Cleveland Cliffs Inc (CLF)

[winchem21]

From earnings call, clawback achieved with 20 million shares recently issued ($326 million) to pay back 35% ($334 million) of the 9.875% Notes worth $955 million they issued in April 2020 as insurance and to pay down other notes that saved $181 million in principal at the time.

They missed the original deadline for using CARES loans proceeds to do this and issuing new equity was the only other clawback option available.. they had to pay 109.875% of principal to do this and have $621 million remaining on the 9.875% notes which can be paid back after October 2022.

From Notes 8K in April 2020
“Lastly, at any time and from time to time on or prior to October 17, 2022, the Company may redeem in the aggregate up to 35% of the original aggregate principal amount of the Notes (calculated after giving effect to any
issuance of additional notes) with the net cash proceeds of certain equity offerings, at a redemption price of 109.875%, plus accrued and unpaid interest, if any, to, but excluding, the redemption date, so long as at least 65% of the original aggregate principal amount of the Notes (calculated after giving effect to any issuance of additional notes) issued under the Indenture remain outstanding after each such redemption”