SOURCE: Ternium S.A.

Ternium S.A.

December 21, 2010 07:30 ET

Ternium Reaches Agreement on Rescheduling of Sidor Compensation Balance

LUXEMBOURG--(Marketwire - December 21, 2010) - Ternium S.A. (NYSE: TX) announced it has reached an agreement with Corporación Venezolana de Guayana, or CVG, on the rescheduling of the unpaid balance (US$257.4 million) of its compensation for the transfer of Ternium's interest in Sidor to Venezuela.

Under the terms of the agreement, CVG will pay US$7 million within ten business days and the remainder in five quarterly installments, with the first such installment being due on February 15, 2011.

Ternium continues to reserve all of its rights under contracts, investment treaties and Venezuelan and international law in the event of non-payment of the amounts still owing to it.

Forward-Looking Statements

Some of the statements contained in this press release are "forward-looking statements." Forward-looking statements are based on management's current views and assumptions and involve known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied by those statements. These risks include but are not limited to risks arising from uncertainties as to gross domestic product, related market demand, global production capacity, tariffs, cyclicality in the industries that purchase steel products and other factors beyond Ternium's control.

About Ternium

Ternium is a leading steel company in Latin America, manufacturing and processing a wide range of flat and long steel products for customers active in the construction, home appliances, capital goods, container, food, energy and automotive industries. With its principal operations in Mexico and Argentina, Ternium serves markets in the Americas through its integrated manufacturing system and extensive distribution network. The Company has an annual production capacity of approximately ten million tons of finished steel products. More information about Ternium is available at www.ternium.com.