ACQUISITIONS (Tables)

12 Months Ended

Dec. 31, 2016

White Oak

Acquisitions

Schedule of consideration transferred

	(in thousands)
Cash on hand	$	50,000
Contingent consideration		14,800
Settlement of pre-existing relationships		124,379
Previously held equity-method investment		121,155
Total consideration transferred	$	310,334

Summary of fair value allocation of assets acquired and liabilities assumed

	(in thousands)
Cash and cash equivalents	$	3,125
Trade receivables		3,018
Prepaid expenses		3,942
Inventories		7,240
Other current assets		9,456
Property, plant and equipment		299,214
Advance royalties		3,349
Deposits		6,981
Other assets		12,829
Total identifiable assets acquired		349,154
Accounts payable		(31,181)
Accrued expenses		(20,987)
Deferred revenue		(517)
Current maturities, long-term debt		(29,529)
Long-term debt, excluding current maturities		(63,973)
Other long-term liabilities		(12,175)
Asset retirement obligations		(12,484)
Total liabilities assumed		(170,846)
Net identifiable assets acquired	$	178,308
Goodwill		132,026
Net assets acquired	$	310,334

Schedule of recognized intangible assets and liabilities acquired

			Weighted-average	Account in table
	(in thousands)		amortization period	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

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 statement 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

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