December 2, 2017 - Murray Energy Corporation (“Murray Energy”) is very distressed that the United States Senate (“Senate”) has passed a mockery of tax reform that actually increases taxes and works against job creation, a priority of President Donald J. Trump.
In its just released tax package, the Senate failed to repeal the corporate Alternative Minimum Tax (“AMT”) on American employers, and particularly capital-intensive, leveraged employers, such as coal mining companies. “For companies, like Murray Energy, which qualifies as an AMT payer, this legislation is much worse than the status quo. Our Company will see a significant tax increase resulting primarily from the loss of the business interest expense deduction,” said Mr. Robert E. Murray, Chairman, President, and Chief Executive Officer of Murray Energy. “This is a mockery of tax reform, which will irreparably harm coal miners and companies, and other businesses which are still struggling to recover from eight (8) years of devastation under the Obama Administration. Undoubtedly, when President Trump called for comprehensive tax reform, he never intended for our Nation’s coal miners and workers in other industries to be further burdened with more job-killing Federal taxation from our United States Senate,” Mr. Murray continued.
“Undoubtedly, the Senate’s so-called ‘tax reform’ will cause even more coal companies to file for bankruptcy and more coal mining families to lose their jobs, healthcare, and retirement security. We cannot afford another blow to our coal jobs and retiree programs, as has been perpetrated in the Senate’s version of ‘tax reform,’” said Mr. Murray.
“Instead of following the leadership of President Trump in tax reform, the Senate has allowed the corporate AMT to remain in effect, all in a crass effort to gain the votes of certain ineffective and befuddled United States Senators, who apparently do not care about the tax burden that is closing American companies. This tax hike will have far-reaching implications, further devastating coal communities and hampering our ability to provide for the healthcare and pension obligations for our coal mining families and retirees,” he added.
“We urge all citizens of the United States of America to contact their Senators and Congressman and remind them that they want desperately needed tax relief, not tax increases. The repeal of the AMT for businesses, contained in the United States House of Representatives’ version of the tax reform bill, will protect our fragile coal industry and other industries, as well as the livelihoods of our coal employees. The AMT must be repealed in any House-Senate conference, or we will have tax increases, not reform,” said Mr. Murray.