IRVING, Texas, July 28, 2017 /PRNewswire/ -- Commercial
Metals Company (NYSE: CMC) ("CMC") announced today that it plans to
redeem all of its 7.35% Senior Notes due 2018 (the "2018 Notes")
that remain outstanding following the consummation of CMC's
previously announced cash tender offer (the "Tender Offer") for up
to $300.0 million aggregate purchase
price of 2018 Notes, which expired on July
24, 2017. Following the expiration of the Tender Offer,
approximately $235.0 million in
aggregate principal amount of 2018 Notes remain outstanding. The
2018 Notes will be redeemed on August 31,
2017 (the "Redemption Date"), at a redemption price of 100%
of the face amount of the 2018 Notes, plus a make-whole premium and
accrued and unpaid interest to the Redemption Date. The Notice of
Redemption is expected to be delivered to holders of 2018 Notes on
or about the date hereof.
This press release is neither an offer to purchase nor a
solicitation of an offer to sell any 2018 Notes or any other
securities.
About Commercial Metals Company
Commercial Metals Company and subsidiaries manufacture, recycle
and market steel and metal products, related materials and services
through a network including steel minimills, steel fabrication and
processing plants, construction-related product warehouses, metal
recycling facilities and marketing and distribution offices in
the United States and in strategic
international markets.
Forward – Looking Statements
This news release contains forward-looking statements regarding
CMC's expectations concerning the redemption of 2018 Notes.
These forward-looking statements generally can be identified
by phrases such as CMC or its management expects, anticipates,
believes, estimates, intends, plans to, ought, could, will, should,
likely, appears or other similar words or phrases. There are
inherent risks and uncertainties in any forward-looking statements.
Although we believe that our expectations are reasonable, we can
give no assurance that these expectations will prove to have been
correct, and actual results may vary materially. Except as required
by law, CMC undertakes no obligation to update, amend or clarify
any forward-looking statements to reflect changed assumptions, the
occurrence of anticipated or unanticipated events, new information
or circumstances or otherwise.
Factors that could cause actual results to differ materially
from CMC's expectations include the following: the achievement of
closing conditions and regulatory approvals with respect to CMC's
recently announced plans to exit its International Marketing and
Distribution Segment and sell its raw materials trading division;
the results of negotiations, the completion of potential
transactions on intended timetables or at all; rapid and
significant changes in the price of metals; excess capacity in our
industry, particularly in China,
and product availability from competing steel minimills and other
steel suppliers including import quantities and pricing; currency
fluctuations; compliance with and changes in environmental laws and
regulations, including increased regulation associated with climate
change and greenhouse gas emissions; potential limitations in our
or our customers' ability to access credit and non-compliance by
our customers with our contracts; financial covenants and
restrictions on the operation of our business contained in
agreements governing our debt; global factors, including political
uncertainties and military conflicts; availability of electricity
and natural gas for minimill operations; information technology
interruptions and breaches in security data; ability to retain key
executives; ability to make necessary capital expenditures;
availability and pricing of raw materials over which we exert
little influence, including scrap metal, energy, insurance and
supply prices; unexpected equipment failures; competition from
other materials or from competitors that have a lower cost
structure or access to greater financial resources; losses or
limited potential gains due to hedging transactions; litigation
claims and settlements, court decisions, regulatory rulings and
legal compliance risks; risk of injury or death to employees,
customers or other visitors to our operations; increased costs
related to health care reform legislation; and those factors listed
under Item 1A. Risk Factors included in CMC's Annual Report filed
on Form 10-K for the fiscal year ended August 31, 2016 and any subsequently filed
Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.
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SOURCE Commercial Metals Company