| Arch Coal (ACI) Refinances Debts to Improve Liquidity - Analyst Blog | |
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On Jul 2, 2015, thermal and metallurgical coal miner Arch Coal Inc. ACI announced the refinancing of several outstanding debts to navigate the difficult market conditions. The deleveraging of its balance sheet would lead to an improved liquidity profile.
Arch Coal launched a private offer to exchange its outstanding 7.000% Senior Notes due 2019, 9.875% Senior Notes due 2019 and 7.250% Senior Notes due 2021 with new 6.25% Trust Certificates due 2021, 8.00% Senior Secured Notes due 2022 and 12.00% Senior Secured Second Lien Notes due 2023.
In a separate release, Arch Coal announced that it is also offering to exchange its 7.25% senior notes due 2020 with the same trust certificates. Holders of about 59.6% of these bonds have already agreed to this arrangement.
These efforts will significantly reduce the company’s high interest burden and buy more time before the debts come due.
Pressed to the corner by reduced domestic demand for coal, competition from cheaper and clean burning natural gas, stricter environmental regulations and strong production from Australian and Indonesian mines, U.S. coal players are striving to steer clear of bankruptcy by keeping their debts to the lowest possible level.
While Birmingham, AL-based Walter Energy, Inc. WLT is presently trying to avoid bankruptcy and working with its creditors on restructuring $3.1 billion of outstanding debt, met coal producer Alpha Natural Resources, Inc. ANR has been denied the qualification for a self-bonding program (a program that allows producers of coal to economically insure their clean-up costs in case of a bankruptcy) in Wyoming.
Arch Coal currently has a Zacks Rank #3 (Hold). Rhino Resource Partners LP RNO is a better-ranked stock in the coal space with a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report ARCH COAL INC (ACI): Free Stock Analysis Report WALTER ENERGY (WLT): Free Stock Analysis Report ALPHA NATRL RES (ANR): Free Stock Analysis Report RHINO RESOURCES (RNO): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research
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PRODUCTEUR |
CODE : ACI |
ISIN : US0393801008 |
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ProfilIndicateurs de MarchéVALEUR : Projets & res.Communiqués de PresseRapport annuelRISQUE : Profile actifsContactez la cie |
Arch Coal est une société de production minière de charbon basée aux Etats-Unis D'Amerique. Arch Coal détient divers projets d'exploration en USA. Ses principaux projets en production sont WEST ELK, BLACK THUNDER et JACOB'S RANCH en USA et son principal projet en développement est SPRUCE N° 1 en USA. Arch Coal est cotée aux Etats-Unis D'Amerique et en Allemagne. Sa capitalisation boursière aujourd'hui est 872,0 millions (784,4 millions €). La valeur de son action a atteint son plus haut niveau récent le 27 juin 2003 à 99,96 , et son plus bas niveau récent le 01 octobre 2018 à 0,01 . Arch Coal possède 47 442 200 actions en circulation. |