Wyoming coal producer reaches $1.5B deal with creditors

GILLETTE, WYO. (AP) — St. Louis based energy company, Peabody Energy Corporation, has announced an agreement with its creditors to refinance $459 million of debt, potentially staving off a second bankruptcy in five years.

The Gillette News Record reported Monday that the agreement by Peabody Energy Corporation includes all of its revolving lenders and about 65% of its 6% senior secured notes due in 2022.

Officials say the creditors have agreed to extend the 2022 notes another two years, and credit lenders also have agreed to convert existing debt into a new loan also due in December 2024.

The company is the largest thermal coal producer in the Powder River Basin.

Source: The Gillette (Wyo.) News Record