The largest producer of thermal coal in the Powder River Basin has reached an agreement with its creditors to refinance $459 million of debt, potentially staving off a second bankruptcy in five years.
The agreement by St Louis-based Peabody Energy Corporation includes all of its revolving lenders and almost 2/3 of its 6% senior secured notes due in 2022.
Peabody officials say the creditors have agreed to extend the 2022 notes another two years, and to convert existing debt into a new loan also due in December 2024.