The growth of the early 1920s was halted by the Depression of the 1930s; Bethlehem was particularly hard hit because of its reliance on the construction and railroad industries. During this period, the company was able to expand its plants and add products to its product offerings due to a strong financial condition ("A Brief History," 1992, p. 5). Because of its strength and its acquisition of a bridge fabricator, Bethlehem landed both fabrication and construction contracts for the Golden Gate bridge.

During recent years, the company has gone through difficult times. The company had record-breaking years during the 1970s in terms of tons of steel ordered, income recognized, investments and sales, but the tide had turned by the 1980s. The company faced the challenge of imported steel as well as a shift in the industry itself, and the record-breaking years of the 1970s were followed by record-breaking years in the early 1980, but this time the records represented dollars lost and low production levels ("A Brief History," 1992, p. 9).

The company undertook an aggressive restructuring program during the 1980s, selling some facilities and shutting down others. Bethlehem returned to its core business, steel, and focused on making those efforts productive. The going has been tough for the company, however, and the company has a long way to go before it is able to consider the restructuring a success.

Because Bethlehem is in a highly capitalintensive industry, much of its profits are rolled back into the company for additional research and development and expansion efforts. The company's operations all require a substantial capital infusion, and the company has had to provide this throughout its history. In addition, the company has issued two sets of preferred stock, which place additional pressure on financial performance since preferred stock dividends accrue regardless of whether the company has the capital to pay the dividends or not at a given point in time (Marcial, 1995, p. 102).

Although the company has used an acquisition strategy in the past to enter new markets and to bolster its presence in existing markets, there are no current plans for acquisitions at this time. The company's current financial position would make it difficult to accomplish any acquisitions, and the company is refocusing its efforts on returning to its core business. With the dedication of resources that this requires, any additional acquisitions would likely not receive the attention and support that would be necessary for their success. However, the company should keep a watchful eye on the market and competitors as well as on synergistic opportunities which may be present and which would complement the company's core offerings. Adding a minimill to the company mix, for example, would be a strong addition to the current situation.