RELIANCE STEEL & ALUMINUM CO. EX. 99.1

Reliance Steel & Aluminum Co. Reports
2003 Second Quarter and First-Half Results

LOS ANGELES--(BUSINESS WIRE)--July 17, 2003--Reliance Steel &
Aluminum Co. (NYSE:RS) today reported its financial results for the
three and six-months ended June 30, 2003. For the fiscal year 2003
second quarter, net income was $6.4 million, compared with net income
of $10.8 million for the three months ended June 30, 2002. Earnings
per diluted share were $.20 for the second quarter of 2003, compared
with earnings of $.34 per diluted share for the 2002 second quarter.
Sales for the 2003 second quarter totaled $456.3 million, compared
with 2002 second quarter sales of $450.2 million.
For the six-months ended June 30, 2003, net income amounted to
$12.0 million, compared with net income of $18.3 million for the same
period in 2002. Earnings per diluted share were $.38 for the
six-months ended June 30, 2003, compared with earnings of $.57 per
diluted share for the six-months ended June 30, 2002. Sales for the
2003 year-to-date period were $907.2 million, compared with 2002
six-month sales of $855.7 million.
Reliance's Chief Executive Officer, David H. Hannah, said, "The
second quarter of 2003 was not materially different from the 2003
first quarter. Overall, metals pricing weakened during the quarter,
driven mostly by a decline in carbon steel flat-rolled prices, causing
a slight reduction in gross profit margins. Business conditions
remained challenging across most markets with sluggish customer demand
and increased competitive pressures."
"We continue to manage well those items that we can control. Our
profitability, working capital management and cash flow during this
challenging operating environment have allowed us to continue to grow
the Company and position ourselves for the eventual economic recovery.
We are also very excited about our recent acquisition of Precision
Strip, Inc.," added Hannah.
"At this time, we still do not see any evidence of meaningful
improvement in either market conditions or the business climate.
Additionally, business levels tend to soften slightly during the
summer months in the Eastern portion of the country. However, with the
inclusion of the contribution of Precision Strip's financial results
beginning in the 2003 third quarter, we would expect the earnings per
diluted share amount to be approximately 20% higher than the 2003
second quarter earnings per diluted share amount," said Hannah.
On July 1, 2003, Reliance acquired Precision Strip, Inc.
headquartered in Minster, Ohio. The Company purchased all of the stock
of Precision Strip and its related entity for $220 million in cash,
plus the assumption of approximately $26 million of debt. The
acquisition was funded with borrowings on Reliance's existing $335
million syndicated bank line of credit and a new private placement of
$135 million of senior secured notes. The acquisition is immediately
accretive to Reliance's earnings.
Precision Strip's sales for the fiscal year ended December 31,
2002 were $121.8 million. All current management and employee
associates will remain in place at Precision Strip, a privately held
metals processing company founded in 1977. Precision Strip operates as
a wholly owned subsidiary of Reliance. Precision Strip's processing
activities consist primarily of slitting and blanking flat-rolled
products and include approximately 65% carbon steel, 20% aluminum and
15% stainless steel products on a "toll" basis, processing the metal
for a fee, without taking ownership of the metal.
The business has facilities in Minster, Kenton, Middletown, and
Tipp City, Ohio; Anderson and Rockport, Indiana; Bowling Green,
Kentucky and Talladega, Alabama. Precision Strip's customers include
carbon steel, stainless steel and aluminum mills, as well as companies
in the automotive, appliance, metal furniture and capital goods
industries.
Reliance's wholly owned subsidiary, AMI Metals, Inc.,
headquartered in Brentwood, Tennessee, is relocating one of its
operations to the St. Louis, Missouri area. During the 2003 third
quarter, AMI will close its Atlanta, Georgia facility and move into an
existing 48,500 square-foot facility in St. Charles, Missouri to
better serve the needs of its customers. AMI provides value-added,
just-in-time, cut-to-size processing of aluminum products for the
aerospace industry with six strategically located facilities in the
United States and a new European facility based in Belgium.
On April 23, 2003, the Company announced its regular quarterly
cash dividend payment of $.06 per share of common stock. The 2003
second quarter cash dividend was paid on May 30, 2003 to shareholders
of record May 9, 2003. 2003 marks the 43rd consecutive year that
Reliance has paid quarterly dividends to its shareholders. The Company
was also proud to announce that it was named to the 2003 Forbes
Platinum 400 List of America's Best Big Companies and ranked No. 1 in
sales (five-year average) in the metals industry category and has also
been named to the 2002, 2001 and 2000 lists.
Reliance will host a conference call that will be broadcast live
over the Internet (listen only mode) regarding the second quarter and
six-months financial results for the period ended June 30, 2003. All
interested parties are invited to listen to the web cast on July 17,
2003 at 11:00 a.m. Eastern Time at:
http://www.rsac.com/investorinformation or
http://www.streetevents.com. Player format: Windows Media. The web
cast will remain on the Reliance web site at: www.rsac.com through
August 17, 2003 and a printed transcript will be posted on the
Reliance web site after the completion of the conference call.
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 107 processing and
distribution centers in 29 states and Belgium, France and South Korea,
the Company provides value-added metals processing services and
distributes a full line of over 85,000 metal products. These products
include galvanized, hot-rolled and cold-finished steel; stainless
steel; aluminum; brass; copper; titanium and alloy steel sold to more
than 85,000 customers in various industries. Reliance Steel & Aluminum
Co.'s press releases and additional information are available on the
Company's web site at www.rsac.com.

This release may contain forward-looking statements relating to
future financial results. Actual results may differ materially as a
result of factors over which Reliance Steel & Aluminum Co. has no
control. These risk factors and additional information are included in
the Company's reports on file with the Securities and Exchange
Commission.

RELIANCE STEEL & ALUMINUM CO.
SELECTED FINANCIAL DATA
(In thousands except share and per share amounts)


Three Months Six Months
Ended June 30, Ended June 30,
2003 2002 2003 2002
-------- -------- -------- --------
Income Statement Data:
Net sales $456,329 $450,166 $907,152 $855,652
Gross profit 119,372 126,043 238,775 237,588
Operating income 15,005 23,019 29,326 40,464
EBITDA(1) 23,575 30,615 45,882 55,208
EBIT(1) 16,043 23,504 30,846 41,276
Pre-tax income 10,532 17,836 19,729 30,239
Net income 6,392 10,774 11,971 18,265
EPS - diluted $.20 $.34 $.38 $.57
Weighted average shares
outstanding -- diluted 31,767,381 31,920,602 31,761,632 31,824,993
Gross margin 26.2% 28.0% 26.3% 27.8%
Operating margin 3.3% 5.1% 3.2% 4.7%
EBITDA margin(1) 5.2% 6.8% 5.1% 6.5%
EBIT margin(1) 3.5% 5.2% 3.4% 4.8%
Pre-tax margin 2.3% 4.0% 2.2% 3.5%
Net margin 1.4% 2.4% 1.3% 2.1%
Cash dividends per share $.06 $.06 $.12 $.12


June 30, Dec. 31,
2003 2002
-------- --------
Balance Sheet Data:
Current assets $544,305 $532,544
Working capital 346,994 389,620
Net fixed assets 297,701 306,189
Total assets 1,140,732 1,139,247
Current liabilities 197,311 142,924
Long-term debt 283,175 344,080
Shareholders' equity 619,163 609,854
Capital expenditures 7,939 18,658
Net debt-to-total capital(2) 31.6% 35.5%
Return on equity(3) 3.9% 5.2%
Current ratio 2.8 3.7
Book value per share $19.49 $19.21
Cash flow from operations per share(4) $3.20 $2.85


(1) See CONSOLIDATED STATEMENTS OF INCOME for reconciliation of EBIT
and EBITDA.

(2) Net debt-to-total capital is calculated as total debt
(net of cash) divided by shareholders' equity plus total debt
(net of cash).

(3) Return on equity calculation is based on latest twelve months.

(4) 2003 cash flow from operations per share calculation is based on
latest twelve months.


RELIANCE STEEL & ALUMINUM CO.
CONSOLIDATED BALANCE SHEETS
(In thousands except share amounts)


ASSETS

June 30, Dec. 31,
2003 2002
------- -------
Current assets: (Unaudited)
Cash and cash equivalents $19,063 $9,305
Accounts receivable, less allowance
for doubtful accounts of $5,344 at
June 30, 2003 and $5,158 at December
31, 2002, respectively 207,650 190,191
Inventories 291,679 307,385
Prepaid expenses and other current assets 11,124 10,874
Deferred income taxes 14,789 14,789
Total current assets 544,305 532,544
Property, plant and equipment, at cost:
Land 52,016 52,469
Buildings 180,769 180,995
Machinery and equipment 242,447 237,912
Accumulated depreciation (177,531) (165,187)
297,701 306,189

Goodwill 284,304 284,276
Other assets 14,422 16,238
Total assets $1,140,732 $1,139,247

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:
Accounts payable $113,392 $77,511
Accrued expenses 41,955 40,894
Wages and related accruals 15,605 20,160
Deferred income taxes 4,034 4,034
Current maturities of long-term debt 22,325 325
Total current liabilities 197,311 142,924
Long-term debt 283,175 344,080
Deferred income taxes 31,190 31,672
Minority interest 9,893 10,717
Commitments -- --
Shareholders' equity:
Preferred stock, no par value:
Authorized shares -- 5,000,000
None issued or outstanding -- --
Common stock, no par value:
Authorized shares -- 100,000,000
Issued and outstanding shares 31,766,497
at June 30, 2003 and 31,752,087 at
December 31, 2002, respectively,
stated capital 294,721 294,503
Retained earnings 325,348 317,189
Accumulated comprehensive loss (906) (1,838)
Total shareholders' equity 619,163 609,854
Total liabilities and shareholders' equity $1,140,732 $1,139,247


RELIANCE STEEL & ALUMINUM CO.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands except share and per share amounts)

Three Months Six Months
Ended June 30, Ended June 30,
2003 2002 2003 2002
-------- -------- -------- --------

Net sales $456,329 $450,166 $907,152 $855,652
Cost of sales 336,957 324,123 668,377 618,064
Gross profit 119,372 126,043 238,775 237,588

Operating expenses
Warehouse, delivery,
selling, general and
administrative 97,146 96,214 195,030 183,922
Depreciation 7,221 6,810 14,419 13,202
Income from operations 15,005 23,019 29,326 40,464

Other income (expense):
Interest expense (5,511) (5,668) (11,117) (11,037)
Amortization expense (311) (301) (617) (730)
Other income, net 1,141 603 1,704 1,236
Income before equity in
earnings of 50%-owned
company, minority
interest and income taxes 10,324 17,653 19,296 29,933
Equity in earnings of 50%-
owned company -- 140 -- 263
Minority interest 208 43 433 43
Income before provision
for income taxes 10,532 17,836 19,729 30,239
Provision for income taxes 4,140 7,062 7,758 11,974
Net income $6,392 $10,774 $11,971 $18,265

Earnings per share -
diluted $.20 $.34 $.38 $.57
Weighted average shares
outstanding -
diluted 31,767,381 31,920,602 31,761,632 31,824,993
Earnings per share - basic $.20 $.34 $.38 $.58
Weighted average shares
outstanding -
basic 31,766,497 31,683,600 31,761,083 31,637,483
Cash dividends per share $.06 $.06 $.12 $.12


Reconciliation of EBIT and EBITDA

Income before provision
for income taxes $10,532 $17,836 $19,729 $30,239
Interest expense 5,511 5,668 11,117 11,037
EBIT $16,043 $23,504 $30,846 $41,276
Depreciation 7,221 6,810 14,419 13,202
Amortization expense 311 301 617 730
EBITDA $23,575 $30,615 $45,882 $55,208


RELIANCE STEEL & ALUMINUM CO.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)

Six Months Ended
June 30,
2003 2002
------- -------
Operating activities:
Net income $11,971 $18,265
Adjustments to reconcile net income
to net cash provided by operating activities:
Depreciation and amortization 15,036 13,932
(Gain) loss on sales of machinery
and equipment (818) 1
Equity in earnings of 50%-owned company -- (263)
Minority interest (433) 173
Changes in operating assets and liabilities:
Accounts receivable (17,459) (29,075)
Inventories 15,706 23,880
Prepaid expenses and other assets 921 1,942
Accounts payable and accrued expenses 32,529 17,486
Net cash provided by operating activities 57,453 46,341

Investing activities:
Purchases of property, plant and
equipment, net (7,939) (8,664)
Proceeds from sales of property
and equipment 2,826 123
Acquisitions of metals service centers
and net asset purchases of metals
service centers, net of cash acquired -- (24,144)
Dividends received from 50%-owned company -- 444
Net cash used in investing activities (5,113) (32,241)

Financing activities:
Proceeds from borrowings 8,305 62,800
Principal payments on long-term debt
and short-term borrowings (47,210) (79,505)
Payments to minority shareholders (378) (1,879)
Dividends paid (3,812) (3,797)
Issuance of common stock 218 3,475
Net cash used in financing activities (42,877) (18,906)
Effect of exchange rate changes on cash 295 519

Increase (decrease) in cash
and cash equivalents 9,758 (4,287)

Cash and cash equivalents
at beginning of period 9,305 9,931

Cash and cash equivalents
at end of period $19,063 $5,644

Supplemental cash flow information:
Interest paid during the period $11,258 $6,319
Income taxes paid during the period $3,771 $11,016

CONTACT: Reliance Steel & Aluminum Co.
Kim P. Feazle
Investor Relations
713-610-9937
213-576-2428
kfeazle@rsac.com
investor@rsac.com