Esmark Inc. and its wholly owned steel services subsidiary, Esmark Steel Group, jointly announced with the United Steelworkers of America (USW) that they have reached a tentative agreement with Local 1223 on a four-year collective bargaining agreement for workers at Esmark’s newly acquired Ohio Cold Rolling Company.

USW Local 1223’s Executive Committee confirmed that it will submit the agreement to its members for a ratification vote during the week of 3 December.

James P. Bouchard, Chairman and Chief Executive Officer of Esmark Inc., applauded the tentative agreement and said, "This is an important milestone in our ongoing efforts to restart operations at Ohio Cold Rolling Company, and we could not have achieved this agreement without the support and collaboration of the USW, District 1 Director Dave McCall and Local 1223 President Jerry Conners. We look forward to the membership’s vote next week and focusing on restarting operations early next year."

USW District 1 Director Dave McCall added that the tentative agreement paves the way to bring back sorely need jobs to the Ohio Valley and revive the historic Yorkville cold-rolled finishing mill. "This agreement is the culmination of months of hard work and signals a brighter future for our members, the steel industry and the Ohio Valley’s economic engine," he said.

Tom Modrowski, CEO of Esmark Steel Group, said a ratified collective bargaining agreement and expected restart of the Yorkville facility will contribute to Esmark’s long-term strategy to offer its U.S. customers a broader range of steel products and value-added services. "Ohio Cold Rolling Company’s focus will be on serving the light gauge and narrow width coil niche in the marketplace, and together with our Ohio Coatings Company subsidiary we expect to be a premier supplier of both cold-rolled and tin plate products. We’re excited about rolling our first coils and better serving our growing customer base," he added.

Modrowski noted that some of the key economic provisions of the tentative collective bargaining agreement call for wage increases over the term of the four-year agreement, comprehensive healthcare for workers and their families, financial contributions to the Steelworker Pension Fund, and participation in a Voluntary Employee Beneficiary Association (VEBA) Trust providing healthcare benefits for retired union workers.

Esmark acquired the former RG Steel Yorkville cold-rolled finishing mill in a bankruptcy court-supervised auction in August of this year, as well as RG Steel’s 50% interest in Ohio Coatings Company’s tin plate production facility.