Quantcast
Get breaking news alerts via email

Click here to manage your alerts
Arch Coal loses $70 million in first quarter
Coal mining » Production down companywide, including three Utah mines.
First Published Apr 23 2013 12:26 pm • Last Updated Apr 23 2013 06:52 pm

Arch Coal Inc., parent company of Utah’s largest coal operator, said Tuesday it lost $70 million in the first quarter of 2013 as a sluggish global market lowered production.

The St. Louis-based company’s decline amounted to 33 cents per share, compared to a year earlier when Arch Coal lost $8 million, or 4 cents a share. The bottom line was based on quarterly revenues of $826 million, down from just more than $1 billion in the first quarter of 2012.

Join the Discussion
Post a Comment

In Utah, Arch Coal subsidiary Canyon Fuel Co. operates the Sufco, Skyline and Dugout Canyon mines. Together, they are by far the state’s biggest producers, excavating more than 9 million tons of coal in 2012, according to federal Mine Safety and Health Administration figures.

That number has declined the last few years, down from 11.6 million tons in 2010 and 11 million tons in 2011. Employment at Canyon Fuel’s three mines also has slipped, MSHA records show, from 860 in the first quarter of 2011 to 700 in the same period this year.

Production at the three Utah mines, along with West Elk mine in western Colorado, fell to 3.5 million tons in the year’s first quarter after reaching 3.8 million in the final three months of 2012, the quarterly report said.

Still, those four mines earned the company $11.41 a ton during the first quarter of 2013, largely through cost-cutting measures such as shutting down Dugout Canyon’s longwall mining machine, the report added.

Despite the red ink, Arch Coal President and CEO John Eaves said he was optimistic about future prospects.

"Despite the global coal market headwinds that have prevailed over the last 18 months, we are delivering strong cost control," he said. "We are confident our low-cost operations will generate strong cash flows and value for our shareholders."

mikeg@sltrib.com


story continues below
story continues below

Twitter: @sltribmikeg



Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment


About Reader Comments


Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Videos
Jobs
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Login to the Electronic Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.