(Source: PRNewswire)PITTSBURGH, April 23 /PRNewswire-FirstCall/ -- CONSOL Energy Inc. (NYSE: CNX), a high-Btu bituminous coal and natural gas company, had net income attributable to CONSOL Energy shareholders for the quarter ended March 31, 2009 of $195.8 million, or $1.08 per share. This is more than 260% of the net income attributable to CONSOL Energy shareholders of $75.1 million, or $0.41 per share, earned for the quarter ended March 31, 2008.

CONSOL Energy achieved several financial records for the first quarter of 2009 (excluding the 2005 quarter in which gas stock was sold), including net income attributable to CONSOL Energy shareholders of $195.8 million earnings per share of $1.08, EBITDA of $389.5 million, and EBIT of $283.3 million. CONSOL Energy also had record operating cash flows of $249.8 million.

"This was one of the best quarters in the company's history," said J. Brett Harvey, president and chief executive officer. "Despite the weakened economy, CONSOL was able to achieve outstanding net income and earnings per share. Both our coal and gas segments performed extremely well in these difficult times."

FINANCIAL RESULTS - Quarter-To-Quarter Comparison

Quarter____ Quarter

Ended____ Ended

Mar. 31,__ Mar. 31,

2009__ 2008

Total Revenue and Other Income__ $1,218.8__ $1,025.7

Net Income attributable to CONSOL Energy

shareholders__ $195.8__ $75.1

Earnings Per Share - diluted__ $1.08__ $0.41

Net Cash from Operating Activities__ $249.8__ $146.1

EBITDA__ $389.5__ $212.7

EBIT__ $283.3__ $120.0

Capital Expenditures__ $299.6__ $176.3

Cash (Provided by) Used in__ Other Investing

Activities*__ ($44.5)__ ($17.3)

In millions of dollars except per share. Amounts for capital expenditures do not include amounts for equity affiliates. *Represents net cash used in investment in Equity Affiliates and Proceeds from Sales of Assets.

For 2009, the company has essentially all of its planned coal production priced at an average realized price of $59.83 per ton, or nearly 23 percent higher than 2008 realized pricing. CNX Gas has just over 50 percent of its planned 2009 gas production hedged at an average price of $9.52 per thousand cubic feet.

Quarter-To-Quarter Analysis of Financial Results

Total Revenue and Other Income was $1,218.8 million for the quarter ended March 31, 2009, compared with $1,025.7 million for the March 2008 quarter, or an increase of 18.8 percent. The improvement was due to higher coal pricing and gas production.

Net income attributable to CONSOL Energy shareholders and Earnings per Share were $195.8 million and $1.08 per share, respectively, for the just ended quarter. This was over 260% of the $75.1 million, and $0.41, respectively, from the levels of the March 2008 quarter. Again, the improvement was due to higher coal pricing and gas production.

CONSOL Energy had Net Cash from Operating Activities of $249.8 million for the March 2009 quarter, with $126.4 million attributable to CNX Gas. For CONSOL Energy, this compares to $146.1 million for the March 2008 quarter, an increase of 71.0 percent. Once again, the improvement was due to higher coal pricing and higher gas production.

CONSOL Energy had total capital expenditures of $299.6 million in the March 2009 quarter, with $133.6 million attributable to CNX Gas. For CONSOL Energy, capital expenditures are expected to lessen over the remaining quarters of 2009 as some projects already underway move toward completion.

Liquidity

As of March 31, 2009, CONSOL Energy had $440 million of short- term debt and $364.5 million in total liquidity, which is comprised of $71.6 million of cash and $292.9 million available to be borrowed under its $1.0 billion bank facility. As of March 31, 2009, CNX Gas Corporation had $80.4 million of short-term debt and $104.9 million in total liquidity, which is comprised of $0.2 million of cash and $104.7 million available to be borrowed under its $200.0 million bank facility.

COAL OPERATIONS- Quarter-To-Quarter Comparison

Quarter__ Quarter

Ended__ Ended

Mar. 31,____ Mar. 31,

2009____ 2008

Total Coal Sales (millions of tons)__ 15.4__ 16.0

Sales - Company Produced__ 15.4__ 15.7

(millions of tons)

Coal Production (millions of tons)__ 16.0*__ 16.2*

Average Realized Price Per Ton -__ $59.63__ $43.57

Company Produced

Operating Costs Per Ton__ $32.30__ $28.32

Non-Operating Charges Per Ton__ $5.70__ $5.16

DD&A Per Ton__ $4.24__ $3.91

Total Cost Per Ton - Company Produced__ $42.24__ $37.39

Operating Margins Per Ton__ $27.33__ $15.25

Financial Margins Per Ton**__ $17.38__ $6.18

Sales and production include CONSOL Energy's portion from equity affiliates and consolidated variable interest entities. Operating costs include items such as labor, supplies, power, preparation costs, project expenditures, subsidence costs, gas well plugging costs, charges for employee benefits (including Combined Fund premiums), royalties, as well as production and property taxes. Non- operating charges include items such as charges for long-term liabilities, direct administration, selling and general administration. Operating Margins Per Ton are defined as Average Realized Price Per Ton less Operating Costs Per Ton. Financial Margins Per Ton are defined as Average Realized Price Per Ton less Total Costs Per Ton - Company Produced. *Includes 0.5 and 0.3 million tons of metallurgical grade coal for the quarters ended March 31, 2009 and 2008 respectively. **May not add due to rounding.

Total coal sales were down in the March 2009 quarter, as the weak economy reduced coal burn at utilities and coal needs of steel companies.

"Because of the economy, CONSOL Energy is working with some of its customers to postpone shipments where needed. We have long term relationships with our customers that we value highly, but we expect to capture the value for our shareholders in the contracts we have signed," continued Mr. Harvey. "One option we're pursuing is spreading the value over future tonnage."

Coal production was 16.0 million tons in the March 2009 quarter, down from 16.2 million tons in the year-earlier quarter. Mr. Harvey continued, "CONSOL Energy will match its production with actual customer shipments. We are in the business of creating value for our shareholders, so we will not produce coal just to build inventory. When shipments rebound, so will our production."

Average realized price was $59.63 per ton, or 36.9 percent higher than in the year-earlier quarter, due to general market conditions.

Operating costs were $32.30 per ton, or 14.1 percent higher than in the year-earlier quarter. Supply and maintenance costs were the largest factor, with the installation of higher grade seals and a higher number of seals being built contributing to the increase. Higher gas well plugging costs, higher roof control costs, and higher equipment maintenance costs were also factors. Additionally, labor costs increased as the result of a 2007 UMWA contract.

Total costs were $42.24 per ton, or 13.0 percent higher than in the year-earlier quarter, with most of the increase coming from operating costs.

Commenting on the costs, Mr. Harvey noted that the idling of some of CONSOL's higher cost mines in the middle of the first quarter could help mitigate unit cost pressures during the rest of 2009.

Operating margins were $27.33 per ton in the March 2009 quarter, an increase of 79.2 percent from $15.25 per ton, due to higher realized pricing per ton. Financial margins were $17.38 per ton, a nearly 3-fold increase from the $6.18 per ton, also due to higher realized pricing.

Other Coal Activities

CNX Marine Terminals loaded approximately 2.2 million tons of coal in the March 2009 quarter, flat with the year-earlier quarter.

Gas Operations

CNX Gas Corporation (NYSE: CXG), 83.3 percent of which is owned by CONSOL Energy, reported total net income attributable to CNX Gas shareholders of $54.9 million for the quarter ended March 31, 2009, compared with $49.9 million in the year earlier quarter. CNX Gas Corporation also issued its earnings release on April 23, 2009. Additional information regarding CNX Gas Corporation financial and operating results for the quarter is available in its release and can be found in the investor section of its website: www.cnxgas.com

Outlook

CONSOL Energy now expects to invest $1.0 billion during calendar year 2009. The company continues to monitor and evaluate capital spending to ensure adequate liquidity and to preserve options for possible external investment. The company is committed to completing capital projects in progress, including those that increase capacity and efficiency. CNX Gas expects to invest largely from cash flow generated from operating activities for 2009.

GUIDANCE

2009__ 2010__ 2011

COAL-COMMITTED TONS W/O PRICING__ N/M__ 17.2__ 22.1

COAL-TONS WITH FIRM PRICING

Tons Committed and Priced

(MM tons, 3/31/09)__ 59.3__ 29.5__ 19.2

Avg. Realized Price/Ton Committed &

Priced__ $58.81__ $50.41__ $47.96

COAL-TONS PRICED WITH COLLARS

Tons__ 0.8__ 8.0__ 5.9

Average Ceiling__ $45.47__ $53.71__ $67.99

Average Floor__ $40.13__ $45.77__ $52.64

Note: Tons priced with ceilings and floors are not included in tons with firm pricing; they are additive. Although there is no assurance that customers with contracts will perform under these contracts, CONSOL Energy expects to capture the value of contracts through negotiated or legal means.

Production Targets

CONSOL Energy has revised its production target from 63 million tons to 62 million tons for calendar year 2009. For the second quarter of 2009, CONSOL Energy expects production to be approximately 14.9 million tons. CNX Gas raised its previously announced production guidance of 85 to 87 billion cubic feet (Bcf) for calendar year 2009.

Outlook Summary

Global demand for both coal and gas has been adversely impacted by the current economic recession and has led to lower capacity utilization in the industrial production sector. CONSOL Energy believes that a reduction in electricity generation load has been the major factor year-to-date regarding the demand for steam coal and natural gas.