For Immediate Release

Public Relations Division
Public Affairs Department
1170 Eighth Avenue
Bethlehem, PA 18016-7699
(610) 694-3711 - Phone
(610) 694-1509 - Fax

BETHLEHEM , PA., September 3, 1996 -- BethEnergy Mines Inc., a subsidiary of Bethlehem Steel Corporation, said today that it has sold its Eagle Nest Inc. coal mine in Boone County, W. Va. to a subsidiary of A. T. Massey Coal Company, Inc. The transaction involves the sale of certain equipment and property and the mineral rights to the deep mine and the leasing of other mining facilities and equipment.

Terms of the transaction were not disclosed. Bethlehem Steel said that it expects to record a restructuring charge of about $15 million on this transaction, which will be reflected in its results for the third quarter.

Bethlehem said that the sale of the Eagle Nest mine was a continuation of its overall corporate strategy of concentrating on its principal steelmaking divisions to increase their competitiveness and achieve its vision of being the premier steel company.