A K Steel Holding downgraded to "sell"

04/29/2003
Prudential Securities

NEW YORK, April 29, (New Ratings) - Analysts at Prudential Financial downgrade A K Steel Holding (AKS) from "hold" to "sell." The target price has been reduced from $9 to $2.

The analysts report that A K Steel Holding has lost both volumes and market share, with an increase in liabilities and a drop in equity. The analysts are not confident of the company's ability to increase its sales volumes or to recover costs. The analysts have, consequently, reduced their estimates. With recovery looking doubtful, Prudential Financial predicts a slow death, rather than immediate bankruptcy, for the company, and downgrades A K Steel Holding to "sell."