The new leader of AK Steel Holding Corp. is a company lifer and seasoned executive who knows the ins and outs of the steel business.
So here are the biggest questions Roger Newport will face: Can he lead a more than century-old company in a turbulent industry to focus on higher-end market segments, manage the firm’s complex capital structure and make sustained improvements to its top- and bottom-lines?
The 51-year-old Deerfield Township resident was named in October to serve as the successor to James Wainscott, the man who served as CEO for more than 12 years and continues to be board chairman.
Since Jan. 1, Newport became chief executive of one of the region's largest manufacturers and one of the nation's most important steel companies. Newport now leads the West Chester Township company generating $6.7 billion of revenue annually and produces carbon, electrical and stainless steel products.
Being the captain of AK Steel's ship is no easy task. Steel is a highly cyclical and highly competitive sector. AK Steel is not only fighting domestic steel companies for market share, but also against steel imports and products made from alternative materials such as aluminum and carbon fiber.
The company reported a net loss of $509 million, or $2.86 per share, in 2015. Its stock has taken a beating. The 52-week low price for one share of AK Steel stock was $1.64. On Monday, the stock closed above $4 for the first time since June. It's a small victory despite the market volatility. The share price peaked at $71 in spring 2008.
"We have to focus on bringing a return back to the company and our investors, not that we haven't tried," Newport said. "(Temporarily idling) Ashland (Works) was a big step that way. We've been active on trade cases; they're leveling the playing field. We feel like we're a survivor."
In an interview with The Enquirer, Newport shared his five-point plan to help AK Steel and its 8,500 workers (2,400 of which are in Greater Cincinnati) make the company better.
Source: Cincinnati