core sector communique

ArcelorMittal reports third quarter 2011results 

Luxembourg, November 3, 2011 - ArcelorMittal (referred to as "ArcelorMittal" or the "Company") (MT (New York, Amsterdam, Paris, Brussels, Luxembourg), MTS (Madrid)), the world's leading steel company, today announced results [1] for the three and nine month periods ended September 30, 2011.

Highlights:

• Health & Safety lost time injury frequency rate [2] remained constant at 1.5x in 3Q 2011
• 3Q 2011 EBITDA [3] increased by 11.4% to $2.4 billion compared to Q3 2010; EBITDA of $8.4 billion for first nine months 2011, 25.9% higher than first nine months 2010
• 3Q 2011 steel shipments of 21.1 Mt, 2.7% higher than 3Q 2010
• 3Q 2011 EBITDA per tonne of $114, 8.3% higher than 3Q 2010
• 3Q 2011 own iron ore production of 14.1 Mt, up 8.4% y-o-y; 6.7 Mt market price [4] iron ore shipped (up 9.6% y-o-y)
• Net debt [5] at September 30, 2011 of $24.9 billion as compared to $25.0 billion at June 30, 2011

Performance and industrial plan:

• $3.8 billion of annualized sustainable cost reduction achieved by the end of Q3 2011; on track to reach $4.8 billion by end of 2012
• New $1 billion asset optimization plan launched to generate sustainable EBITDA improvement; intention to close 2 blast furnaces, sinter plant, steel shop and continuous casters in Liege, Belgium [6]
• Liberia iron ore phase 1 complete, with 2011 targeted production of 1 million metric tonnes, increasing to 4 million tonnes in 2012; phase 2 expansion to 15 million metric tonnes is in final decision phase
• ArcelorMittal Mines Canada expansion project on track to increase iron ore capacity from 16 Mt to 24 Mt by 2013

Outlook and guidance:

• EBITDA for 2H 2011 is expected to be above the comparable period of 2010
• Steel shipments in 4Q 2011 are expected to be lower than 3Q 2011 levels reflecting customers' "wait and see" approach
• On track to increase FY 2011 own iron ore and coal production by 10% and 20%, respectively, as compared to 2010
• Net debt at year-end is expected to be higher than 3Q 2011 levels primarily due to the temporary investment in Macarthur
• Focus on core growth capex; full year 2011 capex therefore is expected to be below previous target of $5.5 billion

"Despite weakening economic conditions, ArcelorMittal has reported EBITDA within the forecasted range. Uncertainties around the economic outlook have increased in recent weeks, impacting the confidence levels of our customers, so as we move in to the 4Q we are facing both volume and price pressures. However, our core profitability is resilient, supported by our growing mining business, our market leading value-added steel franchise and our management gains programs. As a result I remain confident that the Group's EBITDA in the second half of 2011 will be above that of the second half of 2010".

About ArcelorMittal

ArcelorMittal is the world's leading integrated steel and mining company, with a presence in more than 60 countries.
ArcelorMittal is the leader in all major global carbon steel markets, including automotive, construction, household appliances and packaging, with leading R&D and technology. The Group also has a world class mining business with a global portfolio of over 20 mines in operation and development, and is the world's 4th largest iron ore producer. With operations in over 22 countries spanning four continents, the Company covers all of the key industrial markets, from emerging to mature, and has outstanding distribution networks.
Through its core values of sustainability, quality and leadership, ArcelorMittal commits to operating in a responsible way with respect to the health, safety and well-being of its employees, contractors and the communities in which it operates. It is also committed to the sustainable management of the environment. It takes a leading role in the industry's efforts to develop breakthrough steelmaking technologies and is actively researching and developing steel-based technologies and solutions that contribute to combat climate change. ArcelorMittal is a member of the FTSE4Good Index and the Dow Jones Sustainability World Index.
In 2010, ArcelorMittal had revenues of $78.0 billion and crude steel production of 90.6 million tonnes, representing approximately 6 percent of world steel output. The Group's mining operations produced 47 million tonnes of iron ore and 7 million tonnes of metallurgical coal.
ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam (MT), Paris (MT), Brussels (MT), Luxembourg (MT) and on the Spanish stock exchanges of Barcelona, Bilbao, Madrid and Valencia (MTS).