The Department of Justice has announced on 13 May 2006 that it has reached an agreement with Mittal Steel regarding its offer to acquire Arcelor SA. The agreement would resolve possible antitrust concerns in the event that the Antitrust Division concludes the combination of Mittal and Arcelor raises anticompetitive concerns. Under the agreement, the Department will continue to investigate the competitive implications of the combination of Mittal Steel and Arcelor. The agreement requires Mittal Steel to divest Dofasco Inc., currently owned by Arcelor, to ThyssenKrupp AG in the event the Department determines the combination of Mittal Steel and Arcelor is likely to result in a substantial lessening of competition. If Mittal acquires Arcelor but is unable to divest Dofasco, the agreement requires Mittal to divest certain alternative assets to a buyer acceptable to the Department. The Department has determined that the divestiture of either Dofasco or the alternative assets would address the potential competitive problem identified by the Department. This agreement enables the Department to complete its investigation and, if necessary, to implement an adequate remedy while Mittal Steel’s tender offer proceeds.
