Steel Mills
October 9, 2014
US Steel Gets Green Light on USS Canada DIP Loan
Written by Sandy Williams
US Steel received approval on Wednesday from the Ontario Superior Court to proceed with its financing plan for US Steel Canada. A $185 million DIP (debtor-in-possession) loan will keep US Steel Canada operations running through December 2015 while parent company US Steel figures out a restructuring plan under the Canadian Companies Creditors Arrangement Act (CCAA). The court also granted US Steel Canada an extension of the stay of proceedings until January 23, 2015.
Hearings scheduled for Monday and Tuesday were adjourned so that lawyers could work out a compromise to satisfy key stakeholders that included the government of Ontario, the United Steel Workers union, and the city of Hamilton.
