Business
Court approves reorganization of Stelco's corporate structure
Court approves reorganization of Stelco's corporate structure.
About this update from Starr Peak Mining Ltd
[{"type":"text","content":"\n\n\n\n\nHAMILTON, ON, Feb. 14 /CNW/ - Stelco Inc. (TSX:STE) announces that the\nSuperior Court of Justice (Ontario) granted an Order late this afternoon\napproving the previously announced proposed reorganization of the Company's\ncorporate structure. As a result, distinct portions of Stelco's business will\nbe transferred into separate limited partnerships upon the Company's emergence\nfrom its Court-supervised restructuring process.\nIn its Order, the Court declared that the proposed reorganization was\nfair and reasonable. As disclosed on previous occasions, among the features of\nthe reorganization are provisions concerning the pension plan funding\narrangement contained in Stelco's restructuring plan. Among these provisions,\nthe ten-year funding arrangement agreed to by the Company and the Province is\nconfirmed, the responsibilities of Stelco and the general partners in the\nlimited partnerships are identified, and the ongoing pension funding\nobligations of Stelco and of any acquirer of the Company are outlined. Stelco\nwill also be prohibited from making dividend payments or other forms of\ndistribution on its common shares while the pension funding arrangements are\nin effect.\n\nAbout Stelco\nStelco is one of Canada's longest-established steel companies. It is\ncurrently in the final stages of a Court-supervised restructuring. This\nprocess is designed to establish the Company as a viable and competitive\nproducer for the long term. The new Stelco will be focused on its Ontario-\nbased integrated steel business located in Hamilton and in Nanticoke. These\noperations produce high quality value-added hot rolled, cold rolled, coated\nsheet and bar products. This news release may contain forward-looking\ninformation with respect to the Corporation's business operations, financial\nperformance and conditions. Actual results may differ from expected results\nfor a variety of reasons including factors discussed in the Corporation's\nManagement's Discussion and Analysis section of the Corporation's 2004 Annual\nReport. To learn more about Stelco and its businesses, please refer to our Web\nsite at www.stelco.ca.\n\n%SEDAR: 00001549E\n\n\n","length":2216,"tagName":"div"}]