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For Immediate Release WEIRTON, W.VA. – Weirton Steel Corp. today reported it has mailed nearly 4,000 letters to affected retirees inviting them to informational meetings concerning the transformation of the U.S. steel industry, its impact on Weirton Steel and how they can help the company compete. Company personnel will focus on planned changes in retiree health care insurance coverage and explain the campaign to provide retirees the opportunity to help preserve the future of their benefit programs and the company itself. Independent Steelworkers Union (ISU) officials will outline the status of the steel industry. Groups include: retirees under age 65; surviving spouses under age 65; retirees with under age 65 spouse and/or covered dependents; and surviving spouses with under age 65 covered dependents. "We strongly encourage our retirees to attend their scheduled meetings to learn about the changes we're proposing to help keep our company viable. Other steelmakers are adopting a new low-cost method of operating their businesses that puts us at a disadvantage. We must secure ways to counter this trend," said John Walker, Weirton Steel president and chief executive officer. "All one has to do is look at the devastation that has occurred to the health care and pension programs at LTV and Bethlehem and is expected to occur at National. It's easy to realize it's in everyone's best interest for us to find ways to compete without shedding the responsibility of providing benefits and pensions to our former employees and their dependents." Twenty-eight 90-minute meetings have been scheduled beginning Feb. 24 through March 6 at the company's General Office auditorium. Because of limited space within the auditorium, retirees are asked to attend the meeting specifically listed in their letters. If retirees cannot attend their pre-scheduled meeting, the company will conduct make-up sessions at the Weirton Knights of Columbus March 7-8 at 2-3:30 p.m. and 6-7:30 p.m. each day. In addition, retirees residing far beyond the Weirton area have been invited to participate in a teleconference on March 1. Those who cannot attend any of the meetings also are permitted to participate. Teleconference instructions are included in each letter. The emergence of low-cost mills forced Weirton Steel in December to reopen its contracts with the ISU and the Independent Guard Union. The parties recently reached a tentative contract agreement, which calls for a 5 percent pay decrease; a pension plan freeze; cancellation of a planned dollar-an-hour wage increase set for April 1; a change in the vacation payment schedule; and discussions on possible health care coverage changes. The unions are conducting a ratification vote with results to be announced Feb. 19. If union members ratify the accord, like reductions will be applied to management personnel. Various issues have triggered Weirton Steel to reduce costs including consolidation within the steel industry, a sluggish national economy, continued high levels of imported steel and a sharp rise in health care costs.
Weirton Steel Corp. Media Contact:
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