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Massey Energy Co
Case 5:10-cv-00689 Document 83 Filed 03/11/11 Page 1 of 170 PageID #: 1266 UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF WEST VIRGINIA AT BECKLEY In re MASSEY ENERGY CO. ) Civil Action No. 5: 1 0-cv-00689 SECURITIES LITIGATION ) ) CLASS ACTION ) This Document Relates To: ) The Honorable Irene C. BerBergerg ) ALL ACTIONS Jury Trial Demanded ) CONSOLIDATED AMENDED CLASS ACTION COMPLAINT FOR VIOLATIONS OF THE FEDERAL SECURITIES LAWS Case 5:10-cv-00689 Document 83 Filed 03/11/11 Page 2 of 170 PageID #: 1267 TABLE OF CONTENTS GLOSSARY v I. NATURE AND SUMMARY OF THE ACTION 13 A. Fallout from the 2006 Fire at Massey’s Alma No. 1 Mine 14 B. Massey Created a New Corporate Image to Lure Investors by Purporting to Implement Safety Improvement Initiatives 17 C. Notwithstanding its Purported Safety Improvement Initiatives, Massey Prioritized Production Over Safety During the Class Period, Culminating in the Disaster at Upper Big Branch 18 D. After the Explosion, Criminal and Civil Investigations Revealed Deceptive Tactics Used by Massey to Cover Up its Safety-Last Approach to Coal Mining During the Class Period 20 E. Massey Restates its Critical NFDL Safety Metric and Blankenship Resigns 23 II. JURISDICTION AND VENUE 25 III. PARTIES 25 A. Plaintiffs 25 B. Massey 26 C. The Officer Defendants 26 D. The Director Defendants 28 IV. FACTUAL BACKGROUND AND SUBSTANTIVE ALLEGATIONS 32 A. Massey and its Subsidiaries 32 B. Blankenship’s Rise to Power and Reign at Massey 35 C. Before the Class Period, Massey Was Embroiled in Criminal and Civil Litigation Arising from Unlawful Safety Practices in 2006 37 D. -
Alpha Complaint
Case 2:14-cv-11609 Document 1 Filed 03/05/14 Page 1 of 32 PageID #: 1 IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF WEST VIRGINIA CHARLESTON DIVISION UNITED STATES OF AMERICA; the STATE OF WEST ) VIRGINIA by and through the WEST VIRGINIA ) DEPARTMENT OF ENVIRONMENTAL PROTECTION; the ) PENNSYLVANIA DEPARTMENT OF ENVIRONMENTAL ) PROTECTION; and the COMMONWEALTH OF ) KENTUCKY by and through the KENTUCKY ENERGY ) AND ENVIRONMENT CABINET ) ) Plaintiffs, ) ) v. ) ) Civil Action No. ________2:14-11609 ALPHA NATURAL RESOURCES, INC.; ALPHA ) APPALACHIA HOLDINGS, INC.; ALEX ENERGY, INC.; ) ALPHA PA COAL TERMINAL, LLC; AMFIRE MINING ) COMPANY, LLC; ARACOMA COAL CO., INC.; ) COMPLAINT BANDMILL COAL CORP.; BELFRY COAL CORP.; BIG ) BEAR MINING CO.; BROOKS RUN MINING COMPANY, ) LLC; BROOKS RUN SOUTH MINING LLC; CLEAR FORK ) COAL CO.; CUMBERLAND COAL RESOURCES, LP; ) DELBARTON MINING CO.; DICKENSON-RUSSELL ) COAL COMPANY, LLC; DUCHESS COAL CO.; EAGLE ) ENERGY, INC.; ELK RUN COAL CO., INC.; EMERALD ) COAL RESOURCES, LP; ENTERPRISE MINING ) COMPANY, LLC; GOALS COAL CO.; GREYEAGLE ) COAL CO.; HARLAN RECLAMATION SERVICES LLC; ) HERNDON PROCESSING CO., LLC; HIGHLAND MINING ) CO.; INDEPENDENCE COAL COMPANY, INC.; JACKS ) BRANCH COAL CO.; KANAWHA ENERGY CO.; KEPLER ) PROCESSING CO., LLC; KINGSTON MINING, INC.; ) KINGWOOD MINING CO., LLC; KNOX CREEK COAL ) CORP.; LITWAR PROCESSING CO., LLC; MARFORK ) COAL CO.; MARTIN COUNTY COAL CORP.; NEW ) RIDGE MINING CO.; OMAR MINING CO.; PARAMONT ) COAL COMPANY VIRGINIA, LLC; PAYNTER BRANCH ) MINING, -
Will Massey Energy Company Suffer Severe Penalties in Clean Water Act Case?
A BNA, INC. DAILY ! ENVIRONMENT REPORT Reproduced with permission from Daily Environment Report, Vol. 2007, No. 186, 09/26/2007, pp. B1 - B6. Copyright 2007 by The Bureau of National Affairs, Inc. (800-372-1033) http://www.bna.com ENFORCEMENT CLEAN WATER ACT When Wall Street analysts calculated the statutory maximum civil penalty in a Clean Wa- ter Act case against Massey Energy Company and several affiliated companies, a great deal of negative ‘‘buzz’’ was generated because of the potential magnitude of the fine, according to the author of this article. However, the author says the courts have been very reluctant to impose statutory maximum penalties. In this article, the author provides background on the issues in the case and, based on his experience as a consultant in these matters, offers his view of how the penalty actually will be calculated. Will Massey Energy Company Suffer Severe Penalties in Clean Water Act Case? BY ROBERT H. FUHRMAN conclusion. Even assuming the government is success- ful in its assertion of liability, my opinion, which I ex- all Street analysts and media reports have sug- plain in detail below, is that the likely penalty is in the gested Massey Energy Company faces a poten- range of $1.5 million to $7 million if this case is adjudi- W tial liability of $2.4 billion for alleged violations cated. of the Clean Water Act.1 I was retained by the company to assess its liability and have reached a far different Case Background 1 This figure appeared in several publications, including On May 10, 2007, in the U.S. -
Consent Decree: United States of America V. Massey Energy Company, Et Al., Civil Action No. 2:07-0299
IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF WEST VIRGINIA ) UNITED STATES OF AMERICA, ) ) Plaintiff, ) ) Civil Action No. 2:07-0299 ) Hon . John T . Copenhaver, Jr. MASSEY ENERGY COMPANY, et al ., ) ) CONSENT DECREE Defendants . ) ) TABLE OF CONTENTS I . BACKGROUND . ..... .... .... ... .. .. .... ..... .... ... ... ... ..... ... .-1 II . JURISDICTION AND VENUE . ..... .... .. .. ... .... .... .. .... -2 III . APPLICABILITY . ..... .... .. ... .. ... ... .... ... ... .. ... .... ... ... -2 IV . DEFINITIONS . ..... .... .... ..... ... .. .. .:... ..... ... ... ... .... ..... .... -3 V. CIVIL PENALTY ... ... ... .. .... ... ... ... .... .... ... .... .... ... ...... .... -7 VI . COMPLIANCE REQUIREMENTS . ... .... ... .... ..... ... ... .... ... .. .... .... -8 VII . INJUNCTIVE RELIEF . .... ..... ... ... .. ... ..... .... ..... ... ... ..... -12 VIII . ADDITIONAL INJUNCTIVE RELIEF .. ... ... ... .. ... ... .. .. .... -20 IX . REPORTING REQUIREMENTS . .... .... .... .... .... .... ..... .... ... .... .... -21 X. STIPULATED PENALTIES . ..... .... .. ... ..... .... ... .. ... .... .... -27 XI . FORCE MAJEURE . ...... ..... ... ... ... ... .. .. .... ...... .... :.. ..... .... .-31 XII . DISPUTE RESOLUTION . ...... ... .... ... .. ... .. ... ... .... .... .. .. -34 XIII . INFORMATION COLLECTION AND RETENTION ... .... ....... ..... ..... ., . -37 XIV. EFFECT OF SETTLEMENT/RESERVATION OF RIGHTS . ....... .... .... ... -39 XV. COSTS . .... .. .... ..... ... .... .... ...... ... .... .... ... -41 XVI. NOTICES -
Twists and Turns in Ancient Roads: As Unidentified
CLIMATE CHANGE AND THE WAR ON COAL: EXPLORING THE DARK SIDE Patrick Charles McGinley∗ To see coal purely as a gift from God overlooks the many dangerous strings attached to that gift. Similarly, to see it as just an environmental evil would be to overlook the undeniable good that accompanies that evil. “Failing to recognize both sides of coal—the vast power and the exorbitant costs—misses the essential, heartbreaking drama of the story.1 TABLE OF CONTENTS Introduction ............................................................................................... 256 I. Coal at the Millennium .......................................................................... 258 II. History of Coal ..................................................................................... 262 A. Early History .................................................................................... 262 B. Coal and the Industrial Age .............................................................. 262 C. Coal and Industrialization in the United States ................................ 263 III. Coal’s Dark Side: Examining its Externalities .................................... 265 A. The Socio-Economic Costs of Coal Mining and Burning ................ 266 1. Industrial Awakening in the Coalfields .............................. 266 ∗ Professor McGinley is the “Judge Charles H. Haden II Professor of Law” at West Virginia University. In the print version of Volume 13 Issue 2, the Vermont Journal of Environmental Law mistakenly inserted the name of a purported "co-author." -
Massey Energy Company 2007 Annual Report Any X 26765
Massey Energy Company Energy Massey 2007 MAssEy EnERgy CoMpAny Annual Report p.o. BoX 26765 RICHMonD, VA 23261 (804) 788-1800 Meet the energy behind massey energy Massey energy coMpany 2007 annual report finanCial highlights shareholder information Year Ended December 31, (In millions, except per share, per ton Common Stock Information Comparison of Cumulative Total Return for the and number of employees amounts) 2007 2006 2005 2004 2003 at February 15, 2008, there were 80,491,644 shares Period December 31, 2002 to December 31, 2007 outstanding and approximately 6,800 shareholders $ 800 Consolidated Statement of Income Data of record of Massey energy’s common stock. $ 700 produced coal revenue $ 2,054.4 $ 1,902.3 $ 1,777.7 $ 1,456.7 $ 1,262.1 Registrar and Transfer Agent $ 600 Total revenue SM 2,413.5 2,219.9 2,204.3 1,766.6 1,571.4 Wells Fargo Shareowner Services $ 500 Income (Loss) before interest and Shareowner relations Department $ 400 income taxes 179.7 111.0 (20.9) 46.2 (17.5) p.o. Box 64854 Income (Loss) before cumulative effect St. paul, Mn 55164-0854 $ 300 of accounting change 94.1 41.6 (101.6) 13.9 (32.3) For change of address, lost dividends or lost stock $ 200 net income (loss) 94.1 41.0 (101.6) 13.9 (40.2) certificates, write or telephone: $ 100 Income (Loss) per share – Basic Wells Fargo Bank, n.a. $ 0 p.o. Box 64874 Income (Loss) before cumulative effect 12/02 12/03 12/04 12/05 12/06 12/07 of accounting change $ 1.17 $ 0.51 $ (1.33) $ 0.18 $ (0.43) St. -
Response of Omar Mining Company, A.T
NORMA ACORD, ::<L 'RORY L. PERRY II, CLERK West Virginia Residents, f SUPREME COURT OF APPEALS Plaintiffs and Class Representatives, ~~l,~,j·:' OF WEST VIRGINIA Plaintiff/Petitioner, v. Appeal No. ______ Civil Action No. 04-C-lSl-0 CO LANE COMPANY, a West Virginia Circuit Court of Logan County corporation, individually and as a successor-in-interest to Cole & Crane Real Estate Trust; COAL & CRANE REAL ESTATE TRUST, a West Virginia trust; LOGAN COUNTY BOARD OF EDUCATION, a West Virginia public body; WEST VIRGINIA COAL & COKE COMPANY, a West Virginia corporation, OMAR MINING COMPANY, a West Virginia corporation, individually and as successor-in-interest to West Virginia Coal & Coke Company; A.T. MASSEY COAL COMPANY, a West Virginia corporation, individually and as a successor-in-interest to West Virginia Coal & Coke Company; MASSEY ENERGY COMPANY, a Virginia corporation, individually and as a successor-in-interest to West Virginia Coal & Coke Company; RICHARD FRY, a West Virginia resident, individually, Defendants/Respondents. RESPONSE OF OMAR MINING COMPANY, A.T. MASSEY COAL COMPANY, INC., AND MASSEY ENERGY COMPANY TO PETITION FOR APPEAL Daniel L. Stickler (WVSB # 3613) Jonathan L. Anderson (WVSB # 9628) JACKSON KELL Y PLLC 1600 Laidley Tower Charleston, West Virginia 25301 (304) 340-1000 Counsel for Respondents Omar Mining Company, A. T. Massey Coal Company, Inc., and Massey Energy Company {C1863023.1 } TABLE OF CONTENTS I. INTRODUCTION ............................................................................................................... 1 II. KIND OF PROCEEDING AND NATURE OF RULING BELOW .................................. .2 III. STATEMENT OF FACTS .................................................................................................. 3 A. Historical Background ............................................................................................. 3 1. 1920-1954: Coal & Coke's Operations in the Island Creek Valley ............. 3 2. -
Winds of Change the Newsletter of The
Winds of Change the newsletter of the March 2009 Ohio Valley Environmental Coalition E Huntington, WV www.ohvec.org Residents Vent Concerns to DEP by Joanie Newman, excerpted from Jan. 16, 2009, Coal Valley News Seventy-nine-year old Donald Maxey travelled the 6-hour drive from his home in Mt. Airy, Maryland, to Ashford Rumble Elementary School last week to voice his complaints with the Department of Environmental Protection (DEP). “I didn’t want to miss this because I was born and raised at Nellis and have family all the way up to Ridgeview,” he said. Maxey said he recalls walking over Bull Creek Mountain. “You couldn’t do that continued on page 4 MTR a threat to Hawks Nest State Park environs. See pages 3 and 16. Bush Midnight Rule Change Exposed to Sunlight of Justice In January, OVEC joined with other groups in suing planted by the Bush administration that an EPA headed by over one of Bush’s final controversial acts. With our legal Lisa Jackson stands to inherit,” Earthjustice attorney Jennifer challenge, we seek to overturn Bush’s last-minute repeal of Chavez said. “With this lawsuit, we are doing what we can the stream buffer zone rule – an environmental law that, to make it easier for the incoming administration to undo the since 1983, has prohibited surface coal mining activities damage wrought by the last one and restore our nation’s within 100 feet of flowing streams. commitment to protecting the waters and summits of the As you may have noticed, the former stream buffer Appalachians.” zone rule was ignored by coal companies and not enforced As this lawsuit proceeds, we are hoping for better by so-called regulatory agencies, but before Bush axed the coal-related enforcement under the Obama administration. -
MASSEY ENERGY COMPANY (Exact Name of Registrant As Specified in Its Charter)
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D. C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of report (Date of earliest event reported): April 8, 2010 (April 5, 2010) MASSEY ENERGY COMPANY (Exact Name of Registrant as Specified in Its Charter) Delaware 1-7775 95-0740960 (State of Incorporation) (Commission File Number) (I.R.S. Employer Identification No.) 4 North 4th Street, Richmond, Virginia 23219 (Address of principal executive offices) (Zip Code) Registrant’s telephone number, including area code: (804) 788-1800 N/A (Former name, former address and former fiscal year, if changed since last report date) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) https://www.sec.gov/Archives/edgar/data/37748/000119312510079731/d8k.htm 9/26/2015 Form 8-K Page 2 of 4 Item 7.01 Regulation FD Disclosure On April 5, 2010, an explosion occurred at the Upper Big Branch mine in Montcoal, West Virginia, operated by our subsidiary, Performance Coal Company. The explosion resulted in 25 fatalities as of the date of this Current Report on Form 8-K (“Form 8-K”). -
To Dance with the Devil: the Social Impact of Mountaintop Removal Surface Coal Mining Shirley Stewart Burns ABSTRACT
To Dance with the Devil: The Social Impact of Mountaintop Removal Surface Coal Mining Shirley Stewart Burns ABSTRACT Five generations have passed since railroads began to take West Virginia’s bountiful natural-resource treasures of coal and timber to places outside the region, decimating the state’s hardwood forests and diminishing its coal reserves. By 1920, West Virginia’s bountiful hardwood forests had nearly disappeared. The repercussions of constantly extracting resources with no thought of the future consumed those within the region. At the turn of the nineteenth century, West Virginia’s inhabitants learned a difficult lesson about what such a “dance with the devil” could do. In this present struggle, once again balancing economics with community needs for a safe and functioning environment, this generation has now done the same. 4 SHIRLEY STEWART BURNS / TO DANCE WITH THE DEVIL ARTICLE “There are two roads in life, a right one and a wrong one. There is no in-between path to take.” —Pauline Canterberry, resident of Sylvester, West Virginia As the nineteenth century gave way to the twentieth, West Virginia’s rural backcounties experienced a fundamental transformation. Natural-resource speculators pervaded the area; chief among them were the coal and timber industries, along with their handmaiden, the railroad industry. Throughout West Virginia, beautiful hardwood forests came crashing down until, by the 1920s, nearly all of them were gone.1 Railroads penetrated the rugged countryside to whisk the natural treasures of timber and coal away from the state and into the large cities beyond. Older agricultural communities were soon joined by new industrial towns that dotted the landscape for the express purpose of providing a home for workers and their families. -
Uncommon Productions Presents
Uncommon Productions and DADA Films Present A Film by Bill Haney World Premiere 2011 Sundance Film Festival Opens in Theaters June 2011 Publicity: Distribution and Marketing: Los Angeles Dada Films Fredell Pogodin & Associates MJ Peckos Fredell Pogodin /Bradley Jones (310)273-1444 (323)931-7300 [email protected] [email protected] New York required viewing FALCO INK Steven Raphael Shannon Treusch/Janice Roland/Erin Bruce (212)206-0118 (212)445-7100 [email protected] [email protected] [email protected] [email protected] Washington, DC Jamie Shor PR Collaborative (202) 339-9598 [email protected] 95 minutes • Rated PG SYNOPSIS In the valleys of Appalachia, a battle is being fought over a mountain. It is a battle with severe consequences that affect every American, regardless of their social status, economic background or where they live. It is a battle that has taken many lives and continues to do so the longer it is waged. It is a battle over protecting our health and environment from the destructive power of Big Coal. The mining and burning of coal is at the epicenter of America’s struggle to balance its energy needs with environmental concerns. Nowhere is that concern greater than in Coal River Valley, West Virginia, where a small but passionate group of ordinary citizens are trying to stop Big Coal corporations, like Massey Energy, from continuing the devastating practice of Mountain Top Removal. David, himself, never faced a Goliath like Big Coal. The citizens argue the practice of dynamiting the mountain’s top off to mine the coal within pollutes the air and water, is responsible for the deaths of their neighbors and spreads pollution to other states. -
IN RE MASSEY ENERGY ) Consolidated COMPANY DERIVATIVE and ) C.A
IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE ) IN RE MASSEY ENERGY ) Consolidated COMPANY DERIVATIVE AND ) C.A. No. 5430-CB CLASS ACTION LITIGATION ) ) OPINION @Xk\ OlYd`kk\[9 B\YilXip 7+ 1/06 @Xk\ @\Z`[\[9 IXp 3+ 1/06 Stuart Grant, Cynthia A. Calder, and Michael T. Manuel of GRANT & EISENHOFFER P.A., Wilmington, Delaware; Mark Lebovitch and David Wales of BERNSTEIN LITOWITZ BERGER & GROSSMANN LLP, New York, New York; Gregory M. Nespole and Benjamin Y. Kaufman of WOLF HALDENSTEIN ADLER FREEMAN & HERZ LLP, New York, New York; Nadeem Faruqi of FARUQI & FARUQI, LLP, New York, New York; Co-Lead Attorneys for Plaintiffs. Kevin G. Abrams, Matthew L. Miller, and Michael A. Barlow of ABRAMS & BAYLISS LLP, Wilmington, Delaware; Ronald S. Rolfe and Julie A. North of CRAVATH, SWAINE & MOORE LLP, New York, New York; Attorneys for Defendants James B. Crawford, Robert H. Foglesong, Richard M. Gabrys, E. Gordon Gee, Bobby R. Inman, Dan R. Moore, Stanley C. Suboleski, and Lady Barbara Thomas Judge. Kenneth J. Nachbar and Ryan D. Stottmann of MORRIS, NICHOLS, ARSHT & TUNNELL LLP, Wilmington, Delaware; William W. Taylor, III and Steven N. Herman of ZUCKERMAN SPAEDER LLP, Washington, DC (on behalf of Don. L. Blankenship); Peter H. White of SCHULTE ROTH & ZABEL LLP, Washington, DC (on behalf of Mark A. Clemens and Jeffrey M. Jarosinski); Stephen E. Baril of KAPLAN VOEKLER CUNNINGHAM & FRANK PLC, Richmond, Virginia; Stephen P. Anthony of COVINGTON & BURLING LLP, Washington, DC (on behalf of Christopher Adkins); Attorneys for Defendants J. Christopher Adkins, Don L. Blankenship, Mark A. Clemens, Jeffrey M.