| GEO Business|
| PSM financial crisis worsens|
| Updated at: 0326 PST, Friday, January 08, 2010|
KARACHI: The crisis of Pakistan Steel Mills (PSM) intensified, as the raw material stock nearly exhausted; hence, the blast furnaces could come to standstill at any time, Geo News reported Thursday.
Meanwhile, the PSM Chairman directed to deduct 75 percent of his salary along with the voluntary cut in employees’ salaries for three months.
The PSM high officials said the scarcity of the raw material intensified during December and both the blast furnaces were being run on the 35 percent of productive capacity.
The Mills management informed on December 15 about the shortage of raw material, saying if further raw material was not supplied, then the blast furnaces would close.
According to the management, a plan was hammered out for bringing 360,000 tonnes of iron ore on eight ships; but, only three ships could come.
Chairman of the Mills MM Usmani directed the employees should be asked for the voluntary deduction in their salaries to cover up a bit of the financial crisis of the Mills.