BLUESCOPE STEEL BUSINESS SEGMENTS

AUSTRALIA
Hot Rolled Products

Australia
Coated and Building Products

NEW ZEALAND AND PACIFIC ISLANDS
New Zealand AND PACIFIC STEEL PRODUCTS

KEY CUSTOMERS - Engineering, construction, mining and manufacturing industries and export customers who
re-roll our steel.

KEY CUSTOMERS - General manufacturers, building, construction, automotive and packaging industries.

KEY CUSTOMERS - Building and construction industry, rollformers and manufacturing industries.

• Higher raw material prices, lower international prices for slab and hot rolled coil, and unfavourable domestic/export mix led to reduced revenue and earnings
• Achieved record annual production for raw steel (5.283 mt) and hot rolled coil (2.556 mt)
• 400,000 tonne hot strip mill expansion completed on schedule
• World-class operational efficiency maintained, with increased sales volumes and despatches, best-ever delivery performance, reduced inventories and lower unit costs

• Reduced domestic demand, lower export prices, higher zinc and aluminium coating metal costs and the Western Port fire contributed to a difficult year
• Export volumes were lower due to the effect of the Western Port fire on production volumes
• Announced decision to close tin mill operations due to continued lower demand for tinplate packaging products
• New paint line and metal coating line production levels set at Illawarra Coated Products
• Western Port achieved highest levels of domestic and export despatches since 1996 in the last quarter
• BlueScope Lysaght opened new Sunshine Coast Service Centre and purlin mill in Brisbane

• Weaker demand in domestic residential market, reduced export volumes, lower prices in international markets and higher electricity costs and higher coal and coating metal costs led to weaker financial performance
• Second-best year ever, despite lower sales and earnings
• Production affected by coal supply shortage, extended kiln shutdowns for maintenance and one-off power failure
• Achieved record export revenues of Taharoa iron sands

Asia
Coated and Building ProductS

North America
HOT ROLLED PRODUCTS

North America
Coated and Building Products

KEY CUSTOMERS - Building and construction industry and general manufacturers.

KEY CUSTOMERS - Coil processors, cold roll strip producers, original equipment manufactures, steel pipe and tube Industry and steel service centres.

KEY CUSTOMERS - Consumers of
pre-engineered buildings (PEB) and aluminium and glass architectural products.

• Disappointing financial performance, due to a number of short-term factors
• Increased sales revenue was the result of higher sales volumes from the Vietnam and Thailand metal coating developments
• Lower domestic demand in Malaysia and China, higher zinc and aluminium coating metal costs, higher unit costs, lower domestic and export prices contributed to the fall in revenue
• Signed 50/50 joint venture with Tata Steel in India, and created Tata BlueScope Steel
• Second metallic coating line at Map Ta Phut in Thailand commenced operations, increasing capacity by 200,000 tonnes
• First combined BUTLER™ PEB and LYSAGHT™ facility was completed in Guangzhou, China

• Increased sales revenue was derived from higher inter-segment export sales from Australia to North America and Europe, although lower prices affected the result
• Lower earnings contribution from North Star BlueScope Steel was the result of declining hot rolled coil to scrap price spread in North America
• North Star BlueScope Steel achieved record annual raw steel production of 1.92 million tonnes
• North Star BlueScope Steel voted number one flat rolled steel supplier in North America for the fourth consecutive year in Jacobson survey of steel customers
• Castrip LLC Crawfordsville plant now operating 24/7 with significantly improved quality and productivity

• Higher volumes, improved margins and higher prices contributed to increased earnings and revenue
• Strongest shipment and profit performance since 2001
• Butler Buildings attracted new customers, was awarded major contracts, and made significant improvements in manufacturing capability including completing the new specialty product plant at Jackson, Tennessee.
• Vistawall increased extrusion capacity with completion of Tennessee plant expansion
• New Vistawall Service Centre opened in Charlotte, North Carolina