That seems to be the $800m question (perhaps more actually). Some are surely hoping the answer is yes as we heard about via an anonymous email. As we had reported earlier (and received plenty of feedback), many Canadians were (rightfully) angered by the acquisition of two steel Stelco plants by US Steel followed by subsequent shutdowns as US Steel cut capacity to keep supply aligned with sluggish demand. The controversy centered around shut-downs of Canadian plants by their American owners over more inefficient US-based plants. In all fairness to US Steel, ArcelorMittal also shut down a Canadian operation.
Now, Canadian based Lakeside Steel plans to acquire both the Hamilton Steel as well as the Lake Erie Works plant in Nanticoke. Both the United Steelworker’s Union (USW) and Lakeside Steel have filed in Federal Court what is known as intervenor status alleging that US Steel failed to uphold both job and production commitments as part of it’s acquisition of the two plants. The USW supports Lakeside Steel’s move to acquire the plants based on it’s commitment to, respect the collective agreements, support the defined benefit pension plans and fulfill production and employment undertakings at both plants.
It appears as though this acquisition by Lakeside Steel would be a win-win for all parties ¦US Steel can rid itself of much negative press and the plants would move back into Canadian hands. Now whether or not Lakeside Steel will be able to keep the plants operating profitably and according to pre-agreed upon labor agreements is another matter altogether. But at least there is some hope.