Peabody Energy Corporation (BTU): Patriot’s Bid to Cut Benefits in Judge’s Hands

Peabody Energy Corporation (NYSE:BTU) argued that on Patriot’s watch, “a series of other unforeseen events affecting all coal producers followed,” including an unprecedented global financial crisis, development of low-cost shale gas that cut demand for coal, burdensome federal regulation and a sharp drop-off in the price of Patriot’s chief product — coal used in the manufacture of steel.

Patriot earlier this year sued Peabody, saying it wants to ensure Peabody doesn’t try to use the bankruptcy to avoid health care obligations to some 3,100 retirees whose future benefits wouldn’t be part of the package Patriot proposed to the union.

Peabody Energy Corporation (NYSE:BTU) last week asked Surratt-States to throw out that lawsuit; Patriot requested that she summarily decide the matter in its favor. That ruling also is pending.

The article Patriot’s Bid to Cut Benefits in Judge’s Hands originally appeared on Fool.com and is written by Associated Press.

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