U. S. Steel - X STOCK NEWS

Ancora Holdings Group, which oversees $10 billion in assets, has issued a letter to U.S. Steel's Board following President Trump's opposition to the Nippon Steel deal. Ancora asserts that President Trump's February 7th remarks definitively kill any possibility of a sale to Nippon.

The investment firm urges the Board to take immediate action by: collecting the $565 million termination fee from Nippon, ending deal-related advocacy and litigation, and engaging with Ancora's proposal. They propose Alan Kestenbaum as CEO to lead a multibillion-dollar capital investment program focused on reinvigorating legacy blast furnaces.

Ancora criticizes current CEO David Burritt, suggesting he pursued the Nippon deal for a potential $72 million transaction-related payday. The firm warns it will take necessary actions if the Board continues to ignore their proposal, emphasizing that negotiating with Nippon could waste valuable time while the company faces upcoming union contract negotiations.

Nippon Steel (TSE: 5401) and U. S. Steel (NYSE: X) have jointly filed a legal brief challenging President Biden's block of their proposed $14.9 billion merger. The Companies argue that the President's decision was politically motivated rather than based on national security concerns, leading to what they describe as a 'sham review' by the Committee on Foreign Investment in the United States (CFIUS).

The litigation will proceed on an expedited schedule, with briefing to be completed by March 17. The Companies maintain that their partnership would enhance U.S. national security, protect workers, revitalize jobs in steel communities, and create an American steel champion capable of competing against China. The deal would offer $55 per share to U. S. Steel stockholders and ensure significant capital investments and technology sharing.

United States Steel (NYSE: X) has announced a dividend of $0.05 per share of Common Stock, payable on March 12, 2025, to stockholders of record as of February 10, 2025. The company, founded in 1901, is a leading steel producer with an annual raw steelmaking capability of 25.4 million net tons.

U.S. Steel implements its customer-centric Best for All® strategy, focusing on safety and sustainability. The company serves various industries including automotive, construction, appliance, energy, containers, and packaging with high value-added steel products, including their proprietary XG3® advanced high-strength steel. The company maintains operations across the United States and Central Europe, with headquarters in Pittsburgh, Pennsylvania.

United States Steel (NYSE: X) reported its Q4 and full-year 2024 results. The company posted a Q4 2024 net loss of $89 million ($0.39 per diluted share) and adjusted net loss of $28 million ($0.13 per diluted share). Full-year 2024 results showed net earnings of $384 million ($1.57 per diluted share) and adjusted net earnings of $529 million ($2.14 per diluted share).

Q4 2024 adjusted EBITDA was $190 million, with full-year adjusted EBITDA at $1,366 million. The North American Flat-Rolled segment achieved a 10% EBITDA margin, while the Mini Mill segment began initial shipments from the new Big River 2 mill. The company's European operations faced pricing and demand challenges.

For Q1 2025, U.S. Steel expects adjusted EBITDA between $100-150 million, with decreased North American Flat-Rolled results due to seasonal logistics constraints, partially offset by improved Mini Mill segment performance.

U.S. Steel (NYSE: X) has responded to Ancora Catalyst Institutional's submission of nine nominees for the company's Board of Directors at the 2025 Annual Meeting. The company defends its current Board's decision to pursue the Nippon Steel transaction, which offers $55.00 per share, representing a 142% premium to the August 11, 2023 closing price of $22.72.

The company emphasizes that the Nippon Steel partnership maintains U.S. Steel as an American company, keeping its Pittsburgh headquarters and domestic production. The deal includes $2.7 billion in committed investments, with $1 billion allocated to Mon Valley Works and $300 million to Gary Works. U.S. Steel criticizes Ancora's nominations, noting their 0.18% stake and questioning their alignment with Cleveland-Cliffs, a failed bidder.

United States Steel (NYSE: X) has announced it will release its fourth quarter and full year 2024 financial results on January 30, 2025, after the NYSE trading closes. Following the company's December 18, 2023 announcement of a definitive merger agreement with Nippon Steel , U.S. Steel will not hold an earnings conference call. Instead, the company will simultaneously release its earnings report, presentation, and segment and financial operational data.

U.S. Steel, founded in 1901, is a leading steel producer with an annual raw steelmaking capability of 25.4 million net tons. The company serves various industries including automotive, construction, appliance, energy, containers, and packaging with high value-added steel products, including their proprietary XG3® advanced high-strength steel.

Nippon Steel and U. S. Steel have filed two major lawsuits challenging the blocking of their proposed acquisition. The first lawsuit, filed in the U.S. Court of Appeals for D.C. Circuit, contests President Biden's blocking order and CFIUS review process, citing constitutional violations and unlawful political influence.

The second lawsuit, filed in Pennsylvania's Western District Court, targets Cleveland-Cliffs, its CEO Lourenco Goncalves, and USW President David McCall for alleged illegal interference with the transaction. The companies maintain that Nippon Steel's $55.00 per share offer and committed investments of $2.7 billion (including $1 billion for Mon Valley Works and $300 million for Gary Works) represent the best path forward for U. S. Steel.

The litigation alleges that President Biden's decision was politically motivated rather than based on national security concerns, and that Cleveland-Cliffs, in collusion with USW leadership, attempted to monopolize domestic steel markets and prevent any acquisition except their own.

Nippon Steel and U. S. Steel have issued a joint statement condemning President Biden's decision to block their proposed acquisition deal. The companies argue that the decision violates due process and CFIUS law, claiming it was politically motivated rather than based on national security concerns. The blocked transaction would have included $2.7 billion in committed investments, including $1 billion for Mon Valley Works and $300 million for Gary Works.

Nippon Steel had offered several mitigation measures, including maintaining a majority of U.S. citizens on the board, keeping key positions held by U.S. citizens, and guaranteeing no reduction in production capacity at U.S. facilities for ten years. The companies state they will pursue legal action to protect their rights and deliver the agreed $55.00 per share value to U. S. Steel stockholders.

U.S. Steel has announced plans to establish a workforce training center in Western Pennsylvania through a multi-million dollar grant, contingent upon the closing of its transaction with Nippon Steel. The center will collaborate with local educational institutions and economic development organizations to support workforce development.

The initiative is designed to thank local communities for their support during the Nippon Steel transaction and acknowledges the importance of U.S. Steel's employees in driving the local economy and American steel industry. The investment from Nippon Steel will help secure facilities, particularly at the Mon Valley in Western Pennsylvania, for future generations.