Molycorp missed another payment this week and the House passed fast-track trade approval which now moves on to the debate in the Senate.
Molycorp Inc., the Greenwood Village Colo.-based miner of rare earth elements is skipping its second loan payment in two weeks.
Molycorp officials on Monday said they would take advantage of a 30-day grace period on a $3.36 million semi-annual interest payment related to 3.25% senior unsecured convertible notes that are due in 2016. The move, company officials say, will not trigger any cross-defaults on its other loans.
The company will use the grace period to continue evaluating debt restructuring options, the company said in a US Securities and Exchange Commission filing.
Fast-Track Trade Bill Advances
The House on Thursday took the first step toward reviving the White House’s trade agenda by passing legislation granting President Obama fast-track authority.
The bill now goes to the Senate, where the White House and GOP leaders are seeking to strike a deal with pro-trade Democrats.
The House vote was 218-208, with 28 Democrats voting for it. This is the second time in a week the House has voted to approve a fast-track bill. On Friday, the House voted 219-211 in favor of fast-track, which would make it easier for Obama to complete a sweeping trans-Pacific trade deal.
In last week’s vote, though, the House GOP paired the fast-track bill with a measure known as Trade Adjustment Assistance (TAA) that gives aid to workers displaced by trade. Both measures needed to be approved in separate votes for the entire package to move forward.
House Democrats have historically favored TAA, but they voted against it on Friday to kill fast-track, which is deeply opposed by unions and other liberal groups. The White House still wants both measures to reach Obama’s desk, but is now advancing a different strategy that would move the two bills separately.