Noranda Aluminum files for bankruptcy

Noranda Aluminum Holding

08/02/2016 08:49

Feb 8 (Reuters) - Noranda Aluminum Holding Corp  NORN.PK , a 
producer of primary aluminum and rolled aluminum coils, filed 
for Chapter 11 bankruptcy protection on Monday and said it will 
evaluate its various business operations. 
    The Franklin, Tennessee-based company said challenging 
market conditions for the aluminum industry and recent 
disruptions in its primary business operations led to the 
decision. 
    Noranda listed both assets and liabilities in the range of 
$1 billion to $10 billion. 
    The company and its subsidiaries also entered into an 
agreement in principle with its existing asset-based loan 
lenders for up to $130 million in debtor-in-possession 
(DIP)financing, wherein the company will remain in possession of 
property upon which creditors have an interest. 
    Noranda said it has already received a commitment for up to 
$35 million in DIP financing. 
    The company said it will use its cash from operations and 
the new financing to support business during the 
court-supervised process, if the plans are approved. 
    Noranda will curtail production at its 253,000 
tonne-per-year New Madrid, Missouri smelter if it cannot secure 
a more favorable price for electrical power, the company said 
last month.  urn:newsml:reuters.com:*:nWNAB09NMO 
    The case is in U.S. Bankruptcy Court, for the Eastern 
District of Missouri, Case No 16-10083. 
 
 (Reporting by Shivam Srivastava in Bengaluru; Editing by Sunil 
Nair) 
 ((shivam.srivastava@thomsonreuters.com; within U.S. +1 646 223 
8780, outside U.S. +91 80 6749 6894; Reuters Messaging: 
shivam.srivastava.thomsreuters.com@reuters.net)) 
 
Keywords: NORANDAALUMINUM BANKRUPTCY/