Note H - Derivative Financial Instruments	3 Months Ended
Jun. 30, 2020
Notes to Financial Statements
Derivative Instruments and Hedging Activities Disclosure [Text Block]	NOTE H — DERIVATIVE FINANCIAL INSTRUMENTS In June 2020, the Company implemented its first commodity price risk management activities by transacting hot-rolled coil futures. From time to time, we expect to use derivative financial instruments to minimize our exposure to commodity price risk that is inherent in our business. At the time derivative contracts are entered into, we will assess whether the nature of the instrument qualifies for hedge accounting treatment according to the requirements of ASC 815 – Derivatives and Hedging (“ASC 815” ). By using derivatives, the Company is exposed to credit and market risk. The Company's exposure to credit risk includes the counterparty's failure to fulfill its performance obligations under the terms of the derivative contract. The Company minimizes its credit risk by entering into transactions with high quality counterparties. Market risk is the risk that the value of the financial instrument might be adversely affected by a change in commodity prices. The Company manages market risk by continually monitoring exposure within its risk management strategy and portfolio. For those transactions designated as hedging instruments, we document all relationships between hedging instruments and hedged items, as well as our risk-management objective and strategy for undertaking the various hedge transactions. We also assess, both at the hedge's inception and on an ongoing basis, whether the derivatives used in hedging transactions are highly effective in offsetting changes in cash flows or fair value of hedged items. During June 2020, we sold 4,000 tons of hot-rolled coil futures for August 2020 settlement at an average price of $514.50 per ton and sold 2,000 tons of hot-rolled coil futures for September 2020 settlement at an average price of $522 per ton. These transactions have been designated as hedging instruments, classified as fair value hedges and accounted for based on the guidance and requirements of ASC 815. On the Company's consolidated balance sheet at June 30, 2020, “Other current assets” included $54,000 for the fair value of the asset derivatives and “Inventory” was reduced by $54,000 for the hedged item basis adjustment. The Company's consolidated statement of operation for the three months ended June 30, 2020, included offsetting $54,000 amounts within costs of goods sold for the mark to market adjustments related to the change in fair value of the hedging instrument and the hedged inventory. The gain or loss on the hedging instruments will be realized during the period in which the instruments are settled and the hedged inventory is sold. In relation to our open hedging positions, we were required to post a $180,000 cash margin to collateralize our transactions. This margin requirement is included in “Other current assets” on the Company's consolidated balance sheet at June 30, 2020.

NOTE H — DERIVATIVE FINANCIAL INSTRUMENTS

June 2020,

the Company implemented its

first

commodity price risk management activities by transacting hot-rolled coil futures. From time to time, we expect to use derivative financial instruments to minimize our exposure to commodity price risk that is inherent in our business. At the time derivative contracts are entered into, we will assess whether the nature of the instrument qualifies for hedge accounting treatment according to the requirements of ASC

815

– Derivatives and Hedging (“ASC

815”

). By using derivatives, the Company is exposed to credit and market risk. The Company's exposure to credit risk includes the counterparty's failure to fulfill its performance obligations under the terms of the derivative contract. The Company minimizes its credit risk by entering into transactions with high quality counterparties. Market risk is the risk that the value of the financial instrument might be adversely affected by a change in commodity prices. The Company manages market risk by continually monitoring exposure within its risk management strategy and portfolio. For those transactions designated as hedging instruments, we document all relationships between hedging instruments and hedged items, as well as our risk-management objective and strategy for undertaking the various hedge transactions. We also assess, both at the hedge's inception and on an ongoing basis, whether the derivatives used in hedging transactions are highly effective in offsetting changes in cash flows or fair value of hedged items.

During

June 2020,

we sold

4,000

tons of hot-rolled coil futures for

August 2020

settlement at an average price of

$514.50

per ton and sold

2,000

tons of hot-rolled coil futures for

September 2020

settlement at an average price of

$522

per ton. These transactions have been designated as hedging instruments, classified as fair value hedges and accounted for based on the guidance and requirements of ASC

815.

On the Company's consolidated balance sheet at

June 30, 2020,

“Other current assets” included

$54,000

for the fair value of the asset derivatives and “Inventory” was reduced by

$54,000

for the hedged item basis adjustment. The Company's consolidated statement of operation for the

three

months ended

June 30, 2020,

included offsetting

$54,000

amounts within costs of goods sold for the mark to market adjustments related to the change in fair value of the hedging instrument and the hedged inventory. The gain or loss on the hedging instruments will be realized during the period in which the instruments are settled and the hedged inventory is sold. In relation to our open hedging positions, we were required to post a

$180,000

cash margin to collateralize our transactions. This margin requirement is included in “Other current assets” on the Company's consolidated balance sheet at

June 30, 2020.