Upon closing of the transaction, Alliance WOR Processing, LLC, a wholly-owned subsidiary of ARLP, assumed operating control of the White Oak Mine No. 1 ("Mine No. 1"), an underground longwall mining operation located in Hamilton County, Illinois, which is currently producing high-sulfur coal from the Herrin No. 6 seam at an annual rate of approximately 6 million tons. As a result of the transaction, ARLP now owns 100 percent of the equity interests in White Oak, coal reserves at Mine No. 1 that are leased to White Oak and the preparation plant and loading facilities at Mine No. 1.

Under the terms of the agreement, ARLP paid $50 million cash at closing, which was funded with cash on hand and availability under its current credit facilities. Additional contingent consideration may be due in the future, which ARLP believes has a nominal present value based upon current market conditions.

Reflecting the acquisition of White Oak and ARLP’s results to date and continuing adjustments in response to market conditions, the following full-year guidance for 2015 is provided:

Coal Production and Sales Volumes – For the full year 2015, coal production is expected in a range of 42.8 to 43.5 million tons and sales volumes are expected in a range of 42.7 to 43.8 million tons, including anticipated coal production and sales volumes from Mine No. 1 for the remainder of 2015. ARLP has secured price commitments for approximately 42.2 million tons in 2015 and has also secured coal sales and price commitments for approximately 31.2 million tons, 13.0 million tons and 9.6 million tons in 2016, 2017 and 2018, respectively.

Revenue, EBITDA and Net Income Estimates – ARLP is currently expecting 2015 revenues in a range of $2.37 to $2.41 billion, excluding transportation revenues. Total Revenue estimates include additional coal sales revenues from Mine No. 1, partially offset by reduced other sales and operating revenue from the terminated coal royalties and surface facilities services related to White Oak.

ARLP anticipates financial performance from its existing operations will be in line with prior guidance and that gaining operating and marketing control of Mine No. 1 should be modestly accretive to EBITDA and net income for the remainder of 2015, however, the year-to-date non-cash net equity in loss of affiliates related to our preferred equity investment in White Oak was larger than our initial expectations. As a result, ARLP is adjusting previous estimates for full-year 2015 EBITDA and net income to a range of $765.0 to $795.0 million and $405.0 to $435.0 million, respectively. (For a definition of EBITDA and related reconciliations to comparable GAAP financial measures, please see the end of this release.)

Per Ton Estimates – ARLP anticipates its average coal sales price per ton at the midpoint of its 2015 guidance ranges will be approximately 4.0% lower than 2014 realizations. Based on current cost and production estimates, including the addition of low-cost production from White Oak, ARLP now anticipates total 2015 Segment Adjusted EBITDA Expense per ton at the midpoint will be comparable to 2014. (For definitions of Segment Adjusted EBITDA expense per ton and related reconciliations to comparable GAAP financial measures, please see the end of this release.)

Capital Expenditures and Investments – ARLP’s optimization efforts continue to drive capital expenditures lower. Total 2015 capital expenditures, including maintenance capital expenditures, are now estimated in a range of $265.0 to $285.0 million, a decrease at the midpoint of approximately $40.0 million since the beginning of the year. ARLP has also reduced its estimated average per ton maintenance capital expenditures for the 2015 five-year planning horizon from approximately $5.55 per ton produced to approximately $4.96 per ton produced to reflect the integration of the White Oak Mine No. 1, benefits resulting from the recent acquisition of mining equipment and optimization efforts across all operations.

In addition to these capital expenditures, ARLP now anticipates funding in 2015 investments of approximately $95.0 to $100.0 million. Included in this estimate is approximately $38.0 million to complete ARLP’s current commitment to acquire natural resource minerals, the $50.0 million payment to acquire the remaining White Oak equity interests and $10.8 million of preferred equity contribution funded to White Oak prior to today’s closing.