I. SYNOPSIS OF THE CASE BETHLEHEM STEEL CORPORATION ( BETHLEHEM STEEL OR THE CORPORATION ) IS AN INTEGRATED STEEL PRODUCER ENGAGED PRI- MARILY IN THE MANUFACTURE OF STEEL AND STEEL PRODUCTS. COR PORATE HEADQUARTERS ARE LOCATED IN BETHLEHEM, PENNSYLVANIA. IN 1985, THE CORPORATE HAD GROSS SALES IN EXCESS OF FIVE BILLION DOLLARS, AND A NET WORTH JUST UNDER ONE BILLION DOL- LARS. HOWEVER, DUE TO DEPRESSED STEEL PRICES AND WEAK DE- MAND, THE CORPORATION EXPERIENCED NET LOSSES OF $115,600,000 FROM JANUARY THROUGH JUNE, 1986. REPORTS PUBLISHED IN NEWS MEDIA INDICATE THAT THE CORPORATION MAY HAVE EXPERIENCED SOME RECENT IMPROVEMENT IN ITS FINANCIAL CONDITION. THE CORPORATION EMPLOYS APPROXIMATELY 44,500 PERSONS. THE BURNS HARBOR, INDIANA PLANT IS ONE OF FIVE PLANTS WHICH PRODUCE STEEL PRODUCTS. THE BURNS HARBOR FACILITY EMPLOYS APPROXI- MATELY 5,950 PERSONS, AND OCCUPIES MORE THAN 2,200 ACRES OF LAND. ITS PRINCIPAL PRODUCTS INCLUDE HOT AND COLD ROLLED STEEL PLATES AND STRIPS. PLANT OPERATIONS BEGAN IN AUGUST