Posted by steve on 7/22/2009, 2:41 pm, in reply to "Re: Mingo Junction Ohio"
Why would anyone buy a mill that makes low grade sheet steel. Steel is easier to buy now than ever before. I would not be surprised if Severstal closes all their USA plants and goes back to Russia.
--Previous Message--
: Are you serious? You may be
: dumbfounded about the shutdown of an
: outdated manufacturing facility
: during an economic crisis but I'm
: dumbfounded that you think a
: transportation company (ANY
: transportation company) could
: successfully operate a steel mill!
:
: Even if they wanted to, the W&LE
: does not have the capital to
: purchase the mill. The scrap value
: alone would push $100 million. If
: the W&LE had that type of money,
: it would be better spent
: establishing a new traffic base
: through the construction of a new
: line or connection. Not by
: purchasing an outdated manufacturing
: facility.
:
: History repeats itself. The country
: when through an economic downturn
: during the 1980's. (And that one
: was nowhere near as sever as this
: one!) During that time, many of the
: steel mills in Pittsburgh closed.
: For the most part, they were
: outdated facilities with expensive
: labor costs, high transportation
: costs, and a declining market share.
: If you're up for good reading, find
: the book "And The Wolf Finally
: Came". It details the decline
: of the steel industry in
: Pittsburgh's Mon Valley. There is a
: lot of similarity with today's Ohio
: Valley.
:
: W&LE buy a steel mill?
: DUMBFOUNDED!
:
: --Previous Message--
: As I sit here this Morning, still
: dumbfounded about the shutdown of
: Servestal at Mingo Junction and its
: effects on this railroad, why
: doesn't the WLE RR make a offer to
: purchase this mill, start it back up
: and start making steel again ?
:
:
:
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