Safety & Environmental

We are highly focused on the safety of our coal operations and work diligently to meet or exceed all safety and environmental regulations required by state and federal laws. For the year ended December 31, 2009, our non-fatal days lost incidence rate for our operations was 14.9% below the industry average. For the year ended December 31, 2009, our operations received 17.6% fewer violations per inspection day than the national average according to MSHA. In March 2010, MSHA awarded our Hopedale and Sands Hill mines in Northern Appalachia with Pacesetter for Mine Safety awards for having the lowest injury (non-fatal days lost) incident rate for 2009 in their district. Additionally, in February 2010, the Colorado Division of Reclamation, Mining and Safety and The Colorado Mining Association presented the Medium Underground Coal Mine Award to our McClane Canyon operation in Colorado for achieving zero non-fatal days lost in 2009. We believe our ability to minimize lost-time injuries and environmental and mine health and safety violations will increase our operating efficiency and maintain strong employee morale.