Stelco announces 150 temporary layoffs in Hamilton

Two weeks after reporting a quarterly loss of $42 million, Algoma Steel's largest Canadian competitor today announced temporary layoffs of 150 workers at its Hamilton, Ontario operation.

The following press release was issued today by Stelco Inc.

**************************************************************** Stelco Hamilton announces workforce reductions

HAMILTON, ON, Nov. 6 - Stelco Hamilton announced today it is temporarily laying off about 150 hourly employees effective November 22, 2003.

This is a step in respect to streamlining the organizational structure of the Corporation as referenced in the August 27, 2003 overall strategic review announcement.

A number of the layoffs result from the elimination of modified work initiatives, which are not required for the operation of the Corporation.

All affected employees receiving layoff notices will be entitled to all contractual rights under the Basic Agreement to pursue other employment opportunities in the workplace, based on seniority, ability to perform the work, and physical fitness.

The Corporation will provide payments from the supplementary unemployment fund and extend group health benefits to those laid off.

Further reductions at all levels will take place as the Corporation continues to reorganize and streamline its workforce.

Stelco Inc. is Canada's largest and most diversified steel producer.

Stelco is involved in all major segments of the steel industry through its integrated steel business, mini-mills, and manufactured products businesses.

Stelco has a presence in six Canadian provinces and two states of the United States. Consolidated net sales in 2002 were $2.8 billion.

This news release may contain forward-looking information with respect to the Corporation's business operations, financial performance and conditions. Actual results may differ from expected results for a variety of reasons including factors discussed in the Corporation's Management's Discussion and Analysis section of the Corporation's 2002 Annual Report.

To learn more about Stelco and its businesses, please refer to our Web site at www.stelco.ca.

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