Cloud Peak Energy Inc., the only pure-play Powder River Basin (PRB) coal company, announced today that the company has received interim approvals from the U.S. Bankruptcy Court for the District of Delaware for all the “First Day” motions related to the voluntary Chapter 11 petitions filed on 10 May 2019.
Colin Marshall, President and Chief Executive Officer of Cloud Peak Energy, commented: “We are pleased to have received interim approval of our First Day motions, which will allow us to continue operating as normal as we continue the sale process for all of Cloud Peak’s assets. As we move through this process, we remain focused on safely and efficiently meeting our customer commitments. I would like to thank our employees, customers and business partners for their continued support.”
The Court granted Cloud Peak Energy interim approval to access US$10 million of up to US$35 million in debtor-in-possession (DIP) financing. The US$35 million DIP financing, combined with the company’s cash on hand and funds generated from ongoing operations, is expected to provide sufficient liquidity for the company to continue operating in the ordinary course during the sale process. In addition, Cloud Peak Energy received Court approval to, among other things, continue payment of employee wages, salaries and benefits without interruption, and to pay vendors, suppliers and other providers essential to the company’s business in full for goods and services provided after the filing date. The company also received approval to continue entering into and fulfilling orders under sales contracts with customers in the ordinary course of business.
Read the article online at: https://www.worldcoal.com/power/16052019/cloud-peak-receives-court-approval-of-first-day-motions-to-support-business-operations/