On February 6, 2013, Reliance announced a definitive merger agreement whereby Reliance will acquire all outstanding shares of Metals USA Holdings Corp. (“Metals USA”) for $20.65 per share in cash, which, along with the assumption of Metals USA’s debt represents an enterprise value of approximately $1.2 billion. The transaction is expected to close in the second quarter of 2013, subject to certain regulatory approvals. Metals USA’s unaudited assets and sales as of December 31, 2012 and for the year then ended were approximately $1.0 billion and $2.0 billion, respectively.
On February 19, 2013, the Board of Directors declared a regular quarterly cash dividend of $0.30 per share of common stock, an increase of 20%. The dividend is payable on March 22, 2013 to shareholders of record March 1, 2013. The Company has increased its dividend 19 times since its initial public offering in 1994 and has paid regular quarterly dividends for 53 consecutive years.
Business OutlookThe Company expects that global economic and political uncertainty will continue to negatively impact the industry in the 2013 first quarter, pressuring both demand and pricing. However, the Company’s January tons sold improved modestly from the 2012 fourth quarter and pricing has been generally stable so far. As a result, for the first quarter ending March 31, 2013, management currently expects earnings per diluted share to be in the range of $1.05 to $1.15. Conference Call Details A conference call and simultaneous webcast to discuss fourth quarter and full year financial results and business outlook will be held today, February 21, 2013, at 11:00 a.m. Eastern / 8:00 a.m. Pacific. David Hannah, Reliance Steel & Aluminum Co.’s Chairman of the Board and Chief Executive Officer; Gregg Mollins, President and Chief Operating Officer; and Karla Lewis, Executive Vice President and Chief Financial Officer, will host the call. To listen to the live call by telephone, please dial (888) 267-2845 (U.S. and Canada) or (973) 413-6102 (International) approximately 10 minutes prior to the start time and use the conference entry code: 1799. Additionally, a live webcast of the call will be available on Reliance Steel & Aluminum Co.’s web site at www.rsac.com. Participants are encouraged to visit the web site at least 15 minutes prior to the start of the call to register and to download and install any necessary audio software. For those unable to participate during the live broadcast, a replay of the call will also be available beginning that same day at 1:30 p.m. Eastern Time until 11:59 p.m. Eastern Time on Thursday, March 7, 2013 by dialing (973) 528-0005 and entering the conference entry code: 1799. The webcast will remain posted on the investor relations portion of Reliance’s web site at www.rsac.com for 30 days. About Reliance Steel & Aluminum Co. Reliance Steel & Aluminum Co., headquartered in Los Angeles, California, is the largest metals service center company in North America. Through a network of more than 240 locations in 38 states and Australia, Belgium, Canada, China, Malaysia, Mexico, Singapore, South Korea, the U.A.E. and the United Kingdom, the Company provides value-added metals processing services and distributes a full line of over 100,000 metal products to more than 125,000 customers in a broad range of industries.
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