PRESS RELEASE DATED JANUARY 14,1998
Published on
EXHIBIT 20.2
[RELIANCE STEEL & ALUMINUM CO. LETTERHEAD]
NEWS RELEASE
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FOR IMMEDIATE RELEASE CONTACT: David H. Hannah
President
(213) 582-2272
Kim P. Feazle
Hill and Knowlton, Inc.
(213) 966-5721
RELIANCE STEEL & ALUMINUM CO. ANNOUNCES AGREEMENT
TO ACQUIRE DURRETT SHEPPARD STEEL CO.;
NEW ENTRY INTO MID-ATLANTIC MARKET
Los Angeles, CA -- January 14,1998 -- Reliance Steel & Aluminum Co.
(NYSE:RS) announced today that has reached an agreement to acquire the assets
and business of Durrett Sheppard Steel Co. (DSS), a privately-held metals
service center company headquartered in Baltimore, Maryland, subject to
completion of due diligence procedures and regulatory approval. The transaction
is expected to be completed within 30 days. Terms were not disclosed.
Current operating management will remain in place to operate the
business. DSS's sales for its fiscal year ended September 30, 1997 were
approximately $47 million. Durrett Sheppard Steel Co., founded in 1963,
specializes in processing and distributing carbon steel plate, structurals and
bar products. This acquisition represents Reliance's first purchase of a metals
service center headquartered in the Mid-Atlantic area of the United States,
further strengthening Reliance's presence and growth as a national company.
(more)
2-2-2
"Durrett Sheppard has a leadership position in their market, a
reputation for excellent customer service, and is similar in operating
philosophy to Reliance," said David H. Hannah, president of Reliance. "This
acquisition enables us to penetrate a new and exciting market area, while also
expanding our customer base."
Reliance Steel & Aluminum Co., headquartered in Los Angeles,
California, is one of the largest metals service center companies in the United
States. Through a network of 44 metals service centers in 16 states, the Company
provides value-added metals processing services and distributes a full line of
over 20,000 metal products. These products include galvanized, hot-rolled and
cold-finished steel; stainless steel; aluminum; brass; copper and alloy steel to
more than 33,000 customers in various industries. Valex Corp., a 97%-owned
subsidiary, is a leading domestic manufacturer and worldwide distributor of
electropolished stainless steel tubing and fittings used in the construction and
maintenance of semiconductor manufacturing plants.
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