3.8.2011
3 August 2011 - EVRAZ Group (LSE: EVR) ("EVRAZ" or the "Company") announces today that it is increasing its EBITDA guidance for 2Q 2011 to US$875-950 million from a previously announced guidance range of US$750-825 million.
The increase in guidance reflects higher than expected steel prices, a later than expected increase in the cost of iron ore and scrap and the postponement of certain repairs until 3Q 2011.
According to the management accounts, EVRAZ's total debt as of 30 June 2011 was approximately US$7.4 billion and cash and cash equivalents amounted to approximately US$1.1 billion. Consequently, net debt amounted to approximately US$6.3 billion.
As a result, the net debt/LTM EBITDA ratio as of 30 June 2011 is expected to be in the range of
2.18-2.25x (as 2H 2010 EBITDA was US$1,196 million), which is below the threshold imposed by debt covenants and gives the Company greater flexibility in the execution of its strategic plans.
EVRAZ is also announcing today that it is considering listing alternatives to its existing GDR programme. In order to support this process, 1H 2011 financial results are being audited and are expected to be published on or around 12 October 2011.
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For further information:
Media contact:
Oleg Kuzmin
VP, Corporate Communications
+7 495 937 6871
media@evraz.com
Investor contact:
Alexander Boreyko
Director, Investor Relations
+7 495 232 1370
ir@evraz.com
EVRAZ GROUP S.A. (EVRAZ) is a vertically-integrated steel, mining and vanadium business with
operations in the Russian Federation, Ukraine, USA, Canada, Czech Republic, Italy and South Africa. In 2010, the Company produced 16.3 million tonnes of crude steel and sold 15.5 million tonnes of steel rolád products. EVRAZ's internal consumption of iron ore and coking coal is covered by its mining operations. EVRAZ's consolidated revenues for the year ended 31 December 2010 were US$13,394 million and consolidated adjusted EBITDA amounted to US$2,350 million.
