Tree Island Renews, Extends Facility with WFCF Canada
Tree Island Steel announced it has successfully renewed its senior banking facility, on more favorable terms, with Wells Fargo Capital Finance Canada. The five-year, senior secured banking facility has been increased from $40 million to $60 million.
Under the terms of the facility, up to $60 million may be borrowed in Canadian and/or U.S. dollars. Interest is charged at variable rates based on the Canadian and/or U.S. Prime rate and the Canadian B.A. rate and/or the eurodollar rate.
Dale R. MacLean, president and CEO of Tree Island, commented: “With our new five year Facility and Wells Fargo’s continuing support, our Company has the financing capacity to continue to grow and deliver on our strategic initiatives.”
“This new five-year $60 million credit facility provides Tree Island with a platform to leverage its improved financial position and take advantage of improving demand fundamentals occurring in our primary end markets,” commented Amar S. Doman, chairman of the board of Tree Island. “We are pleased that Wells Fargo has reaffirmed its confidence in Tree Island and the Company’s ability to achieve sustained, profitable growth.”
Richmond, British Columbia-based Tree Island Steel, through its four operating facilities in Canada and the United States, produces wire products for a diverse range of industrial, residential construction, commercial construction, agricultural and specialty applications.