Another company going under!

[HT1]

? what does that mean? Scrap prices adjust for market prices? Since January of 2014 price from shredder to buy from smaller yards has fallen by around 60 percent in my area. If the price of what you trade in goes down even if your spread (% profit ) stays the same you make less money. Take a look at the stock values of large scrap companies ....they haven't done so well lately.

every stage of the business's prices should go down in lockstep, so the margin will remain the same for everyone. if you maintain your volume, you will make exactly the same. any scrap yard having problems because of lower prices, are gambling and not following good industry practices. conversely if volume goes down that causes scrap yards to have problems, especially shredders, because they cost so **** much, and need metal to run to have any chance of paying for themselves.

its the people that are "HOLDING MY MATERIAL WAITING FOR BETTER PRICES" that are killing scrap yards




there are lots of other things hurting yards, but lower prices should be a small part of it... I do feel sorry for people that made a major equipment purchase a year ago, depending on growth that has evaporated

V/r HT1