AK Steel Announces Carbon Steel Price Increase and June Surcharge

Middletown, OH, May 18, 2004—AK Steel (NYSE: AKS) said today it will increase transaction prices of carbon hot-rolled, cold-rolled and coated steel products by $50 per ton, effective with shipments on June 1, 2004.

AK Steel also said that the surcharge for its carbon steel products will be $116 per ton, effective with shipments on June 1, 2004. AK Steel previously implemented a surcharge for its carbon steels beginning with January 2004 shipments. The surcharge has been implemented to partially offset extraordinary increases in raw material costs, particularly costs of energy and steel scrap.  The amount of the surcharge is adjusted monthly based upon a two-month lag in the reported prices for raw materials and energy. 

Headquartered in Middletown, AK Steel produces flat-rolled carbon, stainless and electrical steel products, as well as carbon and stainless tubular steel products, for automotive, appliance, construction and manufacturing markets.