U. S. Steel to Acquire National Steel Assets
January 10, 2003
United States Steel Corp., headquartered in Pittsburgh, Pa., has signed an Asset Purchase Agreement (APA) with National Steel Corp. to acquire substantially all of National's steelmaking and finishing assets for approximately $950 million, which includes the assumption of liabilities of approximately $200 million. The transaction, which is targeted for completion early in the second quarter of 2003, is contingent on the successful negotiation of a new labor contract with the United Steelworkers of America, the approval of the bankruptcy court and other customary regulatory approvals. Under the terms of the APA, U. S. Steel will acquire the following: facilities at National's two integrated steel plants, Great Lakes Steel, in Ecorse and River Rouge, Mich., and the Granite City Division in Granite City, Ill.; the Midwest finishing facility in Portage, Ind., near Gary, Ind.; ProCoil Corp. in Canton, Mich., and various other subsidiaries; and joint-venture interests including National's share of Double G Coatings, L.P. in Jackson, Miss.