Alloy Steel Inc. (fka AYSI)

[gilead23]

Questions for Gene

1. Why is the inventory # especially finished goods coming in so high? Is there a large order pending shipment?

2. To what extent did the pipeline explosion impact customer orders and delivery in the quarter

3. What impact did the implementation of the new mill have on revenues? Were production people pulled off daily production to concentrate on the mill?

4. Is there expected to be any material revenue impact from the new mill in Q4?

5. What was the source of the SGA increase for the quarter? Was this related to the Malaysian JV? Temporary costs related to the new mill? etc.

6. To what extent do fixed costs play into gross margins? Do you expect a higher revenue quarter to have higher margins as a result of better allocation of fixed costs?