Ukraine's State Property Fund (SPFU) and the owner of the Ukrainian steel mill Mittal Steel Kriviy Rih (ex-Krivorizhstal) – Mittal Steel
Germany GmbH - have signed an agreement on the interpretation of disputed points in the Krivorizhstal sale contact.
According to the agreement, Mittal Steel will pay an additional UAH 400.238 million (approx. $79.25 million) to the Ukrainian government within the coming 20-day period for the 93.2 percent stake in Krivorizhstal which the company acquired in November 2005. Furthermore, Mittal Steel Kriviy Rih has agreed to pay the so-called 13th salary to its workers.
Both parties believe that the agreement will bring to an end the confrontation between the SPFU and Mittal Steel Kriviy Rih.
As SteelOrbis had reported previously, in May of the current year the SPFU had accused Mittal Steel of non-fulfillment of its Krivorizhstal sale contract obligations, and had threatened to carry out a re-sale of the mill.