Condensed Consolidating Information (Tables)

9 Months Ended

Sep. 30, 2017

Condensed Consolidating Information

Schedule of Condensed Consolidating Balance Sheets

Condensed Consolidating Balance Sheets (in thousands)
					Combined		Consolidating		Total
As of September 30, 2017	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Cash and equivalents	$	1,064,499	$	32,968	$	4,497	$	-	$	1,101,964
Accounts receivable, net		294,753		1,450,968		48,082		(870,786)		923,017
Inventories		669,076		754,526		72,990		(9,076)		1,487,516
Other current assets		36,828		21,404		5,124		(3,708)		59,648
Total current assets		2,065,156		2,259,866		130,693		(883,570)		3,572,145
Property, plant and equipment, net		873,015		1,634,215		201,547		-		2,708,777
Intangible assets, net		-		231,838		31,519		-		263,357
Goodwill		-		380,695		7,823		-		388,518
Other assets, including investments in subs		2,611,965		7,060		5,578		(2,596,663)		27,940
Total assets	$	5,550,136	$	4,513,674	$	377,160	$	(3,480,233)	$	6,960,737
Accounts payable	$	196,177	$	348,347	$	106,208	$	(122,049)	$	528,683
Accrued expenses		224,156		251,694		9,437		(130,102)		355,185
Current maturities of long-term debt		167,840		-		40,482		(25,661)		182,661
Total current liabilities		588,173		600,041		156,127		(277,812)		1,066,529
Long-term debt		2,324,240		-		172,243		(145,000)		2,351,483
Other liabilities		(467,002)		983,737		27,238		(62,269)		481,704
Total liabilities		2,445,411		1,583,778		355,608		(485,081)		3,899,716
Redeemable noncontrolling interests		-		-		111,240		-		111,240
Common stock		641		1,727,859		14,908		(1,742,767)		641
Treasury stock		(650,210)		-		-		-		(650,210)
Additional paid-in-capital		1,147,463		128,076		791,196		(919,272)		1,147,463
Retained earnings (deficit)		2,606,831		1,073,961		(740,848)		(333,113)		2,606,831
Total Steel Dynamics, Inc. equity		3,104,725		2,929,896		65,256		(2,995,152)		3,104,725
Noncontrolling interests		-		-		(154,944)		-		(154,944)
Total equity		3,104,725		2,929,896		(89,688)		(2,995,152)		2,949,781
Total liabilities and equity	$	5,550,136	$	4,513,674	$	377,160	$	(3,480,233)	$	6,960,737

Note 10.  Condensed Consolidating Information (Continued)

					Combined		Consolidating		Total
As of December 31, 2016	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Cash and equivalents	$	766,685	$	54,677	$	20,121	$	-	$	841,483
Accounts receivable, net		229,148		1,257,245		23,689		(780,298)		729,784
Inventories		587,319		639,148		58,696		(9,952)		1,275,211
Other current assets		45,049		36,062		4,447		(2,361)		83,197
Total current assets		1,628,201		1,987,132		106,953		(792,611)		2,929,675
Property, plant and equipment, net		899,370		1,679,751		208,094		-		2,787,215
Intangible assets, net		-		251,919		32,058		-		283,977
Goodwill		-		385,527		7,824		-		393,351
Other assets, including investments in subs		2,769,884		7,335		5,832		(2,753,537)		29,514
Total assets	$	5,297,455	$	4,311,664	$	360,761	$	(3,546,148)	$	6,423,732
Accounts payable	$	141,089	$	265,764	$	89,659	$	(101,316)	$	395,196
Accrued expenses		198,085		220,917		8,793		(113,808)		313,987
Current maturities of long-term debt		674		700		29,347		(27,089)		3,632
Total current liabilities		339,848		487,381		127,799		(242,213)		712,815
Long-term debt		2,324,298		-		168,566		(139,670)		2,353,194
Other liabilities		(293,711)		1,219,444		42,482		(499,191)		469,024
Total liabilities		2,370,435		1,706,825		338,847		(881,074)		3,535,033
Redeemable noncontrolling interests		-		-		111,240		-		111,240
Common stock		641		1,727,859		14,908		(1,742,767)		641
Treasury stock		(416,829)		-		-		-		(416,829)
Additional paid-in-capital		1,132,749		128,076		779,678		(907,754)		1,132,749
Retained earnings (deficit)		2,210,459		748,904		(734,351)		(14,553)		2,210,459
Total Steel Dynamics, Inc. equity		2,927,020		2,604,839		60,235		(2,665,074)		2,927,020
Noncontrolling interests		-		-		(149,561)		-		(149,561)
Total equity		2,927,020		2,604,839		(89,326)		(2,665,074)		2,777,459
Total liabilities and equity	$	5,297,455	$	4,311,664	$	360,761	$	(3,546,148)	$	6,423,732

Schedule of Condensed Consolidating Statements of Operations

Condensed Consolidating Statements of Operations (in thousands)
For the three months ended,					Combined		Consolidating		Total
September 30, 2017	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Net sales	$	946,136	$	2,641,067	$	161,556	$	(1,305,377)	$	2,443,382
Costs of goods sold		763,310		2,402,670		157,564		(1,276,680)		2,046,864
Gross profit		182,826		238,397		3,992		(28,697)		396,518
Selling, general and administrative		51,464		74,151		4,896		(5,008)		125,503
Operating income (loss)		131,362		164,246		(904)		(23,689)		271,015
Interest expense, net of capitalized interest		18,831		14,481		3,181		(2,316)		34,177
Other (income) expense, net		2,660		(2,492)		42		2,316		2,526
Income (loss) before income taxes and
equity in net income of subsidiaries		109,871		152,257		(4,127)		(23,689)		234,312
Income taxes		35,309		55,183		1,169		(8,361)		83,300
		74,562		97,074		(5,296)		(15,328)		151,012
Equity in net income of subsidiaries		78,696		-		-		(78,696)		-
Net loss attributable to noncontrolling interests		-		-		2,246		-		2,246
Net income (loss) attributable to Steel Dynamics, Inc.	$	153,258	$	97,074	$	(3,050)	$	(94,024)	$	153,258

For the three months ended,					Combined		Consolidating		Total
September 30, 2016	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Net sales	$	845,585	$	2,258,466	$	96,409	$	(1,099,150)	$	2,101,310
Costs of goods sold		647,983		2,016,874		100,470		(1,072,520)		1,692,807
Gross profit (loss)		197,602		241,592		(4,061)		(26,630)		408,503
Selling, general and administrative		52,995		72,605		4,134		(5,086)		124,648
Operating income (loss)		144,607		168,987		(8,195)		(21,544)		283,855
Interest expense, net of capitalized interest		17,818		17,741		2,847		(2,207)		36,199
Other (income) expense, net		2,342		3,937		(4,135)		2,207		4,351
Income (loss) before income taxes and
equity in net income of subsidiaries		124,447		147,309		(6,907)		(21,544)		243,305
Income taxes		40,242		55,684		797		(7,831)		88,892
		84,205		91,625		(7,704)		(13,713)		154,413
Equity in net income of subsidiaries		73,192		-		-		(73,192)		-
Net loss attributable to noncontrolling interests		-		-		2,984		-		2,984
Net income (loss) attributable to Steel Dynamics, Inc.	$	157,397	$	91,625	$	(4,720)	$	(86,905)	$	157,397

Note 10.  Condensed Consolidating Information (Continued)

For the nine months ended,					Combined		Consolidating		Total
September 30, 2017	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Net sales	$	2,797,557	$	7,827,981	$	449,902	$	(3,873,122)	$	7,202,318
Costs of goods sold		2,241,936		7,054,938		432,657		(3,788,403)		5,941,128
Gross profit (loss)		555,621		773,043		17,245		(84,719)		1,261,190
Selling, general and administrative		164,061		226,153		15,253		(15,211)		390,256
Operating income (loss)		391,560		546,890		1,992		(69,508)		870,934
Interest expense, net of capitalized interest		55,353		44,245		9,494		(7,073)		102,019
Other (income) expense, net		(4,463)		(7,305)		(273)		7,073		(4,968)
Income (loss) before income taxes and
equity in net income of subsidiaries		340,670		509,950		(7,229)		(69,508)		773,883
Income taxes		106,036		184,891		4,651		(24,320)		271,258
		234,634		325,059		(11,880)		(45,188)		502,625
Equity in net income of subsidiaries		273,374		-		-		(273,374)		-
Net loss attributable to noncontrolling interests		-		-		5,383		-		5,383
Net income (loss) attributable to Steel Dynamics, Inc.	$	508,008	$	325,059	$	(6,497)	$	(318,562)	$	508,008

For the nine months ended,					Combined		Consolidating		Total
September 30, 2016	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Net sales	$	2,297,389	$	6,322,158	$	271,694	$	(3,024,728)	$	5,866,513
Costs of goods sold		1,823,408		5,676,265		286,486		(2,944,568)		4,841,591
Gross profit (loss)		473,981		645,893		(14,792)		(80,160)		1,024,922
Selling, general and administrative		145,596		212,613		9,352		(14,581)		352,980
Operating income (loss)		328,385		433,280		(24,144)		(65,579)		671,942
Interest expense, net of capitalized interest		53,842		54,493		7,558		(6,005)		109,888
Other (income) expense, net		(2,137)		8,012		(11,139)		6,005		741
Income (loss) before income taxes and
equity in net income of subsidiaries		276,680		370,775		(20,563)		(65,579)		561,313
Income taxes (benefit)		89,210		139,958		(63)		(23,966)		205,139
		187,470		230,817		(20,500)		(41,613)		356,174
Equity in net income of subsidiaries		174,633		-		-		(174,633)		-
Net loss attributable to noncontrolling interests						5,929				5,929
Net income (loss) attributable to Steel Dynamics, Inc.	$	362,103	$	230,817	$	(14,571)	$	(216,246)	$	362,103

Schedule of Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statements of Cash Flows (in thousands)
For the nine months ended,					Combined		Consolidating		Total
September 30, 2017	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Net cash provided (used in) by operating activities	$	126,267	$	434,450	$	(17,762)	$	4,650	$	547,605
Net cash used in investing activities		(48,799)		(50,975)		(7,006)		3,902		(102,878)
Net cash provided by (used in) financing activities		220,346		(405,184)		9,144		(8,552)		(184,246)
Increase (decrease) in cash and equivalents		297,814		(21,709)		(15,624)		-		260,481
Cash and equivalents at beginning of period		766,685		54,677		20,121		-		841,483
Cash and equivalents at end of period	$	1,064,499	$	32,968	$	4,497	$	-	$	1,101,964

For the nine months ended,					Combined		Consolidating		Total
September 30, 2016	Parent		Guarantors		Non-Guarantors		Adjustments		Consolidated
Net cash provided by operating activities	$	282,918	$	358,657	$	52	$	3,735	$	645,362
Net cash used in investing activities		(143,427)		(81,983)		(3,935)		2,879		(226,466)
Net cash provided by (used in) financing activities		196,242		(297,596)		13,529		(6,614)		(94,439)
Increase (decrease) in cash and equivalents		335,733		(20,922)		9,646		-		324,457
Cash and equivalents at beginning of period		636,877		81,976		8,179		-		727,032
Cash and equivalents at end of period	$	972,610	$	61,054	$	17,825	$	-	$	1,051,489