[Oregon Steel Mills, Inc. Letterhead]
January 28, 1999
Dear Stockholder:
You may have recently received consent materials from the AFL-CIO and
their so-called "Committee to Restore Shareholder Value at Oregon Steel Mills,
Inc." This group is seeking your consent to adopt three NON-BINDING corporate
governance proposals. The AFL-CIO group consists of the Crabbe Huson Group,
Inc., Amalgamated Bank of New York LongView MidCap 400 Index Fund, and the
American Federation of Labor and Congress of Industrial Organizations (AFL-CIO).
This group calls itself a "Committee" in order to make it appear as if they are
speaking on behalf of other stockholders.
Although the AFL-CIO Proposals involve corporate governance issues, we
believe that they are part of the United Steelworkers of America's ("Union")
continued corporate campaign to harass your company, its lenders, its investors,
its suppliers and its customers. The corporate governance proposals in question
could have been presented to the company and the stockholders at the upcoming
Annual Meeting of Stockholders in 1999. However, the AFL-CIO Group has chosen to
proceed with this costly consent solicitation in order to present these
NON-BINDING proposals. Your Board believes that the AFL-CIO Proposals are
designed as tools for labor bargaining and to limit the Board's flexibility in
protecting the interests of all stockholders.
WE ARE NOW BEING FORCED TO SPEND YOUR COMPANY'S MONEY IN ORDER TO RESPOND TO THE
UNION'S CONTINUED COSTLY AND WASTEFUL CORPORATE CAMPAIGN OF HARASSMENT.
We will soon be sending you our Consent Revocation Statement outlining
our reasons for opposing the adoption of these three proposals, along with
background and examples of the Union's continued efforts to harass your company.
YOUR BOARD UNANIMOUSLY OPPOSES THE AFL-CIO SOLICITATION AND STRONGLY URGES YOU
NOT TO RETURN ANY GOLD CONSENT CARD YOU MAY RECEIVE FROM THE AFL-CIO GROUP.
If you have any questions, please call the company assisting us in our
efforts, Georgeson & Company Inc., toll-free at 1-800-223-2064.
Sincerely yours,
Oregon Steel Mills, Inc.
Oregon Steel Mills, Inc. operates two steel minimills and four finishing
facilities in the United States and Canada. The company manufactures and markets
specialty and commodity steel products. Oregon Steel markets its products to
customers primarily west of the Mississippi River, western Canada, and the
Pacific Rim.
