The failure of Brazilian steelmaker Companhia Siderurgica Nacional (CSN) to file its financial statements on time is reportedly hindering the company’s ongoing talks with creditors, according to a media report from Bloomberg citing unnamed sources.
The indebted company is reportedly in talks with Brazilian state-run banks Caixa Economica Federal and Banco do Brasil to renegotiate its debt, at the same time it seeks a waiver with creditors of its local bonds, the media report said.
CSN’s CEO, Benjamin Steinbruch, told investors last year during the company’s Q3 earnings call it was in talks to extend the maturity of some of its BRL 7.3 billion ($2.20 billion) debt due in 2017 and 2018.
Additionally, the Brazilian steel producer also has another $1.95 billion in outstanding bonds due in 2019 and 2020, as well as a $1 billion perpetual bond.
Brazilian flats producer Usiminas faced similar troubles, but managed to restructure its debt in a move that gave the company strength to pursue its financial obligations and step away from a potential default.