Radius Recycling (RDUS) 10-Q 9 Jan 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	3 Months Ended
	Nov. 30, 2017	Jan. 05, 2018
Entity Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Nov. 30, 2017
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Entity Registrant Name	SCHNITZER STEEL INDUSTRIES INC
Entity Central Index Key	912,603
Current Fiscal Year End Date	--08-31
Entity Filer Category	Accelerated Filer
Class A Common Stock
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		27,003,291
Class B Common Stock
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		200,000

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Nov. 30, 2017	Aug. 31, 2017
Current assets:
Cash and cash equivalents	$ 9,194	$ 7,287
Accounts receivable, net of allowance for doubtful accounts of $2,265 and $2,280	144,578	138,998
Inventories	216,365	166,942
Refundable income taxes	692	2,366
Prepaid expenses and other current assets	24,591	22,357
Total current assets	395,420	337,950
Property, plant and equipment, net of accumulated depreciation of $719,192 and $756,494	386,847	390,629
Investments in joint ventures	11,521	11,204
Goodwill	167,203	167,835
Intangibles, net of accumulated amortization of $4,089 and $3,913	4,248	4,424
Other assets	20,674	21,713
Total assets	985,913	933,755
Current liabilities:
Short-term borrowings	657	721
Accounts payable	97,176	94,674
Accrued payroll and related liabilities	23,667	41,593
Environmental liabilities	7,214	2,007
Accrued income taxes	2,177	9
Other accrued liabilities	40,593	37,256
Total current liabilities	171,484	176,260
Deferred income taxes	19,712	19,147
Long-term debt, net of current maturities	184,225	144,403
Environmental liabilities, net of current portion	47,444	46,391
Other long-term liabilities	11,431	10,061
Total liabilities	434,296	396,262
Commitments and contingencies (Note 5)
Schnitzer Steel Industries, Inc. (“SSI”) shareholders’ equity:
Preferred stock – 20,000 shares $1.00 par value authorized, none issued	0	0
Additional paid-in capital	40,059	38,050
Retained earnings	516,842	503,770
Accumulated other comprehensive loss	(36,920)	(35,293)
Total SSI shareholders’ equity	547,184	533,586
Noncontrolling interests	4,433	3,907
Total equity	551,617	537,493
Total liabilities and equity	985,913	933,755
Class A Common Stock
Schnitzer Steel Industries, Inc. (“SSI”) shareholders’ equity:
Common stock, value	27,003	26,859
Class B Common Stock
Schnitzer Steel Industries, Inc. (“SSI”) shareholders’ equity:
Common stock, value	$ 200	$ 200

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Nov. 30, 2017	Aug. 31, 2017
Current assets:
Accounts receivable, allowance for doubtful accounts	$ 2,265	$ 2,280
Property, plant and equipment, accumulated depreciation	719,192	756,494
Intangibles, accumulated amortization	$ 4,089	$ 3,913
Schnitzer Steel Industries, Inc. (“SSI”) shareholders’ equity:
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized	20,000,000	20,000,000
Preferred stock, shares issued	0	0
Class A Common Stock
Schnitzer Steel Industries, Inc. (“SSI”) shareholders’ equity:
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	75,000,000	75,000,000
Common stock, shares issued	27,003,000	26,859,000
Common stock, shares outstanding	27,003,000	26,859,000
Class B Common Stock
Schnitzer Steel Industries, Inc. (“SSI”) shareholders’ equity:
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	200,000	200,000
Common stock, shares outstanding	200,000	200,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Income Statement [Abstract]
Revenues	$ 483,279	$ 334,161
Operating expense:
Cost of goods sold	406,251	295,892
Selling, general and administrative	51,043	37,492
(Income) from joint ventures	(450)	(412)
Other asset impairment charges (recoveries), net	(88)	401
Restructuring charges and other exit-related activities	100	201
Operating income	26,423	587
Interest expense	(2,059)	(1,741)
Other income, net	849	437
Income (loss) from continuing operations before income taxes	25,213	(717)
Income tax (expense) benefit	(5,957)	62
Income (loss) from continuing operations	19,256	(655)
Loss from discontinued operations, net of tax	(35)	(53)
Net income (loss)	19,221	(708)
Net income attributable to noncontrolling interests	(857)	(618)
Net income (loss) attributable to SSI	$ 18,364	$ (1,326)
Net income (loss) per share attributable to SSI Basic:
Income (loss) per share from continuing operations attributable to SSI	$ 0.66	$ (0.05)
Loss per share from discontinued operations attributable to SSI	0	0
Net income (loss) per share attributable to SSI	0.66	(0.05)
Net income (loss) per share attributable to SSI Diluted:
Income (loss) per share from continuing operations attributable to SSI	0.64	(0.05)
Loss per share from discontinued operations attributable to SSI	0	0
Net income (loss) per share attributable to SSI	$ 0.64	$ (0.05)
Weighted average number of common shares:
Basic	27,695	27,372
Diluted	28,662	27,372
Dividends declared per common share	$ 0.1875	$ 0.1875

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 19,221	$ (708)
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	(1,709)	(1,034)
Pension obligations, net	82	(65)
Total other comprehensive loss, net of tax	(1,627)	(1,099)
Comprehensive income (loss)	17,594	(1,807)
Less comprehensive income attributable to noncontrolling interests	(857)	(618)
Comprehensive income (loss) attributable to SSI	$ 16,737	$ (2,425)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Cash flows from operating activities:
Net income (loss)	$ 19,221	$ (708)
Adjustments to reconcile net income (loss) to cash (used in) provided by
Depreciation and amortization	12,522	12,543
Other asset impairment charges (recoveries), net	(88)	401
Exit-related asset impairment charges	0	158
Inventory write-down	38	0
Share-based compensation expense	5,004	3,408
Deferred income taxes	761	(60)
Undistributed equity in earnings of joint ventures	(450)	(412)
Loss on disposal of assets, net	51	45
Unrealized foreign exchange gain, net	(407)	(23)
Bad debt expense (recoveries), net	(14)	17
Changes in assets and liabilities:
Accounts receivable	(8,640)	(1,546)
Inventories	(47,267)	(12,586)
Income taxes	3,842	(150)
Prepaid expenses and other current assets	70	(614)
Other long-term assets	(112)	164
Accounts payable	8,548	14,343
Accrued payroll and related liabilities	(17,894)	(10,080)
Other accrued liabilities	3,504	899
Environmental liabilities	4,034	(29)
Other long-term liabilities	1,487	(193)
Distributed equity in earnings of joint ventures	200	350
Net cash (used in) provided by operating activities	(15,590)	5,927
Cash flows from investing activities:
Capital expenditures	(15,157)	(10,603)
Joint venture receipts (payments), net	11	(55)
Proceeds from sale of assets	1,534	73
Net cash used in investing activities	(13,612)	(10,585)
Cash flows from financing activities:
Borrowings from long-term debt	189,500	102,631
Repayment of long-term debt	(149,713)	(107,491)
Payment of debt issuance costs	0	(53)
Taxes paid related to net share settlement of share-based payment arrangements	(2,851)	(3,301)
Distributions to noncontrolling interests	(331)	(522)
Dividends paid	(5,478)	(5,185)
Net cash provided by (used in) financing activities	31,127	(13,921)
Effect of exchange rate changes on cash	(18)	(140)
Net increase (decrease) in cash and cash equivalents	1,907	(18,719)
Cash and cash equivalents as of beginning of period	7,287	26,819
Cash and cash equivalents as of end of period	$ 9,194	$ 8,100

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Nov. 30, 2017
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The accompanying Unaudited Condensed Consolidated Financial Statements of Schnitzer Steel Industries, Inc. (the “Company”) have been prepared pursuant to generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) for Form 10-Q, including Article 10 of Regulation S-X. The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP. Certain information and note disclosures normally included in annual financial statements have been condensed or omitted pursuant to the rules and regulations of the SEC. In the opinion of management, all normal, recurring adjustments considered necessary for a fair statement have been included. Management suggests that these Unaudited 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 year ended August 31, 2017 . The results for the three months ended November 30, 2017 and 2016 are not necessarily indicative of the results of operations for the entire fiscal year. Accounting Changes In July 2015, an accounting standard update was issued that requires an entity to measure certain types of inventory, including inventory that is measured using the first-in, first out ("FIFO") or average cost method, at the lower of cost and net realizable value. The accounting standard in effect at the time of issuance of the update required an entity to measure inventory at the lower of cost or market, whereby market could be replacement cost, net realizable value, or net realizable value less an approximately normal profit margin. The amendments do not apply to inventory that is measured using the last-in, first-out ("LIFO") or retail inventory method. The Company adopted the new requirement, which is to be applied prospectively, as of the beginning of the first quarter of fiscal 2018 with no impact to the Unaudited Condensed Consolidated Financial Statements. In March 2016, an accounting standard update was issued that amends several aspects of the accounting for share-based payments, including accounting for income taxes, forfeitures and statutory tax withholding requirements, and classification within the statement of cash flows. The Company adopted the new requirements as of the beginning of the first quarter of fiscal 2018 with no impact to the Unaudited Condensed Consolidated Financial Statements, including no cumulative-effect adjustments to retained earnings, as of the date of adoption. On a prospective basis beginning with the date of adoption, the Company records all of the tax effects related to share-based payments through the income statement, subject to normal valuation allowance considerations, and all tax-related cash flows resulting from share-based payments are reported as operating activities in the statement of cash flows. The Company has elected to continue the practice of estimating the forfeiture rate for the purpose of recognizing estimated compensation cost over the requisite service period. Cash and Cash Equivalents Cash and cash equivalents include short-term securities that are not restricted by third parties and have an original maturity date of 90 days or less. Included in accounts payable are book overdrafts representing outstanding checks in excess of funds on deposit of $30 million and $21 million as of November 30, 2017 and August 31, 2017 , respectively. Cost Method Investment In the second quarter of fiscal 2017, the Company invested $6 million in a privately-held waste and recycling entity. The Company's influence over the operating and financial policies of the entity is not significant and, thus, the investment is accounted for under the cost method. Under the cost method, the investment is carried at cost and adjusted only for other-than-temporary impairments, certain distributions and additional investments. The investment is presented as part of the Auto and Metals Recycling ("AMR") reportable segment and reported within other assets in the Unaudited Condensed Consolidated Balance Sheets. The Company does not hold any other cost-method investments. The carrying value of the investment was $6 million as of November 30, 2017 and August 31, 2017. As of November 30, 2017 , the Company had not identified any events or changes in circumstances that may have a significant adverse effect on the fair value of the investment or indicators of other-than-temporary impairment. Long-Lived Assets Changes in circumstances may merit a change in the estimated useful lives or salvage values of individual long-lived assets, which are accounted for prospectively in the period of change. For such assets, the useful life is shortened based on the Company's plans to dispose of or abandon the asset before the end of its original useful life and depreciation is accelerated beginning when that determination is made. During the three months ended November 30, 2017 and 2016, the Company recognized accelerated depreciation of $1 million and less than $1 million , respectively, due to shortening the useful lives of decommissioned machinery and equipment assets in the Cascade Steel and Scrap ("CSS") reportable segment, which are reported within other asset impairment charges (recoveries), net in the Unaudited Condensed Consolidated Statements of Operations. Also during the three months ended November 30, 2017, CSS sold machinery and equipment assets impaired during the first quarter of fiscal 2017 and supplies inventory impaired during fiscal 2016, recognizing a gain of $1 million which is reported within other asset impairment charges (recoveries), net in the Unaudited Condensed Consolidated Statements of Operations. Concentration of Credit Risk Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash and cash equivalents, accounts receivable, and notes and other contractual receivables from suppliers. The majority of cash and cash equivalents is maintained with major financial institutions. Balances with these and certain other institutions exceeded the Federal Deposit Insurance Corporation insured amount of $250,000 as of November 30, 2017 . Concentration of credit risk with respect to accounts receivable is limited because a large number of geographically diverse customers make up the Company’s customer base. The Company controls credit risk through credit approvals, credit limits, credit insurance, letters of credit or other collateral, cash deposits and monitoring procedures. The Company is exposed to a residual credit risk with respect to open letters of credit by virtue of the possibility of the failure of a bank providing a letter of credit. The Company had $44 million and $48 million of open letters of credit as of November 30, 2017 and August 31, 2017 , respectively. Financial Instruments The Company’s financial instruments include cash and cash equivalents, accounts receivable, accounts payable and debt. The Company uses the market approach to value its financial assets and liabilities, determined using available market information. The net carrying amounts of cash and cash equivalents, accounts receivable and accounts payable approximate fair value due to the short-term nature of these instruments. For long-term debt, which is primarily at variable interest rates, fair value is estimated using observable inputs (Level 2) and approximates its carrying value. Fair Value Measurements Fair value is measured using inputs from the three levels of the fair value hierarchy. Classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The three levels are described as follows: • Level 1 – Unadjusted quoted prices in active markets for identical assets and liabilities. • Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the determination of the fair value of the asset or liability, either directly or indirectly. • Level 3 – Unobservable inputs that are significant to the determination of the fair value of the asset or liability. When developing the fair value measurements, the Company uses quoted market prices whenever available or seeks to maximize the use of observable inputs and minimize the use of unobservable inputs when quoted market prices are not available. Restructuring Charges Restructuring charges consist of severance, contract termination and other restructuring-related costs. A liability for severance costs is typically recognized when the plan of termination has been communicated to the affected employees and is measured at its fair value at the communication date. Contract termination costs consist primarily of costs that will continue to be incurred under operating leases for their remaining terms without economic benefit to the Company. A liability for contract termination costs is recognized at the date the Company ceases using the rights conveyed by the lease contract and is measured at its fair value, which is determined based on the remaining contractual lease rentals reduced by estimated sublease rentals. A liability for other restructuring-related costs is measured at its fair value in the period in which the liability is incurred. Restructuring charges that directly involve a discontinued operation are included in the results of discontinued operations in all periods presented. See Note 6 - Restructuring Charges and Other Exit-Related Activities for further detail.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	3 Months Ended
	Nov. 30, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, an accounting standard update was issued that clarifies the principles for recognizing revenue from contracts with customers. The update will supersede the existing standard for recognizing revenue. Additional updates have been issued since May 2014 amending aspects of the initial update and providing implementation guidance. The guidance is applicable to all contracts with customers regardless of industry-specific or transaction-specific fact patterns. Further, the guidance requires improved disclosures to help users of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Upon becoming effective, an entity may adopt the standard either retrospectively to each prior reporting period presented, or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial application. The Company is in the process of examining its current revenue streams and significant contracts with customers under the requirements of the new standard and, based on the progress of this examination to date, does not believe the standard will have a material impact on its financial position, net income or cash flows. In particular, the Company is currently examining certain scrap metal purchase and sale arrangements to determine if it is the principal or the agent in the transaction under the new guidance. The outcome of this determination could result in a different classification of the cost of scrap metal purchased compared to the Company's treatment under the existing revenue standard. The Company is also analyzing the expanded disclosure requirements under the new standard, the method of adoption, and potential changes to its accounting policies, processes, systems and internal controls that may be required to support the new standard. In January 2016, an accounting standard update was issued that amends certain aspects of the reporting model for financial instruments. Most prominent among the amendments is the requirement for equity investments, with certain exceptions including those accounted for under the equity method of accounting, to be measured at fair value with changes in fair value recognized in net income. An entity may choose to measure equity investments that do not have readily determinable fair values, such as certain cost method investments, at cost minus impairment, plus or minus changes resulting from observable price changes. The amendments also require a qualitative assessment to identify impairment of equity investments without readily determinable fair values. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. The Company is evaluating the impact of adopting this standard on its consolidated financial position, results of operations and cash flows. In February 2016, an accounting standard was issued that will supersede the existing lease standard and requiring a lessee to recognize a lease liability and a lease asset on its balance sheet for all leases, including those classified as operating leases under the existing lease standard. The update also expands the required quantitative and qualitative disclosures surrounding leases. This standard is effective for the Company beginning in fiscal 2020, including interim periods within that fiscal year. This standard will be applied using a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The Company is in the process of identifying its population of leases within the scope of the new accounting standard and documenting salient lease terms to support the initial and subsequent measurement of lease liabilities and lease assets. The Company is evaluating the impact of adopting this standard on its financial position, results of operations, cash flows and disclosures. In August 2016, an accounting standard update was issued that addresses how certain cash receipts and cash payments are presented and classified in the statement of cash flows. Among the cash flow matters addressed in the update are payments for costs related to debt prepayments or extinguishments, payments related to settlement of certain types of debt instruments, payments of contingent consideration made after a business combination, proceeds from insurance claims and corporate-owned life insurance policies, and distributions received from equity method investees, among others. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period, and all of the amendments must be adopted together in the same period. The amendments will be applied using a retrospective transition method to each period presented, unless impracticable for specific cash flow matters, in which case the amendments would be applied prospectively as of the earliest date practicable. The Company is evaluating the impact of adopting this standard on its consolidated statement of cash flows. In October 2016, an accounting standard update was issued that amends the existing guidance on the accounting for the income tax effects of intra-entity transfers of assets other than inventory. Current accounting standards prohibit the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. The amendments in the update require that entities recognize the income tax effects of an intra-entity transfer of an asset other than inventory when the transfer occurs. The amendments do not change accounting standards for the pre-tax effects of an intra-entity asset transfer under accounting standards applicable to consolidation, or for an intra-entity transfer of inventory. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Early adoption is permitted in the first interim period of a fiscal year. The amendments will be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The Company is evaluating the impact of adopting this standard on its consolidated financial position, results of operations and cash flows. In March 2017, an accounting standard update was issued that modifies the presentation requirements for net periodic pension cost and net periodic postretirement benefit cost within an entity's income statement. The amendments in the update require that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The amendments also require the other components of net periodic pension cost and net periodic postretirement benefit cost to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations. Additionally, only the service cost component is eligible for capitalization, when applicable. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Early adoption is permitted beginning with the first quarter of fiscal 2018. Aspects of the update affecting income statement presentation must be applied retrospectively, while aspects affecting the capitalization of the service cost component in assets must be applied prospectively on and after the effective date. The Company is evaluating the impact of adopting this standard on its consolidated financial position, results of operations and cash flows.

Inventories

Inventories	3 Months Ended
	Nov. 30, 2017
Inventory, Net [Abstract]
Inventories	Inventories Inventories consisted of the following (in thousands): November 30, 2017 August 31, 2017 Processed and unprocessed scrap metal $ 129,635 $ 88,441 Semi-finished goods (billets) 7,514 3,243 Finished goods 45,332 40,462 Supplies 33,884 34,796 Inventories $ 216,365 $ 166,942

Goodwill

Goodwill	3 Months Ended
	Nov. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Goodwill The Company evaluates goodwill for impairment annually on July 1 and upon the occurrence of certain triggering events or substantive changes in circumstances that indicate that the fair value of goodwill may be impaired. There were no triggering events identified during the three months ended November 30, 2017 requiring an interim goodwill impairment test. The gross change in the carrying amount of goodwill for the three months ended November 30, 2017 was as follows (in thousands): AMR August 31, 2017 $ 167,835 Foreign currency translation adjustment (632 ) November 30, 2017 $ 167,203 Accumulated goodwill impairment charges were $471 million as of November 30, 2017 and August 31, 2017 .

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Nov. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Contingencies - Environmental The Company evaluates the adequacy of its environmental liabilities on a quarterly basis. Adjustments to the liabilities are made when additional information becomes available that affects the estimated costs to study or remediate any environmental issues or expenditures are made for which liabilities were established. Changes in the Company’s environmental liabilities in aggregate for the three months ended November 30, 2017 were as follows (in thousands): Balance as of August 31, 2017 Liabilities Established (Released), Net Payments and Other Balance as of November 30, 2017 Short-Term Long-Term $ 48,398 $ 7,021 $ (761 ) $ 54,658 $ 7,214 $ 47,444 Recycling Operations As of November 30, 2017 and August 31, 2017 , the Company's recycling operations had environmental liabilities of $55 million and $48 million , respectively, for the potential remediation of locations where it has conducted business or has environmental liabilities from historical or recent activities. The liabilities relate to the investigation and potential future remediation of soil contamination, groundwater contamination, storm water runoff issues and other natural resource damages. Except for Portland Harbor and certain liabilities discussed under Other Legacy Environmental Loss Contingencies immediately below, such liabilities were not individually material at any site. Portland Harbor In December 2000, the Company was notified by the United States Environmental Protection Agency (“EPA”) under the Comprehensive Environmental Response, Compensation and Liability Act (“CERCLA”) that it is one of the potentially responsible parties (“PRPs”) that own or operate or formerly owned or operated sites which are part of or adjacent to the Portland Harbor Superfund site (the “Site”). The precise nature and extent of any cleanup of the Site, the parties to be involved, the timing of any specific remedial action and the allocation of the costs for any cleanup among responsible parties have not yet been determined. The process of site investigation, remedy selection, identification of additional PRPs and allocation of costs has been underway for a number of years, but significant uncertainties remain. It is unclear to what extent the Company will be liable for environmental costs or natural resource damage claims or third party contribution or damage claims with respect to the Site. While the Company participated in certain preliminary Site study efforts, it was not party to the consent order entered into by the EPA with certain other PRPs, referred to as the “Lower Willamette Group” (“LWG”), for a remedial investigation/feasibility study (“RI/FS”). During fiscal 2007, the Company and certain other parties agreed to an interim settlement with the LWG under which the Company made a cash contribution to the LWG RI/FS. The LWG has indicated that it had incurred over $115 million in investigation-related costs over an approximately 10 year period working on the RI/FS. Following submittal of draft RI and FS documents which the EPA largely rejected, the EPA took over the RI/FS process. The Company has joined with approximately 100 other PRPs, including the LWG members, in a voluntary process to establish an allocation of costs at the Site, including the costs incurred by the LWG in the RI/FS process. The LWG members have also commenced federal court litigation, which has been stayed, seeking to bring additional parties into the allocation process. In January 2008, the Portland Harbor Natural Resource Trustee Council (“Trustee Council”) invited the Company and other PRPs to participate in funding and implementing the Natural Resource Injury Assessment for the Site. Following meetings among the Trustee Council and the PRPs, funding and participation agreements were negotiated under which the participating PRPs, including the Company, agreed to fund the first phase of the three-phase natural resource damage assessment. Phase 1, which included the development of the Natural Resource Damage Assessment Plan ("AP") and implementation of several early studies, was substantially completed in 2010. The Company recently joined with other participating PRPs in agreeing to fund Phase 2 of the natural resource damage assessment, which includes the implementation of the AP to develop information sufficient to facilitate early settlements between the Trustee Council and Phase 2 participants and the identification of restoration projects to be funded by the settlements. Phase 3, which has not yet commenced, will involve the full implementation of the AP and the final injury and damage determination. The Company has not yet commenced discussions with the Trustee Council regarding early settlements under Phase 2, and therefore it is uncertain whether it will enter into an early settlement for natural resource damages or what costs it may incur in any such early settlement. On January 30, 2017, one of the Trustees, the Confederated Tribes and Bands of the Yakama Nation, which withdrew from the council in 2009, filed a suit against approximately 30 parties, including the Company, seeking reimbursement of certain past and future response costs in connection with remedial action at the Site and recovery of assessment costs related to natural resources damages from releases at and from the Site to the Multnomah Channel and the Lower Columbia River. The Company intends to defend against such claims and does not have sufficient information to determine the likelihood of a loss in this matter or to estimate the amount of damages being sought or the amount of such damages that could be allocated to the Company. Estimates of the cost of remedial action for the cleanup of the in-river portion of the Site have varied widely in various drafts of the FS and in the EPA’s final FS issued in June 2016 from approximately $170 million to over $2.5 billion (net present value), depending on the remedial alternative and a number of other factors. In comments submitted to the EPA, the Company and certain other stakeholders identified a number of serious concerns regarding the EPA's risk and remedial alternatives assessments, cost estimates, scheduling assumptions and conclusions regarding the feasibility and effectiveness of remediation technologies. In January 2017, the EPA issued a Record of Decision (“ROD”) that identified the selected remedy for the Site. The selected remedy is a modified version of one of the alternative remedies evaluated in the EPA’s FS that was expanded to include additional work at a greater cost. The EPA has estimated the total cost of the selected remedy at $1.7 billion with a net present value cost of $1.05 billion (at a 7% discount rate) and an estimated construction period of 13 years following completion of the remedial designs. In the ROD, the EPA stated that the cost estimate is an order-of-magnitude engineering estimate that is expected to be within + 50% to -30% of the actual project cost and that changes in the cost elements are likely to occur as a result of new information and data collected during the engineering design. The Company has identified a number of concerns regarding the remedy described in the ROD, which is based on data more than a decade old, and the EPA's estimates for the costs and time required to implement the selected remedy. Because of ongoing questions regarding cost effectiveness, technical feasibility, and the use of stale data, it is uncertain whether the ROD will be implemented as issued. In addition, the ROD did not determine or allocate the responsibility for remediation costs among the PRPs. In the ROD, the EPA acknowledged that much of the data used in preparing the ROD was more than a decade old and would need to be updated with a new round of “baseline” sampling to be conducted prior to the remedial design phase. Accordingly, the ROD provided for additional pre-remedial design investigative work and baseline sampling to be conducted in order to provide a baseline of current conditions and delineate particular remedial actions for specific areas within the Site. This additional sampling needs to occur prior to proceeding with the next phase in the process which is the remedial design. The remedial design phase is an engineering phase during which additional technical information and data will be collected, identified and incorporated into technical drawings and specifications developed for the subsequent remedial action. Moreover, the ROD provided only Site-wide cost estimates and did not provide sufficient detail to estimate costs for specific sediment management areas within the Site. Following issuance of the ROD, EPA proposed that the PRPs, or a subgroup of PRPs, perform the additional investigative work identified in the ROD under a new consent order. In December 2017, the Company and three other PRPs entered into a new Administrative Settlement Agreement and Order on Consent with EPA to perform such pre-remedial design investigation and baseline sampling over a two -year period. The Company estimates that its share of the costs of performing such work will be approximately $2 million , which it recorded to environmental liabilities and selling, general and administrative expense in the consolidated financial statements in the first quarter of fiscal 2018. The Company believes that such costs will be fully covered by existing insurance coverage and, thus, has also recorded an insurance receivable for $2 million in the first quarter of fiscal 2018, resulting in no net impact to the Company's consolidated results of operations. Except for certain early action projects in which the Company is not involved, remediation activities are not expected to commence for a number of years. In addition, as discussed above, responsibility for implementing and funding the remedy will be determined in a separate allocation process. The Company does not expect the allocation process to proceed until after the additional pre-remedial design data is collected. Because there has not been a determination of the specific remediation actions that will be required, the amount of natural resource damages or the allocation of costs of the investigations and any remedy and natural resource damages among the PRPs, the Company believes it is not possible to reasonably estimate the amount or range of costs which it is likely to or which it is reasonably possible that it will incur in connection with the Site, although such costs could be material to the Company’s financial position, results of operations, cash flows and liquidity. Among the facts currently being developed are detailed information on the history of ownership of and the nature of the uses of and activities and operations performed on each property within the Site, which are factors that will play a substantial role in determining the allocation of investigation and remedy costs among the PRPs. The Company has insurance policies that it believes will provide reimbursement for costs it incurs for defense (including the pre-remedial design investigative activities), remediation and mitigation for natural resource damages claims in connection with the Site, although there is no assurance that those policies will cover all of the costs which the Company may incur. As of November 30, 2017, the Company's total liability for its estimated share of the costs of the investigation was $3 million . The Oregon Department of Environmental Quality is separately providing oversight of voluntary investigations by the Company involving the Company’s sites adjacent to the Portland Harbor which are focused on controlling any current “uplands” releases of contaminants into the Willamette River. No liabilities have been established in connection with these investigations because the extent of contamination (if any) and the Company’s responsibility for the contamination (if any) have not yet been determined. Other Legacy Environmental Loss Contingencies The Company’s environmental loss contingencies as of November 30, 2017 and August 31, 2017 , other than Portland Harbor, include actual or possible investigation and cleanup costs from historical contamination at sites currently or formerly owned or operated by the Company or at other sites where the Company may have responsibility for such costs due to past disposal or other activities ("legacy environmental loss contingencies"). These legacy environmental loss contingencies relate to the potential remediation of waterways and soil and groundwater contamination and may also involve natural resource damages, governmental fines and penalties and claims by third parties for personal injury and property damage. The Company has been notified that it is or may be a potentially responsible party at certain of these sites, and investigation and cleanup activities are ongoing or may be required in the future. The Company recognizes a liability for such matters when the loss is probable and can be reasonably estimated. Where investigation and cleanup activities are ongoing or where the Company has not yet been identified as having responsibility or the contamination has not yet been identified, it is reasonably possible that the Company may need to recognize additional liabilities in connection with such sites but the Company cannot currently reasonably estimate the possible loss or range of loss absent additional information or developments. Such additional liabilities, individually or in the aggregate, may have a material adverse effect on the Company's results of operations, financial condition or cash flows. During the first quarter of fiscal 2018, the Company accrued $4 million in expense at its Corporate division for the estimated costs related to remediation of shredder residue disposed of in or around the 1970s at third-party sites located near each other. Investigation activities have been conducted under oversight of the applicable state regulatory agency. It is reasonably possible that the Company may recognize additional liabilities in connection with this matter at the time such losses are probable and can be reasonably estimated. The Company estimates a range of reasonably possible losses in excess of current accruals at between zero and $28 million based on a range of remedial alternatives and subject to development and approval by regulators of a specific remedy implementation plan. The Company is investigating whether a portion or all of the current and future losses, if incurred, are covered by existing insurance coverage or may be offset by contributions from other responsible parties. Steel Manufacturing Operations The Company's steel manufacturing operations had no environmental liabilities as of November 30, 2017 and August 31, 2017 . The steel mill's electric arc furnace generates dust (“EAF dust”) that is classified as hazardous waste by the EPA because of its zinc and lead content. As a result, the Company captures the EAF dust and ships it in specialized rail cars to firms that apply treatments that allow for the ultimate disposal of the EAF dust. The Company's steel mill has an operating permit issued under Title V of the Clean Air Act Amendments of 1990, which governs certain air quality standards. The permit is based on an annual production capacity of 950 thousand tons. The permit was first issued in 1998 and has since been renewed through February 1, 2018 . The permit renewal process occurs every five years and is underway for the next renewal period. Summary - Environmental Contingencies Other than the Portland Harbor Superfund site and legacy environmental loss contingencies, which are discussed separately above, management currently believes that adequate provision has been made for the potential impact of these issues and that the ultimate outcomes will not have a material adverse effect on the Company's consolidated financial statements as a whole. Historically, the amounts the Company has ultimately paid for such remediation activities have not been material in any given period. Contingencies - Other The Company is a party to various legal proceedings arising in the normal course of business. The Company recognizes a liability for such matters when the loss is probable and can be reasonably estimated. Legal proceedings include those arising from accidents involving Company-owned vehicles, including Company tractor trailers. In some instances, such accidents and the related litigation involve accidents that have resulted in third party fatalities. It is reasonably possible that the Company may recognize additional losses in connection with such lawsuits at the time such losses are probable and can be reasonably estimated. Such losses may be material to the Company's consolidated financial statements. At this time, the amount of such additional reasonably possible losses cannot be reasonably estimated. To the extent that circumstances change and the Company determines that a loss is reasonably possible, can be reasonably estimated, and is material, the Company would then disclose an estimate of the possible loss or range of loss. The Company believes that such losses, if incurred, would be substantially covered by existing insurance coverage. The Company does not anticipate that the resolution of legal proceedings arising in the normal course of business, after taking into consideration expected insurance recoveries, will have a material adverse effect on its results of operations, financial condition, or cash flows.

Restructuring Charges and Other

Restructuring Charges and Other Exit-Related Activities	3 Months Ended
	Nov. 30, 2017
Restructuring Charges, Asset Impairment and Accelerated Depreciation [Abstract]
Restructuring Charges and Other Exit-Related Activities	Restructuring Charges and Other Exit-Related Activities The Company incurred restructuring charges of less than $1 million during the three months ended November 30, 2017 and 2016 . These charges primarily relate to initiatives announced in the second quarter of fiscal 2015 and expanded in subsequent periods, which were designed to reduce operating expenses and improve profitability and to achieve further integration and synergistic cost efficiencies in the Company's operating platform. Charges related to these initiatives were substantially complete by the end of fiscal 2017. However, the Company incurred and may continue to incur additional restructuring charges primarily as a result of remeasuring lease contract termination liabilities to reflect changes in contractual lease rentals and estimated sublease rentals. In addition to the restructuring charges recorded related to these initiatives, the Company incurred charges associated with other exit-related activities of less than $1 million during the three months ended November 30, 2016 , consisting of asset impairments and accelerated depreciation of assets in connection with site closures and idled equipment.

Changes in Equity

Changes in Equity	3 Months Ended
	Nov. 30, 2017
Stockholders' Equity Note [Abstract]
Changes in Equity	Changes in Equity Changes in equity were comprised of the following (in thousands): Three Months Ended November 30, 2017 Three Months Ended November 30, 2016 SSI Shareholders’ Equity Noncontrolling Interests Total Equity SSI Shareholders’ Equity Noncontrolling Interests Total Equity Balance - September 1 (Beginning of period) $ 533,586 $ 3,907 $ 537,493 $ 497,721 $ 3,711 $ 501,432 Net income (loss) 18,364 857 19,221 (1,326 ) 618 (708 ) Other comprehensive loss, net of tax (1,627 ) — (1,627 ) (1,099 ) — (1,099 ) Distributions to noncontrolling interests — (331 ) (331 ) — (522 ) (522 ) Restricted stock withheld for taxes (2,851 ) — (2,851 ) (3,301 ) — (3,301 ) Share-based compensation 5,004 — 5,004 3,408 — 3,408 Dividends (5,292 ) — (5,292 ) (5,143 ) — (5,143 ) Balance - November 30 (End of period) $ 547,184 $ 4,433 $ 551,617 $ 490,260 $ 3,807 $ 494,067

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	3 Months Ended
	Nov. 30, 2017
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss Changes in accumulated other comprehensive loss, net of tax, were comprised of the following (in thousands): Three Months Ended November 30, 2017 Three Months Ended November 30, 2016 Foreign Currency Translation Adjustments Pension Obligations, net Total Foreign Currency Translation Adjustments Pension Obligations, net Total Balances - September 1 (Beginning of period) $ (31,828 ) $ (3,465 ) $ (35,293 ) $ (34,539 ) $ (5,576 ) $ (40,115 ) Other comprehensive income (loss) before reclassifications (1,709 ) (185 ) (1,894 ) (1,034 ) 49 (985 ) Income tax expense — 227 227 — (194 ) (194 ) Other comprehensive income (loss) before reclassifications, net of tax (1,709 ) 42 (1,667 ) (1,034 ) (145 ) (1,179 ) Amounts reclassified from accumulated other comprehensive loss — 63 63 — 125 125 Income tax benefit — (23 ) (23 ) — (45 ) (45 ) Amounts reclassified from accumulated other comprehensive loss, net of tax — 40 40 — 80 80 Net periodic other comprehensive income (loss) (1,709 ) 82 (1,627 ) (1,034 ) (65 ) (1,099 ) Balances - November 30 (End of period) $ (33,537 ) $ (3,383 ) $ (36,920 ) $ (35,573 ) $ (5,641 ) $ (41,214 ) Reclassifications from accumulated other comprehensive loss, both individually and in the aggregate, were immaterial to the impacted captions in the Unaudited Condensed Consolidated Statements of Operations for all periods presented.

Share-Based Compensation

Share-Based Compensation	3 Months Ended
	Nov. 30, 2017
Share-based Compensation [Abstract]
Share-Based Compensation	Share-Based Compensation In the first quarter of fiscal 2018, as part of the annual awards under the Company's Long-Term Incentive Plan, the Compensation Committee of the Company's Board of Directors ("Compensation Committee") granted 252,865 restricted stock units ("RSUs") and 246,161 performance share awards to the Company's key employees and officers under the Company's 1993 Amended and Restated Stock Incentive Plan ("SIP"). The RSUs have a five -year term and vest 20% per year commencing October 31, 2018. The aggregate fair value of all of the RSUs granted was based on the market closing price of the underlying Class A common stock on the grant date and totaled $7 million . The compensation expense associated with the RSUs is recognized over the requisite service period of the awards, net of forfeitures. The performance share awards are comprised of two separate and distinct awards with different vesting conditions. The Compensation Committee granted 119,763 performance share awards based on a relative Total Shareholder Return ("TSR") metric over a performance period spanning November 14, 2017 to August 31, 2020. Award share payouts range from a threshold of 50% to a maximum of 200% based on the relative ranking of the Company's TSR among a designated peer group of 16 companies. The TSR award stipulates certain limitations to the payout in the event the payout reaches a defined ceiling level or the Company's TSR is negative. The TSR awards contain a market condition and, therefore, once the award recipients complete the requisite service period, the related compensation expense based on the grant-date fair value is not changed, regardless of whether the market condition has been satisfied. The estimated fair value of the TSR awards at the date of grant was $3 million . The Company estimated the fair value of the TSR awards using a Monte-Carlo simulation model utilizing several key assumptions including expected Company and peer company share price volatility, correlation coefficients between peers, the risk-free rate of return, the expected dividend yield and other award design features. The remaining 126,398 performance share awards have a three -year performance period consisting of the Company’s 2018, 2019 and 2020 fiscal years. The performance targets are based on the Company's return on capital employed over the three -year performance period, with award payouts ranging from a threshold of 50% to a maximum of 200% . The fair value of the awards granted was based on the market closing price of the underlying Class A common stock on the grant date and totaled $3 million . The compensation expense associated with performance share awards is recognized over the requisite service period, net of forfeitures. Performance share awards will be paid in Class A common stock as soon as practicable after the end of the requisite service period and vesting date of October 31, 2020.

Income Taxes

Income Taxes	3 Months Ended
	Nov. 30, 2017
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The effective tax rate for the Company’s continuing operations for the three months ended November 30, 2017 was an expense of 23.6% compared to a benefit of 8.6% for the three months ended November 30, 2016 . A reconciliation of the difference between the federal statutory rate and the Company’s effective rate is as follows: Three Months Ended November 30, 2017 2016 Federal statutory rate 35.0 % 35.0 % State taxes, net of credits 0.1 2.1 Foreign income taxed at different rates (1.2 ) (3.4 ) Valuation allowance on deferred tax assets (6.8 ) (25.0 ) Unrecognized tax benefits 0.6 1.9 Non-deductible officers’ compensation 1.5 2.7 Research and development credits (0.5 ) (1.4 ) Section 199 deduction (1.9 ) — Other non-deductible expenses — 1.3 Other (1.3 ) (0.2 ) Noncontrolling interests (1.9 ) (4.4 ) Effective tax rate (1) 23.6 % 8.6 % _____________________________ (1) For periods with reported pre-tax losses, the effect of reconciling items with positive signs is a tax benefit in excess of applying the federal statutory rate to the pre-tax loss. The effective tax rate from continuing operations for the first quarter of fiscal 2018 and 2017 was lower than the federal statutory rate of 35% primarily due to the lower projected annual effective tax rate applied to the quarterly results. The lower projected annual effective tax rate is the result of the Company’s full valuation allowance positions partially offset by increases in deferred tax liabilities from indefinite-lived assets in all jurisdictions. The Company files federal and state income tax returns in the U.S. and foreign tax returns in Puerto Rico and Canada. For U.S. federal income tax returns, fiscal years 2013 to 2017 remain subject to examination under the statute of limitations. The Company's U.S. federal income tax return for fiscal 2015 is currently under examination. Subsequent Event On December 22, 2017, the President of the United States signed and enacted into law H.R. 1, the Tax Cuts and Jobs Act (“TCJA”), which, except for certain provisions, is effective for tax years beginning on or after January 1, 2018. As a fiscal year taxpayer, the Company will not be subject to the majority of the tax law provisions until fiscal year 2019; however, there are certain significant items of impact that will be recognized in fiscal year 2018 resulting from the retroactive reduction in the statutory tax rate. Because a change in tax law is accounted for in the period of enactment, the effects (including retroactive effects) will be reflected in the second quarter of fiscal 2018. The TCJA’s primary change is a reduction in the Federal statutory corporate tax rate from 35.0% to 21.0% , including a pro rata reduction from 35.0% to 25.7% for the Company in fiscal 2018. As a result, the Company expects to recognize a benefit in its tax provision as of the beginning of the second quarter of fiscal 2018 due to the revaluation of the Company's net deferred tax liability to reflect the lower statutory rate. The Company also expects to record a benefit in its tax provision for fiscal 2018 to account for the effect of the retroactive rate reduction on fiscal 2018 tax expense. The Company continues to assess the effects of the TCJA on its consolidated financial statements. Because of the ongoing assessment of the effects of the TCJA, the Company is not yet in a position to estimate the projected effective tax rate for fiscal 2018.

Net Income (Loss) Per Share

Net Income (Loss) Per Share	3 Months Ended
	Nov. 30, 2017
Earnings Per Share [Abstract]
Net Income (Loss) Per Share	Net Income (Loss) Per Share The following table sets forth the information used to compute basic and diluted net income (loss) per share attributable to SSI (in thousands): Three Months Ended November 30, 2017 2016 Income (loss) from continuing operations $ 19,256 $ (655 ) Net income attributable to noncontrolling interests (857 ) (618 ) Income (loss) from continuing operations attributable to SSI 18,399 (1,273 ) Loss from discontinued operations, net of tax (35 ) (53 ) Net income (loss) attributable to SSI $ 18,364 $ (1,326 ) Computation of shares: Weighted average common shares outstanding, basic 27,695 27,372 Incremental common shares attributable to dilutive performance share, RSU and DSU awards 967 — Weighted average common shares outstanding, diluted 28,662 27,372 Common stock equivalent shares of 1,086,335 were considered antidilutive and were excluded from the calculation of diluted net loss per share for the three months ended November 30, 2016 . No common stock equivalent shares were considered antidilutive for the three months ended November 30, 2017 .

Related Party Transactions

Related Party Transactions	3 Months Ended
	Nov. 30, 2017
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions The Company purchases recycled metal from its joint venture operations at prices that approximate fair market value. These purchases totaled $3 million for the three months ended November 30, 2017 and 2016 , respectively.

Segment Information

Segment Information	3 Months Ended
	Nov. 30, 2017
Segment Reporting [Abstract]
Segment Information	Segment Information The accounting standards for reporting information about operating segments define an operating segment as a component of an enterprise that engages in business activities from which it may earn revenues and incur expenses for which discrete financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. Prior to the fourth quarter of fiscal 2017, the Company's internal organizational and reporting structure supported two operating and reportable segments: the Auto and Metals Recycling ("AMR") business and the Steel Manufacturing Business ("SMB"). In the fourth quarter of fiscal 2017, in accordance with its plan announced in June 2017, the Company modified its internal organizational and reporting structure to combine its steel manufacturing operations, which had been reported as the SMB segment, with its Oregon metals recycling operations, which had been reported within the AMR segment, forming a new division named Cascade Steel and Scrap ("CSS"). This resulted in a realignment of how the Chief Executive Officer, who is considered the Company's chief operating decision maker, reviews performance and makes decisions on resource allocation. The Company began reporting under this new segment structure in the fourth quarter of fiscal 2017 as reflected in its Annual Report on Form 10-K for the year ended August 31, 2017. The segment data for the comparable periods presented herein has been recast to conform to the current period presentation for all activities of the reorganized segments. Recasting this historical information did not have an impact on the Company's consolidated financial performance for any of the periods presented. AMR buys and processes ferrous and nonferrous scrap metal for sale to foreign and domestic steel producers or their representatives and procures salvaged vehicles and sells serviceable used auto parts from these vehicles through a network of self-service auto parts stores. These auto parts stores also supply the Company's shredding facilities with autobodies that are processed into saleable recycled scrap metal. CSS operates a steel mini-mill that produces a range of finished steel long products using recycled scrap metal and other raw materials. CSS's steel mill obtains substantially all of its recycled scrap metal raw material requirements from its integrated metals recycling and joint venture operations. CSS's metals recycling operations also sell recycled metal to external customers primarily in export markets. The Company holds noncontrolling ownership interests in joint ventures, which are either in the metals recycling business or are suppliers of unprocessed metal. The Company's allocable portion of the results of these joint ventures is reported within the segment results. Three of the joint venture interests are presented as part of AMR operations, and one interest is presented as part of CSS operations. The joint ventures sell recycled scrap metal to AMR and to CSS at prices that approximate local market rates, which produces intercompany profit. This intercompany profit is eliminated while the products remain in inventory and is not recognized until the finished products are sold to third parties. Intersegment sales from AMR to CSS are made at prices that approximate local market rates. These intercompany sales tend to produce intercompany profits which are not recognized until the finished products are ultimately sold to third parties. The information provided below is obtained from internal information that is provided to the Company’s chief operating decision maker for the purpose of corporate management. The Company uses segment operating income to measure segment performance. The Company does not allocate corporate interest income and expense, income taxes and other income and expense to its reportable segments. Certain expenses related to shared services that support operational activities and transactions are allocated from Corporate to the segments. Unallocated Corporate expense consists primarily of expense for management and certain administrative services that benefit both reportable segments. Because of the unallocated income and expense, the operating income of each reportable segment does not reflect the operating income the reportable segment would report as a stand-alone business. In addition, the Company does not allocate restructuring charges and other exit-related activities and charges related to certain legacy environmental liabilities to the segment operating income because management does not include this information in its measurement of the performance of the operating segments. The results of discontinued operations are excluded from segment operating income and are presented separately, net of tax, from the results of ongoing operations for all periods presented. The table below illustrates the Company’s revenues from continuing operations by reportable segment (in thousands): Three Months Ended November 30, 2017 2016 Revenues: Auto and Metals Recycling: Revenues $ 398,054 $ 271,773 Less: Intersegment revenues (4,759 ) (3,635 ) AMR external customer revenues 393,295 268,138 Cascade Steel and Scrap Revenues 89,984 66,023 Total revenues $ 483,279 $ 334,161 The table below illustrates the reconciliation of the Company’s segment operating income to income (loss) from continuing operations before income taxes (in thousands): Three Months Ended November 30, 2017 2016 Auto and Metals Recycling $ 35,172 $ 12,606 Cascade Steel and Scrap 8,476 (2,628 ) Segment operating income 43,648 9,978 Restructuring charges and other exit-related activities (100 ) (201 ) Corporate and eliminations (17,125 ) (9,190 ) Operating income 26,423 587 Interest expense (2,059 ) (1,741 ) Other income, net 849 437 Income (loss) from continuing operations before income taxes $ 25,213 $ (717 ) The following is a summary of the Company’s total assets by reportable segment (in thousands): November 30, 2017 August 31, 2017 Auto and Metals Recycling (1) $ 1,331,468 $ 1,298,757 Cascade Steel and Scrap (1) 703,262 696,269 Total segment assets 2,034,730 1,995,026 Corporate and eliminations (2) (1,048,817 ) (1,061,271 ) Total assets $ 985,913 $ 933,755 _____________________________ (1) AMR total assets included $5 million for investments in joint ventures as of November 30, 2017 and August 31, 2017 . CSS total assets included $7 million for investments in joint ventures as of November 30, 2017 and August 31, 2017 . (2) The substantial majority of Corporate and eliminations total assets is comprised of Corporate intercompany payables to the Company's operating segments and intercompany eliminations.

Summary of Significant Accoun20

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Nov. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying Unaudited Condensed Consolidated Financial Statements of Schnitzer Steel Industries, Inc. (the “Company”) have been prepared pursuant to generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) for Form 10-Q, including Article 10 of Regulation S-X. The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP. Certain information and note disclosures normally included in annual financial statements have been condensed or omitted pursuant to the rules and regulations of the SEC. In the opinion of management, all normal, recurring adjustments considered necessary for a fair statement have been included. Management suggests that these Unaudited 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 year ended August 31, 2017 . The results for the three months ended November 30, 2017 and 2016 are not necessarily indicative of the results of operations for the entire fiscal year.
Accounting Changes	Accounting Changes In July 2015, an accounting standard update was issued that requires an entity to measure certain types of inventory, including inventory that is measured using the first-in, first out ("FIFO") or average cost method, at the lower of cost and net realizable value. The accounting standard in effect at the time of issuance of the update required an entity to measure inventory at the lower of cost or market, whereby market could be replacement cost, net realizable value, or net realizable value less an approximately normal profit margin. The amendments do not apply to inventory that is measured using the last-in, first-out ("LIFO") or retail inventory method. The Company adopted the new requirement, which is to be applied prospectively, as of the beginning of the first quarter of fiscal 2018 with no impact to the Unaudited Condensed Consolidated Financial Statements. In March 2016, an accounting standard update was issued that amends several aspects of the accounting for share-based payments, including accounting for income taxes, forfeitures and statutory tax withholding requirements, and classification within the statement of cash flows. The Company adopted the new requirements as of the beginning of the first quarter of fiscal 2018 with no impact to the Unaudited Condensed Consolidated Financial Statements, including no cumulative-effect adjustments to retained earnings, as of the date of adoption. On a prospective basis beginning with the date of adoption, the Company records all of the tax effects related to share-based payments through the income statement, subject to normal valuation allowance considerations, and all tax-related cash flows resulting from share-based payments are reported as operating activities in the statement of cash flows. The Company has elected to continue the practice of estimating the forfeiture rate for the purpose of recognizing estimated compensation cost over the requisite service period.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include short-term securities that are not restricted by third parties and have an original maturity date of 90 days or less. Included in accounts payable are book overdrafts representing outstanding checks in excess of funds on deposit of $30 million and $21 million as of November 30, 2017 and August 31, 2017 , respectively.
Cost Method Investment	Cost Method Investment In the second quarter of fiscal 2017, the Company invested $6 million in a privately-held waste and recycling entity. The Company's influence over the operating and financial policies of the entity is not significant and, thus, the investment is accounted for under the cost method. Under the cost method, the investment is carried at cost and adjusted only for other-than-temporary impairments, certain distributions and additional investments. The investment is presented as part of the Auto and Metals Recycling ("AMR") reportable segment and reported within other assets in the Unaudited Condensed Consolidated Balance Sheets. The Company does not hold any other cost-method investments. The carrying value of the investment was $6 million as of November 30, 2017 and August 31, 2017. As of November 30, 2017 , the Company had not identified any events or changes in circumstances that may have a significant adverse effect on the fair value of the investment or indicators of other-than-temporary impairment.
Long-Lived Assets	Long-Lived Assets Changes in circumstances may merit a change in the estimated useful lives or salvage values of individual long-lived assets, which are accounted for prospectively in the period of change. For such assets, the useful life is shortened based on the Company's plans to dispose of or abandon the asset before the end of its original useful life and depreciation is accelerated beginning when that determination is made. During the three months ended November 30, 2017 and 2016, the Company recognized accelerated depreciation of $1 million and less than $1 million , respectively, due to shortening the useful lives of decommissioned machinery and equipment assets in the Cascade Steel and Scrap ("CSS") reportable segment, which are reported within other asset impairment charges (recoveries), net in the Unaudited Condensed Consolidated Statements of Operations. Also during the three months ended November 30, 2017, CSS sold machinery and equipment assets impaired during the first quarter of fiscal 2017 and supplies inventory impaired during fiscal 2016, recognizing a gain of $1 million which is reported within other asset impairment charges (recoveries), net in the Unaudited Condensed Consolidated Statements of Operations.
Concentration Of Credit Risk	Concentration of Credit Risk Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash and cash equivalents, accounts receivable, and notes and other contractual receivables from suppliers. The majority of cash and cash equivalents is maintained with major financial institutions. Balances with these and certain other institutions exceeded the Federal Deposit Insurance Corporation insured amount of $250,000 as of November 30, 2017 . Concentration of credit risk with respect to accounts receivable is limited because a large number of geographically diverse customers make up the Company’s customer base. The Company controls credit risk through credit approvals, credit limits, credit insurance, letters of credit or other collateral, cash deposits and monitoring procedures. The Company is exposed to a residual credit risk with respect to open letters of credit by virtue of the possibility of the failure of a bank providing a letter of credit. The Company had $44 million and $48 million of open letters of credit as of November 30, 2017 and August 31, 2017 , respectively.
Financial Instruments	Financial Instruments The Company’s financial instruments include cash and cash equivalents, accounts receivable, accounts payable and debt. The Company uses the market approach to value its financial assets and liabilities, determined using available market information. The net carrying amounts of cash and cash equivalents, accounts receivable and accounts payable approximate fair value due to the short-term nature of these instruments. For long-term debt, which is primarily at variable interest rates, fair value is estimated using observable inputs (Level 2) and approximates its carrying value.
Fair Value Measurements	Fair Value Measurements Fair value is measured using inputs from the three levels of the fair value hierarchy. Classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The three levels are described as follows: • Level 1 – Unadjusted quoted prices in active markets for identical assets and liabilities. • Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the determination of the fair value of the asset or liability, either directly or indirectly. • Level 3 – Unobservable inputs that are significant to the determination of the fair value of the asset or liability. When developing the fair value measurements, the Company uses quoted market prices whenever available or seeks to maximize the use of observable inputs and minimize the use of unobservable inputs when quoted market prices are not available.
Restructuring Charges	Restructuring Charges Restructuring charges consist of severance, contract termination and other restructuring-related costs. A liability for severance costs is typically recognized when the plan of termination has been communicated to the affected employees and is measured at its fair value at the communication date. Contract termination costs consist primarily of costs that will continue to be incurred under operating leases for their remaining terms without economic benefit to the Company. A liability for contract termination costs is recognized at the date the Company ceases using the rights conveyed by the lease contract and is measured at its fair value, which is determined based on the remaining contractual lease rentals reduced by estimated sublease rentals. A liability for other restructuring-related costs is measured at its fair value in the period in which the liability is incurred. Restructuring charges that directly involve a discontinued operation are included in the results of discontinued operations in all periods presented. See Note 6 - Restructuring Charges and Other Exit-Related Activities for further detail.
New Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, an accounting standard update was issued that clarifies the principles for recognizing revenue from contracts with customers. The update will supersede the existing standard for recognizing revenue. Additional updates have been issued since May 2014 amending aspects of the initial update and providing implementation guidance. The guidance is applicable to all contracts with customers regardless of industry-specific or transaction-specific fact patterns. Further, the guidance requires improved disclosures to help users of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Upon becoming effective, an entity may adopt the standard either retrospectively to each prior reporting period presented, or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial application. The Company is in the process of examining its current revenue streams and significant contracts with customers under the requirements of the new standard and, based on the progress of this examination to date, does not believe the standard will have a material impact on its financial position, net income or cash flows. In particular, the Company is currently examining certain scrap metal purchase and sale arrangements to determine if it is the principal or the agent in the transaction under the new guidance. The outcome of this determination could result in a different classification of the cost of scrap metal purchased compared to the Company's treatment under the existing revenue standard. The Company is also analyzing the expanded disclosure requirements under the new standard, the method of adoption, and potential changes to its accounting policies, processes, systems and internal controls that may be required to support the new standard. In January 2016, an accounting standard update was issued that amends certain aspects of the reporting model for financial instruments. Most prominent among the amendments is the requirement for equity investments, with certain exceptions including those accounted for under the equity method of accounting, to be measured at fair value with changes in fair value recognized in net income. An entity may choose to measure equity investments that do not have readily determinable fair values, such as certain cost method investments, at cost minus impairment, plus or minus changes resulting from observable price changes. The amendments also require a qualitative assessment to identify impairment of equity investments without readily determinable fair values. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. The Company is evaluating the impact of adopting this standard on its consolidated financial position, results of operations and cash flows. In February 2016, an accounting standard was issued that will supersede the existing lease standard and requiring a lessee to recognize a lease liability and a lease asset on its balance sheet for all leases, including those classified as operating leases under the existing lease standard. The update also expands the required quantitative and qualitative disclosures surrounding leases. This standard is effective for the Company beginning in fiscal 2020, including interim periods within that fiscal year. This standard will be applied using a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The Company is in the process of identifying its population of leases within the scope of the new accounting standard and documenting salient lease terms to support the initial and subsequent measurement of lease liabilities and lease assets. The Company is evaluating the impact of adopting this standard on its financial position, results of operations, cash flows and disclosures. In August 2016, an accounting standard update was issued that addresses how certain cash receipts and cash payments are presented and classified in the statement of cash flows. Among the cash flow matters addressed in the update are payments for costs related to debt prepayments or extinguishments, payments related to settlement of certain types of debt instruments, payments of contingent consideration made after a business combination, proceeds from insurance claims and corporate-owned life insurance policies, and distributions received from equity method investees, among others. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period, and all of the amendments must be adopted together in the same period. The amendments will be applied using a retrospective transition method to each period presented, unless impracticable for specific cash flow matters, in which case the amendments would be applied prospectively as of the earliest date practicable. The Company is evaluating the impact of adopting this standard on its consolidated statement of cash flows. In October 2016, an accounting standard update was issued that amends the existing guidance on the accounting for the income tax effects of intra-entity transfers of assets other than inventory. Current accounting standards prohibit the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. The amendments in the update require that entities recognize the income tax effects of an intra-entity transfer of an asset other than inventory when the transfer occurs. The amendments do not change accounting standards for the pre-tax effects of an intra-entity asset transfer under accounting standards applicable to consolidation, or for an intra-entity transfer of inventory. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Early adoption is permitted in the first interim period of a fiscal year. The amendments will be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The Company is evaluating the impact of adopting this standard on its consolidated financial position, results of operations and cash flows. In March 2017, an accounting standard update was issued that modifies the presentation requirements for net periodic pension cost and net periodic postretirement benefit cost within an entity's income statement. The amendments in the update require that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The amendments also require the other components of net periodic pension cost and net periodic postretirement benefit cost to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations. Additionally, only the service cost component is eligible for capitalization, when applicable. The standard is effective for the Company beginning in fiscal 2019, including interim periods within that fiscal year. Early adoption is permitted beginning with the first quarter of fiscal 2018. Aspects of the update affecting income statement presentation must be applied retrospectively, while aspects affecting the capitalization of the service cost component in assets must be applied prospectively on and after the effective date. The Company is evaluating the impact of adopting this standard on its consolidated financial position, results of operations and cash flows.

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Nov. 30, 2017
Inventory, Net [Abstract]
Inventories	Inventories consisted of the following (in thousands): November 30, 2017 August 31, 2017 Processed and unprocessed scrap metal $ 129,635 $ 88,441 Semi-finished goods (billets) 7,514 3,243 Finished goods 45,332 40,462 Supplies 33,884 34,796 Inventories $ 216,365 $ 166,942

Goodwill (Tables)

Goodwill (Tables)	3 Months Ended
	Nov. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	The gross change in the carrying amount of goodwill for the three months ended November 30, 2017 was as follows (in thousands): AMR August 31, 2017 $ 167,835 Foreign currency translation adjustment (632 ) November 30, 2017 $ 167,203

Commitments and Contingencies (

Commitments and Contingencies (Tables)	3 Months Ended
	Nov. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Schedule Of Reserves For Environmental Liabilities	Changes in the Company’s environmental liabilities in aggregate for the three months ended November 30, 2017 were as follows (in thousands): Balance as of August 31, 2017 Liabilities Established (Released), Net Payments and Other Balance as of November 30, 2017 Short-Term Long-Term $ 48,398 $ 7,021 $ (761 ) $ 54,658 $ 7,214 $ 47,444

Changes in Equity (Tables)

Changes in Equity (Tables)	3 Months Ended
	Nov. 30, 2017
Stockholders' Equity Note [Abstract]
Schedule of Stockholders' Equity	Changes in equity were comprised of the following (in thousands): Three Months Ended November 30, 2017 Three Months Ended November 30, 2016 SSI Shareholders’ Equity Noncontrolling Interests Total Equity SSI Shareholders’ Equity Noncontrolling Interests Total Equity Balance - September 1 (Beginning of period) $ 533,586 $ 3,907 $ 537,493 $ 497,721 $ 3,711 $ 501,432 Net income (loss) 18,364 857 19,221 (1,326 ) 618 (708 ) Other comprehensive loss, net of tax (1,627 ) — (1,627 ) (1,099 ) — (1,099 ) Distributions to noncontrolling interests — (331 ) (331 ) — (522 ) (522 ) Restricted stock withheld for taxes (2,851 ) — (2,851 ) (3,301 ) — (3,301 ) Share-based compensation 5,004 — 5,004 3,408 — 3,408 Dividends (5,292 ) — (5,292 ) (5,143 ) — (5,143 ) Balance - November 30 (End of period) $ 547,184 $ 4,433 $ 551,617 $ 490,260 $ 3,807 $ 494,067

Accumulated Other Comprehensi25

Accumulated Other Comprehensive Loss (Tables)	3 Months Ended
	Nov. 30, 2017
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Schedule of Accumulated Other Comprehensive Loss	Changes in accumulated other comprehensive loss, net of tax, were comprised of the following (in thousands): Three Months Ended November 30, 2017 Three Months Ended November 30, 2016 Foreign Currency Translation Adjustments Pension Obligations, net Total Foreign Currency Translation Adjustments Pension Obligations, net Total Balances - September 1 (Beginning of period) $ (31,828 ) $ (3,465 ) $ (35,293 ) $ (34,539 ) $ (5,576 ) $ (40,115 ) Other comprehensive income (loss) before reclassifications (1,709 ) (185 ) (1,894 ) (1,034 ) 49 (985 ) Income tax expense — 227 227 — (194 ) (194 ) Other comprehensive income (loss) before reclassifications, net of tax (1,709 ) 42 (1,667 ) (1,034 ) (145 ) (1,179 ) Amounts reclassified from accumulated other comprehensive loss — 63 63 — 125 125 Income tax benefit — (23 ) (23 ) — (45 ) (45 ) Amounts reclassified from accumulated other comprehensive loss, net of tax — 40 40 — 80 80 Net periodic other comprehensive income (loss) (1,709 ) 82 (1,627 ) (1,034 ) (65 ) (1,099 ) Balances - November 30 (End of period) $ (33,537 ) $ (3,383 ) $ (36,920 ) $ (35,573 ) $ (5,641 ) $ (41,214 )

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Nov. 30, 2017
Income Tax Disclosure [Abstract]
Schedule of Effective Income Tax Rate Reconciliation	A reconciliation of the difference between the federal statutory rate and the Company’s effective rate is as follows: Three Months Ended November 30, 2017 2016 Federal statutory rate 35.0 % 35.0 % State taxes, net of credits 0.1 2.1 Foreign income taxed at different rates (1.2 ) (3.4 ) Valuation allowance on deferred tax assets (6.8 ) (25.0 ) Unrecognized tax benefits 0.6 1.9 Non-deductible officers’ compensation 1.5 2.7 Research and development credits (0.5 ) (1.4 ) Section 199 deduction (1.9 ) — Other non-deductible expenses — 1.3 Other (1.3 ) (0.2 ) Noncontrolling interests (1.9 ) (4.4 ) Effective tax rate (1) 23.6 % 8.6 % _____________________________ (1) For periods with reported pre-tax losses, the effect of reconciling items with positive signs is a tax benefit in excess of applying the federal statutory rate to the pre-tax loss.

Net Income (Loss) Per Share (Ta

Net Income (Loss) Per Share (Tables)	3 Months Ended
	Nov. 30, 2017
Earnings Per Share [Abstract]
Net Income (Loss) Per Share	The following table sets forth the information used to compute basic and diluted net income (loss) per share attributable to SSI (in thousands): Three Months Ended November 30, 2017 2016 Income (loss) from continuing operations $ 19,256 $ (655 ) Net income attributable to noncontrolling interests (857 ) (618 ) Income (loss) from continuing operations attributable to SSI 18,399 (1,273 ) Loss from discontinued operations, net of tax (35 ) (53 ) Net income (loss) attributable to SSI $ 18,364 $ (1,326 ) Computation of shares: Weighted average common shares outstanding, basic 27,695 27,372 Incremental common shares attributable to dilutive performance share, RSU and DSU awards 967 — Weighted average common shares outstanding, diluted 28,662 27,372

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Nov. 30, 2017
Segment Reporting [Abstract]
Reconciliation of Revenue from Segments to Consolidated	The table below illustrates the Company’s revenues from continuing operations by reportable segment (in thousands): Three Months Ended November 30, 2017 2016 Revenues: Auto and Metals Recycling: Revenues $ 398,054 $ 271,773 Less: Intersegment revenues (4,759 ) (3,635 ) AMR external customer revenues 393,295 268,138 Cascade Steel and Scrap Revenues 89,984 66,023 Total revenues $ 483,279 $ 334,161
Reconciliation of Operating Income from Segments to Consolidated	The table below illustrates the reconciliation of the Company’s segment operating income to income (loss) from continuing operations before income taxes (in thousands): Three Months Ended November 30, 2017 2016 Auto and Metals Recycling $ 35,172 $ 12,606 Cascade Steel and Scrap 8,476 (2,628 ) Segment operating income 43,648 9,978 Restructuring charges and other exit-related activities (100 ) (201 ) Corporate and eliminations (17,125 ) (9,190 ) Operating income 26,423 587 Interest expense (2,059 ) (1,741 ) Other income, net 849 437 Income (loss) from continuing operations before income taxes $ 25,213 $ (717 )
Reconciliation of Assets from Segment to Consolidated	The following is a summary of the Company’s total assets by reportable segment (in thousands): November 30, 2017 August 31, 2017 Auto and Metals Recycling (1) $ 1,331,468 $ 1,298,757 Cascade Steel and Scrap (1) 703,262 696,269 Total segment assets 2,034,730 1,995,026 Corporate and eliminations (2) (1,048,817 ) (1,061,271 ) Total assets $ 985,913 $ 933,755 _____________________________ (1) AMR total assets included $5 million for investments in joint ventures as of November 30, 2017 and August 31, 2017 . CSS total assets included $7 million for investments in joint ventures as of November 30, 2017 and August 31, 2017 . (2) The substantial majority of Corporate and eliminations total assets is comprised of Corporate intercompany payables to the Company's operating segments and intercompany eliminations.

Summary of Significant Accoun29

Summary of Significant Accounting Policies (Details) - USD ($)	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016	Aug. 31, 2017	Feb. 28, 2017
Significant Accounting Policies [Line Items]
Book Overdrafts	$ 30,000,000		$ 21,000,000
Cost Method Investment, Original Cost				$ 6,000,000
Cost Method Investment, Carrying Value	6,000,000		6,000,000
Cash, FDIC Insured Amount	250,000
Customer Issued Letters Of Credit	44,000,000		$ 48,000,000
Cascade Steel and Scrap
Significant Accounting Policies [Line Items]
Accelerated Depreciation (less than $1 million for 2016)	1,000,000	$ 1,000,000
Gain on Sale of Assets	$ 1,000,000

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Nov. 30, 2017	Aug. 31, 2017
Inventory, Net [Abstract]
Processed and unprocessed scrap metal	$ 129,635	$ 88,441
Semi-finished goods (billets)	7,514	3,243
Finished goods	45,332	40,462
Supplies	33,884	34,796
Inventories	$ 216,365	$ 166,942

Goodwill Schedule of Goodwill (

Goodwill Schedule of Goodwill (Details) $ in Thousands	3 Months Ended
	Nov. 30, 2017USD ($)
Goodwill [Roll Forward]
August 31, 2017	$ 167,835
November 30, 2017	167,203
Auto and Metals Recycling
Goodwill [Roll Forward]
August 31, 2017	167,835
Foreign currency translation adjustment	(632)
November 30, 2017	$ 167,203

Goodwill (Details)

Goodwill (Details) - USD ($) $ in Millions	Nov. 30, 2017	Aug. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Accumulated goodwill impairment charges	$ 471	$ 471

Commitments and Contingencies S

Commitments and Contingencies Schedule of Environmental Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Aug. 31, 2017
Accrual for Environmental Loss Contingencies [Roll Forward]
Beginning Balance	$ 48,398
Liabilities Established (Released), Net	7,021
Payments and Other	(761)
Ending Balance	54,658
Short-Term	7,214	$ 2,007
Long-Term	$ 47,444	$ 46,391

Commitments and Contingencies34

Commitments and Contingencies (Details) T in Thousands	Dec. 31, 2017potentially_responsible_party	Aug. 31, 2007USD ($)	Jan. 31, 2017USD ($)	Nov. 30, 2017USD ($)potentially_responsible_partyT	Aug. 31, 2017USD ($)	Jan. 30, 2017party
Loss Contingencies [Line Items]
Accrual for Environmental Loss Contingencies				$ 54,658,000	$ 48,398,000
Parties Liable in Litigation | party						30
Liabilities Established (Released), Net				7,021,000
Legacy Environmental Site
Loss Contingencies [Line Items]
Accrual for Environmental Loss Contingencies				4,000,000
Portland Harbor Superfund Site
Loss Contingencies [Line Items]
Accrual for Environmental Loss Contingencies				$ 3,000,000
Number Of Potentially Responsible Parties Joining Allocation Process | potentially_responsible_party				100
Liabilities Established (Released), Net				$ 2,000,000
Loss Contingency, Receivable				2,000,000
Other Auto and Metals Recycling Business Sites
Loss Contingencies [Line Items]
Accrual for Environmental Loss Contingencies				55,000,000	48,000,000
Minimum | Legacy Environmental Site
Loss Contingencies [Line Items]
Loss Contingency, Range of Possible Loss, Portion Not Accrued				0
Maximum | Legacy Environmental Site
Loss Contingencies [Line Items]
Loss Contingency, Range of Possible Loss, Portion Not Accrued				28,000,000
Lower Willamette Group | Portland Harbor Superfund Site
Loss Contingencies [Line Items]
Remedial Investigation and Feasibility Study Costs		$ 115,000,000
Number of Years for Remedial Investigation and Feasibility Study		10 years
Potential Responsible Parties | Portland Harbor Superfund Site
Loss Contingencies [Line Items]
Estimated Cost of Selected Remedy			$ 1,700,000,000
Estimated Cost of Selected Remedy, Discount			$ 1,050,000,000
Estimated Cost of Selected Remedy, Discount Rate			7.00%
Site Contingency, Estimated Time Frame to Remediate			13 years
Potential Responsible Parties | Minimum | Portland Harbor Superfund Site
Loss Contingencies [Line Items]
Site Contingency, Least Costly Remediation Plan, Discount				170,000,000
Estimated Cost of Selected Remedy, Range			(30.00%)
Potential Responsible Parties | Maximum | Portland Harbor Superfund Site
Loss Contingencies [Line Items]
Site Contingency, Most Costly Remediation Plan, Discount				2,500,000,000
Estimated Cost of Selected Remedy, Range			50.00%
Steel Manufacturing Operations
Loss Contingencies [Line Items]
Accrual for Environmental Loss Contingencies				$ 0	$ 0
Permitted Annual Production Capacity | T				950
Title V Permit, Renewal Period				5 years
Subsequent Event | Portland Harbor Superfund Site
Loss Contingencies [Line Items]
Number Of Other Potentially Responsible Parties Signing Settlement Agreement and Order on Consent | potentially_responsible_party	3
Number of Years for Pre-Remedial Design	2 years

Restructuring and Charges and O

Restructuring and Charges and Other Exit-Related Activities (Details) - USD ($) $ in Millions	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Restructuring Cost and Reserve [Line Items]
Restructuring Charges (less than $1 million)	$ 1	$ 1
Other Exit-Related Activity
Restructuring Cost and Reserve [Line Items]
Other Exit-Related Activities (less than $1 million)		$ 1

Changes in Equity (Details)

Changes in Equity (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance - September 1 (Beginning of period)	$ 537,493	$ 501,432
Net income (loss)	19,221	(708)
Other comprehensive loss, net of tax	(1,627)	(1,099)
Distributions to noncontrolling interests	(331)	(522)
Restricted stock withheld for taxes	(2,851)	(3,301)
Share-based compensation	5,004	3,408
Dividends	(5,292)	(5,143)
Balance - November 30 (End of period)	551,617	494,067
SSI Shareholders’ Equity
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance - September 1 (Beginning of period)	533,586	497,721
Net income (loss)	18,364	(1,326)
Other comprehensive loss, net of tax	(1,627)	(1,099)
Distributions to noncontrolling interests	0	0
Restricted stock withheld for taxes	(2,851)	(3,301)
Share-based compensation	5,004	3,408
Dividends	(5,292)	(5,143)
Balance - November 30 (End of period)	547,184	490,260
Noncontrolling Interests
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance - September 1 (Beginning of period)	3,907	3,711
Net income (loss)	857	618
Other comprehensive loss, net of tax	0	0
Distributions to noncontrolling interests	(331)	(522)
Restricted stock withheld for taxes	0	0
Share-based compensation	0	0
Dividends	0	0
Balance - November 30 (End of period)	$ 4,433	$ 3,807

Accumulated Other Comprehensi37

Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Increase (Decrease) In Accumulated Other Comprehensive Loss [Roll Forward}
Balance - September 1 (Beginning of period)	$ 537,493	$ 501,432
Other comprehensive income (loss) before reclassifications	(1,894)	(985)
Income tax expense	227	(194)
Other comprehensive income (loss) before reclassifications, net of tax	(1,667)	(1,179)
Amounts reclassified from accumulated other comprehensive loss	63	125
Income tax benefit	(23)	(45)
Amounts reclassified from accumulated other comprehensive loss, net of tax	40	80
Total other comprehensive loss, net of tax	(1,627)	(1,099)
Balance - November 30 (End of period)	551,617	494,067
Foreign Currency Translation Adjustments
Increase (Decrease) In Accumulated Other Comprehensive Loss [Roll Forward}
Balance - September 1 (Beginning of period)	(31,828)	(34,539)
Other comprehensive income (loss) before reclassifications	(1,709)	(1,034)
Income tax expense	0	0
Other comprehensive income (loss) before reclassifications, net of tax	(1,709)	(1,034)
Amounts reclassified from accumulated other comprehensive loss	0	0
Income tax benefit	0	0
Amounts reclassified from accumulated other comprehensive loss, net of tax	0	0
Total other comprehensive loss, net of tax	(1,709)	(1,034)
Balance - November 30 (End of period)	(33,537)	(35,573)
Pension Obligations, net
Increase (Decrease) In Accumulated Other Comprehensive Loss [Roll Forward}
Balance - September 1 (Beginning of period)	(3,465)	(5,576)
Other comprehensive income (loss) before reclassifications	(185)	49
Income tax expense	227	(194)
Other comprehensive income (loss) before reclassifications, net of tax	42	(145)
Amounts reclassified from accumulated other comprehensive loss	63	125
Income tax benefit	(23)	(45)
Amounts reclassified from accumulated other comprehensive loss, net of tax	40	80
Total other comprehensive loss, net of tax	82	(65)
Balance - November 30 (End of period)	(3,383)	(5,641)
AOCI Attributable to Parent
Increase (Decrease) In Accumulated Other Comprehensive Loss [Roll Forward}
Balance - September 1 (Beginning of period)	(35,293)	(40,115)
Balance - November 30 (End of period)	$ (36,920)	$ (41,214)

Share-Based Compensation (Detai

Share-Based Compensation (Details) $ in Millions	3 Months Ended
	Nov. 30, 2017USD ($)companyshares
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted (in shares)	252,865
Vesting term	5 years
Vesting percentage per year	20.00%
Shares granted, fair value | $	$ 7
Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted (in shares)	246,161
Performance Shares | Total Shareholder Return (TSR)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted (in shares)	119,763
Shares granted, fair value | $	$ 3
Total Shareholder Return Designated Peer Group | company	16
Performance Shares | Total Shareholder Return (TSR) | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance Based Awards Award Payouts Threshold	50.00%
Performance Shares | Total Shareholder Return (TSR) | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance Based Awards Award Payouts Threshold	200.00%
Performance Shares | Return on Capital Employed (ROCE)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted (in shares)	126,398
Shares granted, fair value | $	$ 3
Performance period	3 years
Performance Shares | Return on Capital Employed (ROCE) | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance Based Awards Award Payouts Threshold	50.00%
Performance Shares | Return on Capital Employed (ROCE) | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance Based Awards Award Payouts Threshold	200.00%

Income Taxes -Narrative (Detail

Income Taxes -Narrative (Details)	3 Months Ended		12 Months Ended
	Nov. 30, 2017	Nov. 30, 2016	Aug. 31, 2019	Aug. 31, 2018
Income Tax Contingency [Line Items]
Effective tax rate	23.60%	8.60%
Federal statutory rate	35.00%	35.00%
Subsequent Event | Forecast
Income Tax Contingency [Line Items]
Federal statutory rate			21.00%	25.70%

Income Taxes -Schedule (Details

Income Taxes -Schedule (Details)	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Effective Income Tax Rate Reconciliation, Percent [Abstract]
Federal statutory rate	35.00%	35.00%
State taxes, net of credits	0.10%	2.10%
Foreign income taxed at different rates	(1.20%)	(3.40%)
Valuation allowance on deferred tax assets	(6.80%)	(25.00%)
Unrecognized tax benefits	0.60%	1.90%
Non-deductible officers’ compensation	1.50%	2.70%
Research and development credits	(0.50%)	(1.40%)
Section 199 deduction	(1.90%)	(0.00%)
Other non-deductible expenses	0.00%	1.30%
Other	(1.30%)	(0.20%)
Noncontrolling interests	(1.90%)	(4.40%)
Effective tax rate	23.60%	8.60%

Net Income (Loss) Per Share (De

Net Income (Loss) Per Share (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Earnings Per Share [Abstract]
Income (loss) from continuing operations	$ 19,256	$ (655)
Net income attributable to noncontrolling interests	(857)	(618)
Income (loss) from continuing operations attributable to SSI	18,399	(1,273)
Loss from discontinued operations, net of tax	(35)	(53)
Net income (loss) attributable to SSI	$ 18,364	$ (1,326)
Computation of shares:
Weighted average common shares outstanding, basic (in shares)	27,695,000	27,372,000
Incremental common shares attributable to dilutive stock options, performance share awards, DSUs, and RSUs (in shares)	967,000	0
Weighted average common shares outstanding, diluted (in shares)	28,662,000	27,372,000
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares)	0	1,086,335

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($) $ in Millions	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Corporate Joint Venture
Related Party Transaction [Line Items]
Purchases from joint ventures	$ 3	$ 3

Segment Information Segment Rev

Segment Information Segment Revenue Reconciliation to Consolidated (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Segment Reporting Information [Line Items]
Revenues	$ 483,279	$ 334,161
Auto and Metals Recycling
Segment Reporting Information [Line Items]
Revenues	393,295	268,138
Operating Segments | Auto and Metals Recycling
Segment Reporting Information [Line Items]
Revenues	398,054	271,773
Operating Segments | Cascade Steel and Scrap
Segment Reporting Information [Line Items]
Revenues	89,984	66,023
Less: Intersegment revenues | Auto and Metals Recycling
Segment Reporting Information [Line Items]
Revenues	$ (4,759)	$ (3,635)

Segment Information Segment Ope

Segment Information Segment Operating Income Reconciliation to Consolidated (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2017	Nov. 30, 2016
Segment Reporting Information [Line Items]
Operating income	$ 26,423	$ 587
Restructuring charges and other exit-related activities	(100)	(201)
Interest expense	(2,059)	(1,741)
Other income, net	849	437
Income (loss) from continuing operations before income taxes	25,213	(717)
Operating Segments
Segment Reporting Information [Line Items]
Operating income	43,648	9,978
Operating Segments | Auto and Metals Recycling
Segment Reporting Information [Line Items]
Operating income	35,172	12,606
Operating Segments | Cascade Steel and Scrap
Segment Reporting Information [Line Items]
Operating income	8,476	(2,628)
Segment Reconciling Items
Segment Reporting Information [Line Items]
Restructuring charges and other exit-related activities	(100)	(201)
Corporate and eliminations
Segment Reporting Information [Line Items]
Operating income	$ (17,125)	$ (9,190)

Segment Information Segment Ass

Segment Information Segment Assets Reconciliation to Consolidated (Details) $ in Thousands	9 Months Ended
	May 31, 2017segment	Nov. 30, 2017USD ($)jointventureinterests	Aug. 31, 2017USD ($)
Segment Reporting Information [Line Items]
Number of Operating Segments | segment	2
Assets		$ 985,913	$ 933,755
Investments in joint ventures		$ 11,521	11,204
Auto and Metals Recycling
Segment Reporting Information [Line Items]
Number of Joint Venture Interests | jointventureinterests		3
Investments in joint ventures		$ 5,000	5,000
Cascade Steel and Scrap
Segment Reporting Information [Line Items]
Number of Joint Venture Interests | jointventureinterests		1
Investments in joint ventures		$ 7,000	7,000
Operating Segments
Segment Reporting Information [Line Items]
Assets		2,034,730	1,995,026
Operating Segments | Auto and Metals Recycling
Segment Reporting Information [Line Items]
Assets		1,331,468	1,298,757
Operating Segments | Cascade Steel and Scrap
Segment Reporting Information [Line Items]
Assets		703,262	696,269
Corporate and eliminations
Segment Reporting Information [Line Items]
Assets		$ (1,048,817)	$ (1,061,271)