ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
1
Developing the future.
Developing the future.
ThyssenKrupp – Diversified Industrial Group
FY 2013/14
ThyssenKrupp Group
Sales:
EBIT adj.*:
Employees:
€41.3 bn
€1,314 m
160,745
Components
Technology
Elevator
Technology
Industrial
Solutions
Materials
Services
Steel
Europe
Steel
Americas
Sales:
€6.2 bn
EBIT adj.*: €268 m
Empl.:
28,941
Sales:
€6.4 bn
EBIT adj.*: €674 m
Empl.:
50,282
Sales:
€6.3 bn
EBIT adj.*: €420 m
Empl.:
18,546
Sales:
€13.7 bn
EBIT adj.*: €212 m
Empl.:
30,289
Sales:
€8.9 bn
EBIT adj.*: €206 m
Empl.:
26,231
Sales:
€2.1 bn
EBIT adj.*:€(68) m
Empl.:
3,466
* pro forma, based on new EBIT definition effective Oct 1st, 2014
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
2
Developing the future.
Steel Europe: Strong Presence in More Resilient Markets
and Industries
Volume
Steel Europe
Competition
Flat steel market and share Steel Europe
Automotive
Duisburg
31 %
15 %
54 %
Special Vehicles
Engineering
27 %
250 km
Construction
17 %
56 %
500 km
> 500 km
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
3
Trucks
Appliances
Packaging
Customers
Flat Steel market 2013 in Europe,
market share Steel Europe;
Source: Eurofer/estimates TK SE
Energy
Developing the future.
Premium Flat Carbon Steels Made by ThyssenKrupp
Product Mix Steel Europe FY 2013/14
Ratio of load capacity to
operating weight increased to 8:1
For extreme demands on deep
drawing properties (0.07 mm)
in % of net revenues
Hot Strip
MediumWide Strip 9
Heavy 7
Plate
Tinplate
Tinplate
16
16
6
7
Cold Strip
Electrical
Steel
Heavy Plate
39
Coated Products
(HDG, EG, Color)
Thick hot strip
30 projects, >40 individual solutions
Green, cost-competitive, lightweight
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
4
In sour gas resistant grades
for pipelines
Developing the future.
Challenging Flat Carbon Steel Market in Europe – Slow Recovery Expected
HRC price, raw material basket and spread
€/t
* schematic model, i/o and hcc only, fob
Source: Platts, CRU, own calculations
million t
Source: Eurofer/estimates BCG (BiCR)
-23%
140
800
700
Flat carbon steel demand Europe
~2%/yr
120
HRC Germany
600
100
500
80
400
60
spread
300
40
200
100
0
2000
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
5
raw material basket *
2004
2008
2012 ’14
20
0
2004
2008
Developing the future.
2012
2020e
Program Geared to Achieve +ve TKVA Over the Cycle
Comprehensive
market &
competition
review
Costs
~ €600 m/yr
• structural adjustments
• operational improvements
• exit non-core activities
gross EBIT effects
by FY 2014/15
Mix
~ €150 m/yr
• expand attractive niches
• adjust Capex strategy
gross EBIT effects
by FY 2014/15
Differentiation
• innovation initiative
• time-to-market
• delivery performance
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
6
from
Developing the future.
to
capacities
customers
Solutions for Automotive Efficiency
Leveraging ThyssenKrupp Group Synergies
• By some distance biggest R&D project pursued by
ThyssenKrupp in recent years
• 30 projects with more than 40 individual solutions
• Green, cost-competitive, lightweight,
high-performing
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
7
Developing the future.
Costs
Mix
Differentiation
Driving Economic Weight Reduction
Cold forming
 Further development of
multi-phase steels
Hot forming
 New manganese-boron steels (MBW® 1900)
 Further development of tailored tempering
 Optimized properties
 Improved corrosion resistance
 Better surface quality
 Steel-polymer
sandwich material with
high bend and oil canning
resistance (cold forming)
 3-layer steel
sandwich material with
high energy absorption
capacity (hot forming)
Hybrid materials – Composites
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
8
Costs
Mix
Differentiation
Developing the future.
Costs
Mix
Differentiation
Reducing the Blind Spot
Status Quo
A-Pillar
Major Contribution to Accident Prevention by Boosting Field of Vision
Cost-Efficient Weight Reduction of up to 10%
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
9
Developing the future.
Comprehensive Cost & Differentiation Program Geared to
Sustainable Improvement of Profit and Cash Flow Profile
EBIT adj / EBITDA adj *
Costs
Mix
Differentiation
in € bn
Business Cash-Flow**
in € bn
historically with manageable volatility
sig +ve EBIT adj / BCF in upcycle
 -ve EBIT adj / BCF in downcycle
+ve TKVA over the cycle
in € bn
EBITDA
adj.
EBIT adj.
TKVA
“Best-in-Class Reloaded” program to
meet Group requirements and
tackle steel market challenges
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
10
* EBIT(DA) as reported until 2005/06
** FCF until 2010/11;
excl. –ve FCF Steel Americas projects
Developing the future.
ThyssenKrupp – Diversified Industrial Group
FY 2013/14
ThyssenKrupp Group
Sales:
EBIT adj.*:
Employees:
€41.3 bn
€1,314 m
160,745
Components
Technology
Elevator
Technology
Industrial
Solutions
Materials
Services
Steel
Europe
Steel
Americas
Sales:
€6.2 bn
EBIT adj.*: €268 m
Empl.:
28,941
Sales:
€6.4 bn
EBIT adj.*: €674 m
Empl.:
50,282
Sales:
€6.3 bn
EBIT adj.*: €420 m
Empl.:
18,546
Sales:
€13.7 bn
EBIT adj.*: €212 m
Empl.:
30,289
Sales:
€8.9 bn
EBIT adj.*: €206 m
Empl.:
26,231
Sales:
€2.1 bn
EBIT adj.*:€(68) m
Empl.:
3,466
* pro forma, based on new EBIT definition effective Oct 1st, 2014
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
11
Developing the future.
US Assets Divested And Forward Strategy TK CSA Defined
Current focus on operating improvements in Brazil
Exit TK Steel USA
slab sales TK CSA
in m t/yr
Sale to MT/NSSMY
Price: $1.55 bn
4.1
• stabilization &
continuous ramp-up
3.5
3.3
TKS USA
Alabama
• efficiency imprvmts
2.8
Shift in market focus TK CSA
Slab supply contract
• 2 mt/yr until Sep 2019
• @ [HRC MidWest minus]
• implement sales orga
and develop customer
base complementing
TK CSA
Brazil
• 40% load from slab
supply to Alabama
0.0
09/10
11/12
13/14
Mid-term solution outside of TK portfolio feasible
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
12
Developing the future.
Positive EBITDA Achieved in FY‘13/14, Cash Break-Even Targeted in FY’14/15
2010/11 2011/12
2012/13
2013/14
(0.2)
0.05
(0.1)
(0.7)
(0.5) (0.2)
in FY 2013/14
€ bn
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
13
2.5
2.0
1.5
1.0
assuming
no major headwinds
from F/X and
raw material spreads
(1.4)
(2.8)
during FY ‘14/15
Positive
EBITDA adj
(1.1) (0.5)
BRL/USD
3.5
3.0
BCF
~ break-even
(0.4)
(0.6)
2014/15E
2004
2006
2008
2010
2012
2014
seaborne raw material spread vs HRC US
Source: Platts, CRU, own calculations
Δ $600/t
Business Cash Flow
Capex
EBITDA adj
2004
2006
2008
Developing the future.
2010
2012
2014
Performance Improvements and De-Risking at Steel Businesses
with Significant Contribution to Value Upside of ThyssenKrupp Group
Strategic Way Forward
Change
Management

CT

ET
Performance
Orientation
return to previous margin levels (6-8%)
• performance measures
• ramp-up new plants in BIC
Customer &
Markets
Financial
Stability
sales growth  5% to €8 bn
• while maintain
stable EBIT margin of 6-7%


efficient corporate structure
central projects and initiatives
preparing next level of efficiency gains
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
14
Strategic
Push
return to previous margin levels
• performance measures
• specialization & processing
 AST/VDM: perform./attract. concept

MX
close margin gap to peers
• while leverage growth opportunities
• target: 15% I €1 bn (EBIT adj)

IS
Corp
People
Success

return to > wacc across the cycle
• BiC Reloaded:
efficiency & differentiation



continuous EBIT improvement
BCF ~break-even during FY 14/15
sustainable slab marketing concept
SE
AM
Developing the future.
Appendix
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
15
Developing the future.
Overview Business Area Steel Europe
Key Figures Steel Europe
2009/10 2010/11 2011/12 2012/13 2013/14
€m 10,770
12,814 10,992
9,620
8,857
Sales
Crude steel kt
Shipments kt
EBITDA
€m
EBIT
€m
€m
EBIT adj.
EBIT adj.* € m
Empl. (Sep 30)#
13,296
13,247
11,860
11,646
12,249
12,009
1,301
13,022
1,670
12,009
659
11,519
512
11,393
592
731
731
1,133
1,133
188
247
62
143
34,711
28,843
27,761
26,961
192
216
206
26,231
* pro forma after definition change
Product Mix Steel Europe FY 2013/14
Sales by Industry Steel Europe FY 2013/14
in % of net revenues
Hot Strip
16
Medium-wide
Strip
9
Heavy Plate
7
Cold Strip
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
16
Tinplate
16
6
7
39
Electrical
Steel
Coated Products
(HDG, EG, Color)
in % of net revenues
Others
Packaging
Mechanical
Engineering
Trade
13
Automotive industry
(incl. suppliers)
5
28
6
22
Developing the future.
26
Steel and steelrelated processing
Steel Europe – Q4 2013/14 Highlights
Order intake in €m
EBIT in €m; EBIT adj. margin in %
Shipments in 1,000 t
Ø rev/t indexed (Q1 2004/05=100)
123
2,274
121
117
119
118
EBIT adjusted
EBIT
4.6
62
2,430
2,177
2,178
3,109
2,036
2,839
2,580
2,858 2,847
42
1.8
28
Q4
Q3
Q4
Q4
2012/13
2013/14
2012/13
Strengthening differentiation:
Leveraging ThyssenKrupp Group synergies
Status Quo
Q3
2013/14
A-Pillar





1 of >40
solutions for sustainable automobile construction
cost-efficient weight reduction potentials of up to 10%
reduces the A-pillar “blind spot” by an incredible 34% !
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
17
Q4
Q4
2012/13
32
2.6
19
1.5
0.9
20
52
92
Q3
2013/14
28
Q4
Current trading conditions


103
Qoq lower EBIT adj. reflecting mainly lower production
volumes, less fixed cost dilution, higher maintenance & repair
costs related to BF#2 reline and further/complementary
Capex/maintenance & repair projects
Following delayed completion of modernization of continuous
caster #1, BF#2 was relit mid October
Expectation fiscal Q1 ’14/15: qoq higher EBIT adj. as relinerelated effects should largely fall away
Against background of inadequate selling prices and
earnings, focus remains on "Best-in-Class Reloaded“;
reduced weekly working hours for pay-scale employees has
become effective Oct 1st, 2014
Developing the future.
Steel Europe: Output, Shipments and Revenues per Metric Ton
Crude steel output (incl. share in HKM)
1,000 t/quarter
Shipments*: Hot-rolled and cold-rolled products 1,000 t/quarter
Cold-rolled
Hot-rolled; incl. slabs
HKM share
3,324
696
3,312
828
2,628 2,485
2,965
863
2,102
2009/10 2010/11 2011/12
3,418
3,119
2,986 3,097 2,941 3,146
863
2,622
822 2,567
833 857 859 786
611
843
2,555
2,296
2,241 2,082 2,360
2,010 2,153
1,725
Q1
Q2
Q3
Q4
Q1
2012/13
Fiscal year
Q2
Q3
Q4
3,002 3,256 3,002
2,046 2,126 1,977
957
3,058 3,093
2,529
1,130 1,026
1,684
845
2009/10 2010/11 2011/12 Q1
2013/14
Fiscal year
2,839
1,942 1,977 1,834
2,580
1,116 1,116 1,004
Q2
Q3
Q4
150
156 153
139
120
Q1 Q2 Q3 Q4
Q1 Q2 Q3 Q4
2007/08
2008/09
1,783
1,205 1,041 1,064
Q1
Q2
Q3
Q4
2013/14
Q1 2004/2005 = 100
122 116 120
Q1 Q2
129
Q3 Q4
2009/10
140 146
130 135
147
Q1 Q2
Q1 Q2 Q3 Q4
Q3 Q4
2010/11
136 138 136
135
126 127 123
Q1
Q2 Q3
2011/12
* shipments and average revenues per ton until FY 2007/08 relate to former Steel segment
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
18
947
1,904 1,817
2012/13
Average revenues per ton*, indexed
133 136 138
1,633
3,109 2,858 2,847
Developing the future.
2012/13
Q4
121 117 119 118
Q1
Q2
2013/14
Q3 Q4
Steel Europe: Despite Adverse Market Environment with
Positive EBIT and Cash-Flow Contribution
2012/13
2013/14
Q1
Q2
Q3
Q4
FY
Q1
Q2
Q3
Q4
FY
Order intake
€m
2,403
2,620
2,315
2,177
9,515
2,274
2,430
2,178
2,036
8,919
Sales
€m
2,253
2,512
2,562
2,293
9,620
2,074
2,389
2,228
2,166
8,857
EBITDA
€m
142
98
119
154
512
126
158
192
117
592
EBITDA adjusted
€m
142
118
166
146
572
126
168
205
121
620
EBIT
€m
29
(10)
14
28
62
20
52
92
28
192
EBIT adjusted
€m
€m
30
9
62
42
143
19
62
103
32
216
16
60
100
30
206
%
%
1.3
0.9
2.6
4.6
1.5
2.4
0.8
2.5
4.5
1.4
2.3
EBIT adjusted*
EBIT adj. margin
EBIT adj. margin*
0.4
2.4
1.8
1.5
(432)
(245)
TK Value Added
€m
Ø Capital Employed
€m
5,387
5,351
5,291
5,198
5,198
4,669
4,605
4,595
4,594
4,594
BCF
€m
15
97
173
(5)
280
182
59
(41)
140
340
CF from divestm.
€m
2
1
5
159
167
0
(3)
(4)
(20)
(27)
CF for investm.
€m
(94)
(105)
(74)
(136)
(408)
(91)
(63)
(95)
(155)
(404)
27,629
27,773
27,609
26,961
26,961
26,658
26,397
26,047
26,231
26,231
Employees
BCF (Business Cash Flow) = FCF before interest, tax and divestments = EBITDA +/- ∆ NWC – Capex +/- Other
* pro forma after definition change
However, significant improvements required to cover cost of capital
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
19
Developing the future.
Performance Program “BiC – reloaded” at Steel Europe
to Meet Group Requirements and Tackle Steel Market Challenges
Group Requirements
Steel Market Challenges
Market & Competition
Review
Strategic Way
Forward


Performance


Benchmarking
sustainable profitability
& positive BCF

positive TKVA
over the cycle

leading position vs
best in class peers
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
20
Production & Process
Review
Structural & operating adjustments needed
for viability of core upstream facilities
Closure or divestment of:
CRM / EGL / HDGL Neuwied
 1 HDGL Galmed, Spain
 1 OrgCL Duisburg
 1 EGL Dortmund
Increasingly difficult
trading conditions

high and volatile energy &
raw material prices

high economic
uncertainties

significantly reduced
consumption levels &
low growth esp.
in South-West-Europe



Costs
Mix
Differentiation

Restructuring GO Electrical Steel
~ €600 m/yr gross EBIT effects by FY 2014/15
from efficiency improvements
as contribution to impact 2015


incl. reduction of >2,000 FTEs
~ €150 m/yr gross EBIT effects by FY 2014/15
based on strategic mix development
Reinforce & secure existing strong competitive
position as premium flat carbon steel supplier
CRM = cold-rolling mill
EGL = electrolytic galvanizing line
HDGL = hot dip galvanizing line
OrgCL = organic coating line
GO ES = grain-oriented electrical steel
Developing the future.
Significant Improvement of Cost Position Achievable
Through Structural Adjustments and Operational Measures
Costs
Mix
Differentiation
Improvement vs FY 2011/12
Structural adjustments


Operational improvements
Closure or divestment of:

CRM / EGL / HDGL Neuwied

1 HDGL Galmed, Spain

1 OrgCL Duisburg

1 EGL Dortmund
Restructuring GO Electrical Steel

Raw materials

Maintenance

Production / material efficiency

Energy efficiency

Logistics

Procurement

G&A
~ €600 m/yr
gross EBIT effects
by FY 2014/15
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
21
Developing the future.
Stringent Portfolio Adjustments and Strategic Mix Improvements
Portfolio adjustments
Strategic mix development
in % of sales FY 11/12
Tailored
Blanks Construction
Elements
Hot Strip
15 7 2
Medium-wide
Tinplate
Strip
13
8
Heavy Plate 7
7
Cold Strip
targeted increase/reduction by detail segment
vs FY 2011/12
7 Electrical
Steel
34
expand
attractive
segments / grades
Coated Products
Adjust capex strategy:
example medium-wide strip


Upgrade of specialized mediumwide strip mill completed and
successfully ramped up
€30 m Capex to reinforce
leading position with further
improvmt of strip quality and
~25% capacity increase to
~1.3 m t/yr by 2015
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
22
Costs
Mix
Differentiation
~ €150 m/yr
gross EBIT effects
by FY 2014/15
TK medium-wide strip offers:
• extraordinary tight tolerances
similar to cold rolled strip
• superior surface quality
• uniform material properties
• optimum shaping properties
even in higher strength steels
• customized batch sizes

exit / reduce
less profitable
segments / grades
Developing the future.
Steadily Increasing and More Focused R&D Expenditures
to Reinforce Differentiation Strategy
Costs
Mix
Differentiation
R&D expenditure in € m
R&D ratio:
R&D costs/Sales
0.5%
0.5%
~0.8%
~0.9%
~ 1%
> 100
86
75
67
66
R&D
expenditures
FY
2010/11
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
23
11/12
12/13
13/14
Mid
term
Developing the future.
A Clear Strategic Way Forward for Business Area Steel Europe
Best-in-Class
Portfolio
optimization
Closed
 Tailored Blanks
 Construction
Asset closures
 Neuwied
 Galmed
 EBA 4
 BBA 1




Change
management



Top
management
structure
optimized
Performance
orientation



Leaner and
more efficient
organization

Structured
performance
program to
achieve ~€600 m
EBIT effect by
FY 2014/15
started


Financial
stabilization

Sustainable
profitability &
positive BCF

Diversify
productportfolio

Positive Ø TKVA
over the cycle

Reinforce
position as
large-scale,
premiumniches
player with
strong
customer
focus
Agreement
reached with
unions and
works council on
working hours
reduction –
faster efficiency
gains

ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
24
Strategic
offensive
Developing the future.
Steel Americas
2012/13
Q1
Q2
Q3
2013/14
FY
Q4
Q1
Q2
Q3
FY
Q4
Order intake
€m
560
509
496
491
2,056
609
574
412
620
2,215
Sales
€m
488
501
473
406
1,867
538
535
441
546
2,060
EBITDA
€m
(87)
(12)
(162)
(205)
(467)
29
143
33
(16)
188
EBITDA adjusted
€m
(87)
(12)
(162)
(106)
(368)
10
1
40
(4)
48
EBIT
€m
(122)
(44)
(193)
(821)
(1,180)
1
117
8
(54)
72
EBIT adjusted
€m
€m
(122)
(44)
(193)
(136)
(495)
(17)
(26)
16
(33)
(60)
(19)
(28)
14
(35)
(68)
%
%
n.a.
(3.2)
(4.9)
3.6
(6.0)
(2.9)
(3.5)
(5.2)
3.2
(6.4)
(3.3)
EBIT adjusted*
EBIT adj. margin
EBIT adj. margin*
n.a.
n.a.
n.a.
n.a.
(1,500)
(174)
TK Value Added
€m
Ø Capital Employed
€m
3,244
3,296
3,284
3,202
3,202
2,789
2,820
2,660
2,456
2,456
BCF
€m
(142)
(71)
(220)
(100)
(533)
(178)
(151)
84
64
(181)
CF from divestm.
€m
0
0
1
4
5
0
1,263
6
2
1,271
CF for investm.
€m
(52)
(42)
(28)
(48)
(170)
(22)
(33)
(3)
(31)
(89)
3,990
4,068
4,100
4,112
4,112
5,491
4,037
3,446
3,466
3,466
Employees
BCF (Business Cash Flow) = FCF before interest, tax and divestments = EBITDA +/- ∆ NWC – Capex +/- Other
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
25
Developing the future.
* pro forma after definition change
Steel Americas – Q4 2013/14 Highlights
Order intake in €m
Production & shipments in 1,000 t
EBIT in €m
986 998 987 1,071 1,054
609
620
16
Q4
2012/13
412
Q3 Q4
2013/14
1,130
936 923 1,034 1,046
Slab shipments
CSA
Q4
2012/13
Q3
2013/14
(26)
1
117
(33)
8
(54)
Q3
2013/14
Q4
Q4
2012/13
Q3
2013/14
Q4
Current
Currenttrading
tradingconditions
conditions
Sig. depreciation
of BRL vs. USD
3.0
3.0
2.5
2.5
2.0
2.0
1.5
1.5
1.0
1.0

(821)
(17)
(136)
Q4
2012/13
Q4
BRL : USD
05/06
EBIT
Slab production
CSA
574
491
EBIT adjusted
07/08
09/10
11/12
13/14

Qoq EBIT adj. down reflecting esp. a reimbursement
payment in Q3 (BF#2 damage in May 2013) and negative
translation effects related to R$-based sales tax assets in
Q4 which could not be compensated by higher shipments
and efficiency gains

Special items in Q3: €(12) m from updated valuation of a
long-term freight contract and €(9) m impairment charge
Similar to Q3 last FY, EBIT Q4’13/14 influenced by negative
translation effects related to R$-based sales tax assets
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
26
Developing the future.
Disclaimer ThyssenKrupp AG
“The information set forth and included in this presentation is not provided in connection with an offer or solicitation for the purchase
or sale of a security and is intended for informational purposes only.
This presentation contains forward-looking statements that are subject to risks and uncertainties. Statements contained herein that
are not statements of historical fact may be deemed to be forward-looking information. When we use words such as “plan,” “believe,”
“expect,” “anticipate,” “intend,” “estimate,” “may” or similar expressions, we are making forward-looking statements. You should not
rely on forward-looking statements because they are subject to a number of assumptions concerning future events, and are subject to
a number of uncertainties and other factors, many of which are outside of our control, that could cause actual results to differ
materially from those indicated. These factors include, but are not limited to, the following:
(i) market risks: principally economic price and volume developments,
(ii) dependence on performance of major customers and industries,
(iii) our level of debt, management of interest rate risk and hedging against commodity price risks;
(iv) costs associated with, and regulation relating to, our pension liabilities and healthcare measures,
(v) environmental protection and remediation of real estate and associated with rising standards for real estate environmental
protection,
(vi) volatility of steel prices and dependence on the automotive industry,
(vii) availability of raw materials;
(viii) inflation, interest rate levels and fluctuations in exchange rates;
(ix) general economic, political and business conditions and existing and future governmental regulation; and
(x) the effects of competition.
Please note that we disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new
information, future events or otherwise.”
ThyssenKrupp Equity Story
Steel Europe & Steel Americas
December 2014
27
Developing the future.