Linda is biotch...! LOLz JayKay
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"NIO lift after Bloomberg report that top Tesla (TSLA) investor took 11% stake in the company..."
Bloomberg 3:47 pm ET 10/9/2018
The only thing coming to old equity is a capital loss for tax year 2015. Eom
Bob Corr uses RSHN & APRU as an ATM machine. imo
I dumped it on the last pump. eom
I don't think you have a choice, it can't get any lower... eom
Not me, dumped this a loooonnngggg time ago and moved on. EOM
Quote:
"
WaMu Trust Defeats Challenge To Ch. 11 Warrant Deal
By Jamie Santo
Law360, Wilmington (February 03, 2015, 10:09 PM ET) -- A Delaware federal judge on Monday tossed a individual challenge to Washington Mutual Inc.'s settlement with a class of investors in the defunct bank’s litigation tracking warrants, finding the appeal failed to properly address the deal.
U.S. District Judge Gregory M. Sleet dismissed the appeal of warrant holder Benjamin Bush, ruling that the investor had no grounds to contest the agreement because he appealed a previous decision of the bankruptcy court regarding warrants but never appealed the settlement itself."
APRU restricted shares and regular shares were reverse split into oblivion.
Yup, too many bag holders selling from the dilution pollution Corr ATM machine days, and we are talking about BILLIONS of shares, not millions.
Robert J. Corr has always been moving trademarks from shell company to shell company leaving the old/former companies in debt, judgments, liens, and un-updated corporate filings.
Last I heard, the Apple Rush trademarks use to belong to Apple Rush COMPANY (NOT Incorporated), then moved again to Corr International.
Robert J. Corr will have the last laugh all the way to the bank as he always had.
I am out of this after almost $2,000 of fees/commissions from selling this POS.
imo
If the original Washington mutual shareholders who didn't hold in the Street's name and held shares through the transfer agent, the transfer agent would have a means of receiving escrow "placeholders" as part of the distribution made through the bankruptcy proceeding.
IMO
Attempt delivery of the escrows shares in certificate form. Eom
Yes, average joe creditors only.
It was known that shareholder were not entitled to anything from the beginning.
IMO
The only this would be if enough average joe creditors object/oppose confirmation of the the plan.
Imo
The average joe who owns Seniors are only getting between 2.x% to 10%.
IMO
Actually, if an average joe bought seniors, they got the shaft as well, almost wiped out.
IMO
Yup, the hedge funds were going to steal Patriot Coal from from the creditors from the beginning.
10/10/13 Knighthead Capital Management, LLC owns $57,356,000 of 8.25% Senior Notes
11/08/13 Knighthead Capital Management, LLC increases its holdings to $70,356,000 of Senior Notes
10/10/13 Davidson Kempner Capital Management LLC owns $35,000,000 of First Out DIP Facility
11/08/13 Davidson Kempner Capital Management LLC increases it holdings to include $13,000,000 of Senior Notes in addition to their $35,000,000 of First Out DIP Facility
4/19/13 Aurelius Capital Management, LP owns $77,901,000 of 8.25% Senior Notes and $19,665,000 of 3.25% Convertible Senior Notes
http://www.patriotcaseinfo.com/pdflib/4765_51502.pdf
www.patriotcaseinfo.com/pdflib/4970_51502.pdf
imo
Patriot Coal Receives Court Authorization To Solicit Creditor Approval For Plan Of Reorganization
Date : 11/06/2013 @ 3:08PM
Source : PR Newswire (US)
Stock : Patriot Coal Corp. (QB) (PCXCQ)
Quote : 0.088 -0.0131 (-12.96%) @ 4:45PM
Patriot Coal Receives Court Authorization To Solicit Creditor Approval For Plan Of Reorganization
ST. LOUIS, Nov. 6, 2013 /PRNewswire/ -- Patriot Coal Corporation (OTC: PCXCQ) today announced that the Bankruptcy Court for the Eastern District of Missouri has confirmed that the Company's Disclosure Statement contains the information necessary to enable creditors to vote on the Company's Plan of Reorganization. Following today's ruling, Patriot will immediately commence the process to solicit votes on its Plan of Reorganization as outlined in filings with the bankruptcy court.
The Court today also authorized Patriot to move forward with the proposed Rights Offerings in conjunction with the Plan of Reorganization. As previously announced, the Rights Offerings will be fully backstopped by Knighthead Capital Management, LLC and certain affiliates. Additionally, the Court approved an agreement with leading financial institutions Barclays and Deutsche Bank to arrange new exit financing and post-emergence credit facilities of $576 million. Finally, the Court approved the Company's previously announced settlements with Peabody Energy Corporation (Peabody) and Arch Coal, Inc. (Arch).
"Today's actions by the court represent important milestones on Patriot's path to emergence as a strong, well-capitalized competitor in the coal industry," said Patriot President and Chief Executive Officer Bennett K. Hatfield. "Taken together, the Rights Offering and the settlements with Peabody and Arch lay the foundation for completion of our exit financing in the next few weeks. We remain on schedule for emergence from bankruptcy in mid to late December."
Note: Background on Patriot's restructuring and transformation can be found at the Company's website, www.patriotcoal.com.
About Patriot Coal
Patriot Coal Corporation is a producer and marketer of coal in the eastern United States, with [10] active mining complexes in Appalachia and the Illinois Basin. Patriot ships to domestic and international electricity generators, industrial users and metallurgical coal customers, and controls approximately 1.8 billion tons of proven and probable coal reserves.
Forward-Looking Statements
Certain statements in this press release are forward-looking as defined in the Private Securities Litigation Reform Act of 1995. These statements involve certain risks and uncertainties that may be beyond our control and may cause our actual future results to differ materially from our current expectations both in connection with the Chapter 11 filings Patriot announced on July 9, 2012 and our business and financial prospects. No assurance can be made that these events will come to fruition. We undertake no obligation (and expressly disclaim any such obligation) to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Factors that could affect our results include, but are not limited to: (i) the ability of Patriot and its subsidiaries to continue as a going concern, (ii) the ability of Patriot and its subsidiaries to operate within the restrictions and liquidity limitations of the post-petition credit facilities authorized by the Bankruptcy Court, (iii) the ability of Patriot and its subsidiaries to obtain Bankruptcy Court approval with respect to motions in the Chapter 11 cases, (iv) the ability of Patriot and its subsidiaries to successfully complete a reorganization under Chapter 11 and emerge from bankruptcy, which is dependent upon, among other things, the ability to implement changes to wage and benefit programs and postretirement benefit obligations consensually or pursuant to Sections 1113 and 1114 of the Bankruptcy Code, to minimize liabilities upon emergence and to obtain post-bankruptcy financing, (v) the effects of the bankruptcy filing on Patriot and its subsidiaries and the interests of various creditors, equity holders and other constituents, (vi) Bankruptcy Court rulings in the Chapter 11 cases and the outcome of the cases in general, (vii) the length of time Patriot and its subsidiaries will operate under the Chapter 11 cases, (viii) risks associated with third-party motions in the Chapter 11 cases, which may interfere with the ability of Patriot and its subsidiaries to develop one or more plans of reorganization and consummate such plans once they are developed, (ix) the potential adverse effects of the Chapter 11 proceedings on Patriot's liquidity or results of operations, (x) the ability to execute Patriot's business and restructuring plans, (xi) increased legal costs related to Patriot's bankruptcy filing and other litigation, and (xii) the ability of Patriot and its subsidiaries to maintain contracts that are critical to their operation, including to obtain and maintain normal terms with their vendors, customers, landlords and service providers and to retain key executives, managers and employees. In the event that the risks disclosed in Patriot's public filings and those discussed above cause results to differ materially from those expressed in Patriot's forward-looking statements, Patriot's business, financial condition, results of operations or liquidity, and the interests of creditors, equity holders and other constituents, could be materially adversely affected. For additional information concerning factors that could cause actual results to materially differ from those projected herein, please refer to Patriot's Form 10-K and Form 10-Q reports.
SOURCE Patriot Coal Corporation
Copyright 2013 PR Newswire
DEBTORS’ THIRD AMENDED JOINT PLAN OF REORGANIZATION UNDER CHAPTER 11 OF THE BANKRUPTCY CODE
(h)
Interests in Patriot Coal (Class 1H)
The holders of Interests in Patriot Coal shall neither receive any distributions nor retain any property on account thereof pursuant to the Plan. All Interests in Patriot Coal shall
be cancelled and extinguished.
First Amended Joint Plan of Reorganization: http://www.patriotcaseinfo.com/pdflib/4762_51502.pdf
Disclosure Statement: http://www.patriotcaseinfo.com/pdflib/4763_51502.pdf
Common stock = CANCELED source: DS & POR
(h) Interests in Patriot Coal (Class 1H)
The holders of Interests in Patriot Coal shall neither receive any distributions nor retain any property on account thereof pursuant to the Plan. All Interests in Patriot Coal shall be cancelled and extinguished.
Patriot Coal settles claims with Peabody, eyes Chapter 11 exit
Thu Oct 10, 2013 1:34am EDT
* Peabody to provide $310 mln to fund health and pension benefits
* Peabody to provide $140 mln in liquidity funding to Patriot
* Knighthead Capital to infuse $250 mln of new capital in Patriot
* Patriot also reaches settlement with Arch Coal
* Patriot expects to emerge out of bankruptcy by year end
Oct 10 (Reuters) - Patriot Coal Corp said it settled all health and pension-related claims against Peabody Energy Corp in exchange for key funding, which would help the company emerge out of chapter 11 bankruptcy by the end of the year.
The two companies have been fighting over the funding of benefits for about 3,100 retirees that Peabody agreed to continue covering after it spun off the now-bankrupt Patriot Coal in October 2007.
Peabody had later said it had no obligation to fund health and pension benefits for Patriot retirees affected by the company's insolvency, arguing that new labor deals between Patriot and the United Mine Workers of America (UMWA) effectively relieved Peabody of any funding obligations.
However, Peabody continued to fund healthcare benefits for retirees during Patriot's bankruptcy proceedings, said Peabody's Chief Legal Officer Alexander Schoch.
In an amended reorganization plan filed with a bankruptcy court on Wednesday, Patriot said Peabody has agreed to provide $310 million, payable over four years through 2017, to fund the health and pension benefits to settle all Patriot and UMWA claims.
Peabody will also provide about $140 million to Patriot in the form of letters of credit.
As per the settlement, Peabody's existing contractual commitment to fund healthcare benefits for a certain group of Patriot retirees would terminate on Dec. 31.
After this date, all healthcare benefits would be funded by the newly established Voluntary Employee Beneficiary Association (VEBA).
In a settlement with Arch Coal Inc, Patriot will receive $5 million in cash and a release of a $16 million letter of credit posted in Arch's name. Arch Coal had spun off a unit that was later acquired by Patriot.
UMWA had claimed that Peabody and Arch deliberately shunted their obligations onto Patriot in an effort to avoid having to pay the full amount.
The settlements with Peabody and Arch Coal will be presented to the bankruptcy court for approval at the Nov. 6 hearing.
Patriot Coal also said it will receive $250 million in new capital through a rights offering backstopped by Knighthead Capital Management.
"As a result of the transaction with Knighthead and the company's settlement with Peabody, the VEBA is expected to receive more than $400 million in cash over the next four years. These agreements resolve all matters with the UMWA," Patriot Coal said in a statement.
The case is in re Patriot Coal Corp et al, U.S. Bankruptcy Court, Eastern District of Missouri, No. 12-51502.
PRESS RELEASE
Oct. 9, 2013, 11:55 p.m. EDT
Patriot Coal Secures Financial Sponsor And Reaches Key Funding Settlements; Plans Emergence From Bankruptcy By Year-End
- Knighthead agrees to sponsor Patriot's bankruptcy reorganization - Company settles all claims against Peabody and Arch in exchange for key funding - More than $400 Million to be provided to VEBA for UMWA Retiree Healthcare - Company files amended Plan of Reorganization and Disclosure Statement - Emergence targeted by year-end
ST. LOUIS, Oct. 9, 2013 /PRNewswire via COMTEX/ -- Patriot Coal Corporation PCXCQ 0.00% today announced that it has achieved several major milestones toward successful emergence from bankruptcy, which the Company detailed in a Disclosure Statement and an amended Plan of Reorganization (the Plan) filed today with the U.S. Bankruptcy Court for the Eastern District of Missouri.
As described in the documents, the Company reached an agreement with Knighthead Capital Management, LLC (Knighthead) to financially sponsor Patriot's emergence from bankruptcy. In addition, after months of litigation and negotiation with Peabody Energy Corporation (Peabody) and Arch Coal, Inc. (Arch), Patriot has entered into settlements with both companies. These agreements will provide the Company with a significant liquidity infusion and position it to obtain the exit financing necessary to emerge from Chapter 11 as a strong, well-capitalized business. Additionally, the agreements will result in funding for the United Mine Workers of America (UMWA)-sponsored Voluntary Employee Beneficiary Association (VEBA) trust of more than $400 million to provide healthcare coverage for UMWA retirees.
"Reaching these agreements represents a pivotal juncture in Patriot's restructuring. With Knighthead's financial backing and the funding provided by Peabody and Arch, Patriot is now well-positioned to secure exit financing," said Patriot President and Chief Executive Officer Bennett K. Hatfield. "This sets a clear path forward for Patriot to emerge from Chapter 11 by year-end as a strong competitor in the coal industry."
Under the terms of the Plan, the Company will receive an infusion of $250 million in new capital through a rights offering backstopped by Knighthead. Pursuant to agreements with the UMWA, the Company will make $75 million in direct cash payments to the VEBA, plus future payments from royalty and profit sharing commitments.
The Company and the UMWA also reached a global settlement with Peabody that will provide the VEBA and the Company with significant additional funding. Under the terms of the settlement, Peabody will provide $310 million, payable over four years through 2017, to fund the VEBA and settle all Patriot and UMWA claims involving the Patriot bankruptcy. Additionally, Peabody will provide liquidity totaling approximately $140 million to the Company in the form of letters of credit. The final agreement is expected to be signed in the coming weeks and presented to the Court for approval at the November 6 hearing.
Under the terms of the Company's settlement with Arch, the Company will receive $5 million in cash and a release of a $16 million letter of credit posted in Arch's name. In addition, certain expiring coal leases in Patriot's Logan County mining complex will be extended and Patriot will receive $16 million in cash for the sale of certain non-strategic metallurgical coal reserves. As with the Peabody settlement, the final Arch agreement is expected to be signed in the coming weeks and presented to the Court for approval at the November 6 hearing.
As a result of the transaction with Knighthead and the Company's settlement with Peabody, the VEBA is expected to receive more than $400 million in cash over the next four years, and will have continuing income from royalty payments and profit sharing opportunities. These agreements resolve all matters with the UMWA.
"I am pleased that we have been able to reach agreements that provide the UMWA with hundreds of millions of dollars in retiree healthcare funding," added Hatfield. "The best result for the UMWA and its members is for Patriot to emerge from bankruptcy as a healthy company that will continue to provide jobs and benefits, and we are now on track to achieve that goal."
Peabody Energy (NYSE: BTU) Reaches Comprehensive Agreement With Patriot Coal And United Mine Workers Of America
ST. LOUIS, Oct. 10, 2013 /PRNewswire/ -- Peabody Energy (NYSE: BTU) today announced that it has reached an agreement with Patriot Coal and the United Mine Workers of America (UMWA) to resolve all issues related to Patriot's bankruptcy.
"Peabody has continued to fund healthcare benefits for retirees during Patriot's bankruptcy proceedings," said Peabody Energy Executive Vice President Law, Chief Legal Officer and Secretary Alexander C. Schoch. "We are pleased to resolve the uncertainty among Patriot retirees by providing substantial funding for the newly established Voluntary Employee Beneficiary Association (VEBA). Future healthcare benefits for Patriot retirees will now be determined by managers of the new VEBA."
Under the terms of the proposed settlement, Peabody would provide $310 million, payable over four years through 2017, to fund the VEBA and settle all Patriot and UMWA claims involving the Patriot bankruptcy. Under the settlement, Peabody's existing contractual commitment to fund healthcare benefits for a certain group of Patriot retirees would terminate on December 31, 2013. After this date, all healthcare benefits would be funded by the VEBA. Peabody would also provide some credit support for a limited time on Patriot's behalf.
The settlement is subject to, among other conditions, a definitive agreement among the parties, bankruptcy court approval and the effectiveness of Patriot's plan of reorganization.
Peabody Energy is the world's largest private-sector coal company and a global leader in sustainable mining and clean coal solutions. The company serves metallurgical and thermal coal customers in more than 25 countries on six continents. For further information, go to PeabodyEnergy.com and CoalCanDoThat.com.
CONTACT:
Kirsty McDonald
314.342.7562
(Logo: http://photos.prnewswire.com/prnh/20120724/CG44353LOGO)
SOURCE Peabody Energy
/Web site: http://www.peabodyenergy.com
The Wall Street Journal news department was not involved in the creation of this content.
I have no speculation. Eom
Expect disclosure statement (and possibly an amended proposed reorganization plan) to be filed after hours today. eom/imo
Patriot delays reorganization plan
Staff St. Louis Business Journal
Patriot Coal Corp., the bankrupt coal producer, won't move forward on its reorganization plan this week, but instead will delay its plan until Oct. 2.
The company filed a bare-bones plan on Sept. 6, saying at the time that it anticipated submitting disclosure materials this week for its proposal, the St. Louis Post-Dispatch reports. However, the filing of those materials has been pushed back to October.
The plan filed last week said only that creditors will be paid with new stock and debt, with the details on the proposal left blank.
Patriot filed for Chapter 11 bankruptcy in July 2012, listing assets of $3.57 billion and debt of $3.07 billion as of May 2012.
Peabody says it no longer owes benefits to Patriot retirees
By Nick Brown
Fri Sep 13, 2013 6:40pm EDT
(Reuters) - Peabody Energy Corp (BTU.N), the company responsible for creating now-bankrupt Patriot Coal (PCXCQ.PK) through a 2007 spinoff, on Friday said it has no obligation to fund health and pension benefits for Patriot retirees affected by the company's insolvency.
In court papers in U.S. Bankruptcy Court in St. Louis, Peabody said new labor deals between Patriot and the United Mine Workers of America effectively relieve Peabody of any funding obligations.
In a lawsuit relating to Patriot's bankruptcy, Patriot and Peabody are fighting over the responsibility to fund benefits for a group of about 3,100 retirees that Peabody agreed to continue covering after the October 2007 spinoff.
A judge in May declared that Peabody was relieved of that burden when Patriot abrogated its labor obligations for all employees and retirees earlier this year and negotiated new, cost-saving deals as part of its restructuring in Chapter 11 bankruptcy.
An appeals court last month reversed that ruling, saying the abrogation of labor deals should have exempted the group in question, and that the group's benefits remained the responsibility of Peabody.
But that ruling was "not concerned with, and expressed no opinion on, what effect a new labor agreement would have on Peabody's" obligations, Peabody argued in Friday's filing.
Under the new deal, Peabody's funding obligations, which are tied to the amount of benefits Patriot provides to its workers, disappear, because the deal transfers all benefits to an outside trust, Peabody argued.
The trust is to be funded by some up-front cash and equity in the post-bankruptcy Patriot, but ongoing contributions from Patriot will cease after January 1, 2014.
Peabody's funding obligation should be proportionately reduced, in this case to zero, Peabody argued. It asked the court to confirm the termination of its contractual funding obligation.
In a statement, Peabody blamed the union for "grandstanding," saying it eschewed offers by Peabody to help fund the new benefits trust.
A union spokesman did not respond to a request for comment, while a spokesman for Peabody declined to comment.
Under Patriot's restructuring, retiree benefits will be reduced, while current workers stand to absorb cuts in salary, vacation time and other perks.
That Patriot's miners will sustain much of the pain of the company's collapse has made the case vitriolic, with the union staging myriad protests and rallies before reluctantly agreeing to new deals.
The union has bargained for lifetime healthcare and pension benefits since the 1940s, considering those benefits sacrosanct. But coal companies have become less able to afford them in the face of modernization, a shrinking workforce and the growing prevalence of new sources of energy.
The union, like Patriot, has made efforts to hold Peabody responsible for any benefits Patriot cannot afford to maintain. The union last year sued Peabody saying it designed Patriot to fail by loading it with hefty debt and weak assets, and should remain on the hook for worker benefits.
Peabody has denied the allegations, saying Patriot was "highly successful" in the wake of the spinoff, eventually falling victim to the realities of the energy market.
(Editing by Bob Burgdorfer)
The current stock will be canceled. There are no guarantees on any security unless it is in writing.
Common stock has no guarantees written nor implied.
Comments by the CEO are on a best efforts basis, not a guarantee.
The creditors deserve and are contractually paid before anything can be paid to common stock holders. This is codified in the federal bankruptcy code.
Time to move on...
imo
Patriot Coal disclosure expected this week
Bloomberg News
Patriot Coal's proposed reorganization plan, filed Friday, outlines a financing plan that includes a rights offering for creditors to buy new junior secured notes as well as shares of new common stock.
Unidentified creditors will backstop the rights offering by agreeing to purchase new notes and stock not taken by other creditors, according to the plan.
Specifics of the financing plan will be outlined in an explanatory disclosure statement the Creve Coeur-based company expects to file this week.
Holders of existing senior secured notes and convertible notes can participate in the rights offering if they are so- called accredited investors. If they are not accredited or elect not to purchase in the rights offering, they will be given some of the new notes and new common stock.
The plan has blanks where creditors later will be told the amounts of new notes and stock for various classes. The plan as yet doesn’t say how the new stock and new notes will be divided among creditors of the parent and Patriot’s subsidiaries.
General unsecured creditors are to receive new common stock. The plan has blanks where the percentage recoveries for all classes will be shown later.
As part of the new union labor contract approved in August by the bankruptcy court in St. Louis, a trust will be created to provide some health benefits for retirees. The plan shows the trust as receiving $3.75 million in cash or an as yet unspecified amount of new stock.
When the contract was being approved, Patriot said the trust would be funded with as much as 38 percent of the stock of reorganized Patriot. In addition, there was to be a profit-sharing formula and a per-ton royalty based on the amount of coal sold.
Patriot previously said there were talks with Knighthead Capital Management LLC and Aurelius Capital Management LP about a rights offering to supply some of the financing to emerge from bankruptcy.
Patriot is one of the largest coal producers in the U.S. It filed for Chapter 11 reorganization listing assets of $3.57 billion and debt of $3.07 billion as of May 2012. The bankruptcy was moved from New York to St. Louis in December.
Patriot’s $200 million in 3.25 percent senior convertible notes due 2013 last traded Sept. 6 for 11.1 cents on the dollar, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority. The convertible notes declined 13 percent in value from the day before the plan was filed and were down 23 percent since Nov. 13.
The $250 million in 8.25 percent senior unsecured notes due 2018 last traded Sept. 4 for 50.5 cents on the dollar, about the same as where they traded on Nov. 13, Trace reported.
Commons = Toast Eom/IMO
Debtor's Joint Chpt 11 Plan of Reorganization
http://www.patriotcaseinfo.com/pdflib/4606_51502.pdf
Regarding your "message" to me RE: CT briefly:
CT is only as secure as its underlying security. If the underlying security is unsecured subordinated bond and has recovery, then the CT will have a recovery in its prorated amount.
If the bond does NOT recover, then the CT will NOT recover anything. There no way for CT to survive withOUT the bond surviving and recovery, PERIOD.
As for bonds being callable (call dates) during bankruptcy, it means nothing as during bankruptcy, the bond is stayed/suspended. No dividend payment, no interest payment, no redemption, no calls, no redemptions, etc. The 20 consecutive quarters and default of the bond is a falsehood because the act of the entity filing for BK is already considered a default.
CT up list from grey to pink. That is likely an MM applying for the pink listing. Means nothing in terms of recovery $$ standpoint.
The entity who files under the jurisdiction of the bankruptcy court, is bound and subjected by the laws of the bankruptcy court for adjudication. Bankruptcy court by petition, can cease, amend, renegotiate, cancel, reaffirm,etc. any contract in favor of the debtor.
This applies to all BKs, but the one you are referring to ***** , I say almost %100, NO RECOVERY.
I hope I answered your questions.
imo
8.25% bond trading higher now since the last I checked. 3.25% still nothing.
Cheers. Ttyl
Looked at the bonds. 3.25% has zero trades. 8.25% are trading lower, the prices have dropped.
So nothing positive happening in the bonds.
IMO
I don't know, but I would guess it is trading/pump n' dump. IMO
The whole premise of filing chap 11 is to reorganize. There is no reason to liquidate as long as the Union settles. eom
Assets minus liabilities = equity or negative equity.
$1.9 bil in coal is accounted for in assets.
Total Shareholder Equity (Deficit): -$338,018,000
Total Assets: $3,635,997,000
Total Liabilities: $3,974,015,000
http://www.patriotcaseinfo.com/pdflib/4449_51502.pdf
It is because of the negative equity. Eom IMO
Total Shareholder Equity (Deficit): -$338,018,000
Total Assets: $3,635,997,000
Total Liabilities: $3,974,015,000
http://www.patriotcaseinfo.com/pdflib/4449_51502.pdf
Patriot Coal seeks to change loan agreement to avoid default
1 hour ago • By TIFFANY KARY Bloomberg News
NEW YORK • Patriot Coal Corp., the bankrupt mining company, says sharp declines in demand for coal could cause it to default on loans this year if it can't change its current loan agreement.
Over the past year, falling prices for metallurgical coal have cut into the company's earnings forecasts, Patriot said in papers filed in Manhattan bankruptcy court July 30. The Creve Coeur-based company filed for bankruptcy in July 2012, citing a drop in demand and $1.6 billion in lifetime health-care obligations for its retirees.
Patriot is seeking court approval of a proposed amendment to a $375 million loan, which lenders have already consented to. The company said it believes "there is a substantial likelihood that, if the amendment is not approved, they may not comply" with current thresholds for earnings beginning in the third quarter.
Under the previous loan agreement, Patriot was required to have a minimum of consolidated earnings of $205 million by Dec. 31. The proposed amendment would drop the threshold to $101.3 million.
Patriot, which has $802 million in operating loans, is still negotiating with representatives of its unionized workers.
On May 29, Patriot won permission to cut pensions and benefits for 13,000 unionized workers and retirees. The United Mine Workers of America has objected to its plan to reorganize under Chapter 11.
The union said the company hasn't been quick enough to take action against its former parent, Peabody Energy Corp., which profited by spinning off Patriot in 2007, giving it 16 percent of its assets and 40 percent of its retiree liability.