WARREN WCI Steel workers, city officials expect company rebound

The company pays about $300,000 annually in Warren income tax.
By DENISE DICK
VINDICATOR TRUMBULL STAFF
WARREN -- WCI Steel workers and some city officials expressed optimism regarding the future of the company and their jobs.
"I've been through it once before, when it was LTV," said Mike Russo, 53, of Niles, who has worked at the facility 35 years. "I was through it with Republic Steel and with LTV. When they tell me I can't come to work anymore, that's when I'll worry."
Steve Miller, 52, of Howland works as a mechanic in the company's transportation department.
"Of course I have concerns," Miller said. "That's my job -- for 33 years. But we went through this in 1986; maybe we'll get through it again."
Kerry Fairbanks, 38, of Cortland has worked in the rolling and finishing department for more than 14 years. He said workers have been hearing rumors of bankruptcy for the last several months. But when they asked management about it, the bosses denied it, he said.
He described workers' mood as "just waiting for the ball to drop."
Although he says company officials have said they need to cut or consolidate jobs, he hasn't seen that happen.
"They're just throwing money away," Fairbanks said.
With a computer science degree, which the company paid for him to earn, Fairbanks may be more likely to find other employment than some of his co-workers if he needs to. But he says he's going to see it through.
Other views
Jim Wisor, 46, of Fowler believes the company has done its best in dealing with the economic conditions and foreign competition.
"It's been a long three years of downturn," said Wisor, a 27-year employee who works in shipping.
He expects the company to rebound.
"They never lost money for 10 years," Wisor said.
Charles Shelko, 33, of Howland started working at the company 15 years ago. He doesn't think WCI is in as bad shape as some of the other area steel companies.
Shelko said he and many of his co-workers were just grateful that the company didn't file under Chapter 7 bankruptcy, when assets are liquidated.
Shelko is optimistic the company has a restructuring plan than can be implemented.
Mayor Hank Angelo said the news is devastating and he blames federal law that allows foreign steel dumping.
"We're going to work with them in any way possible as far as their restructuring goes," he said.
Tom Gaffney, city income tax administrator, said the company brings about $300,000 annually to the city in income taxes. That makes it one of the city's Top 10 biggest income tax-paying companies.
"It's a significant chunk," Gaffney said.
Frances Barta, city school district treasurer, told school board members Tuesday that the district gets about $1,050,000 annually from the company.
Ripple effect
Angelo said the company also pays $600,000 annually to the city for sewer use and $1.5 million for water use.
Besides the impact on the city and on the employees if the company would shut down, Angelo points out the ripple effect it would have. Other businesses would be affected as well as area social service agencies.
Councilman Robert A. Marchese, D-at large, chairman of council's finance committee, also worries about the reputation of the Mahoning Valley with all of the plant closings and bankruptcy filings.
"I've always looked at WCI as being so solid," he said. "This doesn't mean they won't rebound. I'm sure they can."
denise.dick@vindy.com