TORONTO - Ontario's finance minister is raising objections about how US Steel proposes to finance its Canadian arm while the Hamilton-based subsidiary attempts to forge a court-supervised compromise with its creditors so it can stay in business.
Finance Minister Charles Sousa says Queen's Park has filed an objection with the court to protect the interests of the provincial government and the Ontario steel maker's employees, retirees, creditors and their communities.
The government says it's concerned that some of the conditions attached to about $185 million in temporary funding from Pittsburgh-based US Steel could have a negative impact on employees and retirees of its subsidiary, formerly called Stelco.
US Steel Canada says it has accumulated an operating loss of about $2.4 billion since 2009 filed for court protection from creditors on Sept. 16.
The province is one of US Steel Canada's creditors due to a $150-million loan to the company.
