Alpha Natural Resources (NYSE: ANR), which like other coal producers has had its stock price beaten down in recent years due to poor coal markets, on July 16 confirmed that the New York Stock Exchange has suspended trading in the company’s common stock, effective immediately, and has initiated proceedings to delist the common stock from the exchange.
The NYSE determination was based on “abnormally low” price indications of the company’s common stock. The company said in the brief statement that it expects that its common stock will begin to trade on over-the-counter (OTC) markets beginning on July 17.
Alpha Natural Resources is one of the largest and most regionally diversified coal suppliers in the United States. With affiliate mining operations in Virginia, West Virginia, Kentucky, Pennsylvania and Wyoming, Alpha supplies metallurgical coal to the steel industry and thermal coal to generate power to customers on five continents. It grew sharply with the 2011 acquisition of Central Appalachia coal producer Massey Energy.
This is not the only such move lately for the coal industry. Walter Energy (NYSE: WLT) announced July 8 that NYSE Regulation Inc. had determined to commence proceedings to delist the company’s common stock from the New York Stock Exchange, and that trading in the company’s common stock was suspended. The NYSE’s determination is based on “abnormally low” price indications of Walter Energy’s common stock. Walter Energy is a coal producer in Alabama, West Virginia, Canada and the United Kingdom.