Daily News: January 6, 2012

GE ‘Optimistic’ on Reaching Solution With Maryland Steel Mill


The Baltimore Sun reported GE Capital’s Ned Reynolds said the company remains “optimistic” that a solution can be reached with a Maryland steel mill after Governor Martin O’Malley asked Jeffrey Immelt to reconsider GE’s decision to freeze some of R.G. Steel’s funds, saying the move has contributed to the firm’s decision to lay off workers at its Sparrows Point mill.

GE Capital and other lenders had provided a revolving line of credit in a deal in which GE and lenders led by Wells Fargo financed the stock-purchase sale that created RG Steel, the article said.

According to the article, the group of banks is continuing talks with RG Steel, citing Ned Reynolds, a spokesperson for GE Capital.

The article quoted Reynolds as saying, “We remain optimistic that some kind of solution is reachable.”

To read the full Baltimore Sun article: click here.

Previously on abfjournal.com:

Maryland Governor Asks Immelt to Unfreeze R.G. Steel Funds, Tuesday, January 03, 2012