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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 21, 1999
ANKER COAL GROUP, INC.
(Exact Name Of Registrant As Specified in Its Charter)
Delaware 333-39643 52-1990183
(State or other jurisdiction (Commission File (I.R.S. Employer
of incorporation or organization) Number) Identification No.)
2708 Cranberry Square 26508
Morgantown, West Virginia (Zip Code)
(Address Of Principal Executive Offices)
Registrant's telephone number, including area code: (304) 594-1616
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ANKER COAL GROUP, INC.
FORM 8-K
TABLE OF CONTENTS
ITEM 5. OTHER EVENTS. . . . . . . . . . . . . . . . . . . . . . . 1
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS. . . . . . . . . . . . . 1
SIGNATURE PAGE . . . . . . . . . . . . . . . . . . . . . . . . . . 2
EXHIBIT INDEX. . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
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ITEM 5. OTHER EVENTS
Anker Coal Group, Inc. (the "Company") issued the attached press
release on October 21, 1999.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
99.1 Press Release dated October 21, 1999
1
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SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
ANKER COAL GROUP, INC.
/s/ Bruce Sparks
Bruce Sparks
President
Date: October 21, 1999
2
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FOR IMMEDIATE RELEASE
October 21, 1999
Anker Coal Announces Third Quarter Results
Morgantown, WV -- Anker Coal Group, Inc. (the "Company") announced
today its preliminary results of operations for the three and nine-month periods
ended September 30, 1999. A copy of the preliminary consolidated statements of
operations for Anker Coal Group, Inc. and its subsidiaries for these periods is
attached to this press release.
The Company's earnings before interest, taxes, depreciation, depletion
and amortization ("EBITDA") as shown in the attached statements of operations
includes certain non-recurring items. The statements of operations identifies
these items in calculating adjusted EBITDA.
Anker Coal Group, Inc. and its subsidiaries produce and sell coal used
principally for electric generation and steel production in the eastern United
States.
Contact Bruce Sparks, President, Anker Coal Group, Inc. at (304)
594-1616.
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ANKER COAL GROUP, INC. AND SUBSIDIARIES
PRELIMINARY CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
1999 1998 1999 1998
(unaudited) (unaudited) (unaudited) (unaudited)
----------- ----------- ----------- -----------
REVENUES
<S> <C> <C> <C> <C>
Coal sales and related revenue $ 60,070 $ 78,217 $ 174,293 $ 226,111
OPERATING EXPENSES
Cost of operations and selling expenses 54,376 78,612 157,824 219,543
Depreciation, depletion and amortization 4,591 4,792 13,430 13,009
General and administrative 2,836 2,679 6,781 7,767
Loss on impairment and restructuring - 417 3,461 2,246
--------- ------------ ------------ -----------
Total costs and expenses 61,803 86,500 181,496 242,565
--------- ------------ ------------ -----------
Operating loss (1,733) (8,283) (7,203) (16,454)
Interest, net of $386 capitalized for the nine months
September 30,1998 (3,853) (3,301) (11,332) (9,421)
Other (expense) income, net 860 273 2,281 821
--------- ------------ ------------ -----------
Loss before income taxes (4,726) (11,311) (16,254) (25,054)
Income tax benefit - (3,167) (200) (7,015)
--------- ------------ ------------ -----------
Net loss (4,726) (8,144) (16,054) (18,039)
Mandatorily redeemable preferred stock dividends 352 334 1,055 1,004
Mandatorily redeemable preferred stock accretion 150 150 450 450
--------- ------------ ------------ -----------
Net loss available to common stockholders $ (5,228) $ (8,628) $ (17,559) $ (19,493)
=========== ============ ============ ===========
EBITDA $ 3,718 $ (3,218) $ 8,508 $ (2,624)
Add*: Impairment and restructuring charges - 417 3,461 2,246
Financial restructuring fees 756 - 756 -
Non-cash close down costs 617 - 617 -
Reclamation accrual 205 5,100 205 5,100
Gain on sale of non-operating assets (483) - (483) -
--------- ------------ ------------ -----------
Adjusted EBITDA $ 4,813 $ 2,299 $ 13,064 $ 4,722
=========== ============ ============ ===========
</TABLE>
* These adjustments to EBITDA are non-recurring items.
