For Immediate Release
Date:
September 22, 1999Mark Glyptis testified Wednesday morning before a U.S. Department of Commerce Panel with the responsibility of administering the emergency steel, oil, & gas loan program.
"I am here today to urge the panel to consider rules and regulations that will allow eligible domestic steel companies to use monies obtained through the provisions of the emergency steel, oil, & gas loan program in order to start up idled operating units," Glyptis told the panel.
The Union chief said he is hopeful Weirton Steel will qualify and receive the guaranteed loan and use the financial aid to prepare No. 4 Blast Furnace for operations.
"The Company took No. 4 Blast Furnace down last December and has purchased foreign steel slabs to supplement the Company's inventory."
"The approximate investment of $20 million required to accomplish this startup would return virtually all of Weirton's laid-off employees to work. Such an investment would be financially prudent inasmuch as it would immediately improve Weirton Steel's cash flow situation," Glyptis remarked.
"In addition to providing work for our laid-off union members, such a logistical move would also provide indirect benefits to the domestic iron ore companies which have also suffered as a result of illegal foreign steel imports," Glyptis added.
The head of the 3,600 member steelworkers union was one of approximately 20 steel industry and labor officials scheduled to testify Wednesday.
The loan guarantee board includes Federal Reserve Chairman Alan Greenspan, Securities and Exchange Commission Chairman Arthur Levitt, Jr., and Commerce Secretary William Daley.
Under the terms of the program, originally sponsored by West Virginia Senator Robert C. Byrd, domestic steel companies qualifying for the loan can borrow up to $250 million.
"The American steel industry and Weirton Steel Corporation in particular, have become lean and competitive companies engaged in downsizing and cutting costs in order to face the reality of a very tough industry. The emergency steel, oil and gas loan program will help domestic steel companies to maintain our industry while continuing the competitive fight on a global level," Glyptis stated.
Glyptis was very complimentary of Byrd and West Virginia Congressman Alan Mollohan for the key leadership roles both men played in obtaining passage of the necessary program legislation.
"Senator Byrd and Congressman Mollohan have been there for the workers of Weirton Steel in the past and both men continue to be there for us as we fight for our survival," Glyptis said.
Glyptis was the second witness at today's Commerce Department meeting.
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Contact: Dave Gossett
304-748-8080 - Union Hall
304-794-1045 - Pager
740-264-7529 - Residence