Stelco Inc Bankruptcy and Restructuring Case Solution

There were also import tariffs imposed by the US government, making it difficult for Stelco to endure its revenue. The company was also facing issues related to senior leadership and their future policies. The company was also earning way less than other companies in terms of sales per employee, indicating that restructuring was inevitable in terms of employee-related costs and pensions. Stelco then led to a bankruptcy safety quoting a devastating load of pension obligations. Although, within days of filing the bankruptcy, the value of the steel in market skyrocketed, providing Stelco profits as it begged liquidation (Keenan, 2004).