<PAGE>
EXHIBIT 99.(1)
NEWS RELEASE
AK STEEL REPORTS $68 PER TON OPERATING PROFIT IN SECOND QUARTER;
NET INCOME RISES 65% FROM YEAR-AGO QUARTER ON RECORD SALES
MIDDLETOWN, OH, July 20, 2000 -- AK Steel (NYSE: AKS) reported net income of
$49.1 million, or $0.44 per diluted share of common stock, for the second
quarter of 2000, compared to net income of $29.7 million, or $0.27 per diluted
share in the 1999 period. Value-added products comprised 89% of the 1,710,000
tons of shipments in the quarter, an increase of 8% from the 81% value-added
shipments in the corresponding quarter a year ago.
Operating profit equaled $115.6 million, or $68 per ton shipped, the best
quarterly operating profit per ton performance for AK Steel since the fourth
quarter of 1998.
Net sales for the 2000 second quarter were a record $1,226.1 million, an
increase of more than 10% over the 1999 second quarter. The company said its
average flat-rolled selling price in the quarter was $702 per ton, an increase
of about $77 per ton from a year ago.
"Strong operating and cost control performances across the company contributed
to another outstanding quarter," said Richard M. Wardrop, Jr., chairman and
chief executive officer. "In particular, Rockport, Mansfield and Coshocton
Works turned in solid results that contributed significantly to our great
quarter," he said.
For the first six months of 2000, AK Steel reported net income of $75.6
million, or $0.68 per diluted share of common stock, an increase of 9% from the
$69.3 million, or $0.63 per diluted share of common stock for the first half of
1999. Operating profit for the first half of 2000 equaled $193.8 million, or
$58 per ton shipped, compared to $167.9 million, or $50 per ton shipped in the
first half of 1999.
Value-added shipments in the first half of 2000 were 2,950,000 tons, or 89% of
total shipments. In the 1999 period, value-added tons represented 80% of total
shipments. Sales for the first half of 2000 were $2,365.9 million, or 11%
higher than in 1999. Total shipments for the first half of 2000 were 3,314,000
tons, about 2% lower than a year ago, due primarily to the shutdown in December
of 1999 of a commodity galvanizing line in Dover, Ohio.
Dividends Declared
------------------
The company's board of directors also declared a regular quarterly common
stock dividend of $0.125 per share, payable on August 23, 2000, to shareholders
of record on July 26, 2000; and a regular quarterly dividend of $0.90625 per
share on its Series B $3.625 Cumulative Convertible Preferred Stock, payable
September 30, 2000 to shareholders of record on August 31, 2000.
AK Steel produces flat-rolled carbon, stainless and electrical steel products
for automotive, appliance, construction and manufacturing markets, as well as
standard pipe and tubular steel products. AK Steel is headquartered in
Middletown, Ohio. It employs about 11,000 people in plants and offices in
Middletown, Coshocton, Mansfield, Warren and Zanesville, Ohio; Ashland,
Kentucky; Rockport, Indiana; and Butler, Sharon and Wheatland, Pennsylvania. AK
Steel also produces snow and ice control products, and operates a major
industrial park on the Houston, Texas ship channel.
<PAGE>
AK Steel Statement of Income & Earnings Per Share Data
(Dollars and Shares in Millions Except Per Share Data)
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30,
2000 1999 2000 1999
-------- -------- -------- --------
<S> <C> <C> <C> <C>
Shipments (000 tons) 1,710 1,736 3,314 3,374
Net Sales $1,226.1 $1,113.5 $2,365.9 $2,137.8
Cost of Products Sold 982.4 896.0 1,918.9 1,718.0
Selling and Administrative Expense 67.9 77.9 132.8 151.5
Depreciation 60.2 50.3 120.4 100.4
-------- -------- -------- --------
Total Operating Costs 1,110.5 1,024.2 2,172.1 1,969.9
Operating Profit 115.6 89.3 193.8 167.9
Interest Expense 34.3 29.5 68.2 60.0
Other Income 1.1 4.9 1.5 9.6
-------- -------- -------- --------
Income Before Income Taxes 82.4 64.7 127.1 117.5
Income Tax Provision 33.3 28.8 51.5 38.3
Minority Interest --- 2.0 --- 4.0
-------- -------- -------- --------
Income from Continuing Operations 49.1 33.9 75.6 75.2
Discontinued Operations --- 7.5 --- 7.5
-------- -------- -------- --------
Income Before Extraordinary Item 49.1 41.4 75.6 82.7
Extraordinary Item --- (11.7) --- (13.4)
------- -------- -------- --------
Net Income 49.1 29.7 75.6 69.3
Less Preferred Dividends 0.2 2.4 0.5 4.9
-------- -------- -------- --------
Net Income Applicable
To Common Stock $ 48.9 $ 27.3 $ 75.1 $ 64.4
Basic Earnings Per Share
-------------------------------------
Income From Continuing Operations $ 0.44 $ 0.31 $ 0.68 $ 0.70
Discontinued Operations --- 0.07 --- 0.07
Extraordinary Item --- (0.11) --- (0.13)
-------- -------- -------- --------
Net Income $ 0.44 $ 0.27 $ 0.68 $ 0.64
Weighted Average Shares Outstanding 110.7 101.1 110.9 100.9
Diluted Earnings Per Share
-------------------------------------
Income From Continuing Operations $ 0.44 0.31 $ 0.68 $ 0.69
Discontinued Operations --- 0.07 --- 0.07
Extraordinary Item --- (0.11) --- (0.13)
-------- -------- -------- --------
Net Income $ 0.44 $ 0.27 $ 0.68 $ 0.63
Weighted Average Shares Outstanding 111.5 101.8 111.7 108.5
</TABLE>
