Tentative agreements reached late Friday, Sept. 23, between two locals of the United Steelworkers and Stelco Inc. should be good news for everyone, including bondholders, says Steelworkers' National Director Ken Neumann.

"Our union has worked long and hard to be a part of a process that will protect pensions and ensure a long-term future for Stelco as one of Canada's greatest steel companies," said Neumann. "To oppose Stelco's plan now will put that future in extreme jeopardy."

"Our members have the final say on their collective agreements with Stelco," commented Steelworkers' Ontario/Atlantic Director Wayne Fraser. Bill Ferguson, President of Local 8782 added: "We still have a strike mandate from our membership that will not be de-activated until there is certainty about acceptance of the restructuring plan by all stakeholders."

If ratified, the tentative agreements ensure that a $100-million loan from the Ontario government will be made. The loan is critical to Stelco's restructuring plan, filed last week in Ontario Superior Court. The agreements and a deal with Tricap Management Ltd., a Brascan Corp. restructuring fund, will allow Stelco to move forward with its plan.

"With this process so close to a successful conclusion, it is in no one's interests to remain in opposition," said Steve Hunt, Steelworkers' Western Canada Director, which includes Edmonton, where members of Local 5220 will also be reviewing tentative settlement details. "Entire communities are depending on everyone doing their part to make this work," added Local 5220 President Paul Perreault.