Federal Trade Commission Bureau of Competition Director Ian Conner issued the following statement regarding the announcement from Peabody Energy Corporation and Arch Coal that they will abandon their proposed joint venture, which would have combined their coal mining operations in the Southern Powder River Basin:
“Peabody and Arch Coal’s decision to abandon their joint venture will preserve competition in the market for thermal coal, which is sold to power-generating utilities that provide electricity to millions of Americans. The joint venture likely would have raised the price of coal to the utilities, and ultimately to consumers.”
On Sept. 29, 2020 the U.S. District Court for the Eastern District of Missouri granted the FTC’s request for a preliminary injunction. On Feb. 26, 2020, the Commission voted 4-1 to file an administrative complaint and authorize staff to seek a temporary restraining order and preliminary injunction in federal court that would stop the proposed acquisition.
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