History
The company was founded in 1899 as The American Rolling Mill Company (ARMCO) in Middletown, Ohio, where it operated a production facility.[5] George Matthew Verity (1865–1942) was a founder and its first president.[6]
In 1914, the company began publishing the monthly ARMCO bulletin "to facilitate an interchange of thought and suggestion, and to create a better understanding of the activities and problems of the Operating Department employees."[7]
In 1922, it opened a second production facility, Ashland Works in Ashland, Kentucky.
In 1956 the company took over American Bantam Car Company, the original creator and manufacturer of the World War II Jeep. American Bantam switched to producing trailers after losing the Jeep contract to Willys-Overland.[8]
In 1971, Armco Steel purchased Kansas City-based engineering firm Burns & McDonnell; however, in 1985, employees of Burns & McDonnell secured a loan to buy the company from Armco.[9] In 1978, Armco Steel was renamed Armco, Inc. It moved its headquarters to New Jersey in 1985.
In 1982, a recession threatened the U.S. steel industry.[10] Several of the nation's steel companies reported losses for the first half of the year, while other companies, like Armco, were barely breaking even.[10] In 1989, it entered into a limited partnership with Kawasaki Steel Corporation, which contributed several of its production facilities to the company.[11]
While the company achieved over $1 billion in annual sales in the early 1990s, it was not profitable. The company then hired the 65 year old Tom Graham and Richard M. Wardrop, Jr. to improve its finances. These executives divested unprofitable operations and replaced most of the company's executives and managers.[12] In 1993, the company moved its headquarters to Pittsburgh, Pennsylvania and renamed itself AK Steel Holdings reflecting its Armco roots and sizable investment by Kawasaki. The same year, the company sold the Kansas City Bolt and Nut Company plant to Bain Capital to avoid its shutdown.[13] In March 1994, the company became a public company via an initial public offering,[14] using the proceeds to pay down its unmanageable debt load. In 1995, the company moved its headquarters back to Middletown.[15] In 1996, Graham made the decision to spend $1.1 billion to construct a new steel production facility in Rockport, Indiana.[16] Rifts with its unions and its safety record, including 10 fatalities at its plants in 4 years, resulted in fines and scrutiny from the
In 2003, the bitter labor dispute in Mansfield ended, the union workers returning to work alongside those who'd replaced them.[20] In 2006, there was another lockout of 2,700 workers in Middletown, Ohio about another contract renewal.[21] In 2007, the company moved its headquarters to West Chester Township, Butler County, Ohio.[22]
In 2014, the company acquired steel-making assets, including a coke-making facility and interests in 3 joint ventures that process flat-rolled steel products in Dearborn, Michigan, from Severstal for $700 million.[23] In August 2017, the company acquired Precision Partners Holding Company for $360 million.[24][25]
On March 13, 2020, the company was acquired by Cleveland-Cliffs for $1.1 billion.[26][27][28]
Inclusion in the S&P 500 (2008–2011)
In 2008, the company was added to the S&P 500.[29] In 2011, it was removed from the S&P 500 and added to the S&P 600.[30]
In popular culture
The 2016 bestselling book, Hillbilly Elegy, written by JD Vance, the 50th Vice-President of the United States, focuses on life in Middletown, Ohio and makes many references to the town's dependence on AK Steel's Middletown Works facility.[31]
Working, by Studs Terkel, includes an interview with millworker Grace Clements, who worked at ARMCO making luggage components. Her story was the basis for the James Taylor song "Millwork" in the Broadway musical of the same name.
