EARNINGS

4th QUARTER OF 2019RELEASE

Sustainable House(Ouro Branco, MG)

Free

Cash

Flow

Working Capital and

Cash Conversion Cycle

FCF

Longer debt maturity profi le

Debt amortization schedule

Average debtcost 5.5%

Average debtterm 7.4 anos

INDEBTEDNESS

Debt Leverage and RatioR$ billion

EBITDA

Properties launches - SP

-13.4%

-38.6%

-13.2%

33.2%

18.4%

29.2%

4.1%

2014 2015 2016 2017 2018 2019 2020 e

Properties sales- SP

-31.0%

-13.6%-8.9%

20.0%

8.6%

22.5%

9%

2014 2015 2016 2017 2018 2019 2020 e

Source: Tendências

BRAZIL b u s i n e s s d i v i s i o n

3,4183,403

3,713

3,146

2,429

2,156

2,6992,881

2,944 3,158

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 e

Annual production of

heavy vehicles

Annual production of

light vehicles

SPECIAL STEEL BRAZIL

b u s i n e s s d i v i s i o n

Vehicles Productionthousand

3,633

3,8023,767

3,498

2,569

2,0512,240

2,566

2,787 3,050

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 e

Vehicles Salesthousand

Annual sale of

heavy vehicles

Annual sale of

light vehiclesSource:

Anfavea

m e t a l s p r e a d

NORTH AMERICAl o n g s t e e l

344351

502

443407

US$ per short ton

b u s i n e s s d i v i s i o n

17,500

17,800

17,100

17,000

16,800

16,400

16,600

16,900

17,00017,200

2015 2016 2017 2018 2019 2020 e 2021e 2022 e 2023 e 2024 e 2025 e 2026 e

Annual production

of light vehicles

SPECIAL STEEL NORTH AMERICA

b u s i n e s s d i v i s i o n

Light vehicle productionthousand

Source: IHS

Market

17,20017,300

Steel consumption should

accompany economic

growth

43.9 43.8

45.5

2018 2019 e 2020 e

SOUTH AMERICA

b u s i n e s s

d i v i s i o n

+3.8%Peru

+3.6%Colombia

-1.3%Argentina

South and Central America

PIB outlook

for 2020

Steel demand

(million of tonnes)

Source: Banco Central do Peru, FMI e Worldsteel

CAPEXR$ 7 billion

in 3 years

(R$ million)

*Estimated

Information

797

1,163 1,132

424

562 593 525

874 912 1,746

2,599 2,637

General

Maintenance

Ouro Branco

Maintenance

Technological

expansion and

update

Capacity Increase Location Value(R$ million)

Additional Capacity (1.000 tonnes)

Start-up date

Beams and Merchant Bar North America 456 530 2021

SBQ Pindamonhangaba-SP 532 400 2021

SBQ Monroe-Michigan 266 160 2020

2019 2020e 2021e

Mainly investments

on going

Sustainability

Creating value forcostumers

Operationalprofitability

Free Cash Flow

Digital Transformation

F U T U R E

SAVE THE DATE | MAY, 6EARNINGS

1st QUARTER OF 2020RELEASE

Sustainable house(Ouro Branco, MG)