Fabrication—"Prices and volumes within the Fabrication segment were mostly higher,” comments CMC Chairman, President and CEO Stanley A. Rabin. “We recorded a moderate increase in adjusted operating profit in this segment including a substantial increase in the LIFO reserve and anticipated contract losses as we worked through older jobs. Construction activity was mixed and varied by geographic region. Public and institutional construction continued at a solid level, and some sectors of commercial construction showed improvement. By product area, rebar fabrication, construction-related products (CRP), steel post plants, steel joist manufacturing, and structural steel fabrication all were affected by higher steel input costs, but aided by significant increases in selling prices; all except CRP showed improvements in profitability. Shipments from our fab plants totaled 356,000 tons, 25% above the prior year's third quarter while the composite average fab selling price (including stock and buyouts) increased by $116 per ton."

Recycling—According to Rabin, "The Recycling segment recorded a best ever quarter, primarily a result of the improved ferrous scrap market on 96% higher net sales dollars. This compared most favorably with the quarter a year ago; adjusted operating profit increased 345%. Gross margins were significantly above last year while operating costs as a percent of sales declined. March brought the highest ferrous sales prices ever, averaging $223 per short ton. April and May followed with sales prices dropping an average of $33 per short ton per month. Nonferrous markets continued to improve and then also retreated off the highs. Versus last year, the average ferrous scrap sales price for the quarter increased by 75% to $192 per ton, and shipments climbed 26% to 570,000 tons. The average nonferrous scrap sales price for the quarter was approximately 47% above a year ago while nonferrous shipments were 22% higher. The total volume of scrap processed, including all our processing plants, equaled 972,000 tons against 768,000 tons last year."

Marketing and Distribution—"Adjusted operating profit for the Marketing and Distribution segment was more than double last year's already strong third quarter, reflecting favorable markets in several geographic regions around the world and broad-based growth across practically all product lines," Rabin said. "This segment also recorded an increase in the LIFO reserve. Our business was good in Australia, China, elsewhere in Asia, and in Europe. Profits improved in the United States, as margins and shipments in steel, aluminum, copper and stainless steel increased significantly. Sales and profits for industrial materials and products hit record levels because of strong demand, especially in China, Europe and the U.S. Our value-added downstream and processing businesses continued to generate good profits."