Coal miner Alpha amends credit facility, stock up

The Virginia-based company said on Wednesday it amended its $1.6 billion secured credit facility, giving it "a holiday" from a maximum net leverage ratio covenant of 3.75 times through 2014.

Under the amendment, Alpha's maximum net secured leverage ratio covenant will be 2.50 times during that period, rising to 4.25 times during the first quarter of 2015, 4.0 times during the 2015 second quarter, and returning to 3.75 times in the third quarter of 2015.

"We are pleased with our ability to proactively amend our secured credit facilities to achieve terms that further improve our financial flexibility as we continue to navigate a challenging market environment," said Chief Financial Officer Frank Wood.

Earlier this month Alpha said it would stop production at four mines in Kentucky, reduce thermal coal production and slash 150 jobs, as low coal prices and high costs have hurt profitability.

(Reporting By Steve James; editing by John Wallace)