Exhibit 10.1

RELIANCE STEEL & ALUMINUM CO.

RSAC MANAGEMENT CORP.

FOURTH AMENDMENT
TO CREDIT AGREEMENT

     This FOURTH AMENDMENT TO CREDIT AGREEMENT (this “Fourth Amendment”) is
dated as of December 6, 2004 and entered into by and among Reliance Steel &
Aluminum Co., a California corporation (“RSA”), RSAC Management Corp., a
California corporation (“RSAC Management” and together with RSA, jointly and
severally, the “Borrowers” and individually, a “Borrower”), the financial
institutions listed on the signature pages hereof (the “Lenders”) and Bank of
America, N.A., as administrative agent for Lenders (the “Administrative Agent”),
and, for purposes of Section 5 hereof, the Guarantors (as defined in Section 5
hereof) listed on the signature pages hereof, and is made with reference to that
certain Credit Agreement dated as of October 24, 2001, as amended by the First
Amendment to Credit Agreement dated as of April 1, 2002, the Second Amendment to
Credit Agreement dated as of February 19, 2003, and the Third Amendment to
Credit Agreement dated as of July 1, 2003 (as amended, the “Credit Agreement”),
by and among the Borrowers, Lenders and Administrative Agent. Capitalized terms
used herein without definition shall have the same meanings herein as set forth
in the Credit Agreement.

RECITALS

     WHEREAS, the Borrowers and the Lenders desire to amend the Credit Agreement
to make certain amendments as set forth below;

     NOW, THEREFORE, in consideration of the premises and the agreements,
provisions and covenants herein contained, the parties hereto agree as follows:

Section 1. AMENDMENTS TO THE CREDIT AGREEMENT

     1.1 Amendments to Section 7: Company’s Negative Covenants.

     Subsection 7.16 of the Credit Agreement is hereby amended by deleting
clause (c) thereof in its entirety and substituting the following therefor:

     “(c) cash dividends payable to RSA stockholders and purchases, redemptions
or other acquisitions of shares of RSA capital stock or warrants, rights or
options to acquire any such shares, for cash not exceeding an amount equal to
(i) in any Fiscal Year, 25% of Net Income earned in the immediately preceding
Fiscal Year, provided that for the purposes of this subsection 7.16(c)(i), the
Net Income for the Fiscal Year ended December 31, 2002 shall include a pro forma
adjustment so that the net income of any Subsidiary acquired in 2002 is included
in Net Income for the full Fiscal Year 2002, but no more than $3,000,000 in any
Fiscal Quarter or (ii) in any Fiscal Quarter, so long as (x) EBITDA of RSA and
its Subsidiaries on a consolidated

 

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basis for the immediately preceding Fiscal Quarter was at least $30,000,000 and
(y) the Leverage Ratio as of the last day of the immediately preceding Fiscal
Quarter was less than 3.00 to 1.00, $3,000,000; provided that if a dividend
permitted by this Section 7.16(c) to be paid in any Fiscal Quarter is declared
but not paid in such Fiscal Quarter, such dividend may be paid in the
immediately following Fiscal Quarter without reducing the amount otherwise
permitted by this Section 7.16(c) to be paid in such following Fiscal Quarter;
provided further that immediately after giving effect to any such proposed
action, no Default or Event of Default would exist.”

Section 2. CONDITIONS TO EFFECTIVENESS

     This Fourth Amendment shall become effective as of July 1, 2004 upon the
execution of counterparts hereof by the Borrowers, the Guarantors, the
Administrative Agent and counterparts of the Lenders constituting Requisite
Lenders and receipt by the Borrowers and the Administrative Agent of written or
telephonic notification of such execution and authorization of delivery thereof.

Section 3. BORROWERS’ REPRESENTATIONS AND WARRANTIES

     In order to induce Lenders to enter into this Fourth Amendment and to amend
the Credit Agreement in the manner provided herein, the Borrowers represent and
warrant to each Lender that the following statements are true, correct and
complete:

     3.1 Corporate Power and Authority. Each Borrower Party has all requisite
corporate power and authority to enter into this Fourth Amendment and the Loan
Documents to which it is party, and to carry out the transactions contemplated
thereby, and to perform its respective obligations under the applicable Loan
Documents and the Credit Agreement as amended by this Fourth Amendment (the
“Amended Agreement”).

     3.2 Authorization of Agreements. The execution and delivery of this Fourth
Amendment and the Loan Documents, and the performance of the Amended Agreement
and the other Loan Documents to which it is a party, have been duly authorized
by all necessary corporate action on the part of each Borrower Party.

     3.3 No Conflict. The execution and delivery by each Borrower Party of this
Fourth Amendment and the Loan Documents and the performance by each Borrower
Party of the Loan Documents to which it is a party do not and will not
(i) violate any provision of any law or any governmental rule or regulation
applicable to such Borrower Party, the Certificate or Articles of Incorporation
or Bylaws of such Borrower Party or any order, judgment or decree of any court
or other agency of government binding on such Borrower Party, (ii) conflict
with, result in a breach of or constitute (with due notice or lapse of time or
both) a default under any Contractual Obligation of such Borrower Party,
(iii) result in or require the creation or imposition of any Lien upon any of
the properties or assets of such Borrower Party (other than Liens created or
permitted under any of the Loan Documents in favor of Administrative Agent on
behalf of Lenders), or (iv) require any approval of stockholders or any approval
or consent of any Person under any Contractual Obligation of such Borrower Party
that has not been obtained.

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     3.4 Governmental Consents. No authorization, consent, approval, order,
license or permit from, or filing, registration or qualification with, any
Governmental Authority is or will be required to authorize or permit under
applicable Laws the execution, delivery and performance by each Borrower Party
of this Fourth Amendment and the Loan Documents to which it is a party.

     3.5 Binding Obligation. This Fourth Amendment and each of the Loan
Documents to which a Borrower Party is a party will, when executed and delivered
by such party, constitute the legal, valid and binding obligation of such party,
enforceable against such party in accordance with its terms, except as
enforcement may be limited by Debtor Relief Laws or equitable principles
relating to the granting of specific performance and other equitable remedies as
a matter of judicial discretion.

     3.6 Incorporation of Representations and Warranties From Credit Agreement.
The representations and warranties contained in Section 5 of the Credit
Agreement are and will be true, correct and complete in all material respects on
and as of the Fourth Amendment Effective Date to the same extent as though made
on and as of the Fourth Amendment Effective Date, except to the extent such
representations and warranties specifically relate to an earlier date, in which
case they were true, correct and complete in all material respects on and as of
such earlier date.

     3.7 Absence of Default. No event has occurred and is continuing or will
result from the consummation of the transactions contemplated by this Fourth
Amendment or any of the Loan Documents that would constitute an Event of Default
or a Potential Event of Default.

Section 4. MISCELLANEOUS

     4.1 Reference to and Effect on the Credit Agreement and the Other Loan
Documents.

     A. On and after the Effective Date, each reference in the Credit Agreement
to “this Agreement”, “hereunder”, “hereof”, “herein” or words of like import
referring to the Credit Agreement, and each reference in the other Loan
Documents to the “Credit Agreement”, “thereunder”, “thereof” or words of like
import referring to the Credit Agreement shall mean and be a reference to the
Amended Agreement.

     B. Except as specifically amended by this Fourth Amendment, the Credit
Agreement and the other Loan Documents shall remain in full force and effect and
are hereby ratified and confirmed.

     C. The execution, delivery and performance of this Fourth Amendment shall
not, except as expressly provided herein, constitute a waiver of any provision
of, or operate as a waiver of any right, power or remedy of Agent or any Lender
under, the Credit Agreement or any of the other Loan Documents.

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     4.2 Fees and Expenses. Borrowers acknowledge that all costs, fees and
expenses as described in subsection 10.3 of the Credit Agreement incurred by
Administrative Agent and its counsel with respect to this Fourth Amendment and
the documents and transactions contemplated hereby shall be for the account of
Borrowers.

     4.3 Headings. Section and subsection headings in this Fourth Amendment are
included herein for convenience of reference only and shall not constitute a
part of this Fourth Amendment for any other purpose or be given any substantive
effect.

     4.4 Applicable Law. THIS FOURTH AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF
THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED
IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF CALIFORNIA (INCLUDING
WITHOUT LIMITATION SECTION 1646.5 OF THE CIVIL CODE OF THE STATE OF CALIFORNIA),
WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES.

     4.5 Counterparts. This Fourth Amendment may be executed in any number of
counterparts and by different parties hereto in separate counterparts, each of
which when so executed and delivered shall be deemed an original, but all such
counterparts together shall constitute but one and the same instrument;
signature pages may be detached from multiple separate counterparts and attached
to a single counterpart so that all signature pages are physically attached to
the same document.

Section 5. ACKNOWLEDGEMENT AND CONSENT

     Each guarantor listed on the signatures pages hereof (each, a “Guarantor”)
hereby acknowledges and agrees that the Master Subsidiary Guaranty to which it
is a party or otherwise bound shall continue in full force and effect and that
all of its obligations thereunder shall be valid and enforceable and shall not
be impaired or limited by the execution or effectiveness of this Fourth
Amendment. Each Guarantor represents and warrants that all representations and
warranties contained in the Amended Agreement and the Loan Documents to which it
is a party or otherwise bound are true, correct and complete in all material
respects on and as of the Fourth Amendment Effective Date to the same extent as
though made on and as of that date, except to the extent such representations
and warranties specifically relate to an earlier date, in which case they were
true, correct and complete in all material respects on and as of such earlier
date.

     Each Guarantor acknowledges and agrees that (i) notwithstanding the
conditions to effectiveness set forth in this Fourth Amendment, such Guarantor
is not required by the terms of the Credit Agreement or any other Loan Document
to consent to the amendments to the Credit Agreement effected pursuant to this
Fourth Amendment and (ii) nothing in the Credit Agreement, this Fourth Amendment
or any other Loan Document shall be deemed to require the consent of such
Guarantor to any future amendments to the Credit Agreement.

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     IN WITNESS WHEREOF, the parties hereto have caused this Fourth Amendment to
be duly executed and delivered by their respective officers thereunto duly
authorized as of the date first written above.

            RELIANCE STEEL & ALUMINUM CO.,
RSAC MANAGEMENT CORP.,
each a California corporation
      By:   /s/ David H. Hannah         Name:   David H. Hannah        Title:  
Chief Executive Officer of each of the
foregoing              By:   /s/ Karla Lewis         Name:   Karla Lewis       
Title:   Executive Vice President and
Chief Financial Officer of each of the
foregoing     

S-1

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            For the purposes of Section 5 hereof:

ALLEGHENY STEEL DISTRIBUTORS, INC.
ALUMINUM AND STAINLESS, INC.
AMI METALS, INC.
CCC STEEL, INC.
CENTRAL PLAINS STEEL CO.
CHATHAM STEEL CORPORATION
DURRETT SHEPPARD STEEL CO., INC.
PHOENIX CORPORATION
PACIFIC METAL COMPANY
PDM STEEL SERVICE CENTERS, INC.
TOMA METALS, INC.
VIKING MATERIALS, INC.
      By:   /s/ Karla Lewis         Name:   Karla Lewis        Title:   Vice
President and Secretary of each of the
foregoing        AMERICAN METALS CORPORATION
LIEBOVICH BROS., INC.
SISKIN STEEL & SUPPLY COMPANY, INC.
PRECISION STRIP, INC.
      By:   /s/ Karla Lewis         Name:   Karla Lewis        Title:   Vice
President and Assistant Secretary of
each of the foregoing     

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            LUSK METALS
SERVICE STEEL AEROSPACE CORP.
VALEXCORP.
      By:   /s/ Karla Lewis         Name:   Karla Lewis        Title:   Chief
Financial Officer and Secretary of each
of the foregoing        AMERICAN STEEL, L.L.C.
      By:   /s/ Craig A. Schwartz         Name:   Craig A. Schwartz       
Title:   President and Chief Executive Officer     

S-3

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            BANK OF AMERICA, N.A.,
as Administrative Agent
      By:   /s/ Ken Puro         Name:   Ken Puro        Title:   Vice
President     

S-4

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            BANK OF AMERICA, N.A.,
as Issuing Lender and a Lender
      By:   /s/ Robert Troutman         Name:   Robert Troutman        Title:  
Senior Vice President     

S-5

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            WACHOVIA BANK, NATIONAL ASSOCIATION, formerly known
as First Union National Bank,
as Syndication Agent and as a Lender
      By:   /s/Nathan R. Rantala         Name:   Nathan R. Rantala       
Title:        

S-6

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            THE CHASE MANHATTAN BANK,
as a Lender
      By:           Name:           Title:        

S-7

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            UNION BANK OF CALIFORNIA, N.A.,
as a Lender
      By:   /s/ Gail I Boyle         Name:   Gail I Boyle        Title:        

S-8

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            COMERICA WEST INCORPORATED,
as a Lender
      By:   /s/ Elise Walker         Name:   Elise Walker        Title:        

S-9

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            CREDIT SUISSE FIRST BOSTON,
as a Lender
      By:   /s/ Phillip Ho         Name:   Phillip Ho        Title:            
    By:   /s/ Cassandra Droogan         Name:   Cassandra Droogan       
Title:        

S-10

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            THE NORTHERN TRUST COMPANY,
as a Lender
      By:   /s/ John E. Burda         Name:   John E. Burda        Title:      
 

S-11

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            U.S. BANK NATIONAL ASSOCIATION,
as a Lender
      By:           Name:           Title:        

S-12

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            FIFTH THIRD BANK,
as a Lender
      By:   /s/ Gary Losey         Name:   Gary Losey        Title:        

S-13

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            MIZUHO CORPORATE BANK, LTD.,
formerly known as The Industrial Bank of
Japan, Limited, as a Lender
      By:           Name:           Title:        

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