News for 'STLD' - (Steel Dynamics to Begin Shipping Standard Rail to Major Railroads)
FORT WAYNE, Ind., Feb 22, 2010 /PRNewswire via COMTEX/ -- Steel Dynamics, Inc.
(Nasdaq: STLD) today announced the company has begun commercial production of
Standard Strength rails that meet all current AREMA specifications. Our
Structural & Rail Division at Columbia City, Indiana, produces this rail in
lengths up to 240 feet and is capable of producing 300,000 tons of rail per
year.
The company also announced that our Standard Strength rail, after extensive
internal research, development and evaluation, has been tested and qualified by
the first of the seven North American Class I railroads that are potential
customers. Shipments are expected to begin in the second quarter. Evaluations by
other Class I railroads are underway and are expected to result in additional
approvals in the near future.
To secure this certification, samples of the rail produced at our rail mill have
undergone rigorous evaluations by independent testing laboratories to certify
adherence to the AREMA specifications. AREMA (the American Railway Engineering
and Maintenance-of-Way Association) is the professional organization that sets
standards for design, construction, and maintenance of America's railroad
infrastructure.
Leveraging the Columbia City mill's ability to produce 240-foot-long rail, Steel
Dynamics employs its technologically advanced on-site rail welding plant to weld
rails together into continuously welded rail (CWR) strings 1,600 feet in length.
This winter we completed major modifications to the rail-welding plant that
allow it to operate year-around on an uninterrupted basis. Recently, the rail
welding plant has seen a dramatic increase in orders for welded rail.
Dick Teets, President and COO of SDI's Steel Operations, stated, "We believe the
renewed emphasis on both freight and passenger rail transportation in North
America provides a unique growth opportunity for Steel Dynamics. We expect the
investments we have made, our cost advantage, and our focus on delivering
differentiated, quality products will allow SDI to grow quickly to become a
major provider of rail to all of the North American railroad industry."
Forward-Looking Statements
This press release contains some predictive statements about future events,
including statements related the development and production of new products, the
acceptance and purchase of these products by new customers to the company, and
the ultimate success of these products in the North American marketplace. These
statements are intended to be made as "forward-looking," subject to many risks
and uncertainties, within the safe harbor protections of the Private Securities
Litigation Reform Act of 1995. Such predictive statements are not guarantees of
future performance, and actual results could differ materially from our current
expectations.
We refer you to SDI's detailed explanation of various factors and risks that may
cause such predictive statements to turn out differently, as set forth in our
most recent Annual Report on Form 10-K and in other reports which we from time
to time file with the Securities and Exchange Commission, available publicly on
the SEC Web site, www.sec.gov, and on the Steel Dynamics Web site,
www.steeldynamics.com.
Forward-looking or predictive statements we make are based on our knowledge of
our businesses and the environment in which they operate as of the date on which
the statements were made. Due to these risks and uncertainties, as well as
matters beyond our control which can affect forward-looking statements, you are
cautioned not to place undue reliance on these predictive statements, which
speak only as of the date of this press release. We undertake no duty to update
or revise any forward-looking statement, whether as a result of new information,
future events or otherwise.
SOURCE Steel Dynamics, Inc.
www.prnewswire.com
Copyright (C) 2010 PR Newswire. All rights reserved
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KEYWORD: Indiana
INDUSTRY KEYWORD: MIN
MNG
TRN
RIT
SUBJECT CODE: PDT
