PITTSBURGH, July 7, 2011 /PRNewswire/ -- TMS International Corp. (NYSE: TMS), the parent company of Tube City IMS Corporation, a leading provider of outsourced industrial services to steel mills globally, today announced that it has secured new contracts totaling more than $84 million in revenue over the life of the contracts at expected production levels. The long-term contracts are for a variety of outsourced services at steel mills in Dunkerque, France, and Abu Dhabi, United Arab Emirates.
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Services under the new seven-year oxycutting contract in Dunkerque, which began July 1, 2011, include handling, preparation and sizing of revert scrap, utilizing Tube City IMS' environmentally friendly New Cut process, where scrap is processed to charging size in an enclosed environment to capture emissions from the cutting operation. This is the second new mill services contract that the Company has implemented at the customer mill site in Dunkerque this year.
Additionally, in Abu Dhabi, the Company has contracted to commence a seven-year material handling and waste management agreement with a new customer through its joint venture entity Tube City IMS Middle East Holding. This contract win with a leading regional steel company marks the Company's first mill services operation in the fast-growing Middle East/North African region. Services under the contract are scheduled to begin September 1, 2011, and will include material handling, hot pit furnace slag excavation, metal reclamation, scrap management, DRI handling, billet transportation and logistics, and a number of other auxiliary services.
"We believe the steel industry in the Middle East/North African region will continue to grow at strong rates over the coming years. These new contract wins demonstrate the Company's global breadth and depth, and illustrate the continuing confidence our customers place in us and our outstanding service. We are excited to be able to serve both of these important customers in these regions," said Raymond Kalouche, Chief Operating Officer, and President and COO, Mill Services Group.
Mr. Kalouche added, "This is an exciting time for the Company. Including these contracts, we have won a total of six new contracts to date in 2011, representing more than $147 million of cumulative revenue. As the outsourced steel services market continues to expand globally, TMS is well positioned to service these new markets with a diverse team that has significant international experience and delivers the outstanding performance that our customers and shareholders expect."
About TMS International Corp.
TMS International Corp., through its subsidiaries, including Tube City IMS Corporation, is the largest provider of outsourced industrial services to steel mills in North America as measured by revenue and has a substantial and growing international presence. The Company provides services at 78 customer sites in 10 countries and operates a global raw materials procurement network with 26 offices in 11 countries spanning five continents.
Certain information in this news release contains forward-looking statements with respect to the Company's financial condition, results of operations or business or its expectations or beliefs concerning future events. Such forward-looking statements include the discussions of the Company's business strategies, estimates of future global steel production and other market metrics and the Company's expectations concerning future operations, margins, profitability, liquidity and capital resources. Although the Company believes that such forward-looking statements are reasonable, it cannot assure you that any forward-looking statements will prove to be correct. Such forward-looking statements involve risks, uncertainties, estimates and assumptions that may cause the Company's actual results, performance or achievements to be materially different. Additional information relating to factors that may cause actual results to differ from the Company's forward-looking statements can be found in the Company's Registration Statement on Form S-1. The Company undertakes no obligation to update or revise forward-looking statements after the day of the release as a result of new information, future events or developments except as required by law.
SOURCE TMS International Corp.