DGAP-Ad-hoc: SKW Stahl-Metallurgie Holding AG / Key word(s): Financing SKW Stahl-Metallurgie Holding AG: SKW Metallurgie finds agreements with financing banks on basic points of a financial restructuring 15-Dec-2016 / 17:30 CET/CEST Disclosure of an inside information acc. to Article 17 MAR, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- SKW Metallurgie finds agreements with financing banks on basic points of a financial restructuring: * Concept for a sustainable financial restructuring of the Group to be implemented during the course of 2017 * Banks declaring willingness to a conditional cancelation of debt and to a stand-still agreement for the syndicated loan contract until December 31, 2017 * Cooperation discussions initiated to realize synergy potentials München (Germany), December 15, 2016. The SKW Metallurgie Group (WKN SKWM02 / ISIN DE000SKWM021) has found basic agreement with the financing parties of the syndicated loan contract (the main debt instrument of the SKW Metallurgie Group) regarding a concept for a sustainable financial restructuring of the Group. That concept comprises the following basic points: * The financing banks of the syndicated loan contract declare their willingness to conclude a standstill agreement with a maturity until December 31, 2017 in order to implement the refinancing. * Cornerstone of this financial restructuring is an extraordinary debt repayment of the SKW Metallurgie Group based on the disposal of assets (mainly non-core activities). * In addition, the financing banks have declared their general preparedness to issue a conditional cancelation of debt, if the repayment of the debt remaining with the banks is secured by a third party. * In this context, the equity of the Company shall be further strengthened during the course of 2017 by a substantial capital increase against cash in the amount of at least 100% of the registered capital, with subscription rights for the shareholders. A corresponding motion is to be presented to the General Meeting. * A central part of the concept is the already initiated contact to strategic partners in order to mutually develop the business and to strengthen the competitive position through realizing synergy potentials. These negotiation results are to be documented in detail by end of January at the latest through a "debt reduction agreement". To that end, the existing waiver is to be prolonged until that point in time. The aforesaid concept is subject to the approval by corporate bodies of financing banks; the Company is optimistic that such approval be granted during the course of the subsequent week. Contact: SKW Stahl-Metallurgie Holding AG Christian Schunck Head of IR and Corporate Communications Prinzregentenstr. 68 81675 München Germany Phone IR/Press: +49 89 5998923-22 Fax: +49 89 5998923-29 E-Mail: [email protected] --------------------------------------------------------------------------- 15-Dec-2016 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de --------------------------------------------------------------------------- Language: English Company: SKW Stahl-Metallurgie Holding AG Prinzregentenstr. 68 81675 München Germany Phone: +49 (0)89 5998923-22 Fax: +49 (0)89 5998923-29 E-mail: [email protected] Internet: www.skw-steel.com ISIN: DE000SKWM021 WKN: SKWM02 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange End of Announcement DGAP News Service --------------------------------------------------------------------------- 530327 15-Dec-2016 CET/CEST