MRC Global Inc. Announces Intention to Refinance Senior Secured Notes

    MRC Global Inc. Announces Intention to Refinance Senior Secured Notes

PR Newswire

HOUSTON, Oct. 4, 2012

HOUSTON, Oct. 4, 2012 /PRNewswire/ -- MRC Global Inc. (NYSE:MRC) announced
today that it is launching an effort to refinance the company's $861 million
in outstanding 9.5% Senior Secured Notes due 2016. As part of this effort,
the company will seek to enter into a senior secured $750 million seven-year
term loan B credit facility.The company expects to use proceeds of such a
new term loan, together with a draw under the company's global asset based
lending (ABL) facility, to redeem all of the company's outstanding 9.5% Senior
Secured Notes due 2016.

Andrew Lane, MRC Global's Chairman, President and CEO, said, "We are launching
this refinancing effort to extend the maturity of our long-term debt and
significantly reduce our interest expense by taking advantage of historically
low interest rates in the debt markets. This can provide us a base for our
capital structure for years to come."

The company expects that the term loan would be secured by a first lien on all
of the company's assets and the assets of all of the company's domestic
subsidiaries, other than the assets securing the ABL facility (which include
the company's accounts receivable, inventory and related assets) and by a
second lien on this ABL collateral.

There can be no assurance that the company will enter into a term loan, what
the ultimate terms of a term loan will be or what the ultimate use of proceeds
that the term loan will provide. The company's ability to enter into a term
loan and use the proceeds depends on, among other things, market conditions,
reaching final agreement with lenders and the approval of the company's board
of directors.

About MRC Global Inc. – Global Supplier of Choice^®

Headquartered in Houston, Texas, MRC, a Fortune 500 company, is the largest
global distributor of pipe, valve, and fittings (PVF) and related products and
services to the energy industry, based on sales, and supplies these products
and services across each of the upstream, midstream and downstream sectors.
More information on MRC can be found on our website at

Not a Notice of Redemption

This press release is for informational purposes only and is neither an offer
to purchase nor a solicitation of an offer to sell the company's 9.5% Senior
Secured Notes due 2016. This press release does not constitute a notice of
redemption pursuant to the indenture governing the Senior Secured Notes.

Forward-Looking Statements

This news release contains forward-looking statements within the meaning of
Section27A of the Securities Act and Section21E of the Exchange Act. Words
such as "will," "expects," "would,""seek" and similar expressions are intended
to identify forward-looking statements. Despite the company's expectations of
entering into a new term loan, the terms and pricing of a term loan and the
use of proceeds to refinance its existing Senior Secured Notes are only the
company's expectations regarding these actions. Whether the company is
actually successful in obtaining such a term loan on expected terms and
conditions with expected uses of proceeds is dependent on a number of factors,
including (among others) debt market conditions, reaching final agreement
with lenders, approval of the company's board of directors and the company's
financial condition, results and future prospects, which, in turn are
dependent on factors, including (among others) decreases in oil and natural
gas industry expenditure levels, which may result from decreased oil and
natural gas prices or other factors; increased usage of alternative fuels,
which may negatively affect oil and natural gas industry expenditure levels;
U.S.and international general economic conditions; the company's ability to
compete successfully with other companies in the company's industry; the risk
that manufacturers of the products the company distributes will sell a
substantial amount of goods directly to end users in the industries it serves;
unexpected supply shortages; cost increases by the company's suppliers; the
company's lack of long-term contracts with most of its suppliers; increases in
customer, manufacturer and distributor inventory levels; suppliers' price
reductions of products that the company sells, which could cause the value of
its inventory to decline; decreases in steel prices, which could significantly
lower the company's profit; increases in steel prices, which it may be unable
to pass along to its customers, which could significantly lower its profit;
the company's lack of long-term contracts with many of its customers and its
lack of contracts with customers that require minimum purchase volumes;
changes in the company's customer and product mix; risks related to the
company's customers' credit; the potential adverse effects associated with
integrating acquisitions into the company's business and whether these
acquisitions will yield their intended benefits; the success of the company's
acquisition strategies; the company's significant indebtedness; the dependence
on the company's subsidiaries for cash to meet its debt obligations; changes
in the company's credit profile; a decline in demand for certain of the
products that the company distributes if import restrictions on these products
are lifted; environmental, health and safety laws and regulations; the
sufficiency of the company's insurance policies to cover losses, including
liabilities arising from litigation; product liability claims against the
company; pending or future asbestos-related claims against the company; the
potential loss of key personnel; interruption in the proper functioning of the
company's information systems; loss of third-party transportation providers;
potential inability to obtain necessary capital; risks related to adverse
weather events or natural disasters; impairment of the company's goodwill or
other intangible assets; changes in tax laws or adverse positions taken by
taxing authorities in the countries in which the company operates; and adverse
changes in political or economic conditions in the countries in which the
company operates. For a discussion of key risk factors, please see the risk
factors disclosed in the company's SEC filings, which are available on the
SEC's website at and on the company's website,

Undue reliance should not be placed on the company's forward-looking
statements. Although forward-looking statements reflect the company's good
faith beliefs, reliance should not be placed on forward-looking statements
because they involve known and unknown risks, uncertainties and other factors,
which may cause the company's actual results, performance or achievements or
future events to differ materially from anticipated future results,
performance or achievements or future events expressed or implied by such
forward-looking statements. The company undertakes no obligation to publicly
update or revise any forward-looking statement, whether as a result of new
information, future events, changed circumstances or otherwise, except to the
extent required by law.

James E. Braun, EVP & Chief Financial Officer
MRC Global Inc.

Ken Dennard, Managing Partner
Dennard Rupp Gray & Lascar, LLC

SOURCE MRC Global Inc.