NEW YORK--(BUSINESS WIRE)--Link to Fitch Ratings' Report: U.S. Coal Producers (Running for Cash) http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=722995
In its report 'U.S. Coal Producers, Running for Cash' Fitch Rating highlights trends weighing on earnings and cash flow which limit recovery in capital structures before 2015.
Global oversupply and focus on cost cutting pushes price recovery out. Thin margins are driving consolidation, however, which should improve the demand-supply balance longer term.
Fitch views 2013 as a trough year for U.S. steam coal prices as a result of supply discipline and with higher natural gas prices. Metallurgical coal prices could have further to fall as annual contracts come up for renewal given limited growth potential in North American and European steel production.
The report compares margin and production information for most large coal producers and provides financial summaries for most large North American coal producers.
The report is available on Fitch Ratings' website at 'www.fitchratings.com'.
Additional information is available at 'www.fitchratings.com'.
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