Luxembourg, April 28, 2009 - ArcelorMittal (referred to as “ArcelorMittal”, or the “Company”) (MT (NewYork, Amsterdam, Brussels, Luxembourg, Paris) MTS (Madrid), the world’s leading steel company, today announced results for the three months ended March 31, 2009.
Highlights for the three months ended March 31, 2009:
Highlights for the three months ended March 31, 2009:
· Shipments of 16.0 million tonnes, down 6% as compared to Q408
· Sales of $15.1 billion, down 32% as compared to Q408
· EBITDA1 of $0.9 billion, in-line with guidance
· Net loss of $1.1 billion due in part to $1.2 billion exceptional charges pre-tax2
· Net debt of $26.7 billion at the end of Q109 and pro forma3 liquidity of $13.2 billion
· Extension of maturity to 2012 of $6.34 billion in debt through Forward Start5 facilities and completion of $1.6 billion (€1.25 billion) convertible bond issuance on April 1, 2009
Marketing update:
· Potential for price increase during Q209 and Q309 across major markets and products
Enhanced industrial and financial plan:
· Continuing temporary production cuts in-line with reduced demand
· Industrial optimization measures implemented resulting in more than $6 billion of annualized
temporary fixed cost reductions in Q1 2009, and expected to increase to more than $7.5 billion
on an annualized basis in Q2 2009
· Confirming target to achieve management gains of $2 billion of sustainable SG&A and fixed
cost reduction in 2009
1 EBITDA is defined as operating income plus depreciation, impairment expenses and exceptional items.
2 During the first quarter of 2009, the Company recorded exceptional charges amounting to $1.2 billion pre-tax related primarily to write-downs of inventory.
3 Pro forma liquidity position includes the $1.6 billion (EUR 1.25 billion) cash proceeds from convertible bond that settled on April
1, 2009.
4 Includes additional $0.3 billion of Forward Start facilities announced on April 28, 2009
5 AForward Start facility is a committed facility to refinance an existing facility upon its maturity.
· Reiterating working capital rotation days6 target of 75-85 days during 2009
· Re-affirming target to reduce net debt by $10 billion by the end of 2009
· Continuing temporary production cuts in-line with reduced demand
· Industrial optimization measures implemented resulting in more than $6 billion of annualized
temporary fixed cost reductions in Q1 2009, and expected to increase to more than $7.5 billion
on an annualized basis in Q2 2009
· Confirming target to achieve management gains of $2 billion of sustainable SG&A and fixed
cost reduction in 2009
1 EBITDA is defined as operating income plus depreciation, impairment expenses and exceptional items.
2 During the first quarter of 2009, the Company recorded exceptional charges amounting to $1.2 billion pre-tax related primarily to write-downs of inventory.
3 Pro forma liquidity position includes the $1.6 billion (EUR 1.25 billion) cash proceeds from convertible bond that settled on April
1, 2009.
4 Includes additional $0.3 billion of Forward Start facilities announced on April 28, 2009
5 AForward Start facility is a committed facility to refinance an existing facility upon its maturity.
· Reiterating working capital rotation days6 target of 75-85 days during 2009
· Re-affirming target to reduce net debt by $10 billion by the end of 2009
Guidance for second quarter 2009:
· EBITDA expected to be between $1.2-1.5 billion.
Commenting, Mr. Lakshmi N. Mittal, Chairman and CEO, ArcelorMittal, said:
“Strong measures have been taken to reduce our cost considerably and liquidity remains healthy with
an extended debt maturity profile. Although market conditions remain challenging, a technical recovery
is inevitable and ArcelorMittal will benefit from this.
Commenting, Mr. Lakshmi N. Mittal, Chairman and CEO, ArcelorMittal, said:
“Strong measures have been taken to reduce our cost considerably and liquidity remains healthy with
an extended debt maturity profile. Although market conditions remain challenging, a technical recovery
is inevitable and ArcelorMittal will benefit from this.
No comments:
Post a Comment