Another 5 billion please?

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Chief Executive Officer of Pakistan Steel Mills (PSM) Major General (R) Muhammad Javed has called upon the federal government to release another Rs 5 billion of the bailout package so the consistency in PSM’s production could be maintained.
The request was made by the CEO PSM while addressing a function at the office of Pakistan Steel People’s Workers Union (CBA) for the announcement of Charter of Demand of the workers for the year 2010-12.
He said the production capacity of the Mills would be increased after the arrival of raw material till mid November and would reach up to 45pc in January 2013.
He said the first installment of bailout package, Pakistan Steel opened three LCs of raw material two coal ships and one iron ore ship which would be utilized to boost the production up to 45pc, and next shipments would be purchased soon after the second installment of bailout package.
He said the PSM management would request the federal government to release another Rs 5 billion so that the consistency in production could be maintained.
He expressed satisfaction that the Mills plants were in good condition. The CEO announced that the Mills would be able to repay to the government after two years when its production capacity would be enhanced to 1.5 million tones per year.
He warned that the misuse of PSM resources should be stopped as the Mills cannot afford any further embezzlement or waste of resources when it was already in crisis.
Jawed assured the workers that he would not fire any single person from the PSM saying there must be accountability at every level. “We should start accountability from our own,” he remarked.
The chief executive pledged that the PSM would be revived and made profitable within next 12 to 18 months as per approved business plan and its expansion would also be made soon.

1 COMMENT

  1. PSM has been made a bottomless pit by successive management. They are always looking upto the govt for unending financial bail-outs; a traditional approach that neither worked in the past nor would work now. What PSM need is innovative solutions to its financial and management woes. PSM could be turned around without financial dole-outs. Unfortunately, the present management seems lacking in entrepreneurial skills, and, thus, incapable of turning it around. Resultantly, pumping in more and more public money into the bottomless pit of PSM that will never come out of it!

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