A big uh-oh re AK Steel

Here's some news that falls into the "can't be good" category:

WEST CHESTER, Ohio (AP) -- AK Steel Holding Corp. said Wednesday it probably will idle most of its operations in Ashland, Ky., starting in late July or early August because of weaker demand from the U.S. auto industry, affecting about 750 workers.

The steel maker said its Ashland Works plant likely will remain idled through 2009 and perhaps longer due to recently announced production cuts at General Motors and Chrysler, as well as weaker demand amid the global economic downturn.

Ashland won't go the way of Ironton and Portsmouth, Ohio, mainly because it has the Marathon refinery nearby and also the Calgon Carbon plant. And King's Daughters Medical Center is still going strong. But this will have to hurt.

And not just Ashland. I would say a lot of people in Ironton work at AK Steel, and I would guess a lot of people still refer to the company as "Armco," but that's just a guess on my part.

I understand our Ironton reporter is on the story and should have something for tomorrow's paper.

If GM downsizes drastically or if Chrysler goes under, that will hurt the Ashland works all the more. A few years ago, the Ashland works sold sheet steel to the Toyota plant at Georgetown, Ky., but I don't know if it still does.