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SA Recycling closes three facilities

Keywords: Tags  scrap, SA Recycling, George Adams, Sean Davidson


NEW YORK — SA Recycling LLC has closed two small West Coast feeder yards, as well as a smaller buyback center operated by two employees in Simi Valley, Calif., sources told AMM.

The facilities—which included a yard in Calexico, Calif., and one across the Mexican border in Mexicali—had been operational for less than a year and were deemed not viable, SA Recycling president and chief executive officer George Adams said in confirming the closures, but added that they aren’t part of any structural reorganization.

"I don’t really consider it restructuring. All companies look for ways to streamline costs," he said. "The yards we closed are new yards that have been open less than a year. Some yards work and some don’t. You never really know until you try them."

Speculation that the Orange, Calif.-based company has laid off a significant portion of its work force is highly exaggerated, Adams said. The company employs about 1,400 people, and has reduced its work force by 38 people over the past two months due to closures, retirements or terminations for cause, he added, including the two employees at Simi Valley, four at Calexico and 15 at Mexicali.

"We continue to work hard at streamlining our operations and figuring out how to (do) things with less people," he added.

Adams also shot down speculation that the company’s shredders in Bakersfield and Anaheim, Calif., are under threat of closure or that additional yards are on the chopping block. "I have no plans to shut down any shredders or to close any more yards," he said.

Given its large presence on the West Coast, particularly in California, SA Recycling has increasingly been the subject of market speculation. In May, the company dismissed rumors about the possible closure of one of its port facilities in Long Beach, Calif. (AMM, May 23).


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