Tag: Peabody Energy

12,500 Coal Retirees Told Health Plans Will End Without Bill

About 12,500 union coal miner retirees are receiving letters warning them they’ll lose their health benefits on Dec. 31 without congressional action.

The Patriot Voluntary Employee Beneficial Association shipped the letters last week. The United Mine Workers of America retirees worked at mines run by now-bankrupt Patriot Coal, Peabody Energy and Arch Coal.

The letters say the money will run out Dec. 31 unless Congress passes a bill expected to come up after the Nov. 8 election.

It would protect health care and pension benefits for about 120,000 former coal miners and their families amid the industry’s decline. Supporters call it a life-saving measure honoring a 70-year-old promise from the federal government.

Some Republicans, including Senate Majority Leader Mitch McConnell of Kentucky, are wary of bailing out unionized workers.

Peabody, Largest U.S. Coal Miner, Seeks Bankruptcy Protection

  Peabody Energy, the nation’s largest coal miner, is seeking bankruptcy protection.

The filing comes less than three months after another from Arch Coal, the country’s second-largest miner, which followed bankruptcy filings from Alpha Natural Resources.

New energy technology and tightening environmental regulations have throttled the industry and led to a wave of mine closures and job cuts. Peabody makes most of its money by selling its coal to utility companies that use it to generate electricity. But many utilities have shifted to using natural gas, which costs less than coal and produces less pollution.

Peabody Energy Corp., based in St. Louis, filed for Chapter 11 bankruptcy protection Wednesday in the United States Bankruptcy Court for the Eastern District of Missouri.

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