Document:

Exhibit 10.4 Joinder to Amended and Restated Loan and Security Agreement dated as of April 29, 2014

EXHIBIT 10.4

JOINDER TO AMENDED AND RESTATED LOAN AND SECURITY AGREEMENT
This JOINDER to AMENDED AND RESTATED Loan and Security Agreement (“Joinder”) is entered into as of April 29, 2014 by and among AK TUBE LLC, a Delaware limited liability company (“AK Tube”), AK STEEL CORPORATION, a Delaware corporation (“Borrower”), and BANK OF AMERICA, N.A., as agent for the Lenders (“Agent”).  
Recitals
A.    The Borrower, the Lenders and the Agent are party to that certain Amended and Restated Loan and Security Agreement, dated as of March 17, 2014 (as such agreement may be amended, restated, supplemented or otherwise modified from time to time, the “Loan Agreement”), pursuant to which the Lenders have agreed to make certain loans and extend certain other financial accommodations to the Borrower as provided therein.  Capitalized terms defined in the Loan Agreement, where used and not otherwise defined in this Joinder, shall have the same meanings in this Joinder as are defined in the Loan Agreement.  
B.    AK Tube desires to execute this Joinder and to become a Borrowing Base Guarantor under the Loan Agreement.
NOW, THEREFORE, in consideration of the terms and conditions contained herein, and of any loans or financial accommodations heretofore, now, or hereafter made to or for the benefit of the Borrower by the Lenders, it hereby is agreed as follows:

ARTICLE 1

JOINDER

Section 1.1    Joinder to Loan Agreement. 

(a)AK Tube hereby joins in the execution of, and becomes a party to, the Loan Agreement as a Borrowing Base Guarantor thereunder.  AK Tube hereby assumes and agrees to perform, for the benefit of the Lenders and Agent, all of the obligations of a Borrowing Base Guarantor under the Loan Agreement and the other Loan Documents, as direct and primary obligations of AK Tube (including any such obligations that may have accrued prior to the date hereof, as applicable) and further agrees that it shall comply with and be fully bound by the terms of the Loan Agreement as if it had been a signatory thereto as a Borrowing Base Guarantor as of the date thereof; provided that the representations and warranties made by AK Tube thereunder shall be deemed to be made as of the date hereof.  Without limiting the generality of the foregoing, to secure the prompt payment and performance of all Obligations (specifically including, without limitation, each of the Guaranteed Obligations of AK Tube arising under and as defined in the Subsidiary Guaranty (as defined below)), AK Tube hereby grants to Agent, for the benefit of Secured Parties, a continuing security interest in and Lien upon all of the Collateral of AK Tube, whether now owned or hereafter acquired, and wherever located (it being agreed and acknowledged that as of the date hereof, the Lenders are extending new credit based upon and in reliance on AK Tube’s grant of the security interest set forth herein).

(b)Lenders and Agent shall be entitled to rely on this Joinder as evidence that AK Tube has joined the Loan Agreement and any Other Agreements, as applicable, as a Borrowing Base Guarantor and is fully obligated thereunder.

ARTICLE 2
MISCELLANEOUS

Section 2.1    Conditions to Effectiveness.  This Joinder shall become effective upon satisfaction or waiver of the following conditions precedent, as determined by the Agent in its reasonable discretion: 

(c)this Joinder shall have been duly executed and delivered by the Agent, Borrower and AK Tube;

(d)Agent shall have received a fully executed and delivered secretary’s certificates of AK Tube and AK Properties certifying and attaching (i) such Person’s Organic Documents; (ii) resolutions authorizing the transactions contemplated by this Joinder; (iii) incumbency certificates, in each case, in form and substance reasonably acceptable to Agent and (iv) certificates of good standing issued by the secretary of state of the state of Delaware and each other state where such Person’s conduct of business or ownership of Property necessitates qualification (other than, in the case of AK Tube, the state of Indiana);
    
(e)Agent shall have received certificates, in form and substance reasonably satisfactory to it, from a knowledgeable Senior Officer of each of AK Tube and AK Properties certifying that, after giving effect to the transactions hereunder, (i) no Default or Event of Default exists; and (ii) the representations and warranties set forth in Section 9 of the Loan Agreement are true and correct;

(f)Agent shall have received an opinion of Weil, Gotshal & Manges LLP and the general counsel or assistant general counsel of the Borrower, in each case, in form and substance reasonably acceptable to Agent; 

(g)Agent shall have received supplements to Schedules 8.6.1 and 9.1.12 of the Loan Agreement setting forth all business locations and Intellectual Property, as applicable, of AK Tube as of the date hereof;

(h)Agent shall have received a supplement to the Deposit Account List setting forth all Deposit Accounts held by AK Tube as of the date hereof;

(i)Agent shall have received a fully executed Deposit Account Control Agreement, in form reasonably satisfactory to Agent, duly executed by AK Tube, Agent and Bank of America, N.A., as depository bank; and

(j)Agent shall have received a fully-executed copy of that certain Subsidiary Guaranty, dated as of the date hereof (the “Subsidiary Guaranty”), by and among AK Tube, AK Properties, Borrower and Agent.

Section 2.2    Representations, Warranties, and Covenants of Borrower and AK Tube.  
(a)    The Borrower hereby represents and warrants that, as of the date of this Joinder and after giving effect hereto, the representations and warranties of the Borrower contained in the Loan Agreement and the other Loan Documents to which it is a party are true and correct in all material respects on and as of the date hereof to the same extent as though made on and as of the date hereof, except to the extent such representations and warranties specifically relate to an earlier date, in which case they are true and correct in all material respects as of such earlier date.

(b)    AK Tube hereby represents and warrants that, as of the date of this Joinder and after giving effect hereto, the representations and warranties of AK Tube contained in the Loan Agreement and the other Loan Documents to which it is a party are true and correct on and as of the date hereof to the same extent as though made on and as of the date hereof.

Section 2.3    Reference to and Effect on the Loan Agreement.  Except as expressly provided herein, the Loan Agreement and all other Loan Documents shall remain unmodified and in full force and effect and are hereby ratified and confirmed.  The execution, delivery, and effectiveness of this Joinder shall not operate as a waiver or forbearance of (a) any right, power, or remedy of the Lenders under the Loan Agreement or any of the other Loan Documents or (b) any Default or Event of Default.  This Joinder shall constitute a Loan Document.

Section 2.4    Fees, Costs, and Expenses.  Subject to and in accordance with Section 3.4 of the Loan Agreement, the Borrower agrees to pay on demand all reasonable, documented and out-of-pocket costs and expenses of the Agent in connection with the preparation, negotiation, execution and delivery, and closing of this Joinder and all related documentation, including the reasonable and documented fees and out-of-pocket expenses of counsel for the Agent with respect thereto.

Section 2.5    Counterparts.  This Joinder may be executed in counterparts, each of which shall constitute an original, but all of which when taken together shall constitute a single agreement.  Delivery of a signature page of this Joinder by telecopy or other electronic means shall be effective as delivery of a manually executed counterpart.

Section 2.6    Reaffirmation.  Each of Borrower and AK Tube hereby acknowledges and reaffirms all of its obligations and undertakings under each of the Loan Documents to which it is a party and acknowledges and agrees that subsequent to, and after taking account of the provisions of this Joinder, each such Loan Document is and shall remain in full force and effect in accordance with the terms thereof.

Section 2.7    No Oral Agreements.  THIS WRITTEN AGREEMENT REPRESENTS THE FINAL AGREEMENT BETWEEN THE PARTIES HERETO AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES HERETO.

Section 2.8    GOVERNING LAW.  THIS JOINDER SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ANY CONFLICT OF LAW PRINCIPLES (BUT GIVING EFFECT TO FEDERAL LAWS RELATING TO NATIONAL BANKS).

Section 2.9    Additional Agreements.  On or before May 30, 2014 (or such later date as may be approved by the Agent in its reasonable discretion in writing), AK Tube shall deliver to Agent a certificate of foreign qualification of AK Tube issued by the secretary of state, or other applicable official, of the state of Indiana in form and substance reasonably satisfactory to the Agent.  Notwithstanding any provision in the Loan Agreement to the contrary, any failure of AK Tube to comply with this Section 2.9 shall constitute an immediate Event of Default under the Loan Agreement.

[Signature Pages Follow]

IN WITNESS WHEREOF, the parties hereto have executed this Joinder as of the day and year first written above.

	
			
	AK STEEL CORPORATION

	 
	 
	 

	By:
	 
	/s/ Roger K. Newport

	Name:
	 
	Roger K. Newport

	Title:
	 
	Vice President, Finance and Chief

	 
	 
	Financial Officer

	 
	 
	 

	
			
	AK TUBE LLC

	 

	By:
	 
	/s/ Edward J. Urbaniak, Jr.

	Name:
	 
	Edward J. Urbaniak, Jr.

	Title:
	 
	President

	 
	 
	 

                

    

            

[Signature Page to Joinder to Amended and Restated Loan and Security Agreement]

	
			
	BANK OF AMERICA, N.A.,

	as Agent

	 
	 
	 

	By:
	 
	/s/ Brian Conole

	Name:
	 
	Brian Conole

	Title:
	 
	Senior Vice President

	 
	 
	 

    

                        

[Signature Page to Joinder to Amended and Restated Loan and Security Agreement]

Schedule 8.6.1 

to
Joinder to Amended and Restated Loan and Security Agreement

BUSINESS LOCATIONS
		
	1.
	AK Tube LLC (“AK Tube”) currently has the following business locations, and no others:

AK Tube LLC

Chief Executive Office:

30400 East Broadway
Walbridge, OH 43465

Other Locations:

150 West 450 South
Columbus, IN 47201

		
	2.
	In the five years preceding the Closing Date, AK Tube has had no office or place of business located in any county other than as set forth above, except:    None. 

		
	3.
	Each Material Subsidiary currently has the following business locations, and no others:

AK Steel Properties, Inc. 

Chief Executive Office: 
9227 Centre Pointe Drive
West Chester, OH 45069

Other Locations:

1011 Centre Rd #310
Wilmington, DE 19805

		
	4.
	The following bailees, warehouseman, similar parties and consignees hold inventory of AK Tube:

See ANNEX A.

ANNEX A

	
					
	Third Party Name
	Third Party Address
	City
	State
	Zip 

	Perfect Cut-Off Inc.
	29201 Anderson Road
	Wickliffe
	OH
	44092

	Fulton County Processing
	7800 State Route 109
	Delta
	OH
	43515

	Quality Tube
	701 E Industrial Pkwy
	Fayette
	OH
	43521

	Precision Cut Off
	7400 Airport Hwy
	Holland
	OH
	43528

	HP Products - SMI
	512 W. Gorgas St.
	Louisville
	OH
	44641

	Heidtman Steel
	2401 Front St
	Toledo
	OH
	43605

	Franklen Brazing & Metal Treating
	2025 McKinley Blvd
	Lebanon
	OH
	45036

	Stam, Inc.
	7350 Production Drive
	Mentor
	OH
	44060

	Vision Pickling
	9341 State Route 23
	Waterman
	IL
	60556

	Pre Annealed Brazing Concepts
	94 Concepts Drive
	Coldwater
	MI
	49036

	Production Tube Cutting
	110 S Smithville Rd.
	Dayton
	OH
	45403

	Diamond Mfg.
	600 Royal Road
	Michigan City
	MI
	46390

	Alphi Manufacturing Inc.
	576 Beck St.
	Jonesville
	MI
	49250

	Set Enterprises
	PO Box 117
	North Vernon
	IN
	47265

	JETT Cutting
	6510 S. Austin Avenue
	Bedford Park
	IL
	60638

	Precision Tube Inc
	1025 Fortune Dr.
	Richmond
	KY
	40475

	Earle M. Jorgensen Co.
	2301 Airwest Blvd.
	Plainfield
	IN
	46168

	Set Enterprises-New Boston
	36211 S. Huron Road
	New Boston
	MI
	48164

	Perforated Tube Works, LLC
	7651 Stonehedge Ln.
	Manlius
	NY
	13104

	Imperial Group
	4969 Stepp Place, IFC-VA Plant 32 
	Dublin
	VA
	24084

	JDM Steel
	330 East Joe Orr Road Building C
	Chicago Heights
	IL
	60411

Schedule 9.1.12 

to
Joinder to Amended and Restated Loan and Security Agreement

ROYALTIES

None.

PATENTS, TRADEMARKS, COPYRIGHTS AND LICENSES
None.Exhibit 10.5 Security Agreement Supplement dated as of April 29,2 014

EXHIBIT 10.5
SECURITY AGREEMENT SUPPLEMENT
SECURITY AGREEMENT SUPPLEMENT dated as of April 29, 2014, among AK TUBE LLC, a Delaware limited liability company (“AK Tube”), AK STEEL PROPERTIES, INC., a Delaware corporation (“AK Properties” and, together with AK Tube, each a “New Grantor” and, collectively, the “New Grantors”), and U.S. BANK NATIONAL ASSOCIATION, as collateral agent (the “Collateral Agent”).
WHEREAS, pursuant to a Security Agreement dated as of November 20, 2012 (as amended and/or supplemented from time to time, the “Security Agreement”) among the Company, the other Grantors party thereto and the Collateral Agent, each New Grantor has secured the Secured Obligations by granting to the Collateral Agent for the benefit of the Secured Parties a continuing security interest in certain personal property of such New Grantor; 
WHEREAS, each New Grantor desires to become a party to the Security Agreement as a Grantor thereunder; and 
WHEREAS, terms defined in the Security Agreement (or whose definitions are incorporated by reference in Section 1 of the Security Agreement) and not otherwise defined herein have, as used herein, the respective meanings provided for therein; 
NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 
1.Grant of Transaction Liens.  (a)  In order to secure the Secured Obligations, each New Grantor grants to the Collateral Agent for the benefit of the Secured Parties a continuing security interest in all of the Collateral of such New Grantor, whether now owned or existing or hereafter acquired or arising and regardless of where located (the “New Collateral”); provided that, notwithstanding the foregoing or anything herein to the contrary, in no event shall the New Collateral include, or the security interest attach to, any Excluded Property; provided, however, the security interests and Liens granted hereunder shall attach to, and the “Collateral” shall automatically include any asset or property of such New Grantor that ceases to be an Excluded Property, without further action by any Grantor or Secured Party.  It is understood and agreed that the Collateral will not include any ABL Collateral.

(b)    The foregoing Transaction Liens are granted as security only and shall not subject the Collateral Agent or any other Secured Party to, or transfer, any obligation or liability of any New Grantor with respect to any of the New Collateral or any transaction in connection therewith.

2.Party to Security Agreement.  Upon delivering this Security Agreement Supplement to the Collateral Agent, each New Grantor will become a party to the Security Agreement and will thereafter have all the rights and obligations of a Grantor thereunder and be bound by all the provisions thereof as fully as if such New Grantor were one of the original parties thereto.

3.Representations and Warranties.  (a)  Each New Grantor is duly organized, validly existing and in good standing under the laws of the jurisdiction identified as its jurisdiction of organization in the Perfection Certificate.

(a)Each New Grantor has delivered a Perfection Certificate to the Collateral Agent.  The information set forth therein is correct and complete as of the date hereof in all material respects.  

(b)The execution and delivery of this Security Agreement Supplement by each New Grantor and the performance by it of its obligations under the Security Agreement as supplemented hereby are within its corporate or other powers, have been duly authorized by all necessary corporate or other action, require no action by or in respect of, or filing with, any governmental body, agency or official and do not contravene, or constitute a default under, any provision of applicable material law or regulation or of its organizational documents, or of any material agreement, judgment, injunction, order, decree or other instrument binding upon it or result in the creation or imposition of any Lien (except a Transaction Lien) on any of its assets.

(c)The Security Agreement as supplemented hereby constitutes a valid and binding agreement of each New Grantor, enforceable in accordance with its terms, except as limited by (i) applicable bankruptcy, insolvency, fraudulent conveyance or other similar laws affecting creditors’ rights generally and (ii) general principles of equity.

(d)Each of the representations and warranties set forth in Sections 3, 4, 5 and 6 of the Security Agreement is true as applied to each New Grantor and the New Collateral as of the date hereof.  For purposes of the foregoing sentence, references in said Sections to a “Grantor” shall be deemed to refer to each New Grantor, references to Schedules to the Security Agreement shall be deemed to refer to the corresponding Schedules to this Security Agreement Supplement, references to “Collateral” shall be deemed to refer to the New Collateral, and references to the “Effective Date” shall be deemed to refer to the date on which each New Grantor signs and delivers this Security Agreement Supplement.

4.Governing Law.  This Security Agreement Supplement shall be construed in accordance with and governed by the laws of the State of New York.

[Signature Page Follows]

IN WITNESS WHEREOF, the parties hereto have caused this Security Agreement Supplement to be duly executed by their respective authorized officers as of the day and year first above written.
	
			
	AK TUBE LLC

	 
	 

	By:
	/s/ Edward J. Urbaniak, Jr.

	 
	Name:
	Edward J. Urbaniak, Jr.

	 
	Title:
	President

	
			
	AK STEEL PROPERTIES, INC.

	 
	 

	By:
	/s/ David E. Westcott

	 
	Name:
	David E. Westcott

	 
	Title:
	Treasurer

[Security Agreement Supplement]

	
			
	U.S. BANK NATIONAL ASSOCIATION, as Collateral Agent

	 
	 

	By:
	/s/ William E. Sicking

	 
	Name:
	William E. Sicking

	 
	Title:
	Vice President & Trust Officer

[Security Agreement Supplement]

Schedule I
to Security Agreement
Supplement

LOCATIONS OF EQUIPMENT

	
							
	Grantor
	 
	Address
	 
	County
	 
	State

	AK Tube LLC
	 
	30400 East Broadway, Walbridge, OH
	 
	Wood
	 
	Ohio

	AK Tube LLC
	 
	1001 Hurricane Street, Franklin, IN 46131
	 
	Johnson
	 
	Indiana

	AK Tube LLC
	 
	2525 Kreutzer Drive, Columbus, IN 47201
	 
	Bartholomew
	 
	Indiana

	AK Tube LLC
	 
	1354 East Broadway, Toledo, OH 43607
	 
	Lucas
	 
	Ohio

	AK Tube LLC
	 
	576 Beck St., Jonesville, MI 49250
	 
	Hillsdale
	 
	Michigan

	AK Tube LLC
	 
	150 W 450 S., Columbus, IN 47201
	 
	Bartholomew
	 
	Indiana

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