Question-and-Answer Session
Operator
Thank you. We will now begin the question and answer session. (Operator instruction) And our first question comes from the line of Al Kaschalk with Wedbush Morgan. Please go ahead.
Al Kaschalk – Wedbush Morgan Securities
Good morning, Kirk, good morning, Steve.
Kirk Benson
Good morning, Al.
Al Kaschalk – Wedbush Morgan Securities
Kirk, I guess I want to start on maybe the coal side first. In terms of the facilities and the operations, could you comment on the yield of those that are coming up to speed or those that you have been operating relative to expectations?
Kirk Benson
Yes, we continue to believe that we’re going to get a 20% to 25% yield. The facilities vary, some are lower, some are higher, but the average is coming in as expected in that range of 20% to 25%.
Al Kaschalk – Wedbush Morgan Securities
If that looks at the mid-point of your gardens, though, what’s the extension of top end of revenues? Is it more better pricing on your side or is it more yield for improvements?
Kirk Benson
I think the, we’ve got a potential of moving to the upper end of the guidance on yield. There’s probably a greater potential of us beating the guidance on yield than there is on price. I think that there may be a little bit of room on price, but as everyone knows, prices have softened a bit. We’re still clearly within the range that we projected, but I think there’s probably more upside on yield than there is on pricing.
Al Kaschalk – Wedbush Morgan Securities
All right, and can you just clarify, I may have missed, did you say you have 80% of what you’re marketing with your partner contracted in terms of price?
Kirk Benson
They, 81% of our coal is sold as a blended product with our coal company partners, and so we’re basically piggybacking on to the coal contracts of those coal companies. And so that’s the coal where we don’t have the direct sales and marketing responsibility, but rather we’re using the existing contracts of these coal companies.
Al Kaschalk – Wedbush Morgan Securities
And how much of that is contracted, then, for calendar ’09?
Kirk Benson
It varies depending upon the underlying coal company, but most of the coal is under contracted, or is being contracted currently. In the met market when you’re shipping the coal internationally, the pricing is still in that phase of negotiations. The tons are pretty well set, people know what the tons are going to be shipped; the pricing in the international market is still not set yet.
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