By MELISSA CROCKETT MESKE
United States Steel Corporation today provided third quarter 2023 adjusted net earnings per diluted share guidance of $1.10 to $1.15. Third quarter 2023 adjusted EBITDA is expected to be approximately $550 million.
During remarks on this third quarter investor guidance, President and CEO David B. Burritt also announced that U.S. Steel was temporarily idling blast furnace ‘B’ at Granite City Works and were “reallocating volumes to other domestic facilities to efficiently meet customer demand,” while noting this as being “consistent with actions taken in 2022 to balance our melt capacity with our order book.”
A U.S. Steel spokesperson confirmed that this move is “risk mitigation” in response to the United Auto Workers (UAW) strike that began last week.
Steelworkers Local 1899 President Dan Simmons told media sources that the union was caught off guard with this announcement and is still working to figure out how many workers the temporary idle would affect. He shared early estimates of perhaps 300 to 350 of the plant’s 1,300 workers being impacted. Simmons emphasized that this was a preliminary estimate, and also said that this temporary idle is not likely to lead to a total plant shutdown.
The U.S. Steel spokesperson noted that the anticipated layoffs would last less than six months.
U.S. Senate Majority Whip Dick Durbin (D-IL) released the following statement regarding U.S. Steel’s announcement to temporarily idle blast furnace ‘B’ at the Granite City Works plant:
“Steel production is a key component of our nation’s economic health. It is also a major source of employment throughout the country and in the State of Illinois, where the steel industry supports thousands of jobs. Idling blast furnace ‘B’ at Granite City Works—even temporarily—will have a significant impact on its workers and the local economy. I urge U.S. Steel to work closely with the community and employees to ease these impacts and reopen blast furnace ‘B’ as soon as possible.”
U.S. Senator Tammy Duckworth (D-IL) also released an official statement in response to U.S. Steel’s announcement to temporarily idle blast furnace ‘B’ at the Granite City Works Plant:
“I am deeply disappointed by U.S. Steel’s awful decision to ‘temporarily’ idle blast furnace B at Granite City Works, and I am troubled by what seems like the company’s disingenuous reasoning for doing so. My thoughts go out to the working families impacted by this heartless choice. American steel is literally the backbone of the American economy, and—working alongside Senator Durbin, Rep. Budzinski and Mayor Parkinson—I will do everything in my power to ensure U.S. Steel sticks to its word that this is a temporary idling, help these hardworking Illinoisans keep their jobs and reopen blast furnace B as quickly as possible so this community can get back to work.”
To view the official statement from U.S. Steel in its entirety, visit online at https://investors.ussteel.com/news-events/news-releases/detail/643/united-states-steel-corporation-provides-third-quarter-2023.