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1989 BUSINESS SHOWCASE Wednesday, FebruoWy 22,1989, Page 14 WhTIitby andl steel After near-bankýruptcy, strong rebound continues for North American Steel North American Steel Equip ment Co. Ltd, 'located at 300 Hopkins St, begzan as a division, of a large British f1irm. In 1950, the company dispat- ched experienced employees to Canada to teach Canadian per- sonnel. The company manufac- tured products similar to those of Pedlar People, an Oshawa com- pany that manufactured shelving and clothes lockers. The company flourished, n moved to a 20,000-s.ft lnt in Whitby in the early 1960s, rela- ted president Rosalie Fabiichs. Dîsaster struck when the plant's general manager had a fatal heart attack. With the loss in leadership, the parent com- pany lost interest in what was expected to be a difficult-to- manage oversees operation. early sales dwindled to $200,000 by 1974 and bank- ruptcy was inevitable, recalîs Fabricius. But instead of closing the plant's doors, the owners attemp- ted to find a buyer who would continue the operation. They feund Fabricius, who had experience in manufacturing. She was given free rein on decision-making and began to answer incoming phone cails. Fabricius says she wanted the factory from the beginning. "It I ooked so lost, so dirty, but it had good equipment, a good building and good potential," she r«Mle plant seemed to be crying for someone to dig in and put it into shape, someone who did not care how many hours a day it would take." Fabriejus says ber 'house- wifely instinct" was aroused as she began the task of turning the Comp any around. After having once faced bank- ruptcy, North American Steel is shooting for $10 million in sales this year. And a fourth plant addition is being planned, says Fabricius. She recalîs another difflicult period when ber technical part- ner urged that the factory be sold to a competitor - or he would quit. "Luckily Ron Wilson, today's general manager, wbo bad just i»ned North Arnerican Steel, ead enougb guts to say we sbould stay independent, a view only too eagerly accepted b y the other shareholder," says Fabri- cius. She says Wilson is responsible for the company's expansion into the production of workbenches and cabuinets, as well as improv- ing designs of existing products. When Pedlar People, an Osh- awa-based company similar to North Amercian Steel, closed its doors approximately six years ago many of its employees moved to Nortb American Steel. "The wealth of their experience was, and is today, the backbone of the company, giving it the necessary edge for success," says Fabricius. She bad bid for Pedlar's pic- ture at the final auction of Ped- SEE PAGE 15 PAUTL HAYES, plac-es a locker frame on a line at North American Steel. The coînpany opened in Whitby in the 1960s. Steel formed bent to order at Baymond One of the newest st&el coin- panies to open in Whitby is Raymond Steel located àat 1750 Harbour St. It opened in 1986 as a branch plant, with headquarters in Ottawa. Owner is Richard Ray- mond. "We choose Whitby because of LASCO Steel and because there were no other major reirifIorcin gq steel plants in the area," sai d vice president Ken Arscott. Raymond buys its reinforoed steel from LASCO and then forms and bends it to specifîca- tions provided by a coitractor. They can provide anywhe-Te from one tonne to 1,300 tonines of steel, depending on the size of the job. 'We can provide steeli for a concrete patio to a multi-story plant," saîd Arscott. Some of the sites they have provded steel for are the new Greneèral Motors admninistration office, Kingchurch Motors in Pickerng and the Pickering Civic Cenre Raymond also provides wire mesh and concrete accessories. Raymnond also provides on-site. personnel who instali the steel into the formwork as directed by the contractor. 'rhat can lead to, a lot of running around,» said Arscsott. Raymond employs 24 people with construction site employees bei ng members of the United Steel Workers union while shop Arscott explained that mond would h ave diffliculty other on-site eniployees if SEE PAGE 15 Ray- with their .,iN EMIPLOYEE at Douglas Steel loads steel on to a truck for delivery. The company produces steel for residential construction. .Quantity is the Douglas Steme,,.,f.,thegame For Douglas bteei of Whitby, quantity is the name of the game. The Whitby company bas been providing steel for residential use sînce 1977 wben it was founded, in Osbawa, by A.D. Russell. Douglas Steel moved to its Hopkins St. location in 1982. "We needed more spaoe," says Allan Milîs, vice-president, explainmng tbe move. Trhe company provides beains and colurons for residential con- struction. "That's 98 per "cent of our business and quantity is the naine of the game,» says Milîs. All their delivery trucks are radio-controlled so a builder that purchases steel cari usually be assured of delivery the next day. A sufficient volume of steel is aise kept in its yard te provide quicker delivery. "No one can touch our service," says Milis. he company buys steel, then cuts and paints it to the required size for a builder. Douglas Steel employs 33 people. Welders and laborers are members of the United Steel Workers Union. In 1987, one of the better years for building, Milis says the com- pany employed as many as 40 people. "Tht was a wild year for building," says Milîs. He says building in the ps.st year slowed down com pared t t 1987, but 1988 was still a busy year and the current mnild winter is helping te extend the construc- tion season. Milis expects 1989 te be busier than 1988. Douglas Steel is welcoming the introduction of free trade this year. According to Milis, the deal wiIl free up the Canadian-Aiiieri- can border for the importing and exjForting of steel. It might led te cheaper steel and it should make the market even," says Milis. "But we have no need to, go down to the United States. There is enough business up here.» Douglas Steel gzrossed $11 mil- lion in 1987 and- $9.5 million in 1988. According te, Milîs, the coin- pany is running out of room on its current -property. However, the construction business fluc- tuates so much, the company is reluctant te consider a larger facility In Durbani Region, some of Douglas Steel's custemers are Vista Homes, Tormnin, Durhamn Homes and Coscan. Their boun- daries for delivering steel are Burlington te the west, Barrie to the north and Cobourg te the east. REINFRCEDSTEEL is tagged by an employee at Raymond Steel for shipment. The company buys reinforced steel frorn Lamso and formg it for use in industrial construction projects. FmeePrem phMOo