Shares of Alliance Resource Partners (NASDAQ: ARLP) fell nearly 14% today after the company outlined steps it has taken or will take to position itself in the current environment. Energy demand and prices have cratered in response to the coronavirus pandemic and a crude-oil price war between Saudi Arabia and Russia.
That has forced the partnership to make significant changes to operations for the remainder of 2020. Alliance Resource Partners has withdrawn full-year 2020 financial guidance and will significantly reduce coal production and overall costs. The partnership has also suspended its cash distribution.
As of 12:15 p.m. EDT, the small-cap stock had settled to a 10.3% loss.