ACQUISITIONS (Tables)

12 Months Ended

Dec. 31, 2015

White Oak

Acquisitions

Schedule of consideration transferred

	Preliminary		Adjustments	Final
			(in thousands)
Cash on hand	$	50,000	-	$	50,000
Contingent consideration	14,300		500	14,800
Settlement of pre-existing relationships	119,663		4,716	124,379
Previously held equity-method investment	103,322		17,833	121,155
Total consideration transferred	$	287,285		$	310,334

Summary of fair value allocation of assets acquired and liabilities assumed

	Preliminary		Adjustments	Final
			(in thousands)
Cash and cash equivalents	$	3,125	-	$	3,125
Trade receivables	3,122		(104)	3,018
Prepaid expenses	4,364		(422)	3,942
Inventories	7,240		-	7,240
Other current assets	9,415		41	9,456
Property, plant and equipment	258,798		40,416	299,214
Advance royalties	3,349		-	3,349
Deposits	6,981		-	6,981
Other assets	5,580		7,249	12,829
Total identifiable assets acquired	301,974			349,154
Accounts payable	(31,399)		218	(31,181)
Accrued expenses	(18,609)		(2,378)	(20,987)
Deferred revenue	(517)		-	(517)
Current maturities, long-term debt	(29,529)		-	(29,529)
Long-term debt, excluding current maturities	(64,588)		615	(63,973)
Other long-term liabilities	(15,175)		3,000	(12,175)
Asset retirement obligations	(12,484)		-	(12,484)
Total liabilities assumed	(172,301)			(170,846)
Net identifiable assets acquired	$	129,673		$	178,308
Goodwill	157,612		(25,586)	132,026
Net assets acquired	$	287,285		$	310,334

	(in thousands)		Weighted-average amortization period	Account in table above
Customer contracts and intangibles
Current above-market contracts	$	9,333		Other current assets
Non-current above-market contracts	3,671			Other assets
Current below-market contracts	(4,702)			Accrued expenses
Non-current below-market contracts	(1,525)			Other long-term liabilities
Total customer contract intangibles	6,777		3 years
Mining permit	1,500		20 years	Other assets
Total intangibles acquired	$	8,277		Other current assets

Schedule of revenue and earnings since acquisition date and pro forma condensed consolidated income statement

The amounts of revenue and earnings inclusive of the $22.5 million in net gains associated with the settlement of pre-existing relationships and the Re-Measurement Loss, both discussed above, included in our consolidated statements of income from the Hamilton Acquisition Date to the period ending December 31, 2015 are as follows:

	(in thousands)
Revenue	$	75,251
Net income	20,687

The following represents the pro forma condensed consolidated income statement as if Hamilton had been included in the consolidated results of AHGP since January 1, 2014.  These amounts have been calculated after applying the ARLP Partnership’s accounting.  Additionally, our results have been adjusted to remove the effect of the ARLP Partnership’s equity investment in White Oak and the pre-existing relationships that it had in White Oak.

	Twelve Months Ended December 31,
	2015		2014
	(in thousands)
Total revenues
As reported	$	2,273,311	$	2,300,324
Pro forma	2,336,958		2,346,461
Net income
As reported	$	304,158	$	492,669
Pro forma	293,206		475,747

Patriot Coal Corporation

Acquisitions

Summary of consideration transferred and fair value allocation of assets acquired and liabilities assumed

	Preliminary		Adjustments	Final
			(in thousands)
Consideration transferred	$	47,514		$	47,874
Recognized amounts of net tangible and intangible assets acquired and liabilities assumed:
Inventories	3,255		(1,261)	1,994
Property, plant and equipment, including mineral rights and leased equipment	26,995		5,034	32,029
Customer contracts, net	19,193		-	19,193
Other assets	326		(326)	-
Asset retirement obligation	(2,255)		-	(2,255)
Other liabilities	-		(3,087)	(3,087)
Net tangible and intangible assets acquired	$	47,514		$	47,874