Arcelor reports €101 million net profit

Arcelor reports €101 million net profit

Arcelor, world's largest steel producer, reported its net profit as €101 million for the third quarter of 2003 despite low revenue figure. Net profit indicated a €45 million increase when compared with corresponding period last year. Company's revenue decreased to €5.9 billion in the third quarter from €6.4 billion recorded in the same period last year. Arcelor stated that high prices and the appreciation of Euro against US Dollar helped the company achieve net profit. Global steel consumption is expected to grow 1% in 2003 and 3% in 2004 by Arcelor. Accordingly, the company considers to raise prices in the first quarter of 2004. Meanwhile, Arcelor is planning to close its US stainless steel subsidiary J&L Specialty Steel's melt shop in Midland due to continuous regression of the stainless steel market in US. However, the company has to negotiate with the United Steel Workers of America (USWA) before the closure of melt shop. Also, the company stated that the negotiations can maintain for about a year. On the other hand, J&L's plant located in Louisville, Ohio will continue its operations.