October 23, 2008
GE Corporate Lending Provides $200 Million Asset-Based Credit Facility to Severstal Warren, Inc.
GE Commercial Finance Corporate Lending today announced it has provided a $200 million asset-based credit facility to Severstal Warren, Inc., a steel producer and indirectly owned subsidiary of OAO Severstal. The loan will be used for ongoing working capital needs.
Based in Warren, OH, Severstal Warren is an integrated flat-rolled steel producer with an annual raw steel capacity of 1.4 million tons. The company produces more than 185 grades of high-quality steel used by strip converters, processors, service centers, construction products companies and the automotive industry. End uses for Severstal Warren steel include car bumpers, side door intrusion beams, garden tools, golf club shafts, aircraft parts and culvert for the construction industry.
"Other Severstal entities in the U.S. are longstanding GE borrowers, so we have a lender who has in-depth knowledge of our business as well as broad expertise in the steel industry," said Mark Yost, CFO for Severstal Warren. "In addition, GE's ability to provide us with the full facility amount allowed us to quickly access and utilize the funds to help support our business strategy in North America."
"We remain focused on working closely with customers to provide smarter capital to help meet their business objectives," said Tom Quindlen, president and CEO for GE Corporate Lending. "In today's challenging credit markets, clients clearly benefit from GE's industry expertise and experience lending through tough cycles."
To view a brief video featuring GE Corporate Lending's Metals & Mining Industry Leader, Greg Eck discussing trends within the sector, visit:
http://www.gelending.com/Clg/http_stream/eck_video/eck.html? catagory =video&id=undefined&bandwidth=7307 (Due to its length, this URL may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.)
To better meet the unique financing needs of businesses, GE Corporate Lending has a team of Industry Leaders supported by research analysts. These industry experts help build smarter financing solutions for companies across key industries: Aerospace & Defense; Automotive; Chemicals & Plastics; Construction; Food, Beverage & Agribusiness; Financial & Business Services; Forest Products; Metals and Mining; Restructuring; Retail; Technology & Electronics; and Transportation.
About GE Corporate Lending
With $16 billion in assets, GE Commercial Finance Corporate Lending is one of North America's largest providers of asset-based, cash flow, structured finance and other financial solutions for mid-size and large companies. From over 30 offices throughout the U.S. and Canada, GE Corporate Lending specializes in serving the unique needs of borrowers seeking $20 million to $2 billion and more for working capital, growth, acquisitions, project finance and turnarounds. Visit www.gelending.com/clnews to learn more.
About GE Commercial Finance
GE Commercial Finance, which offers businesses around the globe an array of financial products and services, has assets of over $300 billion and is headquartered in Norwalk, Connecticut. GE (NYSE: GE) is a diversified global infrastructure, finance and media company that is built to meet essential world needs. From energy, water, transportation and health to access to money and information, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. GE is Imagination at Work. For more information, visit the company's Web site at http://www.ge.com.