California Steel Industries, Inc. reported net income of $22.1 million on sales revenues of $339.3 million for the quarter ended March 31, 2005.

Net income of $22.1 million compares to net income of $1.8 million in first quarter 2004. EBITDA was $48.0 million, compared with 2004's first quarter results of $15.2 million. Results from first quarter 2004 included a loss of $9.0 million on redemption of the 8.5 percent senior notes.

CSI shipped 448,138 net tons of steel products in the first quarter, a 21% decrease compared to tonnage sold in the record-breaking first quarter of 2004. However, sales revenues of $339.3 million for the first quarter 2005 are more than 40% higher than the same period in the prior year, reflecting the sharp elevation in sales prices which took place over the last three quarters of 2004.

"This was another solid quarter for CSI," said Masakazu Kurushima, President and CEO. "Shipment levels are generally consistent with our historical first quarter performance, although there is a particularly strong demand for pipe products."

CSI’s sales volumes fell by 27.6% for hot rolled steel; by 36.4% for cold rolled products; and by 15.9% for galvanized steel. Sales volume grew by 15.9% for ERW pipe.

The balance under the company's Revolving Credit Agreement was $43.0 million as of March 31, 2005, with availability of $65.1 million and a cash balance of $2.0 million.

California Steel Industries is the leading producer of flat rolled steel products in the western United States (the 11 states located west of the Rocky Mountains) based on tonnage billed, with a broad range of products, including hot rolled, cold rolled, electric resistant weld pipe and galvanized coil and sheet. Located in Fontana, Calif., CSI has about 1000 employees.