Renco Steel expects to pay coupon by March 1

New York, Feb. 13 - Renco Steel Holdings Inc. said it expects to be able to make the interest payment due Feb. 1 on its $120 million of senior secured notes by March 1.

Renco said in a filing with the Securities and Exchange Commission it did not make the payment due to "insufficient liquidity."

But it anticipates that the parent company The Renco Group, Inc. will provide adequate funds to make the payment on the notes that Renco Group does not own.

As of Feb. 13, 2002, Renco Group owned $59.32 million face amount of the notes, according to the filing, which added that Renco Group is looking to buy more of the notes.

Renco Group has waived its right to receive the interest payments due on Aug. 1, 2001 and Feb. 1, 2002. Renco Steel recorded a capital contribution of $4.8 million for the year ended Oct. 31, 2001 to reflect the waiver.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.