UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 28, 2016
Horsehead Holding Corp.
(Exact name of registrant as specified in its charter)
Delaware | 001-33658 | 20-0447377 | ||
(State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
4955 Steubenville Pike, Suite 405
Pittsburgh, Pennsylvania 15205
(Address of principal executive offices, including zip code)
724-774-1020
(Registrants telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 1.01. | Entry into a Material Definitive Agreement. |
On August 1, 2016, Horsehead Holding Corp. (the Company) and certain of its direct and indirect wholly-owned subsidiaries (together with the Company, the Debtors) entered into Amendment No. 4 and Waiver (the Amendment) to the Senior Secured Superpriority Debtor-in-Possession Credit, Security and Guaranty Agreement, dated as of February 8, 2016 (as amended, the DIP Credit Agreement), with the lenders party thereto (the DIP Lenders) and Cantor Fitzgerald Securities, as administrative agent.
Pursuant to the Amendment, the DIP Lenders waived events of default that occurred as a result of (i) the order approving the Debtors Disclosure Statement related to the Plan of Reorganization being entered by the Bankruptcy Court on July 11, 2016 and not on or prior to July 7, 2016 as required by the DIP Credit Agreement, and (ii) the Credit Agreement failing to identify a certain promissory note as outstanding indebtedness.
The foregoing description of the Amendment does not purport to be complete and is qualified in its entirety by reference to the text of the Amendment, which is filed as Exhibit 10.1 hereto, and is incorporated by reference herein.
Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On July 28, 2016, Robert D. Scherich, Vice President and Chief Financial Officer, advised the Company that he will be departing from the Company, effective August 31, 2016.
Item 7.01 | Regulation FD Disclosure. |
On July 21, 2016, the Debtors agreed to publicly disclose their DIP Budget (as defined in the DIP Credit Agreement) in connection with execution of the Amendment. A copy of the DIP Budget is furnished hereby as Exhibit 99.1.
Any financial information, projections and estimates of claims included in the DIP Budget were not prepared with a view toward public disclosure or compliance with the published guidelines of the Securities and Exchange Commission or the guidelines established by the American Institute of Certified Public Accountants regarding projections or forecasts. The financial information included in the DIP Budget does not purport to present the Companys financial condition in accordance with accounting principles generally accepted in the United States. The inclusion of the information in the DIP Budget should not be regarded as an indication that the Company or its affiliates or representatives consider the DIP Budget to be a reliable prediction of future events, and the DIP Budget should not be relied upon as such. Neither the Company nor any of its affiliates or representatives has made or makes any representation to any person regarding the DIP Budget, and none of them undertakes any obligation to publicly update such information to reflect circumstances existing after the date when the information was made or to reflect the occurrence of future events, even in the event that any or all of the assumptions underlying the projections are shown to be in error.
Cautionary Note Regarding Forward-Looking Statements
Certain of the information included in the DIP Budget furnished herewith constitute forward-looking information intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, it includes information about the Companys future cash flows and estimates of claims. This forward-looking information was, when made, based on
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current expectations and projections about future events. Readers are cautioned that forward-looking information is not a guarantee of future performance or results and involves substantial risks and uncertainties that cannot be predicted or quantified, and, consequently, the actual performance of the Company may differ materially from that expressed or implied by such forward-looking information.
The information set forth in this Item 7.01 of this Current Report on Form 8-K is being furnished pursuant to Item 7.01 of Form 8-K and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the Exchange Act), or otherwise subject to the liabilities of that Section, nor shall it be deemed incorporated by reference into any of the Companys filings under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date hereof and regardless of any general incorporation language in such filings, except to the extent expressly set forth by specific reference in such a filing. The filing of this Item 7.01 of this Current Report on Form 8-K shall not be deemed an admission as to the materiality of any information herein that is required to be disclosed solely by reason of Regulation FD.
Item 9.01. | Financial Statements and Exhibits. |
(d) | Exhibits. |
Exhibit |
Description | |
10.1 | Amendment No. 4 and Waiver to the Senior Secured Superpriority Debtor-in-Possession Credit, Security and Guaranty Agreement, dated as of August 1, 2016, by and among Horsehead Holding Corp., Horsehead Corporation, Horsehead Metal Products, LLC, The International Metals Reclamation Company, LLC and Zochem Inc., as borrowers, the lenders party thereto from time to time, and Cantor Fitzgerald Securities, as administrative agent. | |
99.1 | DIP Budget. |
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
August 3, 2016 | HORSEHEAD HOLDING CORP. | |||||
By: | /s/ Robert D. Scherich | |||||
Name: | Robert D. Scherich | |||||
Title: | Vice President and Chief Financial Officer |
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Exhibit 10.1
EXECUTION VERSION
AMENDMENT NO. 4 AND WAIVER TO SENIOR SECURED SUPERPRIORITY DEBTOR-IN POSSESSION CREDIT, SECURITY AND GUARANTY AGREEMENT
This AMENDMENT NO. 4 AND WAIVER TO SENIOR SECURED SUPERPRIORITY DEBTOR-IN-POSSESSION CREDIT, SECURITY AND GUARANTY AGREEMENT, dated as of August 1, 2016 (this Amendment), is entered into by and among HORSEHEAD CORPORATION, a company organized under the laws of the State of Delaware (Horsehead), THE INTERNATIONAL METALS RECLAMATION COMPANY, LLC, a limited liability company organized under the laws of the State of Delaware (INMETCO), HORSEHEAD METAL PRODUCTS, LLC, a limited liability company organized under the laws of the State of North Carolina (HMP), ZOCHEM INC., a corporation incorporated pursuant to the Canada Business Corporations Act (Zochem) and HORSEHEAD HOLDING CORP., a corporation organized under the laws of the State of Delaware (Horsehead Holding and, together with Horsehead, INMETCO, HMP and Zochem, each a Borrower and, collectively, the Borrowers), the Lenders party hereto and CANTOR FITZGERALD SECURITIES, as Administrative Agent. Capitalized terms used but not defined herein shall have the meanings assigned to such terms in the Credit Agreement referred to below.
PRELIMINARY STATEMENTS:
WHEREAS, the Borrowers, the Lenders from time to time party thereto, Cantor Fitzgerald Securities, as Administrative Agent, and the other parties named therein are parties to the Senior Secured Superpriority Debtor-in-Possession Credit, Security and Guaranty Agreement, dated as of February 8, 2016 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the Credit Agreement);
WHEREAS, the Borrowers hereby inform the Administrative Agent and the Lenders that certain Defaults or Events of Default exist under Section 7.01(c) of the Credit Agreement as a result of (i) the order approving the Disclosure Statement being entered by the Bankruptcy Court on July 11, 2016 and not July 7, 2016 as required under Section 5.18(f) of the Credit Agreement and (ii) Schedule 6.02 to the Credit Agreement failing to identify that certain promissory note dated as of January 4, 2016 by and among Horsehead, as maker, and Tecnicas Reunidas S.A., as holder (the foregoing Defaults and/or Events of Default, collectively, the Specified Events of Default);
WHEREAS, in accordance with Section 9.01 of the Credit Agreement, the Borrowers have requested that the Required Lenders agree to (i) waive the Specified Events of Default and (ii) make certain modifications to the Credit Agreement; and
WHEREAS, the Required Lenders have consented to (i) waive the Specified Events of Default and (ii) amend the Credit Agreement as provided herein.
NOW, THEREFORE, in consideration of the premises and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
1. Limited Waiver. Subject to the terms and conditions set forth herein, the Required Lenders hereby waive the Specified Events of Default.
2. Amendment to Credit Agreement.
2.1 Schedule 6.02(b) is hereby amended by adding the following:
Promissory Note dated January 4, 2016 by and among Horsehead Corp., as maker, and Tecnicas Reunidas S.A., as holder.
3. Effectiveness of Amendment. The effectiveness of the agreements contained herein is conditioned upon (the date on which such condition having been satisfied being referred to herein as the Amendment Effective Date), the Administrative Agent having received duly executed counterparts hereof which, when taken together, bear the authorized signatures of (i) the Borrowers and (ii) the Required Lenders.
4. Reassertion of Representations and Warranties; No Default. After giving effect to this Amendment, on the Amendment Effective Date, each Borrower hereby (i) confirms that the representations and warranties set forth in Article IV of the Credit Agreement and each other Loan Document are true and correct in all material respects (provided that such materiality qualifier shall not apply if such representation or warranty is already subject to a materiality qualifier under Article IV of the Credit Agreement or such other Loan Document), except for representations and warranties made as of a specific earlier date, which shall be true and correct in all material respects (provided that such materiality qualifier shall not apply if such representation or warranty is already subject to a materiality qualifier under Article IV of the Credit Agreement or such other Loan Document) as of such earlier date, and (ii) there will exist no Default or Event of Default under the Loan Documents. The parties hereto agree that this Amendment shall constitute a Loan Document.
5. Ratification by Guarantors. Each of the Guarantors acknowledges that its consent to this Amendment is not required, but each of the undersigned nevertheless does hereby agree and consent to this Amendment and to the documents and agreements referred to herein. Each of the Guarantors agrees and acknowledges that (i) notwithstanding the effectiveness of this Amendment, such Guarantors Guaranty under the Credit Agreement shall remain in full force and effect without modification thereto and (ii) nothing herein shall in any way limit any of the terms or provisions of such Guarantors Guaranty or any other Loan Document executed by such Guarantor (as the same may be amended from time to time), all of which are hereby ratified, confirmed and affirmed in all respects. Each of the Guarantors hereby agrees and acknowledges that no other agreement, instrument, consent or document shall be required to give effect to this section. Each of the Guarantors hereby further acknowledges that the Borrowers, the Administrative Agent and any Lender may from time to time enter into any further amendments, modifications, terminations and/or waivers of any provisions of this Amendment or other Loan Documents without notice to or consent from such Guarantor and without affecting the validity or enforceability of such Guarantors Guaranty or giving rise to any reduction, limitation, impairment, discharge or termination of such Guarantors Guaranty.
6. No Amendments; Confirmation; Limited Purpose Amendment and Waiver. Except as expressly set forth herein, this Amendment (a) shall not by implication or otherwise limit, impair, constitute a waiver of, or otherwise affect the rights and remedies of the Lenders or the Administrative Agent under the Credit Agreement or any other Loan Document and (b) shall not alter, modify, amend or in any way affect any of the terms, conditions, obligations, covenants
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or agreements contained in the Credit Agreement or any other Loan Document, all of which are ratified and affirmed in all respects and shall continue in full force and effect as modified hereby. Nothing herein shall be deemed to entitle the Borrower Parties to a consent to, or a waiver, amendment, modification or other change of, any of the terms, conditions, obligations, covenants or agreements contained in the Credit Agreement or any other Loan Document in similar or different circumstances. Notwithstanding anything to the contrary herein, the limited waiver set forth herein (i) is a limited waiver, (ii) is limited to the express terms hereof, (iii) is effective only with respect to the specific instance and the specific purpose for which it is given and (iv) shall not be deemed a waiver for any other purpose and of any term, condition, representation or covenant applicable to the Borrower Parties under the Credit Agreement and any other Loan Document except as expressly set forth in this Amendment. NOTWITHSTANDING THE LIMITED WAIVER SET FORTH IN THIS AMENDMENT, THE LENDERS REQUIRE STRICT COMPLIANCE BY THE BORROWER PARTIES AT ALL TIMES WITH ALL TERMS, CONDITIONS AND PROVISIONS OF THE CREDIT AGREEMENT AND ANY OTHER LOAN DOCUMENT. On or after the Amendment Effective Date, any reference to the Credit Agreement contained in the Loan Documents shall mean the Credit Agreement as amended hereby.
7. Release. Notwithstanding anything herein to the contrary, effective as of the Amendment Effective Date, each Borrower Party covenants and agrees that the Borrower Parties unconditionally release and irrevocably discharge (i) the Lenders, (ii) the Administrative Agent, and (iii) the respective officers, directors, attorneys, financial advisors, employees, managers, members, partners, agents, accountants and other professionals of the parties listed in clauses (i) and (ii), in each case, in their respective capacities as such, (collectively clauses (i) through (iii) being the Released Parties, and each a Released Party) from any and all claims, obligations, suits, judgments, damages, rights, causes of action and liabilities whatsoever, whether known or unknown, foreseen or unforeseen, existing or hereafter arising, in law, equity or otherwise, in all cases with respect to this Amendment, the Credit Agreement or any other Loan Document, based in whole or in part on any act, omission, transaction or occurrence from the beginning of time through the Amendment Effective Date (collectively, the Released Claims); provided, however, to the extent that a Released Claim is determined by a court of competent jurisdiction to have actually been caused by (x) the gross negligence or willful misconduct of a Released Party or (y) the material breach of the obligations of a Released Party (other than the Administrative Agent or any sub-agent thereof) under the Loan Documents, such release shall not be available to such Released Party with respect to such Released Claim.
8. No Adverse Claim. Each Borrower warrants, acknowledges and agrees that no events have taken place and no circumstances exist at the date hereof which would give such Borrower a basis to assert a defense, offset or counterclaim to any claim of the Administrative Agent or the Lenders with respect to the Obligations.
9. Successors and Assigns. This Amendment shall inure to the benefit of and be binding upon each of the parties hereto, each Lender, and the successors and permitted assigns of each of the parties hereto and each Lender (subject to and in accordance with Section 9.07 of the Credit Agreement).
10. Counterparts. This Amendment may be executed by one or more of the parties to this Amendment on any number of separate counterparts, and all of said counterparts taken
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together shall be deemed to constitute one and the same instrument. Delivery of an executed signature page of this Amendment by facsimile transmission or other electronic transmission (i.e., a .pdf or .tif) shall be effective as delivery of a manually executed counterpart hereof.
11. Entire Agreement. This Amendment, the other Loan Documents and the agreements, certificates and other documents contemplated thereby constitute the entire contract between the parties relative to the subject matter hereof. Any other previous agreement among the parties with respect to the subject matter hereof is superseded by this Amendment, the other Loan Documents and the agreements, certificates and other documents contemplated thereby.
12. Governing Law; Waiver of Jury Trial. THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO ANY CHOICE-OF-LAW PROVISIONS THAT WOULD REQUIRE THE APPLICATION OF THE LAW OF ANOTHER JURISDICTION AND, TO THE EXTENT APPLICABLE, THE BANKRUPTCY CODE.
13. Headings. The headings of this Amendment are for purposes of reference only and shall not limit or otherwise affect the meaning hereof.
14. Instruction to Administrative Agent. Each of the Lenders signatory hereto (constituting Required Lenders) directs the Administrative Agent to execute this Amendment and authorizes the Administrative Agent to take action as agent on its behalf and to exercise such powers and discretion under the Credit Agreement and the other Loan Documents as are delegated to the Administrative Agent by the terms thereof, together with such powers and discretion as are reasonably incidental thereto. The Borrowers and Lenders agree that the indemnifications provided in Section 9.05 of the Credit Agreement apply to the foregoing instruction and the execution of this Amendment.
[Signature Pages Follow]
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IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed and delivered by their respective officers as of the day and year first above written.
HORSEHEAD CORPORATION | ||
By: | /s/ Robert D. Scherich | |
Name: | Robert D. Scherich | |
Title: | Chief Financial Officer | |
THE INTERNATIONAL METALS RECLAMATION COMPANY, LLC | ||
By: | /s/ Robert D. Scherich | |
Name: | Robert D. Scherich | |
Title: | Chief Financial Officer | |
HORSEHEAD METAL PRODUCTS, LLC | ||
By: | /s/ Robert D. Scherich | |
Name: | Robert D. Scherich | |
Title: | Chief Financial Officer | |
HORSEHEAD HOLDING CORP. | ||
By: | /s/ Robert D. Scherich | |
Name: | Robert D. Scherich | |
Title: | Chief Financial Officer | |
ZOCHEM, INC. | ||
By: | /s/ Robert D. Scherich | |
Name: | Robert D. Scherich | |
Title: | Chief Financial Officer |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
CANTOR FITZGERALD SECURITIES, | ||
as Administrative Agent | ||
By: | /s/ James Bond | |
Name: | James Bond | |
Title: | Chief Operating Officer |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
Hotchkis and Wiley High Yield Fund, as Lender | ||
By: | /s/ Anna Marie Lopez | |
Name: | Anna Marie Lopez | |
Title: | Chief Operating Officer of Hotchkis and Wiley Capital Management, LLC, as investment advisor to the Hotchkis and Wiley High Yield Fund |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
Hotchkis and Wiley Capital Income Fund, | ||
as Lender | ||
By: | /s/ Anna Marie Lopez | |
Name: | Anna Marie Lopez | |
Title: | Chief Operating Officer of Hotchkis and Wiley Capital Management, LLC, as investment advisor to the Hotchkis and Wiley Capital Income Fund |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
San Diego County Employees Retirement Association, as Lender | ||
By: | /s/ Anna Marie Lopez | |
Name: | Anna Marie Lopez | |
Title: | Chief Operating Officer of Hotchkis and Wiley Capital Management, LLC, as investment advisor to the San Diego County Employees Retirement Association |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
Santa Barbara County Employees Retirement System, as Lender | ||
By: | /s/ Anna Marie Lopez | |
Name: | Anna Marie Lopez | |
Title: | Chief Operating Officer of Hotchkis and Wiley Capital Management, LLC, as investment advisor to the Santa Barbara County Employees Retirement System |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
National Elevator Industry Pension Fund, as Lender | ||
By: | /s/ Anna Marie Lopez | |
Name: | Anna Marie Lopez | |
Title: | Chief Operating Officer of Hotchkis and Wiley Capital Management, LLC, as investment advisor to the National Elevator Industry Pension Fund |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
University of Dayton, as Lender | ||
By: | /s/ Anna Marie Lopez | |
Name: | Anna Marie Lopez | |
Title: | Chief Operating Officer of Hotchkis and Wiley Capital Management, LLC, as investment advisor to the University of Dayton |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
Greywolf Capital Management LP, on behalf of Greywolf Event Driven Master Fund, as Lender | ||
By: | /s/ Christopher Samios | |
Name: | Christopher Samios | |
Title: | General Counsel |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
Greywolf Capital Management LP, on behalf of Greywolf Strategic Master Fund SPC, Ltd. -MSP 2, as Lender | ||
By: | /s/ Christopher Samios | |
Name: | Christopher Samios | |
Title: | General Counsel |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
MAK Capital Fund LP, as Lender | ||
By: | /s/ Michael Kaufman | |
Name: | Michael Kaufman | |
Title: | Managing Member |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
MAK-ro Capital Master Fund LP, as Lender | ||
By: | /s/ Michael Kaufman | |
Name: | Michael Kaufman | |
Title: | Managing Member |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
LCPF I Holdings (E), L.P., as Lender | ||
By: | LCP I GP, LLC | |
Its: | General Partner | |
By: | LCPC, LLC | |
Its: | Sole Member | |
By: | /s/ L. Andy Mitchell | |
Name: | L. Andy Mitchell | |
Title: | Authorized Person |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
WFF Cayman II Ltd., as Lender | ||
by Wolverine Asset Management, LLC | ||
By: | /s/ Kenneth L. Nadel | |
Name: | Kenneth L. Nadel | |
Title: | Chief Operating Officer |
Amendment to Senior Secured Superpriority Debtor-In-Possession Credit, Security and Guaranty Agreement
Exhibit 99.1
HORSEHEAD
WEEKLY CASH FLOW - 12th REVISED
CONSOLIDATED SUMMARY - HORSEHEAD,
MOORSEBORO, INMETCO & ZOCHEM
Week # | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ||||||||||||||||||||||||||||||||||||
Week Ending | 02/06/16 | 02/13/16 | 02/20/16 | 02/27/16 | 03/05/16 | 03/12/16 | 03/19/16 | 03/26/16 | 04/02/16 | 04/09/16 | 04/16/16 | 04/23/16 | ||||||||||||||||||||||||||||||||||||
RECEIPTS: |
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Trade Receipts - Horsehead + HMP |
$ | 2,204,969 | $ | 3,496,119 | $ | 4,203,666 | $ | 3,865,903 | $ | 3,769,105 | $ | 2,799,851 | $ | 4,610,365 | $ | 2,949,015 | $ | 2,537,834 | $ | 2,698,446 | $ | 4,038,339 | $ | 4,294,886 | ||||||||||||||||||||||||
Trade Receipts - Inmetco |
346,555 | 1,019,963 | 514,336 | 1,094,928 | 64,261 | 921,303 | 768,620 | 496,375 | 350,234 | 454,486 | 895,777 | 1,354,987 | ||||||||||||||||||||||||||||||||||||
Trade Receipts - Zochem |
1,583,967 | 1,055,696 | 2,449,634 | 1,571,297 | 2,336,212 | 1,778,098 | 2,568,664 | 1,440,627 | 1,977,179 | 2,035,770 | 3,280,488 | 1,965,146 | ||||||||||||||||||||||||||||||||||||
Other (HST, Insurance proceeds, Grants, etc.) |
13 | 171 | 816,735 | 21,710 | 8,580 | 5,025 | 1,614 | 767,220 | 12,470 | 41,717 | | 979,613 | ||||||||||||||||||||||||||||||||||||
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Total Operating Receipts |
$ | 4,135,504 | $ | 5,571,948 | $ | 7,984,371 | $ | 6,553,837 | $ | 6,178,159 | $ | 5,504,278 | $ | 7,949,263 | $ | 5,653,236 | $ | 4,877,717 | $ | 5,230,419 | $ | 8,214,604 | $ | 8,594,632 | ||||||||||||||||||||||||
DISBURSEMENTS: |
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Purchases |
837,873 | 3,289,325 | 2,310,679 | 2,645,213 | 2,763,408 | 3,060,147 | 2,890,598 | 2,954,587 | 2,826,593 | 3,138,512 | 3,159,107 | 3,394,354 | ||||||||||||||||||||||||||||||||||||
Payroll & Taxes |
37,665 | 1,125,345 | 878,033 | 1,123,999 | 471,176 | 889,039 | 550,174 | 508,035 | 1,428,923 | 449,571 | 1,140,055 | 397,051 | ||||||||||||||||||||||||||||||||||||
Benefits |
| 501,887 | 131,805 | 40,439 | 417,401 | 327,530 | 328,825 | 149,720 | 164,548 | 319,040 | 234,565 | 157,095 | ||||||||||||||||||||||||||||||||||||
CapEx - Horsehead, Inmetco, Zochem |
| | | | 89,740 | 14,658 | 77,908 | | 173,843 | 209,996 | | 240,262 | ||||||||||||||||||||||||||||||||||||
CapEx - Mooresboro, NC |
| | | | | | | | 87,855 | | | | ||||||||||||||||||||||||||||||||||||
Contract Services |
15,010 | 104,456 | 171,532 | 182,416 | 494,948 | 402,703 | 530,601 | 297,534 | 435,328 | 817,858 | 793,563 | 942,024 | ||||||||||||||||||||||||||||||||||||
Freight |
| 131,322 | 210,022 | 805,367 | 984,371 | 786,616 | 1,483,359 | 867,905 | 634,925 | 981,801 | 1,275,136 | 809,997 | ||||||||||||||||||||||||||||||||||||
Insurance |
206,037 | 177,835 | 127,266 | 299,109 | 309,823 | 6,363 | 37,938 | 63,499 | 257,972 | 18,753 | 26,123 | 58,175 | ||||||||||||||||||||||||||||||||||||
Utilities |
10,796 | 458,604 | 32,946 | 67,297 | 186,996 | 171,009 | 124,456 | 210,817 | 218,245 | 619,733 | 371,435 | 480,209 | ||||||||||||||||||||||||||||||||||||
Supplies |
| 36,258 | 224,493 | 235,256 | 532,283 | 241,689 | 428,606 | 269,786 | 317,805 | 412,083 | 395,164 | 348,070 | ||||||||||||||||||||||||||||||||||||
Miscellaneous |
42,680 | 28,538 | 179,905 | 81,247 | 126,757 | 102,382 | 64,629 | 68,376 | 49,130 | 52,031 | 48,297 | 227,660 | ||||||||||||||||||||||||||||||||||||
Other Operating Costs |
| 790,065 | 78,499 | 78,616 | 22,738 | 78,452 | 39,558 | 14,991 | 76,670 | 123,882 | 40,948 | 29,862 | ||||||||||||||||||||||||||||||||||||
Discretionary Improvement Spending |
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Hedge Settlements |
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Leases |
| | 14,362 | 25,777 | | 782 | 233,872 | 15,849 | 14,875 | | 14,545 | | ||||||||||||||||||||||||||||||||||||
Total Professional Fees |
| $ | 1,087,392 | | | | | $ | 406,708 | $ | 203,990 | | $ | 1,196,617 | $ | 92,108 | $ | 191,088 | ||||||||||||||||||||||||||||||
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Total Operating Disbursements |
$ | 1,150,061 | $ | 7,731,028 | $ | 4,359,542 | $ | 5,584,737 | $ | 6,399,640 | $ | 6,081,370 | $ | 7,197,232 | $ | 5,625,089 | $ | 6,686,712 | $ | 8,339,876 | $ | 7,591,046 | $ | 7,275,846 | ||||||||||||||||||||||||
Recapitalization & Financing |
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DIP Fees |
| 4,050,000 | | | 429,222 | | | | 672,639 | | | | ||||||||||||||||||||||||||||||||||||
Macquarie Interest |
| | 194,469 | | | 223,558 | | | ||||||||||||||||||||||||||||||||||||||||
UST fees & Fee Examiner |
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Recycling Entity Buyout (including interest) |
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PNC Early Termination Fee |
| 1,000,000 | | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
PNC Facility Repayment |
17,677,793 | |||||||||||||||||||||||||||||||||||||||||||||||
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Total Recapitalization & Financing |
| 22,727,793 | | | 429,222 | | 194,469 | | 672,639 | 223,558 | | | ||||||||||||||||||||||||||||||||||||
Other Bankruptcy Related Expenditures |
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KEIP |
| | | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
Utility Deposits |
| | 781,500 | (200,000 | ) | 40,142 | 52,500 | | 39,172 | | | | | |||||||||||||||||||||||||||||||||||
503(b)(9) Payments |
| | | | | | | 197,338 | | | 3,780 | 39,725 | ||||||||||||||||||||||||||||||||||||
Critical Vendors - Freight |
| 250,000 | 378,808 | 252,100 | | 97,138 | 144,302 | 130,681 | 239,011 | 112,057 | 68,543 | 161,894 | ||||||||||||||||||||||||||||||||||||
Critical Vendors - Material Vendors |
| | | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
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Total Other Expenditures |
| 250,000 | 1,160,308 | 52,100 | 40,142 | 149,638 | 144,302 | 367,191 | 239,011 | 112,057 | 72,323 | 201,619 | ||||||||||||||||||||||||||||||||||||
Total Disbursements |
$ | 1,150,061 | $ | 30,708,821 | $ | 5,519,849 | $ | 5,636,837 | $ | 6,869,004 | $ | 6,231,008 | $ | 7,536,003 | $ | 5,992,280 | $ | 7,598,362 | $ | 8,675,491 | $ | 7,663,369 | $ | 7,477,465 | ||||||||||||||||||||||||
Net Cash Flow Before DIP Facility Drawdown |
2,985,443 | (25,136,873 | ) | 2,464,522 | 917,000 | (690,845 | ) | (726,729 | ) | 413,260 | (339,045 | ) | (2,720,645 | ) | (3,445,072 | ) | 551,234 | 1,117,167 | ||||||||||||||||||||||||||||||
DIP Facility Drawdown |
| 31,800,000 | | 6,700,000 | 4,000,000 | | | | | |||||||||||||||||||||||||||||||||||||||
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Net Cash Flow |
$ | 2,985,443 | $ | 6,663,127 | $ | 2,464,522 | $ | 7,617,000 | $ | 3,309,155 | $ | (726,729 | ) | $ | 413,260 | $ | (339,045 | ) | $ | (2,720,645 | ) | $ | (3,445,072 | ) | $ | 551,234 | $ | 1,117,167 | ||||||||||||||||||||
Cash |
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Beginning Cash |
2,662,652 | 5,648,095 | 12,311,222 | 14,775,743 | 22,392,744 | 25,701,898 | 24,975,169 | 25,388,429 | 25,049,385 | 22,328,740 | 18,883,667 | 19,434,902 | ||||||||||||||||||||||||||||||||||||
Net Cash |
2,985,443 | 6,663,127 | 2,464,522 | 7,617,000 | 3,309,155 | (726,729 | ) | 413,260 | (339,045 | ) | (2,720,645 | ) | (3,445,072 | ) | 551,234 | 1,117,167 | ||||||||||||||||||||||||||||||||
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Ending Cash |
$ | 5,648,095 | $ | 12,311,222 | $ | 14,775,743 | $ | 22,392,744 | $ | 25,701,898 | $ | 24,975,169 | $ | 25,388,429 | $ | 25,049,385 | $ | 22,328,740 | $ | 18,883,667 | $ | 19,434,902 | $ | 20,552,068 | ||||||||||||||||||||||||
Open Accounts Payable - Beginning Balance |
| 1,129,000 | 2,258,000 | 3,387,000 | 3,387,000 | 3,387,000 | 3,387,000 | 3,387,000 | 4,195,449 | 4,195,449 | 4,195,449 | 9,195,449 | ||||||||||||||||||||||||||||||||||||
New Purchases |
2,279,061 | 8,860,028 | 6,648,849 | 5,636,837 | 6,869,004 | 6,231,008 | 7,536,003 | 6,800,729 | 7,598,362 | 8,675,491 | 12,663,369 | 7,477,465 | ||||||||||||||||||||||||||||||||||||
Disbursements |
(1,150,061 | ) | (7,731,028 | ) | (5,519,849 | ) | (5,636,837 | ) | (6,869,004 | ) | (6,231,008 | ) | (7,536,003 | ) | (5,992,280 | ) | (7,598,362 | ) | (8,675,491 | ) | (7,663,369 | ) | (7,477,465 | ) | ||||||||||||||||||||||||
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Ending Balance |
1,129,000 | 2,258,000 | 3,387,000 | 3,387,000 | 3,387,000 | 3,387,000 | 3,387,000 | 4,195,449 | 4,195,449 | 4,195,449 | 9,195,449 | 9,195,449 | ||||||||||||||||||||||||||||||||||||
DIP Schedule |
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Facility Size |
90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | ||||||||||||||||||||||||||||||||||||
Beginning Balance |
| | 31,800,000 | 31,800,000 | 38,500,000 | 42,500,000 | 42,500,000 | 42,500,000 | 42,500,000 | 42,500,000 | 42,500,000 | 42,500,000 | ||||||||||||||||||||||||||||||||||||
Draw / (Repaid) |
| 31,800,000 | | 6,700,000 | 4,000,000 | | | | | | | | ||||||||||||||||||||||||||||||||||||
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Ending Balance |
| $ | 31,800,000 | $ | 31,800,000 | $ | 38,500,000 | $ | 42,500,000 | $ | 42,500,000 | $ | 42,500,000 | $ | 42,500,000 | $ | 42,500,000 | $ | 42,500,000 | $ | 42,500,000 | $ | 42,500,000 | |||||||||||||||||||||||||
Availability |
$ | 90,000,000 | $ | 58,200,000 | $ | 58,200,000 | $ | 51,500,000 | $ | 47,500,000 | $ | 47,500,000 | $ | 47,500,000 | $ | 47,500,000 | $ | 47,500,000 | $ | 47,500,000 | $ | 47,500,000 | $ | 47,500,000 |
Week # | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ACTUAL | ||||||||||||||||||||||||||||||||||||
Week Ending | 04/30/16 | 05/07/16 | 05/14/16 | 05/21/16 | 05/28/16 | 06/04/16 | 06/11/16 | 06/18/16 | 06/25/16 | 07/02/16 | 07/09/16 | 07/16/16 | ||||||||||||||||||||||||||||||||||||
RECEIPTS: |
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Trade Receipts - Horsehead + HMP |
$ | 3,744,332 | $ | 3,721,412 | $ | 2,928,104 | $ | 3,131,138 | $ | 3,291,371 | $ | 2,510,834 | $ | 2,919,502 | $ | 2,967,657 | $ | 2,893,086 | $ | 3,646,671 | $ | 2,009,555 | $ | 4,451,517 | ||||||||||||||||||||||||
Trade Receipts - Inmetco |
270,427 | 1,012,509 | 258,026 | 972,571 | 896,548 | 70,995 | 1,176,088 | 414,516 | 1,028,764 | 754,032 | 456,637 | 544,368 | ||||||||||||||||||||||||||||||||||||
Trade Receipts - Zochem |
1,724,231 | 2,418,036 | 1,111,943 | 3,456,969 | 1,955,873 | 2,102,042 | 2,299,098 | 4,280,896 | 2,478,241 | 1,364,429 | 2,896,108 | 3,421,437 | ||||||||||||||||||||||||||||||||||||
Other (HST, Insurance proceeds, Grants, etc.) |
13,032 | (27,335 | ) | 8,075 | (5,479 | ) | 1,120,783 | 2,212 | 6,385 | (11,370 | ) | (7,740 | ) | 970,958 | (19,799 | ) | 5,940 | |||||||||||||||||||||||||||||||
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Total Operating Receipts |
$ | 5,752,022 | $ | 7,124,622 | $ | 4,306,148 | $ | 7,555,200 | $ | 7,264,575 | $ | 4,686,081 | $ | 6,401,074 | $ | 7,651,699 | $ | 6,392,351 | $ | 6,736,090 | $ | 5,342,501 | $ | 8,423,262 | ||||||||||||||||||||||||
DISBURSEMENTS: |
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Purchases |
2,541,538 | 3,214,681 | 3,275,723 | 2,996,725 | 2,991,305 | 3,035,514 | 3,105,646 | 2,699,123 | 3,490,543 | 3,171,254 | 2,989,255 | 3,174,510 | ||||||||||||||||||||||||||||||||||||
Payroll & Taxes |
839,060 | 422,013 | 1,014,499 | 439,833 | 954,201 | 418,273 | 302,316 | 1,080,559 | 315,334 | 1,051,464 | 295,009 | 1,048,682 | ||||||||||||||||||||||||||||||||||||
Benefits |
514,174 | 158,836 | 268,477 | 191,964 | 212,834 | 285,810 | 218,835 | 301,165 | 123,125 | 238,349 | 163,165 | 311,652 | ||||||||||||||||||||||||||||||||||||
CapEx - Horsehead, Inmetco, Zochem |
190,000 | | 96,934 | 872,042 | 32,838 | 524,318 | 38,172 | | 27,293 | | | 61,846 | ||||||||||||||||||||||||||||||||||||
CapEx - Mooresboro, NC |
| | | 51,726 | | | | | | | | | ||||||||||||||||||||||||||||||||||||
Contract Services |
570,077 | 600,438 | 1,229,378 | 487,584 | 735,964 | 453,707 | 427,934 | 598,719 | 610,839 | 611,997 | 693,133 | 1,016,841 | ||||||||||||||||||||||||||||||||||||
Freight |
650,601 | 1,096,808 | 1,042,028 | 1,178,219 | 957,854 | 916,633 | 774,383 | 1,259,270 | 845,393 | 653,873 | 952,693 | 900,996 | ||||||||||||||||||||||||||||||||||||
Insurance |
32,362 | 319,542 | 18,702 | 13,452 | 27,891 | 187,823 | 232,325 | 26,371 | 1,209,821 | 126,427 | 16,835 | | ||||||||||||||||||||||||||||||||||||
Utilities |
211,775 | 434,822 | 543,186 | 193,890 | 271,304 | 154,303 | 445,304 | 903,830 | (157,464 | ) | 131,905 | 424,534 | 374,143 | |||||||||||||||||||||||||||||||||||
Supplies |
267,465 | 454,140 | 505,399 | 292,832 | 476,349 | 397,501 | 380,530 | 482,840 | 543,940 | 370,092 | 482,727 | 804,187 | ||||||||||||||||||||||||||||||||||||
Miscellaneous |
71,432 | 153,854 | 125,893 | 174,638 | 95,484 | 16,178 | 240,496 | 161,012 | 201,979 | (115,232 | ) | 73,532 | 462,513 | |||||||||||||||||||||||||||||||||||
Other Operating Costs |
85,898 | 90,880 | 48,607 | 318,829 | 356,680 | 96,062 | 23,252 | 46,641 | 19,884 | 7,962 | 99,283 | 64,861 | ||||||||||||||||||||||||||||||||||||
Discretionary Improvement Spending |
| | | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
Hedge Settlements |
| | | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
Leases |
| 5,400 | | 14,545 | 5,400 | | | | 5,400 | | | | ||||||||||||||||||||||||||||||||||||
Total Professional Fees |
$ | 53,260 | $ | 63,601 | $ | 2,159,730 | $ | 409,080 | $ | 1,148,854 | $ | 540,614 | $ | 2,821,059 | $ | 455,854 | $ | 559,004 | $ | 1,064,830 | $ | 63,907 | $ | 57,667 | ||||||||||||||||||||||||
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Total Operating Disbursements |
$ | 6,027,641 | $ | 7,015,015 | $ | 10,328,556 | $ | 7,635,358 | $ | 8,266,959 | $ | 7,026,735 | $ | 9,010,252 | $ | 8,015,383 | $ | 7,795,091 | $ | 7,312,920 | $ | 6,254,073 | $ | 8,277,899 | ||||||||||||||||||||||||
Recapitalization & Financing |
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DIP Fees |
| 675,972 | 6,200 | | | 687,500 | | | | 766,667 | | | ||||||||||||||||||||||||||||||||||||
Macquarie Interest |
| 231,695 | | | | 217,446 | | | | 217,757 | | | ||||||||||||||||||||||||||||||||||||
UST fees & Fee Examiner |
63,325 | | 6,500 | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
Recycling Entity Buyout (including interest) |
| | | | | | | 200,000 | 878,017 | | | | ||||||||||||||||||||||||||||||||||||
PNC Early Termination Fee |
| | | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
PNC Facility Repayment |
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Total Recapitalization & Financing |
63,325 | 907,668 | 12,700 | | | 904,946 | | 200,000 | 878,017 | 984,424 | | | ||||||||||||||||||||||||||||||||||||
Other Bankruptcy Related Expenditures |
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KEIP |
| | | | | | | | | | | | ||||||||||||||||||||||||||||||||||||
Utility Deposits |
| | | 5,780 | | | | | 3,661 | | | | ||||||||||||||||||||||||||||||||||||
503(b)(9) Payments |
132,462 | | | | | | | 92,855 | | | | 480,569 | ||||||||||||||||||||||||||||||||||||
Critical Vendors - Freight |
162,856 | 200,478 | 176,814 | 250,486 | 185,040 | 157,520 | 105,487 | 105,803 | 107,932 | 106,575 | 18,383 | 18,018 | ||||||||||||||||||||||||||||||||||||
Critical Vendors - Material Vendors |
| | | 102,908 | | | | 10,335 | | | | | ||||||||||||||||||||||||||||||||||||
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Total Other Expenditures |
295,318 | 200,478 | 176,814 | 359,174 | 185,040 | 157,520 | 105,487 | 208,994 | 111,593 | 106,575 | 18,383 | 498,587 | ||||||||||||||||||||||||||||||||||||
Total Disbursements |
$ | 6,386,285 | $ | 8,123,161 | $ | 10,518,069 | $ | 7,994,531 | $ | 8,451,999 | $ | 8,089,201 | $ | 9,115,739 | $ | 8,424,377 | $ | 8,784,701 | $ | 8,403,919 | $ | 6,272,456 | $ | 8,776,486 | ||||||||||||||||||||||||
Net Cash Flow Before DIP Facility Drawdown |
(634,262 | ) | (998,539 | ) | (6,211,921 | ) | (439,331 | ) | (1,187,424 | ) | (3,403,119 | ) | (2,714,665 | ) | (772,678 | ) | (2,392,350 | ) | (1,667,829 | ) | (929,955 | ) | (353,224 | ) | ||||||||||||||||||||||||
DIP Facility Drawdown |
10,000,000 | 5,000,000 | 6,343,942 | 656,058 | ||||||||||||||||||||||||||||||||||||||||||||
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Net Cash Flow |
$ | (634,262 | ) | $ | (998,539 | ) | $ | (6,211,921 | ) | $ | 9,560,669 | $ | (1,187,424 | ) | $ | (3,403,119 | ) | $ | 2,285,335 | $ | (772,678 | ) | $ | (2,392,350 | ) | $ | 4,676,113 | $ | (273,897 | ) | $ | (353,224 | ) | |||||||||||||||
Cash |
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Beginning Cash |
20,552,068 | 19,917,806 | 18,919,267 | 12,707,346 | 22,268,014 | 21,080,590 | 17,677,471 | 19,962,805 | 19,190,128 | 16,797,777 | 21,473,891 | 21,199,993 | ||||||||||||||||||||||||||||||||||||
Net Cash |
(634,262 | ) | (998,539 | ) | (6,211,921 | ) | 9,560,669 | (1,187,424 | ) | (3,403,119 | ) | 2,285,335 | (772,678 | ) | (2,392,350 | ) | 4,676,113 | (273,897 | ) | (353,224 | ) | |||||||||||||||||||||||||||
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Ending Cash |
$ | 19,917,806 | $ | 18,919,267 | $ | 12,707,346 | 22,268,014 | 21,080,590 | 17,677,471 | 19,962,805 | 19,190,128 | 16,797,777 | 21,473,891 | 21,199,993 | 20,846,769 | |||||||||||||||||||||||||||||||||
Open Accounts Payable - Beginning Balance |
9,195,449 | 9,195,449 | 9,195,449 | 10,338,400 | 10,385,923 | 10,385,923 | 10,540,627 | 10,838,992 | 11,502,271 | 10,860,245 | 11,413,998 | 11,062,907 | ||||||||||||||||||||||||||||||||||||
New Purchases |
6,386,285 | 8,123,161 | 11,661,020 | 8,042,054 | 8,451,999 | 8,243,904 | 9,414,104 | 9,087,657 | 8,142,675 | 8,957,672 | 5,921,366 | 8,723,487 | ||||||||||||||||||||||||||||||||||||
Disbursements |
(6,386,285 | ) | (8,123,161 | ) | (10,518,069 | ) | (7,994,531 | ) | (8,451,999 | ) | (8,089,201 | ) | (9,115,739 | ) | (8,424,377 | ) | (8,784,701 | ) | (8,403,919 | ) | (6,272,456 | ) | (8,776,486 | ) | ||||||||||||||||||||||||
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Ending Balance |
9,195,449 | 9,195,449 | 10,338,400 | 10,385,923 | 10,385,923 | 10,540,627 | 10,838,992 | 11,502,271 | 10,860,245 | 11,413,998 | 11,062,907 | 11,009,909 | ||||||||||||||||||||||||||||||||||||
DIP Schedule |
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Facility Size |
90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | ||||||||||||||||||||||||||||||||||||
Beginning Balance |
42,500,000 | 42,500,000 | 42,500,000 | 42,500,000 | 52,500,000 | 52,500,000 | 52,500,000 | 57,500,000 | 57,500,000 | 57,500,000 | 63,843,942 | 64,500,000 | ||||||||||||||||||||||||||||||||||||
Draw / (Repaid) |
| | | 10,000,000 | | | 5,000,000 | | | 6,343,942 | 656,058 | | ||||||||||||||||||||||||||||||||||||
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Ending Balance |
$ | 42,500,000 | $ | 42,500,000 | $ | 42,500,000 | $ | 52,500,000 | $ | 52,500,000 | $ | 52,500,000 | $ | 57,500,000 | $ | 57,500,000 | $ | 57,500,000 | $ | 63,843,942 | $ | 64,500,000 | $ | 64,500,000 | ||||||||||||||||||||||||
Availability |
$ | 47,500,000 | $ | 47,500,000 | $ | 47,500,000 | $ | 37,500,000 | $ | 37,500,000 | $ | 37,500,000 | $ | 32,500,000 | $ | 32,500,000 | $ | 32,500,000 | $ | 26,156,058 | $ | 25,500,000 | $ | 25,500,000 |
Page 1 of 2 | as of 7/20/2016 |
HORSEHEAD
WEEKLY CASH FLOW - 12th REVISED
CONSOLIDATED SUMMARY - HORSEHEAD,
MOORSEBORO, INMETCO & ZOCHEM
Week # | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Week Ending | 07/23/16 | 07/30/16 | 08/06/16 | 08/13/16 | 08/20/16 | 08/27/16 | 09/03/16 | 09/10/16 | 09/17/16 | 09/24/16 | 10/01/16 | 10/08/16 | 10/15/16 | 10/22/16 | 10/29/16 | 2/1 - 10/29 | Beyond | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
RECEIPTS: |
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Trade Receipts - Horsehead + HMP |
$ | 3,131,903 | $ | 3,760,132 | $ | 2,932,382 | $ | 3,027,462 | $ | 3,317,772 | $ | 3,975,937 | $ | 2,969,702 | $ | 2,785,091 | $ | 3,046,506 | $ | 2,880,084 | $ | 3,542,369 | $ | 2,992,273 | $ | 3,262,527 | $ | 3,460,568 | $ | 3,994,365 | $ | 128,762,749 | | $ | 128,762,749 | |||||||||||||||||||||||||||||||||||||
Trade Receipts - Inmetco |
825,000 | 50,000 | 1,000,000 | 50,000 | 1,000,000 | 225,000 | 510,000 | 300,000 | 750,000 | 700,000 | 150,000 | 650,000 | 125,000 | 800,000 | 800,000 | 24,072,306 | | 24,072,306 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trade Receipts - Zochem |
1,800,042 | 1,610,407 | 2,391,758 | 1,826,257 | 3,389,136 | 2,742,706 | 2,362,537 | 3,724,262 | 3,447,679 | 2,615,268 | 2,615,268 | 2,615,268 | 2,636,960 | 2,815,531 | 2,636,960 | 92,782,119 | | 92,782,119 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other (HST, Insurance proceeds, Grants, etc.) |
| 1,225,427 | 1,000,000 | | 68,406 | 1,302,946 | 38,780 | 38,780 | 38,780 | 1,372,825 | 38,780 | 15,400 | 15,400 | 15,400 | 1,306,686 | 11,188,138 | | 11,188,138 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Total Operating Receipts |
$ | 5,756,945 | $ | 6,645,966 | $ | 7,324,140 | $ | 4,903,719 | $ | 7,775,314 | $ | 8,246,589 | $ | 5,881,019 | $ | 6,848,133 | $ | 7,282,965 | $ | 7,568,177 | $ | 6,346,416 | $ | 6,272,940 | $ | 6,039,887 | $ | 7,091,498 | $ | 8,738,011 | $ | 256,805,311 | | $ | 256,805,311 | |||||||||||||||||||||||||||||||||||||
DISBURSEMENTS: |
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Purchases |
3,046,694 | 3,216,694 | 3,157,323 | 3,213,323 | 3,157,323 | 3,157,323 | 3,163,036 | 3,221,605 | 3,117,605 | 3,146,530 | 3,141,530 | 3,026,970 | 3,066,970 | 2,982,970 | 3,021,970 | 116,794,080 | | 116,794,080 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payroll & Taxes |
374,945 | 1,335,479 | 353,600 | 1,169,223 | 461,200 | 1,007,523 | 622,900 | 454,966 | 1,175,458 | 454,966 | 1,175,458 | 454,966 | 1,175,458 | 454,966 | 1,067,858 | 28,919,273 | | 28,919,273 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Benefits |
350,000 | 248,000 | 225,000 | 250,000 | 248,000 | 225,000 | 250,000 | 248,000 | 225,000 | 225,000 | 250,000 | 248,000 | 225,000 | 225,000 | 250,000 | 9,453,245 | | 9,453,245 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
CapEx - Horsehead, Inmetco, Zochem |
753,990 | 900,990 | 774,372 | 542,819 | 542,819 | 542,819 | 402,866 | 260,866 | 260,866 | 260,866 | 260,866 | 817,060 | 651,060 | 431,060 | 431,060 | 10,484,228 | | 10,484,228 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
CapEx - Mooresboro, NC |
| | | | | | | | | | | | | | | 139,581 | | 139,581 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contract Services |
708,647 | 858,647 | 789,235 | 739,235 | 739,235 | 739,235 | 578,085 | 578,085 | 578,085 | 600,612 | 594,112 | 723,512 | 717,012 | 723,512 | 717,012 | 23,608,843 | | 23,608,843 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Freight |
1,056,740 | 1,181,740 | 1,200,142 | 1,213,625 | 1,113,625 | 1,113,625 | 1,091,290 | 1,079,787 | 1,064,627 | 1,064,127 | 1,057,910 | 1,060,563 | 1,060,609 | 1,066,655 | 1,066,701 | 36,691,341 | | 36,691,341 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance |
50,000 | 189,325 | 50,000 | 50,000 | 50,000 | 50,000 | 215,967 | 189,325 | 50,000 | 50,000 | 50,000 | 50,000 | 50,000 | 50,000 | 50,000 | 4,995,061 | | 4,995,061 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Utilities |
886,662 | 336,662 | 340,151 | 618,252 | 680,732 | 375,732 | 235,641 | 348,919 | 391,399 | 765,899 | 329,084 | 312,572 | 255,052 | 730,052 | 332,036 | 13,822,918 | | 13,822,918 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplies |
124,179 | 324,179 | 260,744 | 256,422 | 256,422 | 256,422 | 233,549 | 233,718 | 233,718 | 238,942 | 240,320 | 282,336 | 282,336 | 282,336 | 282,336 | 12,687,452 | | 12,687,452 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Miscellaneous |
165,283 | 300,283 | 265,283 | 260,617 | 265,283 | 365,283 | 245,283 | 245,283 | 240,617 | 245,283 | 245,283 | 270,283 | 270,283 | 265,617 | 270,283 | 6,653,657 | | 6,653,657 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Operating Costs |
290,336 | 577,265 | 1,269,765 | 273,515 | 327,265 | 175,765 | 145,765 | 233,265 | 275,765 | 145,765 | 263,265 | 145,765 | 1,003,372 | 145,765 | 145,765 | 8,051,516 | | 8,051,516 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Discretionary Improvement Spending |
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Hedge Settlements |
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Leases |
6,150 | 16,150 | 11,150 | 11,150 | 11,150 | 78,150 | 6,150 | 6,150 | 6,150 | 11,700 | 45,700 | 11,700 | 11,700 | 11,700 | 45,700 | 641,356 | | 641,356 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Professional Fees |
$ | 2,224,988 | $ | 1,325,904 | $ | 66,000 | $ | 550,000 | $ | 2,908,192 | $ | 987,995 | $ | 297,146 | $ | 126,000 | $ | 2,556,992 | $ | 1,420,110 | $ | 1,653,494 | $ | 126,000 | $ | 66,000 | $ | 2,272,987 | $ | 789,004 | $ | 29,946,173 | $ | 14,785,724 | $ | 44,731,898 | ||||||||||||||||||||||||||||||||||||
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Total Operating Disbursements |
$ | 10,038,613 | $ | 10,811,317 | $ | 8,762,764 | $ | 9,148,181 | $ | 10,761,246 | $ | 9,074,873 | $ | 7,487,677 | $ | 7,225,969 | $ | 10,176,281 | $ | 8,629,800 | $ | 9,307,021 | $ | 7,529,727 | $ | 8,834,852 | $ | 9,642,619 | $ | 8,469,724 | $ | 302,888,725 | $ | 14,785,724 | $ | 317,674,449 | ||||||||||||||||||||||||||||||||||||
Recapitalization & Financing |
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DIP Fees |
| 791,389 | | | | 859,444 | | | | | 958,611 | | | | | 9,897,644 | 2,250,000 | 12,147,644 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Macquarie Interest |
| 231,695 | | | | 231,695 | | | | | 231,695 | | | | | 1,780,012 | 1,780,012 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
UST fees & Fee Examiner |
| 240,000 | | | | | 90,000 | | | | | 90,000 | | | 150,000 | 639,825 | 240,000 | 879,825 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recycling Entity Buyout (including interest) |
| | | | | | | | | | | | | | | 1,078,017 | | 1,078,017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
PNC Early Termination Fee |
| | | | | | | | | | | | | | | 1,000,000 | | 1,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
PNC Facility Repayment |
17,677,793 | 17,677,793 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Total Recapitalization & Financing |
| 1,263,084 | | | | 1,091,140 | 90,000 | | | | 1,190,307 | 90,000 | | | 150,000 | 32,073,292 | 2,490,000 | 34,563,292 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Bankruptcy Related Expenditures |
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KEIP |
| | | | | | | | | | | | | | | | 652,000 | 652,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Utility Deposits |
| | 150,000 | | | | | | | | | | | | | 872,756 | | 872,756 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
503(b)(9) Payments |
| 313,922 | | 1,489,348 | | | | | | | | | | | | 2,750,000 | 2,376,373 | 5,126,373 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Critical Vendors - Freight |
11,250 | 11,250 | | 500,000 | | | | | | | | | | | | 3,952,424 | 1,168,076 | 5,120,500 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Critical Vendors - Material Vendors |
| | | | | | | | | | | | | | | 113,243 | 3,798,389 | 3,911,632 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Total Other Expenditures |
11,250 | 325,172 | 150,000 | 1,989,348 | | | | | | | | | | | | 7,688,423 | 7,994,837 | 15,683,261 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Disbursements |
$ | 10,049,862 | $ | 12,399,574 | $ | 8,912,764 | $ | 11,137,529 | $ | 10,761,246 | $ | 10,166,013 | $ | 7,577,677 | $ | 7,225,969 | $ | 10,176,281 | $ | 8,629,800 | $ | 10,497,327 | $ | 7,619,727 | $ | 8,834,852 | $ | 9,642,619 | $ | 8,619,724 | $ | 342,650,440 | $ | 25,270,561 | $ | 367,921,001 | ||||||||||||||||||||||||||||||||||||
Net Cash Flow Before DIP Facility Drawdown |
(4,292,917 | ) | (5,753,608 | ) | (1,588,624 | ) | (6,233,810 | ) | (2,985,932 | ) | (1,919,424 | ) | (1,696,657 | ) | (377,836 | ) | (2,893,316 | ) | (1,061,623 | ) | (4,150,911 | ) | (1,346,786 | ) | (2,794,965 | ) | (2,551,121 | ) | 118,286 | (85,845,129 | ) | (25,270,561 | ) | (111,115,690 | ) | |||||||||||||||||||||||||||||||||||||
DIP Facility Drawdown |
5,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | 5,500,000 | 90,000,000 | 90,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Net Cash Flow |
$ | (4,292,917 | ) | $ | (753,608 | ) | $ | (1,588,624 | ) | $ | (1,233,810 | ) | $ | (2,985,932 | ) | $ | 3,080,576 | $ | (1,696,657 | ) | $ | 4,622,164 | $ | (2,893,316 | ) | $ | 4,438,377 | $ | (4,150,911 | ) | $ | (1,346,786 | ) | $ | (2,794,965 | ) | $ | (2,551,121 | ) | $ | 118,286 | $ | 4,154,871 | $ | (25,270,561 | ) | $ | (21,115,690 | ) | |||||||||||||||||||||||
Cash |
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Beginning Cash |
20,846,769 | 16,553,852 | 15,800,244 | 14,211,620 | 12,977,810 | 9,991,878 | 13,072,454 | 11,375,797 | 15,997,961 | 13,104,644 | 17,543,021 | 13,392,110 | 12,045,324 | 9,250,358 | 6,699,237 | 2,662,652 | $ | 6,817,523 | 2,662,652 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Cash |
(4,292,917 | ) | (753,608 | ) | (1,588,624 | ) | (1,233,810 | ) | (2,985,932 | ) | 3,080,576 | (1,696,657 | ) | 4,622,164 | (2,893,316 | ) | 4,438,377 | (4,150,911 | ) | (1,346,786 | ) | (2,794,965 | ) | (2,551,121 | ) | 118,286 | 4,154,871 | (25,270,561 | ) | (21,115,690 | ) | |||||||||||||||||||||||||||||||||||||||||
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Ending Cash |
16,553,852 | 15,800,244 | 14,211,620 | 12,977,810 | 9,991,878 | 13,072,454 | 11,375,797 | 15,997,961 | 13,104,644 | 17,543,021 | 13,392,110 | 12,045,324 | 9,250,358 | 6,699,237 | 6,817,523 | 6,817,523 | $ | (18,453,038 | ) | $ | (18,453,038 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Open Accounts Payable - Beginning Balance |
11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
New Purchases |
10,049,862 | 12,399,574 | 8,912,764 | 11,137,529 | 10,761,246 | 10,166,013 | 7,577,677 | 7,225,969 | 10,176,281 | 8,629,800 | 10,497,327 | 7,619,727 | 8,834,852 | 9,642,619 | 8,619,724 | 330,682,556 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disbursements |
(10,049,862 | ) | (12,399,574 | ) | (8,912,764 | ) | (11,137,529 | ) | (10,761,246 | ) | (10,166,013 | ) | (7,577,677 | ) | (7,225,969 | ) | (10,176,281 | ) | (8,629,800 | ) | (10,497,327 | ) | (7,619,727 | ) | (8,834,852 | ) | (9,642,619 | ) | (8,619,724 | ) | (319,672,647 | ) | ||||||||||||||||||||||||||||||||||||||||
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Ending Balance |
11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | 11,009,909 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
DIP Schedule |
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Facility Size |
90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance |
64,500,000 | 64,500,000 | 69,500,000 | 69,500,000 | 74,500,000 | 74,500,000 | 79,500,000 | 79,500,000 | 84,500,000 | 84,500,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | 90,000,000 | | 90,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Draw / (Repaid) |
| 5,000,000 | | 5,000,000 | | 5,000,000 | | 5,000,000 | | 5,500,000 | | | | | | 90,000,000 | | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Ending Balance |
$ | 64,500,000 | $ | 69,500,000 | $ | 69,500,000 | $ | 74,500,000 | $ | 74,500,000 | $ | 79,500,000 | $ | 79,500,000 | $ | 84,500,000 | $ | 84,500,000 | $ | 90,000,000 | $ | 90,000,000 | $ | 90,000,000 | $ | 90,000,000 | $ | 90,000,000 | $ | 90,000,000 | $ | 90,000,000 | $ | 90,000,000 | ||||||||||||||||||||||||||||||||||||||
Availability |
$ | 25,500,000 | $ | 20,500,000 | $ | 20,500,000 | $ | 15,500,000 | $ | 15,500,000 | $ | 10,500,000 | $ | 10,500,000 | $ | 5,500,000 | $ | 5,500,000 | | | | | | | | |
Page 2 of 2 | as of 7/20/2016 |