Patriot Coal Corporation to File for Bankruptcy Protection
Written by Your 5News Team
Created on July 09, 2012 @ 6:26PM
Patriot Coal Corporation is expected to seek bankruptcy protection as early as Monday. That means a court could protect the company while they reorganize their finances.
Patriot's shares fell 72% to close at 61 cents. Back in May the coal giant started working with some financial groups to create a financing package. The Saint Louis based company has been struggling since prices for coal have fallen in both power plants and steel making.
The fall in stock price pulled down shares in competitors like Alpha Natural Resources, Arch Coal, and Peabody Energy.
Patriot Coal has 10 mining operations in the Mountain State including one in Monongalia County. Stay with 5 News for the latest updates.
More Information: Patriot Coal Files for Chapter 11 Reorganization to Improve the Company's Long-term Prospects
ST. LOUIS, July 9, 2012 /PRNewswire/ -- Patriot Coal Corporation (NYSE: PCX), a producer and marketer of coal products in the eastern United States, announced today that Patriot and substantially all of its wholly owned subsidiaries have filed voluntary petitions for reorganization under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court for the Southern District of New York. Patriot has taken this action in order to undertake a comprehensive financial restructuring. Patriot expects its mining operations and customer shipments to continue in the ordinary course throughout the reorganization process. Click Here to read more.
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