AK Steel announced Monday that it has entered into a new $1.1 billion, five-year revolving credit facility with a group of lenders. The new credit facility will expire in March 2019. Bank of America, N.A., J.P. Morgan Securities LLC and Wells Fargo Capital Finance, LLC acted as joint lead arrangers.
The new credit facility is secured by most of the company's inventory and accounts receivable. It replaces the company's existing $1.1 billion credit facility, which was set to expire in April 2016 and was secured by the same classes of assets as the new credit facility. The new credit facility will provide the company with enhanced liquidity and greater financial and strategic flexibility. It will be used for working capital and general corporate purposes.