United States Steel Corp. said on Thursday that its labor agreement with the United Steelworkers does not afford the union the right to veto a sale of the company that may arise from its recently announced strategic review.
U.S. Steel's statement came after USW said this week it would only back Cleveland-Cliffs Inc. as a suitor for the company. The union said that "over the years, Cliffs has shown itself to be an outstanding employer to all of its workers."
Both U.S. Steel and Cliffs are major suppliers to North American automakers.
U.S. Steel, which rejected Cliffs' $7.3 billion cash-and-stock offer as inadequate, has said it is exploring "multiple unsolicited proposals". It has attracted a $7.8 billion all-cash offer from Esmark Inc. and as well as potential acquisition interest from ArcelorMittal, another key auto industry supplier.