Oregon Steel Mills, Inc. has revised its outlook for the second quarter.

The company now expects second quarter earnings per diluted share to be in the range of $.75 to $.85, slightly below the company’s previous estimated range of $.85 to $.95. First quarter 2005 results were $.79 per diluted share.

The lower expectation is primarily due to the inability to achieve scheduled delivery on approximately 30,000 tons of welded pipe products, which represents approximately $34 million of revenue. The delivery has been affected by 1) shortages of railroad cars and 2) adverse weather conditions at the product destination points. Product is expected to be delivered and the associated revenue recognized during the third quarter of 2005.

Jim Declusin, the company's President and CEO, stated, "While sales volume for the company's plate and rod products have declined in recent months due to customer inventory balances, operating margin per ton for these products continues to compare favorably to those realized in the first quarter of 2005. We expect demand for these products to pick up in the third quarter as customer inventories are reduced. Welded pipe and rail products continue to meet volume and operating margin expectations. While total shipments of product for 2005 are expected to decline approximately 5% from 2004, the company believes that operating income from continuing operations for 2005 will be approximately the same as that realized in 2004, before the 2004 labor dispute settlement charges."

Oregon Steel Mills, Inc. is organized into two divisions. The Oregon Steel Division produces steel plate, coil, welded pipe and structural tubing from plants located in Portland, Ore., and Camrose, Alta., Canada. The Rocky Mountain Steel Mills Division, located in Pueblo, Colo., produces steel rail, rod, bar, and tubular products.