For Immediate Release                                                     CONTACT:

                                                                                                Stephen E. Graham

                                                                                                Chief Financial Officer                                                                                                          Shiloh Industries, Inc.

(216) 265-6656

 

                                                                       

Shiloh INDUSTRIES credit

rating raised to ‘ba3’, outlook Stable
by Moody’s Investors services

 

 

CLEVELAND, OH, December 21, 2004 – Shiloh Industries, Inc. (Nasdaq:SHLO) today announced that on December 20, 2004, Moody’s Investors Services upgraded the rating of Shiloh Industries, Inc. and assigned Ba3 rating to Shiloh’s proposed new guaranteed senior secured facilities, which will refinance the existing credit agreement.  Shiloh’s former rating was B1, outlook stable.  Moody’s actions were in response to the Company’s continued strong cash flow generation and corresponding debt reduction.

 

Moody’s specific rating actions included:

·        Assignment of Ba3 ratings for Shiloh’s $175 million of proposed new guaranteed senior secured credit facilities, to consist of :

·        $125 million revolving credit facility due January 2010;

·        $50 million term loan due January 2010;

·        Upgrade to Ba3, from B1, of the ratings of Shiloh’s existing $174 million of remaining guaranteed senior secured credit facilities (which ratings will be withdrawn upon the closing of the proposed new credit agreement) consisting of :

·        $60 million revolving credit facility due January 2007;

·        $64.13 million remaining term loan A facility due January 2009;

·        $49.75 million remaining term loan B facility due January 2009;

·        Upgrade to Ba3, from B1, of Shiloh’s senior implied rating; and

·        Upgrade to B1, from B2 of Shiloh’s senior unsecured issuer rating

            Shiloh's management team, in place since early 2002, has made significant progress in stabilizing the Company's operating results, improving the liquidity position, and reducing debt.  The rating upgrades by Moody’s represents continued recognition of that progress and the Company’s efforts to stabilize the Company and position itself for future growth.

 

Headquartered in Cleveland, Ohio, Shiloh Industries is a leading manufacturer of first operation blanks, engineered welded blanks, complex stampings and modular assemblies for the automotive and heavy truck industries. The Company has 11 operating locations in Ohio, Georgia, Michigan, Tennessee and Mexico, and employs approximately 2,200.