February 24, 2017 - Westmoreland Coal Company (Nasdaq:WLB) today announced that it will restate financial information stemming from changes in the accounting for its customer reclamation receivables. This change has no impact on Westmoreland’s cash flow, the economic value of its contracts or its ability to collect cash for reclamation from customers. Westmoreland understands the inconvenience this creates and the team is working diligently to process this change so year-end earnings and the 10-K can be released expeditiously.

Westmoreland’s Annual Report on Form 10-K for the year ended December 31, 2016 will include restated consolidated financial statements for the years ended December 31, 2015 and 2014, and all interim periods during 2016 and 2015. Westmoreland does not intend to file amendments to previous filings with the Securities and Exchange Commission. Investors are advised to no longer rely upon previously issued financial statements, earnings releases or other financial communications.

Based on a preliminary assessment, Westmoreland expects the following changes to its financial statements as a result of this restatement:

• For the year ended December 31, 2015, an increase in revenue of $9.5 million, an increase in accretion expense (reflected in cost of sales) of $9.1 million, and an increase in depletion expense of $9.6 million.

• For the nine months ended September 30, 2016, an increase in revenue of $3.4 million, an increase in accretion expense (reflected in cost of sales) of $8.7 million, and an increase in depletion expense of $11.8 million.

• The third party reclamation receivable will now be recognized on the balance sheet as land and mineral rights. There is no impact on Westmoreland’s ability to be reimbursed for reclamation from its customers.

Westmoreland expects its Adjusted EBITDA1 to be higher than previously reported primarily from the increase in revenue and the exclusion of accretion and depletion expense from the calculation.

These amounts are preliminary and are based on Westmoreland’s current expectations. There can be no assurance that this financial information will not change, possibly materially, before Westmoreland files its Form 10-K for the year ended December 31, 2016.