Labor Agreement Clears the Way for LTV Steel Restructuring

    CLEVELAND, July 9 The LTV Corporation
(OTC Bulletin Board: LTVCQ) today said that it has approved the tentative
labor agreement negotiated by its Committee of Unsecured Creditors with the
United Steelworkers of America.  The Company said that the tentative agreement
allows for significant cost reduction and eliminates significantly more
steelworker jobs than the Company's original proposal.  The new agreement will
enable LTV Steel, the nation's third largest integrated steelmaker, to
restructure as a lower cost competitor in the global steel marketplace.  The
agreement is subject to ratification by LTV Steel production and maintenance
employees and the approval of the U.S. Bankruptcy Court.  The Company also
said that as a result of the agreement, it had asked the U.S. Bankruptcy Court
to adjourn until a later date the hearing on the Company's motion to reject
the current labor agreement.
    "The tentative agreement assures our loyal and supportive customers that
LTV Steel will continue to be a reliable source of high quality flat rolled
steel both today and for the future.  We appreciate the efforts and commitment
of the Creditors Committee which negotiated under intense pressure to achieve
an agreement that fulfilled the objectives of the LTV Steel restructuring
plan," said John D. Turner, executive vice president and chief operating
officer of The LTV Corporation.  "And, we are grateful to our employees who
have continued to focus on achieving ever higher levels of safety, quality and
customer service even during these uncertain months.  We are also appreciative
of our suppliers who continue to support our efforts to restructure, and we
now look forward to a return to more normal business operations," Mr. Turner
said.
    Mr. Turner said that the tentative agreement would clear the way for LTV
Steel's banks to apply for a $250 million government guaranteed steel loan to
support LTV's reorganization and emergence from Chapter 11.  He said that the
Company and its employees appreciated the continuing support of local and
state governments in helping LTV Steel reduce costs and obtain the guaranteed
steel loan.
    "The tentative agreement reduces antiquated work rules and inefficient
practices and increases the Company's ability to achieve world-class levels of
yield, quality, productivity and cost.  Not only will the tentative agreement
enable LTV Steel to complete its restructuring and return to viability, it
completes the foundation upon which we will build a new, highly effective
steel operation," Mr. Turner said.
    The tentative agreement provides significant immediate and long-term
savings for LTV Steel by utilizing the Company's Voluntary Employee's
Beneficiary Association (VEBA) trust fund to defray the cost of health care
for retirees, the ability to better manage health care costs through improved
design and administration, and by deferring future pay increases for active
workers.  The tentative agreement requires improving pension funding schedules
in cooperation with the Pension Benefit Guaranty Corporation.
    Under the tentative agreement, the Company will achieve significant cost
reductions by performing capital improvement projects in the most cost
efficient manner.  The Company also will gain the ability to reduce the
permanent workforce by 1,300 people by eliminating restrictive work rules and
practices that have impaired its efforts to achieve fully competitive levels
of yield and efficiency.
    The Company is also pleased that the tentative agreement, which expires on
February 1, 2006, includes improved profit sharing and equity ownership plans
that more closely link the personal financial benefits of its employees with
the profitable performance of LTV Steel.
    "The success of the tentative agreement now depends on all parties acting
swiftly to implement the agreement and achieving all of its potential savings
as quickly as possible," said Mr. Turner.
    Under the terms of the tentative agreement, the Direct Hot Charge Complex
and C-1 blast furnace in Cleveland would remain on "hot idle" until October 31
while studies are conducted of possible future reuse of the facility.
    The LTV Corporation is a manufacturing company with interests in steel and
metal fabrication.  LTV's Integrated Steel segment is a leading producer of
high-quality, value-added flat rolled steel, and a major supplier to the
transportation, appliance, electrical equipment and service center industries.
LTV's Metal Fabrication segment consists of LTV Copperweld, the largest
producer of tubular and bimetallic products in North America and VP Buildings,
a leading producer of pre-engineered metal buildings for low-rise commercial
applications.
    This press release includes forward-looking statements.  Our uses of the
words "outlook", "anticipates," "believes," "estimate," "expect" and similar
words are intended to identify these statements as forward looking.   These
statements represent our current judgement on what the future holds.  While
the Company believes them to be reasonable, a number of important factors
could cause actual results to differ materially from those projected.  These
factors include relatively small changes in market price or market demand;
changes in domestic capacity; changes in raw material costs; increased
operating costs; loss of business from major customers, especially for high
value-added product; availability of post petition financing; negative market
and credit impact from the Chapter 11 filing; unanticipated expenses;
substantial changes in financial markets; labor unrest; unfair foreign
competition; major equipment failure; unanticipated results in pending legal
proceedings; difficulties in implementing information technology; and other
factors.