YORKVILLE, Ohio--(BUSINESS WIRE)--Esmark Inc. and its wholly owned steel services subsidiary, Esmark Steel Group, today jointly announced with the United Steelworkers of America (USW) that they have reached a tentative agreement with Local 1223 on a four-year collective bargaining agreement for workers at Esmark’s newly acquired Ohio Cold Rolling Company.
“This agreement is the culmination of months of hard work and signals a brighter future for our members, the steel industry and the Ohio Valley’s economic engine”
USW Local 1223’s Executive Committee confirmed yesterday that it will submit the agreement to its members for a ratification vote during the week of December 3rd.
James P. Bouchard, Chairman and Chief Executive Officer of Esmark Inc., applauded the tentative agreement and said, “This is an important milestone in our ongoing efforts to restart operations at Ohio Cold Rolling Company, and we could not have achieved this agreement without the support and collaboration of the USW, District 1 Director Dave McCall and Local 1223 President Jerry Conners. We look forward to the membership’s vote next week and focusing on restarting operations early next year.”
USW District 1 Director Dave McCall added that the tentative agreement paves the way to bring back sorely need jobs to the Ohio Valley and revive the historic Yorkville cold-rolled finishing mill. “This agreement is the culmination of months of hard work and signals a brighter future for our members, the steel industry and the Ohio Valley’s economic engine,” he said.
Tom Modrowski, Chief Executive Officer of Esmark Steel Group, said a ratified collective bargaining agreement and expected restart of the Yorkville facility will contribute to Esmark’s long-term strategy to offer its U.S. customers a broader range of steel products and value-added services. “Ohio Cold Rolling Company’s focus will be on serving the light gauge and narrow width coil niche in the marketplace, and together with our Ohio Coatings Company subsidiary we expect to be a premier supplier of both cold-rolled and tin plate products. We’re excited about rolling our first coils and better serving our growing customer base,” he added.
Modrowski noted that some of the key economic provisions of the tentative collective bargaining agreement call for wage increases over the term of the four-year agreement, comprehensive healthcare for workers and their families, financial contributions to the Steelworker Pension Fund, and participation in a Voluntary Employee Beneficiary Association (VEBA) Trust providing healthcare benefits for retired union workers.
Esmark acquired the former RG Steel Yorkville cold-rolled finishing mill in a bankruptcy court-supervised auction in August of this year, as well as RG Steel’s 50 percent interest in Ohio Coatings Company’s tin plate production facility.
About Esmark Inc. and Esmark Steel Group
Esmark Inc. is a diversified, privately-held family company with a portfolio of industrial companies with strong roots in the steel industry. Over the years, Esmark has diversified its interests and operations into a number of businesses engaged in the industrial and commodity sectors. Esmark (a former publicly traded company on NASDAQ: ESMK) has focused on several key industries including steel services, oil and gas exploration, aviation, real estate, business services, technology and sports management. Esmark Steel Group, a wholly owned subsidiary of Esmark, Inc., is one of the nation’s largest value-added processors and distributors of flat-rolled steel products and SBQ bar products, and provides just-in-time logistics and transportation services to a wide range of customers and industries across the country. For more information visit www.esmark.com.