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Weirton Steel Settles with Creditors

May 7, 2004 — Weirton Steel Corp.’s Informal Committee of Secured Noteholders has accepted a financial settlement from the company, and U.S. Bankruptcy Court Judge L. Edward Friend II has now approved the settlement.

The settlement averts the noteholders’ attempt to stop the sale of Weirton to Cleveland-based International Steel (ISG) Group Inc.

“I’m pleased this issue has been resolved,” said D. Leonard Wise, Weirton CEO. “We’ve just cleared one of the remaining hurdles in completing this sale. The finish line is clearly in sight. Dragging this matter through courts would have been of no value. I congratulate our legal team and that of the noteholders for reaching this compromise.”

Following the judge’s April 22 decision to accept Weirton’s recommendation that its assets be sold to ISG, the noteholders began a series of legal maneuvers in an attempt to prevent the sale to ISG. The noteholders were seeking additional time to reorganize the steelmaker and operate it as an independent company.

The face value of the noteholders’ notes is $145 million. Once the sale to ISG was final, the judge would have decided the amount the noteholders would have received; now, however, the new settlement will dictate the amount the noteholders will receive.

The sale closing date has not been announced, but it is expected to occur within two weeks.

Weirton Steel is the fifth largest integrated steelmaker and the nation’s second largest producer of tin mill products. The company filed for Chapter 11 bankruptcy protection on May 19, 2003.

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