US Steel announced that its Canadian operations, which have lost approximately $2.4 billion in the past five years, would apply for relief from creditors under Canada's Companies' Creditors Arrangement Act.
US Steel, which acquired the former Stelco plant in 2007, said it would provide its Canadian branch with $185 million Canadian dollars (US$168.6 million) of secured debtor-in-possession financing (DIP Financing) to support operations through the end of 2015. As of the end of the second quarter, US Steel Canada accounted for about US$1 billion of US Steel’s consolidated employee benefits liability.