Feb. 7, 2006 — Ryerson Inc. has signed a definitive agreement to sell certain assets related to its U.S. oil and gas, tubular alloy and bar alloy businesses to Energy Alloys, LLC. Subject to closing adjustments, the sale price includes $45.5 million of cash, receipt of a $4 million, 3-year note, and the assumption of less than $1 million of liabilities by Energy Alloys.

The divested operations include three locations dedicated to the oil and gas markets in Oklahoma, Texas and the Gulf Coast. The three locations, which generated revenues of approximately $80 million in 2005, were acquired with the acquisition of Integris Metals, Inc. in January 2005. Although these operations were profitable, the oil and gas market products are not a strategic fit with Ryerson's core business. The sale will not impact Ryerson's remaining operations in Oklahoma, Texas or the Gulf Coast region.

Energy Alloys is committed to serving the oil and gas markets and the acquired assets complement its existing operations. It is anticipated that the Ryerson employees at these operations will join Energy Alloys and continue to provide first class service to the oil and gas markets.

Ryerson expects to record a pre-tax gain on the sale of approximately $18 million and intends to use the cash proceeds to pay down debt. The transaction is expected to be completed by the end of the first quarter of 2006, subject to customary due diligence and other closing conditions.

Houston-based Energy Alloys LLC is a Texas limited liability company.

Ryerson Inc. is a leading North American distributor and processor of metals, with revenues of $4.5 billion through the first nine months of 2005. The company services customers through a network of service centers across the United States and in Canada, Mexico, and India.