Moving Metal

One of the slitting lines in operation at the Vernon flagship plant.

BUILDING THE TEAM Reliance took back sole ownership of its Los Angeles carbon steel business just in time for the nationwide economic recovery that began in December 1982. The crisis was over, but margins in the carbon steel business remained thin, so Reliance assumed a lower profile in the marketplace. “We purposely walked away from quite a bit of business,” Gimbel explained, “Reliance has learned that it can’t be everything to everybody.”

Co. for $1.00, while continuing to lease the real estate of the company. The transaction was concluded and the joint venture ended in May 1982. It was a difficult period, but the strong working relationship between the companies survived: Mitsui remained Reliance’s largest supplier of Japanese steel. Still, Gimbel sorely regretted the dissolution, telling American Metal Market in 1984, “Gosh, I sure didn’t want that Mitsui thing to break up.”

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