OHIO STEEL PRODUCTION RISES AGAIN IN 2ND QUARTER; UP 8 PERCENT THROUGH FIRST SIX MONTHS OF 1996

COLUMBUS, Ohio (August 20, 1996) –  Steel production in Ohio for the first six months of 1996 rose 8 percent over last year's corresponding period, according to a report by the Ohio Steel Commission.

The Commission's second-quarter Ohio Steel Data Report shows that the state's nine primary steel producers increased total production from January through June 1996 to more than 9.5 million tons, compared to just under 8.9 million tons in the same period a year earlier.

Steel production for the second quarter was up about 1 percent over the second quarter of 1995.

Harold V. Kelly, co-chairman of the Commission and executive vice president and general counsel at Republic Engineered Steels, Inc. in Massillon, attributed this improvement to increased productivity aided by the completion of several major projects and continued favorable market conditions.

Ohio steel shipments were down 1 percent for the first six months, to about 7.5 million tons. The year-over-year decline was attributable to high shipments last year that were related to inventory adjustments.

Average employment dropped 4 percent, from 29,470 in the first six months of 1995 to 28,192 in the same period for 1996. The drop in employment is attributable primarily to attrition.

Capital investment spending for the six-month period was nearly $155 million, down 61 percent from levels of 1995, which was a banner year for steel capital spending in the state.

The Ohio Steel Data Report, compiled for the Commission by Youngstown State University's Center for Urban Studies, covers statistics from the Ohio facilities of the Commission's nine steel company members. These companies account for more than 95 percent of the steel produced in Ohio.

The Ohio Steel Commission, appointed in 1991 by Gov. George V. Voinovich, is a public-private partnership designed to strengthen the ties among the steel industry, the state of Ohio and its citizens. Commission members are AK Steel Corp., Armco Inc., CSC Ltd., LTV Steel Co., Republic Engineered Steels, Inc., The Timken Co., USS/KOBE Steel Co., WCI Steel, Inc., Wheeling-Pittsburgh Steel Corp., the United Steelworkers of America, the Ohio Legislature, the Ohio Department of Development, The Ohio State University and Youngstown State University. Lukens Inc. is an associate member.