Stelco to seek extension of stay period

Will also file a Plan Outline

HAMILTON, ON, July 12 /CNW/ - Stelco Inc. (TSX:STE) announced today that
it will appear in Court on July 18, 2005 to seek an extension of the stay
period in its Court-supervised restructuring from that date until September 9,
2005.
Stelco also announced that it will file a restructuring Plan Outline with
the Court on Friday, July 15, 2005. The Plan Outline will reflect the
Company's discussions with stakeholders during the past 17 months. It will
endeavour to balance the interests of those stakeholders, which in many cases
are inconsistent, in a fair, reasonable and responsible manner, enabling
Stelco to emerge as a viable company over the long term.
The Company further indicated that it will return to Court on or before
September 9, 2005 to file a formal restructuring plan, to seek a further stay
extension, and to seek a Meeting Order. That Order, if granted, will approve
the procedures with respect to the calling and conduct of a meeting of
affected creditors to consider and vote upon the Company's restructuring plan,
as well as the manner in which the materials for such meeting will be
distributed.

About Stelco
Stelco Inc. is a large, diversified steel producer. Stelco is involved in
major segments of the steel industry through its integrated steel business,
mini-mills, and manufactured products businesses. This news release may
contain forward-looking information with respect to the Corporation's business
operations, financial performance and conditions. Actual results may differ
from expected results for a variety of reasons including factors discussed in
the Corporation's Management's Discussion and Analysis section of the
Corporation's 2004 Annual Report. To learn more about Stelco and its
businesses, please refer to our Web site at www.stelco.ca.

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