Cloud Peak Energy gets two-week reprieve on $1.8 million debt payment
Wyoming’s troubled coal firm, Cloud Peak Energy, entered a forbearance agreement with lenders and bondholders Monday, punting default on their debt, and a potential bankruptcy, for another two weeks.
The Powder River Basin coal player chose not to pay a $1.8 million debt payment last month, taking advantage of a 30-day grace period. Monday was the final day before the Gillette-based firm would have defaulted on its debt.
Under the forbearance agreement, Nomura Corporate Research and Asset Management Inc. — the adviser for Cloud Peak’s majority lenders for 2024 notes — will extend leniency for Cloud Peak until May 1, according to a company filing with the Securities and Exchange Commission on Monday.
Cloud Peak is still looking at options to deal with its financial straits, including a bankruptcy, sale or both, it noted in the filing.
Read more: https://trib.com/business/energy/cloud-peak-energy-gets-two-week-reprieve-on-million-debt/article_4be946e2-9b14-5f92-b2d1-9e4f8b636d15.html
