WELLAND, ON, July 12 /CNW/ - Lakeside Steel Inc. (TSX-V: LS) ("Lakeside Steel" or the "Company") today announced its fiscal first quarter operations update for the three months ended June 30, 2010 (Q1, 2011).
For the first quarter ending June 30, 2010, preliminary numbers suggest shipments of 53,719 tons which represents a 268% improvement over Q1, 2010, as well as a 35% improvement over Q4, 2010. These shipments would also represent a new quarterly shipping record for the Company. The previous record was 42,992 tons set in Q1, 2008.
Lakeside expects revenues of $62.2 million which is a 289% improvement over Q1 2010 as well as a 42% improvement over Q4. During the quarter Lakeside set the following operational records:
- Lakeside tons produced in one month
- Lakeside tons shipped in one month
- Lakeside tons produced in one quarter
- Lakeside tons shipped in one quarter
- SRM tons produced in one month
- SRM tons produced in one quarter
For the second quarter ending September 30, 2010, Lakeside anticipates shipments of 52,500 tons and revenues of $70 million. The increase in revenue per ton is largely attributable to a higher value added product mix.
Ron Bedard, Lakeside Steel's President and COO stated, "Lakeside continues to produce high quality, Made in Canada, leading edge technology products required by our customer base in Western Canada, Texas and the Marcellus Shale. Having secured load out to September 2010, we continue to focus on higher value added products, best in class quality, certainty of supply for our North American customers and enhanced customer service. We are optimistic that this strong operational performance will continue over several quarters. Lakeside continues to focus on reducing costs, improving our balance sheet and potential opportunities for growth."
About Lakeside Steel Inc.
Lakeside Steel is a 2010 TSX Venture Exchange 50 company and the parent company of Lakeside Steel Corp. ("Lakeside"). Lakeside, located in Welland, Ontario, is a diversified steel pipe and tubing manufacturer. Lakeside's list of customers includes large oil and gas, mining, automotive and commercial and industrial supply companies. In addition to supplying its products in these industries, Lakeside manufactures pipe and mechanical tubing for the resale market, which is sold to distributors in Eastern Canada and the Northeastern United States. Lakeside manufactures a variety of products for these industries including oil well tubing and casing, mechanical tubing, pressure tubing, automotive tubing, hollows for redraw, line pipe, heating and plumbing pipe, drill rod and specialty tubing. Lakeside serves customers worldwide, either directly or indirectly, in Canada and the United States.
This press release may contain forward-looking statements with respect to the Company, its operations, strategy, financial performance and condition. These statements generally can be identified by use of forward looking words such as "may", "will", "expect", "estimate", "anticipate", intends", "believe" or "continue" or the negative thereof or similar variations. The actual results and performance of the Company discussed herein could differ materially from those expressed or implied by such statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, competition, changes in government regulations and the factors described under "Risk Factors" in the Management's Discussion and Analysis and Filing Statement of the Company which are available at www.sedar.com. The cautionary statements qualify all forward-looking statements attributable to the Company and persons acting on their behalf. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release and the Company has no obligation to update such statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Lakeside Steel was recognized as a TSX Venture 50(R) company in 2010. TSX Venture 50 is a trade-mark of TSX Inc. and is used under license.
SOURCE LAKESIDE STEEL INC.
For further information: For further information: Ron Bedard, President and Chief Operating Officer, Lakeside Steel Inc., (905) 735-7473 ext 7294, Fax: (905) 735-9069, e-mail: email@example.com; Ken Hunter, Chief Financial Officer, Lakeside Steel Inc., (905) 735-7473 ext 7218, Fax: (905) 735-9069, e-mail: firstname.lastname@example.org