Coal giant agrees to disclosures

Peabody Energy, the world’s biggest private coal company, has agreed to make more robust disclosures to its investors about the financial risks it faces from future government climate change or other environmental policies and regulations that could reduce demand for its product.

The coal giant’s concessions came in response to a two-year investigation by the New York attorney general that found Peabody had not been forthright with investors and regulators about the threats to its business that the company projected in private.

The agreement between Peabody and Attorney General Eric Schneiderman is expected to be announced Monday. Days before, Schneiderman’s office started a separate investigation into Exxon Mobil to determine whether the company lied to the public about the dangers of climate change while its scientists warned about the gathering threat to the environment posed by carbon pollution.

The Peabody settlement will not include a monetary settlement. Its impact will surely pale in comparison with the other problems Peabody faces as demand for coal plummets.