1255895--3/28/2008--ARCH_WESTERN_RESOURCES

related topics

{gas, price, oil}

{cost, regulation, environmental}

{debt, indebtedness, cash}

{loss, insurance, financial}

{investment, property, distribution}

{cost, operation, labor}

{customer, product, revenue}

{operation, natural, condition}

{acquisition, growth, future}

{cost, contract, operation}

Increases in the costs of mining and other industrial supplies, including steel-based supplies, diesel fuel and rubber tires, or the inability to obtain a sufficient quantity of those supplies, could negatively affect our operating costs or disrupt or delay our production. Our labor costs could increase if the shortage of skilled coal mining workers continues. Our inability to acquire additional coal reserves or our inability to develop coal reserves in an economically feasible manner may adversely affect our business. A defect in title or the loss of a leasehold interest in certain property could limit our ability to mine our coal reserves or result in significant unanticipated costs. The availability and reliability of transportation facilities and fluctuations in transportation costs could affect the demand for our coal or impair our ability to supply coal to our customers. We may be unable to realize the benefits we expect to occur as a result of acquisitions that we undertake. Our profitability depends upon the long-term coal supply agreements we have with our customers. Changes in purchasing patterns in the coal industry could make it difficult for us to extend our existing long-term coal supply agreements or to enter into new agreements in the future. The loss of, or significant reduction in, purchases by our largest customers could adversely affect our profitability. The amount of indebtedness we have incurred could significantly affect our business. We may be unable to comply with restrictions imposed by our financing arrangements. Failure to obtain or renew surety bonds on acceptable terms could affect our ability to secure reclamation and coal lease obligations and, therefore, our ability to mine or lease coal. Terrorist attacks and threats, escalation of military activity in response to such attacks or acts of war may adversely affect our business. Risks Related to Environmental and Other Regulations Governmental regulations impose significant costs on us and our customers, and future regulations could increase those costs or limit our ability to produce and sell coal. Our failure to obtain and renew permits necessary for our mining operations could negatively affect our business. The characteristics of coal may make it difficult for coal users to comply with various environmental standards related to coal combustion or utilization. As a result, coal users may switch to other fuels, which could affect the volume of our sales and the price of our products.

Full 10-K form ▸

1255895--3/28/2008--ARCH_WESTERN_RESOURCES_LLC