United States Steel Corporation Completes $1.1 Billion of

New Post Public Reply Private Reply Replies (0) Message Board
News Desk 2022
79
United States Steel Corporation Completes $1.1 Billion of Incremental Financing to Support Strategy Execution
  • Completed $500 million upsize to the amended and extended $2 billion revolving credit facility
  • Issued $350 million senior convertible notes at a coupon of 5.00%, which includes $50 million from the full exercise of the initial purchasers’ option to purchase additional notes
  • Completed offering of $275 million of thirty-year environmental revenue bonds with a coupon of 5.75%

PITTSBURGH, Oct. 25, 2019 (GLOBE NEWSWIRE) -- United States Steel Corporation (X) (“U. S. Steel”) today announced that it has completed approximately $1.1 billion of financing activities to support the execution of the Company’s “best of both” strategy.

“The closing of these financing activities marks another successful step in the execution of our ‘best of both’ strategy,” said David B. Burritt, President and Chief Executive Officer of U. S. Steel. “I am thankful for the strong support from our investors and bank groups of our goal to create a differentiated, world-competitive company.”

A summary of our recently completed financing activities appears below:

$2.0 Billion Revolving Credit Facility

On October 10, 2019, we launched the syndication of a new five-year senior secured asset-based revolving credit facility in an aggregate amount up to $2.0 billion (the “Fifth Amended and Restated Credit Agreement”) to replace the existing Fifth Amended and Restated Credit Agreement. The Fifth Amended and Restated Credit Agreement has substantially the same terms as the existing Credit Facility Agreement, except that the Fifth Amended and Restated Credit Agreement includes certain changes, notably that it will mature in 2024 and has a “first-in, last-out” tranche in an amount up to $150 million. The Fifth Amended and Restated Credit Agreement closed on October 25, 2019.

$275 Million / 5.75% / 30-Year Environmental Revenue Bonds

On October 10, 2019, we launched offerings of two series of environmental revenue bonds in aggregate principal amount of approximately $368 million, that will mature between 2024 and 2049 (collectively, the “2019 Environmental Revenue Bonds”). Proceeds of the 2019 Environmental Revenue Bonds in the amount of approximately $93 million will be used to redeem a portion of our existing outstanding environmental revenue bonds for which we issued a conditional redemption notice and will mature in 2024 and 2030. Proceeds of the 30-year Environmental Revenue Bonds in the amount of $275 million will be used to finance or refinance the acquisition, construction, equipping and installation of certain solid waste disposal facilities, including an electric arc furnace and other equipment and facilities at the Company’s Fairfield Works and will mature in 2049. The 2019 Environmental Revenue Bonds closed on October 25, 2019.

$350 Million / 5.00% / Senior Convertible Notes Due 2026

On October 21, 2019, U. S. Steel issued an aggregate principal amount of $300 million of 5.00% Senior Convertible Notes due November 1, 2026 (the “2026 Senior Convertible Notes”). In connection with the issuance of the 2026 Senior Convertible Notes, U. S. Steel granted the initial purchasers a 30-day option to purchase up to an additional $50 million in aggregate principal amount of 2026 Senior Convertible Notes, on the same terms and conditions. On October 23, 2019, the initial purchasers exercised this option in full and U. S. Steel issued an additional $50 million of 2026 Senior Convertible Notes on October 25, 2019. U. S. Steel received net proceeds of approximately $340 million from the issuance of the 2026 Senior Convertible Notes after deducting underwriting fees and estimated offering expenses. The Company intends to use the net proceeds for general corporate purposes, including, without limitation, for previously announced strategic investments and capital expenditures. Interest on the 2026 Senior Convertible Notes is payable semi-annually on May 1 and November 1 of each year, commencing on May 1, 2020.

FORWARD-LOOKING STATEMENTS

This release contains information that may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We intend the forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in those sections. Generally, we have identified such forward-looking statements by using the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “target,” “forecast,” “aim,” “should,” “will” and similar expressions or by using future dates in connection with any discussion of, among other things, operating performance, trends, events or developments that we expect or anticipate will occur in the future, statements relating to volume changes, share of sales and earnings per share changes, and statements expressing general views about future operating results. However, the absence of these words or similar expressions does not mean that a statement is not forward-looking. Forward-looking statements are not historical facts, but instead represent only the Company’s beliefs regarding future events, many of which, by their nature, are inherently uncertain and outside of the Company’s control. It is possible that the Company’s actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. Management believes that these forward-looking statements are reasonable as of the time made. However, caution should be taken not to place undue reliance on any such forward-looking statements because such statements speak only as of the date when made. Our Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. In addition, forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our Company's historical experience and our present expectations or projections. These risks and uncertainties include but are not limited to the risks and uncertainties described in “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2018, our Quarterly Report on Form 10-Q for the quarter ended September 30, 2019, and those described from time to time in our future reports filed with the Securities and Exchange Commission. References to "we," "us," "our," the "Company," and "U. S. Steel," refer to United States Steel Corporation and its consolidated subsidiaries.

2019-034

About U. S. Steel

United States Steel Corporation, headquartered in Pittsburgh, Pa., is a leading integrated steel producer and Fortune 250 company with major operations in the United States and Central Europe. For more information about U. S. Steel, please visit www.ussteel.com.

   
CONTACTS:
Media
Amanda Malkowski
Analyst
Corporate Communications
T - (412) 433-2512
E - almalkowski@uss.com
 Investors/Analysts
Kevin Lewis
General Manager
Investor Relations
T - (412) 433-6935
E - klewis@uss.com
Scroll down for more posts ▼

Top 10 Most Recent News Articles

China's Tech Success Echoes in Global Living Rooms

Updated Category News Views 3

A New Player in Global Tech If you've been sleeping on China's tech scene, it's time to wake up. Moonshot AI just launched Kimi K3, the largest open-source model by parameters we've seen, a significant leap in artificial intelligence that's catching even the eyes of folks who hardly touch technology—like retirees in Italy. Rapid AI Advancements China's story isn't about...

Continue Reading
Fast Guard Elevates Nationwide Fire Watch Mission

Updated Category News Views 2

Fast Guard: The Unseen Shield Behind Property Safety Hollywood, Florida might be best known for its sun-kissed beaches, but in the world of fire safety, it’s the nerve center for emergency fire watch response. Fast Guard Service isn’t just any run-of-the-mill security outfit; it’s rapidly becoming the unsung hero of property managers across the nation. When those...

Continue Reading
Chery Auto's Bold Green Tech Showcase at 2026 Summit

Updated Category News Views 2

Chery Auto Puts Eco Tech at Front and Center You know, Chery Auto isn't just manufacturing cars anymore—it's shaping an entire lifestyle. For the uninitiated, they’re calling in everyone worth knowing to their headquarters in Wuhu, China, come October 18 through 24. The 2026 Chery International User Summit is kind of a big deal this year with nearly 20 new green...

Continue Reading
Flying Car Regulatory Sandbox Begins in UAE

Updated Category News Views 3

Pioneering Flying Cars in the Desert In a move that seems right out of a science fiction screenplay, ARIDGE—the bigwig of flying cars from Asia—has taken a giant leap. They’ve cozied up with the UAE, locking arms to cook up the world's first regulatory sandbox for personal flying cars. Now, don’t laugh—sandbox isn't just for toddlers. It’s the playground where...

Continue Reading
Xi Jinping Thought: A Bold Prospect for Future Governance

Updated Category News Views 5

107 years in the game, and the Communist Party of China (CPC) isn't showing any signs of slowing. With their recent conference in Beijing focusing on Xi Jinping Thought on Party Building, it’s clear they’ve got their eyes on the future, not just resting on past laurels. This Xi Jinping Thought is about a thorough self-improvement plan for the Party, a clear strategy...

Continue Reading
Insta360 Expands with Times Square Flagship Store

Updated Category News Views 3

Insta360 Times Square Opening Marks Bold Expansion I dropped by Times Square today, and what do I see? Insta360 planting its flag right in the heart of New York City. Now, this isn't your run-of-the-mill grand opening—it’s the first flagship store outside of Asia, and it screams of big ambitions. Nestled at 1515 Broadway, the store is smack in the middle of one of the...

Continue Reading
Beta Bionics Lawsuit Deadline: Investors Face November 3 Cut-off

Updated Category News Views 4

Looming Deadline for Beta Bionics Investors Time's ticking fast for those holding onto Beta Bionics (BBNX) stock who might've been caught in a web of undisclosed risks and regulatory misses. Investors feeling the pinch from this fiasco have till November 3, 2026, to throw their hat in the ring as lead plaintiffs in the class action lawsuit out of California. The...

Continue Reading
Why Liver Nurture Taps into Health Sector Trends

Updated Category News Views 0

Liver Wellness: A Sector on the Rise Remember when everyone was all about heart health and cholesterol levels? Seems like these days, folks have shifted their focus a bit south—right to the liver. It's no surprise, really. With our modern diet and lifestyle choices squeezing the life out of this hard-working organ, people are on the hunt for ways to give it the TLC it...

Continue Reading
GAC's Cambodia Plant: A Strategic Manufacturing Shift

Updated Category News Views 3

Setting the Stage for New Industrial Growth On September 17, a milestone was etched in the sands of Cambodia when the GAC Cambodia KD Plant officially flipped the switch. This ain't just another factory throwing doors open; it's a fresh chapter in regional manufacturing power plays. We had some big hitters in attendance, like Cambodian Prime Minister Hun Manet, showing...

Continue Reading
Tragedy Highlights Need for E-bike Safety Overhaul

Updated Category News Views 2

A Dire Wake-Up Call in the East Village We're staring hard at a heartbreaking mess in the East Village. A 15-year-old girl lost her life while riding an electric Citi Bike, hit by an industrial truck. Let's not dance around it—this is a gut punch, the kind you never want to ever hear about, and one that comes with a bitter flavor of 'what if?' Age Verification: A...

Continue Reading

Top 5 Most Recently Viewed Articles

Texas Housing Market Update: Steady Growth and Availability

Updated Category News Views 164

Texas Housing Market Overview in 2024 Recent reports from Texas REALTORS highlight how home sales and their prices have remained relatively stable in 2024. The data reveals that while there were only modest changes from the previous year, the availability of homes has notably improved, providing buyers in many regions with a wealth of options to choose from. Sales and...

Continue Reading
EDWARD WEST's Significant Investment in Mitek Systems: An Insight

Updated Category News Views 123

EDWARD WEST's Strategic Investment in Mitek Systems EDWARD WEST, the Chief Executive Officer at Mitek Systems (NASDAQ: MITK), has recently made headlines with a notable insider purchase amounting to $506,407. This financial move marks a vote of confidence in the company’s future. Details of the Purchase In a recent filing with the SEC, it was disclosed that WEST...

Continue Reading
What to Expect from Valley Ntl Earnings This Quarter

Updated Category News Views 172

Valley Ntl's Upcoming Earnings Insight Valley Ntl (NASDAQ: VLY) is preparing to unveil its quarterly earnings report soon. Investors are keen to see how the company performs, especially with analysts projecting an earnings per share (EPS) of $0.26. This announcement is highly anticipated, and many are watching closely for any surprises that might influence the stock's...

Continue Reading
Adult Entertainment Sector Thrives with Digital Transition and Technology

Updated Category News Views 659

Growth of the Adult Entertainment Market The adult entertainment industry is undergoing a remarkable transformation, heavily influenced by changing societal attitudes and the proliferation of the internet. With an expanding online presence, the global market size was valued at approximately US$ 287.8 billion recently and is projected to grow at an impressive CAGR of 8.6%...

Continue Reading
Sigma Lithium's Sustainability Achievements and Operations Upgrade

Updated Category News Views 227

Sigma Lithium Achieves Recognition in Sustainability Initiatives Sigma Lithium Corporation, a prominent player in the global lithium market, has recently been highlighted for its remarkable sustainability practices. As an innovator dedicated to powering the future of electric vehicles, Sigma Lithium produces lithium concentrate that is both carbon neutral and...

Continue Reading