Dofasco announced that it plans to seek written consent from Canadian noteholders for approval of amendments that would permit the company to redeem all of its outstanding 7.55% unsecured medium term notes due October 1, 2008, and its 4.961% unsecured medium term notes due June 15, 2017. The company says the price would be set equal to the Government of Canada Yield for the notes due October 1, 2008, and the price would be equal to par for the notes due June 15, 2015.

With the consent of the noteholders, Dofasco will amend the terms of the notes to permit their redemption and to reduce the notice period required for such redemption. The applicable trust indentures require the written consent of at least 66-2/3% of the principal amount of the notes in order to initiate the amendments.

RBC Dominion Securities Inc. (RBC DS) has indicated that it intends to acquire 66-2/3% or more of the notes in the open market from Canadian noteholders, if available, at the prices noted above. RBC DS has also indicated to Dofasco that, if RBC DS purchases a principal amount of notes equal to or greater than 66-2/3% of each issue of notes, RBC DS will consent to the necessary amendments to permit redemption of the notes.

The aggregate face value of the notes is $375 million.

Dofasco is a leading North American steel solutions provider. Product lines include hot rolled, cold rolled, galvanized, Extragal(TM), Galvalume(TM), and tinplate flat rolled steels, as well as tubular products and laser-welded blanks. Dofasco's wide range of steel products is sold to customers in the automotive, construction, energy, manufacturing, pipe and tube, appliance, packaging and steel distribution industries.