MARCH 2020Our actual results could differ materiallyfrom those anticipated in our forward-looking statements including as a result of the risk factors described in our MD&A andAnnual

MARCH 2020

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

Russel Metals2

Certain statements contained in this document constitute forward-looking statements or information within the meaning ofapplicable securities laws, including statements as to our future capital expenditures, our outlook, the availability of futurefinancing and our ability to pay dividends. Forward-looking statements relate to future events or our future performance.All statements, other than statements of historical fact, are forward-looking statements. Forward-looking statements arenecessarily based on estimates and assumptions that, while considered reasonable by us, inherently involve known andunknown risks, uncertainties and other factors that may cause actual results or events to differ materially from thoseanticipated in such forward-looking statements.

Our actual results could differ materially from those anticipated in our forward-looking statements including as a result ofthe risk factors described in our MD&A and Annual Information Form.

While we believe that the expectations reflected in our forward-looking statements are reasonable, no assurance can begiven that these expectations will prove to be correct, and our forward-looking statements included in this document shouldnot be unduly relied upon. These statements speak only as of the date of this document and, except as required by law, wedo not assume any obligation to update our forward-looking statements.

RISK FACTORS: Such risks and uncertainties include, but are not limited to: the volatility in metal prices; volatility in oiland natural gas prices; cyclicality of the metals industry; capital budgets in the energy industry; pandemics and epidemics;climate change; product claims; significant competition; sources of metals supply; manufacturers selling directly; materialsubstitution; credit risk; currency exchange risk; restrictive debt covenants; asset impairments; the unexpected loss of keyindividuals; decentralized operating structure; future acquisitions; the failure of our key computer-based systems; labourinterruptions; laws and governmental regulations; litigious environment; environmental liabilities; carbon emissions; healthand safety laws and regulations and common share risk.

OVERVIEW OF RUSSEL METALS

Russel Metals3

We are one of the largest metals distribution and processing companies in North America.

We are one of the largest pipe, valve and fittings companies in North America.

Consolidated Revenues:Q1 2020 - $815 millionQ1 2019 - $1.0 billion

Based on revenues for the quarter ended March 31, 2020:67% Canada33% U.S.

Free cash flow of $0.41 per share from operations and $0.36 per share from working capital.

Declared dividend of $0.38 per share payable June 14, 2020.

Dividend yield 11.6%.

Market cap based on $13.09 per share is $814 million. Listed on TSX.

EPS (2013 – 2020)

Russel Metals4

$-

$0.25

$0.50

$0.75

$1.00

$1.25

$1.50

$1.75

$2.00

$2.25

$2.50

$2.75

$3.00

$3.25

$3.50

$3.75

2013 2014 2015 2016 2017 2018 2019 Q1 2019 Q1 2020

$1.37

$2.01

$(1.42)

$1.02

$2.00

$3.53

$1.23

$0.55

$0.17

DEBT EQUITY RATIO

Russel Metals5

-

0.10

0.20

0.30

0.40

0.50

0.60

0.70

2013 2014 2015 2016 2017 2018 2019 20-Mar

Note: 2013 and 2014 adjusted for convertible debentures

THREE DISTINCT SEGMENTS

Russel Metals6

Metals Service Centers

54% (52%)

Energy Products

39% (36%)

Steel Distributors

7% (12%)

Metals Service Centers

71% (41%)

Energy Products

26% (45%)

Steel Distributors

3% (14%)

REVENUETHREE MONTHS ENDED 2020 (2019)

EBITTHREE MONTHS ENDED 2020 (2019)

OPERATING UNITS

Russel Metals7

Sunbelt(Texas)

Wirth Steel(Montreal)

Man/Sask Ontario

Quebec(Acier Leroux)

Atlantic

AlbertaBritish Columbia

(A.J. Forsyth)

Fedmet Tubulars(Alberta)

Comco Pipe(Alberta)

Triumph Tubulars(Alberta)

Apex Distribution(Alberta)

Pioneer(Colorado)

Spartan(Texas)

Elite Supply Partners(Oklahoma/Texas)

South East(JMS Russel Metals)

Wisconsin(Williams Bahcall)

Ohio(Baldwin)

Metals Service Centers (48 units)

Metals Service Centers (16 units)

Energy Products (49 units)

Energy Products (24 units)

Steel Distributors (2 units)

Steel Distributors (3 units)

CANADA

UNITED STATES

BALANCE SHEET AS OF MARCH 2020

Russel Metals8

(millions)

ASSETS EMPLOYED

Cash 52$ 2%

Accounts Receivable 475 24%

Inventories 907 45%

Property, Plant and Equipment 384 19%

Goodwill/Intangibles 141 7%

Other 52 3%

2,011$ 100%

Bank Indebtedness 51$ 3%

Trade Creditors 386 19%

Long-term Debt 445 22%

Lease Obligations and Other 149 7%

Shareholders Equity 980 49%

2,011$ 100%

FINANCED BY

Plate16.3% (19.5%)

Structurals (Beams & HSS)22.8% (23.2%)Flanges, Valves, Fittings &

Other Energy20.2% (17.0%)

Pipe Products19.5% (19.7%)

Bars5.4% (4.7%)

Flat Rolled7.1% (7.7%)

Non Ferrous3.7% (3.6%) Other

5.0% (4.6%)

BROAD PRODUCT FOCUS BREAKDOWN FORTHREE MONTHS ENDED MARCH 31, 2020 (2019)

Russel Metals9

TOP MILL SUPPLIERSTHREE MONTHS ENDED MARCH 31, 2020

Russel Metals10

% of total purchased Products Purchased

Supplier 1 9.4% Long ProductsSupplier 2 7.3% Flat Roll / Plate / Long Products Supplier 3 5.5% PipeSupplier 4 5.0% PlateSupplier 5 4.9% Flat Roll / PlateSupplier 6 4.9% TubingSupplier 7 4.2% Long Products / Plate / PipeSupplier 8 3.8% OCTGSupplier 9 3.6% Long Products / Plate / Flat RollSupplier 10 1.8% Flanges, Fittings & ValvesTop 10 Suppliers 50.5%

SERVICE CENTER/DISTRIBUTION COMPETITORS

Russel Metals11

Source: Metals Center News or public data2019 information for private companies not available at this time

RANKED BY REVENUE Public/(in billions) 2019 2018 Private Headquarters

Reliance Steel & Aluminum Co. 11.0$ 11.5$ Public U.S.Ryerson Inc. 4.5 4.4 Public U.S.MRC Global 3.7 4.2 Public U.S.Russel Metals Inc. 3.7 4.2 Public Canada *Samuel, Son & Co. 4.0 Private Canada *Worthington Steel Co. 3.8 3.6 Public U.S.Klockner (North America) 2.2 3.2 Public U.K.NOW Inc. 2.9 3.1 Public U.S.ThyssenKrupp Materials NA, Inc. 2.5 3.0 Public U.S.O'Neal Steel Inc. 2.7 Private U.S.Steel Technologies LLC 2.6 Private U.S.Alro Steel Corp. 2.0 Private U.S.Olympic Steel Inc. 1.6 1.7 Public U.S.

* Noted in Canadian Funds

AGGREGATE EMISSION SOURCES

Diesel Fuel

Natural Gas

Gasoline

Propane

Electricity

ESG FOCUSED

Russel Metals12

Environmental• Environment Management System• Low carbon emissions from operations• Our GHG emissions in 2019 were

approximately 56,346 CO2 (e) company wide which represents an emission intensity of 0.00001533 tonnes CO2 (e)per dollar of revenue

Governance• Independent Board and Audit Committee• Majority Voting• Code of Business Conduct• Independent Whistleblower program• 2020 22% Female Board, 50% Executive

Social• Structured H&S Program• Ethical, Privacy and Social Policies• Community Involvement• Scholarship fund for children of

employees

2019 2018 2017

Number of Employees 3,400 3,420 3,150

Number of Lost Time Accidents 21 31 49

Number of Lost Time Days 592 962 1,250

Frequency * 0.61 0.89 1.42

Severity * 17.40 27.73 37.02

Medical Aids * 163 208 170

First Aids * 236 244 160

Disclosure updated on Russel’s website when data is available

Our primary health and safety metrics:

* See Russel Metals Annual Information Form for definitions and additional information

MARKET TRENDS

Russel Metals13

MONTHLY SERVICE CENTER SHIPMENTS –STEEL PRODUCTS

Russel Metals14

0

100

200

300

400

500

600

700

800

900

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

Jan-

16Fe

b-16

Mar

-16

Apr

-16

May

-16

Jun-

16Ju

l-16

Aug

-16

Sep-

16O

ct-1

6N

ov-1

6D

ec-1

6Ja

n-17

Feb-

17M

ar-1

7A

pr-1

7M

ay-1

7Ju

n-17

Jul-1

7A

ug-1

7Se

p-17

Oct

-17

Nov

-17

Dec

-17

Jan-

18Fe

b-18

Mar

-18

Apr

-18

May

-18

Jun-

18Ju

l-18

Aug

-18

Sep-

18O

ct-1

8N

ov-1

8D

ec-1

8Ja

n-19

Feb-

19M

ar-1

9A

pr-1

9M

ay-1

9Ju

n-19

Jul-1

9A

ug-1

9Se

p-19

Oct

-19

Nov

-19

Dec

-19

Jan-

20Fe

b-20

Mar

-20

Can

adia

n sh

ipm

ents

-To

ns in

Tho

usan

ds

US

Ship

men

ts-T

ons i

n Tho

usan

ds

US CANADA

200

300

400

500

600

700

800

900

1,000

1,100

1,200

Jan-

11M

ar-1

1M

ay-1

1Ju

l-11

Sep-

11N

ov-1

1Ja

n-12

Mar

-12

May

-12

Jul-1

2Se

p-12

Nov

-12

Jan-

13M

ar-1

3M

ay-1

3Ju

l-13

Sep-

13N

ov-1

3Ja

n-14

Mar

-14

May

-14

Jul-1

4Se

p-14

Nov

-14

Jan-

15M

ar-1

5M

ay-1

5Ju

l-15

Sep-

15N

ov-1

5Ja

n-16

Mar

-16

May

-16

Jul-1

6Se

p-16

Nov

-16

Jan-

17M

ar-1

7M

ay-1

7Ju

l-17

Sep-

17N

ov-1

7Ja

n-18

Mar

-18

May

-18

Jul-1

8Se

p-18

Nov

-18

Jan-

19M

ar-1

9M

ay-1

9Ju

l-19

Sep-

19N

ov-1

9Ja

n-20

Mar

-20

HR Sheet Carbon Plate

PRICE OF HR SHEET & HR PLATE

Russel Metals15 Source: American Metal Market

US$ per Ton

SCRAP PRICING


$100

$150

$200

$250

$300

$350

$400

$450

$500

Jan-

13M

ar-1

3M

ay-1

3Ju

l-13

Sep-

13N

ov-1

3Ja

n-14

Mar

-14

May

-14

Jul-1

4Se

p-14

Nov

-14

Jan-

15M

ar-1

5M

ay-1

5Ju

l-15

Sep-

15N

ov-1

5Ja

n-16

Mar

-16

May

-16

Jul-1

6Se

p-16

Nov

-16

Jan-

17M

ar-1

7M

ay-1

7Ju

l-17

Sep-

17N

ov-1

7Ja

n-18

Mar

-18

May

-18

Jul-1

8Se

p-18

Nov

-18

Jan-

19M

ar-1

9M

ay-1

9Ju

l-19

Sep-

19N

ov-1

9Ja

n-20

Mar

-20

AMM Scrap Values

$0

$200

$400

$600

$800

$1,000

$1,200

Jan-

16Fe

b-16

Mar

-16

Apr

-16

May

-16

Jun-

16Ju

l-16

Aug

-16

Sep-

16O

ct-1

6N

ov-1

6D

ec-1

6Ja

n-17

Feb-

17M

ar-1

7A

pr-1

7M

ay-1

7Ju

n-17

Jul-1

7A

ug-1

7Se

p-17

Oct

-17

Nov

-17

Dec

-17

Jan-

18Fe

b-18

Mar

-18

Apr

-18

May

-18

Jun-

18Ju

l-18

Aug

-18

Sep-

18O

ct-1

8N

ov-1

8D

ec-1

8Ja

n-19

Feb-

19M

ar-1

9A

pr-1

9M

ay-1

9Ju

n-19

Jul-1

9A

ug-1

9Se

p-19

Oct

-19

Nov

-19

Dec

-19

Jan-

20Fe

b-20

Mar

-20

Apr

-20

May

-20

US

$ /

Ton

#1 Heavy Melt (Chicago) HR Sheet HR Plate

SCRAP VS COIL AND PLATE PRICING


CARBON PLATE, HR SHEET & RUSSEL EBIT

Russel Metals18

$0

$20

$40

$60

$80

$100

$120

$140

$160

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600Q

1-20

08

Q3-

2008

Q1-

2009

Q3-

2009

Q1-

2010

Q3-

2010

Q1-

2011

Q3-

2011

Q1-

2012

Q3-

2012

Q1-

2013

Q3-

2013

Q1-

2014

Q3-

2014

Q1-

2015

Q3-

2015

Q1-

2016

Q3-

2016

Q1-

2017

Q3-

2017

Q1-

2018

Q3-

2018

Q1-

2019

Q3-

2019

Q1-

2020

EBIT

(mill

ions

of d

olla

rs)

Carb

on P

late

/ HR

She

et (U

S$ p

er T

on)

Carbon Plate HR Sheet EBIT

Source: American Metal Market

Adjusted EBIT Q3-19 and Q4-19

MILL PRODUCTION TONS

Russel Metals19

700

900

1,100

1,300

1,500

1,700

1,900

2,100

Jan-

13M

ar-1

3M

ay-1

3Ju

l-13

Sep-

13N

ov-1

3Ja

n-14

Mar

-14

May

-14

Jul-1

4Se

p-14

Nov

-14

Jan-

15M

ar-1

5M

ay-1

5Ju

l-15

Sep-

15N

ov-1

5Ja

n-16

Mar

-16

May

-16

Jul-1

6Se

p-16

Nov

-16

Jan-

17M

ar-1

7M

ay-1

7Ju

l-17

Sep-

17N

ov-1

7Ja

n-18

Mar

-18

May

-18

Jul-1

8Se

p-18

Nov

-18

Jan-

19M

ar-1

9M

ay-1

9Ju

l-19

Sep-

19N

ov-1

9Ja

n-20

Mar

-20

Net

Tons

(000

's)

Source: American Metal Market

OIL AND NATURAL GAS PRICES

Russel Metals20

$-

$10

$20

$30

$40

$50

$60

$70

$80

$90

$100

$110

$120

$-

$1

$2

$3

$4

$5

$6

$7

$8

$9

$10

Oil

Pric

es (C

DN

)

Gas

Pri

ces (

CD

N)

Natural Gas Crude Oil

Source: Henry Hub

NORTH AMERICAN RIG COUNT

Russel Metals21

0

250

500

750

1,000

1,250

1,500

1,750

2,000

2,250

0

100

200

300

400

500

600

700

800

900

1,000

Canada U.S

Source: Baker Hughes

RMI OPERATIONS

METALSSERVICECENTERS

ENERGYPRODUCTS

STEELDISTRIBUTORS

TOTAL REVENUES & EBIT AS A % OF REVENUES

Russel Metals23

924 893 1,039 1,013 904 761 773 673 662 624 639 654 804 817 851 825 931 978 1,140 1,115 1,033 937 869 837 815

5.8%

6.3% 6.1%

4.8%

4.3%

4.6%

3.5%

2.6% 2.5%

4.8%

4.3%

2.6%

6.0%

6.6% 6.8%

5.7%

6.5%

9.9%

8.9%

6.4%

5.6% 5.4%

4.6%

3.1%

2.4%

0%

2%

4%

6%

8%

10%

$-

$200

$400

$600

$800

$1,000

$1,200

Q1-

14

Q2-

14

Q3-

14

Q4-

14

Q1-

15

Q2-

15

Q3-

15

Q4-

15

Q1-

16

Q2-

16

Q3-

16

Q4-

16

Q1-

17

Q2-

17

Q3-

17

Q4-

17

Q1-

18

Q2-

18

Q3-

18

Q4-

18

Q1-

19

Q2-

19

Q3-

19

Q4-

19

Q1-

20

($00

0,00

0's)

Adjusted for Inventory Write Downs of Q1-15 $2.5, Q2-15 $3.7, Q3-15 $8.4, Q4-15 $46.8, Q3-19 $5.3 and Q4-19 $18.3 and City Pipe Q4-19 $5.5

METALS SERVICE CENTERS –STRONG CANADIAN FRANCHISE

Russel Metals24

Q1 - 2020 revenues of $437 million, EBIT of $18 million.

2019 revenues of $2.0 billion, EBIT of $74 million.

48 Metals Service Centers in Canada.

16 Metals Service Centers in U.S.

Broad customer base - 19,000 Canadian, 14,000 U.S.

Average invoice 2019 $2,371 (2018: $2,422)

Approximately 2019 – 3,303 invoices per day (2018: 3,274)

Information unless otherwise noted as of March 31, 2020

ROLE OF METAL SERVICE CENTERS

Russel Metals25

SUPPLIERS METALS SERVICE CENTERS CUSTOMERS

Mills producing base metal products

Source material and purchase in large quantity

Manufacturers, fabricators

Processing includes pickling, blanking, tube production from sheet coating

Process material to meet specific customer requirements

Focused on design assembly, marketing

Limited ability service multiple customer needs

Arrange logistics for delivery where and when customer needs

Want just-in-time completed parts to production line

Long lead time order to delivery

Processing includes cut-to-length, cut parts using laser, oxy fuel or plasma, sawing, blanking, welding

Some eliminating first stage processing

Large volumes Some processors provide pickling and coating

Some end users continue to process parts but source material from service centers

METALS SERVICE CENTERSLOCATION OF OPERATIONS

Russel Metals26

48 Locations

16 Locations

METAL SERVICE CENTERS PROCESSINGCAPABILITIES

Russel Metals27

• Cutting-to-Length• Stretcher Leveling• Blanking• Leveling• Edge Trimming• Slitting

• Oxygen Fuel Cutting• Plasma Cutting• Hi-definition Plasma Cutting• Laser Cutting• Drilling, Tapping, Beveling• Tube Laser Cutting

PROCESSING CAPABILITIES

Russel Metals28

• 3D and Tilt Cutting• Bundle Cutting• Shot Blasting

• Shearing• Braking• Rolling

TOP METAL SERVICE CENTER CUSTOMERS –THREE MONTHS ENDED MARCH 31, 2020

Russel Metals29

Customer Products Purchased

Customer 1 Manufacturer - Transportation 1.7% Flat Rolled, Tubing, Structurals, PlateCustomer 2 Modular Fabrication - Energy 0.8% Structural, Tube, Plate, GratingCustomer 3 Manufacturer - Transportation 0.8% Hot Rolled Structural, Hot Rolled BarsCustomer 4 Manufacturer - Heavy Equipment 0.7% Flat Rolled, Tubing, Structural, PlateCustomer 5 Steel Mill 0.7% Toll ProcessingCustomer 6 Manufacturer - Construction 0.7% Hollow Structural Steel Tube, PlateCustomer 7 Industrial Fabricator 0.7% Structurals (Angles, Round), HSS Tube, Finished PartsCustomer 8 Utility Contractor - Construction 0.6% PlateCustomer 9 Structural Fabrication - Construction 0.6% Structurals (WF & I Beam, Structural Angles/Channels)Customer 10 Manufacturer 0.6% Hot Rolled Structural, WF Beam,Plate Processed

% of Sales

METAL SERVICE CENTERS REVENUES & EBIT AS A % OF REVENUES

Russel Metals30

392 419 417 403 400 385 369 326 341 364 349 330 386 416 415 418 455 562 559 524 538 535 474 412 437

5.4%

6.1%

5.3%

3.3%

3.9%

3.4%

2.8%

1.4%

2.8%

6.6%

5.0%

2.2%

5.6% 5.9%

4.4%

3.8%

6.3%

10.2% 9.8%

5.4%

5.0%

4.2%

3.3% 2.1%

4.0%

$-

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

11%

$-

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

$550

$600

Q1-

14

Q2-

14

Q3-

14

Q4-

14

Q1-

15

Q2-

15

Q3-

15

Q4-

15

Q1-

16

Q2-

16

Q3-

16

Q4-

16

Q1-

17

Q2-

17

Q3-

17

Q4-

17

Q1-

18

Q2-

18

Q3-

18

Q4-

18

Q1-

19

Q2-

19

Q3-

19

Q4-

19

Q1-

20

($00

0,00

0's)

Adjusted for Inventory Write Downs of Q1-15 $0.5, Q2-15 $0.5, Q3-15 $0.5 and Q4-15 $0.5

ENERGY PRODUCTS

Russel Metals31


2019 revenues of $1.3 billion, EBIT of $69 million.

Apex Distribution, Apex Monarch & Apex Western Fiberglass -Western CanadaElite Supply Partners - Oklahoma/ Texas/ North Dakota Fedmet Tubulars & Triumph Tubular - CalgaryComco Pipe & Supply Company - EdmontonPioneer Pipe - Denver/ Houston Spartan Energy Tubulars - Houston

Distributes pipe, tubes, valves and fittings to energy sector in Western Canada and the United States.

Primarily store pipe in third party yards near end user.

Comco Pipe focuses on capital projects, MRO and sustaining projects to the energy sector including the oil sands.

Apex Distribution, Apex Monarch & Elite Supply Partners - small retail type units located near rig activity.

Highly variable compensation plans enable financial flexibility over the cycle

ROLE OF PIPE DISTRIBUTORS

Russel Metals32

SUPPLIERS PIPE DISTRIBUTORS CUSTOMERS

Mills producing pipe, valves and fittings


Oil and gas producers/distributors

Processing includes coating Arrange coating if required Focused on production

Limited ability to service multiple customer needs


Want just in time finished pipe to site/field

Long led time order to delivery

Store product at third party yards, coaters, trucking companies

Pipe represents small portion of project. Typically contract drilling, etc.

Service large volume projects

ROLE OF VALUE AND FITTING FIELD STORES

Russel Metals33

SUPPLIERS PIPE DISTRIBUTORS CUSTOMERS

Mills producing pipe valves and fittings

High service model Oil and gas producers/distributors


Located close to customer base

Focused on production and rig down time

Service large volume projects Inventory management programs and MRO business

Repeat business due to maintenance and repair

ENERGY PRODUCTS - WELL POSITIONED TO SERVICENORTH AMERICAN ENERGY SECTOR

Russel Metals34

49 Locations

24 Locations

TOP ENERGY PRODUCT CUSTOMERS –THREE MONTHS ENDED MARCH 31, 2020

Russel Metals35


Customer 1 Oil drilling, Gas drilling 9.9% OCTGCustomer 2 Oil feeder lines, Gas feeder lines, Oil sands 7.3% Pipe, Flanges & FittingsCustomer 3 Oil drilling, Gas drilling 3.9% Flanges & Fittings , Valves Customer 4 Gas drilling, Gas feeder lines 3.7% Flanges & Fittings , Valves Customer 5 Oil drilling, Gas drilling 3.5% OCTG, Flanges & Fittings, Valves Customer 6 Oil drilling, Gas drilling 3.3% OCTGCustomer 7 Oil and gas transportation and storage 3.2% Pipe, Flanges & Fittings, ValvesCustomer 8 Oil drilling, Gas drilling 3.0% OCTG, Flanges & Fittings, ValvesCustomer 9 Oil drilling, Gas drilling 2.7% OCTG, Flanges & Fittings, ValvesCustomer 10 Oil and gas transportation and storage 2.4% Linepipe, Flanges & Fittings, Valves

% of Sales

ENERGY PRODUCTS REVENUES &EBIT AS A % OF REVENUES

Russel Metals36

445 366 497 484 385 269 300 274 248 176 215 242 339 296 335 300 382 320 463 432 373 298 298 343 316

7.3% 7.4%

6.6%6.5%

5.9%

6.8%

5.6%

4.6%

2.7%

0.4%

2.8%2.2%

7.0% 7.3%

10.1%

9.2%

8.5%

8.8% 8.7%

7.5%

7.9% 7.9%

7.5%

5.2%

2.0%

-

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

11%

$-

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

Q1-

14

Q2-

14

Q3-

14

Q4-

14

Q1-

15

Q2-

15

Q3-

15

Q4-

15

Q1-

16

Q2-

16

Q3-

16

Q4-

16

Q1-

17

Q2-

17

Q3-

17

Q4-

17

Q1-

18

Q2-

18

Q3-

18

Q4-

18

Q1-

19

Q2-

19

Q3-

19

Q4-

19

Q1-

20

($00

0,00

0's)

Adjusted for Inventory Write Downs of Q1-15 $2.0, Q2-15 $2.1, Q3-15 $6.1, Q4-15 $27.0, Q3-19 $4.7 and Q4-19 $14.2 and City Pipe Q4-19 $5.5

STEEL DISTRIBUTORS

Russel Metals37


2019 revenues of $396 million, EBIT of $16 million.

Wirth Steel – Montreal, Vancouver

Sunbelt Group, Arrow Steel – Houston, Texas;

Arrow Steel provides coil processing in Houston, Texas

Customers – other steel service centers, large OEM’s, fabricators.

Uses third party facilities to store product.

Synergy with metals service center business

• Visibility into worldwide pricing trends

• Flexible product sourcing

ROLE OF STEEL DISTRIBUTORS

Russel Metals38

SUPPLIERS STEEL DISTRIBUTORS CUSTOMERS

Mills producing base metal products


Large original equipment manufactures

Processing includes pickling blanking, tube production from sheet coating


Smaller service centers


Processing includes cut-to-length

Russel Metals Service Centers

Long lead time order to delivery

Focused primarily on import product

Large volumes Truck load quantities

Use third party yards

TOP STEEL DISTRIBUTOR CUSTOMERS –THREE MONTHS ENDED MARCH 31, 2020

Russel Metals39


Customer 1 Service Center 10.2% Beam, PlateCustomer 2 Service Center 9.8% Bearing Piles, Wide Flange Beams Customer 3 Service Center 9.6% Beam, BarCustomer 4 Service Center 4.4% Beam, PlateCustomer 5 Service Center 3.9% Beams, Channels, PlateCustomer 6 Service Center 3.5% PlateCustomer 7 Distribution - Industrial Supplies 3.0% Pipe, PlateCustomer 8 MFG - Telecomunication Equip. 2.7% Pipe Customer 9 Plumbing & Piping Supplies 2.5% PipeCustomer 10 Service Center 2.2% Plate

% of Sales

STEEL DISTRIBUTORS –LOCATION OF OPERATIONS

Russel Metals40

2 Locations

3 Locations

STEEL DISTRIBUTORS REVENUES &EBIT AS A % OF REVENUES

Russel Metals41

87 106 123 125 119 106 103 72 73 81 72 79 78 101 97 104 94 92 114 157 122 100 94 81 62

7.2%

8.1%

9.6%9.2%

5.3%

6.4%

3.9%

1.8%

9.8%

11.1%

7.4%

9.6%

10.8%

10.1%

8.3%

7.2%

11.4%

16.6%

9.1%

6.9%7.5%

6.5%

4.2% 1.2%

0.8%

-

2%

4%

6%

8%

10%

12%

14%

16%

18%

$-

$20

$40

$60

$80

$100

$120

$140

$160

Q1-

14

Q2-

14

Q3-

14

Q4-

14

Q1-

15

Q2-

15

Q3-

15

Q4-

15

Q1-

16

Q2-

16

Q3-

16

Q4-

16

Q1-

17

Q2-

17

Q3-

17

Q4-

17

Q1-

18

Q2-

18

Q3-

18

Q4-

18

Q1-

19

Q2-

19

Q3-

19

Q4-

19

Q1-

20

($00

0,00

0's)

Adjusted for Inventory Write Downs of Q2-15 $1.0, Q3-15 $1.8, Q4-15 $19.2, Q3-19 $0.6 and Q4-19 $4.2

SUMMARY

SUMMARY

Russel Metals43

Leading market position

Strong supplier relationships and unique market insight

Successful acquisition strategy to deploy capital

Multiple business segments

Diversified service center and energy customer base

Superior service and product availability

Strong value-added processing

Prudent inventory management

Experienced management team

High dividend yield

Strong balance sheet, low leverage

Counter Cyclical cash flow from working capital

Documents

MARCH 2020Our actual results could differ materiallyfrom those anticipated in our forward-looking statements including as a result of the risk factors described in our MD&A andAnnual