I shoulda seen this coming...

https://www.facebook.com/upstate.shr...73340369365473

wee wee

Anyone know how much Weitsman is paying for shred?

$0.45/lb for clean alum, $0.07/lb for steel. Didn't ask about much more then that when I called them yesterday inquiring about cab tabs.

Originally Posted by RevenantDusk

Anyone know how much Weitsman is paying for shred?

About 2 weeks ago, the albany yard was $147 a gross ton. About 6.5 cents

And he is still interested in Metalico.

Originally Posted by mthomasdev

And he is still interested in Metalico.

No, he owns Metallico stock wise. He's hoping they'll go the way Roth Steel went and it looks like that's what happening(stock wise mind you).

Originally Posted by logansryche

No, he owns Metallico stock wise. He's hoping they'll go the way Roth Steel went and it looks like that's what happening(stock wise mind you).

Logan,
He is the largest shareholder with about 11 percent. A bankruptcy would cause his shares to be worthless, costing him about 6 million. Does it make any sense that that is what he wants? He had nothing invested in Roth, so a BK was OK. Metalico's bottom line is going to be under more pressure when AW gets the PA shredder up and running. I'd expect a lower share price in the coming quarters and AW to buy the company at or lower than his initial offer.

Yeah makes sense.. speaking of Roth Steel, I received a note from an employee and later researched it but Adam no longer owns the Roth property or assets. When he put the initial bid in for the property he sent an assessment team in to see how bad the property is and it's bad(like nuclear fallout x10 bad). NY's EPA law states that pollutants up to 10 parts per foot is cautionary and 25 parts per foot requires specialized cleanup. The assessment team found pollutants were 250-300 parts per foot and would need to be incinerated instead of just cleaned up. The employee that was telling me this said that wasn't bad because it would've costed 2 tril to clean up. The employee also told me that the city of Syracuse in their infinite wisdom was going to nail Adam to the wall if any of Roth's pollutants ever got into the water supply which would've costed up to 10 tril to fix so he backed out and got his bad back. It wouldn't've been an issue but apparently to completely fix up the property properly would've bankrupted him. Apparently American Iron & Steel(based in Canada) owns it now and if they plan on reopening it as anything that's not environmentally friendly, the city of Syracuse will come down on them like holly hellfire. I didn't think the Roth property was that bad but apparently they were doing alot of illegal things there like burrying metals and letting liquids go wherever they please(the epidemy of bad business practices in the scrapping world).