February 14, 2013
By: John Clark
Ten people were arrested this week at a protest outside the St. Louis headquarters of Peabody Energy, the former parent of Patriot Coal, which filed for bankruptcy protection a few months ago, according to a report from the Huffington Post.
Sources say most of the protestors were members of the United Mine Workers of America, which could lose pension and health care benefits during Patriot Coal’s pending bankruptcy case.
Roughly 1,000 people participated in the latest protest aimed at drawing attention to the bankruptcy filing of Patriot Coal, a former subsidiary of Peabody Energy that gained independence five years ago.
The union, which represents more than 20,000 retired miners, claims that Peabody Energy absolved itself of Patriot Coal in 2007 in order to shed obligations it owed to thousands of current and former employees.
According to Dan Kane, the Secretary Treasure for the union, he and his colleagues "will not be silent" and plan to tell the public "exactly what they're doing." In response to these allegations, officials for Patriot Coal argue that the company is instead trying to help its employees by saving the company.
In a recent statement, company spokeswoman Janine Orf told sources that the decision to file bankruptcy was simply about the company’s "survival," as it tried to remain a "viable employer of 4,000 people."
Orf also noted that the company and its workers are going to have to share the financial sacrifice, and asked for patience while the company’s bankruptcy filing is "working its way through the court."
Another Peabody spokesman, Vic Svec claimed that the union’s allegations were "ludicrous," especially since the union agreed to a collective bargaining agreement after the split from Peabody Energy a few years earlier.
Svec also argued that the Patriot Coal’s financial struggles were mostly unforeseeable at the time the company became independent in 2007.
According to Svec, Patriot had an initial period of success, but was later crippled by the global recession, competition from cheap natural gas, environmental regulations, and a surprise drop in the average price of coal.
Despite these claims, however, the union members plan to continue protesting Patriot Coal’s bankruptcy, according to key officials.
PAID ATTORNEY ADVERTISEMENT: THIS WEB SITE IS A GROUP ADVERTISEMENT AND THE PARTICIPATING ATTORNEYS ARE INCLUDED BECAUSE THEY PAY AN ADVERTISING FEE. It is not a lawyer referral service or prepaid legal services plan. Total Bankruptcy is not a law firm. Your request for contact will be forwarded to the local lawyer who has paid to advertise in the ZIP code you provide. Total Bankruptcy does not endorse or recommend any lawyer or law firm who participates in the network nor does it analyze a person's legal situation when determining which participating lawyers receive a person's inquiry. It does not make any representation and has not made any judgment as to the qualifications, expertise or credentials of any participating lawyer. No representation is made that the quality of the legal services to be performed is greater than the quality of legal services performed by other lawyers. The information contained herein is not legal advice. Any information you submit to Total Bankruptcy does not create an attorney-client relationship and may not be protected by attorney-client privilege. Do not use the form to submit confidential, time-sensitive, or privileged information. All photos are of models and do not depict clients. All case evaluations are performed by participating attorneys. An attorney responsible for the content of this Site is Kevin W. Chern, Esq., licensed in Illinois with offices at 25 East Washington, Suite 400, Chicago, Illinois 60602. To see the attorney in your area who is responsible for this advertisement, please click here, or call 866-200-8052.
FLORIDA ONLY: Total Bankruptcy is considered a lawyer referral service in the state of Florida under the Florida Rules of Professional Conduct. By all other standards, Total Bankruptcy is a group advertisement and not a lawyer referral service.
If you live in Mississippi, Missouri, New York or Wyoming, please click here for additional information.
By an Act of Congress and the President of the United States, we are a federal Debt Relief Agency. Attorneys and/or law firms promoted through this Web site are also federally designated Debt Relief Agencies. They help people file for relief under the U.S. Bankruptcy Code. Disclosures Required Under the U.S. Bankruptcy Code.