OAO Severstal, one of the world's leading steel and mining companies, with assets in Russia, the U.S. and Europe, announced on Jan. 25 that as part of its North American 2010 operating plan certain facilities will be restarted that had been idled previously as a result of weak market conditions.
This follows an improving trading performance, as reported with the Q3 results that were announced in November. Revenue was up 22.3% to $3,487 million (Q2 09: $2,852 million) and net profit was $66 million.
Severstal Warren, a fully integrated steel plant, is scheduled to return to service its blast furnace, steelmaking and hot strip mill facilities late in the first quarter of 2010. The number of employees returning to the Warren facility is currently being discussed with the United Steel Workers with which the Company is seeking a new contract to cover all of Severstal North America's steelworker-represented facilities.
In addition, Severstal North America's Mountain State Carbon coke making subsidiary in Follansbee will ramp up to full production by the end of January 2010.
As previously announced, the Severstal Wheeling coating lines will return to service in late January 2010. Severstal Wheeling cold rolling complex returned to operation in December 2009.
"Our North American strategy remains to be a long-term market leader, serving domestic and export customers with light flat rolled steel from five plants. Severstal North America anticipates an improving market for its products over 2010, and we are encouraged by the support we are receiving from all constituencies to resume operations at Warren," saud Sergei A. Kuznetsov, COE of Severstal North America.
