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Rouge Steel Clarifies Status of Environmental Lawsuit

9 January 2001

Rouge Steel Clarifies Status of Environmental Lawsuit

    DEARBORN, Mich., Jan. 8 Rouge Steel Company, the primary
operating subsidiary of Rouge Industries, Inc. , offered today the
following clarification of a local news story regarding lawsuits filed by the
U.S. EPA and Wayne County and the status of the settlement negotiations.  The
U.S. EPA, Wayne County and Rouge Steel have been in negotiations on the issues
raised in the December 2000 lawsuits since June 2000, and the parties have
been corresponding even longer on many of the issues stemming from the EPA's
1998 multimedia inspection at Rouge Steel.
    "Rouge Steel has taken an open and constructive approach in dealing with
each and every issue raised by the agencies," said Bill Hornberger, senior
vice president of the Company.  "We believe we have demonstrated that we are
capable of operating our facilities in material compliance with all applicable
environmental statues and regulations.  Even though no formal settlement has
been reached, the Company believes the negotiations have progressed to the
point where a settlement is the most likely outcome."
    Rouge Steel has not been ordered by Wayne County to cease production at
its Dearborn steel making facility, nor does the Company believe that the
County will deem such action necessary.