arcelor mittal-why to invest

GOOD MORNING

One thing is common in all these pictures

YES STEEL

Company –arcelor mittal

WHY TO INVEST IN ARCELOR MITTAL?

Arcelor mittal-company profile

Founded in 2006.World largest steel company.Leader in steel, flat steel product, stainless

steel, wire solution ,platePresence in 60 countryRank 28th in fortune 500 global list

Contd….

More than 3,25000 employee worldwideTotal asset more than US$133.1 billion in 2008Total revenue US$124.9 billionOperating income US$12.24 billionTotal profit US$9.399 billion

HistoryFounded in 1976 as a mittal steel.Chosen Acquisitions as a main growth strategyIn 1992 acquired ispat mexina .In 2004 achieved the 70mn ton steel

production targetShocked the world by merging world no. 1 and

no.2 company

Acquisitions1989-iron & steel co. in Trinidad & tobacco1992-acquisition of sibalsa1993-Acquisition of dosco1998-acquisition of inland steel1999-acquisition of unimetel2001-acquisition of sidex2004-acquisition of poski stali

KEY PERSON

L N MITTAL“ Everyone experiences tough times, it is a measure of

your determination and dedication how you deal with them and how you can come through them”

known as a merger king in the worldWorld eighths richest person.Given the open offer to the investor of arcelor after

the refusal of board .He pioneered the development of integrated mini-

mills and the use of Direct Reduced Iron

AwardsRanked one the most powerful person in the

world by time magazine in 2007.Person of the year in 2006 by financial times.European business man of the year by fortune

magazine in 2004.Steel maker of the year in 1996 by new steel.

GROWTH

2004 2005 2006 2007 20085400

5600

5800

6000

6200

6400

6600

6800

7000

7200

7400

6355.91

6085.32

6949.92

7170.89

6861.67

ANNUL TURNOVER(2004-2008)

PROFIT AFTER TEX(2004-08)

2004 2005 2006 2007 20080

200

400

600

800

1000

1200

1400

1600

1374.52

-109.14

207.01

417.91

757.41

competitorsTATA STEELUNITED STATES STEELJFK HOLDINGPOSCO

Performance in 2008

Revenue US$124.9bnTotal asset US$133.1bnTotal equity US$59.23bnTotal profit US$9.399bnTotal operating income US$12.24bn

Performance in 2009(Q1)

Net loss US$1.1bnNet debt US$26.7bnOperating loss US$0.36bn

Coping with recessionTemporary production cuts-in-line with

reduced demandUS$6bn temporary fixed cost reductionReaffirming target to reduce net debtReiterating working capital rotation

EXPECTED MARKED SITUATIONRising demand from china and India2012 London Olympic ,huge demand of steelIncreasing demand from AmericaExpected growth rate 6.5%China $585bn stimulus package for

infrastructure.

So, this is the right time to invest.

Feel free to ask questions

Presented BY:-

RAJESH KUMAR