UPDATE: Disclosure Insight Downgrades Alpha Natural Resources to Medium Risk - Negative Bias

Disclosure Insight lowers its rating on Alpha Natural Resources (NYSE: ANR) due to the $6.7 billion acquisition of Massey Energy and instances of lowered guidance.

Disclosure Insight notes, "Acquisition activity; board turnover; and lowered guidance support our opinion of a Medium Risk - Negative Bias rating for ANR. In Jun-11, ANR acquired Massey Energy for $6.71 billion, of which $2.29 billion was allocated to goodwill. There have been 7 director departures with 5 leaving as the result of the Alpha Natural Resources, Inc. (Old Alpha) and Foundation Coal Holdings merger in Jul-09. In Jan-11, ANR lowered its 2010 guidance for average per ton sales realization on committed and priced coal shipments for the eastern metallurgical division from $114.49 to $113.89 due to increased cost of coal sales per ton in the East division."

ANR closed at $20.99 per share on Thursday.