News Releases
Schnitzer Steel Reports Second Quarter Results
PORTLAND, Ore.--(BUSINESS WIRE)--Apr. 2, 2009--
Schnitzer Steel Industries, Inc. (NASDAQ:SCHN) today reported revenues
of $434 million and a net loss of $7 million, or $0.25 per diluted
share, for the fiscal 2008 second quarter ended February 28, 2009.
Despite the quarterly net loss, the Company generated $91 million in
cash from operations.
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(in millions, except per-share data)
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Second
Quarter
2009
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Second
Quarter
2008
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First
Quarter
2009
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Year to
Date
2009
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Year to
Date
2008
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Revenues
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$
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434
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$
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751
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$
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499
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$
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932
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$
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1,355
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Operating Income (Loss)
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($
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18
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)
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$
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59
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($
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50
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)
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($
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68
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)
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$
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100
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Net Income (Loss)
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($
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7
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)
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$
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36
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($
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34
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)
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($
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41
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)
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$
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61
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Diluted Earnings (Loss) per Share
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($
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0.25
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)
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$
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1.25
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($
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1.21
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)
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($
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1.46
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)
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$
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2.10
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“The markets in the second quarter remained extremely challenging,” said
Tamara Lundgren, President and Chief Executive Officer. “The global
economic downturn continued, and the demand for finished steel products
and the raw materials used in making steel remained weak. However, our
export platform, which allows us to sell to the regions of the world
where demand is greatest, continued to provide a benefit as we were able
to take advantage of overseas markets which offered better net pricing
than the domestic markets.
“We reduced our production output to match lower demand and, through our
cost containment program, we have adjusted our cost structure
accordingly. Controllable production and SG&A costs have been
significantly reduced, including headcount reductions of nearly 500
employees, or 13% of the full-time workforce, and approximately 350
contractors. By controlling costs, reducing inventory levels and
actively managing the cash spreads between our selling prices for
recycled metal and steel products and the cost of purchasing raw
materials, we were able to generate positive operating cash flows during
the quarter of $91 million, a $21 million increase over the first
quarter. These initiatives have strengthened our ability to weather the
current market environment.
“During the second quarter, we completed four acquisitions which
expanded our Metals Recycling operations into Puerto Rico and further
enhanced our position on the West Coast and our Auto Parts Business
presence in Northern California. We were able to make these acquisitions
and additional capital improvements while increasing our debt, net of
cash, by only $19 million compared to the end of the first quarter of
fiscal 2009. Our strong cash flows and low leverage have enabled us to
continue our growth strategy of investing in technology and
infrastructure improvements and making value-enhancing acquisitions,”
added Lundgren.
Metals Recycling Business
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($ in millions, except selling prices; ferrous volume in
thousand long tons, nonferrous volumes in million pounds)
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Second
Quarter
2009
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Second
Quarter
2008
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First
Quarter
2009
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Year to
Date
2009
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Year to
Date
2008
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Total Revenues
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$
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337
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$
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597
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$
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401
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$
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738
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$
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1,078
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Ferrous Revenues
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$
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298
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$
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497
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$
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313
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$
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611
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$
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885
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Ferrous Volumes (Processing/Trading)
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1,083/0
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1,128/149
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779/0
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1,862/0
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2,129/284
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Avg. Net Ferrous Sales Price ($/LT)(1)
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$
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253
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$
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326
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$
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359
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$
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297
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$
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305
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Nonferrous Volumes
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77
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96
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107
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184
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185
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Avg. Net Nonferrous Sales Prices ($/LB)(1)
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$
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0.45
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$
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0.98
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$
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0.78
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$
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0.65
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$
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0.99
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Operating Income (Loss) (2)
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$
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5
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$
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52
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($
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19
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)
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($
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14
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)
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$
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82
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(1) Price information is shown after netting the cost of freight
incurred to deliver the product to the customer
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(2) Includes operating income from joint ventures
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Revenues for the Metals Recycling Business declined 44% over the second
quarter of 2008. The decrease was primarily the result of a 23% decline
in average net ferrous selling prices and a 15% decline in ferrous
processing and trading sales volumes. Lower nonferrous sales volumes and
sales prices also contributed to the decline in revenues. The lower year
over year sales volumes and sales prices were the result of weaker
demand and reduced inflows due to the continued impact of the worldwide
economic downturn.
Compared to the first quarter of 2009, revenues declined 16% as higher
ferrous sales volumes were more than offset by lower ferrous and
nonferrous sales prices and lower nonferrous sales volumes. During the
quarter the markets for ferrous scrap improved from the low point
experienced toward the end of the first quarter, although average net
prices were lower than the average prices for the first quarter as a
whole. Second quarter sales volumes increased compared to the first
quarter due to the timing of shipments deferred from the first quarter
and an improved flow of raw materials as the quarter progressed.
Operating income for the quarter declined $47 million from the second
quarter of 2008, primarily due to the weaker demand and the impact of
low margin sales resulting from the selling of inventory written down to
market sales prices at the end of the first quarter of 2009. Operating
income improved $24 million from an operating loss of $19 million in the
first quarter of 2009.
Auto Parts Business
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($ in millions, except locations)
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Second
Quarter
2009
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Second
Quarter
2008
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First
Quarter
2009
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Year to
Date
2009
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Year to
Date
2008
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Revenues
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$
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58
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$
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77
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$
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67
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$
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126
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$
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149
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Operating Income (Loss)
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($
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5
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)
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$
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7
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($
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9
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)
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($
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14
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)
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$
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14
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Locations (end of quarter)
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58
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53
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56
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58
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53
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Revenues for the Auto Parts Business decreased 25% over the same period
last year, primarily as a result of a 21% decrease in purchases of
scrapped vehicles, which led to lower sales volumes of cores and scrap,
lower market prices for cores and scrap and lower full-service parts
revenues. Compared to the first quarter of 2009, revenues declined 14%
due to lower scrapped vehicle purchases and lower market prices for
cores and scrap.
Operating income declined $12 million to an operating loss of $5 million
from the second quarter of 2008, primarily due to lower self-service
volumes and significantly lower margins from sales of cores and scrap.
Year over year, the Auto Parts Business continued to be impacted by
inventory values which fell less quickly than sales prices. Compared to
the first quarter of 2009, the operating loss improved $4 million, or
44%, due to the Company’s cost containment program and reduced average
inventory costs, which together more than offset lower scrapped vehicle
purchases and lower average prices for cores and scrap.
Steel Manufacturing Business
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($ in millions, except selling prices; volume in thousand tons,
excluding billets)
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Second
Quarter
2009
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Second
Quarter
2008
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First
Quarter
2009
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Year to
Date
2009
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Year to
Date
2008
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Revenues
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$
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52
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$
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143
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$
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99
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$
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151
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$
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253
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Avg. Net Sales Prices ($/T)
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$
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570
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$
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616
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$
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864
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$
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730
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$
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609
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Sales Volume
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82
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202
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98
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181
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376
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Operating Income (Loss)
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($
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6
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)
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$
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13
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($
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31
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)
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($
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38
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)
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$
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28
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Revenues for the Steel Manufacturing Business fell 64% on a year over
year basis, primarily due to a 120 thousand ton, or 59%, drop in
finished goods sales volumes, and a $46/ton, or 7%, drop in finished
goods net sales prices.
Compared to the first quarter of 2009, revenues declined 47% on a 34%
drop in net sales prices and a 16% drop in sales volume. During the
quarter, demand in the West Coast steel markets remained weak.
The second quarter operating loss of $6 million represented a $19
million decline in year over year operating income. Compared to the
first quarter, the operating loss improved $25 million from the first
quarter loss of $31 million. The second quarter loss included $6 million
in expenses pursuant to FAS 151 which could not be capitalized into
inventory as the Company curtailed production volumes to levels lower
than sales volumes in order to reduce billet and finished goods
inventories.
Outlook
The Company said the factors, which are forward-looking statements and
subject to uncertainty as discussed below, that will affect its results
in the third quarter of 2009 include:
Metals Recycling Business:
Pricing. Pricing for ferrous scrap metal began to decline
slightly toward the end of the second fiscal quarter. Based on current
market conditions, third quarter average net prices are expected to be
slightly lower than prices achieved during the second quarter. The
overseas markets for ferrous scrap are expected to remain stronger than
domestic markets.
Sales volumes. Demand for ferrous and nonferrous materials
appears to have stabilized and both ferrous and nonferrous sales volumes
will be highly dependent upon the timing of shipments. Third quarter
ferrous processing sales volumes are expected to decline slightly from
volumes shipped during the recently completed second quarter. Nonferrous
sales volumes are expected to increase slightly on a sequential basis.
Margins. Lower inventory costs, which are more reflective of the
current market for raw materials, are expected to result in an operating
margin per ton which is improved from the recently completed second
quarter. However, lower sales prices for the nonferrous metals extracted
from the shredding process are expected to result in an operating margin
per ton slightly below the bottom end of the quarterly range of $22/ton
to $62/ton experienced during fiscal years 2006 and 2007.
Auto Parts Business:
Revenue. Normal seasonal improvements in parts sales and the
availability of scrapped vehicles are expected to result in revenues
which are improved from the recently completed second quarter.
Margins. Operating margins are expected to be positive and
improved from the second quarter due to improved margins from scrap and
cores and seasonal improvements in parts sales.
Steel Manufacturing Business:
Pricing. Demand for finished steel products in West Coast markets
is expected to remain weak, and average sales prices are expected to
decline from the levels in the recently completed second quarter.
Volumes. Sales volumes are expected to approximate the volumes in
the recently completed second quarter.
Margins. The impact of low production volumes and falling sales
prices, both due to continued weak demand for finished steel products,
are expected to result in margins in the Steel Manufacturing Business
which will remain negative, although improved from the recently
completed second quarter.
Non-GAAP Financial Measures:
Debt, net of cash.
Debt, net of cash, is the difference between (i) the sum of long-term
debt and short-term debt (i.e. total debt) and (ii) cash and cash
equivalents. Management believes debt, net of cash is a useful measure
for investors, because cash and cash equivalents can be used, among
other things, to repay indebtedness, and netting this against total debt
is a useful measure of the Company’s leverage.
Management believes that this non-GAAP financial measure allows for a
better understanding of the Company’s operating and financial
performance. This non-GAAP financial measure should be considered in
addition to, but not as a substitute for, the most directly comparable
U.S. GAAP measure. The following is a reconciliation of debt, net of
cash (in thousands):
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February 28,
2009
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November 30,
2008
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Short-term borrowings and capital lease obligations, current
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$
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19,155
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$
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25,537
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Long-term debt and capital lease obligations, net of current
maturities
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130,636
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106,107
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Total debt
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149,791
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131,644
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Less: cash and cash equivalents
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8,736
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10,039
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Total debt, net of cash
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$
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141,055
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$
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121,605
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Second Quarter 2009 Conference Call
A conference call to discuss results will be held today, April 2, 2009,
at 11:30 a.m. EDT, hosted by Tamara Lundgren, Chief Executive Officer,
and Richard Peach, 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
42 operating facilities located in 13 states and Puerto Rico, including
seven export facilities located on both the East and West Coasts and in
Hawaii and Puerto Rico. 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 40 self-service facilities and 18 full-service facilities
located in 14 states and in western Canada. With an annual production
capacity of nearly 800,000 tons, the Company’s steel manufacturing
business produces finished steel products, including rebar, wire rod and
other specialty products. The Company commenced its 103rd year of
operations in fiscal 2009.
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 margins, costs and operating results.
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 the raw
materials it purchases; world economic conditions; world political
conditions; unsettled credit markets; the Company’s ability to match
output with demand; changes in federal and state income tax laws;
government regulations and environmental matters; 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 and availability of transportation; loss of key personnel;
expectations regarding the Company’s compliance program; the inability
to obtain sufficient quantities of scrap metal to support current
orders; purchase price estimates made during acquisitions; business
integration issues relating to acquisitions of businesses; new
accounting pronouncements; availability of capital resources;
creditworthiness of and availability of credit to suppliers and
customers; business disruptions resulting from installation or
replacement of major capital assets; and the adverse impact of climate
changes, as discussed in more detail in the Company’s most recent Annual
Report on Form 10-K and 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.
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SCHNITZER STEEL INDUSTRIES, INC.
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FINANCIAL HIGHLIGHTS
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(in thousands, except per share amounts)
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(Unaudited)
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For the Three Months Ended
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For the Six Months Ended
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February 28,
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February 29,
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February 28,
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February 29,
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2009
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2008
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2009
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2008
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REVENUES:
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Metals Recycling Business:
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Ferrous sales
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297,757
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497,088
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610,512
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885,369
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Nonferrous sales
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36,999
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96,158
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123,515
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185,764
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Other sales
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2,076
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3,311
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3,988
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6,896
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Total sales
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336,832
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596,557
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738,015
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1,078,029
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Auto Parts Business
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58,277
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77,333
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125,581
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149,496
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Steel Manufacturing Business
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51,925
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143,498
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150,557
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253,187
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Intercompany sales eliminations
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(13,432
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)
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(65,916
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)
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(81,986
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)
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|
(125,342
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)
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Total
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$
|
433,602
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|
$
|
751,472
|
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|
$
|
932,167
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$
|
1,355,370
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INCOME (LOSS) FROM OPERATIONS:
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Metals Recycling Business:
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5,264
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51,940
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(13,988
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)
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81,576
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Auto Parts Business
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(5,443
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)
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6,540
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(14,391
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)
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13,754
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Steel Manufacturing Business
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(6,395
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)
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13,165
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(37,680
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)
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27,509
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Corporate expense
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(9,670
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)
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(11,993
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)
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(15,252
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)
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(21,505
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)
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Intercompany eliminations
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(1,312
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)
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(855
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)
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13,347
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(1,169
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)
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Total
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|
$
|
(17,556
|
)
|
|
$
|
58,797
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|
$
|
(67,964
|
)
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|
$
|
100,165
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|
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NET INCOME (LOSS)
|
|
$
|
(6,965
|
)
|
|
$
|
35,871
|
|
|
$
|
(40,968
|
)
|
|
$
|
60,582
|
|
|
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BASIC EARNINGS (LOSS) PER SHARE
|
|
$
|
(0.25
|
)
|
|
$
|
1.27
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|
$
|
(1.46
|
)
|
|
$
|
2.13
|
|
|
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|
DILUTED EARNINGS (LOSS) PER SHARE
|
|
$
|
(0.25
|
)
|
|
$
|
1.25
|
|
|
$
|
(1.46
|
)
|
|
$
|
2.10
|
|
|
|
|
SHARE INFORMATION (THOUSANDS):
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Basic shares outstanding
|
|
|
28,194
|
|
|
|
28,242
|
|
|
|
28,118
|
|
|
|
28,386
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|
|
|
|
Diluted shares outstanding
|
|
|
28,194
|
|
|
|
28,791
|
|
|
|
28,118
|
|
|
|
28,916
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SCHNITZER STEEL INDUSTRIES, INC.
|
|
CONDENSED CONSOLIDATED STATEMENT OF INCOME
|
|
(in thousands, except per share amounts)
|
|
(Unaudited)
|
|
|
|
|
|
For the Three Months Ended
|
|
For the Six Months Ended
|
|
|
|
February 28, 2009
|
|
February 29, 2008
|
|
February 28, 2009
|
|
February 29, 2008
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
$
|
433,602
|
|
|
$
|
751,472
|
|
|
$
|
932,167
|
|
|
$
|
1,355,370
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of goods sold
|
|
|
403,717
|
|
|
|
642,552
|
|
|
|
917,477
|
|
|
|
1,161,929
|
|
|
Selling, general and administrative
|
|
|
47,964
|
|
|
|
51,917
|
|
|
|
91,046
|
|
|
|
96,810
|
|
|
Environmental matters
|
|
|
(467
|
)
|
|
|
(157
|
)
|
|
|
(6,080
|
)
|
|
|
(157
|
)
|
|
(Income) from joint ventures
|
|
|
(56
|
)
|
|
|
(1,637
|
)
|
|
|
(2,312
|
)
|
|
|
(3,377
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (loss)
|
|
|
(17,556
|
)
|
|
|
58,797
|
|
|
|
(67,964
|
)
|
|
|
100,165
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income (expense):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
(840
|
)
|
|
|
(2,648
|
)
|
|
|
(2,194
|
)
|
|
|
(4,996
|
)
|
|
Other income (expense), net
|
|
|
873
|
|
|
|
97
|
|
|
|
1,151
|
|
|
|
710
|
|
|
|
|
|
33
|
|
|
|
(2,551
|
)
|
|
|
(1,043
|
)
|
|
|
(4,286
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before income taxes and minority interests
|
|
|
(17,523
|
)
|
|
|
56,246
|
|
|
|
(69,007
|
)
|
|
|
95,879
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax benefit (expense)
|
|
|
10,604
|
|
|
|
(19,881
|
)
|
|
|
27,838
|
|
|
|
(34,106
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before minority interests and pre-acquisition
interests
|
|
|
(6,919
|
)
|
|
|
36,365
|
|
|
|
(41,169
|
)
|
|
|
61,773
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Minority interests, net of tax
|
|
|
(46
|
)
|
|
|
(494
|
)
|
|
|
201
|
|
|
|
(1,191
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
|
|
$
|
(6,965
|
)
|
|
$
|
35,871
|
|
|
$
|
(40,968
|
)
|
|
$
|
60,582
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings (loss) per share
|
|
$
|
(0.25
|
)
|
|
$
|
1.27
|
|
|
$
|
(1.46
|
)
|
|
$
|
2.13
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss) per share
|
|
$
|
(0.25
|
)
|
|
$
|
1.25
|
|
|
$
|
(1.46
|
)
|
|
$
|
2.10
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Schnitzer Steel Industries, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selected Operating Statistics
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
|
|
|
Q1 FY09
|
|
Q2 FY09
|
|
FY09
|
|
Q1 FY08
|
|
Q2 FY08
|
|
Q3 FY08
|
|
Q4 FY08
|
|
FY08
|
|
Metals Recycling Business
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ferrous Recycled Metal Selling Prices ($/LT)(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
|
|
$
|
371
|
|
$
|
209
|
|
$
|
319
|
|
$
|
279
|
|
$
|
321
|
|
$
|
464
|
|
$
|
583
|
|
$
|
416
|
|
Exports
|
|
|
353
|
|
|
259
|
|
|
291
|
|
|
286
|
|
|
331
|
|
|
459
|
|
|
636
|
|
|
444
|
|
Average
|
|
|
359
|
|
|
253
|
|
|
297
|
|
|
284
|
|
|
328
|
|
|
460
|
|
|
622
|
|
|
436
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ferrous Processing Sales Volume (LT)(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cascade
|
|
|
145,493
|
|
|
29,761
|
|
|
175,254
|
|
|
179,686
|
|
|
170,221
|
|
|
186,696
|
|
|
200,523
|
|
|
737,126
|
|
Domestic
|
|
|
129,620
|
|
|
99,275
|
|
|
228,895
|
|
|
178,833
|
|
|
210,824
|
|
|
226,961
|
|
|
188,801
|
|
|
805,419
|
|
Export
|
|
|
503,635
|
|
|
954,003
|
|
|
1,457,638
|
|
|
642,142
|
|
|
746,736
|
|
|
722,973
|
|
|
1,099,203
|
|
|
3,211,054
|
|
Total Processed
|
|
|
778,748
|
|
|
1,083,039
|
|
|
1,861,787
|
|
|
1,000,661
|
|
|
1,127,781
|
|
|
1,136,630
|
|
|
1,488,527
|
|
|
4,753,599
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ferrous Trading Sales Volume (LT)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trading
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
134,957
|
|
|
148,899
|
|
|
151,324
|
|
|
8,407
|
|
|
443,587
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Ferrous Sales Volume (LT)(2)
|
|
|
778,748
|
|
|
1,083,039
|
|
|
1,861,787
|
|
|
1,135,618
|
|
|
1,276,680
|
|
|
1,287,954
|
|
|
1,496,934
|
|
|
5,197,186
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonferrous Average Price ($/pound)(1)
|
|
$
|
0.784
|
|
$
|
0.45
|
|
$
|
0.65
|
|
$
|
1.000
|
|
$
|
0.980
|
|
$
|
1.069
|
|
$
|
1.053
|
|
$
|
1.030
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonferrous Sales Volume (pounds, in thousands)
|
|
|
107,359
|
|
|
76,822
|
|
|
184,181
|
|
|
88,808
|
|
|
96,278
|
|
|
128,858
|
|
|
125,525
|
|
|
439,469
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Manufacturing Business
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales Prices ($/NT)(1)(2)(3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
|
|
$
|
864
|
|
$
|
570
|
|
$
|
730
|
|
$
|
601
|
|
$
|
616
|
|
$
|
744
|
|
$
|
958
|
|
$
|
728
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales Volume (NT)(3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Rebar
|
|
|
46,917
|
|
|
56,588
|
|
|
103,505
|
|
|
108,856
|
|
|
127,732
|
|
|
128,597
|
|
|
104,926
|
|
|
470,111
|
|
Coiled Products
|
|
|
45,051
|
|
|
19,332
|
|
|
64,383
|
|
|
49,343
|
|
|
57,096
|
|
|
74,270
|
|
|
65,397
|
|
|
246,106
|
|
Merchant Bar and Other
|
|
|
6,235
|
|
|
6,783
|
|
|
13,018
|
|
|
16,031
|
|
|
17,332
|
|
|
15,033
|
|
|
11,576
|
|
|
59,972
|
|
Total
|
|
|
98,203
|
|
|
82,703
|
|
|
180,906
|
|
|
174,230
|
|
|
202,160
|
|
|
217,900
|
|
|
181,899
|
|
|
776,189
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Auto Parts Business
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of self-service locations at end of quarter
|
|
|
38
|
|
|
40
|
|
|
40
|
|
|
35
|
|
|
35
|
|
|
35
|
|
|
38
|
|
|
38
|
|
Number of full-service sites at end of quarter
|
|
|
18
|
|
|
18
|
|
|
18
|
|
|
17
|
|
|
17
|
|
|
17
|
|
|
18
|
|
|
18
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Price information is shown after a reduction for the cost of
freight incurred to deliver the product to the customer.
|
|
(2) Includes sales to the Steel Manufacturing Business for all
quarters.
|
|
(3) Excludes billet sales.
|
|
|
|
|
|
SCHNITZER STEEL INDUSTRIES, INC.
|
|
CONDENSED CONSOLIDATED BALANCE SHEETS
|
|
(Unaudited, in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
February 29, 2009
|
|
|
August 31, 2008
|
|
Assets
|
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
8,736
|
|
$
|
15,039
|
|
Accounts receivable, net
|
|
|
127,213
|
|
|
314,993
|
|
Inventories
|
|
|
238,112
|
|
|
429,061
|
|
Other current assets
|
|
|
57,281
|
|
|
20,433
|
|
Total current assets
|
|
|
431,342
|
|
|
779,526
|
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment, net
|
|
|
463,375
|
|
|
431,898
|
|
|
|
|
|
|
|
|
|
|
Goodwill and other assets
|
|
|
405,234
|
|
|
343,429
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
1,299,951
|
|
$
|
1,554,853
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Shareholders’ Equity
|
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
Short-term borrowings
|
|
$
|
19,155
|
|
$
|
25,490
|
|
Other current liabilities
|
|
|
144,110
|
|
|
319,432
|
|
Total current liabilities
|
|
|
163,265
|
|
|
344,922
|
|
|
|
|
|
|
|
|
|
|
Long-term debt
|
|
|
130,636
|
|
|
158,933
|
|
|
|
|
|
|
|
|
|
|
Other long-term liabilities
|
|
|
68,388
|
|
|
68,447
|
|
|
|
|
|
|
|
|
|
|
Minority interests
|
|
|
2,840
|
|
|
4,399
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity
|
|
|
934,822
|
|
|
978,152
|
|
|
|
|
|
|
|
|
|
|
Total liabilities and shareholders’ equity
|
|
$
|
1,299,951
|
|
$
|
1,554,853
|
|
|
|
|
|
|
|
|
Source: Schnitzer Steel Industries, Inc.
Schnitzer Steel Industries, Inc.
Investor Relations Contact
Rob
Stone, 503-224-9900
or
Press Relations Contact
Tom
Zelenka, 503-323-2821
ir@schn.com
www.schnitzersteel.com