California Steel Reports Improved Numbers for Quarter

California Steel Industries, Inc. reported net income of 11.9 million for the third quarter. The company also reported that income over the first three quarters of the year stand at $29.6 million.

Lourenco Goncalves, president and CEO, commented "CSI once more demonstrates its ability to remain focused on our competitive strengths -- operating our slab based business model, making a solid profit, and serving our customers. Third quarter results were again one of the best among all the U.S. steel companies, as we were able to get as much as $44 operating profit per ton. As always, we continue to maximize our opportunities while avoiding potholes in our path".

Goncalves stated further that "Midwestern and Eastern mills are again making offerings for steel here in the West. It seems that the '201' honeymoon is over for them, even without any meaningful increase in imports. For CSI, it means little more than business as usual. We have been anticipating this moment and we have demonstrated a great deal of success in such an environment."

During the quarter CSI's sales volumes continued on at a record two million ton pace for 2002. CSI's sales volume of 508,000 tons represents a 4 percent increase from the same quarter last year.

CSI's average sales price increased $33 per ton when compared to the second quarter of 2002 and up $39 per net ton when compared to the same period last year.