Frequently Asked Questions

August 31, 2017

What has A.M. Castle announced?

Today, A.M. Castle has taken a proud step forward that marks a new beginning for the Company. We have officially completed our financial restructuring, which positions us for tremendous growth and the opportunity to serve our customers and partner with our suppliers as never before.

This achievement marks the culmination of the efforts we began when we initially announced our financial restructuring on April 7. As promised, we have reduced our debt burden in partnership with our stakeholders and can now work to achieve significant growth opportunities across our business.

This milestone is a testament to the hard work of our employees, our leadership team, our secured creditors, and our other stakeholders, all of whom have contributed their overwhelming support and trust in Castle throughout this process.

What does this mean for our business?

Having successfully restructured our balance sheet, Castle is now operationally and financially fit for growth. Our financial transformation built upon the essential work we completed over the past two years to fortify our business, including right-sizing our branch network footprint, empowering our branches and people, and investing in our target markets.

Going forward, what are some of A.M. Castle’s focus areas?

There are two areas on which we must focus so we can continue to shape a brighter future for our company and build on our goal to re-establish industry leadership:
• We will continue to identify ways to create value for our customers and suppliers. We will leverage these partnerships to gain an even better understanding of their pain points and challenges and how we can address them through innovative solutions.
• We will continue to invest in ourselves so that Castle remains a place that attracts and builds a robust talent base and fulfilling careers for our employees.

What does this mean for our suppliers, customers, and employees?

As we communicated at the start of this journey back in April, we are moving forward as a financially stronger company that is better positioned to deliver on our promise of growing our partnerships with our suppliers and improving our service to our customers.

How does this make us more competitive?

Our financial restructuring has markedly reduced our debt and interest expense. For the first year following the effective date of our plan, our initial annual cash interest expense will be approximately $4 million. What’s more, our total yearly interest expense has decreased by nearly 70%, from approximately $36 million per year prior to the restructuring. With this new, improved balance sheet, we will be able to invest further in both organic and strategically acquired revenue growth, capital investments, and innovation for our customers.

Where can I go to learn more about the emergence?

Please contact your Castle representative for updates and information.