Klesch Group vends Europe division of Tata Steel

LONDON (ScrapMonster): The second largest steel company in Europe, Corus, after 8 years of acquisition, has undergone many vital changes, which reduced its earlier annual production capacity, 21 million tonnes, into almost half.

As the  financial crisis and debt hit the industry of Europe, Tata Steel had to cut down 3,500 workers from the strong work force comprising 42,000 workers, and as the demand in the financial year of 2009 decreased, the company had to sell off two of the company’s aluminum smelters, and also had to halt the processing in three blast furnaces located in three sites, along with that the company also had to halt the working of the blast furnace in Teeside.

Even after all these pressures, the company tried so hard to stop the loss and turn towards gaining profit, but alas, the market conditi0ons never seem to regain to strong posture, and remained to be weak and laggy. Throughout the financial year of 2012, the deliveries were declining at the European branch of Tata steel. Everything was perfect for Tata Steel, at the beginning of their production in the year 2007, which was shattered later by the financial crisis, which showered down the continent. The company has announced a goodwill charge of 1.6 billion dollars for the declining value of Tata Steel Europe.