MUSCLE SHOALS — Wise Metals Group, a leading North American flat-rolled aluminum producer, has entered into agreements to increase its working capital facility from $270 million to $345 million, the company announced today. Wise’s bank group is led by Wells Fargo, as agent, and includes Bank of America, N.A., Regions Bank, Citizens Bank, and GE Capital.
The $345 million working capital facility will bear interest as low as Libor plus 275 basis points, depending upon
MONTE SCHAEFER
average
availability under the facility, and will mature in May 2015. The company expects to use a portion of the proceeds of the facility to replace other higher interest debt and enter into projects intended to improve productivity, primarily at Wise’s Alabama plant. Wise will use the balance of the facility for general corporate purposes.
“This financing, combined with our plans for continued growth, further demonstrates the value of Wise’s flat-rolled aluminum assets and the strength of our business model,” said Monte Schaefer, Executive Vice President and CFO of Wise Metals Group. “We are encouraged by the market’s demand and favorable response to this refinancing and appreciate the support and commitment of our bank group, led by Wells Fargo.”
MEDIA RELEASE-Sandra Scarborough, Senior Vice President, Corporate Human Relations, Wise Alloys LLC,
