WCI reports $8M loss for November

THE VINDICATOR, YOUNGSTOWN, OHIO
WARREN -- Financial losses continue to mount at WCI Steel as it tries to reorganize and emerge from bankruptcy court protection.
The Warren steelmaker reported to U.S. Bankruptcy Court in Youngstown that it lost $8 million in November and has lost $16.7 million since it sought court protection in September.
The company's operating loss last month was $6.5 million. Added to that were about $930,000 in fees for lawyers and other professionals and about $530,000 in other expenses.
WCI's sales for November were $35.5 million.
For the 2 1/2 months the company has been in bankruptcy court, operating losses have totaled $13.9 million. The company also has incurred professional fees of $1.5 million and other expenses of $1.3 million.
Edward Caine, WCI president and chief executive, was paid $29,167 in compensation for the month, with $7,641 in benefits.
Caine is planning to retire once the bankruptcy case is complete. He will be replaced by Patrick Tatom, who is now executive vice president and chief operating officer. Tatom earned $15,834 in pay last month and received $4,161 in benefits.
Caine testified in court Monday that he intends for the company to reorganize and emerge from bankruptcy court by June. Much has to be done by then, including negotiating a new labor contract, developing a business plan and securing financing for future operations and $35 million in major capital improvement projects.