USS, Worthington expanding joint venture

Worthington Industries expanding U.S. Steel joint venture.
Worthington Industries Inc. is expanding a Michigan joint venture with Pittsburgh’s U.S. Steel Corp. in a deal that will see both companies bringing an additional plant into the partnership. The Columbus-based company on Tuesday said it signed an agreement to modify its Jackson, Mich.-based Worthington Specialty Processing joint venture, a 50-50 partnership with U.S. Steel. Terms of the deal call for U.S. Steel to contribute operations of its Canton, Mich.-based ProCoil Co. LLC steel processing subsidiary, while Worthington plans to bring on a Worthington Steel Co. facility in Taylor, Mich. The new arrangement, which requires regulatory approval and should close early next month, will give Worthington a 51 percent ownership stake. The joint venture is one of 10 for the company, according to documents filed with the Securities and Exchange Commission. Worthington and U.S. Steel in a joint statement said the expanded venture should allow each of the three facilities to maximize their processing abilities, which will better serve its automotive and flat-rolled steel customers. The Specialty Processing joint venture has been processing steel for the automotive industry since 1986. Worthington employs about 6,900 and in its fiscal year ended May 31 earned $107.1 million on $3.07 billion in revenue. U.S. Steel employs about 49,000 worldwide and earned $879 million on $16.9 billion in revenue last year.