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<SEC-DOCUMENT>0000950152-05-007643.txt : 20060822
<SEC-HEADER>0000950152-05-007643.hdr.sgml : 20060822
<ACCEPTANCE-DATETIME>20050915083123
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0000950152-05-007643
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		1
FILED AS OF DATE:		20050915

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			OLYMPIC STEEL INC
		CENTRAL INDEX KEY:			0000917470
		STANDARD INDUSTRIAL CLASSIFICATION:	WHOLESALE-METALS SERVICE CENTERS & OFFICES [5051]
		IRS NUMBER:				341245650
		STATE OF INCORPORATION:			OH
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		5080 RICHMOND RD
		CITY:			BEDFORD HEIGHTS
		STATE:			OH
		ZIP:			44146
		BUSINESS PHONE:		2162923800

	MAIL ADDRESS:	
		STREET 1:		5096 RICHMOND RD
		CITY:			BEDFORD HEIGHTS
		STATE:			OH
		ZIP:			44146
</SEC-HEADER>
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<TYPE>CORRESP
<SEQUENCE>1
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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 18pt; margin-top: 12pt">OLYMPIC<B>STEEL</B>
</DIV>


<DIV align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5096 Richmond Road<BR>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cleveland, Ohio 44146<BR>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(216)&nbsp;292-3800<BR>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(216)&nbsp;292-0308/FAX
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">September&nbsp;15, 2005
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>VIA EDGAR SUBMISSION</B></U><BR>
Ms.&nbsp;Regina Balderas<BR>
Division of Corporation Finance<BR>
Securities and Exchange Commission<BR>
450 Fifth Street, N.W.<BR>
Washington, D.C. 20549
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>Re:&nbsp;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>Olympic Steel, Inc. (the &#147;Company&#148;)</B><BR><B>
Form&nbsp;10-K for the year ended December&nbsp;31, 2004</B></TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Dear Ms.&nbsp;Balderas:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">This letter is in response to the sole staff comment on the above referenced Form&nbsp;10-K which
you communicated to us via telephone on September&nbsp;1, 2005.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">The staff comment concerned our presentation of gross margin within the Consolidated Statement
of Operations contained in the above referenced Form&nbsp;10-K. The Company currently presents
&#147;Cost of materials sold, exclusive of depreciation&#148; in the gross margin reported within the
Statement of Operations. The SEC has suggested that in future filings the Company discontinue
the presentation of gross margin exclusive of depreciation in its Statement of Operations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">This confirms that the Company hereby agrees to discontinue the presentation of gross margin
exclusive of depreciation in its Statement of Operations in future public filings. The Company
will prospectively include cost of materials sold, exclusive of depreciation, under the caption
&#147;operating expenses&#148; along with all other operating expenses. Consistent with the presentation
by other companies in the steel service center industry, the Company will continue to present
gross margin in its Selected Financial Data and in Management&#146;s Discussion and Analysis of
Financial Condition and Results of Operation; however, the Company will clearly define within
each the components of gross margin.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">The Company hopes you find the above information both timely and responsive to your comment.
To the extent you have additional questions or require additional information, please do not
hesitate to contact me at 216-292-3800.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">Very truly yours,<BR>
OLYMPIC STEEL, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">/s/ Richard T. Marabito
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">Richard T. Marabito<BR>
Principal Accounting Officer
</DIV>


<P align="center" style="font-size: 10pt">
</DIV>

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