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PITTSBURGH TUBE COMPANY FORMS ESOP

 PITTSBURGH TUBE COMPANY FORMS ESOP
 PITTSBURGH, Dec. 16 /PRNewswire/ -- Richard C. Huemme, president


of Pittsburgh Tube Company, announced today that they have formed an Employee Stock Ownership Plan (ESOP) which will enable its salaried employees, through the ESOP, to acquire control of the company.
 The ESOP has offered to purchase a majority of the stock from its existing stockholders. Mellon Bank has agreed to lend the necessary funds to Pittsburgh Tube Company, and they will supply them to the ESOP. The debt is expected to be retired over the next seven years.
 The purchase is scheduled for completion in mid-January. After that the ESOP would be able to elect a majority of the directors. No immediate change in the directors is expected, and present management would continue in their present positions. The transaction will be voted on by the stockholders at a meeting on Jan. 16.
 Heumme said, "Our goals are to maintain Pittsburgh Tube as a strong and independent factor in its industry, to provide a way for our salaried employees to have a personal stake in the company's success, and to provide good value and liquidity for our stockholders. The ESOP transaction does all those things. We have been working on this for more than a year, and it is very gratifying to see it this close to completion."
 Pittsburgh Tube Company manufactures mechanical steel tubing for automotive, truck and steel service center markets. It is headquartered in Monaca, Pa., and operates seven plants in five states. Financial results are not public information, but Huemme said gross sales approximate $80 million a year.
 -0- 12/16/91
 /CONTACT: Richard Huemme, president, or John Meenley, both of Pittsburgh Tube Company, 412-774-6830/ CO: Pittsburgh Tube Company ST: Pennsylvania IN: MNG SU:


JT -- PG016 -- 2696 12/16/91 17:16 EST
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Date:Dec 16, 1991
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