Sandvik Steel

(1) KI-99009 ENG

! Sales about SEK 40 000 M Sales about SEK 40 000 M Sales about SEK 40 000 M Sales about SEK 40 000 M

! 34 000 employees 34 000 employees 34 000 employees 34 000 employees

! 300 companies in 130 countries 300 companies in 130 countries 300 companies in 130 countries 300 companies in 130 countries

! Products with high R&D and added value Products with high R&D and added value Products with high R&D and added value Products with high R&D and added value

! Global leader in selected niches Global leader in selected niches Global leader in selected niches Global leader in selected niches

! Chairman of the Board: Percy Chairman of the Board: Percy Chairman of the Board: Percy Chairman of the Board: Percy BarnevikBarnevikBarnevikBarnevik

! President and CEO: President and CEO: President and CEO: President and CEO: Clas Åke HedströmClas Åke HedströmClas Åke HedströmClas Åke Hedström

Sandvik Steel

(2) KI-99010

SANDVIK

186218621999

Sandvik Steel

(3) KI-99011-B ENG

SANDVIK ABBoard of Directors

Group Executive Management

Group Staffs

Business Areas

Sandvik Tooling

Sandvik Coromant

Sandvik CTT

Sandvik Hard Materials

Sandvik Tamrock

VA- Eimco

Driltech Mission

Roxon

SandvikMining and Construction Sandvik Specialty Steels

Sandvik Steel

Kanthal

Sandvik Process Systems

Sandvik International

Sandvik South East Asia

Sandvik Latin America

Sandvik Information Systems

Sandvik Service

Other Group Companies

Associated Companies

Separate Business Units Regional Companies Service Companies

Sandvik Steel

Sandvik Specialty Steels

Invoicing, SEK M 13 000

Number of employees 9 500

Sandvik Steel:Tube, strip, wire and bar in stainlesssteels and special alloys

Kanthal:Electric resistance heating materialsand heating elements for industrialfurnaces and household appliances

Sandvik Process Systems:Develops, manufactures and markets steel belts and process plants based on steel-belt technology

Sandvik Steel

Sandvik Steel product rangeOwn produced products:! Billets! Bar and hollow bar! Rock drill steel! Seamless tubes! Electro-polished products! Strip steel! Wire and profiles! Welding products

Complementary products:! Welded tubes! Fittings and flanges! Sheet and plate

The products are made of stainless andhigh-alloy steels and of special alloys basedon nickel, titanium and zirconium.

Sandvik Steel

Main strategy

Being a globally leading supplier in selected market niches

Customer strategy element:! Delivering values to customers who appreciate long-term

relationships, quality and innovative workInternal strategy elements:

! Distributing own and complementary products quickly andcost-efficiently through our sales network

! Producing high value added products based on ownmetallurgy

! Developing products, new grades or new product forms, inclose co-operation with key customers

Sandvik Steel

Manufacturing unit

Sales company

Agent

SG7003/97

Sandvik Steel around the world

Sandvik Steel

Sandvik Steel in Sandviken

Sandvik Steel

Electric Arc Furnace

! Melting of scrap andalloys

! Heat weight: 75tonnes

! Tap to tap time: 2 h! Tapping temperature:

abt. 1650 C

Sandvik Steel

AOD Converter

! Argon OxygenDecarburization

! Steel refining andalloy adjustments

! Heat weight: 75 tonnes! Tap to tap time: 1 - 2 h

Sandvik Steel

Ladle Furnace

! Temperature controland homogenisation

! Deoxidation! Final alloy adjustments! Heat weight: 75 tonnes

Sandvik Steel

Continuous Casting

! 3 strands, sizes: 365x265,265x265 mm

! Casting speed:max 1.20 m/min

! Electromagnetic strandstirring, SEMS

! Electromagnetic finalstirring, FEMS

Sandvik Steel

0 25 50 75 100

Raw materials Value added

Employees per Index Sandvik Steel 100tonne Stainless industry typical 25

Sales price per Index Sandvik Steel 100tonne Stainless industry typical 40

Mini-millCarbon Steel

IntegratedSteel Mill

ConstructionSteel Producer

Tool SteelProducer

StainlessFlat Producer

SandvikSteel

Products with high value added

Sandvik Steel

Quality policy! THE OBJECTIVE

To be the customer´spreferred supplier by meetingor exceeding external andinternal customer´s demandsand expectations concerningall products and relatedservices

! THE MEANSA commitment of allemployees to achievecontinuous improvement andto understand the demandsand expectations.

Sandvik Steel

Quality Assurance! Sandvik Steel has a quality

system approved, byaccredited third party, toISO9001/ EN 29001, validfor all products.

! The system is alsoapproved to otherinternationally recognisedstandards, for particularlydemanding applications.

! Copies of certificates areprovided on request.

! Sandvik is a registeredtrade mark owned bySandvik AB

Sandvik Steel

R&D resources

! Scandinavia’s largest R&Dfacilities for steel productand process development

! Some 250 employees inSandviken dedicated toR&D" 120 in product research" 85 with MSc or higher

Sandvik Steel

Basic R&D conditions! Long product life cycle times

" 5 - 50 years

! Conservative end-users due to high risks" Stand still costs" Environmental aspects" High capital investments

! Long development times" Extensive field testing required" Long laboratory testing times

Sandvik Steel

Welding productsFor welding of stainless steels and nickel alloys

! Wire and strip electrodes! Welding wire/rods and covered

electrodes! Flux cored electrodes! Core wire for covered electrodes! Fluxes and pickling paste

Sandvik Steel

Wire and profiles! Stainless steel wire 0.10-13.0 mm! Flat rolled precision wire

" width 0.5-7.0 mm" thickness 0.05-4.0 mm

! Straightened wire in lengths up to 4 m! Profiles

" width 0.5-21.5 mm" thickness 0.5-8.0 mm

! Applications:spring wire, precision wire, free cutting steels, coldheading wire, spoke wire, welding wire

Sandvik Steel

Sandvik Steel as your partner! Close relations with key customers around the world

! Goodwill and confidence in the Sandvik name andproducts upheld

! Products easily and quickly available world-wide

! Commercial and technical service used to gainpreferred supplier status