Roanoke Electric Steel Corp.’s Resco Steel Products Corp. subsidiary has sold its reinforcing bar assets to Rockingham Steel, Inc., a reinforcing bar fabricator located in Harrisonburg, Va. Terms of the transaction were not announced.

"Resco is no longer a good strategic fit for us since Roanoke's mill operation no longer produces reinforcing bars, which is Resco's primary raw material," said T. Joe Crawford, President and COO of Roanoke Electric Steel Corp. "However, Rockingham Steel will be a good fit for Resco, since rebar fabrication is its primary business. Rockingham Steel will improve the long-term viability of the operation in Salem."

Resco employed 44 people prior to the sale. Rockingham Steel will offer jobs to the majority of the employees at the Salem operation. "Roanoke Electric Steel Corp. will provide a severance package and potential employment to the remaining employees," said Crawford.

Founded in 1986, Resco Steel Products Corp. fabricates steel reinforcing bars

Roanoke Electric Steel Corp. has steel manufacturing facilities in Roanoke, Va., and Huntington, W.Va., producing angles, rounds, flats, channels, beams, special sections and billets, which are sold to steel service centers, fabricators, original equipment manufacturers and other steel producers. Four subsidiaries are involved in various steel-related activities, consisting of scrap processing and bar joist, and truck trailer beam fabrication.