lpha Natural Resources 4Q profit drops 40 pct

ABINGDON, Va. (AP) - Alpha Natural Resources says its earnings dropped 40 percent in the fourth quarter as it was hit with expenses related to its acquisition of Foundation Coal Holdings Inc.

The Virginia-based mining company said Wednesday its net income fell to $10.8 million, or 9 cents per share, in the last three months of 2010 from $18 million, or 15 cents per share, in the year-ago period.

Excluding expenses related to its Foundation acquisition and other items, Alpha said it earned 27 cents per share. Analysts surveyed by FactSet expected earnings of 55 cents a share.

Quarterly revenue increased 11 percent to $993 million. Analysts expected $1.01 billion.

Last month, Alpha announced another deal, agreeing to buy Massey Energy.