West Virginia Gov. Jim Justice and Credit Suisse Group AG are looking to take advantage of surging coal prices to help him pay off nearly $850 million in loans his companies borrowed from now-collapsed Greensill Capital.
Representatives of the Swiss bank and Mr. Justice’s family of companies met face-to-face this month in West Virginia to sort out the mountain of debt, which Mr. Justice personally guaranteed.
Plans under discussion include ramping up output at coal mines operated by the Justice family’s Bluestone Resources Inc., according to a person familiar with the conversations. Also on the table: revitalizing the famed Greenbrier resort in White Sulphur Springs, W.Va to increase its profitability. Mr. Justice bought the resort in 2009. Another strategy is to squeeze value out of Mr. Justice’s numerous landholdings.
There aren’t current plans to sell the assets, people familiar with the conversations said.
Bluestone said in a statement it was working on restructuring its debt and that the talks with Credit Suisse to resolve a significant part of its loan exposure were constructive.
