March 8, 2006 — Stelco Inc. announced that it will seek an Order of the Superior Court of Justice (Ontario) in connection with the issuance of New Secured Floating Rate Notes (FRNs) under its approved Companies' Creditors Arrangement Act (CCAA) restructuring plan. The motion is scheduled to be heard on March 9, 2006.

In connection with the Court-approved reorganization of Stelco's corporate structure under the Canada Business Corporations Act, it is contemplated that each of the new limited partnerships will guarantee Stelco's payment and performance in connection with the FRNs, and will provide security for those guarantees.

The Order being sought, if granted, would approve the terms and conditions of the issuance and exchange of the FRNs and other securities, expressly including all guarantees of Stelco's or another obligor's payment and performance in respect of the FRNs. The proposed Order would also declare that those terms and conditions are fair to the affected creditors, in a manner similar to the approval in the sanction order.

Stelco is one of Canada's longest-established steel companies. It is currently in the final stages of a Court-supervised restructuring, a process designed to establish the company as a viable and competitive producer for the long term. The new Stelco will be focused on its Ontario-based integrated steel business located in Hamilton and in Nanticoke, producing high quality value-added hot rolled, cold rolled, coated sheet and bar products.