May 16, 2008

Schmolz+ Bickenbach AG revenue in 2007 up by 50% YoY

Schmolz+Bickenbach AG last week announced that the adopted strategy of alignment to the production, processing and distribution of high grade steel products is successful. In 2007, despite the drastic price fluctuations in some raw material prices, it has achieved record net income.

SCHMOLZ+BICKENBACH AG said that increased sales volumes, higher revenues due to alloy prices and an expanded scope of the consolidation produced strong growth in net sales income compared to 2006.

2007 result highlights are
1. Group revenue rose to EUR 4,246.9 million as compared to EUR 2,831.5 million in 2006.
2. EBITDA increased to EUR 416.0 million from EUR 291.6 in 2006.
3. Operating profit was EUR 327.7 million from EUR 227.0 million in 2006.
4. Group net income rose to EUR 184.3 million as compared to EUR 144.6 million in 2006.

Schmolz+Bickenbach AG said that again in 2007, important acquisition projects were completed that add further strength to our market position for high grade steels in the international markets. Through the integration of A. Finkl & Sons Group, Chicago, with steelworks and processing plants in the USA and Canada, we have become the world market leader for tool steels. It added that the acquisition of the Swedish company Boxholm Stal AB reinforces our position for bright steels in Scandinavia and the Baltic States. There were also various acquisitions and new establishments of distribution companies in European countries.