SEGMENT INFORMATION (Tables)

12 Months Ended

Dec. 31, 2020


	Illinois						Other and		Elimination
	Basin		Appalachia		Minerals		Corporate		(1)		Consolidated

	(in thousands)
Year Ended December 31, 2020

Revenues - Outside	$	770,051	$	500,330	$	43,141	$	14,607	$	—	$	1,328,129
Revenues - Intercompany		—		—		—		10,517		(10,517)		—
Total revenues (2)		770,051		500,330		43,141		25,124		(10,517)		1,328,129

Segment Adjusted EBITDA Expense (3)		520,324		319,730		4,106		18,543		(1,454)		861,249
Segment Adjusted EBITDA (4)		236,911		172,288		39,773		6,580		(9,063)		446,489
Total assets		1,018,916		448,567		613,916		477,469		(392,852)		2,166,016
Capital expenditures		48,648		70,960		—		1,493		—		121,101

Year Ended December 31, 2019

Revenues - Outside	$	1,219,618	$	644,389	$	53,036	$	44,677	$	—	$	1,961,720
Revenues - Intercompany		16,690		—		—		12,173		(28,863)		—
Total revenues (2)		1,236,308		644,389		53,036		56,850		(28,863)		1,961,720

Segment Adjusted EBITDA Expense (3)		756,423		423,623		7,811		36,845		(19,806)		1,204,896
Segment Adjusted EBITDA (4)		385,200		215,950		46,997		32,911		(9,057)		672,001
Total assets		1,373,516		500,027		643,213		541,261		(471,323)		2,586,694
Capital expenditures (5)		189,270		111,739		—		4,849		—		305,858

Year Ended December 31, 2018

Revenues - Outside	$	1,289,898	$	643,898	$	—	$	69,061	$	—	$	2,002,857
Revenues - Intercompany		31,191		67		—		12,431		(43,689)		—
Total revenues (2)		1,321,089		643,965		—		81,492		(43,689)		2,002,857

Segment Adjusted EBITDA Expense (3)		796,370		398,243		—		52,321		(35,134)		1,211,800
Segment Adjusted EBITDA (4)		417,773		240,286		21,323		44,864		(8,555)		715,691
Total assets		1,380,912		440,518		161,312		589,010		(177,004)		2,394,748
Capital expenditures		166,468		64,037		—		2,975		—		233,480

(1)

The elimination column represents the elimination of intercompany transactions and is primarily comprised of sales from the Matrix Group to our mining operations, coal sales and purchases between operations within different segments, sales of receivables to AROP Funding, financing between segments and insurance premiums paid to Wildcat Insurance.

(2)	Revenues included in the Other and Corporate column are primarily attributable to the outside and affiliate revenues at the Matrix Group and coal brokerage activities. In additions, Other and Corporate includes affiliate revenues for administrative and Wildcat Insurance services.

(3)	Segment Adjusted EBITDA Expense includes operating expenses, coal purchases and other income. Transportation expenses are excluded as transportation revenues are recognized in an amount equal to transportation expenses when title passes to the customer.

The following is a reconciliation of consolidated Segment Adjusted EBITDA Expense to Operating expenses (excluding depreciation, depletion and amortization):


	Year Ended December 31,
	2020		2019		2018

	(in thousands)
Segment Adjusted EBITDA Expense	$	861,249	$	1,204,896	$	1,211,800
Outside coal purchases		—		(23,357)		(1,466)
Other income (expense)		(1,593)		561		(2,621)
Operating expenses (excluding depreciation, depletion and amortization)	$	859,656	$	1,182,100	$	1,207,713

(4)

Segment Adjusted EBITDA is defined as net income attributable to ARLP before net interest expense, income taxes, depreciation, depletion and amortization, general and administrative expense, settlement gain, asset and goodwill impairments and acquisition gain. Management therefore is able to focus solely on the evaluation of segment operating profitability as it relates to our revenues and operating expenses, which are primarily controlled by our segments. Consolidated Segment Adjusted EBITDA is reconciled to net income (loss) as follows:


	Year Ended December 31,
	2020		2019		2018

	(in thousands)
Consolidated Segment Adjusted EBITDA	$	446,489	$	672,001	$	715,691
General and administrative		(59,806)		(72,997)		(68,298)
Depreciation, depletion and amortization		(313,387)		(309,075)		(280,225)
Settlement gain		—		—		80,000
Asset impairments		(24,977)		(15,190)		(40,483)
Goodwill impairment		(132,026)		—		—
Interest expense, net		(45,478)		(45,496)		(40,059)
Acquisition gain		—		177,043		—
Income tax (expense) benefit		(35)		211		(22)
Acquisition gain attributable to noncontrolling interest		—		(7,083)		—
Net income (loss) attributable to ARLP	$	(129,220)	$	399,414	$	366,604
Noncontrolling interest		169		7,512		866
Net income (loss)	$	(129,051)	$	406,926	$	367,470

(5)	Capital Expenditures shown exclude the AllDale Acquisition on January 3, 2019 and the Wing Acquisition on August 2, 2019 (Note 3 – Acquisitions).

Reconciliation of consolidated Segment Adjusted EBITDA Expense to operating expenses (excluding depreciation, depletion and amortization)


	Year Ended December 31,
	2020		2019		2018

	(in thousands)
Segment Adjusted EBITDA Expense	$	861,249	$	1,204,896	$	1,211,800
Outside coal purchases		—		(23,357)		(1,466)
Other income (expense)		(1,593)		561		(2,621)
Operating expenses (excluding depreciation, depletion and amortization)	$	859,656	$	1,182,100	$	1,207,713

Reconciliation of consolidated Segment Adjusted EBITDA to net income


	Year Ended December 31,
	2020		2019		2018

	(in thousands)
Consolidated Segment Adjusted EBITDA	$	446,489	$	672,001	$	715,691
General and administrative		(59,806)		(72,997)		(68,298)
Depreciation, depletion and amortization		(313,387)		(309,075)		(280,225)
Settlement gain		—		—		80,000
Asset impairments		(24,977)		(15,190)		(40,483)
Goodwill impairment		(132,026)		—		—
Interest expense, net		(45,478)		(45,496)		(40,059)
Acquisition gain		—		177,043		—
Income tax (expense) benefit		(35)		211		(22)
Acquisition gain attributable to noncontrolling interest		—		(7,083)		—
Net income (loss) attributable to ARLP	$	(129,220)	$	399,414	$	366,604
Noncontrolling interest		169		7,512		866
Net income (loss)	$	(129,051)	$	406,926	$	367,470