Ispat Inland Trimming Salaried Force
06 January 2004 - 4:20AM
PR Newswire (US)
Ispat Inland Trimming Salaried Force EAST CHICAGO, Ind., Jan. 5
/PRNewswire-FirstCall/ -- Ispat Inland Inc. is taking further steps
to ensure its competitiveness by reducing its salaried workforce.
The company will eliminate about 130 salaried positions, most of
them by the end of this month. Many of the affected employees will
be eligible for pension benefits, as well as severance pay. A
company-paid job-search center will be available to those who are
interested in seeking other employment. Ispat Inland's continuing
efforts to reduce costs, increase productivity and improve products
and customer performance have made the company one of the top
performers in its industry. Last year alone, the company invested
$100 million to upgrade its ironmaking operations; expanded an
alliance with Nippon Steel Corp., the world's technological leader;
and introduced new products to improve tomorrow's cars and trucks.
Yet financial results have been disappointing for Ispat Inland and
other steel producers - despite dramatic savings enjoyed by major
competitors through new labor contracts and the elimination of
pensions and health care for employees and retirees. "Management
does not take this step lightly, but our focus has to be on making
Ispat Inland profitable in order to secure its future," said Louis
L. Schorsch, president and chief executive officer. "We have not
met that standard over the past several years, and the competitive
landscape is only getting tougher." Inland Steel Co. peaked at more
than 26,000 employees in 1979, when its annual steel shipments
totaled 8.6 million tons. The company, which became Ispat Inland in
1998, shipped 5.7 million tons last year. Current employment is
about 6,900. Ispat Inland Inc. is a subsidiary of Ispat
International N.V., one of the top 10 steel companies in the world,
with integrated steelmaking facilities in six countries and annual
shipments in 2002 in excess of 15 million tons. Ispat Inland
manufactures a broad range of semifinished and finished flat and
bar steel products and is one of the world's lowest-cost steel
producers. In addition to Ispat Inland in East Chicago, Ind., USA,
Ispat International has major steelmaking facilities in Canada,
Mexico, Trinidad, France and Germany. Ispat International is a
member of The LNM Group, the world's second-largest and most global
steel group, which also operates in Algeria, Czech Republic,
Indonesia, Kazakhstan, Romania and South Africa. DATASOURCE: Ispat
Inland Inc. CONTACT: David C. Allen of Ispat Inland Inc.,
+1-219-399-5430
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