Alliance Holdings GP, L.P., through its subsidiaries, produces and markets coal primarily to utilities and industrial users in the United States. Alliance Holdings GP, L.P. (AHGP) is a limited partnership formed to own and control Alliance Resource Management GP, LLC, the managing general partner of Alliance Resource Partners, L.P. (ARLP).Alliance Resource Partners is a diversified producer and marketer of coal to major United States utilities and industrial users. ARLP's predecessor company began mining operations in 1971 and has since grown through acquisitions and internal development to become the third-largest coal producer in the Eastern United States.Alliance Holdings GP, L.P. (AHGP) is a limited partnership formed in November 2005 to own and control Alliance Resource Management GP, LLC, the managing general partner of Alliance Resource Partners, L.P. (ARLP), a publicly traded limited partnership engaged in the production and marketing of coal to major U.S. utilities and industrial users.AHGP owns certain general partner interests, all of the incentive distribution rights and 15,544,169 common units in ARLP.The primary business objective of AHGP is to increase its cash distributions to unitholders by actively helping ARLP in executing its business strategy. ARLP's business strategy is to create sustainable, capital-efficient growth in distributable cash flow to maximize its distribution to its unitholders. To accomplish this, AHGP will assist ARLP in identifying, evaluating and pursuing growth strategies, and could include helping ARLP to:

• Expand its operations by adding and developing mines and coal reserves in existing, adjacent or neighboring properties;
• Develop new mining complexes in locations with attractive market conditions;
• Continue to make productivity improvements in order to be a safe, low-cost producer in each region in which it operates;
• Strengthen its position with existing and future customers by offering a broad range of coal qualities, transportation alternatives and customized services.