Noted Chadwick: “There is no industry more affected by the changing dynamics imposed by government and other economic forces as mining. The United States has long been the ‘Saudi Arabia of coal.’ And through a combination of microeconomic forces, the supply of coal is growing to a point where prices are significantly depressed. The demand is collapsing and moving overseas.”

Six coal and mining companies have filed for bankruptcy in the past two years, said Chadwick. “It reminds me of the automotive industry 10 years ago, with these very rigid cost structures,” he added. Yet there are limitations in those filings; not all of the environmental liabilities can be expunged through chapter 11. While they are ripe for bankruptcy, it’s not the panacea you may think it is to deal with all of the issues the coal industry faces.