Peabody Energy Corporation (BTUUQ) - OTCPK - Current
  • Wed, Mar. 16, 12:50 PM
    | Wed, Mar. 16, 12:50 PM | 2 Comments
  • Wed, Mar. 16, 11:57 AM
    • The bad news coming from Peabody Energy and other coal companies could damage Joy Global (JOY -0.3%), as Axiom Capital analyst Gordon Johnson notes that 59% of JOY's 2015 revenues came from the sale of equipment to coal miners globally.
    • "Along these lines, we feel the announcement by BTU today could have incrementally negative implications for JOY’s ability to achieve its FY 2016 guidance,” Johnson writes.
    • According to Johnson, JOY’s OEM revenues historically have an 87% correlation to the mining capex of the big five U.S. coal miners: Peabody (BTU -43.6%), Arch Coal (ACI -3.4%), Consol Energy (CNX -1.4%), Alliance Resource Partners (ARLP -0.1%) and Cliff Natural Resources (CLF -8.4%).
    | Wed, Mar. 16, 11:57 AM | 6 Comments
  • Wed, Mar. 16, 9:15 AM
    | Wed, Mar. 16, 9:15 AM | 12 Comments
  • Wed, Mar. 16, 7:45 AM
    • Peabody Energy (NYSE:BTU) -35.5% premarket after saying it may have to seek Chapter 11 bankruptcy protection, as it delays an interest payment due yesterday.
    • BTU's ability to operate as a "going concern” is in doubt, the company says in its 10-K filing, adding that it had a substantial loss from operations and negative cash flow in 2015 and it expects to continue to incur losses this year.
    • BTU says it is exercising the 30-day grace period with respect to a $21.1M interest payment due March 15 on its 6.5% notes due September 2020 and a $50M interest payment due March 15 on its 10% senior secured second lien notes due March 2022.
    | Wed, Mar. 16, 7:45 AM | 39 Comments
  • Mon, Mar. 14, 12:45 PM
    | Mon, Mar. 14, 12:45 PM | 4 Comments
  • Mon, Mar. 14, 9:17 AM
    | Mon, Mar. 14, 9:17 AM | 2 Comments
  • Fri, Mar. 11, 2:50 PM
    • Peabody Energy (BTU +2.4%) shares and bonds have been surging since it emerged last week that one of its first lien lenders was pushing the company to restructure its $6.4B of debt in court, Bloomberg reports.
    • BTU's $650M of 6.5% senior unsecured notes maturing in September 2020 rose $0.02 to trade at $0.062 on the dollar earlier today, the highest since Feb. 5, and its $1B of 10% notes due 2022 jumped to the highest level in the past month at $0.08375 on the dollar, according to the report.
    • Junk bonds in general are rallying, with $1.8B poring in during the week ended March 9 following a record $5B in the previous week.
    | Fri, Mar. 11, 2:50 PM | 146 Comments
  • Wed, Mar. 9, 12:47 PM
    | Wed, Mar. 9, 12:47 PM | 3 Comments
  • Tue, Mar. 8, 9:17 AM
    | Tue, Mar. 8, 9:17 AM | 3 Comments
  • Tue, Mar. 1, 8:59 AM
    • Peabody Energy (NYSE:BTU) +3.3% premarket after disclosing it has held discussions about proposed debt packages with one of its first lien lenders, as it seeks ways to preserve liquidity and cut its debt.
    • BTU says it expressed its preference for pursuing liability management transactions such as the exchanges, while the lender expressed concern that the company was not pursuing an in-court restructuring, according to an SEC filing.
    • Separately, BTU also says it will delay filing its 10-K report, and that if its pending sale of mines in New Mexico and Colorado to Bowie Resource Holdings - scheduled to close during Q1 - were not completed before issuing year-end financial statements, the company believes its accounting firm would be required to include "going concern" language.
    | Tue, Mar. 1, 8:59 AM | 29 Comments
  • Tue, Feb. 23, 3:46 PM
    • Coal companies must face the costs of mine cleanup even as they get pushed toward bankruptcy, U.S. Interior Secretary Jewell tells a Senate committee.
    • Bankrupt Alpha Natural Resources (OTCPK:ANRZQ) and Arch Coal (NYSE:ACI) have sought to escape cleanup liabilities in bankruptcy court, which Jewell says the will not tolerate.
    • Of the ~$2B in future cleanup costs facing Peabody Energy (BTU -1.6%), nearly 75% of the total is self-bonded and has no concrete backing, and investors worry that any call to replace self-bonds with costly surety bonds could push the struggling miner into bankruptcy.
    | Tue, Feb. 23, 3:46 PM | 22 Comments
  • Mon, Feb. 22, 11:35 AM
    • Coal states must decide within days whether Peabody Energy (BTU +6.3%) can continue to tap the "self-bonding" subsidy that has lowered its mine cleanup insurance costs for years, U.S. regulators said last week.
    • The Office of Surface Mining Reclamation and Enforcement called on Colorado, New Mexico, Wyoming, Illinois and Indiana regulators to rule by early March on BTU's use of the self-bonding program.
    • If regulators revoke BTU's right to self bonding, the company may need private financing to underwrite ~$1.38B in liabilities that do not now have concrete backing.
    | Mon, Feb. 22, 11:35 AM | 31 Comments
  • Mon, Feb. 22, 8:11 AM
    • Peabody Energy’s (NYSE:BTU) plan to sell three mines to Bowie Resource Partners has hit a snag amid slumping coal prices and souring sentiment in credit markets, Bloomberg reports.
    • Bowie, which began a $650M loan sale last month to help fund the deal, has put the debt financing plan on hold as the parties try to renegotiate the terms, according to the report.
    • Asset sales are vital to BTU as the miner struggles to outlast the severe industry downturn.
    | Mon, Feb. 22, 8:11 AM | 30 Comments
  • Thu, Feb. 18, 12:44 PM
    • Peabody Energy (BTU -7.2%) is lower again after Barclays cuts it price target on BTU to $1 from $7 while reiterating its Underweight rating, saying the company's recent Q4 results were "discouraging" for the U.S. coal market and prospects for the stock.
    • Barclays says BTU posted just half the quarterly EBITDA the firm had expected as costs rose and the outlook for 2016 "appears bleak even when compared to a FY 2015 that left Alpha, Arch, Patriot, and Walter all bankrupt."
    • The firm says BTU has hustled over the past year to make use of every available vehicle for cost and cash savings, but management has not been able to outrun the declines in coal and gas prices.
    | Thu, Feb. 18, 12:44 PM | 12 Comments
  • Tue, Feb. 16, 3:58 PM
    • The Environmental Law and Policy Center in Chicago files a citizen complaint against Peabody Energy (BTU -4.5%) in an effort to stop its ability to use the self-bonding process instead of posting conventional bonds as a means of providing enough money for future cleanup of its Illinois and Indiana coal mines.
    • Self-bonding allows BTU to pledge that it has adequate assets to pay for the ~$92M needed to reclaim three southern Illinois mines once there is no coal left to extract or if the company shuts down; BTU's remediation costs for six Indiana mines are estimated at $163M.
    • The formal complaint comes shortly after the environmental group WildEarth Guardians filed its own complaint challenging BTU's self-bonding in Rocky Mountain states and after BTU reported a $518M Q4 loss and annual losses of more than $2B.
    | Tue, Feb. 16, 3:58 PM | 8 Comments
  • Tue, Feb. 16, 10:56 AM
    • Peabody Energy (BTU -1.2%) is downgraded to Underweight from Hold at BB&T Capital, which says the odds of the company surviving the current industry morass without filing for Chapter 11 have gone from bad to worse after posting a bigger than expected Q4 loss and drawing down its revolver to buffer liquidity.
    • BB&T says companies that draw down their entire revolver in the middle of an industry rout generally do so because they want to have access to cash and negotiating leverage in case of bankruptcy.
    • With BTU's cash burn likely to accelerate, its debt load too burdensome relative to at least another year or two of weak coal markets, the asset sale market unappealing for non-tier one assets, and no access to the capital markets, the firm raises the probability of a bankruptcy filing to far greater than 50/50.
    | Tue, Feb. 16, 10:56 AM | 54 Comments
Company Description
Peabody Energy Corp. engages in the business of coal mining. It operates through the following segments: Powder River Basin Mining; Midwestern U.S. Mining; Western U.S. Mining; Australian Metallurgical Mining; Australian Thermal Mining; Trading and Brokerage; and Corporate and Other. The U.S.... More
Industry: Industrial Metals & Minerals
Country: United States