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The Reliance Family of Companies welcomed three new
businesses in 2016, bringing our total acquisition count
to 62 quality companies since our 1994 IPO. Each of
these companies fits our overall strategy for growth in
specialty and high-margin products and services, and
was accretive to our earnings. The acquisition of Tubular
Steel expands our presence in specialty products and
strengthens our foothold in the energy end-market.
Although current activity levels are lower than normal,
we are confident in the long-term strength of the energy
market and Tubular Steel’s ability to benefit during
the recovery. Best Manufacturing increases our high-
margin, value-added processing capabilities; and Alaska
Steel marks our first entry into the Alaskan market,
broadening our reach and servicing diverse industries,
including infrastructure and energy.
We are continuously evaluating well-run companies
that fit our strategy for profitable growth and meet our
stringent acquisition criteria. At the same time, we remain
focused on organic investment – primarily in state-of-
the-art, value-added processing equipment – that will
continue to enhance our earnings.
On behalf of Reliance, we would like to express how
extremely proud we are of the strong operational
performance and commitment shown by our more than
14,000 employees. In particular, the strict pricing discipline
and diligent expense and inventory management
practices implemented by our managers in the field
have enabled Reliance to thrive through all types of
environments. We are also very pleased with Reliance’s
safety performance in 2016, in which our companies
achieved a year-over-year reduction in our incident
rate of more than 25%. We would like to thank all of our
employees for working hard, and for doing so safely. We
would also like to thank our loyal customers, suppliers, and
stockholders for their continued support and commitment
to Reliance. In the coming year, we anticipate a renewed
enthusiasm for infrastructure and equipment spending,
as well as improvement in the energy market. As we look
“toward a better tomorrow,” we believe Reliance is very
well positioned to capitalize on these opportunities.
Gregg J. Mollins
| President and Chief Executive Officer
James D. Hoffman
| Executive Vice President and Chief Operating Officer
Karla R. Lewis
| Senior Executive Vice President and Chief Financial Officer