World Bank Backs Fiscal Reforms in Bosnia and Herzegovina to Spur Faster Growth

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WASHINGTON, March 23, 2017 — The World Bank Board of Directors today approved a EUR74.50 million (US$80 million equivalent) IBRD loan to Bosnia and Herzegovina (BiH) for the Public Finances Development Policy Operation. The program will provide budget support to underpin policy efforts by BiH authorities to improve transparency of public finances and lower fiscal pressures over the medium-term.  

BiH has one of the world’s largest public sectors relative to the size of its economy, with general government expenditures nearly 44 percent of GDP in 2016, and public enterprises adding even more to the public footprint in the economy. Much scope exists to rightsize and enhance the effectiveness of the public sector. The Public Finances Development Policy Operation supports measures to reduce public spending by as much as 2.3 percent of GDP in the medium term and lays the groundwork for further structural reforms for a more effective public sector.

Reform measures under this program reduce rigidities in the labor market and in pharmaceutical procurement, and pave the way for clearance of public sector arrears and deeper structural reforms in public financial management, health sector financing and delivery, and state-owned enterprise restructuring.  The program is anchored in the Reform Agenda, a comprehensive structural transformation agenda that is supported by all BiH governments and by all development partners, including the European Commission, the International Monetary Fund, and the World Bank Group.

“The approved program recognizes the efforts of BiH authorities to make public spending more sustainable in the medium-term,” said Ellen Goldstein, World Bank Director for the Western Balkans. “Tackling the legacy of an unwieldy and ineffective public sector is one of the most important aspects of the country’s Reform Agenda, which is designed to transform the economy in line with European Union criteria and to accelerate growth and job creation.”

The program is anchored in reforms envisioned under the public finance section of the Reform Agenda which aims to ensure fiscal sustainability amidst recovering economic growth. It is central to the World Bank Group’s Country Partnership Framework for Bosnia and Herzegovina approved in December 2015. The framework envisions around US$750 million in new lending from the World Bank for the period 2016-2020, depending on the scope and pace of reform implementation.

The World Bank portfolio of active projects in BiH includes 11 operations totaling US$ 497 million.  Areas of support include transportation, employment, energy efficiency, local infrastructure, environment, forestry, water management.

World Bank Backs Fiscal Reforms in Bosnia and Herzegovina to Spur Faster Growth

Submit the press release

WASHINGTON, March 23, 2017 — The World Bank Board of Directors today approved a EUR74.50 million (US$80 million equivalent) IBRD loan to Bosnia and Herzegovina (BiH) for the Public Finances Development Policy Operation. The program will provide budget support to underpin policy efforts by BiH authorities to improve transparency of public finances and lower fiscal pressures over the medium-term.  

BiH has one of the world’s largest public sectors relative to the size of its economy, with general government expenditures nearly 44 percent of GDP in 2016, and public enterprises adding even more to the public footprint in the economy. Much scope exists to rightsize and enhance the effectiveness of the public sector. The Public Finances Development Policy Operation supports measures to reduce public spending by as much as 2.3 percent of GDP in the medium term and lays the groundwork for further structural reforms for a more effective public sector.

Reform measures under this program reduce rigidities in the labor market and in pharmaceutical procurement, and pave the way for clearance of public sector arrears and deeper structural reforms in public financial management, health sector financing and delivery, and state-owned enterprise restructuring.  The program is anchored in the Reform Agenda, a comprehensive structural transformation agenda that is supported by all BiH governments and by all development partners, including the European Commission, the International Monetary Fund, and the World Bank Group.

“The approved program recognizes the efforts of BiH authorities to make public spending more sustainable in the medium-term,” said Ellen Goldstein, World Bank Director for the Western Balkans. “Tackling the legacy of an unwieldy and ineffective public sector is one of the most important aspects of the country’s Reform Agenda, which is designed to transform the economy in line with European Union criteria and to accelerate growth and job creation.”

The program is anchored in reforms envisioned under the public finance section of the Reform Agenda which aims to ensure fiscal sustainability amidst recovering economic growth. It is central to the World Bank Group’s Country Partnership Framework for Bosnia and Herzegovina approved in December 2015. The framework envisions around US$750 million in new lending from the World Bank for the period 2016-2020, depending on the scope and pace of reform implementation.

The World Bank portfolio of active projects in BiH includes 11 operations totaling US$ 497 million.  Areas of support include transportation, employment, energy efficiency, local infrastructure, environment, forestry, water management.

World Bank Backs Fiscal Reforms in Bosnia and Herzegovina to Spur Faster Growth

Submit the press release

WASHINGTON, March 23, 2017 — The World Bank Board of Directors today approved a EUR74.50 million (US$80 million equivalent) IBRD loan to Bosnia and Herzegovina (BiH) for the Public Finances Development Policy Operation. The program will provide budget support to underpin policy efforts by BiH authorities to improve transparency of public finances and lower fiscal pressures over the medium-term.  

BiH has one of the world’s largest public sectors relative to the size of its economy, with general government expenditures nearly 44 percent of GDP in 2016, and public enterprises adding even more to the public footprint in the economy. Much scope exists to rightsize and enhance the effectiveness of the public sector. The Public Finances Development Policy Operation supports measures to reduce public spending by as much as 2.3 percent of GDP in the medium term and lays the groundwork for further structural reforms for a more effective public sector.

Reform measures under this program reduce rigidities in the labor market and in pharmaceutical procurement, and pave the way for clearance of public sector arrears and deeper structural reforms in public financial management, health sector financing and delivery, and state-owned enterprise restructuring.  The program is anchored in the Reform Agenda, a comprehensive structural transformation agenda that is supported by all BiH governments and by all development partners, including the European Commission, the International Monetary Fund, and the World Bank Group.

“The approved program recognizes the efforts of BiH authorities to make public spending more sustainable in the medium-term,” said Ellen Goldstein, World Bank Director for the Western Balkans. “Tackling the legacy of an unwieldy and ineffective public sector is one of the most important aspects of the country’s Reform Agenda, which is designed to transform the economy in line with European Union criteria and to accelerate growth and job creation.”

The program is anchored in reforms envisioned under the public finance section of the Reform Agenda which aims to ensure fiscal sustainability amidst recovering economic growth. It is central to the World Bank Group’s Country Partnership Framework for Bosnia and Herzegovina approved in December 2015. The framework envisions around US$750 million in new lending from the World Bank for the period 2016-2020, depending on the scope and pace of reform implementation.

The World Bank portfolio of active projects in BiH includes 11 operations totaling US$ 497 million.  Areas of support include transportation, employment, energy efficiency, local infrastructure, environment, forestry, water management.

World Bank Backs Fiscal Reforms in Bosnia and Herzegovina to Spur Faster Growth

Submit the press release

WASHINGTON, March 23, 2017 — The World Bank Board of Directors today approved a EUR74.50 million (US$80 million equivalent) IBRD loan to Bosnia and Herzegovina (BiH) for the Public Finances Development Policy Operation. The program will provide budget support to underpin policy efforts by BiH authorities to improve transparency of public finances and lower fiscal pressures over the medium-term.  

BiH has one of the world’s largest public sectors relative to the size of its economy, with general government expenditures nearly 44 percent of GDP in 2016, and public enterprises adding even more to the public footprint in the economy. Much scope exists to rightsize and enhance the effectiveness of the public sector. The Public Finances Development Policy Operation supports measures to reduce public spending by as much as 2.3 percent of GDP in the medium term and lays the groundwork for further structural reforms for a more effective public sector.

Reform measures under this program reduce rigidities in the labor market and in pharmaceutical procurement, and pave the way for clearance of public sector arrears and deeper structural reforms in public financial management, health sector financing and delivery, and state-owned enterprise restructuring.  The program is anchored in the Reform Agenda, a comprehensive structural transformation agenda that is supported by all BiH governments and by all development partners, including the European Commission, the International Monetary Fund, and the World Bank Group.

“The approved program recognizes the efforts of BiH authorities to make public spending more sustainable in the medium-term,” said Ellen Goldstein, World Bank Director for the Western Balkans. “Tackling the legacy of an unwieldy and ineffective public sector is one of the most important aspects of the country’s Reform Agenda, which is designed to transform the economy in line with European Union criteria and to accelerate growth and job creation.”

The program is anchored in reforms envisioned under the public finance section of the Reform Agenda which aims to ensure fiscal sustainability amidst recovering economic growth. It is central to the World Bank Group’s Country Partnership Framework for Bosnia and Herzegovina approved in December 2015. The framework envisions around US$750 million in new lending from the World Bank for the period 2016-2020, depending on the scope and pace of reform implementation.

The World Bank portfolio of active projects in BiH includes 11 operations totaling US$ 497 million.  Areas of support include transportation, employment, energy efficiency, local infrastructure, environment, forestry, water management.

World Bank Backs Fiscal Reforms in Bosnia and Herzegovina to Spur Faster Growth

Submit the press release

WASHINGTON, March 23, 2017 — The World Bank Board of Directors today approved a EUR74.50 million (US$80 million equivalent) IBRD loan to Bosnia and Herzegovina (BiH) for the Public Finances Development Policy Operation. The program will provide budget support to underpin policy efforts by BiH authorities to improve transparency of public finances and lower fiscal pressures over the medium-term.  

BiH has one of the world’s largest public sectors relative to the size of its economy, with general government expenditures nearly 44 percent of GDP in 2016, and public enterprises adding even more to the public footprint in the economy. Much scope exists to rightsize and enhance the effectiveness of the public sector. The Public Finances Development Policy Operation supports measures to reduce public spending by as much as 2.3 percent of GDP in the medium term and lays the groundwork for further structural reforms for a more effective public sector.

Reform measures under this program reduce rigidities in the labor market and in pharmaceutical procurement, and pave the way for clearance of public sector arrears and deeper structural reforms in public financial management, health sector financing and delivery, and state-owned enterprise restructuring.  The program is anchored in the Reform Agenda, a comprehensive structural transformation agenda that is supported by all BiH governments and by all development partners, including the European Commission, the International Monetary Fund, and the World Bank Group.

“The approved program recognizes the efforts of BiH authorities to make public spending more sustainable in the medium-term,” said Ellen Goldstein, World Bank Director for the Western Balkans. “Tackling the legacy of an unwieldy and ineffective public sector is one of the most important aspects of the country’s Reform Agenda, which is designed to transform the economy in line with European Union criteria and to accelerate growth and job creation.”

The program is anchored in reforms envisioned under the public finance section of the Reform Agenda which aims to ensure fiscal sustainability amidst recovering economic growth. It is central to the World Bank Group’s Country Partnership Framework for Bosnia and Herzegovina approved in December 2015. The framework envisions around US$750 million in new lending from the World Bank for the period 2016-2020, depending on the scope and pace of reform implementation.

The World Bank portfolio of active projects in BiH includes 11 operations totaling US$ 497 million.  Areas of support include transportation, employment, energy efficiency, local infrastructure, environment, forestry, water management.

Westmoreland Reports Fourth Quarter and Full Year 2016 Results

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Generates Record Adjusted EBITDA and Free Cash Flow

Provides 2017 Guidance

/EIN News/ — ENGLEWOOD, Colo., March 28, 2017 (GLOBE NEWSWIRE) — Westmoreland Coal Company (Nasdaq:WLB) today reported its fourth quarter and full year 2016 financial results and provided its 2017 guidance.

2016 Results and Highlights:

Fourth Quarter:

  • Revenues of $392.7 million from 15.0 million tons sold
  • Net loss applicable to common shareholders of $7.6 million, or $0.41 per share
  • Record high quarterly adjusted EBITDA of $89.1 million

Full Year:

  • Revenues of $1.5 billion from 54.7 million tons sold
  • Net loss applicable to common shareholders of $27.1 million, or $1.47 per share, including a tax benefit
  • Record high annual adjusted EBITDA of $271.9 million 
  • Cash flow provided by operating activities of $151.9 million
  • Higher-than-expected free cash flow of $112.6 million

Westmoreland’s Chief Executive Officer, Kevin Paprzycki, commented, “During 2016, we delivered on our two main commitments of maximizing free cash flow generation and reducing our debt position, which we achieved while reporting record adjusted EBITDA and free cash flow.  This is a direct result of the resiliency of our business model and outstanding performance by our operators, despite an otherwise challenging market environment. We also took steps to significantly reduce the cash burn from our non-core assets, Coal Valley and ROVA, and to position them such that we are more aggressively pursuing strategic alternatives.  As we look toward 2017, we remain focused on maximizing cash generation and strengthening our balance sheet, supported, in part, by the recent Capital Power prepayment, which provides additional financial flexibility to pursue our goals.”

Safety

Westmoreland’s commitment to safety in all aspects of its operations is again reflected in the safety metrics below.

  Year Ended December 31, 2016
  Reportable Rate   Lost Time Rate
U.S. Surface Operations 1.34     0.70  
U.S. National Surface Average 1.44     0.96  
Percentage 93 %   73 %
       
U.S. Underground Operations 3.23     2.09  
U.S. National Underground Average 4.95     3.56  
Percentage 65 %   59 %
       
Canadian Operations 2.82     0.89  

Consolidated and Segment Results

Consolidated adjusted EBITDA for the fourth quarter was $89.1 million, an increase of 51% when compared with the fourth quarter of 2015.  Consolidated adjusted EBITDA for 2016 was $271.9 million, an increase of 22% when compared to 2015. The acquisition of San Juan in the Coal – U.S. segment in early 2016 contributed meaningfully to an increase in consolidated adjusted EBITDA for both the fourth quarter and full year 2016.  Increased revenue within the Coal – U.S. segment and solid execution on cost savings initiatives throughout the business, particularly within the Coal – U.S. and Coal – WMLP segments, also drove higher adjusted EBITDA in the fourth quarter and full year 2016. This was offset somewhat by lower net loan and lease receivable activity in the Coal – Canada segment.  The restatement, described below, added consolidated adjusted EBITDA of $6.1 million to the full year 2016.

Cash Flow and Liquidity

Westmoreland’s free cash flow for 2016 was $112.6 million, driven by record adjusted EBITDA and successful working capital initiatives.  Working capital added $30.1 million to free cash flow in 2016, of which $13.0 million was the direct result of the supply chain team’s focus on inventory management.  Also benefiting working capital was the timing of payables. 

Free cash flow is the net of cash flow provided by operations of $151.9 million, less capital expenditures of $46.1 million, plus net cash collected under certain contracts for loan and lease receivables of $6.8 million.  Included in cash flow provided by operations were cash uses for interest expense of $96.3 million and $32.5 million for asset retirement obligations.

During the year, Westmoreland added $37.1 million to its cash balances to end the year with cash on hand of $60.1 million.  This cash increase was driven by free cash flow generation of $112.6 million; borrowings, net of repayments, of $49.9 million; and proceeds from asset sales of $7.7 million; partially offset by cash used for debt issuance of $8.8 million and net cash used to purchase San Juan of $121.0 million.

Gross debt plus capital lease obligations at December 31, 2016 totaled $1.1 billion.  During 2016, repayments of long-term debt totaled $70.4 million.  There was $36.3 million available to draw, net of letters of credit, on Westmoreland’s revolving credit facility at December 31, 2016.  

Restatement

On February 24, 2017, Westmoreland announced that it would restate its previously issued financial statements as a result of changes in accounting for its customer reclamation receivables.  Westmoreland’s 2016 Form 10-K contains restated consolidated financial statements for the years ended December 31, 2015 and 2014, and all interim periods during 2016 and 2015.

2017 Full Year Guidance

Westmoreland’s 2017 Outlook is provided in the table below.

Commenting on the outlook for 2017, Mr. Paprzycki said, “Our 2017 outlook is similar to our 2016 expected performance as our resilient business model continues to yield consistent, predictable results.”

Key year-over-year changes impacting guidance include:

  • Of the total $52 million payment related to the Genesee Mine, as announced previously, approximately $40 million is incremental to adjusted EBITDA and free cash flow in 2017 compared to the amount Westmoreland expected to receive in the normal course of business during 2017.
  • Contract expirations (Jewett and Beulah), continued market softness in Ohio, a planned extended outage at a key customer, and a conservative view on weather resulting from the warm winter season thus far in 2017, are also expected to impact adjusted EBITDA, free cash flow and coal tons sold.
  • Westmoreland expects to generate strong cash flow again this year.  In addition to the payment from Capital Power, free cash flow is expected to benefit from positive working capital and breakeven cash flow at Coal Valley. Westmoreland also expects to receive nearly $10 million from the release of ROVA cash collateral, which is not part of the free cash flow calculation, but is available for use in de-levering and other corporate purposes.
Guidance Summary             2017
Coal tons sold             40 – 50 million tons
Adjusted EBITDA             $280 – $310 million
Free cash flow             $115 – $140 million
Capital expenditures             $40 – $50 million
Cash interest             Approximately $95 million

Notes

Westmoreland presents certain non-GAAP financial measures including adjusted EBITDA and free cash flow that management believes provide meaningful supplemental information and provide meaningful comparability to prior periods.  Reconciliations of non-GAAP to GAAP measures are presented in the accompanying tables.

Conference Call

Westmoreland Coal Company will host its earnings conference call on March 28, 2017, at 4:30 p.m. Eastern Time.  A presentation, which will be reviewed during the call, will also be available at www.westmoreland.com.

Participants may join the call using the numbers below:

A replay of the teleconference will be available until April 11, 2017 and can be accessed using the numbers below:

About Westmoreland Coal Company

Westmoreland Coal Company is the oldest independent coal company in the United States.  Westmoreland’s coal operations include surface coal mines in the United States and Canada, underground coal mines in Ohio and New Mexico, a char production facility, and a 50% interest in an activated carbon plant.  Westmoreland also owns the general partner of and a majority interest in Westmoreland Resource Partners, LP, a publicly traded coal master limited partnership (NYSE:WMLP).  Its power operations include ownership of the two-unit ROVA coal-fired power plants in North Carolina.  For more information, visit www.westmoreland.com.

Cautionary Note Regarding Forward-Looking Statements

Forward-looking statements are based on Westmoreland’s current expectations and assumptions regarding its business, the economy and other future conditions.  Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict.  Actual results may differ materially from those contemplated by the forward-looking statements.  Westmoreland cautions you against relying on any of these forward-looking statements.  They are statements neither of historical fact nor guarantees or assurances of future performance.  Important factors that could cause actual results to differ materially from those in the forward-looking statements include political, economic, business, competitive, market, weather and regulatory conditions.

Any forward-looking statements made by Westmoreland in this news release speak only as of the date on which it was made.  Westmoreland undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise, except as may be required by law.

Westmoreland Coal Company and Subsidiaries
Summary Consolidated and Operating Segment Data (Unaudited)
   
  Three Months Ended December 31,
          Increase / (Decrease)
  2016   2015
(As Restated)
  $   %
  (In thousands, except tons sold data)
Westmoreland Consolidated              
Revenues $ 392,737     $ 341,664     $ 51,073     14.9 %
Operating income (loss) 22,641     (121,621 )   144,262       *
Adjusted EBITDA 89,115     59,205     29,910     50.5 %
Tons sold – millions of equivalent tons 15.0     12.6     2.4     19.0 %
               
Coal – U.S.              
Revenues $ 173,027     $ 125,593     $ 47,434     37.8 %
Operating income (loss) (25,537 )   2,483     (28,020 )     *
Adjusted EBITDA 37,347     19,918     17,429     87.5 %
Tons sold – millions of equivalent tons 6.8     5.3     1.5     28.3 %
               
Coal – Canada              
Revenues $ 116,257     $ 113,290     $ 2,967     2.6 %
Operating income 18,184     16,531     1,653     10.0 %
Adjusted EBITDA 32,181     28,676     3,505     12.2 %
Tons sold – millions of equivalent tons 6.3     5.4     0.9     16.7 %
               
Coal – WMLP              
Revenues $ 86,072     $ 87,697     $ (1,625 )   (1.9 )%
Operating income 6,376     940     5,436     578.3 %
Adjusted EBITDA 21,044     15,535     5,509     35.5 %
Tons sold – millions of equivalent tons 1.9     1.9         %
               
Power              
Revenues $ 21,084     $ 20,422     $ 662     3.2 %
Operating income (loss) 32,301     (130,274 )   162,575       *
Adjusted EBITDA 5,854     3,895     1,959     50.3 %

* Not meaningful

Westmoreland Coal Company and Subsidiaries
Summary Consolidated and Operating Segment Data (Unaudited)
   
  Years Ended December 31,
          Increase / (Decrease)
  2016   2015
(As Restated)
  $   %
  (In thousands, except tons sold data)
Westmoreland Consolidated              
Revenues $ 1,477,960     $ 1,419,518     $ 58,442     4.1 %
Operating income (loss) 38,130     (145,696 )   183,826       *
Adjusted EBITDA 271,855     222,832     49,023     22.0 %
Tons sold – millions of equivalent tons 54.7     53.3     1.4     2.6 %
               
Coal – U.S.              
Revenues $ 651,713     $ 552,745     $ 98,968     17.9 %
Operating income (loss) (8,063 )   2,213     (10,276 )     *
Adjusted EBITDA 126,563     77,135     49,428     64.1 %
Tons sold – millions of equivalent tons 24.1     22.5     1.6     7.1 %
               
Coal – Canada              
Revenues $ 415,593     $ 430,416     $ (14,823 )   (3.4 )%
Operating income 39,104     36,830     2,274     6.2 %
Adjusted EBITDA 88,423     105,744     (17,321 )   (16.4 )%
Tons sold – millions of equivalent tons 22.8     22.9     (0.1 )   (0.4 )%
               
Coal – WMLP              
Revenues $ 349,341     $ 388,605     $ (39,264 )   (10.1 )%
Operating income (loss) 8,873     (5,211 )   14,084       *
Adjusted EBITDA 79,303     66,134     13,169     19.9 %
Tons sold – millions of equivalent tons 7.8     7.9     (0.1 )   (1.3 )%
               
Power              
Revenues $ 86,578     $ 84,423     $ 2,155     2.6 %
Operating income (loss) 28,535     (146,868 )   175,403       *
Adjusted EBITDA 3,626     743     2,883     388.0 %

* Not meaningful

Westmoreland Coal Company and Subsidiaries
Consolidated Statements of Operations (Unaudited)
         
  Three Months Ended December 31,     Years Ended December 31,
  2016   2015
(As Restated)
    2016   2015
(As Restated)
  (In thousands, except per share data)     (In thousands, except per share data)
Revenues $ 392,737     $ 341,664       $ 1,477,960     $ 1,419,518  
Cost, expenses and other:                
Cost of sales 291,952     271,167       1,156,687     1,175,849  
Depreciation, depletion and amortization 72,170     26,848       185,267     140,328  
Selling and administrative 27,893     24,189       108,560     95,554  
Heritage health benefit expenses 2,275     6,551       11,777     14,573  
Loss (gain) on sales of assets 245     2,718       (1,124 )   4,866  
Loss on impairment     136,210           136,210  
Restructuring charges               656  
Derivative (gain) loss (26,219 )   (1,130 )     (24,055 )   5,587  
Income from equity affiliates (1,464 )   (1,268 )     (5,591 )   (5,409 )
Other operating loss (income) 3,244     (2,000 )     8,309     (3,000 )
  370,096     463,285       1,439,830     1,565,214  
Operating income (loss) 22,641     (121,621 )     38,130     (145,696 )
Other income (expense):                
Interest expense (31,150 )   (26,597 )     (121,819 )   (101,311 )
Loss on extinguishment of debt               (5,385 )
Interest income 1,914     1,731       7,435     7,993  
Gain (loss) on foreign exchange 816     1,200       (715 )   3,674  
Other (expense) income (397 )   658       38     1,740  
  (28,817 )   (23,008 )     (115,061 )   (93,289 )
Loss before income taxes (6,176 )   (144,629 )     (76,931 )   (238,985 )
Income tax expense (benefit) 1,601     (33,848 )     (48,059 )   (19,890 )
Net loss (7,777 )   (110,781 )     (28,872 )   (219,095 )
Less net loss attributable to noncontrolling interest (226 )   (603 )     (1,771 )   (5,453 )
Net loss attributable to the Parent company (7,551 )   (110,178 )     (27,101 )   (213,642 )
Less preferred stock dividend requirements     3           3  
Net loss applicable to common shareholders $ (7,551 )   $ (110,181 )     $ (27,101 )   $ (213,645 )
Net loss per share applicable to common shareholders:                
Basic and diluted $ (0.41 )   $ (6.10 )     $ (1.47 )   $ (11.93 )
Weighted average number of common shares outstanding:                
Basic and diluted 18,571     18,062       18,486     17,905  
Westmoreland Coal Company and Subsidiaries
Consolidated Balance Sheets (Unaudited)
         
  December 31,
 2016
    December 31, 2015
(As Restated)
  (In thousands)
Assets        
Current assets:        
Cash and cash equivalents $ 60,082       $ 22,936  
Receivables:        
Trade 140,731       134,141  
Loan and lease receivables 5,867       6,157  
Other 13,261       11,627  
  159,859       151,925  
Inventories 125,515       122,156  
Other current assets 32,258       16,103  
Total current assets 377,714       313,120  
Property, plant and equipment:        
Land and mineral rights 744,253       576,313  
Plant and equipment 873,685       790,677  
  1,617,938       1,366,990  
Less accumulated depreciation, depletion and amortization 782,417       620,148  
Net property, plant and equipment 835,521       746,842  
Loan and lease receivables 44,474       49,313  
Advanced coal royalties 18,722       19,781  
Reclamation deposits 74,362       77,364  
Restricted investments and bond collateral 144,913       140,807  
Investment in joint venture 26,951       27,374  
Intangible assets, net of accumulated amortization of $4.6 million and $15.9 million at December 31, 2016 and December 31, 2015, respectively 28,199       29,190  
Other assets 34,053       12,188  
Total Assets $ 1,584,909       $ 1,415,979  
Westmoreland Coal Company and Subsidiaries
Consolidated Balance Sheets (Continued) (Unaudited)
         
  December 31,
 2016
    December 31, 2015
(As Restated)
  (In thousands)
Liabilities and Shareholders’ Deficit        
Current liabilities:        
Current installments of long-term debt $ 86,272       $ 38,852  
Revolving lines of credit       1,970  
Accounts payable and accrued expenses:        
Trade and other accrued liabilities 142,233       109,985  
Interest payable 22,458       15,527  
Production taxes 44,995       46,895  
Postretirement medical benefits 14,892       13,855  
Deferred revenue 15,253       10,715  
Asset retirement obligations 32,207       40,571  
Other current liabilities 20,964       31,056  
Total current liabilities 379,274       309,426  
Long-term debt, less current installments 1,022,794       979,357  
Workers’ compensation, less current portion 4,499       5,068  
Excess of black lung benefit obligation over trust assets 17,594       17,220  
Postretirement medical costs, less current portion 308,709       285,518  
Pension and SERP obligations, less current portion 43,982       44,808  
Deferred revenue, less current portion 16,251       24,613  
Asset retirement obligations, less current portion 451,834       379,192  
Intangible liabilities, net of accumulated amortization of $10.8 million at December 31, 2016 and $9.8 million at December 31, 2015, respectively 2,402       3,470  
Other liabilities 27,687       30,208  
Total liabilities 2,275,026       2,078,880  
Shareholders’ deficit:        
Common stock of $0.01 par value        
Authorized 30,000,000 shares; Issued and outstanding 18,570,642 shares at December 31, 2016 and 18,162,148 shares at December 31, 2015, respectively 186       182  
Other paid-in capital 248,143       240,721  
Accumulated other comprehensive loss (179,072 )     (174,270 )
Accumulated deficit (757,367 )     (730,266 )
Total shareholders’ deficit (688,110 )     (663,633 )
Noncontrolling interests in consolidated subsidiaries (2,007 )     732  
Total deficit (690,117 )     (662,901 )
Total Liabilities and Deficit $ 1,584,909       $ 1,415,979  
Westmoreland Coal Company and Subsidiaries
Consolidated Statements of Cash Flows (Unaudited)
   
  Years Ended December 31,
  2016   2015
(As Restated)
  (In thousands)
Cash flows from operating activities:      
Net loss $ (28,872 )   $ (219,095 )
Adjustments to reconcile net loss to net cash provided by operating activities:      
Depreciation, depletion and amortization 185,267     140,328  
Accretion of asset retirement obligation 40,423     38,892  
Share-based compensation 7,584     7,748  
Non-cash interest expense 9,215     6,857  
Amortization of deferred financing costs 11,537     10,601  
Loss on extinguishment of debt     4,445  
(Gain) loss on derivative instruments (24,055 )   5,587  
Loss (gain) on foreign exchange 715     (3,674 )
Loss on impairment     136,210  
Income from equity affiliates (5,591 )   (5,409 )
Distributions from equity affiliates 6,914     7,057  
Deferred income taxes benefit (46,142 )   (17,961 )
Other (2,705 )   (146 )
Changes in operating assets and liabilities:      
Receivables (4,430 )   1,987  
Inventories 13,033     1,800  
Accounts payable and accrued expenses 10,505     (5,447 )
Interest payable 5,131     (5,569 )
Deferred revenue (7,370 )   (13,094 )
Other assets and liabilities 13,227     (19,613 )
Asset retirement obligations (32,452 )   (25,942 )
Net cash provided by operating activities 151,934     45,562  
Cash flows from investing activities:      
Additions to property, plant and equipment (46,132 )   (77,921 )
Change in restricted investments (1,238 )   (28,670 )
Cash payments in escrow for future acquisitions     34,000  
Cash payments related to acquisitions and other (120,992 )   (32,529 )
Cash acquired related to acquisition, net     2,780  
Proceeds from sales of assets 7,695     2,224  
Proceeds from the sale of restricted investments     15,532  
Receipts from loan and lease receivables 8,987     21,954  
Payments related to loan and lease receivables (2,164 )   (5,654 )
Other (1,850 )   (2,517 )
Net cash used in investing activities (155,694 )   (70,801 )
Cash flows from financing activities:      
Borrowings from long-term debt, net of debt discount 122,250     199,359  
Repayments of long-term debt (70,370 )   (148,071 )
Borrowings on revolving lines of credit 423,500     201,746  
Repayments on revolving lines of credit (425,500 )   (209,351 )
Debt issuance costs and other refinancing costs (8,784 )   (8,132 )
Proceeds from issuance of common shares      
Other (974 )   1,172  
Net cash provided by financing activities 40,122     36,723  
Effect of exchange rate changes on cash 784     (2,806 )
Net increase in cash and cash equivalents 37,146     8,678  
Cash and cash equivalents, beginning of year 22,936     14,258  
Cash and cash equivalents, end of year $ 60,082     $ 22,936  
Supplemental disclosures of cash flow information:      
Cash paid for interest $ 96,290     $ 72,972  
Cash paid for income taxes 1,316     434  
Non-cash transactions:      
Accrued purchases of property and equipment 6,496     3,766  
Capital leases and other financing sources 27,355     15,232  

Westmoreland Coal Company and Subsidiaries
Non-GAAP Reconciliations (Unaudited)

The tables below show how the Company calculates and reconciles to the most directly comparable GAAP financial measures EBITDA, Adjusted EBITDA (including a breakdown by segment), and free cash flow.

EBITDA, Adjusted EBITDA, and free cash flow are supplemental measures of financial performance that are not required by, or presented in accordance with, GAAP.  EBITDA, Adjusted EBITDA, and free cash flow are included in this news release because they are key metrics used by management to assess Westmoreland’s operating performance and as a basis for strategic planning and forecasting.  Westmoreland believes that EBITDA, Adjusted EBITDA, and free cash flow are useful to an investor in evaluating the Company’s operating performance because these measures:

  • are used widely by investors to measure a company’s operating performance without regard to items excluded from the calculation of such terms, which can vary substantially from company to company depending upon accounting methods and book value of assets, capital structure and the method by which assets were acquired, among other factors;
  • are used by rating agencies, lenders and other parties to evaluate creditworthiness; and 
  • help investors to more meaningfully evaluate and compare the results of Westmoreland’s operations from period to period by removing the effect of the Company’s capital structure and asset base from the Company’s operating results.

Neither EBITDA, Adjusted EBITDA, nor free cash flow are measures calculated in accordance with GAAP.  The items excluded from EBITDA, Adjusted EBITDA, and free cash flow are significant in assessing Westmoreland’s operating results.  EBITDA, Adjusted EBITDA, and free cash flow have limitations as analytical tools, and should not be considered in isolation from, or as a substitute for, analysis of the Company’s results as reported under GAAP.

Other companies in Westmoreland’s industry and in other industries may calculate EBITDA, Adjusted EBITDA, and free cash flow differently from the way that Westmoreland does, limiting their usefulness as comparative measures.  Because of these limitations, EBITDA, Adjusted EBITDA, and free cash flow should not be considered as measures of discretionary cash available to the Company to invest in the growth of its business.  Westmoreland compensates for these limitations by relying primarily on its GAAP results and using EBITDA, Adjusted EBITDA, and free cash flow only as supplemental data.

EBITDA and Adjusted EBITDA

EBITDA (earnings before interest expense, interest income, income taxes, depreciation, depletion, amortization and accretion expense) and Adjusted EBITDA are non-GAAP measures that do not reflect the Company’s cash expenditures, or future requirements for capital and major maintenance expenditures or contractual commitments; do not reflect income tax expenses or the cash requirements necessary to pay income taxes; do not reflect changes in, or cash requirements for, the Company’s working capital needs; and do not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on certain of the Company’s debt obligations.  In addition, although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future and EBITDA and Adjusted EBITDA do not reflect any cash requirements for such replacements.  Westmoreland considers Adjusted EBITDA to be useful because it reflects operating performance before the effects of certain non-cash items and other items that it believes are not indicative of core operations.  The Company uses Adjusted EBITDA to assess operating performance.

  Three Months Ended December 31,   Years Ended December 31,
  2016   2015
(As Restated)
  2016   2015
(As Restated)
  (In thousands)
Adjusted EBITDA by Segment              
Coal – U.S. $ 37,347     $ 19,918     $ 126,563     $ 77,135  
Coal – Canada 32,181     28,676     88,423     105,744  
Coal – WMLP 21,044     15,535     79,303     66,134  
Power 5,854     3,895     3,626     743  
Heritage (3,083 )   (6,897 )   (13,409 )   (15,596 )
Corporate (4,228 )   (1,922 )   (12,651 )   (11,328 )
Total $ 89,115     $ 59,205     $ 271,855     $ 222,832  
  Three Months Ended December 31,   Year Ended December 31,
  2016   2015
(As Restated)
  2016   2015
(As Restated)
  (In thousands)
Reconciliation of Net Loss to Adjusted EBITDA              
Net loss $ (7,777 )   $ (110,781 )   $ (28,872 )   $ (219,095 )
               
Income tax expense (benefit) 1,601     (33,848 )   (48,059 )   (19,890 )
Interest income (1,914 )   (1,731 )   (7,435 )   (7,993 )
Interest expense 31,150     26,597     121,819     101,311  
Depreciation, depletion and amortization 72,170     26,848     185,267     140,328  
Accretion of ARO 10,193     9,630     40,423     38,892  
Amortization of intangible assets and liabilities (158 )   (254 )   (810 )   (1,010 )
EBITDA $ 105,265     $ (83,539 )   $ 262,333     $ 32,543  
               
Restructuring charges             656  
(Gain) loss on foreign exchange (816 )   (1,200 )   715     (3,674 )
Loss on impairment     136,210         136,210  
Loss on extinguishment of debt             5,385  
Acquisition-related costs (1)     1,489     568     5,959  
Customer payments received under loan and lease receivables (2) 5,095     2,876     13,064     27,128  
Derivative loss (gain) (26,219 )   (1,130 )   (24,055 )   5,587  
Loss on sale/disposal of assets and other adjustments 4,131     2,339     11,646     5,290  
Share-based compensation 1,659     2,160     7,584     7,748  
Adjusted EBITDA $ 89,115     $ 59,205     $ 271,855     $ 222,832  

_________________
(1) Includes the impact of cost of sales related to the sale of inventory written up to fair value in the acquisition of Westmoreland Resources GP, LLC, the general partner of WMLP.
(2) Represents a return of and on capital. These amounts are not included in operating income or operating cash flows, as the capital outlays are treated as loan and lease receivables but are included within Adjusted EBITDA so that the cash received by the Company is treated consistently with all other contracts within the Company that do not result in loan and lease receivable accounting.

Free Cash Flow

Free cash flow represents net cash provided by (used in) operating activities less additions to property, plant and equipment (“CAPEX” or “capital expenditures”) plus net customer payments received under loan and lease receivables.  Free cash flow is a non-GAAP measure and should not be considered as an alternative to cash and cash equivalents, cash flow from operations, cash flow from investing activities, cash flow from financing activities, net income (loss) or any other measure of performance presented in accordance with GAAP.  Free cash flow is intended to represent cash flow available to satisfy our debts, after giving consideration to those expenses required to maintain our assets and infrastructure.  Accordingly, although free cash flow is not a measure of performance calculated in accordance with GAAP, the Company believes free cash flow is useful to investors because it allows analysts and others in the industry to assess performance, liquidity and ability to satisfy debt requirements.

Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow  
   
  Years Ended December 31,
  2016     2015
(As Restated)
  (In thousands)
Net cash provided by operating activities $ 151,934       $ 45,562  
Less cash paid for property, plant and equipment (46,132 )     (77,921 )
Plus net customer payments received under loan and lease receivables 6,823       16,300  
Free cash flow $ 112,625       $ (16,059 )

For further information please contact:
                    
                    Gary Kohn, Chief Financial Officer
                    1-720-354-4467
                    gkohn@westmoreland.com

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IC Media Direct – Joined ASE To Speak On Groundbreaking Brand Repair Strategies

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Experts at IC Media Direct reinforced confidence in SEO techniques and emphasized the need for every brand to regularly put out content and use technological advancement to develop and maintain captivating online presence.

The Affiliate Summit East conference launched its summer event on July 31 -August 2 2016 and saw over 5,000 business executives from across various sectors of economy, marketers, vendors, networks and media outlets. Global leader in Internet reputation management, IC Media Direct joined the summer edition of Affiliate Summit East 2016 to share expert advice on how to build and maintain positive online brand. Assembled at the New York Marriott Marquis, reputation experts spoke on the importance of building an unparalleled online brand for businesses as well as individuals, and tackled some of the forward-thinking strategies they utilize for successful content marketing.

Founded in 2003, Affiliate Summit Inc. has a proven track record in managing highly successful marketing projects and delivering numerous insightful events, educational sessions, and tradeshows. With combined experience of more than 30 years in affiliate marketing, founders of the company Shawn Collins and Missy Ward believe in the power of interpersonal networking and information exchange in today’s fast-paced digital world. Their landmark events create an invaluable learning and sharing environment for thought leaders, start-ups, merchants, and vendors to discuss new opportunities for effective business development and digital innovations. With an established expertise in providing state-of-the art solutions to customers who aim to showcase online their brand in the best light, IC Media Direct was delighted to bring first-class advice and tips on effective reputation management to affiliates and merchants at the conference. Experts at IC Media Direct reinforced confidence in search engine optimization (SEO) techniques and emphasized the need for every brand to regularly put out content and use technological advancement to develop and maintain captivating online presence.

This year’s edition of Affiliate Summit featured a collection of keynotes from most influential and thought-provoking public figures in the field of digital platforms and marketing. Speaker Scott Stratten, a social media and relationship marketing expert, President of Un-Marketing and the author of four best-selling business books, is one of „America’s 10 Marketing Gurus”, according to Business Review USA. The final and concluding day of Affiliate Summit East 2016 saw an SEO keynote panel, featuring Bruce Clay (President of Bruce Clay, Inc.), Duane Forrester (VP at Bruce Clay, Inc.), and Stephan Spencer (Co-Author of The Art of SEO).

Established in 1996, IC Media Direct is an award-winning PR and online reputation management company, dedicated to brand repair for high profile individuals and companies across the globe. Its cutting-edge technological solutions and highly competitive and unmatched online reputation packages have vastly improved the Internet presence of numerous businesses, professional athletes, politicians, fortune top 500 CEOs, celebrities, among many others. Major marketing conferences and events frequently benefit from IC Media Direct’s participation and sponsorships, including Affiliate Summit, Leadscon, SES, and ad:tech conferences.

IC Media Direct – Reputation Management: http://icmediadirectnews.com

ICMediaDirect – Online Reputation Management Magazine: http://icmediadirectmagazine.com

ICMediaDirect — Reviews & Online Reputation: http://icmediadirectreviewsonlinereputation.com

Contact Info:
Name: ICMD
Email: pr@icmediadirect.com
Organization: ICMediaDirect.com
Phone: 800-595-0821

Video URL: https://www.youtube.com/watch?v=x3QHOeY8qAM

Source URL: http://marketersmedia.com/ic-media-direct-joined-ase-to-speak-on-groundbreaking-brand-repair-strategies/181470

For more information, please visit http://www.ICMediaDirect.com

Source: MarketersMedia

Release ID: 181470

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College Hunks Hauling Junk and Moving Expands its Presence to Birmingham, AL

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/EINPresswire.com/ — BIRMINGHAM, AL–(Marketwired – March 28, 2017) – College Hunks Hauling Junk and Moving — which has been featured on „Blue Collar Millionaire,” „Shark Tank,” and other primetime shows — has expanded into Birmingham. The company provides local moving, junk removal, donation pickups, general labor and more.

This family-owned business is made up of Sean, Connor and Donna Coyne. Sean Coyne started on the trucks at the Huntsville, AL franchise.

„My brother worked with John Smith, the Huntsville franchise owner, and we saw a great opportunity to build a future for ourselves by getting involved with College Hunks,” said Connor, a former optician at a local Birmingham eye doctor.

The Birmingham College Hunks franchise is located at 237 Oxmoor Circle Suite 109 and will serve customers throughout Jefferson County. The franchise is set to open for business on March 27, 2017.

The College Hunks core values are Building Leaders; Create a Fun, Enthusiastic Team Environment; Listen, Fulfill & Delight; and Always Branding. Sean’s favorite core value is building leaders.

„We really have the opportunity to make a difference in many young men and women’s lives for the better,” said Sean.

Connor’s favorite core value is to create a fun, enthusiastic, team environment. Both Connor and Sean are excited to create a fun enthusiastic team environment for both the junk and moving teams and really getting out there to make a difference in their community. The desire to mentor leaders and aggressively grow a new market is why College Hunks Hauling Junk and Moving awarded the Coyne’s the rights to the franchise in Birmingham.

„We are very aggressive when it comes to growth, but we want to do it the right way,” said College Hunks Hauling Junk President and Co-Founder, Nick Friedman. „That means, first and foremost, finding the right franchise partner. We only want to work with people who are enthusiastic about what we’ve built as a company, and who believe in our mantra of ‚Move the World.’ Sean, Connor, and Donna live and breathe our core values, and clients are going to be blown away by the level of service they receive.”

College Hunks Hauling Junk and Moving in Birmingham is open from 8 a.m. to 9 p.m. Monday through Saturday, or from 9 a.m. to 6 p.m. on Sunday. You can reach them at (205) 386-3216 or https://collegehunkshaulingjunk.com/locations/al/birmingham/

To learn about owning a College Hunks Hauling Junk and Moving franchise, visit www.collegehunksfranchise.com.

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OutSystems Recognized as a Mobile Low-Code Development Platform Leader

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Company also cited as a leader in general low-code development platforms

SINGAPORE, March 29, 2017 /PRNewswire/ -- OutSystems, the number one platform for low-code application development, has been recognized as a Leader in The Forrester Wave: Mobile Low-Code Development Platforms, Q1 2017.

In one of the most comprehensive assessments of the low-code mobile development market, Forrester identified the 11 most significant vendors and evaluated them based on a rigorous 24-point evaluation. The result: OutSystems was recognized as a leader achieving the highest possible score in 13 criteria including integration, app scale and performance, mobile offline, number of customers, partner ecosystem, pricing strategy, and strategy assessment.

"We're thrilled to be cited as a low-code leader in two Forrester Waves, one for general-purpose low-code development and now one specifically for mobile low-code development," said Paulo Rosado, CEO of OutSystems. "I believe that this is another great validation that the market is embracing low-code platforms for enterprise app development."

According to Forrester, "Mobile low-code development platforms are an offshoot of the broader category of low-code platforms designed to support the particular needs of mobile apps ... These products go beyond general-purpose low-code development platforms by including features closely associated with mobile infrastructure services platforms or mobile middleware products, including support for mobile notifications, enterprise mobile management tools, and support for offline caching and filtering of data when devices aren't connected."

Forrester recognized OutSystems as a leader, and also recognized the following points:

  • OutSystems strong performance "reflects its commitment to enterprise customers via extensive low-code tooling for semi-professional and professional developers."
  • OutSystems strengths include its "broad features and tools for database, integration, and collaboration, coupled with an extensive set of mobile features."
  • OutSystems customer references "like the easy maintainability of the apps they've created, and … the ability to use a wider range of developer skillsets to build mobile apps."

Read a complimentary copy of The Forrester Wave™: Mobile Low-Code Development Platforms, Q1 2017 or The Forrester Wave™: Low-Code Development Platforms, Q1 2016.

Start using an OutSystems personal environment free.

About OutSystems:

Thousands of customers worldwide trust OutSystems, the number one low-code platform for rapid application development. Engineers with an obsessive attention to detail crafted every aspect of the OutSystems platform to help organizations build enterprise-grade apps and transform their business faster. OutSystems is the only solution that combines the power of low-code development with advanced mobile capabilities, enabling visual development of entire application portfolios that easily integrate with existing systems. Visit us at www.outsystems.com, or follow us on Twitter @OutSystems or LinkedIn at https://www.linkedin.com/company/outsystems.

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OutSystems Recognized as a Mobile Low-Code Development Platform Leader

Submit the press release

Company also cited as a leader in general low-code development platforms

SINGAPORE, March 29, 2017 /PRNewswire/ -- OutSystems, the number one platform for low-code application development, has been recognized as a Leader in The Forrester Wave: Mobile Low-Code Development Platforms, Q1 2017.

In one of the most comprehensive assessments of the low-code mobile development market, Forrester identified the 11 most significant vendors and evaluated them based on a rigorous 24-point evaluation. The result: OutSystems was recognized as a leader achieving the highest possible score in 13 criteria including integration, app scale and performance, mobile offline, number of customers, partner ecosystem, pricing strategy, and strategy assessment.

"We're thrilled to be cited as a low-code leader in two Forrester Waves, one for general-purpose low-code development and now one specifically for mobile low-code development," said Paulo Rosado, CEO of OutSystems. "I believe that this is another great validation that the market is embracing low-code platforms for enterprise app development."

According to Forrester, "Mobile low-code development platforms are an offshoot of the broader category of low-code platforms designed to support the particular needs of mobile apps ... These products go beyond general-purpose low-code development platforms by including features closely associated with mobile infrastructure services platforms or mobile middleware products, including support for mobile notifications, enterprise mobile management tools, and support for offline caching and filtering of data when devices aren't connected."

Forrester recognized OutSystems as a leader, and also recognized the following points:

  • OutSystems strong performance "reflects its commitment to enterprise customers via extensive low-code tooling for semi-professional and professional developers."
  • OutSystems strengths include its "broad features and tools for database, integration, and collaboration, coupled with an extensive set of mobile features."
  • OutSystems customer references "like the easy maintainability of the apps they've created, and … the ability to use a wider range of developer skillsets to build mobile apps."

Read a complimentary copy of The Forrester Wave™: Mobile Low-Code Development Platforms, Q1 2017 or The Forrester Wave™: Low-Code Development Platforms, Q1 2016.

Start using an OutSystems personal environment free.

About OutSystems:

Thousands of customers worldwide trust OutSystems, the number one low-code platform for rapid application development. Engineers with an obsessive attention to detail crafted every aspect of the OutSystems platform to help organizations build enterprise-grade apps and transform their business faster. OutSystems is the only solution that combines the power of low-code development with advanced mobile capabilities, enabling visual development of entire application portfolios that easily integrate with existing systems. Visit us at www.outsystems.com, or follow us on Twitter @OutSystems or LinkedIn at https://www.linkedin.com/company/outsystems.

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