WHEELING, W.Va., July 3 /PRNewswire-FirstCall/ -- Wheeling-Pittsburgh
Corporation (Nasdaq: WPSC) confirmed today that a Brooke County, West
Virginia jury unanimously awarded the Company $219.85 million in its
lawsuit against Massey Energy Company and its subsidiary Central West
Virginia Energy Company (CWVEC).
The award came late yesterday and consists of $119.85 million in
compensatory damages as well as $100 million in punitive damages, the
latter split evenly between Massey Energy Company and CWVEC. The lawsuit
was filed by Wheeling-Pittsburgh in April 2005, and arises out of CWVEC's
failure to deliver significant quantities of metallurgical coal during the
period December 2003 through early 2006 as required by the long term coal
supply agreement between CWVEC and Wheeling-Pittsburgh. This non-compliance
forced Wheeling-Pittsburgh to fulfill its metallurgical coal and coke
requirements in the spot market where supply was tight and prices had
dramatically escalated and also led to production disruptions which
resulted in equipment damages to the Company's coke batteries.
James P. Bouchard, Chairman and Chief Executive Officer stated "On
behalf of the Company, its directors and shareholders, I would like to
thank everyone involved over the last several years in achieving this
victory for the Company, including our internal and external legal teams,
management and employees. Moreover, we are grateful to the jury for
stepping forward to correct the harm to Wheeling-Pittsburgh caused by
Massey Energy Company's and CWVEC's failure to fulfill their commitments.
The jury's unanimous verdict is extremely fair and reasonable, protective
of the Company, its employees and the United Steelworkers. We believe the
verdict should withstand any appellate challenge."
Certain statements contained in this news release are "forward-looking
statements" that involve risks and uncertainties. Readers are cautioned
that these forward-looking statements are only predictions and may differ
materially from actual future events or results. Readers are referred to
the "Business -- Risk Factors" section of the Company's Annual Report on
Form 10-K for the year ended December 31, 2006, and other reports and
filings with the SEC, which identify important risk factors that could
cause actual results to differ from those contained in the forward-looking
statements.
About Wheeling-Pittsburgh:
Wheeling-Pittsburgh is a steel company engaged in the making,
processing and fabrication of steel and steel products using both
integrated and electric arc furnace technology. The Company's products
include hot rolled and cold rolled sheet and coated products such as
galvanized, pre-painted and tin mill sheet. The Company also produces a
variety of steel products including roll formed corrugated roofing, roof
deck, floor deck, bridgeform and other products used primarily by the
construction, highway and agricultural markets.
SOURCE Wheeling-Pittsburgh Corporation
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Related links:
http://www.wpsc.com
http://www.prnewswire.com/comp/967451.html /
CONTACT:
Dennis Halpin of Wheeling-Pittsburgh
Corporation, +1-304-234-2421
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