Bloomberg reported that US Steel Corp and the Canadian government reached a settlement to end a court dispute over the company’s 2007 takeover of steelmaker Stelco Inc

Mr Christian Paradis industry minister said in Canadian parliament that “US Steel agreed to maintain operations in Canada until 2015 and make CAD 50 million in additional capital investments beyond the CAD 200 million it originally promised.”

Mr Paradis said that “US Steel has given significant new and enhanced undertakings under the Investment Canada Act,”

He added that “I have requested that the Attorney General of Canada discontinue the Government’s court action.”

As per report “US Steel will continue to operate at the Lake Erie and Hamilton plants in Ontario until 2015, according to the statement. It will also contribute CAD 3 million toward community and education programs in Hamilton and Nanticoke.”

Canada took US Steel to court in 2009 under the country’s foreign takeover laws after it said the company hadn’t complied with pledges it made on spending, output, and research and development following the Stelco deal. Last month, Canada’s Supreme Court rejected US Steel’s constitutional challenge of those laws.

(Sourced from Bloomberg)