Business
7:23 am
Wed November 28, 2012

Peabody to Close IL Mine

A Peabody Energy Corp.  subsidiary is permanently closing a southern Illinois mine because it failed to meet safety, compliance and performance standards. Bay Ridge Inc. says operations at the Willow Lake Mine near Harrisburg are unsustainable. The mine closing will affect about 400 workers.

The coal company says it expects to incur a non-cash, one-time charge of $40 million to $60 million, or 10 to 25 cents per share after tax, in the fourth quarter. The charge is mainly to write off assets, increase asset retirement obligations and accrue severance.