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Ilyich Iron and Steel Works

Metinvest becomes one of the priority sales channels for Moldavian Steel Works

31 May 2011 // Press centre Metinvest Group

Starting the end of May 2011, Metinvest, a vertically integrated group of metals and mining companies, will commence sales of products from Moldavian Steel Works (MMZ). Nearly 33,000 tonnes of products will be shipped for Metinvest during the first month of production. Long rolled steel will be sold in Ukrainian market through the retail network of service metal centers of Metinvest SMC, LLC and the wholesale trade channel - Metinvest Ukraine - as well as to export markets through Metinvest Eurasia & Metinvest-International.

Continuous expansion of the product range is the evidence of Metinvest’s prioritizing the client focus. By adding the rebars from MMZ, Metinvest will be able to offer the full range of rebars product line, and premium-quality wire rod.

MMZ products will be made available in the markets of Ukraine, CIS countries, the Russian Federation, as well as in the traditional export markets of the Company. For the first month alone Metinvest is planning to sell over 7 Ktonnes of MMZ products in the domestic market, around 14 Ktonnes in the market of Russia, and around 12.5 Ktonnes in the foreign markets.

«One of the strategic objectives of Metinvest is to become a preferable steel products supplier. Partnership with Moldavian Steel Works envisages not only expansion of the product range available in our sales channels, but also an opportunity to provide our clients with high-quality certified products» - notes Dmitriy Nikolayenko, Sales Director of Metinvest’s Steel and Rolled Products Division.

Editorial note:

Sales Service of Metinvest's Steel and rolled products division comprises of the following sales channels: Metinvest International SA — export of steel products outside Ukraine and to CIS, Metinvest SMC – sales of steel products through service metal centers in Ukraine and South-East Europe, Metinvest Eurasia - export of steel product to Russia, Metinvest Ukraine – sales of commercial steel product in Ukraine and export to CIS countries in batches from 65 tons and more.

Metinvest SMC (network of service metal centers) -retail sales channel of the Sales Organization, Steel Division, Metinvest Group in Ukraine and Eastern Europe. The Company is dealing with sales of Metinvest Group products as well as of other Ukrainian and CIS enterprises. Presently, Metinvest SMC network includes 12 metal centers in Kiev, Donetsk, Dnepropetrovsk, Kharkov, Kremenchug, Krivoy Rog, Mariupol, Nikolayev, Odessa, Sevastopol, Simferopol. The range of products comprises of more than 900 items.

Metinvest Ukraine, LLC is the wholesale sales channel of the Sales Organization in the Steel and Rolled Products Division of Metinvest Group. The Company sells products under the brand of МЕТINVEST® at the markets of Ukraine and CIS countries in batches from 65 t and over. Major customers of Metinvest Ukraine are represented by leading companies in following branches: heavy engineering, shipbuilding, car-building, mining and steelmaking, hardware production and coal mining as well as national railways in Ukraine and CIS. Metinvest Ukraine, LLC is the largest steel trader in Ukraine and CIS with sales volumes exceeding 1 million tons per year.

Metinvest is an international vertically integrated mining and metallurgical group of companies, Production facilities of Metinvest Group enterprises allow both to satisfy own demand in raw materials, liquid steel and semi-finished products and to be key supplier for major Ukrainian and European companies as well as Asian companies, The shareholders of Metinvest Group are SCM Group (75%) and Smart Holding (25%) that take part in management of Metinvest Group on partnership basis.

Metinvest Holding is the managing company of Metinvest Group.

Moldavskiy Iron and Steel Works was commissioned in January 1985. Since then, the mill has demonstrated consistent and successful activities for meeting constantly growing requirements of international markets. Rated capacity was 684,000 tpy in terms of steel and 500,000 tpy in terms of finished product. The Mill’s activities are aimed at the satisfaction of needs and services of steel product consumers based on effective management, high engineering potential and responsible work of qualified personnel.