Scrap Industry News

Schnitzer Steel Industries Inc., based in Portland, Ore., has announced that it and Hugo Neu Corp. have completed the separation and termination of their various joint venture relationships.

"We not only received very attractive scrap metal franchises, but an excellent team of motivated people that have helped build these quality businesses," John D. Carter, Schnitzer president and CEO, says. "We are making good progress toward integrating these businesses into our existing operations. It’s been our pleasure to begin to become better acquainted with the managers and employees who operate these businesses. We believe these businesses combined with our existing wholly-owned operations will produce significant benefits in making Schnitzer an even greater company in the years ahead."

Carter adds, "In particular, we would like to thank John Neu, the rest of the Hugo Neu team and the joint venture personnel remaining with Hugo Neu for their hard work in helping us build the many joint venture businesses. Many of these people were instrumental in the growth and success of the joint ventures, and we sincerely wish them the very best in operating the excellent businesses Hugo Neu received as part of the separation."

Under the joint venture Master Agreement, Schnitzer has received:

Hugo Neu, in exchange, has assumed total ownership of:

Schnitzer Steel is one of the nation’s largest recyclers of ferrous metals, a used auto parts retailer with more than 50 locations across the United States and Canada and a manufacturer of finished steel products. It has a significant metals presence on the West Coast and Northeastern seaboard.