Severstal makes early loan pay-back

LOWNDES COUNTY — According to Gov. Haley Barbour, the state has completed its economic development commitments to steel manufacturer Severstal North America Inc.

In a letter, Barbour informed the Mississippi Legislature that Severstal repaid a $10 million loan for infrastructure development to the state four years ahead of schedule. The Legislature had also provided the company with a $60-million contingent loan guarantee, and the state has now been removed from liability on this loan.

Severstal, which began production in 2007, received economic development incentives to construct a $600-million facility that provided 450 jobs. Only a year after opening, the state-of-the-art manufacturing plant announced a $400-million expansion plan that would add 150 jobs.

“I am optimistic about our state’s long-term economic outlook,” Barbour said. “Though the effects of the recession will demand a transformative government structure, Mississippi can continue the valuable job-creation partnerships that will enable the state to thrive once this down cycle is complete.”

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One Response to “Severstal makes early loan pay-back”

1. Economic Development News Week of December 14, 2009 « Carol’s Weblog Says:
   December 21st, 2009 at 2:41 pm

   [...] In a letter, Barbour informed the Mississippi Legislature that Severstal repaid a $10 million loan for infrastructure development to the state four years ahead of schedule. http://msbusiness.com/blog/2009/12/severstal-makes-early-loan-pay-back/ [...]