The Ukrainian steelmaker ArcelorMittal Kriviy Rih, a subsidiary of steel giant ArcelorMittal, is to temporarily implement a three-day working week starting from August 1, 2009.
ArcelorMittal Kriviy Rih has stated that the switch to a three-day working week is a necessary measure for the company as it bids to maintain its potential. The producer added that so far it has succeeded in avoiding any salary cuts, even though the plant's production output during the first four months of 2009 decreased almost to the levels of the 1990s.
In January-April 2009, ArcelorMittal Kriviy Rih produced 1.392 million mt of finished steel - down 40.4 percent, 1.469 million mt of crude steel - down 43.8 percent, 1.314 million mt of pig iron - down 43.7 percent, and 2.421 million mt of agglomerate - down 36.8 percent, all compared to the first four months of 2008.
As SteelOrbis previously reported, in May ArcelorMittal Kriviy Rih obtained the postponement of a number of its investment commitments under an agreement with the State Property Fund of Ukraine that amended the terms of the steelmaker's privatization tender.
In 2009 the company expects to decrease its steel output to five million mt compared to 6.2 million produced in 2008.