About Russel Metals

Russel Metals Inc. operates as a metals distribution and processing company in North America. The company’s business includes operations in both Canada and the U.S. Segments The company operates through three segments: Metals Service Centers; Energy Products and Steel Distributors. Metals Service Centers This segment sells plate, flat rolled carbon and other general line carbon steel products, as well as stainless steel, aluminum and other non-ferrous specialty metal products in a range of sizes, shapes and specifications. General line steel products consisting of plate, structurals, bars, sheet, pipe, tubing and hollow structural steel tubing, are used by end users in various industries. Within Canada, this segment operates from coast to coast under the names Russel Metals, Métaux Russel, A. J. Forsyth, Acier Leroux, Acier Loubier, Alberta Industrial Metals, B&T Steel, Color Steels, Couleur Aciers, Leroux Steel, Mégantic Métal, Métaux Russel Produits Spécialisés, Pemco Steel, Russel Metals Processing, Russel Metals Specialty Products, McCabe Steel and York-Ennis. The company’s U.S. service center operations are conducted under the names Baldwin International, DuBose Steel, JMS Russel Metals, Norton Metals and Russel Metals Williams Bahcall. Baldwin International distributes specialty alloy products throughout the U.S. from its facility in Ohio. The JMS Russel Metals operations, including DuBose Steel and Norton Metals, process and distribute full-line carbon steel and non-ferrous products from its facilities located in Alabama, Arkansas, Georgia, North Carolina, Kentucky, Tennessee and Texas. The Russel Metals Williams Bahcall operation focuses primarily on processing and distribution of general line carbon products through three facilities in Wisconsin The company’s value-added processes include but are not limited to shearing, slitting and cutting to length: the cutting of metal into smaller pieces or into narrower coils; laser, oxy-fuel, and plasma cutting: the cutting of metal to produce various shapes, holes, beveling or parts according to end user supplied drawings; stretcher leveling and traditional leveling: the flattening of metal to uniform tolerances for proper machining; beam drilling, notching and coping and tee-splitting: the drilling of holes and notches at various points on a beam and the splitting of metal beams; tube laser processing and saw cutting: the cutting of long products to precise lengths both square cut and mitre; edge trimming: removing a portion of the edges of coiled metal to produce uniform width and round or smooth edges; and cambering: the bending of structural steel to improve load-bearing capabilities. In 2019, this segment handled an average of approximately 3,303 transactions per day. The company’s metals service centers sales are primarily transactional in nature and primarily made on an individual purchase order basis. This segment provides products and services to customers in various industries, including machinery and equipment manufacturing, construction, shipbuilding and natural resources, such as mining and petroleum. Energy Products This segment distributes oil country tubular goods, line pipe, tubes, flanges, valves and fittings primarily to the energy industry. This segment consists of seven businesses, each of which sells a distinct line of products. These businesses are: Apex Distribution, Apex Monarch and Apex Western Fiberglass: Distributors of valves, fittings, flanges, pipe and related products through oil service stores for use in the Canadian oil and gas, industrial and resource markets. These products are distributed through 41 retail distribution locations in Manitoba, Saskatchewan, Alberta and British Columbia. Comco Pipe and Supply Company: A distributor of pipe, flanges, fittings, and valves. Comco Pipe and Supply engages in the supply and distribution of pipe and fluid handling products to the energy, construction, manufacturing, pulp and paper and mining industries. These products are distributed throughout Canada from its facilities in Edmonton and Fort McMurray, Alberta; Stonewall, Manitoba; and Guelph and Sarnia, Ontario. Elite Supply Partners: A distributor of valves, fittings, flanges, pipe and related products through oil service stores for use in the U.S. oil and gas, industrial and resource markets. These products are distributed through 19 retail distribution locations in Texas, North Dakota, Oklahoma and New Mexico. Fedmet Tubulars: A distributor of oil country tubular goods (which includes casing and tubing), line pipe and related products for use in oil and gas production and distribution. Fedmet Tubulars' sales office is located in Calgary, Alberta. Inventory is stocked in third party yards in Alberta, Saskatchewan, Manitoba and British Columbia. Triumph Tubular and Supply: A distributor of oil country tubular goods and line pipe for use in oil and gas production and distribution. Triumph's sales office is located in Calgary, Alberta. Inventory is stocked in third party yards in Alberta, Saskatchewan and British Columbia. Pioneer Pipe: A distributor and processor of steel pipe products, valves and fittings for use in the construction, oil and gas and ski industries in the United States. Pioneer Pipe operates facilities in Colorado, California and Utah, and utilizes multiple third-party yards in the United States. Spartan Energy Tubulars: A distributor of domestic and imported oil country tubular goods and pipe piling products. Spartan maintains stock in multiple third-party facilities in Texas. Steel Distributors This segment acts as master distributors selling steel in large volumes to other steel service centers and large equipment manufacturers primarily on an ‘as is’ basis. The company’s steel distributors source their steel domestically and offshore. The company sources carbon steel plate, beams, channel, flat rolled products, rail and pipe products. Sales commitments for a portion of these products are obtained prior to their purchase or while the product is in production and transit. Products for which sales commitments have not been obtained are held in public warehouses for resale to North American service centers and other customers. The company’s steel distributors operations are conducted through Wirth Steel located in Canada and the Sunbelt Group located in the United States. Arrow Steel, a division of the Sunbelt Group, processes coil through their cutto-length facility. Business Strategy The key elements of the company's strategy include managing capital utilization, expansion through select acquisitions, growth through value-added processing, and decentralizing operating management combined with economies of scale. History Russel Metals Inc. was incorporated in 1929.