US Steel’s shareholders just voted to end more than a century of American ownership.
https://www.cnn.com/2024/04/12/business/us-steel-nippon-steel-deal/index.html
by BikkaZz
US Steel’s shareholders just voted to end more than a century of American ownership.
https://www.cnn.com/2024/04/12/business/us-steel-nippon-steel-deal/index.html
by BikkaZz
6 comments
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US Steel shareholders Friday overwhelmingly approved a deal for the iconic American manufacturer to be purchased by Japan’s Nippon Steel. But the outlook for the controversial merger has never looked so bad.
The deal is significant, not just for the future of what is still a key US industry central to building everything from cars to appliances to roads and bridges, it is also at the center of election year politics and relations between the United States and Japan, a major ally.
The company announced that 98% of shares voted on the measure were in favor of the $14 billion deal.
But the deal faces signficant opposition from the United Steelworkers union and politicians on both sides of the aisle.
“We are not surprised by stockholders electing to cash in and sell out the iconic American company’s employees and retirees, along with
the communities where we live and work,” said a statement from the USW.
“Wall Street investors and U.S. Steel executives obviously stand to gain the most from Nippon … while leaving union members in the
cold. Thankfully, today’s vote isn’t the end of the story: The decision ultimately isn’t simply up to shareholders and executives.”
For the deal to close, it needs approval from both the Justice Department, which enforces antitrust laws, and the normally low profile but powerful Committee on Foreign Investment in the United States, made up of members of the President Joe Biden’s cabinet, including the secretaries of Treasury, Commerce, Defense, State, Homeland Security and the Attorney General.
And last month Biden came out publicly against the proposed deal.
“It is important that we maintain strong American steel companies powered by American steelworkers,” Biden said.
US Steel has been an iconic American steel company for more than a century, and it is vital for it to remain an American steel company
that is domestically owned and operated.”
Biden needs to make sure this deal doesn’t go through IMO
The deal will go through……..after the election.
93% of all stock is owned by the 10% of Americans. And it doesn’t get better the further up you go.
Your 401k doesn’t matter.
Making money is generally what matters in a capitalistic society.
In theory long term survival would matter but the US lost that starting in the 70s.
Wikipedia: ‘J. P. Morgan formed U.S. Steel on March 2, 1901 (incorporated on February 25, 1901), by financing the merger of Andrew Carnegie’s Carnegie Steel Company with Elbert H. Gary’s Federal Steel Company and William Henry “Judge” Moore’s National Steel Company for $492 million ($18 billion today).’