FORM 3

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934 or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL OMB Number: 3235-0104 Estimated average burden hours per response: 0.5

1. Name and Address of Reporting Person* WEBFINANCIAL CORP (Last) (First) (Middle) 61 EAST MAIN STREET (Street) LOS GATOS CA 95031 (City) (State) (Zip)	2. Date of Event Requiring Statement (Month/Day/Year) 09/20/2007	3. Issuer Name and Ticker or Trading Symbol REUNION INDUSTRIES INC [ RUNI.PK ]
		4. Relationship of Reporting Person(s) to Issuer (Check all applicable) Director X 10% Owner Officer (give title below) Other (specify below)	5. If Amendment, Date of Original Filed (Month/Day/Year)
			6. Individual or Joint/Group Filing (Check Applicable Line) Form filed by One Reporting Person X Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Beneficially Owned
1. Title of Security (Instr. 4)	2. Amount of Securities Beneficially Owned (Instr. 4)	3. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	4. Nature of Indirect Beneficial Ownership (Instr. 5)
Common Stock, par value $.01	779,420	D(1)(2)
Common Stock, par value $.01	4,697,950	I(1)(2)	See Footnotes(3)

Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 4)	2. Date Exercisable and Expiration Date (Month/Day/Year)		3. Title and Amount of Securities Underlying Derivative Security (Instr. 4)		4. Conversion or Exercise Price of Derivative Security	5. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
	Date Exercisable	Expiration Date	Title	Amount or Number of Shares

1. Name and Address of Reporting Person* WEBFINANCIAL CORP (Last) (First) (Middle) 61 EAST MAIN STREET (Street) LOS GATOS CA 95031 (City) (State) (Zip)

1. Name and Address of Reporting Person* STEEL PARTNERS LLC (Last) (First) (Middle) C/O STEEL PARTNERS II, L.P. 590 MADISON AVENUE, 32ND FLOOR (Street) NEW YORK NY 10022 (City) (State) (Zip)

1. Name and Address of Reporting Person* LICHTENSTEIN WARREN G (Last) (First) (Middle) C/O STEEL PARTNERS II, L.P. 590 MADISON AVENUE, 32ND FLOOR (Street) NEW YORK NY 10022 (City) (State) (Zip)

1. Name and Address of Reporting Person* STEEL PARTNERS II LP (Last) (First) (Middle) 590 MADISON AVENUE, 32ND FLOOR (Street) NEW YORK NY 10022 (City) (State) (Zip)

Explanation of Responses:

1. This Form 3 is filed jointly by WebFinancial Corporation ("WebFinancial"), Warren G. Lichtenstein, Steel Partners, L.L.C. ("Steel LLC") and Steel Partners II, L.P. ("Steel LP"). The securities reported in this Form 3 may be deemed to be beneficially owned indirectly by Steel LP by virtue of it being a controlling stockholder of WebFinancial, by Steel LLC by virtue of it being the general partner of Steel LP and by Mr. Lichtenstein by virtue of his position as the sole executive officer and managing member of Steel LLC. Steel LP, Steel LLC and Mr. Lichtenstein disclaim beneficial ownership of the shares that may be deemed to be beneficially owned by WebFinancial except to the extent of their pecuniary interest therein.

2. The Reporting Persons are members of a Section 13(d) group that could be deemed to own more than 10% of the Issuer's outstanding Common Stock.

3. Shares of Common Stock that are subject to a certain Securities Pledge Agreement dated as of May 1, 1993 by and among the pledgors thereunder and U.S. Bank National Association, as successor trustee (the "Pledged Shares"), that WebFinancial could be deemed to indirectly beneficially own. To the extent WebFinanical may be deemed to indirectly beneficially own the Pledged Shares, WebFinaicial disclaims beneficial ownership of the Pledged Shares except to the extent of its pecuniary interest therein.

Remarks:

	By: WebFinancial Corporation, By: /s/ James Henderson, Chief Executive Officer	10/01/2007
	By: Steel Partners, L.L.C., By: /s/ Lauren Isenman, as Attorney in Fact for Warren G. Lichtenstein, Managing Member	10/01/2007
	By: /s/ Lauren Isenman, as Attorney In Fact for Warren G. Lichtenstein	10/01/2007
	By: Steel Partners II, L.P., By: Steel Partners, L.L.C., General Partner, By: /s/ Lauren Isenman, as Attorney in Fact for Warren G. Lichtenstein, Managing Member	10/01/2007
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 5 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.