SunCoke Energy, Inc. Reports First Quarter 2013 Results

  SunCoke Energy, Inc. Reports First Quarter 2013 Results

  *Net income totaled $2.1 million in first quarter 2013, or $0.03 per
    diluted share, down from prior year reflecting the impact of accelerated
    depreciation, non-recurring debt transaction costs, unfavorable tax items
    and income attributable to the public unit holders of
    SunCokeEnergyPartners, L.P.
  *Adjusted EBITDA declined 5.8 percent to $52.3 million in the first quarter
    2013 in line with our expectations, due to weak performance in our Coal
    Mining Segment and Indiana Harbor cokemaking facility, offset by strong
    performance at Middletown
  *Improved Domestic Coke results with Adjusted EBITDA of $61.1million, an
    increase of 11.5percent, resulting in Adjusted EBITDA per ton of $58
  *Coal Mining Segment Adjusted EBITDA was down $12.0 million as expected on
    flat sales volumes, reflecting the impact of a $50 per ton decline in the
    average coal sales price, offset by improved total cash production costs
    of $23 per ton
  *Re-affirm 2013 consolidated Adjusted EBITDA and earnings per share
    guidance of $205million - $230 million and $0.30 - $0.55 per share,
    respectively

Business Wire

LISLE, Ill. -- April 25, 2013

SunCoke Energy, Inc. (NYSE: SXC) today reported first quarter 2013 net income
of $2.1 million, or $0.03 per diluted share, down from net income of $16.9
million, or $0.24 per diluted share in first quarter 2012.

“We achieved several key strategic milestones in the first quarter with the
completion of the initial public offering of SunCoke Energy Partners and
closing on the VISA SunCoke joint venture in India. These key milestones lay a
foundation for growth domestically and overseas.” said Fritz Henderson,
Chairman and Chief Executive Officer of SunCoke Energy, Inc. "As expected, our
Adjusted EBITDA was down in the quarter due to the significant decline in
metallurgical coal prices and operating challenges at Indiana Harbor, where a
major plant refurbishment is underway. These challenges were partly offset by
strong performance at Middletown and coal mining cost reductions.

Henderson continued, “Looking ahead, I expect to sustain a high level of
performance in our cokemaking business, make further progress in the
refurbishment of Indiana Harbor and continue taking aggressive action in our
coal mining business to enhance productivity and reduce costs.”

CONSOLIDATED RESULTS

                                                        
                                         Three Months Ended March 31,
(In millions, except per share amounts)  2013     2012     Decrease
Revenues                                  $ 453.9  $ 481.3  $ (27.4 )
Operating Income                          $ 27.0    $ 33.9    $ (6.9  )
Adjusted EBITDA^(1)                       $ 52.3    $ 55.5    $ (3.2  )
Net Income Attributable to Shareholders   $ 2.1     $ 16.9    $ (14.8 )
Earnings Per Diluted Share               $ 0.03   $ 0.24   $ (0.21 )

^(1)  See definition of Adjusted EBITDA and reconciliation elsewhere in this
       release.

In first quarter 2013, total revenues dipped 5.7 percent to $453.9 million
versus first quarter 2012, due to the pass-through of lower coal prices in our
cokemaking business and the decline in average coal sales price.

Operating income and Adjusted EBITDA were down 20.4 percent and 5.8 percent in
first quarter 2013, respectively. The decline in operating income was
primarily driven by weakness in our Coal Mining Segment and $4.3 million in
accelerated depreciation at our Indiana Harbor plant where a major
refurbishment is underway. Adjusted EBIDTA was primarily impacted by weakness
in the Coal Mining Segment which was partly offset by continued strong
performance at our Middletown facility and slightly lower corporate costs.

Net income attributable to shareholders fell by $14.8million to $2.1 million
in first quarter 2013. Factors negatively impacting net income included the
write-down of unamortized debt issuance costs and other financing costs,
unfavorable tax items and accelerated depreciation at our Indiana Harbor
facility due to refurbishment and the attribution of income to public unit
holders of SunCoke Energy Partners, L.P.

SEGMENT RESULTS

Domestic Coke

Domestic Coke consists of cokemaking facilities and heat recovery operations
at our Jewell, Indiana Harbor, Haverhill, Granite City and Middletown plants.
Beginning in the first quarter 2013, the Company combined its Jewell Coke and
Other Domestic Coke segments into one segment called Domestic Coke due to the
similarities of operations and contracts between the two segments. Prior year
periods have been adjusted to reflect this change.

                                                      
                                       Three Months Ended March 31,
(In millions, except per ton amounts)   2013    2012   Increase/
                                                            (Decrease)
Segment Revenues                        $ 428.2  $ 452.2  $  (24.0 )
Adjusted EBITDA^(1)                     $ 61.1    $ 54.8    $  6.3
Sales Volumes (in thousands of tons)      1,058     1,078      (20   )
Adjusted EBITDA per Ton^(1)            $ 57.75  $ 50.83  $  6.92  

^(1)  See definitions of Adjusted EBITDA and Adjusted EBITDA per Ton and
       reconciliations elsewhere in this release.

  *Segment revenues were affected by the pass-through of lower coal costs and
    lower sales volumes, which was primarily due to operating challenges at
    Indiana Harbor and one less day of production and sales due to leap year
    in 2012.
  *Adjusted EBITDA increased $6.3 million driven by Middletown, reflecting
    better operating cost recovery, and favorable comparison to prior year,
    which included $4.0 million in startup costs and lower yields at this
    facility.

International Coke

International Coke consists of a cokemaking facility in Vitória, Brazil, which
we operate for a Brazilian affiliate of ArcelorMittal. International Coke
earns operating and technology licensing fees based on production and
recognizes a dividend on its preferred stock investment assuming certain
minimum production levels are achieved at the facility.

  *Segment Adjusted EBITDA increased $1.5 million to $1.6 million in first
    quarter 2013. Prior year results were affected by higher legal costs.

Coal Mining

Coal Mining consists of our metallurgical coal mining activities conducted in
Virginia and West Virginia. A substantial portion of the metallurgical coal
produced by our coal mining operations is sold to our Jewell Coke segment for
conversion into coke.

                                                              
                                           Three Months Ended March 31,
(In millions, except per ton amounts)      2013        2012      (Decrease)
Total Coal Mining Revenues (including       $ 45.8      $ 64.1    $ (18.3  )
sales to affiliates)
Segment Revenues (excluding sales to        $ 13.6       $ 18.4     $ (4.8   )
affiliates)
Adjusted EBITDA^(1)                         $ (4.6   )   $ 7.4      $ (12.0  )
Coal Production (in thousands of tons)        349          375        (26    )
Sales Volumes (in thousands of tons)^(2)      373          373        -
Sales Price per ton (excludes               $ 121.19     $ 171.31   $ (50.12 )
transportation costs)^(3)
Adjusted EBITDA per Ton^(1)                $ (12.33 )  $ 19.84   $ (32.17 )

^(1)  See definitions of Adjusted EBITDA, Adjusted EBITDA per Ton and
       reconciliations elsewhere in this release.
^(2)   Includes production from Company and contract-operated mines.
^(3)   Includes sales to affiliates.

  *Total coal mining revenues (including sales to affiliates) declined due to
    a reduction in average sales price of approximately $50 per ton. Segment
    revenues (excluding sales to affiliates) were down due to lower average
    sale price and lower sales volumes.
  *Adjusted EBITDA was unfavorably impacted by the decline in coal sales
    price, but was partly offset by approximately $23 per ton in lower cash
    production costs as a result of our coal action plan initiatives,
    including idling mines, reducing staff, upgrading equipment and installing
    a new cyclone system in our coal prep plant.

Corporate and Other

Corporate expenses declined by $1.0 million to $5.8 million in first quarter
2013. The decline was due to various factors including lower stock
compensation expense, the favorable settlement of certain litigation and
foreign exchange gains, which were partly offset by higher consulting fees.

Interest Expense, Net

Net interest expense increased $3.8 million in first quarter 2013 to $15.8
million. Of the $3.8 million increase, $2.9 million was related to a write-off
of unamortized debt issuance costs due to the early pay down of a $225 million
term loan and $0.8 million was related to debt issuance fees in connection
with the public offering of debt for SunCoke Energy Partners, L.P.

Cash Flow

Net cash provided by operations rose by $15.9 million to $12.8 million in the
first quarter 2013. The increase was primarily due to working capital changes
including a decrease in coke inventory, lower coal prices and higher accounts
payable due to timing. Offsetting this was increased accounts receivable of
$24.5 million due to the timing of the receipt of a customer payment. In
addition, accrued liabilities were reduced by the early payment of $11.8
million in settlement of a sales discount liability.

Cash used in investing activities jumped $88.7 million to $98.2 million in
first quarter 2013. The increase in capital and investment spending was
principally due to our $67.7 million investment in the VISA SunCoke joint
venture and $16.2 million used for the refurbishment of our Indiana Harbor
facility.

RECENT EVENTS

On January 24, 2013, SunCoke Energy, Inc. completed the initial public
offering of 13.5 million units, representing a 42.1 percent limited partner
interest, in its new master limited partnership, SunCoke Energy Partners, L.P.
(NYSE: SXCP) (“SXCP”). These units began trading on the New York Stock
Exchange on January 18, 2013 at $19.00 per unit. SunCoke Energy, Inc., through
certain of its subsidiaries, owns a 55.9 percent limited partner interest in
the partnership, incentive distribution rights and is the general partner of
the partnership, holding a 2.0 percent general partner interest. Certain
results reflected in this release are for periods prior to the initial public
offering of SXCP.

2013 OUTLOOK

The following summarizes the Company’s 2013 guidance:

  *Domestic coke production is expected to be in excess of 4.3million tons
  *Coal production is projected to be approximately 1.4 million tons
  *Adjusted EBITDA is expected to be between $205 million and $230 million on
    a consolidated basis. Adjusted EBITDA attributable to SXC is expected to
    be between $165 million and $190million, reflecting the impact of public
    ownership in SXCP
  *Earnings per diluted share attributable to SXC is expected to be between
    $0.30 and $0.55 per diluted share, reflecting the impact of public
    ownership in SXCP
  *Cash generated by operations is expected to be approximately $140 million
  *Capital expenditures and investments are projected to be $200 million on a
    consolidated basis, including the $67.7million investment in the VISA
    SunCoke JV. Approximately $15million of the projected 2013 capital
    expenditures has been pre-funded from the proceeds of the initial public
    offering SXCP
  *The effective tax rate for the full year 2013 is expected to be between
    14percent and 20percent, and the cash tax rate is expected to be between
    12 percent and 20 percent

RELATED COMMUNICATIONS

SunCoke Energy, Inc. and SunCoke Energy Partners, L.P. will host a joint
investor conference call today at 10:00 a.m. Eastern Time (9:00 a.m. Central
Time). This conference call will be webcast live and archived for replay on
the Investor Relations section of www.suncoke.com. Participants can listen in
by dialing 1-800-471-6718 (domestic) or 1-630-691-2735 (international) and
referencing confirmation 34619359. Please log in or dial in at least 10
minutes prior to the start time to ensure a connection. A replay of the call
will be available for seven days by calling 1-888-843-7419 (domestic) or
1-630-652-3042 (international) and referencing confirmation 34619359#.

UPCOMING EVENTS

SunCoke Energy Partners, L.P. plans to participate in the following investor
conferences:

  *Brean Capital’s 2013 Global Resources & Infrastructure Conference on May
    20-21, 2013 at Sentry Centers in New York, NY
  *Barclays High Yield Bond and Syndicated Loan Conference on May 20-22, 2013
    at the JWMarriott Chicago in Chicago, IL
  *National Association of Publicly Traded Partnerships’ 2013 MLP Investor
    Conference on May23-24, 2013 at the Hilton Stamford Hotel in Stamford, CT

DEFINITIONS

  *Adjusted EBITDA represents earnings before interest, taxes, depreciation,
    depletion and amortization (“EBITDA”) adjusted for sales discounts and the
    interest, taxes, depreciation, depletion and amortization attributable to
    equity earnings in our unconsolidated affiliates. EBITDA reflects sales
    discounts included as a reduction in sales and other operating revenue.
    The sales discounts represent the sharing with customers of a portion of
    nonconventional fuel tax credits, which reduce our income tax expense.
    However, we believe our Adjusted EBITDA would be inappropriately penalized
    if these discounts were treated as a reduction of EBITDA since they
    represent sharing of a tax benefit that is not included in EBITDA.
    Accordingly, in computing Adjusted EBITDA, we have added back these sales
    discounts. Our Adjusted EBITDA also includes EBITDA attributable to our
    unconsolidated affiliates. EBITDA and Adjusted EBITDA do not represent and
    should not be considered alternatives to net income or operating income
    under GAAP and may not be comparable to other similarly titled measures in
    other businesses. Adjusted EBITDA does not represent and should not be
    considered as an alternative to net income as determined by GAAP, and
    calculations thereof may not be comparable to those reported by other
    companies. We believe Adjusted EBITDA is an important measure of operating
    performance and provides useful information to investors because it
    highlights trends in our business that may not otherwise be apparent when
    relying solely on GAAP measures and because it eliminates items that have
    less bearing on our operating performance. Adjusted EBITDA is a measure of
    operating performance that is not defined by GAAP and should not be
    considered a substitute for net (loss) income as determined in accordance
    with GAAP.
  *Adjusted EBITDA attributable to SXC equals Adjusted EBITDA less Adjusted
    EBITDA attributable to noncontrolling interests.
  *Adjusted EBITDA per Ton represents Adjusted EBITDA divided by tons sold.
    When applicable to Adjusted EBITDA attributable to SXC, tons sold are
    prorated according to the respective ownership interest of SXC.

SUNCOKE ENERGY, INC.

SunCoke Energy, Inc. is the largest independent producer of coke in the
Americas, with 50 years of experience supplying coke to the integrated steel
industry. Our advanced, heat recovery cokemaking process produces high-quality
coke for use in steelmaking, captures waste heat for derivative energy resale
and meets or exceeds environmental standards. Our cokemaking facilities are
located in Virginia, Indiana, Ohio, Illinois and Vitoria, Brazil, and our coal
mining operations, which have more than 114 million tons of proven and
probable reserves, are located in Virginia and West Virginia. To learn more
about SunCoke Energy, Inc., visit our website at www.suncoke.com.

FORWARD LOOKING STATEMENTS

Some of the statements included in this press release constitute “forward
looking statements” (as defined in Section 27A of the Securities Act of 1933,
as amended and Section 21E of the Securities Exchange Act of 1934, as
amended). Such forward-looking statements are based on management’s beliefs
and assumptions and on information currently available. You should not put
undue reliance on any forward-looking statements. Forward-looking statements
include all statements that are not historical facts and may be identified by
the use of forward looking terminology such as the words “believe,” “expect,”
“plan,” “project,” “intend,” “anticipate,” “estimate,” “predict,” “potential,”
“continue,” “may,” “will,” “should” or the negative of these terms or similar
expressions.

Forward-looking statements involve risks, uncertainties and assumptions. Risks
and uncertainties that could cause actual results to differ materially from
those expressed in forward-looking statements include economic, business,
competitive and/or regulatory factors affecting the Company’s business, as
well as uncertainties related to the outcomes of pending or future litigation,
legislation, or regulatory actions. Among such risks are: changes in levels of
production, production capacity, pricing and/or margins for metallurgical coal
and coke; variation in availability, quality and supply of metallurgical coal
used in the cokemaking process, including as a result of non-performance by
our suppliers; changes in the marketplace that may affect supply and demand
for our metallurgical coal and/or coke products, including increased exports
of coke from China and increasing competition from alternative steelmaking and
cokemaking technologies that have the potential to reduce or eliminate the use
of metallurgical coke; our dependence on, relationships with, and other
conditions affecting our customers; severe financial hardship or bankruptcy of
one or more of our major customers, or the occurrence of a customer default
and other events affecting our ability to collect payments from our customers;
volatility and cyclical downturns in the carbon steel industry and other
industries in which our customers operate; our ability to enter into new, or
renew existing, long-term agreements upon favorable terms for the supply of
metallurgical coke to domestic and/or foreign steel producers; our ability to
develop, design, permit, construct, start up or operate new cokemaking
facilities in the U.S.; our ability to successfully implement our
international growth strategy; our ability to realize expected benefits from
investments and acquisitions, including our investment in our Indian joint
venture; our ability to consummate investments under favorable terms,
including with respect to existing cokemaking facilities, which may utilize
by-product technology, in the U.S. and Canada and integrate them into our
existing businesses and have them perform at anticipated levels; various risks
and uncertainties could negatively impact SunCoke Energy Partners, L.P.
(SXCP), our publicly traded master limited partnership; receipt of regulatory
approvals and compliance with contractual obligations required in connection
with the operations of SXCP; the impact of SXCP on our relationships with our
customers and vendors and our credit rating and cost of funds; changes in
market conditions; age of, and changes in the reliability, efficiency and
capacity of the various equipment and operating facilities used in our coal
mining and/or cokemaking operations, and in the operations of our major
customers, business partners and/or suppliers; changes in the expected
operating levels of our assets; our ability to meet minimum volume
requirements, coal-to-coke yield standards and coke quality requirements in
our coke sales agreements; changes in the level of capital expenditures or
operating expenses, including any changes in the level of environmental
capital, operating or remediation expenditures; our ability to service our
outstanding indebtedness; our ability to comply with the restrictions imposed
by our financing arrangements; nonperformance or force majeure by, or disputes
or changes in contract terms with major customers, suppliers, dealers,
distributors or other business partners; availability of skilled employees for
our coal mining and/or cokemaking operations, and other workplace factors;
effects of railroad, barge, truck and other transportation performance and
costs, including any transportation disruptions; effects of adverse events
relating to the operation of our facilities and to the transportation and
storage of hazardous materials (including equipment malfunction, explosions,
fires, spills, and the effects of severe weather conditions); our ability to
enter into joint ventures and other similar arrangements under favorable
terms; changes in the availability and cost of equity and debt financing;
impact on our liquidity and ability to raise capital as a result of changes in
the credit ratings assigned to our indebtedness; changes in credit terms
required by our suppliers; risks related to labor relations and workplace
safety; changes in, or new statutes, regulations, governmental policies and
taxes, or their interpretations, including those relating to the environment;
the existence of hazardous substances or other environmental contamination on
property owned or used by us; the availability of future permits authorizing
the disposition of certain mining waste; claims of our noncompliance with any
statutory and regulatory requirements; changes in the status of, or initiation
of new litigation, arbitration, or other proceedings to which we are a party
or liability resulting from such litigation, arbitration, or other
proceedings; historical combined and consolidated financial data may not be
reliable indicator of future results; effects resulting from our separation
from Sunoco, Inc.; incremental costs as a stand-alone public company; our
substantial indebtedness; certain covenants in our debt documents; our ability
to secure new coal supply agreements or to renew existing coal supply
agreements; our ability to acquire or develop coal reserves in an economically
feasible manner; defects in title or the loss of one or more mineral leasehold
interests; disruptions in the quantities of coal produced by our contract mine
operators; our ability to obtain and renew mining permits, and the
availability and cost of surety bonds needed in our coal mining operations;
changes in product specifications for either the coal or coke that we produce;
changes in insurance markets impacting costs and the level and types of
coverage available, and the financial ability of our insurers to meet their
obligations; changes in accounting rules and/or tax laws or their
interpretations, including the method of accounting for inventories, leases
and/or pensions; changes in financial markets impacting pension expense and
funding requirements; the accuracy of our estimates of reclamation and other
mine closure obligations; and effects of geologic conditions, weather, natural
disasters and other inherent risks beyond our control. Unpredictable or
unknown factors not disclosed in this release also could have material adverse
effects on forward-looking statements.

In accordance with the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995, SunCoke Energy has included in its filings with
the Securities and Exchange Commission cautionary language identifying
important factors (but not necessarily all the important factors) that could
cause actual results to differ materially from those expressed in any
forward-looking statement made by SunCoke Energy. For more information
concerning these factors, see SunCoke Energy’s Securities and Exchange
Commission filings. All forward-looking statements included in this press
release are expressly qualified in their entirety by such cautionary
statements. SunCoke Energy does not have any intention or obligation to update
any forward-looking statement (or its associated cautionary language) whether
as a result of new information or future events, after the date of this press
release except as required by applicable law.

                                                   
SunCoke Energy, Inc.
Consolidated Statements of Income
(Unaudited)
                                                     
                                                     Three Months Ended
                                                     March 31,
                                                     2013          2012
                                                     (Dollars in millions,
                                                     except per share amounts)
Revenues
Sales and other operating revenue                    $   451.5      $  480.6
Other income, net                                       2.4          0.7   
Total revenues                                          453.9        481.3 
                                                                    
Costs and operating expenses
Cost of products sold and operating expenses             382.4         408.3
Selling, general and administrative expenses             20.6          20.7
Depreciation, depletion and amortization                23.9         18.4  
Total costs and operating expenses                      426.9        447.4 
Operating income                                         27.0          33.9
Interest expense, net                                   15.8         12.0  
Income before income tax expense                         11.2          21.9
Income tax expense                                      4.8          5.3   
Net income                                               6.4           16.6
Less: Net income (loss) attributable to                 4.3          (0.3  )
noncontrolling interests
Net income attributable to SunCoke Energy, Inc.      $   2.1        $  16.9  
                                                                    
Earnings attributable to SunCoke Energy, Inc. per
common share:
Basic                                                $   0.03       $  0.24
Diluted                                              $   0.03       $  0.24
Weighted average common shares outstanding:
Basic                                                    70.0          70.1
Diluted                                                  70.3          70.3

                                                               
SunCoke Energy, Inc.
Consolidated Balance Sheets
                                                                  
                                                    March 31,     December 31,
                                                    2013          2012
                                                    (Unaudited)
                                                    (Dollars in millions,
                                                    except per share amounts)
Assets
Cash and cash equivalents                           $ 307.1       $  239.2
Receivables                                           97.0           70.0
Inventories                                           141.2          160.1
Deferred income taxes                                2.6          2.6     
Total current assets                                 547.9        471.9   
Investment in Brazilian cokemaking operations         41.0           41.0
Investment in equity method investee                  67.7           —
Properties, plants and equipment, net                 1,405.1        1,396.6
Lease and mineral rights, net                         52.4           52.5
Goodwill                                              9.4            9.4
Deferred charges and other assets                    43.9         39.6    
Total assets                                        $ 2,167.4    $  2,011.0 
Liabilities and Equity
Accounts payable                                    $ 151.9       $  132.9
Current portion of long-term debt                     0.3            3.3
Accrued liabilities                                   69.8           91.2
Interest payable                                      8.0            15.7
Income taxes payable                                 5.0          3.9     
Total current liabilities                            235.0        247.0   
Long-term debt                                        648.7          720.1
Obligation for black lung benefits                    34.6           34.8
Retirement benefit liabilities                        42.1           42.5
Deferred income taxes                                 363.8          361.5
Asset retirement obligations                          15.5           13.5
Other deferred credits and liabilities               16.9         16.7    
Total liabilities                                    1,356.6      1,436.1 
Equity
Preferred stock, $0.01 par value. Authorized
50,000,000 shares; no issued and outstanding
shares at March 31, 2013 and December 31, 2012
Common stock, $0.01 par value. Authorized
300,000,000 shares; issued and outstanding            0.7            0.7
69,983,178 shares and 69,988,728 shares at March
31, 2013 and December 31, 2012, respectively
Treasury stock, 751,512 shares at March 31, 2013      (11.8   )      (9.4    )
and 603,528 shares at December 31, 2012
Additional paid-in capital                            439.4          436.9
Accumulated other comprehensive loss                  (8.3    )      (7.9    )
Retained earnings                                    120.9        118.8   
Total SunCoke Energy, Inc. stockholders’ equity       540.9          539.1
Noncontrolling interests                             269.9        35.8    
Total equity                                         810.8        574.9   
Total liabilities and equity                        $ 2,167.4    $  2,011.0 

                                                
SunCoke Energy, Inc.
Consolidated Statements of Cash Flows
(Unaudited)
                                                  
                                                  Three Months Ended March 31,
                                                  2013            2012
                                                  (Dollars in millions)
Cash Flows from Operating Activities:
Net income                                        $  6.4           $  16.6
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation, depletion and amortization             23.9             18.4
Deferred income tax expense                          2.6              4.4
Payments (in excess of) less than expense for        (0.4    )        0.3
retirement plans
Share-based compensation expense                     1.4              2.0
Changes in working capital pertaining to
operating activities:
Receivables                                          (27.0   )        (12.1  )
Inventories                                          18.9             18.9
Accounts payable                                     19.0             (35.2  )
Accrued liabilities                                  (21.4   )        (3.6   )
Interest payable                                     (7.7    )        (8.1   )
Income taxes payable                                 1.3              0.3
Other                                               (4.2    )       (5.0   )
Net cash provided by (used in) operating            12.8           (3.1   )
activities
Cash Flows from Investing Activities:
Capital expenditures                                 (30.5   )        (9.5   )
Investment in equity method investee                (67.7   )       —      
Net cash used in investing activities               (98.2   )       (9.5   )
Cash Flows from Financing Activities:
Proceeds from issuance of common units of
SunCoke Energy Partners, L.P, net of offering        238.0            —
costs
Proceeds from issuance of long-term debt             150.0            —
Debt issuance costs                                  (6.0    )        —
Repayment of long-term debt                          (225.0  )        (0.8   )
Proceeds from exercise of stock options              0.9              0.9
Repurchase of common stock                           (2.4    )        (1.4   )
Cash distributions to noncontrolling interests      (2.2    )       —      
in cokemaking operations
Net cash provided by (used in) financing            153.3          (1.3   )
activities
Net increase (decrease) in cash and cash            67.9           (13.9  )
equivalents
Cash and cash equivalents at beginning of           239.2          127.5  
period
Cash and cash equivalents at end of period        $  307.1        $  113.6  

                                  
SunCoke Energy, Inc.
Segment Financial and Operating Data
The following tables set forth the sales and other operating revenues and
Adjusted EBITDA^(1) of our segments and operating data for the three ended
March 31, 2013 and 2012:
                                       
                                       Three Months Ended
                                       March 31,
                                       2013                  2012
                                       (Dollars in millions)
Sales and other operating
revenues:
Domestic Coke                          $    428.2             $   452.2
International Coke                          9.7                   10.0
Coal Mining                                 13.6                  18.4
Coal Mining intersegment sales              32.2                  45.7
Elimination of intersegment sales          (32.2     )          (45.7    )
Total                                  $    451.5            $   480.6    
Adjusted EBITDA^(1):
Domestic Coke                          $    61.1              $   54.8
International Coke                          1.6                   0.1
Coal Mining                                 (4.6      )           7.4
Corporate and Other                        (5.8      )          (6.8     )
Total                                  $    52.3             $   55.5     
Coke Operating Data:
Domestic Coke capacity                      101                   101
utilization (%)
Domestic Coke production volumes            1,051                 1,068
(thousands of tons)
International Coke
production—operated facility                216                   358
(thousands of tons)
Domestic Coke sales volumes                 1,058                 1,078
(thousands of tons)^(2)
Domestic Coke Adjusted EBITDA per      $    57.75             $   50.83
ton^(3)
Coal Operating Data^(4):
Coal sales volumes (thousands of
tons):
Internal use                                277                   255
Third parties                              96                  118      
Total                                      373                 373      
Coal production (thousands of               349                   375
tons)
Purchased coal (thousands of                18                    19
tons)
Coal sales price per ton
(excludes transportation               $    121.19            $   171.31
costs)^(5)
Coal cash production cost per          $    126.78            $   149.83
ton^(6)
Purchased coal cost per ton^(7)        $    97.16             $   81.45
Total coal production cost per         $    140.56            $   158.53
ton^(8)

    (1)  See definition of Adjusted EBITDA and reconciliation to GAAP
              elsewhere in this release.
              Excludes 22 thousand tons and 26 thousand tons of consigned coke
        (2)   sales in the three months ended March 31, 2013 and 2012,
              respectively.
        (3)   Reflects Domestic Coke Adjusted EBITDA divided by U.S. coke
              sales volumes.
        (4)   Includes production from Company and contract-operated mines.
        (5)   Includes sales to affiliates.
              Mining and preparation costs, excluding depreciation, depletion
              and amortization, divided by coal production volume. Prior
        (6)   periods have been restated for a change in allocation
              methodology, which resulted in additional cost being allocated
              to purchased coal.
              Costs of purchased raw coal divided by purchased coal volume.
        (7)   Prior periods have been restated for a change in allocation
              methodology, which resulted in additional cost being allocated
              to purchased coal.
              Cost of mining and preparation costs, purchased raw coal costs,
              and depreciation, depletion and amortization divided by coal
        (8)   sales volume. Depreciation, depletion and amortization per ton
              were $13.39 and $10.88 for the three months ended March 31, 2013
              and 2012, respectively.

                                                       
SunCoke Energy, Inc.
Reconciliations of Non-GAAP Information

Adjusted EBITDA to Net Income
                                                         
                                                         Three Months Ended
                                                         March 31,
                                                         2013        2012
                                                         (Dollars in millions)
Adjusted EBITDA attributable to SunCoke Energy, Inc.     $   43.9     $ 56.0
Add: Adjusted EBITDA attributable to noncontrolling         8.4       (0.5 )
interests
Adjusted EBITDA                                          $   52.3     $ 55.5 
Subtract:
Depreciation, depletion and amortization                     23.9       18.4
Interest expense, net                                        15.8       12.0
Income tax expense                                           4.8        5.3
Sales discounts provided to customers due to sharing        1.4       3.2  
of nonconventional fuel tax credits
Net income                                               $   6.4      $ 16.6 

                                                                  
Estimated 2013 Adjusted EBITDA to Estimated Net Income
                                                                       
                                                         Low           High
                                                         (Dollars in millions)
Adjusted EBITDA attributable to SunCoke Energy, Inc.     $   165       $  190
Add: EBITDA attributable to noncontrolling                  40          40
interests^(1)
Estimated 2013 Adjusted EBITDA                           $   205       $  230
Subtract:
Sales discounts                                              6            6
Adjustments to unconsolidated affiliate earnings^(2)        —           3
Estimated 2013 EBITDA                                    $   198       $  220
Subtract:
Depreciation, depletion and amortization                     97           95
Interest expense, net                                        55           55
Income tax expense                                          7           14
Net income                                               $   40        $  57

    (1)  Reflects non-controlling interests in Indiana Harbor and the
              portion of the Partnership owned by public unitholders.
        (2)   Reflects estimated pro-rata 2013 income related to the India
              joint venture.

Contact:

SunCoke Energy, Inc.
Investors:
Ryan Osterholm: 630-824-1907
or
Media:
Anna Rozenich: 630-824-1945
 
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