Optima Specialty Steel, Inc. (together with its subsidiaries, collectively, the “Company” or “OSS”) today announced that it received approval from the United States Bankruptcy Court for the District of Delaware (the “Court”) to enter into an immediate credit facility providing up to $40 million of new immediate borrowing capacity.

”Our customers and suppliers have remained supportive and operations have continued uninterrupted since filing for reorganization under Chapter 11,” said Motti Korf, Chief Executive Officer of OSS. Korf continued, “The DIP financing combined with OSS’s operating cash flow provides a solid financial foundation from which the Company will continue to operate and provide its customers with quality products and services during our reorganization. Moreover, the agreement to provide DIP financing demonstrates that our lenders have confidence in our ability to emerge from Chapter 11 as a viable company.”

For more information about the Credit Facility or the Chapter 11 case please visit: http://cases.gardencitygroup.com/oma/index.php

About Optima Specialty Steel, Inc.

Headquartered in Miami, Florida, Optima Specialty Steel, Inc., is one of North America’s leading independent manufacturers of specialty steel products. Operating through its four wholly-owned subsidiaries, Michigan Seamless Tube & Pipe (MST), Niagara LaSalle Corporation, Kentucky Electric Steel and Corey Steel Company, the organization leverages its technical expertise, skilled workforce and sophisticated equipment to produce highly engineered products, including seamless cold drawn pipe and tube, cold finished steel bars and flats and various SBQ and MBQ products.