Cloud Peak buys another 7-day financial reprieve
Already operating on borrowed time, Cloud Peak Energy Corp. has borrowed a little more when it was granted another seven days forbearance on a $1.8 million interest payment originally due March 15.
In a filing with the federal Securities and Exchange Commission on Wednesday afternoon, the Gillette-based thermal coal producer paints a grim picture that may be headed to Chapter 11 bankruptcy reorganization.
“We will need to restructure our balance sheet in order to improve our capital structure, adjust our business to ongoing depressed Powder River Basin thermal coal industry conditions, address our significantly reduced liquidity and continue as a going concern,” the company says in the filing.
In addition to securing a forbearance until May 7 for the $1.8 million payment on debt due in 2024, Cloud Peak said it will miss a $17.4 million payment on its 2021 notes that was due Wednesday. Instead, the company is using a 30-day grace period for that debt that extends the larger interest payment out until May 31.
Read more: https://www.gillettenewsrecord.com/news/local/article_fffdb8b1-6dd9-5ffe-9cb3-6a471ff08087.html
Earlier thread:
Cloud Peak Energy gets two-week reprieve on $1.8 million debt payment
https://www.democraticunderground.com/1085725