June 23, 2006 — WCI Steel, Inc. will spend $29.3 million to install a new baghouse system at its Basic Oxygen Furnace to reduce environmental emissions and meet new federal air quality standards.

The installation will allow WCI to meet the Maximum Achievable Control Technology (MACT) standard for the iron and steel industry, which was established in May 2003 pursuant to the 1990 Clean Air Act amendments. The Iron & Steel MACT calls for a reduction in air emissions by imposing more stringent emission limitations on new and existing major emission sources of so-called hazardous air pollutants and requiring that MACT technology — in WCI's case, a new BOF baghouse system — be installed to meet these limitations.

Once in operation, the BOF complex will have two separate baghouses. The new baghouse, which will have the capability to handle 800,000 cubic feet of air per minute, will be the more powerful of the two.

The MACT project is the second major capital investment WCI has announced in the last six weeks, part of the company's plan to invest at least $125 million in the plant over the next four years. In May, WCI announced it would install a new walking beam furnace at its hot strip mill at a cost of $36.7 million.

WCI President Patrick G. Tatom said the baghouse investment reflects WCI's commitment to meeting environmental protection standards, noting the project will bring WCI's total spending on environmental projects and monitoring to more than $100 million since 2000. "Safeguarding the environment is a key core value for WCI," Tatom said. "We're making a substantial investment that serves the best interest of our employees and our community."

Major on-site construction will begin in August, although ductwork foundations and site preparation are well underway. The new baghouse system, which will be located on the west end of the BOF, is set to be operational in April of 2007.

WCI is an integrated steelmaker producing more than 185 grades of custom and commodity flat-rolled steel at its Warren, Ohio facility. WCI products are used by steel service centers, convertors and the automotive and construction markets. The company has about 1,450 employees.