BUTLER, INDIANA — July 17, 1997 — Steel Dynamics, Inc. (NASDAQ: STLD)
announced today it has entered into an amendment of its original 1994
credit facility, which increases the facility from $345 million to $450
million, extends its final maturity through the second quarter of 2004,
and reduces SDI’s interest costs. Mellon Bank is the Agent,
Kreditanstalt für Wiederaufbau and Comerica Bank are Senior Co-Agents,
and Banque Nationale de Paris, The Industrial Bank of Japan and NBD Bank
are Co-Agents for this agreement that includes an international group
of 12 banks.
Tracy Shellabarger, SDI’s chief financial officer, commented: “The
continued support of our banks has been instrumental in the success SDI
has achieved to date. This amended credit agreement will enable SDI to
pursue some of the growth opportunities we believe are available to us
and should provide the company with needed flexibility.”
As a result of the amendment, SDI will be required to incur a charge
of approximately $10.7 million (approximately $9.3 million non-cash),
net of income taxes, primarily associated with the write-off of
unamortized financing costs associated with the original 1994 agreement.
This charge will be reflected as an extraordinary item in the third
quarter 1997 results.
Steel Dynamics, Inc. is now providing a broad range of flat-rolled
steel products to the market, including light gauge micro-alloyed and
high strength steels for demanding automotive applications. |