FORT WAYNE, INDIANA, January 11, 2012 – Steel Dynamics, Inc.
(NASDAQ/GS: STLD) announced today that it has expanded its senior
secured credit facility by adding a $275.0 million term loan facility to
its existing five year $1.1 billion revolving credit facility. The new
five year term loan matures September 30, 2016 (the “Maturity Date”) and
is guaranteed by certain of the Company’s subsidiaries and is secured
by substantially all of the Company’s and said subsidiaries’ accounts
receivable and inventories. Quarterly principal payments under the Term
Loan are required to be made in amounts ranging from 1.25% to 3.75% of
the original principal amount, with the unpaid principal balance of
approximately $158 million due on the Maturity Date. The Company intends
to use the proceeds of the term loan, together with cash on hand, to
fund the purchase of $278,470,000 of the Company’s 73⁄8% Senior Notes
due 2012 (the “2012 Notes”) in accordance with the Company’s recently
announced cash tender offer for the 2012 Notes.
Merrill Lynch, Pierce, Fenner & Smith Incorporated, PNC Capital
Markets LLC and Wells Fargo Securities, LLC served as joint and
exclusive bookrunners and lead arrangers.
Forward Looking Statements
Contact: Theresa E. Wagler, Chief Financial Officer / (260) 969-3500 |