Printer Friendly

GOV. CASEY ANNOUNCES STATE FINANCING FOR SALE OF BETHLEHEM STEEL CORP. WIRE MILL IN JOHNSTOWN

 GOV. CASEY ANNOUNCES STATE FINANCING FOR SALE
 OF BETHLEHEM STEEL CORP. WIRE MILL IN JOHNSTOWN
 HARRISBURG, Pa., Aug. 6 /PRNewswire/ -- Gov. Robert P. Casey announced today that the Commonwealth will help preserve 250 jobs by providing approximately $1 million in loan financing to support the sale of Bethlehem Steel Corp.'s (NYSE: BS) wire mill operation in Johnstown to an Illinois-based firm.
 "The commonwealth intends to provide $1 million in low-interest financing through the Department of Commerce to successfully complete this deal and retain 250 jobs for working men and women and their families in Johnstown," Casey said.
 "But we're not done yet. We will continue to work with Bethlehem Steel Corp. and use our resources to find a buyer for the remaining individual assets of the division.
 "Our Response Team continues to work closely with the company and Johnstown Area Regional Industries (JARI) in trying to find buyers for the facilities and in arranging state financing."
 The governor said Bethlehem Steel Corp. is entering into an agreement with TMB Industries of Chicago to purchase the plant. TMB Industries last year bought Bethlehem's Freight Car Division in Johnstown and operates it as Johnstown American Corp. The new freight car company employs about 1,000 people.
 The wire mill is part of Bethlehem Steel Corp.'s Bar, Rod and Wire Division in Johnstown, which the company in January announced it would try to sell.
 At a meeting of the Pennsylvania Industrial Development Authority yesterday, the board gave its approval for the project to proceed. The board's action will allow TMB Industries to purchase the property while an application for low-interest financing is being processed.
 In May, the company said it had been unable to find a buyer for the entire division and would consider offers to purchase individual components of the division.
 Casey said the state plans to provide financing for the wire mill project through the Pennsylvania Industrial Development Authority and the Machinery and Equipment Loan Fund. JARI will serve as the applicant for the state assistance.
 The state recently announced a $100,000 grant to help the United Steelworkers of America conduct a feasibility study for an employee buyout of the Bar, Rod and Wire Division. The grant was awarded through the Commerce Department's Employee Ownership Assistance Program.
 Last month, the state committed $100,000 to JARI through the Commerce Department's Community Economic Recovery Program to study alternate uses for the manufacturing facility.
 /delval/
 -0- 8/6/92
 /CONTACT: Ron Jury of the Department of Commerce, 717-783-1132/
 (BS) CO: Pennsylvania Governor's Office; Bethlehem Steel Corporation ST: Pennsylvania IN: SU:


JS -- PH018 -- 7620 08/06/92 12:47 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Aug 6, 1992
Words:439
Previous Article:MICHIGAN HUMANE SOCIETY COMMENTS ON NEW NATIONAL LOST PET HOTLINE
Next Article:BEMIS ADDS THREE DIRECTORS
Topics:


Related Articles
STEELWORKERS RAP BETHLEHEM CLOSING AS PREMATURE
GOV. ROBERT P. CASEY EARMARKS STATE FUNDS TO STUDY POSSIBLE EMPLOYEE-OWNERSHIP OF BETHLEHEM STEEL'S JOHNSTOWN PLANT
BETHLEHEM STEEL SIGNS LETTER OF INTENT TO SELL WIRE MILL IN JOHNSTOWN TO TMB INDUSTRIES
PENNSYLVANIA ANNOUNCES $1 MILLION IN FINANCING FOR PURCHASE OF BETHLEHEM STEEL CORP. STEELTON TRACKWORKS OPERATION
PENNSYLVANIA ANNOUNCES LOW-INTEREST FINANCING TO SUPPORT SALE OF PORTION OF BETHLEHEM STEEL'S JOHNSTOWN PLANT
GOV. CASEY ANNOUNCES $5 MILLION TO SUPPORT BETHLEHEM STEEL MODERNIZATION AT STEELTON PLANT
BETHLEHEM STEEL CONCLUDES SALE OF WIRE MILL IN JOHNSTOWN, PA.
BETHLEHEM STEEL ANNOUNCES AGREEMENT OF SALE WITH AFFILIATE OF VERITAS CAPITAL FOR SOME REMAINING OPERATIONS OF BETHLEHEM'S FORMER DIVISION
UNITED STEELWORKERS HAIL AGREEMENT TO REVIVE SHUT-DOWN STEEL MILLS
GOV. CASEY WELCOMES BRW STEEL TO PENNSYLVANIA

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters