NEW YORK Wire
producer Tree Island Steel Ltd. was in the red in the third
quarter despite higher revenue.
The Vancouver, British
Columbia-based company posted a net loss of Canadian $43,000
($41,000) for the three months ended Sept. 30, a significant
improvement from a C$1.99-million loss in the same period last
year, on revenue that increased 14.8 percent to just over C$39
million ($37.21 million) thanks to a 21.1-percent jump in sales
volume to 29,345 tons from 24,242 tons.
"We continue to see
strength and momentum in demand building up in some of our key
end markets in the U.S., which combined with our internal
priorities leads us to maintain a cautiously optimistic view in
the near- to mid-term," said president and chief executive
officer Dale MacLean.
The higher revenues
reflected increased volumes in the industrial and commercial
construction market segments, and the company also benefited
from lower raw material prices in the quarter compared with a
The region has not
seen particularly strong wire demand, however, according to
Belgiums NV Bekaert SA, which announced last week that it
would close its steel wire plant in Surrey, British Columbia,
due to heavy competition from imports and a thinning customer
amm.com, Nov. 7).