Condensed Consolidating Information (Tables)

6 Months Ended

Jun. 30, 2016

Schedule of Condensed Consolidating Balance Sheets

Condensed Consolidating Balance Sheets (in thousands)

						Combined			Consolidating			Total
As of June 30, 2016	Parent			Guarantors		Non-Guarantors			Adjustments			Consolidated
Cash and equivalents	$	947,018		$	88,893	$	16,755		$	—		$	1,052,666
Accounts receivable, net	263,090			1,228,150		30,318			(727,555		)	794,003
Inventories	561,567			583,995		37,484			(7,330		)	1,175,716
Other current assets	15,660			12,345		1,753			(1,686		)	28,072

Total current assets	1,787,335			1,913,383		86,310			(736,571		)	3,050,457
Property, plant and equipment, net	932,067			1,668,643		287,042			(1,908		)	2,885,844
Intangible assets, net	—			265,476		—			—			265,476
Goodwill	—			394,275		—			—			394,275
Other assets, including investments in subs	2,811,879			8,986		6,257			(2,793,498		)	33,624

Total assets	$	5,531,281		$	4,250,763	$	379,609		$	(3,531,977	)	$	6,629,676


Accounts payable	$	169,025		$	306,782	$	74,445		$	(88,985	)	$	461,267
Accrued expenses	198,810			199,976		5,257			(104,133		)	299,910
Current maturities of long-term debt	13,147			700		28,401			(24,201		)	18,047

Total current liabilities	380,982			507,458		108,103			(217,319		)	779,224
Long-term debt	2,542,969			—		174,689			(144,472		)	2,573,186
Other liabilities	(228,507		)	1,188,931		70,488			(578,252		)	452,660

Redeemable noncontrolling interests	—			—		126,340			—			126,340

Common stock	639			1,727,859		18,120			(1,745,979		)	639
Treasury stock	(392,050		)	—		—			—			(392,050		)
Additional paid-in-capital	1,125,519			117,737		653,787			(771,524		)	1,125,519
Retained earnings (deficit)	2,101,729			708,778		(634,347		)	(74,431		)	2,101,729

Total Steel Dynamics, Inc. equity	2,835,837			2,554,374		37,560			(2,591,934		)	2,835,837
Noncontrolling interests	—			—		(137,571		)	—			(137,571		)

Total equity	2,835,837			2,554,374		(100,011		)	(2,591,934		)	2,698,266

Total liabilities and equity	$	5,531,281		$	4,250,763	$	379,609		$	(3,531,977	)	$	6,629,676

						Combined			Consolidating			Total
As of December 31, 2015	Parent			Guarantors		Non-Guarantors			Adjustments			Consolidated
Cash and equivalents	$	636,877		$	81,976	$	8,179		$	—		$	727,032
Accounts receivable, net	200,094			1,056,285		29,775			(672,549		)	613,605
Inventories	539,963			573,924		35,004			499			1,149,390
Other current assets	21,654			25,415		1,676			(831		)	47,914

Total current assets	1,398,588			1,737,600		74,634			(672,881		)	2,537,941
Property, plant and equipment, net	958,212			1,703,932		291,077			(2,011		)	2,951,210
Intangible assets, net	—			278,960		—			—			278,960
Goodwill	—			397,470		—			—			397,470
Other assets, including investments in subs	2,941,710			10,040		6,137			(2,921,386		)	36,501

Total assets	$	5,298,510		$	4,128,002	$	371,848		$	(3,596,278	)	$	6,202,082


Accounts payable	$	100,751		$	183,344	$	68,948		$	(69,688	)	$	283,355
Accrued expenses	141,552			185,873		4,779			(96,949		)	235,255
Current maturities of long-term debt	13,122			700		24,975			(22,117		)	16,680

Total current liabilities	255,425			369,917		98,702			(188,754		)	535,290
Long-term debt	2,546,606			361		177,897			(146,888		)	2,577,976
Other liabilities	(183,248		)	1,342,541		63,020			(804,948		)	417,365

Redeemable noncontrolling interests	—			—		126,340			—			126,340

Common stock	638			1,727,859		18,120			(1,745,979		)	638
Treasury stock	(396,455		)	—		—			—			(396,455		)
Additional paid-in-capital	1,110,253			117,737		646,787			(764,524		)	1,110,253
Retained earnings (deficit)	1,965,291			569,587		(624,402		)	54,815			1,965,291

Total Steel Dynamics, Inc. equity	2,679,727			2,415,183		40,505			(2,455,688		)	2,679,727
Noncontrolling interests	—			—		(134,616		)	—			(134,616		)

Total equity	2,679,727			2,415,183		(94,111		)	(2,455,688		)	2,545,111

Total liabilities and equity	$	5,298,510		$	4,128,002	$	371,848		$	(3,596,278	)	$	6,202,082

Schedule of Condensed Consolidating Statements of Operations

Condensed Consolidating Statements of Operations (in thousands)

For the three months ended,						Combined			Consolidating			Total
June 30, 2016	Parent			Guarantors		Non-Guarantors			Adjustments			Consolidated
Net sales	$	793,990		$	2,206,348	$	89,545		$	(1,065,981	)	$	2,023,902
Costs of goods sold	627,246			1,957,570		94,986			(1,036,283		)	1,643,519

Gross profit (loss)	166,744			248,778		(5,441		)	(29,698		)	380,383
Selling, general and administrative	53,999			72,808		2,416			(4,962		)	124,261

Operating income (loss)	112,745			175,970		(7,857		)	(24,736		)	256,122
Interest expense, net of capitalized interest	17,837			18,352		2,451			(1,994		)	36,646
Other (income) expense, net	(2,271		)	1,885		(3,426		)	1,994			(1,818		)

Income (loss) before income taxes and equity in net income of subsidiaries	97,179			155,733		(6,882		)	(24,736		)	221,294
Income taxes (benefit)	31,700			58,779		(589		)	(9,039		)	80,851

	65,479			96,954		(6,293		)	(15,697		)	140,443
Equity in net income of subsidiaries	76,490			—		—			(76,490		)	—
Net loss attributable to noncontrolling interests	—			—		1,526			—			1,526

Net income (loss) attributable to Steel Dynamics, Inc.	$	141,969		$	96,954	$	(4,767	)	$	(92,187	)	$	141,969

For the three months ended,							Combined			Consolidating			Total
June 30, 2015	Parent			Guarantors			Non-Guarantors			Adjustments			Consolidated
Net sales	$	766,056		$	2,153,141		$	101,880		$	(1,016,070	)	$	2,005,007
Costs of goods sold	669,259			2,019,025			134,335			(989,355		)	1,833,264

Gross profit (loss)	96,797			134,116			(32,455		)	(26,715		)	171,743
Selling, general and administrative	29,905			65,736			2,668			(4,125		)	94,184

Operating income (loss)	66,892			68,380			(35,123		)	(22,590		)	77,559
Interest expense, net of capitalized interest	18,166			18,376			1,658			(1,037		)	37,163
Other (income) expense, net	(773		)	(654		)	(822		)	1,037			(1,212		)

Income (loss) before income taxes and equity in net loss of subsidiaries	49,499			50,658			(35,959		)	(22,590		)	41,608
Income taxes (benefit)	8,097			19,172			(2,510		)	(8,476		)	16,283

	41,402			31,486			(33,449		)	(14,114		)	25,325
Equity in net loss of subsidiaries	(9,852		)	—			—			9,852			—
Net loss attributable to noncontrolling interests	—			—			6,225			—			6,225

Net income (loss) attributable to Steel Dynamics, Inc.	$	31,550		$	31,486		$	(27,224	)	$	(4,262	)	$	31,550

Condensed Consolidating Statements of Operations (in thousands)

For the six months ended,						Combined			Consolidating			Total
June 30, 2016	Parent			Guarantors		Non-Guarantors			Adjustments			Consolidated
Net sales	$	1,451,804		$	4,063,692	$	175,285		$	(1,925,578	)	$	3,765,203
Costs of goods sold	1,175,425			3,659,391		186,016			(1,872,048		)	3,148,784

Gross profit (loss)	276,379			404,301		(10,731		)	(53,530		)	616,419
Selling, general and administrative	92,601			140,008		5,218			(9,495		)	228,332

Operating income (loss)	183,778			264,293		(15,949		)	(44,035		)	388,087
Interest expense, net of capitalized interest	36,024			36,752		4,711			(3,798		)	73,689
Other (income) expense, net	(4,479		)	4,075		(7,004		)	3,798			(3,610		)

Income (loss) before income taxes and equity in net income of subsidiaries	152,233			223,466		(13,656		)	(44,035		)	318,008
Income taxes (benefit)	48,968			84,274		(860		)	(16,135		)	116,247

	103,265			139,192		(12,796		)	(27,900		)	201,761
Equity in net income of subsidiaries	101,441			—		—			(101,441		)	—
Net loss attributable to noncontrolling interests	—			—		2,945			—			2,945

Net income (loss) attributable to Steel Dynamics, Inc.	$	204,706		$	139,192	$	(9,851	)	$	(129,341	)	$	204,706

For the six months ended,						Combined			Consolidating			Total
June 30, 2015	Parent			Guarantors		Non-Guarantors			Adjustments			Consolidated
Net sales	$	1,564,774		$	4,344,150	$	206,453		$	(2,062,935	)	$	4,052,442
Costs of goods sold	1,362,834			4,091,150		253,116			(2,013,443		)	3,693,657

Gross profit (loss)	201,940			253,000		(46,663		)	(49,492		)	358,785
Selling, general and administrative	60,648			123,769		6,033			(8,995		)	181,455

Operating income (loss)	141,292			129,231		(52,696		)	(40,497		)	177,330
Interest expense, net of capitalized interest	38,703			40,216		3,392			(2,061		)	80,250
Other (income) expense, net	14,879			34		(1,994		)	2,061			14,980

Income (loss) before income taxes and equity in net loss of subsidiaries	87,710			88,981		(54,094		)	(40,497		)	82,100
Income taxes (benefit)	15,038			32,206		(3,626		)	(13,797		)	29,821

	72,672			56,775		(50,468		)	(26,700		)	52,279
Equity in net loss of subsidiaries	(10,361		)	—		—			10,361			—
Net loss attributable to noncontrolling interests	—			—		10,032			—			10,032

Net income (loss) attributable to Steel Dynamics, Inc.	$	62,311		$	56,775	$	(40,436	)	$	(16,339	)	$	62,311

Schedule of Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statements of Cash Flows (in thousands)

For the six months ended,							Combined			Consolidating			Total
June 30, 2016	Parent			Guarantors			Non-Guarantors			Adjustments			Consolidated

Net cash provided by (used in) operating activities	$	183,719		$	264,839		$	(2,066	)	$	379		$	446,871
Net cash used in investing activities	(19,031		)	(35,026		)	(4,746		)	(331		)	(59,134		)
Net cash provided by (used in) financing activities	145,453			(222,896		)	15,388			(48		)	(62,103		)

Increase in cash and equivalents	310,141			6,917			8,576			—			325,634
Cash and equivalents at beginning of period	636,877			81,976			8,179			—			727,032

Cash and equivalents at end of period	$	947,018		$	88,893		$	16,755		$	—		$	1,052,666

For the six months ended,							Combined			Consolidating			Total
June 30, 2015	Parent			Guarantors			Non-Guarantors			Adjustments			Consolidated

Net cash provided by operating activities	$	212,624		$	322,486		$	246		$	8,563		$	543,919
Net cash used in investing activities	(31,419		)	(18,495		)	(13,260		)	9,471			(53,703		)
Net cash provided by (used in) financing activities	(94,522		)	(330,095		)	10,473			(18,034		)	(432,178		)

Increase (decrease) in cash and equivalents	86,683			(26,104		)	(2,541		)	—			58,038
Cash and equivalents at beginning of period	265,313			81,690			14,360			—			361,363

Cash and equivalents at end of period	$	351,996		$	55,586		$	11,819		$	—		$	419,401