Stelco Holdings Inc. is listed on the TSX under the symbol "STLC"
Stelco Announces Improvements to its $600 Million Revolving Credit Facility
HAMILTON, ON, March 23 /CNW/ - Stelco Inc. (TSX:STE) announced today that it has completed certain amendments to its current $600 million asset based revolving credit facility. These amendments include extending the term of the facility to 2012, increasing the availability under the facility and providing the opportunity to lower the overall financing costs of the Corporation in the future. This facility is being provided by a banking syndicate led by CIT Business Credit Canada Inc. and GE Capital Markets, Inc., and includes Bank of America, N.A., Canada Branch, GMAC Commercial Finance Corporation - Canada, LaSalle Business Credit, UBS AG Canada Branch and Wells Fargo Financial Corporation Canada. Mr. Rodney Mott, President and CEO, stated that, "These amendments to our loan arrangements are very positive for Stelco as they provide a longer term debt structure and they will likely lead to lower financing costs in the future. We appreciate the full cooperation of our lenders in working with the company to complete these new arrangements." About Stelco Stelco is one of Canada's largest steel companies. It is focused on its two Ontario-based integrated steel businesses located in Hamilton and in Nanticoke. These operations produce high quality value-added hot rolled, cold rolled, coated sheet and bar products. To learn more about Stelco and its businesses, please refer to our Web site at www.stelco.com. CAUTION REGARDING FORWARD-LOOKING INFORMATION This press release contains "forward-looking information" that is based on Stelco's expectations, estimates and projections as of the date of this press release or as of the date which such information is identified to be given. This forward-looking information includes, among other things, factors relating to the business, financial position, operations and prospects of Stelco, including: Stelco's strategies and plans to reduce costs and the anticipated outcome of such strategies and plans; anticipated productivity levels and profitability; labour matters related to Stelco's predominantly unionized workforce; pension matters; consolidation in the steel industry; Stelco's energy and raw material costs and the availability of such materials; the volatility of selling prices for steel; international trade matters, including increases in steel imports into Canada; employee matters, including staffing levels, the retention of the skills and knowledge of Stelco's employees and the ability to attract and retain new employees; changes to environmental laws and regulations concerned with, among other things, emissions into the air, discharges to water or land, noise control and the generation, handling, storage, transportation and disposal of toxic substances; new technological developments and Stelco's ability to make capital expenditures to maintain and enhance its technological ability; development of new products; planned capital expenditures; and currency fluctuations in the US dollar and its impact on steel pricing, and costs. Often, but not always, forward-looking information can be identified by the use of words and phrases such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or states that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Stelco to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Actual results, performance and achievements are likely to differ, and may differ materially, from those expressed or implied by the forward-looking information contained herein. Such forward-looking information is based on a number of assumptions which may prove to be incorrect, including, but not limited to: exchange rates, energy and other anticipated and unanticipated costs; pension contributions and expenses; the supply and demand for, deliveries of, and the level and volatility of prices of, steel and raw materials; the continued availability of financing on appropriate terms; market competition; the impact on Stelco of various environmental regulations and initiatives; and Stelco's ongoing relations with its employees and staffing levels. While Stelco anticipates that subsequent events and developments may cause Stelco's views to change, Stelco specifically disclaims any obligation to update this forward-looking information. This forward-looking information should not be relied upon as representing Stelco's views as of any date subsequent to the date of this press release. %SEDAR: 00001549E
For further information:
For further information: J.K. Rutherford, Chief Financial Officer, (905) 528-2511, Extension 2022