Steel Dynamics

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Steel Dynamics, Inc.
Public company
Traded asNASDAQSTLD
S&P 400 component
IndustryMetals
Founded1993; 25 years ago (1993)
HeadquartersFort Wayne, Indiana, United States
Key people
Mark Millett (President & CEO)
Keith Busse (Chairman)[1]
ProductsSteel
Production output
9.503 million tons of steel (2016)[1]
RevenueIncrease $7.777 billion (2016) [1]
Increase $0.382 billion (2016)[1]
Total assetsIncrease $6.423 billion (2016)[1]
Total equityIncrease $2.777 billion (2016)[1]
Number of employees
7,510 (2016)[1]
Websitewww.steeldynamics.com

Steel Dynamics, Inc., sometimes abbreviated as "SDI", is a steel producer based in Fort Wayne, Indiana.

Current operations[edit]

With a production capacity of 11 million tons, Steel Dynamics is the 4th largest producer of carbon steel products in the United States. SDI is among the most profitable American steel companies in terms of profit margins and operating profit per ton.[1]

History[edit]

Steel Dynamics was founded in 1993 by three former executives of Nucor with $370 million in funding. It began production at its $275 million Butler, Indiana, flat roll mill in 1996 and reported its first annual profit in 1997.

During the Early 2000s recession, the company offered many incentive programs for employees to cut costs and improve standards and outperformed most other steel manufacturers.[2]

In 2007, the company acquired The Techs, three hot-dip galvanizing plants in Pittsburgh that coat flat-rolled steel,[3] and OmniSource Corporation.[4]

In 2014, the company acquired Severstal Columbus for $1.625 billion. The acquisition increased the company's production capacity to 11 million tons.[5]

In 2016, the company acquired Vulcan Threaded Products for $126 million.[6]

In 2016, the company began construction of a $100 million facility in Columbus, Mississippi.[7]

In 2017, the company began a $28 million expansion of its Roanoke Bar Division.[8]

In 2017, the company began a $75 million expansion of its Structural and Rail Division.[9]

In 2018 the company aquired the former Kentucky Electric Steel plant, in Coalton, Ky.

Further reading[edit]

  • Richard Sarver - Taking the Heat - A Steelworker's Story (2012)

Controversies[edit]

Price-fixing allegations[edit]

Along with other steel producers, the company was a defendant in a price-fixing lawsuit.[10] The case was settled and Steel Dynamics agreed to pay $4.6 million in 2016.[11]

See also[edit]

References[edit]

  1. ^ a b c d e f g h Steel Dynamics Inc. 2016 Form 10-K Annual Report
  2. ^ Cable, Josh (December 20, 2011). "Steel Dynamics's Dynamic Duo". IndustryWeek.
  3. ^ "Steel Dynamics Agrees to Acquire The Techs" (Press release). PRNewswire. June 13, 2007.
  4. ^ "Steel Dynamics Completes the Acquisition of OmniSource Corporation" (Press release). PRNewswire. October 26, 2007.
  5. ^ "Steel Dynamics Completes Acquisition of Severstal Columbus" (Press release). PRNewswire. September 16, 2014.
  6. ^ "Steel Dynamics to Acquire Vulcan Threaded Products to Expand SBQ Finishing Capabilities" (Press release). PRNewswire. June 30, 2016.
  7. ^ "Steel Dynamics breaks ground on new $100 million Mississippi facility". American City Business Journals. January 25, 2016.
  8. ^ "Steel Dynamics Roanoke Bar Division Diversifies and Expands Product Offerings with New Reheating Furnace and Finishing Equipment Purchase from SMS Group" (Press release). PRNewswire. February 2, 2017.
  9. ^ "Steel Dynamics Structural and Rail Division Increases Production Capability and Diversifies Product Offerings". PRNewswire. July 5, 2017.
  10. ^ "Three Steel Companies Hold their Ground in Price-Fixing Lawsuit". US Glass News Network. November 30, 2015.
  11. ^ Jessica Corso (November 3, 2016). "Final Piece Of $194M Steel Price-Fix Settlement Clears Hurdle". Law360.