Peabody And Arch To Combine U.S. PRB And Colorado Assets

摘要

Peabody and Arch Coal announced that they have entered into a definitive agreement to combine the companies'Powder River Basin and Colorado assets in a highly synergistic joint venture aimed at strengthening the competitivenessof coal against natural gas and renewables, while creating substantial value for customers and shareholders.The joint venture is expected to unlock synergies with a pre-tax net present value of approximately $820 million.1Average joint venture synergies are projected to be approximately $120 million per year over the initial 10 years.2Thejoint venture will be 66.5 percent owned by Peabody and 33.5 percent owned by Arch.