SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549
                                    FORM 10-Q
                                   (Mark One)
                   [X] QUARTERLY REPORT PURSUANT TO SECTION 13
                 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

                  For the quarterly period ended December 31, 2005

                                       OR

                  [ ] 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 0-14061

                             STEEL TECHNOLOGIES INC.
             (Exact name of registrant as specified in its charter)

                               Kentucky 61-0712014
                (State or other jurisdiction of (I.R.S. Employer
               incorporation or organization) Identification No.)

                 15415 Shelbyville Road, Louisville, KY   40245
               (Address of principal executive offices) (Zip Code)

                                 (502) 245-2110
              (Registrant's telephone number, including area code)

                                 Not applicable
--------------------------------------------------------------------------------
 (Former name, former address and former fiscal year, if changed since last
                                     report)

Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by  Sections  13 or 15(d)  of the  Securities  Exchange  Act of 1934
during the preceding 12 months (or for such shorter  period that the  Registrant
was  required  to file such  reports),  and (2) has been  subject to such filing
requirements for the past 90 days. Yes  X No____

Indicate  by check mark  whether  the  Registrant  is an  accelerated  filer (as
defined in Rule 12b-2 of the Act). Yes  X No____

Indicate by check mark whether the  registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act). YES [ ] NO [X].

Indicate the number of shares  outstanding  of each of the  Issuer's  classes of
common stock as of the latest practical date.

There were 12,947,372 shares outstanding of the Registrant's  common stock as of
January 31, 2006.


<PAGE>





                             STEEL TECHNOLOGIES INC.

                                      INDEX



                                                                     Page Number
PART I. FINANCIAL INFORMATION

Item 1. Financial Statements (Unaudited)

        Condensed Consolidated Balance Sheets
        December 31, 2005 and September 30, 2005 ..........................  3

        Condensed Consolidated Statements of Income and
        Comprehensive Income Three Months Ended
        December 31, 2005 and 2004 ........................................  4

        Condensed Consolidated Statements of Cash Flows Three Months
        Ended December 31, 2005 and 2004 ..................................  5

        Notes to Condensed Consolidated Financial Statements .............. 6-11

Item 2. Management's Discussion and Analysis of Financial Condition and
        Results of Operations .............................................12-19

Item 3. Quantitative and Qualitative Disclosures About Market
        Risk .............................................................. 19

Item 4. Controls and Procedures ........................................... 20

PART II.OTHER INFORMATION

Item 4. Submission of Matters to a Vote of Security Holders ............... 20

Item 6. Exhibits .......................................................... 21

Signature ................................................................. 21



<PAGE>

                         Part I. - FINANCIAL INFORMATION
                          Item 1. Financial Statements

                             STEEL TECHNOLOGIES INC.
                      Condensed Consolidated Balance Sheets
<TABLE>
<CAPTION>
(In thousands, except shares)                          December 31  September 30
(Unaudited)                                               2005          2005
--------------------------------------------------------------------------------
 <S>                                                   <C>             <C>
ASSETS
Current assets:
   Cash and cash equivalents ...................      $  17,524       $  30,991
   Trade accounts receivable, net ..............         98,639         112,033
   Inventories .................................        154,662         121,423
   Deferred income taxes .......................            590             605
   Prepaid expenses and other assets ...........          6,488           6,289
                                                      ---------       ---------
      Total current assets .....................        277,903         271,341
                                                      ---------       ---------

Property, plant and equipment, net .............        112,961         110,501
Investments in unconsolidated affiliates .......         26,031          25,182
Goodwill .......................................         18,148          18,148
Other assets ...................................          3,020           2,751
                                                      ---------       ---------
                                                      $ 438,063       $ 427,923
                                                      =========       =========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
   Accounts payable ............................      $  67,574       $  59,559
   Accrued liabilities .........................         11,545          13,394
   Income taxes payable ........................          2,267           1,244
   Deferred income taxes .......................            193             254
                                                      ---------       ---------
      Total current liabilities ................         81,579          74,451
                                                      ---------       ---------

Long-term debt .................................         80,000          80,000
Deferred income taxes ..........................         14,526          14,956
Other long-term liabilities.....................          4,234           3,757
                                                      ---------       ---------
      Total liabilities ........................        180,339         173,164
                                                      ---------       ---------
Commitments and contingencies

 Shareholders' equity:
   Preferred stock, no par value: 500,000 shares
    authorized; none issued or outstanding.....            -               -
   Common stock, no par value: 50,000,000 shares
    authorized; issued and outstanding shares:
    12,942,028 at December 31, 2005 and
    12,927,826 at September 30, 2005............         70,808          70,662
   Treasury stock at cost:  2,635,513 shares at
    December 31, 2005 and 2,635,114 at September
    30, 2005....................................        (24,486)        (24,475)
   Additional paid-in capital ..................          5,864           5,494
   Retained earnings ...........................        208,409         207,116
   Accumulated other comprehensive loss ........         (2,871)         (4,038)
                                                      ---------       ---------
      Total shareholders' equity ...............        257,724         254,759
                                                      ---------       ---------
                                                      $ 438,063       $ 427,923
                                                      =========       =========
</TABLE>


   The accompanying notes are an integral part of the condensed consolidated
                             financial statements.
                                       3
<PAGE>

                             STEEL TECHNOLOGIES INC.
                   Condensed Consolidated Statements of Income
<TABLE>
<CAPTION>
(In thousands, except per share data)      For The Three Months Ended
(Unaudited)                                       December 31
----------------------------------------------------------------------
                                               2005          2004
                                         -----------------------------
<S>                                         <C>            <C>
Sales ................................      $212,554       $254,016
Cost of goods sold ...................       199,367        221,570
                                            --------       --------
   Gross profit ......................        13,187         32,446

Selling, general and
   administrative expenses ...........         8,758         10,121
Equity in net income of unconsolidated
   affiliates ........................           848          1,471
                                            --------       --------
   Operating income ..................         5,277         23,796

Interest expense, net ................           699          1,179
                                            --------       --------
   Income before income taxes ........         4,578         22,617

Provision for income taxes ...........         1,344          8,100
                                            --------       --------
    Net income .......................      $  3,234       $ 14,517
                                            ========       ========
Weighted average number of common
   shares outstanding-diluted ........        13,085         13,090
                                            ========       ========

Diluted earnings per common share ....      $   0.25       $   1.11
                                            ========       ========

Weighted average number of common
   shares outstanding-basic ..........        12,936         12,840
                                            ========       ========

Basic earnings per common share ......      $   0.25       $   1.13
                                            ========       ========

Cash dividends per common share ......      $   0.15       $   0.10
                                            ========       ========
</TABLE>


            Condensed Consolidated Statements of Comprehensive Income
<TABLE>
<CAPTION>

(In thousands)                            For The Three Months Ended
(Unaudited)                                       December 31
----------------------------------------------------------------------
                                              2005           2004
                                         -----------------------------
<S>                                       <C>         <C>
Net income ...............................  $  3,234       $ 14,517
  Foreign currency translation
        adjustment .......................     1,080            498
  Change in unrealized gain or loss on
        cash flow hedges, net of taxes ...        87            -
                                            --------       --------
Net other comprehensive income ...........     1,167            498
                                            --------       --------
Comprehensive income .....................  $  4,401       $ 15,015
                                            ========       ========
</TABLE>
   The accompanying notes are an integral part of the condensed consolidated
                             financial statements.


                                       4
<PAGE>

                             STEEL TECHNOLOGIES INC.
                 Condensed Consolidated Statements of Cash Flows
<TABLE>
<CAPTION>
(In thousands)                                               Three Months Ended
(Unaudited)                                                      December 31
--------------------------------------------------------------------------------
                                                             2005       2004
                                                           ---------------------
<S>                                                       <C>         <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
   Net income .........................................   $  3,234    $ 14,517
   Adjustments to reconcile net income to net cash
    used in operating activities:
       Depreciation ...................................      4,025       3,619
       Stock-based compensation expense ...............        131         -
       Deferred income taxes ..........................       (663)       (512)
       Equity in net income of unconsolidated
        affiliates ....................................       (848)     (1,471)
       (Benefit) provision for bad debts ..............        (66)        370
       Increase (decrease) in cash resulting from
         changes in:
             Trade accounts receivable ................     14,070       2,238
             Inventories ..............................    (32,771)    (18,904)
             Prepaids expenses and other assets .......       (702)       (144)
             Accounts payable .........................      7,720     (22,174)
             Income tax payable .......................      1,846       3,577
             Accrued liabilities ......................     (1,748)      1,176
                                                          --------    --------
Net cash used in operating activities .................     (5,772)    (17,708)
                                                          --------    --------
CASH FLOWS FROM INVESTING ACTIVITIES:
   Purchases of property, plant and equipment .........     (6,225)     (4,670)
                                                          --------    --------
Net cash used in investing activities .................     (6,225)     (4,670)
                                                          --------    --------
CASH FLOWS FROM FINANCING ACTIVITIES:
   Proceeds from long-term debt .......................        -        76,000
   Principal payments on long-term debt ...............        -       (50,000)
   Cash dividends on common stock .....................     (1,941)     (1,284)
   Net issuance of common stock .......................        135         359
   Excess tax benefits from stock options .............         14         -
                                                          --------    --------
Net cash (used in) provided by financing activities ...     (1,792)     25,075
                                                          --------    --------
Effect of exchange rate changes on cash ...............        322          75
                                                          --------    --------
Net (decrease) increase in cash and cash equivalents ..    (13,467)      2,772
Cash and cash equivalents, beginning of year ..........     30,991       2,273
                                                          --------    --------
Cash and cash equivalents, end of period ..............   $ 17,524    $  5,045
                                                          ========    ========
Supplemental Cash Flow Disclosures:
Cash payment for interest .............................   $  1,446    $    836
                                                          ========    ========
Cash payment for income taxes .........................   $    241    $  4,330
                                                          ========    ========


</TABLE>

   The accompanying notes are an integral part of the condensed consolidated
                             financial statements.

                                       5
<PAGE>

                             STEEL TECHNOLOGIES INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)

1.  BASIS OF PRESENTATION

The  condensed  consolidated  balance  sheet  as of  December  31,  2005 and the
condensed  consolidated  statements of income and  comprehensive  income for the
three months ended December 31, 2005 and 2004, and condensed  consolidated  cash
flows for the three months ended December 31, 2005 and 2004,  have been prepared
by Steel  Technologies  Inc.  (the  Company)  without  audit.  In the opinion of
management,  all adjustments  (which include only normal recurring  adjustments)
necessary to present  fairly the financial  position,  results of operations and
cash flows as of and for the three  months  ended  December 31, 2005 and for all
periods presented have been made.

Certain  information  and footnote  disclosures  normally  included in financial
statements prepared in accordance with generally accepted accounting  principles
have  been  condensed  or  omitted.   It  is  suggested  that  these   condensed
consolidated  financial  statements  be read in  conjunction  with the financial
statements  and notes thereto  included in the  Company's  Annual Report on Form
10-K for the fiscal year ended September 30, 2005. The results of operations for
the three months ended December 31, 2005 are not  necessarily  indicative of the
operating results for the full year.

2.  RECLASSIFICATIONS

Certain  prior year amounts have been  reclassified  to conform with the current
year presentation with no effect on net income or shareholders' equity.



3.  INVENTORIES

<TABLE>
<CAPTION>
Inventories consists of:


(In thousands)                                       December 31   September 30
(Unaudited)                                             2005           2005
-------------------------------------------------------------------------------
<S>                                                 <C>           <C>
Raw materials ....................................   $  100,374   $   86,496
Finished goods and work in process ...............       54,288       34,927
                                                     ----------   ----------
                                                     $  154,662   $  121,423
                                                     ==========   ==========
</TABLE>


4.  STOCK OPTIONS

Under its employee stock option plans, the Company may grant employees incentive
stock  options to purchase  shares at not less than 100% of market value at date
of  grant  or  non-qualified   stock  options  at  a  price  determined  by  the
Compensation Committee of the Company's Board of Directors.  Generally,  options
are  exercisable at the rate of 20% a year beginning one year from date of grant
and expire ten years from the date of grant.  On November 4, 2005, the remaining
91,000 shares available were granted at an average exercise price of $25.42.


                                       6

<PAGE>


On January 26, 2006,  the  shareholders  of the Company  voted to adopt the 2006
Restricted  Stock Plan (the 2006  Plan),  which was  previously  approved by the
Board of Directors on November 4, 2005.  The 2006 Plan  authorizes  the award of
stock for up to 300,000  shares of the  Company's  Common  Stock,  no par value,
which may be awarded as authorized, but unissued, shares. The terms of any award
of  shares  will  be  determined  by the  Compensation  Committee  in  its  sole
discretion  at  the  time  of  the  award.  Unless  otherwise  specified  by the
Committee,  none of the shares  awarded shall be restricted for a period of less
than one year or more than ten years.  The number of shares which may be awarded
to any single employee will not be limited by the 2006 Plan. None of the 300,000
shares have been awarded under the 2006 Plan as of December 31, 2005.

On October 1, 2005,  the  Company  adopted  Statement  of  Financial  Accounting
Standard   (SFAS)  No.  123(R),   "Share-Based   Payment,"  using  the  modified
prospective   transition  method.  Under  this  method,   compensation  cost  is
recognized  for all  share-based  payments  granted this fiscal year and for all
unvested  awards granted to employees  prior to the adoption of SFAS No. 123(R).
The Company recognizes  compensation  expense on a graded-vesting basis over the
employee's   vesting  period.  In  accordance  with  the  modified   prospective
transition  method,  the  financial  statements  for prior periods have not been
restated.

Since all outstanding options are incentive stock options,  the Company does not
receive  any  income tax  deductions  for  options  granted  unless  there is an
exercise and disqualifying  disposition of those shares as defined under current
tax laws.  Upon the  occurrence  of a  disqualifying  disposition,  the  Company
recognizes  the income tax  benefit  that  corresponds  to the  cumulative  book
compensation  cost as a reduction to income tax expense and any excess  benefits
are recorded as an addition to additional paid-in capital.

As a result of  adopting  SFAS No.  123(R),  the  Company  recorded  stock-based
compensation expense of $131,000 in selling, general and administrative expenses
for the quarter ended December 31, 2005. In addition,  the Company recognized an
income tax benefit of $31,000  during the quarter  ended  December 31, 2005,  of
which approximately $17,000 was recorded as a reduction in income tax expense.

The fair value of each option  grant is estimated on the date of grant using the
Black-Scholes  option-pricing  model  with  the  following  assumptions  for the
quarter ended December 31, 2005:


<TABLE>
<S>                                     <C>
Expected dividend yield                    1.4%
Expected stock price volatility           46.0%
Weighted average risk-free interest rate   4.6%
Expected life option (years)               6.5
</TABLE>

                                       7
<PAGE>
The assumptions for expected dividend yield, expected stock price volatility and
expected life of options are based on historical trends.

The summary of the status of all of the Company's  stock  incentive  plans as of
December  31, 2005 and changes  during the quarter  ended  December 31, 2005 are
presented below.


<TABLE>
                                                                     Weighted
                                  Shares                              Average
                                   Under        Range of Option      Exercise
                                   Plans        Prices Per Share       Price
   --------------------------------------------------------------------------
   <S>                             <C>        <C>                    <C>
   Balance, September 30, 2005     304,500    $  5.34  -  $ 11.94    $ 9.32
   Granted                          91,000    $ 25.21  -  $ 27.73    $25.42
   Exercised                       (13,600)   $  5.34  -  $ 10.49    $ 8.75
   Canceled                            -               -               -
                                   -------    -------------------    -------
   Balance, December 31, 2005      381,900    $  5.34  -  $ 27.73    $13.18
                                   =======    ===================    =======
  </TABLE>

The following table summarizes  information about stock options  outstanding and
exercisable:
<TABLE>
                                         December 31, 2005
                 ---------------------------------------------------------------
                           Options Outstanding:            Options Exercisable:
                 ------------------------------------  -------------------------
                                 Weighted
                                 Average    Weighted
                      Number    Remaining    Average     Number     Weighted
     Range of      Outstanding  Contracted  Exercise  Exercisable   Exercise
  Exercise Prices  at 12/31/05     Life       Price    at 12/31/05   Price
--------------------------------------------------------------------------------
<S>                  <C>          <C>          <C>        <C>         <C>
 $ 5.34 - $ 5.34      81,600        4.87     $ 5.34      81,600     $ 5.34
 $ 8.00 - $12.00     209,300        5.48     $10.91      96,500     $11.18
 $25.21 - $27.73      91,000        9.44     $25.42         -         -
----------------     -------    ----------   ------     -------    -------
 $ 5.34 - $27.73     381,900        6.29     $13.18     178,100     $ 8.50
================     =======    ==========   ======     =======    =======

</TABLE>

All unexercised options expire from 2008 to 2015.

Prior to fiscal 2006, as permitted by SFAS No. 123  "Accounting  for Stock-Based
Compensation"  and  amended  by  SFAS  No.  148,   "Accounting  for  Stock-Based
Compensation-Transition  and Disclosure," the Company followed the provisions of
Accounting  Principles  Board  Opinion No. 25,  "Accounting  for Stock Issued to
Employees," and related Interpretations in accounting for its stock option plans
under the intrinsic value based method. Accordingly, no stock-based compensation
expense was  recognized  for stock  options  issued under the plans as all stock
options  granted  under the plans had an  exercise  price at least  equal to the
market  value  of  the  underlying  common  stock  on the  date  of  grant.  Had
compensation  expense  been  determined  based  on the fair  value of the  stock
options at the grant date  consistent  with the  provisions of SFAS No. 123, the
Company's  net income and basic and diluted net income per common  share for the
three months ended December 31, 2004 would have been impacted as follows:


                                       8
<PAGE>


<table>
<caption>
(In thousands except per common share data)
(Unaudited)
----------------------------------------------------------

<S>                                                <C>
Net income - as reported                          $14,517
Total stock-based employee compensation expense
   determined under fair value method for all
   awards, net of taxes                                69
                                                  -------
Net income - pro forma                            $14,448
                                                  =======

Diluted net income per common share-as reported    $ 1.11
Diluted net income per common share-pro forma      $ 1.11
Basic net income per common share-as reported      $ 1.13
Basic net income per common share-pro forma        $ 1.13
</table>


5.  NET INCOME PER SHARE COMPUTATIONS

The following is a  reconciliation  of the  denominator of the basic and diluted
per common share computations:
<TABLE>
<CAPTION>

                                                           Three Months Ended
(In thousands, except per common share data)                   December 31
(Unaudited)                                                  2005        2004
-------------------------------------------------------   ----------  ----------
<S>                                                       <C>         <C>
Net income ............................................   $   3,234   $  14,517
                                                          ---------   ---------
Shares (denominator) used for diluted
   per common share computations:
    Weighted average shares of common  stock
        outstanding ...................................      12,936      12,840
    Plus: dilutive effect of stock options ............         149         250
                                                          ---------   ---------
           Diluted weighted average shares ............   $  13,085   $  13,090
                                                          ---------   ---------
Shares (denominator) used for basic per common
   share computations:
   Weighted average shares of common stock
       outstanding ....................................      12,936      12,840
                                                          ---------   ---------
Net income per common share data:
    Diluted ...........................................   $    0.25   $    1.11
                                                          =========   =========
    Basic .............................................   $    0.25   $    1.13
                                                          =========   =========
</TABLE>

Outstanding  options of 7,500 shares were excluded from the diluted earnings per
common share  calculation  for the three months ended  December 31, 2005 because
the exercise  price of the options was greater than the average  market price of
the  Company's  stock.  All  outstanding  options  are  included  in the diluted
earnings per common share  calculation above for the three months ended December
31, 2004.

                                        9
<PAGE>


6.  RELATED PARTIES

Summarized condensed consolidated income statement information of Mi-Tech Steel,
Inc. (Mi-Tech Steel), a fifty percent owned  unconsolidated  affiliate accounted
for by the equity method, follows:

<TABLE>
<CAPTION>
                             Three Months Ended
(In thousands)                    December 31
(Unaudited)                   2005       2004
-------------------------   --------   --------
 
                        <c>         <c>
Sales                       $66,717     $70,541
Gross profit                  4,779       7,040
Net income                    1,538       2,801
</TABLE>

The Company has various  transactions  with Mi-Tech Steel.  Both the Company and
Mi-Tech  Steel buy and sell  products and services at  prevailing  market prices
from each other.  Beginning in February 2005, the Company incurred expenses from
Mi-Tech Steel for toll processing and storage services  provided at its Decatur,
Alabama facility at agreed upon rates. Prior to February 2005, Mi-Tech Steel was
reimbursed for operating costs incurred at its Decatur,  Alabama facility by its
owners.  Equity in the net income of Mi-Tech Steel and management fee income are
also  included in  operating  income of the Company.  A summary of  transactions
between the Company and Mi-Tech Steel during the three months ended December 31,
2005 and 2004 follows:


<TABLE>
<CAPTION>
(In thousands)                                 Three Months Ended
(Unaudited)                                        December 31
--------------------------------------------  ---------------------
                                                2005         2004
                                                ----         ----

                                           <c>          <c>
Sales to and management fee income
   from Mi-Tech Steel                        $ 1,119       $  824
Purchases from and expense reimbursements
    to Mi-Tech Steel                             542          537
Interest income from Mi-Tech Steel
   for note paid in full on June 30, 2005        -             21
Equity in net income of Mi-Tech Steel            769        1,400

</TABLE>


As a result of the transactions  above,  accounts  receivable from Mi-Tech Steel
was  $1,145,000  and  $302,000 as of December 31, 2005 and  September  30, 2005,
respectively, and accounts payable to Mi-Tech Steel was $260,000 and $103,000 as
of December 31, 2005 and September 30, 2005, respectively.

During the three months ended December 31, 2005 and 2004,  the Company  recorded
sales of $3,383,000 and $7,471,000,  respectively,  for scrap products sold to a
company  owned by an officer and  director of the Company.  Accounts  receivable
from the  aforementioned  company were  $1,252,000 and $2,508,000 as of December
31, 2005 and September 30,

                                       10

<PAGE>


2005, respectively. Management reports these transactions to the Audit Committee
of the Board of Directors as  frequently as requested by the  Committee,  but at
least annually.  Most recently,  in April 2005, the Audit Committee reviewed and
approved  these  transactions.  The Company has the ability to continue or cease
selling scrap steel to this company at any time.

7.  IMPACT OF RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

On October 1, 2005,  the  Company  adopted  SFAS No.  123(R).  Accordingly,  the
Company  recorded  stock-based  compensation  expense of  $131,000  in  selling,
general and administrative expenses for the quarter ended December 31, 2005 (see
Note 4 of the Notes to Condensed Consolidated Financial Statements).

On October 22, 2004 the  American  Jobs  Creation  Act of 2004 was passed and is
effective  for  fiscal  2006.  This law  provides  a phased in  deduction  for a
percentage of qualified income from domestic production activities and a special
one-time tax  deduction on the  repatriation  of foreign  earnings.  The Company
estimates this law will lower its effective  income tax rate by less than 1% for
fiscal 2006.



                                       11
<PAGE>


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

When  used  in  the  following  discussion,   the  words  "expects,"  "intends,"
"anticipates," "believes" and other similar expressions are intended to identify
forward-looking  statements,   which  are  made  pursuant  to  the  safe  harbor
provisions  of the  Private  Securities  Litigation  Reform  Act of  1995.  Such
forward-looking  statements are subject to certain risks and uncertainties  that
could cause actual results to differ  materially from those projected.  Specific
risks and uncertainties  include,  but are not limited to,  competitive  factors
such as  pricing  and  availability  of  steel;  cyclical  demand  in the  steel
industry,  specifically  in the  automotive  market;  our  ability  to make  and
integrate acquisitions;  our inability to obtain sufficient capital resources to
fund our operations  and our growth;  risk of business  interruptions  affecting
automotive manufacturers;  and reliance on key customers.  Readers are cautioned
not to place undue  reliance on these  forward-looking  statements,  which speak
only as of the date  hereof.  We undertake no  obligation  to republish  revised
forward-looking  statements to reflect the occurrence of unanticipated events or
circumstances  after the date  hereof.  Unless the context  otherwise  requires,
references to "we," "us" or "our" refer  collectively to Steel Technologies Inc.
and its subsidiaries.


Application of Critical Accounting Policies
-------------------------------------------

Our  consolidated  financial  statements  have been prepared in accordance  with
generally  accepted  accounting  principles.  The preparation of these financial
statements requires management to make estimates and assumptions that affect the
amounts reported in the consolidated financial statements.  Actual results could
differ from these  estimates under  different  assumptions or conditions.  On an
ongoing basis, we monitor and evaluate our estimates and assumptions.

A summary of  significant  accounting  policies used in the  preparation  of the
consolidated  financial  statements  is  described  in  Note 1 of the  Notes  to
Consolidated  Financial  Statements  in our  Annual  Report on Form 10-K for the
fiscal year ended September 30, 2005.

Our  most  critical  accounting  policies  include  the  valuation  of  accounts
receivable,  which impacts selling,  general and administrative expense, and the
assessment  of  recoverability  of goodwill and  long-lived  assets.  Management
reviews the estimates, including, but not limited to, the allowance for doubtful
accounts  on  a  regular  basis  and  makes   adjustments  based  on  historical
experiences,  current  conditions  and  future  expectations.  The  reviews  are
performed  regularly and adjustments are made as required by currently available
information. We believe these estimates are reasonable, but actual results could
differ from these estimates.


     Allowance for Doubtful Accounts Receivable
     ------------------------------------------

     Our accounts  receivable  represent  those amounts that have been billed to
     our customers but not yet collected.  An allowance for doubtful accounts is
     maintained  for  estimated  losses  resulting  from  the  inability  of our
     customers to make required payments. The allowance is maintained at a level
     considered  appropriate  based on historical  and other factors that affect
     collectibility. The factors include historical trends of write-offs, sales,
     recoveries and credit losses,  the monitoring of portfolio  credit quality,
     and current and

                                       12

<PAGE>


     projected economic and market conditions. If the financial condition of our
     customers was to deteriorate,  resulting in an impairment of the ability to
     make payments beyond previously  established terms,  additional  allowances
     may be required.  Uncollectible accounts receivable are written off against
     the allowance for doubtful accounts  receivable when management  determines
     that the  probability  of  payment is remote and  collection  efforts  have
     ceased.


     Long-Lived Assets
     -----------------

     Long-lived  assets with  estimated  useful lives are  depreciated  to their
     residual values over those useful lives in proportion to the economic value
     consumed.  We  review  the  carrying  value of our  long-lived  assets  for
     impairment  whenever changes in events and circumstances  indicate that the
     carrying amount of the assets may not be recoverable. If an evaluation were
     required,  the estimated future  undiscounted cash flows associated with an
     asset would be compared to the asset's  carrying  value to  determine  if a
     write-down  to market value or  undiscounted  cash flows value is required.
     Future changes in circumstances,  cash flow estimates and estimates of fair
     value could affect the valuations.

     Goodwill is reviewed annually, or sooner if indicators of impairment exist,
     for impairment using the present value technique to determine the estimated
     fair  value of  goodwill  associated  with each  reporting  entity.  If the
     goodwill is indicated as being  impaired  (the present  value of cash flows
     (fair value) of the reporting unit is less than the carrying  amount),  the
     fair value of the reporting  unit would then be allocated to our assets and
     liabilities in a manner  similar to the purchase price  allocation in order
     to determine the implied fair value of the reporting  unit  goodwill.  This
     implied fair value of the reporting  unit  goodwill  would then be compared
     with the carrying  amount of the  reporting  unit  goodwill and, if it were
     less, we would then recognize an impairment loss.

     Considerable  management  judgment is  necessary to assess  impairment  and
     estimate fair value.  The  projection of future cash flows for the goodwill
     impairment  analysis  requires  significant  judgment  and  estimates  with
     respect to future  revenues  related  to the  assets  and the  future  cash
     outlays related to those  revenues.  Actual revenues and related cash flows
     or changes in  anticipated  revenues and related cash flows could result in
     changes  in  the  assessment  and  result  in  an  impairment  charge.  The
     assumptions used in our evaluations,  such as forecasted growth rates, cost
     of capital,  tax rates and residual values are consistent with our internal
     projections  and  operating  plans.  The  use  of  different   assumptions,
     including  cash flows and discount  rates,  could  increase or decrease the
     related impairment charge.


Overview
--------

We are one of the largest  independent  flat-rolled  steel  processors  in North
America.   Our  North  American   platform  of  20  facilities,   including  our
unconsolidated  affiliates,  is strategically  positioned in the steel producing
and consuming markets throughout the United States and Mexico. We bring value to
our  customers  through  precision  steel  processing  as well as  supply  chain
management,  quality control and technical support. We utilize the most advanced
equipment to produce high-quality steel products and specialize in meeting exact
specifications  for  customers  in a variety of  industries  and end use markets
including  automotive,  lawn and garden,  appliance and railcar industries.  Our
broad geographic

                                       13
<PAGE>


coverage  allows us to provide  precision  steel  products to our customers with
efficient just-in-time delivery.

We focus our sales and  marketing  strategies  to leverage  more fully our North
American platform of value added steel processing  facilities.  In recent years,
we have been  successful  in growing our volume across all  operations  and have
gained meaningful  market growth,  both with existing and new customers across a
wide range of end use markets.  Our broad  capabilities and geographic  presence
offer  distinct  competitive  advantages  to  customers  that  have  multi-plant
operations  throughout the United States, Canada and Mexico. This has allowed us
to expand with regional and large national accounts.

For the three months ended December 31, 2005,  sales were $212.6 million,  a 16%
decline from the record $254.0 million  reported for the same period a year ago.
Net income for the first  quarter was $3.2  million or $0.25 per  diluted  share
compared  with a  record  $14.5  million  or  $1.11  per  diluted  share  in the
year-earlier  period. Sales of company-owned steel products in our first quarter
of fiscal 2006 of approximately 270,000 tons decreased 8% from the levels of our
first quarter of fiscal 2005.

We  experienced  a gradually  improving  operating  environment  with  increased
shipments and improved  margins from the levels of the fourth  quarter of fiscal
2005.  A comparison  of our results for the first  quarter of fiscal 2006 to the
fourth quarter of fiscal 2005 reflects  increases in sales by approximately  4%,
operating  income margins by  approximately  1.5% and tons sold by approximately
6%.

Looking  ahead,  we estimate that our tons sold for the second quarter of fiscal
2006 will increase  approximately  15-20% from the first quarter levels. We have
worked  closely  with  our  customers  and  negotiated  more  flexible   pricing
agreements  that in many cases  adjust  with  market  indices.  Accordingly,  we
estimate  slight  increases  in our  average  selling  prices  during the second
quarter of fiscal 2006 based on the most recent market indices.

During the latter half of 2005, we aggressively  reduced our inventory levels to
mitigate the impact of declining  prices.  As shipment levels have improved,  we
increased  our  inventory  levels to support  our sales  growth.  Existing  cash
balances and strong  collections  from customers  helped us to maintain our debt
levels at $80 million.

We  intend  to  invest  $25  million  on  capital  projects  in 2006,  including
construction  of a new  processing  facility in Juarez,  Mexico.  The  remaining
projects  will  further  expand  capacity,  improve  quality  and service to our
customers and lower conversion costs at current operations.

                                       14
<PAGE>

    Financial Highlights (in thousands except per share data and percentages)
    -------------------------------------------------------------------------

<table>
<caption>


                                 For the Three Months Ended December 31
                                         2005             2004
                                  ----------------  ----------------
                                            % of              % of         %
(Unaudited)                        Actual   Sales    Actual   Sales      Change
--------------------------------- -------- -------  -------- -------    --------

                              <c>       <c>      <c>       <c>         <c>
Sales                            $212,554  100.0%   $254,016  100.0%     (16)%
Gross profit                       13,187    6.2      32,446   12.8      (59)
Selling, general and
   administrative expenses          8,758    4.1      10,121    4.0      (13)
Equity in net income of
   unconsolidated affiliates          848    0.4       1,471    0.6      (42)
Operating income                    5,279    2.5      23,796    9.4      (78)
Interest expense, net                 699    0.3       1,179    0.5      (41)
Net income                          3,234    1.5      14,517    5.7      (78)
Diluted earnings per common share   $0.25              $1.11             (77)
Cash dividends per common share     $0.15              $0.10              50

Other data
----------
Average days sales outstanding      41.8               43.0               (3)
Inventory turnover                   5.2                4.5               16
Return on equity (annualized)        5.0%              25.0%             (80)

</table>


Results of Operations
---------------------

     Sales
     -----

     We posted net sales of  $212,554,000  for the first quarter ended  December
     31, 2005, a decrease of 16% from sales of $254,016,000 for the first fiscal
     quarter  ended  December 31,  2004.  Tons  shipped of  company-owned  steel
     products in the first quarter of fiscal 2006 decreased  approximately 8% to
     270,000  tons  compared to the first  quarter of fiscal  2005.  The average
     selling price of company-owned  steel products  decreased  approximately 9%
     for the first  quarter of fiscal 2006 as  compared to the first  quarter of
     fiscal 2005 as customers  have  negotiated  lower  selling  price levels to
     reflect  the  reduction  in raw  material  costs  since last year.  We have
     closely  worked with our customers  and  negotiated  more flexible  pricing
     agreements that in many cases adjust with market indices.

     Gross profit
     ------------

     Our gross  profit  margin  was 6.2% in the  first  quarter  of fiscal  2006
     compared to 12.8% in the first  quarter of fiscal 2005.  Cost of goods sold
     decreased approximately $22,203,000, or 10%, in the first quarter of fiscal
     2006 compared to the first quarter of fiscal 2005.  Cost of materials  sold
     decreased  $22,300,000 in the first quarter of fiscal 2006 primarily due to
     lower sales  volume.  Delivery  costs  increased  $223,000  primarily  from
     increases in fuel costs offset by lower sales  volumes.  The remaining cost
     of goods sold in the first quarter of fiscal 2006 decreased by $126,000 and
     was primarily a result of lower sales volumes and efforts to control costs.


                                       15
<PAGE>

     Our gross profit margin increased from 4.3% in the fourth quarter of fiscal
     2005 to 6.2% in the first  quarter of fiscal  2006  reflecting  an improved
     operating environment. We may offset lower gross profit trends by achieving
     production cost efficiencies and product mix improvements.

     Selling, general and administrative expenses
     --------------------------------------------

     Selling,  general and  administrative  costs were  $8,758,000 for the three
     months  ended  December  31, 2005,  compared to  $10,121,000  for the three
     months ended December 31, 2004. The decrease is primarily  attributable  to
     decreases in company wide bonus plan  expenses of  $1,315,000  due to lower
     earnings  and a  decrease  in bad  debt  expense  of  $436,000  due to more
     favorable collection results. These decreases were offset by an increase in
     depreciation  expense of $161,000  primarily related to improvements in our
     information  systems, an increase in stock option  compensation  expense of
     $131,000 as a result of adopting SFAS No. 123(R) and an increase of $96,000
     in remaining general expenses.

     We  continue to manage  actively  the level at which  selling,  general and
     administrative expenses are added to our cost structure.



     Equity in net income of unconsolidated affiliates
     -------------------------------------------------

     Our share of the income of our  unconsolidated  affiliates was $848,000 for
     the first quarter of fiscal 2006 compared to $1,471,000 in 2005.

     Our largest unconsolidated  affiliate,  Mi-Tech Steel, reported $66,717,000
     in sales for the first  quarter of fiscal 2006, a decrease of 5.4% compared
     to the first  quarter of fiscal 2005.  Mi-Tech  Steel  continues to play an
     important  role in our  North  American  platform  and is  included  in our
     marketing  strategies  as  we  expand  our  position  with  large  national
     customers.

     Interest expense
     ----------------

     Net  interest  expense for the first  quarter of fiscal 2006  decreased  to
     $699,000 from $1,179,000 for the first quarter of fiscal 2005. The decrease
     is primarily  attributable  to a $231,000  increase in interest income from
     higher average short-term  investment  balances during the first quarter of
     fiscal 2006  compared to the first  quarter of fiscal 2005.  The  remaining
     decrease of $249,000 is primarily a result of lower  average debt  balances
     during the first  quarter of fiscal 2006  compared to the first  quarter of
     fiscal 2005.

     Income tax expense
     ------------------

     Our  effective  income  tax  rate  was   approximately   29.4%  and  35.8%,
     respectively,  for the first quarter of fiscal 2006 and 2005.  The decrease
     between years is primarily  attributable to a decline in Mexico's statutory
     income tax rate from 33% to 30% during  the second  quarter of fiscal  2005
     and a higher  percentage of overall  earnings from Mi-Tech Steel during the
     first quarter of fiscal 2006, which are not fully taxable to our Company.



                                       16
<PAGE>

Liquidity and Capital Resources
-------------------------------

As of December 31, 2005, we had  $196,324,000 of working  capital,  maintained a
current ratio of 3.4:1 and had total debt at 24% of  capitalization.  Generally,
in periods of economic  expansion  and increased  demand for our  products,  our
working  capital  requirements  increase.  Conversely,  in periods  of  economic
contraction   and  reduced  demand  for  our  products,   our  working   capital
requirements decrease.

Average days sales  outstanding to customers was 42 days as of December 31, 2005
compared to 43 as of December 31, 2004. Average days inventory was 70 days as of
December 31, 2005 compared to 80 days as of December 31, 2004. We expect average
days sales  outstanding  and average days inventory to remain  consistent in the
second quarter of fiscal 2006 with the first quarter levels.

Our  average  payment  days to  suppliers  was 30 days as of  December  31, 2005
compared to 28 days as of December 31, 2004. We expect  average  payment days to
suppliers to remain consistent at 30 days in the second quarter of fiscal 2006.

During  the first  three  months of fiscal  2006,  cash used in  operations  was
$5,772,000  primarily from changes in working capital. We increased inventory by
$32,771,000  in fiscal 2006 to more normal  levels to support our sales  growth.
This use of cash was  partially  offset by a decrease in accounts  receivable of
$14,070,000  as a result of  favorable  collection  efforts  and an  increase in
accounts  payable of  $7,720,000  related to the increase in inventory  near the
latter portion of the first quarter of fiscal 2006.

Capital  expenditures  for  the  first  three  months  of  fiscal  2006  totaled
approximately $6,225,000. We continue to expand production capacity to serve the
growing needs of customers,  improve  information systems as well as quality and
service to our customers and invest in  automation to improve  productivity  and
make our operations  more efficient.  For fiscal 2006, the capital  additions to
all facilities are expected to approximate $25,000,000.

We  maintain  an equity  investment  of  $25,744,000  in our  90%-owned  Mexican
subsidiary. Additional investments in our Mexican operations, if required, would
be financed with available funds from our credit facility.

The translation of the financial statements of our Mexican subsidiary from local
currencies to the U.S.  dollar  subjects us to exposure  relating to fluctuating
exchange  rates.  However,  this  exposure  is  mitigated  somewhat  by a  large
percentage of transactions  denominated in the U.S.  dollar.  We do not consider
our exposure to exchange rate risks to be material and consider the Mexican peso
a relatively  stable  currency.  We do not typically  manage our related foreign
currency  exchange rate risk through the use of financial  instruments.  Foreign
currency  transaction losses included in sales were $320,000 and $167,000 during
the three months ended  December 31, 2005 and 2004,  respectively,  reflecting a
stronger average exchange rate of the peso relative to the U.S. dollar.

We maintain a 50% equity investment in Mi-Tech Steel and a 49% equity investment
in  Ferrolux  Metals.  Additional  equity  contributions  to our  unconsolidated
affiliates  are not  required and we do not  guarantee  any  obligations  of our
unconsolidated affiliates. While distributions from Mi-Tech Steel are permitted,
if authorized by Mi-Tech Steel's board of

                                       17
<PAGE>

directors,  such  distributions  are  restricted by one of Mi-Tech  Steel's loan
agreements.  Such restrictions limit distributions to 15% of Mi-Tech Steel's net
income in any fiscal year. Distributions from Mi-Tech Steel are not, and are not
expected to be, material sources of liquidity for us. Mi-Tech Steel's  liquidity
needs are met  primarily  by their  cash  flows from  operating  activities  and
existing  line of credit  facility.  Cash flows from  operations  and  available
borrowing capabilities are expected to meet Mi-Tech Steel's future needs.

In October 2004, we issued  $50,000,000  in unsecured  senior notes which have a
blended  interest rate of 5.67%. The notes are comprised of $10,000,000 of 5.33%
Series A Senior  Notes due October 21, 2011 and  $40,000,000  of 5.75%  Series B
Senior Notes due October 21,  2014.  Semiannual  interest  payments are required
until maturity.

Borrowings  and repayments  under our line of credit  agreement are initiated as
needed to fund our operating and investing  activities  described above.  During
the  first  three  months  of fiscal  2006,  our  existing  cash  balances  were
sufficient to meet our working capital,  investing and financing needs resulting
in a reduction of $13,467,000 in cash. Accordingly,  no borrowings or repayments
were made on our bank line of credit during the first quarter of fiscal 2006.

We have a $135,000,000  unsecured revolving credit facility that matures October
2010.  Our  existing  banking  group  can elect to expand  the  availability  to
$200,000,000  at  our  request  under  certain  circumstances.  Interest  on the
facility is paid with various  variable  options on the interest  rate,  none of
which is greater  than the bank's prime rate.  At December  31, 2005,  there was
$30,000,000 outstanding on the credit facility.

Provisions  contained in our debt  agreements  require us to maintain  specified
levels of net  worth,  maintain  certain  financial  ratios  and  limit  capital
expenditures,  operating  leases,  capital leases and additional debt. We are in
compliance with our loan  covenants,  and none of these covenants would restrict
the completion of currently planned capital expenditures.


Cash Requirements, Contractual Obligations and Contingencies
------------------------------------------------------------

Our  liquidity  needs  are  met  primarily  by our  cash  flows  from  operating
activities  and our line of credit  facility.  Operating cash flows are somewhat
influenced by  cyclicality  of demand in the steel  industry,  especially in the
automotive  market.  We  anticipate  borrowing  on our  existing  line of credit
facility to support our continued  growth and to meet our working capital needs.
Cash flows from operations and available borrowing  capabilities are expected to
meet our future needs.

During the first fiscal quarter ended December 31, 2005, we paid our semi-annual
cash dividend of $0.15 per share.

We have  entered  into  leases  to  meet  the  needs  of our  facilities.  These
obligations,  along  with our  obligations  for  outstanding  debt and  interest
payments,  have not changed  significantly  from those  disclosed  in our Annual
Report on Form 10-K for the year ended September 30, 2005.

We maintain a contract with our union employees in our Canton, Michigan facility
which expires in March 2010.


                                       18
<PAGE>

At this time, we have no other known material  off-balance  sheet  arrangements,
contractual obligations,  contingent liabilities or commitments that must be met
beyond the next twelve months.

We believe  all  manufacturing  facilities  are in  compliance  with  applicable
federal and state environmental  regulations.  We are not presently aware of any
fact or  circumstance,  which would require the expenditure of material  amounts
for environmental compliance.

Related Party Transactions
--------------------------

We have various transactions with Mi-Tech Steel and we sell scrap steel products
to a  company  owned  by  Stuart  N.  Ray,  an  officer  and  director  of Steel
Technologies  (see  Note 6 of our  Notes  to  Condensed  Consolidated  Financial
Statements). Management reports these transactions to the Audit Committee of the
Board of Directors as  frequently  as requested by the  Committee,  but at least
annually.  Most  recently,  in April  2005,  the Audit  Committee  reviewed  and
approved  these  transactions.  We have the ability to continue or cease selling
scrap steel to this company at any time.

Recently Issued Accounting Pronouncements
-----------------------------------------

On  October  1,  2005,  we  adopted  SFAS  No.  123(R),  "Share-Based  Payment."
Accordingly,  we  recorded  stock-based  compensation  expense  of  $131,000  in
selling,  general and administrative expenses for the quarter ended December 31,
2005 (see Note 4 of our Notes to Condensed Consolidated Financial Statements).

On October 22, 2004 the  American  Jobs  Creation  Act of 2004 was passed and is
effective  for  fiscal  2006.  This law  provides  a phased in  deduction  for a
percentage of qualified income from domestic production activities and a special
one-time tax deduction on the repatriation of foreign earnings. We estimate this
law will lower our effective income tax rate by less than 1% for fiscal 2006.

       Item 3. Quantitative and Qualitative Disclosures About Market Risk

In order to mitigate a portion of the market risk on its variable rate debt, the
Company  entered  into an interest  rate swap  contract  with a major  financial
institution on June 20, 2005. Under the terms of the contract,  which matures in
September  2008, the Company  receives a LIBOR based variable  interest rate and
pays a fixed  interest rate of 4.31% on a notional  amount of  $30,000,000.  The
variable  interest  rate paid on the contract is  determined  based on the three
month LIBOR rate,  which is consistent with the variable rate  determination  on
the underlying debt.

There has been no material  change  during the three months  ended  December 31,
2005 from the  disclosures  about market risk  provided in our Annual  Report on
Form 10-K for the year ended September 30, 2005.


                                       19
<PAGE>

                         Item 4. Controls and Procedures

Management,  including our Chief Executive Officer and Chief Financial  Officer,
evaluated  the  effectiveness  of the design  and  operation  of our  disclosure
controls and  procedures  as of the end of the first fiscal  quarter  covered by
this  Quarterly  Report on Form  10-Q.  Based  upon that  evaluation,  our Chief
Executive  Officer and Chief  Financial  Officer  concluded  that the disclosure
controls  and  procedures  are  effective  to ensure that  material  information
required to be disclosed  in the reports we file or submit under the  Securities
Exchange Act of 1934 is made known to us by others within our company, including
our consolidated subsidiaries,  particularly during the period for which reports
of our company, including this Quarterly Report on Form 10-Q, are being prepared
and to permit our  company to report  that  information  within the time  period
specified to the Securities and Exchange Commission.

There were no changes in our internal  control  over  financial  reporting  that
occurred during our first fiscal quarter that have materially  affected,  or are
reasonably  likely to materially  affect,  our internal  control over  financial
reporting.


                           Part II - Other Information

           Item 4. Submission of Matters to a Vote of Security Holders

The annual  meeting of  shareholders  was held on January 26, 2006.  The matters
voted upon at the meeting were the election of three  directors  for  three-year
terms and approval to adopt the 2006 Restricted Stock Plan.

The number of votes  cast for or  withheld  with  respect  to each  nominee  for
director elected at the meeting were as follows:



Nominee               Votes For     Votes Withheld
-------               ---------     --------------

Jimmy Dan Conner      6,970,406       5,073,235
Andrew J. Payton      6,882,093       5,161,548
Mark G. Essig         6,985,526       5,058,115


The number of votes cast for,  against or abstained  with respect to approval to
adopt the 2006 Restricted Stock Plan.


                      Votes For     Votes Against      Votes Abstained
                      ---------     -------------      ---------------
                      9,504,205       1,461,429             17,412



                                       20
<PAGE>



                                Item 6. Exhibits

Exhibits filed or furnished with this report:

   Exhibit 31.1             Certification of Chief Executive  Officer Pursuant
                            to Section 302 of the Sarbanes-Oxley Act of 2002

   Exhibit 31.2             Certification of Chief Financial  Officer Pursuant
                            to Section 302 of the Sarbanes-Oxley Act of 2002

   Exhibit 32.1             Certification of Chief Executive  Officer  Pursuant
                            to Title 18, United States Code, Section 1350 as
                            adopted pursuant to Section 906 of the
                            Sarbanes-Oxley Act of 2002

   Exhibit 32.2             Certification of Chief Financial  Officer  Pursuant
                            to Title 18, United States Code, Section 1350 as
                            adopted pursuant to Section 906 of the
                            Sarbanes-Oxley Act of 2002




SIGNATURE

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.







        STEEL TECHNOLOGIES INC.
        ----------------------
             (Registrant)







By      /s/ Joseph P. Bellino
        -----------------------------
        Joseph P. Bellino
        Chief Financial Officer
        (Principal Financial and Chief Accounting Officer)




Dated:  February 8, 2006

                                       21

<PAGE>
                                  EXHIBIT 31.1
                CHIEF EXECUTIVE OFFICER CERTIFICATION PURSUANT TO
                  SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Bradford T. Ray, certify that:

1.   I have reviewed this  quarterly  report on Form 10-Q of Steel  Technologies
     Inc. for the fiscal quarter ended December 31, 2005;

2.   Based on my knowledge, this report does not contain any untrue statement of
     a material  fact or omit to state a  material  fact  necessary  to make the
     statements made, in light of the circumstances  under which such statements
     were made,  not  misleading  with  respect  to the  period  covered by this
     report;

3.   Based on my  knowledge,  the  financial  statements,  and  other  financial
     information  included  in  this  report,  fairly  present  in all  material
     respects the financial  condition,  results of operations and cash flows of
     the registrant as of, and for, the periods presented in this report;

4.   The  registrant's  other  certifying  officer  and  I are  responsible  for
     establishing and maintaining disclosure controls and procedures (as defined
     in Exchange Act Rules  13a-15(e) and  15d-15(e))and  internal  control over
     financial  reporting  (as  defined  in  Exchange  Act Rules  13a-15(f)  and
     15d-15(f)) for the registrant and have:

     a)   Designed  such  disclosure  controls  and  procedures,  or caused such
          disclosure   controls  and   procedures  to  be  designed   under  our
          supervision,  to ensure  that  material  information  relating  to the
          registrant,  including its consolidated subsidiaries, is made known to
          us by others within those entities,  particularly during the period in
          which this report is being prepared;

     b)   Designed such internal  control over  financial  reporting,  or caused
          such internal  control over  financial  reporting to be designed under
          our  supervision,   to  provide  reasonable  assurance  regarding  the
          reliability  of financial  reporting and the  preparation of financial
          statements for external purposes in accordance with generally accepted
          accounting principles;

     c)   Evaluated the  effectiveness of the registrant's  disclosure  controls
          and procedures and presented in this report our conclusions  about the
          effectiveness of the disclosure controls and procedures, as of the end
          of the period covered by this report based on such evaluation; and

     d)   Disclosed  in this  report  any  change in the  registrant's  internal
          control over financial reporting that occurred during the registrant's
          first fiscal  quarter that has materially  affected,  or is reasonably
          likely to materially  affect,  the registrant's  internal control over
          financial reporting; and

5.   The registrant's  other certifying  officer and I have disclosed,  based on
     our most recent evaluation of internal control over financial reporting, to
     the registrant's  auditors and the audit committee of registrant's board of
     directors (or persons performing the equivalent functions):

     a)   All significant  deficiencies and material weaknesses in the design or
          operation  of internal  control  over  financial  reporting  which are
          reasonably  likely to  adversely  affect the  registrant's  ability to
          record, process, summarize and report financial information; and

     b)   Any fraud, whether or not material,  that involves management or other
          employees who have a  significant  role in the  registrant's  internal
          control over financial reporting.


Date: February 8, 2006

/s/ Bradford T. Ray
--------------------
Bradford T. Ray
Chief Executive Officer


<PAGE>

                                  EXHIBIT 31.2
                CHIEF FINANCIAL OFFICER CERTIFICATION PURSUANT TO
                  SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Joseph P. Bellino, certify that:

1.   I have reviewed this  quarterly  report on Form 10-Q of Steel  Technologies
     Inc. for the fiscal quarter ended December 31, 2005;

2.   Based on my knowledge, this report does not contain any untrue statement of
     a material  fact or omit to state a  material  fact  necessary  to make the
     statements made, in light of the circumstances  under which such statements
     were made,  not  misleading  with  respect  to the  period  covered by this
     report;

3.   Based on my  knowledge,  the  financial  statements,  and  other  financial
     information  included  in  this  report,  fairly  present  in all  material
     respects the financial  condition,  results of operations and cash flows of
     the registrant as of, and for, the periods presented in this report;

4.   The  registrant's  other  certifying  officer  and  I are  responsible  for
     establishing and maintaining disclosure controls and procedures (as defined
     in Exchange Act Rules  13a-15(e) and 15d-15(e))  and internal  control over
     financial  reporting  (as  defined  in  Exchange  Act Rules  13a-15(f)  and
     15d-15(f))for the registrant and have:

     a)   Designed  such  disclosure  controls  and  procedures,  or caused such
          disclosure   controls  and   procedures  to  be  designed   under  our
          supervision,  to ensure  that  material  information  relating  to the
          registrant,  including its consolidated subsidiaries, is made known to
          us by others within those entities,  particularly during the period in
          which this report is being prepared;

     b)   Designed such internal  control over  financial  reporting,  or caused
          such internal  control over  financial  reporting to be designed under
          our  supervision,   to  provide  reasonable  assurance  regarding  the
          reliability  of financial  reporting and the  preparation of financial
          statements for external purposes in accordance with generally accepted
          accounting principles;


     c)   Evaluated the  effectiveness of the registrant's  disclosure  controls
          and procedures and presented in this report our conclusions  about the
          effectiveness of the disclosure controls and procedures, as of the end
          of the period covered by this report based on such evaluation; and

     d)   Disclosed  in this  report  any  change in the  registrant's  internal
          control over financial reporting that occurred during the registrant's
          first fiscal  quarter that has materially  affected,  or is reasonably
          likely to materially  affect,  the registrant's  internal control over
          financial reporting; and

5.   The registrant's  other certifying  officer and I have disclosed,  based on
     our most recent evaluation of internal control over financial reporting, to
     the registrant's  auditors and the audit committee of registrant's board of
     directors (or persons performing the equivalent functions):

     a)   All significant  deficiencies and material weaknesses in the design or
          operation  of internal  control  over  financial  reporting  which are
          reasonably  likely to  adversely  affect the  registrant's  ability to
          record, process, summarize and report financial information; and

     b)   Any fraud, whether or not material,  that involves management or other
          employees who have a  significant  role in the  registrant's  internal
          control over financial reporting.

Date: February 8, 2006

/s/ Joseph P. Bellino
---------------------
Joseph P. Bellino
Chief Financial Officer


<page>

                                  EXHIBIT 32.1


                    CERTIFICATION OF CHIEF EXECUTIVE OFFICER
             PURSUANT TO TITLE 18, UNITED STATES CODE, SECTION 1350
      AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to Title 18, United States Code,  Section 1350, as adopted  pursuant to
Section  906 of the  Sarbanes-Oxley  Act of 2002,  I,  Bradford  T.  Ray,  Chief
Executive Officer of Steel Technologies Inc., (the Company) certify, to the best
of my knowledge, based upon a review of the Quarterly Report on Form 10-Q of the
Company for the quarter ended December 31, 2005:

     (1)  The Report fully  complies with the  requirements  of Section 13(a) or
          15(d) of the Securities Exchange Act of 1934; and

     (2)  The  information  contained  in the  Report  fairly  presents,  in all
          material respects,  the financial  condition and results of operations
          of the Company.

                                                      /s/ Bradford T. Ray
                                                      -------------------
                                                      Bradford T. Ray
                                                      Chief Executive Officer
                                                      Date: February 8, 2006

<page>
                                  EXHIBIT 32.2


                    CERTIFICATION OF CHIEF FINANCIAL OFFICER
             PURSUANT TO TITLE 18, UNITED STATES CODE, SECTION 1350
      AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to Title 18, United States Code,  Section 1350, as adopted  pursuant to
Section  906 of the  Sarbanes-Oxley  Act of 2002,  I,  Joseph P. Bellino,  Chief
Financial Officer of Steel Technologies Inc., (the Company) certify, to the best
of my knowledge, based upon a review of the Quarterly Report on Form 10-Q of the
Company for the quarter ended December 31, 2005:

     (1)  The Report fully  complies with the  requirements  of Section 13(a) or
          15(d) of the Securities Exchange Act of 1934; and

     (2)  The  information  contained  in the  Report  fairly  presents,  in all
          material respects,  the financial  condition and results of operations
          of the Company.

                                                      /s/ Joseph P. Bellino
                                                      ---------------------
                                                      Joseph P. Bellino
                                                      Chief Financial Officer
                                                      Date: February 8, 2006