10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2018

or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to .

Commission File Number 001-34735

RYERSON HOLDING CORPORATION

(Exact name of registrant as specified in its charter)

DELAWARE	26-1251524
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

227 W. Monroe St., 27^th Floor

Chicago, Illinois 60606

(Address of principal executive offices)

(312) 292-5000

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ☒    No  ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  ☒    No  ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See definition of “large accelerated filer”, “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☒	Emerging growth company	☐
Non-accelerated filer	☐	Smaller reporting company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Yes  ☐    No  ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  ☒

APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

As of July 30, 2018, there were 37,295,942 shares of Common Stock, par value $0.01 per share, outstanding.

RYERSON HOLDING CORPORATION AND SUBSIDIARY COMPANIES

INDEX

			PAGE NO.
Part I. Financial Information:
	Item 1.	Financial Statements:
		Condensed Consolidated Statements of Comprehensive Income (Unaudited)—Three and Six Months ended June 30, 2018 and 2017	3
		Condensed Consolidated Statements of Cash Flows (Unaudited)—Six Months ended June 30, 2018 and 2017	4
		Condensed Consolidated Balance Sheets—June 30, 2018 (Unaudited) and December 31, 2017	5
		Notes to Condensed Consolidated Financial Statements (Unaudited)	6
	Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	25
	Item 3.	Quantitative and Qualitative Disclosures About Market Risk	34
	Item 4.	Controls and Procedures	35
Part II. Other Information:
	Item 1.	Legal Proceedings	35
	Item 1A.	Risk Factors	36
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	36
	Item 3.	Defaults Upon Senior Securities	36
	Item 4.	Mine Safety Disclosures	36
	Item 5.	Other Information	36
	Item 6.	Exhibits	37
Signature			38

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PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

RYERSON HOLDING CORPORATION AND SUBSIDIARY COMPANIES

Condensed Consolidated Statements of Comprehensive Income (Unaudited)

(In millions, except per share data)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2018			2017			2018			2017
Net sales	$	1,057.1		$	875.4		$	1,998.4		$	1,689.9
Cost of materials sold		871.8			735.0			1,648.2			1,388.9
Gross profit		185.3			140.4			350.2			301.0
Warehousing, delivery, selling, general, and administrative		138.9			118.6			269.4			238.0
Operating profit		46.4			21.8			80.8			63.0
Other income and (expense), net		1.1			1.0			4.7			3.4
Interest and other expense on debt		(23.9	)		(22.8	)		(47.2	)		(44.6	)
Income before income taxes		23.6			—			38.3			21.8
Provision (benefit) for income taxes		6.2			(0.8	)		10.3			6.0
Net income		17.4			0.8			28.0			15.8
Less: Net income (loss) attributable to noncontrolling interest		(0.1	)		0.2			0.1			0.4
Net income attributable to Ryerson Holding Corporation	$	17.5		$	0.6		$	27.9		$	15.4
Comprehensive income	$	15.2		$	9.3		$	24.8		$	25.6
Less: Comprehensive income attributable to noncontrolling interest		—			0.2			0.2			0.7
Comprehensive income attributable to Ryerson Holding Corporation	$	15.2		$	9.1		$	24.6		$	24.9
Basic earnings per share	$	0.47		$	0.02		$	0.75		$	0.41
Diluted earnings per share	$	0.46		$	0.02		$	0.74		$	0.41

See Notes to Condensed Consolidated Financial Statements.

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RYERSON HOLDING CORPORATION AND SUBSIDIARY COMPANIES

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In millions)

	Six Months Ended
	June 30,
	2018			2017
Operating activities:
Net income	$	28.0		$	15.8
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization		23.1			22.2
Stock-based compensation		1.7			1.1
Deferred income taxes		8.2			6.0
Provision for allowances, claims, and doubtful accounts		1.4			0.4
Other-than-temporary impairment charge on equity investments		—			0.2
Non-cash (gain) loss from derivatives		(1.5	)		0.5
Other items		—			(0.7	)
Change in operating assets and liabilities:
Receivables		(127.0	)		(101.4	)
Inventories		(94.3	)		(75.8	)
Other assets		(0.9	)		(1.8	)
Accounts payable		145.5			68.7
Accrued liabilities		13.6			0.4
Accrued taxes payable/receivable		2.6			(1.1	)
Deferred employee benefit costs		(18.3	)		(16.0	)
Net adjustments		(45.9	)		(97.3	)
Net cash used in operating activities		(17.9	)		(81.5	)
Investing activities:
Acquisitions, net of cash acquired		(16.2	)		(49.2	)
Capital expenditures		(21.4	)		(10.2	)
Proceeds from sale of property, plant, and equipment		0.4			3.7
Net cash used in investing activities		(37.2	)		(55.7	)
Financing activities:
Repayment of debt		(0.1	)		(0.1	)
Net proceeds of short-term borrowings		1.7			69.3
Purchase of subsidiary shares from noncontrolling interest		(0.2	)		—
Credit facility amendment costs		(0.5	)		—
Net increase in book overdrafts		8.0			45.4
Principal payments on capital lease obligations		(5.9	)		(4.7	)
Proceeds from sale-leaseback transactions		4.5			22.4
Net cash provided by financing activities		7.5			132.3
Net decrease in cash, cash equivalents, and restricted cash		(47.6	)		(4.9	)
Effect of exchange rate changes on cash, cash equivalents, and restricted cash		(2.2	)		1.4
Net change in cash, cash equivalents, and restricted cash		(49.8	)		(3.5	)
Cash, cash equivalents, and restricted cash—beginning of period		78.5			81.7
Cash, cash equivalents, and restricted cash—end of period	$	28.7		$	78.2
Supplemental disclosures:
Cash paid during the period for:
Interest paid to third parties	$	43.9		$	41.5
Income taxes, net		0.9			1.3
Noncash investing activities:
Asset additions under capital leases and sale-leasebacks	$	9.4		$	32.6
Asset additions under financing arrangements		4.2			—

See Notes to Condensed Consolidated Financial Statements.

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RYERSON HOLDING CORPORATION AND SUBSIDIARY COMPANIES

Condensed Consolidated Balance Sheets

(In millions, except shares)

	June 30,			December 31,
	2018			2017
	(unaudited)
Assets
Current assets:
Cash and cash equivalents	$	27.6		$	77.4
Restricted cash		1.1			1.1
Receivables less provision for allowances, claims, and doubtful accounts of $2.0 in 2018 and $4.9 in 2017		505.6			376.3
Inventories		701.1			616.5
Prepaid expenses and other current assets		48.3			32.6
Total current assets		1,283.7			1,103.9
Property, plant, and equipment, at cost		777.9			742.7
Less: Accumulated depreciation		336.6			319.8
Property, plant and equipment, net		441.3			422.9
Deferred income taxes		8.4			17.9
Other intangible assets		45.9			46.9
Goodwill		120.3			115.3
Deferred charges and other assets		6.3			5.0
Total assets	$	1,905.9		$	1,711.9
Liabilities
Current liabilities:
Accounts payable	$	430.1		$	275.0
Salaries, wages, and commissions		48.3			40.3
Other accrued liabilities		74.6			58.4
Short-term debt		29.9			21.3
Current portion of deferred employee benefits		7.7			7.7
Total current liabilities		590.6			402.7
Long-term debt		1,023.0			1,024.4
Deferred employee benefits		221.8			243.5
Other noncurrent liabilities		49.3			48.7
Total liabilities		1,884.7			1,719.3
Commitments and contingencies
Equity
Ryerson Holding Corporation stockholders’ equity (deficit):
Preferred stock, $0.01 par value; 7,000,000 shares authorized and no shares issued at 2018 and 2017		—			—
Common stock, $0.01 par value; 100,000,000 shares authorized; 37,508,442 and 37,421,081 shares issued at 2018 and 2017, respectively		0.4			0.4
Capital in excess of par value		379.4			377.6
Accumulated deficit		(63.9	)		(95.1	)
Treasury stock at cost – Common stock of 212,500 shares in 2018 and 2017		(6.6	)		(6.6	)
Accumulated other comprehensive loss		(290.6	)		(286.3	)
Total Ryerson Holding Corporation stockholders’ equity (deficit)		18.7			(10.0	)
Noncontrolling interest		2.5			2.6
Total equity (deficit)		21.2			(7.4	)
Total liabilities and equity	$	1,905.9		$	1,711.9

See Notes to Condensed Consolidated Financial Statements.

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RYERSON HOLDING CORPORATION AND SUBSIDIARY COMPANIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

NOTE 1: FINANCIAL STATEMENTS

Ryerson Holding Corporation (“Ryerson Holding”), a Delaware corporation, is the parent company of Joseph T. Ryerson & Son, Inc. (“JT Ryerson”), a Delaware corporation. Affiliates of Platinum Equity, LLC (“Platinum”) own approximately 21,037,500 shares of our common stock, which is approximately 56% of our issued and outstanding common stock.

We are a leading value-added processor and distributor of industrial metals, with operations in the United States through JT Ryerson, in Canada through our indirect wholly-owned subsidiary Ryerson Canada, Inc., a Canadian corporation (“Ryerson Canada”), and in Mexico through our indirect wholly-owned subsidiary Ryerson Metals de Mexico, S. de R.L. de C.V., a Mexican corporation (“Ryerson Mexico”). In addition to our North American operations, we conduct materials distribution operations in China through an indirect wholly-owned subsidiary, Ryerson China Limited (“Ryerson China”). Unless the context indicates otherwise, Ryerson Holding, JT Ryerson, Ryerson Canada, Ryerson China, and Ryerson Mexico together with their subsidiaries, are collectively referred to herein as “Ryerson,” “we,” “us,” “our,” or the “Company.”

Results of operations for any interim period are not necessarily indicative of results of any other periods or for the year. The condensed consolidated financial statements as of June 30, 2018 and for the three-month and six-month periods ended June 30, 2018 and 2017 are unaudited, but in the opinion of management, include all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of results for such periods. The year-end condensed consolidated balance sheet data contained in this report was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017.

NOTE 2: RECENT ACCOUNTING PRONOUNCEMENTS

Impact of Recently Issued Accounting Standards—Adopted

In May 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers,” which created Accounting Standards Codification (“ASC”) 606 “Revenue from Contracts with Customers” (“ASC 606”) and supersedes the revenue recognition requirements in ASC 605 “Revenue Recognition” (“ASC 605”). The guidance in ASU 2014-09 and subsequently issued amendments outlines a comprehensive model for all entities to use in accounting for revenue arising from contracts with customers as well as required disclosures. Under the new standard, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services.  The new standard requires additional disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers including significant judgments and changes in judgments. We adopted the new standard effective January 1, 2018 using the modified retrospective transition method with the cumulative effect recorded to the opening balance of retained earnings as of the date of adoption. See Note 12: Revenue Recognition for further details.

In January 2016, the FASB issued ASU 2016-01, “Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities”, and in February 2018, the FASB issued ASU 2018-03, “Technical corrections and improvements to Financial Instruments – Overall (Subtopic 825-10) – Recognition and Measurement of Financial Assets and Financial Liabilities”. The amendments in ASU 2016-01 change the accounting for non-consolidated equity investments that are not accounted for under the equity method of accounting by requiring changes in fair value to be recognized in net income.  Under prior guidance, changes in fair value for investments of this nature are recognized in accumulated other comprehensive income as a component of stockholders’ equity. Additionally, ASU 2016-01 simplifies the impairment assessment of equity investments without readily determinable fair values; requires entities to use the exit price when estimating the fair value of financial instruments; and modifies various presentation disclosure requirements for financial instruments. The amendments should be applied by means of a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption. The amendments related to equity securities without readily determinable fair values (including disclosure requirements) should be applied prospectively to equity investments that exist as of the date of adoption. The update is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018. The adoption of this guidance resulted in a reclassification of $1.0 million from accumulated other comprehensive income to retained earnings.

In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows – Classification of Certain Cash Receipts and Certain Cash Payments”. The amendments address the diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The update is effective for interim and annual reporting periods beginning after December 15, 2017. The amendments should be applied using a retrospective transition method to each period presented. If it is impracticable to apply the amendments retrospectively for some of the issues, the amendments for those issues would be applied prospectively as of the earliest date practicable. We adopted this guidance for our fiscal year beginning January 1, 2018. We have

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made an accounting policy election to classify distributions received from equity method investees using the cumulative earnings approach. The adoption of this guidance did not have an impact on our consolidated financial statements.

In October 2016, the FASB issued ASU 2016-16, “Income Taxes – Intra-Entity Transfers of Assets Other Than Inventory”.The amendment requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The update is effective for interim and annual reporting periods beginning after December 15, 2017. The amendments should be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption.  We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance did not have an impact on our consolidated financial statements.

In November 2016, the FASB issued ASU 2016-18 “Statement of Cash Flows – Restricted Cash”.The amendment requires entities to include in their cash and cash-equivalent balances in the statement of cash flows those amounts that are deemed to be restricted cash and restricted cash equivalents. The ASU does not define the terms “restricted cash” and “restricted cash equivalents.” The amendment is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018 using a retrospective transition method to each period presented. The adoption of this guidance did not have a material impact on our consolidated financial statements. The previous disclosure for restricted cash within investing activities was removed and the beginning and ending balances of restricted cash are now included in the cash and cash-equivalents balances in our Condensed Consolidated Statements of Cash Flows. There was no impact on the cash flows from operations. See Note 3: Cash, Cash Equivalents, and Restricted Cash for additional required disclosures.

In March 2017, the FASB issued ASU 2017-07, “Compensation – Retirement Benefits:  Improving the Presentation of Net Periodic Pension Cost and Net Periodic Post Retirement Benefit Cost”.  The amendment requires entities to disaggregate the service cost component from the other components of net benefit cost and limits the capitalization of net benefit cost to only the service cost component.  The amendment also provides explicit guidance on how to present the service cost component and the other components of net benefit cost in the statement of comprehensive income.  The amendments are effective for interim and annual reporting periods beginning after December 15, 2017.  The disclosure requirements of the amendments should be applied retrospectively and the requirements concerning capitalization of the net service costs should be applied prospectively.  We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance resulted in a $1.9 and $4.0 million reclassification between warehousing, delivery, selling, general, and administrative and other income and (expense), net within the Condensed Consolidated Statements of Comprehensive Income for the three and six month periods ended June 30, 2017, respectively, with no impact on gross margins, and overall did not have a material impact on our consolidated financial statements.

In May 2017, the FASB issued ASU 2017-09, “Compensation – Stock Compensation:  Scope of Modification Accounting”.  The amendment provides guidance about which changes to the terms and conditions of a share-based payment award require an entity to apply the accounting guidance on modifications to share-based payment awards.  The guidance is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance did not have an impact on our consolidated financial statements.

Impact of Recently Issued Accounting Standards—Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, “Leases” codified in ASC 842, “Leases”. The guidance in ASU 2016-02 and subsequently issued amendments requires lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than 12 months. The amendment also will require disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative information. The update is effective for interim and annual reporting periods beginning after December 15, 2018. Entities are required to use a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements, and have the option to use certain relief. Early adoption is permitted. The FASB recently proposed an optional transition alternative, currently subject to approval, which would allow for application of the guidance at the beginning of the period in which it is adopted, rather than at the beginning of the earliest comparative period presented. We will adopt this guidance for our fiscal year beginning January 1, 2019. The Company has established a cross-functional project team to implement the updated lease guidance and is in the process of evaluating existing contracts for embedded leases and implementing a lease software to be used for lease tracking and reporting. We are still assessing the impact of adoption on our consolidated financial statements and will assess the method of transition if the optional transition alternative is formally approved.

In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments”. The amendment requires financial assets measured at amortized cost basis to be presented at the net amount expected to be collected, thus eliminating the probable initial recognition threshold and instead reflecting the current estimate of all expected credit losses. The amendment also requires that credit losses relating to available-for-sale debt securities be recorded through an allowance for credit losses rather than a write-down, thus enabling the ability to record reversals of credit losses in current period net income. The update is effective for interim and annual reporting periods beginning after December 15, 2019. An entity will apply the amendment through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (that is, a modified-retrospective approach). A prospective transition approach is required for debt securities

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for which an-other-than-temporary impairment had been recognized before the effective date. The effect of a prospective transition approach is to maintain the same amortized cost basis before and after the effective date of this update. Early adoption is permitted only for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. We will adopt this guidance for our fiscal year beginning January 1, 2020. We are still assessing the impact of adoption on our consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income”. The guidance allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the U.S. Tax Cuts and Jobs Act (“U.S. Tax Act”). It also requires certain disclosures about stranded tax effects. However, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The guidance is effective for interim and annual reporting periods beginning after December 15, 2018, and should be applied either in the period of adoption or retrospectively to each period (or periods) in which the effect of the change in the U.S. federal corporate income tax rate in the U.S. Tax Act is recognized.Early adoption is permitted. We will adopt this guidance for our fiscal year beginning January 1, 2019.We are still assessing the impact of adoption on our consolidated financial statements.

NOTE 3: CASH, CASH EQUIVALENTS, AND RESTRICTED CASH

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Condensed Consolidated Balance Sheets that sum to the total of the beginning and ending cash balances shown in the Condensed Consolidated Statements of Cash Flows:

	June 30,		December 31,
	2018		2017
	(In millions)
Cash and cash equivalents	$	27.6	$	77.4
Restricted cash		1.1		1.1
Total cash, cash equivalents, and restricted cash	$	28.7	$	78.5

We have cash restricted for purposes of covering letters of credit that can be presented for potential insurance claims.

NOTE 4: INVENTORIES

The Company primarily uses the last-in, first-out (LIFO) method of valuing inventory. Interim LIFO calculations are based on actual inventory levels.

Inventories, at stated LIFO value, were classified at June 30, 2018 and December 31, 2017 as follows:

	June 30,		December 31,
	2018		2017
	(In millions)
In process and finished products	$	701.1	$	616.5

If current cost had been used to value inventories, such inventories would have been $15 million and $71 million lower than reported at June 30, 2018 and December 31, 2017, respectively. Approximately 89% of inventories are accounted for under the LIFO method at June 30, 2018 and December 31, 2017. Non-LIFO inventories consist primarily of inventory at our foreign facilities using the moving average cost and the specific cost methods. Substantially all of our inventories consist of finished products.

The Company has consignment inventory at certain customer locations, which totaled $8.2 million and $8.9 million at June 30, 2018 and December 31, 2017, respectively.

NOTE 5: GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill, which represents the excess of cost over the fair value of net assets acquired, amounted to $120.3 million and $115.3 million at June 30, 2018 and December 31, 2017, respectively. We recognized $5.0 million and $12.1 million of additional goodwill during the first six months of 2018 and 2017, respectively, related to the acquisitions discussed in Note 6: Acquisitions. Pursuant to ASC 350, “Intangibles – Goodwill and Other,” we review the recoverability of goodwill annually as of October 1 or whenever significant events or changes occur which might impair the recovery of recorded amounts. The most recently completed impairment test of goodwill was performed as of October 1, 2017, and it was determined that no impairment existed.

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Other intangible assets with finite useful lives continue to be amortized over their useful lives. During the first six months of 2018 and 2017, we recognized $2.1 million and $12.2 million, respectively, in intangibles related to the acquisitions discussed in Note 6: Acquisitions. We review the recoverability of our long-lived assets whenever events or changes in circumstances indicate the carrying amount of such assets may not be recoverable.

NOTE 6: ACQUISITIONS

On April 2, 2018, Ryerson Holding acquired Fanello Industries, LLC (“Fanello”), a privately owned metal service company located in Lavonia, Georgia. The acquisition is not material to our consolidated financial statements.

On January 19, 2017, Ryerson Holding acquired The Laserflex Corporation (“Laserflex”), a privately-owned metal fabricator specializing in laser fabrication metal processing and welding with locations in Columbus, Ohio and Wellford, South Carolina. The acquisition is not material to our consolidated financial statements.

On February 15, 2017, Ryerson Holding acquired Guy Metals, Inc. (“Guy Metals”), a privately-owned metal service center company located in Hammond, Wisconsin. The acquisition is not material to our consolidated financial statements.

NOTE 7: LONG-TERM DEBT

Long-term debt consisted of the following at June 30, 2018 and December 31, 2017:

	June 30,			December 31,
	2018			2017
	(In millions)
Ryerson Credit Facility	$	384.8		$	384.2
11.00% Senior Secured Notes due 2022		650.0			650.0
Foreign debt		22.5			21.3
Other debt		8.0			3.9
Unamortized debt issuance costs and discounts		(12.4	)		(13.7	)
Total debt		1,052.9			1,045.7
Less: Short-term foreign debt		22.5			21.3
Less: Other short-term debt		7.4			—
Total long-term debt	$	1,023.0		$	1,024.4

Ryerson Credit Facility

On November 16, 2016, Ryerson entered into an amendment with respect to its $1.0 billion revolving credit facility, to reduce the total facility size from $1.0 billion to $750 million (as amended, the “Old Credit Facility”), reduce the interest rate on outstanding borrowings by 25 basis points, reduce commitment fees on amounts not borrowed by 2.5 basis points, and to extend the maturity date to November 16, 2021. On June 28, 2018, Ryerson entered into a second amendment with respect to the revolving credit facility to increase the facility size from $750 million to $1 billion (as amended, the “Ryerson Credit Facility”).

At June 30, 2018, Ryerson had $384.8 million of outstanding borrowings, $12 million of letters of credit issued, and $363 million available under the Ryerson Credit Facility compared to $384.2 million of outstanding borrowings, $12 million of letters of credit issued, and $264 million available at December 31, 2017. Total credit availability is limited by the amount of eligible accounts receivable, inventory, and qualified cash pledged as collateral under the agreement insofar as Ryerson is subject to a borrowing base comprised of the aggregate of these three amounts, less applicable reserves. Eligible accounts receivable, at any date of determination, is comprised of the aggregate value of all accounts directly created by a borrower (and in the case of Canadian accounts, the Canadian borrower) in the ordinary course of business arising out of the sale of goods or the rendering of services, each of which has been invoiced, with such receivables adjusted to exclude various ineligible accounts, including, among other things, those to which a borrower (or guarantor, as applicable) does not have sole and absolute title and accounts arising out of a sale to an employee, officer, director, or affiliate of a borrower (or guarantor, as applicable). Eligible inventory, at any date of determination, is comprised of the net orderly liquidation value of all inventory owned by a borrower (and in the case of Canadian accounts, the Canadian borrower). Qualified cash consists of cash in an eligible deposit account that is subject to customary restrictions and liens in favor of the lenders.

The Ryerson Credit Facility has an allocation of $940 million to the Company’s subsidiaries in the United States and an allocation of $60 million to Ryerson Holding’s Canadian subsidiary that is a borrower. Amounts outstanding under the Ryerson Credit Facility bear interest at (i) a rate determined by reference to (A) the base rate (the highest of the Federal Funds Rate plus 0.50%, Bank of America, N.A.’s prime rate, and the one-month LIBOR rate plus 1.00%) or (B) a LIBOR rate or, (ii) for Ryerson Holding’s Canadian subsidiary that is a borrower, (A) a rate determined by reference to the Canadian base rate (the greatest of the Federal Funds

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Rate plus 0.50%, Bank of America-Canada Branch’s “base rate” for commercial loans in U.S. Dollars made at its “base rate”, and the 30 day LIBOR rate plus 1.00%), (B) the prime rate (the greater of Bank of America-Canada Branch’s “prime rate” for commercial loans made by it in Canada in Canadian Dollars and the one-month Canadian bankers’ acceptance rate plus 1.00%), or (C) the bankers’ acceptance rate. The spread over the base rate and prime rate is between 0.25% and 0.50% and the spread over the LIBOR for the bankers’ acceptances is between 1.25% and 1.50%, depending on the amount available to be borrowed under the Ryerson Credit Facility. Overdue amounts and all amounts owed during the existence of a default bear interest at 2% above the rate otherwise applicable thereto. Ryerson also pays commitment fees on amounts not borrowed at a rate of 0.23%.

We attempt to minimize interest rate risk exposure through the utilization of interest rate swaps, which are derivative financial instruments. In March 2017, we entered into an interest rate swap to fix interest on $150 million of our floating rate debt under the Ryerson Credit Facility at a rate of 1.658% through March 2020. The swap has reset dates and critical terms that match our existing debt and the anticipated critical terms of future debt. The weighted average interest rate on the outstanding borrowings under the Ryerson Credit Facility including the interest rate swap was 3.2 percent and 2.8 percent at June 30, 2018 and December 31, 2017, respectively.

Borrowings under the Ryerson Credit Facility are secured by first-priority liens on all of the inventory, accounts receivables, lockbox accounts, and related assets of the borrowers and the guarantors.

The Ryerson Credit Facility also contains covenants that, among other things, restrict Ryerson Holding and its restricted subsidiaries with respect to the incurrence of debt, the creation of liens, transactions with affiliates, mergers and consolidations, sales of assets, and acquisitions. The Ryerson Credit Facility also requires that, if availability under the Ryerson Credit Facility declines to a certain level, Ryerson maintain a minimum fixed charge coverage ratio as of the end of each fiscal quarter, and includes defaults upon (among other things) the occurrence of a change of control of Ryerson and a cross-default to other financing arrangements.

The Ryerson Credit Facility contains events of default with respect to, among other things, default in the payment of principal when due or the payment of interest, fees, and other amounts due thereunder after a specified grace period, material misrepresentations, failure to perform certain specified covenants, certain bankruptcy events, the invalidity of certain security agreements or guarantees, material judgments, and the occurrence of a change of control of Ryerson. If such an event of default occurs, the lenders under the Ryerson Credit Facility will be entitled to various remedies, including acceleration of amounts outstanding under the Ryerson Credit Facility and all other actions permitted to be taken by secured creditors.  

The lenders under the Ryerson Credit Facility could reject a borrowing request if any event, circumstance, or development has occurred that has had or could reasonably be expected to have a material adverse effect on the Company. If Ryerson Holding, JT Ryerson, any of the other borrowers, or any restricted subsidiaries of JT Ryerson becomes insolvent or commences bankruptcy proceedings, all amounts borrowed under the Ryerson Credit Facility will become immediately due and payable.

Net proceeds of short-term borrowings that are reflected in the Condensed Consolidated Statements of Cash Flows represent borrowings under the Ryerson Credit Facility with original maturities less than three months.

2022 Notes

On May 24, 2016, JT Ryerson issued $650 million in aggregate principal amount of the 2022 Notes (the “2022 Notes”). The 2022 Notes bear interest at a rate of 11.00% per annum. The 2022 Notes are fully and unconditionally guaranteed on a senior secured basis by all of our existing and future domestic subsidiaries that are co-borrowers or that have guarantee obligations under the Ryerson Credit Facility.

The 2022 Notes and the related guarantees are secured by a first-priority security interest in substantially all of JT Ryerson’s and each guarantor’s present and future assets located in the United States (other than receivables, inventory, cash, deposit accounts and related general intangibles, certain other assets, and proceeds thereof), subject to certain exceptions and customary permitted liens. The 2022 Notes and the related guarantees are also secured on a second-priority basis by a lien on the assets that secure JT Ryerson’s and the Company’s obligations under the Ryerson Credit Facility.

The 2022 Notes will be redeemable, in whole or in part, at any time on or after May 15, 2019 at certain redemption prices. The redemption price for the 2022 Notes if redeemed during the twelve months beginning (i) May 15, 2019 is 105.50%, (ii) May 15, 2020 is 102.75%, and (iii) May 15, 2021 and thereafter is 100.00%. JT Ryerson may redeem some or all of the 2022 Notes before May 15, 2019 at a redemption price of 100.00% of the principal amount, plus accrued and unpaid interest, if any, to the redemption date, plus a “make-whole” premium. In addition, JT Ryerson may redeem up to 35% of the 2022 Notes before May 15, 2019 with respect to the 2022 Notes with the net cash proceeds from certain equity offerings at a price equal to 111.00%, with respect to the 2022 Notes, of the principal amount thereof, plus any accrued and unpaid interest, if any. JT Ryerson may be required to make an offer to purchase the 2022 Notes upon the sale of assets or upon a change of control.

The 2022 Notes contain customary covenants that, among other things, limit, subject to certain exceptions, our ability, and the ability of our restricted subsidiaries, to incur additional indebtedness, pay dividends on our capital stock or repurchase our capital stock, make investments, sell assets, engage in acquisitions, mergers, or consolidations, or create liens or use assets as security in other

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transactions. Subject to certain exceptions, JT Ryerson may only pay dividends to Ryerson Holding to the extent of 50% of future net income, once prior losses are offset.

Foreign Debt

At June 30, 2018, Ryerson China’s foreign borrowings were $22.5 million, which were owed to banks in Asia at a weighted average interest rate of 4.1% per annum and secured by inventory and property, plant, and equipment. At December 31, 2017, Ryerson China’s foreign borrowings were $21.3 million, which were owed to banks in Asiaat a weighted average interest rate of 3.7% per annum and secured by inventory and property, plant, and equipment.

Availability under the foreign credit lines was $23 million and $25 million at June 30, 2018 and December 31, 2017.  Letters of credit issued by our foreign subsidiaries were $3 million at June 30, 2018 and December 31, 2017.

NOTE 8: EMPLOYEE BENEFITS

The following table summarizes the components of net periodic benefit (credit) cost for the three and six month periods ended June 30, 2018 and 2017 for the Ryerson pension plans and postretirement benefits other than pension:

	Three Months Ended June 30,
	Pension Benefits						Other Benefits
	2018			2017			2018			2017
	(In millions)
Components of net periodic benefit (credit) cost
Service cost	$	—		$	1		$	—		$	—
Interest cost		6			6			—			—
Expected return on assets		(10	)		(11	)		—			—
Recognized actuarial (gain) loss		4			4			(2	)		(2	)
Net periodic benefit credit	$	—		$	—		$	(2	)	$	(2	)

	Six Months Ended June 30,
	Pension Benefits						Other Benefits
	2018			2017			2018			2017
	(In millions)
Components of net periodic benefit (credit) cost
Service cost	$	—		$	1		$	—		$	—
Interest cost		12			13			1			1
Expected return on assets		(20	)		(21	)		—			—
Recognized actuarial (gain) loss		8			7			(4	)		(4	)
Amortization of prior service credit		—			—			(1	)		(1	)
Net periodic benefit credit	$	—		$	—		$	(4	)	$	(4	)

The Company has contributed $12 millionto the pension plan fund through the six months ended June 30, 2018 and anticipates that it will have a minimum required pension contribution funding of approximately $15 million for the remaining six months of 2018.

NOTE 9: COMMITMENTS AND CONTINGENCIES

In October 2011, the United States Environmental Protection Agency (the “EPA”) named us as one of more than 100 businesses that may be a potentially responsible party for the Portland Harbor Superfund Site (the “PHS Site”). On January 6, 2017, the EPA issued its Record of Decision (“ROD”) regarding the site. The ROD includes a combination of dredging, capping and enhanced natural recovery that would take approximately thirteen years to construct plus additional time for monitored natural recovery, at an estimated present value cost of $1.05 billion. The EPA has now requested a Pre-Remedial Design Report (“Pre-RD”) to help determine if the ROD is appropriate or should be reduced.  The Pre-RD is due on May 9, 2019, and a revised ROD should be issued sometime thereafter. The EPA has not yet allocated responsibility for the contamination among the potentially responsible parties, including JT Ryerson. We do not currently have sufficient information available to us to determine whether the ROD will be executed as currently stated, whether and to what extent JT Ryerson may be held responsible for any of the identified contamination, and how much (if any) of the final plan’s costs might ultimately be allocated to JT Ryerson. Therefore, management cannot predict the ultimate outcome of this matter or estimate a range of potential loss at this time.

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There are various other claims and pending actions against the Company. The amount of liability, if any, for those claims and actions at June 30, 2018 is not determinable but, in the opinion of management, such liability, if any, will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. We maintain liability insurance coverage to assist in protecting our assets from losses arising from or related to activities associated with business operations.

NOTE 10: DERIVATIVES AND FAIR VALUE MEASUREMENTS

Derivatives

The Company is exposed to certain risks relating to its ongoing business operations. The primary risks managed by using derivative instruments are interest rate risk, foreign currency risk, and commodity price risk. Interest rate swaps are entered into to manage interest rate risk associated with the Company’s floating-rate borrowings. We use foreign currency exchange contracts to hedge variability in cash flows when a payment currency is different from our functional currency. From time to time, we may enter into fixed price sales contracts with our customers for certain of our inventory components. We may enter into metal commodity futures and options contracts to reduce volatility in the price of these metals. We may also enter into natural gas and diesel fuel price swaps to manage the price risk of forecasted purchases of natural gas and diesel fuel.

We have a receive variable, pay fixed, interest rate swap to manage the exposure to variable interest rates of the Ryerson Credit Facility.  In March 2017, we entered into a forward agreement for $150 million of “pay fixed” interest at 1.658%, “receive variable” interest to manage the risk of increasing variable interest rates.  The interest rate reset dates and critical terms match the terms of our existing debt and anticipated critical terms of future debt under the Ryerson Credit Facility.  The fair value of the interest rate swap as of June 30, 2018 was an asset of $2.2 million.

The Company currently does not account for its commodity contracts and foreign exchange derivative contracts as hedges but rather marks them to market with a corresponding offset to current earnings. The Company accounts for its interest rate swap as a cash flow hedge of floating-rate borrowings with changes in fair value being recorded in accumulated other comprehensive income.

The Company regularly reviews the creditworthiness of its derivative counterparties and does not expect to incur a significant loss from the failure of any counterparties to perform under any agreements.

The following table summarizes the location and fair value amount of our derivative instruments reported in our Condensed Consolidated Balance Sheets as of June 30, 2018 and December 31, 2017:

	Asset Derivatives					Liability Derivatives
	Balance Sheet Location	June 30, 2018		December 31, 2017		Balance Sheet Location	June 30, 2018		December 31, 2017
	(In millions)
Derivatives not designated as hedging instruments under ASC 815
Metal commodity contracts	Prepaid expenses and other current assets	$	2.6	$	2.8	Other accrued liabilities	$	2.3	$	3.9
Foreign exchange contracts	Prepaid expenses and other current assets		0.2		0.1	Other accrued liabilities		—		—
Derivatives designated as hedging instruments under ASC 815
Interest rate swaps	Deferred charges and other assets		2.2		1.0	Other noncurrent liabilities		—		—
Total derivatives		$	5.0	$	3.9		$	2.3	$	3.9

As of June 30, 2018 and December 31, 2017, the Company’s foreign currency exchange contracts had a U.S. dollar notional amount of $7.0 million and $5.1 million, respectively. As of June 30, 2018 and December 31, 2017, the Company had 371 tons and 453 tons, respectively, of nickel swap contracts related to forecasted purchases. As of June 30, 2018 and December 31, 2017, the Company had 11,700 tons and 5,252 tons, respectively, of hot roll coil swap contracts related to forecasted purchases. The Company has aluminum swap contracts related to forecasted purchases, which had a notional amount of 19,598 tons and 15,102 tons as of June 30, 2018 and December 31, 2017, respectively. The Company had zero tons and 3,402 tons of zinc contracts as of June 30, 2018 and December 31, 2017, respectively. As of June 30, 2018 and December 31, 2017, the Company had a notional amount of $150 million of the Ryerson Credit Facility hedged by an interest rate swap.

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The following table summarizes the location and amount of gains and losses on derivatives not designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2018 and 2017:

		Amount of Gain/(Loss) Recognized in Income on Derivatives
Derivatives not designated as hedging instruments	Location of Gain/(Loss) Recognized in Income	Three Months Ended June 30,						Six Months Ended June 30,
under ASC 815	on Derivatives	2018			2017			2018		2017
		(In millions)
Metal commodity contracts	Cost of materials sold	$	1.7		$	0.5		$	1.3	$	1.8
Foreign exchange contracts	Other income and (expense), net		(0.1	)		(0.1	)		0.1		(0.1	)
Total		$	1.6		$	0.4		$	1.4	$	1.7

The following table summarizes the location and amount of gains and losses on derivatives designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2018 and 2017:

		Amount of Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income into Income
Derivatives designated as hedging instruments	Location of Gain/(Loss) Recognized in Income	Three Months Ended June 30,					Six Months Ended June 30,
under ASC 815	on Derivatives	2018		2017			2018		2017
		(In millions)
Interest rate swaps	Interest and other expense on debt	$	0.1	$	(0.3	)	$	0.1	$	(0.4	)

As of June 30, 2018, the portion of the interest rate swap fair value that would be reclassified into earnings during the next 12 months as interest income is approximately $1.1 million.

Fair Value Measurements

To increase consistency and comparability in fair value measurements, ASC 820 establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three levels as follows:

1. Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access as of the reporting date.

2. Level 2 – inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data.

3. Level 3 – unobservable inputs, such as internally-developed pricing models for the asset or liability due to little or no market activity for the asset or liability.

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The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of June 30, 2018:

	At June 30, 2018
	Level 1		Level 2		Level 3
	(In millions)
Assets
Prepaid expenses and other current assets:
Equity securities	$	0.1	$	—	$	—
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.6	$	—
Foreign exchange contracts		—		0.2		—
Derivatives designated as hedging instruments under ASC 815:
Interest rate swaps		—		2.2		—
Total derivatives	$	—	$	5.0	$	—
Liabilities
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.3	$	—

The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of December 31, 2017:

	At December 31, 2017
	Level 1		Level 2		Level 3
	(In millions)
Assets
Prepaid expenses and other current assets:
Equity securities	$	0.1	$	—	$	—
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.8	$	—
Foreign exchange contracts		—		0.1		—
Derivatives designated as hedging instruments under ASC 815:
Interest rate swaps		—		1.0		—
Total derivatives	$	—	$	3.9	$	—
Liabilities
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	3.9	$	—

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The fair value of each derivative contract is determined using Level 2 inputs and the market approach valuation technique, as described in ASC 820. The Company has various commodity derivatives to lock in nickel and zinc prices for varying time periods. The fair value of these derivatives is determined based on the spot price each individual contract was purchased at and compared with the one-month daily average actual spot price on the London Metals Exchange for nickel and zinc on the valuation date. The Company also has commodity derivatives to lock in hot roll coil, iron ore, and aluminum prices for varying time periods. The fair value of hot roll coil, iron ore, and aluminum derivatives is determined based on the spot price each individual contract was purchased at and compared with the one-month daily average actual spot price on the Chicago Mercantile Exchange, the Singapore Exchange, and the London Metals Exchange, respectively, for the commodity on the valuation date. In addition, the Company has numerous foreign exchange contracts to hedge variability in cash flows when a payment currency is different from our functional currency. The Company defines the fair value of foreign exchange contracts as the amount of the difference between the contracted and current market value at the end of the period. The Company estimates the current market value of foreign exchange contracts by obtaining month-end market quotes of foreign exchange rates and forward rates for contracts with similar terms. The Company uses the exchange rates provided by Reuters. Each commodity and foreign exchange contract term varies in the number of months, but in general, contracts are between 3 to 12 months in length.  The fair value of our interest rate swap is based on the sum of all future net present value cash flows for the fixed and floating leg of the swap. The future cash flows are derived based on the terms of our interest rate swap, as well as published discount factors, and projected forward LIBOR rates.

The carrying and estimated fair values of our financial instruments at June 30, 2018 and December 31, 2017 were as follows:

	At June 30, 2018				At December 31, 2017
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(In millions)
Cash and cash equivalents	$	27.6	$	27.6	$	77.4	$	77.4
Restricted cash		1.1		1.1		1.1		1.1
Receivables less provision for allowances, claims, and doubtful accounts		505.6		505.6		376.3		376.3
Accounts payable		430.1		430.1		275.0		275.0
Long-term debt, including current portion		1,052.9		1,122.1		1,045.7		1,125.9

The estimated fair value of the Company’s cash and cash equivalents, receivables less provision for allowances, claims, and doubtful accounts, and accounts payable approximate their carrying amounts due to the short-term nature of these financial instruments. The estimated fair value of the Company’s long-term debt and the current portions thereof is determined by using quoted market prices of Company debt securities (Level 2 inputs).

Equity Securities

The Company had $0.1 million of equity securities, classified within “Prepaid expenses and other current assets,” as of June 30, 2018 and December 31, 2017.

Subsequent to the adoption of ASU 2016-01, management values these investments at fair value with changes in fair value recognized in other income (expense), net. The amount of gain (loss) recognized in the Condensed Consolidated Statement of Comprehensive Income in the three and six month periods ended June 30, 2018 was zero.

Prior to the adoption of ASU 2016-01, management valued these investments at fair value with changes in fair value recognized in accumulated other comprehensive income.  The balance of $1.0 million outstanding within accumulated other comprehensive income related to these investments at December 31, 2017 was reclassed to retained earnings upon the adoption of ASU 2016-01.

There is no maturity date for these investments. Sales during the six months ended June 30, 2018 were immaterial.

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NOTE 11: STOCKHOLDERS’ EQUITY (DEFICIT), ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS), AND NONCONTROLLING INTEREST

The following table details changes in these accounts:

	Ryerson Holding Corporation Stockholders' Equity (Deficit)
															Accumulated Other Comprehensive Income (Loss)
	Common Stock				Treasury Stock					Capital in Excess of Par Value		Accumulated Deficit			Foreign Currency Translation			Benefit Plan Liabilities			Unrealized Gain (Loss) on Equity Securities			Cash Flow Hedge- Interest Rate Swap		Non-controlling Interest			Total Equity
	Shares		Dollars		Shares		Dollars			Dollars		Dollars			Dollars			Dollars			Dollars			Dollars		Dollars			Dollars
	(In millions, except shares in thousands)
Balance at January 1, 2018		37,421	$	0.4		213	$	(6.6	)	$	377.6	$	(95.1	)	$	(41.6	)	$	(246.3	)	$	1.0		$	0.6	$	2.6		$	(7.4	)
Net income		—		—		—		—			—		27.9			—			—			—			—		0.1			28.0
Foreign currency translation		—		—		—		—			—		—			(3.8	)		—			—			—		0.1			(3.7	)
Foreign currency loss on intra-entity transactions		—		—		—		—			—		—			(2.3	)		—			—			—		—			(2.3	)
Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.7		—		—		—		—			—		—			—			1.9			—			—		—			1.9
Adoption of accounting principal ASU 2016-01		—		—		—		—			—		1.0			—			—			(1.0	)		—		—			—
Adoption of accounting principal ASC 606, net of tax of $0.7		—		—		—		—			—		2.3			—			—			—			—		—			2.3
Stock-based compensation expense		87		—		—		—			1.7		—			—			—			—			—		—			1.7
Purchase of subsidiary shares from noncontrolling interest		—		—		—		—			0.1		—			—			—			—			—		(0.3	)		(0.2	)
Cash flow hedge - interest rate swap, net of tax of $0.3		—		—		—		—			—		—			—			—			—			0.9		—			0.9
Balance at June 30, 2018		37,508	$	0.4		213	$	(6.6	)	$	379.4	$	(63.9	)	$	(47.7	)	$	(244.4	)	$	—		$	1.5	$	2.5		$	21.2

The following table details changes in accumulated other comprehensive income (loss), net of tax, for the six months ended June 30, 2018:

	Changes in Accumulated Other Comprehensive Income (Loss) by Component, net of tax
	Foreign Currency Translation			Benefit Plan Liabilities			Cash Flow Hedge - Interest Rate Swap
	(In millions)
Balance at January 1, 2018	$	(41.6	)	$	(246.3	)	$	0.6
Other comprehensive income (loss) before reclassifications		(6.1	)		—			1.0
Amounts reclassified from accumulated other comprehensive income into net income		—			1.9			(0.1	)
Net current-period other comprehensive income (loss)		(6.1	)		1.9			0.9
Balance at June 30, 2018	$	(47.7	)	$	(244.4	)	$	1.5

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The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2018:

	Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
	Amount reclassified from Accumulated
	Other Comprehensive Income (Loss)
	Three Months Ended			Six Months Ended			Affected line item in the Condensed
Details about Accumulated Other	June 30, 2018						Consolidated Statements of
Comprehensive Income (Loss) Components	(In millions)						Comprehensive Income
Cash flow hedge - interest rate swap
Realized swap interest income	$	(0.1	)	$	(0.1	)	Interest and other expense on debt
Tax provision		—			—
Net of tax	$	(0.1	)	$	(0.1	)
Amortization of defined benefit    pension and other post-    retirement benefit plan items
Actuarial loss	$	2.1		$	4.1		Warehousing, delivery, selling, general, and administrative
Prior service credits		(0.8	)		(1.5	)	Warehousing, delivery, selling, general, and administrative
Total before tax		1.3			2.6
Tax benefit		(0.4	)		(0.7	)
Net of tax	$	0.9		$	1.9

The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2017:

	Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
	Amount reclassified from Accumulated
	Other Comprehensive Income (Loss)
	Three Months Ended			Six Months Ended			Affected line item in the Condensed
Details about Accumulated Other	June 30, 2017						Consolidated Statements of
Comprehensive Income (Loss) Components	(In millions)						Comprehensive Income
Other-than-temporary impairment
Other-than-temporary impairment charge	$	0.2		$	0.2		Other income and (expense), net
Tax benefit		(0.1	)		(0.1	)
Net of tax	$	0.1		$	0.1
Cash flow hedge - interest rate swap
Realized swap interest loss	$	0.3		$	0.4		Interest and other expense on debt
Tax benefit		(0.1	)		(0.1	)
Net of tax	$	0.2		$	0.3
Amortization of defined benefit    pension and other post-    retirement benefit plan items
Actuarial gain	$	(3.7	)	$	(2.1	)	Warehousing, delivery, selling, general, and administrative
Prior service credits		(0.7	)		(1.5	)	Warehousing, delivery, selling, general, and administrative
Total before tax		(4.4	)		(3.6	)
Tax provision		1.7			1.4
Net of tax	$	(2.7	)	$	(2.2	)

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NOTE 12: REVENUE RECOGNITION

We are a leading metals service center that distributes and provides value-added processing of industrial metals with operations in the United States, Canada, Mexico, and China. We purchase large quantities of metal products from primary producers and sell these materials in smaller quantities to a wide variety of metals-consuming industries. More than 75% of the metals products sold are processed by us by burning, sawing, slitting, blanking, cutting to length, or other techniques.  

Revenue Accounting Policy

In May 2014, the FASB issued ASC 606 which supersedes the revenue recognition requirements in ASC 605, and requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services.

The Company adopted ASC 606 as of January 1, 2018 using the modified retrospective transition method. The cumulative effect of initially applying the new standard was recorded as an adjustment to the opening balance of retained earnings within our Condensed Consolidated Balance Sheet.  The adjustment to retained earnings was the result of changing the accounting for revenues associated with custom products with no alternative use for which we have an enforceable right to payment, from point in time recognition to over time recognition. The revenues associated with the products and services that were partially satisfied at January 1, 2018 which were included in the modified transition method adjustment aggregated $12.3 million. The net impact on retained earnings associated with these revenues was $2.3 million. For all adjustments and changes as a result of adopting ASC 606 for the current period, please refer to the section “Impacts on Financial Statements” below.  In accordance with the modified retrospective transition method, the historical information within the financial statements has not been restated and continues to be reported under the accounting standard in effect for those periods. As a result, the Company has disclosed the accounting policies in effect prior to January 1, 2018, as well as the policies it has applied starting January 1, 2018.  

Periods prior to January 1, 2018

Revenue is recognized in accordance with ASC 605.  Revenue is recognized upon delivery of product to customers and is recorded net of returns, allowances, customer discounts, and incentives.  Sales taxes collected from customers and remitted to governmental authorities are accounted for on a net (excluded from revenues) basis.

Periods commencing January 1, 2018

Revenue is recognized based on the consideration expected to be received for delivery of as-is or processed metal products when, or as, the Company satisfies its contractual obligation to transfer control of a product to a customer, which we refer to as a performance obligation. Predominately all of our contracts contain a single performance obligation.  

The majority of our revenue is recognized at a point in time.  The Company has determined that the most definitive demonstration that control has transferred to a customer is physical delivery, with the exception of bill and hold and consignment transactions. The Company’s bill-and-hold transactions are arrangements where a customer requests that we bill them for a product even though we retain physical possession of the product until it is subsequently delivered to the customer. Bill and hold revenue is recorded when all of the criteria within ASC 606 are met.  Consignment transactions are arrangements where the Company transfers product to a customer location but retains ownership and control of such product until it is used by the customer. Revenue for consignment arrangements is recognized upon the customer’s usage.

Revenues associated with products which we believe have no alternative use, and where the Company has an enforceable right to payment, are recognized on an over time basis.  Products with no alternative use include products made from unique alloys, custom extrusions, non-standard gauges, items that been processed to a custom size that cannot be cost effectively reworked to a standard size, or items processed to customer specific drawings or specifications.  Over-time revenues are recorded in proportion with the progress made toward completing the performance obligation.  

Ryerson uses both input and output methods of measuring progress towards completion based on the type and extent of processing completed.  Input methods are used for complex processing with multiple steps occurring over multiple days.  Under the input method, the measure of performance, commonly called percentage of completion, is the ratio of costs incurred to date to the total estimated costs at completion for the products.  Output methods are used for products with minimal processing where the normal pattern of production is less than one day. In these cases, the progress towards completion is measured based on the number of products on hand and ready for delivery in comparison to the total number of products in the order.

Significant judgment is required in determining which products qualify for over time revenue recognition, the methodology to be used in calculating the progress toward completion, and estimating the costs incurred to date and the total cost at completion.  

Revenue is recorded net of returns, allowances, customer discounts, and incentives.  Sales taxes collected from customers and remitted to governmental authorities are accounted for on a net (excluded from revenues) basis.

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Prices are generally fixed at the time of order confirmation. At each quarter end, the Company calculates an estimate of potential cash discounts and returns and allowances that could be taken by customers that are associated with outstanding accounts receivable, as well as estimates of customer rebates.  Cash discounts and returns and allowances are calculated based on historical experience.  Customer rebates are estimated based on actual sales and projections over the rebate period.  

The Company has elected to treat shipping and handling costs as an activity necessary to fulfill the performance obligation to transfer product to the customer and not as a separate performance obligation. Shipping and handling costs are estimated at quarter end in proportion to revenue recognized for transactions where actual costs are not yet known. Shipping and handling costs are included in Warehousing, delivery, selling, general, and administrative expense. The balance recognized related to shipping and handling costs was a net contract liability of $0.1 million as of June 30, 2018.

The Company’s performance obligations are typically short-term in nature. As a result, the Company has elected the practical expedient that provides an exemption of the disclosure requirements regarding information about remaining performance obligations on contracts that have original expected durations of one year or less.

Disaggregated Revenue

We have one operating and reportable segment, metals service centers.

The Company derives substantially all of its sales from the distribution of metals. The following table shows the Company’s percentage of sales by major product line:      

	Three Months Ended						Six Months Ended
	June 30,						June 30,
Product Line	2018			2017			2018			2017
Carbon Steel Flat		28	%		28	%		27	%		28	%
Carbon Steel Plate		11			10			11			10
Carbon Steel Long		12			12			12			12
Stainless Steel Flat		17			18			17			18
Stainless Steel Plate		4			4			4			4
Stainless Steel Long		4			4			4			4
Aluminum Flat		16			15			16			15
Aluminum Plate		3			3			3			3
Aluminum Long		4			4			4			4
Other		1			2			2			2
Total		100	%		100	%		100	%		100	%

A significant majority of the Company’s sales are attributable to its U.S. operations. The only operations attributed to foreign countries relate to the Company’s subsidiaries in Canada, China, and Mexico.  The following table summarizes consolidated financial information of our operations by geographic location based on where sales originated:

	Three Months Ended June 30,				Six Months Ended June 30,
Net Sales	2018		2017		2018		2017
					(In millions)
United States	$	938.7	$	773.6	$	1,774.0	$	1,491.6
Foreign countries		118.4		101.8		224.4		198.3
Total	$	1,057.1	$	875.4	$	1,998.4	$	1,689.9

As stated above, revenue is recognized either at a point in time or over time based on the type of product that is being sold to the customer with products that are determined to have no alternative use being recognized over time. The following table summarizes revenues by the type of item sold:

Timing of Revenue Recognition	Three Months Ended June 30, 2018			Six Months Ended June 30, 2018
Revenue on products with an alternative use		88	%		89	%
Revenue on products with no alternative use		12			11
Total		100	%		100	%

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Contract Balances

A receivable is recognized in the period in which an invoice is issued, which is generally when the product is delivered to the customer.  Payment terms on invoiced amounts are typically 30 days from the invoice date.  We do not have any contracts with significant financing components.  

Receivables, which are included in accounts receivables within the Condensed Consolidated Balance Sheet, from contracts with customers were $507.6 million and $381.2 million as of June 30, 2018 and at the adoption of ASC 606, respectively.  

Contract assets, which consist primarily of revenues recognized over time that have not yet been invoiced and estimates of the value of inventory that will be received in conjunction with product returns, are reported in prepaid expenses and other current assets within the Condensed Consolidated Balance Sheet.  Contract liabilities, which consist primarily of accruals associated with amounts that will be paid to customers for volume rebates, cash discounts, sales returns and allowances, and estimates of shipping and handling costs associated with performance obligations recorded over time and bill and hold transactions are reported in other accrued liabilities within the Condensed Consolidated Balance Sheet. Significant changes in the contract assets and the contract liabilities balances during the period are as follows:

	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
	Contract Assets			Contract Liabilities			Contract Assets			Contract Liabilities
	(In millions)						(In millions)
Beginning Balance	$	14.6		$	4.3		$	14.2		$	3.9
Transferred to receivables from contract assets recognized at January 1, 2018		(1.7	)		—			(11.8	)		—
Satisfied contract liability from beginning of the period		—			(0.1	)		—			(0.3	)
Net contract assets and liabilities added for products with no alternative during the period		0.5			0.2			9.0			0.2
Contract assets and liabilities acquired		0.3			—			0.3			—
Changes to reserves		3.1			(0.3	)		3.3			(1.5	)
Reclass from contract liability to contract asset		—			—			1.8			1.8
Ending Balance	$	16.8		$	4.1		$	16.8		$	4.1

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Impacts on Financial Statements

The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Statement of Operations:

	Three Months Ended June 30, 2018									Six Months Ended June 30, 2018
	As Reported			ASC 606 Adjustments			Balances without adoption of ASC 606			As Reported			ASC 606 Adjustments			Balances without adoption of ASC 606
										(In millions)
Net sales	$	1,057.1		$	1.1		$	1,058.2		$	1,998.4		$	2.7		$	2,001.1
Cost of materials sold		871.8			1.9			873.7			1,648.2			3.7			1,651.9
Gross profit		185.3			(0.8	)		184.5			350.2			(1.0	)		349.2
Warehousing, delivery, selling, general, and administrative		138.9			(0.1	)		138.8			269.4			0.1			269.5
Operating profit		46.4			(0.7	)		45.7			80.8			(1.1	)		79.7
Other income and (expense), net		1.1			—			1.1			4.7			—			4.7
Interest and other expense on debt		(23.9	)		—			(23.9	)		(47.2	)		—			(47.2	)
Income before income taxes		23.6			(0.7	)		22.9			38.3			(1.1	)		37.2
Provision for income taxes		6.2			(0.2	)		6.0			10.3			(0.3	)		10.0
Net income		17.4			(0.5	)		16.9			28.0			(0.8	)		27.2
Less: Net income attributable to noncontrolling interest		(0.1	)		—			(0.1	)		0.1			—			0.1
Net income attributable to Ryerson Holding Corporation	$	17.5		$	(0.5	)	$	17.0		$	27.9		$	(0.8	)	$	27.1
Basic earnings per share	$	0.47		$	(0.02	)	$	0.45		$	0.75		$	(0.02	)	$	0.73
Diluted earnings per share	$	0.46		$	(0.01	)	$	0.45		$	0.74		$	(0.02	)	$	0.72

The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Statement of Cash Flows:

	As reported June 30, 2018			ASC 606 Adjustments			Balances without adoption of ASC 606
	(In millions)
Operating activities:
Net income	$	28.0		$	(0.8	)	$	27.2
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Deferred income taxes	$	8.2		$	(0.3	)		7.9
Other non cash adjustments		24.7			—			24.7
Change in operating assets and liabilities:
Receivables		(127.0	)		—			(127.0	)
Inventories		(94.3	)		3.7			(90.6	)
Other assets		(0.9	)		(2.7	)		(3.6	)
Accounts payable		145.5			—			145.5
Accrued liabilities		13.6			0.1			13.7
Accrued taxes payable/receivable		2.6			—			2.6
Deferred employee benefit costs		(18.3	)		—			(18.3	)
Net adjustments		(45.9	)		0.8			(45.1	)
Net cash used in operating activities		(17.9	)		—			(17.9	)

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The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Balance Sheet:

	As reported June 30, 2018			ASC 606 Adjustments			Balances without adoption of ASC 606
	(In millions)
Cash, cash equivalents, and restricted cash	$	28.7		$	—		$	28.7
Accounts receivable, net		505.6			(0.4	)		505.2
Inventories		701.1			7.3			708.4
Prepaid expenses and other current assets		48.3			(16.8	)		31.5
Total current assets		1,283.7			(9.9	)		1,273.8
Property, plant and equipment, net		441.3			—			441.3
Deferred income taxes		8.4			1.0			9.4
Goodwill		120.3			0.3			120.6
Other noncurrent assets		52.2			—			52.2
Total assets	$	1,905.9		$	(8.6	)	$	1,897.3
Accounts payable	$	430.1		$	—		$	430.1
Salaries, wages and commissions		48.3			—			48.3
Other accrued liabilities		74.6			(5.5	)		69.1
Short-term debt		29.9			—			29.9
Current portion of deferred employee benefits		7.7			—			7.7
Total current liabilities		590.6			(5.5	)		585.1
Long-term debt		1,023.0			—			1,023.0
Deferred employee benefits		221.8			—			221.8
Other noncurrent liabilities		49.3			—			49.3
Total liabilities		1,884.7			(5.5	)		1,879.2
Accumulated deficit		(63.9	)		(3.1	)		(67.0	)
Additional paid-in capital, accumulated other comprehensive loss, and noncontrolling interest		85.1			—			85.1
Total equity (deficit)		21.2			(3.1	)		18.1
Total liabilities and equity	$	1,905.9		$	(8.6	)	$	1,897.3

NOTE 13: INCOME TAXES

For the three months ended June 30, 2018, the Company recorded income tax expense of$6.2 million compared to an income tax benefit of $0.8 million in the prior year. The $6.2 million tax expense for the three months ended June 30, 2018 primarily represents taxes at federal and local statutory rates where the Company operates, but generally excludes any tax benefit for losses in jurisdictions with historical losses. For the six months ended June 30, 2018, the Company recorded income tax expense of $10.3 million compared to $6.0 million in the prior year. The $10.3 million tax expense for the six months ended June 30, 2018 primarily represents taxes at federal and local statutory rates where the Company operates, but generally excludes any tax benefit for losses in jurisdictions with historical losses. The effective tax rate for the three and six month periods ended June 30, 2018 also reflects the reduced federal corporate income tax rate as a result of the enactment of the U.S. Tax Act in December 2017. We continue to analyze the different aspects of the U.S. Tax Act which could potentially affect the provisional estimates that were recorded at December 31, 2017.

In accordance with ASC 740, “Income Taxes,” the Company assesses the realizability of its deferred tax assets. The Company records a valuation allowance when, based upon the evaluation of all available evidence, it is more-likely-than-not that all or a portion of the deferred tax assets will not be realized. In making this determination, we analyze, among other things, our recent history of earnings, the nature and timing of reversing book-tax temporary differences, tax planning strategies, and future income. The Company maintains a valuation allowance on certain foreign and U.S. federal and state deferred tax assets until such time as in management’s judgment, considering all available positive and negative evidence, the Company determines that these deferred tax assets are more likely than not realizable. The valuation allowance is reviewed quarterly and will be maintained until sufficient positive evidence exists to support the reversal of some or all of the valuation allowance. The valuation allowance was $24.2million and $24.4 million at June 30, 2018 and December 31, 2017, respectively.

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The U.S. Tax Cuts and Jobs Act (the “Act”) subjects a US shareholder to tax on global intangible low-taxed income (“GILTI”) earned by certain foreign subsidiaries. The FASB Staff Q&A, Topic 740, No. 5, Accounting for Global Intangible Low-Taxed Income, states that an entity can make an accounting policy election to either recognize deferred taxes for temporary basis differences expected to reverse as GILTI in future years or provide for the tax expense related to GILTI in the year the tax is incurred. Given the complexity of the GILTI provisions, we are still evaluating the effects of these provisions. However, at June 30, 2018, we have estimated the income tax expense associated with the current year to be $0.5 million.

NOTE 14: EARNINGS PER SHARE

Basic earnings per share attributable to Ryerson Holding’s common stock is determined based on earnings for the period divided by the weighted average number of common shares outstanding during the period. Diluted earnings per share attributable to Ryerson Holding’s common stock considers the effect of potential common shares, unless inclusion of the potential common shares would have an antidilutive effect.   

The following table sets forth the calculation of basic and diluted earnings per share:

	Three Months Ended June 30,				Six Months Ended June 30,
Basic and diluted earnings per share		2018		2017		2018		2017
	(In millions, except share and per share data)
Numerator:
Net income attributable to Ryerson Holding Corporation	$	17.5	$	0.6	$	27.9	$	15.4
Denominator:
Weighted average shares outstanding		37,294,982		37,172,472		37,252,020		37,152,655
Dilutive effect of stock-based awards		330,769		120,698		333,151		136,438
Weighted average shares outstanding adjusted for dilutive securities		37,625,751		37,293,170		37,585,171		37,289,093
Earnings per share
Basic	$	0.47	$	0.02	$	0.75	$	0.41
Diluted	$	0.46	$	0.02	$	0.74	$	0.41

NOTE 15: SUBSEQUENT EVENTS

On July 2, 2018, JT Ryerson completed the previously announced acquisition of Central Steel & Wire Company, a Delaware corporation (“Central Steel & Wire”), pursuant to the terms of the previously announced Agreement and Plan of Merger (the “Merger Agreement”), dated as of June 4, 2018, by and among JT Ryerson, Hunter MergerCo, Inc., a Delaware corporation and wholly-owned subsidiary of JT Ryerson (“Merger Sub”), Central Steel & Wire, and Fortis Advisors LLC, a Delaware limited liability company, solely in its capacity as the representative of Central Steel & Wire’s stockholders thereunder.  Pursuant to the terms of the Merger Agreement, Merger Sub merged with and into Central Steel & Wire (the “Merger”), with Central Steel & Wire surviving the Merger and continuing as a wholly-owned subsidiary of JT Ryerson.  The acquisition was financed through borrowings on the Ryerson Credit Facility.

Central Steel & Wire is a leading metal service center with locations across the central and eastern United States.  Central Steel & Wire employs approximately 900 people and operates out of six locations offering custom solutions utilizing value-add processing and a full line of metal products.

In connection with the closing of the transaction, shareholders of Central Steel & Wire will receive approximately $150.8 million, or approximately $616.32 per share of Central Steel & Wire common stock outstanding as of the closing. In addition, shareholders of Central Steel & Wire as of the closing of the transaction are eligible to receive up to $7.5 million in the aggregate of additional consideration, which is representative of the amount held back in the transaction to allow for the final determination of Central Steel & Wire’s actual net working capital and net cash (after deducting transaction expenses). Further, if actual net working capital and net cash (after deducting transaction expenses) exceeds the estimated amounts used to calculate the closing payment, shareholders will receive additional consideration for the amount above such estimates. An additional $1 million has been held back to cover the expenses of the shareholders’ representative, the balance of which, to the extent not used, will also be distributed to Central Steel & Wire’s shareholders as of the closing of the transaction on a pro rata basis. Ryerson will also assume approximately $8.9 million in transaction related obligations of Central Steel & Wire as a result of the closing, including certain transaction expenses and retention and change in control payments.  

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The final determination of the purchase price allocation is expected to be completed as soon as practicable after consummation of the acquisition. Due to the limited amount of time between the acquisition date and the date of this filing, it is not practicable for Ryerson to disclose: (i) the allocation of purchase price to assets acquired and liabilities assumed as of the date of close, and (ii) pro forma revenues and earnings of the combined company for the period ended June 30, 2018.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

This Quarterly Report contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements can be identified by the use of forward-looking terminology such as “believes,” “expects,” “may,” “estimates,” “will,” “should,” “plans,” or “anticipates” or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and may involve significant risks and uncertainties, and that actual results may vary materially from those in the forward-looking statements as a result of various factors. These forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Forward-looking statements should, therefore, be considered in light of various factors, including those set forth under “Special Note Regarding Forward-Looking Statements” and “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2017 filed on March 5, 2018 and the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Industry and Operating Trends” and elsewhere in this Quarterly Report on Form 10-Q. Moreover, we caution you not to place undue reliance on these forward-looking statements, which speak only as of the date they were made. We do not undertake any obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date of this Quarterly Report or to reflect the occurrence of unanticipated events.

 The following discussion should be read in conjunction with our Condensed Consolidated Financial Statements and related Notes thereto in Item 1, “Financial Statements” in this Quarterly Report on Form 10-Q and our Consolidated Financial Statements and related Notes thereto for the year ended December 31, 2017 in our Annual Report on Form 10-K filed on March 5, 2018.

Industry and Operating Trends

We provide value-added processing and distribution of industrial metals with operations in the United States, Canada, Mexico, and China. We purchase large quantities of metal products from primary producers and sell these materials in smaller quantities to a wide variety of metals-consuming industries. More than 75% of the metals products sold are processed by us by bending, beveling, blanchard grinding, blasting, burning, centerless grinding, cutting-to-length, drilling, embossing, flattening, forming, grinding, laser cutting, machining, notching, painting, perforating, precision blanking, polishing, profile cutting, punching, rolling, sawing, scribing, shearing, slitting, stamping, tapping, threading, toll processing, turning, water jet cutting, welding, or other techniques to process materials to a specified thickness, length, width, shape, and surface quality pursuant to specific customer orders.

Similar to other metals service centers, we maintain substantial inventories of metals to accommodate the short lead times and just-in-time delivery requirements of our customers. Accordingly, we purchase metals to maintain our inventory at levels that we believe to be appropriate to satisfy the anticipated needs of our customers based upon customer forecasts, historic buying practices, supply agreements with customers, mill lead times, and market conditions. Our commitments to purchase metals are generally at prevailing market prices in effect at the time we place our orders. At the request of our customers, we have entered into swaps in order to mitigate our customers’ risk of volatility in the price of metals and we have entered into metals hedges to mitigate our own risk of volatility in the price of metals.  We have no long-term, fixed-price metals purchase contracts. When metals prices decline, customer demands for lower prices and our competitors’ responses to those demands could result in lower sale prices and, consequently, lower gross profits and earnings as we sell existing metals inventory. When metals prices increase, competitive conditions will influence how much of the price increase we may pass on to our customers.

The metals service center industry is cyclical and volatile in both demand and pricing, and therefore difficult to predict. In the first half of 2018, we saw improved demand and pricing when viewed against the prior year period. According to the Metal Service Center Institute, North American service center volumes increased by 4.3 percent compared to the year-ago period. Ryerson experienced quarterly year-over-year volume growth in nearly all end markets, most notably in commercial ground transportation,consumer durable equipment, and oil & gas sectors. Compared to the first quarter of 2018, Ryerson also experienced growth in almost all end markets as the Company continued to execute well within improved industrial demand conditions experienced thus far in 2018.

The U.S. industrial production index, as measured by the Federal Reserve, has remained elevated through June registering year-over-year monthly growth of three percent or more since February 2018. Trade policy actions continue to impact import levels, which are 10 percent lower in the first half of 2018 compared to the prior year period as reported by the U.S. Census Bureau. Improved industrial metal commodity prices supported higher average selling prices, as CRU hot-rolled carbon steel, LME nickel, and Midwest aluminum prices in the second quarter of 2018 were higher than in the first quarter of 2018.Overall, Ryerson’s average selling prices have appreciated 12.3% as of June 2018 year-to-date compared to the prior year period.

Recent Industry Developments

On March 1, 2018, the White House announced a 25 percent tariff on all imported steel products and 10 percent tariff on all imported aluminum products for an indefinite amount of time under Section 232 of the Trade Expansion Act. Subsequently, the White House announced steel quotas, in lieu of tariffs, with South Korea. On May 1, 2018, the White House further announced agreements-in-principle with Argentina, Australia, and Brazil for permanent exemptions from the tariffs in exchange for export quotas or

25

voluntary export restraints, with the exception of Australia which has not agreed to quotas at the time of this release. Further trade actions announced by the U.S. under Section 301 of the Trade Act of 1974 imposed a 25% additional duty on $34 billion worth of Chinese imports effective July 6, 2018. Ryerson expects upward price pressure on metal products in the U.S. to the extent the Section 232 tariffs or other trade actions remain enacted with U.S. trading partners.

Foreign administrations have responded to the trade actions imposed by the U.S. with trade actions in kind, adding further uncertainty to U.S. pricing and supply conditions.

   Components of Results of Operations

We generate substantially all of our revenue from sales of our metals products. The majority of revenue is recognized upon delivery of product to customers. The timing of shipment is substantially the same as the timing of delivery to customers given the proximity of our distribution sites to our customers. Revenues associated with products which we believe have no alternative use, and where the Company has an enforceable right to payment, are recognized on an over-time basis. Over-time revenues are recorded in proportion with the progress made toward completing the performance obligation.

Sales, cost of materials sold, gross profit, and operating expense control are the principal factors that impact our profitability.

Net sales. Our sales volume and pricing are driven by market demand, which is largely determined by overall industrial production and conditions in the specific industries in which our customers operate. Sales prices are also primarily driven by market factors such as overall demand and availability of product. Our net sales include revenue from product sales, net of returns, allowances, customer discounts, and incentives.

Cost of materials sold. Cost of materials sold includes metal purchase and in-bound freight costs, third-party processing costs, and direct and indirect internal processing costs. The cost of materials sold fluctuates with our sales volume and our ability to purchase metals at competitive prices. Increases in sales volume generally enable us both to improve purchasing leverage with suppliers, as we buy larger quantities of metals inventories.

Gross profit. Gross profit is the difference between net sales and the cost of materials sold. Our sales prices to our customers are subject to market competition. Achieving acceptable levels of gross profit is dependent on our acquiring metals at competitive prices, our ability to manage the impact of changing prices, and efficiently managing our internal and external processing costs.

Operating expenses.  Optimizing business processes and asset utilization to lower fixed expenses such as employee, facility, and truck fleet costs, which cannot be rapidly reduced in times of declining volume, and maintaining a low fixed cost structure in times of increasing sales volume, have a significant impact on our profitability. Operating expenses include costs related to warehousing and distributing our products as well as selling, general, and administrative expenses.

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Results of Operations—Comparison of Three and Six Months Ended June 30, 2018 to Three and Six Months Ended June 30, 2017

The following table sets forth our condensed consolidated statements of income data for the three-month and six-month periods ended June 30, 2018 and 2017:

	Three Months Ended June 30,												Six Months Ended June 30,
	2018						2017						2018						2017
	$			% of Net Sales			$			% of Net Sales			$			% of Net Sales			$			% of Net Sales
	($ in millions)												($ in millions)
Net sales	$	1,057.1			100.0	%	$	875.4			100.0	%	$	1,998.4			100.0	%	$	1,689.9			100.0	%
Cost of materials sold		871.8			82.5			735.0			84.0			1,648.2			82.5			1,388.9			82.2
Gross profit		185.3			17.5			140.4			16.0			350.2			17.5			301.0			17.8
Warehousing, delivery, selling, general, and administrative expenses		138.9			13.1			118.6			13.5			269.4			13.5			238.0			14.1
Operating profit		46.4			4.4			21.8			2.5			80.8			4.0			63.0			3.7
Other expenses		(22.8	)		(2.2	)		(21.8	)		(2.5	)		(42.5	)		(2.1	)		(41.2	)		(2.4	)
Income before income taxes		23.6			2.2			—			—			38.3			1.9			21.8			1.3
Provision (benefit) for income taxes		6.2			0.5			(0.8	)		(0.1	)		10.3			0.5			6.0			0.4
Net income		17.4			1.7			0.8			0.1			28.0			1.4			15.8			0.9
Less: Net income (loss) attributable to noncontrolling interest		(0.1	)		—			0.2			—			0.1			—			0.4			—
Net income attributable to Ryerson Holding Corporation	$	17.5			1.7	%	$	0.6			0.1	%	$	27.9			1.4	%	$	15.4			0.9	%
Basic earnings per share	$	0.47					$	0.02					$	0.75					$	0.41
Diluted earnings per share	$	0.46					$	0.02					$	0.74					$	0.41

Net sales

The following table shows our percentage of sales revenue by major product lines for thethree and six month periods ended June 30, 2018 and 2017:

	Three Months Ended June 30,						Six Months Ended June 30,
Product Line	2018			2017			2018			2017
Carbon Steel Flat		28	%		28	%		27	%		28	%
Carbon Steel Plate		11			10			11			10
Carbon Steel Long		12			12			12			12
Stainless Steel Flat		17			18			17			18
Stainless Steel Plate		4			4			4			4
Stainless Steel Long		4			4			4			4
Aluminum Flat		16			15			16			15
Aluminum Plate		3			3			3			3
Aluminum Long		4			4			4			4
Other		1			2			2			2
Total		100	%		100	%		100	%		100	%

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	June 30,				Dollar		Percentage
	2018		2017		change		change
	($ in millions)
Net sales (three-months ended)	$	1,057.1	$	875.4	$	181.7		20.8	%
Net sales (six-months ended)	$	1,998.4	$	1,689.9	$	308.5		18.3	%
	June 30,				Tons		Percentage
	2018		2017		change		change
	(in thousands)
Tons sold (three-months ended)		543		518		25		4.8	%
Tons sold (six-months ended)		1,069		1,015		54		5.3	%
	June 30,				Price		Percentage
	2018		2017		change		change
Average selling price per ton sold (three-months ended)	$	1,947	$	1,690	$	257		15.2	%
Average selling price per ton sold (six-months ended)	$	1,869	$	1,665	$	204		12.3	%

Revenue for the three-month and six-month periods ended June 30, 2018 increased from the same periods a year ago due to higher average selling prices and higher tons sold reflecting improved economic conditions in the metals market.  Average selling price increased for all of our product lines in the three-month and six-month periods ended June 30, 2018 with the largest increases in our carbon plate, aluminum plate, stainless plate, and aluminum long products. Tons sold increased in the  three-month and six-month periods ended June 30, 2018 for nearly all of our product lines with the largest increases in our aluminum flat, stainless plate, aluminum plate, and carbon plate product lines.

Cost of materials sold

	June 30,
	2018					2017
	$		% of Net Sales			$		% of Net Sales			Dollar change		Percentage change
	($ in millions)
Cost of materials sold (three-months ended)	$	871.8		82.5	%	$	735.0		84.0	%	$	136.8		18.6	%
Cost of materials sold (six-months ended)	$	1,648.2		82.5	%	$	1,388.9		82.2	%	$	259.3		18.7	%

	June 30,				Cost		Percentage
	2018		2017		change		change
Average cost of materials sold per ton sold (three-months ended)	$	1,606	$	1,419	$	187		13.2	%
Average cost of materials sold per ton sold (six-months ended)	$	1,541	$	1,368	$	173		12.6	%

The increase in cost of materials sold in the three-month and six-month month periods ended June 30, 2018 compared to the same periods a year ago is primarily due to an increase in average cost of materials sold per ton and the increase in tons sold. The average cost of materials sold increased across all product lines with the average cost of materials sold for our carbon plate, aluminum long, and stainless plate product lines increasing more than our other products during the three-month period ending June 30, 2018, which was a slower increase than the increase in average selling price per ton for these products compared to the second quarter of 2017. During the second quarter of 2018, LIFO expense was $43.9 million compared to LIFO expense of $14.2million in the second quarter of 2017. In the first six months of 2018, LIFO expense was $57.2 million compared to LIFO expense of $37.4 million in the first six months of 2017. LIFO expense in the first six months of 2017 was offset by a $23.9 million credit to reverse the lower of cost or market inventory reserve.

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Gross profit

	June 30,
	2018					2017
	$		% of Net Sales			$		% of Net Sales			Dollar change		Percentage change
	($ in millions)
Gross profit (three-months ended)	$	185.3		17.5	%	$	140.4		16.0	%	$	44.9		32.0	%
Gross profit (six-months ended)	$	350.2		17.5	%	$	301.0		17.8	%	$	49.2		16.3	%

Gross profit increasedin the three-month and six-month periods of 2018 compared to the same periods a year ago due to the increases in average selling price and tons sold. During the second quarter of 2018, our revenue per ton increased at a faster pace than the increase in cost of materials sold per ton resulting in higher gross margins compared to the second quarter of 2017.

Operating expenses

	June 30,
	2018					2017
	$		% of Net Sales			$		% of Net Sales			Dollar change		Percentage change
	($ in millions)
Warehousing, delivery, selling, general, and administrative expenses (three-months ended)	$	138.9		13.1	%	$	118.6		13.5	%	$	20.3		17.1	%
Warehousing, delivery, selling, general, and administrative expenses (six-months ended)	$	269.4		13.5	%	$	238.0		14.1	%	$	31.4		13.2	%

Total operating expenses increased in the  three-month and six-month periods ended June 30, 2018 compared to the same periods of 2017 primarily due to improved demand and higher employment levels as well as general inflationary factors, which caused higher incentive bonus accruals ($10.4 million higher in the second quarter of 2018 and $12.0 higher in the first six months of 2018), higher salaries and wages ($3.2 million higher in the second quarter of 2018 and $6.5 million higher in the first six months of 2018), higher delivery costs ($2.7 million higher in the second quarter of 2018 and $4.6 million higher in the first six months of 2018)  higher facility expenses ($1.6 million higher in the second quarter of 2018 and $3.8 million higher in the first six months of 2018), primarily caused by higher operating supplies and depreciation expense, and higher purchase consideration and acquisition costs ($1.4 million in the second quarter of 2018 and $2.2 million higher in the first six months of 2018). The decrease in our operating expenses as a percentage of sales over these same periods is due to our higher sales levels resulting from higher metals pricing and demand.

Operating profit

	June 30,
	2018					2017
	$		% of Net Sales			$		% of Net Sales			Dollar change		Percentage change
	($ in millions)
Operating profit (three-months ended)	$	46.4		4.4	%	$	21.8		2.5	%	$	24.6		112.8	%
Operating profit (six-months ended)	$	80.8		4.0	%	$	63.0		3.7	%	$	17.8		28.3	%

Our operating profit increased in the three-month and six-month periods of 2018 compared to the same periods a year ago, primarily due to the increase in tons sold in both periods as discussed above and the increase in gross margins in the three-month period ending March 31, 2018.

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Other expenses

	June 30,
	2018						2017
	$			% of Net Sales			$			% of Net Sales			Dollar change			Percentage change
	($ in millions)
Interest and other expense on debt (three-months ended)	$	(23.9	)		(2.3	)%	$	(22.8	)		(2.6	)%	$	(1.1	)		4.8	%
Interest and other expense on debt (six-months ended)	$	(47.2	)		(2.4	)%	$	(44.6	)		(2.6	)%	$	(2.6	)		5.8	%
Other income and (expense), net (three-months ended)	$	1.1			0.1	%	$	1.0			—		$	0.1			10.0	%
Other income and (expense), net (six-months ended)	$	4.7			0.3	%	$	3.4			0.2	%	$	1.3			38.2	%

Interest and other expense on debt increased in the three-month and six-month periods ended June 30, 2018 compared to the same periods a year ago, primarily due to a higher level of credit facility borrowings outstanding resulting from increased working capital requirements and higher interest rates on credit facility borrowings in the three-month and six-month periods of 2018. The other income in the three-month and six-month periods ended June 30, 2018 was primarily related to credits from net periodic benefit cost other than service cost and foreign currency losses in the second quarter of 2018 and foreign currency gains in the first six months of 2018. The other income in the three-month and six-month periods ended June 30, 2017 was primarily related to credits from net periodic benefit cost other than service cost partially offset by foreign currency losses.

Provision for income taxes. In the second quarter of 2018, the Company recorded income tax expense of $6.2 million compared to an income tax benefit of $0.8million in the second quarter of 2017. In the first six months of 2018, the Company recorded income tax expense of $10.3 million compared to $6.0 million in the first six months of 2017. The income tax expense or benefit recorded in all periods primarily represents taxes at federal and local statutory rates where the Company operates, but generally exclude any tax benefit for losses in jurisdictions with historical losses. The effective tax rate for the three-month and six-month periods ended June 30, 2018 also reflects the reduced federal corporate income tax rate as a result of the enactment of the U.S. Tax Cuts and Jobs Act (“U.S. Tax Act”) in December 2017. We continue to analyze the different aspects of the U.S. Tax Act which could potentially affect the provisional estimates that were recorded at December 31, 2017.

Earnings per share. Basic earnings per share was $0.47 in the second quarter of 2018 and $0.75 in the first six months of 2018 compared to basic earnings per share of $0.02 in the second quarter of 2017 and $0.41 in the first six months of 2017. Diluted earnings per share was $0.46 in the second quarter of 2018 and $0.74 in the first six months of 2018 compared to diluted earnings per share of $0.02 in the second quarter of 2017 and $0.41 in the first six months of 2017. The changes in earnings per share are due to the results of operations discussed above.

Liquidity

Our primary sources of liquidity are cash and cash equivalents, cash flows from operations, and borrowing availability under the $1 billion revolving credit facility (the “Ryerson Credit Facility”) that matures on November 16, 2021. Its principal source of operating cash is from the sale of metals and other materials. Its principal uses of cash are for payments associated with the procurement and processing of metals and other materials inventories, costs incurred for the warehousing and delivery of inventories, and the selling and administrative costs of the business, capital expenditures, and for interest payments on debt.

The following table summarizes the Company’s cash flows:

	Six Months Ended June 30,
	2018			2017
	(In millions)
Net cash used in operating activities	$	(17.9	)	$	(81.5	)
Net cash used in investing activities		(37.2	)		(55.7	)
Net cash provided by financing activities		7.5			132.3
Effect of exchange rates on cash and cash equivalents		(2.2	)		1.4
Net decrease in cash and cash equivalents	$	(49.8	)	$	(3.5	)

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We had cash and cash equivalents of $27.6 million at June 30, 2018, compared to $77.4 million at December 31, 2017. We had zero and $28 million of qualified cash pledged as collateral at June 30, 2018 and December 31, 2017, respectively. We had $1,053 million and $1,046 million of total debt outstanding at June 30, 2018 and December 31, 2017, respectively, and a debt-to-capitalization ratio of 98% at June 30, 2018 and 101% at December 31, 2017. We had total liquidity (defined as cash and cash equivalents, marketable securities, and availability under the Ryerson Credit Facility and foreign debt facilities, less qualified cash pledged as collateral) of $414 million at June 30, 2018 versus $338 million at December 31, 2017. Total liquidity is not a U.S. generally accepted accounting principles (“GAAP”) financial measure. We believe that total liquidity provides additional information for measuring our ability to fund our operations. Total liquidity does not represent, and should not be used as a substitute for, net income or cash flows from operations as determined in accordance with GAAP and total liquidity is not necessarily an indication of whether cash flow will be sufficient to fund our cash requirements.

Below is a reconciliation of cash and cash equivalents to total liquidity:

	June 30, 2018		December 31, 2017
	(In millions)
Cash and cash equivalents	$	28	$	77
Less: Qualified cash pledged as collateral		—		(28	)
Availability under Ryerson Credit Facility and foreign debt facilities		386		289
Total liquidity	$	414	$	338

Of the total cash and cash equivalents, as of June 30, 2018, $11.7 million was held in subsidiaries outside the United States which is deemed to be permanently reinvested. Ryerson does not currently foresee a need to repatriate earnings from its non-U.S. subsidiaries. Although Ryerson has historically satisfied needs for more capital in the U.S. through debt or equity issuances, Ryerson could elect to repatriate earnings held in foreign jurisdictions, which could result in higher effective tax rates. We have not recorded a deferred tax liability for the effect of a possible repatriation of these earnings as management intends to permanently reinvest these earnings outside of the U.S. Specific plans for reinvestment include funding for future international acquisitions and funding of existing international operations.

Operating activities. Net cash used in operating activities of $17.9 million in the first six months of 2018 was primarily due to an increase in accounts receivable of $127.0 million resulting from higher sales levels in the first six months of 2018 compared to year-end 2017, an increase in inventory of $94.3 million as the value of inventory and the tons in inventory both increased as economic conditions in the metals market improved in the first six months of 2018, and pension contributions of $11.6 million. Partially offsetting the cash outflows was an increase in accounts payable of $145.5 million due to a higher level of material purchases at the end of the second quarter of 2018 compared to year-end 2017, net income in the first six months of 2018 of $28.0 million, non-cash depreciation and amortization expense of $23.1 million, and an increase in accrued liabilities of $13.6 million. Net cash used in operating activities of $81.5 million in the first six months of 2017 was primarily due to an increase in accounts receivable of $101.4 million resulting from higher sales levels in the first six months of 2017 compared to year-end 2016, an increase in inventory of $75.8 million as the value of inventory and the tons in inventory both increased as economic conditions in the metals market improved in the first six months of 2017 and pension contributions of $8.5 million. Partially offsetting the cash outflows were an increase in accounts payable of $68.7 million resulting from a higher level of material purchases at the end of the first six months of 2017 compared to year-end 2016, non-cash depreciation and amortization expense of $22.2 million, and net income of $15.8 million.

Investing activities. Capital expenditures during the first six months of 2018 totaled $21.4 million compared to $10.2 million in the first six months of 2017. During the first six months of 2018 we paid $16.2 million, net of cash acquired, to acquire all of the issued and outstanding capital stock of Fanello Industries. During the first six months of 2017 we paid $49.2 million, net of cash acquired, to acquire all of the issued and outstanding capital stock of The Laserflex Corporation and Guy Metals, Inc. The Company sold property, plant, and equipment and assets held for sale generating cash proceeds of $0.4 million and $3.7 million during the first six months of 2018 and 2017, respectively.

Financing activities. Net cash provided by financing activities in the first sixmonths of 2018 was $7.5 million compared to net cash provided by financing activities of $132.3 million in the first six months of 2017. Net cash provided by financing activities in the first six months of 2018 was primarily related to an increase in book overdrafts of $8.0 million and proceeds of $4.5 million from sale-leaseback transactions, partially offset by $5.9 million of principal payments under capital lease obligations. Net cash provided by financing activities in the first six months of 2017 was primarily related to an increase in credit facility borrowings of $69.3 million, an increase in book overdrafts of $45.4 million, and proceeds of $22.4 million from sale leaseback transactions.

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Capital Resources

We believe that cash flow from operations and proceeds from the Ryerson Credit Facility will provide sufficient funds to meet our contractual obligations and operating requirements in the normal course of business.

As a result of the net cash used in operating activities in the first six months of 2018, total debt in the Condensed Consolidated Balance Sheets in the first six months of 2018 increased to $1,052.9 million at June 30, 2018 from $1,045.7 million at December 31, 2017.

 Total debt outstanding as of June 30, 2018 consisted of the following amounts: $384.8 million borrowings under the Ryerson Credit Facility, $650.0 million under the 2022 Notes, $22.5 million of foreign debt, and $8.0 million of other debt, less $12.4 million of unamortized debt issuance costs. Discussion of each of the significant borrowings follows.

Ryerson Credit Facility

On November 16, 2016, Ryerson entered into an amendment with respect to its $1.0 billion revolving credit facility, to reduce the total facility size from $1.0 billion to $750 million (as amended, the “Old Credit Facility”), reduce the interest rate on outstanding borrowings by 25 basis points, reduce commitment fees on amounts not borrowed by 2.5 basis points, and to extend the maturity date to November 16, 2021. On June 28, 2018, Ryerson entered into a second amendment with respect to the revolving credit facility to increase the facility size from $750 million to $1 billion (as amended, the “Ryerson Credit Facility”).

At June 30, 2018, Ryerson had $384.8 million of outstanding borrowings, $12 million of letters of credit issued and $363 million available under the Ryerson Credit Facility compared to $384.2 million of outstanding borrowings, $12 million of letters of credit issued, and $264 million available at December 31, 2017. Total credit availability is limited by the amount of eligible accounts receivable, inventory, and qualified cash pledged as collateral under the agreement insofar as Ryerson is subject to a borrowing base comprised of the aggregate of these three amounts, less applicable reserves. Eligible accounts receivable, at any date of determination, is comprised of the aggregate value of all accounts directly created by a borrower (and in the case of Canadian accounts, the Canadian borrower) in the ordinary course of business arising out of the sale of goods or the rendering of services, each of which has been invoiced, with such receivables adjusted to exclude various ineligible accounts, including, among other things, those to which a borrower (or guarantor, as applicable) does not have sole and absolute title and accounts arising out of a sale to an employee, officer, director, or affiliate of a borrower (or guarantor, as applicable). Eligible inventory, at any date of determination, is comprised of the net orderly liquidation value of all inventory owned by a borrower (and in the case of Canadian accounts, the Canadian borrower). Qualified cash consists of cash in an eligible deposit account that is subject to customary restrictions and liens in favor of the lenders. 

The Ryerson Credit Facility has an allocation of $940 million to the Company’s subsidiaries in the United States and an allocation of $60 million to Ryerson Holding’s Canadian subsidiary that is a borrower. Amounts outstanding under the Ryerson Credit Facility bear interest at (i) a rate determined by reference to (A) the base rate (the highest of the Federal Funds Rate plus 0.50%, Bank of America, N.A.’s prime rate and the one-month LIBOR rate plus 1.00%) or (B) a LIBOR rate or, (ii) for Ryerson Holding’s Canadian subsidiary that is a borrower, (A) a rate determined by reference to the Canadian base rate (the greatest of the Federal Funds Rate plus 0.50%, Bank of America-Canada Branch’s “base rate” for commercial loans in U.S. Dollars made at its “base rate” and the 30 day LIBOR rate plus 1.00%), (B) the prime rate (the greater of Bank of America-Canada Branch’s “prime rate” for commercial loans made by it in Canada in Canadian Dollars and the one-month Canadian bankers’ acceptance rate plus 1.00%), or (C) the bankers’ acceptance rate. The spread over the base rate and prime rate is between 0.25% and 0.50% and the spread over the LIBOR for the bankers’ acceptances is between 1.25% and 1.50%, depending on the amount available to be borrowed under the Ryerson Credit Facility. Overdue amounts and all amounts owed during the existence of a default bear interest at 2% above the rate otherwise applicable thereto. Ryerson also pays commitment fees on amounts not borrowed at a rate of 0.23%.

We attempt to minimize interest rate risk exposure through the utilization of interest rate swaps, which are derivative financial instruments. In March 2017, we entered into an interest rate swap to fix interest on $150 million of our floating rate debt under the Ryerson Credit Facility at a rate of 1.658% through March 2020. The swap has reset dates and critical terms that match our existing debt and the anticipated critical terms of future debt. The weighted average interest rate on the outstanding borrowings under the Ryerson Credit Facility including the interest rate swap was 3.2 percent and 2.8 percent at June 30, 2018 and December 31, 2017, respectively.

Borrowings under the Ryerson Credit Facility are secured by first-priority liens on all of the inventory, accounts receivables, lockbox accounts, and related assets of the borrowers and the guarantors.

The Ryerson Credit Facility also contains covenants that, among other things, restrict Ryerson Holding and its restricted subsidiaries with respect to the incurrence of debt, the creation of liens, transactions with affiliates, mergers and consolidations, sales of assets, and acquisitions. The Ryerson Credit Facility also requires that, if availability under the Ryerson Credit Facility declines to a certain level, Ryerson maintain a minimum fixed charge coverage ratio as of the end of each fiscal quarter, and includes defaults upon (among other things) the occurrence of a change of control of Ryerson and a cross-default to other financing arrangements.

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The Ryerson Credit Facility contains events of default with respect to, among other things, default in the payment of principal when due or the payment of interest, fees, and other amounts due thereunder after a specified grace period, material misrepresentations, failure to perform certain specified covenants, certain bankruptcy events, the invalidity of certain security agreements or guarantees, material judgments, and the occurrence of a change of control of Ryerson. If such an event of default occurs, the lenders under the Ryerson Credit Facility will be entitled to various remedies, including acceleration of amounts outstanding under the Ryerson Credit Facility and all other actions permitted to be taken by secured creditors.  

The lenders under the Ryerson Credit Facility could reject a borrowing request if any event, circumstance, or development has occurred that has had or could reasonably be expected to have a material adverse effect on the Company. If Ryerson Holding, JT Ryerson, any of the other borrowers, or any restricted subsidiaries of JT Ryerson becomes insolvent or commences bankruptcy proceedings, all amounts borrowed under the Ryerson Credit Facility will become immediately due and payable.

Net proceeds of short-term borrowings that are reflected in the Condensed Consolidated Statements of Cash Flows represent borrowings under the Ryerson Credit Facility with original maturities less than three months.

2022 Notes

On May 24, 2016, JT Ryerson issued $650 million in aggregate principal amount of the 2022 Notes (the “2022 Notes”). The 2022 Notes bear interest at a rate of 11.00% per annum. The 2022 Notes are fully and unconditionally guaranteed on a senior secured basis by all of our existing and future domestic subsidiaries that are co-borrowers or that have guarantee obligations under the Ryerson Credit Facility.

The 2022 Notes and the related guarantees are secured by a first-priority security interest in substantially all of JT Ryerson’s and each guarantor’s present and future assets located in the United States (other than receivables, inventory, cash, deposit accounts and related general intangibles, certain other assets, and proceeds thereof), subject to certain exceptions and customary permitted liens. The 2022 Notes and the related guarantees are also secured on a second-priority basis by a lien on the assets that secure JT Ryerson’s and the Company’s obligations under the Ryerson Credit Facility.

The 2022 Notes will be redeemable, in whole or in part, at any time on or after May 15, 2019 at certain redemption prices. The redemption price for the 2022 Notes if redeemed during the twelve months beginning (i) May 15, 2019 is 105.50%, (ii) May 15, 2020 is 102.75%, and (iii) May 15, 2021 and thereafter is 100.00%. JT Ryerson may redeem some or all of the 2022 Notes before May 15, 2019 at a redemption price of 100.00% of the principal amount, plus accrued and unpaid interest, if any, to the redemption date, plus a “make-whole” premium. In addition, JT Ryerson may redeem up to 35% of the 2022 Notes before May 15, 2019 with respect to the 2022 Notes with the net cash proceeds from certain equity offerings at a price equal to 111.00%, with respect to the 2022 Notes, of the principal amount thereof, plus any accrued and unpaid interest, if any. JT Ryerson may be required to make an offer to purchase the 2022 Notes upon the sale of assets or upon a change of control.

The 2022 Notes contain customary covenants that, among other things, limit, subject to certain exceptions, our ability, and the ability of our restricted subsidiaries, to incur additional indebtedness, pay dividends on our capital stock or repurchase our capital stock, make investments, sell assets, engage in acquisitions, mergers, or consolidations, or create liens or use assets as security in other transactions. Subject to certain exceptions, JT Ryerson may only pay dividends to Ryerson Holding to the extent of 50% of future net income, once prior losses are offset.

Foreign Debt

At June 30, 2018, Ryerson China’s foreign borrowings were $22.5 million, which were owed to banks in Asia at a weighted average interest rate of 4.1% per annum and secured by inventory and property, plant and equipment. At December 31, 2017, Ryerson China’s foreign borrowings were $21.3 million, which were owed to banks in Asia at a weighted average interest rate of 3.7% per annum and secured by inventory and property, plant and equipment. 

Availability under the foreign credit lines was $23 million and $25 million at June 30, 2018 and December 31, 2017. Letters of credit issued by our foreign subsidiaries were $3 million at June 30, 2018 and December 31, 2017, respectively.      

Pension Funding

At December 31, 2017, pension liabilities exceeded plan assets by $165 million. We anticipate that we will have a total minimum required pension contribution of approximately $27 million in 2018 under the Employee Retirement Income Security Act of 1974 (“ERISA”) and Pension Protection Act in the U.S and the Ontario Pension Benefits Act in Canada. Through the six months ended June 30, 2018, we have made $12 million in pension contributions and anticipate an additional $15 million of contributions in the remaining six months of 2018. Future contribution requirements depend on the investment returns on plan assets, the impact of discount rates on pension liabilities, and changes in regulatory requirements. We are unable to determine the amount or timing of any such contributions required by ERISA or whether any such contributions would have a material adverse effect on our financial

33

position or cash flows. We believe that cash flow from operations and the Ryerson Credit Facility described above will provide sufficient funds to make the minimum required contribution in 2018.

Off-Balance Sheet Arrangements

In the normal course of business with customers, vendors and others, we have entered into off-balance sheet arrangements, such as letters of credit, which totaled $15 million as of June 30, 2018. Additionally, other than normal course long-term operating leases included in the following Contractual Obligations table, we do not have any material off-balance sheet financing arrangements. None of these off-balance sheet arrangements are likely to have a material effect on our current or future financial condition, results of operations, liquidity, or capital resources.

Contractual Obligations

The following table presents contractual obligations at June 30, 2018:

	Payments Due by Period
Contractual Obligations (1) (2)	Total		Less than 1 year		1 – 3 years		4 – 5 years		After 5 years
	(In millions)
2022 Notes		650		—		—		650		—
Ryerson Credit Facility		385		—		—		385		—
Foreign Debt		22		22		—		—		—
Other Debt		8		8		—		—		—
Interest on 2022 Notes, Foreign Debt, Other Debt and Ryerson Credit Facility (3)		321		84		169		68		—
Purchase Obligations (4)		27		27		—		—		—
Operating Leases		108		23		38		24		23
Pension Withdrawal Liability		1		—		—		—		1
Capital Lease Obligations		39		15		20		4		—
Transition Tax Liability		7		—		1		1		5
Total	$	1,568	$	179	$	228	$	1,132	$	29

(1) The contractual obligations disclosed above do not include the Company’s potential future pension funding obligations (see discussion under “Pension Funding” caption).  

(2) Due to uncertainty regarding the completion of tax audits and possible outcomes, we do not know when our obligations related to unrecognized tax benefits will occur, if at all.

(3) Interest payments related to the variable rate debt were estimated using the weighted average interest rate for the Ryerson Credit Facility, including the effect of the interest rate swap.

(4) The purchase obligations with suppliers are entered into when we receive firm sales commitments with certain of our customers.

Income Taxes

We maintain a valuation allowance on certain foreign and U.S. federal and state deferred tax assets until such time as in management’s judgment, considering all available positive and negative evidence and consistent with its past determinations, we determine that these deferred tax assets are more likely than not realizable.

We anticipate that certain statutes of limitation will close within the next twelve months resulting in the reduction of the reserve for uncertain tax benefits related to various intercompany transactions. However, we do not believe the amount will be material.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Interest rate risk

We are exposed to market risk related to our fixed-rate and variable-rate long-term debt. Market risk is the potential loss arising from adverse changes in market rates and prices, such as interest rates. Changes in interest rates may affect the market value of our fixed-rate debt. The estimated fair value of our long-term debt and the current portions thereof using quoted market prices for our debt securities recently traded and market-based prices of similar securities for those securities not recently traded was $1,122 million at June 30, 2018 and $1,126 million at December 31, 2017 as compared with the carrying value of $1,053 million and $1,046 million at June 30, 2018 and December 31, 2017, respectively.

34

A hypothetical 1% increase in interest rates on variable rate debt would have increased interest expense for the first six months of 2018 by approximately $1.6 million.

Foreign exchange rate risk

We are subject to exposure from fluctuations in foreign currencies. We use foreign currency exchange contracts to hedge our variability in cash flows from the forecasted payment of currencies other than the functional currency. Our foreign currency contracts were principally used to purchase U.S. dollars and Euros. We had foreign currency contracts with a U.S. dollar notional amount of $7.0 million outstanding at June 30, 2018 and an asset value of $0.2 million. We do not currently account for these contracts as hedges but rather mark these contracts to market with a corresponding offset to current earnings. For the six months ended June 30, 2018, the Company recognized a gain of $0.1 million associated with its foreign currency contracts. A hypothetical strengthening or weakening of 10% in the foreign exchange rates underlying the foreign currency contracts from the market rate as of June 30, 2018 would increase or decrease the fair value of the foreign currency contracts by $0.1 million.

The currency effects of translating the financial statements of our foreign subsidiaries are included in accumulated other comprehensive loss and will not be recognized in the statement of operations until there is a liquidation or sale of those foreign subsidiaries.

Commodity price risk

Metal prices can fluctuate significantly due to several factors including changes in foreign and domestic production capacity, raw material availability, metals consumption, and foreign currency rates. Declining metal prices could reduce our revenues, gross profit, and net income. From time to time, we may enter into fixed price sales contracts with our customers for certain of our inventory components. We may enter into metal commodity futures and options contracts to reduce volatility in the price of these metals.

As of June 30, 2018, we had 371 tons of nickel swap contracts and 11,700 tons of hot roll coil swaps contracts, with a net asset value of $0.9 million and $0.7 million, respectively.  As of June 30, 2018, we had 19,598 tons of aluminum swap contracts with a net liability value of $1.3 million.  We do not currently account for these swaps as hedges, but rather mark these contracts to market with a corresponding offset to current earnings.  For the six months ended June 30, 2018, we recognized a gain of $1.3 million associated with our metal commodity derivatives.

A hypothetical strengthening or weakening of 10% in the commodity prices underlying the commodity derivative contracts from the market rate as of June 30, 2018 would increase or decrease the fair value of commodity derivative contracts by $1.9 million.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules and forms and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow for timely decisions regarding required disclosure. In designing and evaluating the disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management is required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

As required by SEC Rule 15d-15(b), we carried out an evaluation, under the supervision and with the participation of our management, including the Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this report. Based on the evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were effective as of June 30, 2018.

Changes in Internal Controls Over Financial Reporting

There have been no changes in the Company’s internal controls over financial reporting that have materially affected or are reasonably likely to materially affect the Company’s controls over financial reporting during the quarter ended June 30, 2018.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

In October 2011, the United States Environmental Protection Agency (the “EPA”) named us as one of more than 100 businesses that may be a potentially responsible party for the Portland Harbor Superfund Site (the “PHS Site”). On January 6, 2017, the EPA

35

issued its Record of Decision (“ROD”) regarding the site. The ROD includes a combination of dredging, capping and enhanced natural recovery that would take approximately thirteen years to construct plus additional time for monitored natural recovery, at an estimated present value cost of $1.05 billion. The EPA has now requested a Pre-Remedial Design Report (“Pre-RD”) to help determine if the ROD is appropriate or should be reduced.  The Pre-RD is due on May 9, 2019, and a revised ROD should be issued sometime thereafter. The EPA has not yet allocated responsibility for the contamination among the potentially responsible parties, including JT Ryerson. We do not currently have sufficient information available to us to determine whether the ROD will be executed as currently stated, whether and to what extent JT Ryerson may be held responsible for any of the identified contamination, and how much (if any) of the final plan’s costs might ultimately be allocated to JT Ryerson. Therefore, management cannot predict the ultimate outcome of this matter or estimate a range of potential loss at this time.

There are various other claims and pending actions against the Company. The amount of liability, if any, for those claims and actions at June 30, 2018 is not determinable but, in the opinion of management, such liability, if any, will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. We maintain liability insurance coverage to assist in protecting our assets from losses arising from or related to activities associated with business operations.

Item 1A. Risk Factors

Except for the risk factor below, there have been no material changes relating to this Item from those set forth in Item 1A on the Company’s Annual Report on Form 10-K for the year ended December 31, 2017.

The right to receive payment on the 2022 Notes and the guarantees will be subordinated to the liabilities of non-guarantor subsidiaries.

The notes and related guarantees are structurally subordinated to all indebtedness of our subsidiaries that are not guarantors of the 2022 Senior Secured Notes (the “2022 Notes”). While the indenture governing the 2022 Notes limits the indebtedness and activities of these non-guarantor subsidiaries, holders of indebtedness of, and trade creditors of, non-guarantor subsidiaries, including lenders under bank financing agreements, are entitled to payments of their claims from the assets of such subsidiaries before those assets are made available for distribution to any guarantor, as direct or indirect shareholder. While the non-guarantor subsidiaries have agreed under the indenture not to pledge or encumber their assets (other than with respect to permitted liens) without equally and ratably securing the notes, they will not guarantee the 2022 Notes notwithstanding any such pledge or encumbrance in favor of the 2022 Notes.

The non-guarantor subsidiaries represented, respectively, 11.2% and 10.7% of our net sales and EBITDA for the six months ended June 30, 2018. In addition, these non-guarantor subsidiaries represented respectively, 12.4% and 11.3% of our assets and liabilities, as of June 30, 2018.

Accordingly, in the event that any of the non-guarantor subsidiaries or joint venture entities become insolvent, liquidates or otherwise reorganizes:

• the creditors of the guarantors (including the holders of the 2022 Notes) will have no right to proceed against such subsidiary’s assets; and

• the creditors of such non-guarantor subsidiary, including trade creditors, will generally be entitled to payment in full from the sale or other disposal of assets of such subsidiary, as direct or indirect shareholder, and will be entitled to receive any distributions from such subsidiary.

Items 2, 3, 4, and 5 are not applicable and have been omitted.

36

Item 6. Exhibits

Exhibit No.	Description
2.1	Agreement and Plan of Merger, dated as of June 4, 2018, by and among Joseph T. Ryerson  & Son, Inc., Hunter MergerCo, Inc., Central Steel and Wire Company, and Fortis Advisors LLC, a Delaware limited liability company, solely in its capacity as the Stockholder Representative thereunder (incorporated by reference to Exhibit 2.1 to Ryerson Holding Corporation’s Current Report on Form 8-K filed with the SEC on June 5, 2018).
10.1	Amendment No. 2, dated as of June 28, 2018 to Credit Agreement dated as of July 24, 2015, among Ryerson Holding Corporation, Joseph T. Ryerson  & Son, Inc., Wilcox-Turret Cold Drawn, Inc., Ryerson Procurement Corporation, Southern Tool Steel, LLC, Ryerson Canada, Inc., and each of the other borrowers and guarantors, the lenders party thereto, and Bank of America, N.A., as the administrative agent and collateral agent (incorporated by reference to Exhibit 10.1 to Ryerson Holding Corporation’s Current Report on Form 8-K filed with the SEC on June 29, 2018).
31.1	Certificate of the Principal Executive Officer of the Company, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certificate of the Principal Financial Officer of the Company, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1*	Written Statement of Edward J. Lehner, President and Chief Executive Officer of the Company pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2*	Written Statement of Erich S. Schnaufer, Chief Financial Officer of the Company pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.CAL	XBRL Taxonomy Calculation Linkbase Document
101.LAB	XBRL Taxonomy Label Linkbase Document
101.PRE	XBRL Taxonomy Presentation Linkbase Document

*In accordance with SEC Release 33-8238, Exhibits 32.1 and 32.2 are being furnished herewith and not filed.

37

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

RYERSON HOLDING CORPORATION
By:	/s/ Erich S. Schnaufer
	Erich S. Schnaufer Chief Financial Officer (duly authorized signatory and principal financial officer of the registrant)

Date: August 1, 2018

38

EX-31.1

Exhibit 31.1

CERTIFICATE OF THE

PRINCIPAL EXECUTIVE OFFICER

I, Edward J. Lehner, President & Chief Executive Officer, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Ryerson Holding Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 1, 2018

Signature:	/s/ Edward J. Lehner
	Edward J. Lehner
	President & Chief Executive Officer
	(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATE OF THE

PRINCIPAL FINANCIAL OFFICER

I, Erich S. Schnaufer, as Chief Financial Officer, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Ryerson Holding Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 1, 2018

Signature:	/s/ Erich S. Schnaufer
	Erich S. Schnaufer
	Chief Financial Officer (Principal Financial Officer)

EX-32.1

Exhibit 32.1

Written Statement of the Chief Executive Officer

In connection with the Quarterly Report of Ryerson Holding Corporation, (the “Company”) on Form 10-Q for the period ended June 30, 2018, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned officer of the Company certifies, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that, to such officer’s knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of the dates and for the periods expressed in the Report.

/s/ Edward J. Lehner

Edward J. Lehner

President & Chief Executive Officer

(Principal Executive Officer)

August 1, 2018

EX-32.2

Exhibit 32.2

Written Statement of the Chief Financial Officer

In connection with the Quarterly Report of Ryerson Holding Corporation, (the “Company”) on Form 10-Q for the period ended June 30, 2018, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned officer of the Company certifies, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that, to such officer’s knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of the dates and for the periods expressed in the Report.

/s/ Erich S. Schnaufer

Erich S. Schnaufer

Chief Financial Officer

(Principal Financial Officer)

August 1, 2018

XML

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2018	Jul. 30, 2018
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q2
Trading Symbol	RYI
Entity Registrant Name	RYERSON HOLDING CORPORATION
Entity Central Index Key	0001481582
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		37,295,942

XML

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Statement Of Income And Comprehensive Income [Abstract]
Net sales	$ 1,057.1	$ 875.4	$ 1,998.4	$ 1,689.9
Cost of materials sold	871.8	735.0	1,648.2	1,388.9
Gross profit	185.3	140.4	350.2	301.0
Warehousing, delivery, selling, general, and administrative	138.9	118.6	269.4	238.0
Operating profit	46.4	21.8	80.8	63.0
Other income and (expense), net	1.1	1.0	4.7	3.4
Interest and other expense on debt	(23.9)	(22.8)	(47.2)	(44.6)
Income before income taxes	23.6		38.3	21.8
Provision (benefit) for income taxes	6.2	(0.8)	10.3	6.0
Net income	17.4	0.8	28.0	15.8
Less: Net income (loss) attributable to noncontrolling interest	(0.1)	0.2	0.1	0.4
Net income attributable to Ryerson Holding Corporation	17.5	0.6	27.9	15.4
Comprehensive income	15.2	9.3	24.8	25.6
Less: Comprehensive income attributable to noncontrolling interest		0.2	0.2	0.7
Comprehensive income attributable to Ryerson Holding Corporation	$ 15.2	$ 9.1	$ 24.6	$ 24.9
Basic earnings per share	$ 0.47	$ 0.02	$ 0.75	$ 0.41
Diluted earnings per share	$ 0.46	$ 0.02	$ 0.74	$ 0.41

XML

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Operating activities:
Net income	$ 28.0	$ 15.8
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization	23.1	22.2
Stock-based compensation	1.7	1.1
Deferred income taxes	8.2	6.0
Provision for allowances, claims, and doubtful accounts	1.4	0.4
Other-than-temporary impairment charge on equity investments		0.2
Non-cash (gain) loss from derivatives	(1.5)	0.5
Other items		(0.7)
Change in operating assets and liabilities:
Receivables	(127.0)	(101.4)
Inventories	(94.3)	(75.8)
Other assets	(0.9)	(1.8)
Accounts payable	145.5	68.7
Accrued liabilities	13.6	0.4
Accrued taxes payable/receivable	2.6	(1.1)
Deferred employee benefit costs	(18.3)	(16.0)
Net adjustments	(45.9)	(97.3)
Net cash used in operating activities	(17.9)	(81.5)
Investing activities:
Acquisitions, net of cash acquired	(16.2)	(49.2)
Capital expenditures	(21.4)	(10.2)
Proceeds from sale of property, plant, and equipment	0.4	3.7
Net cash used in investing activities	(37.2)	(55.7)
Financing activities:
Repayment of debt	(0.1)	(0.1)
Net proceeds of short-term borrowings	1.7	69.3
Purchase of subsidiary shares from noncontrolling interest	(0.2)
Credit facility amendment costs	(0.5)
Net increase in book overdrafts	8.0	45.4
Principal payments on capital lease obligations	(5.9)	(4.7)
Proceeds from sale-leaseback transactions	4.5	22.4
Net cash provided by financing activities	7.5	132.3
Net decrease in cash, cash equivalents, and restricted cash	(47.6)	(4.9)
Effect of exchange rate changes on cash, cash equivalents, and restricted cash	(2.2)	1.4
Net change in cash, cash equivalents, and restricted cash	(49.8)	(3.5)
Cash, cash equivalents, and restricted cash—beginning of period	78.5	81.7
Cash, cash equivalents, and restricted cash—end of period	28.7	78.2
Cash paid during the period for:
Interest paid to third parties	43.9	41.5
Income taxes, net	0.9	1.3
Noncash investing activities:
Asset additions under capital leases and sale-leasebacks	9.4	$ 32.6
Asset additions under financing arrangements	$ 4.2

XML

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 27.6	$ 77.4
Restricted cash	1.1	1.1
Receivables less provision for allowances, claims and doubtful accounts	505.6	376.3
Inventories	701.1	616.5
Prepaid expenses and other current assets	48.3	32.6
Total current assets	1,283.7	1,103.9
Property, plant, and equipment, at cost	777.9	742.7
Less: Accumulated depreciation	336.6	319.8
Property, plant and equipment, net	441.3	422.9
Deferred income taxes	8.4	17.9
Other intangible assets	45.9	46.9
Goodwill	120.3	115.3
Deferred charges and other assets	6.3	5.0
Total assets	1,905.9	1,711.9
Current liabilities:
Accounts payable	430.1	275.0
Salaries, wages, and commissions	48.3	40.3
Other accrued liabilities	74.6	58.4
Short-term debt	29.9	21.3
Current portion of deferred employee benefits	7.7	7.7
Total current liabilities	590.6	402.7
Long-term debt	1,023.0	1,024.4
Deferred employee benefits	221.8	243.5
Other noncurrent liabilities	49.3	48.7
Total liabilities	1,884.7	1,719.3
Commitments and contingencies
Ryerson Holding Corporation stockholders’ equity (deficit):
Preferred stock, value
Common stock, value	0.4	0.4
Capital in excess of par value	379.4	377.6
Accumulated deficit	(63.9)	(95.1)
Treasury stock at cost - Common stock, value	(6.6)	(6.6)
Accumulated other comprehensive loss	(290.6)	(286.3)
Total Ryerson Holding Corporation stockholders’ equity (deficit)	18.7	(10.0)
Noncontrolling interest	2.5	2.6
Total equity (deficit)	21.2	(7.4)
Total liabilities and equity	$ 1,905.9	$ 1,711.9

XML

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Statement Of Financial Position [Abstract]
Receivables, provision for allowances, claims and doubtful accounts	$ 2.0	$ 4.9
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	7,000,000	7,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	37,508,442	37,421,081
Treasury stock at cost - Common stock, shares	212,500	212,500

XML

Financial Statements

6 Months Ended

Jun. 30, 2018

Accounting Policies [Abstract]

Financial Statements

NOTE 1: FINANCIAL STATEMENTS

Ryerson Holding Corporation (“Ryerson Holding”), a Delaware corporation, is the parent company of Joseph T. Ryerson & Son, Inc. (“JT Ryerson”), a Delaware corporation. Affiliates of Platinum Equity, LLC (“Platinum”) own approximately 21,037,500 shares of our common stock, which is approximately 56% of our issued and outstanding common stock.

We are a leading value-added processor and distributor of industrial metals, with operations in the United States through JT Ryerson, in Canada through our indirect wholly-owned subsidiary Ryerson Canada, Inc., a Canadian corporation (“Ryerson Canada”), and in Mexico through our indirect wholly-owned subsidiary Ryerson Metals de Mexico, S. de R.L. de C.V., a Mexican corporation (“Ryerson Mexico”). In addition to our North American operations, we conduct materials distribution operations in China through an indirect wholly-owned subsidiary, Ryerson China Limited (“Ryerson China”). Unless the context indicates otherwise, Ryerson Holding, JT Ryerson, Ryerson Canada, Ryerson China, and Ryerson Mexico together with their subsidiaries, are collectively referred to herein as “Ryerson,” “we,” “us,” “our,” or the “Company.”

Results of operations for any interim period are not necessarily indicative of results of any other periods or for the year. The condensed consolidated financial statements as of June 30, 2018 and for the three-month and six-month periods ended June 30, 2018 and 2017 are unaudited, but in the opinion of management, include all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of results for such periods. The year-end condensed consolidated balance sheet data contained in this report was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017.

XML

Recent Accounting Pronouncements

6 Months Ended

Jun. 30, 2018

New Accounting Pronouncements And Changes In Accounting Principles [Abstract]

Recent Accounting Pronouncements

NOTE 2: RECENT ACCOUNTING PRONOUNCEMENTS

Impact of Recently Issued Accounting Standards—Adopted

In May 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers,” which created Accounting Standards Codification (“ASC”) 606 “Revenue from Contracts with Customers” (“ASC 606”) and supersedes the revenue recognition requirements in ASC 605 “Revenue Recognition” (“ASC 605”). The guidance in ASU 2014-09 and subsequently issued amendments outlines a comprehensive model for all entities to use in accounting for revenue arising from contracts with customers as well as required disclosures. Under the new standard, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services.  The new standard requires additional disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers including significant judgments and changes in judgments. We adopted the new standard effective January 1, 2018 using the modified retrospective transition method with the cumulative effect recorded to the opening balance of retained earnings as of the date of adoption. See Note 12: Revenue Recognition for further details.

In January 2016, the FASB issued ASU 2016-01, “Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities”, and in February 2018, the FASB issued ASU 2018-03, “Technical corrections and improvements to Financial Instruments – Overall (Subtopic 825-10) – Recognition and Measurement of Financial Assets and Financial Liabilities”. The amendments in ASU 2016-01 change the accounting for non-consolidated equity investments that are not accounted for under the equity method of accounting by requiring changes in fair value to be recognized in net income.  Under prior guidance, changes in fair value for investments of this nature are recognized in accumulated other comprehensive income as a component of stockholders’ equity. Additionally, ASU 2016-01 simplifies the impairment assessment of equity investments without readily determinable fair values; requires entities to use the exit price when estimating the fair value of financial instruments; and modifies various presentation disclosure requirements for financial instruments. The amendments should be applied by means of a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption. The amendments related to equity securities without readily determinable fair values (including disclosure requirements) should be applied prospectively to equity investments that exist as of the date of adoption. The update is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018. The adoption of this guidance resulted in a reclassification of $1.0 million from accumulated other comprehensive income to retained earnings.

In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows – Classification of Certain Cash Receipts and Certain Cash Payments”. The amendments address the diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The update is effective for interim and annual reporting periods beginning after December 15, 2017. The amendments should be applied using a retrospective transition method to each period presented. If it is impracticable to apply the amendments retrospectively for some of the issues, the amendments for those issues would be applied prospectively as of the earliest date practicable. We adopted this guidance for our fiscal year beginning January 1, 2018. We have made an accounting policy election to classify distributions received from equity method investees using the cumulative earnings approach. The adoption of this guidance did not have an impact on our consolidated financial statements.

In October 2016, the FASB issued ASU 2016-16, “Income Taxes – Intra-Entity Transfers of Assets Other Than Inventory”.The amendment requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The update is effective for interim and annual reporting periods beginning after December 15, 2017. The amendments should be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption.  We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance did not have an impact on our consolidated financial statements.

In November 2016, the FASB issued ASU 2016-18 “Statement of Cash Flows – Restricted Cash”.The amendment requires entities to include in their cash and cash-equivalent balances in the statement of cash flows those amounts that are deemed to be restricted cash and restricted cash equivalents. The ASU does not define the terms “restricted cash” and “restricted cash equivalents.” The amendment is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018 using a retrospective transition method to each period presented. The adoption of this guidance did not have a material impact on our consolidated financial statements. The previous disclosure for restricted cash within investing activities was removed and the beginning and ending balances of restricted cash are now included in the cash and cash-equivalents balances in our Condensed Consolidated Statements of Cash Flows. There was no impact on the cash flows from operations. See Note 3: Cash, Cash Equivalents, and Restricted Cash for additional required disclosures.

In March 2017, the FASB issued ASU 2017-07, “Compensation – Retirement Benefits:  Improving the Presentation of Net Periodic Pension Cost and Net Periodic Post Retirement Benefit Cost”.  The amendment requires entities to disaggregate the service cost component from the other components of net benefit cost and limits the capitalization of net benefit cost to only the service cost component.  The amendment also provides explicit guidance on how to present the service cost component and the other components of net benefit cost in the statement of comprehensive income.  The amendments are effective for interim and annual reporting periods beginning after December 15, 2017.  The disclosure requirements of the amendments should be applied retrospectively and the requirements concerning capitalization of the net service costs should be applied prospectively.  We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance resulted in a $1.9 and $4.0 million reclassification between warehousing, delivery, selling, general, and administrative and other income and (expense), net within the Condensed Consolidated Statements of Comprehensive Income for the three and six month periods ended June 30, 2017, respectively, with no impact on gross margins, and overall did not have a material impact on our consolidated financial statements.

In May 2017, the FASB issued ASU 2017-09, “Compensation – Stock Compensation:  Scope of Modification Accounting”.  The amendment provides guidance about which changes to the terms and conditions of a share-based payment award require an entity to apply the accounting guidance on modifications to share-based payment awards.  The guidance is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance did not have an impact on our consolidated financial statements.

Impact of Recently Issued Accounting Standards—Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, “Leases” codified in ASC 842, “Leases”. The guidance in ASU 2016-02 and subsequently issued amendments requires lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than 12 months. The amendment also will require disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative information. The update is effective for interim and annual reporting periods beginning after December 15, 2018. Entities are required to use a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements, and have the option to use certain relief. Early adoption is permitted. The FASB recently proposed an optional transition alternative, currently subject to approval, which would allow for application of the guidance at the beginning of the period in which it is adopted, rather than at the beginning of the earliest comparative period presented. We will adopt this guidance for our fiscal year beginning January 1, 2019. The Company has established a cross-functional project team to implement the updated lease guidance and is in the process of evaluating existing contracts for embedded leases and implementing a lease software to be used for lease tracking and reporting. We are still assessing the impact of adoption on our consolidated financial statements and will assess the method of transition if the optional transition alternative is formally approved.

In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments”. The amendment requires financial assets measured at amortized cost basis to be presented at the net amount expected to be collected, thus eliminating the probable initial recognition threshold and instead reflecting the current estimate of all expected credit losses. The amendment also requires that credit losses relating to available-for-sale debt securities be recorded through an allowance for credit losses rather than a write-down, thus enabling the ability to record reversals of credit losses in current period net income. The update is effective for interim and annual reporting periods beginning after December 15, 2019. An entity will apply the amendment through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (that is, a modified-retrospective approach). A prospective transition approach is required for debt securities for which an-other-than-temporary impairment had been recognized before the effective date. The effect of a prospective transition approach is to maintain the same amortized cost basis before and after the effective date of this update. Early adoption is permitted only for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. We will adopt this guidance for our fiscal year beginning January 1, 2020. We are still assessing the impact of adoption on our consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income”. The guidance allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the U.S. Tax Cuts and Jobs Act (“U.S. Tax Act”). It also requires certain disclosures about stranded tax effects. However, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The guidance is effective for interim and annual reporting periods beginning after December 15, 2018, and should be applied either in the period of adoption or retrospectively to each period (or periods) in which the effect of the change in the U.S. federal corporate income tax rate in the U.S. Tax Act is recognized.Early adoption is permitted. We will adopt this guidance for our fiscal year beginning January 1, 2019.We are still assessing the impact of adoption on our consolidated financial statements.

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Cash, Cash Equivalents, and Restricted Cash

6 Months Ended

Jun. 30, 2018

Cash And Cash Equivalents [Abstract]

Cash, Cash Equivalents, and Restricted Cash

NOTE 3: CASH, CASH EQUIVALENTS, AND RESTRICTED CASH

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Condensed Consolidated Balance Sheets that sum to the total of the beginning and ending cash balances shown in the Condensed Consolidated Statements of Cash Flows:

	June 30,		December 31,
	2018		2017
	(In millions)
Cash and cash equivalents	$	27.6	$	77.4
Restricted cash		1.1		1.1
Total cash, cash equivalents, and restricted cash	$	28.7	$	78.5

We have cash restricted for purposes of covering letters of credit that can be presented for potential insurance claims.

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Inventories

6 Months Ended

Jun. 30, 2018

Inventory Disclosure [Abstract]

Inventories

NOTE 4: INVENTORIES

The Company primarily uses the last-in, first-out (LIFO) method of valuing inventory. Interim LIFO calculations are based on actual inventory levels.

Inventories, at stated LIFO value, were classified at June 30, 2018 and December 31, 2017 as follows:

	June 30,		December 31,
	2018		2017
	(In millions)
In process and finished products	$	701.1	$	616.5

If current cost had been used to value inventories, such inventories would have been $15 million and $71 million lower than reported at June 30, 2018 and December 31, 2017, respectively. Approximately 89% of inventories are accounted for under the LIFO method at June 30, 2018 and December 31, 2017. Non-LIFO inventories consist primarily of inventory at our foreign facilities using the moving average cost and the specific cost methods. Substantially all of our inventories consist of finished products.

The Company has consignment inventory at certain customer locations, which totaled $8.2 million and $8.9 million at June 30, 2018 and December 31, 2017, respectively.

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Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

NOTE 5: GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill, which represents the excess of cost over the fair value of net assets acquired, amounted to $120.3 million and $115.3 million at June 30, 2018 and December 31, 2017, respectively. We recognized $5.0 million and $12.1 million of additional goodwill during the first six months of 2018 and 2017, respectively, related to the acquisitions discussed in Note 6: Acquisitions. Pursuant to ASC 350, “Intangibles – Goodwill and Other,” we review the recoverability of goodwill annually as of October 1 or whenever significant events or changes occur which might impair the recovery of recorded amounts. The most recently completed impairment test of goodwill was performed as of October 1, 2017, and it was determined that no impairment existed.

Other intangible assets with finite useful lives continue to be amortized over their useful lives. During the first six months of 2018 and 2017, we recognized $2.1 million and $12.2 million, respectively, in intangibles related to the acquisitions discussed in Note 6: Acquisitions. We review the recoverability of our long-lived assets whenever events or changes in circumstances indicate the carrying amount of such assets may not be recoverable.

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Acquisitions

6 Months Ended

Jun. 30, 2018

Business Combinations [Abstract]

Acquisitions

NOTE 6: ACQUISITIONS

On April 2, 2018, Ryerson Holding acquired Fanello Industries, LLC (“Fanello”), a privately owned metal service company located in Lavonia, Georgia. The acquisition is not material to our consolidated financial statements.

On January 19, 2017, Ryerson Holding acquired The Laserflex Corporation (“Laserflex”), a privately-owned metal fabricator specializing in laser fabrication metal processing and welding with locations in Columbus, Ohio and Wellford, South Carolina. The acquisition is not material to our consolidated financial statements.

On February 15, 2017, Ryerson Holding acquired Guy Metals, Inc. (“Guy Metals”), a privately-owned metal service center company located in Hammond, Wisconsin. The acquisition is not material to our consolidated financial statements.

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Long-Term Debt

6 Months Ended

Jun. 30, 2018

Debt Disclosure [Abstract]

Long-Term Debt

NOTE 7: LONG-TERM DEBT

Long-term debt consisted of the following at June 30, 2018 and December 31, 2017:

	June 30,			December 31,
	2018			2017
	(In millions)
Ryerson Credit Facility	$	384.8		$	384.2
11.00% Senior Secured Notes due 2022		650.0			650.0
Foreign debt		22.5			21.3
Other debt		8.0			3.9
Unamortized debt issuance costs and discounts		(12.4	)		(13.7	)
Total debt		1,052.9			1,045.7
Less: Short-term foreign debt		22.5			21.3
Less: Other short-term debt		7.4			—
Total long-term debt	$	1,023.0		$	1,024.4

Ryerson Credit Facility

On November 16, 2016, Ryerson entered into an amendment with respect to its $1.0 billion revolving credit facility, to reduce the total facility size from $1.0 billion to $750 million (as amended, the “Old Credit Facility”), reduce the interest rate on outstanding borrowings by 25 basis points, reduce commitment fees on amounts not borrowed by 2.5 basis points, and to extend the maturity date to November 16, 2021. On June 28, 2018, Ryerson entered into a second amendment with respect to the revolving credit facility to increase the facility size from $750 million to $1 billion (as amended, the “Ryerson Credit Facility”).

At June 30, 2018, Ryerson had $384.8 million of outstanding borrowings, $12 million of letters of credit issued, and $363 million available under the Ryerson Credit Facility compared to $384.2 million of outstanding borrowings, $12 million of letters of credit issued, and $264 million available at December 31, 2017. Total credit availability is limited by the amount of eligible accounts receivable, inventory, and qualified cash pledged as collateral under the agreement insofar as Ryerson is subject to a borrowing base comprised of the aggregate of these three amounts, less applicable reserves. Eligible accounts receivable, at any date of determination, is comprised of the aggregate value of all accounts directly created by a borrower (and in the case of Canadian accounts, the Canadian borrower) in the ordinary course of business arising out of the sale of goods or the rendering of services, each of which has been invoiced, with such receivables adjusted to exclude various ineligible accounts, including, among other things, those to which a borrower (or guarantor, as applicable) does not have sole and absolute title and accounts arising out of a sale to an employee, officer, director, or affiliate of a borrower (or guarantor, as applicable). Eligible inventory, at any date of determination, is comprised of the net orderly liquidation value of all inventory owned by a borrower (and in the case of Canadian accounts, the Canadian borrower). Qualified cash consists of cash in an eligible deposit account that is subject to customary restrictions and liens in favor of the lenders.

The Ryerson Credit Facility has an allocation of $940 million to the Company’s subsidiaries in the United States and an allocation of $60 million to Ryerson Holding’s Canadian subsidiary that is a borrower. Amounts outstanding under the Ryerson Credit Facility bear interest at (i) a rate determined by reference to (A) the base rate (the highest of the Federal Funds Rate plus 0.50%, Bank of America, N.A.’s prime rate, and the one-month LIBOR rate plus 1.00%) or (B) a LIBOR rate or, (ii) for Ryerson Holding’s Canadian subsidiary that is a borrower, (A) a rate determined by reference to the Canadian base rate (the greatest of the Federal Funds Rate plus 0.50%, Bank of America-Canada Branch’s “base rate” for commercial loans in U.S. Dollars made at its “base rate”, and the 30 day LIBOR rate plus 1.00%), (B) the prime rate (the greater of Bank of America-Canada Branch’s “prime rate” for commercial loans made by it in Canada in Canadian Dollars and the one-month Canadian bankers’ acceptance rate plus 1.00%), or (C) the bankers’ acceptance rate. The spread over the base rate and prime rate is between 0.25% and 0.50% and the spread over the LIBOR for the bankers’ acceptances is between 1.25% and 1.50%, depending on the amount available to be borrowed under the Ryerson Credit Facility. Overdue amounts and all amounts owed during the existence of a default bear interest at 2% above the rate otherwise applicable thereto. Ryerson also pays commitment fees on amounts not borrowed at a rate of 0.23%.

We attempt to minimize interest rate risk exposure through the utilization of interest rate swaps, which are derivative financial instruments. In March 2017, we entered into an interest rate swap to fix interest on $150 million of our floating rate debt under the Ryerson Credit Facility at a rate of 1.658% through March 2020. The swap has reset dates and critical terms that match our existing debt and the anticipated critical terms of future debt. The weighted average interest rate on the outstanding borrowings under the Ryerson Credit Facility including the interest rate swap was 3.2 percent and 2.8 percent at June 30, 2018 and December 31, 2017, respectively.

Borrowings under the Ryerson Credit Facility are secured by first-priority liens on all of the inventory, accounts receivables, lockbox accounts, and related assets of the borrowers and the guarantors.

The Ryerson Credit Facility also contains covenants that, among other things, restrict Ryerson Holding and its restricted subsidiaries with respect to the incurrence of debt, the creation of liens, transactions with affiliates, mergers and consolidations, sales of assets, and acquisitions. The Ryerson Credit Facility also requires that, if availability under the Ryerson Credit Facility declines to a certain level, Ryerson maintain a minimum fixed charge coverage ratio as of the end of each fiscal quarter, and includes defaults upon (among other things) the occurrence of a change of control of Ryerson and a cross-default to other financing arrangements.

The Ryerson Credit Facility contains events of default with respect to, among other things, default in the payment of principal when due or the payment of interest, fees, and other amounts due thereunder after a specified grace period, material misrepresentations, failure to perform certain specified covenants, certain bankruptcy events, the invalidity of certain security agreements or guarantees, material judgments, and the occurrence of a change of control of Ryerson. If such an event of default occurs, the lenders under the Ryerson Credit Facility will be entitled to various remedies, including acceleration of amounts outstanding under the Ryerson Credit Facility and all other actions permitted to be taken by secured creditors.  

The lenders under the Ryerson Credit Facility could reject a borrowing request if any event, circumstance, or development has occurred that has had or could reasonably be expected to have a material adverse effect on the Company. If Ryerson Holding, JT Ryerson, any of the other borrowers, or any restricted subsidiaries of JT Ryerson becomes insolvent or commences bankruptcy proceedings, all amounts borrowed under the Ryerson Credit Facility will become immediately due and payable.

Net proceeds of short-term borrowings that are reflected in the Condensed Consolidated Statements of Cash Flows represent borrowings under the Ryerson Credit Facility with original maturities less than three months.

2022 Notes

On May 24, 2016, JT Ryerson issued $650 million in aggregate principal amount of the 2022 Notes (the “2022 Notes”). The 2022 Notes bear interest at a rate of 11.00% per annum. The 2022 Notes are fully and unconditionally guaranteed on a senior secured basis by all of our existing and future domestic subsidiaries that are co-borrowers or that have guarantee obligations under the Ryerson Credit Facility.

The 2022 Notes and the related guarantees are secured by a first-priority security interest in substantially all of JT Ryerson’s and each guarantor’s present and future assets located in the United States (other than receivables, inventory, cash, deposit accounts and related general intangibles, certain other assets, and proceeds thereof), subject to certain exceptions and customary permitted liens. The 2022 Notes and the related guarantees are also secured on a second-priority basis by a lien on the assets that secure JT Ryerson’s and the Company’s obligations under the Ryerson Credit Facility.

The 2022 Notes will be redeemable, in whole or in part, at any time on or after May 15, 2019 at certain redemption prices. The redemption price for the 2022 Notes if redeemed during the twelve months beginning (i) May 15, 2019 is 105.50%, (ii) May 15, 2020 is 102.75%, and (iii) May 15, 2021 and thereafter is 100.00%. JT Ryerson may redeem some or all of the 2022 Notes before May 15, 2019 at a redemption price of 100.00% of the principal amount, plus accrued and unpaid interest, if any, to the redemption date, plus a “make-whole” premium. In addition, JT Ryerson may redeem up to 35% of the 2022 Notes before May 15, 2019 with respect to the 2022 Notes with the net cash proceeds from certain equity offerings at a price equal to 111.00%, with respect to the 2022 Notes, of the principal amount thereof, plus any accrued and unpaid interest, if any. JT Ryerson may be required to make an offer to purchase the 2022 Notes upon the sale of assets or upon a change of control.

The 2022 Notes contain customary covenants that, among other things, limit, subject to certain exceptions, our ability, and the ability of our restricted subsidiaries, to incur additional indebtedness, pay dividends on our capital stock or repurchase our capital stock, make investments, sell assets, engage in acquisitions, mergers, or consolidations, or create liens or use assets as security in other transactions. Subject to certain exceptions, JT Ryerson may only pay dividends to Ryerson Holding to the extent of 50% of future net income, once prior losses are offset.

Foreign Debt

At June 30, 2018, Ryerson China’s foreign borrowings were $22.5 million, which were owed to banks in Asia at a weighted average interest rate of 4.1% per annum and secured by inventory and property, plant, and equipment. At December 31, 2017, Ryerson China’s foreign borrowings were $21.3 million, which were owed to banks in Asiaat a weighted average interest rate of 3.7% per annum and secured by inventory and property, plant, and equipment.

Availability under the foreign credit lines was $23 million and $25 million at June 30, 2018 and December 31, 2017.  Letters of credit issued by our foreign subsidiaries were $3 million at June 30, 2018 and December 31, 2017.

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Employee Benefits

6 Months Ended

Jun. 30, 2018

Compensation And Retirement Disclosure [Abstract]

Employee Benefits

NOTE 8: EMPLOYEE BENEFITS

The following table summarizes the components of net periodic benefit (credit) cost for the three and six month periods ended June 30, 2018 and 2017 for the Ryerson pension plans and postretirement benefits other than pension:

	Three Months Ended June 30,
	Pension Benefits						Other Benefits
	2018			2017			2018			2017
	(In millions)
Components of net periodic benefit (credit) cost
Service cost	$	—		$	1		$	—		$	—
Interest cost		6			6			—			—
Expected return on assets		(10	)		(11	)		—			—
Recognized actuarial (gain) loss		4			4			(2	)		(2	)
Net periodic benefit credit	$	—		$	—		$	(2	)	$	(2	)

	Six Months Ended June 30,
	Pension Benefits						Other Benefits
	2018			2017			2018			2017
	(In millions)
Components of net periodic benefit (credit) cost
Service cost	$	—		$	1		$	—		$	—
Interest cost		12			13			1			1
Expected return on assets		(20	)		(21	)		—			—
Recognized actuarial (gain) loss		8			7			(4	)		(4	)
Amortization of prior service credit		—			—			(1	)		(1	)
Net periodic benefit credit	$	—		$	—		$	(4	)	$	(4	)

The Company has contributed $12 millionto the pension plan fund through the six months ended June 30, 2018 and anticipates that it will have a minimum required pension contribution funding of approximately $15 million for the remaining six months of 2018.

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2018

Commitments And Contingencies Disclosure [Abstract]

Commitments and Contingencies

NOTE 9: COMMITMENTS AND CONTINGENCIES

In October 2011, the United States Environmental Protection Agency (the “EPA”) named us as one of more than 100 businesses that may be a potentially responsible party for the Portland Harbor Superfund Site (the “PHS Site”). On January 6, 2017, the EPA issued its Record of Decision (“ROD”) regarding the site. The ROD includes a combination of dredging, capping and enhanced natural recovery that would take approximately thirteen years to construct plus additional time for monitored natural recovery, at an estimated present value cost of $1.05 billion. The EPA has now requested a Pre-Remedial Design Report (“Pre-RD”) to help determine if the ROD is appropriate or should be reduced.  The Pre-RD is due on May 9, 2019, and a revised ROD should be issued sometime thereafter. The EPA has not yet allocated responsibility for the contamination among the potentially responsible parties, including JT Ryerson. We do not currently have sufficient information available to us to determine whether the ROD will be executed as currently stated, whether and to what extent JT Ryerson may be held responsible for any of the identified contamination, and how much (if any) of the final plan’s costs might ultimately be allocated to JT Ryerson. Therefore, management cannot predict the ultimate outcome of this matter or estimate a range of potential loss at this time.

There are various other claims and pending actions against the Company. The amount of liability, if any, for those claims and actions at June 30, 2018 is not determinable but, in the opinion of management, such liability, if any, will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. We maintain liability insurance coverage to assist in protecting our assets from losses arising from or related to activities associated with business operations.

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Derivatives and Fair Value Measurements

6 Months Ended

Jun. 30, 2018

Investments All Other Investments [Abstract]

Derivatives and Fair Value Measurements

NOTE 10: DERIVATIVES AND FAIR VALUE MEASUREMENTS

Derivatives

The Company is exposed to certain risks relating to its ongoing business operations. The primary risks managed by using derivative instruments are interest rate risk, foreign currency risk, and commodity price risk. Interest rate swaps are entered into to manage interest rate risk associated with the Company’s floating-rate borrowings. We use foreign currency exchange contracts to hedge variability in cash flows when a payment currency is different from our functional currency. From time to time, we may enter into fixed price sales contracts with our customers for certain of our inventory components. We may enter into metal commodity futures and options contracts to reduce volatility in the price of these metals. We may also enter into natural gas and diesel fuel price swaps to manage the price risk of forecasted purchases of natural gas and diesel fuel.

We have a receive variable, pay fixed, interest rate swap to manage the exposure to variable interest rates of the Ryerson Credit Facility.  In March 2017, we entered into a forward agreement for $150 million of “pay fixed” interest at 1.658%, “receive variable” interest to manage the risk of increasing variable interest rates.  The interest rate reset dates and critical terms match the terms of our existing debt and anticipated critical terms of future debt under the Ryerson Credit Facility.  The fair value of the interest rate swap as of June 30, 2018 was an asset of $2.2 million.

The Company currently does not account for its commodity contracts and foreign exchange derivative contracts as hedges but rather marks them to market with a corresponding offset to current earnings. The Company accounts for its interest rate swap as a cash flow hedge of floating-rate borrowings with changes in fair value being recorded in accumulated other comprehensive income.

The Company regularly reviews the creditworthiness of its derivative counterparties and does not expect to incur a significant loss from the failure of any counterparties to perform under any agreements.

The following table summarizes the location and fair value amount of our derivative instruments reported in our Condensed Consolidated Balance Sheets as of June 30, 2018 and December 31, 2017:

	Asset Derivatives					Liability Derivatives
	Balance Sheet Location	June 30, 2018		December 31, 2017		Balance Sheet Location	June 30, 2018		December 31, 2017
	(In millions)
Derivatives not designated as hedging instruments under ASC 815
Metal commodity contracts	Prepaid expenses and other current assets	$	2.6	$	2.8	Other accrued liabilities	$	2.3	$	3.9
Foreign exchange contracts	Prepaid expenses and other current assets		0.2		0.1	Other accrued liabilities		—		—
Derivatives designated as hedging instruments under ASC 815
Interest rate swaps	Deferred charges and other assets		2.2		1.0	Other noncurrent liabilities		—		—
Total derivatives		$	5.0	$	3.9		$	2.3	$	3.9

As of June 30, 2018 and December 31, 2017, the Company’s foreign currency exchange contracts had a U.S. dollar notional amount of $7.0 million and $5.1 million, respectively. As of June 30, 2018 and December 31, 2017, the Company had 371 tons and 453 tons, respectively, of nickel swap contracts related to forecasted purchases. As of June 30, 2018 and December 31, 2017, the Company had 11,700 tons and 5,252 tons, respectively, of hot roll coil swap contracts related to forecasted purchases. The Company has aluminum swap contracts related to forecasted purchases, which had a notional amount of 19,598 tons and 15,102 tons as of June 30, 2018 and December 31, 2017, respectively. The Company had zero tons and 3,402 tons of zinc contracts as of June 30, 2018 and December 31, 2017, respectively. As of June 30, 2018 and December 31, 2017, the Company had a notional amount of $150 million of the Ryerson Credit Facility hedged by an interest rate swap.

The following table summarizes the location and amount of gains and losses on derivatives not designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2018 and 2017:

		Amount of Gain/(Loss) Recognized in Income on Derivatives
Derivatives not designated as hedging instruments	Location of Gain/(Loss) Recognized in Income	Three Months Ended June 30,						Six Months Ended June 30,
under ASC 815	on Derivatives	2018			2017			2018		2017
		(In millions)
Metal commodity contracts	Cost of materials sold	$	1.7		$	0.5		$	1.3	$	1.8
Foreign exchange contracts	Other income and (expense), net		(0.1	)		(0.1	)		0.1		(0.1	)
Total		$	1.6		$	0.4		$	1.4	$	1.7

The following table summarizes the location and amount of gains and losses on derivatives designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2018 and 2017:

		Amount of Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income into Income
Derivatives designated as hedging instruments	Location of Gain/(Loss) Recognized in Income	Three Months Ended June 30,					Six Months Ended June 30,
under ASC 815	on Derivatives	2018		2017			2018		2017
		(In millions)
Interest rate swaps	Interest and other expense on debt	$	0.1	$	(0.3	)	$	0.1	$	(0.4	)

As of June 30, 2018, the portion of the interest rate swap fair value that would be reclassified into earnings during the next 12 months as interest income is approximately $1.1 million.

Fair Value Measurements

To increase consistency and comparability in fair value measurements, ASC 820 establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three levels as follows:

1. Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access as of the reporting date.

2. Level 2 – inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data.

3. Level 3 – unobservable inputs, such as internally-developed pricing models for the asset or liability due to little or no market activity for the asset or liability.

The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of June 30, 2018:

	At June 30, 2018
	Level 1		Level 2		Level 3
	(In millions)
Assets
Prepaid expenses and other current assets:
Equity securities	$	0.1	$	—	$	—
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.6	$	—
Foreign exchange contracts		—		0.2		—
Derivatives designated as hedging instruments under ASC 815:
Interest rate swaps		—		2.2		—
Total derivatives	$	—	$	5.0	$	—
Liabilities
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.3	$	—

The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of December 31, 2017:

	At December 31, 2017
	Level 1		Level 2		Level 3
	(In millions)
Assets
Prepaid expenses and other current assets:
Equity securities	$	0.1	$	—	$	—
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.8	$	—
Foreign exchange contracts		—		0.1		—
Derivatives designated as hedging instruments under ASC 815:
Interest rate swaps		—		1.0		—
Total derivatives	$	—	$	3.9	$	—
Liabilities
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	3.9	$	—

The fair value of each derivative contract is determined using Level 2 inputs and the market approach valuation technique, as described in ASC 820. The Company has various commodity derivatives to lock in nickel and zinc prices for varying time periods. The fair value of these derivatives is determined based on the spot price each individual contract was purchased at and compared with the one-month daily average actual spot price on the London Metals Exchange for nickel and zinc on the valuation date. The Company also has commodity derivatives to lock in hot roll coil, iron ore, and aluminum prices for varying time periods. The fair value of hot roll coil, iron ore, and aluminum derivatives is determined based on the spot price each individual contract was purchased at and compared with the one-month daily average actual spot price on the Chicago Mercantile Exchange, the Singapore Exchange, and the London Metals Exchange, respectively, for the commodity on the valuation date. In addition, the Company has numerous foreign exchange contracts to hedge variability in cash flows when a payment currency is different from our functional currency. The Company defines the fair value of foreign exchange contracts as the amount of the difference between the contracted and current market value at the end of the period. The Company estimates the current market value of foreign exchange contracts by obtaining month-end market quotes of foreign exchange rates and forward rates for contracts with similar terms. The Company uses the exchange rates provided by Reuters. Each commodity and foreign exchange contract term varies in the number of months, but in general, contracts are between 3 to 12 months in length.  The fair value of our interest rate swap is based on the sum of all future net present value cash flows for the fixed and floating leg of the swap. The future cash flows are derived based on the terms of our interest rate swap, as well as published discount factors, and projected forward LIBOR rates.

The carrying and estimated fair values of our financial instruments at June 30, 2018 and December 31, 2017 were as follows:

	At June 30, 2018				At December 31, 2017
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(In millions)
Cash and cash equivalents	$	27.6	$	27.6	$	77.4	$	77.4
Restricted cash		1.1		1.1		1.1		1.1
Receivables less provision for allowances, claims, and doubtful accounts		505.6		505.6		376.3		376.3
Accounts payable		430.1		430.1		275.0		275.0
Long-term debt, including current portion		1,052.9		1,122.1		1,045.7		1,125.9

The estimated fair value of the Company’s cash and cash equivalents, receivables less provision for allowances, claims, and doubtful accounts, and accounts payable approximate their carrying amounts due to the short-term nature of these financial instruments. The estimated fair value of the Company’s long-term debt and the current portions thereof is determined by using quoted market prices of Company debt securities (Level 2 inputs).

Equity Securities

The Company had $0.1 million of equity securities, classified within “Prepaid expenses and other current assets,” as of June 30, 2018 and December 31, 2017.

Subsequent to the adoption of ASU 2016-01, management values these investments at fair value with changes in fair value recognized in other income (expense), net. The amount of gain (loss) recognized in the Condensed Consolidated Statement of Comprehensive Income in the three and six month periods ended June 30, 2018 was zero.

Prior to the adoption of ASU 2016-01, management valued these investments at fair value with changes in fair value recognized in accumulated other comprehensive income.  The balance of $1.0 million outstanding within accumulated other comprehensive income related to these investments at December 31, 2017 was reclassed to retained earnings upon the adoption of ASU 2016-01.

There is no maturity date for these investments. Sales during the six months ended June 30, 2018 were immaterial.

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Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest

6 Months Ended

Jun. 30, 2018

Equity [Abstract]

Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest

NOTE 11: STOCKHOLDERS’ EQUITY (DEFICIT), ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS), AND NONCONTROLLING INTEREST

The following table details changes in these accounts:

	Ryerson Holding Corporation Stockholders' Equity (Deficit)
															Accumulated Other Comprehensive Income (Loss)
	Common Stock				Treasury Stock					Capital in Excess of Par Value		Accumulated Deficit			Foreign Currency Translation			Benefit Plan Liabilities			Unrealized Gain (Loss) on Equity Securities			Cash Flow Hedge- Interest Rate Swap		Non-controlling Interest			Total Equity
	Shares		Dollars		Shares		Dollars			Dollars		Dollars			Dollars			Dollars			Dollars			Dollars		Dollars			Dollars
	(In millions, except shares in thousands)
Balance at January 1, 2018		37,421	$	0.4		213	$	(6.6	)	$	377.6	$	(95.1	)	$	(41.6	)	$	(246.3	)	$	1.0		$	0.6	$	2.6		$	(7.4	)
Net income		—		—		—		—			—		27.9			—			—			—			—		0.1			28.0
Foreign currency translation		—		—		—		—			—		—			(3.8	)		—			—			—		0.1			(3.7	)
Foreign currency loss on intra-entity transactions		—		—		—		—			—		—			(2.3	)		—			—			—		—			(2.3	)
Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.7		—		—		—		—			—		—			—			1.9			—			—		—			1.9
Adoption of accounting principal ASU 2016-01		—		—		—		—			—		1.0			—			—			(1.0	)		—		—			—
Adoption of accounting principal ASC 606, net of tax of $0.7		—		—		—		—			—		2.3			—			—			—			—		—			2.3
Stock-based compensation expense		87		—		—		—			1.7		—			—			—			—			—		—			1.7
Purchase of subsidiary shares from noncontrolling interest		—		—		—		—			0.1		—			—			—			—			—		(0.3	)		(0.2	)
Cash flow hedge - interest rate swap, net of tax of $0.3		—		—		—		—			—		—			—			—			—			0.9		—			0.9
Balance at June 30, 2018		37,508	$	0.4		213	$	(6.6	)	$	379.4	$	(63.9	)	$	(47.7	)	$	(244.4	)	$	—		$	1.5	$	2.5		$	21.2

The following table details changes in accumulated other comprehensive income (loss), net of tax, for the six months ended June 30, 2018:

	Changes in Accumulated Other Comprehensive Income (Loss) by Component, net of tax
	Foreign Currency Translation			Benefit Plan Liabilities			Cash Flow Hedge - Interest Rate Swap
	(In millions)
Balance at January 1, 2018	$	(41.6	)	$	(246.3	)	$	0.6
Other comprehensive income (loss) before reclassifications		(6.1	)		—			1.0
Amounts reclassified from accumulated other comprehensive income into net income		—			1.9			(0.1	)
Net current-period other comprehensive income (loss)		(6.1	)		1.9			0.9
Balance at June 30, 2018	$	(47.7	)	$	(244.4	)	$	1.5

The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2018:

	Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
	Amount reclassified from Accumulated
	Other Comprehensive Income (Loss)
	Three Months Ended			Six Months Ended			Affected line item in the Condensed
Details about Accumulated Other	June 30, 2018						Consolidated Statements of
Comprehensive Income (Loss) Components	(In millions)						Comprehensive Income
Cash flow hedge - interest rate swap
Realized swap interest income	$	(0.1	)	$	(0.1	)	Interest and other expense on debt
Tax provision		—			—
Net of tax	$	(0.1	)	$	(0.1	)
Amortization of defined benefit    pension and other post-    retirement benefit plan items
Actuarial loss	$	2.1		$	4.1		Warehousing, delivery, selling, general, and administrative
Prior service credits		(0.8	)		(1.5	)	Warehousing, delivery, selling, general, and administrative
Total before tax		1.3			2.6
Tax benefit		(0.4	)		(0.7	)
Net of tax	$	0.9		$	1.9

The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2017:

	Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
	Amount reclassified from Accumulated
	Other Comprehensive Income (Loss)
	Three Months Ended			Six Months Ended			Affected line item in the Condensed
Details about Accumulated Other	June 30, 2017						Consolidated Statements of
Comprehensive Income (Loss) Components	(In millions)						Comprehensive Income
Other-than-temporary impairment
Other-than-temporary impairment charge	$	0.2		$	0.2		Other income and (expense), net
Tax benefit		(0.1	)		(0.1	)
Net of tax	$	0.1		$	0.1
Cash flow hedge - interest rate swap
Realized swap interest loss	$	0.3		$	0.4		Interest and other expense on debt
Tax benefit		(0.1	)		(0.1	)
Net of tax	$	0.2		$	0.3
Amortization of defined benefit    pension and other post-    retirement benefit plan items
Actuarial gain	$	(3.7	)	$	(2.1	)	Warehousing, delivery, selling, general, and administrative
Prior service credits		(0.7	)		(1.5	)	Warehousing, delivery, selling, general, and administrative
Total before tax		(4.4	)		(3.6	)
Tax provision		1.7			1.4
Net of tax	$	(2.7	)	$	(2.2	)

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Revenue Recognition

6 Months Ended

Jun. 30, 2018

Revenue Recognition [Abstract]

Revenue Recognition

NOTE 12: REVENUE RECOGNITION

We are a leading metals service center that distributes and provides value-added processing of industrial metals with operations in the United States, Canada, Mexico, and China. We purchase large quantities of metal products from primary producers and sell these materials in smaller quantities to a wide variety of metals-consuming industries. More than 75% of the metals products sold are processed by us by burning, sawing, slitting, blanking, cutting to length, or other techniques.  

Revenue Accounting Policy

In May 2014, the FASB issued ASC 606 which supersedes the revenue recognition requirements in ASC 605, and requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services.

The Company adopted ASC 606 as of January 1, 2018 using the modified retrospective transition method. The cumulative effect of initially applying the new standard was recorded as an adjustment to the opening balance of retained earnings within our Condensed Consolidated Balance Sheet.  The adjustment to retained earnings was the result of changing the accounting for revenues associated with custom products with no alternative use for which we have an enforceable right to payment, from point in time recognition to over time recognition. The revenues associated with the products and services that were partially satisfied at January 1, 2018 which were included in the modified transition method adjustment aggregated $12.3 million. The net impact on retained earnings associated with these revenues was $2.3 million. For all adjustments and changes as a result of adopting ASC 606 for the current period, please refer to the section “Impacts on Financial Statements” below.  In accordance with the modified retrospective transition method, the historical information within the financial statements has not been restated and continues to be reported under the accounting standard in effect for those periods. As a result, the Company has disclosed the accounting policies in effect prior to January 1, 2018, as well as the policies it has applied starting January 1, 2018.  

Periods prior to January 1, 2018

Revenue is recognized in accordance with ASC 605.  Revenue is recognized upon delivery of product to customers and is recorded net of returns, allowances, customer discounts, and incentives.  Sales taxes collected from customers and remitted to governmental authorities are accounted for on a net (excluded from revenues) basis.

Periods commencing January 1, 2018

Revenue is recognized based on the consideration expected to be received for delivery of as-is or processed metal products when, or as, the Company satisfies its contractual obligation to transfer control of a product to a customer, which we refer to as a performance obligation. Predominately all of our contracts contain a single performance obligation.  

The majority of our revenue is recognized at a point in time.  The Company has determined that the most definitive demonstration that control has transferred to a customer is physical delivery, with the exception of bill and hold and consignment transactions. The Company’s bill-and-hold transactions are arrangements where a customer requests that we bill them for a product even though we retain physical possession of the product until it is subsequently delivered to the customer. Bill and hold revenue is recorded when all of the criteria within ASC 606 are met.  Consignment transactions are arrangements where the Company transfers product to a customer location but retains ownership and control of such product until it is used by the customer. Revenue for consignment arrangements is recognized upon the customer’s usage.

Revenues associated with products which we believe have no alternative use, and where the Company has an enforceable right to payment, are recognized on an over time basis.  Products with no alternative use include products made from unique alloys, custom extrusions, non-standard gauges, items that been processed to a custom size that cannot be cost effectively reworked to a standard size, or items processed to customer specific drawings or specifications.  Over-time revenues are recorded in proportion with the progress made toward completing the performance obligation.  

Ryerson uses both input and output methods of measuring progress towards completion based on the type and extent of processing completed.  Input methods are used for complex processing with multiple steps occurring over multiple days.  Under the input method, the measure of performance, commonly called percentage of completion, is the ratio of costs incurred to date to the total estimated costs at completion for the products.  Output methods are used for products with minimal processing where the normal pattern of production is less than one day. In these cases, the progress towards completion is measured based on the number of products on hand and ready for delivery in comparison to the total number of products in the order.

Significant judgment is required in determining which products qualify for over time revenue recognition, the methodology to be used in calculating the progress toward completion, and estimating the costs incurred to date and the total cost at completion.  

Revenue is recorded net of returns, allowances, customer discounts, and incentives.  Sales taxes collected from customers and remitted to governmental authorities are accounted for on a net (excluded from revenues) basis.

Prices are generally fixed at the time of order confirmation. At each quarter end, the Company calculates an estimate of potential cash discounts and returns and allowances that could be taken by customers that are associated with outstanding accounts receivable, as well as estimates of customer rebates.  Cash discounts and returns and allowances are calculated based on historical experience.  Customer rebates are estimated based on actual sales and projections over the rebate period.  

The Company has elected to treat shipping and handling costs as an activity necessary to fulfill the performance obligation to transfer product to the customer and not as a separate performance obligation. Shipping and handling costs are estimated at quarter end in proportion to revenue recognized for transactions where actual costs are not yet known. Shipping and handling costs are included in Warehousing, delivery, selling, general, and administrative expense. The balance recognized related to shipping and handling costs was a net contract liability of $0.1 million as of June 30, 2018.

The Company’s performance obligations are typically short-term in nature. As a result, the Company has elected the practical expedient that provides an exemption of the disclosure requirements regarding information about remaining performance obligations on contracts that have original expected durations of one year or less.

Disaggregated Revenue

We have one operating and reportable segment, metals service centers.

The Company derives substantially all of its sales from the distribution of metals. The following table shows the Company’s percentage of sales by major product line:      

	Three Months Ended						Six Months Ended
	June 30,						June 30,
Product Line	2018			2017			2018			2017
Carbon Steel Flat		28	%		28	%		27	%		28	%
Carbon Steel Plate		11			10			11			10
Carbon Steel Long		12			12			12			12
Stainless Steel Flat		17			18			17			18
Stainless Steel Plate		4			4			4			4
Stainless Steel Long		4			4			4			4
Aluminum Flat		16			15			16			15
Aluminum Plate		3			3			3			3
Aluminum Long		4			4			4			4
Other		1			2			2			2
Total		100	%		100	%		100	%		100	%

A significant majority of the Company’s sales are attributable to its U.S. operations. The only operations attributed to foreign countries relate to the Company’s subsidiaries in Canada, China, and Mexico.  The following table summarizes consolidated financial information of our operations by geographic location based on where sales originated:

	Three Months Ended June 30,				Six Months Ended June 30,
Net Sales	2018		2017		2018		2017
					(In millions)
United States	$	938.7	$	773.6	$	1,774.0	$	1,491.6
Foreign countries		118.4		101.8		224.4		198.3
Total	$	1,057.1	$	875.4	$	1,998.4	$	1,689.9

As stated above, revenue is recognized either at a point in time or over time based on the type of product that is being sold to the customer with products that are determined to have no alternative use being recognized over time. The following table summarizes revenues by the type of item sold:

Timing of Revenue Recognition	Three Months Ended June 30, 2018			Six Months Ended June 30, 2018
Revenue on products with an alternative use		88	%		89	%
Revenue on products with no alternative use		12			11
Total		100	%		100	%

Contract Balances

A receivable is recognized in the period in which an invoice is issued, which is generally when the product is delivered to the customer.  Payment terms on invoiced amounts are typically 30 days from the invoice date.  We do not have any contracts with significant financing components.  

Receivables, which are included in accounts receivables within the Condensed Consolidated Balance Sheet, from contracts with customers were $507.6 million and $381.2 million as of June 30, 2018 and at the adoption of ASC 606, respectively.  

Contract assets, which consist primarily of revenues recognized over time that have not yet been invoiced and estimates of the value of inventory that will be received in conjunction with product returns, are reported in prepaid expenses and other current assets within the Condensed Consolidated Balance Sheet.  Contract liabilities, which consist primarily of accruals associated with amounts that will be paid to customers for volume rebates, cash discounts, sales returns and allowances, and estimates of shipping and handling costs associated with performance obligations recorded over time and bill and hold transactions are reported in other accrued liabilities within the Condensed Consolidated Balance Sheet. Significant changes in the contract assets and the contract liabilities balances during the period are as follows:

	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
	Contract Assets			Contract Liabilities			Contract Assets			Contract Liabilities
	(In millions)						(In millions)
Beginning Balance	$	14.6		$	4.3		$	14.2		$	3.9
Transferred to receivables from contract assets recognized at January 1, 2018		(1.7	)		—			(11.8	)		—
Satisfied contract liability from beginning of the period		—			(0.1	)		—			(0.3	)
Net contract assets and liabilities added for products with no alternative during the period		0.5			0.2			9.0			0.2
Contract assets and liabilities acquired		0.3			—			0.3			—
Changes to reserves		3.1			(0.3	)		3.3			(1.5	)
Reclass from contract liability to contract asset		—			—			1.8			1.8
Ending Balance	$	16.8		$	4.1		$	16.8		$	4.1

Impacts on Financial Statements

The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Statement of Operations:

	Three Months Ended June 30, 2018									Six Months Ended June 30, 2018
	As Reported			ASC 606 Adjustments			Balances without adoption of ASC 606			As Reported			ASC 606 Adjustments			Balances without adoption of ASC 606
										(In millions)
Net sales	$	1,057.1		$	1.1		$	1,058.2		$	1,998.4		$	2.7		$	2,001.1
Cost of materials sold		871.8			1.9			873.7			1,648.2			3.7			1,651.9
Gross profit		185.3			(0.8	)		184.5			350.2			(1.0	)		349.2
Warehousing, delivery, selling, general, and administrative		138.9			(0.1	)		138.8			269.4			0.1			269.5
Operating profit		46.4			(0.7	)		45.7			80.8			(1.1	)		79.7
Other income and (expense), net		1.1			—			1.1			4.7			—			4.7
Interest and other expense on debt		(23.9	)		—			(23.9	)		(47.2	)		—			(47.2	)
Income before income taxes		23.6			(0.7	)		22.9			38.3			(1.1	)		37.2
Provision for income taxes		6.2			(0.2	)		6.0			10.3			(0.3	)		10.0
Net income		17.4			(0.5	)		16.9			28.0			(0.8	)		27.2
Less: Net income attributable to noncontrolling interest		(0.1	)		—			(0.1	)		0.1			—			0.1
Net income attributable to Ryerson Holding Corporation	$	17.5		$	(0.5	)	$	17.0		$	27.9		$	(0.8	)	$	27.1
Basic earnings per share	$	0.47		$	(0.02	)	$	0.45		$	0.75		$	(0.02	)	$	0.73
Diluted earnings per share	$	0.46		$	(0.01	)	$	0.45		$	0.74		$	(0.02	)	$	0.72

The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Statement of Cash Flows:

	As reported June 30, 2018			ASC 606 Adjustments			Balances without adoption of ASC 606
	(In millions)
Operating activities:
Net income	$	28.0		$	(0.8	)	$	27.2
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Deferred income taxes	$	8.2		$	(0.3	)		7.9
Other non cash adjustments		24.7			—			24.7
Change in operating assets and liabilities:
Receivables		(127.0	)		—			(127.0	)
Inventories		(94.3	)		3.7			(90.6	)
Other assets		(0.9	)		(2.7	)		(3.6	)
Accounts payable		145.5			—			145.5
Accrued liabilities		13.6			0.1			13.7
Accrued taxes payable/receivable		2.6			—			2.6
Deferred employee benefit costs		(18.3	)		—			(18.3	)
Net adjustments		(45.9	)		0.8			(45.1	)
Net cash used in operating activities		(17.9	)		—			(17.9	)

The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Balance Sheet:

	As reported June 30, 2018			ASC 606 Adjustments			Balances without adoption of ASC 606
	(In millions)
Cash, cash equivalents, and restricted cash	$	28.7		$	—		$	28.7
Accounts receivable, net		505.6			(0.4	)		505.2
Inventories		701.1			7.3			708.4
Prepaid expenses and other current assets		48.3			(16.8	)		31.5
Total current assets		1,283.7			(9.9	)		1,273.8
Property, plant and equipment, net		441.3			—			441.3
Deferred income taxes		8.4			1.0			9.4
Goodwill		120.3			0.3			120.6
Other noncurrent assets		52.2			—			52.2
Total assets	$	1,905.9		$	(8.6	)	$	1,897.3
Accounts payable	$	430.1		$	—		$	430.1
Salaries, wages and commissions		48.3			—			48.3
Other accrued liabilities		74.6			(5.5	)		69.1
Short-term debt		29.9			—			29.9
Current portion of deferred employee benefits		7.7			—			7.7
Total current liabilities		590.6			(5.5	)		585.1
Long-term debt		1,023.0			—			1,023.0
Deferred employee benefits		221.8			—			221.8
Other noncurrent liabilities		49.3			—			49.3
Total liabilities		1,884.7			(5.5	)		1,879.2
Accumulated deficit		(63.9	)		(3.1	)		(67.0	)
Additional paid-in capital, accumulated other comprehensive loss, and noncontrolling interest		85.1			—			85.1
Total equity (deficit)		21.2			(3.1	)		18.1
Total liabilities and equity	$	1,905.9		$	(8.6	)	$	1,897.3

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Income Taxes

6 Months Ended

Jun. 30, 2018

Income Tax Disclosure [Abstract]

Income Taxes

NOTE 13: INCOME TAXES

For the three months ended June 30, 2018, the Company recorded income tax expense of$6.2 million compared to an income tax benefit of $0.8 million in the prior year. The $6.2 million tax expense for the three months ended June 30, 2018 primarily represents taxes at federal and local statutory rates where the Company operates, but generally excludes any tax benefit for losses in jurisdictions with historical losses. For the six months ended June 30, 2018, the Company recorded income tax expense of $10.3 million compared to $6.0 million in the prior year. The $10.3 million tax expense for the six months ended June 30, 2018 primarily represents taxes at federal and local statutory rates where the Company operates, but generally excludes any tax benefit for losses in jurisdictions with historical losses. The effective tax rate for the three and six month periods ended June 30, 2018 also reflects the reduced federal corporate income tax rate as a result of the enactment of the U.S. Tax Act in December 2017. We continue to analyze the different aspects of the U.S. Tax Act which could potentially affect the provisional estimates that were recorded at December 31, 2017.

In accordance with ASC 740, “Income Taxes,” the Company assesses the realizability of its deferred tax assets. The Company records a valuation allowance when, based upon the evaluation of all available evidence, it is more-likely-than-not that all or a portion of the deferred tax assets will not be realized. In making this determination, we analyze, among other things, our recent history of earnings, the nature and timing of reversing book-tax temporary differences, tax planning strategies, and future income. The Company maintains a valuation allowance on certain foreign and U.S. federal and state deferred tax assets until such time as in management’s judgment, considering all available positive and negative evidence, the Company determines that these deferred tax assets are more likely than not realizable. The valuation allowance is reviewed quarterly and will be maintained until sufficient positive evidence exists to support the reversal of some or all of the valuation allowance. The valuation allowance was $24.2million and $24.4 million at June 30, 2018 and December 31, 2017, respectively.

The U.S. Tax Cuts and Jobs Act (the “Act”) subjects a US shareholder to tax on global intangible low-taxed income (“GILTI”) earned by certain foreign subsidiaries. The FASB Staff Q&A, Topic 740, No. 5, Accounting for Global Intangible Low-Taxed Income, states that an entity can make an accounting policy election to either recognize deferred taxes for temporary basis differences expected to reverse as GILTI in future years or provide for the tax expense related to GILTI in the year the tax is incurred. Given the complexity of the GILTI provisions, we are still evaluating the effects of these provisions. However, at June 30, 2018, we have estimated the income tax expense associated with the current year to be $0.5 million.

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Earnings Per Share

6 Months Ended

Jun. 30, 2018

Earnings Per Share [Abstract]

Earnings Per Share

NOTE 14: EARNINGS PER SHARE

Basic earnings per share attributable to Ryerson Holding’s common stock is determined based on earnings for the period divided by the weighted average number of common shares outstanding during the period. Diluted earnings per share attributable to Ryerson Holding’s common stock considers the effect of potential common shares, unless inclusion of the potential common shares would have an antidilutive effect.   

The following table sets forth the calculation of basic and diluted earnings per share:

	Three Months Ended June 30,				Six Months Ended June 30,
Basic and diluted earnings per share		2018		2017		2018		2017
	(In millions, except share and per share data)
Numerator:
Net income attributable to Ryerson Holding Corporation	$	17.5	$	0.6	$	27.9	$	15.4
Denominator:
Weighted average shares outstanding		37,294,982		37,172,472		37,252,020		37,152,655
Dilutive effect of stock-based awards		330,769		120,698		333,151		136,438
Weighted average shares outstanding adjusted for dilutive securities		37,625,751		37,293,170		37,585,171		37,289,093
Earnings per share
Basic	$	0.47	$	0.02	$	0.75	$	0.41
Diluted	$	0.46	$	0.02	$	0.74	$	0.41

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Subsequent Events

6 Months Ended

Jun. 30, 2018

Subsequent Events [Abstract]

Subsequent Events

NOTE 15: SUBSEQUENT EVENTS

On July 2, 2018, JT Ryerson completed the previously announced acquisition of Central Steel & Wire Company, a Delaware corporation (“Central Steel & Wire”), pursuant to the terms of the previously announced Agreement and Plan of Merger (the “Merger Agreement”), dated as of June 4, 2018, by and among JT Ryerson, Hunter MergerCo, Inc., a Delaware corporation and wholly-owned subsidiary of JT Ryerson (“Merger Sub”), Central Steel & Wire, and Fortis Advisors LLC, a Delaware limited liability company, solely in its capacity as the representative of Central Steel & Wire’s stockholders thereunder.  Pursuant to the terms of the Merger Agreement, Merger Sub merged with and into Central Steel & Wire (the “Merger”), with Central Steel & Wire surviving the Merger and continuing as a wholly-owned subsidiary of JT Ryerson.  The acquisition was financed through borrowings on the Ryerson Credit Facility.

Central Steel & Wire is a leading metal service center with locations across the central and eastern United States.  Central Steel & Wire employs approximately 900 people and operates out of six locations offering custom solutions utilizing value-add processing and a full line of metal products.

In connection with the closing of the transaction, shareholders of Central Steel & Wire will receive approximately $150.8 million, or approximately $616.32 per share of Central Steel & Wire common stock outstanding as of the closing. In addition, shareholders of Central Steel & Wire as of the closing of the transaction are eligible to receive up to $7.5 million in the aggregate of additional consideration, which is representative of the amount held back in the transaction to allow for the final determination of Central Steel & Wire’s actual net working capital and net cash (after deducting transaction expenses). Further, if actual net working capital and net cash (after deducting transaction expenses) exceeds the estimated amounts used to calculate the closing payment, shareholders will receive additional consideration for the amount above such estimates. An additional $1 million has been held back to cover the expenses of the shareholders’ representative, the balance of which, to the extent not used, will also be distributed to Central Steel & Wire’s shareholders as of the closing of the transaction on a pro rata basis. Ryerson will also assume approximately $8.9 million in transaction related obligations of Central Steel & Wire as a result of the closing, including certain transaction expenses and retention and change in control payments.  

The final determination of the purchase price allocation is expected to be completed as soon as practicable after consummation of the acquisition. Due to the limited amount of time between the acquisition date and the date of this filing, it is not practicable for Ryerson to disclose: (i) the allocation of purchase price to assets acquired and liabilities assumed as of the date of close, and (ii) pro forma revenues and earnings of the combined company for the period ended June 30, 2018.   

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Summary of Accounting and Financial Policies (Policies)

6 Months Ended

Jun. 30, 2018

Accounting Policies [Abstract]

Recent Accounting Pronouncements

Impact of Recently Issued Accounting Standards—Adopted

In May 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers,” which created Accounting Standards Codification (“ASC”) 606 “Revenue from Contracts with Customers” (“ASC 606”) and supersedes the revenue recognition requirements in ASC 605 “Revenue Recognition” (“ASC 605”). The guidance in ASU 2014-09 and subsequently issued amendments outlines a comprehensive model for all entities to use in accounting for revenue arising from contracts with customers as well as required disclosures. Under the new standard, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services.  The new standard requires additional disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers including significant judgments and changes in judgments. We adopted the new standard effective January 1, 2018 using the modified retrospective transition method with the cumulative effect recorded to the opening balance of retained earnings as of the date of adoption. See Note 12: Revenue Recognition for further details.

In January 2016, the FASB issued ASU 2016-01, “Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities”, and in February 2018, the FASB issued ASU 2018-03, “Technical corrections and improvements to Financial Instruments – Overall (Subtopic 825-10) – Recognition and Measurement of Financial Assets and Financial Liabilities”. The amendments in ASU 2016-01 change the accounting for non-consolidated equity investments that are not accounted for under the equity method of accounting by requiring changes in fair value to be recognized in net income.  Under prior guidance, changes in fair value for investments of this nature are recognized in accumulated other comprehensive income as a component of stockholders’ equity. Additionally, ASU 2016-01 simplifies the impairment assessment of equity investments without readily determinable fair values; requires entities to use the exit price when estimating the fair value of financial instruments; and modifies various presentation disclosure requirements for financial instruments. The amendments should be applied by means of a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption. The amendments related to equity securities without readily determinable fair values (including disclosure requirements) should be applied prospectively to equity investments that exist as of the date of adoption. The update is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018. The adoption of this guidance resulted in a reclassification of $1.0 million from accumulated other comprehensive income to retained earnings.

In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows – Classification of Certain Cash Receipts and Certain Cash Payments”. The amendments address the diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The update is effective for interim and annual reporting periods beginning after December 15, 2017. The amendments should be applied using a retrospective transition method to each period presented. If it is impracticable to apply the amendments retrospectively for some of the issues, the amendments for those issues would be applied prospectively as of the earliest date practicable. We adopted this guidance for our fiscal year beginning January 1, 2018. We have made an accounting policy election to classify distributions received from equity method investees using the cumulative earnings approach. The adoption of this guidance did not have an impact on our consolidated financial statements.

In October 2016, the FASB issued ASU 2016-16, “Income Taxes – Intra-Entity Transfers of Assets Other Than Inventory”.The amendment requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The update is effective for interim and annual reporting periods beginning after December 15, 2017. The amendments should be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption.  We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance did not have an impact on our consolidated financial statements.

In November 2016, the FASB issued ASU 2016-18 “Statement of Cash Flows – Restricted Cash”.The amendment requires entities to include in their cash and cash-equivalent balances in the statement of cash flows those amounts that are deemed to be restricted cash and restricted cash equivalents. The ASU does not define the terms “restricted cash” and “restricted cash equivalents.” The amendment is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018 using a retrospective transition method to each period presented. The adoption of this guidance did not have a material impact on our consolidated financial statements. The previous disclosure for restricted cash within investing activities was removed and the beginning and ending balances of restricted cash are now included in the cash and cash-equivalents balances in our Condensed Consolidated Statements of Cash Flows. There was no impact on the cash flows from operations. See Note 3: Cash, Cash Equivalents, and Restricted Cash for additional required disclosures.

In March 2017, the FASB issued ASU 2017-07, “Compensation – Retirement Benefits:  Improving the Presentation of Net Periodic Pension Cost and Net Periodic Post Retirement Benefit Cost”.  The amendment requires entities to disaggregate the service cost component from the other components of net benefit cost and limits the capitalization of net benefit cost to only the service cost component.  The amendment also provides explicit guidance on how to present the service cost component and the other components of net benefit cost in the statement of comprehensive income.  The amendments are effective for interim and annual reporting periods beginning after December 15, 2017.  The disclosure requirements of the amendments should be applied retrospectively and the requirements concerning capitalization of the net service costs should be applied prospectively.  We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance resulted in a $1.9 and $4.0 million reclassification between warehousing, delivery, selling, general, and administrative and other income and (expense), net within the Condensed Consolidated Statements of Comprehensive Income for the three and six month periods ended June 30, 2017, respectively, with no impact on gross margins, and overall did not have a material impact on our consolidated financial statements.

In May 2017, the FASB issued ASU 2017-09, “Compensation – Stock Compensation:  Scope of Modification Accounting”.  The amendment provides guidance about which changes to the terms and conditions of a share-based payment award require an entity to apply the accounting guidance on modifications to share-based payment awards.  The guidance is effective for interim and annual reporting periods beginning after December 15, 2017. We adopted this guidance for our fiscal year beginning January 1, 2018.  The adoption of this guidance did not have an impact on our consolidated financial statements.

Impact of Recently Issued Accounting Standards—Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, “Leases” codified in ASC 842, “Leases”. The guidance in ASU 2016-02 and subsequently issued amendments requires lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than 12 months. The amendment also will require disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative information. The update is effective for interim and annual reporting periods beginning after December 15, 2018. Entities are required to use a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements, and have the option to use certain relief. Early adoption is permitted. The FASB recently proposed an optional transition alternative, currently subject to approval, which would allow for application of the guidance at the beginning of the period in which it is adopted, rather than at the beginning of the earliest comparative period presented. We will adopt this guidance for our fiscal year beginning January 1, 2019. The Company has established a cross-functional project team to implement the updated lease guidance and is in the process of evaluating existing contracts for embedded leases and implementing a lease software to be used for lease tracking and reporting. We are still assessing the impact of adoption on our consolidated financial statements and will assess the method of transition if the optional transition alternative is formally approved.

In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments”. The amendment requires financial assets measured at amortized cost basis to be presented at the net amount expected to be collected, thus eliminating the probable initial recognition threshold and instead reflecting the current estimate of all expected credit losses. The amendment also requires that credit losses relating to available-for-sale debt securities be recorded through an allowance for credit losses rather than a write-down, thus enabling the ability to record reversals of credit losses in current period net income. The update is effective for interim and annual reporting periods beginning after December 15, 2019. An entity will apply the amendment through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (that is, a modified-retrospective approach). A prospective transition approach is required for debt securities for which an-other-than-temporary impairment had been recognized before the effective date. The effect of a prospective transition approach is to maintain the same amortized cost basis before and after the effective date of this update. Early adoption is permitted only for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. We will adopt this guidance for our fiscal year beginning January 1, 2020. We are still assessing the impact of adoption on our consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income”. The guidance allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the U.S. Tax Cuts and Jobs Act (“U.S. Tax Act”). It also requires certain disclosures about stranded tax effects. However, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The guidance is effective for interim and annual reporting periods beginning after December 15, 2018, and should be applied either in the period of adoption or retrospectively to each period (or periods) in which the effect of the change in the U.S. federal corporate income tax rate in the U.S. Tax Act is recognized.Early adoption is permitted. We will adopt this guidance for our fiscal year beginning January 1, 2019.We are still assessing the impact of adoption on our consolidated financial statements.

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Cash, Cash Equivalents, and Restricted Cash (Tables)

6 Months Ended

Jun. 30, 2018

Cash And Cash Equivalents [Abstract]

Reconciliation of Cash, Cash Equivalents, and Restricted Cash

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Condensed Consolidated Balance Sheets that sum to the total of the beginning and ending cash balances shown in the Condensed Consolidated Statements of Cash Flows:

	June 30,		December 31,
	2018		2017
	(In millions)
Cash and cash equivalents	$	27.6	$	77.4
Restricted cash		1.1		1.1
Total cash, cash equivalents, and restricted cash	$	28.7	$	78.5

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Inventories (Tables)

6 Months Ended

Jun. 30, 2018

Inventory Disclosure [Abstract]

Schedule of Inventories

Inventories, at stated LIFO value, were classified at June 30, 2018 and December 31, 2017 as follows:

	June 30,		December 31,
	2018		2017
	(In millions)
In process and finished products	$	701.1	$	616.5

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Long-Term Debt (Tables)

6 Months Ended

Jun. 30, 2018

Debt Disclosure [Abstract]

Long-Term Debt

Long-term debt consisted of the following at June 30, 2018 and December 31, 2017:

	June 30,			December 31,
	2018			2017
	(In millions)
Ryerson Credit Facility	$	384.8		$	384.2
11.00% Senior Secured Notes due 2022		650.0			650.0
Foreign debt		22.5			21.3
Other debt		8.0			3.9
Unamortized debt issuance costs and discounts		(12.4	)		(13.7	)
Total debt		1,052.9			1,045.7
Less: Short-term foreign debt		22.5			21.3
Less: Other short-term debt		7.4			—
Total long-term debt	$	1,023.0		$	1,024.4

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Employee Benefits (Tables)

6 Months Ended

Jun. 30, 2018

Compensation And Retirement Disclosure [Abstract]

Components of Net Periodic Benefit (Credit) Cost

The following table summarizes the components of net periodic benefit (credit) cost for the three and six month periods ended June 30, 2018 and 2017 for the Ryerson pension plans and postretirement benefits other than pension:

	Three Months Ended June 30,
	Pension Benefits						Other Benefits
	2018			2017			2018			2017
	(In millions)
Components of net periodic benefit (credit) cost
Service cost	$	—		$	1		$	—		$	—
Interest cost		6			6			—			—
Expected return on assets		(10	)		(11	)		—			—
Recognized actuarial (gain) loss		4			4			(2	)		(2	)
Net periodic benefit credit	$	—		$	—		$	(2	)	$	(2	)

	Six Months Ended June 30,
	Pension Benefits						Other Benefits
	2018			2017			2018			2017
	(In millions)
Components of net periodic benefit (credit) cost
Service cost	$	—		$	1		$	—		$	—
Interest cost		12			13			1			1
Expected return on assets		(20	)		(21	)		—			—
Recognized actuarial (gain) loss		8			7			(4	)		(4	)
Amortization of prior service credit		—			—			(1	)		(1	)
Net periodic benefit credit	$	—		$	—		$	(4	)	$	(4	)

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Derivatives and Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2018

Investments All Other Investments [Abstract]

Location and Fair Value Amount of Derivative Instruments

The following table summarizes the location and fair value amount of our derivative instruments reported in our Condensed Consolidated Balance Sheets as of June 30, 2018 and December 31, 2017:

	Asset Derivatives					Liability Derivatives
	Balance Sheet Location	June 30, 2018		December 31, 2017		Balance Sheet Location	June 30, 2018		December 31, 2017
	(In millions)
Derivatives not designated as hedging instruments under ASC 815
Metal commodity contracts	Prepaid expenses and other current assets	$	2.6	$	2.8	Other accrued liabilities	$	2.3	$	3.9
Foreign exchange contracts	Prepaid expenses and other current assets		0.2		0.1	Other accrued liabilities		—		—
Derivatives designated as hedging instruments under ASC 815
Interest rate swaps	Deferred charges and other assets		2.2		1.0	Other noncurrent liabilities		—		—
Total derivatives		$	5.0	$	3.9		$	2.3	$	3.9

Location and Amount of Gains and Losses on Derivatives Not Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income

The following table summarizes the location and amount of gains and losses on derivatives not designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2018 and 2017:

		Amount of Gain/(Loss) Recognized in Income on Derivatives
Derivatives not designated as hedging instruments	Location of Gain/(Loss) Recognized in Income	Three Months Ended June 30,						Six Months Ended June 30,
under ASC 815	on Derivatives	2018			2017			2018		2017
		(In millions)
Metal commodity contracts	Cost of materials sold	$	1.7		$	0.5		$	1.3	$	1.8
Foreign exchange contracts	Other income and (expense), net		(0.1	)		(0.1	)		0.1		(0.1	)
Total		$	1.6		$	0.4		$	1.4	$	1.7

Location and Amount of Gains and Losses on Derivatives Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income

The following table summarizes the location and amount of gains and losses on derivatives designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2018 and 2017:

		Amount of Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income into Income
Derivatives designated as hedging instruments	Location of Gain/(Loss) Recognized in Income	Three Months Ended June 30,					Six Months Ended June 30,
under ASC 815	on Derivatives	2018		2017			2018		2017
		(In millions)
Interest rate swaps	Interest and other expense on debt	$	0.1	$	(0.3	)	$	0.1	$	(0.4	)

Assets and Liabilities Measured and Recorded at Fair Value

The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of June 30, 2018:

	At June 30, 2018
	Level 1		Level 2		Level 3
	(In millions)
Assets
Prepaid expenses and other current assets:
Equity securities	$	0.1	$	—	$	—
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.6	$	—
Foreign exchange contracts		—		0.2		—
Derivatives designated as hedging instruments under ASC 815:
Interest rate swaps		—		2.2		—
Total derivatives	$	—	$	5.0	$	—
Liabilities
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.3	$	—

The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of December 31, 2017:

	At December 31, 2017
	Level 1		Level 2		Level 3
	(In millions)
Assets
Prepaid expenses and other current assets:
Equity securities	$	0.1	$	—	$	—
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	2.8	$	—
Foreign exchange contracts		—		0.1		—
Derivatives designated as hedging instruments under ASC 815:
Interest rate swaps		—		1.0		—
Total derivatives	$	—	$	3.9	$	—
Liabilities
Derivatives:
Derivatives not designated as hedging instruments under ASC 815:
Metal commodity contracts	$	—	$	3.9	$	—

Carrying and Estimated Fair Values of Financial Instruments

The carrying and estimated fair values of our financial instruments at June 30, 2018 and December 31, 2017 were as follows:

	At June 30, 2018				At December 31, 2017
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(In millions)
Cash and cash equivalents	$	27.6	$	27.6	$	77.4	$	77.4
Restricted cash		1.1		1.1		1.1		1.1
Receivables less provision for allowances, claims, and doubtful accounts		505.6		505.6		376.3		376.3
Accounts payable		430.1		430.1		275.0		275.0
Long-term debt, including current portion		1,052.9		1,122.1		1,045.7		1,125.9

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Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest (Tables)

6 Months Ended

Jun. 30, 2018

Equity [Abstract]

Change in Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest

The following table details changes in these accounts:

	Ryerson Holding Corporation Stockholders' Equity (Deficit)
															Accumulated Other Comprehensive Income (Loss)
	Common Stock				Treasury Stock					Capital in Excess of Par Value		Accumulated Deficit			Foreign Currency Translation			Benefit Plan Liabilities			Unrealized Gain (Loss) on Equity Securities			Cash Flow Hedge- Interest Rate Swap		Non-controlling Interest			Total Equity
	Shares		Dollars		Shares		Dollars			Dollars		Dollars			Dollars			Dollars			Dollars			Dollars		Dollars			Dollars
	(In millions, except shares in thousands)
Balance at January 1, 2018		37,421	$	0.4		213	$	(6.6	)	$	377.6	$	(95.1	)	$	(41.6	)	$	(246.3	)	$	1.0		$	0.6	$	2.6		$	(7.4	)
Net income		—		—		—		—			—		27.9			—			—			—			—		0.1			28.0
Foreign currency translation		—		—		—		—			—		—			(3.8	)		—			—			—		0.1			(3.7	)
Foreign currency loss on intra-entity transactions		—		—		—		—			—		—			(2.3	)		—			—			—		—			(2.3	)
Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.7		—		—		—		—			—		—			—			1.9			—			—		—			1.9
Adoption of accounting principal ASU 2016-01		—		—		—		—			—		1.0			—			—			(1.0	)		—		—			—
Adoption of accounting principal ASC 606, net of tax of $0.7		—		—		—		—			—		2.3			—			—			—			—		—			2.3
Stock-based compensation expense		87		—		—		—			1.7		—			—			—			—			—		—			1.7
Purchase of subsidiary shares from noncontrolling interest		—		—		—		—			0.1		—			—			—			—			—		(0.3	)		(0.2	)
Cash flow hedge - interest rate swap, net of tax of $0.3		—		—		—		—			—		—			—			—			—			0.9		—			0.9
Balance at June 30, 2018		37,508	$	0.4		213	$	(6.6	)	$	379.4	$	(63.9	)	$	(47.7	)	$	(244.4	)	$	—		$	1.5	$	2.5		$	21.2

Changes in Accumulated Other Comprehensive Income/(Loss) Net of Tax by Component

The following table details changes in accumulated other comprehensive income (loss), net of tax, for the six months ended June 30, 2018:

	Changes in Accumulated Other Comprehensive Income (Loss) by Component, net of tax
	Foreign Currency Translation			Benefit Plan Liabilities			Cash Flow Hedge - Interest Rate Swap
	(In millions)
Balance at January 1, 2018	$	(41.6	)	$	(246.3	)	$	0.6
Other comprehensive income (loss) before reclassifications		(6.1	)		—			1.0
Amounts reclassified from accumulated other comprehensive income into net income		—			1.9			(0.1	)
Net current-period other comprehensive income (loss)		(6.1	)		1.9			0.9
Balance at June 30, 2018	$	(47.7	)	$	(244.4	)	$	1.5

Reclassifications Out of Accumulated Other Comprehensive Income (Loss)

The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2018:

	Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
	Amount reclassified from Accumulated
	Other Comprehensive Income (Loss)
	Three Months Ended			Six Months Ended			Affected line item in the Condensed
Details about Accumulated Other	June 30, 2018						Consolidated Statements of
Comprehensive Income (Loss) Components	(In millions)						Comprehensive Income
Cash flow hedge - interest rate swap
Realized swap interest income	$	(0.1	)	$	(0.1	)	Interest and other expense on debt
Tax provision		—			—
Net of tax	$	(0.1	)	$	(0.1	)
Amortization of defined benefit    pension and other post-    retirement benefit plan items
Actuarial loss	$	2.1		$	4.1		Warehousing, delivery, selling, general, and administrative
Prior service credits		(0.8	)		(1.5	)	Warehousing, delivery, selling, general, and administrative
Total before tax		1.3			2.6
Tax benefit		(0.4	)		(0.7	)
Net of tax	$	0.9		$	1.9

The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2017:

	Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
	Amount reclassified from Accumulated
	Other Comprehensive Income (Loss)
	Three Months Ended			Six Months Ended			Affected line item in the Condensed
Details about Accumulated Other	June 30, 2017						Consolidated Statements of
Comprehensive Income (Loss) Components	(In millions)						Comprehensive Income
Other-than-temporary impairment
Other-than-temporary impairment charge	$	0.2		$	0.2		Other income and (expense), net
Tax benefit		(0.1	)		(0.1	)
Net of tax	$	0.1		$	0.1
Cash flow hedge - interest rate swap
Realized swap interest loss	$	0.3		$	0.4		Interest and other expense on debt
Tax benefit		(0.1	)		(0.1	)
Net of tax	$	0.2		$	0.3
Amortization of defined benefit    pension and other post-    retirement benefit plan items
Actuarial gain	$	(3.7	)	$	(2.1	)	Warehousing, delivery, selling, general, and administrative
Prior service credits		(0.7	)		(1.5	)	Warehousing, delivery, selling, general, and administrative
Total before tax		(4.4	)		(3.6	)
Tax provision		1.7			1.4
Net of tax	$	(2.7	)	$	(2.2	)

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Revenue Recognition (Tables)

6 Months Ended

Jun. 30, 2018

Revenue Recognition [Abstract]

Percentage of Sales by Major Product Lines

The Company derives substantially all of its sales from the distribution of metals. The following table shows the Company’s percentage of sales by major product line:      

	Three Months Ended						Six Months Ended
	June 30,						June 30,
Product Line	2018			2017			2018			2017
Carbon Steel Flat		28	%		28	%		27	%		28	%
Carbon Steel Plate		11			10			11			10
Carbon Steel Long		12			12			12			12
Stainless Steel Flat		17			18			17			18
Stainless Steel Plate		4			4			4			4
Stainless Steel Long		4			4			4			4
Aluminum Flat		16			15			16			15
Aluminum Plate		3			3			3			3
Aluminum Long		4			4			4			4
Other		1			2			2			2
Total		100	%		100	%		100	%		100	%

Summary of Consolidated Financial Information of our Operations by Geographic Location

The following table summarizes consolidated financial information of our operations by geographic location based on where sales originated:

	Three Months Ended June 30,				Six Months Ended June 30,
Net Sales	2018		2017		2018		2017
					(In millions)
United States	$	938.7	$	773.6	$	1,774.0	$	1,491.6
Foreign countries		118.4		101.8		224.4		198.3
Total	$	1,057.1	$	875.4	$	1,998.4	$	1,689.9

Summary of Revenues by Type of Item Sold

The following table summarizes revenues by the type of item sold:

Timing of Revenue Recognition	Three Months Ended June 30, 2018			Six Months Ended June 30, 2018
Revenue on products with an alternative use		88	%		89	%
Revenue on products with no alternative use		12			11
Total		100	%		100	%

Summary of Significant Changes in Contract Assets and Contract Liabilities Balances

Significant changes in the contract assets and the contract liabilities balances during the period are as follows:

	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
	Contract Assets			Contract Liabilities			Contract Assets			Contract Liabilities
	(In millions)						(In millions)
Beginning Balance	$	14.6		$	4.3		$	14.2		$	3.9
Transferred to receivables from contract assets recognized at January 1, 2018		(1.7	)		—			(11.8	)		—
Satisfied contract liability from beginning of the period		—			(0.1	)		—			(0.3	)
Net contract assets and liabilities added for products with no alternative during the period		0.5			0.2			9.0			0.2
Contract assets and liabilities acquired		0.3			—			0.3			—
Changes to reserves		3.1			(0.3	)		3.3			(1.5	)
Reclass from contract liability to contract asset		—			—			1.8			1.8
Ending Balance	$	16.8		$	4.1		$	16.8		$	4.1

Summary of Impacts of Adopting ASC 606 on Financial Statements

The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Statement of Operations:

	Three Months Ended June 30, 2018									Six Months Ended June 30, 2018
	As Reported			ASC 606 Adjustments			Balances without adoption of ASC 606			As Reported			ASC 606 Adjustments			Balances without adoption of ASC 606
										(In millions)
Net sales	$	1,057.1		$	1.1		$	1,058.2		$	1,998.4		$	2.7		$	2,001.1
Cost of materials sold		871.8			1.9			873.7			1,648.2			3.7			1,651.9
Gross profit		185.3			(0.8	)		184.5			350.2			(1.0	)		349.2
Warehousing, delivery, selling, general, and administrative		138.9			(0.1	)		138.8			269.4			0.1			269.5
Operating profit		46.4			(0.7	)		45.7			80.8			(1.1	)		79.7
Other income and (expense), net		1.1			—			1.1			4.7			—			4.7
Interest and other expense on debt		(23.9	)		—			(23.9	)		(47.2	)		—			(47.2	)
Income before income taxes		23.6			(0.7	)		22.9			38.3			(1.1	)		37.2
Provision for income taxes		6.2			(0.2	)		6.0			10.3			(0.3	)		10.0
Net income		17.4			(0.5	)		16.9			28.0			(0.8	)		27.2
Less: Net income attributable to noncontrolling interest		(0.1	)		—			(0.1	)		0.1			—			0.1
Net income attributable to Ryerson Holding Corporation	$	17.5		$	(0.5	)	$	17.0		$	27.9		$	(0.8	)	$	27.1
Basic earnings per share	$	0.47		$	(0.02	)	$	0.45		$	0.75		$	(0.02	)	$	0.73
Diluted earnings per share	$	0.46		$	(0.01	)	$	0.45		$	0.74		$	(0.02	)	$	0.72

The following table summarizes the impacts of adopting ASC 606 on the Company’s current year Condensed Consolidated Statement of Cash Flows:

	As reported June 30, 2018			ASC 606 Adjustments			Balances without adoption of ASC 606
	(In millions)
Operating activities:
Net income	$	28.0		$	(0.8	)	$	27.2
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Deferred income taxes	$	8.2		$	(0.3	)		7.9
Other non cash adjustments		24.7			—			24.7
Change in operating assets and liabilities:
Receivables		(127.0	)		—			(127.0	)
Inventories		(94.3	)		3.7			(90.6	)
Other assets		(0.9	)		(2.7	)		(3.6	)
Accounts payable		145.5			—			145.5
Accrued liabilities		13.6			0.1			13.7
Accrued taxes payable/receivable		2.6			—			2.6
Deferred employee benefit costs		(18.3	)		—			(18.3	)
Net adjustments		(45.9	)		0.8			(45.1	)
Net cash used in operating activities		(17.9	)		—			(17.9	)

	As reported June 30, 2018			ASC 606 Adjustments			Balances without adoption of ASC 606
	(In millions)
Cash, cash equivalents, and restricted cash	$	28.7		$	—		$	28.7
Accounts receivable, net		505.6			(0.4	)		505.2
Inventories		701.1			7.3			708.4
Prepaid expenses and other current assets		48.3			(16.8	)		31.5
Total current assets		1,283.7			(9.9	)		1,273.8
Property, plant and equipment, net		441.3			—			441.3
Deferred income taxes		8.4			1.0			9.4
Goodwill		120.3			0.3			120.6
Other noncurrent assets		52.2			—			52.2
Total assets	$	1,905.9		$	(8.6	)	$	1,897.3
Accounts payable	$	430.1		$	—		$	430.1
Salaries, wages and commissions		48.3			—			48.3
Other accrued liabilities		74.6			(5.5	)		69.1
Short-term debt		29.9			—			29.9
Current portion of deferred employee benefits		7.7			—			7.7
Total current liabilities		590.6			(5.5	)		585.1
Long-term debt		1,023.0			—			1,023.0
Deferred employee benefits		221.8			—			221.8
Other noncurrent liabilities		49.3			—			49.3
Total liabilities		1,884.7			(5.5	)		1,879.2
Accumulated deficit		(63.9	)		(3.1	)		(67.0	)
Additional paid-in capital, accumulated other comprehensive loss, and noncontrolling interest		85.1			—			85.1
Total equity (deficit)		21.2			(3.1	)		18.1
Total liabilities and equity	$	1,905.9		$	(8.6	)	$	1,897.3

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Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2018

Earnings Per Share [Abstract]

Calculation of Basic and Diluted Earnings Per Share

The following table sets forth the calculation of basic and diluted earnings per share:

	Three Months Ended June 30,				Six Months Ended June 30,
Basic and diluted earnings per share		2018		2017		2018		2017
	(In millions, except share and per share data)
Numerator:
Net income attributable to Ryerson Holding Corporation	$	17.5	$	0.6	$	27.9	$	15.4
Denominator:
Weighted average shares outstanding		37,294,982		37,172,472		37,252,020		37,152,655
Dilutive effect of stock-based awards		330,769		120,698		333,151		136,438
Weighted average shares outstanding adjusted for dilutive securities		37,625,751		37,293,170		37,585,171		37,289,093
Earnings per share
Basic	$	0.47	$	0.02	$	0.75	$	0.41
Diluted	$	0.46	$	0.02	$	0.74	$	0.41

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Financial Statements - Additional Information (Detail)	Jun. 30, 2018 shares
Accounting Policies [Abstract]
Parent company shares owned by affiliates	21,037,500
Parent company percentage owned by affiliates	56.00%

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Recent Accounting Pronouncements - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2017	Jan. 01, 2018	Dec. 31, 2017
ASU 2016-01 [Member]
Recent Accounting Pronouncements [Line Items]
Reclassification of accumulated other comprehensive income to retained earnings			$ 1.0	$ 1.0
ASU 2017-07 [Member]
Recent Accounting Pronouncements [Line Items]
Effect of adoption of guidance	$ 1.9	$ 4.0

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Cash, Cash Equivalents, and Restricted Cash- Reconciliation of Cash, Cash Equivalents, and Restricted Cash (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017	Dec. 31, 2016
Cash And Cash Equivalents [Abstract]
Cash and cash equivalents	$ 27.6	$ 77.4
Restricted cash	1.1	1.1
Total cash, cash equivalents, and restricted cash	$ 28.7	$ 78.5	$ 78.2	$ 81.7

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Inventories - Schedule of Inventories (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Inventory Disclosure [Abstract]
In process and finished products	$ 701.1	$ 616.5

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Inventories - Additional Information (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Inventory Disclosure [Abstract]
Amount by which current cost used to value inventories is lower than LIFO valued inventories	$ 15.0	$ 71.0
Inventories accounted under the LIFO method	89.00%	89.00%
Consignment inventory	$ 8.2	$ 8.9

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Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill	$ 120,300,000		$ 115,300,000
Impairment charge	0
Goodwill recognized from business acquisitions	5,000,000	$ 12,100,000
Intangibles assets recognized from business acquisitions	$ 2,100,000	$ 12,200,000

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Acquisitions - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2018
Fanello Industries [Member]
Business Acquisition [Line Items]
Effective date of acquisition	Apr. 02, 2018
Description of business acquisition	On April 2, 2018, Ryerson Holding acquired Fanello Industries, LLC (“Fanello”), a privately owned metal service company located in Lavonia, Georgia.
The Laserflex Corporation [Member]
Business Acquisition [Line Items]
Effective date of acquisition	Jan. 19, 2017
Description of business acquisition	On January 19, 2017, Ryerson Holding acquired The Laserflex Corporation (“Laserflex”), a privately-owned metal fabricator specializing in laser fabrication metal processing and welding with locations in Columbus, Ohio and Wellford, South Carolina.
Guy Metals, Inc [Member]
Business Acquisition [Line Items]
Effective date of acquisition	Feb. 15, 2017
Description of business acquisition	On February 15, 2017, Ryerson Holding acquired Guy Metals, Inc. (“Guy Metals”), a privately-owned metal service center company located in Hammond, Wisconsin.

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Long-Term Debt - Long-Term Debt (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Debt Instrument [Line Items]
Foreign debt	$ 22.5	$ 21.3
Other debt	8.0	3.9
Unamortized debt issuance costs and discounts	(12.4)	(13.7)
Total debt	1,052.9	1,045.7
Less: Other short-term debt	7.4
Total long-term debt	1,023.0	1,024.4
2022 Notes [Member]
Debt Instrument [Line Items]
11.00% Senior Secured Notes due 2022	650.0	650.0
Ryerson Credit Facility [Member]
Debt Instrument [Line Items]
Ryerson Credit Facility	$ 384.8	$ 384.2

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Long-Term Debt - Ryerson Credit Facility - Additional Information (Detail) - USD ($)		6 Months Ended
	Nov. 16, 2016	Jun. 30, 2018	Jun. 28, 2018	Dec. 31, 2017	Mar. 31, 2017
Ryerson Credit Facility [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum borrowing capacity			$ 1,000,000,000
Outstanding borrowings		$ 384,800,000		$ 384,200,000
Letters of credit		12,000,000		12,000,000
Available credit facility		$ 363,000,000		$ 264,000,000
Line of credit facility, description of collateral		Total credit availability is limited by the amount of eligible accounts receivable, inventory, and qualified cash pledged as collateral under the agreement insofar as Ryerson is subject to a borrowing base comprised of the aggregate of these three amounts, less applicable reserves. Eligible accounts receivable, at any date of determination, is comprised of the aggregate value of all accounts directly created by a borrower (and in the case of Canadian accounts, the Canadian borrower) in the ordinary course of business arising out of the sale of goods or the rendering of services, each of which has been invoiced, with such receivables adjusted to exclude various ineligible accounts, including, among other things, those to which a borrower (or guarantor, as applicable) does not have sole and absolute title and accounts arising out of a sale to an employee, officer, director, or affiliate of a borrower (or guarantor, as applicable). Eligible inventory, at any date of determination, is comprised of the net orderly liquidation value of all inventory owned by a borrower (and in the case of Canadian accounts, the Canadian borrower). Qualified cash consists of cash in an eligible deposit account that is subject to customary restrictions and liens in favor of the lenders.
Default bear interest rate		2.00%
Commitment fees on amounts not borrowed		0.23%
Ryerson Credit Facility [Member] | Interest Rate Swap [Member]
Debt Instrument [Line Items]
Interest rate swap agreement date		Mar. 31, 2017
Hedged debt amount					$ 150,000,000
Derivative fixed interest rate					1.658%
Derivative maturity period		2020-03
Weighted average interest rate		3.20%		2.80%
Ryerson Credit Facility [Member] | Federal Funds Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		0.50%
Ryerson Credit Facility [Member] | Prime Rate and One Month LIBOR Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		1.00%
Ryerson Credit Facility [Member] | 30 Day LIBOR Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		1.00%
Ryerson Credit Facility [Member] | One Month Canadian Bankers Acceptance Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		1.00%
Ryerson Credit Facility [Member] | US Subsidiaries [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum borrowing capacity		$ 940,000,000
Ryerson Credit Facility [Member] | Canadian Subsidiaries [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum borrowing capacity		$ 60,000,000
Ryerson Credit Facility [Member] | Canadian Subsidiaries [Member] | Federal Funds Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		0.50%
Ryerson Credit Facility [Member] | Minimum [Member] | Base Rate and Canadian Prime Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		0.25%
Ryerson Credit Facility [Member] | Minimum [Member] | LIBOR and Banker's Acceptance Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		1.25%
Ryerson Credit Facility [Member] | Maximum [Member] | Base Rate and Canadian Prime Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		0.50%
Ryerson Credit Facility [Member] | Maximum [Member] | LIBOR and Banker's Acceptance Rate [Member]
Debt Instrument [Line Items]
Percentage of spread over amount available to be borrowed		1.50%
Old Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum borrowing capacity	$ 1,000,000,000
Amended Old Credit Facility [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum borrowing capacity	$ 750,000,000
Credit facility maturity date		Nov. 16, 2021
Reduction in interest rate on outstanding borrowing	0.25%
Reduction in commitment fees on amounts not borrowed	0.025%

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Long-Term Debt - 2022 Notes - Additional Information (Detail) - 2022 Notes [Member] - USD ($)	6 Months Ended
	Jun. 30, 2018	May 24, 2016
Debt Instrument [Line Items]
Aggregate amount of senior notes issued		$ 650,000,000
Debt Instrument Percentage		11.00%
Joseph T. Ryerson [Member]
Debt Instrument [Line Items]
Maximum percentage of dividend of future net income	50.00%
Redeemable in twelve months beginning May 15, 2019 [Member]
Debt Instrument [Line Items]
Redemption price as a percentage of principal amount	105.50%
Redeemable in twelve months beginning May 15, 2020 [Member]
Debt Instrument [Line Items]
Redemption price as a percentage of principal amount	102.75%
Redeemable in twelve months beginning May 15, 2021 and thereafter [Member]
Debt Instrument [Line Items]
Redemption price as a percentage of principal amount	100.00%
Redeemable before May 15, 2019 [Member]
Debt Instrument [Line Items]
Redemption price as a percentage of principal amount	100.00%
Optional redemption price as a percentage of principal amount	111.00%
Redeemable before May 15, 2019 [Member] | Maximum [Member]
Debt Instrument [Line Items]
Optional redemption amount prior to redemption date	35.00%

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Long-Term Debt - Foreign Debt - Additional Information (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Debt Instrument [Line Items]
Foreign debt	$ 22.5	$ 21.3
Foreign Debt [Member]
Debt Instrument [Line Items]
Available credit facility	23.0	25.0
Letters of credit issued by our foreign subsidiaries	3.0	3.0
Foreign Debt [Member] | Owed to Banks [Member] | Ryerson China [Member]
Debt Instrument [Line Items]
Foreign debt	$ 22.5	$ 21.3
Weighted average interest rate	4.10%	3.70%

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Employee Benefits - Components of Net Periodic Benefit (Credit) Cost (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Pension Benefits [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service cost		$ 1		$ 1
Interest cost	$ 6	6	$ 12	13
Expected return on assets	(10)	(11)	(20)	(21)
Recognized actuarial (gain) loss	4	4	8	7
Other Benefits [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Interest cost			1	1
Recognized actuarial (gain) loss	(2)	(2)	(4)	(4)
Amortization of prior service credit			(1)	(1)
Net periodic benefit credit	$ (2)	$ (2)	$ (4)	$ (4)

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Employee Benefits - Additional Information (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2018 USD ($)
Compensation And Retirement Disclosure [Abstract]
Contribution to the pension plan fund	$ 12
Anticipated minimum required pension contribution funding for the remainder of fiscal period	$ 15

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Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions		6 Months Ended
	Jan. 06, 2017	Jun. 30, 2018
Commitments And Contingencies Disclosure [Abstract]
Record of decision description		The ROD includes a combination of dredging, capping and enhanced natural recovery that would take approximately thirteen years to construct plus additional time for monitored natural recovery
Estimated present value cost for construction and recovery	$ 1,050

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Derivatives and Fair Value Measurements - Additional Information (Detail)	3 Months Ended	6 Months Ended	12 Months Ended
	Jun. 30, 2018 USD ($)	Jun. 30, 2018 USD ($) T	Dec. 31, 2017 USD ($) T	Jan. 01, 2018 USD ($)	Mar. 31, 2017 USD ($)
Derivatives Fair Value [Line Items]
Equity securities	$ 100,000	$ 100,000	$ 100,000
ASU 2016-01 [Member]
Derivatives Fair Value [Line Items]
'Reclassification of accumulated other comprehensive income to retained earnings			1,000,000	$ 1,000,000
Other Income Expense, Net [Member] | ASU 2016-01 [Member]
Derivatives Fair Value [Line Items]
Gains and losses on derivatives designated as hedging instruments	0	$ 0
Minimum [Member]
Derivatives Fair Value [Line Items]
General contract term for exchange contracts		3 months
Maximum [Member]
Derivatives Fair Value [Line Items]
General contract term for exchange contracts		12 months
Interest Rate Swap [Member]
Derivatives Fair Value [Line Items]
Fair value of interest rate swaps	2,200,000	$ 2,200,000
Derivative gain (loss) to be reclassified into interest expenses during next 12 months	1,100,000	1,100,000
Interest Rate Swap [Member] | Ryerson Credit Facility [Member]
Derivatives Fair Value [Line Items]
Derivative notional amount					$ 150,000,000
Derivative fixed interest rate					1.658%
Foreign Exchange Forward [Member]
Derivatives Fair Value [Line Items]
Derivative notional amount	7,000,000	$ 7,000,000	$ 5,100,000
Nickel Swap Contracts [Member]
Derivatives Fair Value [Line Items]
Commodity notional value | T		371	453
Hot Roll Steel Coil Swap [Member]
Derivatives Fair Value [Line Items]
Commodity notional value | T		11,700	5,252
Aluminum Swap Contracts [Member]
Derivatives Fair Value [Line Items]
Commodity notional value | T		19,598	15,102
Zinc Contracts [Member]
Derivatives Fair Value [Line Items]
Commodity notional value | T		0	3,402
Ryerson Credit Facility Hedged by Interest Rate Swap [Member]
Derivatives Fair Value [Line Items]
Derivative notional amount	$ 150,000,000	$ 150,000,000	$ 150,000,000

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Derivatives and Fair Value Measurements - Location and Fair Value Amount of Derivative Instruments (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Derivatives Fair Value [Line Items]
Asset Derivatives, Fair Value	$ 5.0	$ 3.9
Liability Derivatives, Fair Value	2.3	3.9
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Prepaid Expenses and Other Current Assets [Member]
Derivatives Fair Value [Line Items]
Asset Derivatives, Fair Value	2.6	2.8
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Other Accrued Liabilities [Member]
Derivatives Fair Value [Line Items]
Liability Derivatives, Fair Value	2.3	3.9
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Exchange Contracts [Member] | Prepaid Expenses and Other Current Assets [Member]
Derivatives Fair Value [Line Items]
Asset Derivatives, Fair Value	0.2	0.1
Derivatives designated as hedging instruments under ASC 815 [Member] | Interest Rate Swap [Member] | Deferred charges and other assets [Member]
Derivatives Fair Value [Line Items]
Asset Derivatives, Fair Value	$ 2.2	$ 1.0

XML

Derivatives and Fair Value Measurements - Location and Amount of Gains and Losses on Derivatives Not Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Derivative Instruments Gain Loss [Line Items]
Amount of Gain/(Loss) Recognized in Income on Derivatives			$ 1.5	$ (0.5)
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member]
Derivative Instruments Gain Loss [Line Items]
Amount of Gain/(Loss) Recognized in Income on Derivatives	$ 1.6	$ 0.4	1.4	1.7
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Cost of Materials Sold [Member]
Derivative Instruments Gain Loss [Line Items]
Amount of Gain/(Loss) Recognized in Income on Derivatives	1.7	0.5	1.3	1.8
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Exchange Contracts [Member] | Other Income and (Expense), Net [Member]
Derivative Instruments Gain Loss [Line Items]
Amount of Gain/(Loss) Recognized in Income on Derivatives	$ (0.1)	$ (0.1)	$ 0.1	$ (0.1)

XML

Derivatives and Fair Value Measurements - Location and Amount of Gains and Losses on Derivatives Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Derivatives designated as hedging instruments under ASC 815 [Member] | Interest Rate Swap [Member] | Interest and Other Expense on Debt [Member]
Derivative Instruments Gain Loss [Line Items]
Amount of Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income into Income	$ 0.1	$ (0.3)	$ 0.1	$ (0.4)

XML

Derivatives and Fair Value Measurements - Assets and Liabilities Measured and Recorded at Fair Value (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Equity securities	$ 0.1	$ 0.1
Asset Derivatives, Fair Value	5.0	3.9
Liability Derivatives, Fair Value	2.3	3.9
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Prepaid Expenses and Other Current Assets [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset Derivatives, Fair Value	2.6	2.8
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Exchange Contracts [Member] | Prepaid Expenses and Other Current Assets [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset Derivatives, Fair Value	0.2	0.1
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Prepaid Expenses and Other Current Assets [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Equity securities	0.1	0.1
Fair Value, Measurements, Recurring [Member] | Level 2 [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset Derivatives, Fair Value	5.0
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset Derivatives, Fair Value	2.6	2.8
Liability Derivatives, Fair Value	2.3	3.9
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Exchange Contracts [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset Derivatives, Fair Value	0.2	0.1
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Derivatives designated as hedging instruments under ASC 815 [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset Derivatives, Fair Value		3.9
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Derivatives designated as hedging instruments under ASC 815 [Member] | Interest Rate Swap [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset Derivatives, Fair Value	$ 2.2	$ 1.0

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Derivatives and Fair Value Measurements - Carrying and Estimated Fair Values Financial Instruments (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Carrying Amount [Member]
Derivatives Fair Value [Line Items]
Cash and cash equivalents	$ 27.6	$ 77.4
Restricted cash	1.1	1.1
Receivables less provision for allowances, claims, and doubtful accounts	505.6	376.3
Accounts payable	430.1	275.0
Long-term debt, including current portion	1,052.9	1,045.7
Fair Value [Member]
Derivatives Fair Value [Line Items]
Cash and cash equivalents	27.6	77.4
Restricted cash	1.1	1.1
Receivables less provision for allowances, claims, and doubtful accounts	505.6	376.3
Accounts payable	430.1	275.0
Long-term debt, including current portion	$ 1,122.1	$ 1,125.9

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Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Change in Stockholders' Equity (Deficit) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Jan. 01, 2018
Beginning Balance			$ (7.4)
Beginning Balance, shares			37,421,081
Net income	$ 17.4	$ 0.8	$ 28.0	$ 15.8
Foreign currency translation			(3.7)
Foreign currency loss on intra-entity transactions			(2.3)
Changes in defined benefit pension and other post-retirement benefit plans, net of tax			1.9
Stock-based compensation expense			1.7
Purchase of subsidiary shares from noncontrolling interest			(0.2)
Cash flow hedge - interest rate swap, net of tax of $0.3			0.9
Ending Balance	$ 21.2		$ 21.2
Ending Balance, shares	37,508,442		37,508,442
ASU 606 [Member]
Adoption of accounting principal	$ 2.3		$ 2.3
Common Stock [Member]
Beginning Balance			$ 0.4
Beginning Balance, shares			37,421,000
Stock-based compensation expense, shares			87,000
Ending Balance	$ 0.4		$ 0.4
Ending Balance, shares	37,508,000		37,508,000
Treasury Stock [Member]
Beginning Balance			$ (6.6)
Beginning Balance, shares			213,000
Ending Balance	$ (6.6)		$ (6.6)
Ending Balance, shares	213,000		213,000
Capital in Excess of Par Value [Member]
Beginning Balance			$ 377.6
Stock-based compensation expense			1.7
Purchase of subsidiary shares from noncontrolling interest			0.1
Ending Balance	$ 379.4		379.4
Accumulated Deficit [Member]
Beginning Balance			(95.1)
Net income			27.9
Ending Balance	(63.9)		(63.9)
Accumulated Deficit [Member] | ASU 2016-01 [Member]
Adoption of accounting principal	1.0		1.0
Accumulated Deficit [Member] | ASU 606 [Member]
Adoption of accounting principal	2.3		2.3		$ 2.3
Foreign Currency Translation [Member]
Beginning Balance			(41.6)
Foreign currency translation			(3.8)
Foreign currency loss on intra-entity transactions			(2.3)
Ending Balance	(47.7)		(47.7)
Benefit Plan Liabilities [Member]
Beginning Balance			(246.3)
Changes in defined benefit pension and other post-retirement benefit plans, net of tax			1.9
Ending Balance	(244.4)		(244.4)
Unrealized Gain (Loss) on Equity Securities [Member]
Beginning Balance			1.0
Unrealized Gain (Loss) on Equity Securities [Member] | ASU 2016-01 [Member]
Adoption of accounting principal	(1.0)		(1.0)
Cash Flow Hedge - Interest Rate Swap [Member]
Beginning Balance			0.6
Cash flow hedge - interest rate swap, net of tax of $0.3			0.9
Ending Balance	1.5		1.5
Non-controlling Interest [Member]
Beginning Balance			2.6
Net income			0.1
Foreign currency translation			0.1
Purchase of subsidiary shares from noncontrolling interest			(0.3)
Ending Balance	$ 2.5		$ 2.5

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Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Change in Stockholders' Equity (Deficit) (Parenthetical) (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2018 USD ($)
Equity [Abstract]
Changes in defined benefit pension and other post-retirement benefit plans, tax	$ 0.7
Changes due to adoption of ASC 606, tax	0.7
Changes in interest rate swap, tax	$ 0.3

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Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Changes in Accumulated Other Comprehensive Income/(Loss) Net of Tax by Component (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2018 USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance	$ (7.4)
Ending Balance	21.2
Foreign Currency Translation [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance	(41.6)
Other comprehensive income (loss) before reclassifications	(6.1)
Net current-period other comprehensive income (loss)	(6.1)
Ending Balance	(47.7)
Benefit Plan Liabilities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance	(246.3)
Amounts reclassified from accumulated other comprehensive income into net income	1.9
Net current-period other comprehensive income (loss)	1.9
Ending Balance	(244.4)
Cash Flow Hedge - Interest Rate Swap [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance	0.6
Other comprehensive income (loss) before reclassifications	1.0
Amounts reclassified from accumulated other comprehensive income into net income	(0.1)
Net current-period other comprehensive income (loss)	0.9
Ending Balance	$ 1.5

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Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Other income and (expense), net	$ 1.1	$ 1.0	$ 4.7	$ 3.4
Tax benefit	(6.2)	0.8	(10.3)	(6.0)
Net income	17.4	0.8	28.0	15.8
Amortization of Defined Benefit Pension and Other Post-retirement Benefit Plan Items, Actuarial (Gain) Loss [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Reclassifications out of AOCI	2.1	(3.7)	4.1	(2.1)
Other-than-temporary Impairment [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Other income and (expense), net		0.2		0.2
Tax benefit		(0.1)		(0.1)
Net income		0.1		0.1
Amortization of Defined Benefit Pension and Other Post-retirement Benefit Plan Items, Prior Service Credits [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Reclassifications out of AOCI	(0.8)	(0.7)	(1.5)	(1.5)
Amortization of Defined Benefit Pension and Other Post-retirement Benefit Plan Items [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Reclassifications out of AOCI	1.3	(4.4)	2.6	(3.6)
Tax provision (benefit)	(0.4)	1.7	(0.7)	1.4
Net of tax	0.9	(2.7)	1.9	(2.2)
Cash Flow Hedge - Interest Rate Swap [Member]
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Realized swap interest income	(0.1)	0.3	(0.1)	0.4
Tax provision (benefit)		(0.1)		(0.1)
Net of tax	$ (0.1)	$ 0.2	(0.1)	$ 0.3
Net of tax			$ (0.1)

XML

Revenue Recognition - Additional Information (Detail) - USD ($) $ in Millions		6 Months Ended
	Jan. 01, 2018	Jun. 30, 2018
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Net contract liability related to shipping and handling costs		$ 0.1
Payment terms on invoiced amounts		30 days
Accounts receivables from contracts with customers		$ 507.6
Adoption of ASC 606 [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Revenue recognition under transition method adjustment	$ 12.3
Revenue recognition under transition method adjustment		2.3
Accounts receivables from contracts with customers	381.2
Adoption of ASC 606 [Member] | Accumulated Deficit [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Revenue recognition under transition method adjustment	$ 2.3	$ 2.3
Minimum [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Percentage of revenue from product sales		75.00%
Maximum [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Performance obligations on contracts have expected duration		1 year

XML

Revenue Recognition - Percentage of Sales by Major Product Lines (Detail)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Product Line
Percentage of sales by major product lines	100.00%	100.00%	100.00%	100.00%
Carbon Steel Flat [Member]
Product Line
Percentage of sales by major product lines	28.00%	28.00%	27.00%	28.00%
Carbon Steel Plate [Member]
Product Line
Percentage of sales by major product lines	11.00%	10.00%	11.00%	10.00%
Carbon Steel Long [Member]
Product Line
Percentage of sales by major product lines	12.00%	12.00%	12.00%	12.00%
Stainless Steel Flat [Member]
Product Line
Percentage of sales by major product lines	17.00%	18.00%	17.00%	18.00%
Stainless Steel Plate [Member]
Product Line
Percentage of sales by major product lines	4.00%	4.00%	4.00%	4.00%
Stainless Steel Long [Member]
Product Line
Percentage of sales by major product lines	4.00%	4.00%	4.00%	4.00%
Aluminum Flat [Member]
Product Line
Percentage of sales by major product lines	16.00%	15.00%	16.00%	15.00%
Aluminum Plate [Member]
Product Line
Percentage of sales by major product lines	3.00%	3.00%	3.00%	3.00%
Aluminum Long [Member]
Product Line
Percentage of sales by major product lines	4.00%	4.00%	4.00%	4.00%
Other [Member]
Product Line
Percentage of sales by major product lines	1.00%	2.00%	2.00%	2.00%

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Revenue Recognition - Summary of Consolidated Financial Information of our Operations by Geographic Location (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Disaggregation Of Revenue [Line Items]
Net sales	$ 1,057.1	$ 875.4	$ 1,998.4	$ 1,689.9
United States [Member]
Disaggregation Of Revenue [Line Items]
Net sales	938.7	773.6	1,774.0	1,491.6
Foreign Countries [Member]
Disaggregation Of Revenue [Line Items]
Net sales	$ 118.4	$ 101.8	$ 224.4	$ 198.3

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Revenue Recognition - Summary of Revenues by Type of Item Sold (Detail)	3 Months Ended	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2018
Disaggregation Of Revenue [Line Items]
Total	100.00%	100.00%
Revenue Recognized Point In Time
Disaggregation Of Revenue [Line Items]
Revenue on products with an alternative use	88.00%	89.00%
Revenue Recognized Over Time
Disaggregation Of Revenue [Line Items]
Revenue on products with no alternative use	12.00%	11.00%

XML

Revenue Recognition - Summary of Significant Changes in Contract Assets and Contract Liabilities Balances (Detail) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2018
Changes in the Contract Assets
Beginning Balance	$ 14.6	$ 14.2
Transferred to receivables from contract assets recognized at January 1, 2018	(1.7)	(11.8)
Net contract assets added for products with no alternative during the period	0.5	9.0
Contract assets acquired	0.3	0.3
Changes to reserves	3.1	3.3
Reclass from contract liability to contract asset		1.8
Ending Balance	16.8	16.8
Changes in the Contract Liabilities
Beginning Balance	4.3	3.9
Satisfied contract liability from beginning of the period	(0.1)	(0.3)
Net contract liabilities added for products with no alternative during the period	0.2	0.2
Changes to reserves	(0.3)	(1.5)
Reclass from contract liability to contract asset		1.8
Ending Balance	$ 4.1	$ 4.1

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Revenue Recognition - Summary of Impacts of Adopting ASC 606 Condensed Consolidated Statements of Operations (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Net sales	$ 1,057.1	$ 875.4	$ 1,998.4	$ 1,689.9
Cost of materials sold	871.8	735.0	1,648.2	1,388.9
Gross profit	185.3	140.4	350.2	301.0
Warehousing, delivery, selling, general, and administrative	138.9	118.6	269.4	238.0
Operating profit	46.4	21.8	80.8	63.0
Other income and (expense), net	1.1	1.0	4.7	3.4
Interest and other expense on debt	(23.9)	(22.8)	(47.2)	(44.6)
Income before income taxes	23.6		38.3	21.8
Provision for income taxes	6.2	(0.8)	10.3	6.0
Net income	17.4	0.8	28.0	15.8
Less: Net income attributable to noncontrolling interest	(0.1)	0.2	0.1	0.4
Net income attributable to Ryerson Holding Corporation	$ 17.5	$ 0.6	$ 27.9	$ 15.4
Basic earnings per share	$ 0.47	$ 0.02	$ 0.75	$ 0.41
Diluted earnings per share	$ 0.46	$ 0.02	$ 0.74	$ 0.41
Adjustments [Member] | ASU 606 [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Net sales	$ 1.1		$ 2.7
Cost of materials sold	1.9		3.7
Gross profit	(0.8)		(1.0)
Warehousing, delivery, selling, general, and administrative	(0.1)		0.1
Operating profit	(0.7)		(1.1)
Income before income taxes	(0.7)		(1.1)
Provision for income taxes	(0.2)		(0.3)
Net income	(0.5)		(0.8)
Net income attributable to Ryerson Holding Corporation	$ (0.5)		$ (0.8)
Basic earnings per share	$ (0.02)		$ (0.02)
Diluted earnings per share	$ (0.01)		$ (0.02)
Balance without Adoption of ASC 606 [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Net sales	$ 1,058.2		$ 2,001.1
Cost of materials sold	873.7		1,651.9
Gross profit	184.5		349.2
Warehousing, delivery, selling, general, and administrative	138.8		269.5
Operating profit	45.7		79.7
Other income and (expense), net	1.1		4.7
Interest and other expense on debt	(23.9)		(47.2)
Income before income taxes	22.9		37.2
Provision for income taxes	6.0		10.0
Net income	16.9		27.2
Less: Net income attributable to noncontrolling interest	(0.1)		0.1
Net income attributable to Ryerson Holding Corporation	$ 17.0		$ 27.1
Basic earnings per share	$ 0.45		$ 0.73
Diluted earnings per share	$ 0.45		$ 0.72

XML

Revenue Recognition - Summary of Impacts of Adopting ASC 606 Condensed Consolidated Statements of Cash Flow (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Operating activities:
Net income	$ 17.4	$ 0.8	$ 28.0	$ 15.8
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Deferred income taxes			8.2	6.0
Other non cash adjustments			24.7
Change in operating assets and liabilities:
Receivables			(127.0)	(101.4)
Inventories			(94.3)	(75.8)
Other assets			(0.9)	(1.8)
Accounts payable			145.5	68.7
Accrued liabilities			13.6	0.4
Accrued taxes payable/receivable			2.6	(1.1)
Deferred employee benefit costs			(18.3)	(16.0)
Net adjustments			(45.9)	(97.3)
Net cash used in operating activities			(17.9)	$ (81.5)
Adjustments [Member] | ASU 606 [Member]
Operating activities:
Net income	(0.5)		(0.8)
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Deferred income taxes			(0.3)
Change in operating assets and liabilities:
Inventories			3.7
Other assets			(2.7)
Accrued liabilities			0.1
Net adjustments			0.8
Balance without Adoption of ASC 606 [Member]
Operating activities:
Net income	$ 16.9		27.2
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Deferred income taxes			7.9
Other non cash adjustments			24.7
Change in operating assets and liabilities:
Receivables			(127.0)
Inventories			(90.6)
Other assets			(3.6)
Accounts payable			145.5
Accrued liabilities			13.7
Accrued taxes payable/receivable			2.6
Deferred employee benefit costs			(18.3)
Net adjustments			(45.1)
Net cash used in operating activities			$ (17.9)

XML

Revenue Recognition - Summary of Impacts of Adopting ASC 606 Condensed Consolidated Statements of Balance Sheet (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017	Dec. 31, 2016
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Cash, cash equivalents, and restricted cash	$ 28.7	$ 78.5	$ 78.2	$ 81.7
Accounts receivable, net	505.6
Inventories	701.1	616.5
Prepaid expenses and other current assets	48.3	32.6
Total current assets	1,283.7	1,103.9
Property, plant and equipment, net	441.3	422.9
Deferred income taxes	8.4	17.9
Goodwill	120.3	115.3
Other noncurrent assets	52.2
Total assets	1,905.9	1,711.9
Accounts payable	430.1	275.0
Salaries, wages and commissions	48.3	40.3
Other accrued liabilities	74.6	58.4
Short-term debt	29.9	21.3
Current portion of deferred employee benefits	7.7	7.7
Total current liabilities	590.6	402.7
Long-term debt	1,023.0	1,024.4
Deferred employee benefits	221.8	243.5
Other noncurrent liabilities	49.3	48.7
Total liabilities	1,884.7	1,719.3
Accumulated deficit	(63.9)	(95.1)
Additional paid-in capital, accumulated other comprehensive loss, and noncontrolling interest	85.1
Total equity (deficit)	21.2	(7.4)
Total liabilities and equity	1,905.9	$ 1,711.9
Adjustments [Member] | ASU 606 [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Accounts receivable, net	(0.4)
Inventories	7.3
Prepaid expenses and other current assets	(16.8)
Total current assets	(9.9)
Deferred income taxes	1.0
Goodwill	0.3
Total assets	(8.6)
Other accrued liabilities	(5.5)
Total current liabilities	(5.5)
Total liabilities	(5.5)
Accumulated deficit	(3.1)
Total equity (deficit)	(3.1)
Total liabilities and equity	(8.6)
Balance without Adoption of ASC 606 [Member]
Revenue Initial Application Period Cumulative Effect Transition [Line Items]
Cash, cash equivalents, and restricted cash	28.7
Accounts receivable, net	505.2
Inventories	708.4
Prepaid expenses and other current assets	31.5
Total current assets	1,273.8
Property, plant and equipment, net	441.3
Deferred income taxes	9.4
Goodwill	120.6
Other noncurrent assets	52.2
Total assets	1,897.3
Accounts payable	430.1
Salaries, wages and commissions	48.3
Other accrued liabilities	69.1
Short-term debt	29.9
Current portion of deferred employee benefits	7.7
Total current liabilities	585.1
Long-term debt	1,023.0
Deferred employee benefits	221.8
Other noncurrent liabilities	49.3
Total liabilities	1,879.2
Accumulated deficit	(67.0)
Additional paid-in capital, accumulated other comprehensive loss, and noncontrolling interest	85.1
Total equity (deficit)	18.1
Total liabilities and equity	$ 1,897.3

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Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Provision (benefit) for income taxes	$ 6.2	$ (0.8)	$ 10.3	$ 6.0
Valuation allowance	$ 24.2		24.2		$ 24.4
Estimated income tax expense associated with TCJA Act			$ 0.5

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Earnings Per Share - Calculation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Numerator:
Net income attributable to Ryerson Holding Corporation	$ 17.5	$ 0.6	$ 27.9	$ 15.4
Denominator:
Weighted average shares outstanding	37,294,982	37,172,472	37,252,020	37,152,655
Dilutive effect of stock-based awards	330,769	120,698	333,151	136,438
Weighted average shares outstanding adjusted for dilutive securities	37,625,751	37,293,170	37,585,171	37,289,093
Earnings per share
Basic earnings per share	$ 0.47	$ 0.02	$ 0.75	$ 0.41
Diluted earnings per share	$ 0.46	$ 0.02	$ 0.74	$ 0.41

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Subsequent Events - Additional Information (Detail) - Central Steel & Wire [Member] - Subsequent Events [Member]	Jul. 02, 2018 USD ($) Employee Location $ / shares
Subsequent Event [Line Items]
Effective date of acquisition	Jul. 02, 2018
Description of business acquisition	On July 2, 2018, JT Ryerson completed the previously announced acquisition of Central Steel & Wire Company, a Delaware corporation (“Central Steel & Wire”), pursuant to the terms of the previously announced Agreement and Plan of Merger (the “Merger Agreement”), dated as of June 4, 2018, by and among JT Ryerson, Hunter MergerCo, Inc., a Delaware corporation and wholly-owned subsidiary of JT Ryerson (“Merger Sub”), Central Steel & Wire, and Fortis Advisors LLC, a Delaware limited liability company, solely in its capacity as the representative of Central Steel & Wire’s stockholders thereunder.
Business combination, provisions held back to cover expenses of shareholders representative	$ 1,000,000
Business combination, assumed transaction related obligations	8,900,000
Maximum [Member]
Subsequent Event [Line Items]
Business combination, provisions held back for determination of net working capital	7,500,000
Common Stock [Member]
Subsequent Event [Line Items]
Business combination, shareholders consideration	$ 150,800,000
Business combination, price per share | $ / shares	$ 616.32
Central And Eastern United States [Member]
Subsequent Event [Line Items]
Number of people employs | Employee	900
Number of locations operates | Location	6