Arch Coal, Inc. today announced that it has successfully completed its financial restructuring and emerged from court protection, with new equity that will trade on the New York Stock Exchange under the ticker symbol ARCH.
Arch Coal is a producer of metallurgical coal and the second largest producer of thermal coal in the United States. The company is emerging with more than $300 million of cash on its balance sheet and a debt level of just $363 million, consisting of a new term loan and capital leases. The company's total debt is just 7 percent of what it was prior to restructuring. Cash requirements are expected to be modest, with projected capital spending of $55 million in 2017 and projected debt service of approximately $33 million. In addition, the company has third-party surety bonds in place covering 100 percent of its reclamation bonding requirements.
"We are particularly pleased to be emerging in a resurgent metallurgical market, and look forward to similar strengthening in thermal coal markets in the months ahead," said John W. Eaves, Arch's CEO. "With our enhanced financial foundation and top-tier assets, we believe we are exceptionally well-positioned to capitalize on both."