The Coal Miner `On Everybody's List' as Next Bankruptcy Victim
- `People are wondering: What's the next shoe to drop?': Cutter
- Peabody's board needs to consider restructuring: Levin
KNUTSFORD, UNITED KINGDOM - NOVEMBER 24: Coal waits to be delivered from the yard of traditional coalman Ernie Lockett to homes for winter heating in Northwich on November 24, 2008 in Cheshire, England. Ernie, aged 64, has been a coalman since he was 15 and works alone on his Cheshire delivery round. Coal has seen a resurgence in use as other fuels, such as oil have seen a price increase and the fashion for solid fuel stoves has risen.
Photographer: Christopher Furlong/Getty ImagesPlummeting coal prices have pushed almost half the debt issued by U.S. coal companies into default, and for miners and their investors there’s no end in sight.
Patriot Coal Corp., Walter Energy Inc. and Alpha Natural Resources Inc. have all filed for bankruptcy in the past year. Now that Arch Coal Inc., the second largest coal miner in the U.S., has joined their ranks, investors are wondering if the biggest, Peabody Energy Corp., could be next.