Common use of Permits and Bonds Clause in Contracts

Permits and Bonds. (a) Except as set forth on Schedule 3.19(a)(1), each Company has all material permits, licenses, franchises, approvals, certificates or authorizations (collectively, the "Permits") of any federal, state or local governmental or regulatory body required in order to permit it to carry on its business as presently conducted, all of which are in full force and effect. All material Permits held by any Company are listed on Schedule 3.19(a)(2) (the "Mid-Vol Permits"). Except as set forth on Schedule 3.19(a)(3) or otherwise specifically disclosed to Purchaser, no misrepresentations or willful, intentional or negligent omissions were made of any material fact in obtaining any Mid-Vol Permits or any Permits that are Contributed Assets ("Contributed Permit"). No action or claim is pending, or, to the best of Principal Shareholder's knowledge, threatened or contemplated, to revoke, suspend, modify, alter, amend or terminate any Mid-Vol Permit or Contributed Permit, or to declare any Mid-Vol Permit or Contributed Permit invalid in any respect, and the Principal Shareholder knows of no reason that would justify such action. Except as set forth on Schedule 3.19(a)(4), no Company has received any notice of noncompliance since January 1, 1997. (b) The Companies have posted all reclamation and performance bonds required to be posted in connection with their operations. All reclamation and performance bonds posted by each Company in connection with its operations are listed on Schedule 3.19(b)(1) (collectively, the "Bonds"). Except as disclosed on Schedule 3.19(b)(2) or otherwise specifically disclosed to Purchaser: (i) the Companies or the Permitted Party, as the case may be, are in compliance in all material respects with all reclamation requirements of the Mid-Vol Permits and Contributed Permits required to date by law; and (ii) the operation of the Companies' coal mining and processing operations and the state of reclamation with respect to the Mid-Vol Permits and the Contributed Permits are "current" or in "deferred status" regarding reclamation obligations and otherwise are in compliance in all material respects with all applicable mining, reclamation, health and safety and all other applicable laws and regulations (including, without limitation, all aspects of the Federal Coal Mine Health and Safety Act of 1969, as amended, and the Federal Mine Safety and Health Act of 1977, as amended, and similar state laws and regulations) and in accordance with reclamation plans submitted with respect to the Mid-Vol Permits and the Contributed Permits.

Permits and Bonds. (a) Except as set forth on Schedule 3.19(a)(1), each The Company has and the Subsidiary have all material permits, licenses, franchises, approvals, certificates or authorizations (collectively, the "Permits") of any federal, state or local governmental or regulatory body required in order to permit it them to carry on its business their respective businesses as presently conducted, all of which are in full force and effect, and none of which will be adversely affected by the transactions contemplated herein. All material Permits held by any the Company and the Subsidiary are listed on Schedule 3.19(a)(2) -------- 3.34(a)(1), (the "Mid-Vol ▇▇▇▇▇▇ Permits"). Except as set forth on Schedule 3.19(a)(3) or otherwise specifically disclosed to Purchaser, no No misrepresentations or willful, intentional willful or negligent omissions were made of any material fact in obtaining 9C, any Mid-Vol Permits or any Permits that are Contributed Assets ("Contributed Permit")▇▇▇▇▇▇ Permits. No action or claim is pending, or, to the best of Principal Shareholder's knowledge, threatened or contemplated, contemplated to revoke, suspend, modify, alter, amend or terminate any Mid-Vol Permit or Contributed ▇▇▇▇▇▇ Permit, or to declare any Mid-Vol Permit or Contributed of ▇▇▇▇▇▇ Permit invalid in any respect, and none of the Principal Shareholder knows Shareholders know of no any reason that would justify for such action. Except as set forth on Schedule 3.19(a)(43.34(a)(2), no neither --------------------- the Company nor the Subsidiary has received any notice of noncompliance since January 1December 31, 1997. (b) The Companies Company and the Subsidiary have posted all reclamation and performance bonds required to be posted in connection with their operations. All reclamation and performance bonds posted by each the Company and the Subsidiary in ------------ connection with its their operations are listed on Schedule 3.19(b)(13.34(b)(1) ------------------- (collectively, the "Bonds"). Except as disclosed on Schedule 3.19(b)(2) or otherwise specifically disclosed to Purchaser: 3.34(b)(2): (i) ------------------- each of the Companies or Company and the Permitted Party, as the case may be, are in compliance in all material respects with Subsidiary has properly carried out all reclamation requirements of the Mid-Vol Permits with respect to its coal mining and Contributed Permits processing operations required to date by law; and (ii) the operation of the Companies' Company's and the Subsidiary's respective coal mining and processing operations operations, and the state of reclamation with respect to on all of the Mid-Vol Permits Leased Real Property and the Contributed Permits Owned Real Property are "current" or in "deferred status" regarding reclamation obligations and otherwise are in material compliance in all material respects with all applicable mining, reclamation, health and safety safety, zoning, land use and all other applicable laws and regulations (including, without limitation, all aspects of the Federal Coal Mine Health and Safety Act of 1969, as amended, and the Federal Mine Safety and Health Act of 1977, as amended, and similar state laws and regulations) and in accordance with reclamation plans submitted with respect to the Mid-Vol Permits and the Contributed ▇▇▇▇▇▇ Permits.