Severstal Wheeling agrees to
sell Pennsylvania sheet rolling
Severstal Wheeling, Inc., a
business unit of Severstal North
America, Inc., has signed a
letter of intent to sell its
Allenport, Pennsylvania sheet
rolling plant to North American
Trading Company, LLC (NATCO).
The plant includes a pickle
line, tandem mill, box anneal
facility and temper mill, all
critical to the final forming
and conditioning of light flat
rolled steel products. Cold
mill sheet is used by a wide
range of consuming industries
including automotive, appliance
The facility operated until
May 2008 when it was temporarily
idled due to duplicative facilities
elsewhere in Severstal North
America and Severstal Wheeling.
Under new ownership, the mill
is expected to produce stainless-clad
sheet steel, the core of NATCO’s
business, for appliance, automotive
and culinary uses.
The letter of intent calls for
Severstal North America to sell
all equipment and plant property
of about 400 acres to NATCO.
The prospective buyer is currently
performing due diligence and
discussing operating plans with
the United Steel Workers to
staff the facility with former
Severstal Wheeling employees.
Pending the execution of a purchase
agreement between Severstal
North America and NATCO, Severstal
North America anticipates completing
the sale of Allenport to NATCO
in August 2009.