According to Reuters, Rouge Industries, parent of Rouge Steel, the in-house Ford steel-making unit until 1989, has announced it will be acquired by Russian steel producer Severstal for around $US215 million.
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Citing a company press release, Reuters said the company, which has filed for bankruptcy in the United States, said it planned to complete the transaction before February 2004.
Rouge said the deal was subject to bankruptcy court approval as well as a series of other conditions, including a new collective bargaining agreement with trade unions, Reuters reported.
The news agency noted that, if the sale goes through, it would be the first investment in the US steel industry by Severstal, which is one of Russia’s top three steel producers.
