Nippon Steel Corp. · TSE:5401

Nippon Steel — H1 FY2007 Earnings Presentation

31 slides from Nippon Steel's earnings presentation, Oct 30, 2007

  1. Slide 1: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    2008 3 2007 10 30 0 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  2. Slide 2: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    1 2008 3 2 2008 3 3 1 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  3. Slide 3: I. Interim results and forecast

    I 2008 3 1Q 2Q * 2007.9.6 2 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  4. Slide 4: Consolidated results summary

    23,163 19,834 3,329 23,700 537 * 13,451 12,527 924 13,500 49 * 9,712 7,307 2,405 10,200 488 2,644 2,663 19 2,650 6 1,742 1,992 250 1,750 8 902 671 231 900 2 2,840 2,689 151 2,800 40 1,684 1,964 280 1,650 34 1,156 725 431 1,150 6 178 185 7 190 12 1,764 1,641 123 1,700 64 < > <28.0> <25.2> < 2.8> <27.

  5. Slide 5: Ordinary income change factors

    290 +62 160 210 180 160 200 *2 +300 *3 50*1 +110 *4 40 360 *1; 100 50 *2; 75 40 *3; *4 110 59 7 46 14 14 4 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  6. Slide 6: Forecast versus previous forecast

    23,163 23,700 537 13,451 13,500 49 9,712 10,200 488 2,644 2,650 6 1,742 1,750 8 902 900 2 2,840 2,800 40 1,684 1,650 34 1,156 1,150 6 178 190 12 1,764 1,700 64 < > <28.0> <27.0> < 1.0> 1,162 1,150 12 602 550 52 5 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  7. Slide 7: First half and second half comparison

    1/ A) 2/ (B) (A B) 23,163 11,158 12,006 848 2,644 1,295 1,350 55 2,840 1,486 1,353 133 1,764 867 897 30 6 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  8. Slide 8: Segment results

    A B 23,163 2,644 11.4% 19,834 2,663 13.4% + 3,329 19 23,700 2,650 *1 19,629 2,349 12.0% 16,184 2,419 14.9% + 3,445 70 19,800 2,400 1,506 66 4.4% 1,593 12 0.8% 87 + 54 1,700 70 314 43 13.9% 328 43 13.1% 14 300 40 *2 *2 *3 *3 1,494 131 8.8% 1,580 111 7.0% 86 + 20 1,500 120 360 2 0.6% 318 18 5.8% + 42

  9. Slide 9: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    ( ) 8 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  10. Slide 10: Balance sheet and debt equity ratio

    (07/9E) (07/3E) 07/9E 07/3E 55,860 53,449 +2,411 3 1 1 2 +1,457 3 +1,390 +1,764 384 , 902 07.6 07/9 (Debt Equity ratio) 12,508 / 20,582 2 9 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  11. Slide 11: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    / 20 30 15 20 20 30 10 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  12. Slide 12: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    11 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  13. Slide 13: II. Fiscal 2008 forecast

    II 2008 3 * 2007.9.6 12 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  14. Slide 14: Full-year forecast

    47,500 23,163 43,021 19,834 4,479 48,000 27,500 13,451 25,628 12,527 1,872 27,500 20,000 9,712 17,393 7,307 2,607 20,500 5,800 2,644 5,800 2,663 5,800 4,200 1,742 4,022 1,992 178 4,200 1,600 902 1,778 671 178 1,600 6,000 2,840 5,976 2,689 24 6,000 4,000 1,684 3,897 1,964 103 4,000 2,000 1,156 2,079

  15. Slide 15: Ordinary income change factors forecast

    700 350 +150 350 220 *2 +320 *3 6,350 450 200 360 *1 +100 *4 70 5,620 730 *1; 360 *2; 160 60 25 *3; *4 100 135 25 5 10 10 14 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  16. Slide 16: Segment forecast

    A B 47,500 5,800 12.2% 43,021 5,800 13.5% + 4,479 48,000 5,800 *1 39,100 5,150 13.2% 34,823 5,145 14.8% + 4,277 + 5 39,300 5,150 3,700 230 6.2% 3,679 130 3.5% + 21 + 100 3,800 230 1,000 135 13.5% 943 143 15.2% + 57 8 1,000 135 *2 *2 *3 *3 2,800 200 7.1% 3,187 236 7.4% 387 36 2,750 200 700 20 2.9% 65

  17. Slide 17: Non-consolidated forecast, first and second half

    (A) (B) (A B) 47,500 23,163 24,337 1,174 27,500 13,451 14,049 598 20,000 9,712 10,288 576 5,800 2,644 3,156 512 4,200 1,742 2,458 716 1,600 902 698 204 6,000 2,840 3,160 320 4,000 1,684 2,316 632 2,000 1,156 844 312 300 178 122 56 3,650 1,764 1,886 122 < > <58.0> <28.0> <30.0> < 2.0> 2,550 1,162 1,3

  18. Slide 18: Non-consolidated change factors

    530 160 110 10 50 260 +80 200 +80 *2 3,190 100*1 30 2,740 450 *1; 100 200 *2 80 90 40 60 10 20 17 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  19. Slide 19: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    ( ) 18 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  20. Slide 20: Interest-bearing debt and D/E ratio

    05 05 06 06 07 07 06 06 07 07 12,238 12,130 12,000 130 D/E D/E (Debt (Debt Equity Equity ratio) ratio) 0.73 0.64 0.6 0.04 D/E 21,000 2.37 2.5 07 08/3 18,719 19,000 2 17,000 06 07 08/3 15,612 130 15,000 1.5 1.66 6,000 12,822 13,000 12,238 12,130 12,000 2,400 11,000 1 650 1.08 930 9,000 700 0.73 0.5 0

  21. Slide 21: III

    III 20 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  22. Slide 22: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    5,980 2,989 2,991 11,775 5,805 5,969 1,807 907 900 3,571 1,794 1,777 1 1,563 767 796 3,064 1,541 1,522 1,764 872 892 3,452 1,716 1,737 <1,621> <799> <822> <3,160> <1,571> <1,589> 1,604 789 815 3,151 1,542 1,609 79.3 78.3 80.3 75.3 73.4 77.1 34.1 33.3 34.9 32.3 32.3 32.4 119 120 119 117 115 119 1 21

  23. Slide 23: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    7,948 7,997 3,941 4,056 7,962 3,922 4,040 5,114(64%) 5,038(63%) 6,472 3,181 3,291 6,458 3,171 3,287 2,733 1,354 1,379 2,769 1,371 1,398 3,739 1,827 1,912 3,689 1,800 1,889 586 292 294 569 278 291 1,422 684 738 1,410 685 725 1,525 760 765 1,504 751 753 127 66 61 129 67 62 7,104 3,739 3,365 7,211 3,88

  24. Slide 24: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    623 615 572 573 559 567 555 548 554 562 542 531 533 533 537 536 524 526 525 535 537 537 543 512 520 503 464 463 458 429 421 426 425 413 414 393 398 393 393 403 405 403 407 389 376 371 376 377 374 386 384 360 23 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  25. Slide 25: Raw material prices

    2007.10 (US$/t, CIF ) (US$/t, FOB) (US$/t FOB) US$/t 170 t 24 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  26. Slide 26: Market prices

    2007.10 (US$/t) (US$/t) (US$/t) (US$/t) (US$/t LME ) (PLATT'S JAPAN 380CST, US$/MT) (OPEC , US$/ , ) 25 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  27. Slide 27: Steel price trends

    2003 2004 2005 2006 2007 1,600 1,840 1,850 1,805 2,050 1,833 2,700 1,925 3,100 2,450 1,200 1,340 1,400 1,299 1,650 1,306 2,000 1,342 2,300 1,850 3,100 2,700 2,050 1,850 1,600 26 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  28. Slide 28: Blast furnace capacity expansion

    2006 4 08 1 370 2007 2 4 300 4,650m3 5,443m3 793m3 2006 10 07 10 190 2009 4,884m3 5,775m3 891m3 2009 1 60 / 2007 7 25 27 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  29. Slide 29: (Gr) + 9 71 73 86 322 3 325 320 329 332 344 2002

    (Gr) 07 06 05 04 03 02 252 6 258 251 258 259 258 70 + 3 67 69 71 73 86 322 3 325 320 329 332 344 2002 2007 28 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  30. Slide 30: RHF joint venture with Posco

    9 26 No.1 35.6 11 7.2 42.8 10 22 RHF 20 / “Posco - NipponSteel RHF JV” 50 70 30 160 2009 9 2009 12 29 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

  31. Slide 31: Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

    30 Copyright (C) 2006-2007 NIPPON STEEL Corporation All Rights Reserved.

Nippon Steel — H1 FY2007 Earnings Presentation on 6ix