There’s an agreement in principle between Stelco, Bedrock Industries Group and the steelmaker’s salaried workers and retirees.
The agreement is in support of Stelco’s reorganization plan and covers post-employment benefits, unfunded supplemental pension claims, termination and severance claims, and future pensions.
The agreement is subject to court approval and does not include the support of United Steelworkers Union Local 1005 in Hamilton and Local 8782 in Nanticoke.
“I thank everyone who played a constructive role in reaching this agreement,” said Bill Aziz, chief restructuring officer of Stelco. “Momentum continues to build towards this great company having an opportunity to re-emerge as a strong, independent Canadian steel producer. We are getting closer to the best and only outcome that balances the realities of the situation with the interests of the many stakeholders.”
Affected creditors are scheduled to vote on Stelco’s restructuring plan on April 27.
The steelmaker has been operating under creditor protection since September 2014.