December 03, 2008

ArcelorMittal announces new investments at Gandrange

ArcelorMittal announced a range of new investments at its Gandrange site in the Lorraine region of France and a number of other initiatives aimed at reinforcing its commitment to France and has guaranteed a job for every employee affected by the project at the Group’s operations for instance in nearby Florange or Luxembourg.

Following a meeting held with the Workers Council on April 4th 2008, ArcelorMittal is pursuing the information and consultation process with the unions regarding the specialization of its Gandrange site as a rolling mill in order to secure a sustainable and viable future for the operation, which has been consistently loss-making despite continuous investment.

ArcelorMittal also announced that it intends to develop a number of downstream facilities on the site to complement its rolling mill activities and ensure the sustainability of its operations in the region. These investments, which will require a total investment of EUR 30 million and will create 124 new FTE, are as follows:
1. The creation of a Service Centre in Gandrange for the construction Industry;
2. The development of a Distribution Processing centre for Beams, involving two new processing lines;
3. The development of a Solar Panels Project, to develop solar technologies;
4. The building of a new R&D facility for Wire Solutions; and
5. Investment in the existing rolling mill.

ArcelorMittal is also considering setting up a new Technical Education Centre for the Lorraine region. Over the next ten years, approximately one third of its industrial workforce in France will retire. The existing system is unlikely to deliver enough qualified people to fill these roles. The Technical Education Centre will require a EUR 5 million initial investment, to provide the facilities and technical equipment necessary for the education of up to 120 students. Training would last for two years and would include part time employment with ArcelorMittal. Upon graduation, students would be employed by either ArcelorMittal or its subcontractors.

ArcelorMittal will also continue to look for other opportunities to expand its activities in Gandrange.