Ohio Steel Industry Advisory Council
Spring 1998
On
the Steel Front
Steel Front Sidebars
Legislative Lookout
Ohio Steelmakers Further Improve Environmental
Performance
Steel At Work: Task Group Seeks Increase in Use of Steel
Utility Poles
Steel Council Enhances Web Site
Council Welcomes New Representatives
Ohio Steel Producers Plan to Invest More
Than $530 Million in 1998 Capital Improvements
Ohio steel producers
plan to invest in excess of $530 million in capital improvements across
the Buckeye State during 1998. "By continuing to
invest heavily in their facilities, Ohio steelmakers are demonstrating
their commitment to a strong and viable position in this highly competitive
industry," said Harold V. Kelly, co-chairman of the Ohio Steel Council
and executive vice president atRepublic Engineered Steels, Inc.in Massillon. "However, the industry's
future vitality depends upon the ability of management, labor and government
to work together to maximize profitability and create a competitive environment
in which steelmakers can realize sufficient return on their investments." The 1998 figures reflect
several major projects that will begin or continue this year: - LTV Steel Tubular
Products Co.'snew $66 million automotive tubing plant in Marion.
- The Timken Company's$55 million investment in new rolling and bar processing equipment at
its Harrison Steel Plant in Canton.
- CSC Ltd.'s$100 million modernization in Warren that includes installation of ultra-high-power
melting, continuous casting and other new technologies.
The $530 million projected
for 1998 includes investments by the primary steelmakers that belong to
the Steel Council, as well as capital investment by North Star BHP Steel
Co. in Delta, Ohio. The 1998 projections follow several years of heavy
capital investment in Ohio.
[back
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Front Sidebars - W. R. Timken Jr.
has assumed additional duties of president and chief executive officer
ofThe Timken Companyin Canton. He will continue in his role
as company chairman, a position he has held since 1975.
- AK Steel Corp.said its Middletown Works tandem cold mill set a world productivity
record. The company believes the more than 3.1 million tons produced
in 1997 is a record for a batch or continuous cold mill.
- Republic Engineered
Steels, Inc.in Massillon and Sanyo Special Steel Co., Ltd., of
Japan have entered into a four-year technology agreement involving mutual
technical assistance in steel melting, refining and casting techniques.
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Council
Co-chairman Says Time is of
Essence in Deregulating Electricity Time is of the essence
when it comes to deregulating the electric utility industry, according
to Harold V. Kelly, co-chairman of the Ohio Steel Council and executive
vice president atRepublic Engineered Steels, Inc.in Massillon. However, he cautioned
that full consideration must be given to the several resulting issues
flowing from deregulation. As more and more states
deregulate - 22 states have deregulated or are in the process - the cost
of electricity is an important consideration in determining where steel
and other manufacturers locate, Kelly said at a recent power deregulation
conference. "Other states are
hungry for business and industry. It is a very competitive world, and
states that have moved toward full implementation of electric consumer
choice are waving that as one of many benefits to entice investors," Kelly
said. An Ohio joint legislative
committee has been studying electricity deregulation. Reports from the
task force have been filed with legislative leaders and a bill will soon
be considered. In the meantime, Kelly
said the deregulation debate must move beyond one-liners and catchy slogans
and toward an understanding of the benefits to be gained in a competitive
marketplace as well as the problems facing the electric utilities. He called for open
discussion on a full range of deregulation issues and for honest consideration
of the individual perspectives of interested parties. Kelly said deregulation
is inevitable, and all those concerned need to learn as much as they can
about the opportunities it will present. "There will be opportunities
for cost savings and new approaches to supplying needs," he said, adding
that electricity will, sooner or later, go the way of the airline, telephone
and gas industries, all of which have been able to offer lower rates through
deregulation. Ohio steel producers
are among the largest energy users in the state. The Council's member
companies purchase more than $300 million of electricity annually. A similar
amount is spent on electricity through purchases from suppliers.
[back
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Steelmakers Further Improve
Environmental Performance Ohio steel producers
have taken steps to achieve dramatic improvement in environmental impact
by participating in voluntary waste reduction programs. Buckeye State producers
are part of Ohio Prevention First, Gov. George V. Voinovich's initiative
to reduce pollution by 50 percent in Ohio by the year 2000. The program
began in 1993 and uses 1988 as the base year for reduction efforts. Steel Council members
signing on to the initiative areAK Steel Corp., The Timken Company,
WCI Steel, Inc., Republic Engineered Steels, Inc., LTV Steel Company,
USS/KOBE Steel Company and Wheeling-Pittsburgh Steel Corp. Steel producers also
were participants in the U.S. Environmental Protection Agency's 33/50
Program, whose goal was to reduce emissions from 1988 levels by 33 percent
in 1992 and 50 percent in 1995. "Steel producers recognize
the important role we play in the environment as well as the economy,"
said George Manos, vice president at USS/KOBE Steel in Lorain. "We are
using new technologies and practices to produce steel in an environmentally
sound manner." The efforts have been
effective. Timken recently was presented the governor's annual Outstanding
Achievement Award for exceptional efforts to reduce pollution. The company
installed two acid recovery systems and met its corporate goal to eliminate
ozone-depleting chemicals in its manufacturing processes. Wheeling-Pittsburgh
Steel also was recognized by the U.S. EPA for reducing emissions of 11
chemicals. The reductions were achieved through investment in environmentally
effective facilities and control equipment, along with involvement of
steelworkers. "These types of efforts
demonstrate that significant environmental improvements can be achieved
when government agencies and private industry work together," said Dr.
William R. Samples, Wheeling-Pittsburgh's director of environmental control. Voluntary reduction
efforts that have been undertaken by steel companies range from recycling
and marketing by-products - such as slag and iron fines - to reducing
toxic emissions.
[back
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Group Seeks Increase in Use of Steel Utility Poles Ohio steel producers
and utility pole manufacturers are among the members of a task force that
is promoting the benefits of steel utility poles and is encouraging increased
use of the product throughout North America. The Joint Industry/Steel
Utility Pole Industry Task Group was formed recently by the American Iron
and Steel Institute in an effort to increase steel's volume in the annual
pole replacement market by 500 percent, or approximately 100,000 tons,
by the year 2002. The market currently consumes 20,000 tons per year of
hot-rolled sheets. Steel poles offer
superior quality and environmental advantages. Task group members
include steel distribution utility pole manufacturers, AISI Construction
Market Committee steel producers, and the Steel Recycling Institute. "Besides offering
the potential for an increase in shipments, steel utility poles are simply
better than wood, and we're eager to prove it," said Robert T. Buck, senior
vice president and assistant to the president atLTV Steel Co.in Cleveland, a member of the AISI Market Development Committee. The task group said
steel utility poles offer a variety of advantages over the more traditional
wood poles. Among the benefits: - They are lighter,
more durable and safer than wood poles.
- They are competitively
priced and more environmentally friendly.
- They can be fabricated
with constant taper and uniform strength.
- They can be galvanized
or coated to resist corrosion and increase their life.
- They do not need
full-length copper grounding wire, as do wood poles, because they are
self-conducting.
- Their performance
and strength are unaffected by fire, wind, rain, birds or insects.
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Steel
Council Enhances Web Site The Ohio Steel Council
has enhanced its Web site to make it more user friendly and provide an
even greater resource for educational and research purposes. The new version not
only is more interactive and easier to navigate, but it also contains
more in-depth information about the industry and the critical role it
plays in Ohio's overall economy. In addition, Web browsers
can view photographs and videos related to the history of steel production
in Ohio as well as the steelmaking process itself. The Council also has
redesigned the look of the site, adopting a futuristic theme underscoring
the fact that steel producers and workers are prepared for the 21st century. "The Web site does
much more than showcase the Ohio steel industry and its commitment to
the Buckeye State," said Harold V. Kelly, co-chairman of the Council and
executive vice president atRepublic Engineered Steels, Inc.in
Massillon. "It provides easy
access to a wealth of information about steelmaking and should pique the
interest of educators, students and others in a manner that will encourage
them to learn more about this important industry." As with the previous
site, the enhanced version offers annual reports, newsletters and position
papers developed by the Steel Council. Among the upgrades are the additions
of the history of steelmaking in Ohio, a look at the future of steel in
the Buckeye State, an interactive quiz that tests visitors' knowledge
of steel, and videos about the Council and the steelmaking process. The site's Careers
in Steel section also provides on-line users with e-mail addresses and
other information to contact member companies.
[back
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Welcomes New Representatives Ohio Gov. George V.
Voinovich has appointed new representatives forThe Timken Company,
Wheeling-Pittsburgh Steel Corp. and North Star Steel Ohioto
the Ohio Steel Council. Representing the Canton-based
Timken will be Karl Kimmerling, group vice president-alloy steel. Wheeling-Pittsburgh's
representative will be Thomas A. Helinski, general manager- primary operations,
while North Star's representative will be Jerry Goodwald, general manager
of North Star Steel Ohio. North Star Steel Ohio
is a new member of the Council, with steelmaking and seamless pipe operations
in Youngstown. Kimmerling began his
career with Timken in 1979 as an associate metallurgist at the Harrison
Steel Plant, where he also held a variety of technical and operating positions. In 1987, Kimmerling
was named assistant superintendent of labor relations and later held marketing
and operating positions at Latrobe Steel Company, a Timken subsidiary.
In 1995, he was named president of Canadian Timken, Limited, before assuming
his current position in 1996. Helinski is responsible
for Wheeling-Pittsburgh's coke plant, blast furnaces, basic oxygen furnaces,
continuous caster and 80-inch hot mill in Steubenville and Mingo Junction,
Ohio, and Follansbee, W.Va. Helinski joined the
company in 1972 as coke plant engineer and has held a number of increasingly
responsible positions, including division manager of by-product, coke
and sinter; division manager of coke and iron; and director of coal, coke
and iron ore. Goodwald has 20 years'
experience in the steel industry. Among his more notable positions are
plant manager at Koppel Steel Corp.'s plant in Beaver Falls, Pa.; director
of quality assurance and technical services for Koppel Steel Corp.; manager
of quality assurance and technology at North Star Steel Co.'s Houston,
Texas facility; and general supervisor at North Star Steel Ohio in Youngstown.
Since August 1996, he has been general manager at North Star Steel Ohio.
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