurement date. (I) Other investments include cash, forward contracts, derivative instruments, credit default swaps, interest rate swaps and mutual funds. Investments in interest rate swaps are valued utilizing a market approach that includes various valuation techniques and sources such as value generation models, broker quotes in active and non-active markets, benchmark yields and securities, reported trades, issuer trades and/or other applicable data. Forward contracts and derivative instruments are valued at their exchange listed price or broker quote in an active market. The mutual funds are valued at the net asset value per share multiplied by the number of shares held as of the measurement date and are traded on listed exchanges. (J) Net payable amount due for pending securities purchased and sold due to broker/dealer. Cash Flows. The Company expects to make contributions of $0.4 million to the pension plans in 2018 , which is impacted by the Moving Ahead for Progress in the 21st Century Act (MAP-21). MAP-21 does not reduce the Company’s obligations under the plan, but redistributes the timing of required payments by providing near term funding relief for sponsors under the Pension Protection Act. The following represents expected future benefit payments from the plan, which reflect expected future service, as appropriate: Other Pension Postretirement Benefits Benefits (In thousands) 2018 $ 17,614 $ 12,381 2019 17,834 12,549 2020 18,174 12,990 2021 18,635 13,239 2022 19,235 13,423 Next 5 years 83,071 62,854 $ 174,563 $ 127,436 Other Plans The Company sponsors savings plans which were established to assist eligible employees in providing for their future retirement needs. The Company’s expense, representing its contributions to the plans, was $18.0 million for the year ended December 31, 2017 ; $3.5 million for the period October 2 through December 31, 2016 ; $13.8 million for the period January 1 through October 1, 2016 ; and $20.5 million for the year ended December 31, 2015 , respectively. |
Earnings (Loss) Per Common Shar
Earnings (Loss) Per Common Share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Common Share | Earnings (Loss) Per Common Share The Company computes basic net income per share using the weighted average number of common shares outstanding during the period. Diluted net income per share is computed using the weighted average number of common shares and the effect of potentially dilutive securities outstanding during the period. Potentially dilutive securities may consist of warrants, restricted stock units or other contingently issuable shares. The dilutive effect of outstanding warrants, restricted stock units and other contingently issuable shares is reflected in diluted earnings per share by application of the treasury stock method. The following table provides the basis for basic and diluted EPS by reconciling the numerators and denominators of the computations: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In Thousands) Weighted average shares outstanding: Basic weighted average shares outstanding 23,725 25,002 21,293 21,285 Effect of dilutive securities 515 467 20 — Diluted weighted average shares outstanding 24,240 25,469 21,313 21,285 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Leases | Leases The Company leases equipment, land and various other properties under non-cancelable long-term leases, expiring at various dates. Certain leases contain options that would allow the Company to extend the lease or purchase the leased asset at the end of the base lease term. In addition, the Company enters into various non-cancelable royalty lease agreements under which future minimum payments are due. Minimum payments due in future years under these agreements in effect at December 31, 2017 are as follows: Operating Leases Royalties (In thousands) 2018 $ 5,936 $ 3,582 2019 4,655 5,926 2020 2,260 6,953 2021 1,985 7,216 2022 2,024 7,003 Thereafter 8,292 34,371 $ 25,152 $ 65,051 The Company has no obligations for future minimum payments under capital leases for equipment at December 31, 2017 and 2016 . Rental expense, including amounts related to these operating leases and other shorter-term arrangements, amounted to $19.2 million in 2017 , $5.0 million for the period October 2 through December 31, 2016 , $19.4 million for the period January 1 through October 1, 2016 and $28.4 million in 2015 . Royalties are paid to lessors either as a fixed price per ton or as a percentage of the gross selling price of the mined coal. Royalties under the majority of the Company’s significant leases are paid on the percentage of gross selling price basis. Royalty expense, including production royalties, was $167.4 million in 2017 , $45.3 million for the period October 2 through December 31, 2016 , $116.4 million for the period January 1 through October 1, 2016 and $227.7 million in 2015 . As of December 31, 2017 , certain of the Company’s lease obligations were secured by outstanding surety bonds totaling $31.2 million . |
Risk Concentrations
Risk Concentrations | 12 Months Ended |
Dec. 31, 2017 | |
Risks Concentrations [Abstract] | |
Risk Concentrations | Risk Concentrations Credit Risk and Major Customers The Company has a formal written credit policy that establishes procedures to determine creditworthiness and credit limits for trade customers and counterparties in the over-the-counter coal market. Generally, credit is extended based on an evaluation of the customer’s financial condition. Collateral is not generally required, unless credit cannot be established. Credit losses are provided for in the financial statements and historically have been minimal. The Company markets its steam coal principally to domestic and foreign electric utilities and its metallurgical coal to domestic and foreign steel producers. As of December 31, 2017 and 2016 , accounts receivable from electric utilities of $72.9 million and $96.0 million , respectively, represented 42% and 52% of total trade receivables at each date. As of December 31, 2017 and 2016 , accounts receivable from sales of metallurgical-quality coal of $99.4 million and $88.0 million , respectively, represented 58% and 48% of total trade receivables at each date. The Company uses shipping destination as the basis for attributing revenue to individual countries. Because title may transfer on brokered transactions at a point that does not reflect the end usage point, they are reflected as exports, and attributed to an end delivery point if that knowledge is known to the Company. The Company’s foreign revenues by geographical location are as follows: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Europe $ 388,926 $ 61,408 $ 113,888 $ 170,314 Asia 264,503 55,634 68,536 96,523 North America 88,145 43,831 56,594 40,315 Central and South America 30,982 13,224 41,861 55,323 Africa 14,901 — — — Brokered Sales 6,137 — — 32,848 Total $ 793,594 $ 174,097 $ 280,879 $ 395,323 The Company is committed under long-term contracts to supply steam coal that meets certain quality requirements at specified prices. These prices are generally adjusted based on market indices. Quantities sold under some of these contracts may vary from year to year within certain limits at the option of the customer based on their requirements. The Company sold approximately 98.2 million tons of coal in 2017 . Approximately 66% of this tonnage (representing approximately 55% of the Company’s revenues) was sold under long-term contracts (contracts having a term of greater than one year). Long-term contracts range in remaining life from one to four years. Third-party sources of coal The Company purchases coal from third parties that it sells to customers. Factors beyond the Company’s control could affect the availability of coal purchased by the Company. Disruptions in the quantities of coal purchased by the Company could impair its ability to fill customer orders or require it to purchase coal from other sources at prevailing market prices in order to satisfy those orders. Transportation The Company depends upon barge, rail, truck and belt transportation systems to deliver coal to its customers. Disruption of these transportation services due to weather-related problems, mechanical difficulties, strikes, lockouts, bottlenecks, and other events could temporarily impair the Company’s ability to supply coal to its customers In the past, disruptions in rail service have resulted in missed shipments and production interruptions. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company accrues for cost related to contingencies when a loss is probable and the amount is reasonably determinable. Disclosure of contingencies is included in the financial statements when it is at least reasonably possible that a material loss or an additional material loss in excess of amounts already accrued may be incurred. The Company is a party to numerous claims and lawsuits with respect to various matters. As of December 31, 2017 and 2016 , the Company had accrued $0.2 million and $2.2 million , respectively, for all legal matters, including $0.2 million and $2.2 million , respectively, classified as current. The ultimate resolution of any such legal matter could result in outcomes which may be materially different from amounts the Company has accrued for such matters. The Company has unconditional purchase obligations relating to purchases of coal, materials and supplies and capital commitments, other than reserve acquisitions, and is also a party to transportation capacity commitments. The future commitments under these agreements total $97.2 million in 2018 , and is immaterial thereafter. The Company recognized expense relating to transportation capacity agreements of $1.6 million during the period January 1 through October 1, 2016 ; and $52.9 million during the year ended December 31, 2015 , respectively. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On February 13, 2018, the Company’s board of directors announced an increase in the Company’s quarterly dividend to $0.40 per common share from $0.35 per common share. The next quarterly cash dividend payment of $0.40 per common share is scheduled to be paid on March 15, 2018 to stockholders of record at the close of business on March 5, 2018. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company’s reportable business segments are based on two distinct lines of business, metallurgical coal and thermal coal, and may include a number of mine complexes. The Company manages its coal sales by market, not by individual mining complex. Geology, coal transportation routes to customers, and regulatory environments also have a significant impact on the Company’s marketing and operations management. Mining operations are evaluated based on Adjusted EBITDAR, per-ton cash operating costs (defined as including all mining costs except depreciation, depletion, amortization, accretion on asset retirement obligations, and pass-through transportation expenses), and on other non-financial measures, such as safety and environmental performance. Adjusted EBITDAR is not a measure of financial performance in accordance with generally accepted accounting principles, and items excluded from Adjusted EBITDAR are significant in understanding and assessing our financial condition. Therefore, Adjusted EBITDAR should not be considered in isolation, nor as an alternative to net income, income from operations, cash flows from operations or as a measure of our profitability, liquidity or performance under generally accepted accounting principles. The Company uses Adjusted EBITDAR to measure the operating performance of its segments and allocate resources to the segments. Furthermore, analogous measures are used by industry analysts and investors to evaluate the Company’s operating performance. Investors should be aware that the Company’s presentation of Adjusted EBITDAR may not be comparable to similarly titled measures used by other companies. The Company reports its results of operations primarily through the following reportable segments: Powder River Basin (PRB) segment containing the Company’s primary thermal operations in Wyoming; the Metallurgical (MET) segment, containing the Company’s metallurgical operations in West Virginia, Kentucky, and Virginia, and the Other Thermal segment containing the Company’s supplementary thermal operations in Colorado, Illinois, and West Virginia. Periods presented in this note have been recast for comparability. On September 14, 2017, the Company closed on its’ definitive agreement to sell Lone Mountain Processing LLC, an operating mine complex within the Company’s metallurgical coal segment. Through this transaction the Company divested all active operations in the states of Kentucky and Virginia. For further information on the divestiture, please see Note 5 to the Consolidated Financial Statements, “Divestitures.” Operating segment results for the year ended December 31, 2017 , the Successor period October 2 through December 31, 2016 and the Predecessor periods January 1 through October 1, 2016 and the year ended December 31, 2015 are presented below. The Company measures its segments based on “adjusted earnings before interest, taxes, depreciation, depletion, amortization, accretion on asset retirements obligations, and reorganization items, net (Adjusted EBITDAR).” Adjusted EBITDAR does not reflect mine closure or impairment costs, since those are not reflected in the operating income reviewed by management. See Note 6 , “ Impairment Charges and Mine Closure Costs ” for discussion of these costs. The Corporate, Other and Eliminations grouping includes these charges, as well as the change in fair value of coal derivatives and coal trading activities, net; corporate overhead; land management activities; other support functions; and the elimination of intercompany transactions. (In thousands) PRB MET Other Thermal Corporate, Other and Eliminations Consolidated Successor Year Ended December 31, 2017 Revenues $ 1,024,197 $ 887,839 $ 396,504 $ 16,083 $2,324,623 Adjusted EBITDAR 158,882 243,616 102,006 (86,747 ) 417,757 Depreciation, depletion and amortization 36,349 70,896 13,588 1,631 122,464 Accretion on asset retirement obligation 20,160 2,000 2,161 5,888 30,209 Total Assets 390,665 548,476 134,397 906,094 1,979,632 Capital expenditures 6,212 32,678 11,901 8,414 59,205 Successor Period October 2 through December 31, 2016 Revenues $ 275,703 $ 200,377 $ 97,382 $ 2,226 $575,688 Adjusted EBITDAR 55,765 30,819 31,159 (23,246 ) 94,497 Depreciation, depletion and amortization 9,949 18,287 3,911 457 32,604 Accretion on asset retirement obligation 5,049 528 540 1,517 7,634 Total assets 446,775 576,793 129,602 983,427 2,136,597 Capital expenditures 934 13,329 684 267 15,214 Predecessor Period January 1 through October 1, 2016 Revenues $ 726,747 $ 437,069 $ 213,052 $ 21,841 $1,398,709 Adjusted EBITDAR 113,185 11,851 31,448 (69,181 ) 87,303 Depreciation, depletion and amortization 100,151 55,311 32,310 3,809 191,581 Accretion on asset retirement obligation 16,940 1,765 1,988 3,628 24,321 Total assets 456,711 619,154 131,173 916,791 2,123,829 Capital expenditures 612 17,296 3,895 60,631 82,434 Predecessor Year Ended December 31, 2015 Revenues $ 1,448,440 $ 637,941 $ 428,809 $ 58,070 $ 2,573,260 Adjusted EBITDAR 281,039 70,450 42,734 (110,426 ) 283,797 Depreciation, depletion and amortization 176,257 133,463 47,786 21,839 379,345 Accretion on asset retirement obligation 22,156 2,267 2,658 6,599 33,680 Total assets 1,648,916 772,439 366,610 2,253,916 5,041,881 Capital expenditures 21,228 24,787 11,277 61,732 119,024 A reconciliation of segment Adjusted EBITDAR to consolidated income (loss) from continuing operations before income taxes follows: Successor Predecessor (In thousands) Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Income (loss) before income taxes $ 203,195 $ 34,605 $ 1,237,455 $ (3,286,522 ) Interest expense, net 24,256 10,754 133,235 393,549 Depreciation, depletion and amortization 122,464 32,604 191,581 379,345 Accretion on asset retirement obligations 30,209 7,634 24,321 33,680 Amortization of sales contracts, net 53,985 796 (728 ) (8,811 ) Asset impairment and mine closure costs — — 129,267 2,628,303 Losses from disposed operations resulting from Patriot Coal bankruptcy — — — 116,343 Gain on sale of Lone Mountain Processing, Inc. (21,297 ) — — — Net loss resulting from early retirement of debt and debt restructuring 2,547 — 2,213 27,910 Reorganization items, net 2,398 759 (1,630,041 ) — Fresh start coal inventory fair value adjustment — 7,345 — — Adjusted EBITDAR $ 417,757 $ 94,497 $ 87,303 $ 283,797 |
Quarterly Selected Financial Da
Quarterly Selected Financial Data (unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Selected Financial Data (unaudited) | Quarterly Selected Financial Data (unaudited) Year Ended December 31, 2017 March 31 June 30 September 30 December 31 (In thousands, except per share data) Revenues $ 600,975 $ 549,866 $ 613,538 560,244 Gross profit $ 85,747 $ 62,577 $ 65,100 62,937 Income from operations $ 66,264 $ 42,692 $ 72,489 $ 50,951 Reorganization items, net $ (2,828 ) $ (21 ) $ (43 ) $ 494 Net income $ 51,668 $ 37,160 $ 68,351 $ 81,271 Diluted income per common share $ 2.03 $ 1.48 $ 2.83 $ 3.64 Predecessor Successor Year Ended December 31, 2016 March 31 June 30 September 30 October 1 October 2 through December 31, 2016 (a) (b) (a) (b) (b) (b) (In thousands, except per share data) Revenues $ 428,106 $ 420,298 $ 550,305 $ — $ 575,688 Gross profit (loss) $ (53,325 ) $ (56,469 ) $ 31,042 $ — $ 64,458 Asset impairment and mine closure costs $ 85,520 $ 43,701 $ 46 $ — $ — Income (loss) from operations $ (158,412 ) $ (110,521 ) $ 11,795 $ — $ 46,118 Reorganization items, net $ (3,875 ) $ (21,271 ) $ (20,904 ) $ 1,676,091 $ (759 ) Net income (loss) $ (206,702 ) $ (175,887 ) $ (51,421 ) $ 1,676,091 $ 33,449 Diluted income (loss) per common share $ (9.71 ) $ (8.26 ) $ (2.41 ) $ 78.66 $ 1.31 (a) Challenging coal markets resulted in impairment charges relating to leased mineral reserves, prepaid mining royalties, investments in equity method subsidiaries and severance expense in 2016. See further discussion in Note 6 , “ Impairment Charges and Mine Closure Costs “ and Note 10 , “ Equity Method Investments and Membership Interests in Joint Ventures .” (b) The Company filed for bankruptcy on January 11, 2016 and subsequently emerged on October 5, 2016. See further discussion in Note 3 , “ Emergence from Bankruptcy and Fresh Start Accounting .” |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2017 | |
Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | Valuation and Qualifying Accounts Additions (Reductions) Balance at Charged to Charged to Balance at Beginning of Costs and Other End of Year Expenses Accounts Deductions (a) Year (In thousands) Year Ended December 31, 2017 Reserves deducted from asset accounts: Accounts receivable and other receivables $ — $ — Current assets — supplies and inventory — 365 (17 ) (b) 87 261 Deferred income taxes 1,021,553 (410,982 ) 610,571 Successor October 2 through December 31, 2016 Reserves deducted from asset accounts: Accounts receivable and other receivables $ — $ — $ — $ — $ — Current assets — supplies and inventory — — — — — Deferred income taxes 1,033,982 (12,429 ) — — 1,021,553 Predecessor January 1 through October 1, 2016 Reserves deducted from asset accounts: Accounts receivable and other receivables $ 7,842 $ — $ — $ 7,842 $ — Current assets — supplies and inventory 5,991 844 (5,060 ) (c) 1,775 — Deferred income taxes 1,135,399 (101,417 ) — 1,033,982 Year ended December 31, 2015 Reserves deducted from asset accounts: Accounts receivable and other receivables $ 159 $ 7,683 $ — $ — $ 7,842 Current assets — supplies and inventory 6,625 431 — 1,065 5,991 Deferred income taxes 270,251 865,148 — — 1,135,399 (a) Reserves utilized, unless otherwise indicated. (b) Disposition of subsidiaries (c) Fresh start accounting adjustment |
Accounting Policies (Policies)
Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Consolidation Policy | The accompanying consolidated financial statements include the accounts of Arch Coal, Inc. and its subsidiaries and controlled entities (the “Company”). Unless the context indicates otherwise, the terms “Arch” and the “Company” are used interchangeably in this Annual Report on Form 10-K refer to both the Predecessor and Successor Company. The Company’s primary business is the production of thermal and metallurgical coal from surface and underground mines located throughout the United States, for sale to utility, industrial and steel producers both in the United States and around the world. The Company currently operates mining complexes in West Virginia, Illinois, Wyoming and Colorado. All subsidiaries are wholly-owned. Intercompany transactions and accounts have been eliminated in consolidation. |
Accounting Estimates | Accounting Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and revenues and expenses in the accompanying consolidated financial statements and the disclosure of contingent assets and liabilities. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents are stated at cost. Cash equivalents consist of highly-liquid investments with an original maturity of three months or less when purchased. |
Restricted cash | Restricted cash Restricted cash represents cash collateral supporting letters of credit issued under the Company’s accounts receivable securitization program. |
Accounts Receivable | Accounts Receivable Accounts receivable are recorded at amounts that are expected to be collected, based on past collection history, the economic environment and specified risks identified in the receivables portfolio. |
Inventories | Inventories Coal and supplies inventories are valued at the lower of average cost or market. Coal inventory costs include labor, supplies, equipment costs, transportation costs incurred prior to the transfer of title to customers and operating overhead. The costs of removing overburden, called stripping costs, incurred during the production phase of the mine are considered variable production costs and are included in the cost of the coal extracted during the period the stripping costs are incurred. |
Investments and Membership Interests in Joint Ventures | Investments and Membership Interests in Joint Ventures Investments and membership interests in joint ventures are accounted for under the equity method of accounting if the Company has the ability to exercise significant influence, but not control, over the entity. The Company’s share of the entity’s income or loss is reflected in “ Other operating expense (income), net ” in the consolidated statements of operations. Information about investment activity is provided in Note 10 to the Consolidated Financial Statements, “ Equity Method Investments and Membership Interests in Joint Ventures .” Investments in debt securities and marketable equity securities that do not qualify for equity method accounting are classified as available-for-sale and are recorded at their fair values. Unrealized gains and losses on these investments are recorded in other comprehensive income or loss. A decline in the value of an investment that is considered other-than-temporary would be recognized in operating expenses. |
Sales Contracts | Sales Contracts Coal supply agreements (sales contracts) valued during fresh start accounting or acquired in a business combination are capitalized at their fair value and amortized over the tons of coal shipped during the term of the contract. The fair value of a sales contract is determined by discounting the cash flows attributable to the difference between the contract price and the prevailing forward prices for the tons under contract at the date of acquisition. See Note 11 to the Consolidated Financial Statements, “ Sales Contracts ” for further information related to the Company’s sales contracts. |
Exploration Costs | Exploration Costs Costs to acquire permits for exploration activities are capitalized. Drilling and other costs related to locating coal deposits and evaluating the economic viability of such deposits are expensed as incurred. |
Prepaid Royalties | Prepaid Royalties Leased mineral rights are often acquired through royalty payments. When royalty payments represent prepayments recoupable against royalties owed on future revenues from the underlying coal, they are recorded as a prepaid asset, with amounts expected to be recouped within one year classified as current. When coal from these leases is sold, the royalties owed are recouped against the prepayment and charged to cost of sales. An impairment charge is recognized for prepaid royalties that are not expected to be recouped. |
Property, Plant and Equipment | Property, Plant and Equipment Plant and Equipment Plant and equipment were recorded at fair value at emergence during fresh start accounting; subsequent purchases of property, plant and equipment have been recorded at cost. Interest costs incurred during the construction period for major asset additions are capitalized. The Company did not capitalize any interest costs during years ended December 31, 2017 and 2016 , respectively. Expenditures that extend the useful lives of existing plant and equipment or increase the productivity of the asset are capitalized. The cost of maintenance and repairs that do not extend the useful life or increase the productivity of the asset is expensed as incurred. Preparation plants and loadouts are depreciated using the units-of-production method over the estimated recoverable reserves, subject to a minimum level of depreciation. Other plant and equipment are depreciated principally using the straight-line method over the estimated useful lives of the assets, limited by the remaining life of the mine. The useful lives of mining equipment, including longwalls, draglines and shovels, range from 7 to 18 years. The useful lives of buildings and leasehold improvements generally range from 1 to 21 years. Deferred Mine Development Costs of developing new mines or significantly expanding the capacity of existing mines are capitalized and amortized using the units-of-production method over the estimated recoverable reserves that are associated with the property being benefited. Costs may include construction permits and licenses; mine design; construction of access roads, shafts, slopes and main entries; and removing overburden to access reserves in a new pit. Additionally, deferred mine development includes the asset cost associated with asset retirement obligations. Coal sales revenue related to incidental production during the development phase will be recorded as coal sales revenue with an offset to cost of coal sales based on the estimated cost per ton sold for the mine when the asset is in place for its intended use. Coal Lands and Mineral Rights Rights to coal reserves may be acquired directly through governmental or private entities. A significant portion of the Company’s coal reserves are controlled through leasing arrangements. Lease agreements are generally long-term in nature (original terms range from 10 to 50 years), and substantially all of the leases contain provisions that allow for automatic extension of the lease term providing certain requirements are met. The net book value of the Company’s coal interests was $361.2 million and $381.0 million at December 31, 2017 and 2016 , respectively. Payments to acquire royalty lease agreements and lease bonus payments are capitalized as a cost of the underlying mineral reserves and depleted over the life of proven and probable reserves. Coal lease rights are depleted using the units-of-production method, and the rights are assumed to have no residual value. The Company currently does not have any future lease bonus payments. Depreciation, depletion and amortization The depreciation, depletion and amortization related to long-lived assets is reflected in the statement of operations as a separate line item. No depreciation, depletion or amortization is included in any other operating cost categories. Impairment If facts and circumstances suggest that the carrying value of a long-lived asset or asset group may not be recoverable, the asset or asset group is reviewed for potential impairment. If this review indicates that the carrying amount of the asset will not be recoverable through projected undiscounted cash flows generated by the asset and its related asset group over its remaining life, then an impairment loss is recognized by reducing the carrying value of the asset to its fair value. The Company may, under certain circumstances, idle mining operations in response to market conditions or other factors. Because an idling is not a permanent closure, it is not considered an automatic indicator of impairment. See additional discussion in Note 6 to the Consolidated Financial Statements, “ Impairment Charges and Mine Closure Costs .” |
Deferred Financing Costs | Deferred Financing Costs The Company capitalizes costs incurred in connection with new borrowings, the establishment or enhancement of credit facilities and the issuance of debt securities. These costs are amortized as an adjustment to interest expense over the life of the borrowing or term of the credit facility using the interest method. Debt issuance costs related to a recognized liability are presented in the balance sheet as a direct reduction from the carrying amount of that liability whereas debt issuance costs related to a credit facility with no balance outstanding are shown as an asset. |
Revenue Recognition | Revenue Recognition Revenues include sales to customers of coal produced at Company operations and coal purchased from third parties. The Company recognizes revenue at the time risk of loss passes to the customer at contracted amounts. Transportation costs are included in cost of sales and amounts billed by the Company to its customers for transportation are included in revenues. |
Other Operating Expense (Income), net | Other Operating Expense (Income), net Other operating expense (income), net in the accompanying consolidated statements of operations reflects income and expense from sources other than physical coal sales, including: bookouts, or the practice of offsetting purchase and sale contracts for shipping convenience purposes; contract settlements; liquidated damage charges related to unused terminal and port capacity; royalties earned from properties leased to third parties; income from equity investments (Note 10 , “ Equity Method Investments and Membership Interests in Joint Ventures ”); non-material gains and losses from divestitures and dispositions of assets; and realized gains and losses on derivatives that do not qualify for hedge accounting and are not held for trading purposes (Note 12 , “ Derivatives ”). |
Asset Retirement Obligations | Asset Retirement Obligations The Company’s legal obligations associated with the retirement of long-lived assets are recognized at fair value at the time the obligations are incurred. Accretion expense is recognized through the expected settlement date of the obligation. Obligations are incurred at the time development of a mine commences for underground and surface mines or construction begins for support facilities, refuse areas and slurry ponds. The obligation’s fair value is determined using a discounted cash flow technique and is based upon permit requirements and various estimates and assumptions that would be used by market participants, including estimates of disturbed acreage, reclamation costs and assumptions regarding equipment productivity. Upon initial recognition of a liability, a corresponding amount is capitalized as part of the carrying value of the related long-lived asset. The Company reviews its asset retirement obligation at least annually and makes necessary adjustments for permit changes as granted by state authorities and for revisions of estimates of the amount and timing of costs. For ongoing operations, adjustments to the liability result in an adjustment to the corresponding asset. For idle operations, adjustments to the liability are recognized as income or expense in the period the adjustment is recorded. Any difference between the recorded obligation and the actual cost of reclamation is recorded in profit or loss in the period the obligation is settled. |
Loss Contingencies | Loss Contingencies The Company accrues for cost related to contingencies when a loss is probable and the amount is reasonably determinable. Disclosure of contingencies is included in the financial statements when it is at least reasonably possible that a material loss or an additional material loss in excess of amounts already accrued may be incurred. The amount accrued represents the Company’s best estimate of the loss, or, if no best estimate within a range of outcomes exists, the minimum amount in the range. |
Derivative Instruments | Derivative Instruments The Company generally utilizes derivative instruments to manage exposures to commodity prices and interest rate risk on long-term debt. Additionally, the Company may hold certain coal derivative instruments for trading purposes. Derivative financial instruments are recognized in the balance sheet at fair value. Certain coal contracts may meet the definition of a derivative instrument, but because they provide for the physical purchase or sale of coal in quantities expected to be used or sold by the Company over a reasonable period in the normal course of business, they are not recognized on the balance sheet. Certain derivative instruments are designated as the hedge instrument in a hedging relationship. In a fair value hedge, the Company hedges the risk of changes in the fair value of a firm commitment, typically a fixed-price coal sales contract. Changes in both the hedged firm commitment and the fair value of a derivative used as a hedge instrument in a fair value hedge are recorded in earnings. In a cash flow hedge, the Company hedges the risk of changes in future cash flows related to the underlying item being hedged. Changes in the fair value of the derivative instrument used as a hedge instrument in a cash flow hedge are recorded in other comprehensive income or loss. Amounts in other comprehensive income or loss are reclassified to earnings when the hedged transaction affects earnings and are classified in a manner consistent with the transaction being hedged. The Company formally documents the relationships between hedging instruments and the respective hedged items, as well as its risk management objectives for hedge transactions. The Company evaluates the effectiveness of its hedging relationships both at the hedge’s inception and on an ongoing basis. Any ineffective portion of the change in fair value of a derivative instrument used as a hedge instrument in a fair value or cash flow hedge is recognized immediately in earnings. The ineffective portion is based on the extent to which exact offset is not achieved between the change in fair value of the hedge instrument and the cumulative change in expected future cash flows on the hedged transaction from inception of the hedge in a cash flow hedge or the change in the fair value. Ineffectiveness was insignificant for the periods disclosed within. |
Fair Value | Fair Value Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly hypothetical transaction between market participants at a given measurement date. Valuation techniques used must maximize the use of observable inputs and minimize the use of unobservable inputs. |
Income Taxes | Income Taxes Deferred income taxes are provided for temporary differences arising from differences between the financial statement and tax basis of assets and liabilities existing at each balance sheet date using enacted tax rates anticipated to be in effect when the related taxes are expected to be paid or recovered. A valuation allowance is established if it is more likely than not that a deferred tax asset will not be realized. Management reassesses the ability to realize its deferred tax assets annually in the fourth quarter or when circumstances indicate that the ability to realize deferred tax assets has changed. In determining the need for a valuation allowance, the Company considers projected realization of tax benefits based on expected levels of future taxable income, available tax planning strategies and the reversal of temporary differences. Benefits from tax positions that are uncertain are not recognized unless the Company concludes that it is more likely than not that the position would be sustained in a dispute with taxing authorities, should the dispute be taken to the court of last resort. The Company would measure any such benefit at the largest amount of benefit that is greater than 50 percent likely of being realized upon settlement with taxing authorities. |
Benefit Plans | Benefit Plans The Company has non-contributory defined benefit pension plans covering most of its salaried and hourly employees. On January 1, 2015 the Company’s cash balance and excess pension plans were amended to freeze new service credits for any new or active employee. The Company also currently provides certain postretirement medical and life insurance coverage for eligible employees. The cost of providing these benefits is determined on an actuarial basis and accrued over the employee’s period of active service. The Company recognizes the overfunded or underfunded status of these plans as determined on an actuarial basis on the balance sheet and the changes in the funded status are recognized in other comprehensive income. The Company amortizes actuarial gains and losses over the remaining service attribution periods of the employees using the corridor method. |
Stock-Based Compensation | Stock-Based Compensation The compensation cost of all stock-based awards is determined based on the grant-date fair value of the award, and is recognized over the requisite service period. The grant-date fair value of option awards and restricted stock awards with a market condition is determined using a Monte Carlo simulation. Compensation cost for an award with performance conditions is accrued if it is probable that the conditions will be met. The Company accounts for forfeitures as they occur. |
Recently Adopted Accounting Guidance and Recent Accounting Guidance Issued Not Yet Effective | Recently Adopted Accounting Guidance In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Compensation - Stock Compensation (Topic 718) ("ASU 2016-09"). ASU 2016-09 identifies areas for simplification involving several aspects of accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, an option to recognize gross stock compensation expense with actual forfeitures recognized as they occur, as well as certain classifications on the statement of cash flows. The Company adopted all provisions of this new accounting standard in the first quarter of 2017 and changed its forfeiture policy to recognize the impact of forfeitures when they occur from estimating expected forfeitures in determining stock-based compensation expense. There was no material impact to the Company's financial statements. Recent Accounting Guidance Issued Not Yet Effective In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers.” ASU 2014-09 is a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. ASU 2014-09 requires that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017. The Company’s primary source of revenue is from the sale of coal through both short-term and long-term contracts with utilities, industrial customers and steel producers whereby revenue is currently recognized when risk of loss has passed to the customer. During the fourth quarter of 2017, the Company finalized its assessment related to the new standard by analyzing certain contracts representative of the majority of the Company’s coal sales and determined that the timing of revenue recognition related to the Company’s coal sales will remain consistent between the new standard and the current standard. The Company also reviewed other sources of revenue, and concluded the current basis of accounting for these items is in accordance with the new standard. The Company has concluded its adoption, using the modified retrospective method, will not have a material impact on its consolidated financial statements and there will be no cumulative adjustment to retained earnings. The Company also reviewed the disclosure requirements under the new standard and is compiling information needed for the expanded disclosures required during the first quarter of 2018. In February 2016, the FASB issued ASU No. 2016-02, “Leases” which, for operating leases, requires a lessee to recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in its balance sheet. The standard also requires a lessee to recognize a single lease cost, calculated so that the cost of the lease is allocated over the term of the lease, on a generally straight line basis. The ASU is effective for public companies for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years; early adoption is permitted. The Company has both operating and capital leases. We expect the adoption of this standard to result in the recognition of right-of-use assets and lease liabilities not currently recorded on the Company’s financial statements. The Company is currently in the process of accumulating all contractual lease arrangements in order to determine the impact on its financial statements. In August 2016, the FASB issued ASU No. 2016-15, “Classification of Certain Cash Receipts and Cash Payments.” The amendment requires the classification of certain cash receipts and cash payments in the statement of cash flows to reduce diversity in practice. The new guidance will be effective for fiscal years beginning after December 15, 2017 and the interim periods therein, with early adoption permitted. The amendments in the classification should be applied retrospectively to all periods presented, unless deemed impracticable, in which case, the prospective application is permitted. The Company plans to adopt the guidance in this standard during the first quarter of 2018. In October 2016, the FASB issued ASU No. 2016-18, “Statement of Cash Flows-Restricted Cash.” The amendment requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning period and end of period total amounts shown on the statement of cash flows. ASU 2016-18 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years; early adoption is permitted. The Company plans to adopt the guidance in this standard during the first quarter of 2018. In March 2017, the FASB issued ASU No. 2017-07, “Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost.” Under the new guidance, employers will present the service cost component of the net periodic benefit cost in the same income statement line item(s) as other employee compensation costs arising from services rendered during the period. Employers will present the other components separately from the line item(s) that includes the service cost and outside of any subtotal of operating income, if one is presented. Employers will have to disclose the line(s) used to present the other components of net periodic benefit cost, if the components are not presented separately in the income statement. Additionally, only the service cost component will be eligible for capitalization in assets. ASU 2017-07 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal year; early adoption is permitted. The Company plans to adopt the guidance in this standard during the first quarter of 2018. In August 2017, the FASB issued ASU No. 2017-12, “Targeted Improvements to Accounting for Hedging Activities.” The new guidance provides targeted improvements to the accounting for hedging activities to better align an entity’s risk management activities and financial reporting for hedging relationships through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedging results. ASU 2017-12 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years; early adoption is permitted. The Company anticipates early adopting the standard in the first quarter of 2018, although we do not expect a significant impact to the Company’s financial results. |
Emergence from Bankruptcy and39
Emergence from Bankruptcy and Fresh Start Accounting (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Reorganizations [Abstract] | |
Fresh-Start Condensed Balance Sheet | The following balance sheet illustrates the impacts of the implementation of the Plan and the application of fresh start accounting, which results in the opening balance sheet of the Successor company. As of October 1, 2016 (In thousands) Predecessor (a) Effect of Plan (b) Fresh Start Adjustments (c) Successor Assets Current assets Cash and cash equivalents $ 400,205 $ (199,718 ) (d) $ — $ 200,487 Short term investments 111,451 — — 111,451 Restricted cash 81,563 — — 81,563 Trade accounts receivable 165,522 — — 165,522 Other receivables 17,227 — 779 (j) 18,006 Inventories 159,410 — (21,078 ) (k) 138,332 Prepaid royalties 4,805 — — 4,805 Deferred income taxes — — — — Coal derivative assets 2,180 — — 2,180 Other current assets 36,960 6,367 53,851 (l) 97,178 Total current assets 979,323 (193,351 ) 33,552 819,524 Property, plant and equipment, net 3,434,941 — (2,363,829 ) (m) 1,071,112 Other assets Prepaid royalties 20,997 — (20,997 ) (n) — Equity investments 164,232 — (61,606 ) (o) 102,626 Other noncurrent assets 58,569 34,495 (e) 37,503 (p) 130,567 Total other assets 243,798 34,495 (45,100 ) 233,193 Total assets $ 4,658,062 $ (158,856 ) $ (2,375,377 ) $ 2,123,829 Liabilities and Stockholders’ Equity (Deficit) Liabilities not subject to compromise Accounts payable $ 74,595 $ — $ (250 ) (q) $ 74,345 Accrued expenses and other current liabilities 225,739 (36,331 ) (f) 26,644 (r) 216,052 Current maturities of debt 3,397 3,265 (g) — 6,662 Total current liabilities 303,731 (33,066 ) 26,394 297,059 Long-term debt 30,037 323,235 (g) — 353,272 Asset retirement obligations 394,699 — (60,570 ) (s) 334,129 Accrued pension benefits 23,716 — 24,565 (t) 48,281 Accrued other postretirement benefits 87,123 — 24,836 (t) 111,959 Accrued workers’ compensation 119,828 — 74,520 (u) 194,348 Deferred income taxes — — — — Other noncurrent liabilities 96,410 — 888 (v) 97,298 Total liabilities not subject to compromise 1,055,544 290,169 90,633 1,436,346 Liabilities subject to compromise 5,278,612 (5,278,612 ) (h) — — Total liabilities 6,334,156 (4,988,443 ) 90,633 1,436,346 Stockholders’ equity (deficit) Common stock, predecessor 2,145 (2,145 ) (i) — — Common stock, successor — 250 (b) — 250 Paid-in capital, predecessor 3,056,307 (3,056,307 ) (i) — — Paid-in capital, successor — 687,233 (b) — 687,233 Treasury stock, at cost (53,863 ) 53,863 (i) — — Accumulated earnings (deficit) (4,678,977 ) 7,146,693 (i) (2,467,716 ) — Accumulated other comprehensive income (loss) (1,706 ) — 1,706 — Total stockholders’ equity (deficit) (1,676,094 ) 4,829,587 (2,466,010 ) 687,483 Total liabilities and stockholders’ equity (deficit) $ 4,658,062 $ (158,856 ) $ (2,375,377 ) $ 2,123,829 (a) Represents the Predecessor consolidated balance sheet as of October 1, 2016. (b) Represents amounts recorded for the implementation of the Plan on the Effective Date. This includes the settlement of liabilities subject to compromise through a combination of cash payments, the issuance of new common stock and warrants and the issuance of new debt. The following is the calculation of the total pre-tax gain on the settlement of the liabilities subject to compromise: In thousands Liabilities subject to compromise $ 5,278,612 Less amounts issued to settle claims: Common stock (at par) Successor (250 ) Warrants Successor (14,822 ) Paid-in capital Successor (672,411 ) Issuance of Term Loan Successor (326,500 ) Cash payment to settle claims and professional fees (122,525 ) Total pre-tax gain on plan effects $ 4,142,104 (c) Represents the fresh start accounting adjustments required to record the assets and liabilities of the Company at fair value. (d) The following table reflects the use of cash at emergence: In thousands Payment to secured lenders $ 43,496 Payments to unsecured creditors 42,399 Final adequate protection payment 36,331 Collateral requirements 31,665 Professional fees 31,630 Other 14,197 Total cash outflow at emergence $ 199,718 (e) Represents amounts paid for required collateral deposits. (f) Represents the final adequate protection payments made to the secured lenders. (g) Represents the fair value of the $326.5 million new term loan of which $3.3 million is shown within current maturities of debt. (h) Liabilities subject to compromise include unsecured or under-secured liabilities incurred prior to the Chapter 11 filing; and consists of the following: Previously Reported Balance Sheet Line In thousands Debt $ 5,026,806 Accrued expenses and other current liabilities 136,295 Accounts payable 106,297 Other noncurrent liabilities 9,214 Total liabilities subject to compromise $ 5,278,612 (i) Reflects the impacts of the reorganization adjustments: In thousands Total pre-tax gain on settlement of claims $ 4,142,104 Cancellation of predecessor common stock 2,145 Cancellation of predecessor paid-in capital 3,056,307 Cancellation of predecessor treasury stock (53,863 ) Net impact on accumulated earnings (deficit) $ 7,146,693 (j) Represents adjustments to record other receivables at fair value which includes an $0.8 million short-term receivable related to insurance coverage for self-insured workers’ compensation obligations. (k) Represents the following fair value adjustments: a $7.3 million increase related to coal inventory which was fair valued at estimated selling prices less the sum of selling costs, shipping costs and a reasonable profit allowance for the selling effort offset by a $28.4 million reduction in critical spare parts inventory. During fresh start accounting, the Company changed its accounting policy with respect to critical spare parts with long lead times; previously these items were valued within inventory, but prospectively, these items will be capitalized within property, plant and equipment when purchased and depreciated over the life of the related equipment. (l) Represents the short-term portion of above market coal sales contracts of $71.1 million offset by $11.3 million in reductions related to prepaid balances. The fair value of sales contracts was estimated using a discounted cash flow model and will be amortized into earnings as the coal is shipped throughout the term of the associated contracts. (m) Represents a $2.4 billion reduction in property, plant and equipment to estimated fair value as discussed below: Predecessor Fresh Start Adjustments Successor (in thousands) Net Coal Properties $ 2,358,779 $ (1,971,314 ) $ 387,465 Net Plant & Equipment 812,888 (405,259 ) 407,629 Net Deferred Charges 263,274 12,744 276,018 $ 3,434,941 $ (2,363,829 ) $ 1,071,112 The fair value of coal properties was established at $387.5 million utilizing a discounted cash flow model and the market approach. The market approach was used to provide a starting value of the coal mineral reserves without consideration for economic obsolescence. The DCF model was based on assumptions market participants would use in the pricing of these assets as well as projections of revenues and expenditures that would be incurred to mine or maintain these coal reserves through the life of mine. The basis of the DCF analysis was the Company’s prepared projections which included a variety of estimates and assumptions, such as pricing and demand for coal. The Company’s pricing was based on its view of the market taking into account third party forward pricing curves adjusted for the quality of products sold by the Company. The fair value of plant and equipment was set at $407.6 million utilizing both market and cost approaches. The market approach was used to estimate the value of assets where detailed information for the asset was available and an active market was identified with a sufficient number of sales of comparable property that could be independently verified through reliable sources. The cost approach was utilized where there were limitations in the secondary equipment market to derive values from. The first step in the cost approach is the estimation of the cost required to replace the asset via construction or purchasing a new asset with similar utility adjusting for depreciation due to physical deterioration, functional obsolescence due to technology changes and economic obsolescence due to external factors such as regulatory changes. Useful lives were assigned to all assets based on remaining future economic benefit of each asset. The fair value of deferred charges represents the corresponding asset related to the asset retirement obligation discussed in item (q) below. (n) Represents a fair value adjustment to a long-term prepaid royalty balance that the Company has concluded should not be assigned value based on market conditions and after considering economic obsolescence. (o) Represents a fair value adjustment to the Company’s equity investments in Knight Hawk Holdings, LLC, a coal producer in the Illinois Basin; and Dominion Terminal Associates which operates a ground storage-to-vessel coal trans-loading facility in Newport News, Virginia. Equity investments were fair valued in a manner similar to the Company’s wholly-owned subsidiaries using a discounted cash flow model and comparable company approach. The discount rate selected was 14% and due to the unobservable nature of the inputs, the fair values are considered Level 3 in the fair value hierarchy. (p) Represents the long-term portion of above market coal sales contracts of $26.0 million and $18.6 million related to a long-term insurance receivable related to insurance coverage for self-insured workers’ compensation obligations partially offset by $13.2 million in reductions related to prepaid balances. The fair value of sales contracts was estimated using a discounted cash flow model and will be amortized into earnings as the coal is shipped throughout the term of the associated contracts. (q) Represents a fair value adjustment to miscellaneous accounts payable. (r) Represents fair value adjustments for the following: a $27.8 million increase related to the short-term portion of below market sales contracts offset by fair value adjustments to establish the current portion of pension, postretirement and workers’ compensation liabilities. The fair value of sales contracts was estimated using a discounted cash flow model and will be amortized into earnings as the coal is shipped throughout the term of the associated contracts. (s) Represents the fair value adjustment related to the Company’s asset retirement obligations which was calculated using discounted cash flow models based on current mine plans using the guidance provided within Accounting Standard Codification 410-20, “Asset Retirement Obligations.” The discount rates ranged from 7.06% to 9.08% . (t) Pension and postretirement benefits were fair valued based on plan assets and employee benefit obligations at October 1, 2016. The benefit obligations were computed using the applicable October 1, 2016 discount rates. In conjunction with fresh start accounting, the Company updated its mortality rate table assumptions and corridor assumption. (u) Represents fair value adjustments for workers’ compensation benefits, including occupational disease benefits, that were actuarially determined using the guidance provided within Accounting Standard Codification 712, “Non-retirement Post-employment Benefits.” Upon emergence, the Company’s accounting policy is to actuarially calculate this liability. Prior to emergence, the Company had accounted for its liability based on outstanding reserves calculated per third party administrators. (v) Represents the following fair value adjustments: $3.9 million increase related to the long-term portion of below market sales contracts partially offset by $3.1 million reduction in miscellaneous noncurrent liabilities. The fair value of sales contracts was estimated using a discounted cash flow model and will be amortized into earnings as the coal is shipped throughout the term of the associated contracts. |
Schedule of Reorganization Items, Net | The Company’s reorganization items, net for the respective periods are as follows: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Gain on settlement of claims (per above) $ — $ — $ 4,142,104 $ — Fresh start adjustments, net (per above) — — (2,466,010 ) — Professional fees (2,398 ) (759 ) (46,053 ) — $ (2,398 ) $ (759 ) $ 1,630,041 $ — |
Accumulated Other Comprehensi40
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following items are included in accumulated other comprehensive income (loss): Pension, Postretirement Accumulated and Other Post- Other Derivative Employment Available-for- Comprehensive Instruments Benefits Sale Securities Income (Loss) (In thousands) Predecessor Company January 1, 2016 $ 325 $ (721 ) $ (1,419 ) $ (1,815 ) Unrealized gains (losses) (138 ) — 701 563 Amounts reclassified from accumulated other comprehensive income (loss) (316 ) (1,363 ) 1,225 (454 ) Fresh start accounting adjustment 129 2,084 (507 ) 1,706 October 1, 2016 — — — — Successor Company Unrealized gains (losses) — 24,067 387 24,454 Amounts reclassified from accumulated other comprehensive income (loss) — — — — December 31, 2016 $ — $ 24,067 $ 387 $ 24,454 Unrealized gains (losses) 497 (3,589 ) — (3,092 ) Amounts reclassified from accumulated other comprehensive income (loss) 150 (758 ) (387 ) (995 ) December 31, 2017 $ 647 $ 19,720 $ — $ 20,367 |
Schedule of comprehensive income reclassifications | The following amounts were reclassified out of accumulated other comprehensive income (loss) during the respective periods: Details about accumulated other comprehensive income components Successor Predecessor Line Item in the Consolidated Statement of Operations Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (in thousands) Derivative instruments Coal hedges $ — $ — $ 397 Revenues Interest rate hedges (150 ) — Interest expense — — (81 ) Provision for (benefit from) income taxes $ (150 ) $ — $ 316 Net of tax Pension, postretirement and other post-employment benefits Amortization of prior service credits 1 $ — $ — $ 7,854 Amortization of net actuarial gains (losses) 1 — — (6,010 ) Curtailments (773 ) — — Settlements 1,531 — — 758 — 1,844 Total before tax — — (481 ) Provision for (benefit from) income taxes $ 758 $ — $ 1,363 Net of tax Available-for-sale securities 2 $ 387 $ — $ (2,263 ) Interest and investment income — — 1,038 Provision for (benefit from) income taxes $ 387 $ — $ (1,225 ) Net of tax 1 Production-related benefits and workers’ compensation costs are included in costs to produce coal. 2 The gains and losses on sales of available-for-sale-securities are determined on a specific identification basis. |
Impairment Charges and Mine C41
Impairment Charges and Mine Closure Costs (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Impairment Charges and Mine Closure Costs [Abstract] | |
Restructuring and Related Costs | The following table summarizes the amounts reflected on the line “ Asset impairment and mine closure costs ” in the consolidated statements of operations: Successor Predecessor Description Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Coal lands and mineral rights $ — $ — $ 74,144 $ 2,210,488 Plant and equipment — — — 199,107 Deferred development — — — 159,474 Prepaid royalties — — 3,406 41,990 Equity investments — — 40,920 21,325 Inventories — — — 66 Other — — 10,797 (4,147 ) Total $ — $ — $ 129,267 $ 2,628,303 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories consist of the following: December 31, 2017 December 31, 2016 (In thousands) Coal $ 54,692 $ 37,268 Repair parts and supplies 74,268 76,194 $ 128,960 $ 113,462 |
Investments in Available-for-43
Investments in Available-for-Sale Securities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Available-for-sale Securities [Abstract] | |
Available-for-sale Securities | The Company’s investments in available-for-sale marketable securities are as follows: December 31, 2017 Balance Sheet Gross Gross Classification Unrealized Unrealized Fair Short-Term Other Cost Basis Gains Losses Value Investments Assets (In thousands) Available-for-sale: U.S. government and agency securities $ 64,151 $ 22 $ (73 ) $ 64,100 $ 64,100 $ — Corporate notes and bonds 92,038 — (292 ) 91,746 91,746 — Total Investments $ 156,189 $ 22 $ (365 ) $ 155,846 $ 155,846 $ — December 31, 2016 Balance Sheet Gross Gross Classification Unrealized Unrealized Fair Short-Term Other Cost Basis Gains Losses Value Investments Assets (In thousands) Available-for-sale: Corporate notes and bonds $ 88,161 $ — $ (89 ) $ 88,072 $ 88,072 $ — Equity securities 1,749 388 — 2,137 — 2,137 Total Investments $ 89,910 $ 388 $ (89 ) $ 90,209 $ 88,072 $ 2,137 |
Equity Method Investments and44
Equity Method Investments and Membership Interests in Joint Ventures (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule Of Equity Method Investments | Below are the equity method investments reflected in the consolidated balance sheets: (In thousands) Knight Hawk DTA Millennium Tongue River Other Total Predecessor Company January 1, 2015 $ 158,477 $ 13,738 $ 40,223 $ 20,740 $ 2,664 $ 235,842 Advances to (distributions from) affiliates, net (29,862 ) 3,207 7,052 913 330 (18,360 ) Equity in comprehensive income (loss) 22,977 (3,706 ) (9,686 ) (328 ) (1,278 ) 7,979 Impairment of equity investment — — — (21,325 ) — (21,325 ) Sale of equity investment — — — — (2,259 ) (2,259 ) December 31, 2015 151,592 13,239 37,589 — (543 ) 201,877 Advances to (distributions from) affiliates, net (8,374 ) 1,474 1,966 — — (4,934 ) Equity in comprehensive income (loss) 9,033 (2,095 ) (1,530 ) — (94 ) 5,314 Impairment of equity investment — — (38,025 ) — — (38,025 ) Fresh start accounting adjustment (58,251 ) (4,018 ) — — 662 (61,607 ) October 1, 2016 94,000 8,600 — — 25 102,625 Successor Company Advances to (distributions from) affiliates, net (9,076 ) 822 — — — (8,254 ) Equity in comprehensive income (loss) 2,569 (841 ) — — (25 ) 1,703 December 31, 2016 $ 87,493 $ 8,581 $ — $ — $ — $ 96,074 Investments in affiliates — 7,158 — — — 7,158 Advances to (distributions from) affiliates, net (8,736 ) 3,014 — — — (5,722 ) Equity in comprehensive income (loss) 11,409 (2,812 ) — — — 8,597 December 31, 2017 $ 90,166 $ 15,941 $ — $ — $ — $ 106,107 |
Sales Contracts (Tables)
Sales Contracts (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Acquired Sales Contracts [Abstract] | |
Schedule of Sales Contracts | The sales contracts reflected in the consolidated balance sheets are as follows: December 31, 2017 December 31, 2016 Assets Liabilities Net Total Assets Liabilities Net Total (In thousands) (In thousands) Original fair value $ 97,196 $ 31,742 $ 97,196 $ 31,742 Accumulated amortization (84,760 ) (29,979 ) (25,625 ) (24,829 ) Total $ 12,436 $ 1,763 $ 10,673 $ 71,571 $ 6,913 $ 64,658 Balance Sheet classification: Other current $ 12,432 $ 934 $ 59,702 $ 5,114 Other noncurrent $ 4 $ 829 $ 11,869 $ 1,799 |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Price Risk Derivatives | At December 31, 2017 , the Company held derivatives for risk management purposes that are expected to settle in the following years: (Tons in thousands) 2018 2019 Total Coal sales 1,706 159 1,865 Coal purchases 747 — 747 |
Disclosure Of Fair Value Of Derivatives | The fair value and location of derivatives reflected in the accompanying consolidated balance sheets are as follows: December 31, 2017 December 31, 2016 Fair Value of Derivatives Asset Liability Asset Liability (In thousands) Derivative Derivative Derivative Derivative Derivatives Designated as Hedging Instruments Coal $ 942 $ (2,146 ) $ — $ (15 ) Derivatives Not Designated as Hedging Instruments Heating oil -- diesel purchases 5,354 — 4,646 — Coal held for trading purposes, exchange traded swaps and futures 44,088 (45,221 ) 68,948 (68,740 ) Coal -- risk management 5,139 (9,892 ) 475 (580 ) Natural gas 27 — 86 (13 ) Total 54,608 (55,113 ) 74,155 (69,333 ) Total derivatives 55,550 (57,259 ) 74,155 (69,348 ) Effect of counterparty netting (50,042 ) 50,042 (69,247 ) 69,247 Net derivatives as classified in the balance sheets $ 5,508 $ (7,217 ) $ (1,709 ) $ 4,908 $ (101 ) $ 4,807 December 31, 2017 December 31, 2016 Net derivatives as reflected on the balance sheets Heating oil Other current assets $ 5,354 $ 4,646 Coal Other current assets 154 262 Accrued expenses and other current liabilities (7,217 ) (101 ) $ (1,709 ) $ 4,807 |
Effects Of Derivatives On Measures Of Financial Performance | The effects of derivatives on measures of financial performance are as follows: Derivatives used in Cash Flow Hedging Relationships (in thousands) For the noted periods, Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Coal sales (1) $ (2,127 ) $ — $ (672 ) 12,816 Coal purchases (2) 942 — 536 (6,718 ) $ (1,185 ) $ — $ (136 ) $ 6,098 Gains (Losses) Reclassified from Other Comprehensive Income into Income Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Coal sales $ — $ — $ 1,634 $ 18,635 Coal purchases — — (1,237 ) (9,060 ) $ — $ — $ 397 $ 9,575 No ineffectiveness or amounts excluded from effectiveness testing relating to the Company’s cash flow hedging relationships were recognized in the results of operations in the respective periods. Derivatives Not Designated as Hedging Instruments (in thousands) For the noted periods, Gain (Loss) Recognized Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Coal — unrealized (3) $ (4,648 ) $ (408 ) $ (1,662 ) $ (3,883 ) Coal — realized (4) $ — $ 116 $ (476 ) $ 3,236 Heating oil — diesel purchases (4) $ (1,057 ) $ 827 $ 826 $ (8,294 ) Natural gas $ (774 ) $ (91 ) $ (463 ) $ 878 Foreign currency $ — $ (9 ) $ (451 ) $ (867 ) Location in statement of operations: (1) — Revenues (2) — Cost of sales (3) — Change in fair value of coal derivatives and coal trading activities, net (4) — Other operating income, net |
Accrued Expenses and Other Cu47
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accrued Expenses and Other Current Liabilities [Abstract] | |
Schedule of Accrued Liabilities | Accrued expenses and other current liabilities consist of the following: December 31, 2017 December 31, 2016 (In thousands) Payroll and employee benefits $ 53,149 $ 58,468 Taxes other than income taxes 77,017 92,733 Interest 246 8,032 Sales contracts 934 5,114 Workers’ compensation 18,782 15,184 Asset retirement obligations 19,840 19,515 Other 14,193 6,194 $ 184,161 $ 205,240 |
Debt and Financing Arrangemen48
Debt and Financing Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt | December 31, 2017 December 31, 2016 (In thousands) Term loan due 2024 ($297.8 million face value) $ 296,435 $ — Term loan due 2021 ($325.7 million face value) $ — $ 325,684 Other 36,514 37,195 Debt issuance costs (7,032 ) — 325,917 362,879 Less current maturities of debt 15,783 11,038 Long-term debt $ 310,134 $ 351,841 |
Schedule of Interest Rate Swap Agreements | Below is a summary of the Company’s outstanding interest rate swap agreements designated as hedges as of December 31, 2017 : Notional Amount (in millions) Effective Date Fixed Rate Receive Rate Expiration Date $250.0 June 30, 2017 1.372% 1-month LIBOR June 29, 2018 $250.0 June 29, 2018 1.662% 1-month LIBOR June 28, 2019 $200.0 June 28, 2019 1.952% 1-month LIBOR June 30, 2020 $150.0 June 30, 2020 2.182% 1-month LIBOR June 30, 2021 |
Schedule of Maturities of Long-term Debt | The contractual maturities of debt as of December 31, 2017 are as follows: Year (In thousands) 2018 $ 16,809 2019 11,119 2020 11,442 2021 8,853 2022 3,130 Thereafter 282,911 $ 334,264 |
Taxes (Tables)
Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | Significant components of the provision for (benefit from) income taxes are as follows: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Current: Federal $ 835 $ — $ — $ — State 31 (252 ) 7 3 Total current 866 (252 ) 7 3 Deferred: Federal (36,162 ) 1,352 (4,720 ) (329,393 ) State 41 56 87 (43,990 ) Total deferred (36,121 ) 1,408 (4,633 ) (373,383 ) $ (35,255 ) $ 1,156 $ (4,626 ) $ (373,380 ) |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the statutory federal income tax provision (benefit) at the statutory rate to the actual provision for (benefit from) income taxes follows: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Income tax provision (benefit) at statutory rate $ 71,118 $ 12,112 $ 433,109 $ (1,150,283 ) Percentage depletion allowance (31,255 ) (4,292 ) (3,681 ) (19,035 ) State taxes, net of effect of federal taxes 7,002 633 (46,122 ) (76,445 ) Reversal of cancellation of indebtedness income — — (1,493,162 ) — Worthless stock deduction — — (80,077 ) — Change in valuation allowance (410,983 ) (7,655 ) 1,185,326 865,146 Impact of Tax Cuts and Jobs Act of 2017 332,345 — — — Other, net (3,482 ) 358 (19 ) 7,237 $ (35,255 ) $ 1,156 $ (4,626 ) $ (373,380 ) |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets and liabilities that result from carryforwards and temporary differences between the financial statement basis and tax basis of assets and liabilities are summarized as follows: December 31, 2017 December 31, 2016 (In thousands) Deferred tax assets: Tax loss carryforwards $ 271,405 $ 376,293 Tax credit carryforwards 29,736 22,798 Investment in tax partnerships & corporations 308,653 604,914 Other 28,321 39,251 Gross deferred tax assets 638,115 1,043,256 Valuation allowance (610,571 ) (1,021,553 ) Total deferred tax assets 27,544 21,703 Deferred tax liabilities: Plant and equipment 3,674 7,332 Other 1,351 14,258 Total deferred tax liabilities 5,025 21,590 Net deferred tax asset 22,519 113 |
Summary of Income Tax Contingencies | A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits follows: (In thousands) Balance at January 1, 2015 $ 34,709 Additions based on tax positions related to the current year 4,168 Balance at December 31, 2015 38,877 Additions based on tax positions related to the current year 2,979 Additions for tax positions of prior years 2,709 Reductions as a result of lapses in the statute of limitations (37,110 ) Balance at December 31, 2016 7,455 Additions for tax positions of prior years — Additions for tax positions related to the current year 3,928 Reductions as a result of bankruptcy — Balance at December 31, 2017 $ 11,383 |
Asset Retirement Obligations (T
Asset Retirement Obligations (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Asset Retirement Obligation [Abstract] | |
Schedule of Change in Asset Retirement Obligation | The following table describes the changes to the Company’s asset retirement obligation liability: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (In thousands) Balance at beginning of period (including current portion) $ 356,742 $ 354,326 $ 410,454 Accretion expense 30,209 7,634 24,321 Obligations of divested operations (12,569 ) — (14,702 ) Adjustments to the liability from changes in estimates (23,215 ) — 3,003 Liabilities settled (22,472 ) (5,218 ) (11,087 ) Fresh start accounting adjustment — — (57,663 ) Balance at period end $ 328,695 $ 356,742 $ 354,326 Current portion included in accrued expenses (19,840 ) (19,515 ) (17,290 ) Noncurrent liability $ 308,855 $ 337,227 $ 337,036 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Summary Of Financial Assets And Liabilities Accounted For At Fair Value | The table below sets forth, by level, the Company’s financial assets and liabilities that are recorded at fair value in the accompanying consolidated balance sheet: Fair Value at December 31, 2017 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investments in marketable securities $ 155,846 $ 64,100 $ 91,746 $ — Derivatives 7,339 — 1,985 5,354 Total assets $ 163,185 $ 64,100 $ 93,731 $ 5,354 Liabilities: Derivatives $ 7,217 $ 7,263 $ 26 $ (72 ) Fair Value at December 31, 2016 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investments in marketable securities $ 90,209 $ 2,137 $ 88,072 $ — Derivatives 4,908 262 — 4,646 Total assets $ 95,117 $ 2,399 $ 88,072 $ 4,646 Liabilities: Derivatives $ 101 $ (8 ) $ — $ 109 |
Summary Of Change In The Fair Values Of Financial Instruments Categorized As Level 3 | The following table summarizes the change in the fair values of financial instruments categorized as level 3. Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (In thousands) Balance, beginning of period $ 4,537 $ 3,842 $ 2,432 Realized and unrealized (gains) losses recognized in earnings, net (2,305 ) 926 (1,686 ) Included in other comprehensive income — — — Purchases 4,910 1,225 5,021 Issuances (535 ) (34 ) (488 ) Settlements (1,181 ) (1,422 ) (1,437 ) Ending balance $ 5,426 $ 4,537 $ 3,842 |
Capital Stock Capital Stock (Ta
Capital Stock Capital Stock (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Dividends declared and paid | The Company declared and paid cash dividends per share during the periods presented below: 2017: Dividends per share Amount (in thousands) 1st quarter $ — $ — 2nd quarter 0.35 8,563 3rd quarter 0.35 8,200 4th quarter 0.35 7,606 Total cash dividends declared and paid $ 1.05 $ 24,369 |
Share repurchase activity | Below is a table showing the share repurchase activity in 2017 : 2017: Number of Shares Average Repurchase Price per Share Amount (in thousands) 1st quarter — $ — $ — 2nd quarter 710,701 $ 71.82 51,043 3rd quarter 2,208,133 $ 75.49 166,685 4th quarter 1,058,381 $ 79.73 84,381 Total shares repurchased 3,977,215 $ 75.96 $ 302,109 |
Stock-Based Compensation and 53
Stock-Based Compensation and Other Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Share-based Compensation [Abstract] | |
Schedule of Restricted Stock Units Activity | Information regarding the restricted stock units activity and weighted average grant-date fair value follows: Time Based Awards Performance Based Awards Restricted Stock Units Weighted Average Grant-Date Fair Value Restricted Stock Units Weighted Average Grant-Date Fair Value (Shares in thousands) Outstanding at January 1, 2017 159 $ 78.60 225 $ 67.34 Granted 92 81.91 86 101.38 Forfeited/Canceled (2 ) 78.60 — — Vested (9 ) 78.60 — — Unvested outstanding at December 31, 2017 240 $ 79.87 311 $ 76.75 |
Workers' Compensation Expense (
Workers' Compensation Expense (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Compensation Related Costs [Abstract] | |
Workers' compensation expense | Workers’ compensation expense consists of the following components: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Self-insured occupational disease benefits: Service cost $ 6,320 $ 1,583 $ 3,465 $ 4,282 Interest cost 4,651 1,126 3,184 3,944 Net amortization — — 4,325 6,973 Total occupational disease $ 10,971 $ 2,709 $ 10,974 $ 15,199 Traumatic injury claims and assessments 3,208 3,162 6,628 16,781 Total workers’ compensation expense $ 14,179 $ 5,871 $ 17,602 $ 31,980 |
Schedule of Changes in Occupational Disease Obligations | The table below reconciles changes in the occupational disease liability for the respective period. Successor Predecessor (In thousands) Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Beginning of period $ 111,159 $ 119,710 $ 90,836 Service cost 6,320 1,583 3,465 Interest cost 4,651 1,126 3,184 Curtailments (5,433 ) — 4,156 Actuarial (gain) loss 12,242 (9,675 ) — Benefit and administrative payments (6,513 ) (1,585 ) (3,728 ) Fresh start accounting adjustment — — 21,797 $ 122,426 $ 111,159 $ 119,710 |
Schedule of Occupational Disease Obligation Assumptions Used | The following table provides the assumptions used to determine the projected occupational disease obligation: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (Percentages) Occupational Disease Benefit Discount rate 3.66 4.31 3.80 Cost escalation rate N/A N/A N/A |
Workers' compensation liabilities | Summarized below is information about the amounts recognized in the accompanying consolidated balance sheets for workers’ compensation benefits: Year Ended December 31, 2017 Year Ended December 31, 2016 (In thousands) Occupational disease costs $ 122,426 $ 111,159 Traumatic and other workers’ compensation claims 81,191 88,593 Total obligations 203,617 199,752 Less amount included in accrued expenses 18,782 15,184 Noncurrent obligations $ 184,835 $ 184,568 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |
Pension Benefit Costs | Summaries of the changes in the benefit obligations, plan assets and funded status of the plans are as follows: Pension Benefits Other Postretirement Benefits Successor Predecessor Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (In thousands) CHANGE IN BENEFIT OBLIGATIONS Benefit obligations at beginning of period $ 313,629 $ 341,427 $ 301,292 $ 111,867 $ 120,311 $ 103,460 Service cost — — — 671 180 393 Interest cost 11,169 2,768 9,338 4,150 978 3,223 Divestitures (see Note 5 to the Consolidated Financial Statements) (29,097 ) — — — — — Settlements (1,532 ) (135 ) — — — — Curtailments — — 454 (520 ) — 714 Benefits paid (38,197 ) (11,009 ) (8,699 ) (8,152 ) (1,962 ) (8,273 ) Other-primarily actuarial (gain) loss 14,126 (19,422 ) — 2,503 (7,640 ) — Fresh start accounting adjustments — — 39,042 — — $ 20,794 Benefit obligations at end of period $ 270,098 $ 313,629 $ 341,427 $ 110,519 $ 111,867 $ 120,311 CHANGE IN PLAN ASSETS Value of plan assets at beginning of period $ 274,225 $ 292,726 $ 273,499 $ — $ — $ — Actual return on plan assets 39,689 (7,899 ) 27,811 — — Employer contributions 429 407 115 8,152 1,962 8,273 Benefits paid (38,197 ) (11,009 ) (8,699 ) (8,152 ) (1,962 ) (8,273 ) Divestitures $ (20,504 ) $ — $ — $ — $ — $ — Value of plan assets at end of period $ 255,642 $ 274,225 $ 292,726 $ — $ — $ — Accrued benefit cost $ (14,456 ) $ (39,404 ) $ (48,701 ) $ (110,519 ) $ (111,867 ) $ (120,311 ) ITEMS NOT YET RECOGNIZED AS A COMPONENT OF NET PERIODIC BENEFIT COST Prior service credit (cost) $ — $ — $ — $ — $ — $ — Accumulated gain 16,178 6,751 — 5,137 7,640 — $ 16,178 $ 6,751 $ — $ 5,137 $ 7,640 $ — BALANCE SHEET AMOUNTS Current liability $ (420 ) $ (520 ) $ (420 ) $ (8,150 ) $ (10,422 ) $ (8,352 ) Noncurrent liability (14,036 ) (38,884 ) (48,281 ) (102,369 ) (101,445 ) (111,959 ) $ (14,456 ) $ (39,404 ) $ (48,701 ) $ (110,519 ) $ (111,867 ) $ (120,311 ) |
Other Postretirement Benefit Costs | The following table details the components of pension and postretirement benefit costs (credits): Pension Benefits Other Postretirement Benefits Successor Predecessor Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Service cost $ — $ — $ — $ 9 $ 671 $ 180 $ 393 $ 866 Interest cost 11,169 2,768 9,338 14,604 4,150 978 3,223 1,904 Curtailments — — 454 — (520 ) — (970 ) — Settlements (1,532 ) (135 ) — 2,656 — — — — Expected return on plan assets (16,498 ) (4,770 ) (13,623 ) (20,367 ) — — — — Amortization of prior service credits — — — — — — (7,854 ) (8,335 ) Amortization of other actuarial losses (gains) — — 3,973 8,850 — — (849 ) (2,109 ) Net benefit cost (credit) $ (6,861 ) $ (2,137 ) $ 142 $ 5,752 $ 4,301 $ 1,158 $ (6,057 ) $ (7,674 ) |
Schedule of Assumptions Used | The following table provides the weighted average assumptions used to determine the actuarial present value of projected benefit obligations for the respective periods. Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 (Percentages) Pension Benefits Discount rate 3.49/3.27 3.95 3.39 Rate of compensation increase N/A N/A N/A Other Postretirement Benefits Discount rate 3.49 3.93 3.37 Rate of compensation increase N/A N/A N/A The following table provides the weighted average assumptions used to determine net periodic benefit cost for the respective periods. Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (Percentages) Pension Benefits Discount rate 3.77 3.39/3.95 4.59/3.80 4.15/4.61/4.41/4.60 Rate of compensation increase N/A N/A N/A N/A Expected return on plan assets 6.20 6.85 6.85 7.00 Other Postretirement Benefits Discount rate 3.85 3.37 4.57/3.80 3.91 Rate of compensation increase N/A N/A N/A N/A Expected return on plan assets N/A N/A N/A N/A |
Schedule of Allocation of Plan Assets | The Company’s pension plan assets at December 31, 2017 and 2016 , respectively, are categorized below according to the fair value hierarchy as defined in Note 17 , “ Fair Value Measurements ”: Total Level 1 Level 2 Level 3 2017 2016 2017 2016 2017 2016 2017 2016 (In thousands) Equity Securities: (A) U.S. small-cap $ 5,064 $ 13,520 $ 5,064 $ 13,520 $ — $ — $ — $ — U.S. mid-cap 22,640 29,687 6,017 9,422 16,623 20,265 — — U.S. large-cap 43,232 70,226 21,416 34,107 21,816 36,119 — — Non-U.S. 10,115 18,937 — — 10,115 18,937 — — Fixed income securities: — U.S. government securities (B) 66,922 26,519 60,286 19,973 6,636 6,546 — — Non-U.S. government securities (C) 4,050 1,567 — — 4,050 1,567 — — U.S. government asset and mortgage backed securities (D) 2,440 1,074 — — 2,440 1,074 — — Corporate fixed income (E) 54,679 58,191 — — 54,679 58,191 — — State and local government securities (F) 3,829 6,406 — — 3,829 6,406 — — Other investments (I) 27,057 26,151 — — 8,457 6,910 18,600 19,241 Total $ 240,028 $ 252,278 $ 92,783 $ 77,022 $ 128,645 $ 156,015 $ 18,600 $ 19,241 Other fixed income (G) 16,646 35,519 Short-term investments (H) 8,573 8,598 Other liabilities (J) (9,605 ) (22,170 ) $ 255,642 $ 274,225 (A) Equity securities includes investments in 1) common stock, 2) preferred stock and 3) mutual funds. Investments in common and preferred stocks are valued using quoted market prices multiplied by the number of shares owned. Investments in mutual funds are valued at the net asset value per share multiplied by the number of shares held as of the measurement date and are traded on listed exchanges. (B) U.S. government securities includes agency and treasury debt. These investments are valued using dealer quotes in an active market. (C) Non-U.S. government securities includes debt securities issued by foreign governments and are valued utilizing a price spread basis valuation technique with observable sources from investment dealers and research vendors. (D) U.S. government asset and mortgage backed securities includes government-backed mortgage funds which are valued utilizing an income approach that includes various valuation techniques and sources such as discounted cash flows models, benchmark yields and securities, reported trades, issuer trades and/or other applicable data. (E) Corporate fixed income is primarily comprised of corporate bonds and certain corporate asset-backed securities that are denominated in the U.S. dollar and are investment-grade securities. These investments are valued using dealer quotes. (F) State and local government securities include different U.S. state and local municipal bonds and asset backed securities, these investments are valued utilizing a market approach that includes various valuation techniques and sources such as value generation models, broker quotes, benchmark yields and securities, reported trades, issuer trades and/or other applicable data. (G) Other fixed income investments are actively managed fixed income vehicles that are valued at the net asset value per share multiplied by the number of shares held as of the measurement date. (H) Short-term investments include governmental agency funds, government repurchase agreements, commingled funds, and pooled funds and mutual funds. Governmental agency funds are valued utilizing an option adjusted spread valuation technique and sources such as interest rate generation processes, benchmark yields and broker quotes. Investments in governmental repurchase agreements, commingled funds and pooled funds and mutual funds are valued at the net asset value per share multiplied by the number of shares held as of the measurement date. (I) Other investments include cash, forward contracts, derivative instruments, credit default swaps, interest rate swaps and mutual funds. Investments in interest rate swaps are valued utilizing a market approach that includes various valuation techniques and sources such as value generation models, broker quotes in active and non-active markets, benchmark yields and securities, reported trades, issuer trades and/or other applicable data. Forward contracts and derivative instruments are valued at their exchange listed price or broker quote in an active market. The mutual funds are valued at the net asset value per share multiplied by the number of shares held as of the measurement date and are traded on listed exchanges. (J) Net payable amount due for pending securities purchased and sold due to broker/dealer. |
Schedule of Expected Benefit Payments | The following represents expected future benefit payments from the plan, which reflect expected future service, as appropriate: Other Pension Postretirement Benefits Benefits (In thousands) 2018 $ 17,614 $ 12,381 2019 17,834 12,549 2020 18,174 12,990 2021 18,635 13,239 2022 19,235 13,423 Next 5 years 83,071 62,854 $ 174,563 $ 127,436 |
Earnings (Loss) Per Common Sh56
Earnings (Loss) Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Weighted Average Number of Shares | The following table provides the basis for basic and diluted EPS by reconciling the numerators and denominators of the computations: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In Thousands) Weighted average shares outstanding: Basic weighted average shares outstanding 23,725 25,002 21,293 21,285 Effect of dilutive securities 515 467 20 — Diluted weighted average shares outstanding 24,240 25,469 21,313 21,285 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Operating Leases of Lessee Disclosure | Minimum payments due in future years under these agreements in effect at December 31, 2017 are as follows: Operating Leases Royalties (In thousands) 2018 $ 5,936 $ 3,582 2019 4,655 5,926 2020 2,260 6,953 2021 1,985 7,216 2022 2,024 7,003 Thereafter 8,292 34,371 $ 25,152 $ 65,051 |
Risk Concentrations (Tables)
Risk Concentrations (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Risks Concentrations [Abstract] | |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | The Company’s foreign revenues by geographical location are as follows: Successor Predecessor Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 (In thousands) Europe $ 388,926 $ 61,408 $ 113,888 $ 170,314 Asia 264,503 55,634 68,536 96,523 North America 88,145 43,831 56,594 40,315 Central and South America 30,982 13,224 41,861 55,323 Africa 14,901 — — — Brokered Sales 6,137 — — 32,848 Total $ 793,594 $ 174,097 $ 280,879 $ 395,323 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule Of Operating Segment Results | (In thousands) PRB MET Other Thermal Corporate, Other and Eliminations Consolidated Successor Year Ended December 31, 2017 Revenues $ 1,024,197 $ 887,839 $ 396,504 $ 16,083 $2,324,623 Adjusted EBITDAR 158,882 243,616 102,006 (86,747 ) 417,757 Depreciation, depletion and amortization 36,349 70,896 13,588 1,631 122,464 Accretion on asset retirement obligation 20,160 2,000 2,161 5,888 30,209 Total Assets 390,665 548,476 134,397 906,094 1,979,632 Capital expenditures 6,212 32,678 11,901 8,414 59,205 Successor Period October 2 through December 31, 2016 Revenues $ 275,703 $ 200,377 $ 97,382 $ 2,226 $575,688 Adjusted EBITDAR 55,765 30,819 31,159 (23,246 ) 94,497 Depreciation, depletion and amortization 9,949 18,287 3,911 457 32,604 Accretion on asset retirement obligation 5,049 528 540 1,517 7,634 Total assets 446,775 576,793 129,602 983,427 2,136,597 Capital expenditures 934 13,329 684 267 15,214 Predecessor Period January 1 through October 1, 2016 Revenues $ 726,747 $ 437,069 $ 213,052 $ 21,841 $1,398,709 Adjusted EBITDAR 113,185 11,851 31,448 (69,181 ) 87,303 Depreciation, depletion and amortization 100,151 55,311 32,310 3,809 191,581 Accretion on asset retirement obligation 16,940 1,765 1,988 3,628 24,321 Total assets 456,711 619,154 131,173 916,791 2,123,829 Capital expenditures 612 17,296 3,895 60,631 82,434 Predecessor Year Ended December 31, 2015 Revenues $ 1,448,440 $ 637,941 $ 428,809 $ 58,070 $ 2,573,260 Adjusted EBITDAR 281,039 70,450 42,734 (110,426 ) 283,797 Depreciation, depletion and amortization 176,257 133,463 47,786 21,839 379,345 Accretion on asset retirement obligation 22,156 2,267 2,658 6,599 33,680 Total assets 1,648,916 772,439 366,610 2,253,916 5,041,881 Capital expenditures 21,228 24,787 11,277 61,732 119,024 |
Reconciliation Statement Of Segment Income From Operations To Consolidated Income Before Income Taxes | A reconciliation of segment Adjusted EBITDAR to consolidated income (loss) from continuing operations before income taxes follows: Successor Predecessor (In thousands) Year Ended December 31, 2017 October 2 through December 31, 2016 January 1 through October 1, 2016 Year Ended December 31, 2015 Income (loss) before income taxes $ 203,195 $ 34,605 $ 1,237,455 $ (3,286,522 ) Interest expense, net 24,256 10,754 133,235 393,549 Depreciation, depletion and amortization 122,464 32,604 191,581 379,345 Accretion on asset retirement obligations 30,209 7,634 24,321 33,680 Amortization of sales contracts, net 53,985 796 (728 ) (8,811 ) Asset impairment and mine closure costs — — 129,267 2,628,303 Losses from disposed operations resulting from Patriot Coal bankruptcy — — — 116,343 Gain on sale of Lone Mountain Processing, Inc. (21,297 ) — — — Net loss resulting from early retirement of debt and debt restructuring 2,547 — 2,213 27,910 Reorganization items, net 2,398 759 (1,630,041 ) — Fresh start coal inventory fair value adjustment — 7,345 — — Adjusted EBITDAR $ 417,757 $ 94,497 $ 87,303 $ 283,797 |
Quarterly Selected Financial 60
Quarterly Selected Financial Data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Year Ended December 31, 2017 March 31 June 30 September 30 December 31 (In thousands, except per share data) Revenues $ 600,975 $ 549,866 $ 613,538 560,244 Gross profit $ 85,747 $ 62,577 $ 65,100 62,937 Income from operations $ 66,264 $ 42,692 $ 72,489 $ 50,951 Reorganization items, net $ (2,828 ) $ (21 ) $ (43 ) $ 494 Net income $ 51,668 $ 37,160 $ 68,351 $ 81,271 Diluted income per common share $ 2.03 $ 1.48 $ 2.83 $ 3.64 Predecessor Successor Year Ended December 31, 2016 March 31 June 30 September 30 October 1 October 2 through December 31, 2016 (a) (b) (a) (b) (b) (b) (In thousands, except per share data) Revenues $ 428,106 $ 420,298 $ 550,305 $ — $ 575,688 Gross profit (loss) $ (53,325 ) $ (56,469 ) $ 31,042 $ — $ 64,458 Asset impairment and mine closure costs $ 85,520 $ 43,701 $ 46 $ — $ — Income (loss) from operations $ (158,412 ) $ (110,521 ) $ 11,795 $ — $ 46,118 Reorganization items, net $ (3,875 ) $ (21,271 ) $ (20,904 ) $ 1,676,091 $ (759 ) Net income (loss) $ (206,702 ) $ (175,887 ) $ (51,421 ) $ 1,676,091 $ 33,449 Diluted income (loss) per common share $ (9.71 ) $ (8.26 ) $ (2.41 ) $ 78.66 $ 1.31 (a) Challenging coal markets resulted in impairment charges relating to leased mineral reserves, prepaid mining royalties, investments in equity method subsidiaries and severance expense in 2016. See further discussion in Note 6 , “ Impairment Charges and Mine Closure Costs “ and Note 10 , “ Equity Method Investments and Membership Interests in Joint Ventures .” (b) The Company filed for bankruptcy on January 11, 2016 and subsequently emerged on October 5, 2016. See further discussion in Note 3 , “ Emergence from Bankruptcy and Fresh Start Accounting .” |
Accounting Policies (Narrative)
Accounting Policies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Statutory Accounting Practices | ||
Mineral rights | $ 361.2 | $ 381 |
Deferred finance costs, net | 5.3 | 5.2 |
Deferred finance costs, current | $ 2.3 | $ 1.9 |
Exploration and production equipment | Minimum | ||
Statutory Accounting Practices | ||
Estimated useful life | 7 years | |
Exploration and production equipment | Maximum | ||
Statutory Accounting Practices | ||
Estimated useful life | 18 years | |
Building and building improvements | Minimum | ||
Statutory Accounting Practices | ||
Estimated useful life | 1 year | |
Building and building improvements | Maximum | ||
Statutory Accounting Practices | ||
Estimated useful life | 21 years | |
Mining properties and mineral rights | Minimum | ||
Statutory Accounting Practices | ||
Term of contract | 10 years | |
Mining properties and mineral rights | Maximum | ||
Statutory Accounting Practices | ||
Term of contract | 50 years |
(Treatment of Claims and New Fi
(Treatment of Claims and New First Lien Debt Facility) (Details) | Oct. 05, 2016USD ($)$ / shares |
Fresh-Start Adjustment [Line Items] | |
Holders of allowed claims pro-rata amount of cash to settle claims | $ 144,800,000 |
Holders of allowed claims amount of cash to settle claims | $ 30,000,000 |
Holders of allowed claims percentage of common stock outstanding upon reorganization | 94.00% |
Holders of allowed claims warrant exercise period | 7 years |
Holders of allowed claims total equity value of common stock | $ 1,425,000,000 |
Exercise price of warrants (in usd per share) | $ / shares | $ 57 |
Holders of allowed claims percentage of common stock outstanding pursuant to incentive plan upon reorganization | 10.00% |
Unsecured note holders pro rata amount of cash to settle claims | $ 22,636,000 |
Unsecured note holders pro rata amount of cash in lieu of warrants | $ 25,000,000 |
Unsecured note holders percentage of common stock outstanding upon reorganization | 6.00% |
Other general holders pro rata amount of cash to settle claims | $ 7,364,000 |
Other general holders professional expenses retained by claims committee | 200,000 |
New first lien debt facility | Senior notes | |
Fresh-Start Adjustment [Line Items] | |
Amount of debt instrument | $ 326,500,000 |
Class A Common Stock | |
Fresh-Start Adjustment [Line Items] | |
Holders of allowed claims percentage of common stock outstanding upon reorganization | 12.00% |
(Securitization Facility and Wa
(Securitization Facility and Warrant Agreement) (Details) - USD ($) | Oct. 05, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 02, 2016 |
Fresh-Start Adjustment [Line Items] | ||||
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 | ||
Number of securities called by each warrant (in shares) | 1 | |||
Exercise price of warrants (in usd per share) | $ 57 | |||
Percentage of listed common stock | 90.00% | |||
Number of shares of common stock underlying warrant multiplier | $ 0 | |||
Class A Common Stock | ||||
Fresh-Start Adjustment [Line Items] | ||||
Aggregate number of securities called by warrants (in shares) | 1,914,856 | 1,914,856 | ||
Common stock, par value (in usd per share) | $ 0.01 |
(Termination of Material Defini
(Termination of Material Definitive Agreements, Sale of Equity Securities and Reorganization Value) (Details) - USD ($) | Oct. 05, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Oct. 01, 2016 | Jan. 11, 2016 |
Fresh-Start Adjustment [Line Items] | ||||||
Common stock, shares issued (in shares) | 25,047,000 | 25,002,000 | ||||
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 | ||||
Reorganization value | $ 687,500,000 | |||||
Excess cash | 64,000,000 | |||||
Minimum cash balance assumption | $ 250,000,000 | |||||
Minimum | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Reorganization value | $ 650,000,000 | |||||
Maximum | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Reorganization value | $ 950,000,000 | |||||
Discounted cash flow valuation technique | Minimum | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Discount rate (percent) | 13.25% | |||||
Discounted cash flow valuation technique | Maximum | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Discount rate (percent) | 15.25% | |||||
7.00% senior notes due 2019 at par | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Senior notes interest rate (percent) | 7.00% | |||||
7.25% senior notes due 2020 at par | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Senior notes interest rate (percent) | 7.25% | |||||
7.25% senior notes due 2021 at par | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Senior notes interest rate (percent) | 7.25% | |||||
9.875% senior notes ($375.0 million face value) due 2019 | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Senior notes interest rate (percent) | 9.875% | |||||
8.00% senior secured notes due 2019 at par | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Senior notes interest rate (percent) | 8.00% | |||||
Class A Common Stock | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Common stock, shares issued (in shares) | 24,589,834 | |||||
Common stock, par value (in usd per share) | $ 0.01 | |||||
Aggregate number of securities called by warrants (in shares) | 1,914,856 | 1,914,856 | ||||
Class B Common Stock | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Common stock, shares issued (in shares) | 410,166 | |||||
Common stock, par value (in usd per share) | $ 0.01 | |||||
New first lien debt facility | Senior notes | ||||||
Fresh-Start Adjustment [Line Items] | ||||||
Amount of debt instrument | $ 326,500,000 |
Emergence from Bankruptcy and65
Emergence from Bankruptcy and Fresh Start Accounting (Accounting Impact of Emergence) (Details) $ in Thousands | Oct. 01, 2016USD ($) |
Reorganizations [Abstract] | |
Percentage of voting shares received upon emergence of new entity (percent) | 50.00% |
Assets | |
Fresh-Start Adjustment, Increase (Decrease), Property and Equipment, Net | $ (2,363,829) |
Fresh Start Adjustments | |
Assets | |
Fresh-Start Adjustment, Increase (Decrease), Receivables, Net | 779 |
Fresh-Start Adjustment, Increase (Decrease), Inventories | (21,078) |
Fresh-Start Adjustment, Increase (Decrease), Prepaid and Other Current Assets | 53,851 |
Fresh-Start Adjustment, Increase (Decrease), Current Assets | 33,552 |
Fresh-Start Adjustment, Increase (Decrease), Property and Equipment, Net | (2,363,829) |
Fresh-Start Adjustment, Increase (Decrease), Prepaid Royalties | (20,997) |
Fresh-Start Adjustment, Increase (Decrease), Equity Investments | (61,606) |
Fresh-Start Adjustment, Increase (Decrease), Other Assets, Noncurrent | 37,503 |
Fresh-Start Adjustment, Increase (Decrease), Other Assets | (45,100) |
Fresh-Start Adjustment, Increase (Decrease), Assets | (2,375,377) |
Liabilities not subject to compromise | |
Fresh-Start Adjustment, Increase (Decrease), Accounts Payable | (250) |
Fresh-Start Adjustment, Increase (Decrease), Accrued Liabilities and Other Current Liabilities | 26,644 |
Fresh-Start Adjustment, Increase (Decrease), Current Liabilities | 26,394 |
Fresh-Start Adjustment, Increase (Decrease), Asset Retirement Obligations | (60,570) |
Fresh-Start Adjustment, Increase (Decrease), Pension Obligations | 24,565 |
Fresh-Start Adjustment, Increase (Decrease), Other Postretirement Obligations | 24,836 |
Fresh-Start Adjustment, Increase (Decrease), Accrued Workers' Compensation | 74,520 |
Fresh-Start Adjustment, Increase (Decrease), Noncurrent Other Obligations | 888 |
Fresh-Start Adjustment, Increase (Decrease), Other Noncurrent Obligations | 90,633 |
Fresh-Start Adjustment, Increase (Decrease), Liabilities | 90,633 |
Stockholders’ equity (deficit) | |
Fresh-Start Adjustment, Increase (Decrease), Retained Earnings (Deficit) | (2,467,716) |
Fresh-Start Adjustment, Increase (Decrease), Accumulated Other Comprehensive Income (Loss) | 1,706 |
Fresh-Start Adjustment, Increase (Decrease), Stockholders' Equity | (2,466,010) |
Fresh-Start Adjustment, Increase (Decrease), Liabilities and Stockholders' Equity | (2,375,377) |
Effect of Plan | |
Assets | |
Fresh-Start Adjustment, Increase (Decrease), Cash and Cash Equivalents | (199,718) |
Fresh-Start Adjustment, Increase (Decrease), Prepaid and Other Current Assets | 6,367 |
Fresh-Start Adjustment, Increase (Decrease), Current Assets | (193,351) |
Fresh-Start Adjustment, Increase (Decrease), Other Assets, Noncurrent | 34,495 |
Fresh-Start Adjustment, Increase (Decrease), Other Assets | 34,495 |
Fresh-Start Adjustment, Increase (Decrease), Assets | (158,856) |
Liabilities not subject to compromise | |
Fresh-Start Adjustment, Increase (Decrease), Accrued Liabilities and Other Current Liabilities | (36,331) |
Fresh-Start Adjustment, Increase (Decrease), Current Maturities of Long-term Debt | 3,265 |
Fresh-Start Adjustment, Increase (Decrease), Current Liabilities | (33,066) |
Fresh-Start Adjustment, Increase (Decrease), Long-term Debt | 323,235 |
Fresh-Start Adjustment, Increase (Decrease), Other Noncurrent Obligations | 290,169 |
Fresh-Start Adjustment, Increase (Decrease), Liabilities Subject to Compromise | (5,278,612) |
Fresh-Start Adjustment, Increase (Decrease), Liabilities | (4,988,443) |
Stockholders’ equity (deficit) | |
Fresh-Start Adjustment, Increase (Decrease), Preferred and Common Stock Held in Treasury | 53,863 |
Fresh-Start Adjustment, Increase (Decrease), Retained Earnings (Deficit) | 7,146,693 |
Fresh-Start Adjustment, Increase (Decrease), Stockholders' Equity | 4,829,587 |
Fresh-Start Adjustment, Increase (Decrease), Liabilities and Stockholders' Equity | (158,856) |
Predecessor | |
Preconfirmation | |
Preconfirmation, Cash and cash equivalents | 400,205 |
Preconfirmation, Short term investments | 111,451 |
Preconfirmation, Restricted cash | 81,563 |
Preconfirmation, Trade accounts receivable | 165,522 |
Preconfirmation, Other Receivables | 17,227 |
Preconfirmation, Inventories | 159,410 |
Preconfirmation, Prepaid Royalties, Current | 4,805 |
Preconfirmation, Deferred Income Tax Assets, Current | 0 |
Preconfirmation, Coal Derivative Assets | 2,180 |
Preconfirmation, Prepaid and Other Current Assets | 36,960 |
Preconfirmation, Current Assets | 979,323 |
Preconfirmation, Property and Equipment, Net | 3,434,941 |
Preconfirmation, Prepaid Royalties, Noncurrent | 20,997 |
Preconfirmation, Investments | 164,232 |
Preconfirmation, Other Assets, Noncurrent | 58,569 |
Preconfirmation, Other Assets | 243,798 |
Preconfirmation, Assets | 4,658,062 |
Preconfirmation, Accounts Payable | 74,595 |
Precomfirmation, Accrued expenses and other current liabilities | 225,739 |
Preconfirmation, Current Maturities of Long-term Debt | 3,397 |
Preconfirmation, Current Liabilities | 303,731 |
Preconfirmation, Long-term Debt | 30,037 |
Preconfirmation, Asset Retirement Obligations | 394,699 |
Preconfirmation, Pension Obligations | 23,716 |
Preconfirmation, Other Postretirement Obligations | 87,123 |
Preconfirmation, Accrued Workers' Compensation | 119,828 |
Preconfirmation, Deferred Income Tax Liabilities | 0 |
Preconfirmation, Noncurrent Other Obligations | 96,410 |
Preconfirmation, Liabilities Not Subject to Compromise | 1,055,544 |
Preconfirmation, Liabilities Subject to Compromise | 5,278,612 |
Preconfirmation, Liabilities | 6,334,156 |
Preconfirmation, Common Stock | 2,145 |
Preconfirmation, Additional Paid-in Capital | 3,056,307 |
Preconfirmation, Preferred and Common Stock Held in Treasury | (53,863) |
Preconfirmation, Retained Earnings (Deficit) | (4,678,977) |
Preconfirmation, Accumulated Other Comprehensive Income (Loss) | (1,706) |
Preconfirmation, Stockholders' Equity | (1,676,094) |
Preconfirmation, Liabilities and Stockholders' Equity | 4,658,062 |
Stockholders’ equity (deficit) | |
Fresh-Start Adjustment, Increase (Decrease), Common Stock | (2,145) |
Fresh-Start Adjustment, Increase (Decrease), Additional Paid-in Capital | (3,056,307) |
Fresh-Start Adjustment, Increase (Decrease), Preferred and Common Stock Held in Treasury | 53,863 |
Fresh-Start Adjustment, Increase (Decrease), Retained Earnings (Deficit) | 7,146,693 |
Predecessor | Effect of Plan | |
Stockholders’ equity (deficit) | |
Fresh-Start Adjustment, Increase (Decrease), Common Stock | (2,145) |
Fresh-Start Adjustment, Increase (Decrease), Additional Paid-in Capital | (3,056,307) |
Successor | |
Postconfirmation | |
Postconfirmation, Cash and Cash Equivalents | 200,487 |
Postconfirmation, Short-term Investments | 111,451 |
Postconfirmation, Restricted Cash and Cash Equivalents, Current | 81,563 |
Postconfirmation, Receivables, Net | 165,522 |
Postconfirmation, Other Receivables | 18,006 |
Postconfirmation, Inventories | 138,332 |
Postconfirmation, Prepaid Royalties, Current | 4,805 |
Postconfirmation, Deferred Income Tax Assets, Current | 0 |
Postconfirmation, Coal Derivative Assets | 2,180 |
Postconfirmation, Prepaid and Other Current Assets | 97,178 |
Postconfirmation, Current Assets | 819,524 |
Postconfirmation, Property and Equipment, Net | 1,071,112 |
Postconfirmation, Prepaid Royalties, Noncurrent | 0 |
Postconfirmation, Investments | 102,626 |
Postconfirmation, Other Assets, Noncurrent | 130,567 |
Postconfirmation, Other Assets | 233,193 |
Postconfirmation, Assets | 2,123,829 |
Postconfirmation, Accounts Payable | 74,345 |
Postcomfirmation, Accrued expenses and other current liabilities | 216,052 |
Postconfirmation, Current Maturities of Long-term Debt | 6,662 |
Postconfirmation, Current Liabilities | 297,059 |
Postconfirmation, Long-term Debt | 353,272 |
Postconfirmation, Asset Retirement Obligations | 334,129 |
Postconfirmation, Pension Obligations | 48,281 |
Postconfirmation, Other Postretirement Obligations | 111,959 |
Postconfirmation, Accrued Workers' Compensation | 194,348 |
Postconfirmation, Deferred Income Tax Liabilities | 0 |
Postconfirmation, Noncurrent Other Obligations | 97,298 |
Postconfirmation, Liabilities Not Subject to Compromise | 1,436,346 |
Postconfirmation, Liabilities Subject to Compromise | 0 |
Postconfirmation, Liabilities | 1,436,346 |
Postconfirmation, Common Stock | 250 |
Postconfirmation, Additional Paid-in Capital | 687,233 |
Postconfirmation, Preferred and Common Stock Held in Treasury | 0 |
Postconfirmation, Retained Earnings (Deficit) | 0 |
Postconfirmation, Accumulated Other Comprehensive Income (Loss) | 0 |
Postconfirmation, Stockholders' Equity | 687,483 |
Postconfirmation, Liabilities and Stockholders' Equity | 2,123,829 |
Successor | Effect of Plan | |
Stockholders’ equity (deficit) | |
Fresh-Start Adjustment, Increase (Decrease), Common Stock | 250 |
Fresh-Start Adjustment, Increase (Decrease), Additional Paid-in Capital | $ 687,233 |
Emergence from Bankruptcy and66
Emergence from Bankruptcy and Fresh Start Accounting (Liabilities Subject to Compromise) (Details) $ in Thousands | Oct. 01, 2016USD ($) |
Reorganizations [Abstract] | |
Liabilities subject to compromise | $ 5,278,612 |
Common stock (at par) Successor | (250) |
Warrants Successor | (14,822) |
Paid-in capital Successor | (672,411) |
Issuance of Term Loan Successor | (326,500) |
Cash payment to settle claims and professional fees | (122,525) |
Total pre-tax gain on plan effects | $ 4,142,104 |
Emergence from Bankruptcy and67
Emergence from Bankruptcy and Fresh Start Accounting (Cash Used) (Details) $ in Thousands | Oct. 05, 2016USD ($) |
Reorganizations [Abstract] | |
Payment to secured lenders | $ 43,496 |
Payments to unsecured creditors | 42,399 |
Final adequate protection payment | 36,331 |
Collateral requirements | 31,665 |
Professional fees | 31,630 |
Other | 14,197 |
Total cash outflow at emergence | $ 199,718 |
Emergence from Bankruptcy and68
Emergence from Bankruptcy and Fresh Start Accounting (Unsecured or Under-Secured Liabilities Previously Reported) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 01, 2016 | Jan. 11, 2016 |
Fresh-Start Adjustment [Line Items] | ||||
Accrued expenses and other current liabilities | $ 184,161 | $ 205,240 | ||
Accounts payable | 134,137 | 95,953 | ||
Other noncurrent liabilities | $ 59,457 | $ 63,824 | ||
Liabilities Subject to Compromise | $ 5,278,612 | |||
Scenario, previously reported | ||||
Fresh-Start Adjustment [Line Items] | ||||
Debt | $ 5,026,806 | |||
Accrued expenses and other current liabilities | 136,295 | |||
Accounts payable | 106,297 | |||
Other noncurrent liabilities | 9,214 | |||
Liabilities Subject to Compromise | $ 5,278,612 |
Emergence from Bankruptcy and69
Emergence from Bankruptcy and Fresh Start Accounting (Reorganization Adjustments and Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | Oct. 01, 2016 | Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 |
Fresh-Start Adjustment [Line Items] | |||||
Total pre-tax gain on plan effects | $ 4,142,104 | ||||
Property, plant and equipment, net | $ 1,053,603 | $ 955,948 | |||
Fresh-Start Adjustment, Increase (Decrease), Property and Equipment, Net | (2,363,829) | $ (2,363,829) | |||
Net Coal Properties | |||||
Fresh-Start Adjustment [Line Items] | |||||
Fresh-Start Adjustment, Increase (Decrease), Property and Equipment, Net | (1,971,314) | (1,971,314) | |||
Net Plant & Equipment | |||||
Fresh-Start Adjustment [Line Items] | |||||
Fresh-Start Adjustment, Increase (Decrease), Property and Equipment, Net | (405,259) | (405,259) | |||
Net Deferred Charges | |||||
Fresh-Start Adjustment [Line Items] | |||||
Fresh-Start Adjustment, Increase (Decrease), Property and Equipment, Net | 12,744 | 12,744 | |||
Predecessor | |||||
Fresh-Start Adjustment [Line Items] | |||||
Total pre-tax gain on plan effects | 4,142,104 | 4,142,104 | $ 0 | ||
Cancellation of predecessor common stock | 2,145 | 2,145 | |||
Cancellation of predecessor paid-in capital | 3,056,307 | 3,056,307 | |||
Cancellation of predecessor treasury stock | (53,863) | (53,863) | |||
Net impact on accumulated earnings (deficit) | 7,146,693 | 7,146,693 | |||
Property, plant and equipment, net | 3,434,941 | 3,434,941 | |||
Predecessor | Net Coal Properties | |||||
Fresh-Start Adjustment [Line Items] | |||||
Property, plant and equipment, net | 2,358,779 | 2,358,779 | |||
Predecessor | Net Plant & Equipment | |||||
Fresh-Start Adjustment [Line Items] | |||||
Property, plant and equipment, net | 812,888 | 812,888 | |||
Predecessor | Net Deferred Charges | |||||
Fresh-Start Adjustment [Line Items] | |||||
Property, plant and equipment, net | 263,274 | 263,274 | |||
Successor | |||||
Fresh-Start Adjustment [Line Items] | |||||
Total pre-tax gain on plan effects | $ 0 | $ 0 | |||
Property, plant and equipment, net | 1,071,112 | 1,071,112 | |||
Successor | Net Coal Properties | |||||
Fresh-Start Adjustment [Line Items] | |||||
Property, plant and equipment, net | 387,465 | 387,465 | |||
Successor | Net Plant & Equipment | |||||
Fresh-Start Adjustment [Line Items] | |||||
Property, plant and equipment, net | 407,629 | 407,629 | |||
Successor | Net Deferred Charges | |||||
Fresh-Start Adjustment [Line Items] | |||||
Property, plant and equipment, net | $ 276,018 | $ 276,018 |
Emergence from Bankruptcy and70
Emergence from Bankruptcy and Fresh Start Accounting (Additional Information to Liabilities Subject to Compromise) (Details) - USD ($) $ in Thousands | Oct. 05, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2016 |
Fresh-Start Adjustment [Line Items] | ||||
Fair value of senior notes and other long-term debt, including amounts classified as current | $ 336,100 | $ 362,900 | ||
Current maturities of debt | 15,783 | 11,038 | ||
Insurance receivable, current | 3,300 | $ 800 | ||
Decrease in property plant and equipment, net | $ 2,363,829 | |||
Successor | ||||
Fresh-Start Adjustment [Line Items] | ||||
Current maturities of debt | $ 15,783 | |||
Term loan due 2021 | Successor | ||||
Fresh-Start Adjustment [Line Items] | ||||
Fair value of senior notes and other long-term debt, including amounts classified as current | 326,500 | |||
Current maturities of debt | $ 3,300 | |||
Minimum | Discounted cash flow valuation technique | ||||
Fresh-Start Adjustment [Line Items] | ||||
Discount rate (percent) | 13.25% | |||
Maximum | Discounted cash flow valuation technique | ||||
Fresh-Start Adjustment [Line Items] | ||||
Discount rate (percent) | 15.25% | |||
Asset Retirement Obligation Costs | Minimum | Discounted cash flow valuation technique | ||||
Fresh-Start Adjustment [Line Items] | ||||
Discount rate (percent) | 7.06% | |||
Asset Retirement Obligation Costs | Maximum | Discounted cash flow valuation technique | ||||
Fresh-Start Adjustment [Line Items] | ||||
Discount rate (percent) | 9.08% | |||
Net Plant & Equipment | ||||
Fresh-Start Adjustment [Line Items] | ||||
Decrease in property plant and equipment, net | $ 405,259 | |||
Net Plant & Equipment | Market Approach and Cost Approach Valuation Techniques | Successor | ||||
Fresh-Start Adjustment [Line Items] | ||||
Fair value of property, plant and equipment, net | 407,600 | |||
Net Coal Properties | ||||
Fresh-Start Adjustment [Line Items] | ||||
Decrease in property plant and equipment, net | 1,971,314 | |||
Net Coal Properties | Discounted Cash Flow and Market Approach Valuation Techniques | Successor | ||||
Fresh-Start Adjustment [Line Items] | ||||
Fair value of property, plant and equipment, net | 387,500 | |||
Fresh Start Adjustments | ||||
Fresh-Start Adjustment [Line Items] | ||||
Increase (decrease) in inventories | (21,078) | |||
Increase in current above market sales contracts | 71,100 | |||
Decrease in prepaid expenses | 11,300 | |||
Decrease in property plant and equipment, net | 2,363,829 | |||
Increase in noncurrent above market sales contract | 26,000 | |||
Increase in noncurrent insurance receivables | 18,600 | |||
Decrease in noncurrent prepaid balances | 13,200 | |||
Increase in current below market sales contracts | 27,800 | |||
Increase in noncurrent below market sales contracts | 3,900 | |||
Decrease in miscellaneous noncurrent liabilities | 3,100 | |||
Fresh Start Adjustments | Coal Inventory | ||||
Fresh-Start Adjustment [Line Items] | ||||
Increase (decrease) in inventories | 7,300 | |||
Fresh Start Adjustments | Critical Spare Parts | ||||
Fresh-Start Adjustment [Line Items] | ||||
Increase (decrease) in inventories | $ (28,400) | |||
Equity Method Investments | Level 3 | Discounted Cash Flow Approach and Comparable Company Approach | ||||
Fresh-Start Adjustment [Line Items] | ||||
Discount rate (percent) | 14.00% |
Emergence from Bankruptcy and71
Emergence from Bankruptcy and Fresh Start Accounting (Reorganization Items, Net and Contractual Interest Expense During Bankruptcy) (Details) - USD ($) $ in Thousands | Oct. 01, 2016 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 |
Fresh-Start Adjustment [Line Items] | ||||||||||||
Gain on settlement of claims | $ 4,142,104 | |||||||||||
Successor | ||||||||||||
Fresh-Start Adjustment [Line Items] | ||||||||||||
Gain on settlement of claims | $ 0 | $ 0 | ||||||||||
Fresh start adjustments | 0 | 0 | ||||||||||
Professional fees | (759) | (2,398) | ||||||||||
Reorganization Items | $ 494 | (759) | $ (2,398) | |||||||||
Predecessor | ||||||||||||
Fresh-Start Adjustment [Line Items] | ||||||||||||
Gain on settlement of claims | 4,142,104 | $ 4,142,104 | $ 0 | |||||||||
Fresh start adjustments | (2,466,010) | 0 | ||||||||||
Professional fees | (46,053) | 0 | ||||||||||
Reorganization Items | $ 1,676,091 | $ (43) | $ (21) | $ (2,828) | (759) | $ (20,904) | $ (21,271) | $ (3,875) | $ 1,630,041 | $ 0 | ||
Contractual interest expense | 300,900 | |||||||||||
Interest Expense | $ 135,900 |
Accumulated Other Comprehensi72
Accumulated Other Comprehensive Income (Loss) (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | |
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Fresh start accounting adjustment | $ 1,706 | ||
Predecessor | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Unrealized gains (losses) | 563 | ||
Amounts reclassified from accumulated other comprehensive income (loss) | (454) | ||
Predecessor | Accumulated Other Comprehensive Income (Loss) | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | $ 0 | (1,815) | |
Ending balance | 0 | ||
Predecessor | Derivative Instruments | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | 0 | 325 | |
Unrealized gains (losses) | (138) | ||
Amounts reclassified from accumulated other comprehensive income (loss) | (316) | ||
Fresh start accounting adjustment | 129 | ||
Ending balance | 0 | ||
Predecessor | Pension, Postretirement and Other Post-Employment Benefits | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | 0 | (721) | |
Amounts reclassified from accumulated other comprehensive income (loss) | (1,363) | ||
Fresh start accounting adjustment | 2,084 | ||
Ending balance | 0 | ||
Predecessor | Available-for-Sale Securities | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | 0 | (1,419) | |
Unrealized gains (losses) | 701 | ||
Amounts reclassified from accumulated other comprehensive income (loss) | 1,225 | ||
Fresh start accounting adjustment | (507) | ||
Ending balance | $ 0 | ||
Successor | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Unrealized gains (losses) | 24,454 | $ (3,092) | |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | (995) | |
Successor | Accumulated Other Comprehensive Income (Loss) | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | 24,454 | ||
Ending balance | 24,454 | 20,367 | |
Successor | Derivative Instruments | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | 0 | ||
Unrealized gains (losses) | 0 | 497 | |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 150 | |
Ending balance | 0 | 647 | |
Successor | Pension, Postretirement and Other Post-Employment Benefits | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | 24,067 | ||
Unrealized gains (losses) | 24,067 | (3,589) | |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | (758) | |
Ending balance | 24,067 | 19,720 | |
Successor | Available-for-Sale Securities | |||
Accumulated Other Comprenhensive Income (Loss) [Roll Forward] | |||
Beginning balance | 387 | ||
Unrealized gains (losses) | 387 | 0 | |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | (387) | |
Ending balance | $ 387 | $ 0 |
Accumulated Other Comprehensi73
Accumulated Other Comprehensive Income (Loss) (Schedule of Reclassifications) (Details) - USD ($) $ in Thousands | Oct. 01, 2016 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Revenues | $ 575,688 | $ 2,324,623 | ||||||||||
Interest expense | (10,754) | (24,256) | ||||||||||
Provision for (benefit from) income taxes | (1,156) | 35,255 | ||||||||||
Income (loss) before income taxes | 34,605 | 203,195 | ||||||||||
Net income (loss) | 33,449 | 238,450 | ||||||||||
Successor | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Revenues | $ 560,244 | 575,688 | 2,324,623 | |||||||||
Revenues, coal hedges | 174,097 | 793,594 | ||||||||||
Interest expense | (10,754) | (24,256) | ||||||||||
Provision for (benefit from) income taxes | (1,156) | 35,255 | ||||||||||
Income (loss) before income taxes | 34,605 | 203,195 | ||||||||||
Net income (loss) | $ 81,271 | 33,449 | ||||||||||
Successor | Pension, Postretirement and Other Post-Employment Benefits | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Provision for (benefit from) income taxes | 0 | 0 | ||||||||||
Amortization of prior service credits | 0 | 0 | ||||||||||
Amortization of net actuarial gains (losses) | 0 | 0 | ||||||||||
Curtailments | 0 | (773) | ||||||||||
Settlements | 0 | 1,531 | ||||||||||
Income (loss) before income taxes | 0 | 758 | ||||||||||
Net income (loss) | 0 | 758 | ||||||||||
Successor | Reclassification out of accumulated other comprehensive income | Derivative Instruments | Commodity Contract | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Revenues | ||||||||||||
Revenues, coal hedges | 0 | 0 | ||||||||||
Interest expense | (150) | |||||||||||
Provision for (benefit from) income taxes | 0 | 0 | ||||||||||
Net income (loss) | 0 | (150) | ||||||||||
Successor | Reclassification out of accumulated other comprehensive income | Available-for-Sale Securities | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Provision for (benefit from) income taxes | 0 | 0 | ||||||||||
Interest and investment income | 0 | 387 | ||||||||||
Net income (loss) | $ 0 | $ 387 | ||||||||||
Predecessor | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Revenues | $ 613,538 | $ 549,866 | $ 600,975 | $ 550,305 | $ 420,298 | $ 428,106 | $ 1,398,709 | $ 2,573,260 | ||||
Revenues, coal hedges | 280,879 | 395,323 | ||||||||||
Interest expense | (133,235) | (393,549) | ||||||||||
Provision for (benefit from) income taxes | 4,626 | 373,380 | ||||||||||
Income (loss) before income taxes | 1,237,455 | (3,286,522) | ||||||||||
Net income (loss) | $ 1,676,091 | $ 68,351 | $ 37,160 | $ 51,668 | $ (51,421) | $ (175,887) | $ (206,702) | 1,242,081 | $ (2,913,142) | |||
Predecessor | Pension, Postretirement and Other Post-Employment Benefits | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Provision for (benefit from) income taxes | (481) | |||||||||||
Amortization of prior service credits | 7,854 | |||||||||||
Amortization of net actuarial gains (losses) | (6,010) | |||||||||||
Curtailments | 0 | |||||||||||
Settlements | 0 | |||||||||||
Income (loss) before income taxes | 1,844 | |||||||||||
Net income (loss) | 1,363 | |||||||||||
Predecessor | Reclassification out of accumulated other comprehensive income | Derivative Instruments | Commodity Contract | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Revenues | ||||||||||||
Revenues, coal hedges | 397 | |||||||||||
Interest expense | 0 | |||||||||||
Provision for (benefit from) income taxes | (81) | |||||||||||
Net income (loss) | 316 | |||||||||||
Predecessor | Reclassification out of accumulated other comprehensive income | Available-for-Sale Securities | ||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||
Provision for (benefit from) income taxes | 1,038 | |||||||||||
Interest and investment income | (2,263) | |||||||||||
Net income (loss) | $ (1,225) |
Divestitures (Narrative) (Detai
Divestitures (Narrative) (Details) $ in Thousands | Sep. 14, 2017USD ($)company | Dec. 31, 2016USD ($) | Dec. 31, 2017USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Gain on sale of Lone Mountain Processing, Inc. | $ 0 | $ 21,297 | |
Lone Mountain Processing LLC | Discontinued operations, disposed of by sale | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Number of mining companies | company | 2 | ||
Proceeds from sale | $ 8,300 | ||
Disbursements related to landholder consent fees and professional fees | (1,400) | ||
Gain on sale of Lone Mountain Processing, Inc. | 21,300 | ||
Pension Benefits | Lone Mountain Processing LLC | Discontinued operations, disposed of by sale | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Curtailment gains | $ 4,700 |
Impairment Charges and Mine C75
Impairment Charges and Mine Closure Costs (Summary Asset Impairments and Mine Closure Costs) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2015 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Impaired Long-Lived Assets Held and Used [Line Items] | |||||||||||
Asset impairment and mine closure costs | $ 0 | $ 500,000 | $ 2,100,000 | $ 19,100 | $ 2,600,000 | $ 0 | |||||
Successor | |||||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||||||||
Coal lands and mineral rights | 0 | 0 | |||||||||
Plant and equipment | 0 | 0 | |||||||||
Deferred development | 0 | 0 | |||||||||
Prepaid royalties | 0 | 0 | |||||||||
Equity investments | 0 | 0 | |||||||||
Inventories | 0 | 0 | |||||||||
Other | 0 | 0 | |||||||||
Asset impairment and mine closure costs | $ 0 | $ 0 | |||||||||
Predecessor | |||||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||||||||
Coal lands and mineral rights | $ 74,144 | $ 2,210,488 | |||||||||
Plant and equipment | 0 | 199,107 | |||||||||
Deferred development | 0 | 159,474 | |||||||||
Prepaid royalties | 3,406 | 41,990 | |||||||||
Equity investments | 40,920 | 21,325 | |||||||||
Inventories | 0 | 66 | |||||||||
Other | 10,797 | ||||||||||
Other | (4,147) | ||||||||||
Asset impairment and mine closure costs | $ 46 | $ 43,701 | $ 85,520 | $ 129,267 | $ 2,628,303 |
Impairment Charges and Mine C76
Impairment Charges and Mine Closure Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2016 | Dec. 31, 2015 | Oct. 01, 2016 | Dec. 31, 2017 | |
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||||
Other-than-temporary impairment loss on available-for-sale securities | $ 2,900 | |||||||||
Severance costs | $ 7,200 | |||||||||
Curtailments | $ 3,600 | |||||||||
Asset impairment and mine closure costs | $ 0 | $ 500,000 | $ 2,100,000 | $ 19,100 | $ 2,600,000 | $ 0 | ||||
Impairment charge of higher-cost mining complex | 5,600 | |||||||||
Royalty Agreements | ||||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||||
Prepaid royalties | 3,400 | $ 12,200 | ||||||||
MET | ||||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||||
Asset impairment and mine closure costs | $ 2,200,000 | |||||||||
Other Thermal | ||||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||||
Asset impairment and mine closure costs | $ 400,000 | |||||||||
Kentucky | ||||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||||
Net book value of idled facility | $ 74,100 | |||||||||
Longview, Washington | ||||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||||
Other-than-temporary impairment loss on available-for-sale securities | $ 38,000 |
Losses from disposed operatio77
Losses from disposed operations resulting from Patriot Coal Bankruptcy (Details) - USD ($) $ in Thousands | Nov. 22, 2016 | Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Losses related to previously disposed off operations | $ 0 | $ (21,297) | ||
Discontinued Operations, Held-for-sale or Disposed of by Sale | Magnum | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Losses related to previously disposed off operations | $ 116,300 | |||
Surety Bond | Magnum | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Decease in collateral held by bonding company | $ 20,000 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Inventories | $ 128,960 | $ 113,462 |
Allowance for slow-moving and obsolete inventories | 300 | 0 |
Successor | ||
Property, Plant and Equipment [Line Items] | ||
Coal | 54,692 | |
Repair parts and supplies | 74,268 | |
Inventories | $ 128,960 | |
Predecessor | ||
Property, Plant and Equipment [Line Items] | ||
Coal | 37,268 | |
Repair parts and supplies | 76,194 | |
Inventories | $ 113,462 |
Investments in Available-for-79
Investments in Available-for-Sale Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, current | $ 155,846 | $ 88,072 |
Total investments, cost basis | 156,189 | 89,910 |
Total investments, accumulated gross unrealized gains | 22 | 388 |
Total investments, accumulated gross unrealized losses | (365) | (89) |
Total investments, fair value | 155,846 | 90,209 |
Short-term investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Total investments, current | 155,846 | 88,072 |
Other assets | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Total investments, noncurrent | 0 | 2,137 |
U.S. government and agency securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, cost basis | 64,151 | |
Debt securities, accumulated gross unrealized gains | 22 | |
Debt securities, accumulated gross unrealized losses | (73) | |
Debt securities, fair value | 64,100 | |
U.S. government and agency securities | Short-term investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, current | 64,100 | |
U.S. government and agency securities | Other assets | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, noncurrent | 0 | |
Corporate notes and bonds | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, cost basis | 92,038 | 88,161 |
Debt securities, accumulated gross unrealized gains | 0 | 0 |
Debt securities, accumulated gross unrealized losses | (292) | (89) |
Debt securities, fair value | 91,746 | 88,072 |
Corporate notes and bonds | Short-term investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, current | $ 91,746 | 88,072 |
Corporate notes and bonds | Other assets | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, noncurrent | 0 | |
Equity securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, cost basis | 1,749 | |
Debt securities, accumulated gross unrealized gains | 388 | |
Debt securities, accumulated gross unrealized losses | 0 | |
Debt securities, fair value | 2,137 | |
Equity securities | Short-term investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, current | 0 | |
Equity securities | Other assets | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt securities, noncurrent | $ 2,137 |
Investments in Available-for-80
Investments in Available-for-Sale Securities (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Available-for-sale Securities [Abstract] | ||
Continuous unrealized loss position for less than a year | $ 132 | $ 47.6 |
Continuous unrealized loss position for over a year | $ 0 | $ 40.4 |
Equity Method Investments and81
Equity Method Investments and Membership Interests in Joint Ventures (Schedule of Equity Method Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Jun. 30, 2016 | Sep. 30, 2015 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | $ 96,074 | |||||
Ending Balance | $ 96,074 | 106,107 | ||||
Millennium | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Impairment of equity investment | $ (38,000) | |||||
Tongue River | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Impairment of equity investment | $ (21,300) | |||||
Predecessor | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 102,625 | $ 201,877 | $ 235,842 | |||
Advances to (distributions from) affiliates, net | (4,934) | (18,360) | ||||
Equity in comprehensive income (loss) | 5,314 | 7,979 | ||||
Impairment of equity investment | (38,025) | (21,325) | ||||
Sale of equity investment | (2,259) | |||||
Fresh start accounting adjustment | (61,607) | |||||
Ending Balance | 102,625 | 201,877 | ||||
Predecessor | Knight Hawk | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 94,000 | 151,592 | 158,477 | |||
Advances to (distributions from) affiliates, net | (8,374) | (29,862) | ||||
Equity in comprehensive income (loss) | 9,033 | 22,977 | ||||
Fresh start accounting adjustment | (58,251) | |||||
Ending Balance | 94,000 | 151,592 | ||||
Predecessor | DTA | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 8,600 | 13,239 | 13,738 | |||
Advances to (distributions from) affiliates, net | 1,474 | 3,207 | ||||
Equity in comprehensive income (loss) | (2,095) | (3,706) | ||||
Fresh start accounting adjustment | (4,018) | |||||
Ending Balance | 8,600 | 13,239 | ||||
Predecessor | Millennium | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 37,589 | 40,223 | ||||
Advances to (distributions from) affiliates, net | 1,966 | 7,052 | ||||
Equity in comprehensive income (loss) | (1,530) | (9,686) | ||||
Impairment of equity investment | (38,025) | |||||
Fresh start accounting adjustment | 0 | |||||
Ending Balance | 37,589 | |||||
Predecessor | Tongue River | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 20,740 | |||||
Advances to (distributions from) affiliates, net | 913 | |||||
Equity in comprehensive income (loss) | (328) | |||||
Impairment of equity investment | (21,325) | |||||
Fresh start accounting adjustment | 0 | |||||
Predecessor | Other | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 25 | (543) | 2,664 | |||
Advances to (distributions from) affiliates, net | 330 | |||||
Equity in comprehensive income (loss) | (94) | (1,278) | ||||
Sale of equity investment | (2,259) | |||||
Fresh start accounting adjustment | 662 | |||||
Ending Balance | $ 25 | $ (543) | ||||
Successor | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 96,074 | |||||
Advances to (distributions from) affiliates, net | (8,254) | (5,722) | ||||
Equity in comprehensive income (loss) | 1,703 | 8,597 | ||||
Investments in affiliates | 7,158 | |||||
Ending Balance | 96,074 | 106,107 | ||||
Successor | Knight Hawk | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 87,493 | |||||
Advances to (distributions from) affiliates, net | (9,076) | (8,736) | ||||
Equity in comprehensive income (loss) | 2,569 | 11,409 | ||||
Ending Balance | 87,493 | 90,166 | ||||
Successor | DTA | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 8,581 | |||||
Advances to (distributions from) affiliates, net | 822 | 3,014 | ||||
Equity in comprehensive income (loss) | (841) | (2,812) | ||||
Investments in affiliates | 7,158 | |||||
Ending Balance | 8,581 | 15,941 | ||||
Successor | Millennium | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 0 | |||||
Advances to (distributions from) affiliates, net | 0 | 0 | ||||
Equity in comprehensive income (loss) | 0 | 0 | ||||
Ending Balance | 0 | 0 | ||||
Successor | Tongue River | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 0 | |||||
Advances to (distributions from) affiliates, net | 0 | 0 | ||||
Equity in comprehensive income (loss) | 0 | 0 | ||||
Ending Balance | 0 | 0 | ||||
Successor | Other | ||||||
Investments in and Advances to Affiliates, at Fair Value [Roll Forward] | ||||||
Beginning Balance | 0 | |||||
Advances to (distributions from) affiliates, net | 0 | 0 | ||||
Equity in comprehensive income (loss) | (25) | 0 | ||||
Ending Balance | $ 0 | $ 0 |
Equity Method Investments and82
Equity Method Investments and Membership Interests in Joint Ventures (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | ||||
Mar. 31, 2017 | Jun. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2017 | Mar. 01, 2017 | Dec. 31, 2016 | |
Knight Hawk | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest (percent) | 49.00% | |||||
DTA | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest (percent) | 35.00% | 21.875% | ||||
Payments to auction house to increase ownership | $ 7.2 | |||||
Millennium | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest (percent) | 38.00% | |||||
Impairment of equity investment | $ 38 | |||||
Tongue River | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest (percent) | 35.00% | |||||
Impairment of equity investment | $ 21.3 |
Sales Contracts (Schedule of Sa
Sales Contracts (Schedule of Sales Contracts) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Acquired Finite-Lived Intangible Assets And Liabilities By Major Class [Line Items] | ||
Acquired fair value, Assets | $ 97,196 | $ 97,196 |
Acquired fair value, Liabilities | 31,742 | 31,742 |
Accumulated amortization, Asset | (84,760) | (25,625) |
Accumulated amortization, Liabilities | (29,979) | (24,829) |
Total, Assets | 12,436 | 71,571 |
Total, Liabilities | 1,763 | 6,913 |
Net total, Liabilities | 10,673 | 64,658 |
Coal Supply Agreement, Liabilities | 934 | 5,114 |
Other current assets | ||
Acquired Finite-Lived Intangible Assets And Liabilities By Major Class [Line Items] | ||
Coal supply agreement, Assets | 12,432 | 59,702 |
Other current liabilities | ||
Acquired Finite-Lived Intangible Assets And Liabilities By Major Class [Line Items] | ||
Coal Supply Agreement, Liabilities | 934 | 5,114 |
Other noncurrent assets | ||
Acquired Finite-Lived Intangible Assets And Liabilities By Major Class [Line Items] | ||
Coal supply agreement, Assets | 4 | 11,869 |
Other noncurrent liabilities | ||
Acquired Finite-Lived Intangible Assets And Liabilities By Major Class [Line Items] | ||
Coal Supply Agreement, Liabilities | $ 829 | $ 1,799 |
Derivatives (Narrative) (Detail
Derivatives (Narrative) (Details) $ in Thousands, gal in Millions | 9 Months Ended | 12 Months Ended | ||
Oct. 01, 2016USD ($) | Dec. 31, 2017USD ($)$ / optiongal | Dec. 31, 2015USD ($) | Dec. 31, 2016USD ($) | |
Derivative [Line Items] | ||||
Right to reclaim cash collateral, asset | $ 50,042 | $ 69,247 | ||
Right to reclaim cash collateral, liability | 50,042 | 69,247 | ||
Net unrealized and realized gains (losses) related to trading portfolio | $ (900) | (2,000) | $ 5,700 | |
Derivative contracts expected to be reclassified from OCI into earnings | (1,200) | |||
2,018 | ||||
Derivative [Line Items] | ||||
Value of trading portfolio realized | $ (1,200) | |||
Diesel purchases | Heating oil | ||||
Derivative [Line Items] | ||||
Quantities under derivative contracts | gal | 26.2 | |||
Average strike price (in dollars per option) | $ / option | 1.84 | |||
Diesel purchases | Minimum | ||||
Derivative [Line Items] | ||||
Gallons of diesel fuel purchased annually | gal | 42 | |||
Diesel purchases | Maximum | ||||
Derivative [Line Items] | ||||
Gallons of diesel fuel purchased annually | gal | 46 | |||
Other current liabilities | ||||
Derivative [Line Items] | ||||
Right to reclaim cash collateral, liability | $ 2,800 | |||
Other current assets | ||||
Derivative [Line Items] | ||||
Right to reclaim cash collateral, asset | $ 16,200 |
Derivatives (Schedule of Price
Derivatives (Schedule of Price Risk Derivatives) (Details) T in Thousands | 12 Months Ended |
Dec. 31, 2017T | |
Coal sales | |
Derivative [Line Items] | |
Derivatives Held | 1,865 |
Coal purchases | |
Derivative [Line Items] | |
Derivatives Held | 747 |
2018 | Coal sales | |
Derivative [Line Items] | |
Derivatives Held | 1,706 |
2018 | Coal purchases | |
Derivative [Line Items] | |
Derivatives Held | 747 |
2019 | Coal sales | |
Derivative [Line Items] | |
Derivatives Held | 159 |
2019 | Coal purchases | |
Derivative [Line Items] | |
Derivatives Held | 0 |
Derivatives (Disclosure of Fair
Derivatives (Disclosure of Fair Value of Derivatives) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative [Line Items] | ||
Derivative Assets | $ 55,550 | $ 74,155 |
Derivative Liabilities | (57,259) | (69,348) |
Effect of counterparty netting in derivative assets | (50,042) | (69,247) |
Effect of counterparty netting in derivative liabilities | 50,042 | 69,247 |
Net derivative assets as classified in the balance sheet | 5,508 | 4,908 |
Net derivative liabilities as classified in the balance sheet | (7,217) | (101) |
Net derivatives as classified in the balance sheet | (1,709) | 4,807 |
Derivatives Designated as Hedging Instruments | Coal | ||
Derivative [Line Items] | ||
Derivative Assets | 942 | 0 |
Derivative Liabilities | (2,146) | (15) |
Derivatives Not Designated as Hedging Instruments | ||
Derivative [Line Items] | ||
Derivative Assets | 54,608 | 74,155 |
Derivative Liabilities | (55,113) | (69,333) |
Derivatives Not Designated as Hedging Instruments | Heating oil -- diesel purchases | ||
Derivative [Line Items] | ||
Derivative Assets | 5,354 | 4,646 |
Derivatives Not Designated as Hedging Instruments | Coal held for trading purposes, exchange traded swaps and futures | ||
Derivative [Line Items] | ||
Derivative Assets | 44,088 | 68,948 |
Derivative Liabilities | (45,221) | (68,740) |
Derivatives Not Designated as Hedging Instruments | Coal | ||
Derivative [Line Items] | ||
Derivative Assets | 5,139 | 475 |
Derivative Liabilities | (9,892) | (580) |
Derivatives Not Designated as Hedging Instruments | Natural gas | ||
Derivative [Line Items] | ||
Derivative Assets | 27 | 86 |
Derivative Liabilities | 0 | (13) |
Successor | ||
Derivative [Line Items] | ||
Net derivative assets as classified in the balance sheet | 7,339 | |
Net derivative liabilities as classified in the balance sheet | $ (7,217) | |
Predecessor | ||
Derivative [Line Items] | ||
Net derivative assets as classified in the balance sheet | 4,908 | |
Net derivative liabilities as classified in the balance sheet | $ (101) |
Derivatives (Net Derivatives as
Derivatives (Net Derivatives as Reflected on the Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Derivatives, Fair Value [Line Items] | ||
Net derivatives as classified in the balance sheet | $ (1,709) | $ 4,807 |
Other current assets | Heating oil | ||
Derivatives, Fair Value [Line Items] | ||
Net derivatives as classified in the balance sheet | 5,354 | 4,646 |
Other current assets | Coal | ||
Derivatives, Fair Value [Line Items] | ||
Net derivatives as classified in the balance sheet | 154 | 262 |
Accrued expenses and other current liabilities | Coal | ||
Derivatives, Fair Value [Line Items] | ||
Net derivatives as classified in the balance sheet | $ (7,217) | $ (101) |
Derivatives (Effects of Derivat
Derivatives (Effects of Derivatives on Measures of Financial Performance) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Successor | Coal | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Coal — unrealized | $ (408) | $ (4,648) | ||
Coal — realized | 116 | 0 | ||
Successor | Heating oil -- diesel purchases | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized Gains (Losses) | 827 | (1,057) | ||
Successor | Natural gas | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized Gains (Losses) | (91) | (774) | ||
Successor | Foreign currency | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized Gains (Losses) | (9) | 0 | ||
Successor | Coal contract | Derivatives Designated as Hedging Instruments | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) | 0 | (1,185) | ||
Gains (Losses) Reclassified from Other Comprehensive Income into Income (Effective Portion) | 0 | 0 | ||
Predecessor | Coal | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Coal — unrealized | $ (1,662) | $ (3,883) | ||
Coal — realized | (476) | 3,236 | ||
Predecessor | Heating oil -- diesel purchases | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized Gains (Losses) | 826 | (8,294) | ||
Predecessor | Natural gas | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized Gains (Losses) | (463) | 878 | ||
Predecessor | Foreign currency | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized Gains (Losses) | (451) | (867) | ||
Predecessor | Coal contract | Derivatives Designated as Hedging Instruments | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) | (136) | 6,098 | ||
Gains (Losses) Reclassified from Other Comprehensive Income into Income (Effective Portion) | 397 | 9,575 | ||
Short | Successor | Coal contract | Derivatives Designated as Hedging Instruments | Sales Revenue, net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) | 0 | (2,127) | ||
Gains (Losses) Reclassified from Other Comprehensive Income into Income (Effective Portion) | 0 | 0 | ||
Short | Predecessor | Coal contract | Derivatives Designated as Hedging Instruments | Sales Revenue, net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) | (672) | 12,816 | ||
Gains (Losses) Reclassified from Other Comprehensive Income into Income (Effective Portion) | 1,634 | 18,635 | ||
Long | Successor | Coal contract | Derivatives Designated as Hedging Instruments | Cost of Sales | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) | 0 | 942 | ||
Gains (Losses) Reclassified from Other Comprehensive Income into Income (Effective Portion) | $ 0 | $ 0 | ||
Long | Predecessor | Coal contract | Derivatives Designated as Hedging Instruments | Cost of Sales | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion) | 536 | (6,718) | ||
Gains (Losses) Reclassified from Other Comprehensive Income into Income (Effective Portion) | $ (1,237) | $ (9,060) |
Accrued Expenses and Other Cu89
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accrued Expenses and Other Current Liabilities [Abstract] | ||
Payroll and employee benefits | $ 53,149 | $ 58,468 |
Taxes other than income taxes | 77,017 | 92,733 |
Interest | 246 | 8,032 |
Sales contracts | 934 | 5,114 |
Workers’ compensation | 18,782 | 15,184 |
Asset retirement obligations | 19,840 | 19,515 |
Other | 14,193 | 6,194 |
Accrued Liabilities, Current | $ 184,161 | $ 205,240 |
Debt and Financing Arrangemen90
Debt and Financing Arrangements (Debt Outstanding) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 01, 2016 |
Debt Instrument [Line Items] | |||
Debt issuance costs | $ (5,300) | $ (5,200) | |
Current maturities of debt | 15,783 | 11,038 | |
Long-term debt | 310,134 | 351,841 | |
Term loan due 2024 ($297.8 million face value) | Loans payable | |||
Debt Instrument [Line Items] | |||
Amount of debt instrument | 297,750 | ||
Term loan due 2021 ($325.7 million face value) | Loans payable | |||
Debt Instrument [Line Items] | |||
Amount of debt instrument | 325,700 | ||
Successor | |||
Debt Instrument [Line Items] | |||
Other | 36,514 | ||
Debt issuance costs | (7,032) | ||
Total | 325,917 | ||
Current maturities of debt | 15,783 | ||
Long-term debt | 310,134 | ||
Successor | Term loan due 2024 ($297.8 million face value) | |||
Debt Instrument [Line Items] | |||
Term loan | 296,435 | ||
Successor | Term loan due 2021 ($325.7 million face value) | |||
Debt Instrument [Line Items] | |||
Term loan | $ 0 | ||
Current maturities of debt | $ 3,300 | ||
Predecessor | |||
Debt Instrument [Line Items] | |||
Other | 37,195 | ||
Debt issuance costs | 0 | ||
Total | 362,879 | ||
Current maturities of debt | 11,038 | ||
Long-term debt | 351,841 | ||
Predecessor | Term loan due 2024 ($297.8 million face value) | |||
Debt Instrument [Line Items] | |||
Term loan | 0 | ||
Predecessor | Term loan due 2021 ($325.7 million face value) | |||
Debt Instrument [Line Items] | |||
Term loan | $ 325,684 |
Debt and Financing Arrangemen91
Debt and Financing Arrangements (Company Debt Narrative) (Details) - USD ($) | Sep. 25, 2017 | Apr. 27, 2017 | Mar. 07, 2017 | Sep. 30, 2017 | Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | |||||||||
Gain (loss) on extinguishment of debt | $ 0 | $ 0 | $ (2,547,000) | ||||||
Letters of credit outstanding | 7,400,000 | ||||||||
Additional availability for borrowings | 1,100,000 | ||||||||
Derivative Assets | 74,155,000 | 55,550,000 | $ 74,155,000 | ||||||
Debt financing costs | 0 | 10,149,000 | |||||||
Senior notes | New term loan debt facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Amount of debt instrument | $ 300,000,000 | ||||||||
Call premium | 1.00% | ||||||||
Mandatory prepayment amount | 100.00% | ||||||||
Default to indebtedness amount | $ 50,000,000 | ||||||||
Default to surety, reclamation, or similar bonds securing obligations | 50,000,000 | ||||||||
Default to uninsured judgements | 50,000,000 | ||||||||
Uninsured losses or proceedings against minimum amount | 50,000,000 | ||||||||
Senior notes | New term loan debt facility | LIBOR | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on interest rate | 3.25% | ||||||||
Successor | |||||||||
Debt Instrument [Line Items] | |||||||||
Gain (loss) on extinguishment of debt | 0 | (2,547,000) | |||||||
Debt financing costs | $ 0 | 10,100,000 | |||||||
Legal and advisory fees | 2,500,000 | ||||||||
Predecessor | |||||||||
Debt Instrument [Line Items] | |||||||||
Gain (loss) on extinguishment of debt | $ (2,213,000) | $ (27,910,000) | |||||||
Debt financing costs | 23,011,000 | 0 | |||||||
Legal and advisory fees | $ 2,200,000 | $ 24,200,000 | |||||||
Predecessor | Line of credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Write off of deferred financing costs | $ 3,700,000 | ||||||||
Line of credit | Secured debt | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | 85,000,000 | ||||||||
New term loan debt facility | Senior notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Amount of debt instrument | $ 300,000,000 | ||||||||
Percent of face amount of debt issued | 99.50% | ||||||||
Quarterly principal amortization payments | $ 750,000 | ||||||||
Voting interests of directly owned subsidiaries | 100.00% | ||||||||
Voting equity interests of directly owned foreign subsidiaries | 65.00% | ||||||||
New term loan debt facility | Senior notes | LIBOR | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on interest rate | 4.00% | 3.25% | |||||||
New term loan debt facility | Senior notes | LIBOR | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on interest rate | 1.00% | 1.00% | |||||||
New term loan debt facility | Senior notes | Base rate | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on interest rate | 2.25% | 3.00% | |||||||
Regions Bank | Line of credit | Secured debt | |||||||||
Debt Instrument [Line Items] | |||||||||
Amount of debt instrument | $ 40,000,000 | ||||||||
Maximum borrowing capacity | 200,000,000 | ||||||||
Current borrowing capacity | 160,000,000 | ||||||||
Liquidity amount minimum | $ 175,000,000 | ||||||||
Letters of credit outstanding | 29,000,000 | ||||||||
Borrowing base percentage, coal inventory | 85.00% | ||||||||
Borrowing base percentage, parts and supplies inventory | 85.00% | ||||||||
Borrowing base, percentage of clause | 35.00% | ||||||||
Percent of eligible cash | 100.00% | ||||||||
Covenant amount | $ 250,000,000 | ||||||||
Regions Bank | Line of credit | Secured debt | LIBOR | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on interest rate | 2.25% | ||||||||
Regions Bank | Line of credit | Secured debt | LIBOR | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Borrowing base, percentage of clause | 2.50% | ||||||||
Regions Bank | Line of credit | Secured debt | Base rate | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on interest rate | 1.25% | ||||||||
Regions Bank | Line of credit | Secured debt | Base rate | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on interest rate | 1.50% | ||||||||
Interest rate swap | |||||||||
Debt Instrument [Line Items] | |||||||||
Gain (loss) on interest rate swap | (100,000) | ||||||||
Interest rate swap | Other noncurrent assets | |||||||||
Debt Instrument [Line Items] | |||||||||
Derivative Assets | $ 1,800,000 |
Debt and Financing Arrangemen92
Debt and Financing Arrangements (Interest Rate Derivatives) (Details) $ in Millions | Dec. 31, 2017USD ($) |
June 30, 2017 | |
Derivative [Line Items] | |
Notional Amount (in millions) | $ 250 |
Fixed Rate | 1.372% |
June 29, 2018 | |
Derivative [Line Items] | |
Notional Amount (in millions) | $ 250 |
Fixed Rate | 1.662% |
June 28, 2019 | |
Derivative [Line Items] | |
Notional Amount (in millions) | $ 200 |
Fixed Rate | 1.952% |
June 30, 2020 | |
Derivative [Line Items] | |
Notional Amount (in millions) | $ 150 |
Fixed Rate | 2.182% |
Debt and Financing Arrangemen93
Debt and Financing Arrangements (Predecessor Company Debt) (Details) - Predecessor $ in Thousands | Dec. 31, 2017USD ($) |
Debt Instrument [Line Items] | |
2,018 | $ 16,809 |
2,019 | 11,119 |
2,020 | 11,442 |
2,021 | 8,853 |
2,022 | 3,130 |
Thereafter | 282,911 |
Total | $ 334,264 |
Taxes (Narrative) (Details)
Taxes (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2018 | Oct. 02, 2016 | Oct. 01, 2016 | |
Operating Loss Carryforwards [Line Items] | |||||||
Cancellation of debt income | $ 3,414,000,000 | ||||||
Decrease in operating loss carryforwards | $ 3,185,000,000 | ||||||
Operating loss carryforwards | $ 980,200,000 | $ 980,200,000 | |||||
Annual limitation on operating loss use | 29,800,000 | 29,800,000 | |||||
Tax credit carryforwards | 23,900,000 | 23,900,000 | |||||
Increase (decrease) in valuation allowance | 35,700,000 | $ (1,289,000,000) | $ 865,100,000 | ||||
Tax loss carryforwards | $ 271,405,000 | 271,405,000 | 376,293,000 | 1,135,000,000 | |||
Additional valuation allowance | 1,185,000,000 | ||||||
Net deferred tax assets | 1,022,000,000 | ||||||
Tax Cuts and Jobs Act of 2017, Income tax expense (benefit) | 330,900,000 | ||||||
Repatriation of foreign earnings | 1,500,000 | ||||||
Cumulative foreign earnings | $ 4,200,000 | ||||||
Sequestration reduction rate | 6.60% | 6.60% | |||||
Tax Cuts and Jobs Act of 2017, Income tax expense (benefit) related to valuation allowance | $ (22,400,000) | ||||||
Tax Cuts and Jobs Act of 2017, Provisional income tax expense (benefit) related to change in limit on deductible for covered employees | $ 200,000 | ||||||
Estimated sequestration reduction | 1,500,000 | ||||||
Valuation allowance | 610,500,000 | 610,500,000 | |||||
Reductions as a result of lapses in the statute of limitations | 0 | 37,110,000 | $ 37,100,000 | ||||
Interest and penalties accrued related to unrecognized tax benefits | $ 600,000 | $ 600,000 | $ 500,000 | ||||
Scenario, forecast | |||||||
Operating Loss Carryforwards [Line Items] | |||||||
Gross unrecognized tax benefits | $ 3,300,000 | ||||||
Alternative minimum tax credits | |||||||
Operating Loss Carryforwards [Line Items] | |||||||
Decrease in tax credit carryforwards | $ 76,000,000 | ||||||
Tax credit carryforwards | 25,600,000 | ||||||
Capital loss carryforward | |||||||
Operating Loss Carryforwards [Line Items] | |||||||
Tax credit carryforwards | 64,500,000 | ||||||
Domestic tax authority | |||||||
Operating Loss Carryforwards [Line Items] | |||||||
Operating loss carryforwards | $ 957,100,000 |
Taxes (Schedule of Components o
Taxes (Schedule of Components of Income Tax) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Deferred: | ||||
Provision for (benefit from) income taxes | $ 1,156 | $ (35,255) | ||
Successor | ||||
Current: | ||||
Federal | 0 | 835 | ||
State | (252) | 31 | ||
Total current | (252) | 866 | ||
Deferred: | ||||
Federal | 1,352 | (36,162) | ||
State | 56 | 41 | ||
Total deferred | 1,408 | (36,121) | ||
Provision for (benefit from) income taxes | $ 1,156 | $ (35,255) | ||
Predecessor | ||||
Current: | ||||
Federal | $ 0 | $ 0 | ||
State | 7 | 3 | ||
Total current | 7 | 3 | ||
Deferred: | ||||
Federal | (4,720) | (329,393) | ||
State | 87 | (43,990) | ||
Total deferred | (4,633) | (373,383) | ||
Provision for (benefit from) income taxes | $ (4,626) | $ (373,380) |
Taxes (Schedule of Effective In
Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Income Tax Examination [Line Items] | ||||
Provision for (benefit from) income taxes | $ 1,156 | $ (35,255) | ||
Successor | ||||
Income Tax Examination [Line Items] | ||||
Income tax provision (benefit) at statutory rate | 12,112 | 71,118 | ||
Percentage depletion allowance | (4,292) | (31,255) | ||
State taxes, net of effect of federal taxes | 633 | 7,002 | ||
Reversal of cancellation of indebtedness income | 0 | 0 | ||
Worthless stock deduction | 0 | 0 | ||
Change in valuation allowance | (7,655) | (410,983) | ||
Impact of Tax Cuts and Jobs Act of 2017 | 0 | 332,345 | ||
Other, net | 358 | (3,482) | ||
Provision for (benefit from) income taxes | $ 1,156 | $ (35,255) | ||
Predecessor | ||||
Income Tax Examination [Line Items] | ||||
Income tax provision (benefit) at statutory rate | $ 433,109 | $ (1,150,283) | ||
Percentage depletion allowance | (3,681) | (19,035) | ||
State taxes, net of effect of federal taxes | (46,122) | (76,445) | ||
Reversal of cancellation of indebtedness income | (1,493,162) | 0 | ||
Worthless stock deduction | (80,077) | 0 | ||
Change in valuation allowance | 1,185,326 | 865,146 | ||
Impact of Tax Cuts and Jobs Act of 2017 | 0 | 0 | ||
Other, net | (19) | 7,237 | ||
Provision for (benefit from) income taxes | $ (4,626) | $ (373,380) |
Taxes (Schedule of Deferred Tax
Taxes (Schedule of Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | |||
Tax loss carryforwards | $ 271,405 | $ 376,293 | $ 1,135,000 |
Tax credit carryforwards | 29,736 | 22,798 | |
Investment in tax partnerships & corporations | 308,653 | 604,914 | |
Other | 28,321 | 39,251 | |
Gross deferred tax assets | 638,115 | 1,043,256 | |
Valuation allowance | (610,571) | (1,021,553) | |
Total deferred tax assets | 27,544 | 21,703 | |
Deferred tax liabilities: | |||
Plant and equipment | 3,674 | 7,332 | |
Other | 1,351 | 14,258 | |
Total deferred tax liabilities | 5,025 | 21,590 | |
Net deferred tax asset | $ 22,519 | $ 113 |
Taxes (Schedule of Gross Unreco
Taxes (Schedule of Gross Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning Balance | $ 7,455 | $ 38,877 | $ 34,709 |
Additions based on tax positions related to the current year | 3,928 | 2,979 | 4,168 |
Additions for tax positions of prior years | 0 | 2,709 | |
Reductions as a result of lapses in the statute of limitations | 0 | (37,110) | (37,100) |
Ending Balance | $ 11,383 | $ 7,455 | $ 38,877 |
Asset Retirement Obligations (S
Asset Retirement Obligations (Schedule of Asset Retirement Obligations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||
Accretion expense | $ 7,634 | $ 30,209 | ||
Current portion included in accrued expenses | (19,515) | (19,840) | ||
Successor | ||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||
Beginning Balance | 354,326 | 356,742 | ||
Accretion expense | 7,634 | 30,209 | ||
Obligations of divested operations | 0 | (12,569) | ||
Adjustments to the liability from changes in estimates | 0 | (23,215) | ||
Liabilities settled | (5,218) | (22,472) | ||
Fresh start accounting adjustment | 0 | 0 | ||
Ending Balance | 356,742 | $ 354,326 | 328,695 | |
Current portion included in accrued expenses | (19,515) | (19,840) | ||
Noncurrent liability | 337,227 | $ 308,855 | ||
Predecessor | ||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||
Beginning Balance | $ 354,326 | 410,454 | ||
Accretion expense | 24,321 | $ 33,680 | ||
Obligations of divested operations | (14,702) | |||
Adjustments to the liability from changes in estimates | 3,003 | |||
Liabilities settled | (11,087) | |||
Fresh start accounting adjustment | (57,663) | |||
Ending Balance | 354,326 | $ 410,454 | ||
Current portion included in accrued expenses | (17,290) | |||
Noncurrent liability | $ 337,036 |
Asset Retirement Obligations (N
Asset Retirement Obligations (Narrative) (Details) $ in Millions | Dec. 31, 2017USD ($) |
asset retirement obligations [Line Items] | |
Surety bonds outstanding | $ 31.2 |
Letters of credit outstanding | 7.4 |
Cash collateral for surety bond | 2.6 |
Asset retirement obligations | |
asset retirement obligations [Line Items] | |
Surety bonds outstanding | $ 531.7 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary of Financial Assets and Liabilities Accounted for at Fair Value) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Assets: | ||
Investments in marketable securities | $ 155,846 | $ 90,209 |
Derivatives | 5,508 | 4,908 |
Liabilities: | ||
Derivatives | 7,217 | 101 |
Successor | ||
Assets: | ||
Investments in marketable securities | 155,846 | |
Derivatives | 7,339 | |
Total assets | 163,185 | |
Liabilities: | ||
Derivatives | 7,217 | |
Successor | Level 1 | ||
Assets: | ||
Investments in marketable securities | 64,100 | |
Derivatives | 0 | |
Total assets | 64,100 | |
Liabilities: | ||
Derivatives | 7,263 | |
Successor | Level 2 | ||
Assets: | ||
Investments in marketable securities | 91,746 | |
Derivatives | 1,985 | |
Total assets | 93,731 | |
Liabilities: | ||
Derivatives | 26 | |
Successor | Level 3 | ||
Assets: | ||
Derivatives | 5,354 | |
Total assets | 5,354 | |
Liabilities: | ||
Derivatives | $ (72) | |
Predecessor | ||
Assets: | ||
Investments in marketable securities | 90,209 | |
Derivatives | 4,908 | |
Total assets | 95,117 | |
Liabilities: | ||
Derivatives | 101 | |
Predecessor | Level 1 | ||
Assets: | ||
Investments in marketable securities | 2,137 | |
Derivatives | 262 | |
Total assets | 2,399 | |
Liabilities: | ||
Derivatives | (8) | |
Predecessor | Level 2 | ||
Assets: | ||
Investments in marketable securities | 88,072 | |
Total assets | 88,072 | |
Liabilities: | ||
Derivatives | 0 | |
Predecessor | Level 3 | ||
Assets: | ||
Derivatives | 4,646 | |
Total assets | 4,646 | |
Liabilities: | ||
Derivatives | $ 109 |
Fair Value Measurements (Sum102
Fair Value Measurements (Summary of Change in the Fair Values of Financial Instruments Categorized as Level 3) (Details) - Level 3 - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | |
Successor | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning of period | $ 3,842 | $ 4,537 | |
Realized and unrealized (gains) losses recognized in earnings, net | 926 | (2,305) | |
Included in other comprehensive income | 0 | 0 | |
Purchases | 1,225 | 4,910 | |
Issuances | (34) | (535) | |
Settlements | (1,422) | (1,181) | |
Ending balance | 4,537 | $ 3,842 | $ 5,426 |
Predecessor | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning of period | $ 3,842 | 2,432 | |
Realized and unrealized (gains) losses recognized in earnings, net | (1,686) | ||
Included in other comprehensive income | 0 | ||
Purchases | 5,021 | ||
Issuances | (488) | ||
Settlements | (1,437) | ||
Ending balance | $ 3,842 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | ||
Net unrealized gain related to level 3 instruments | $ 2.3 | |
Fair value of senior notes and other long-term debt, including amounts classified as current | $ 336.1 | $ 362.9 |
Capital Stock (Dividends) (Deta
Capital Stock (Dividends) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2017 | |
Equity [Abstract] | |||||
Dividends (in dollars per share) | $ 0.35 | $ 0.35 | $ 0.35 | $ 0 | $ 1.05 |
Amount (in thousands) | $ 7,606 | $ 8,200 | $ 8,563 | $ 0 | $ 24,369 |
(Narrative) (Details)
(Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Oct. 31, 2017 | Apr. 30, 2017 | |
Equity [Abstract] | |||
Authorized amount of share repurchase program | $ 500 | $ 300 | |
Incremental increase to authorized amount of share repurchase program | $ 200 | ||
Document Fiscal Year Focus | 2,017 | ||
Warrants exercised (in shares) | 65,499 | ||
Warrants issued (in shares) | 1,846,158 |
Capital Stock (Share repurchase
Capital Stock (Share repurchase activity) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2017 | |
Equity [Abstract] | |||||
Number of Shares | 1,058,381 | 2,208,133 | 710,701 | 0 | 3,977,215 |
Average Repurchase Price per Share (in dollars per share) | $ 79.73 | $ 75.49 | $ 71.82 | $ 0 | $ 75,960 |
Amount (in thousands) | $ 84,381 | $ 166,685 | $ 51,043 | $ 0 | $ 302,109 |
Stock-Based Compensation and107
Stock-Based Compensation and Other Incentive Plans (Narrative) (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Document Fiscal Year Focus | 2,017 | |||
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 1 | $ 10.4 | ||
Unrecognized share-based compensation expense | $ 32.4 | |||
Weighted-average period for recognition of unrecognized share-based compensation expense | 3 years | |||
Time Based Restricted Stock Units (RSUs) | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Time Based Restricted Stock Units (RSUs) | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Performance Based Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Performance Based Restricted Stock Units (RSUs) | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Volatility rate (percent) | 50.00% | |||
Performance Based Restricted Stock Units (RSUs) | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Volatility rate (percent) | 60.00% | |||
2016 Omnibus Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares authorized for incentive plan (in shares) | 3 | |||
Number of shares available for grant (in shares) | 2.4 | |||
Long Term Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Requisite service period | 3 years | |||
Compensation expense | 1.6 | $ 7.2 | $ 0.7 | $ 7.9 |
Amounts unpaid under long term incentive plan | $ 13.9 | $ 8.7 |
Stock-Based Compensation and108
Stock-Based Compensation and Other Incentive Plans (Restricted Stock Unit Activity) (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Time Based Awards | |
Restricted Stock Common Shares | |
Outstanding at beginning of period (in shares) | shares | 159 |
Granted (in shares) | shares | 92 |
Forfeited (in shares) | shares | (2) |
Canceled (in shares) | shares | (9) |
Outstanding at end of period (in shares) | shares | 240 |
Weighted Average Grant Date Fair Value | |
Outstanding weighted average grant date fair value at beginning of period (in dollars per share) | $ / shares | $ 78.60 |
Granted (in dollars per share) | $ / shares | $ 81.91 |
Forfeited (in dollars per share) | $ / shares | 78.60 |
Canceled (in dollars per share) | $ / shares | $ 78.60 |
Outstanding weighted average grant date fair value at end of period (in dollars per share) | $ / shares | $ 79.87 |
Performance Based Awards | |
Restricted Stock Common Shares | |
Outstanding at beginning of period (in shares) | shares | 225 |
Granted (in shares) | shares | 86 |
Forfeited (in shares) | shares | 0 |
Canceled (in shares) | shares | 0 |
Outstanding at end of period (in shares) | shares | 311 |
Weighted Average Grant Date Fair Value | |
Outstanding weighted average grant date fair value at beginning of period (in dollars per share) | $ / shares | $ 67.34 |
Granted (in dollars per share) | $ / shares | $ 101.38 |
Forfeited (in dollars per share) | $ / shares | 0 |
Canceled (in dollars per share) | $ / shares | $ 0 |
Outstanding weighted average grant date fair value at end of period (in dollars per share) | $ / shares | $ 76.75 |
Workers' Compensation Expens109
Workers' Compensation Expense (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Reimbursable liabilities | $ 20.3 | |
Insurance receivable, current | 3.3 | $ 0.8 |
Insurance receivable, noncurrent | $ 17 | |
Traumatic and other workers’ compensation claims | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Risk-free interest rate | 2.43% | |
Surety bonds and letters of credit outstanding | $ 123 |
Workers' Compensation Expens110
Workers' Compensation Expense (Worker's Compensation Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Successor | ||||
Accrued Workers' Compensation [Line Items] | ||||
Service cost | $ 1,583 | $ 6,320 | ||
Interest cost | 1,126 | 4,651 | ||
Net amortization | 0 | 0 | ||
Successor | Traumatic and other workers’ compensation claims | ||||
Accrued Workers' Compensation [Line Items] | ||||
Total workers’ compensation expense | 5,871 | 14,179 | ||
Successor | Total occupational disease | ||||
Accrued Workers' Compensation [Line Items] | ||||
Service cost | 1,583 | 6,320 | ||
Interest cost | 1,126 | 4,651 | ||
Total occupational disease | 2,709 | 10,971 | ||
Successor | Traumatic injury claims and assessments | ||||
Accrued Workers' Compensation [Line Items] | ||||
Traumatic injury claims and assessments | $ 3,162 | $ 3,208 | ||
Predecessor | ||||
Accrued Workers' Compensation [Line Items] | ||||
Service cost | $ 3,465 | $ 4,282 | ||
Interest cost | 3,184 | 3,944 | ||
Net amortization | 4,325 | 6,973 | ||
Predecessor | Traumatic and other workers’ compensation claims | ||||
Accrued Workers' Compensation [Line Items] | ||||
Total workers’ compensation expense | 17,602 | 31,980 | ||
Predecessor | Total occupational disease | ||||
Accrued Workers' Compensation [Line Items] | ||||
Service cost | 3,465 | |||
Interest cost | 3,184 | |||
Total occupational disease | 10,974 | 15,199 | ||
Predecessor | Traumatic injury claims and assessments | ||||
Accrued Workers' Compensation [Line Items] | ||||
Traumatic injury claims and assessments | $ 6,628 | $ 16,781 |
Workers' Compensation Expens111
Workers' Compensation Expense (Occupational Disease Costs Activity and Assumptions) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Jun. 30, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Self Insurance Reserve [Roll Forward] | |||||
Curtailments | $ 3,600 | ||||
Successor | |||||
Self Insurance Reserve [Roll Forward] | |||||
Service cost | $ 1,583 | $ 6,320 | |||
Interest cost | 1,126 | 4,651 | |||
Predecessor | |||||
Self Insurance Reserve [Roll Forward] | |||||
Service cost | $ 3,465 | $ 4,282 | |||
Interest cost | 3,184 | 3,944 | |||
Fresh start accounting adjustment | 20,794 | ||||
Occupational disease costs | |||||
Self Insurance Reserve [Roll Forward] | |||||
Beginning of period | 111,159 | ||||
End of period | 111,159 | 122,426 | |||
Occupational disease costs | Successor | |||||
Self Insurance Reserve [Roll Forward] | |||||
Beginning of period | 119,710 | 111,159 | |||
Service cost | 1,583 | 6,320 | |||
Interest cost | 1,126 | 4,651 | |||
Curtailments | 0 | (5,433) | |||
Actuarial (gain) loss | (9,675) | 12,242 | |||
Benefit and administrative payments | (1,585) | (6,513) | |||
Fresh start accounting adjustment | 0 | 0 | |||
End of period | 111,159 | 119,710 | $ 122,426 | ||
Discount rate (percent) | 3.66% | ||||
Occupational disease costs | Predecessor | |||||
Self Insurance Reserve [Roll Forward] | |||||
Beginning of period | $ 119,710 | $ 90,836 | 90,836 | ||
Service cost | 3,465 | ||||
Interest cost | 3,184 | ||||
Curtailments | 4,156 | ||||
Actuarial (gain) loss | 0 | ||||
Benefit and administrative payments | (3,728) | ||||
Fresh start accounting adjustment | 21,797 | ||||
End of period | $ 119,710 | $ 90,836 | |||
Discount rate (percent) | 4.31% | 3.80% |
Workers' Compensation Expens112
Workers' Compensation Expense (Schedule of Amounts Recognized in Balance Sheet) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2015 |
Accrued Workers' Compensation [Line Items] | ||||
Total obligations | $ 203,617 | $ 199,752 | ||
Less amount included in accrued expenses | 18,782 | 15,184 | ||
Noncurrent obligations | 184,835 | 184,568 | ||
Occupational disease costs | ||||
Accrued Workers' Compensation [Line Items] | ||||
Occupational disease costs | 122,426 | 111,159 | ||
Occupational disease costs | Successor | ||||
Accrued Workers' Compensation [Line Items] | ||||
Occupational disease costs | 122,426 | 111,159 | $ 119,710 | |
Occupational disease costs | Predecessor | ||||
Accrued Workers' Compensation [Line Items] | ||||
Occupational disease costs | $ 119,710 | $ 90,836 | ||
Traumatic and other workers’ compensation claims | ||||
Accrued Workers' Compensation [Line Items] | ||||
Occupational disease costs | $ 81,191 | $ 88,593 |
Employee Benefit Plans (Schedul
Employee Benefit Plans (Schedule of Defined Benefit Plans Disclosures) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Jun. 30, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | Oct. 02, 2016 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||||
Curtailments | $ 3,600 | |||||
CHANGE IN PLAN ASSETS | ||||||
Value of Plan Assets at beginning of year | $ 274,225 | |||||
Value of Plan Assets at end of year | $ 274,225 | 255,642 | ||||
Pension Benefits | ||||||
CHANGE IN PLAN ASSETS | ||||||
Value of Plan Assets at beginning of year | 252,278 | |||||
Value of Plan Assets at end of year | 252,278 | 240,028 | ||||
Successor | ||||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||||
Service cost | 1,583 | 6,320 | ||||
Interest cost | 1,126 | 4,651 | ||||
Successor | Pension Benefits | ||||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligations at beginning of year | 341,427 | 313,629 | ||||
Service cost | 0 | 0 | ||||
Interest cost | 2,768 | 11,169 | ||||
Divestitures (see Note 5 to the Consolidated Financial Statements) | 0 | (29,097) | ||||
Settlements | (135) | (1,532) | ||||
Curtailments | 0 | 0 | ||||
Benefits paid | (11,009) | (38,197) | ||||
Other-primarily actuarial (gain) loss | (19,422) | 14,126 | ||||
Fresh start accounting adjustment | 0 | 0 | ||||
Benefit Obligations at end of year | 313,629 | $ 341,427 | 270,098 | |||
CHANGE IN PLAN ASSETS | ||||||
Value of Plan Assets at beginning of year | 292,726 | 274,225 | ||||
Actual return on plan assets | (7,899) | 39,689 | ||||
Employer contributions | 407 | 429 | ||||
Benefits paid | (11,009) | (38,197) | ||||
Divestitures | 0 | (20,504) | ||||
Value of Plan Assets at end of year | 274,225 | 292,726 | 255,642 | |||
Accrued benefit cost | (39,404) | (14,456) | ||||
ITEMS NOT YET RECOGNIZED AS A COMPONENT OF NET PERIODIC BENEFIT COST | ||||||
Prior service credit (cost) | 0 | $ 0 | ||||
Accumulated gain | 16,178 | 6,751 | ||||
Total not yet recognized as a component of net periodic benefit cost | 16,178 | 6,751 | ||||
BALANCE SHEET AMOUNTS | ||||||
Current liability | (420) | (520) | ||||
Noncurrent liability | (14,036) | (38,884) | ||||
Liability, Defined Benefit Plan | (14,456) | (39,404) | ||||
Successor | Other Postretirement Benefits | ||||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligations at beginning of year | 120,311 | 111,867 | ||||
Service cost | 180 | 671 | ||||
Interest cost | 978 | 4,150 | ||||
Divestitures (see Note 5 to the Consolidated Financial Statements) | 0 | 0 | ||||
Settlements | 0 | 0 | ||||
Curtailments | 0 | (520) | ||||
Benefits paid | (1,962) | (8,152) | ||||
Other-primarily actuarial (gain) loss | (7,640) | 2,503 | ||||
Fresh start accounting adjustment | 0 | 0 | ||||
Benefit Obligations at end of year | 111,867 | 120,311 | 110,519 | |||
CHANGE IN PLAN ASSETS | ||||||
Value of Plan Assets at beginning of year | 0 | 0 | ||||
Actual return on plan assets | 0 | |||||
Employer contributions | 1,962 | 8,152 | ||||
Benefits paid | (1,962) | (8,152) | ||||
Divestitures | 0 | 0 | ||||
Value of Plan Assets at end of year | 0 | 0 | 0 | |||
Accrued benefit cost | (111,867) | (110,519) | ||||
ITEMS NOT YET RECOGNIZED AS A COMPONENT OF NET PERIODIC BENEFIT COST | ||||||
Prior service credit (cost) | 0 | 0 | ||||
Accumulated gain | 5,137 | 7,640 | ||||
Total not yet recognized as a component of net periodic benefit cost | 5,137 | 7,640 | ||||
BALANCE SHEET AMOUNTS | ||||||
Current liability | (8,150) | (10,422) | ||||
Noncurrent liability | (102,369) | (101,445) | ||||
Liability, Defined Benefit Plan | $ (110,519) | $ (111,867) | ||||
Predecessor | ||||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||||
Service cost | 3,465 | $ 4,282 | ||||
Interest cost | 3,184 | 3,944 | ||||
Fresh start accounting adjustment | 20,794 | |||||
Predecessor | Pension Benefits | ||||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligations at beginning of year | 341,427 | 301,292 | 301,292 | |||
Service cost | 0 | 9 | ||||
Interest cost | 9,338 | 14,604 | ||||
Divestitures (see Note 5 to the Consolidated Financial Statements) | 0 | |||||
Settlements | 0 | |||||
Curtailments | 454 | |||||
Benefits paid | (8,699) | |||||
Other-primarily actuarial (gain) loss | 0 | |||||
Fresh start accounting adjustment | 39,042 | |||||
Benefit Obligations at end of year | 341,427 | 301,292 | ||||
CHANGE IN PLAN ASSETS | ||||||
Value of Plan Assets at beginning of year | 292,726 | 273,499 | 273,499 | |||
Actual return on plan assets | 27,811 | |||||
Employer contributions | 115 | |||||
Benefits paid | (8,699) | |||||
Divestitures | 0 | |||||
Value of Plan Assets at end of year | 292,726 | 273,499 | ||||
Accrued benefit cost | (48,701) | |||||
ITEMS NOT YET RECOGNIZED AS A COMPONENT OF NET PERIODIC BENEFIT COST | ||||||
Prior service credit (cost) | 0 | |||||
Accumulated gain | 0 | |||||
Total not yet recognized as a component of net periodic benefit cost | 0 | |||||
BALANCE SHEET AMOUNTS | ||||||
Current liability | (420) | |||||
Noncurrent liability | (48,281) | |||||
Liability, Defined Benefit Plan | (48,701) | |||||
Predecessor | Other Postretirement Benefits | ||||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligations at beginning of year | 120,311 | 103,460 | 103,460 | |||
Service cost | 393 | 866 | ||||
Interest cost | 3,223 | 1,904 | ||||
Divestitures (see Note 5 to the Consolidated Financial Statements) | 0 | |||||
Settlements | 0 | |||||
Curtailments | 714 | |||||
Benefits paid | (8,273) | |||||
Other-primarily actuarial (gain) loss | 0 | |||||
Benefit Obligations at end of year | 120,311 | 103,460 | ||||
CHANGE IN PLAN ASSETS | ||||||
Value of Plan Assets at beginning of year | $ 0 | $ 0 | 0 | |||
Actual return on plan assets | 0 | |||||
Employer contributions | 8,273 | |||||
Benefits paid | (8,273) | |||||
Divestitures | 0 | |||||
Value of Plan Assets at end of year | 0 | $ 0 | ||||
Accrued benefit cost | (120,311) | |||||
ITEMS NOT YET RECOGNIZED AS A COMPONENT OF NET PERIODIC BENEFIT COST | ||||||
Prior service credit (cost) | 0 | |||||
Accumulated gain | 0 | |||||
Total not yet recognized as a component of net periodic benefit cost | 0 | |||||
BALANCE SHEET AMOUNTS | ||||||
Current liability | (8,352) | |||||
Noncurrent liability | (111,959) | |||||
Liability, Defined Benefit Plan | $ (120,311) |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Health care cost trend rate assumed | 6.20% | |||
Ultimate trend rate | 4.50% | |||
Effect of one percentage point increase on postretirement benefit obligation | $ 11.6 | |||
Effect of one percentage point increase on postretirement benefit cost | $ 0.4 | |||
Equity securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations (percent) | 39.00% | |||
Fixed income securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations (percent) | 61.00% | |||
Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Accumulated benefit obligation of pension plans | $ 313.6 | $ 270.1 | ||
Pension Contributions | 0.4 | |||
Other postretirement benefits payments | $ 3.5 | $ 13.8 | $ 18 | $ 20.5 |
Employee Benefit Plans (Sche115
Employee Benefit Plans (Schedule of Net Benefit Costs) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Successor | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 1,583 | $ 6,320 | ||
Interest cost | 1,126 | 4,651 | ||
Successor | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0 | 0 | ||
Interest cost | 2,768 | 11,169 | ||
Curtailments | 0 | 0 | ||
Settlements | (135) | (1,532) | ||
Expected return on plan assets | (4,770) | (16,498) | ||
Amortization of prior service credits | 0 | 0 | ||
Amortization of other actuarial losses (gains) | 0 | 0 | ||
Total occupational disease | (2,137) | (6,861) | ||
Successor | Other Postretirement Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 180 | 671 | ||
Interest cost | 978 | 4,150 | ||
Curtailments | 0 | (520) | ||
Settlements | 0 | 0 | ||
Expected return on plan assets | 0 | 0 | ||
Amortization of prior service credits | 0 | 0 | ||
Amortization of other actuarial losses (gains) | 0 | 0 | ||
Total occupational disease | $ 1,158 | $ 4,301 | ||
Predecessor | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 3,465 | $ 4,282 | ||
Interest cost | 3,184 | 3,944 | ||
Predecessor | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0 | 9 | ||
Interest cost | 9,338 | 14,604 | ||
Curtailments | 454 | 0 | ||
Settlements | 0 | 2,656 | ||
Expected return on plan assets | (13,623) | (20,367) | ||
Amortization of prior service credits | 0 | 0 | ||
Amortization of other actuarial losses (gains) | 3,973 | 8,850 | ||
Total occupational disease | 142 | 5,752 | ||
Predecessor | Other Postretirement Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 393 | 866 | ||
Interest cost | 3,223 | 1,904 | ||
Curtailments | (970) | 0 | ||
Settlements | 0 | 0 | ||
Expected return on plan assets | 0 | 0 | ||
Amortization of prior service credits | (7,854) | (8,335) | ||
Amortization of other actuarial losses (gains) | (849) | (2,109) | ||
Total occupational disease | $ (6,057) | $ (7,674) |
Employee Benefit Plans (Sche116
Employee Benefit Plans (Schedule of Assumptions Used to Calculate Benefit Obligations) (Details) | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 01, 2016 |
Successor | Pension Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 395.00% | ||
Successor | Other Postretirement Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 349.00% | 393.00% | |
Predecessor | Pension Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 339.00% | ||
Predecessor | Other Postretirement Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 337.00% | ||
Maximum | Successor | Pension Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 3.49% | ||
Minimum | Successor | Pension Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 3.27% |
Employee Benefit Plans (Sche117
Employee Benefit Plans (Schedule of Assumptions Used) (Details) | Oct. 01, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 |
Successor | Pension Benefits | |||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||||||
Discount rate | 3.95% | 3.39% | 377.00% | ||||||||
Expected return on plan assets | 685.00% | 620.00% | |||||||||
Successor | Other Postretirement Benefits | |||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||||||
Discount rate | 337.00% | 385.00% | |||||||||
Predecessor | Pension Benefits | |||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||||||
Discount rate | 4.60% | 3.80% | 4.41% | 4.61% | 4.59% | 4.15% | |||||
Expected return on plan assets | 685.00% | 700.00% | |||||||||
Predecessor | Other Postretirement Benefits | |||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||||||
Discount rate | 391.00% | ||||||||||
Maximum | Predecessor | Other Postretirement Benefits | |||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||||||
Discount rate | 4.57% | ||||||||||
Minimum | Predecessor | Other Postretirement Benefits | |||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||||||
Discount rate | 3.80% |
Employee Benefit Plans (Sche118
Employee Benefit Plans (Schedule of Allocation of Plan Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | $ 255,642 | $ 274,225 |
Other liabilities | (9,605) | (22,170) |
Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 92,783 | 77,022 |
Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 128,645 | 156,015 |
Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 18,600 | 19,241 |
U.S. small-cap | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 5,064 | 13,520 |
U.S. small-cap | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 5,064 | 13,520 |
U.S. mid-cap | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 22,640 | 29,687 |
U.S. mid-cap | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 6,017 | 9,422 |
U.S. mid-cap | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 16,623 | 20,265 |
U.S. large-cap | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 43,232 | 70,226 |
U.S. large-cap | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 21,416 | 34,107 |
U.S. large-cap | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 21,816 | 36,119 |
Non-U.S. | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 10,115 | 18,937 |
Non-U.S. | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 10,115 | 18,937 |
U.S. government securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 66,922 | 26,519 |
U.S. government securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 60,286 | 19,973 |
U.S. government securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 6,636 | 6,546 |
Non-U.S. government securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 4,050 | 1,567 |
Non-U.S. government securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 4,050 | 1,567 |
U.S. governement asset and mortgage backed securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 2,440 | 1,074 |
U.S. governement asset and mortgage backed securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 2,440 | 1,074 |
Corporate fixed income | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 54,679 | 58,191 |
Corporate fixed income | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 54,679 | 58,191 |
State and local government securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 3,829 | 6,406 |
State and local government securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 3,829 | 6,406 |
Other investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 27,057 | 26,151 |
Other investments | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 8,457 | 6,910 |
Other investments | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 18,600 | 19,241 |
Other fixed income | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 16,646 | 35,519 |
Short-term investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | 8,573 | 8,598 |
Pension Benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total fair value of plan assets | $ 240,028 | $ 252,278 |
Employee Benefit Plans (Summary
Employee Benefit Plans (Summary of Estimated Future Benefit Payments) (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2,018 | $ 17,614 |
2,019 | 17,834 |
2,020 | 18,174 |
2,021 | 18,635 |
2,022 | 19,235 |
Next 5 years | 83,071 |
Total | 174,563 |
Other Postretirement Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2,018 | 12,381 |
2,019 | 12,549 |
2,020 | 12,990 |
2,021 | 13,239 |
2,022 | 13,423 |
Next 5 years | 62,854 |
Total | $ 127,436 |
Earnings (Loss) Per Common S120
Earnings (Loss) Per Common Share (Weighted Average Number of Shares) (Details) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Basic weighted average shares outstanding (in shares) | 25,002 | 23,725 | ||
Diluted weighted average shares outstanding | 25,469 | 24,240 | ||
Successor | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Basic weighted average shares outstanding (in shares) | 25,002 | 23,725 | ||
Effect of dilutive securities | 467 | 515 | ||
Diluted weighted average shares outstanding | 25,469 | 24,240 | ||
Predecessor | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Basic weighted average shares outstanding (in shares) | 21,293 | 21,285 | ||
Effect of dilutive securities | 20 | 0 | ||
Diluted weighted average shares outstanding | 21,313 | 21,285 |
Leases (Schedule of Lease Minim
Leases (Schedule of Lease Minimum Payments) (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Operating leases | |
lease payments [Line Items] | |
2,018 | $ 5,936 |
2,019 | 4,655 |
2,020 | 2,260 |
2,021 | 1,985 |
2,022 | 2,024 |
Thereafter | 8,292 |
Total | 25,152 |
Royalties | |
lease payments [Line Items] | |
2,018 | 3,582 |
2,019 | 5,926 |
2,020 | 6,953 |
2,021 | 7,216 |
2,022 | 7,003 |
Thereafter | 34,371 |
Total | $ 65,051 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Leases [Abstract] | ||||
Rental expense | $ 5 | $ 19.4 | $ 19.2 | $ 28.4 |
Royalty expense | $ 45.3 | $ 116.4 | 167.4 | $ 227.7 |
Surety bonds outstanding | $ 31.2 |
Risk Concentrations (Narrative)
Risk Concentrations (Narrative) (Details) $ in Thousands, T in Millions | 12 Months Ended | |
Dec. 31, 2017USD ($)T | Dec. 31, 2016USD ($) | |
Concentration Risk [Line Items] | ||
Trade accounts receivable | $ 172,604 | $ 184,483 |
Tons of coal sold | T | 98.2 | |
Percentage of tons sold under long term contract | 66.00% | |
Long term contracts percentage of company revenue | 55.00% | |
Long-term contracts, life term, minimum | 1 year | |
Long-term contracts, life term, maximum | 4 years | |
Electric utilities | ||
Concentration Risk [Line Items] | ||
Receivables | $ 72,900 | $ 96,000 |
Percentage of total trade accounts receivable | 42.00% | 52.00% |
Domestic and foreign steel producers | ||
Concentration Risk [Line Items] | ||
Trade accounts receivable | $ 99,400 | $ 88,000 |
Trade receivables, percentage | 58.00% | 48.00% |
Risk Concentrations (Schedule o
Risk Concentrations (Schedule of Foreign Revenues) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Successor | ||||
foreign revenue [Line Items] | ||||
Revenues | $ 174,097 | $ 793,594 | ||
Successor | Europe | ||||
foreign revenue [Line Items] | ||||
Revenues | 61,408 | 388,926 | ||
Successor | Asia | ||||
foreign revenue [Line Items] | ||||
Revenues | 55,634 | 264,503 | ||
Successor | North America | ||||
foreign revenue [Line Items] | ||||
Revenues | 43,831 | 88,145 | ||
Successor | Central and South America | ||||
foreign revenue [Line Items] | ||||
Revenues | 13,224 | 30,982 | ||
Successor | Africa | ||||
foreign revenue [Line Items] | ||||
Revenues | 0 | 14,901 | ||
Successor | Brokered Sales | ||||
foreign revenue [Line Items] | ||||
Revenues | $ 0 | $ 6,137 | ||
Predecessor | ||||
foreign revenue [Line Items] | ||||
Revenues | $ 280,879 | $ 395,323 | ||
Predecessor | Europe | ||||
foreign revenue [Line Items] | ||||
Revenues | 113,888 | 170,314 | ||
Predecessor | Asia | ||||
foreign revenue [Line Items] | ||||
Revenues | 68,536 | 96,523 | ||
Predecessor | North America | ||||
foreign revenue [Line Items] | ||||
Revenues | 56,594 | 40,315 | ||
Predecessor | Central and South America | ||||
foreign revenue [Line Items] | ||||
Revenues | 41,861 | 55,323 | ||
Predecessor | Africa | ||||
foreign revenue [Line Items] | ||||
Revenues | 0 | 0 | ||
Predecessor | Brokered Sales | ||||
foreign revenue [Line Items] | ||||
Revenues | $ 0 | $ 32,848 |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | ||
Oct. 01, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | ||||
Amount accrued | $ 0.2 | $ 2.2 | ||
Amount accrued current portion | 0.2 | $ 2.2 | ||
2,017 | $ 97.2 | |||
Transportation capacity agreements | $ 1.6 | $ 52.9 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | Feb. 13, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2017 |
Subsequent Event [Line Items] | ||||||
Dividends (in dollars per share) | $ 0.35 | $ 0.35 | $ 0.35 | $ 0 | $ 1.05 | |
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Dividends (in dollars per share) | $ 0.40 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017Segment | |
Segment Reporting [Abstract] | |
Distinct lines of business | 2 |
Segment Information (Schedule o
Segment Information (Schedule of Operating Segment Results) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $ 575,688 | $ 2,324,623 | |||||||||
Depreciation, depletion and amortization | 32,604 | 122,464 | |||||||||
Accretion on asset retirement obligations | 7,634 | 30,209 | |||||||||
Assets | $ 1,979,632 | 2,136,597 | 1,979,632 | ||||||||
Capital expenditures | 15,214 | 59,205 | |||||||||
Successor | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 560,244 | 575,688 | 2,324,623 | ||||||||
Adjusted EBITDAR | 94,497 | 417,757 | |||||||||
Depreciation, depletion and amortization | 32,604 | 122,464 | |||||||||
Accretion on asset retirement obligations | 7,634 | 30,209 | |||||||||
Assets | 2,136,597 | ||||||||||
Capital expenditures | 15,214 | 59,205 | |||||||||
Successor | Operating segments | PRB | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 275,703 | 1,024,197 | |||||||||
Adjusted EBITDAR | 55,765 | 158,882 | |||||||||
Depreciation, depletion and amortization | 9,949 | 36,349 | |||||||||
Accretion on asset retirement obligations | 5,049 | 20,160 | |||||||||
Assets | 390,665 | 446,775 | 390,665 | ||||||||
Capital expenditures | 934 | 6,212 | |||||||||
Successor | Operating segments | MET | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 200,377 | 887,839 | |||||||||
Adjusted EBITDAR | 30,819 | 243,616 | |||||||||
Depreciation, depletion and amortization | 18,287 | 70,896 | |||||||||
Accretion on asset retirement obligations | 528 | 2,000 | |||||||||
Assets | 548,476 | 576,793 | 548,476 | ||||||||
Capital expenditures | 13,329 | 32,678 | |||||||||
Successor | Operating segments | Other Thermal | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 97,382 | 396,504 | |||||||||
Adjusted EBITDAR | 31,159 | 102,006 | |||||||||
Depreciation, depletion and amortization | 3,911 | 13,588 | |||||||||
Accretion on asset retirement obligations | 540 | 2,161 | |||||||||
Assets | 134,397 | 129,602 | 134,397 | ||||||||
Capital expenditures | 684 | 11,901 | |||||||||
Successor | Corporate, Other and Eliminations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 2,226 | 16,083 | |||||||||
Adjusted EBITDAR | (23,246) | (86,747) | |||||||||
Depreciation, depletion and amortization | 457 | 1,631 | |||||||||
Accretion on asset retirement obligations | 1,517 | 5,888 | |||||||||
Assets | $ 906,094 | 983,427 | 906,094 | ||||||||
Capital expenditures | $ 267 | $ 8,414 | |||||||||
Predecessor | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $ 613,538 | $ 549,866 | $ 600,975 | $ 550,305 | $ 420,298 | $ 428,106 | $ 1,398,709 | $ 2,573,260 | |||
Adjusted EBITDAR | 87,303 | 283,797 | |||||||||
Depreciation, depletion and amortization | 191,581 | 379,345 | |||||||||
Accretion on asset retirement obligations | 24,321 | 33,680 | |||||||||
Assets | 2,123,829 | 5,041,881 | |||||||||
Capital expenditures | 82,434 | 119,024 | |||||||||
Predecessor | Operating segments | PRB | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 726,747 | 1,448,440 | |||||||||
Adjusted EBITDAR | 113,185 | 281,039 | |||||||||
Depreciation, depletion and amortization | 100,151 | 176,257 | |||||||||
Accretion on asset retirement obligations | 16,940 | 22,156 | |||||||||
Assets | 456,711 | 1,648,916 | |||||||||
Capital expenditures | 612 | 21,228 | |||||||||
Predecessor | Operating segments | MET | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 437,069 | 637,941 | |||||||||
Adjusted EBITDAR | 11,851 | 70,450 | |||||||||
Depreciation, depletion and amortization | 55,311 | 133,463 | |||||||||
Accretion on asset retirement obligations | 1,765 | 2,267 | |||||||||
Assets | 619,154 | 772,439 | |||||||||
Capital expenditures | 17,296 | 24,787 | |||||||||
Predecessor | Operating segments | Other Thermal | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 213,052 | 428,809 | |||||||||
Adjusted EBITDAR | 31,448 | 42,734 | |||||||||
Depreciation, depletion and amortization | 32,310 | 47,786 | |||||||||
Accretion on asset retirement obligations | 1,988 | 2,658 | |||||||||
Assets | 131,173 | 366,610 | |||||||||
Capital expenditures | 3,895 | 11,277 | |||||||||
Predecessor | Corporate, Other and Eliminations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 21,841 | 58,070 | |||||||||
Adjusted EBITDAR | (69,181) | (110,426) | |||||||||
Depreciation, depletion and amortization | 3,809 | 21,839 | |||||||||
Accretion on asset retirement obligations | 3,628 | 6,599 | |||||||||
Assets | 916,791 | 2,253,916 | |||||||||
Capital expenditures | $ 60,631 | $ 61,732 |
Segment Information (Reconcilia
Segment Information (Reconciliation of Segment Income from Operations to Consolidated Income Before Income Taxes) (Details) - USD ($) $ in Thousands | Mar. 07, 2017 | Oct. 01, 2016 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2015 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 |
Segment Reporting Information [Line Items] | |||||||||||||||||
Income (loss) before income taxes | $ 34,605 | $ 203,195 | |||||||||||||||
Interest expense, net | 10,754 | 24,256 | |||||||||||||||
Depreciation, depletion and amortization | 32,604 | 122,464 | |||||||||||||||
Accretion on asset retirement obligations | 7,634 | 30,209 | |||||||||||||||
Amortization of sales contracts, net | 796 | 53,985 | |||||||||||||||
Asset impairment and mine closure costs | 0 | $ 500,000 | $ 2,100,000 | $ 19,100 | $ 2,600,000 | 0 | |||||||||||
Losses from disposed operations resulting from Patriot Coal bankruptcy | 0 | 0 | |||||||||||||||
Gain on sale of Lone Mountain Processing, Inc. | 0 | (21,297) | |||||||||||||||
Net loss resulting from early retirement of debt and debt restructuring | $ 0 | 0 | 2,547 | ||||||||||||||
Successor | |||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||
Income (loss) before income taxes | 34,605 | 203,195 | |||||||||||||||
Interest expense, net | 10,754 | 24,256 | |||||||||||||||
Depreciation, depletion and amortization | 32,604 | 122,464 | |||||||||||||||
Accretion on asset retirement obligations | 7,634 | 30,209 | |||||||||||||||
Amortization of sales contracts, net | 796 | 53,985 | |||||||||||||||
Asset impairment and mine closure costs | 0 | 0 | |||||||||||||||
Losses from disposed operations resulting from Patriot Coal bankruptcy | 0 | 0 | |||||||||||||||
Gain on sale of Lone Mountain Processing, Inc. | 0 | (21,297) | |||||||||||||||
Net loss resulting from early retirement of debt and debt restructuring | 0 | 2,547 | |||||||||||||||
Reorganization items, net | $ (494) | 759 | 2,398 | ||||||||||||||
Fresh start coal inventory fair value adjustment | 7,345 | 0 | |||||||||||||||
Adjusted EBITDAR | 94,497 | $ 417,757 | |||||||||||||||
Predecessor | |||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||
Income (loss) before income taxes | $ 1,237,455 | $ (3,286,522) | |||||||||||||||
Interest expense, net | 133,235 | 393,549 | |||||||||||||||
Depreciation, depletion and amortization | 191,581 | 379,345 | |||||||||||||||
Accretion on asset retirement obligations | 24,321 | 33,680 | |||||||||||||||
Amortization of sales contracts, net | (728) | (8,811) | |||||||||||||||
Asset impairment and mine closure costs | $ 46 | $ 43,701 | $ 85,520 | 129,267 | 2,628,303 | ||||||||||||
Losses from disposed operations resulting from Patriot Coal bankruptcy | 0 | 116,343 | |||||||||||||||
Gain on sale of Lone Mountain Processing, Inc. | 0 | 0 | |||||||||||||||
Net loss resulting from early retirement of debt and debt restructuring | 2,213 | 27,910 | |||||||||||||||
Reorganization items, net | $ (1,676,091) | $ 43 | $ 21 | $ 2,828 | $ 759 | $ 20,904 | $ 21,271 | $ 3,875 | (1,630,041) | 0 | |||||||
Fresh start coal inventory fair value adjustment | 0 | 0 | |||||||||||||||
Adjusted EBITDAR | $ 87,303 | $ 283,797 |
Quarterly Selected Financial130
Quarterly Selected Financial Data (unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | Oct. 01, 2016 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2015 | Oct. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2015 |
Class of Stock [Line Items] | ||||||||||||||||
Revenues | $ 575,688 | $ 2,324,623 | ||||||||||||||
Asset impairment and mine closure costs | 0 | $ 500,000 | $ 2,100,000 | $ 19,100 | $ 2,600,000 | 0 | ||||||||||
Income (loss) from operations | 46,118 | 232,396 | ||||||||||||||
Net income (loss) | $ 33,449 | $ 238,450 | ||||||||||||||
Diluted earnings (loss) per common share (in dollars per share) | $ 1.31 | $ 9.84 | ||||||||||||||
Predecessor | ||||||||||||||||
Class of Stock [Line Items] | ||||||||||||||||
Revenues | $ 613,538 | $ 549,866 | $ 600,975 | $ 550,305 | $ 420,298 | $ 428,106 | $ 1,398,709 | $ 2,573,260 | ||||||||
Gross profit | 65,100 | 62,577 | 85,747 | 31,042 | (56,469) | (53,325) | ||||||||||
Asset impairment and mine closure costs | 46 | 43,701 | 85,520 | 129,267 | 2,628,303 | |||||||||||
Income (loss) from operations | 72,489 | 42,692 | 66,264 | 11,795 | (110,521) | (158,412) | (257,138) | (2,865,063) | ||||||||
Reorganization items, net | $ 1,676,091 | (43) | (21) | (2,828) | $ (759) | (20,904) | (21,271) | (3,875) | 1,630,041 | 0 | ||||||
Net income (loss) | $ 1,676,091 | $ 68,351 | $ 37,160 | $ 51,668 | $ (51,421) | $ (175,887) | $ (206,702) | $ 1,242,081 | $ (2,913,142) | |||||||
Diluted earnings (loss) per common share (in dollars per share) | $ 78.66 | $ 2.83 | $ 1.48 | $ 2.03 | $ (2.41) | $ (8.26) | $ (9.71) | $ 58.28 | $ (136.86) | |||||||
Successor | ||||||||||||||||
Class of Stock [Line Items] | ||||||||||||||||
Revenues | $ 560,244 | 575,688 | $ 2,324,623 | |||||||||||||
Gross profit | 62,937 | 64,458 | ||||||||||||||
Asset impairment and mine closure costs | 0 | 0 | ||||||||||||||
Income (loss) from operations | 50,951 | 46,118 | ||||||||||||||
Reorganization items, net | 494 | (759) | $ (2,398) | |||||||||||||
Net income (loss) | $ 81,271 | $ 33,449 | ||||||||||||||
Diluted earnings (loss) per common share (in dollars per share) | $ 3.64 | $ 1.31 |
Valuation and Qualifying Acc131
Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2015 | |
Reserves deducted from asset accounts: | |||
Balance at End of Year | $ 610,500 | ||
Successor | Accounts receivable and other receivables | |||
Reserves deducted from asset accounts: | |||
Balance at Beginning of Year | $ 0 | 0 | |
Additions (Reductions) Charged to Costs and Expenses | 0 | ||
Charged to Other Accounts | 0 | ||
Deductions | 0 | ||
Balance at End of Year | 0 | 0 | |
Successor | Current assets — supplies and inventory | |||
Reserves deducted from asset accounts: | |||
Balance at Beginning of Year | 0 | 0 | |
Additions (Reductions) Charged to Costs and Expenses | 0 | 365 | |
Charged to Other Accounts | 0 | (17) | |
Deductions | 0 | 87 | |
Balance at End of Year | 0 | 261 | |
Successor | Deferred income taxes | |||
Reserves deducted from asset accounts: | |||
Balance at Beginning of Year | 1,033,982 | 1,021,553 | |
Additions (Reductions) Charged to Costs and Expenses | (12,429) | (410,982) | |
Charged to Other Accounts | 0 | ||
Deductions | 0 | ||
Balance at End of Year | 1,021,553 | $ 610,571 | |
Predecessor | Accounts receivable and other receivables | |||
Reserves deducted from asset accounts: | |||
Balance at Beginning of Year | 0 | $ 159 | |
Additions (Reductions) Charged to Costs and Expenses | 0 | 7,683 | |
Charged to Other Accounts | 0 | 0 | |
Deductions | 7,842 | 0 | |
Balance at End of Year | 7,842 | ||
Predecessor | Current assets — supplies and inventory | |||
Reserves deducted from asset accounts: | |||
Balance at Beginning of Year | 0 | 6,625 | |
Additions (Reductions) Charged to Costs and Expenses | 844 | 431 | |
Charged to Other Accounts | (5,060) | 0 | |
Deductions | 1,775 | 1,065 | |
Balance at End of Year | 5,991 | ||
Predecessor | Deferred income taxes | |||
Reserves deducted from asset accounts: | |||
Balance at Beginning of Year | 1,033,982 | 270,251 | |
Additions (Reductions) Charged to Costs and Expenses | (101,417) | 865,148 | |
Charged to Other Accounts | 0 | ||
Deductions | $ 0 | 0 | |
Balance at End of Year | $ 1,135,399 |