United States Steel Now Expects Significantly Lower Shipments For 2015

(RTTNews) - United States Steel Corp. (X) announced the company now expects significantly lower shipments and average realized prices than it previously projected for full-year 2015. The company now expects full-year adjusted earnings before interest, income taxes, depreciation and amortization (EBITDA) to be approximately $225 million.

CEO Mario Longhi said, "Commercial markets are not improving as we had anticipated for the second half of 2015. Steel selling prices reversed direction as excessively high levels of imports, much of which we believe are unfairly traded, and a significant decline in steel scrap prices caused spot prices to reach new lows for the year. High import levels also had a negative impact on the rebalancing of supply chain inventories, decreasing customer order rates in the second half of the year. The market for oil country tubular goods has continued to deteriorate, impacting results in both our Flat-Rolled and Tubular segments."

For the third-quarter 2015, the company reported Adjusted EBITDA of $85 million compared to $611 million, a year ago. Third-quarter 2015 net loss was $173 million, or $1.18 per share, and adjusted net loss was $103 million, or $0.70 per share. Net sales decreased year-over-year to $2.83 billion from $4.59 billion.