New Issue: Steel Dynamics $200 million seven-year notes yield 9½%

By Paul A. Harris

St. Louis, Mo., March 14 - Steel Dynamics priced its $200 million of senior notes due March 15, 2009 (B2/B) at par Thursday to yield 9½%, according to a syndicate source.

"It priced at the low end of (9½%-9¾%) price talk," the source said.

Morgan Stanley ran the books on the Rule 144A deal. JP Morgan was co-manager.

The Fort Wayne, Ind.-based mini-mill steel producer will use the proceeds to repay bank debt and for general corporate purposes.

Issuer:	Steel Dynamics
Amount:	$200 million
Maturity:	March 15, 2009
Type:	Senior notes
Coupon:	9½%
Price:	Par
Yield:	9½%
Spread:	430 basis points over the 5½% Treasury due 2009
Call features:	Callable on March 15, 2006 at 104.750, 102.375, par on March 15, 2008 and thereafter
Equity clawback:	Until March 15, 2005 for up to 35% at 109.500
Interest payments:	March 15 and Sept. 15, commencing Sept. 15, 2002
Settlement date:	March 26, 2002 (T+8)
Ratings:	Moody's: B2
	Standard & Poor's: B
Rule 144A CUSIP:	858119AA8

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