CLEVELAND, June 30, 2014 (GLOBE NEWSWIRE) -- Olympic Steel Inc. (Nasdaq:ZEUS), a leading national metals service center, today announced that it has amended and extended its existing asset-based credit facility.
The amendment provides the Company with a $365 million revolving line of credit, extends the maturity three years from June 30, 2016, to June 30, 2019, and lowers the borrowing rate on outstanding balances.
"We are pleased by the confidence expressed by all of our lenders in this borrowing agreement. The agreement provides more favorable covenants, lower borrowing rates and removes Company-owned real estate from the collateral base. This enhances our flexibility," said Olympic Steel Chairman and Chief Executive Officer Michael D. Siegal.
Effective with the amendment, the premium over the London Interbank Offered Rate (LIBOR) will be 25 basis points lower than the previous rate. At June 30, 2014, Olympic Steel was in compliance with all covenants and had approximately $120 million in credit available under the amended asset-based lending agreement.
About Olympic Steel
Founded in 1954, Olympic Steel is a leading U.S. metals service center focused on the direct sale and distribution of large volumes of processed carbon, coated and stainless flat-rolled sheet, coil and plate steel and aluminum products. The Company's CTI subsidiary is a leading distributor of steel tubing, bar, pipe, valves and fittings, and fabricates pressure parts for the electric utility industry. Headquartered in Cleveland, Ohio, Olympic Steel operates from 34 facilities in North America.
For additional information, please visit the Company's website at http://www.olysteel.com or http://www.b2i.us/profiles/investor/ContactUs.asp?BzID=2195
CONTACT: IR Contact: Matthew J. Dennis, CFA Olympic Steel Investor Relations (216) 672-0522
Source:Olympic Steel, Inc.