Alpha Natural Resources reports 4th quarter loss
Updated On: Feb 14 2013 05:15:22 PM CST
Alpha Natural Resources, Inc. (NYSE: ANR), a leading U.S. coal producer, reported a fourth quarter 2012 net loss of $128 million, or $0.58 per diluted share compared with a net loss of $793 million or $3.62 per diluted share in the fourth quarter of 2011. Excluding impairment and restructuring charges, and other adjustments described in our "Reconciliation of Adjusted Net Income (Loss) to Net Loss," the fourth quarter 2012 adjusted net loss was $41 million or $0.19 per diluted share compared with an adjusted net loss of $19 million or $0.09 per diluted share in the fourth quarter of 2011.
The Company recorded $228 million of impairment and restructuring charges in the fourth quarter of 2012, which are largely non-cash. These charges include $188 million arising from Alpha's annual goodwill impairment testing, which reflects projected coal market conditions and lower expected future production and shipments particularly for thermal coal, as well as a $40 million impact of charges and asset impairments arising from our recent restructuring initiatives. The restructuring plan announced in September 2012 is now substantially complete. Alpha will continue to assess market conditions and may further adjust its operational footprint and marketing strategy as dictated by evolving industry conditions.
Earnings before interest, taxes, depreciation, depletion and amortization (EBITDA) for the fourth quarter of 2012 was $193 million, compared with a loss of $550 million in the year ago period. Excluding impairment and restructuring charges and other adjustments described in our "Reconciliation of EBITDA and Adjusted EBITDA to Net Loss," the fourth quarter 2012 Adjusted EBITDA was $217 million.