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Mill Steel Expands its Product Portfolio by Acquiring CSC's Assets

Mill Steel Co., one of the nation's largest distributors of flat-rolled carbon steel, has expanded its product breadth and geographic presence with the acquisition of certain assets of Coated Steel Corp ("CSC"), a Birmingham, Ala.-based supplier of acrylic and pre-painted galvalume and galvanized flat-rolled steel. Terms of the deal, which closed on Feb. 18, 2010, were not disclosed.

Mill Steel will continue operating the former assets as Coated Steel Co., and the company's leadership team will remain in place. Mill Steel expects to create as many as 30 new sales and production jobs at its 120,000 square foot Birmingham processing facility during the next year, and plans to increase its existing Birmingham production capability in the next few months with the installation of a new, 72-inch slitter and packaging line.

The strategic acquisition will support Mill Steel's growing automotive, home appliance, HVAC and construction business in the southeastern United States and Mexico.

Mill Steel Chairman and CEO David S. Samrick said the acquisition is a mutually beneficial transaction for Mill Steel and the customers of CSC.

"We are excited to add the former management of CSC to our team, and look forward to working with them to continue building our reputation for delivering first-rate customer service and quality steel products across the United States, Canada and Mexico," Samrick said.

"Mill Steel has a long history of operational excellence," said Coated Steel's Al Walker. "The former CSC commercial team is excited to join that tradition and looks forward to expanding our respective businesses together."

The new Birmingham, Ala. location will allow Mill Steel to enhance its service to a growing base of existing customers across a broad range of markets in the southeast U.S. and Mexico, as well as boost its technical support to customers in the regions.

The acquisition also ensures that CSC will be able to support larger customers by leveraging Mill Steel's size and service capabilities.

"I'm excited that we're growing together in Mill Steel's 50th year of business," Samrick said. "We think that we've got plenty of growth ahead of us yet."

Source: http://www.millsteel.com

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