AK Steel warns of wider-than-expected loss; shares fall
Sept 19 (Reuters) - AK Steel Holding Corp estimated a wider-than-expected loss for the third quarter as production was hit by a mechanical failure at its Ohio facility, sending its shares down 7 percent in after-market trading.
The steelmaker said it expects to incur a loss of 22 cents to 27 cents per share. Analysts were expecting a loss of 11 cents per share, according to Thomson Reuters I/B/E/S.
The company also said it was likely to book a loss of $12 million, or 9 cents per share, due to the outage, after recovering a portion of the losses through insurance.
AK Steel's blast furnace at the Middletown Works facility in Ohio went offline in June, resulting in a delay of shipments to its carbon spot market customers.
The company expects to ship about 1.2 million tons to 1.3 million tons in the third quarter, 5 percent to 6 percent lower than in the second quarter. AK Steel shipped 1.3 million tons in the same quarter last year.
AK Steel's shares, which closed at $4.44 on the New York Stock Exchange on Thursday, were trading at $4.11 in trading after the bell.