RUSSEL METALS/NEWS
FOR IMMEDIATE RELEASE
STOCK SYMBOL: TSE: RUS.A NASDAQ: RUSAF
RUSSEL METALS REPORTS SECOND QUARTER RESULTS
TORONTO (August 14, 1996) -- Russel Metals Inc. today reported second quarter
earnings of
$2.4 million or two cents per share, compared to earnings of $5.2 million or
eight cents per share
in the second quarter of last year. Metals earnings in the quarter were higher
than the previous
three quarters.
The Company's consolidated revenues for the quarter decreased by 6.6% to $377.5
million
compared to $404.3 million in the second quarter of last year. Metals segment
revenues declined
4.2% in the quarter reflecting lower selling prices and volumes. Metals second
quarter revenue
showed an improvement of 4.2% compared to the first quarter of 1996.
Metals operating profit in the quarter declined to $9.6 million from $18.0
million in the
comparable quarter of 1995. The second quarter of 1995 was one of the industry's
strongest
quarters in the current cycle. Lower volumes and steel prices in the current
quarter combined with
continuing customer resistance to price increases by the steel mills, were the
principal reasons for
the lower Metals earnings. Metals second quarter operating profit was ahead $4.6
million when
compared to the fourth quarter of fiscal 1995 and ahead $2.5 million compared to
the first quarter
of this year.
.../2
- 2 -
Reduced revenue and operating margins in the Transport operations for the
current quarter relate
primarily to the absence of the White Pass Petroleum operations that were sold
effective May 31,
1995. Sales of comparable Transport operations were ahead 5% in the quarter
compared to the
same quarter last year, while operating earnings did not change.
Interest costs declined $3.5 million, or 33%, from the second quarter of 1995 to
$7.1 million in
the current quarter. The reduction in Metals working capital requirements
combined with
proceeds from the sale of non-metals assets are the principal factors
contributing to the lower
interest costs.
Russel Metals Chairman and Chief Executive Officer, John S. Pelton, commented,
"The recently
announced arrangement with Samuel, Son & Co. Ltd. to exchange assets and
establish supply
agreements, together with other important reorganization and expansion
initiatives underway will
substantially improve efficiency and profitability levels in our Company."
Russel Metals is one of the five largest distributors and processors of metal
and metal products in
North America through its network of 59 service centers. The Company's operating
units trade
under various names including Russel Metals, Drummond McCall, Baldwin
International, Bahcall
Group, Total Distributors, Pioneer Steel & Tube, Copco Steel, Comco Pipe and
Supply and
Wirth Limited. Russel Metals also has investments in the transportation sector.
-30-
For further information, contact:
David Fine
Vice President Planning
and Communications,
Russel Metals
(905) 819 - 7402
<TABLE>
<CAPTION>
RUSSEL METALS INC.
CONSOLIDATED BALANCE SHEETS (UNAUDITED)
($000)
<S> <C> <C>
June 30, December 31,
1996 1995
(Restated)
Current assets
Accounts receivable $231,966 $206,419
Income taxes recoverable 11,940 11,940
Inventories 242,275 242,568
Prepaid expenses and other assets 6,858 3,247
493,039 464,174
Fixed assets
Property, plant and equipment 160,127 161,526
Property held for resale 59,617 57,224
219,744 218,750
Other assets
Long-term receivable 22,642 22,676
Other investments 15,842 16,441
Deferred charges 12,710 14,218
Goodwill 11,585 12,160
Deferred income taxes 61,855 57,089
124,634 122,584
$837,417 $805,508
Current liabilities
Bank indebtedness $ 91,758 $ 63,987
Accounts payable and accrued liabilities 177,163 170,242
Current portion of long-term debt 21,510 21,264
290,431 255,493
Long-Term Debt 180,938 183,807
Shareholders' Equity 366,048 366,208
$837,417 $805,508
</TABLE>
<PAGE>
RUSSEL METALS INC.
CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED)
Quarter ended June 30
<TABLE>
<CAPTION>
($000, except for per share amounts and average shares outstanding)
<S> <C> <C> <C> <C>
Quarter Ended Six Months Ended
June 30, June 30,
1996 1995 1996 1995
(Restated) (Restated)
Sales and services
Metals $338,259 $353,051 $663,042 $703,199
Transport 39,283 51,241 71,223 98,766
$377,542 $404,292 $734,265 $801,965
Earnings before interest and taxes
Metals $ 9,562 $ 18,045 $ 16,665 $ 38,247
Transport 4,232 4,325 3,963 5,535
Corporate (2,645) (2,660) (5,389) (5,245)
11,149 19,710 15,239 38,537
Interest 7,050 10,591 14,082 20,456
Earnings before income taxes 4,099 9,119 1,157 18,081
Provision for income taxes 1,681 3,875 549 7,851
Net earnings for the period $ 2,418 $ 5,244 $ 608 $ 10,230
Net earnings (loss) per common share
Basic $0.02 $0.08 ($0.04) $0.16
Fully diluted $0.02 $0.08 ($0.04) $0.16
Average shares outstanding 51,007,864 51,007,864 51,007,864 51,007,864
</TABLE>
<PAGE>
RUSSEL METALS INC.
CONSOLIDATED STATEMENTS OF CHANGES IN FINANCIAL POSITION
(UNAUDITED)
Six Months ended June 30
<TABLE>
<CAPTION>
($000)
<S> <C> <C>
1996 1995
(Restated)
Operating activities
Net earnings from continuing operations $ 608 $ 10,230
Depreciation and amortization 9,110 8,617
Deferred income taxes (4,861) 2,909
Accrued revenue - deferred income taxes (326) (391)
Loss (gain) on sale of fixed assets 109 (7)
Cash from continuing operations 4,640 21,358
Changes in working capital items
Accounts receivable (25,569) (20,247)
Inventories 251 (32,694)
Accounts payable and accrued liabilities 6,703 25,464
Other (3,611) (3,258)
Cash used in continuing operating activities (17,586) (9,377)
Financing activities
Decrease in long-term debt (2,242) (3,250)
Decrease in long-term receivable 360 2,335
Distributions (2,415) (2,288)
Cash used in financing activities (4,297) (3,203)
Investing activities
Purchase of fixed assets (8,217) (29,851)
Proceeds on sale of fixed assets 1,222 416
Proceeds on sale of subsidiary company 411 34,074
Purchase of subsidiary companies - (4,857)
Other 1,928 3,607
Cash from (used in) investing activities (4,656) 3,389
Decrease in cash from continuing operations (26,539) (9,191)
Cash used in discontinued operations (1,232) (27,386)
Decrease in cash (27,771) (36,577)
Cash position, beginning of the period (63,987) (99,122)
Cash position, end of the period $(91,758) $(135,699)
NOTE: Cash position represents bank indebtedness.
</TABLE>
<PAGE>
Russel Metals Inc.
Management's Discussion and Analysis of
Financial Condition and Results of Operations
For The Six Months Ended June 30, 1996
The following management discussion and analysis of financial condition and
results of
operations should be read in conjunction with the audited Consolidated Financial
Statements
for the year ended December 31, 1995 including the notes thereto, and the
accompanying
condensed unaudited Consolidated Financial Statements for the quarter and six
months ended
June 30, 1996. In the opinion of management, such interim information contains
all
adjustments, consisting only of normal recurring adjustments, necessary for a
fair presentation
of the results of such periods. The results of operations for the periods shown
are not
necessarily indicative of the results for the full year. All dollar references
in this report are in
Canadian dollars.
<TABLE>
<CAPTION>
Quarter Ended Six Months Ended
June 30, June 30,
<S> <C> <C> <C> <C> <C> <C>
1996 Change 1996
Change
1996 1995 As % of 1995 1996 1995 As % of
1995 (in thousands) (in thousands)
Revenues
Metals $338,259 $353,051 (4.2)% $663,042 $703,199 (5.7)%
Transport 39,283 51,241 (23.3) % 71,223 98,766 (27.9)%
$377,542 $404,292 (6.6)% $ 734,265 $801,965 (8.4)%
Segment Operating Margins
Metals $ 9,562 $18,045 (47.0) % $16,665 $38,247 (56.4)%
Transport 4,232 4,325 ( 2.2) % 3,963 $ 5,535 (28.4)%
$13,794 $22,370 (38.3) % $20,628 $ 43,782 (52.9)%
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Return on Average Net Assets
Six Months Ended June 30,
Annualized Operating
Margin
Average Net Assets Return on Average
Net Assets
<S> <C> <C> <C> <C>
1996 1995 1996 1995
(in thousands)
Metals $351,500 $388,900 9.5 % 19.7 %
Transport 102,200 122,500 7.8 % 9.0 %
Corporate and Discontinued 185,300 203,000
$639,000 $714,400 6.5 % 12.3 %
</TABLE>
Average net assets are calculated based on opening and closing monthly
positions.
Segment Information
Metals - The following table shows the revenues and operating margins and the
changes for the
business segments of the Metals operations for the periods indicated:
<TABLE>
<CAPTION>
Quarter Ended Six Months Ended
June 30, June 30,
<S> <C> <C> <C> <C> <C> <C>
1996 Change 1996
Change
1996 1995 As % of 1995 1996 1995 As % of
1995
(in thousands) (in thousands)
Revenues
Service Centers $215,418 $221,630 (2.8)% $428,357 $441,486 (3.0)%
Specialty Metals
and Trading 122,841 131,421 (6.5)% 234,685 261,713 (10.3)%
$338,259 $353,051 (4.2)% $ 663,042 $703,199 (5.7)%
Segment Operating Margins
Service Centers $4,323 $11,366 (62.0) % $7,117 $24,732 (71.2)%
Specialty Metals
and Trading 5,239 6,679 (21.6) % 9,548 13,515 (29.4)%
$9,562 $18,045 (47.0) % $16,665 $38,247 (56.4)%
</TABLE>
Metals revenues decreased 4.2% for the second quarter of 1996 compared to the
same period
in 1995 and 5.7% year-to-date, compared with the first six months of 1995.
The decrease in service center revenues for the second quarter of 1996 compared
to the second
quarter of 1995 relates to lower average selling price per ton, due to lower
industry pricing, and
to a lesser extent lower volumes. Average selling price per ton of general line
product was $39
per ton less in the quarter ended June 30, 1996 compared to the same period in
1995.
Average selling price per ton of flat rolled product was $26 per ton less in the
quarter ended
June 30, 1996 compared to the same period in 1995. Although volumes are down
from the
second quarter of 1995, the levels experienced are strong when compared with
historical tons
shipped from Canadian steel service centers. For the six months ended June 30,
1996, the
decrease in revenues of 3.0% compared to the six months ended June 30, 1995, is
a
combination of lower volumes and lower average selling price per ton.
The lower volumes combined with lower pricing resulted in a 62.0% decrease in
segment
operating margins for service centers in the second quarter of 1996 compared to
the second
quarter of 1995. Margin pressures experienced in the second quarter are expected
to continue
throughout fiscal 1996.
Specialty Metals and Trading combined had lower sales of 6.5% in the second
quarter of 1996
compared to the second quarter 1995. This is a combination of reduced volumes
and pricing in
the specialty businesses, partially offset by increased imports in the Trading
operations. On a
year-to-date basis to June 1996, Trading revenues are approximately 4.6% less
than year-to-date June 1995, and specialty businesses account for the remainder
of the decrease in revenues
compared to 1995.
Trading segment operating margins improved slightly for the second quarter of
1996 compared
to the second quarter of 1995 related to the higher volumes in the second
quarter 1996.
Specialty Metal businesses had a lower segment margin for the second quarter of
1996
compared to the second quarter of 1995 related to lower selling prices and lower
volumes.
Transport - Reduced revenue and operating margins in the Transport operations
for the
quarter ended June 30, 1996 relate primarily to the absence of the White Pass
Petroleum
operations sold effective May 31, 1995. The revenue from Transport operations
for the three
months ended June 30, 1996 represents 10.4% of total revenue, compared to 12.7%
for the
three months ended June 30, 1995. Thunder Bay Terminals experienced similar
revenues and
operating margins as compared to the same periods last year. Tri-Line trucking
operations
had increased revenue of 3.7% due to higher volumes although lower pricing
resulted in
operating margins of 4.5% for the second quarter 1996 compared to 5.6% for the
second
quarter of 1995. White Pass Rail has had a strong start to their tourist season
with revenues
for the quarter approximately 9% higher than second quarter 1995, due to higher
passenger
counts in May and June, resulting in an increased segment margin.
Consolidated Results
Revenues - The decrease in consolidated revenues for the quarter and
year-to-date results from
decreases in both Metals and Transport as discussed above.
Operating Margins - The decrease in segment operating margins from continuing
operations of
$8.6 million for the quarter ended June 30, 1996 is mainly a result of lower
margins in the
Metals operations as discussed above.
<TABLE>
<CAPTION>
Interest Expense - The following table shows the components of interest expense.
<S> <C> <C> <C> <C> <C>
Second First Fourth Third Second
Quarter Quarter Quarter Quarter Quarter
1996 1996 1995 1995 1995
(in thousands)
Interest
Long-term
Fixed Rate $ 861 $ 856 $ 863 $ 870 $ 861
Floating Rate 4,334 4,670 4,512 5,507 5,477
Short-term
Operating Loans 1,855 1,506 2,588 2,905 4,253
$7,050 $7,032 $7,963 $9,282 $10,591
</TABLE>
During the second quarter of 1996, the Company adopted the disclosure and
presentation
required under the new financial instruments section of the CICA Handbook
related to
Convertible Debentures. This presentation splits the 9% Convertible Debenture,
previously
disclosed under shareholders' equity, into a debt component and a shareholders'
equity
component. Correspondingly, the interest expense has been reduced to show only
the portion
related to the liability and the remainder of the payment to debenture holders
net of tax is
treated as a dividend distribution from retained earnings. Prior periods have
been restated to
reflect this presentation. The income statement impact of the change was to
increase net
income by $1.3 million for the six months ended June 30, 1996 and $1.2 million
for the six
months ended June 30, 1995. The earnings per share remains unchanged.
In April 1996, the Company entered into an interest rate conversion agreement
which
swapped the fixed rate 8% debenture to a rate that floats with Canadian Bankers
Acceptance
rates. This agreement reduced interest expense by $96,000 in the second quarter
of 1996. Due
to the two items discussed above, the interest on the 9% and 8% debentures are
included
under floating rate in the interest table and prior quarters have been adjusted
to reflect this
change.
The lower floating rate interest expense for the second quarter of 1996 compared
to the
second quarter of 1995, primarily related to a more favourable interest and
exchange rate in
1996 on the U.S. note and the reduced interest on the 8% debentures described
above. The
table of average net assets employed (see page 2) shows that the average net
assets for the first
six months of 1996 were $75.4 million lower than for the same period in 1995.
The reduction
in short-term interest for the quarter ended June 30, 1996 compared to the
quarter ended June
1995 is a result of the lower level of borrowings plus a lower interest rate in
the second quarter
of 1996 compared to the same period in 1995.
Net Earnings - Net earnings from operations for the quarter were $2.4 million
compared to
$5.2 million for the same quarter in 1995. Year-to-date net earnings from
operations are $0.6
million compared to net earnings of $10.2 million for year-to-date 1995. The
reduction is a
result of the combination of lower Metals segment margins, related to lower
average selling
price per ton and to a lesser extent lower volumes, and Transport segment
margins offset by
lower interest expense.
Liquidity and Capital Resources
The average net assets employed, shown on page two, set forth the operating
assets of the
Company for the Metals and Transport operations. The remaining $185.3 million
of corporate
assets mainly relates to discontinued operations and assets held for resale.
The reduction in
the average assets of $17.7 million since June 30, 1995 was used to reduce
interest bearing
debt. The reduction mainly relates to the sale of the Cashway operations in
November 1995.
Corporate assets and assets held for resale are comprised of the following
items:
<TABLE>
<CAPTION>
As at June 30,
<S> <C> <C>
1996 1995
Deferred Tax Debits and Taxes Recoverable $ 73.8 $ 65.1
Working Capital - Discontinued Operations -- 48.7
Property Held For Resale 59.6 64.7
Minority Equity Interest in Divested Operations 13.4 13.1
Deferred Financing Costs 8.3 7.1
Debt in Divested Operations 22.6 11.9
Other 10.4 (0.7)
TOTAL $188.1 $209.9
</TABLE>
During the six months ended June 30, 1996, the Company utilized $26.5 million
cash in
continuing operations. Continuing operations generated cash from operations of
$4.6 million
and utilized $22.2 million for working capital requirements, mainly related to
seasonal
increases in the Metals operations, and $8.2 million in capital expenditures.
Discontinued
operations consumed $1.2 million during the period related to previously agreed
capital
expenditures on properties leased to Cashway Building Centres.
For the six months ended June 30, 1995, the Company utilized $9.2 million cash
in continuing
operations. Continuing operations generated cash from operations of $21.4
million and
utilized $30.7 million for working capital requirements. The increased working
capital mainly
relates to increased inventory and accounts receivable in Metals. The sale of
the White Pass
Petroleum operations generated cash of $34.1 million, while the reconstruction
of the White
Pass Rail dock and other capital expenditures utilized cash of $29.9 million.
Discontinued
operations consumed $27.4 million in cash primarily related to seasonal accounts
receivable
and inventory buildup at Cashway Building Centres.
The Company currently has a $350 million banking facility, which based on
specified ratios the
Company has access to $213.3 million at June 30, 1996. At June 30, 1996,
$135.1 million was
utilized for bank borrowings and letters of credit.
The Company has no significant long-term debt repayments scheduled before 1998.
The
current portion of long-term debt as at June 30, 1996 includes $16.6 million
related to the
10.2% debentures retractable annually until due on July 13, 1998 and $4.9
million related to
the current portion of the 9% convertible debentures (see disclosure discussed
under interest
expense).
The ratio of current assets to current liabilities was 1.7 at June 30, 1996 and
1.8 at December
31, 1995. The debt to equity ratio was 0.8 at June 30, 1996 and 0.7 at December
31, 1995.
RECENT EVENTS
On July 19, 1996, the Company issued a press release announcing that they had
entered into a
non-binding letter of intent with Samuel, Son & Co., Limited, a major Canadian
steel
processor. Under the proposed agreement Russel will acquire the majority of
Samuel's
general line carbon hot rolled bar business and become a primary source of
supply of general
line carbon hot rolled bar products to Samuel. Similarly, Samuel will acquire
the carbon steel
light gauge flat rolled coil business of Russel in Ontario and Quebec. Samuel
will be a primary
source of supply for Russel's carbon, stainless and aluminum flat rolled general
line
requirements. Russel will continue to service the general line carbon,
stainless and aluminum
sheet requirements of its 20,000 customers.
The transaction is subject to regulatory conditions and the settlement of
binding definitive
agreements. It is expected to close by August 31, 1996.
<PAGE>
OUTLOOK
The Company has experienced a stabilizing of metals prices during the second
quarter of 1996
at levels lower than 1995 and the proposed divestiture of the light gauge carbon
flat rolled steel
operations to Samuel, Son & Co., Limited will reduce the exposure to carbon flat
rolled steel
price fluctuations. The additional flat rolled bar business, to be acquired
under the proposed
transaction with Samuel, Son & Co., Limited will enable the Company to utilize
additional
capacity on its investment in the Milton, Ontario general line facility.
The future of steel prices is uncertain at this point, industrial demand remains
at near peak
levels, but new supply capacity may destabilize pricing.<PAGE>
<TABLE>
<CAPTION>
Russel Metals Inc.
Reconciliation of Net Income to U.S. GAAP
Quarter and Six Months Ended June 30, 1996
(000)
<S> <C> <C> <C> <C>
Quarter Ended Six Months Ended
June 30, June 30,
1996 1995 1996 1995
Net income as shown on the
financial statements $2,418 $5,244 $608 $10,230
Items having the effect of
increasing reported income
Amortization of unrealized
exchange loss (gain) on
long-term debt 38 (24) 34 6
Items having the effect of decreasing
reported income
Unrealized exchange gain (loss)
on long-term debt (15) 217 41 240
Distribution - 9% Convertible
Debentures (646) (592) (1,289) (1,162)
_____ _____ _____ _____
Net income (loss) according
to U.S. GAAP $1,795 $4,845 $(606) $9,314
</TABLE>
<PAGE>
Report to Shareholders
Second quarter earnings for Metals operations is higher than the previous three
quarters, reflecting stable steel prices and continued strong
demand for most products. Compared to last year, results were unfavourably
impacted by the substantial decrease in hot rolled steel prices
experienced in the last half of 1995. Transport profits showed seasonal
improvement in the second quarter, and were unchanged from 1995.
SECOND QUARTER RESULTS
Second quarter revenue was $377.5 million compared with $404.3 million a year
earlier, a decline of 6.6%. For the six months ended June
30, 1996, revenue fell 8.4% to $734.3 million compared with $802.0 million for
the first six months of 1995. While Transport sector
comparable quarter and year-to-date sales advanced approximately 5% over last
year, the disposition of White Pass Petroleum operations
effective May 31, 1995 resulted in an overall reduction in 1996. Metals revenue
declined by 4.2% and 5.7% respectively for the quarter and
six months ended June 30, 1996. This decrease is due to a combination of lower
volumes and lower selling prices, principally in the Service
Center segment.
The unaudited net income for the second quarter ended June 30, 1996 was $2.4
million compared with $5.2 million a year ago. The unaudited
net income for the six months ended June 30, 1996 was $0.6 million versus $10.2
million in the first six months of 1995.
After dividend distributions, the unaudited net income per common share was
$0.02 for the second quarter ended June 30, 1996, and an
unaudited net loss of $0.04 per common share for the six months ended June 30,
1996. The comparable figures for 1995 were unaudited net
income per common share of $0.08 and $0.16.
REPORT ON OPERATIONS
QUARTER ENDED JUNE 30
1996 1995 1996 Change As % of 1995
Revenues
(in millions)
Metals $ 338.2 $353.1 (4.2%)
Transport 39.3 51.2 (23.3%)
$ 377.5 $ 404.3 (6.6%)
Segment Operating Margins
Metals $ 9.6 $ 18.0 (47.0%)
Transport 4.2 4.3 (2.2%)
$ 13.8 $ 22.4 (38.3%)
SIX MONTHS ENDED JUNE 30
1996 1995 1996 Change As % of 1995
Revenues
(in millions)
Metals $ 663.1 $ 703.2 (5.7%)
Transport 71.2 98.8 (27.9%)
$ 734.3 $ 802.0 (8.4%)
Segment Operating Margins
Metals $ 16.6 $ 38.3 (56.4%)
Transport 4.0 5.5 (28.4%)
$ 20.6 $ 43.8 (52.9%)
ACCOUNTING CHANGE
The consolidated financial statements for the period have been restated to
reflect changes in accounting presentation required by the Canadian
Institute of Chartered Accountants for 1996. The substance of the change for
the Company is to reallocate and restate the financial statement
for the effect of the $75 million 9% Convertible Debenture, which is
exchangeable into common shares of the Company. The required
adjustments reduced interest expense but increased distributions from retained
earnings by an equivalent amount, leaving earnings per share
unchanged. The Debenture principal balance is now split between debt and
shareholders' equity.
SUBSEQUENT EVENTS
In July 1996, the Company announced the signing of a letter of intent with
Samuel, Son & Co. Ltd. for the acquisition of the majority of their
hot rolled bar operations and for the divestiture of the Company's light gauge
flat roll processing business in Ontario and Quebec. Under the
proposed agreement, expected to conclude by the end of August, 1996, the Company
will become a primary source of supply for hot rolled
bar products to Samuel, and Samuel will be a primary source of carbon,
stainless and aluminum sheet products to the Company.
This arrangement, together with other reorganization initiatives currently
underway, will substantially improve profitability in the Company's
central Canadian Service Center operations, improving both efficiency and
service levels to our customers.
OUTLOOK
With metal prices forecast to remain at or above present levels, the outlook for
the remainder of 1996 is positive. As the reorganization of
Ontario and Quebec is implemented, with the Samuel transaction as a cornerstone,
management expects improving levels of profitability to
result. Further, we anticipate a strong second half in Transport, led by the
White Pass tourist railway operation in Skagway, Alaska.
<PAGE>
RUSSEL METALS/NEWS
FOR IMMEDIATE RELEASE
STOCK SYMBOL: TSE: RUS.A
NASDAQ: RUSAF
RUSSEL METALS DECLARES DIVIDEND
FOR CLASS II PREFERRED SHARES, SERIES C
TORONTO (August 14, 1996) -- Russel Metals Inc. announced today that it has
declared a
dividend of 46.875 cents per share on its Convertible Class II Preferred Shares,
Series C, payable
on September 15, 1996 to shareholders of record at the close of business on
August 23, 1996.
Russel is one of North America's five largest metals distribution and processing
organizations,
with a network of 46 Canadian and 13 U.S. service centres, which provide and
process a wide
range of carbon steel and alloy metal products.
-30-
For further information, contact:
David Fine,
Vice President
Planning and Communications
Russel Metals
(905) 819-7402
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
Form 6-K
REPORT OF FOREIGN ISSUER PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of August , 1996.
Russel Metals Inc.
Suite 210, 1900 Minnesota Court, Mississauga, Ontario L5N 3C9
(Address of principal executive office)
[Indicate by check mark whether the registrant files or will file annual reports
under cover
of Form 20-F or Form 40-F.]
Form 20-F Form 40-F
[Indicate by check mark whether the registrant by furnishing the information
contained in
this Form is also thereby furnishing the information to the Commission pursuant
to Rule
12g3-2(b) under the Securities Exchange Act of 1934.]
Yes No
[If "Yes" is marked, indicate below the file number assigned to the registrant
in connection
with Rule 12g3-2(b):
82- ______________.]
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant
has duly caused this report to be signed on its behalf by the undersigned,
thereunto duly
authorized.
Russel Metals Inc.
(Registrant)
Date: August 14, 1996 By:
Randall B. Williamson
Vice-President, Treasurer and
Assistant Secretary
