Walter Energy Urges Shareholders to Vote for ALL TEN Board Nominees

  Walter Energy Urges Shareholders to Vote for ALL TEN Board Nominees

Emphasizes Improved Company Prospects, Strong Liquidity Position, and No Need
                           for Incremental Funding

Business Wire

BIRMINGHAM, Ala. -- April 19, 2013

Walter Energy, Inc. (NYSE: WLT) (TSX: WLT) today released the following open
letter to shareholders:

Dear Fellow Walter Energy Shareholders:

We have spoken with many of you personally over the past months, and we want
to thank you for your constructive insights and feedback. We pledge to
continue to have an open dialogue with you in the months ahead.

With days left before our Annual Meeting on April 25, we want to reaffirm that
your Board is aligned with you in its commitment to maximize shareholder
value.

Since last Fall, when the met coal market began to decline, your Board and
management team have taken decisive actions to position Walter Energy to
deliver substantial increased value when met coal prices recover by
aggressively reducing costs, safely increasing profitable met coal production,
and improving your Company’s financial flexibility.

We are not tied to any asset -- we are committed to pursuing all initiatives
necessary to generate value for shareholders.

As a result of the two bond offerings we completed over the past six months,
the Company has enhanced its liquidity and extended its debt maturity profile.
We have no material debt payments until 2015, and require no incremental
funding at this time. We are in a strong liquidity position. In addition, we
are intensely focused on cost reduction as demonstrated by the significant
progress we have made in reducing SG&A and production costs.

Our belief that our strategy is sound and our progress is tangible is
supported by all three major independent proxy advisory services, which
recommend that Walter Energy shareholders vote in favor of ALL TEN of the
Company’s nominees. Research analysts have also affirmed that we are on the
right track.

It is unfortunate that Audley Capital continues to make reckless and
irresponsible misstatements about our balance sheet, operations, and
prospects, without regard for the impact on the Company or its shareholders.
We note that Audley owns less than one-tenth of one percent of Walter Energy
shares.

Throughout this contest, we have tried to be forthright, transparent, and
accurate about our strengths, our challenges, and the work we still need to
do. Audley has failed by all these measures in its account of its true agenda,
the background of its nominees, and its comments concerning the Company. We
believe our nominees can serve you best by continuing to execute our business
plan and build on our strategic initiatives to date. We have the right Board
and management team, a proven track record of delivering shareholder value,
and a commitment to working through challenges on your behalf.

Your vote is important in this election, and we urge you to vote TODAY so that
your voice is heard. To ensure your votes for ALL TEN of the Walter Energy
Board’s nominees are represented at the meeting, we encourage you to vote
today by telephone or by Internet by following the instructions on your WHITE
proxy card.

Sincerely,

Michael T. Tokarz, Chairman of the Board

Walter J. Scheller, III, Chief Executive Officer and Director

About Walter Energy

Walter Energy is a leading, publicly traded “pure-play” metallurgical coal
producer for the global steel industry with strategic access to high-growth
steel markets in Asia, South America and Europe. The Company also produces
thermal coal, anthracite, metallurgical coke and coal bed methane gas. Walter
Energy employs approximately 4,100 employees and contractors with operations
in the United States, Canada and United Kingdom. For more information about
Walter Energy, please visit www.walterenergy.com.

Safe Harbor Statement

Except for historical information contained herein, the statements in this
release are forward-looking and made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995 and may involve a number
of risks and uncertainties. Forward-looking statements are based on
information available to management at the time, and they involve judgments
and estimates. Forward-looking statements include expressions such as
"believe," "anticipate," "expect," "estimate," "intend," "may," "plan,"
"predict," "will," and similar terms and expressions. These forward-looking
statements are made based on expectations and beliefs concerning future events
affecting us and are subject to various risks, uncertainties and factors
relating to our operations and business environment, all of which are
difficult to predict and many of which are beyond our control, that could
cause our actual results to differ materially from those matters expressed in
or implied by these forward-looking statements. The following factors are
among those that may cause actual results to differ materially from our
forward-looking statements: unfavorable economic, financial and business
conditions; the global economic crisis; market conditions beyond our control;
prolonged decline in the price of coal; decline in global coal or steel
demand; prolonged or dramatic shortages or difficulties in coal production;
our customer's refusal to honor or renew contracts; our ability to collect
payments from our customers; inherent risks in coal mining such as weather
patterns and conditions affecting production, geological conditions, equipment
failure and other operational risks associated with mining; title defects
preventing us from (or resulting in additional costs for) mining our mineral
interests; concentration of our mining operations in limited number of areas;
a significant reduction of, or loss of purchases by, our largest customers;
unavailability of cost-effective transportation for our coal; availability,
performance and costs of railroad, barge, truck and other transportation;
disruptions or delays at the port facilities we use; risks associated with our
reclamation and mine closure obligations, including failure to obtain or renew
surety bonds; significant increase in competitive pressures and foreign
currency fluctuations; significant cost increases and delays in the delivery
of raw materials, mining equipment and purchased components; availability of
adequate skilled employees and other labor relations matters; inaccuracies in
our estimates of our coal reserves; estimates concerning economically
recoverable coal reserves; greater than anticipated costs incurred for
compliance with environmental liabilities or limitations on our abilities to
produce or sell coal; our ability to attract and retain key personnel; future
regulations that increase our costs or limit our ability to produce coal; new
laws and regulations to reduce greenhouse gas emissions that impact the demand
for our coal reserves; adverse rulings in current or future litigation;
inability to access needed capital; events beyond our control may result in an
event of default under one or more of our debt instruments; availability of
licenses, permits, and other authorizations may be subject to challenges;
risks associated with our reclamation and mine closure obligations; failure to
meet project development and expansion targets; risks associated with
operating in foreign jurisdictions; risks related to our indebtedness and our
ability to generate cash for our financial obligations; downgrade in our
credit rating; our ability to identify suitable acquisition candidates to
promote growth; our ability to successfully integrate acquisitions; our
exposure to indemnification obligations; volatility in the price of our common
stock; our ability to pay regular dividends to stockholders; costs related to
our post-retirement benefit obligations and workers' compensation obligations;
our exposure to litigation; and other risks and uncertainties including those
described in our filings with the SEC. Forward-looking statements made by us
in this release, or elsewhere, speak only as of the date on which the
statements were made. You are advised to read the risk factors in our most
recently filed Annual Report on Form 10-K and subsequent filings with the SEC,
which are available on our website at www.walterenergy.com and on the SEC's
website at www.sec.gov. New risks and uncertainties arise from time to time,
and it is impossible for us to predict these events or how they may affect us
or our anticipated results. We have no duty to, and do not intend to, update
or revise the forward-looking statements in this release, except as may be
required by law. In light of these risks and uncertainties, readers should
keep in mind that any forward-looking statement made in this press release may
not occur. All data presented herein is as of the date of this release unless
otherwise noted.

Important Additional Information

On March 8, 2013, Walter Energy filed with the Securities and Exchange
Commission (“SEC”), a definitive proxy statement (as it may be amended or
supplemented, the “Proxy Statement”) concerning the proposals to be presented
at Walter Energy’s 2013 Annual Meeting of Stockholders in connection with the
solicitation of proxies from Walter Energy’s stockholders. The Proxy Statement
contains important information about Walter Energy and the 2013 Annual
Meeting. In addition, Walter Energy files annual, quarterly and special
reports, proxy statements and other information with the SEC. INVESTORS AND
STOCKHOLDERS ARE STRONGLY URGED TO READ THE PROXY STATEMENT AND ACCOMPANYING
PROXY CARD AND OTHER DOCUMENTS FILED WITH THE SEC CAREFULLY AND IN THEIR
ENTIRETY BECAUSE THEY CONTAIN IMPORTANT INFORMATION ABOUT WALTER ENERGY AND
THE PROPOSALS TO BE PRESENTED AT THE 2013 ANNUAL MEETING. These documents are
available free of charge at the SEC’s website (www.sec.gov) or from Walter
Energy at our investor relations website
(www.investorrelations.walterenergy.com). The contents of the websites
referenced herein are not deemed to be incorporated by reference into the
Proxy Statement.

Certain Information Regarding Participants

Walter Energy, its directors and certain of its officers may be deemed to be
participants in the solicitation of Walter Energy’s stockholders in connection
with its 2013 Annual Meeting. Information regarding the names, affiliations
and direct and indirect interests (by security holdings or otherwise) of these
persons is found in the Proxy Statement for the 2013 Annual Meeting, which is
filed with the SEC. Additional information regarding these persons can also be
found in other documents filed by Walter Energy with the SEC. Stockholders are
able to obtain a free copy of the Proxy Statement and other documents filed by
Walter Energy with the SEC from the sources listed above.

Contact:

For media:
Kekst and Company
Ruth Pachman, 212-521-4891
ruth-pachman@kekst.com
or
For investors:
Walter Energy
Mark Tubb, 205-745-2627
mark.tubb@walterenergy.com
 
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