United States Steel Corporation reports 2011 fourth quarter and full-year results and announces completion of the sale of U. S. Steel Serbia

On January 31, 2012 United States Steel Corporation reported a fourth quarter 2011 net loss of $226 million, compared to third quarter 2011 net income of $22 million, and a fourth quarter 2010 net loss of $249 million. For full-year 2011, U. S. Steel reported a net loss of $68 million, compared with a full-year 2010 net loss of $482 million. Fourth quarter results for U. S. Steel Europe (USSE) were lower than third quarter 2011 primarily due to lower average realized euro-based prices, production volume and shipments as market demand softened in response to the continuing difficult economic conditions in Europe.
Operating costs decreased compared to the third quarter, reflecting lower raw materials and facility repair and maintenance costs partially offset by higher energy costs. In response to reduced spot market prices and weak demand, a blast furnace in Serbia remained idled and a blast furnace in Slovakia was taken off-line late in the quarter. As a result, our European raw steel capability utilization rate decreased to 65 percent for the fourth quarter. For the full year 2011, our USSE segment had an operating loss of $162 million.

Return to five-day working week

From today, February 1, 2012, U. S. Steel Kosice returns to the normal five-day working week. This is happening as a result of agreement between Company management and trade union representatives. The original agreement applying an impediment at work for all Company employees to the extent of 20 per cent of their working hours, with pay compensation at the rate of 60 per cent of their average earnings, was concluded for the months of January and February this year. The reason for this measure was the unfavorable situation in the Company's order books. At last week's meeting, the parties to the agreement decided jointly to curtail the period defined in the agreement dated December 16, 2011, thereby also prematurely terminating the agreement as of January 31, 2012.

Awards for originators of best projects

On Friday of last week, January 27, the originators of the best projects in 2011 focusing on U. S. Steel Kosice's six business drivers were presented with awards from Company management. This meeting established a new tradition of appraising and acknowledging the Company's best employees. Those who received awards were nominated in the categories of Safety, Environment, Customer Services, Quality, Productivity and CCIP (costs-saving). USSK achieved very good results last year in all of these aspects of business.

Excellent results due to investment projects and everyday activities

Last year was the fourth in a row during which U. S. Steel Kosice was not involved in a single "external incident". This means that not a single permitted emissions limit value was exceeded with regard to atmospheric pollution sources or pollution indicators for waste water from the final treatment plant at Sokolany, and all conditions set by state authorities for specific activities were fulfilled.
These excellent results in environmental protection were due not only to capital investment projects, but also to employees' everyday activities connected with their increasingly demanding internal metrics, which are set above the requirements of the legislative framework, with the aim of permanently reducing the environmental impact of the steelworks.