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WEST CHESTER TWP. — Analysts say they expect AK Steel Corp. to post positive profit gains when the company releases its first quarter 2008 earnings at 8:30 a.m. today, April 22.

Longbow Research analyst Robert Richard said the company has negative net debt. Its biggest challenge was ready access to coke for steel production. The company was forced to buy 25 percent of its annual coke needs on the open market, he said.

However, AK Steel is working on a partnership Tenn.-based SunCoke to supply coke and electricity to the company's Middletown Works facility.

AK Steel president and CEO Jim Wainscott said the deal "will cover our internal coke capacity shortfall, and provide Middletown's blast furnace with a stable, competitive supply of this essential raw material."

Last month, the Middletown Planning Commission approved rezoning a 157-acre tract of land for the $340 million coke plant. The plan still needs to be confirmed by Middletown City Council, which will meet to discuss the issue on May 6.

AK's stock closed at $20.16 at the end of the yearlong lockout at Middletown Works. Since then, it has reached a new high of $69.62.

On Monday, April 21, shares rose 2 cents to close at $67.90.

In 2007, the company earned $387.7 million, compared with $12 million during the lockout in 2006.

Net sales also topped $7 billion for the first time in AK's history.

AK Steel was also the first steel manufacturer this year to push its product past $1,000 per ton with market price increases despite the current national economic woes.

The company will provide live listening access on the Internet to its earnings conference call at 11 a.m. Access to the webcast will be available at www.aksteel.com.

The webcast can be accessed on the site until April 29.

Contact this reporter at (513) 705-2843 or jlander@coxohio.com.

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