U. S. Steel Signs Letter of Intent with International Steel Group To Exchange Plate Business for Pickle Line
United States Steel Corporation (NYSE: X) announced today that it has signed a letter of intent with International Steel Group Inc. (ISG) to exchange the assets of its plate business, including the plate mill at Gary Works, for the assets of ISG's No. 2 pickle line at Indiana Harbor Works. Plate products currently account for about 3 percent of U. S. Steel's domestic steel shipments. Capable of pickling 560,000 net tons of hot rolled steel with widths of up to 60 inches, the No. 2 pickle line is currently exclusively servicing U. S. Steel's East Chicago Tin operation. The transaction is expected to close in the fourth quarter.
"This transaction will allow U. S. Steel to focus on our core business, value-added sheet products, while continuing the ongoing consolidation of the steel industry in keeping with President Bush's steel program," said U. S. Steel President and Chief Operating Officer John P. Surma.
U. S. Steel and ISG are committed to ensuring customers a quick and seamless transition. Throughout the transition, quality, service and delivery will continue to be our primary focus.
This release contains forward-looking statements with regards to the anticipated exchange of assets of United States Steel Corporation and International Steel Group Inc. Whether this transaction will be implemented and the timing of such implementation will depend upon a number of factors, many of which are beyond the control of United States Steel Corporation and International Steel Group Inc.
Statements concerning the potential benefits of the acquisition are also forward-looking statements. Future results will depend upon market conditions, costs, shipments and prices. In accordance with "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, cautionary statements identifying important factors, but not necessarily all factors, that could cause actual results to differ materially from those set forth in the forward- looking statements have been included in the Form 10-K of United States Steel Corporation for the year ended December 31, 2002, and in subsequent filings with the Securities and Exchange Commission.
For more information about U. S. Steel, visit our web site - www.ussteel.com.
SOURCE: United States Steel Corporation
CONTACT: John Armstrong, +1-412-433-6792, or Mike Dixon,
Web site: http://www.ussteel.com/
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