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By Bill
Archer
Coal people
understand the national spotlight, but the national media
doesn’t always understand the understated, deadpan humor that
weaves its way through most working people.
On the day
that Mike Quillen, president and chief executive officer of
Abingdon, Virginia-based Alpha Natural Resources Inc., was set
to make a major announcement concerning a dramatic, five-point
employee retention plan that would make Alpha’s 3,600 coal
miners part owners in the company, he cracked a joke that was
too subtle for a television production to catch.
“They were
getting me ready to do a spot on CNBC ‘Squawk Box’ this morning,
and after getting me all dolled up, I asked them if they could
do something about this accent,” Quillen said. Quillen is a Gate
City native who started out working at a coal mine in his Wise
County, Virginia home. Brooks Run Mining’s Cucumber Mine isn’t
far away from the Southwest Virginia coalfields where Quillen
got his start, but the employee retention plan he announced on
April 30, 2008, is the kind of program that would entice a
modern coal miner to resist being lured away in an industry that
is suddenly starving for quality, experienced employees.
Traditional supply and demand free enterprise principles have
emerged to set a new direction for the coal industry – an
industry that has reinvented itself scores of times through the
past 140 years.
“It’s not
easy to explain our business to Wall Street,” Quillen said after
arriving in Cucumber via helicopter and before talking with the
day and evening shift coal miners. “We’re on an up-cycle now,
and we’ve seen them before. Anyone who has experience and wants
to work in the coal industry is already working. Now, you can’t
find people to bring new properties on line to take advantage of
the new opportunities unless you steal them from somebody else.
“You can do
a detailed business model that reflects that reality, but it’s
hard to explain,” he said. “We think a rewards program like this
will help us hold on to the experienced, good coal miners that
we have. We’ve all been here before. This is where my roots are.
If you think it makes me happy to get the benefits to these guys
… the guys who really do the work … then you are right.”
Although he
has been in the spotlight before and understands Wall Street as
well as CNBC, Quillen knows the coal business as well. He
acquired the Cucumber Mine property from legendary McDowell
County coal man Eddie Asbury, who knew it was a big block of
untouched Pocahontas No. 3 seam metallurgical coal that wasn’t
developed in the 1930s, ‘40s and ‘50s when coal was in the
driver’s seat of global energy policy. The pendulum has turned
again, and as the world’s appetite for energy continues to grow,
coal remains the only logical choice to meet that demand.
Quillen’s
background in the industry starts from the underground, and
moves on up, but he counts guys like the late Bill Skewes and
other coal men who never lost faith in the business during the
hard times in the 1980s, as the industry leaders who planted the
seeds for the coal renaissance that is now taking place. |