CLEVELAND — Cleveland-Cliffs reported its results in the first quarter of 2025, as well as operational changes that involves idling production at multiple facilities. 

What You Need To Know

  • Cleveland-Cliffs reported a loss of $495 million in the first quarter

  • The company has decided to change operations at six facilities, stating it would save an estimated $300 million a year

  • President and CEO Goncalves said the decision wasn't made lightly

Cleveland-Cliffs reported a loss of $495 million its first quarter, stating it had a loss of $1 per share. Losses, adjusted for non-recurring costs, came to 92 cents per share. 

Between March and May, the company has decided to fully or partially idle six facilities in total in order to streamline operations. The move is expected to save over $300 million annually. The company added the idles are not expected to impact flat-rolled steel output.

Here's what's being changed:

  • Both in Minnesota, the Minorca mine will be fully idled and the Hibbing Taconite mine will be partially idled
  • Over in Dearborne, Mich., there will be a an idle of the blast furnace, BOF steel shop and continuous casting facilities to replace with more cost-effection production while restarting the No. 6 blast furnace at Cleveland Works
  • A full idle of two Pennsylvania facilities: the rail facility in Steelton and the plate finishing facility in Conshohocken due to underperformance
  • In Riverdale, Illnois, the company strip mill facility will also be fully idled because of an uncompetitive cost structure
  • Cleveland-Cliffs will also no longer put capital toward the development of a transformer production plant in Weirton, West Virginia

President and CEO Lourenco Goncalves said the decision wasn't made lightly.

"These actions will allow us to consolidate operations, withdraw from loss-making businesses, and deliver annualized savings exceeding $300 million," Goncalves said. "We are also strategically repositioning our portfolio away from non-core markets, including rail, high-carbon sheet, and specialty plate products. Importantly, with the upcoming restart of the Cleveland #6 blast furnace offsetting the upcoming idle of the Dearborn blast furnace, we expect no impact to our flat-rolled steel output."

Information released by the company didn't state if the changes would affect current employees at those facilities being idled.

For information on first-quarter earnings can be found here.