Pacific Coast Steel, a Gerdau Ameristeel JV, acquires Las Vegas contractor business



    TAMPA, FL, June 13 /CNW/ - Gerdau Ameristeel Corporation (NYSE:   GNA; TSX:
GNA) today announced that Pacific Coast Steel (PCS), a Gerdau Ameristeel joint
venture, has agreed to purchase the assets of Valley Placers, Inc. (VPI), a
reinforcing steel contractor in Las Vegas, Nevada. The transaction is expected
to close in the next 30 days. Terms of the transaction were not disclosed.
    In addition to contracting activities, VPI operates a steel fabrication
facility and retail construction supply business in Las Vegas. VPI currently
employs more than 110 field ironworkers and specializes in smaller commercial,
retail and public works projects.
    "Our participation in the Las Vegas market has increased considerably in
the past nine months," remarked Eric Benson, President of PCS. "Valley Placers
gives us the local presence needed to support our growth and will provide us
immediate access to a broader range of market opportunities here."
    J. Neal McCullohs, Vice President of Commercial and Downstream Operations
for Gerdau Ameristeel commented, "This further supports our approach to
strategically grow our downstream operations in the West. VPI can be supported
by our recently purchased mill in Oklahoma, and will easily roll into the PCS
organizational structure."

    About Gerdau Ameristeel

    Gerdau Ameristeel is the second largest mini-mill steel producer in North
America with annual manufacturing capacity of over 9.0 million tons of mill
finished steel products. Through its vertically integrated network of 17
mini-mills (including one 50% owned mini-mill), 17 scrap recycling facilities
and 51 downstream operations, Gerdau Ameristeel primarily serves customers in
the eastern two thirds of North America. The company's products are generally
sold to steel service centers, steel fabricators, or directly to original
equipment manufactures for use in a variety of industries, including
construction, cellular and electrical transmission, automotive, mining and
equipment manufacturing. The common shares of Gerdau Ameristeel are traded on
the New York Exchange under the symbol GNA and on the Toronto Stock Exchange
under the symbol GNA.
    For additional financial and investor information, visit
www.gerdauameristeel.com.

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For further information:

For further information: Investor Relations: Barbara R. Smith, Vice
President & Chief Financial Officer, Gerdau Ameristeel, (813) 319-4324,
basmith@gerdauameristeel.com; Media: Steven Hendricks, Director, Corporate
Communications & Public Affairs, Gerdau Ameristeel, (813) 319-4858,
sthendricks@gerdauameristeel.com

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GERDAU AMERISTEEL CORPORATION

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