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Show Page8A - THE HERALD, Provo, Utah, Sunday, September 13, 1987 The history of Geneva is history Utah Valley, U.S. (Editor's note: The following story is based on information from past issues of The Daily Herald, and information from the USX Corp. and other sources.) By PATRICK CHRISTIAN Herald Staff Writer Geneva Steel, bought by Basic Manufacturing & Technologies of Utah recently, has a long history that began with its construction by the U.S. government and the later purchase by U.S. Steel Corp. Involvement by the United States in World War H began shortly after the Japanese attacked Pearl Harbor Dec. 7, 1941. Later in 1941, the U.S. Office of Production Management announced plans to spend $100 million to construct new steel plant in the West for defense purposes. Reports said the project was initiated to minimize the effects of an enemy attack that might close the Panama Canal and thus block steel shipments from East Coast steel mills. By late 1941, the newly organized Defense Plant Corp. reached an agreement with United States Steel Corp. to construct that steel mill somewhere in Utah. Reports said the decision was made because of the Beehive State's sources of iron ore, coal, limestone and dolomite. Another reason was that state possessed adequate transportation facilities and had a sufficient supply of fresh water. It was also out of the range of enemy aircraft of the day. Announcement of the present site in the area once known as Vineyard near the old Geneva Resort was made Feb. 7, 1942. It was chosen over three other proposed Utah sites. Ground was broken Feb. 7 and between March 1942 and June 1944 $196 million was spent on its construction. Dr. Walter Mathesius was chosen as president of the new Geneva facility. The first coal charged Geneva's coke ovens Dec. 14, 1943. Blow-i- n of the first blast f unices followed a month later. And the first tapping furnance of the first was 12:44 p.m. Feb. 4, 1944. The n heat took more than 15 hours to make. The first steel plate was rolled at the plant March 22, 1944. Bv the end of the war, through Sept. 1945, Geneva shipped 632,317 net tons of steel plates and 69,923 tons of structural steel off to war. The end of the war also brought to an end the U.S. Government's need for Geneva. The plant was closed. On May 1, 1946, the War Assets Administration was studying eight .bids of purchase for Geneva. The bidding companies included: J.S. Warshaw. New York City; open-heart- Lb '.-- important landmark dates in 3, 1944 Blow-i- n of Geneva's first blast furnance. Feb. 4, 1944 first heat of steel tapped from Geneva's open hearths 116-da- Basic Feb. 20, 1987 Manufacturing and Technologies of Utah incorporated soley to try to buy USX Corp.'s Geneva Works mill. March. 13, 1987 Marcus Study prelininary study report released. It suggests there's a slight hope for economic success for Geneva, but not under USX. USX April 2, 1987 announces it will permanently close Geneva July 1. There are more reports that BMT is negotiating to buy Geneva from In 1959, following healthy times for the steel industry and Geneva, a strike that lasted 116 days USX. Steve Olsen Photo Union members prepare picket signs in Korea have agreed to establish a new joint venture to modernize and operate the former Pittsburg, Plant in Calif. The Pitt-Cplant has operated mostly on coil steel from Geneva. USS indicates this won't be case after 1989. USS says it's likely that Geneva will not remain "viable" after 1989. Pitt-Ca- l April 1, 1986 becomes POSCO, a joint U.S. n venture. Steel The Geneva April 4, 1986 Advisory Board organized to look for options for Geneva Works if U.S. Steel Corp. closes it. June, 1986 Labor negotiations begin between United Steelworkers of American union, and U.S. Steel Corp. U.S. Steel July 9, 1986 Corp.'s name changed to USX Corp. Geneva now falls under USX Corp.'s USS Division. Labor July 31, 1986 Corp.-Korea- War Assets May. 1, 1946 Administrations opened bids for Geneva and U.S. Steel Corp. was awarded bid 22 days later. Nov. 9, 1959 Geneva workers return to work after y record strike, and after an $1 billion in estimated losing wages. Dec. 16, 1985 -Announcement that United States Steel and Pohang Iron and Steel Co.. Ltd. (POSCO) of South thick." - the history of Geneva Steel. 1941 -- U.S. Office of Production Management announces it plans to spend $100 million to construct new steemaking capacity in the West for defense purposes. federal Feb. 7, 1942 governments Defense Plant Corporation announces site for steelmill north of Provo. It's reported that the mill will cost $126 million to build. It's announced that U.S. Steel Corp. will build the plant for the government. March 27, 1942 Ground breaking ceremony for Geneva Works. Dec. 14, 1943 First coal charging at Geneva's coke ovens. Jan. 'h A7k the reason. - - - 1986. contract expires between United Steelworkers of America and USX without a new contract being agreed on. Work stoppage Aug. 1, 1986 calls it a lockout. Union begins. USX calls it a strike. Work Nov. 25, 1986 stoppage breaks 1959 record. - It's Dec. 18, 1986 announced that USX-USnegotiations are to resume, this time with independent mediator. Labor Jan. 18, 1987 agreement reached between USW and USX. Jan. 31, 1987 Labor agreement ratified and record 184-da- work stoppage ends. y Feb. 14, 1987 - USX announces that Geneva will not be reopened and will be closed indefinitely. USX officials cite the long labor dispute for part of Announcement April 8, 1986 from Geneva Advisory Board that final Marcus report is completed. It outlines several scenarios for economic success at Geneva, but even more for failure. BMT officials say the basically negative report doesn't change their minds about trying to buy Geneva. Union and June 12, 1987 BMT agree to tentative labor agreement for Geneva. Union June 20, 1987 workers ratify labor agreement. USX Corp. 24, June, 1987 and BMT signs agreement to sell Geneva Works. July 1 is established for BMT to purchase Genva. Deadline for July 1, 1987 BMT's purchase of Geneva extended to July 15 for securing financing and July 31 for transfer ing property. BMT officials July 15, 1987 say they have financing lined up. BMT fails to July 31, 1987 meet deadline after key lender backs out. The week following the missed deadline there is fear of a permanent closing. Utah Sen. Orrin Hatch meets with top USX Chairman David Roderick. Later, Aug. 31 is scheduled for final deadline. Geneva is Aug. 31, 1987 sold to BMT. Hatch says the price is $30 million. Geneva Sept. 1, 1987 workers return to work at 12:01 a.m. Sent. Employees r " 10. 1987 receive their first paychecks. - - h 225-to- wide and six-fe- et Geneva Works had its roots deep in Utah's early fledgling iron industries which followed the discovery of iron and coal in Southern Utah by an 1850 expedition led by Parley P. Pratt. War-tim- e needs coupled with Utah's iron and coal resources during World War II led to the decision to builda steel mill for steel plate for ship building so far' inland and away from possible flttnck It was built for the U.S. Government and later bought by United States Steel Corp. that later changed it's name to USX Corp. The plant was sold to a Utah Company this year and continues to make steel. The following are several Riley Steel Col., Los Angeles; Pacific American Steel Iron Corp., Seattle, Wash. ; Reconstruction Assets Corp., Ltd., Los Angeles; Blue Star Enterprises, Inc., Salt Lake City; Kaiser Co., Inc., Oakland, Calif.; Colorado Fuel & Iron Corp., Denver; and Columbia Steel Col, (U.S. Steel Corp.), San Francisco. The War Assets Administration finally ruled that U.S. Steel Corp. "was the only bidder who made a satisfactory showing of ability to purchase, reconvert and operate." U.S. Steel Corp. (now USX Corp. ) offered to purchase the plant and its inventories, and construct a new facility in Calif, for finishing Geneva's steel at a cost of over $100 million. The finishing facility was later known as the Pitt-Ca- l facility located at Pittsburg, Calif. Geneva's products had been limited to plate and structural steel for shipbuilding. But that need ended with the war and the subsequent surplus of ships.. h Between 1947 and 1948, the plate mill was remodeled to d add lighter gauge coils. These were shipped to the Pitt-Cplant for further finishing as cold- 132-inc- flat-rolle- al ' 1 rolled sheets and tin plate. Geneva's future was tightly tied to Pitt-Ca- l. The demands of the Korean War led to a tenth open hearth being added at Geneva. A pipe mill at Geneva was completed and production began in 1956. s The plant, the first of its kind in a major steel plant in the U.S., was completed in nitrogen-product- 1957. seven of the ten fumances were rebuilt to incorporate the latest oxygen lance process that saved time in Also in 1957, open-heart- h J" steelmaking. On the 25th anniversary of Geneva Works, Feb. 4, 1966, company officials touted that Geneva was the second largest t industrial employer in Utah. A company document bragged that, "Since February 1944, Geneva steelmakers have produced nearly 40 million tons of steel enough to make 20 million automobiles, one for every man, woman and child in half of California and all the other 10 western states. In space-ag- e terms, the total steel production would make a path of steel from the earth to the moon :Jo o; iJ plagued managment and steelworkers at Geneva. In 1960, the highest employment records for U.S. Steel Workers in Utah were recorded by the Utah : Department of employment. In than year it was recorded at 7,500. : Some of these worked in VS. Steel mines in Utah and others at Geneva Works, In 1945, U.S. Steel employment in Utah was 4,100. In 1981 it was Z 5,200, but then started dropping rapidly each subsequent year. By the late 1960s, Japanese steel jmports were anecting Geneva s -market. Korea joined in and by the end of the 1970s, 45 percent of the ; steel used in the West was from " foreign sources. By 1985 it was 65 percent. ; v There were also expensive requirements for maintenance at Geneva and costs for water and air clean-u- p demanded by the Environmental Protection Agency especially in the late 1970s. U.S. Steel Corp. decided not to take the expensive step to g introduce major technological developments. Without these developments, " Geneva that had in 1944 been the most modern mill in the United States was one of the most outdated by 1985. But Geneva's employees still managed to compete and make money for the corporation. Rumors that the corporation Z might close the plant began as the the as but 1960s, company early reassured that Geneva was cost-savin- i- - mpermanent. " Closure rumors intensified 1985. of the fall Around during Christmas, rumors seemed to have' a ring of truth to them when U.S. Steel announced that it and Pohang-Stee- l of South Korea had concluded! an agreement that resulted in a joint venture between the Korean firm and Pitt-Ca- l and not including-Gene- va that had been PittOal's prC biggest supplier of coil steel. The plan called for Pohang and U.S. Steel to spend $300 million to modernize and enlarge Pitt-Ca- l so that in 1989 when U.S. import could quotas expired, Pitt-CI import Korean steel to replace what had once come from Geneva. It appeared that Geneva had about four years left before its doors would be forced closed and many workers began to prepare. But a labor dispute closed the doors of Geneva begining Aug. 1. It lasted for 184 days. BMT was successful in buying the plant and on Sept. 1 workers returned to work. About 1,200 were expected to be at their posts by the end of this month. t i al -- OoO0 JJ Z2LT be called on to gas furnace your natural maximum service in the venter months at the setting most Put your thermostat for your home We are fortunate ahead. Make sure it is ready. A few minutes spent row will reward you with more efficient operating heating equipment all season long. Vacuum and clean or replace filters ' Oil the blower, cheer, blower belt and oil blower motor (if bearings aren 't scaled) Check vertical flue for obstructions Clean and vacuum around burners I Make sure air ducts are unobstructed 'Z Remove flammables or combustibles from around the furnace. have an ample supply of natural gas in this area to meet your needs now and for years to come. With natural gas rates reduced even further, you'll get a "lot of heat tor each energy will to dollar. of homeowners have used natural with never an interruption of It and the service. is dependable, trouble-fremost energy you can use. But only if. your heating system is capable of delivering it. flues waste energy. Dirty filters or stopped-uWith natural gas more affordable than ever. timely attention to your natural gas heating r. equipment will assure you the most economical home heating available. Generations area e A cost-efficie- 1 p f .7 ,r. oumam rrwA Fue MAm 7Z7 PEOPLE SERVING PEOPLE ; |
