
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, November 3, 1993                   TAG: 9311030008
SECTION: BUSINESS                    PAGE: B8   EDITION: METRO 
SOURCE: MAG POFF STAFF WRITER
DATELINE:                                 LENGTH: Short

CAROLINA STEEL WINS REORGANIZATION FUNDS

Carolina Steel Corp., which has a plant in the Roanoke Valley, said Tuesday it has reached an agreement with BankAmerica Business Credit Inc. for $41 million in reorganization financing.

The company, with headquarters in Greensboro, N.C., said the line of credit provides up to $15 million for performance and surety bonds. Its bridge fabrication business will immediately tap the $15 million credit line "as it adds to its already healthy backlog" of work.

Carolina Steel Holdings Inc. and its subsidiaries, Carolina Steel Corp. and CSC Concrete Co., last month converted an involuntary bankruptcy petition filed in August by holders of their bonds to a voluntary petition for reorganization. The case is pending in the U.S. Bankruptcy Court in the Southern District of New York.

The court has authorized an interim order that allows Carolina Steel to use the $41 million in credit to assure a successful reorganization.

The company said it anticipates the financing agreement will get final approval late this month.

Carolina Steel, founded in 1919, has about 1,100 employees. It reported sales last year of $200 million. It has manufacturing and service centers in the Carolinas, Kentucky and at the Botetourt Industrial Park at Hollins, where it employs 90 workers.

by CNB