However, many companies have a high debt-to-capital ratio, making cost management critical and asset sales likely as the companies try to reduce their capital burn rate, boost funds and increase cash flows. "The companies' priorities at present are to manage capital and conserve cash, while they wait out the storm," McCormick says. IDLE PRODUCTION North American coal producer Alpha Natural Resources in September temporarily idled eight coal mines in Virginia, West Virginia and Pennsylvania, impacting about 1 200 jobs. The company says it is reshaping its mine operations to reduce the production footprint, as demand for thermal coal continues to decline as thermal power stations switch to cheaper natural gas. The miner expects its organisational streamlining to result in overhead cost savings of about $150-million, which include the $50-million to $60-million in cost reductions resulting from production cuts from four mines in Kentucky during June 2012, which also cost 150 jobs.