Schnitzer Steel Reports Record Third Quarter Earnings
PORTLAND, Ore.--(BUSINESS WIRE)--July 9, 2007--Schnitzer Steel
Industries, Inc. (Nasdaq:SCHN) today reported net income for the
fiscal 2007 third quarter ended May 31, 2007, of $44 million, or $1.47
per diluted share. Net income and earnings per share were third
quarter records. This compares to net income of $30 million, or $0.98
per diluted share, during the third quarter of fiscal 2006. Net income
in the third quarter of 2006 included a $4 million charge relating to
reserves taken by the Company for the estimated settlement of the SEC
and Department of Justice investigations into the Company's past
payment practices in Asia. Excluding the charge, third quarter 2006
net income would have been $34 million, or $1.11 per share.
The Company reported fiscal year-to-date net income of $93
million, or $3.06 per diluted share. This compares to net income of
$93 million, or $3.02 per diluted share, for the same period in 2006.
Included in fiscal year-to-date 2006 net income was a gain in the
first quarter of $34 million (after tax) related to the disposition of
the Hugo Neu joint venture assets. Additionally, net income in 2006
was reduced by charges of $15 million for reserves relating to the SEC
and Department of Justice investigations. Excluding the gain from the
disposition of joint venture assets and the charges for the
investigation reserve, fiscal year-to-date 2006 net income for the
comparable period would have been $74 million, or $2.40 per diluted
share.
(in millions, except per- Third Third Second Year to Year to
share data) Quarter Quarter Quarter Date Date
2007 2006 2007 2007 2006
----------------------------------------------------------------------
Revenues $ 709 $ 506 $ 604 $ 1,824 $ 1,250
----------------------------------------------------------------------
Operating Income $ 70 $ 49(1) $ 47 $ 151 $ 98(2)
----------------------------------------------------------------------
Net Income $ 44 $ 30 $ 28 $ 93 $ 93
----------------------------------------------------------------------
Diluted EPS $ 1.47 $ 0.98 $ 0.93 $ 3.06 $ 3.02
----------------------------------------------------------------------
Gain on Asset Disposition -- -- -- -- $ 34
----------------------------------------------------------------------
Charge for Investigation
Reserve -- ($ 4) -- -- ($ 15)
----------------------------------------------------------------------
Net Income excluding Gain
on Asset Disposition and
Charge for Investigation
Reserve $ 44 $ 34 $ 28 $ 93 $ 74
----------------------------------------------------------------------
Diluted EPS excluding Gain
on Asset Disposition and
Charge for Investigation
Reserve $ 1.47 $ 1.11 $ 0.93 $ 3.06 $ 2.40
----------------------------------------------------------------------
(1) Includes $4 million charge related to SEC and Department of
Justice investigations
(2) Includes $15 million in charges related to SEC and Department of
Justice investigations
"We had strong financial results in all of our businesses," said
John Carter, President and CEO. "Net income improved 54% from the
second quarter as we took advantage of the positive markets in which
we are operating by continuing our focus on maximizing the utilization
of our assets."
"In the Metals Recycling Business our ability to export allowed us
to take advantage of significant differences between foreign and
domestic markets. Our deep water port facilities on both coasts
enabled us to target our sales to the regions of the world that
provided the best incremental returns. The Auto Parts Business doubled
its operating income from the second quarter due to higher parts sales
and scrap and core volumes. The Steel Manufacturing Business had
higher volumes and record average sales prices to post a 47%
sequential improvement in operating income, which was the third
highest in the mill's history," said Carter.
"Operationally, we are seeing great results from our capital
investments," continued Tamara Lundgren, Executive Vice President and
Chief Operating Officer. "Our acquisitions in the Metals Recycling
Business have contributed to both ferrous and nonferrous volumes in
our New England operations. In addition, our investments in
megashredders and nonferrous extraction equipment have resulted in
lower unit processing costs and record nonferrous volumes for the
division. In our Auto Parts Business, we saw improved results from the
operational leverage achieved by increasing our scrap and core sales
volumes. The Steel Manufacturing Business completed the quarter with
sequential increases in revenues and operating income notwithstanding
the five week planned shutdown to complete major capital projects,
which will expand capacity and improve efficiencies."
Metals Recycling Business
The Metals Recycling segment posted record quarterly revenues as
it continued to benefit from robust export markets for recycled metals
while maintaining a high level of throughput at its processing
facilities.
($ in millions,
except selling
prices; ferrous
volume in
thousands of
long tons, non-
ferrous volumes Third Third Second Year to Year to
in millions of Quarter Quarter Quarter Date Date
pounds) 2007 2006 2007 2007 2006
----------------------------------------------------------------------
Total Revenues $ 587 $ 383 $ 486 $ 1,474 $ 920
----------------------------------------------------------------------
Ferrous Revenues $ 470 $ 297 $ 396 $ 1,180 $ 744
----------------------------------------------------------------------
Ferrous Volumes
(Processing/
Trading) 1,028/362 886/351 1,143/276 3,039/959 2,347/812
----------------------------------------------------------------------
Avg. Net Ferrous
Sales Prices
($/LT)(1)
(Processing/
Trading) $ 294/308 $210/222 $ 237/257 $ 253/274 $ 204/211
----------------------------------------------------------------------
Nonferrous
Volumes 108 92 90 278 213
----------------------------------------------------------------------
Avg. Net
Nonferrous Sales
Prices ($/LB)(1) $ 1.05 $ 0.92 $ 0.96 $ 1.01 $ 0.79
----------------------------------------------------------------------
Operating Income
(2) $ 55 $ 33 $ 40 $ 120 $ 66
----------------------------------------------------------------------
(1) Sales prices are shown net of freight
(2) Includes operating income from joint ventures
Revenues from the Metals Recycling Business increased 21% over the
second quarter of fiscal 2007 and 53% over the third quarter of 2006.
Ferrous processing sales volumes, while down 10% from the record
shipments in the second quarter, were 16% higher compared to the third
quarter of 2006. Nonferrous sales volumes, which were a quarterly
record, were 20% and 17% higher than the second quarter of 2007 and
the third quarter of 2006, respectively. These higher volumes were
achieved, in part, through increased recovery of nonferrous materials
processed through the Company's new megashredders and sorting systems,
a one-time increase from the reduction in the backlog of materials,
which had built up at its Boston-area facility during the installation
and testing of the new megashredder and new material obtained as part
of recent acquisitions in the Northeast.
During the quarter, market prices for ferrous scrap were at record
levels, with average net selling prices realized through the Company's
processing facilities up $57/ton from the second quarter and $84/ton
from the third quarter of last year. In addition, market prices for
nonferrous metals also remained strong, with average prices up 9% from
the second quarter and 15% higher on a year over year basis.
Operating income improved 38% from the second quarter and 64% year
over year. The increase compared to the second quarter was due to the
higher nonferrous sales volumes, lower unit processing costs, and
higher ferrous and nonferrous selling prices. During the quarter,
export selling prices increased more rapidly than domestic prices for
the purchase of raw materials and the Company's ability to sell
overseas allowed it to expand its margins.
Compared to the third quarter of last year, operating income
improved due to higher ferrous volumes and the factors cited above.
Auto Parts Business
The Auto Parts Business reported record quarterly operating
income.
($ in millions, except Third Third Second Year to Year to
locations) Quarter Quarter Quarter Date Date
2007 2006 2007 2007 2006
----------------------------------------------------------------------
Revenues $ 71 $ 58 $ 60 $ 192 $ 154
----------------------------------------------------------------------
Operating Income $ 10 $ 8 $ 5 $ 19 $ 19
----------------------------------------------------------------------
Locations (end of quarter) 52 50 52 52 50
----------------------------------------------------------------------
Revenues for the Auto Parts Business increased 23% over the third
quarter of 2006 and 19% from the second quarter of this year. The year
over year increase was due to higher parts sales in the Company's
full-service operation, higher core and scrap revenues due to higher
ferrous and nonferrous metals prices and increased volumes and
improved admissions revenues and parts sales in the self-service
conversion stores. The increase on a quarter over quarter basis was
primarily attributable to the higher full-service parts sales, higher
core and scrap revenues due to higher metals prices and increased
volumes and the impact of more favorable seasonal weather conditions
on the Company's self-service admissions revenues and parts sales.
Third quarter operating income increased 32% over third quarter of
2006 and 104% over the second quarter of this year. The increased
operating income compared to the third quarter of last year was
primarily the result of improved full-service profitability, better
performance at the self-service conversion stores and higher margins
from scrap and core revenues. Compared to the second quarter of this
year, the strong increase in operating income was improved by the
higher seasonal self-service parts sales coupled with higher volumes
and margins from core and scrap sales.
Steel Manufacturing Business
The Steel Manufacturing Business recorded the third highest
operating income in its history.
($ in millions, except Third Third Second Year to Year to
selling prices; volume in Quarter Quarter Quarter Date Date
thousands of tons) 2007 2006 2007 2007 2006
----------------------------------------------------------------------
Revenues $ 112 $ 104 $ 99 $ 307 $ 283
----------------------------------------------------------------------
Avg. Net Sales Prices ($/T) $ 596 $ 523 $ 536 $ 560 $ 521
----------------------------------------------------------------------
Sales Volume 182 190 177 529 521
----------------------------------------------------------------------
Operating Income $ 18 $ 21 $ 12 $ 45 $ 53
----------------------------------------------------------------------
Revenues for the Steel Manufacturing Business, driven by record
net average prices, improved 14% from second quarter of 2007 and 8%
from the third quarter of 2006. Average net sales prices increased
$60/ton, or 11%, compared to the second quarter, and sales volumes
increased 3%, as the Company utilized inventory produced in the second
quarter to offset the planned five week shutdown of its rolling mills
to install a new reheat furnace and billet craneway. On a year over
year basis, a $73/ton increase in average net selling prices more than
offset a 4% decline in sales volumes.
Operating income improved compared to the second quarter due to
the higher sales volumes and significantly higher sales prices, which
were only partially offset by higher scrap and other raw material
costs and the costs associated with the shutdown of the reheat
furnace. Compared to the third quarter of 2006, operating income
declined due to lower volumes, the costs associated with the shutdown
and scrap and other raw material costs, which rose more than the
increase in average net selling prices.
Share Repurchase:
During the quarter, the Company made no additional share
repurchases. Year-to-date, the Company has repurchased 1.5 million
shares, or approximately 5% of total shares outstanding. Under the
authority granted by its Board of Directors, the Company may
repurchase an additional 3.2 million shares.
The timing and amount of future repurchases will be determined at
the discretion of the Company's management based on a number of
factors, including the availability of capital, other capital
allocation alternatives and market conditions for the Company's common
stock. The share repurchase program does not require the Company to
acquire any specific number of shares, may be suspended, extended or
terminated by the Company at any time without prior notice and may be
executed through open market purchases or privately negotiated
transactions or utilizing Rule 10b5-1 programs.
Outlook
The factors that may affect the Company's results in the fourth
quarter of fiscal 2007 include:
Metals Recycling Business:
Pricing. The international markets for scrap metal are expected to
remain strong. Based on export sales booked to date and the Company's
current view of the markets, average net selling prices during the
fourth quarter are expected to approximate or be slightly lower than
the record prices obtained in the recently completed third quarter,
despite a soft market for domestic sales. The markets for nonferrous
materials are expected to be volatile, with the average price per
pound currently trending slightly down from the levels of the third
quarter.
Sales volumes. Ferrous scrap volumes in the processing business
are expected to increase to between 1.1 million and 1.2 million tons.
Nonferrous sales volumes are expected to decline approximately 10-15%
from the third quarter, primarily due to the timing of shipments and
lower beginning inventories.
Margins. The spread between export sales prices for recycled
metals and the cost of purchasing materials is expected to narrow
during the quarter. In addition, the Company expects fewer high margin
sales resulting from the reduction of the backlog of nonferrous
material, which had accumulated in the Boston facility. As a result of
these factors, margins in the fourth quarter are expected to decline
somewhat from the third quarter.
Auto Parts Business:
Revenues. Revenues are expected to increase on a year over year
basis as a result of higher full-service parts sales, improved
self-service conversion store revenues and higher scrap revenues.
Compared to the third quarter of this year, revenues should be fairly
flat.
Margins. Margins in the fourth quarter are expected to improve
from both the third quarter of this year and the fourth quarter of
last year due to improved performance at the full-service and
conversion store operations.
Steel Manufacturing Business:
Pricing. Demand for steel products is expected to remain strong in
the West Coast construction markets. Based on current market
conditions, the average net prices during the quarter are expected to
approximate or rise slightly from the record prices of the recently
completed third quarter.
Sales Volumes. Sales volumes during the quarter are expected to be
slightly higher than the volumes shipped during the third quarter of
this year.
Margins. Operating margins should be consistent with the third
quarter as a reduction in the rate of increase in scrap costs should
offset an increase in the cost of alloys used in steel making.
Third Quarter 2007 Conference Call
A conference call to discuss results will be held today, July 9,
2007, at 11:30 a.m. EDT, hosted by John Carter, President and Chief
Executive Officer, and Greg Witherspoon, Chief Financial Officer. The
call will be webcast and is accessible on Schnitzer Steel's web site
at www.schnitzersteel.com.
Schnitzer Steel Industries, Inc. is one of the largest
manufacturers and exporters of recycled ferrous metal products in the
United States with 32 operating facilities located in 11 states
throughout the country, including six export facilities located on
both the East and West Coasts and in Hawaii. The Company's vertically
integrated operating platform also includes its auto parts and steel
manufacturing businesses. The Company's auto parts business sells used
auto parts through its 35 self-service facilities and 17 full-service
facilities located in 14 states and in western Canada. With an annual
production capacity of over 750,000 tons, the Company's steel
manufacturing business produces finished steel products, including
rebar, wire rod and other specialty products. The Company commenced
its 101st year of operations in 2007.
This news release includes four non-GAAP financial measures: net
income and net income per diluted share excluding a charge for
investigation reserve and net income and net income per diluted share
excluding a gain on disposition of joint venture assets and charge for
investigation reserve. Management believes that by excluding the
impact of the gain and the charge for the investigation reserve, these
measures allow for better comparisons with the current period and
provide a better insight into the Company's operating performance.
This news release, particularly the Outlook section, contains
forward-looking statements, within the meaning of Section 21E of the
Securities Exchange Act of 1934, as amended (the "Exchange Act"),
which are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements include, without limitation, statements regarding the
Company's outlook for the business and statements as to expected
pricing, sales volume, operating margin and operating income. Such
statements can generally be identified because they contain expect,
believe, anticipate, estimate and other words that convey a similar
meaning. One can also identify these statements as statements that do
not relate strictly to historical or current facts. Examples of
factors affecting the Company that could cause actual results to
differ materially from current expectations are the following:
volatile supply and demand conditions affecting prices and volumes in
the markets for both the Company's products and raw materials it
purchases; world economic conditions; world political conditions;
changes in federal and state income tax laws; impact of pending or new
laws and regulations regarding imports and exports into the United
States and other foreign countries; foreign currency fluctuations;
competition; seasonality, including weather; energy supplies; freight
rates; loss of key personnel; the inability to complete expected large
scrap export shipments in the current quarter; business integration
issues relating to acquisitions of businesses; and business
disruptions resulting from installation or replacement of major
capital assets, as discussed in more detail in "Management's
Discussion and Analysis of Financial Condition and Results of
Operations" in the Company's most recent annual report on Form 10-K or
quarterly report on Form 10-Q. One should understand that it is not
possible to predict or identify all factors that could cause actual
results to differ from the Company's forward-looking statements.
Consequently, the reader should not consider any such list to be a
complete statement of all potential risks or uncertainties. The
Company does not assume any obligation to update any forward-looking
statement.
For more information about Schnitzer Steel Industries, Inc. go to
www.schnitzersteel.com.
SCHNITZER STEEL INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited, in thousands, except per share amounts)
For the For the
Three Months Ended Nine Months Ended
------------------ ---------------------
May 31, May 31, May 31, May 31,
2007 2006 2007 2006
--------- -------- ---------- ----------
Revenues $709,449 $505,573 $1,823,746 $1,250,086
Operating expense:
Cost of goods sold 593,736 417,468 1,544,060 1,041,172
Selling, general and
administrative 47,213 39,367(1) 132,813 113,207(2)
(Income) from joint
ventures (1,270) (572) (3,738) (2,710)
--------- -------- ---------- ----------
Operating income 69,770 49,310 150,611 98,417
Other income (expense):
Interest expense (2,852) (1,027) (6,219) (1,863)
Other income, net 1,192 1,909 2,593 58,131(3)
--------- -------- ---------- ----------
Other income (expense) (1,660) 882 (3,626) 56,268
--------- -------- ---------- ----------
Income before income
taxes, minority
interests, and pre-
acquisition interests 68,110 50,192 146,985 154,685
Income tax expense 23,631 18,982 51,967 60,700
--------- -------- ---------- ----------
Income before minority
interests and pre-
acquisition interests 44,479 31,210 95,018 93,985
Minority interests, net
of tax (725) (1,005) (1,660) (1,314)
Pre-acquisition
interests, net of tax 184
--------- -------- ---------- ----------
Net income $ 43,754 $ 30,205 $ 93,358 $ 92,855
========= ======== ========== ==========
Net income per share -
basic $ 1.48 $ 0.99 $ 3.09 $ 3.04
========= ======== ========== ==========
Net income per share -
diluted $ 1.47 $ 0.98 $ 3.06 $ 3.02
========= ======== ========== ==========
(1) Includes a charge of $4 million related to investigation reserve.
(2) Includes a charge of $15 million related to investigation reserve.
(3) Includes a gain on disposition of joint ventures of $54.6 million
pre-tax.
SCHNITZER STEEL INDUSTRIES, INC.
FINANCIAL HIGHLIGHTS
(Unaudited, in thousands, except per share amounts)
For the For the
Three Months Ended Nine Months Ended
------------------- ---------------------
May 31, May 31, May 31, May 31,
2007 2006 2007 2006
--------- --------- ---------- ----------
REVENUES:
Metals Recycling
Business:
Ferrous sales:
Processing $ 344,959 $ 207,369 $ 883,981 $ 542,486
Trading 124,578 89,600 296,505 201,599
Nonferrous sales 114,687 84,603 284,612 170,432
Other 2,766 1,561 8,497 5,026
--------- --------- ---------- ----------
Total 586,990 383,133 1,473,595 919,543
Auto Parts Business 71,439 58,237 192,032 154,141
Steel Manufacturing
Business 112,464 104,052 307,448 282,743
Intercompany revenue
eliminations (61,444) (39,849) (149,329) (106,341)
--------- --------- ---------- ----------
Total $ 709,449 $ 505,573 $1,823,746 $1,250,086
========= ========= ========== ==========
INCOME (LOSS) FROM
OPERATIONS:
Metals Recycling
Business:
Processing $ 55,323 $ 32,889 $ 118,030 $ 66,003
Trading (361) 552 1,532 37
Auto Parts Business 10,220 7,767 19,022 19,139
Steel Manufacturing
Business 17,565 21,051 44,834 53,367
Corporate expense (10,699) (12,808)(1) (31,467) (41,273)(2)
Intercompany profit
eliminations (2,278) (141) (1,340) 1,144
--------- --------- ---------- ----------
Total $ 69,770 $ 49,310 $ 150,611 $ 98,417
========= ========= ========== ==========
NET INCOME $ 43,754 $ 30,205(2)$ 93,358 $ 92,855(3)
========= ========= ========== ==========
NET INCOME PER SHARE -
BASIC $ 1.48 $ 0.99 $ 3.09 $ 3.04
========= ========= ========== ==========
NET INCOME PER SHARE -
DILUTED $ 1.47 $ 0.98 $ 3.06 $ 3.02
========= ========= ========== ==========
SHARE INFORMATION
(THOUSANDS):
Basic shares
outstanding 29,510 30,625 30,203 30,544
========= ========= ========== ==========
Diluted shares
outstanding 29,739 30,739 30,502 30,776
========= ========= ========== ==========
(1) Includes a charge of $4 million related to investigation reserve.
(2) Includes a charge of $15 million related to investigation reserve.
(3) Includes an after-tax gain on disposition of joint ventures of
$33.9 million ($54.6 million pre-tax).
Schnitzer Steel Industries, Inc.
Selected Operating Statistics
(Unaudited)
Total
Q1 FY07 Q2 FY07 Q3 FY07 FY07
---------- ---------- ---------- ----------
Metals Recycling Business
Ferrous Recycled
Metal Sales Prices
($/LT)(1)
Domestic $ 219 $ 233 $ 293 $ 251
Exports 230 238 295 254
Total
Processing 226 237 294 253
Trading 252 257 308 274
Ferrous Processing
Sales Volume (LT)
Cascade 191,090 151,383 185,281 527,754
Domestic 155,970 174,752 199,587 530,309
Export 521,200 816,683 643,031 1,980,914
---------- ---------- ---------- ----------
Total
Processed 868,260 1,142,818 1,027,899 3,038,977
---------- ---------- ---------- ----------
Ferrous Trading
Sales Volume (LT) 320,018 276,220 362,305 958,543
---------- ---------- ---------- ----------
Total Ferrous Sales
Volume (LT) 1,188,278 1,419,038 1,390,204 3,997,520
========== ========== ========== ==========
Nonferrous Average
Price ($/pound)(1) $ 1.017 $ 0.964 $ 1.049 $ 1.013
Nonferrous Sales
Volume (pounds, in
thousands) 79,728 90,140 108,149 278,017
Steel Manufacturing
Business
Sales Prices
($/NT)(1)
Average $ 546 $ 536 $ 596 $ 560
Sales Volume (NT)
Rebar 98,491 111,136 125,515 335,142
Coiled
Products 51,823 50,134 40,407 142,364
Merchant Bar
and Other 19,281 16,031 16,505 51,817
---------- ---------- ---------- ----------
Total 169,595 177,301 182,427 529,323
========== ========== ========== ==========
Auto Parts Business
Number of self-
service locations
at end of quarter 35 35 35 35
Number of full-
service sites at
end of quarter 17 17 17 17
Total
Q1 FY06 Q2 FY06 Q3 FY06 Q4 FY06 FY06
(2)
-------- ---------- ---------- ---------- ----------
Metals Recycling
Business
Ferrous
Recycled Metal
Sales Prices
($/LT)(1)
Domestic $ 207 $ 202 $ 215 $ 238 $ 217
Exports 204 195 206 245 214
Total
Processing 205 197 210 243 215
Trading 216 178 222 253 226
Ferrous
Processing
Sales Volume
(LT)
Cascade 154,146 147,986 174,833 190,971 667,936
Domestic 58,343 158,177 176,339 130,164 523,023
Export 336,712 605,386 534,966 621,182 2,098,246
-------- ---------- ---------- ---------- ----------
Total
Processed 549,201 911,549 886,138 942,317 3,289,205
-------- ---------- ---------- ---------- ----------
Ferrous Trading
Sales Volume
(LT) 306,716 154,387 351,173 459,323 1,271,599
-------- ---------- ---------- ---------- ----------
Total Ferrous
Sales Volume
(LT) 855,917 1,065,936 1,237,311 1,401,640 4,560,804
======== ========== ========== ========== ==========
Nonferrous
Average Price
($/pound)(1) $ 0.616 $ 0.742 $ 0.915 $ 1.083 $ 0.873
Nonferrous
Sales Volume
(pounds, in
thousands) 50,035 71,800 91,610 87,838 301,283
Steel
Manufacturing
Business
Sales Prices
($/NT)(1)
Average $ 517 $ 522 $ 523 $ 548 $ 528
Sales Volume
(NT)
Rebar 98,101 89,114 103,623 98,765 389,603
Coiled
Products 48,716 57,061 66,093 61,504 233,374
Merchant Bar
and Other 19,241 18,540 20,783 21,188 79,752
-------- ---------- ---------- ---------- ----------
Total 166,058 164,715 190,499 181,457 702,729
======== ========== ========== ========== ==========
Auto Parts
Business
Number of self-
service
locations at
end of quarter 30 31 32 34 34
Number of full-
service sites
at end of
quarter 19 20 18 17 17
(1) Price information is shown after a reduction for the cost of
freight incurred to deliver the product to the customer.
(2) The Company elected to consolidate results of two of the
businesses formed from the Hugo Neu Corporation separation agreement
as though the transaction had occurred at the beginning of the fiscal
year.
SCHNITZER STEEL INDUSTRIES, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited, in thousands, except per share amounts)
May 31, 2007 August 31, 2006
------------- ----------------
Assets
----------------------------------------
Current assets:
Cash and cash equivalents $ 14,251 $ 33,081
Accounts receivable, net 176,577 118,839
Inventories 293,089 263,583
Other current assets 23,335 23,241
------------- ----------------
Total current assets 507,252 438,744
Property, plant and equipment, net 368,716 312,907
Goodwill and other assets 311,290 293,073
------------- ----------------
Total assets $ 1,187,258 $ 1,044,724
============= ================
Liabilities and Shareholders' Equity
----------------------------------------
Current liabilities:
Short-term borrowings $ 6,977 $ 100
Other current liabilities 170,554 151,038
------------- ----------------
Total current liabilities 177,531 151,138
Long-term debt 167,882 102,829
Other long-term liabilities 59,467 51,525
Minority interests 5,229 5,133
Shareholders' equity 777,149 734,099
------------- ----------------
Total liabilities and
shareholders' equity $ 1,187,258 $ 1,044,724
============= ================
CONTACT: Schnitzer Steel Industries, Inc.
Investor Relations:
Rob Stone, 503-224-9900
ir@schn.com
or
Press Relations:
Tom Zelenka, 503-323-2821
www.schnitzersteel.com
SOURCE: Schnitzer Steel Industries, Inc.