Anderson's S&S Steel Services mired in financial woes

And now, three months after filing for voluntary Chapter 11 bankruptcy protection, there are rumors S&S is set to close its doors.

Two anonymous callers this week who identified themselves as company employees told The Herald Bulletin that an announcement could come as early as Friday.

The Herald Bulletin could not confirm those rumors, however.

Barry Sharp, president of the company that provides specialty steel products to metal stamping and roll forming industries, did not return phone calls seeking comment Wednesday and Thursday. Shannon Sharp, vice president, also did not return a phone call seeking comment.

Court records show the company owes creditors with secured claims more than $9.06 million; and its 20 largest unsecured creditors more than $1.78 million, and lesser sums to its remaining creditors.

The company reported assets of $7.5 million.

The company owes its 20 largest creditors, mostly steel industry suppliers, more than $1.78 million, and creditors with secured claims more than $9.06 million, according to court documents.

In the same bankruptcy report, S&S reported $7.5 million in assets and 120 employees.

Chapter 11 bankruptcy is designed to allow struggling businesses to restructure their finances and maximize the return to their creditors and owners while continuing to remain in business.

In most cases, the debtor company or individual (S&S Steel in this case) proposes a reorganization plan that must be approved by creditors and overseen by the bankruptcy court.

Sharp and a group of investors founded S&S in 1986.

The company moved its operation to the former Delco Remy Plant 15 on 29th Street in 1994.

With significant fanfare five years ago, the company signed a contract with the Anderson Redevelopment Commission to buy the former Delco Remy Plant 20, a 333,000-square-foot building and property north of 38th Street and east of Scatterfield Road.

At the time of that sale in June 2010, Sharp set a goal of growing from 150 to 300 workers in the next five years.

"Our top priority is to be a good employer in the community," said Sharp said at the time. "We want to provide a good service to customers. We just want to do a good job . . . Our desire is to be an asset to the community."

That plant is now listed for sale on the city's Department of Economic Development web page at an asking price of $3.7 million.

"We have heard there are issues there," said Greg Winkler, Anderson's director of economic development, this week, but he was not familiar with specific details.

He seemed somewhat surprised, however, because S&S occupies a specialized niche in the steel industry and those markets are currently strong.