Northwestern Steel Closing Down

Northwestern Steel and Wire Co., has started shutting down its minimill in Sterling, Ill. The company, which has been operating under bankruptcy protection since late last year, said it began closing down when suppliers cut off deliveries of raw materials. Northwestern processes steel from scrap into structural beams, plus wire and rod products for the construction and manufacturing industries.

Northwestern has struggled financially for years against lower-cost foreign steel products. From 1997 through last year, its annual revenue shriveled 43 percent to $365.3 million while its losses widened by a third to $83.3 million.

Frederick Rocchio, president of Northwestern, said, ‘‘It is unfortunate that with orders and shipments rebounding and a loyal, hardworking workforce in the midst of implementing cost reductions throughout the business, that some critical suppliers would choose not to support Northwestern at this time.’’

Moore said the electricfurnace, caster and wire mill were shut down May 20^th. The rolling mill and shipping operations would end in about a week.