United States Steel Corporation · NYSE:X
United States Steel — Merger or Acquisition (June 2021)
8 slides from United States Steel's merger presentation, Jun 8, 2021
Slide 1: Transtar Divestiture Investor Presentation
Transtar Divestiture Investor Presentation June 8, 2021
Slide 2: Forward-looking statements
2 Forward-looking statements These slides are being provided to assist readers in understanding the sale of Transtar, LLC by United States Steel Corporation. This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Slide 3: Transtar divestiture summary
3 Continuation of portfolio optimization Transtar divestiture summary Delivering immediate, incremental value at an attractive transaction multiple Creating strategic partnership with an affiliate of Fortress Transportation and Infrastructure Investors LLC (“FTAI”) to support continued operations, i
Slide 4: Transaction overview
4 Continuation of portfolio optimization Transaction overview Overview Proceeds & Valuation Timing & Closing Use of Proceeds • Sale of rail assets to FTAI • Initial 15-year contract term • Renewable at U. S. Steel’s sole discretion • $640M cash purchase price • ~10x multiple based on LTM EBITDA • Pr
Slide 5: Uninterrupted service to operations
5 Continuation of portfolio optimization Uninterrupted service to U. S. Steel operations Enhancing focus on core competencies while partnering with FTAI to retain best-in-class rail services Services provided by Transtar: Hot metal transport / coil and slab movements ✓ In-plant switching of raw mate
Slide 6: Overview of Transtar's railroad portfolio
6 Continuation of portfolio optimization Overview of Transtar’s railroad portfolio Note: Great Lakes iron and steelmaking, Lorain Tubular, and Lone Star Tubular are indefinitely idled. 1 Latest 12 months (April 2020 – March 2021). 2 Five-year historical annual average. Great Lakes Mon Valley Gary Lo
Slide 7: Further strengthening the balance sheet
7 Continuation of portfolio optimization Further strengthening the balance sheet U. S. Steel Big River Steel Maturity Profile, as of March 31, 2021, in millions February 2021: Through April 2021: Remainder of 2021: Significant steps taken in 2021 and more to come at least $1.8B debt repayment 2021 I
Slide 8: Investor Relations
INVESTOR RELATIONS Kevin Lewis Vice President 412-433-6935 klewis@uss.com Eric Linn Director 412-433-2385 eplinn@uss.com www.ussteel.com
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