FEDERAL INDUSTRIES TO CHANGE NAME TO RUSSEL METALS; Signals End of Transformation from Conglomerate to Metals Operating Company.TORONTO Toronto (tərŏn`tō), city (1998 est pop. 2,400,000), provincial capital, S Ont., Canada, on Lake Ontario. Toronto is the largest city in Canada and since the 1970s has been one of the fastest-changing cities in North America, experiencing , Ontario--(BUSINESS WIRE)--May 11, 1995--Federal Industries Ltd. today received shareholder approval at the company's annual meeting to change its name to Russel
The company expects the name change to take effect in June 1995. The change of name signals that the company has become a metals processing and distribution company and is firmly committed to this business for its future growth. The company entered the metals sector in 1983 with the acquisition of Russelsteel, one of Canada's leading steel distributors. Russel's history in Canada dates from 1784, a unique heritage in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. . From its origins in Montreal, Canada, Russel Metals has grown to one of the leading North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. companies in its industry. John S. Pelton, president and chief executive officer of Federal Industries commented "With 80% of revenues generated in 1994 from the Metals operations, the transformation of Federal from a diversified company diversified company A company engaged in varied business operations not directly related to one another. A diversified company is less likely to suffer either a collapse or a spectacular gain in earnings compared with a firm concentrating its operations in a into a focussed Metals operating business is now complete. The metals business is the base from which we will grow and enhance long term shareholder value." Twenty-three of the corporation's 57 operating units operating unit A type of operating company that engages in transactions with outsiders and that is owned by another business. For example, in 1995 the stockholders of Capital Cities/ABC approved a $19 billion merger with the Walt Disney Company, whereupon in North America currently use the Russel trading name in their respective marketplaces. Other units may adopt "Russel" as part of their name to signal a link with the corporation and to enhance the value of their name. A few operating units will continue to use their current trading names. "The name Russel will act as an important unifying identity for our company as we continue our expansion in the North American Metals industry," added John Pelton. Trading under the new name will commence in the third quarter of 1995 under the stock symbols RUS (followed by letters that differentiate the different classes of shares) on the Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. and RUSAF on The Nasdaq National Market. Federal is one of the five largest processors and distributors of metal and metal products in North America through its network of 45 Canadian Canadian (kənā`dēən), river, 906 mi (1,458 km) long, rising in NE New Mexico. and flowing E across N Texas and central Oklahoma into the Arkansas River in E Oklahoma. and 12 U.S. service centers. Federal companies trade under various names including Russelsteel, Drummond McCall, Russel Drummond, Baldwin International, I. Bahcall Steel & Pipe, Total Distributors, Fedmet Trading, Pioneer Steel & Tube, Comco Pipe and Supply and Wirth Limited. Federal also has investments in the transportation sector. CONTACT: Federal Industries John S. Pelton, 416/675-8200 |
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