IN THE UNITED STATES BANKRUPTCY COURT

FOR THE EASTERN DISTRICT OF VIRGINIA

RICHMOND DIVISION

In re:

Alpha Natural Resources, Inc., et al.,

Reorganized Debtors.

Chapter 11

Case No. 15-33896 (KRH)

(Jointly Administered)

DECLARATION OF KEVIN CARMODY IN RESPECT OF RECOMMENDATION OF 

UNITED STATES TRUSTEE PURSUANT TO

PARAGRAPH ‘D’ OF ORDER DATED JULY 15, 2016 [DOCKET # 3055] 

I, Kevin Carmody, under penalty of perjury, declare as follows: 

1. On August 3, 2015 (the "Petition Date"), the Debtors commenced their 

reorganization cases by filing voluntary petitions for relief under chapter 11 of title 11 of the 

United States Code (the "Bankruptcy Code"). By order dated July 12, 2016 [Docket # 3038] the 

Bankruptcy Court confirmed the Debtors’ chapter 11 plan (the “Plan”), and on July 26, 2016 the 

Debtors filed their notice [Docket # 3152] that the “Effective Date” of the Plan occurred.

2. By order dated September 17, 2015 [Docket # 0476], the Bankruptcy 

Court authorized the Debtors to retain McKinsey Recovery & Transformations Services U.S., 

LLC (“McKinsey RTS US”) pursuant to their engagement letter attached to the Debtor’s 

application dated August 24, 2016 for an order authorizing such retention [Docket # 0212]. I am 

the Practice Leader at McKinsey RTS US in charge of the services it rendered to the Debtors. 

The information provided in this disclosure was compiled at my request, is as a result of my 

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employment position and diligence undertaken by me or by professionals working under my 

direction, and is true to the best of my knowledge, information, and belief.

3. By order dated July 1, 2016 [Docket # 2895], the Bankruptcy Court 

directed McKinsey RTS US to provide in camera certain information (the “Data”). That order 

directed that, pursuant to certain confidentiality provisions, the Data would be shared with the 

United States Trustee and the legal professionals for (a) the Debtors and (b) the statutory 

creditors’ committee (the “Committee”). Pursuant to paragraph ‘D’ of its order dated July 15, 

2016 [Docket # 3055], the Bankruptcy Court authorized the United States Trustee to file a 

recommendation as to whether any of the Data should be publicly disclosed. The United States 

Trustee advised McKinsey RTS US as to what the United States Trustee believed should be 

publicly disclosed, and McKinsey RTS US is submitting this declaration to provide that 

disclosure. 

4. In this declaration “McKinsey RTS” includes (i) McKinsey RTS US and 

its directors, officers, and employees, and (ii) the consultants borrowed from affiliates of 

McKinsey RTS US for the purpose of serving the Debtors in these Chapter 11 cases. 

5. This declaration provides the names of the interested parties identified by 

the Debtors (the “Interested Parties”) that matched with (a) clients served by McKinsey RTS US 

or served by personnel borrowed from an affiliate thereof, during the three years prior to the 

Debtors’ Petition Date, (b) clients served by any consultant at any affiliate of McKinsey RTS 

US on matters focused on a direct commercial relationship or transaction with the Debtors during 

the three years prior to the Debtors’ petition date, and (c) Interested Parties that had employed 

personnel of McKinsey RTS. There were no matches in category 5(b). All matches involved 

services provided that were unrelated and not adverse to the Debtors. “Direct commercial 

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relationship or transaction with the Debtors” includes services related to all matters in which the 

client of an affiliate of McKinsey RTS US was acting or considering acting in concert with the 

Debtors, with or without a formal contract, or acting or considering acting adverse to the Debtors, 

with or without a formal contract. As aforesaid, there were no matters involving clients acting or 

considering acting adverse to the Debtors.

6. The name disclosures below, together with the categories of Interested 

Parties with which they matched, are fewer than the number of entities originally described in 

my original declaration due to the elimination of duplicate matches, matches of the same 

Interested Party in more than one category, and name coincidences that turned out not be 

Interested Parties or affiliates of Interested Parties.

7. McKinsey RTS personnel have served the following entities or affiliates 

thereof: 

a. Beneficiaries of Letters of Credit: National Union Fire Insurance 

and Zurich American Insurance Co.

b. Debtors' Largest Unsecured Creditors (Excluding 

Noteholders): AEP River Operations LLC and Nelson Brothers LLC

c. Debtors' Professionals, Consultants and Service Providers:

Bank of America; Siemens Industry Pace Global; Thomson Reuters; Thomson 

Reuters GRC, Inc.; Thomson Tax & Accounting; and Willis of New York

d. Depository and Disbursement Banks: Australia and New 

Zealand Banking Group Ltd. (ANZ); Bank of America; Deutsche Bank;

JPMorgan Chase & Co., nka JPMorgan Chase, National Association; Sumitomo 

Mitsui Banking Corporation (SMBC) and UBS

e. Insurers, Insurance Brokers and Third-Party Administrators:

AIG Specialty Insurance Company; American Guarantee & Liability (Zurich); 

Chartis Specialty Insurance Company; Commerce and Industry Insurance 

Company; Lexington Insurance Company (US); Munich Re and Zurich Insurance 

Group

f. Lenders Under A/R Facility: General Electric Capital 

Corporation

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g. Major Competitors: Anglo American Plc; ArcelorMittal 

Princeton; BHP Billiton; Peabody Energy, Inc.; Teck Resources, Ltd. and Walter 

Energy, Inc. In addition, certain personnel of McKinsey RTS served an informal 

creditors’ group of Arch Coal, Inc.

h. Major Customers of the Debtors: American Electric 

Power/Appalachian Power Company; ArcelorMittal Sourcing, S.A.; Enel Trade 

SpA; Homer City Generation, L.P.; Indiana Michigan Power Company; Peabody 

COALTRADE LLC; Tata Steel Global Procurement Co. Pte., Ltd. and United 

States Steel

i. Major Equity Holders: Deutsche Asset Management 

Investmentgesellschaft mbH (DeAM); Sankaty Advisors LLC; SSgA Funds 

Management, Inc.; UBS Financial Services, Inc. and Vanguard Group, Inc.

j. Major Unsecured Noteholder: J.P. Morgan Securities LLC; 

Oaktree Capital Management, L.P.; Sankaty Advisors LLC and State Street 

Global Advisors (SSgA)

k. Material Sureties: Zurich Insurance Group

l. Other Major Suppliers of Goods and Services: GE Fairchild 

LLC

m. Parties to Joint Ventures with the Debtors: Peabody Energy 

Corp.; Peabody Holding Co., Inc.; Peabody Powder River Operations, LLC. In 

addition, certain personnel of McKinsey RTS served an informal creditors’ group 

of Arch Coal, Inc.

n. Parties to Material Contracts with the Debtors: Nexans 

Amercable Inc.

o. Parties to Material Unexpired Leases with the Debtors: AIG 

Commercial Equipment Finance; Banc of America Leasing & Capital; Caterpillar 

Financial Services; Pristine Resources, Inc. (Arcelor Mittal); Siemens Financial 

Services and Staples Advantage. In addition, certain personnel of McKinsey RTS 

served an informal creditors’ group of Arch Coal, Inc.

p. Revolving Facility Lenders: Apollo Global Management LLC; 

Bank of America, N.A; Barclays Bank PLC; Citigroup Global Market; Deutsche 

Bank; Goldman Sachs Bank USA; JPMorgan Chase Bank, N.A.; Sumitomo 

Mitsui Banking Corporation and UBS Stamford Branch TRS

q. Second Lien Noteholders: Sankaty Advisors LLC

r. Secured Term Loan Lenders: 3i Debt Management US LLC; 

Allianz Global US; Apollo Global Management; Bank of America, N.A.; 

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Barclays Bank PLC; Deutsche Bank; JPMorgan Chase Bank, N.A.; Onex Credit 

Partners, LLC and Sankaty Advisors, LLC

s. Significant Utility Providers: American Electric Power; 

Appalachian Power Company; AT&T; AT&T Mobility

8. The following McKinsey RTS personnel were previously employed by 

certain Interested Parties, or affiliates thereof, during the three year period preceding the 

Debtor’s petition date:

a. Ignace Proot – ArcelorMittal Flat Carbon Europe, identified on the 

list of Interested Parties (via itself or an affiliate thereof) as a Party to Material 

Unexpired Leases with the Debtor, Major Customer of the Debtor, and a Major 

Competitor.

b. Rick Notarianni – BENTEK Energy, LLC, a subsidiary of The 

McGraw-Hill Companies, Inc., the parent of Standard & Poor’s, identified on the 

list of Interested Parties as a Debtors' Professional, Consultant and /or Service 

Provider.

c. Brian Green – Nalco Champion, the oil and gas products unit of 

Nalco Co., identified on the list of Interested Parties as a Major Supplier of Goods 

and Services.

d. Heather Eisenman – GE Oil & Gas, identified on the list of 

Interested Parties (via itself or an affiliate thereof) as a Lender Under A/R Facility.

e. Kyle Sturgeon, Jeff Gordon, Neil Christie, Keith Beattie, Chris 

Moye, Michael Pesche, Geoff White, Joao Carlos Frenades, and Richard Hudson 

- Alvarez & Marsal, identified on the list of Interested Parties (via itself or an 

affiliate thereof) as one of the Debtors’ Professionals Consultants and Service 

Providers.

f. Matt Johnston - KPMG LLP, identified on the list of Interested 

Parties under Debtors’ Professionals Consultants and Service Providers.

9. McKinsey RTS US or one or more of its affiliates were represented during 

the three years prior to the Debtors’ petition date by the following professionals (or affiliates 

thereof) named under the category “Debtors’ Professionals, Consultants and Service Providers”

on the list of Interested Parties: Accountemps; Bank of America; Bloomberg Finance, L.P.; 

Cherry Bekaert LLP; Cleary Gottlieb Steen & Hamilton LLP; Corporate Executive Board; CT

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Corporation System D/B/A CT Lien Solutions; Davis Polk & Wardwell LLP; Deloitte Tax 

LLP; Ernst & Young; Houlihan Lokey, Inc.; Hunton & Williams LLP; Jones Day; KPMG 

LLP; Moody's Investors Service; Siemens Industry Pace Global; Standard & Poor's; Thomson 

Reuters; Towers Watson; Willis of New York; Kirkland & Ellis; Mcguire Woods LLP; 

Protiviti; Quinn Emanuel and Stroock & Stroock & Lavan LLP.

10. Pursuant to 28 U.S.C. § 1746, I declare under penalty of perjury that the 

foregoing is true and correct to the best of my knowledge, information and belief.

Dated: August 5, 2016

Chicago, Illinois

______________________

Kevin Carmody

Practice Leader

McKinsey Recovery & 

Transformation Services U.S., LLC

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CERTIFICATE OF SERVICE 

I hereby certify that on this 5th day of August, 2016, the foregoing Declaration of Kevin 

Carmody in Respect of Recommendation of United States Trustee Pursuant to Paragraph ‘D’ of 

Order Dated July 15, 2016 [Docket # 3055] was filed with the Court through the Clerk’s 

CM/ECF filing system and served on all parties receiving electronic notice in these cases and/or 

electronic mail to all parties on the attached Service List. 

/s/ Christopher L. Perkins 

Local Counsel 

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SERVICE LIST 

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Robert B. Van Arsdale 

Office of the U.S. Trustee 

701 East Broad Street, Suite 4304 

Richmond, VA 23219 

E-mail: Robert.B.Van.Arsdale@usdoj.gov

Assistant United States Trustee 

David R. Ruby 

William D. Prince, IV 

ThompsonMcMullan, P.C. 

100 Shockhoe Slip, Third Floor 

Richmond, VA 23219 

E-mail: druby@t-mlaw.com

E-mail: wprince@t-mlaw.com

Local Counsel for Mar-Bow Value 

Partners, LLC 

Steven Rhodes 

Steven Rhodes Consulting, LLC 

1610 Arborview Boulevard 

Ann Arbor, MI 48103 

E-mail: rhodessw@comcast.net

Judith K. Fitzgerald 

Tucker Arensberg, PC 

1500 One PPG Place 

Pittsburg, PA 15222 

E-mail: jfitzgeral@tuckerlaw.com

Susan M. Freeman 

Lewis Roca Rothgerber Christie LLP 

201 East Washington Street, Suite 1200 

Phoenix, AZ 85004-2595 

E-mail: sfreeman@lrrc.com

Lois R. Lupica 

Maine Law Foundation Professor of Law 

University of Maine School of Law 

246 Deering Avenue 

Portland, ME 04012 

E-mail: lupica@maine.edu

Steven M. Biskupic 

Biskupic & Jacobs, S.C. 

1045 W. Glen Oaks Lane, Suite 106 

Mequon, WI 53092 

E-mail: sbiskupic@biskupicjacobs.com

and 

John A.E. Pottow 

John Philip Dawson Collegiate 

Professor of Law 

University of Michigan Law School 

625 South State Street 

Ann Arbor, MI 48109 

E-mail: pottow@umich.edu

Of Counsel for Mar-Bow Value 

Partners, LLC 

Richard H. Verheij 

Alpha Natural Resources, Inc. 

Executive Vice President, General Counsel 

& Corporate Secretary 

One Alpha Place 

Bristol, VA 24209 

E-mail: rverheij@alphanr.com

Tyler P. Brown 

J.R. Smith 

Henry P. Long, III 

Justin F. Paget 

Hunton & Williams 

951 East Byrd Street 

Richmond, VA 23219 

E-mail: tpbrown@hunton.com

E-mail: jrsmith@hunton.com

E-mail: hlong@hunton.com

E-mail: jpaget@hunton.com

and 

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SERVICE LIST 

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Carl E. Black 

David G. Heiman 

Thomas A. Wilson 

Jones Day 

North Point 

901 Lakeside Avenue 

Cleveland, OH 44114 

E-mail: ceblack@jonesday.com

E-mail: dgheiman@jonesday.com

E-mail: tawilson@jonesday.com

Counsel for Debtors 

Hugh M. Bernstein 

Office of the United States Trustee 

District of Maryland 

101 West Lombard Street, Suite 2625 

Baltimore, MD 21201 

E-mail: Hugh.M.Bernstein@usdoj.gov

Elisabetta G. Gasparini 

Office of the United States Trustee 

1835 Assembly Street, Suite 953 

Columbia, SC 29201 

E-mail: elisabetta.g.gasparini@usdoj.gov

Dennis F. Dunne 

Evan R. Fleck 

Erick K. Stodola 

Milbank, Tweed, Hadley & McCoy LLP 

28 Liberty Street 

New York, NY 10005 

E-mail: ddunne@milbank.com

E-mail: efleck@milbank.com

E-mail: estodola@milbank.com

Andrew L. LeBlanc 

Milbank, Tweed, Hadley & McCoy LLP 

1850 K Street, N.W., Suite 1100 

Washington, D.C. 20006 

E-mail: aleblanc@milbank.com

and 

William A. Gray 

W. Ashley Burgess 

Roy M. Terry 

Sands Anderson P.C. 

P.O. Box 1998 

Richmond, VA 23218-1998 

E-mail: BGray@sandsanderson.com

E-mail: ABurgess@SandsAnderson.com

E-mail: RTerry@SandsAnderson.com

Counsel to Creditors Committee 

Lynn L. Tavenner 

Paula S. Beran 

David N. Tabakin 

Tavenner & Beran, PLC 

20 North Eighth Street, Second Floor 

Richmond, VA 23219 

E-mail: ltavenner@tb-law.com

E-mail: pberan@tb-law.com

E-mail: dtabakin@tb-law.com

and 

John R. Owens 

Jeremy D. Capps 

Melissa Y. York 

Harman, Claytor, Corrigan & Wellman 

P.O. Box 70280 

Richmond, VA 23235 

E-mail: jowen@hccw.com

E-mail: jcapps@hccw.com

E-mail: myork@hccw.com

Counsel to Retiree Committee 

Damian S. Schaible 

Damon P. Meyer 

Bradley A. Schecter 

Davis Polk & Wardwell LLP 

450 Lexington Avenue 

New York, NY 10117 

E-mail: damian.schaible@davispolk.com

E-mail: damon.meyer@davispolk.com

E-mail: Bradley.schecter@davispolk.com

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SERVICE LIST 

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and 

Dion W. Hayes 

Sarah B. Boehm 

K. Elizabeth Sieg 

McGuireWoods LLP 

Gateway Plaza 

800 East Canal Street 

Richmond, VA 23219 

E-mail: dhayes@mcguirewoods.com

E-mail: sboehm@mcguirewoods.com

E-mail: bsieg@mcguirewoods.com

Counsel to DIP Agent and First Lien 

Agent 

Paul M. Basta 

Stephen E. Hessler 

Kirkland & Ellis LLP 

601 Lexington Avenue 

New York, NY 10022 

E-mail: paul.basta@kirkland.com

E-mail: stephen.hessler@kirkland.com

Gregory F. Pesce 

Kirkland & Ellis LLP 

300 North LaSalle 

Chicago, IL 60654 

E-mail: gregory.pesce@kirkland.com

and 

Michael A. Condyles 

Peter J. Barrett 

Jeremy S. Williams 

Kutak Rock LLP 

1111 East Main Street, Suite 800 

Richmond, VA 23219-3500 

E-mail: michael.condyles@kutakrock.com

E-mail: peter.barrett@kutakrock.com

E-mail: jeremy.williams@kutakrock.com

Counsel to Ad Hoc Committee of 

Second Lien Noteholders 

Debra A. Dandeneau 

John J. Dedyo 

Weil, Gosthal & Manges LLP 

767 Fifth Avenue 

New York, NY 10153 

E-mail: debra.dandeneau@weil.com

E-mail: john.dedyo@weil.com

Counsel to General Electric Credit 

Corporation 

Jayne T. Goldstein 

Kenneth Pasquale 

Gabriel E. Sasson 

Strook, Strook & Lavan LLP 

180 Maiden Lane 

New York, NY 10038-4982 

E-mail: jgoldstein@strook.com

E-mail: kpasquale@strook.com

E-mail: gsasson@strook.com

Counsel to Second Lien Notes 

Trustee 

Sharon L. Levine 

Paul Kizel 

Philip J. Gross 

Nicole M. Brown 

LowensteinSandler LLP 

65 Livingston Avenue 

Roseland, NJ 07068 

E-mail: slevine@lowenstein.com

E-mail: pkizel@lowenstein.com

E-mail: pgross@lowenstein.com

E-mail: nbrown@lowenstein.com

and 

Troy Savenko 

Kaplan Voekler Cunningham & Frank, PLC 

1401 East Cary Street 

Richmond, VA 2319 

E-mail: tsavenko@kv-legal.com

Counsel to UMWA 

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SERVICE LIST 

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Grant Crandall 

United Mine Workers of America 

18354 Quantico Gateway Drive, Suite 200 

Triangle, VA 22172 

E-mail: gcrandall@umwa.org

United Mine Workers of America 

Kurtzman Carson Consultants LLC 

Attn: Joe Morrow 

2335 Alaska Avenue 

El Segundo, CA 90245 

E-mail: alphanrinfo@kccllc.com

Claims and Noticing Agent 

Harold L. Kaplan 

Mark F. Hebbeln 

Foley & Lardner LLP 

321 North Clark Street, Suite 2800 

Chicago, IL 60654-5313 

E-mail: hkaplan@foley.com

E-mail: mhebbeln@foley.com

Counsel to the Indenture Trustee for 

the Debtors’ Secured and Unsecured 

Notes 

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