They sued AK Steel for a patent infringement claim years ago, which was just recently dismissed by US Court of Appeals. But rather than go away, ArcelorMittal files a new lawsuit which is just really nuisance suit, claiming that they have been damaged (and will continue to be) by AK Steel's Ultralume product. Fact is, AK Steel prevailed, and that's that.
But note the fact that Arcelor is crying about this...seeming desperate. Here's are two questions that all of you shareholders need to be asking.
1. Could Arcelor buy AK Steel? This is possible. Assuming the debt of AK Steel would be little compared to the future potential of these two teaming up, considering the fact that Arcelor wants to use Ultralume too.
2. Now that AK Steel has won, what are the chances that THEY sue Arcelor...and win big? VERY HIGH!
Think about it. This possibility alone is worth holding on to AKS.
George - what could AKS sue them for? Being the big bully down the block picking on the little kid? I don't think AKS wants to sue anyone. They are trying to survive. The last thing they need is to get wrapped up in legal battles. MT is also suing others over this patent infringement thing, I don't think they are picking on AKS. MT lost the first time around, now they will come at it from a different angle.
Good morning gp. AK has a product that Arcelor is using, and in time, they can sue them for the same reason. If there is any merit to it, they will use their resources. But what I see more likely happening is AK Steel taking market share from MT as a result of winning this lawsuit.
As far as this new lawsuit is concerned, that what's all losing parties do to satisfy THEIR investors. They spent years building a case, and I'm sure with the best lawyers, and ultimately they came up empty. Now a different angle you say? LOL. At this point, it would be in Arcelor's interest to engage in talks with AK, not waste money on frivolous lawsuits.