Press Releases

Peabody Energy today announced organizational changes in the management team reporting to President and Chief Executive Officer Gregory H. Boyce. The reorganization allows Peabody to continue its industry-leading performance, and position the company to capture growth opportunities through international expansion, organic development and emerging Btu Conversion markets.

"Our new organization is designed to maintain a keen focus on performance as we operate in a significantly larger and more complex global energy business; ensure that we continue to build and enhance our capacity and skills to meet sustained and aggressive growth plans," said Boyce. "This reorganization further enhances our already-deep management team and provides for greater succession management."

The organizational changes are highlighted on the following pages.

Peabody Energy is the world's largest private-sector coal company, with 2005 sales of 240 million tons of coal and $4.6 billion in revenues. Its coal products fuel approximately 10 percent of all U.S. electricity generation and 3 percent of worldwide electricity.

The use of "Peabody," "the company," and "our" relate to Peabody, its subsidiaries and majority-owned affiliates.

                          SENIOR EXECUTIVE TEAM

  Executive Vice President and Chief Marketing Officer - Rick Whiting
      * President of COALSALES - Bryan Galli
      * President of COALTRADE - Steve Miller
      * President of COALTRADE International - Paul Demzik
      * Vice President of Commercial Services - Gregg Wickstra
      * Vice President of Market Strategies (To Be Determined - TBD)

  Executive Vice President of Operations (TBD)
      * Group Vice President of Western Operations - Kemal Williamson
      * Group Vice President of Eastern Operations - Jiri Nemec
      * Managing Director of Australia Operations - Ian Craig
      * Vice President of Safety - Dave Beerbower
      * Senior Vice President of Strategic Operations (TBD)
      * Senior Vice President of Engineering and Technical Services (TBD)

  Chief Financial Officer and Executive Vice President of Corporate
  Development -Rick Navarre
      * Senior Vice President, Controller and Chief Accounting Officer -
        Brent Stottlemyre
      * Senior Vice President of Business and Resource Development - Chuck
        Ebetino
      * Senior Vice President of International Development - Tayeb Tahir
      * President of Peabody China - Mark Schroeder
      * Senior Vice President of Investor Relations and Corporate
        Communications - Vic Svec
      * Senior Vice President of Finance (TBD)

  Executive Vice President of Strategy and Business Services - Roger Walc
      * Vice President of Real Estate Development - Terry Bethel
      * Vice President of Peabody Natural Gas - Collon Kennedy
      * Vice President of Enterprise Resource Planning - Lina Young
      * Vice President of Strategy Development - Daniel Jaouiche
      * Vice President of Procurement (TBD)
      * Director of Business Processes (TBD)

  President of Generation and Btu Conversion - Rick Bowen
      * Vice President of Generation Development - Colin Kelly
      * Vice President of Generation Development - Jacob Williams
      * Vice President of Generation and Btu Development - Dianna Tickner
      * Vice President of Coal Technologies - Marty Considine
      * Director of Illinois Basin Development - Roger Dennison

  Executive Vice President of Human Resources and Administration - Sharon
  Fiehler
      * Vice President of Compensation and Employee Services - Sara Wade
      * Vice President of Benefits - Julie Nadolny
      * Vice President of Organizational Development (TBD)
      * Vice President of Information Technologies - Gary Kalbfleisch
      * Director of Aviation Services - Jerry Riebold

  Executive Vice President of Law and Chief Legal Officer (TBD)
      * Legal Department

  Senior Vice President of Government Relations - Fred Palmer
      * Vice President of State Government Relations - Kelly Mader
      * Vice President of Federal Government Relations (TBD)

                 ADDITIONAL KEY SENIOR MANAGEMENT CHANGES

  Group Executive of Powder River Basin Operations - D.L. Lobb
      * Reporting to Kemal Williamson

  Group Executive of Illinois and Indiana Operations - Chuck Burggraf
      * Reporting to Jiri Nemec

  Group Executive of Central Appalachian Operations - John Hill
      * Reporting to Jiri Nemec

  Vice President of Capital and Performance Management - Richard Robison
      * Reporting to the Senior Vice President of Finance (TBD)

  Vice President of Southwestern U.S. Sales - Bob Reilly
      * Reporting to Senior Vice President of Sales and Marketing for
        COALSALES Greg Vandiver

  Director of Western Kentucky Operations - Dave Webb
      * Reporting to Jiri Nemec

  CONTACT:
  Vic Svec
  (314) 342-7768

SOURCE: Peabody Energy