Edgar Filing: PEABODY ENERGY CORP

Ownership Submission

FORM 4

Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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(Print or Type Responses)

1. Name and Address of Reporting Person ^*

CRAIG IAN S

2. Issuer Name and Ticker or Trading Symbol
PEABODY ENERGY CORP [BTU]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

_____ Director	_____ 10% Owner
__X__ Officer (give title below)	_____ Other (specify below)
Managing Dir - Australian Ops.

(Last)

(First)

(Middle)

701 MARKET STREET

3. Date of Earliest Transaction (Month/Day/Year)
11/19/2007

(Street)

ST. LOUIS, MO 63101

4. If Amendment, Date Original Filed(Month/Day/Year)

6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person

(City)

(State)

(Zip)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned

1.Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
1.Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	Amount	(A) or (D)	Price		6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
Common Stock ⁽¹⁾	11/19/2007		M⁽²⁾		32,966	A	$ 3.3001	61,688	D
Common Stock	11/19/2007		S⁽²⁾		7.49	D	$ 52.01	61,680.51	D
Common Stock	11/19/2007		S⁽²⁾		4.99	D	$ 52	61,675.52	D
Common Stock	11/19/2007		S⁽²⁾		4.99	D	$ 51.99	61,670.52	D
Common Stock	11/19/2007		S⁽²⁾		64.91	D	$ 51.98	61,605.61	D
Common Stock	11/19/2007		S⁽²⁾		24.97	D	$ 51.97	61,580.64	D
Common Stock	11/19/2007		S⁽²⁾		74.9	D	$ 51.96	61,505.74	D
Common Stock	11/19/2007		S⁽²⁾		49.93	D	$ 51.95	61,455.81	D
Common Stock	11/19/2007		S⁽²⁾		24.97	D	$ 51.94	61,430.84	D
Common Stock	11/19/2007		S⁽²⁾		19.97	D	$ 51.935	61,410.87	D
Common Stock	11/19/2007		S⁽²⁾		49.93	D	$ 51.93	61,360.94	D
Common Stock	11/19/2007		S⁽²⁾		119.84	D	$ 51.92	61,241.1	D
Common Stock	11/19/2007		S⁽²⁾		87.38	D	$ 51.91	61,153.71	D
Common Stock	11/19/2007		S⁽²⁾		134.82	D	$ 51.9	61,018.9	D
Common Stock	11/19/2007		S⁽²⁾		44.94	D	$ 51.89	60,973.96	D
Common Stock	11/19/2007		S⁽²⁾		14.98	D	$ 51.88	60,958.98	D
Common Stock	11/19/2007		S⁽²⁾		29.96	D	$ 51.87	60,929.02	D
Common Stock	11/19/2007		S⁽²⁾		1,994.98	D	$ 51.85	58,934.03	D
Common Stock	11/19/2007		S⁽²⁾		24.97	D	$ 51.84	58,909.07	D
Common Stock	11/19/2007		S⁽²⁾		24.97	D	$ 51.83	58,884.1	D
Common Stock	11/19/2007		S⁽²⁾		4.99	D	$ 51.825	58,879.11	D
Common Stock	11/19/2007		S⁽²⁾		128.18	D	$ 51.82	58,750.93	D
Common Stock	11/19/2007		S⁽²⁾		1,907.75	D	$ 51.8145	56,843.18	D
Common Stock	11/19/2007		S⁽²⁾		73.6	D	$ 51.81	56,769.58	D
Common Stock	11/19/2007		S⁽²⁾		1,723.14	D	$ 51.8	55,046.43	D
Common Stock	11/19/2007		S⁽²⁾		164.78	D	$ 51.795	54,881.66	D
Common Stock	11/19/2007		S⁽²⁾		39.95	D	$ 51.77	54,841.71	D
Common Stock	11/19/2007		S⁽²⁾		29.96	D	$ 51.75	54,811.75	D
Common Stock	11/19/2007		S⁽²⁾		34.95	D	$ 51.71	54,776.8	D
Common Stock	11/19/2007		S⁽²⁾		74.9	D	$ 51.7	54,701.9	D

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)

1. Title of Derivative Security
(Instr. 3)

2. Conversion or Exercise Price of Derivative Security

3. Transaction Date (Month/Day/Year)

3A. Deemed Execution Date, if any (Month/Day/Year)

4. Transaction Code
(Instr. 8)

5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)

6. Date Exercisable and Expiration Date
(Month/Day/Year)

7. Title and Amount of Underlying Securities
(Instr. 3 and 4)

8. Price of Derivative Security
(Instr. 5)

9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)

10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)

11. Nature of Indirect Beneficial Ownership
(Instr. 4)

Code

(A)

(D)

Date Exercisable

Expiration Date

Title

Amount or Number of Shares

Employee Stock Option (right to buy) ⁽¹⁾

$ 3.3001

11/19/2007

M⁽²⁾

32,966

11/19/2007

05/19/2008

Common Stock

32,966

⁽³⁾

0 ⁽⁴⁾

Reporting Owners

Reporting Owner Name / Address	Relationships
Reporting Owner Name / Address	Director	10% Owner	Officer	Other
CRAIG IAN S 701 MARKET STREET ST. LOUIS, MO 63101			Managing Dir - Australian Ops.

Signatures

Ian S. Craig By: Bryan L. Sutter, Attorney-in-Fact		11/21/2007
^**Signature of Reporting Person		Date

Explanation of Responses:

*	If the form is filed by more than one reporting person, see Instruction 4(b)(v).
**	Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1)	On October 31, 2007, Peabody Energy Corporation distributed, as a pro rata stock dividend, all of the shares of its wholly-owned subsidiary, Patriot Coal Corporation, to holders of record of Peabody Energy common stock as of the close of business on October 22, 2007 (the "spin-off"). Effective upon completion of the spin-off, the Compensation Committee of the board of directors of Peabody Energy adjusted outstanding equity awards under existing stock plans, including outstanding stock options, to preserve the pre-spin-off intrinsic value of such awards. Accordingly, the number of shares of common stock underlying each option was increased by multiplying the number prior to the spin-off by 1.082524 and the exercise price was decreased by multiplying the exercise price prior to the spin-off by 0.923767.
(2)	This exercise/sale was effected pursuant to a pre-existing Rule 10b5-1 trading plan adopted by the reporting person.
(3)	Not applicable.
(4)	Does not include an additional 211,220 options with different expiration dates and exercise prices.
Remarks: 1 of 4 Form 4s - Additional transactions from November 19, 2007 are reported on sepatate Form 4s.

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