Algoma Steel Inc. emerges from restructuring with the sale of substantially all of the Company’s assets, resulting in new ownership for the Company under the direction of a professional board of directors - alongside a commitment of a CDN $300 million investment in the modernization of the facilities in Sault Ste. Marie.
After nearly a decade as Essar Steel Algoma, the company returns to its roots with a fresh take on the Algoma brand.
In June, Algoma was acquired by Essar Steel Holdings Ltd., a division of the multi-national conglomerate, Essar Global.
With a net income of $343.8 million, Algoma's share price rose 416% making Algoma's stock one of the leading performers on the TSX. Algoma had established a solid foundation, and in 2005 the Company turned its attention to building a future in the global marketplace.
The market dropped again at the close of decade and in 2002 Algoma emerged from its second restructuring and embarked on a course of action that would lead to Algoma's most profitable year on record in 2004.
October 28, 1995 marked a proud moment in Algoma's history as construction commenced on Algoma's Direct Strip Production Complex (DSPC). Today the complex is Algoma's cornerstone asset, positioning Algoma as one of the leaders in the North American hot rolled sheet market.
Algoma underwent restructuring as a result of the severe economic storm that affected the North American steel industry in the 80's and 90’s. The new Algoma was born with the signing of a Joint Restructuring Process Agreement in April of 1992.
Algoma’s No. 7 blast furnace goes into operation. The 315 foot high furnace was designed to produce 5,000 tons of iron per day, replacing No. 3 and No. 4 blast furnaces.
On July 20th, Algoma’s No. 6 blast furnace was put on blast to replace No. 1 furnace. Expansion continued throughout the steelworks including the construction of Algoma’s first Cold Mill in 1954.
The Company had been working with General Motors since 1949 on a complimentary agreement that met the needs of both companies. In May 1951, this relationship grew into a long-term agreement under which General Motors loaned Algoma Steel $15 million for plant expansion and agreed to purchase steel from Algoma through to 1967. The expansion program included a new combination bar and strip mill which moved Algoma into the flat rolled steel market.