US Steel willing to take over Rouge Steel
According to recent market reports,
US Steel (USS) yesterday gave a bid for the tender which will be held today for the acquisition of US integrated steel producer Rouge Steel.
Following its filing for bankruptcy protection on October 23, 2003 Rouge Steel signed a non-binding letter of intent with Russian major steel producer
Severstal against a bid of $215 million for its assets of Rouge Steel. In case a bid of $1 million over
Severstal's bid is given, the Russian producer will lose its chance to win the tender. Besides, USS reports that their offer will be well higher than $200 million and this will surely push
Severstal, although they reached a compromise with United Auto Workers (UAW), a union representing Rouge Steel workers.
The result of the today's tender will be the subject of the bankruptcy court hearing that will take place on December 22, 2003.