Guarantor Financial Information

The accompanying consolidating financial information has been prepared and presented pursuant to Rule 3-10 of SEC Regulation S-X “Financial Statements of Guarantors and Issuers of Guaranteed Securities Registered or Being Registered.” The consolidating financial information presents A. M. Castle & Co. (Parent) and subsidiaries. The consolidating financial information has been prepared on the same basis as the consolidated statements of the Parent. The equity method of accounting is followed within this financial information.

In September 2012, the Company merged Tube Supply, LLC, a guarantor, with the Parent. The Company has reflected this change in its accompanying consolidating financial statements of guarantors and non-guarantors.

Condensed Consolidating Balance Sheet As of December 31, 2012

	Parent		Guarantors			Non-Guarantors			Eliminations			Consolidated
Assets
Current assets
Cash and cash equivalents	$	3,332	$	1,677		$	16,598		$	—		$	21,607
Accounts receivable, less allowance for doubtful accounts	60,293		34,037			43,981			—			138,311
Receivables from affiliates	95		1,118			668			(1,881		)	—
Inventories	183,189		44,874			75,777			(68		)	303,772
Prepaid expenses and other current assets	16,141		(1,490		)	8,239			(202		)	22,688
Total current assets	263,050		80,216			145,263			(2,151		)	486,378
Investment in joint venture	38,854		—			—			—			38,854
Goodwill	12,921		41,556			15,823			—			70,300
Intangible assets	34,343		28,325			19,809			—			82,477
Other assets	28,142		(98		)	3,113			—			31,157
Investment in subsidiaries	245,798		11,526			—			(257,324		)	—
Receivables from affiliates	62,696		83,891			3,280			(149,867		)	—
Property, plant and equipment, net	52,424		15,403			11,813			—			79,640
Total assets	$	738,228	$	260,819		$	199,101		$	(409,342	)	$	788,806
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable	$	40,510	$	13,434		$	14,046		$	—		$	67,990
Payables due to affiliates	742		95			1,044			(1,881		)	—
Other current liabilities	26,566		3,478			8,083			—			38,127
Current portion of long-term debt and short-term debt	386		1			528			—			915
Total current liabilities	68,204		17,008			23,701			(1,881		)	107,032
Long-term debt, less current portion	292,086		—			4,068			—			296,154
Payables due to affiliates	12,114		11,994			125,759			(149,867		)	—
Deferred income taxes	14,209		18,614			(473		)	—			32,350
Other non-current liabilities	14,275		1,339			316			—			15,930
Stockholders’ equity	337,340		211,864			45,730			(257,594		)	337,340
Total liabilities and stockholders’ equity	$	738,228	$	260,819		$	199,101		$	(409,342	)	$	788,806

Condensed Consolidating Balance Sheet As of December 31, 2011

	Parent		Guarantors			Non-Guarantors			Eliminations			Consolidated
Assets
Current assets
Cash and cash equivalents	$	11,534	$	582		$	18,408		$	—		$	30,524
Accounts receivable, less allowance for doubtful accounts	88,434		37,487			55,115			—			181,036
Receivables from affiliates	273		3,495			146			(3,914		)	—
Inventories	163,776		48,980			59,547			(264		)	272,039
Prepaid expenses and other current assets	18,517		(3,331		)	3,483			—			18,669
Total current assets	282,534		87,213			136,699			(4,178		)	502,268
Investment in joint venture	36,460		—			—			—			36,460
Goodwill	12,921		41,556			15,424			—			69,901
Intangible assets	38,238		34,395			21,180			—			93,813
Other assets	34,691		237			2,812			—			37,740
Investment in subsidiaries	243,823		12,151			—			(255,974		)	—
Receivables from affiliates	66,878		71,041			7,292			(145,211		)	—
Property, plant and equipment, net	56,266		15,416			10,459			—			82,141
Total assets	$	771,811	$	262,009		$	193,866		$	(405,363	)	$	822,323
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable	$	84,437	$	14,826		$	17,611		$	—		$	116,874
Payables due to affiliates	1,387		76			2,451			(3,914		)	—
Other current liabilities	25,895		4,459			5,358			—			35,712
Current portion of long-term debt and short-term debt	82		50			560			—			692
Total current liabilities	111,801		19,411			25,980			(3,914		)	153,278
Long-term debt, less current portion	303,739		1			10,500			—			314,240
Payables due to affiliates	23,727		8,572			112,912			(145,211		)	—
Deferred income taxes	6,280		19,647			(277		)	—			25,650
Other non-current liabilities	13,985		2,324			567			—			16,876
Stockholders’ equity	312,279		212,054			44,184			(256,238		)	312,279
Total liabilities and stockholders’ equity	$	771,811	$	262,009		$	193,866		$	(405,363	)	$	822,323

Condensed Consolidating Statement of Operations and Comprehensive (Loss) Income For the year ended December 31, 2012

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Net Sales	$	755,642		$	270,644		$	282,274		$	(38,192	)	$	1,270,368
Costs and expenses:
Cost of materials (exclusive of depreciation and amortization)	548,659			199,004			217,749			(38,125		)	927,287
Warehouse, processing and delivery expense	91,628			32,459			24,169			—			148,256
Sales, general and administrative expense	75,497			30,351			21,965			—			127,813
Depreciation and amortization expense	12,955			8,888			4,024			—			25,867
Operating income (loss)	26,903			(58		)	14,367			(67		)	41,145
Interest expense, net	(25,820		)	—			(15,270		)	—			(41,090		)
Interest expense - unrealized loss on debt conversion option	(15,597		)	—			—			—			(15,597		)
Loss before income taxes and equity in earnings of subsidiaries and joint venture	(14,514		)	(58		)	(903		)	(67		)	(15,542		)
Income taxes	(1,805		)	475			102			(202		)	(1,430		)
Equity in (losses) earnings of subsidiaries	(653		)	(1,203		)	—			1,856			—
Equity in earnings of joint venture	7,224			—			—			—			7,224
Net (loss) income	(9,748		)	(786		)	(801		)	1,587			(9,748		)

Comprehensive (loss) income:
Foreign currency translation gains (losses)	2,369			578			2,369			(2,947		)	2,369
Unrecognized pension and postretirement benefit costs, net of tax	(3,616		)	—			—			—			(3,616		)
Other comprehensive (loss) income	(1,247		)	578			2,369			(2,947		)	(1,247		)
Net loss	(9,748		)	(786		)	(801		)	1,587			(9,748		)
Comprehensive (loss) income	$	(10,995	)	$	(208	)	$	1,568		$	(1,360	)	$	(10,995	)

Condensed Consolidating Statement of Operations Comprehensive (Loss) Income For the year ended December 31, 2011

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Net Sales	$	621,036		$	283,290		$	237,201		$	(9,161	)	$	1,132,366
Costs and expenses:
Cost of materials (exclusive of depreciation and amortization)	466,133			207,269			181,104			(8,897		)	845,609
Warehouse, processing and delivery expense	80,543			33,828			20,527			—			134,898
Sales, general and administrative expense	74,154			31,807			20,232			—			126,193
Depreciation and amortization expense	8,874			8,910			2,688			—			20,472
Operating (loss) income	(8,668		)	1,476			12,650			(264		)	5,194
Interest expense, net	(4,982		)	—			(4,681		)	—			(9,663		)
Interest expense - unrealized loss on debt conversion option	(3,991		)										(3,991		)
Loss on extinguishment of debt	(6,153		)	—			—			—			(6,153		)
(Loss) income before income taxes and equity in earnings of subsidiaries and joint venture	(23,794		)	1,476			7,969			(264		)	(14,613		)
Income taxes	3,267			(433		)	(1,708		)	—			1,126
Equity in earnings of subsidiaries	7,040			(209		)	—			(6,831		)	—
Equity in earnings of joint venture	11,727			—			—			—			11,727
Net (loss) income	(1,760		)	834			6,261			(7,095		)	(1,760		)

Comprehensive (loss) income:
Foreign currency translation (losses) gains	(941		)	1,180			(941		)	(239		)	(941		)
Unrecognized pension and postretirement benefit costs, net of tax	(3,071		)	—			—			—			(3,071		)
Other comprehensive (loss) income	(4,012		)	1,180			(941		)	(239		)	(4,012		)
Net (loss) income	(1,760		)	834			6,261			(7,095		)	(1,760		)
Comprehensive (loss) income	$	(5,772	)	$	2,014		$	5,320		$	(7,334	)	$	(5,772	)

Condensed Consolidating Statement of Operations Comprehensive (Loss) Income For the year ended December 31, 2010

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Net Sales	$	498,848		$	266,491		$	186,654		$	(8,287	)	$	943,706
Costs and expenses:
Cost of materials (exclusive of depreciation and amortization)	369,865			195,184			144,092			(8,287		)	700,854
Warehouse, processing and delivery expense	72,234			33,250			17,834			—			123,318
Sales, general and administrative expense	61,751			29,684			16,788			—			108,223
Depreciation and amortization expense	8,665			9,114			2,870			—			20,649
Operating (loss) income	(13,667		)	(741		)	5,070			—			(9,338		)
Interest expense, net	(1,008		)	—			(3,980		)	—			(4,988		)
(Loss) income before income taxes and equity in earnings of subsidiaries and joint venture	(14,675		)	(741		)	1,090			—			(14,326		)
Income taxes	3,106			420			(425		)	—			3,101
Equity in earnings of subsidiaries	344			110			—			(454		)	—
Equity in earnings of joint venture	5,585			—			—			—			5,585
Net (loss) income	(5,640		)	(211		)	665			(454		)	(5,640		)

Comprehensive (loss) income:
Foreign currency translation (losses) gains	(536		)	(2,337		)	(536		)	2,873			(536		)
Unrecognized pension and postretirement benefit costs, net of tax	(1,748		)	—			—			—			(1,748		)
Other comprehensive (loss) income	(2,284		)	(2,337		)	(536		)	2,873			(2,284		)
Net (loss) income	(5,640		)	(211		)	665			(454		)	(5,640		)
Comprehensive (loss) income	$	(7,924	)	$	(2,548	)	$	129		$	2,419		$	(7,924	)

Condensed Consolidating Statement of Cash Flows For the year ended December 31, 2012

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Operating activities:
Net (loss) income	$	(9,748	)	$	(786	)	$	(801	)	$	1,587		$	(9,748	)
Equity in losses of subsidiaries	653			1,203			—			(1,856		)	—
Adjustments to reconcile net (loss) income to cash provided by operating activities	10,688			12,951			(8,809		)	269			15,099
Net cash from (used in) operating activities	1,593			13,368			(9,610		)	—			5,351
Investing activities:
Acquisition/Investment of businesses, net of cash acquired	(6,472		)	—			—			—			(6,472		)
Capital expenditures	(5,336		)	(2,802		)	(2,983		)	—			(11,121		)
Other investing activities, net	—			6			147			—			153
Net cash used in investing activities	(11,808		)	(2,796		)	(2,836		)	—			(17,440		)
Financing activities:
Proceeds from long-term debt, including new revolving credit facility	756,550			—			10,540			—			767,090
Repayments of long-term debt, including new revolving credit facility	(745,839		)	(49		)	(16,999		)	—			(762,887		)
Payment of debt issue costs	(1,503		)	—			—			—			(1,503		)
Net intercompany (repayments) borrowings	(7,431		)	(9,428		)	16,859			—			—
Other financing	236			—			(27		)	—			209
Net cash from (used in) financing activities	2,013			(9,477		)	10,373			—			2,909
Effect of exchange rate changes on cash and cash equivalents	—			—			263			—			263
(Decrease) increase in cash and cash equivalents	(8,202		)	1,095			(1,810		)	—			(8,917		)
Cash and cash equivalents - beginning of year	11,534			582			18,408			—			30,524
Cash and cash equivalents - end of period	$	3,332		$	1,677		$	16,598		$	—		$	21,607

Condensed Consolidating Statement of Cash Flows For the year ended December 31, 2011

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Operating activities:
Net (loss) income	$	(1,760	)	$	834		$	6,261		$	(7,095	)	$	(1,760	)
Equity in earnings of subsidiaries	(7,040		)	209			—			6,831			—
Adjustments to reconcile net (loss) income to cash provided by operating activities	10,232			15,095			(70,119		)	264			(44,528		)
Net cash from (used in) operating activities	1,432			16,138			(63,858		)	—			(46,288		)
Investing activities:
Acquisition/Investment of businesses, net of cash acquired	(175,836		)	—			1,592						(174,244		)
Capital expenditures	(6,077		)	(2,783		)	(2,884		)	—			(11,744		)
Other investing activities, net	605			136			58			—			799
Net cash used in investing activities	(181,308		)	(2,647		)	(1,234		)	—			(185,189		)
Financing activities:
Net borrowings (repayments) of debt	82			8			(25,840		)	—			(25,750		)
Proceeds from long-term debt, including new revolving credit facility	309,625			—			10,851			—			320,476
Repayments of long-term debt, including new revolving credit facility	(52,896		)	(55		)	(261		)	—			(53,212		)
Payment of debt issue costs	(16,380		)	—			(253		)	—			(16,633		)
Net intercompany (repayments) borrowings	(57,307		)	(13,930		)	71,237			—			—
Other financing activities, net	657			—			—			—			657
Net cash from (used in) financing activities	183,781			(13,977		)	55,734			—			225,538
Effect of exchange rate changes on cash and cash equivalents	—			—			(253		)	—			(253		)
Increase (decrease) in cash and cash equivalents	3,905			(486		)	(9,611		)	—			(6,192		)
Cash and cash equivalents - beginning of year	7,629			1,068			28,019			—			36,716
Cash and cash equivalents - end of period	$	11,534		$	582		$	18,408		$	—		$	30,524

Condensed Consolidating Statement of Cash Flows For the year ended December 31, 2010

	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
Operating activities:
Net (loss) income	$	(5,640	)	$	(211	)	$	665		$	(454	)	$	(5,640	)
Equity in earnings of subsidiaries	(344		)	(110		)	—			454			—
Adjustments to reconcile net (loss) income to cash provided by operating activities	12,721			29,562			500			(2,781		)	40,002
Net cash from (used in) operating activities	6,737			29,241			1,165			(2,781		)	34,362
Investing activities:
Capital expenditures	(4,244		)	(1,267		)	(2,061		)	—			(7,572		)
Other investing activities, net	125			4			—			—			129
Net cash used in investing activities	(4,119		)	(1,263		)	(2,061		)	—			(7,443		)
Financing activities:
Net (repayments) borrowings of debt	(13,720		)	—			2,324			—			(11,396		)
Repayments of long-term debt	(7,007		)	(343		)	(404		)	—			(7,754		)
Net intercompany borrowings (repayments)	15,794			(27,350		)	8,775			2,781			—
Other financing activities, net	785			—			—			—			785
Net cash (used in) from financing activities	(4,148		)	(27,693		)	10,695			2,781			(18,365		)
Effect of exchange rate changes on cash and cash equivalents	—			—			(149		)	—			(149		)
(Decrease) increase in cash and cash equivalents	(1,530		)	285			9,650			—			8,405
Cash and cash equivalents - beginning of year	9,159			783			18,369			—			28,311
Cash and cash equivalents - end of period	$	7,629		$	1,068		$	28,019		$	—		$	36,716