BTU Peabody Energy Corporation

On January 9, 2020, Mr. Spurbeck’s compensation arrangements in connection with his appointment as Interim Chief Financial Officer were finalized following approval (or, in the case of Mr. Spurbeck’s equity grant, subject to approval as noted below) by the Compensation Committee of the Board of Directors (the “Compensation Committee”) of the Company. Effective January 7, 2020, Mr. Spurbeck is entitled to: (i) an annual base salary of $358,749.84; (ii) an additional monthly cash payment of $7,604.18, paid each month during the duration of his tenure as Interim Chief Financial Officer; (iii) a short-term incentive compensation (“STIC”) opportunity with a target level of 80% of his base salary and a maximum payout of 120% of his base salary, pursuant to the Peabody Energy Corporation 2017 Incentive Plan (the “Plan”), prorated for fiscal year 2020 based on his positions held; (iv) a target long-term incentive compensation (“LTIC”) opportunity valued at approximately 60% of his base salary, pursuant to the Plan; and (v) an equity grant of 14,475 restricted stock units under the Plan, subject to approval by the Compensation Committee, which restricted stock units will generally vest ratably over a three-year period on each of January 22, 2021, January 2, 2022, and January 2, 2023, subject to Mr. Spurbeck’s continued employment with the Company. Mr. Spurbeck’s performance-based STIC payouts will be based upon his individual performance and the achievement of the Company’s performance objectives as approved by the Compensation Committee. In addition, in connection with his appointment as Interim Chief Financial Officer, Mr. Spurbeck has entered into the Company’s standard form of indemnification agreement for directors and certain executive officers of the Company.