LTV STEEL At local coke plant, union workers await word on returns



The coke plant should be one of the first LTV plants to be restarted, the union says.
By DON SHILLING
VINDICATOR BUSINESS EDITOR
WARREN -- Union workers at the Warren Coke Plant continue waiting to find out how many of them will return to the plant and when.
The company that has acquired LTV Steel plants intends to begin contract talks with the United Steelworkers of America once it sets up its company structure, said Mike Rubicz, president of Steelworkers Local 1375.
Until those talks are held, the union has no standing at the plant. As part of LTV's bankruptcy proceedings, a clause that required a company buying LTV plants to honor the union contract was removed.
Rubicz said the coke plant has a couple of union workers, but most of the skeleton crew is made up of supervisors.
The union doesn't know how many people will be employed at the plant. LTV employed about 180 hourly workers.
New owner: WL Ross & amp; Co., a New York investment company, acquired nearly all of LTV Steel last week, saying it would hire LTV workers. Rodney Mott, a longtime steel executive, is running a newly formed company for Ross.
Ross officials could not be reached to comment.
Mott said last week he first needed to assemble his executive team and then begin talks with the union.
Mott said he hoped to restart operations within weeks. Although the deal isn't closed yet, Ross has agreed to pay $1.7 million a week to keep the LTV plants idling.
LTV stopped production at its steel mills and coke plants last December, saying it was out of customers.
Rubicz said he expects the coke plant to be among the first of the plants to be restarted because Ross needs the coke at the steel mills. Coke is a coal-based fuel that is used in blast furnaces.
Work is needed: Rubicz said, however, that much needs to be done before the plant is restarted. Work needs to be done on equipment as the plant is converted from idling status to production, and some of the equipment will need repairs.
Rubicz said coal needs to be delivered to the plant, and the new company must set up a department to handle those purchases and deliveries.
Ross, which specializes in turning around troubled companies, bought LTV Steel for $80 million, plus $47 for its inventory. It also is picking up environmental liabilities, estimated to be $200 million. Included were steel mills in Cleveland and Indiana and a finishing plant in Illinois.
shilling@vindy.com