Successful placement of EUR 1.1 bn convertible/exchangeable bonds

Luxembourg, March 24, 2009 (19:30 CET) – ArcelorMittal is pleased to announce the successful placement of its EUR 1.1 billion bonds convertible and/or exchangeable into new and/or existing shares due April 1, 2014 (the Bonds”), announced earlier today.
Commenting, Aditya Mittal, CFO ArcelorMittal, said: "To receive such a positive response to the issue in the current economic climate is particularly pleasing, and we believe represents a strong indication of confidence in ArcelorMittal. The convertible bond brings multiple benefits to the company, enabling us to extend the maturity of our debt and diversify our debt structure, as well as further enhancing our liquidity”.
The principal amount of the Bond issue is EUR 1.1 billion, following an increase by the issuer from the initial amount of EUR 750 million. The offering may be further increased up to a maximum of EUR 1.25 billion if the over-allotment option granted to the Joint Lead-Managers and Joint Bookrunners is exercised in full and by March 30, 2009 at the latest.
The nominal value of each bond corresponds to EUR 20.25, providing a premium of 32% above the reference price (VWAP between launch and pricing) of ArcelorMittal shares on Euronext Amsterdam. The conversion / exchange ratio of the Bonds will be one new or existing ArcelorMittal share per Bond, The Bonds will bear interest at 7.25% payable semi-annually and will be redeemed at par on April 1, 2014. The Bonds may be redeemed at the option of the issuer at any time on or after April 19, 2013 subject to certain conditions. Settlement and delivery of the Bonds is expected to take place on April 1, 2009.
The Bonds were offered by way of a private placement to qualified investors within the meaning of Directive 2003/71/EC of the European Parliament and the Council of November 4th, 2003, in accordance with the respective regulations of each country in which the Bonds are offered. The Bonds were not offered or sold in the United States of America, Australia, Canada and Japan.
This offering was lead-managed by CALYON and Société Générale Corporate & Investment Banking acting as Joint Lead-Managers and Joint Bookrunners, with Natixis and Rabobank as Co-Lead Managers.