Severstal once again
The US may huff and puff about the Russian invasion of Georgia, but in the end the dollar (or rather the ruble) talks. Severstal, which is Russia's #1 steel company and the #4 steelmaker in the US, announced it would buy US coal company PBS for $1.3 billion. PBS is owned by a private equity firm.
The move comes as both steel and coal prices keep going higher. Other steel companies are looking for coal resources, including #1 Arcelor Mittal and South Korea's Posco in buying up coal assets, especially those producing high quality coke, used in steelmaking. The aim is to sew up a supply of coal before prices get even higher.
Other recent Severstal buys in the US have included specialty steel company Esmark, an Arcelor Mittal plant, and WCI Steel Inc, over a $1.5 billion in purchases.
As the US rattles sabers, Russian companies manage to take over the steelmaking factories and mines by which sabers get made.
9:14:35 PM 
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