Contact: Mike Kruse
Heidtman Steel Products, Inc.
Vice President, Marketing and Sales Administration
(734) 848-3333





SeverCorr Announces Heidtman Steel to Build Facility Adjacent to Next-Generation Mill Site

(Columbus, Mississippi, September 27, 2006): SeverCorr – America’s newest steel-producing company – announced today that Heidtman Steel will be the latest business partner to join the SeverCorr site near Columbus, Mississippi. Heidtman will build a 240,000 square foot processing facility that will employ 75 employees and begin operations in mid-2007.


“We’re excited to welcome Heidtman to Columbus, both as a strategic partner for SeverCorr and as an employer for Mississippi,” said Michael Wagner, Chief Commercial Officer of SeverCorr. “Our vision of a robust mega-site with multiple companies working closely together to produce the finest steel and steel products available is taking shape. The addition of Heidtman gets us one step closer to making that vision a reality.”


Heidtman, based in Toledo, Ohio, is an industry leader in steel sales and processing with direct and joint venture production facilities totaling over two million square feet and serving over 1,200 customers in a variety of industries. Those industries include automotive, truck, trailer, construction, racking, metal building manufacturers as well as furniture, appliances and HVAC. The facility will have rail access and house several value-added processing lines including stretcher leveling, sheeting, laser cutting technology and the revolutionary SCS© cleaning process. This precision equipment will be capable of processing Hot Roll, Cold Roll and Coated Products in the gauge range of 0.014” through 0.500” by 72” wide with a variety of strengths. It will be located on a portion of the 1,400 acre mega-site that SeverCorr has set aside for business partners.


“Heidtman Steel is proud to be chosen as a business partner by SeverCorr” according to John Bates, Chief Executive Officer of Heidtman. “The opportunity to place a state-of-the-art processing facility on the same campus with a new world-class steel mill is exciting, and continues the mill adjacent strategy that we have employed elsewhere. Our corporate slogan is ‘Over 50 years on the cutting edge’ and this certainly is cutting-edge technology. This plant will further increase our exposure to Southern markets and link the newest steelmaking technology with the growing demand for high-end processed sheet products in that market.”


About SeverCorr LLC: SeverCorr was formed in 2003 to design, engineer, build and operate a state-of-the-art steel facility to service growing manufacturing opportunities in the Southern United States. In October of 2005, SeverCorr broke ground on a next-generation steel mill near Columbus, Mississippi. When complete in mid-2007, the plant will produce 1.5 million tons of high-quality steels a year for use in the automotive, building, agricultural, pipe & tube, and appliance industries. Future expansion includes a second production line that will double capacity, as well as space for production partners and manufacturers on the company’s 1400-acre mega-site.


About Heidtman:
Headquartered in Toledo, Ohio, Heidtman Steel is a world leader in marketing flat-rolled carbon steel products sold through its sixteen state-of-the-art processing facilities. Noted for their expertise in high strength steels, Heidtman processes nearly five million tons of steel annually through its Heidtman and joint venture facilities.