United States Steel Corporation (X) (US Steel) announced today that it is implementing an improved operating model and organizational structure to accelerate its strategic transformation and improve its customer experience, effective January 1, 2020. These initiatives reduce costs and align the corporate structure of US Steel more closely with the company's previously announced strategic investments in leading technologies and advanced technologies, including the recently announced purchase of a minority stake in Big River Steel, the newest and most advanced flat rolling mill in North America with a clear path to consolidation.
The reorganization of the US Steel leadership team around more flexible and efficient executive functions, in particular to focus on operational and commercial excellence and the advancement of technological innovation, will enable the company to create a more competitive cost structure with enhanced capabilities to serve high-priority customers in strategic markets. In addition, this improved operating model will create a new differentiated company, US Steel, with a team to deliver on strategy and improve profitability. It will also further unlock the value of US Steel's stated investments in Big River Steel and Mon Valley Works and Gary Works to drive profitable growth, improve capital and operating costs, and allow US Steel to remain the industry leader in delivering strong performance.
US Steel President and Chief Executive Officer David B. Burritt said, “Our improved leadership team structure is the right next step to help US Steel realize its ambitious strategy to create a leading integrated and mini-steel company with a global competitor, the best of the best in the world. both tracks to serve our customers better. We are focused on improving our ability to win in strategic markets, reducing structural costs by reducing footprint and attracting and investing in the best talent who share our STEEL principles. We are investing in building a world-class asset base and with today's announcement we will be a more focused, agile organization with a world-class leadership team ideally structured to seize market opportunities and position us for success. ”
Separately and independently of the enhanced operating model, US Steel also announced today that Sarah A. Greenstein, Senior Vice President of Consumer Solutions, has resigned effective October 11, 2019 to take up the position of CEO of a publicly traded company. Joe Smous, General Manager of Construction and Recycling, has been named Interim Head of Consumer Solutions starting October 11, 2019 and will report directly to Burritt. In addition, starting October 11, Mon Valley's endless casting and rolling line program, as well as corporate communications, will also report directly to the CEO.
Barritt continued, “Sarah has made a tremendous contribution to our company, both for our customers and for our employees. She has provided excellent leadership in the Mon Valley and has been a key player in the never-ending investment in casting and rental that we announced in May. I am delighted for her next chapter and for the recognition of the level of the US Steel executive team. We all at US Steel thank her for her efforts and wish her all the best in her next endeavors. ”
In a separate press release released today, the company announced that Christine (Christie) S. Breves, currently Senior Vice President of Production Support and Chief Supply Chain Officer, has been named CFO of US Steel with November 4, 2019. Kevin P. Bradley, the current executive vice president and chief financial officer of US Steel, is retiring and will remain with the company as executive vice president and advisor to the CEO to provide transition support through the end of 2019. Breves will retain his current responsibilities until the end of the year, much of which will be aligned with the new organizational model in effect from January 1, as described above.
