Mittal Steel Company

60 %
40 %
Information about Mittal Steel Company

Published on April 15, 2008

Author: xmatch

Source: slideshare.net

Description

A comparative introduction of Mittal Steel Company,
its competitive product line, strategies and financial stability.

Mittal Steel Company Our Philosophy, Our Values Est. 1976

Objective A comparative introduction of Mittal Steel Company, its competitive product line, strategies and financial stability Mittal Steel Company

Introduction Headquartered in Netherlands The world’s largest steel producing company Global presence in 18 countries with 260,000 workforce Highest revenue in the industry Tremendous acquisition momentum Product versatility in every segment Biggest “Direct Reduced Iron” (DRI) producer Strong clientele among 150 countries Mittal Steel Company

Headquartered in Netherlands

The world’s largest steel producing company

Global presence in 18 countries with 260,000 workforce

Highest revenue in the industry

Tremendous acquisition momentum

Product versatility in every segment

Biggest “Direct Reduced Iron” (DRI) producer

Strong clientele among 150 countries

Management Lakshmi Mittal, President and Chief Executive Officer Joseph Kinsch, Chairman of Board of Directors Aditya Mittal, CFO Finance & Strategy Board of Directors consists of 18 members three employee representatives three chosen by shareholders six nominated by Arcelor six nominated by Mittal Mittal Steel Company

Lakshmi Mittal, President and Chief Executive Officer

Joseph Kinsch, Chairman of Board of Directors

Aditya Mittal, CFO Finance & Strategy

Board of Directors consists of 18 members

three employee representatives

three chosen by shareholders

six nominated by Arcelor

six nominated by Mittal

Chief Executive Officer Lakshmi Mittal, Born in India (1950) Graduated in Arts from Calcutta Established first Facility in Philippines in 1976 Widely recognized for his leading role Executive positions in several companies # 1 richest person in Europe # 4 richest person in the world Personal fortune of US $45 Billion Mittal Steel Company

Lakshmi Mittal, Born in India (1950)

Graduated in Arts from Calcutta

Established first Facility in Philippines in 1976

Widely recognized for his leading role

Executive positions in several companies

# 1 richest person in Europe

# 4 richest person in the world

Personal fortune of US $45 Billion

Awards 2008 Padma Vibhushan, Second Highest Indian Civilian Honor 2007 Asian Business Award, Middle East 2007 Bessemer Gold Medal, Institute of Materials, Minerals & Mining 2006 Person of the Year – Financial Times 2004 European Businessman of the Year – Fortune Magazine 1998 Willy Korf Steel Vision Award – American Metal Market & PaineWeber’s World Steel Dynamics 1996 Steelmaker of the Year – New Steel Organization, USA Mittal Steel Company

2008 Padma Vibhushan, Second Highest Indian Civilian Honor

2007 Asian Business Award, Middle East

2007 Bessemer Gold Medal, Institute of Materials, Minerals & Mining

2006 Person of the Year – Financial Times

2004 European Businessman of the Year – Fortune Magazine

1998 Willy Korf Steel Vision Award – American Metal Market & PaineWeber’s World Steel Dynamics

1996 Steelmaker of the Year – New Steel Organization, USA

Global Presence Mittal Steel Company Cuba Mexico France Germany Romania South Africa Macedonia Poland Algeria HQ USA Canada Czech Republic Bosnia Italy Ukraine Kazakhstan Brazil

Employees by Global Regions (Numbers in Thousands) Mittal Steel Company Years 2003 2004 2006 2007 2008 Americas 11.2 10.4 9.7 24.3 35.6 Europe 4.7 41.8 79.3 128.2 130.4 Asia & Africa 64.3 64.1 75.4 71.8 90.8 Total 80.2 116.3 164.4 224.3 256.8

Facts & Figures Mittal Steel Company Income Statement (Numbers in Millions)

Shareholders Mittal Steel Company As of December 31, 2007, authorized common shares were consisted of 1,470,000,000 shares, while 1,448,826,347 common shares were issued and 1,421,570,646 shares were outstanding. Stock Exchange Symbol: MT Stock Exchanges (2007) New York $ Amsterdam € Paris € High Low High Low High Low First Quarter 54.35 39.59 41.03 30.02 41.03 30.02 Second Quarter 66.90 52.41 50.08 38.15 50.08 38.15 Third Quarter 79.24 51.18 55.80 37.55 55.80 37.54 Fourth Quarter 83.88 67.68 58.26 45.67 58.25 45.70 Average 71.09 52.72 51.29 37.85 51.29 37.85 Current (Saturday)   85.33   53.37   53.30

Global Steel Market Consumption is highly cyclical Annual consumption growth of 1-2% in the developed countries Slow growth in the major markets Construction Automobiles Mechanical engineering Annual consumption growth in China of >13% Representing 25% of world market Primary advantage is steel’s low cost Competition from substitute materials Aluminium Plastics Mittal Steel Company

Consumption is highly cyclical

Annual consumption growth of 1-2% in the developed countries

Slow growth in the major markets

Construction

Automobiles

Mechanical engineering

Annual consumption growth in China of >13%

Representing 25% of world market

Primary advantage is steel’s low cost

Competition from substitute materials

Aluminium

Plastics

Shipment by Countries (Numbers in Thousands of shot Tons) Mittal Steel Company

Steel Producers’ Ranking (Numbers in Million Metric Tons) Mittal Steel Company

Business Strategy Pursuit of constant restructuring and cost-cutting Moving away from commodity steel production Specialization Higher value added production Growth strategies Growing market required Sufficient cost advantage New technologies Changing mindsets from regional to global Mergers resulting in major industrial rationalisation Mittal Steel Company

Pursuit of constant restructuring and cost-cutting

Moving away from commodity steel production

Specialization

Higher value added production

Growth strategies

Growing market required

Sufficient cost advantage

New technologies

Changing mindsets from regional to global

Mergers resulting in major industrial rationalisation

Cost Reduction Strategy To maintain our position in the lowest cost quartile Initiatives aimed at cost reduction, through: Operating efficiency improvements Raw materials & procurement initiatives Increased labor productivity Newcastle PCI project Mittal Steel Company

To maintain our position in the lowest cost quartile

Initiatives aimed at cost reduction, through:

Operating efficiency improvements

Raw materials & procurement initiatives

Increased labor productivity

Newcastle PCI project

Conclusion Our strategy is aimed at creating value through the steel cycle Improving our operating capabilities Improving our cost competitiveness Growth through optimal capital expenditure Focusing on global marketing efforts Creating an a high performance culture Be a responsible corporate citizen Mittal Steel Company

Our strategy is aimed at creating value through the steel cycle

Improving our operating capabilities

Improving our cost competitiveness

Growth through optimal capital expenditure

Focusing on global marketing efforts

Creating an a high performance culture

Be a responsible corporate citizen

Athar Hussain Kings Graduate College of Business New York, USA Presented By Answers Questions &

Add a comment

Related presentations

Related pages

Mittal Steel Company – Wikipedia

Mittal Steel Company N.V. Rechtsform: Naamloze Vennootschap: Gründung: 1989: Sitz: Rotterdam, Niederlande: Leitung: Lakshmi Mittal (CEO) Mitarbeiter: 320 ...
Read more

Home – ArcelorMittal

ArcelorMittal is the world's leading integrated steel and mining company. Guided by a philosophy to produce safe, sustainable steel, it is the leading ...
Read more

Mittal Steel Company - Wikipedia, the free encyclopedia

Mittal Steel Company N.V. was one of the world's largest steel producers by volume, and also one of the largest in turnover. The company is now ...
Read more

ArcelorMittal USA

ArcelorMittal USA is part of ArcelorMittal, the world’s leading steel and mining company. Guided by a philosophy to produce safe, sustainable steel, we ...
Read more

Mittal Corp Ltd - Manufacture of stainless steel rods ...

Mittal Corp Limited (MCL), an ISO 9001:2008 and ISO 14001:2004 certified organization, the flagship company of the group, is an established manufacturer of ...
Read more

ArcelorMittal – Wikipedia

ArcelorMittal ist ein transnationaler Stahlkonzern, der 2007 aus der niederländischen Mittal Steel Company und dem luxemburgischen Konzern Arcelor hervorging.
Read more

ArcelorMittal South Africa

ArcelorMittal South Africa has 5 main operations ie Vanderbijlpark Works, ... Our company; Vision, ... Long Steel Products; Saldanha Works;
Read more

MT: Summary for Arcelor Mittal NY Registry Shar- Yahoo ...

View the basic MT stock chart on Yahoo! Finance. Change the date range, chart type and compare Arcelor Mittal NY Registry Shar against other companies.
Read more

Lakshmi Mittal - Forbes

Steel baron Lakshmi Mittal, once India's richest person, slipped in the rankings as his ArcelorMittal, the world's biggest steelmaker, got hit by falling ...
Read more

The world’s leading steelmaker – ArcelorMittal

ArcelorMittal is the world’s leading steel company, with an annual achievable production capacity of around 114 million tonnes
Read more