Material Storage and Stocking Flexibility
We know you plan to sell or consume the steel you buy, but the timing can be tricky. Customer schedules slip. You have to take delivery on material before you'd like to. We understand and we're prepared to help.
With over 40,000 sq. ft. of master coil storage space and 60,000 sq. ft. for finished goods – all climate controlled – we provide a flexible, economical storage solution for our customers who hadn't really planned on storing material for long.
Do we charge for material storage? Of course we do. But the charges may work out to be a lot less than you'd expect. Here's how our plan works:
Inventory Turnover is Key
TMW's plan assesses a storage charge based on annual turnover. Turnover is calculated as follows:
Average Tons Processed over the last 3 months x 12 = Annual Turnover
Average Inventory over the last 3 months
Say we processed 150 tons per month on average for you over the previous three months and the average material you had on our floor during that period was 300 tons. Your Annual Turnover value for the current month would be:
(150 tons/300 tons) x 12 = 6
Calculating Storage Charges
The Annual Turnover value corresponds to a per ton charge
Notes: 1. All material is given a 30 day grace period.
2. Annual Turnover is calculated on a month-by-
|Annual Turnover Rate||Monthly Charge per Ton|
0 - 0.99
1 - 1.99
2 - 2.99
3 - 3.99
4 - 4.99
When extended storage is anticipated, we can offer additional options. Southern Illinois Transfer Co. (SITCO) owns and operates a 30,000 sq. ft. long-term storage solution that is immediately adjacent to our Plant 1. It allows TMW to maintain your inventory in our system, and handle all transfers, so you get seamless service. You have your same TMW contact, same web access inventory, same barge and rail access, and no-cost transportation to TMW's processing facility.
Like you, our motivation is adding value to steel, not storing it. Nevertheless, our ability to accommodate our customer's varied storage needs, at reasonable rates, is another reason why TMW is regarded as the premier toll processor in the midwest.