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A. M. Castle & Co.A. M. Castle & Co.

Advancing our Vision for Growth

November 2012NYSE: CAS

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Information provided and statements contained in this presentation that are not purely historical are

forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as

amended (“Securities Act”), Section 21E of the Securities Exchange Act of 1934, as amended

(“Exchange Act”), and the Private Securities Litigation Reform Act of 1995. Such forward-looking

statements only speak as of the date of this presentation and the Company assumes no obligation to

update the information included in this presentation. Such forward-looking statements include

information concerning our possible or assumed future results of operations, including descriptions of

our business strategy. These statements often include words such as “believe,” “expect,” “anticipate,”

“intend,” “predict,” “plan,” or similar expressions. These statements are not guarantees of performance

or results, and they involve risks, uncertainties, and assumptions. Although we believe that these

forward-looking statements are based on reasonable assumptions, there are many factors that could

affect our actual financial results or results of operations and could cause actual results to differ

materially from those in the forward-looking statements, including those risk factors identified in Item

1A “Risk Factors” of our Annual Report on Form 10-K for the fiscal year ended December 31, 2011,

which was filed with the U.S. Securities and Exchange Commission (“SEC”) on March 14, 2012, and

our Quarterly Report on Form 10-Q for the quarter ended September 30, 2012, which was filed with

the SEC on November 2, 2012.

All future written and oral forward-looking statements by us or persons acting on our behalf are

expressly qualified in their entirety by the cautionary statements contained or referred to above.

Except for our ongoing obligations to disclose material information as required by the federal

securities laws, we do not have any obligations or intention to release publicly any revisions to any

forward-looking statements to reflect events or circumstances in the future or to reflect the occurrence

of unanticipated events.

Forward Looking Statements

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Regulation G & Other Cautionary NotesThis presentation includes non-GAAP financial measures to assist the reader in understanding our business. The non-GAAP financial information should be considered supplemental to, and not as a substitute for, or superior to, financial measures calculated in accordance with U. S. GAAP (“GAAP”).  However, we believe that non-GAAP reporting, giving effect to the adjustments shown in the reconciliation contained in the appendix to this presentation, provides meaningful information and therefore we use it to supplement our GAAP guidance. Management often uses this information to assess and measure the performance of our business. We have chosen to provide this supplemental information to investors, analysts and other interested parties to enable them to perform additional analyses of operating results, to illustrate the results of operations giving effect to the non-GAAP adjustments shown in the reconciliations and to assist with period-over-period comparisons of such operations. The exclusion of the charges indicated herein from the non-GAAP financial measures presented does not indicate an expectation by the Company that similar charges will not be incurred in subsequent periods.

In addition, the Company believes that the use and presentation of EBITDA, which is defined by the Company as income before provision/benefit for income taxes plus depreciation and amortization, and interest expense, less interest income, is widely used by the investment community for evaluation purposes and provides the investors, analysts and other interested parties with additional information in analyzing the Company’s operating results. EBITDA should not be considered as an alternative to net income or any other item calculated in accordance with U.S. GAAP, or as an indicator of operating performance. Our definition of EBITDA used here may differ from that used by other companies. Adjusted non-GAAP net income and adjusted EBITDA, which are defined as reported net income and EBITDA adjusted for non-cash items and items which are not considered by management to be indicative of the underlying results, are presented as the Company believes the information is important to provide investors, analysts and other interested parties additional information about the Company’s financial performance. Management uses EBITDA, adjusted non-GAAP net income and adjusted EBITDA to evaluate the performance of the business.

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Regulation G & Other Cautionary Notes

The financial information herein contains information generated from audited financial statements and unaudited information and has been prepared by management in good faith and based on data currently available to the Company. 

In this presentation, we refer to information and statistics regarding the general manufacturing markets. We obtained this information and these statistics from sources other than us, such as Purchasing magazine and the Institute of Supply Management, which we have supplemented where necessary with information from publicly available sources and our own internal estimates. We have used these sources and estimates and believe them to be reliable.

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Overview

• Specialty Products, Specialty Services, Customized Supply Chain Solutions

• One of the largest metal service center companies based in the U.S. with $1.1 billion in 2011 annual net sales and $996 million in net sales for the nine-months ended September 30, 2012

• Strong exposure to high-growth end-markets including Oil & Gas, Mining and Heavy Equipment, Aerospace and General Industrial

• Integrating Tube Supply, a leading value-added supplier to the Oil & Gas industry acquired in Q4 2011

• Supplying over 5,000 products to over 25,000 customers on a global basis

• 120 year history in the metal service center industry

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Investment Highlights

Increased global presence and capabilities

Increased global presence and capabilities

Increased customer penetration

Increased customer penetration

Specialty high value products &

services

Specialty high value products &

services

Strong alignment with growing end

markets

Strong alignment with growing end

markets

Diversified, blue chip customersDiversified, blue chip customersProven track record

of performanceProven track record

of performance

Extensive supplier relationships

Extensive supplier relationships

Experienced management team

Experienced management team

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Positioned for GrowthAcquisition of Tube Supply, Inc.

Purchased Tube Supply, Inc. (“TSI”) in December 2011

– A value-added distributor of specialty tubular and bar products for the Oil & Gas industry

– Provider of a broad range of oilfield quality metals with a specific focus on the equipment and tools used in downhole drilling, completion and wellhead applications

Excellent fit with A. M. Castle’s Oil & Gas business

– An easy transition into Castle’s business model forprofitable growth

– Addition of a new set of products in a high growth market; horizontal drilling and completions require high grade alloys in larger quantities

– Long-term strategic fit that will allow Castle to capitalize on the projected growing demand and opportunities in this sector

In Q2’12, sales forces and supply chain departments were combined in the Houston area and we remain focused on executing our global growth opportunities.

Existing Houston Office and Warehouse

New Houston Warehouse

Edmonton Office and Warehouse

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Key End MarketsMarkets Served

(2011 Pro Forma Net Sales)

• TSI further diversified our end-markets

• Increased presence in Oil & Gasfrom 12% to 25%

• Focused on large growing globalend-markets

Note: Industrials include: Machine Tool & General Equip, 13%;Heavy Equipment, 7%; Power Generation, 3%;Military & Defense, 7% and Other,13%

Aerospace23%

Industrials43%

Oil & Gas25%

Plastics9%

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Specialty Grade, High Value Metals

Products Sold(2011 Pro Forma Net Sales)

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Services and SolutionsServing Vital Link in Global Metal Supply Chain

SubSub

SubSub

SubSubGlobalOEMsGlobalOEMs

SubSub

SubSub

SubSub

Global

MillsMills

Castle serves as a vital link in the metal supply chainCastle serves as a vital link in the metal supply chain

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Spain

France

United Kingdom

Corporate Headquarters Castle Metals Castle Metals Plate

Castle Metals Aerospace Castle Metals Oil & Gas International

Subsidiary Locations – Total Plastics TSI

Broad Geographic Footprint

WA

OR

BC

CA

NV

ID

MT

WY

UT CO

AZ NM

Gulf of California

TX

ND

SD

NE

KS

OK

MN

IA

MO

AR

LAMS AL GA

FL

SC

WI

IL

KY

TN

MI

IN OHPA

WV

NC

VA

NY

ON QC

NBME

NH

MARI

CT

DE

VT

NJ

MD

NS

PE

NL

SKAB

MB

China

Singapore

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SuppliersStable supplier base values A. M. Castle as a key customer and provides access to specialty metals

Aluminum Kaiser Aluminum and Alcoa

Alloy Timken, Tenaris and Republic

Nickel & Stainless Allegheny and Special Metals

Carbon ArcelorMittal, Ipsco & Gerdau

Titanium RTI

Plastics Cyro Industries/Degussa, Sheffield Plastics/Division of Bayer,and Quadrant Engineered Plastics

Product CategoryProduct Category SupplierSupplier

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Go-To-Market StrategyPursuing Profitable and High-Growth End-Markets

Unmatched Experience and Expertise in Key End-MarketsUnmatched Experience and Expertise in Key End-Markets13

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Go-To-Market StrategyProviding Solutions to Optimize Supply Chain Performance

• Providing unrivaled industry expertise and forecasting capabilities to create true strategic partnerships with customers

• Customer collaborations result in verifiable improvements that impact total cost, delivery, quality and exposure to metal supply

• Focus on material management and improved forecasting supported by our investment in technological enhancements

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Go-To-Market StrategyCase Study: F-35 Joint Strike Fighter (JSF) Program

• Signed six-year contract extension with Lockheed Martin for the F-35 JSF Program through 2016

• Supplier to the platform since inception

• Supplying aluminum plate and cut-to-size aluminum plate products

• Global account with various value-added processing and collaborative supply chain management services

• Value estimated to be at least $250-$300 million over a six-year term

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Airbus A380 Stryker Gulfstream V JSF

Blue Chip Platform Support

F35

Metal Type End Market Key Platforms Supported

• Heat-treat Aluminum Plate

• Titanium• Alloy• Stainless• Nickel

• Large Commercial Aircraft

• Regional Aircraft

• Military Aerospace

• Business/General Aviation

• Freighter Conversion

• MRO

• Airbus A318, A319, A320, A321, A330, A380

• Boeing 737, 747, 777, 787

• Bombardier, Embraer

• C-17 C-27, c130, F15, F16, F18, F22

• F-35 JSF

• Cessna, Gulfstream, Piper, Raytheon, Mooney

• Aeronavali, Israel Aircraft Industries (747 and 767), Singapore Technologies, Alcoa-SIE

• British Airways, American Airlines, United Airlines

• Commercial Engine Components

• Landing Gear

• Engines

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Blue Chip Customer BaseServing a Broad Range of Diverse Customers

Serving Global OEMS and Thousands of Medium and Smaller-Sized Firms

Over 160 customers with Sales in Excess of $1.0 million in 2011

Serving Global OEMS and Thousands of Medium and Smaller-Sized Firms

Over 160 customers with Sales in Excess of $1.0 million in 201117

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Financial Overview

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Quarterly Net Sales Trend

• Most key end-use markets, with the exception of aerospace, experienced softer demand compared to the first and second quarters of 2012 as customers adjusted inventory levels due to a more cautious outlook.

• PMI dipped below 50 during June, July and August for the first time since mid-2009. The PMI returned to economic expansion levels above 50 again in September.

Source: Management uses the Purchaser’s Managers Index (“PMI”) provided by the Institute of Supply Management for January 2010 June 2012.

Net Sales $ in millions

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US $ in millions

Annual and YTD Financial Business TrendsAs Reported$ in millions, except EPS

Net Sales EBITDA

Operating Income (Loss)EPS

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US $ in millions

Quarterly Financial Business TrendsAs Reported$ in millions, except EPS

Net Sales EBITDA

Operating Income (Loss)EPS

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US $ in mil`lions

Quarterly Financial Business TrendsAs Adjusted1

$ in millions, except EPSNet Sales EBITDA

Operating Income (Loss)EPS

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1 2012 results exclude loss for the mark-to-market adjustment for the fair value of the convertible option associated with the convertible debt, unrealized gains/losses for the mark-to-market adjustment on commodity hedges and CEO transition costs on a net basis. 2011 results exclude unrealized losses for the mark-to-market adjustment on commodity hedges.

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$ in millionsPositioned For Profitable Growth

Operating Cash Flows $ in millions

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$ in millions, except EPSBalance Sheet Comparison

$ in millions

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September 30, 2012

December 31,2011

Accounts Receivable $ 171 $ 181 Inventory 357 272 Other Current Assets 43 49 Total Current Assets $ 571 $ 502Accounts Payable (134) (117)Other Current Liabilities (51) (36)Working Capital $ 386 $ 349 Total Capital $ 652 $ 627Debt (304) (315)Equity $ 348 $ 312

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Working Capital Summary

Inventory Turns – DSI Receivables – DSO

Days Days

Note: Includes TSI since acquisition in December 2011

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Strong Financial PositionDebt-to-Total Capital Ratios

$ in millions 2011 3Q’12

Total Debt $ 314.9 $ 303.6

Less: Cash Balances 30.5 20.0

Net Debt $ 284.4 $ 283.6

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Note: Includes TSI since acquisition in December 2011

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ABL High-Yield Convertible

Total Facility/ Issuance $100 million $225 million $57.5 million

Lead Wells Fargo Bank, N.A. Jefferies Jefferies

Maturity 4-years 5-years 6-years

Accordion $50 million

L/C Sub-limit $20 million

Swingline $10 million

Pricing Libor or base rate + spread*

* Based on excess availability

12.75% - 7% - $10.28/share

conversion price

Unused Fees 25-37.5 bps

Borrowing Base A/R and Inventory

Financial Covenants - Springing Fixed Charge (1.1X) when Excess Availability <10% or $10 million

- Cash dominion- Other non-financial covenants that need

to be maintained- Field exams

None None

Summary of Debt Issuances

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APPENDIX

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SEC Regulation GNon-GAAP Reconciliation

The financial measures presented below are not in accordance with, or an alternative for, financial measures presented in accordance with U.S. generally accepted accounting principles (GAAP). The non-GAAP financial information presented herein should be considered supplemental to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP.

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Reconciliation of EBITDA and Adjusted EBITDA to Reported Net Income (Loss)

Quarter-To-Date Ended September 30,

Year-To-Date Ended September 30,

$ are in millions 2012 2011 2012 2011

Net Income (Loss), as reported $ 3.2 $ 3.8 $ (4.1) $ 10.2 Depreciation and Amortization Expense 6.3 4.9 19.4 14.9Interest Expense, net 10.3 1.2 30.4 3.3Interest Expense – Unrealized Loss on Debt Conversion Option - - 15.6 -Income Taxes 0.4 1.3 4.2 5.0

EBITDA $ 20.2 $ 11.2 $ 65.5 $ 33.4

Non-GAAP Net Income Adjustments1 (1.1) 1.6 0.3 1.6

Adjusted EBITDA2 $ 19.1 $ 12.7 $ 65.8 $ 35.0

1 Non-GAAP net income adjustments relate to CEO transition costs and unrealized (gains) losses on commodity hedges. Refer to reconciliation on previous slide.2 Amounts may not foot due to rounding.