Stelco : “Stelco Inc. today announced that one of its largest customers has served notice that it will remove its business from the Company for 2005 unless it receives assurances of Stelco’s ability to provide security of supply through the coming year.
In a letter received yesterday, the customer cited the uncertainty of supply caused by USWA Local 8782’s issuance of 90 days notice of a potential strike at the Company’s Lake Erie facility. The letter stated that, even though the customer has reached agreement with Stelco on the pricing terms for a 2005 contract, it is concerned about the possibility of a strike during that period.
As a result, the customer indicated that it cannot enter into a 2005 contract with the Company unless it receives assurances soon that Stelco will be able to perform throughout the term of the proposed agreement. “