Bayou Steel has emerged from Chapter 11 Bankruptcy in a US$75million plan for re-organisation, satisfying all conditions set down by the bankruptcy court.
Under the proposed scheme, the steel producer will continue to operate all of its facilities and will keep on about 400 of its 500 employees. They will also take on a new look board of directors, which carries over only one member of the previous board.
The US$75million plan will include US$30 million in bonds and US$45million in working capital. It will also remove US$105million in debt and US$25million of potential lawsuits.
Bayou Steel filed for Chapter 11 Bankruptcy on January 21, 2003. They produce light structural steels from scrap steel products.
For more information on steel manufacture, click here.