Successful auction bidders say they will look for a buyer to continue steel production.
Rg Steel Bankruptcy
Thursday, August 16, 2012
Monday, August 13, 2012
While some are resigned to the dismantling of the plant, others are hopeful steel production will resume at the former RG Steel mill.
Friday, August 10, 2012
Officials are hopeful that a buyer will come forward with the intent to produce steel, as opposed to dismantling the Sparrows Point plant.
Despite news that RG Steel's Sparrows Point plant has been sold to a liquidator, Baltimore County Executive Kevin Kamenetz remains hopeful that steel production will resume at the storied mill. "We believe that the core steel assets of RG Steel Sparrows Point continue to make this a viable business proposition," Kamenetz said in a statement issued Thursday. "A savvy buyer with access to the raw materials of steelmaking will find this an attractive investment, with a premiere location and a talented workforce ready to get the job done." While Wednesday's auction sale of the local plant has been cloaked in mystery, reports state that Hilco Industrial, a company with a history of breaking down and liquidating failed manufacturing plants, …
Monday, August 6, 2012
Money originally earmarked for cross-training employees of RG Steel will now be used to help employees should the plant close permanently.
A grant that was intended for use in cross-training workers at RG Steel could now be used to train them for other jobs. The Baltimore County Council is scheduled Monday night to vote on a $420,000 federal grant that will be used to provide workshops and resource fairs to as many as 2,000 steel plant employees and up to another 1,000 others in jobs with plant-related businesses. Owners of the Sparrows Point plant filed for Chapter 11 bankruptcy in May. Council approval is required in order for the county to spend the grant money. Dan Gundersen, county director of Economic Development, said the money was originally ear-maked to cross-train employees at the plant but will now be used "to help employees should the steel mill continue to …
If an opening bidder isn't found for bankrupt plant, auction could take place Aug. 7.
Friday, July 27, 2012
"If there’s $20 million available at RG Steel, why isn’t it going to the workers?" —U.S. Sen. Barbara Mikulski
U.S. Sen. Barbara Mikulski has written a letter strongly urging RG Steel's top executives to voluntarily give up their million dollar bonuses and instead support the 2,000 workers who will be laid off when the company's Sparrows Point plant completely shuts down. “It is outrageous and unacceptable for executives to reward themselves with bonuses while laid-off workers are struggling to make ends meet,” Mikulski said in a statement. “Right now what we see over at RG Steel is a demonstration of moral bankruptcy. I called on the executives of RG Steel today to end this destructive culture of greed and self-enrichment.” A federal bankruptcy court judge approved a booms pool of about $20 million to be paid to 10 top executives, dependent upon …
Tuesday, June 26, 2012
Steelmaker owes Baltimore County $4.5 million in taxes and water and sewer fees.
Baltimore County has hired the law firm Venable LLP to represent its interest in a bankruptcy case filed by RG Steel. The steelmaker filed for chapter 11 bankruptcy reorganization May 31 in the United States Bankruptcy Court for the District of Delaware. Baltimore County is owed $4.5 million in real and personal property, and sewage fees, according to Susan Dubin, an assistant Baltimore County attorney. The county's agreement piggybacks off a similar deal the firm has with Baltimore City, which retained the firm in the same case. The county hired the firm on June 11. "Baltimore City is also owed a lot of money in water taxes," Dubin told the Baltimore County Council Tuesday. "We thought it was the best interests of the county, since our …
Monday, June 25, 2012
Activists are concerned that RG Steel's bankruptcy is an attempt to rid the company of environmental responsibilities at the Sparrows Point plant.