----

**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**WASHINGTON,      D.C. 20549**

**FORM      10-Q**

| [X]    | QUARTERLY                REPORT PURSUANT TO SECTION 13 OR 15(d) |
|--------|-----------------------------------------------------------------|
|   | OF                THE SECURITIES EXCHANGE ACT OF 1934           |

**For      the Quarterly Period Ended September 29, 2007**

| [  ] | TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15(d) |
|----------------|------------------------------------------------------------------|
|           | OF                THE SECURITIES EXCHANGE ACT OF 1934            |

**For      the Transition Period From _____ to ____**

**Commission      file number 0-19687**

**SYNALLOY      CORPORATION**

*(Exact      name of registrant as specified in its charter)*

| **Delaware***(State                or other jurisdiction of**incorporation                or organization)*                                      |   | **57-0426694***(IRS                Employer**Identification                Number)* |
|--------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------|
|                                                                                                                                             |   |                                                                                |
| **2155                West Croft Circle****Spartanburg,                South Carolina***(Address                of principal executive offices)* |   |  **29302***(Zip                code)*                                          |

| **(864)                585-3605** |
|-----------------------------------|

*(Registrant's        telephone number, including area code)*

|  |
|--|

----

**Synalloy      Corporation**

**Index**

**PART      I.**
**FINANCIAL      INFORMATION**

|  Item                1. | Financial                Statements (unaudited)                                                                                                            |
|------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                         | Condensed                consolidated balance sheets – September 29, 2007 and December 30,                2006                                       |
|                         | Condensed                consolidated statements of income - Three and nine months ended September                29, 2007 and September 30, 2006          |
|                         | Condensed                consolidated statements of cash flows - Nine months ended September                29,                2007 and September 30, 2006 |
|                         | Notes                to condensed consolidated financial statements – September 29,                2007                                              |
| Item                2.       | Management's                Discussion and Analysis of Financial Condition and Results of                Operations                                        |
| Item                3.       | Market                Risk                                                                                                                                 |
| Item                4.       | Controls                and Procedures                                                                                                                     |
|                         |                                                                                                                                                       |

**PART      II.                      OTHER      INFORMATION**

| Item                1A. | Risk                Factors                                                |
|-------------------------|----------------------------------------------------------------------------|
| Item                2.  | Unregistered                Sales of Equity Securities and Use of Proceeds |
| Item                6.  | Exhibits                                                                   |
|                    | Signatures                and Certifications                               |

----

**PART      I: FINANCIAL INFORMATION**

| **Item                1. FINANCIAL                STATEMENTS**                                                                                                               |   |                            |                                                |   |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------|-----------------------------------------------------|--------|--------|
| **Synalloy                Corporation**                                                                                                                                      |   |                            |                                                |   |
| **Condensed                Consolidated Balance Sheets**                                                                                                                     |   | **Sep                29, 2007** |                **Dec                30, 2006** |        |
|                                                                                                                                                                         |   | (Unaudited)                     |  (Note)                                        |   |
| **Assets**                                                                                                                                                                   |   |                            |                                                |   |
| *Current                assets*                                                                                                                                              |   |                            |                                                |   |
| Cash                and cash equivalents                                                                                                                                     |   | $                               | 26,156                                              |   |   | $ | 21,413 |   |
| Accounts                receivable, less allowance                                                                                                                           |   |                            |                                                |   |
| for                doubtful accounts                                                                                                                                         |   |                            | 26,737,465                                          |   |   |   | 22,428,829 |   |
| Inventories                                                                                                                                                                  |   |                            |                                                |   |
| Raw                materials                                                                                                                                                 |   |                            | 13,602,511                                          |   |   |   | 17,361,355 |   |
| Work-in-process                                                                                                                                                              |   |                            | 18,961,204                                          |   |   |   | 13,323,868 |   |
| Finished                goods                                                                                                                                                |   |                            | 13,497,894                                          |   |   |   | 10,860,239 |   |
| Total                inventories                                                                                                                                             |   |                            | 46,061,609                                          |   |   |   | 41,545,462 |   |
|                                                                                                                                                                         |   |                            |                                                |   |
| Income                taxes receivable                                                                                                                                       |   |                            | 308,097                                             |   |   |   | - |   |
| Deferred                income taxes                                                                                                                                         |   |                            | 2,333,000                                           |   |   |   | 1,793,000 |   |
| Prepaid                expenses and other current assets                                                                                                                     |   |                            | 319,659                                             |   |   |   | 307,740 |   |
| Total                current assets                                                                                                                                          |   |                            | 75,785,986                                          |   |   |   | 66,096,444 |   |
|                                                                                                                                                                         |   |                            |                                                |   |
| Cash                value of life insurance                                                                                                                                  |   |                            | 2,759,565                                           |   |   |   | 2,723,565 |   |
| Property,                plant & equipment, net of accumulated                                                                                                           |   |                            |                                                |   |
| depreciation                of $40,209,000 and $37,898,000                                                                                                                   |   |                            | 20,188,283                                          |   |   |   | 18,951,820 |   |
| Deferred                charges and other assets                                                                                                                             |   |                            | 1,536,752                                           |   |   |   | 1,585,337 |   |
| **Total                assets**                                                                                                                                              |   | $                               | 100,270,586                                         |   |   | $ | 89,357,166 |   |
|                                                                                                                                                                         |   |                            |                                                |   |
| **Liabilities                and Shareholders' Equity**                                                                                                                      |   |                            |                                                |   |
| *Current                liabilities*                                                                                                                                         |   |                            |                                                |   |
| Current                portion of long-term debt                                                                                                                             |   | $                               | 466,667                                             |   |   | $ | 466,667 |   |
| Accounts                payable                                                                                                                                              |   |                            | 12,697,174                                          |   |   |   | 11,775,703 |   |
| Accrued                expenses                                                                                                                                              |   |                            | 8,555,748                                           |   |   |   | 6,043,750 |   |
| Current                portion of environmental reserves                                                                                                                     |   |                            | 259,609                                             |   |   |   | 226,053 |   |
| Income                taxes payable                                                                                                                                          |   |                            | -                                                   |   |   |   | 1,200,198 |   |
| Total                current liabilities                                                                                                                                     |   |                            | 21,979,198                                          |   |   |   | 19,712,371 |   |
|                                                                                                                                                                         |   |                            |                                                |   |   |   |   |   |   |
| Long-term                debt                                                                                                                                                |   |                            | 17,771,236                                          |   |   |   | 17,731,431 |   |
| Environmental                reserves                                                                                                                                        |   |                            | 616,000                                             |   |   |   | 616,000 |   |
| Deferred                compensation                                                                                                                                         |   |                            | 427,399                                             |   |   |   | 470,212 |   |
| Deferred                income taxes                                                                                                                                         |   |                            | 2,528,000                                           |   |   |   | 3,700,000 |   |
|                                                                                                                                                                         |   |                            |                                                |   |
| *Shareholders'                equity*                                                                                                                                        |   |                            |                                                |   |
| Common                stock, par value $1 per share - authorized                                                                                                             |   |                            |                                                |   |
| 12,000,000                shares; issued 8,000,000 shares                                                                                                                    |   |                            | 8,000,000                                           |   |   |   | 8,000,000 |   |
| Capital                in excess of par value                                                                                                                                |   |                            | 485,820                                             |   |   |   | 56,703 |   |
| Retained                earnings                                                                                                                                             |   |                            | 63,969,108                                          |   |   |   | 54,921,022 |   |
| Less                cost of Common Stock in treasury:                                                                                                                        |   |                            |                                                |   |
| 1,762,695                and 1,864,433 shares                                                                                                                                |   |                            | (15,506,175                                         | )      |   |   | (15,850,573 | ) |
| Total                shareholders' equity                                                                                                                                    |   |                            | 56,948,753                                          |   |   |   | 47,127,152 |   |
| **Total                liabilities and shareholders' equity**                                                                                                                |   | $                               | 100,270,586                                         |   |   | $ | 89,357,166 |   |
| Note:                The balance sheet at December 30, 2006 has been derived from the                audited                consolidated financial statements at that date.  |
|             See                accompanying notes to condensed consolidated financial                statements. |   |                            |                                                |   |

----

| **Synalloy                  Corporation**                                                                |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |
|----------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|------------|--------|----------------------------------------|--------|------------|-----------------------------------|--------|--------|-----------------------------------|--------|
| **Condensed                  Consolidated Statements of Income**                                         |   |                                    |       |   |                                   |   |       |                              |   |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |
| (Unaudited)                                                                                              |   | **Three                  Months Ended** |       |   | **Nine                  Months Ended** |   |
|                                                                                                     |   | **Sep                  29, 2007**       |       |   | **Sep                  30, 2006**      |   |       | **Sep                  29, 2007** |   |   | **Sep                  30, 2006** |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |
| Net                  sales                                                                               |   | $                                       | 51,515,183 |   |                                   | $      | 39,096,599 |                              |   | $      | 139,854,448                       |   |   | $ | 111,988,579 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Cost                  of goods sold                                                                      |   |                                    | 44,539,138 |   |                                   |   | 32,887,726 |                              |   |   | 115,745,273                       |   |   |   | 96,511,481 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Gross                  profit                                                                            |   |                                    | 6,976,045  |   |                                   |   | 6,208,873  |                              |   |   | 24,109,175                        |   |   |   | 15,477,098 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Selling,                  general and administrative                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| expense                                                                                                  |   |                                    | 3,041,844  |   |                                   |   | 2,810,061  |                              |   |   | 9,527,861                         |   |   |   | 8,279,233 |   |
| Gain                  from sale of property and plant                                                    |   |                                    | -          |   |                                   |   | (595,600   | )                                 |   |   | -                                 |   |   |   | (595,600 | ) |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Operating                  income                                                                        |   |                                    | 3,934,201  |   |                                   |   | 3,994,412  |                              |   |   | 14,581,314                        |   |   |   | 7,793,465 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Other                  (income) and expense                                                              |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
|   Interest                  expense                                                            |   |                                    | 363,644    |   |                                   |   | 182,600    |                              |   |   | 834,816                           |   |   |   | 529,542 |   |
|   Other,                  net                                                                  |   |                                    | (203       | )      |                                   |   | (32        | )                                 |   |   | (1,777                            | )      |   |   | (621 | ) |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Income                  before income taxes                                                              |   |                                    | 3,570,760  |   |                                   |   | 3,811,844  |                              |   |   | 13,748,275                        |   |   |   | 7,264,544 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Provision                  for income taxes                                                              |   |                                    | 1,311,000  |   |                                   |   | 1,403,000  |                              |   |   | 4,768,000                         |   |   |   | 2,660,000 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Net                  income                                                                              |   | $                                       | 2,259,760  |   |                                   | $      | 2,408,844  |                              |   | $      | 8,980,275                         |   |   | $ | 4,604,544 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Net                  income per common share:                                                            |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Basic                                                                                                    |   | $                                       | .36        |   |                                   | $      | .39        |                              |   | $      | 1.45                              |   |   | $ | .75 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Diluted                                                                                                  |   | $                                       | .36        |   |                                   | $      | .39        |                              |   | $      | 1.42                              |   |   | $ | .74 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Average                  shares outstanding                                                              |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| Basic                                                                                                    |   |                                    | 6,236,263  |   |                                   |   | 6,127,077  |                              |   |   | 6,203,083                         |   |   |   | 6,119,582 |   |
| Dilutive                  effect from stock                                                              |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
|     options                  and grants                                              |   |                                    | 110,989    |   |                                   |   | 115,951    |                              |   |   | 112,691                           |   |   |   | 111,678 |   |
| Diluted                                                                                                  |   |                                    | 6,347,252  |   |                                   |   | 6,243,028  |                              |   |   | 6,315,774                         |   |   |   | 6,231,260 |   |
|                                                                                                     |   |                                    |       |   |                                   |   |       |                              |   |   |                              |   |   |   |   |   |
| See                  accompanying notes to condensed consolidated financial                  statements. |   |                                    |       |   |                                   |   |       |                              |   |

----

| **Synalloy                  Corporation**                                                                |   |                                   |       |   |                              |   |
|----------------------------------------------------------------------------------------------------------|--------|----------------------------------------|------------|--------|-----------------------------------|--------|
| **Condensed                  Consolidated Statements of Cash Flows**                                     |   |                                   |       |   |
| (Unaudited)                                                                                              |   | **Nine                  Months Ended** |       |
|                                                                                                     |   | **Sep                  29, 2007**      |       |   | **Sep                  30, 2006** |   |
| **Operating                  activities**                                                                |   |                                   |       |   |                              |   |
|  Net                  income                                                                        |   | $                                      | 8,980,275  |   |                              | $      | 4,604,544 |   |
|  Adjustments                  to reconcile net income to net cash                                   |   |                                   |       |   |                              |   |   |   |
| provided                  by (used in) operating activities:                                             |   |                                   |       |   |                              |   |   |   |
| Depreciation                  expense                                                                    |   |                                   | 2,311,000  |   |                              |   | 2,199,535 |   |
| Amortization                  of deferred charges                                                        |   |                                   | 41,193     |   |                              |   | 41,193 |   |
| Deferred                  income taxes                                                                   |   |                                   | (717,000   | )      |                              |   | (500,000 | ) |
| Utilization                  of unrecognized tax benefit                                                 |   |                                   | (172,000   | )      |                              |   | - |   |
| Provision                  for losses on accounts receivable                                             |   |                                   | 567,562    |   |                              |   | 360,519 |   |
| Gain                  on sale of property, plant and equipment                                           |   |                                   | -          |   |                              |   | (602,350 | ) |
| Cash                  value of life insurance                                                            |   |                                   | (36,000    | )      |                              |   | (36,000 | ) |
| Environmental                  reserves                                                                  |   |                                   | 33,556     |   |                              |   | 95,854 |   |
| Issuance                  of treasury stock for director fees                                            |   |                                   | 74,989     |   |                              |   | 81,226 |   |
| Employee                  stock option and grant compensation                                            |   |                                   | 127,721    |   |                              |   | 56,718 |   |
| Changes                  in operating assets and liabilities:                                            |   |                                   |       |   |                              |   |   |   |
| Accounts                  receivable                                                                     |   |                                   | (4,876,198 | )      |                              |   | (1,354,108 | ) |
| Inventories                                                                                              |   |                                   | (4,516,147 | )      |                              |   | (7,126,741 | ) |
| Other                  assets and liabilities                                                            |   |                                   | (47,340    | )      |                              |   | (172,270 | ) |
| Accounts                  payable                                                                        |   |                                   | 921,471    |   |                              |   | 2,980,993 |   |
| Accrued                  expenses                                                                        |   |                                   | 2,511,998  |   |                              |   | 143,235 |   |
| Income                  taxes payable                                                                    |   |                                   | (1,336,295 | )      |                              |   | (157,320 | ) |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| **Net                  cash provided by operating activities**                                           |   |                                   | 3,868,785  |   |                              |   | 615,028 |   |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| **Investing                  activities**                                                                |   |                                   |       |   |                              |   |   |   |
| Purchases                  of property, plant and equipment                                              |   |                                   | (3,547,463 | )      |                              |   | (2,487,242 | ) |
| Proceeds                  from sale of property, plant and equipment                                     |   |                                   | -          |   |                              |   | 817,980 |   |
| Proceeds                  from note receivable                                                           |   |                                   | -          |   |                              |   | 400,000 |   |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| **Net                  cash used in investing activities**                                               |   |                                   | (3,547,463 | )      |                              |   | (1,269,262 | ) |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| **Financing                  activities**                                                                |   |                                   |       |   |                              |   |   |   |
| Net                  proceeds from long-term debt                                                        |   |                                   | 39,805     |   |                              |   | 586,607 |   |
| Dividends                  paid                                                                          |   |                                   | (927,189   | )      |                              |   | - |   |
| Capital                  contributed                                                                     |   |                                   | 20,340     |   |                              |   | - |   |
| Proceeds                  from exercised stock options                                                   |   |                                   | 550,465    |   |                              |   | 65,808 |   |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| **Net                  cash (used in) provided by financing activities**                                 |   |                                   | (316,579   | )      |                              |   | 652,415 |   |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| Increase                  (decrease) in cash and cash equivalents                                        |   |                                   | 4,743      |   |                              |   | (1,819 | ) |
| Cash                  and cash equivalents at beginning of period                                        |   |                                   | 21,413     |   |                              |   | 2,379 |   |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| **Cash                  and cash equivalents at end of period**                                          |   | $                                      | 26,156     |   |                              | $      | 560 |   |
|                                                                                                     |   |                                   |       |   |                              |   |   |   |
| See                  accompanying notes to condensed consolidated financial                  statements. |   |                                   |       |   |                              |   |   |   |

----

**Synalloy      Corporation**

**Notes      To Condensed Consolidated Financial Statements**

**(Unaudited)**

**September      29, 2007**

**NOTE      1-- BASIS OF      PRESENTATION**

**NOTE      2--INVENTORIES**

**NOTE      3--STOCK OPTIONS AND EMPLOYEE STOCK GRANTS**

|                                    |   | Weighted |   |   |        |   |     | Weighted                  |   |   |                    |   |   |      |      |
|-----------------------------------------|--------|----------|--------|--------|-------------|--------|----------|---------------------------|--------|--------|-------------------------|--------|--------|-----------|-----------|
|                                    |   | Average  |   |   |        |   |     | Average                   |   |   | Intrinsic               |   |   |      |      |
|                                    |   | Exercise |   |   | Options     |   |     | Contractual               |   |   | Value                of |   |   | Options   |      |
|                                    |   | Price    |   |   | Outstanding |   |     | Term                      |   |   | Options                 |   |   | Available |      |
| Outstanding                at           |   |     |   |   |        |   |     | (in                years) |   |   |                    |   |   |      |      |
| December                30, 2006        |   | $        | 9.64   |   |        |   | 282,150  |                      |   |   | 4.1                     |   |   | $         | 2,512,000 |   |   |   | 207,100 |   |
|                                    |   |     |   |   |        |   |     |                      |   |   |                    |   |   |      |      |   |   |   |   |   |
| Third                quarter:           |   |     |   |   |        |   |     |                      |   |   |                    |   |   |      |      |   |   |   |   |   |
| Exercised                               |   |     | 7.95   |   |        |   | (13,800  | )                         |   |   |                    |   |   |      | 339,152   |   |   |   |   |   |
|                                    |   |     |   |   |        |   |     |                      |   |   |                    |   |   |      |      |   |   |   |   |   |
| Nine                Months:             |   |     |   |   |        |   |     |                      |   |   |                    |   |   |      |      |   |   |   |   |   |
| Exercised                               |   |     | 10.39  |   |        |   | (132,407 | )                         |   |   |                    |   |   |      | 2,400,000 |   |   |   |   |   |
| Expired                                 |   |     | 12.14  |   |        |   | (19,000  | )                         |   |   |                    |   |   |      | 369,730   |   |   |   |   |   |
|                                    |   |     |   |   |        |   |     |                      |   |   |                    |   |   |      |      |   |   |   |   |   |
| Outstanding                at           |   |     |   |   |        |   |     |                      |   |   |                    |   |   |      |      |   |   |   |   |   |
| September                29, 2007       |   | $        | 8.51   |   |        |   | 130,743  |                      |   |   | 4.9                     |   |   | $         | 1,646,085 |   |   |   | 207,100 |   |
| Exercisable                options      |   | $        | 7.79   |   |        |   | 87,289   |                      |   |   | 3.7                     |   |   | $         | 1,162,007 |   |   |   |   |   |
| Options                expected to vest |   | $        | 9.96   |   |        |   | 43,454   |                      |   |   | 7.4                     |   |   | $         | 484,078   |   |   |   |   |   |

----

**Synalloy      Corporation**

**Notes      To Condensed Consolidated Financial Statements **
**(Unaudited)**

**September      29,      2007**

**NOTE      4--INCOME TAXES**

----

**Synalloy      Corporation**

**Notes      To Condensed Consolidated Financial Statements **
**(Unaudited)**

**September      29, 2007**

**NOTE      5--PAYMENT OF DIVIDENDS**

**NOTE      6--SEGMENT INFORMATION**

|                                                    |   | **THREE                  MONTHS ENDED** |       |   | **NINE                  MONTHS ENDED** |   |
|---------------------------------------------------------|--------|-----------------------------------------|------------|--------|----------------------------------------|--------|
|                                                    |   | **Sep                  29, 2007**       |       |   | **Sep                  30, 2006**      |   |   | **Sep                  29, 2007** |   |   | **Sep                  30, 2006** |   |
|                                                    |   |                                    |       |   |                                   |   |   |   |   |   |   |   |
| **Net                  sales**                          |   |                                    |       |   |                                   |   |   |   |   |   |   |   |
| Specialty                  Chemicals Segment            |   | $                                       | 14,982,000 |   |                                   | $      | 12,725,000 |   |   | $ | 39,045,000 |   |   | $ | 38,158,000 |   |
| Metals                  Segment                         |   |                                    | 36,533,000 |   |                                   |   | 26,372,000 |   |   |   | 100,809,000 |   |   |   | 73,831,000 |   |
|                                                    |   | $                                       | 51,515,000 |   |                                   | $      | 39,097,000 |   |   | $ | 139,854,000 |   |   | $ | 111,989,000 |   |
| **Operating                  income**                   |   |                                    |       |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| Specialty                  Chemicals Segment            |   | $                                       | 1,106,000  |   |                                   | $      | 647,000 |   |   | $ | 2,239,000 |   |   | $ | 2,235,000 |   |
| Metals                  Segment                         |   |                                    | 3,477,000  |   |                                   |   | 3,308,000 |   |   |   | 14,451,000 |   |   |   | 6,720,000 |   |
|                                                    |   |                                    | 4,583,000  |   |                                   |   | 3,955,000 |   |   |   | 16,690,000 |   |   |   | 8,955,000 |   |
| **Unallocated                  expenses**               |   |                                    |       |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| Corporate                                               |   |                                    | 648,000    |   |                                   |   | 556,000 |   |   |   | 2,109,000 |   |   |   | 1,545,000 |   |
| Plant                  relocation costs                 |   |                                    | -          |   |                                   |   | - |   |   |   | - |   |   |   | 213,000 |   |
| Gain                  from sale of plant & property |   |                                    | -          |   |                                   |   | (596,000 | ) |   |   | - |   |   |   | (596,000 | ) |
| Interest                  and debt expense              |   |                                    | 364,000    |   |                                   |   | 183,000 |   |   |   | 835,000 |   |   |   | 529,000 |   |
| Other                  income                           |   |                                    | -          |   |                                   |   | - |   |   |   | (2,000 | ) |   |   | (1,000 | ) |
|                                                    |   |                                    |       |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| **Income                  before income taxes**         |   | $                                       | 3,571,000  |   |                                   | $      | 3,812,000 |   |   | $ | 13,748,000 |   |   | $ | 7,265,000 |   |

**NOTE      7--SALE OF ASSETS**

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**Synalloy      Corporation**

**Notes      To Condensed Consolidated Financial Statements **
**(Unaudited)**

**September      29,      2007**

**NOTE      8—RECENT ACCOUNTING PRONOUNCEMENTS**

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**Synalloy      Corporation**

**Item      2.   Management's Discussion and Analysis of Financial Condition and**
**Results      of Operations**

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**Synalloy      Corporation**

**Item      2.   Management's Discussion and Analysis of Financial Condition      and**
** Results      of Operations – Continued**

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**Synalloy      Corporation**

**Item      2.   Management's Discussion and Analysis of Financial Condition      and**
** Results      of Operations – Continued**

**Safe      Harbor Statement under the Private Securities Litigation Reform Act of      1995**

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**Synalloy      Corporation**

**Item      3. Market Risk**

**Item      4. Controls and Procedures**

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**Synalloy      Corporation**

**PART      II: OTHER INFORMATION**

**Item      1A. Risk Factors**

**Item      2. Unregistered Sales of Equity Securities and Use of      Proceeds**

|                       |                                  |   | Number                of Shares |   |   | Aggregate                Exercise |
|----------------------------|---------------------------------------|--------|---------------------------------|--------|--------|-----------------------------------|
| Date                Issued | Class                of Purchasers    |   | Issued                          |   |   | Price                             |
|                       |                                  |   |                            |   |   |                              |
| 7/2/2007                   | Officers                and employees |   |                            | 9,000  |   |                              | $ | 87,430 |   |
| 7/16/2007                  | Officers                and employees |   |                            | 4,800  |   |                              |   | 22,320 |   |
|                       |                                  |   |                            | 13,800 |   |                              | $ | 109,750 |   |

| **Item                6. Exhibits**                              |
|------------------------------------------------------------------|
| The                following exhibits are included herein:  |
| 31                                                               | Rule                13a-14(a)/15d-14(a) Certifications of Chief Executive Officer and                Chief                Financial Officer  |
| 32                                                               |  Certifications                Pursuant to 18 U.S.C. Section 1350 |
|                                                             |   |

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**Synalloy      Corporation**

**SIGNATURES**

|                                              |                                    |
|---------------------------------------------------|-----------------------------------------|
|                                              | **SYNALLOY                CORPORATION** |
|                                              |                                    | (Registrant) |
|                                              |                                    |   |
|                                              |                                    |   |
| Date:                November 12, 2007            | By:                                     | **/s/ Ronald                H.                Braam                 ** |
|                                              |                                    | Ronald                H. Braam |
|                                              |                                    | President                and Chief Executive Officer |
|                                              |                                    |   |
| Date:  November                12, 2007 | By:                                     | **/s/ Gregory                M.                Bowie                   ** |
|                                              |                                    | Gregory                M. Bowie |
|                                              |                                    | Vice                President Finance and Chief Financial Officer |
|                                              |                                    |   |

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