Legend Smelting & Recycling was founded in 1982 in Newark Ohio by Mark Sasko and Randy Hess. For more than 30 years, we have been a preferred buyer of Platinum Group Metals from spent Catalytic converters in North America. Our business is built on a history of dedication, loyalty and hard work, and long standing customer relationships. We are focused on developing our technologies to improve performance for our customers across the globe.
Over the last thirty years, Legend Smelting and Recycling has been acquiring as well as processing catalytic converters. As stated by Charles Darwin, "It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change". In relation, change is an inevitable attribute that is applicable to the maintenance of a successful business. Therefore, at the beginning of 2013, Legend Smelting will be making modifications that pertain to the purchasing strategies of catalytic converters.
Nevertheless, I initially desire to share how this industry began, and how this industry has evolved thus far.Thirty years ago, the industry used a compressed pricing structure in order to entice wrecking yards to save all of their catalytic converters for recycling. While certain converters commanded prices higher than their net value, others were lower than their total value. The previously stated tactic was utilized in order to discourage auto recyclers from strictly assembling valuable converters. Moreover, in the early days, the shipments of the precious metals were financially lower in cost and the infrastructures of the low grade substrate collections were new in development as well as refiners necessitating the need for stock volume. As time lapsed, the E.P.A. increased its standards on smog emissions and the shipments of the popular metals increased within the business of converters.
The usage of particular metals evolved as a result of the demand, the necessity of performance, and the cost of the various metals (ex. platinum, palladium, rhodium) that were embedded within the converters. Extraordinarily, rhodium hit a high of $10,000 per ounce and marked a historic expansion in the catalytic converter industry. Furthermore, as the industry grows, the competition increases as well. The shared knowledge of converter values instigated a cherry-picking mentality, consequently collectors originated and dissected converter stockpiles to sell off to different processors. Unfortunately, the previously mentioned technique failed to work sufficiently for processors that use an element of converter averaging in their pricing structure. Therefore, refiners that unsuccessfully processed specific converters with profitably began reselling entire converters back into the market.
In essence, Legend Smelting and Recycling calls for a revolution in the world of catalytic converters. As of January 1st, Legend Smelting and Recycling will be using its knowledge of converter values to establish, to expand and to restructure converter categories along with pricing on the basis of individual values. We can use converter part numbers, extensive current, as well as ongoing assaying in our lab to establish pricing. Selected converters will possibly be paired with converters that were purchased in separate categories prior to the 2013 alterations. The new categories will shrink the disparity in values between individual converters in their assigned categories and will close the ability for "cherry-picking". Elimination of the "shell game" on the street will generate further balance as well as equality within the industry. With this understanding, if a seller is quoted a price that is too good to be true, then it probably is too good to be true. We believe that individuals that continue to attempt beating the system will plausibly emerge holding an assortment of converters that they may only be able to sell at a loss.We believe this change will be for the betterment of the industry, and we are ready to help in any way to facilitate this change and transition into the new era with our customers.