Denial from Steel Dynamics on GM's assertions

Denial from Steel Dynamics on GM’s assertions

As reported by SteelOrbis last week, General Motors Corp. (GM) filed a suit on March 18 against Steel Dynamics Inc and Textron claiming that both supplier companies violated their pre-signed contract by asking for new prices to ship material to GM. Steel Dynamics commented on the case stating that there is no binding contractual obligation to supply around 50'000 tons of steel within 2004 to GM at a previously set price. According to a statement by the company, the gap between Steel Dynamics' price and alleged price by GM is estimated to be around $4 million pre-tax, which is defined as immaterial. On the other hand, Textron still prefers to remain silent on the issue.