Back to News ReleasesWCI STEEL, INC. ANNOUNCES RAW MATERIAL SURCHARGE
WARREN, OHIO, May 14, 2008 -- WCI Steel, Inc., announced today that, because of continued significant increases in basic raw material and energy costs, it is revising its original raw material and energy surcharge on fixed-price long-term supply agreements from about $130/NT to $250/NT. The revised surcharge of $250 per net ton will become effective with shipments June 1, 2008 through June 28, 2008.
“The surge in raw material costs that began late 4Q07 has continued unabated into May 2008,” said David A. Howard, WCI Steel’s Vice President, Commercial. “This continued rise in raw material costs makes it necessary for WCI Steel to revise its raw material and energy surcharge to reflect this changing reality.”
As previously announced, the surcharge is based on the rate of escalation in costs since the fourth quarter of 2007. Any additional increases will be calculated on a month-to-month basis.
About WCI Steel, Inc.
WCI Steel’s strength is built on “Custom Steel. Custom Service. Creative Solutions.” As a niche-oriented integrated producer of value-added, custom steel products, WCI Steel emphasizes customer and technical service. WCI Steel currently produces 185 grades of flat-rolled custom and commodity steel products at its Warren, Ohio, facility. WCI Steel focuses on a wide range of custom flat-rolled steel products, including high carbon, alloy, ultra high strength, and heavy-gauge galvanized steel and on developing closer, more responsive relationships with customers. Major customers are steel converters, processors, service centers, construction product companies, and, to a lesser extent, automobile manufacturers.
Bette Kovach
Public Affairs
WCI Steel, Inc.
999 Pine Avenue, SE
Warren, OH 44483-6528
330-841-8213