Guarantor Financial Information

The Secured Notes are guaranteed by certain 100% directly owned subsidiaries of the Company (the "Guarantors"). The Guarantors include Total Plastics, Inc., Advanced Fabricating Technology, LLC, Keystone Tube Company, LLC and Paramount Machine Company, LLC, each of which fully and unconditionally guarantee the Secured Notes on a joint and several basis.

The accompanying financial statements have been prepared and presented pursuant to Rule 3-10 of SEC Regulation S-X “Financial Statements of Guarantors and Issuers of Guaranteed Securities Registered or Being Registered.” The financial statements present condensed consolidating financial information for A. M. Castle & Co. (the "Parent"), the Guarantors, the non-guarantor subsidiaries (all other subsidiaries) and an elimination column for adjustments to arrive at the information for the Parent, Guarantors, and non-guarantors on a consolidated basis. The condensed consolidating financial information has been prepared on the same basis as the consolidated financial statements of the Parent. The equity method of accounting is followed within this financial information.

Condensed Consolidating Balance Sheet As of September 30, 2015

	Parent		Guarantors		Non-Guarantors			Eliminations			Consolidated
Assets
Current assets
Cash and cash equivalents	$	1,119	$	933	$	9,920		$	—		$	11,972
Accounts receivable, less allowance for doubtful accounts	47,576		18,881		42,243			—			108,700
Receivables from affiliates	1,169		35		—			(1,204		)	—
Inventories	95,799		19,023		77,628			(68		)	192,382
Other current assets	4,315		475		14,754			—			19,544
Total current assets	149,978		39,347		144,545			(1,272		)	332,598
Investment in joint venture	36,995		—		—			—			36,995
Goodwill	—		12,973		—			—			12,973
Intangible assets, net	35,898		—		10,894			—			46,792
Other non-current assets	15,342		—		4,200			(1,279		)	18,263
Investment in subsidiaries	49,258		—		—			(49,258		)	—
Receivables from affiliates	135,077		45,055		—			(180,132		)	—
Property, plant and equipment, net	45,373		11,430		12,538			—			69,341
Total assets	$	467,921	$	108,805	$	172,177		$	(231,941	)	$	516,962
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable	$	38,988	$	8,948	$	23,794		$	—		$	71,730
Payables due to affiliates	1,169		—		35			(1,204		)	—
Other current liabilities	36,467		2,433		6,864			—			45,764
Current portion of long-term debt	478		—		36			—			514
Total current liabilities	77,102		11,381		30,729			(1,204		)	118,008
Long-term debt, less current portion	322,196		—		20			—			322,216
Payables due to affiliates	—		7,886		172,246			(180,132		)	—
Deferred income taxes	—		5,524		3,684			(1,279		)	7,929
Other non-current liabilities	27,928		—		186			—			28,114
Stockholders’ equity (deficit)	40,695		84,014		(34,688		)	(49,326		)	40,695
Total liabilities and stockholders’ equity	$	467,921	$	108,805	$	172,177		$	(231,941	)	$	516,962

Condensed Consolidating Balance Sheet As of December 31, 2014

	Parent		Guarantors		Non-Guarantors			Eliminations			Consolidated
Assets
Current assets
Cash and cash equivalents	$	511	$	977	$	6,966		$	—		$	8,454
Accounts receivable, less allowance for doubtful accounts	66,178		19,303		45,522			—			131,003
Receivables from affiliates	2,071		81		—			(2,152		)	—
Inventories	142,314		19,320		75,366			(68		)	236,932
Other current assets	3,490		1,033		8,506			—			13,029
Total current assets	214,564		40,714		136,360			(2,220		)	389,418
Investment in joint venture	37,443		—		—			—			37,443
Goodwill	—		12,973		—			—			12,973
Intangible assets, net	42,772		—		13,783			—			56,555
Other non-current assets	18,766		—		996			(1,010		)	18,752
Investment in subsidiaries	70,274		—		—			(70,274		)	—
Receivables from affiliates	113,188		36,607		2,157			(151,952		)	—
Property, plant and equipment, net	46,094		12,184		14,557			—			72,835
Total assets	$	543,101	$	102,478	$	167,853		$	(225,456	)	$	587,976
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable	$	41,613	$	8,055	$	19,114		$	—		$	68,782
Payables due to affiliates	2,071		—		81			(2,152		)	—
Other current liabilities	18,841		3,065		6,092			—			27,998
Current portion of long-term debt	691		—		46			—			737
Total current liabilities	63,216		11,120		25,333			(2,152		)	97,517
Long-term debt, less current portion	307,327		—		2,050			—			309,377
Payables due to affiliates	—		5,581		146,371			(151,952		)	—
Deferred income taxes	—		5,524		3,846			(1,010		)	8,360
Other non-current liabilities	22,238		—		164			—			22,402
Stockholders’ equity (deficit)	150,320		80,253		(9,911		)	(70,342		)	150,320
Total liabilities and stockholders’ equity	$	543,101	$	102,478	$	167,853		$	(225,456	)	$	587,976

Condensed Consolidating Statement of Operations and Comprehensive (Loss) Income For the Three Months Ended September 30, 2015

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Net sales	$	100,429		$	34,105		$	54,107		$	(3,965	)	$	184,676
Costs and expenses:
Cost of materials (exclusive of depreciation and amortization)	74,278			23,970			43,487			(3,965		)	137,770
Warehouse, processing and delivery expense	19,996			2,976			6,420			—			29,392
Sales, general and administrative expense	14,532			4,374			3,491			—			22,397
Restructuring expense	365			—			839			—			1,204
Depreciation and amortization expense	4,538			463			993			—			5,994
Total costs and expenses	113,709			31,783			55,230			(3,965		)	196,757
Operating (loss) income	(13,280		)	2,322			(1,123		)	—			(12,081		)
Interest expense, net	(6,369		)	—			(4,137		)	—			(10,506		)
Other expense, net	—			—			(2,270		)	—			(2,270		)
(Loss) income before income taxes and equity in earnings (losses) of subsidiaries and joint venture	(19,649		)	2,322			(7,530		)	—			(24,857		)
Income tax benefit (expense)	(90		)	(882		)	989			—			17
Equity in losses of subsidiaries	(5,101		)	—			—			5,101			—
Equity in losses of joint venture	(1,460		)	—			—			—			(1,460		)
Net (loss) income	$	(26,300	)	$	1,440		$	(6,541	)	$	5,101		$	(26,300	)
Comprehensive (loss) income	$	(28,571	)	$	1,440		$	(9,482	)	$	8,042		$	(28,571	)

Condensed Consolidating Statement of Operations and Comprehensive (Loss) Income For the Three Months Ended September 30, 2014

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Net sales	$	151,998		$	34,787		$	60,847		$	(2,163	)	$	245,469
Costs and expenses:
Cost of materials (exclusive of depreciation and amortization)	113,127			24,660			48,793			(2,163		)	184,417
Warehouse, processing and delivery expense	24,374			2,934			7,132			—			34,440
Sales, general and administrative expense	16,241			4,592			4,352			—			25,185
Restructuring expense (income)	(5,197		)	—			50			—			(5,147		)
Depreciation and amortization expense	4,819			539			1,041			—			6,399
Total costs and expenses	153,364			32,725			61,368			(2,163		)	245,294
Operating (loss) income	(1,366		)	2,062			(521		)	—			175
Interest expense, net	(6,388		)	—			(3,760		)	—			(10,148		)
Other expense, net	—			—			(2,335		)	—			(2,335		)
(Loss) income before income taxes and equity in earnings (losses) of subsidiaries and joint venture	(7,754		)	2,062			(6,616		)	—			(12,308		)
Income tax benefit (expense)	2,724			(784		)	830			—			2,770
Equity in losses of subsidiaries	(4,508		)	—			—			4,508			—
Equity in earnings of joint venture	2,213			—			—			—			2,213
Net (loss) income	$	(7,325	)	$	1,278		$	(5,786	)	$	4,508		$	(7,325	)
Comprehensive (loss) income	$	(9,135	)	$	1,278		$	(7,850	)	$	6,572		$	(9,135	)

Condensed Consolidating Statement of Operations and Comprehensive (Loss) Income For the Nine Months Ended September 30, 2015

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Net sales	$	345,664		$	101,168		$	169,512		$	(9,737	)	$	606,607
Costs and expenses:
Cost of materials (exclusive of depreciation and amortization)	279,661			71,251			137,108			(9,737		)	478,283
Warehouse, processing and delivery expense	58,857			8,947			19,536			—			87,340
Sales, general and administrative expense	49,927			13,277			10,411			—			73,615
Restructuring expense	16,617			—			1,036			—			17,653
Depreciation and amortization expense	13,999			1,626			3,036			—			18,661
Total costs and expenses	419,061			95,101			171,127			(9,737		)	675,552
Operating (loss) income	(73,397		)	6,067			(1,615		)	—			(68,945		)
Interest expense, net	(19,142		)	—			(12,284		)	—			(31,426		)
Other expense, net	—			—			(4,532		)	—			(4,532		)
(Loss) income before income taxes and equity in earnings (losses) of subsidiaries and joint venture	(92,539		)	6,067			(18,431		)	—			(104,903		)
Income tax benefit (expense)	126			(2,305		)	1,290			—			(889		)
Equity in losses of subsidiaries	(13,379		)	—			—			13,379			—
Equity in losses of joint venture	(134		)	—			—			—			(134		)
Net (loss) income	$	(105,926	)	$	3,762		$	(17,141	)	$	13,379		$	(105,926	)
Comprehensive (loss) income	$	(110,030	)	$	3,762		$	(24,774	)	$	21,012		$	(110,030	)

Condensed Consolidating Statement of Operations and Comprehensive (Loss) Income For the Nine Months Ended September 30, 2014

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Net sales	$	469,455		$	104,531		$	184,316		$	(9,931	)	$	748,371
Costs and expenses:
Cost of materials (exclusive of depreciation and amortization)	352,013			74,020			148,411			(9,931		)	564,513
Warehouse, processing and delivery expense	77,166			8,805			20,597			—			106,568
Sales, general and administrative expense	55,638			14,054			14,588			—			84,280
Restructuring expense (income)	(3,725		)	—			224			—			(3,501		)
Depreciation and amortization expense	14,643			1,632			3,114			—			19,389
Impairment of goodwill	41,308			—			14,852			—			56,160
Total costs and expenses	537,043			98,511			201,786			(9,931		)	827,409
Operating (loss) income	(67,588		)	6,020			(17,470		)	—			(79,038		)
Interest expense, net	(18,848		)	—			(11,140		)	—			(29,988		)
Other expense, net	—			—			(1,427		)	—			(1,427		)
(Loss) income before income taxes and equity in earnings (losses) of subsidiaries and joint venture	(86,436		)	6,020			(30,037		)	—			(110,453		)
Income tax benefit (expense)	7,750			(1,946		)	3,114			—			8,918
Equity in losses of subsidiaries	(22,849		)	—			—			22,849			—
Equity in earnings of joint venture	5,914			—			—			—			5,914
Net (loss) income	$	(95,621	)	$	4,074		$	(26,923	)	$	22,849		$	(95,621	)
Comprehensive (loss) income	$	(96,298	)	$	4,074		$	(28,361	)	$	24,287		$	(96,298	)

Condensed Consolidating Statement of Cash Flows For the Nine Months Ended September 30, 2015

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Operating activities:
Net (loss) income	$	(105,926	)	$	3,762		$	(17,141	)	$	13,379		$	(105,926	)
Equity in losses of subsidiaries	13,379			—			—			(13,379		)	—
Adjustments to reconcile net (loss) income to cash from (used in) operating activities	100,619			3,209			(4,313		)	—			99,515
Net cash from (used in) operating activities	8,072			6,971			(21,454		)	—			(6,411		)
Investing activities:
Capital expenditures	(3,352		)	(872		)	(1,169		)	—			(5,393		)
Proceeds from sale of property, plant and equipment	7,739			—			3			—			7,742
Net advances to subsidiaries	(21,889		)	—			—			21,889			—
Net cash used in investing activities	(17,502		)	(872		)	(1,166		)	21,889			2,349
Financing activities:
Proceeds from long-term debt	707,200			—			—			—			707,200
Repayments of long-term debt	(696,662		)	—			(2,034		)	—			(698,696		)
Net intercompany (repayments) borrowings	—			(6,143		)	28,032			(21,889		)	—
Payments of build-to-suit liability	(500		)	—			—			—			(500		)
Net cash from (used in) financing activities	10,038			(6,143		)	25,998			(21,889		)	8,004
Effect of exchange rate changes on cash and cash equivalents	—			—			(424		)	—			(424		)
Net change in cash and cash equivalents	608			(44		)	2,954			—			3,518
Cash and cash equivalents - beginning of year	511			977			6,966			—			8,454
Cash and cash equivalents - end of period	$	1,119		$	933		$	9,920		$	—		$	11,972

Condensed Consolidating Statement of Cash Flows For the Nine Months Ended September 30, 2014

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Operating activities:
Net (loss) income	$	(95,621	)	$	4,074		$	(26,923	)	$	22,849		$	(95,621	)
Equity in losses of subsidiaries	22,849			—			—			(22,849		)	—
Adjustments to reconcile net (loss) income to cash from (used in) operating activities	51,088			(508		)	208			—			50,788
Net cash (used in) from operating activities	(21,684		)	3,566			(26,715		)	—			(44,833		)
Investing activities:
Capital expenditures	(4,671		)	(793		)	(3,261		)	—			(8,725		)
Proceeds from sale of property, plant and equipment	7,096			—			52			—			7,148
Net cash from (used in) investing activities	2,425			(793		)	(3,209		)	—			(1,577		)
Financing activities:
Proceeds from long-term debt	219,714			—			3,075			—			222,789
Repayments of long-term debt	(194,316		)	—			(1,027		)	—			(195,343		)
Net intercompany (repayments) borrowings	(12,012		)	(3,268		)	15,280			—			—
Other financing activities	193			—			—			—			193
Net cash from (used in) financing activities	13,579			(3,268		)	17,328			—			27,639
Effect of exchange rate changes on cash and cash equivalents	—			—			(253		)	—			(253		)
Net change in cash and cash equivalents	(5,680		)	(495		)	(12,849		)	—			(19,024		)
Cash and cash equivalents - beginning of year	8,675			495			21,659			—			30,829
Cash and cash equivalents - end of period	$	2,995		$	—		$	8,810		$	—		$	11,805