The federal bankruptcy court has granted Bethlehem Steel the exclusive right to acquire sole ownership of Columbus Coatings Company and Columbus Processing Company.
Columbus Coatings Company and Columbus Processing Company were set up as a 50/50 joint venture between Bethlehem Steel and LTV Steel and began operation in 2000. Columbus Coatings Company was established to produce 500,000 tons of galvannealed and galvanised sheet steel, while Columbus Processing Company was responsible for slitting, inspection and warehousing of these materials.
Columbus Coatings Company is a strategic part of the Bethlehem operation and will cost them $2.5 million to acquire LTV’s 50% share. They will also forgive certain liabilities relating to the lawsuit brought by Bethlehem against LTV.