Walter Industries, Inc. Announces Tuscaloosa Resources Has Committed Half of Its Calendar Year 2009 – 2011 Coal Production at $100 Per Short Ton FOB Mine
TAMPA, Fla., June 11 /PRNewswire-FirstCall/ — Walter Industries, Inc. announced today that its Tuscaloosa Resources, Inc. (TRI) subsidiary, a Birmingham, Ala.-based surface coal miner with an annual production capacity of 0.8 million tons, committed to sell 1.2 million tons of steam and industrial coal, or approximately half of its current annual production capacity for the next three calendar years, at approximately $100 per short ton FOB mine.
“We acquired TRI as part of a strategy to pursue bolt-on acquisitions of coal companies with geographic proximity to our core metallurgical coal assets in Alabama,” said Jim Walter Resources Chief Executive Officer George R. Richmond. “This three-year commitment will add significantly to TRI’s operating income and cash flows.”
About Walter Industries
Walter Industries, Inc., based in Tampa, Fla., is a leading producer and exporter of metallurgical coal for the global steel industry and also produces steam coal, coal bed methane gas, furnace and foundry coke and other related products. The Company also operates a mortgage financing and affordable homebuilding business. The Company has annual revenues of approximately $1.2 billion and employs approximately 2,500 people. For more information about Walter Industries, please visit the Company Web site at http://www.walterind.com/ .
Safe Harbor Statement
Except for historical information contained herein, the statements in this release are forward-looking and made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements, including expressions such as “believe,”"anticipate,”"expect,”"estimate,”"intend,”"may,”"will,” and similar expressions involve known and unknown risks, uncertainties, and other factors that may cause the Company’s actual results in future periods to differ materially from the expectations expressed or implied by such forward-looking statements. These factors include, among others, the following: the market demand for the Company’s products as well as changes in costs and the availability of raw material, labor, equipment and transportation; changes in weather and geologic conditions; changes in extraction costs, pricing and our assumptions and projections concerning our reserves in the Company’s mining operations; changes in customer orders; pricing actions by the Company’s competitors, customers, suppliers and contractors; changes in governmental policies and laws; changes in the mortgage-backed capital markets; changes in general economic conditions; and the successful implementation and anticipated timing of any strategic actions and objectives that may be pursued, including our announced separation of the Financing and Homebuilding business from the Company. Forward-looking statements made by the Company in this release, or elsewhere, speak only as of the date on which the statements were made. Any forward-looking statements should be considered in context with the various disclosures made by us about our businesses, including the Risk Factors described in our 2007 Annual Report on Form 10-K and our other filings with the Securities and Exchange Commission. The Company disclaims any duty to update its forward-looking statements as of any future date.
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Walter Industries, Inc.
CONTACT: Investor Contact: Mark H. Tubb, Vice President, InvestorRelations, +1-813-871-4027, mtubb@walterind.com, Media Contact: Michael A.Monahan, Director, Corporate Communications, +1-813-871-4132,mmonahan@walterind.com, both of Walter Industries, Inc.
Web site: http://www.walterind.com/