(Source: PRNewswire-FirstCall)
ABINGDON, Va., July 24 /PRNewswire-FirstCall/ -- Alpha Natural Resources, Inc. today announced that RiskMetrics Group, a leading provider of risk management and corporate governance services, has reiterated its support of the proposed merger with Foundation Coal .
In a report issued today, RiskMetrics noted that their analysis shows that the combination of Alpha and Foundation could create greater shareholder value over the long-term than Alpha could on a standalone basis. RiskMetrics further states that Duquesne Capital Management did not meet the burden of proving that shareholders should reject the proposed transaction.
Michael Quillen, Alpha's chairman and chief executive officer, said: "We are gratified that RiskMetrics has affirmed its prior endorsement of this transaction and recognized the value it will deliver to both Alpha and Foundation shareholders. This transaction, which we expect to be accretive in 2010, creates one of America's largest coal producers, with one of the industry's strongest balance sheets and credit profiles, diversity across geographies and production sources, and coal reserve holdings nearly four times the size of what Alpha holds today.
"Since announcing our agreement to merge with Foundation Coal in May, we have been encouraged by the overwhelmingly positive reception from our shareholders as we discussed the combined company's future prospects and strategy. RiskMetrics' report once again confirms our strong belief that the merger of Alpha and Foundation is in the best interests of both companies' shareholders, employees and customers."
In addition to RiskMetrics Group, other leading proxy advisory firms Glass Lewis & Co., Egan-Jones Proxy Services, and PROXY Governance, Inc., have also recently published reports recommending that shareholders vote "FOR" the merger of Alpha and Foundation.
Alpha and Foundation announced on June 18, 2009, that the companies' respective special meetings of stockholders to vote on the proposed merger will be held on July 31, 2009. All stockholders of record as of the close of business on June 25, 2009 will be entitled to vote at the companies' respective special meetings of stockholders.
If the Alpha and Foundation stockholders approve the proposed merger at their special meetings, then Alpha and Foundation expect to close the merger promptly after the special meetings on July 31, 2009.
About Alpha
Alpha Natural Resources, Inc. is a leading supplier of high-quality Appalachian coal to the steel industry, electric utilities and other industries.
