 Print Version | | Walter Energy Announces Closure of Walter Coke's Fiber Plant | | Coke Plant Expected to Resume Full ProductionTAMPA, FL, Dec 11, 2009 (MARKETWIRE via COMTEX) -- Walter Energy (NYSE: WLT), a leading U.S. producer and exporter of
premium coking coal for the global steel industry, announced today
that its Walter Coke subsidiary, based in Birmingham, Ala., plans to
close its fiber plant, effective immediately. The fiber plant
produced approximately 100,000 tons of various slag wool fiber
products annually, primarily for use in acoustical ceiling tiles,
fireproof cement, miscellaneous refractory board products and
building insulation applications.
Employees were notified of the decision earlier today. Approximately
87 positions will be eliminated as a result of the closure. However,
more than half of the employees are expected to be retained in other
areas of Walter Coke's operation, where recent sales orders are
expected to return the plant to full metallurgical coke capacity in
the first quarter of 2010.
"The fiber plant was not in our core portfolio and the business has
struggled in its current economic environment," said Victor P.
Patrick, chief executive officer of Walter Energy. "The plant's
closure will allow us to redeploy some of our human resources to a
core business."
The Company expects to record a charge of approximately $5.5 to $6.0
million in the fourth quarter 2009 related to the closure.
About Walter Energy
Walter Energy is a leading U.S. producer and exporter of premium
coking coal for the global steel industry and also produces steam
coal and industrial coal, metallurgical coke and coal bed methane
gas. The Company has revenues of approximately $1.2 billion and
employs approximately 2,150 people. For more information about Walter
Energy, please visit the Company website at www.walterenergy.com.
WLT
SOURCE: Walter Energy
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| "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Walter Energy, Inc.'s business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year. |
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