ArcelorMittal votes down Valin Iron and Steel’s restructuring plan

Sept30, 2011

According to the announcement released by Hunan Province-based Chinese steelmaker Valin Iron and Steel Group, on September 27 its board of directors discussed the proposal to incorporate and restructure domestic steelmaker Jiangsu Xigang Group. During the discussion, five directors appointed by foreign shareholders (notably global steel giant ArcelorMittal) all voted against the proposal, while the other four directors approved it. Accordingly, the proposal was rejected.

The reasons given by the foreign shareholders' representatives were that, although Valin Iron and Steel Group's financial performance has improved sharply as compared to last year, its capacity for earning profits is still insufficient. Also, while Xigang Group is undergoing a relocation project at the current time, it is not clear whether it will be able to make a profit this year. They also said that it is critical for Valin Iron and Steel Group at the current time to reduce losses and increase profits.

Tags: Europe , Southeast Asia , ArcelorMittal , fin. Reports
sourced steelorbis

ArcelorMittal Annaba resumes work after a week of strike

Friday, 28 Jan 2011
The subcontracting personal of ArcelorMittal ended Tuesday a week of wildcat strike, to their final hiring by ArcelorMittal, after satisfaction of their claims.
Mr Smail Kouadria general secretary of ArcelorMittal enterprise’s union said that they are satisfied. The 540 personnel, who observed a picket line at steel I and II of the steel complex in El Hadjar, got management to integrate 200 of them immediately, instead of a hundred which was originally committed to hire.
Management and the social partner of ArcelorMittal Annaba negotiated until late Monday night, according to Mr. Kouadria.

The CEO of the steel group of Annaba, Vincent Gouic, also agreed to include another 290 temporary workers early June, according to the union. The remaining 150 employees will be integrated in January 2012.
Moreover, Mr. Le Gouic also agreed to release EUR 205 million to rehabilitate the coking plant, closed since October 2009 and renovate outdated facilities called hot-dependent part of the complex and which require partial repair.

The complex of El Hadjar has already been affected in 2010 by three general strikes in January, lasting nine days, and in June before the court orders the return to work and finally in October.(Sourced:ennaharonline.com)