Rouge Steel Production Temporarily Disrupted by Loss of Power

30 November 1999
Rouge Steel Production Temporarily Disrupted by Loss of Power
    DEARBORN, Mich., Nov. 29 -- Rouge Industries, Inc.
reported today that Rouge Steel Company, its primary operating
subsidiary, experienced a loss of electrical power to a major portion of its
plant on Wednesday, November 24, 1999, causing the temporary shutdown of its
steelmaking operations and isolated property damage to its blast furnace and
continuous caster equipment.  There were no employee injuries.  The root cause
of the loss of power continues under investigation.
    The Company's larger blast furnace resumed production on November 26, 1999
and its smaller blast furnace returned to production on November 27.  The
Company estimates its business interruption and property damage expenses will
exceed its present insurance deductible of $2.5 million, to the extent that it
is determined that this event is unrelated to the February 1, 1999 explosion
and fire at the Rouge Complex Powerhouse.
    Rouge Steel has been operating its steelmaking facilities with temporary
utilities and interconnections since February.  Rouge Steel is now reliant on
the Southeastern Michigan grid for its total electricity requirement and the
Company has installed temporary package boilers to supply its process and
heating steam needs.  This utility supply arrangement will continue until the
new co-generation plant, under construction by CMS Enterprises, is launched in
mid-2000.

    Safe Harbor Statement
    This press release contains forward-looking information about the Company.
A number of factors could cause the Company's actual results to differ
materially from those anticipated, including changes in the general economic
climate, the supply of or demand for and the pricing of steel products in the
Company's markets, potential environmental liabilities and higher than
expected costs.  For further information on these and other factors that could
impact the Company and the statements contained herein, reference should be
made to the Company's filings with the Securities and Exchange Commission.