Firm Considers Assets of Bethlehem Steel

International Steel Group Inc., created this year by investor Wilbur Ross, is considering buying all or part of Bethlehem Steel Corp. in a bid to gain the biggest share of U.S. steel making capacity.

A full purchase would almost double International Steel’s production capability to 20 million tons a year, giving it control over about 17% of U.S. steel mills and greater ability to affect prices. Ross created International Steel by buying assets of LTV Corp. and has benefited from nonunion labor and U.S. tariffs.

Bethlehem said the U.S. government will take control of its employee pension fund, using company assets to make payments, after it struggled to make up for a $6-billion shortfall. The company filed for Chapter 11 bankruptcy protection last year.