SOURCE: Arcelor SA

July 07, 2006 12:55 ET

Arcelor SA announces Mittal Steel Revised Offer

Luxembourg -- (MARKET WIRE) -- July 7, 2006 --

Press release

Arcelor Publishes Recommendation of Mittal Steel Revised Offer

Luxembourg, 7 July 2006 - Consistent with its decision of June 25, Arcelor published today a recommendation by its Board of Directors to tender Arcelor ordinary shares and convertible bonds into Mittal Steel's revised offer. The recommendation was issued following publication of Mittal Steel's revised offer on July 5. It is available from the Company's website www.arcelor.com under Investors Relations/News.

Among other considerations, the Board noted that revisions to Mittal Steel's offer provide higher value, better corporate governance and an improved industrial project for the combined group and Arcelor shareholders.

The Board received a fairness opinion from Morgan Stanley & Co. Limited in connection with the revised offer for Arcelor ordinary shares. The conclusion of the opinion is as follows: "Based on and subject to the foregoing, we are of the opinion on the date hereof that the offer consideration is fair from a financial point of view to holders of Arcelor ordinary shares." Morgan Stanley & Co. Limited's opinion is addressed to the Board of Directors of Arcelor and may be used solely in connection with and for the purpose of its evaluation of Mittal Steel's offer. It is not addressed to and may not be relied upon by any third party, including for the avoidance of doubt any holder of Arcelor ordinary shares".

About Arcelor

Arcelor is the number one steel company in the world with a turnover of 32.6 billion euros in 2005. The company holds leadership positions in its main markets: automotive, construction, household appliances and packaging as well as general industry. The company - number one steel producer in Europe and Latin America - ambitions to further expand internationally in order to capture the growth potential of developing economies and offer technologically advanced steel solutions to its global customers. In 2006, Arcelor employs 110,000 associates in over 60 countries. The company places its commitment to sustainable development at the heart of its strategy and ambitions to be a benchmark for economic performance, labour relations and social responsibility.

For more information visit www.arcelor.com

Corporate Communications                                                 
Tel.: +352 4792 5000            
E-mail: press@arcelor.com       
Patrick Seyler: +352 4792 2360  
Luc Scheer:+ 352 4792 4455      
Jean Lasar: +352 4792 2359      

Spain                                    
Ignacio Agreda: +34 94 489 4162          
Oscar Fleites: +34 98 512 60 29          
France Sandra Luneau: +33 1 71 92 00 58  
Brasil Eimar Magalhaes: +55 31 3219 1257

Investor Relations
E-mail: investor.relations@arcelor.com
Martine Hue: +352 4792 2151
00 800 4792 4792
(toll free from the EU and Switzerland)
France +33 1 71 92 0090
Brasil Christiano Woelffel: +55 31 3219 1245


Arcelor S.A. - Registered office: 19, avenue de la Liberte L-2930 Luxembourg



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