A Massey official told Coal and Energy Price Report and company shareholders on Tuesday that no idling was scheduled.
“The market outlook does not differ from what appeared in the last earning calls, production plans remain constant and do not deviate from what has been said in the past.”
Last month during its earnings call, the company outlined 2009 production expectations of 38-41 million tons of coal at an average of $US60-63/t. It has projected shipments in the range of 44-46Mt at an average price of $65-67/t.
Just two weeks ago at the company’s AGM, Massey chairman Don Blankenship assured shareholders the company was on plan.
"We are not only positioned to sustain our operations in this difficult environment, but we are also in a position to make acquisitions and add to our market share should appropriate opportunities result from the weak market," Blankenship said.
At the same meeting, Massey said production was up 4%, helping it to see increased profit for the fourth time in the last five years.
Earlier this month, Massey outlined the specifics of the announced pay cuts for its executives and members in a filing with the Securities and Exchange Commission, reporting that the base pay for president Baxter Phillips, senior vice-president and chief operating officer Christopher Adkins, surface operations vice-president Michael Snelling, and vice-president and chief financial officer Eric Tolbert had been sliced by 10%, effective May 1.
The SEC documentation noted that other compensation the executives were given by contract would not be adjusted.
While no salary figures were outlined in the cost-cutting announcement, Reuters said Blankenship’s 2008 salary was $1 million (plus a cash bonus of $1.225 million), while Phillips earned $588,000. Adkins, Snelling and Tolbert earned $378,000, $332,000 and $228,000, respectively.
Massey also said in the filing that all its non-employee directors voluntarily agreed to a 10% reduction in the cash component of their annual base retainers.
